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 811-21261
Rydex ETF Trust
(Exact name of registrant as specified in charter)
9601 Blackwell Road, Suite 500
Rockville, Maryland 20850
(Address of principal executive offices) (Zip code)
Carl G. Verboncoeur
Rydex ETF Trust
9601 Blackwell Road, Suite 500
Rockville, Maryland 20850
(Name and address of agent for service)
Registrant's telephone number, including area code: 1-301-296-5100
Date of fiscal year end: October 31, 2007
Date of reporting period: October 31, 2007
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. Section 3507.
ITEM 1. REPORTS TO STOCKHOLDERS.
[GRAPHIC]
OCTOBER 31, 2007
RYDEX ETF TRUST
ANNUAL REPORT
RYDEX S&P EQUAL WEIGHT ETF
RYDEX RUSSELL TOP 50 ETF
RYDEX S&P 500 PURE VALUE ETF
RYDEX S&P 500 PURE GROWTH ETF
RYDEX S&P MIDCAP 400 PURE VALUE ETF
RYDEX S&P MIDCAP 400 PURE GROWTH ETF
RYDEX S&P SMALLCAP 600 PURE VALUE ETF
RYDEX S&P SMALLCAP 600 PURE GROWTH ETF
RYDEX S&P EQUAL WEIGHT CONSUMER DISCRETIONARY ETF
RYDEX S&P EQUAL WEIGHT CONSUMER STAPLES ETF
RYDEX S&P EQUAL WEIGHT ENERGY ETF
RYDEX S&P EQUAL WEIGHT FINANCIALS ETF
RYDEX S&P EQUAL WEIGHT HEALTH CARE ETF
RYDEX S&P EQUAL WEIGHT INDUSTRIALS ETF
RYDEX S&P EQUAL WEIGHT MATERIALS ETF
RYDEX S&P EQUAL WEIGHT TECHNOLOGY ETF
RYDEX S&P EQUAL WEIGHT UTILITIES ETF
[RYDEX INVESTMENTS LOGO]
TABLE OF CONTENTS
- --------------------------------------------------------------------------------
<Table>
LETTER TO OUR
SHAREHOLDERS...... 2
MANAGER'S ANALYSIS.. 4
FEES AND EXPENSES... 38
SCHEDULE OF
INVESTMENTS....... 39
STATEMENTS OF ASSETS
AND LIABILITIES... 75
STATEMENTS OF
OPERATIONS........ 79
STATEMENTS OF
CHANGES IN NET
ASSETS............ 83
FINANCIAL
HIGHLIGHTS........ 92
NOTES TO FINANCIAL
STATEMENTS........ 101
INDEPENDENT
REGISTERED PUBLIC
ACCOUNTING FIRM'S
REPORT............ 108
SUPPLEMENTAL
INFORMATION....... 109
</Table>
1 ANNUAL REPORT
- --------------------------------------------------------------------------------
DEAR SHAREHOLDER,
Rydex is a proud participant in the ETF space with $5.8 million in ETF assets,
25 exchange traded products and plans to introduce many more in the future. In
the last year alone, we've launched ten new exchange traded products and our
assets have grown more than 80% -- making this the fastest growing area of our
investment management business.
Rydex believes that investor knowledge is paramount when contemplating
investment options and to assess investors' knowledge of this fast-growing
investment option, we conducted a survey of individual mutual fund investors
earlier this year. Our survey revealed that more than half (53%) of investors do
not know the difference between a mutual fund and ETF and 38% don't know what an
ETF is.(1) In response to the market's need for education, in September, Rydex
launched ETF Essentials(TM) -- a comprehensive guide to ETFs -- to help advisors
educate their clients on the nuances of ETFs. The program presents information
on ETF topics in simple understandable language and is available via podcast
(audio downloads), print and online. It's also free and can be requested on
www.rydexinvestments.com web site.
Market Conditions. Although U.S. stock prices closed higher for the 12 months
ended October 31, the period was marked by heightened volatility. The Dow Jones
Industrial Average rose +17.94% during the period while the S&P 500 rose +14.56%
and its equal weight counterpart climbed +11.69%. Throughout much of the year,
stock prices rose steadily on the back of strong corporate earnings growth, low
inflation, declining interest rates and attractive valuations. In late February,
a dramatic, but short-lived, sell-off unfolded with the widely watched S&P 500
falling nearly 6%. This downdraft was sparked by plummeting share prices in
China as regulatory authorities there attempted to curb rampant stock market
speculation. Almost as quickly as it began, the selling pressure evaporated and
stocks resumed their seeming relentless climb with the DJIA setting new highs by
mid-summer.
The hallmark event of the 12-month period unfolded in mid-summer as credit
markets around the world seized up on the rapidly deteriorating situation in the
mortgage-backed bond market. Literally billions of dollars of subprime U.S.
mortgages -- which had been packaged and distributed throughout the global
financial system -- began to go sour as homeowners were unable to meet higher
carrying costs when low initial teaser rates reset at higher levels. The
bursting of the real estate bubble in the U.S. also meant that homeowners were
unable to refinance properties that had little or no equity build-up. Exposure
to the subprime mess seemed at first limited to the hedge fund community, but as
with most financial contagions soon ensnared major banks, broker/dealers and
lenders. Traditional sources of credit dried up as lenders, not knowing who held
mortgage backed time bombs on their balance sheets, refused to lend. Central
banks, first in Europe and then the U.S., stepped in with massive capital
infusions. Fearing that a full-blown financial crisis was unfolding, stocks sold
off precipitously with the S&P 500 Index losing nearly 10% of its value in the
four-week period from mid-July to mid-August. With financial markets under
siege, the Federal Reserve stepped in with its first interest rate cut in four
years.
The rate cut was a game changer and stocks powered past their mid-summer highs,
setting new records in the process. During this second up-leg, a number of
previously observed investment themes reasserted themselves and new ones
appeared. With U.S. economic growth decelerating and the global economy growing
rapidly, sectors such as energy, materials and technology -- all of which have
substantial overseas revenue exposure -- recorded sizable gains, ranging from
+41.12% for the S&P 500 Energy Index to +16.01% for the S&P 500 Technology
Index. Investors fled any perceived exposure to subprime exposure, and as a
result financial service stocks were hammered with the S&P 500 Financial Index
falling -1.71%. The other laggard was consumer discretionary stocks. Sky-high
energy prices (oil leapt 60% to over $94/bbl during the period), the housing
crisis and weak employment growth conspired to depress consumer sentiment
measures, which fell to multi-year lows. The S&P 500 Consumer Discretionary
Index barely hit positive territory -- up 0.27% for the one-year period ended
October 31, 2007.
The other noteworthy trend during the period was the outperformance of large-cap
growth stocks. While it is commonplace to see large caps perform well in a
market environment characterized by anxiety, it is somewhat unusual to see value
stocks underperform. Hedge fund managers, many of whom had long identified value
as a source of excess return, dumped value stocks into the market to meet
redemption requests as the markets began to turn down. The S&P 500/Citigroup
Pure Growth Total Return Index returned +13.21% over the past 12 months compared
to +8.19% for its value counterpart.
2
- ----------
(1) Rydex Investments in conjunction with e-Rewards Market Research
conducted this survey of individual investors in July 2007. The survey was
conducted with 500 individual mutual fund investors. All participants had
investable assets of more than $100K, with 150 of the participants having
investable assets of more than $500K. e-Rewards Market Research is not
affiliated with Rydex Investments. Although Rydex Investments believes the
information from this organization is correct, it cannot, and does not,
guarantee or warrant the completeness or suitability of this information.
- --------------------------------------------------------------------------------
Volatility will continue to be a defining characteristic of stock prices as the
markets sort through the subprime wreckage. Ultimately, accurate valuations will
be place on asset-backed securities, the write downs will cease and confidence
will return. Until that time, however, investors will be well served by pursuing
low volatility and finely tuned investment strategies, many of which will rely
on targeted sector exposure.
We appreciate the trust you have placed in our firm's quality and integrity by
investing with us. It is our goal to continue to offer you innovative ETF
choices to meet your investment needs.
Sincerely,
/s/ David C. Reilly, CFA
David C. Reilly, CFA
Director of Portfolio Strategies
3 ANNUAL REPORT
- --------------------------------------------------------------------------------
RYDEX S&P EQUAL WEIGHT ETF
MANAGER'S ANALYSIS
- --------------------------------------------------------------------------------
For the year ended October 31, 2007, Rydex S&P Equal Weight ETF, benchmarked to
the S&P Equal Weight Total Return Index, returned 11.23%, underperforming the
S&P 500 Total Return Index which posted a return of 14.56%. Since its inception
in April 2003, Rydex S&P Equal Weight ETF posted an average annual return of
17.89%, outpacing the S&P 500 Total Return Index with a 14.51% return for the
same time period.
In the first part of the fiscal year, fund performance was driven by the success
of the smaller-cap stocks within the equal weight index. In mid-summer,
performance strength shifted from the smaller-cap stocks to the largest stocks
in the index. For the year, the cap-weighted S&P 500 performed better. However,
there were periods where the equal weight methodology proved to be stronger. The
information technology sector of the S&P 500 performed poorly overall, which put
a drag on returns for the ETF. However, the strong health care sector added to
returns.
CUMULATIVE FUND PERFORMANCE: APRIL 24, 2003 - OCTOBER 31, 2007
(PERFORMANCE GRAPH)
<Table>
<Caption>
S&P 500
RYDEX S&P EQUAL WEIGHT S&P 500
EQUAL WEIGHT TOTAL RETURN TOTAL RETURN
ETF(A) INDEX(B) INDEX(C)
------------ ------------ ------------
4/24/03 10000.00 10000.00 10000.00
4/25/03 9846.00 9845.00 9862.00
4/26/03 9846.00 9845.00 9862.00
4/27/03 9846.00 9845.00 9862.00
4/28/03 10042.00 10042.00 10039.00
4/29/03 10113.00 10114.00 10072.00
4/30/03 10114.00 10115.00 10063.00
5/1/03 10091.00 10092.00 10058.00
5/2/03 10281.00 10282.00 10210.00
5/3/03 10281.00 10282.00 10210.00
5/4/03 10281.00 10282.00 10210.00
5/5/03 10302.00 10303.00 10171.00
5/6/03 10398.00 10400.00 10257.00
5/7/03 10342.00 10343.00 10206.00
5/8/03 10241.00 10243.00 10104.00
5/9/03 10407.00 10409.00 10251.00
5/10/03 10407.00 10409.00 10251.00
5/11/03 10407.00 10409.00 10251.00
5/12/03 10567.00 10569.00 10380.00
5/13/03 10567.00 10570.00 10350.00
5/14/03 10565.00 10568.00 10320.00
5/15/03 10689.00 10692.00 10402.00
5/16/03 10725.00 10728.00 10377.00
5/17/03 10725.00 10728.00 10377.00
5/18/03 10725.00 10728.00 10377.00
5/19/03 10418.00 10421.00 10119.00
5/20/03 10403.00 10406.00 10108.00
5/21/03 10458.00 10462.00 10149.00
5/22/03 10582.00 10586.00 10242.00
5/23/03 10646.00 10651.00 10257.00
5/24/03 10646.00 10651.00 10257.00
5/25/03 10646.00 10651.00 10257.00
5/26/03 10646.00 10651.00 10257.00
5/27/03 10880.00 10884.00 10458.00
5/28/03 10901.00 10906.00 10478.00
5/29/03 10884.00 10889.00 10440.00
5/30/03 11091.00 11096.00 10594.00
5/31/03 11091.00 11096.00 10594.00
6/1/03 11091.00 11096.00 10594.00
6/2/03 11147.00 11153.00 10631.00
6/3/03 11142.00 11148.00 10682.00
6/4/03 11365.00 11372.00 10846.00
6/5/03 11455.00 11462.00 10890.00
6/6/03 11412.00 11418.00 10864.00
6/7/03 11412.00 11418.00 10864.00
6/8/03 11412.00 11418.00 10864.00
6/9/03 11218.00 11225.00 10734.00
6/10/03 11311.00 11318.00 10832.00
6/11/03 11494.00 11502.00 10975.00
6/12/03 11523.00 11531.00 10987.00
6/13/03 11360.00 11368.00 10878.00
6/14/03 11360.00 11368.00 10878.00
6/15/03 11360.00 11368.00 10878.00
6/16/03 11595.00 11603.00 11122.00
6/17/03 11589.00 11597.00 11132.00
6/18/03 11578.00 11586.00 11116.00
6/19/03 11410.00 11418.00 10946.00
6/20/03 11391.00 11400.00 10957.00
6/21/03 11391.00 11400.00 10957.00
6/22/03 11391.00 11400.00 10957.00
6/23/03 11187.00 11195.00 10803.00
6/24/03 11201.00 11209.00 10823.00
6/25/03 11137.00 11146.00 10733.00
6/26/03 11260.00 11269.00 10853.00
6/27/03 11177.00 11186.00 10748.00
6/28/03 11177.00 11186.00 10748.00
6/29/03 11177.00 11186.00 10748.00
6/30/03 11170.00 11179.00 10729.00
7/1/03 11230.00 11240.00 10817.00
7/2/03 11375.00 11385.00 10943.00
7/3/03 11289.00 11299.00 10854.00
7/4/03 11289.00 11299.00 10854.00
7/5/03 11289.00 11299.00 10854.00
7/6/03 11289.00 11299.00 10854.00
7/7/03 11505.00 11515.00 11061.00
7/8/03 11603.00 11613.00 11102.00
7/9/03 11575.00 11586.00 11041.00
7/10/03 11387.00 11398.00 10892.00
7/11/03 11475.00 11486.00 10997.00
7/12/03 11475.00 11486.00 10997.00
7/13/03 11475.00 11486.00 10997.00
7/14/03 11544.00 11556.00 11060.00
7/15/03 11472.00 11497.00 11022.00
7/16/03 11390.00 11399.00 10952.00
7/17/03 11232.00 11242.00 10817.00
7/18/03 11368.00 11377.00 10945.00
7/19/03 11368.00 11377.00 10945.00
7/20/03 11368.00 11377.00 10945.00
7/21/03 11219.00 11228.00 10785.00
7/22/03 11358.00 11368.00 10888.00
7/23/03 11362.00 11373.00 10893.00
7/24/03 11314.00 11324.00 10816.00
7/25/03 11499.00 11509.00 11004.00
7/26/03 11499.00 11509.00 11004.00
7/27/03 11499.00 11509.00 11004.00
7/28/03 11504.00 11515.00 10981.00
7/29/03 11427.00 11439.00 10902.00
7/30/03 11388.00 11399.00 10884.00
7/31/03 11457.00 11469.00 10918.00
8/1/03 11369.00 11381.00 10806.00
8/2/03 11369.00 11381.00 10806.00
8/3/03 11369.00 11381.00 10806.00
8/4/03 11364.00 11375.00 10835.00
8/5/03 11163.00 11174.00 10645.00
8/6/03 11158.00 11170.00 10664.00
8/7/03 11225.00 11237.00 10742.00
8/8/03 11261.00 11273.00 10781.00
8/9/03 11261.00 11273.00 10781.00
8/10/03 11261.00 11273.00 10781.00
8/11/03 11312.00 11324.00 10816.00
8/12/03 11440.00 11452.00 10924.00
8/13/03 11422.00 11434.00 10859.00
8/14/03 11518.00 11531.00 10930.00
8/15/03 11517.00 11531.00 10934.00
8/16/03 11517.00 11531.00 10934.00
8/17/03 11517.00 11531.00 10934.00
8/18/03 11657.00 11671.00 11034.00
8/19/03 11737.00 11751.00 11063.00
8/20/03 11750.00 11766.00 11042.00
8/21/03 11844.00 11860.00 11075.00
8/22/03 11714.00 11730.00 10962.00
8/23/03 11714.00 11730.00 10962.00
8/24/03 11714.00 11730.00 10962.00
8/25/03 11693.00 11708.00 10969.00
8/26/03 11728.00 11744.00 11003.00
8/27/03 11768.00 11784.00 11005.00
8/28/03 11874.00 11890.00 11073.00
8/29/03 11960.00 11977.00 11131.00
8/30/03 11960.00 11977.00 11131.00
8/31/03 11960.00 11977.00 11131.00
9/1/03 11960.00 11977.00 11131.00
9/2/03 12124.00 12143.00 11285.00
9/3/03 12154.00 12174.00 11336.00
9/4/03 12159.00 12178.00 11355.00
9/5/03 12087.00 12106.00 11283.00
9/6/03 12087.00 12106.00 11283.00
9/7/03 12087.00 12106.00 11283.00
9/8/03 12215.00 12235.00 11397.00
9/9/03 12100.00 12119.00 11303.00
9/10/03 11894.00 11910.00 11169.00
9/11/03 11970.00 11989.00 11233.00
9/12/03 12009.00 12028.00 11257.00
9/13/03 12009.00 12028.00 11257.00
9/14/03 12009.00 12028.00 11257.00
9/15/03 11967.00 11986.00 11215.00
9/16/03 12146.00 12166.00 11376.00
9/17/03 12113.00 12133.00 11339.00
9/18/03 12264.00 12286.00 11490.00
9/19/03 12251.00 12272.00 11454.00
9/20/03 12251.00 12272.00 11454.00
9/21/03 12251.00 12272.00 11454.00
9/22/03 12091.00 12113.00 11305.00
9/23/03 12171.00 12193.00 11374.00
9/24/03 11950.00 11970.00 11156.00
9/25/03 11837.00 11857.00 11091.00
9/26/03 11734.00 11754.00 11022.00
9/27/03 11734.00 11754.00 11022.00
9/28/03 11734.00 11754.00 11022.00
9/29/03 11850.00 11871.00 11130.00
9/30/03 11754.00 11774.00 11013.00
10/1/03 11990.00 12012.00 11260.00
10/2/03 12037.00 12059.00 11283.00
10/3/03 12192.00 12215.00 11390.00
10/4/03 12192.00 12215.00 11390.00
10/5/03 12192.00 12215.00 11390.00
10/6/03 12257.00 12282.00 11440.00
10/7/03 12317.00 12341.00 11494.00
10/8/03 12277.00 12301.00 11438.00
10/9/03 12356.00 12382.00 11493.00
10/10/03 12353.00 12378.00 11486.00
10/11/03 12353.00 12378.00 11486.00
10/12/03 12353.00 12378.00 11486.00
10/13/03 12462.00 12489.00 11567.00
10/14/03 12511.00 12538.00 11613.00
10/15/03 12465.00 12491.00 11585.00
10/16/03 12502.00 12529.00 11622.00
10/17/03 12353.00 12379.00 11503.00
10/18/03 12353.00 12379.00 11503.00
10/19/03 12353.00 12379.00 11503.00
10/20/03 12403.00 12429.00 11562.00
10/21/03 12418.00 12445.00 11577.00
10/22/03 12241.00 12266.00 11405.00
10/23/03 12248.00 12273.00 11443.00
10/24/03 12209.00 12235.00 11389.00
10/25/03 12209.00 12235.00 11389.00
10/26/03 12209.00 12235.00 11389.00
10/27/03 12288.00 12315.00 11413.00
10/28/03 12468.00 12496.00 11587.00
10/29/03 12527.00 12556.00 11604.00
10/30/03 12541.00 12570.00 11594.00
10/31/03 12575.00 12605.00 11636.00
11/1/03 12575.00 12605.00 11636.00
11/2/03 12575.00 12605.00 11636.00
11/3/03 12696.00 12726.00 11728.00
11/4/03 12642.00 12672.00 11664.00
11/5/03 12644.00 12674.00 11650.00
11/6/03 12721.00 12752.00 11720.00
11/7/03 12707.00 12738.00 11669.00
11/8/03 12707.00 12738.00 11669.00
11/9/03 12707.00 12738.00 11669.00
11/10/03 12589.00 12620.00 11602.00
11/11/03 12576.00 12607.00 11596.00
11/12/03 12747.00 12780.00 11734.00
11/13/03 12769.00 12801.00 11732.00
11/14/03 12647.00 12679.00 11645.00
11/15/03 12647.00 12679.00 11645.00
11/16/03 12647.00 12679.00 11645.00
11/17/03 12525.00 12556.00 11570.00
11/18/03 12398.00 12429.00 11466.00
11/19/03 12471.00 12503.00 11559.00
11/20/03 12383.00 12415.00 11462.00
11/21/03 12441.00 12473.00 11480.00
11/22/03 12441.00 12473.00 11480.00
11/23/03 12441.00 12473.00 11480.00
11/24/03 12675.00 12708.00 11667.00
11/25/03 12747.00 12781.00 11688.00
11/26/03 12826.00 12860.00 11740.00
11/27/03 12826.00 12860.00 11740.00
11/28/03 12841.00 12876.00 11738.00
11/29/03 12841.00 12876.00 11738.00
11/30/03 12841.00 12876.00 11738.00
12/1/03 12999.00 13035.00 11871.00
12/2/03 12949.00 12985.00 11832.00
12/3/03 12927.00 12963.00 11814.00
12/4/03 12952.00 12989.00 11870.00
12/5/03 12842.00 12878.00 11779.00
12/6/03 12842.00 12878.00 11779.00
12/7/03 12842.00 12878.00 11779.00
12/8/03 12932.00 12969.00 11867.00
12/9/03 12810.00 12846.00 11765.00
12/10/03 12746.00 12782.00 11755.00
12/11/03 12940.00 12977.00 11891.00
12/12/03 12986.00 13023.00 11924.00
12/13/03 12986.00 13023.00 11924.00
12/14/03 12986.00 13023.00 11924.00
12/15/03 12882.00 12919.00 11857.00
12/16/03 12936.00 12974.00 11935.00
12/17/03 12971.00 13009.00 11952.00
12/18/03 13167.00 13207.00 12094.00
12/19/03 13165.00 13205.00 12089.00
12/20/03 13165.00 13205.00 12089.00
12/21/03 13165.00 13205.00 12089.00
12/22/03 13246.00 13287.00 12137.00
12/23/03 13305.00 13346.00 12171.00
12/24/03 13283.00 13325.00 12149.00
12/25/03 13283.00 13325.00 12149.00
12/26/03 13312.00 13354.00 12169.00
12/27/03 13312.00 13354.00 12169.00
12/28/03 13312.00 13354.00 12169.00
12/29/03 13481.00 13525.00 12325.00
12/30/03 13492.00 13535.00 12328.00
12/31/03 13500.00 13543.00 12354.00
1/1/04 13500.00 13543.00 12354.00
1/2/04 13448.00 13491.00 12316.00
1/3/04 13448.00 13491.00 12316.00
1/4/04 13448.00 13491.00 12316.00
1/5/04 13616.00 13660.00 12469.00
1/6/04 13640.00 13685.00 12486.00
1/7/04 13662.00 13708.00 12518.00
1/8/04 13763.00 13810.00 12581.00
1/9/04 13681.00 13728.00 12469.00
1/10/04 13681.00 13728.00 12469.00
1/11/04 13681.00 13728.00 12469.00
1/12/04 13750.00 13797.00 12529.00
1/13/04 13682.00 13729.00 12463.00
1/14/04 13813.00 13860.00 12567.00
1/15/04 13843.00 13892.00 12584.00
1/16/04 13974.00 14023.00 12670.00
1/17/04 13974.00 14023.00 12670.00
1/18/04 13974.00 14023.00 12670.00
1/19/04 13974.00 14023.00 12670.00
1/20/04 14008.00 14058.00 12659.00
1/21/04 14081.00 14132.00 12758.00
1/22/04 14009.00 14059.00 12717.00
1/23/04 13975.00 14025.00 12691.00
1/24/04 13975.00 14025.00 12691.00
1/25/04 13975.00 14025.00 12691.00
1/26/04 14098.00 14149.00 12844.00
1/27/04 13984.00 14034.00 12719.00
1/28/04 13798.00 13848.00 12548.00
1/29/04 13809.00 13859.00 12613.00
1/30/04 13822.00 13872.00 12580.00
1/31/04 13822.00 13872.00 12580.00
2/1/04 13822.00 13872.00 12580.00
2/2/04 13849.00 13901.00 12626.00
2/3/04 13851.00 13902.00 12635.00
2/4/04 13691.00 13742.00 12531.00
2/5/04 13734.00 13785.00 12555.00
2/6/04 13952.00 14004.00 12713.00
2/7/04 13952.00 14004.00 12713.00
2/8/04 13952.00 14004.00 12713.00
2/9/04 13949.00 14001.00 12683.00
2/10/04 14029.00 14082.00 12746.00
2/11/04 14195.00 14248.00 12887.00
2/12/04 14144.00 14197.00 12825.00
2/13/04 14044.00 14098.00 12756.00
2/14/04 14044.00 14098.00 12756.00
2/15/04 14044.00 14098.00 12756.00
2/16/04 14044.00 14098.00 12756.00
2/17/04 14207.00 14261.00 12881.00
2/18/04 14156.00 14211.00 12825.00
2/19/04 14081.00 14135.00 12773.00
2/20/04 14010.00 14065.00 12740.00
2/21/04 14010.00 14065.00 12740.00
2/22/04 14010.00 14065.00 12740.00
2/23/04 13915.00 13969.00 12706.00
2/24/04 13883.00 13938.00 12685.00
2/25/04 13969.00 14024.00 12737.00
2/26/04 14032.00 14087.00 12755.00
2/27/04 14096.00 14152.00 12755.00
2/28/04 14096.00 14152.00 12755.00
2/29/04 14096.00 14152.00 12755.00
</Table>
AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED OCTOBER 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
SINCE INCEPTION
ONE YEAR THREE YEAR (04/24/03)
-------- ---------- ---------------
RYDEX S&P EQUAL WEIGHT ETF........................................ 11.23% 13.61% 17.89%
S&P EQUAL WEIGHT TOTAL RETURN INDEX............................... 11.69% 14.08% 18.37%
S&P 500 TOTAL RETURN INDEX........................................ 14.56% 13.16% 14.51%
</Table>
The returns presented above do not reflect the effect of taxes. Index returns
represent total returns. Past performance is not guarantee of future results.
4
Rydex S&P Equal Weight ETF
PORTFOLIO SUMMARY As of October 31, 2007
- --------------------------------------------------------------------------------
TOP 10 HOLDINGS*
- --------------------------------------------------------------------------------
<Table>
<Caption>
DESCRIPTION % OF NET ASSETS
- ------------------------------------------------------------------------------------
APOLLO GROUP, INC. -- CLASS A 0.27%
APPLE, INC. 0.27%
EMC CORP. 0.26%
AKAMAI TECHNOLOGIES, INC. 0.26%
MICROSOFT CORP. 0.25%
CIENA CORP. 0.25%
GOOGLE, INC. -- CLASS A 0.25%
GOLDMAN SACHS GROUP, INC. 0.25%
CONSOL ENERGY, INC. 0.25%
MONSANTO CO. 0.25%
- ------------------------------------------------------------------------------------
</Table>
SECTOR ALLOCATIONS*
(PIE CHART)
<Table>
Financials Consumer Discretionary Information Technology Industrials
18.07 17.27 14.64 10.99
</Table>
<Table>
Financials Health Care Consumer Staples Energy Utilities Materials
18.07 10.50 7.89 6.98 6.17 5.82
</Table>
<Table>
Financials Telecommunication Services
18.07 1.67
</Table>
* The Fund's Top 10 Holdings are expressed as a percentage of net assets and the
Sector Allocations are expressed as a percentage of the Fund's investments
market value. These percentages may change over time.
5 ANNUAL REPORT
RYDEX RUSSELL TOP 50 ETF
MANAGER'S ANALYSIS
- --------------------------------------------------------------------------------
For the year ended October 31, 2007, Rydex Russell Top 50 ETF, benchmarked to
the Russell Top 50 Total Return Index, returned 13.96% as mega caps
underperformed slightly over the year. Its benchmark underperformed the broader
large-cap index, the S&P 100 Total Return Index, which posted a 15.60% for the
same time frame.
Compared to broader large-cap indices, this fund underperformed during the
fiscal year. However, beginning in mid-summer, the ETF made up some lost ground
because of the success of large caps over small caps.
CUMULATIVE FUND PERFORMANCE: MAY 4, 2005 - OCTOBER 31, 2007
(PERFORMANCE GRAPH)
<Table>
<Caption>
RYDEX RUSSELL RUSSELL TOP S&P 100
TOP 50 50 TOTAL TOTAL RETURN
ETF(A) RETURN INDEX(B) INDEX(C)
------------- --------------- ------------
5/4/2005 10000.00 10000.00 10000.00
5/5/2005 9976.00 9976.00 9972.00
5/6/2005 9952.00 9953.00 9958.00
5/7/2005 9952.00 9953.00 9958.00
5/8/2005 9952.00 9953.00 9958.00
5/9/2005 10009.00 10010.00 10014.00
5/10/2005 9904.00 9905.00 9905.00
5/11/2005 9953.00 9954.00 9941.00
5/12/2005 9869.00 9870.00 9853.00
5/13/2005 9845.00 9846.00 9824.00
5/14/2005 9845.00 9846.00 9824.00
5/15/2005 9845.00 9846.00 9824.00
5/16/2005 9933.00 9934.00 9911.00
5/17/2005 9990.00 9991.00 9968.00
5/18/2005 10078.00 10080.00 10067.00
5/19/2005 10131.00 10133.00 10116.00
5/20/2005 10115.00 10117.00 10106.00
5/21/2005 10115.00 10117.00 10106.00
5/22/2005 10115.00 10117.00 10106.00
5/23/2005 10151.00 10153.00 10138.00
5/24/2005 10163.00 10165.00 10141.00
5/25/2005 10144.00 10146.00 10113.00
5/26/2005 10200.00 10202.00 10167.00
5/27/2005 10204.00 10206.00 10165.00
5/28/2005 10204.00 10206.00 10165.00
5/29/2005 10204.00 10206.00 10165.00
5/30/2005 10204.00 10206.00 10165.00
5/31/2005 10116.00 10119.00 10088.00
6/1/2005 10213.00 10216.00 10179.00
6/2/2005 10222.00 10225.00 10186.00
6/3/2005 10130.00 10132.00 10105.00
6/4/2005 10130.00 10132.00 10105.00
6/5/2005 10130.00 10132.00 10105.00
6/6/2005 10132.00 10135.00 10110.00
6/7/2005 10130.00 10132.00 10118.00
6/8/2005 10106.00 10109.00 10099.00
6/9/2005 10152.00 10155.00 10137.00
6/10/2005 10127.00 10129.00 10125.00
6/11/2005 10127.00 10129.00 10125.00
6/12/2005 10127.00 10129.00 10125.00
6/13/2005 10141.00 10145.00 10143.00
6/14/2005 10151.00 10153.00 10156.00
6/15/2005 10173.00 10176.00 10180.00
6/16/2005 10203.00 10207.00 10202.00
6/17/2005 10247.00 10251.00 10237.00
6/18/2005 10247.00 10251.00 10237.00
6/19/2005 10247.00 10251.00 10237.00
6/20/2005 10242.00 10246.00 10229.00
6/21/2005 10222.00 10226.00 10213.00
6/22/2005 10210.00 10214.00 10213.00
6/23/2005 10091.00 10095.00 10101.00
6/24/2005 10014.00 10017.00 10018.00
6/25/2005 10014.00 10017.00 10018.00
6/26/2005 10014.00 10017.00 10018.00
6/27/2005 10008.00 10012.00 10010.00
6/28/2005 10087.00 10091.00 10093.00
6/29/2005 10078.00 10081.00 10092.00
6/30/2005 9963.00 9966.00 9989.00
7/1/2005 9984.00 9987.00 10006.00
7/2/2005 9984.00 9987.00 10006.00
7/3/2005 9984.00 9987.00 10006.00
7/4/2005 9984.00 9987.00 10006.00
7/5/2005 10063.00 10067.00 10086.00
7/6/2005 9978.00 9982.00 10004.00
7/7/2005 9991.00 9995.00 10014.00
7/8/2005 10115.00 10118.00 10146.00
7/9/2005 10115.00 10118.00 10146.00
7/10/2005 10115.00 10118.00 10146.00
7/11/2005 10157.00 10161.00 10202.00
7/12/2005 10183.00 10187.00 10222.00
7/13/2005 10203.00 10208.00 10245.00
7/14/2005 10250.00 10255.00 10299.00
7/15/2005 10259.00 10264.00 10309.00
7/16/2005 10259.00 10264.00 10309.00
7/17/2005 10259.00 10264.00 10309.00
7/18/2005 10172.00 10176.00 10228.00
7/19/2005 10223.00 10228.00 10287.00
7/20/2005 10261.00 10266.00 10327.00
7/21/2005 10202.00 10207.00 10255.00
7/22/2005 10224.00 10229.00 10291.00
7/23/2005 10224.00 10229.00 10291.00
7/24/2005 10224.00 10229.00 10291.00
7/25/2005 10186.00 10191.00 10250.00
7/26/2005 10193.00 10199.00 10258.00
7/27/2005 10238.00 10244.00 10303.00
7/28/2005 10283.00 10288.00 10351.00
7/29/2005 10184.00 10189.00 10263.00
7/30/2005 10184.00 10189.00 10263.00
7/31/2005 10184.00 10189.00 10263.00
8/1/2005 10202.00 10208.00 10271.00
8/2/2005 10280.00 10286.00 10342.00
8/3/2005 10290.00 10295.00 10353.00
8/4/2005 10225.00 10230.00 10281.00
8/5/2005 10172.00 10177.00 10226.00
8/6/2005 10172.00 10177.00 10226.00
8/7/2005 10172.00 10177.00 10226.00
8/8/2005 10145.00 10151.00 10199.00
8/9/2005 10216.00 10222.00 10277.00
8/10/2005 10185.00 10190.00 10248.00
8/11/2005 10256.00 10261.00 10324.00
8/12/2005 10190.00 10195.00 10240.00
8/13/2005 10190.00 10195.00 10240.00
8/14/2005 10190.00 10195.00 10240.00
8/15/2005 10209.00 10214.00 10267.00
8/16/2005 10113.00 10118.00 10164.00
8/17/2005 10125.00 10130.00 10184.00
8/18/2005 10127.00 10131.00 10179.00
8/19/2005 10119.00 10124.00 10174.00
8/20/2005 10119.00 10124.00 10174.00
8/21/2005 10119.00 10124.00 10174.00
8/22/2005 10132.00 10137.00 10190.00
8/23/2005 10091.00 10096.00 10152.00
8/24/2005 10011.00 10016.00 10072.00
8/25/2005 10032.00 10036.00 10089.00
8/26/2005 9975.00 9980.00 10033.00
8/27/2005 9975.00 9980.00 10033.00
8/28/2005 9975.00 9980.00 10033.00
8/29/2005 10045.00 10050.00 10096.00
8/30/2005 10018.00 10023.00 10059.00
8/31/2005 10108.00 10114.00 10142.00
9/1/2005 10119.00 10125.00 10141.00
9/2/2005 10092.00 10098.00 10119.00
9/3/2005 10092.00 10098.00 10119.00
9/4/2005 10092.00 10098.00 10119.00
9/5/2005 10092.00 10098.00 10119.00
9/6/2005 10219.00 10225.00 10253.00
9/7/2005 10247.00 10254.00 10282.00
9/8/2005 10224.00 10231.00 10249.00
9/9/2005 10294.00 10301.00 10317.00
9/10/2005 10294.00 10301.00 10317.00
9/11/2005 10294.00 10301.00 10317.00
9/12/2005 10278.00 10285.00 10307.00
9/13/2005 10198.00 10205.00 10238.00
9/14/2005 10165.00 10172.00 10201.00
9/15/2005 10180.00 10188.00 10217.00
9/16/2005 10279.00 10288.00 10308.00
9/17/2005 10279.00 10288.00 10308.00
9/18/2005 10279.00 10288.00 10308.00
9/19/2005 10234.00 10241.00 10249.00
9/20/2005 10168.00 10175.00 10177.00
9/21/2005 10098.00 10105.00 10082.00
9/22/2005 10125.00 10133.00 10123.00
9/23/2005 10097.00 10104.00 10113.00
9/24/2005 10097.00 10104.00 10113.00
9/25/2005 10097.00 10104.00 10113.00
9/26/2005 10090.00 10098.00 10109.00
9/27/2005 10078.00 10086.00 10101.00
9/28/2005 10087.00 10095.00 10121.00
9/29/2005 10182.00 10190.00 10196.00
9/30/2005 10162.00 10171.00 10196.00
10/1/2005 10162.00 10171.00 10196.00
10/2/2005 10162.00 10171.00 10196.00
10/3/2005 10120.00 10128.00 10163.00
10/4/2005 10036.00 10042.00 10073.00
10/5/2005 9924.00 9930.00 9947.00
10/6/2005 9907.00 9912.00 9924.00
10/7/2005 9928.00 9933.00 9954.00
10/8/2005 9928.00 9933.00 9954.00
10/9/2005 9928.00 9933.00 9954.00
10/10/2005 9884.00 9890.00 9902.00
10/11/2005 9885.00 9891.00 9889.00
10/12/2005 9852.00 9858.00 9856.00
10/13/2005 9858.00 9863.00 9856.00
10/14/2005 9912.00 9918.00 9912.00
10/15/2005 9912.00 9918.00 9912.00
10/16/2005 9912.00 9918.00 9912.00
10/17/2005 9923.00 9929.00 9931.00
10/18/2005 9840.00 9845.00 9843.00
10/19/2005 9981.00 9987.00 9977.00
10/20/2005 9818.00 9822.00 9817.00
10/21/2005 9817.00 9822.00 9806.00
10/22/2005 9817.00 9822.00 9806.00
10/23/2005 9817.00 9822.00 9806.00
10/24/2005 9964.00 9970.00 9964.00
10/25/2005 9960.00 9967.00 9954.00
10/26/2005 9925.00 9932.00 9912.00
10/27/2005 9841.00 9848.00 9820.00
10/28/2005 9997.00 10005.00 9986.00
10/29/2005 9997.00 10005.00 9986.00
10/30/2005 9997.00 10005.00 9986.00
10/31/2005 10036.00 10043.00 10027.00
11/1/2005 9988.00 9997.00 9984.00
11/2/2005 10064.00 10073.00 10072.00
11/3/2005 10113.00 10121.00 10118.00
11/4/2005 10124.00 10133.00 10128.00
11/5/2005 10124.00 10133.00 10128.00
11/6/2005 10124.00 10133.00 10128.00
11/7/2005 10154.00 10163.00 10153.00
11/8/2005 10139.00 10147.00 10130.00
11/9/2005 10158.00 10165.00 10153.00
11/10/2005 10242.00 10250.00 10233.00
11/11/2005 10282.00 10290.00 10266.00
11/12/2005 10282.00 10290.00 10266.00
11/13/2005 10282.00 10290.00 10266.00
11/14/2005 10267.00 10275.00 10262.00
11/15/2005 10241.00 10249.00 10229.00
11/16/2005 10241.00 10251.00 10232.00
11/17/2005 10298.00 10308.00 10309.00
11/18/2005 10363.00 10373.00 10374.00
11/19/2005 10363.00 10373.00 10374.00
11/20/2005 10363.00 10373.00 10374.00
11/21/2005 10420.00 10430.00 10419.00
11/22/2005 10462.00 10473.00 10468.00
11/23/2005 10509.00 10520.00 10507.00
11/24/2005 10509.00 10520.00 10507.00
11/25/2005 10535.00 10546.00 10530.00
11/26/2005 10535.00 10546.00 10530.00
11/27/2005 10535.00 10546.00 10530.00
11/28/2005 10457.00 10469.00 10456.00
11/29/2005 10437.00 10448.00 10453.00
11/30/2005 10364.00 10375.00 10381.00
12/1/2005 10455.00 10466.00 10483.00
12/2/2005 10453.00 10465.00 10472.00
12/3/2005 10453.00 10465.00 10472.00
12/4/2005 10453.00 10465.00 10472.00
12/5/2005 10442.00 10454.00 10453.00
12/6/2005 10441.00 10453.00 10455.00
12/7/2005 10390.00 10401.00 10406.00
12/8/2005 10360.00 10371.00 10372.00
12/9/2005 10367.00 10379.00 10385.00
12/10/2005 10367.00 10379.00 10385.00
12/11/2005 10367.00 10379.00 10385.00
12/12/2005 10371.00 10382.00 10392.00
12/13/2005 10431.00 10443.00 10451.00
12/14/2005 10477.00 10489.00 10505.00
12/15/2005 10480.00 10493.00 10499.00
12/16/2005 10453.00 10465.00 10467.00
12/17/2005 10453.00 10465.00 10467.00
12/18/2005 10453.00 10465.00 10467.00
12/19/2005 10436.00 10447.00 10432.00
12/20/2005 10414.00 10425.00 10415.00
12/21/2005 10422.00 10433.00 10429.00
12/22/2005 10463.00 10475.00 10476.00
12/23/2005 10466.00 10478.00 10480.00
12/24/2005 10466.00 10478.00 10480.00
12/25/2005 10466.00 10478.00 10480.00
12/26/2005 10466.00 10478.00 10480.00
12/27/2005 10365.00 10376.00 10382.00
12/28/2005 10366.00 10377.00 10388.00
12/29/2005 10334.00 10345.00 10363.00
12/30/2005 10285.00 10297.00 10312.00
12/31/2005 10285.00 10297.00 10312.00
1/1/2006 10285.00 10297.00 10312.00
1/2/2006 10285.00 10297.00 10312.00
1/3/2006 10468.00 10480.00 10479.00
1/4/2006 10497.00 10510.00 10509.00
1/5/2006 10507.00 10520.00 10510.00
1/6/2006 10603.00 10616.00 10591.00
1/7/2006 10603.00 10616.00 10591.00
1/8/2006 10603.00 10616.00 10591.00
1/9/2006 10628.00 10641.00 10622.00
1/10/2006 10623.00 10635.00 10611.00
1/11/2006 10669.00 10682.00 10653.00
1/12/2006 10600.00 10613.00 10578.00
1/13/2006 10614.00 10627.00 10585.00
1/14/2006 10614.00 10627.00 10585.00
1/15/2006 10614.00 10627.00 10585.00
1/16/2006 10614.00 10627.00 10585.00
1/17/2006 10572.00 10586.00 10534.00
1/18/2006 10508.00 10521.00 10491.00
1/19/2006 10544.00 10557.00 10549.00
1/20/2006 10311.00 10324.00 10350.00
1/21/2006 10311.00 10324.00 10350.00
1/22/2006 10311.00 10324.00 10350.00
1/23/2006 10321.00 10334.00 10369.00
1/24/2006 10325.00 10338.00 10369.00
1/25/2006 10323.00 10336.00 10369.00
1/26/2006 10370.00 10383.00 10433.00
1/27/2006 10461.00 10476.00 10519.00
1/28/2006 10461.00 10476.00 10519.00
1/29/2006 10461.00 10476.00 10519.00
1/30/2006 10475.00 10490.00 10535.00
1/31/2006 10424.00 10439.00 10482.00
2/1/2006 10450.00 10465.00 10518.00
2/2/2006 10364.00 10378.00 10424.00
2/3/2006 10298.00 10312.00 10372.00
2/4/2006 10298.00 10312.00 10372.00
2/5/2006 10298.00 10312.00 10372.00
2/6/2006 10284.00 10298.00 10378.00
2/7/2006 10219.00 10232.00 10309.00
2/8/2006 10345.00 10360.00 10430.00
2/9/2006 10342.00 10356.00 10428.00
2/10/2006 10369.00 10384.00 10460.00
2/11/2006 10369.00 10384.00 10460.00
2/12/2006 10369.00 10384.00 10460.00
2/13/2006 10330.00 10344.00 10429.00
2/14/2006 10430.00 10445.00 10529.00
2/15/2006 10465.00 10479.00 10570.00
2/16/2006 10531.00 10546.00 10632.00
2/17/2006 10517.00 10532.00 10618.00
2/18/2006 10517.00 10532.00 10618.00
2/19/2006 10517.00 10532.00 10618.00
2/20/2006 10517.00 10532.00 10618.00
2/21/2006 10471.00 10487.00 10579.00
2/22/2006 10533.00 10548.00 10633.00
2/23/2006 10498.00 10513.00 10590.00
2/24/2006 10511.00 10527.00 10602.00
2/25/2006 10511.00 10527.00 10602.00
2/26/2006 10511.00 10527.00 10602.00
2/27/2006 10562.00 10578.00 10647.00
2/28/2006 10457.00 10472.00 10550.00
3/1/2006 10535.00 10551.00 10635.00
3/2/2006 10502.00 10519.00 10612.00
3/3/2006 10489.00 10505.00 10611.00
3/4/2006 10489.00 10505.00 10611.00
3/5/2006 10489.00 10505.00 10611.00
3/6/2006 10435.00 10451.00 10555.00
3/7/2006 10448.00 10464.00 10552.00
3/8/2006 10482.00 10499.00 10584.00
3/9/2006 10419.00 10435.00 10536.00
3/10/2006 10491.00 10507.00 10620.00
3/11/2006 10491.00 10507.00 10620.00
3/12/2006 10491.00 10507.00 10620.00
3/13/2006 10507.00 10522.00 10635.00
3/14/2006 10589.00 10607.00 10723.00
3/15/2006 10620.00 10638.00 10761.00
3/16/2006 10638.00 10656.00 10779.00
3/17/2006 10657.00 10674.00 10793.00
3/18/2006 10657.00 10674.00 10793.00
3/19/2006 10657.00 10674.00 10793.00
3/20/2006 10663.00 10681.00 10792.00
3/21/2006 10614.00 10631.00 10746.00
3/22/2006 10675.00 10693.00 10817.00
3/23/2006 10629.00 10647.00 10775.00
3/24/2006 10637.00 10656.00 10781.00
3/25/2006 10637.00 10656.00 10781.00
3/26/2006 10637.00 10656.00 10781.00
3/27/2006 10621.00 10640.00 10769.00
3/28/2006 10530.00 10548.00 10681.00
3/29/2006 10597.00 10616.00 10748.00
3/30/2006 10582.00 10601.00 10737.00
3/31/2006 10536.00 10555.00 10691.00
4/1/2006 10536.00 10555.00 10691.00
4/2/2006 10536.00 10555.00 10691.00
4/3/2006 10565.00 10585.00 10721.00
4/4/2006 10626.00 10647.00 10787.00
4/5/2006 10653.00 10674.00 10822.00
4/6/2006 10613.00 10633.00 10793.00
4/7/2006 10507.00 10527.00 10680.00
4/8/2006 10507.00 10527.00 10680.00
4/9/2006 10507.00 10527.00 10680.00
4/10/2006 10523.00 10544.00 10698.00
4/11/2006 10464.00 10483.00 10625.00
4/12/2006 10467.00 10486.00 10631.00
4/13/2006 10472.00 10492.00 10641.00
4/14/2006 10472.00 10492.00 10641.00
4/15/2006 10472.00 10492.00 10641.00
4/16/2006 10472.00 10492.00 10641.00
4/17/2006 10421.00 10441.00 10604.00
4/18/2006 10577.00 10599.00 10781.00
4/19/2006 10564.00 10585.00 10786.00
4/20/2006 10572.00 10593.00 10805.00
4/21/2006 10579.00 10601.00 10801.00
4/22/2006 10579.00 10601.00 10801.00
4/23/2006 10579.00 10601.00 10801.00
4/24/2006 10558.00 10580.00 10782.00
4/25/2006 10531.00 10552.00 10748.00
4/26/2006 10571.00 10592.00 10795.00
4/27/2006 10660.00 10682.00 10862.00
4/28/2006 10667.00 10689.00 10856.00
4/29/2006 10667.00 10689.00 10856.00
4/30/2006 10667.00 10689.00 10856.00
5/1/2006 10610.00 10633.00 10812.00
5/2/2006 10651.00 10674.00 10878.00
5/3/2006 10597.00 10619.00 10831.00
5/4/2006 10630.00 10653.00 10874.00
5/5/2006 10734.00 10758.00 10990.00
5/6/2006 10734.00 10758.00 10990.00
5/7/2006 10734.00 10758.00 10990.00
5/8/2006 10712.00 10736.00 10989.00
5/9/2006 10720.00 10743.00 11006.00
5/10/2006 10696.00 10719.00 10979.00
5/11/2006 10572.00 10595.00 10849.00
5/12/2006 10488.00 10511.00 10739.00
5/13/2006 10488.00 10511.00 10739.00
5/14/2006 10488.00 10511.00 10739.00
5/15/2006 10554.00 10578.00 10785.00
5/16/2006 10556.00 10579.00 10778.00
5/17/2006 10392.00 10415.00 10596.00
5/18/2006 10330.00 10352.00 10536.00
5/19/2006 10351.00 10374.00 10566.00
5/20/2006 10351.00 10374.00 10566.00
5/21/2006 10351.00 10374.00 10566.00
5/22/2006 10337.00 10360.00 10544.00
5/23/2006 10303.00 10326.00 10508.00
5/24/2006 10342.00 10365.00 10540.00
5/25/2006 10444.00 10469.00 10646.00
5/26/2006 10497.00 10521.00 10707.00
5/27/2006 10497.00 10521.00 10707.00
5/28/2006 10497.00 10521.00 10707.00
5/29/2006 10497.00 10521.00 10707.00
5/30/2006 10332.00 10356.00 10539.00
5/31/2006 10393.00 10417.00 10618.00
6/1/2006 10511.00 10535.00 10728.00
6/2/2006 10537.00 10561.00 10750.00
6/3/2006 10537.00 10561.00 10750.00
6/4/2006 10537.00 10561.00 10750.00
6/5/2006 10370.00 10393.00 10570.00
6/6/2006 10378.00 10401.00 10568.00
6/7/2006 10329.00 10352.00 10506.00
6/8/2006 10353.00 10377.00 10524.00
6/9/2006 10290.00 10313.00 10465.00
6/10/2006 10290.00 10313.00 10465.00
6/11/2006 10290.00 10313.00 10465.00
6/12/2006 10202.00 10225.00 10360.00
6/13/2006 10110.00 10132.00 10250.00
6/14/2006 10158.00 10180.00 10309.00
6/15/2006 10318.00 10341.00 10496.00
6/16/2006 10290.00 10314.00 10470.00
6/17/2006 10290.00 10314.00 10470.00
6/18/2006 10290.00 10314.00 10470.00
6/19/2006 10222.00 10245.00 10393.00
6/20/2006 10233.00 10257.00 10396.00
6/21/2006 10308.00 10332.00 10488.00
6/22/2006 10259.00 10282.00 10439.00
6/23/2006 10222.00 10245.00 10415.00
6/24/2006 10222.00 10245.00 10415.00
6/25/2006 10222.00 10245.00 10415.00
6/26/2006 10275.00 10300.00 10466.00
6/27/2006 10207.00 10230.00 10385.00
6/28/2006 10280.00 10304.00 10442.00
6/29/2006 10472.00 10498.00 10650.00
6/30/2006 10409.00 10434.00 10601.00
7/1/2006 10409.00 10434.00 10601.00
7/2/2006 10409.00 10434.00 10601.00
7/3/2006 10506.00 10534.00 10698.00
7/4/2006 10506.00 10534.00 10698.00
7/5/2006 10462.00 10489.00 10646.00
7/6/2006 10524.00 10552.00 10693.00
7/7/2006 10468.00 10495.00 10629.00
7/8/2006 10468.00 10495.00 10629.00
7/9/2006 10468.00 10495.00 10629.00
7/10/2006 10478.00 10505.00 10647.00
7/11/2006 10510.00 10537.00 10685.00
7/12/2006 10388.00 10414.00 10563.00
7/13/2006 10270.00 10295.00 10437.00
7/14/2006 10218.00 10243.00 10387.00
7/15/2006 10218.00 10243.00 10387.00
7/16/2006 10218.00 10243.00 10387.00
7/17/2006 10211.00 10236.00 10374.00
7/18/2006 10260.00 10285.00 10406.00
7/19/2006 10449.00 10476.00 10602.00
7/20/2006 10379.00 10406.00 10529.00
7/21/2006 10344.00 10370.00 10484.00
7/22/2006 10344.00 10370.00 10484.00
7/23/2006 10344.00 10370.00 10484.00
7/24/2006 10512.00 10540.00 10652.00
7/25/2006 10563.00 10592.00 10700.00
7/26/2006 10585.00 10613.00 10704.00
7/27/2006 10582.00 10611.00 10686.00
7/28/2006 10705.00 10736.00 10808.00
7/29/2006 10705.00 10736.00 10808.00
7/30/2006 10705.00 10736.00 10808.00
7/31/2006 10676.00 10706.00 10782.00
8/1/2006 10641.00 10670.00 10737.00
8/2/2006 10698.00 10728.00 10799.00
8/3/2006 10698.00 10728.00 10805.00
8/4/2006 10709.00 10739.00 10796.00
8/5/2006 10709.00 10739.00 10796.00
8/6/2006 10709.00 10739.00 10796.00
8/7/2006 10681.00 10711.00 10774.00
8/8/2006 10664.00 10694.00 10744.00
8/9/2006 10649.00 10678.00 10717.00
8/10/2006 10678.00 10708.00 10768.00
8/11/2006 10657.00 10688.00 10742.00
8/12/2006 10657.00 10688.00 10742.00
8/13/2006 10657.00 10688.00 10742.00
8/14/2006 10673.00 10703.00 10764.00
8/15/2006 10791.00 10822.00 10889.00
8/16/2006 10850.00 10883.00 10961.00
8/17/2006 10868.00 10901.00 10978.00
8/18/2006 10933.00 10965.00 11040.00
8/19/2006 10933.00 10965.00 11040.00
8/20/2006 10933.00 10965.00 11040.00
8/21/2006 10912.00 10944.00 11011.00
8/22/2006 10918.00 10952.00 11017.00
8/23/2006 10894.00 10926.00 10985.00
8/24/2006 10939.00 10971.00 11009.00
8/25/2006 10931.00 10963.00 11004.00
8/26/2006 10931.00 10963.00 11004.00
8/27/2006 10931.00 10963.00 11004.00
8/28/2006 10986.00 11020.00 11054.00
8/29/2006 10997.00 11030.00 11073.00
8/30/2006 11002.00 11035.00 11075.00
8/31/2006 10978.00 11010.00 11060.00
9/1/2006 11040.00 11074.00 11126.00
9/2/2006 11040.00 11074.00 11126.00
9/3/2006 11040.00 11074.00 11126.00
9/4/2006 11040.00 11074.00 11126.00
9/5/2006 11043.00 11077.00 11135.00
9/6/2006 10956.00 10990.00 11047.00
9/7/2006 10906.00 10940.00 10998.00
9/8/2006 10932.00 10965.00 11033.00
9/9/2006 10932.00 10965.00 11033.00
9/10/2006 10932.00 10965.00 11033.00
9/11/2006 10941.00 10974.00 11040.00
9/12/2006 11038.00 11072.00 11140.00
9/13/2006 11069.00 11104.00 11179.00
9/14/2006 11073.00 11109.00 11173.00
9/15/2006 11093.00 11128.00 11195.00
9/16/2006 11093.00 11128.00 11195.00
9/17/2006 11093.00 11128.00 11195.00
9/18/2006 11107.00 11142.00 11217.00
9/19/2006 11102.00 11137.00 11204.00
9/20/2006 11173.00 11209.00 11275.00
9/21/2006 11129.00 11165.00 11223.00
9/22/2006 11109.00 11145.00 11207.00
9/23/2006 11109.00 11145.00 11207.00
9/24/2006 11109.00 11145.00 11207.00
9/25/2006 11194.00 11230.00 11302.00
9/26/2006 11278.00 11316.00 11399.00
9/27/2006 11277.00 11315.00 11410.00
9/28/2006 11290.00 11327.00 11433.00
9/29/2006 11270.00 11307.00 11405.00
9/30/2006 11270.00 11307.00 11405.00
10/1/2006 11270.00 11307.00 11405.00
10/2/2006 11243.00 11280.00 11390.00
10/3/2006 11290.00 11328.00 11431.00
10/4/2006 11422.00 11461.00 11562.00
10/5/2006 11422.00 11461.00 11571.00
10/6/2006 11416.00 11455.00 11551.00
10/7/2006 11416.00 11455.00 11551.00
10/8/2006 11416.00 11455.00 11551.00
10/9/2006 11416.00 11455.00 11549.00
10/10/2006 11437.00 11476.00 11573.00
10/11/2006 11411.00 11451.00 11545.00
10/12/2006 11508.00 11549.00 11643.00
10/13/2006 11524.00 11565.00 11664.00
10/14/2006 11524.00 11565.00 11664.00
10/15/2006 11524.00 11565.00 11664.00
10/16/2006 11519.00 11561.00 11682.00
10/17/2006 11495.00 11535.00 11649.00
10/18/2006 11533.00 11574.00 11678.00
10/19/2006 11547.00 11588.00 11679.00
10/20/2006 11615.00 11656.00 11711.00
10/21/2006 11615.00 11656.00 11711.00
10/22/2006 11615.00 11656.00 11711.00
10/23/2006 11686.00 11728.00 11783.00
10/24/2006 11664.00 11707.00 11781.00
10/25/2006 11713.00 11757.00 11831.00
10/26/2006 11761.00 11805.00 11884.00
10/27/2006 11676.00 11719.00 11795.00
10/28/2006 11676.00 11719.00 11795.00
10/29/2006 11676.00 11719.00 11795.00
10/30/2006 11660.00 11703.00 11790.00
10/31/2006 11659.00 11702.00 11795.00
11/1/2006 11587.00 11630.00 11730.00
11/2/2006 11598.00 11641.00 11732.00
11/3/2006 11586.00 11630.00 11710.00
11/4/2006 11586.00 11630.00 11710.00
11/5/2006 11586.00 11630.00 11710.00
11/6/2006 11717.00 11760.00 11843.00
11/7/2006 11748.00 11792.00 11870.00
11/8/2006 11770.00 11814.00 11897.00
11/9/2006 11713.00 11757.00 11851.00
11/10/2006 11724.00 11767.00 11863.00
11/11/2006 11724.00 11767.00 11863.00
11/12/2006 11724.00 11767.00 11863.00
11/13/2006 11752.00 11796.00 11891.00
11/14/2006 11832.00 11877.00 11964.00
11/15/2006 11838.00 11883.00 11979.00
11/16/2006 11865.00 11910.00 12014.00
11/17/2006 11907.00 11953.00 12042.00
11/18/2006 11907.00 11953.00 12042.00
11/19/2006 11907.00 11953.00 12042.00
11/20/2006 11897.00 11943.00 12031.00
11/21/2006 11902.00 11948.00 12044.00
11/22/2006 11911.00 11956.00 12060.00
11/23/2006 11911.00 11956.00 12060.00
11/24/2006 11857.00 11903.00 12008.00
11/25/2006 11857.00 11903.00 12008.00
11/26/2006 11857.00 11903.00 12008.00
11/27/2006 11713.00 11757.00 11858.00
11/28/2006 11761.00 11806.00 11907.00
11/29/2006 11865.00 11911.00 12010.00
11/30/2006 11863.00 11909.00 12001.00
12/1/2006 11842.00 11889.00 11977.00
12/2/2006 11842.00 11889.00 11977.00
12/3/2006 11842.00 11889.00 11977.00
12/4/2006 11905.00 11952.00 12048.00
12/5/2006 11947.00 11994.00 12083.00
12/6/2006 11925.00 11972.00 12060.00
12/7/2006 11891.00 11938.00 12020.00
12/8/2006 11934.00 11981.00 12052.00
12/9/2006 11934.00 11981.00 12052.00
12/10/2006 11934.00 11981.00 12052.00
12/11/2006 11975.00 12023.00 12089.00
12/12/2006 11982.00 12031.00 12089.00
12/13/2006 12000.00 12049.00 12114.00
12/14/2006 12108.00 12157.00 12229.00
12/15/2006 12143.00 12192.00 12255.00
12/16/2006 12143.00 12192.00 12255.00
12/17/2006 12143.00 12192.00 12255.00
12/18/2006 12139.00 12189.00 12242.00
12/19/2006 12167.00 12218.00 12269.00
12/20/2006 12142.00 12191.00 12244.00
12/21/2006 12106.00 12155.00 12204.00
12/22/2006 12034.00 12083.00 12136.00
12/23/2006 12034.00 12083.00 12136.00
12/24/2006 12034.00 12083.00 12136.00
12/25/2006 12034.00 12083.00 12136.00
12/26/2006 12098.00 12147.00 12199.00
12/27/2006 12188.00 12238.00 12290.00
12/28/2006 12181.00 12231.00 12276.00
12/29/2006 12123.00 12172.00 12216.00
12/30/2006 12123.00 12172.00 12216.00
12/31/2006 12123.00 12172.00 12216.00
1/1/2007 12123.00 12172.00 12216.00
1/2/2007 12123.00 12172.00 12216.00
1/3/2007 12125.00 12174.00 12218.00
1/4/2007 12160.00 12209.00 12231.00
1/5/2007 12101.00 12151.00 12166.00
1/6/2007 12101.00 12151.00 12166.00
1/7/2007 12101.00 12151.00 12166.00
1/8/2007 12136.00 12186.00 12202.00
1/9/2007 12108.00 12158.00 12179.00
1/10/2007 12115.00 12164.00 12188.00
1/11/2007 12181.00 12232.00 12249.00
1/12/2007 12259.00 12310.00 12324.00
1/13/2007 12259.00 12310.00 12324.00
1/14/2007 12259.00 12310.00 12324.00
1/15/2007 12259.00 12310.00 12324.00
1/16/2007 12259.00 12311.00 12331.00
1/17/2007 12238.00 12290.00 12317.00
1/18/2007 12220.00 12271.00 12296.00
1/19/2007 12228.00 12279.00 12321.00
1/20/2007 12228.00 12279.00 12321.00
1/21/2007 12228.00 12279.00 12321.00
1/22/2007 12173.00 12225.00 12266.00
1/23/2007 12184.00 12236.00 12298.00
1/24/2007 12304.00 12356.00 12406.00
1/25/2007 12144.00 12195.00 12246.00
1/26/2007 12115.00 12166.00 12228.00
1/27/2007 12115.00 12166.00 12228.00
1/28/2007 12115.00 12166.00 12228.00
1/29/2007 12092.00 12143.00 12213.00
1/30/2007 12144.00 12195.00 12273.00
1/31/2007 12214.00 12266.00 12349.00
2/1/2007 12241.00 12293.00 12393.00
2/2/2007 12245.00 12298.00 12406.00
2/3/2007 12245.00 12298.00 12406.00
2/4/2007 12245.00 12298.00 12406.00
2/5/2007 12237.00 12290.00 12401.00
2/6/2007 12214.00 12266.00 12395.00
2/7/2007 12216.00 12269.00 12396.00
2/8/2007 12192.00 12245.00 12372.00
2/9/2007 12107.00 12159.00 12298.00
2/10/2007 12107.00 12159.00 12298.00
2/11/2007 12107.00 12159.00 12298.00
2/12/2007 12068.00 12120.00 12258.00
2/13/2007 12151.00 12203.00 12349.00
2/14/2007 12236.00 12289.00 12434.00
2/15/2007 12238.00 12292.00 12427.00
2/16/2007 12223.00 12276.00 12411.00
2/17/2007 12223.00 12276.00 12411.00
2/18/2007 12223.00 12276.00 12411.00
2/19/2007 12223.00 12276.00 12411.00
2/20/2007 12243.00 12297.00 12433.00
2/21/2007 12204.00 12257.00 12403.00
2/22/2007 12182.00 12236.00 12386.00
2/23/2007 12124.00 12177.00 12328.00
2/24/2007 12124.00 12177.00 12328.00
2/25/2007 12124.00 12177.00 12328.00
2/26/2007 12107.00 12160.00 12319.00
2/27/2007 11675.00 11720.00 11880.00
2/28/2007 11758.00 11806.00 11960.00
3/1/2007 11726.00 11775.00 11928.00
3/2/2007 11613.00 11661.00 11803.00
3/3/2007 11613.00 11661.00 11803.00
3/4/2007 11613.00 11661.00 11803.00
3/5/2007 11529.00 11575.00 11714.00
3/6/2007 11699.00 11748.00 11891.00
3/7/2007 11665.00 11713.00 11860.00
3/8/2007 11729.00 11778.00 11937.00
3/9/2007 11723.00 11772.00 11940.00
3/10/2007 11723.00 11772.00 11940.00
3/11/2007 11723.00 11772.00 11940.00
3/12/2007 11747.00 11797.00 11973.00
3/13/2007 11531.00 11578.00 11735.00
3/14/2007 11613.00 11661.00 11810.00
3/15/2007 11637.00 11685.00 11840.00
3/16/2007 11583.00 11632.00 11788.00
3/17/2007 11583.00 11632.00 11788.00
3/18/2007 11583.00 11632.00 11788.00
3/19/2007 11708.00 11758.00 11913.00
3/20/2007 11784.00 11835.00 11988.00
3/21/2007 11992.00 12046.00 12189.00
3/22/2007 12008.00 12062.00 12199.00
3/23/2007 11991.00 12044.00 12198.00
3/24/2007 11991.00 12044.00 12198.00
3/25/2007 11991.00 12044.00 12198.00
3/26/2007 12010.00 12064.00 12215.00
3/27/2007 11940.00 11992.00 12144.00
3/28/2007 11848.00 11899.00 12049.00
3/29/2007 11899.00 11951.00 12106.00
3/30/2007 11886.00 11937.00 12087.00
3/31/2007 11886.00 11937.00 12087.00
4/1/2007 11886.00 11937.00 12087.00
4/2/2007 11898.00 11953.00 12101.00
4/3/2007 12016.00 12074.00 12216.00
4/4/2007 12040.00 12100.00 12237.00
4/5/2007 12079.00 12139.00 12279.00
4/6/2007 12079.00 12139.00 12279.00
4/7/2007 12079.00 12139.00 12279.00
4/8/2007 12079.00 12139.00 12279.00
4/9/2007 12070.00 12130.00 12287.00
4/10/2007 12109.00 12170.00 12323.00
4/11/2007 12037.00 12096.00 12251.00
4/12/2007 12107.00 12168.00 12330.00
4/13/2007 12164.00 12227.00 12385.00
4/14/2007 12164.00 12227.00 12385.00
4/15/2007 12164.00 12227.00 12385.00
4/16/2007 12287.00 12351.00 12509.00
4/17/2007 12321.00 12386.00 12538.00
4/18/2007 12330.00 12395.00 12548.00
4/19/2007 12316.00 12382.00 12546.00
4/20/2007 12443.00 12511.00 12674.00
4/21/2007 12443.00 12511.00 12674.00
4/22/2007 12443.00 12511.00 12674.00
4/23/2007 12375.00 12441.00 12614.00
4/24/2007 12352.00 12419.00 12606.00
4/25/2007 12481.00 12550.00 12742.00
4/26/2007 12469.00 12538.00 12729.00
4/27/2007 12486.00 12554.00 12743.00
4/28/2007 12486.00 12554.00 12743.00
4/29/2007 12486.00 12554.00 12743.00
4/30/2007 12436.00 12503.00 12673.00
5/1/2007 12483.00 12552.00 12721.00
5/2/2007 12541.00 12610.00 12783.00
5/3/2007 12605.00 12675.00 12844.00
5/4/2007 12629.00 12700.00 12874.00
5/5/2007 12629.00 12700.00 12874.00
5/6/2007 12629.00 12700.00 12874.00
5/7/2007 12657.00 12727.00 12908.00
5/8/2007 12644.00 12714.00 12896.00
5/9/2007 12657.00 12728.00 12926.00
5/10/2007 12478.00 12547.00 12749.00
5/11/2007 12600.00 12670.00 12867.00
5/12/2007 12600.00 12670.00 12867.00
5/13/2007 12600.00 12670.00 12867.00
5/14/2007 12578.00 12649.00 12854.00
5/15/2007 12567.00 12637.00 12853.00
5/16/2007 12712.00 12783.00 12984.00
5/17/2007 12691.00 12763.00 12971.00
5/18/2007 12780.00 12852.00 13058.00
5/19/2007 12780.00 12852.00 13058.00
5/20/2007 12780.00 12852.00 13058.00
5/21/2007 12795.00 12868.00 13060.00
5/22/2007 12789.00 12861.00 13045.00
5/23/2007 12773.00 12846.00 13043.00
5/24/2007 12678.00 12750.00 12942.00
5/25/2007 12747.00 12819.00 13013.00
5/26/2007 12747.00 12819.00 13013.00
5/27/2007 12747.00 12819.00 13013.00
5/28/2007 12747.00 12819.00 13013.00
5/29/2007 12761.00 12835.00 13023.00
5/30/2007 12851.00 12924.00 13127.00
5/31/2007 12828.00 12902.00 13117.00
6/1/2007 12867.00 12941.00 13160.00
6/2/2007 12867.00 12941.00 13160.00
6/3/2007 12867.00 12941.00 13160.00
6/4/2007 12878.00 12952.00 13176.00
6/5/2007 12819.00 12893.00 13116.00
6/6/2007 12714.00 12787.00 13012.00
6/7/2007 12508.00 12578.00 12802.00
6/8/2007 12644.00 12715.00 12947.00
6/9/2007 12644.00 12715.00 12947.00
6/10/2007 12644.00 12715.00 12947.00
6/11/2007 12656.00 12729.00 12959.00
6/12/2007 12521.00 12590.00 12818.00
6/13/2007 12696.00 12769.00 13006.00
6/14/2007 12760.00 12834.00 13077.00
6/15/2007 12838.00 12913.00 13165.00
6/16/2007 12838.00 12913.00 13165.00
6/17/2007 12838.00 12913.00 13165.00
6/18/2007 12819.00 12894.00 13158.00
6/19/2007 12854.00 12929.00 13189.00
6/20/2007 12696.00 12768.00 13020.00
6/21/2007 12759.00 12833.00 13100.00
6/22/2007 12550.00 12621.00 12913.00
6/23/2007 12550.00 12621.00 12913.00
6/24/2007 12550.00 12621.00 12913.00
6/25/2007 12537.00 12607.00 12893.00
6/26/2007 12513.00 12583.00 12858.00
6/27/2007 12621.00 12693.00 12975.00
6/28/2007 12624.00 12696.00 12973.00
6/29/2007 12600.00 12671.00 12953.00
6/30/2007 12600.00 12671.00 12953.00
7/1/2007 12600.00 12671.00 12953.00
7/2/2007 12578.00 12784.00 13079.00
7/3/2007 12792.00 12865.00 13147.00
7/4/2007 12792.00 12865.00 13147.00
7/5/2007 12788.00 12862.00 13145.00
7/6/2007 12816.00 12890.00 13182.00
7/7/2007 12816.00 12890.00 13182.00
7/8/2007 12816.00 12890.00 13182.00
7/9/2007 12832.00 12906.00 13202.00
7/10/2007 12667.00 12740.00 13027.00
7/11/2007 12752.00 12825.00 13110.00
7/12/2007 13015.00 13092.00 13375.00
7/13/2007 13056.00 13134.00 13420.00
7/14/2007 13056.00 13134.00 13420.00
7/15/2007 13056.00 13134.00 13420.00
7/16/2007 13062.00 13139.00 13417.00
7/17/2007 13060.00 13137.00 13421.00
7/18/2007 13014.00 13091.00 13380.00
7/19/2007 13068.00 13144.00 13440.00
7/20/2007 12928.00 13004.00 13287.00
7/21/2007 12928.00 13004.00 13287.00
7/22/2007 12928.00 13004.00 13287.00
7/23/2007 13020.00 13097.00 13378.00
7/24/2007 12790.00 12863.00 13124.00
7/25/2007 12893.00 12968.00 13213.00
7/26/2007 12618.00 12691.00 12912.00
7/27/2007 12422.00 12492.00 12713.00
7/28/2007 12422.00 12492.00 12713.00
7/29/2007 12422.00 12492.00 12713.00
7/30/2007 12518.00 12590.00 12824.00
7/31/2007 12346.00 12415.00 12650.00
8/1/2007 12457.00 12528.00 12765.00
8/2/2007 12502.00 12573.00 12820.00
8/3/2007 12212.00 12278.00 12501.00
8/4/2007 12212.00 12278.00 12501.00
8/5/2007 12212.00 12278.00 12501.00
8/6/2007 12513.00 12583.00 12805.00
8/7/2007 12581.00 12653.00 12883.00
8/8/2007 12787.00 12862.00 13084.00
8/9/2007 12394.00 12464.00 12672.00
8/10/2007 12376.00 12445.00 12665.00
8/11/2007 12376.00 12445.00 12665.00
8/12/2007 12376.00 12445.00 12665.00
8/13/2007 12349.00 12417.00 12646.00
8/14/2007 12164.00 12230.00 12449.00
8/15/2007 12036.00 12098.00 12300.00
8/16/2007 12086.00 12150.00 12347.00
8/17/2007 12388.00 12457.00 12652.00
8/18/2007 12388.00 12457.00 12652.00
8/19/2007 12388.00 12457.00 12652.00
8/20/2007 12365.00 12434.00 12644.00
8/21/2007 12351.00 12421.00 12639.00
8/22/2007 12468.00 12539.00 12779.00
8/23/2007 12489.00 12559.00 12790.00
8/24/2007 12629.00 12703.00 12935.00
8/25/2007 12629.00 12703.00 12935.00
8/26/2007 12629.00 12703.00 12935.00
8/27/2007 12556.00 12627.00 12846.00
8/28/2007 12278.00 12346.00 12551.00
8/29/2007 12535.00 12606.00 12818.00
8/30/2007 12490.00 12560.00 12770.00
8/31/2007 12617.00 12689.00 12902.00
9/1/2007 12617.00 12689.00 12902.00
9/2/2007 12617.00 12689.00 12902.00
9/3/2007 12617.00 12689.00 12902.00
9/4/2007 12748.00 12821.00 13029.00
9/5/2007 12618.00 12690.00 12894.00
9/6/2007 12653.00 12726.00 12939.00
9/7/2007 12457.00 12528.00 12729.00
9/8/2007 12457.00 12528.00 12729.00
9/9/2007 12457.00 12528.00 12729.00
9/10/2007 12466.00 12537.00 12735.00
9/11/2007 12639.00 12712.00 12916.00
9/12/2007 12654.00 12728.00 12934.00
9/13/2007 12765.00 12840.00 13058.00
9/14/2007 12748.00 12824.00 13047.00
9/15/2007 12748.00 12824.00 13047.00
9/16/2007 12748.00 12824.00 13047.00
9/17/2007 12692.00 12767.00 12985.00
9/18/2007 13024.00 13106.00 13341.00
9/19/2007 13081.00 13164.00 13407.00
9/20/2007 13029.00 13110.00 13341.00
9/21/2007 13097.00 13181.00 13408.00
9/22/2007 13097.00 13181.00 13408.00
9/23/2007 13097.00 13181.00 13408.00
9/24/2007 13034.00 13117.00 13348.00
9/25/2007 13045.00 13127.00 13355.00
9/26/2007 13103.00 13186.00 13423.00
9/27/2007 13145.00 13229.00 13469.00
9/28/2007 13105.00 13189.00 13432.00
9/29/2007 13105.00 13189.00 13432.00
9/30/2007 13105.00 13189.00 13432.00
10/1/2007 13281.00 13366.00 13606.00
10/2/2007 13267.00 13351.00 13602.00
10/3/2007 13204.00 13288.00 13534.00
10/4/2007 13222.00 13306.00 13550.00
10/5/2007 13324.00 13409.00 13655.00
10/6/2007 13324.00 13409.00 13655.00
10/7/2007 13324.00 13409.00 13655.00
10/8/2007 13287.00 13373.00 13622.00
10/9/2007 13387.00 13472.00 13729.00
10/10/2007 13360.00 13446.00 13697.00
10/11/2007 13293.00 13379.00 13639.00
10/12/2007 13335.00 13421.00 13693.00
10/13/2007 13335.00 13421.00 13693.00
10/14/2007 13335.00 13421.00 13693.00
10/15/2007 13252.00 13337.00 13586.00
10/16/2007 13174.00 13259.00 13505.00
10/17/2007 13219.00 13304.00 13543.00
10/18/2007 13182.00 13268.00 13517.00
10/19/2007 12872.00 12954.00 13178.00
10/20/2007 12872.00 12954.00 13178.00
10/21/2007 12872.00 12954.00 13178.00
10/22/2007 12914.00 12997.00 13222.00
10/23/2007 13038.00 13122.00 13340.00
10/24/2007 13007.00 13091.00 13321.00
10/25/2007 12953.00 13036.00 13298.00
10/26/2007 13154.00 13239.00 13497.00
10/27/2007 13154.00 13239.00 13497.00
10/28/2007 13154.00 13239.00 13497.00
10/29/2007 13221.00 13306.00 13565.00
10/30/2007 13142.00 13227.00 13486.00
10/31/2007 13287.00 13374.00 13635.00
</Table>
AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED OCTOBER 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
SINCE INCEPTION
ONE YEAR (05/04/05)
-------- ---------------
RYDEX RUSSELL TOP 50 ETF.......................................... 13.96% 12.08%
RUSSELL TOP 50 TOTAL RETURN INDEX................................. 14.29% 12.37%
S&P 100 TOTAL RETURN INDEX........................................ 15.60% 13.24%
</Table>
The returns presented above do not reflect the effect of taxes. Index returns
represent total returns. Past performance is not guarantee of future results.
6
Rydex Russell Top 50 ETF
PORTFOLIO SUMMARY As of October 31, 2007
- --------------------------------------------------------------------------------
TOP 10 HOLDINGS*
- --------------------------------------------------------------------------------
<Table>
<Caption>
DESCRIPTION % OF NET ASSETS
- ------------------------------------------------------------------------------------
EXXON MOBIL CORP. 7.74%
GENERAL ELECTRIC CO. 6.32%
MICROSOFT CORP. 4.51%
AT&T, INC. 3.85%
PROCTER & GAMBLE CO. 3.27%
BANK OF AMERICA CORP. 3.20%
CITIGROUP, INC. 3.09%
CISCO SYSTEMS, INC. 2.99%
CHEVRON CORP. 2.93%
JOHNSON & JOHNSON 2.82%
- ------------------------------------------------------------------------------------
</Table>
SECTOR ALLOCATIONS*
(PIE CHART)
<Table>
Information Technology Financials Energy Health Care Consumer Staples
21.82 18.48 14.50 13.11 11.15
</Table>
<Table>
Information Technology Industrials Telecommunication Services Consumer Discretionary
21.82 9.71 6.58 4.65
</Table>
* The Fund's Top 10 Holdings are expressed as a percentage of net assets and the
Sector Allocations are expressed as a percentage of the Fund's investments
market value. These percentages may change over time.
7 ANNUAL REPORT
RYDEX S&P 500 PURE VALUE ETF
MANAGER'S ANALYSIS
- --------------------------------------------------------------------------------
For the year ended October 31, 2007, Rydex S&P 500 Pure Value ETF returned
7.79%. Over the year its benchmark, the S&P 500/Citigroup Pure Value Total
Return Index turned in a 8.19% return, underperforming its counterpart index,
the S&P 500 Value Total Return Index which posted a 13.55% gain.
In the first half of the fiscal year, Rydex S&P 500 Pure Value ETF enjoyed
significant outperformance over its growth counterpart. During the summer the
markets experienced a shift from value to growth, which negatively impacted this
ETF's performance. Overall, as large-cap stocks did well for the year, the bias
towards large caps helped the ETF's performance. Sectors negatively impacting
returns included information technology and energy.
CUMULATIVE FUND PERFORMANCE: MARCH 1, 2006 - OCTOBER 31, 2007
(PERFORMANCE GRAPH)
<Table>
<Caption>
S&P 500/CITIGROUP
RYDEX S&P PURE VALUE S&P 500/CITIGROUP
500 PURE TOTAL RETURN VALUE TOTAL
VALUE ETF(A) INDEX(B) RETURN INDEX(C)
------------ ----------------- -----------------
3/1/2006 10000.00 9998.00 9999.00
3/2/2006 9956.00 9954.00 9984.00
3/3/2006 9936.00 9935.00 9964.00
3/4/2006 9936.00 9935.00 9964.00
3/5/2006 9936.00 9935.00 9964.00
3/6/2006 9869.00 9868.00 9896.00
3/7/2006 9839.00 9835.00 9876.00
3/8/2006 9853.00 9850.00 9886.00
3/9/2006 9823.00 9820.00 9847.00
3/10/2006 9923.00 9920.00 9927.00
3/11/2006 9923.00 9920.00 9927.00
3/12/2006 9923.00 9920.00 9927.00
3/13/2006 9950.00 9948.00 9955.00
3/14/2006 10067.00 10066.00 10069.00
3/15/2006 10124.00 10121.00 10122.00
3/16/2006 10174.00 10173.00 10148.00
3/17/2006 10194.00 10194.00 10159.00
3/18/2006 10194.00 10194.00 10159.00
3/19/2006 10194.00 10194.00 10159.00
3/20/2006 10154.00 10152.00 10132.00
3/21/2006 10100.00 10099.00 10063.00
3/22/2006 10164.00 10162.00 10136.00
3/23/2006 10151.00 10149.00 10110.00
3/24/2006 10167.00 10167.00 10126.00
3/25/2006 10167.00 10167.00 10126.00
3/26/2006 10167.00 10167.00 10126.00
3/27/2006 10171.00 10169.00 10127.00
3/28/2006 10107.00 10107.00 10056.00
3/29/2006 10184.00 10182.00 10141.00
3/30/2006 10110.00 10108.00 10110.00
3/31/2006 10070.00 10068.00 10076.00
4/1/2006 10070.00 10068.00 10076.00
4/2/2006 10070.00 10068.00 10076.00
4/3/2006 10110.00 10107.00 10112.00
4/4/2006 10184.00 10181.00 10189.00
4/5/2006 10241.00 10241.00 10247.00
4/6/2006 10208.00 10206.00 10230.00
4/7/2006 10100.00 10099.00 10124.00
4/8/2006 10100.00 10099.00 10124.00
4/9/2006 10100.00 10099.00 10124.00
4/10/2006 10090.00 10087.00 10130.00
4/11/2006 10007.00 10006.00 10053.00
4/12/2006 10050.00 10050.00 10075.00
4/13/2006 10050.00 10049.00 10082.00
4/14/2006 10050.00 10049.00 10082.00
4/15/2006 10050.00 10049.00 10082.00
4/16/2006 10050.00 10049.00 10082.00
4/17/2006 10044.00 10041.00 10065.00
4/18/2006 10241.00 10242.00 10262.00
4/19/2006 10278.00 10278.00 10279.00
4/20/2006 10311.00 10310.00 10297.00
4/21/2006 10308.00 10309.00 10304.00
4/22/2006 10308.00 10309.00 10304.00
4/23/2006 10308.00 10309.00 10304.00
4/24/2006 10291.00 10291.00 10281.00
4/25/2006 10231.00 10230.00 10221.00
4/26/2006 10308.00 10309.00 10258.00
4/27/2006 10345.00 10346.00 10307.00
4/28/2006 10378.00 10380.00 10357.00
4/29/2006 10378.00 10380.00 10357.00
4/30/2006 10378.00 10380.00 10357.00
5/1/2006 10352.00 10353.00 10312.00
5/2/2006 10439.00 10440.00 10397.00
5/3/2006 10398.00 10401.00 10372.00
5/4/2006 10432.00 10433.00 10415.00
5/5/2006 10542.00 10545.00 10533.00
5/6/2006 10542.00 10545.00 10533.00
5/7/2006 10542.00 10545.00 10533.00
5/8/2006 10566.00 10569.00 10521.00
5/9/2006 10569.00 10572.00 10536.00
5/10/2006 10606.00 10609.00 10534.00
5/11/2006 10465.00 10466.00 10402.00
5/12/2006 10325.00 10326.00 10272.00
5/13/2006 10325.00 10326.00 10272.00
5/14/2006 10325.00 10326.00 10272.00
5/15/2006 10325.00 10327.00 10278.00
5/16/2006 10278.00 10281.00 10265.00
5/17/2006 10094.00 10096.00 10076.00
5/18/2006 10033.00 10033.00 10000.00
5/19/2006 10107.00 10105.00 10054.00
5/20/2006 10107.00 10105.00 10054.00
5/21/2006 10107.00 10105.00 10054.00
5/22/2006 10077.00 10076.00 10013.00
5/23/2006 10020.00 10021.00 9970.00
5/24/2006 10020.00 10020.00 9965.00
5/25/2006 10171.00 10170.00 10081.00
5/26/2006 10268.00 10266.00 10159.00
5/27/2006 10268.00 10266.00 10159.00
5/28/2006 10268.00 10266.00 10159.00
5/29/2006 10268.00 10266.00 10159.00
5/30/2006 10094.00 10092.00 10001.00
5/31/2006 10218.00 10216.00 10103.00
6/1/2006 10362.00 10361.00 10237.00
6/2/2006 10368.00 10367.00 10268.00
6/3/2006 10368.00 10367.00 10268.00
6/4/2006 10368.00 10367.00 10268.00
6/5/2006 10184.00 10184.00 10082.00
6/6/2006 10147.00 10149.00 10060.00
6/7/2006 10090.00 10091.00 9998.00
6/8/2006 10114.00 10115.00 10004.00
6/9/2006 10104.00 10104.00 9965.00
6/10/2006 10104.00 10104.00 9965.00
6/11/2006 10104.00 10104.00 9965.00
6/12/2006 9980.00 9982.00 9837.00
6/13/2006 9853.00 9852.00 9710.00
6/14/2006 9879.00 9877.00 9742.00
6/15/2006 10121.00 10123.00 9974.00
6/16/2006 10070.00 10073.00 9936.00
6/17/2006 10070.00 10073.00 9936.00
6/18/2006 10070.00 10073.00 9936.00
6/19/2006 9980.00 9980.00 9844.00
6/20/2006 9980.00 9980.00 9850.00
6/21/2006 10077.00 10078.00 9947.00
6/22/2006 10057.00 10058.00 9905.00
6/23/2006 10064.00 10067.00 9894.00
6/24/2006 10064.00 10067.00 9894.00
6/25/2006 10064.00 10067.00 9894.00
6/26/2006 10131.00 10133.00 9956.00
6/27/2006 10027.00 10027.00 9866.00
6/28/2006 10084.00 10086.00 9928.00
6/29/2006 10285.00 10291.00 10147.00
6/30/2006 10315.00 10321.00 10137.00
7/1/2006 10315.00 10321.00 10137.00
7/2/2006 10315.00 10321.00 10137.00
7/3/2006 10368.00 10375.00 10226.00
7/4/2006 10368.00 10375.00 10226.00
7/5/2006 10275.00 10279.00 10157.00
7/6/2006 10285.00 10291.00 10179.00
7/7/2006 10248.00 10254.00 10117.00
7/8/2006 10248.00 10254.00 10117.00
7/9/2006 10248.00 10254.00 10117.00
7/10/2006 10295.00 10301.00 10136.00
7/11/2006 10318.00 10326.00 10185.00
7/12/2006 10218.00 10225.00 10079.00
7/13/2006 10057.00 10061.00 9929.00
7/14/2006 10000.00 10004.00 9881.00
7/15/2006 10000.00 10004.00 9881.00
7/16/2006 10000.00 10004.00 9881.00
7/17/2006 9977.00 9982.00 9860.00
7/18/2006 9990.00 9996.00 9884.00
7/19/2006 10154.00 10160.00 10089.00
7/20/2006 10064.00 10070.00 10001.00
7/21/2006 9993.00 10000.00 9922.00
7/22/2006 9993.00 10000.00 9922.00
7/23/2006 9993.00 10000.00 9922.00
7/24/2006 10147.00 10155.00 10083.00
7/25/2006 10241.00 10248.00 10154.00
7/26/2006 10248.00 10254.00 10156.00
7/27/2006 10157.00 10165.00 10121.00
7/28/2006 10268.00 10277.00 10248.00
7/29/2006 10268.00 10277.00 10248.00
7/30/2006 10268.00 10277.00 10248.00
7/31/2006 10264.00 10271.00 10239.00
8/1/2006 10194.00 10202.00 10197.00
8/2/2006 10254.00 10263.00 10260.00
8/3/2006 10315.00 10321.00 10284.00
8/4/2006 10298.00 10307.00 10276.00
8/5/2006 10298.00 10307.00 10276.00
8/6/2006 10298.00 10307.00 10276.00
8/7/2006 10268.00 10277.00 10240.00
8/8/2006 10238.00 10245.00 10196.00
8/9/2006 10167.00 10174.00 10129.00
8/10/2006 10204.00 10212.00 10174.00
8/11/2006 10164.00 10171.00 10134.00
8/12/2006 10164.00 10171.00 10134.00
8/13/2006 10164.00 10171.00 10134.00
8/14/2006 10191.00 10199.00 10139.00
8/15/2006 10328.00 10339.00 10287.00
8/16/2006 10415.00 10427.00 10363.00
8/17/2006 10418.00 10428.00 10374.00
8/18/2006 10432.00 10441.00 10402.00
8/19/2006 10432.00 10441.00 10402.00
8/20/2006 10432.00 10441.00 10402.00
8/21/2006 10375.00 10386.00 10367.00
8/22/2006 10395.00 10406.00 10377.00
8/23/2006 10331.00 10342.00 10334.00
8/24/2006 10328.00 10337.00 10346.00
8/25/2006 10321.00 10332.00 10333.00
8/26/2006 10321.00 10332.00 10333.00
8/27/2006 10321.00 10332.00 10333.00
8/28/2006 10385.00 10397.00 10383.00
8/29/2006 10415.00 10426.00 10393.00
8/30/2006 10395.00 10406.00 10387.00
8/31/2006 10435.00 10448.00 10395.00
9/1/2006 10485.00 10498.00 10452.00
9/2/2006 10485.00 10498.00 10452.00
9/3/2006 10485.00 10498.00 10452.00
9/4/2006 10485.00 10498.00 10452.00
9/5/2006 10506.00 10517.00 10476.00
9/6/2006 10425.00 10436.00 10380.00
9/7/2006 10385.00 10395.00 10327.00
9/8/2006 10442.00 10455.00 10364.00
9/9/2006 10442.00 10455.00 10364.00
9/10/2006 10442.00 10455.00 10364.00
9/11/2006 10425.00 10439.00 10350.00
9/12/2006 10549.00 10562.00 10449.00
9/13/2006 10603.00 10618.00 10509.00
9/14/2006 10566.00 10579.00 10494.00
9/15/2006 10548.00 10564.00 10509.00
9/16/2006 10548.00 10564.00 10509.00
9/17/2006 10548.00 10564.00 10509.00
9/18/2006 10538.00 10552.00 10523.00
9/19/2006 10518.00 10532.00 10510.00
9/20/2006 10569.00 10584.00 10561.00
9/21/2006 10481.00 10497.00 10505.00
9/22/2006 10455.00 10470.00 10493.00
9/23/2006 10455.00 10470.00 10493.00
9/24/2006 10455.00 10470.00 10493.00
9/25/2006 10562.00 10577.00 10592.00
9/26/2006 10642.00 10658.00 10674.00
9/27/2006 10656.00 10673.00 10668.00
9/28/2006 10672.00 10689.00 10690.00
9/29/2006 10622.00 10638.00 10672.00
9/30/2006 10622.00 10638.00 10672.00
10/1/2006 10622.00 10638.00 10672.00
10/2/2006 10625.00 10643.00 10651.00
10/3/2006 10656.00 10671.00 10682.00
10/4/2006 10759.00 10778.00 10794.00
10/5/2006 10759.00 10778.00 10818.00
10/6/2006 10696.00 10712.00 10785.00
10/7/2006 10696.00 10712.00 10785.00
10/8/2006 10696.00 10712.00 10785.00
10/9/2006 10733.00 10750.00 10804.00
10/10/2006 10783.00 10803.00 10832.00
10/11/2006 10803.00 10821.00 10813.00
10/12/2006 10910.00 10928.00 10918.00
10/13/2006 10950.00 10969.00 10955.00
10/14/2006 10950.00 10969.00 10955.00
10/15/2006 10950.00 10969.00 10955.00
10/16/2006 10994.00 11013.00 10975.00
10/17/2006 10954.00 10973.00 10936.00
10/18/2006 10964.00 10986.00 10939.00
10/19/2006 10964.00 10984.00 10945.00
10/20/2006 10957.00 10977.00 10943.00
10/21/2006 10957.00 10977.00 10943.00
10/22/2006 10957.00 10977.00 10943.00
10/23/2006 11027.00 11050.00 11011.00
10/24/2006 11067.00 11091.00 11028.00
10/25/2006 11081.00 11104.00 11061.00
10/26/2006 11131.00 11155.00 11117.00
10/27/2006 11041.00 11062.00 11029.00
10/28/2006 11041.00 11062.00 11029.00
10/29/2006 11041.00 11062.00 11029.00
10/30/2006 11067.00 11090.00 11032.00
10/31/2006 11027.00 11051.00 11028.00
11/1/2006 10980.00 11001.00 10949.00
11/2/2006 10960.00 10983.00 10943.00
11/3/2006 10899.00 10921.00 10917.00
11/4/2006 10899.00 10921.00 10917.00
11/5/2006 10899.00 10921.00 10917.00
11/6/2006 11014.00 11038.00 11038.00
11/7/2006 11027.00 11050.00 11062.00
11/8/2006 11071.00 11093.00 11103.00
11/9/2006 11031.00 11053.00 11054.00
11/10/2006 11085.00 11109.00 11080.00
11/11/2006 11085.00 11109.00 11080.00
11/12/2006 11085.00 11109.00 11080.00
11/13/2006 11112.00 11137.00 11114.00
11/14/2006 11203.00 11228.00 11171.00
11/15/2006 11213.00 11238.00 11183.00
11/16/2006 11247.00 11273.00 11212.00
11/17/2006 11226.00 11252.00 11215.00
11/18/2006 11226.00 11252.00 11215.00
11/19/2006 11226.00 11252.00 11215.00
11/20/2006 11226.00 11252.00 11219.00
11/21/2006 11250.00 11277.00 11232.00
11/22/2006 11267.00 11293.00 11249.00
11/23/2006 11267.00 11293.00 11249.00
11/24/2006 11253.00 11281.00 11219.00
11/25/2006 11253.00 11281.00 11219.00
11/26/2006 11253.00 11281.00 11219.00
11/27/2006 11098.00 11124.00 11069.00
11/28/2006 11115.00 11143.00 11098.00
11/29/2006 11257.00 11284.00 11214.00
11/30/2006 11287.00 11315.00 11226.00
12/1/2006 11250.00 11277.00 11192.00
12/2/2006 11250.00 11277.00 11192.00
12/3/2006 11250.00 11277.00 11192.00
12/4/2006 11385.00 11415.00 11313.00
12/5/2006 11419.00 11449.00 11366.00
12/6/2006 11402.00 11433.00 11363.00
12/7/2006 11358.00 11388.00 11327.00
12/8/2006 11375.00 11406.00 11353.00
12/9/2006 11375.00 11406.00 11353.00
12/10/2006 11375.00 11406.00 11353.00
12/11/2006 11409.00 11441.00 11391.00
12/12/2006 11402.00 11431.00 11384.00
12/13/2006 11405.00 11437.00 11395.00
12/14/2006 11500.00 11533.00 11489.00
12/15/2006 11493.00 11524.00 11507.00
12/16/2006 11493.00 11524.00 11507.00
12/17/2006 11493.00 11524.00 11507.00
12/18/2006 11439.00 11473.00 11493.00
12/19/2006 11453.00 11486.00 11507.00
12/20/2006 11469.00 11506.00 11511.00
12/21/2006 11432.00 11469.00 11476.00
12/22/2006 11405.00 11440.00 11419.00
12/23/2006 11405.00 11440.00 11419.00
12/24/2006 11405.00 11440.00 11419.00
12/25/2006 11405.00 11440.00 11419.00
12/26/2006 11469.00 11506.00 11479.00
12/27/2006 11559.00 11596.00 11572.00
12/28/2006 11529.00 11564.00 11549.00
12/29/2006 11481.00 11517.00 11496.00
12/30/2006 11481.00 11517.00 11496.00
12/31/2006 11481.00 11517.00 11496.00
1/1/2007 11481.00 11517.00 11496.00
1/2/2007 11481.00 11517.00 11496.00
1/3/2007 11505.00 11541.00 11495.00
1/4/2007 11488.00 11524.00 11488.00
1/5/2007 11383.00 11417.00 11397.00
1/6/2007 11383.00 11417.00 11397.00
1/7/2007 11383.00 11417.00 11397.00
1/8/2007 11404.00 11439.00 11431.00
1/9/2007 11390.00 11426.00 11420.00
1/10/2007 11397.00 11431.00 11448.00
1/11/2007 11451.00 11487.00 11514.00
1/12/2007 11465.00 11500.00 11558.00
1/13/2007 11465.00 11500.00 11558.00
1/14/2007 11465.00 11500.00 11558.00
1/15/2007 11465.00 11500.00 11558.00
1/16/2007 11482.00 11518.00 11588.00
1/17/2007 11461.00 11497.00 11566.00
1/18/2007 11465.00 11500.00 11552.00
1/19/2007 11533.00 11569.00 11580.00
1/20/2007 11533.00 11569.00 11580.00
1/21/2007 11533.00 11569.00 11580.00
1/22/2007 11502.00 11539.00 11538.00
1/23/2007 11560.00 11598.00 11584.00
1/24/2007 11652.00 11690.00 11685.00
1/25/2007 11577.00 11616.00 11554.00
1/26/2007 11614.00 11651.00 11552.00
1/27/2007 11614.00 11651.00 11552.00
1/28/2007 11614.00 11651.00 11552.00
1/29/2007 11611.00 11650.00 11537.00
1/30/2007 11672.00 11710.00 11611.00
1/31/2007 11733.00 11772.00 11699.00
2/1/2007 11818.00 11857.00 11765.00
2/2/2007 11852.00 11891.00 11785.00
2/3/2007 11852.00 11891.00 11785.00
2/4/2007 11852.00 11891.00 11785.00
2/5/2007 11862.00 11904.00 11784.00
2/6/2007 11923.00 11963.00 11801.00
2/7/2007 11954.00 11995.00 11821.00
2/8/2007 11961.00 12003.00 11798.00
2/9/2007 11913.00 11954.00 11714.00
2/10/2007 11913.00 11954.00 11714.00
2/11/2007 11913.00 11954.00 11714.00
2/12/2007 11882.00 11925.00 11686.00
2/13/2007 12012.00 12053.00 11798.00
2/14/2007 12076.00 12119.00 11890.00
2/15/2007 12100.00 12143.00 11891.00
2/16/2007 12113.00 12159.00 11885.00
2/17/2007 12113.00 12159.00 11885.00
2/18/2007 12113.00 12159.00 11885.00
2/19/2007 12113.00 12159.00 11885.00
2/20/2007 12164.00 12208.00 11920.00
2/21/2007 12151.00 12197.00 11903.00
2/22/2007 12127.00 12172.00 11889.00
2/23/2007 12107.00 12152.00 11838.00
2/24/2007 12107.00 12152.00 11838.00
2/25/2007 12107.00 12152.00 11838.00
2/26/2007 12141.00 12188.00 11839.00
2/27/2007 11733.00 11776.00 11427.00
2/28/2007 11784.00 11828.00 11501.00
3/1/2007 11757.00 11799.00 11481.00
3/2/2007 11601.00 11642.00 11340.00
3/3/2007 11601.00 11642.00 11340.00
3/4/2007 11601.00 11642.00 11340.00
3/5/2007 11451.00 11493.00 11211.00
3/6/2007 11621.00 11662.00 11396.00
3/7/2007 11587.00 11630.00 11364.00
3/8/2007 11689.00 11731.00 11460.00
3/9/2007 11716.00 11760.00 11478.00
3/10/2007 11716.00 11760.00 11478.00
3/11/2007 11716.00 11760.00 11478.00
3/12/2007 11740.00 11785.00 11518.00
3/13/2007 11516.00 11558.00 11269.00
3/14/2007 11563.00 11605.00 11335.00
3/15/2007 11638.00 11682.00 11395.00
3/16/2007 11586.00 11631.00 11349.00
3/17/2007 11586.00 11631.00 11349.00
3/18/2007 11586.00 11631.00 11349.00
3/19/2007 11712.00 11755.00 11476.00
3/20/2007 11810.00 11856.00 11554.00
3/21/2007 11984.00 12030.00 11764.00
3/22/2007 11970.00 12016.00 11745.00
3/23/2007 12014.00 12061.00 11767.00
3/24/2007 12014.00 12061.00 11767.00
3/25/2007 12014.00 12061.00 11767.00
3/26/2007 12028.00 12075.00 11772.00
3/27/2007 11977.00 12024.00 11702.00
3/28/2007 11902.00 11950.00 11605.00
3/29/2007 11933.00 11979.00 11661.00
3/30/2007 11922.00 11970.00 11650.00
3/31/2007 11922.00 11970.00 11650.00
4/1/2007 11922.00 11970.00 11650.00
4/2/2007 11991.00 12038.00 11670.00
4/3/2007 12069.00 12120.00 11777.00
4/4/2007 12049.00 12097.00 11771.00
4/5/2007 12066.00 12117.00 11812.00
4/6/2007 12066.00 12117.00 11812.00
4/7/2007 12066.00 12117.00 11812.00
4/8/2007 12066.00 12117.00 11812.00
4/9/2007 12083.00 12133.00 11826.00
4/10/2007 12103.00 12153.00 11858.00
4/11/2007 12038.00 12089.00 11781.00
4/12/2007 12079.00 12131.00 11837.00
4/13/2007 12103.00 12153.00 11882.00
4/14/2007 12103.00 12153.00 11882.00
4/15/2007 12103.00 12153.00 11882.00
4/16/2007 12226.00 12277.00 12016.00
4/17/2007 12223.00 12275.00 12019.00
4/18/2007 12260.00 12313.00 12058.00
4/19/2007 12253.00 12305.00 12051.00
4/20/2007 12366.00 12421.00 12156.00
4/21/2007 12366.00 12421.00 12156.00
4/22/2007 12366.00 12421.00 12156.00
4/23/2007 12363.00 12416.00 12131.00
4/24/2007 12373.00 12427.00 12123.00
4/25/2007 12496.00 12550.00 12252.00
4/26/2007 12489.00 12545.00 12233.00
4/27/2007 12462.00 12517.00 12229.00
4/28/2007 12462.00 12517.00 12229.00
4/29/2007 12462.00 12517.00 12229.00
4/30/2007 12335.00 12390.00 12139.00
5/1/2007 12404.00 12458.00 12169.00
5/2/2007 12503.00 12557.00 12252.00
5/3/2007 12543.00 12600.00 12316.00
5/4/2007 12571.00 12627.00 12352.00
5/5/2007 12571.00 12627.00 12352.00
5/6/2007 12571.00 12627.00 12352.00
5/7/2007 12615.00 12673.00 12393.00
5/8/2007 12612.00 12669.00 12371.00
5/9/2007 12663.00 12721.00 12432.00
5/10/2007 12496.00 12553.00 12264.00
5/11/2007 12591.00 12649.00 12385.00
5/12/2007 12591.00 12649.00 12385.00
5/13/2007 12591.00 12649.00 12385.00
5/14/2007 12601.00 12658.00 12370.00
5/15/2007 12591.00 12650.00 12374.00
5/16/2007 12673.00 12732.00 12484.00
5/17/2007 12663.00 12721.00 12474.00
5/18/2007 12728.00 12787.00 12541.00
5/19/2007 12728.00 12787.00 12541.00
5/20/2007 12728.00 12787.00 12541.00
5/21/2007 12755.00 12816.00 12563.00
5/22/2007 12745.00 12803.00 12559.00
5/23/2007 12690.00 12750.00 12546.00
5/24/2007 12526.00 12583.00 12420.00
5/25/2007 12574.00 12634.00 12486.00
5/26/2007 12574.00 12634.00 12486.00
5/27/2007 12574.00 12634.00 12486.00
5/28/2007 12574.00 12634.00 12486.00
5/29/2007 12598.00 12656.00 12507.00
5/30/2007 12677.00 12736.00 12611.00
5/31/2007 12683.00 12745.00 12603.00
6/1/2007 12755.00 12817.00 12644.00
6/2/2007 12755.00 12817.00 12644.00
6/3/2007 12755.00 12817.00 12644.00
6/4/2007 12776.00 12838.00 12650.00
6/5/2007 12690.00 12751.00 12568.00
6/6/2007 12571.00 12631.00 12462.00
6/7/2007 12315.00 12373.00 12238.00
6/8/2007 12451.00 12511.00 12388.00
6/9/2007 12451.00 12511.00 12388.00
6/10/2007 12451.00 12511.00 12388.00
6/11/2007 12485.00 12545.00 12409.00
6/12/2007 12349.00 12407.00 12263.00
6/13/2007 12540.00 12600.00 12473.00
6/14/2007 12584.00 12646.00 12524.00
6/15/2007 12684.00 12746.00 12601.00
6/16/2007 12684.00 12746.00 12601.00
6/17/2007 12684.00 12746.00 12601.00
6/18/2007 12653.00 12714.00 12578.00
6/19/2007 12667.00 12728.00 12618.00
6/20/2007 12503.00 12563.00 12434.00
6/21/2007 12581.00 12641.00 12511.00
6/22/2007 12441.00 12502.00 12344.00
6/23/2007 12441.00 12502.00 12344.00
6/24/2007 12441.00 12502.00 12344.00
6/25/2007 12411.00 12470.00 12301.00
6/26/2007 12342.00 12402.00 12253.00
6/27/2007 12448.00 12511.00 12371.00
6/28/2007 12489.00 12552.00 12365.00
6/29/2007 12465.00 12527.00 12344.00
6/30/2007 12465.00 12527.00 12344.00
7/1/2007 12465.00 12527.00 12344.00
7/2/2007 12637.00 12701.00 12498.00
7/3/2007 12664.00 12728.00 12548.00
7/4/2007 12664.00 12728.00 12548.00
7/5/2007 12620.00 12683.00 12530.00
7/6/2007 12626.00 12692.00 12559.00
7/7/2007 12626.00 12692.00 12559.00
7/8/2007 12626.00 12692.00 12559.00
7/9/2007 12637.00 12703.00 12564.00
7/10/2007 12428.00 12490.00 12361.00
7/11/2007 12486.00 12549.00 12440.00
7/12/2007 12695.00 12762.00 12690.00
7/13/2007 12757.00 12822.00 12737.00
7/14/2007 12757.00 12822.00 12737.00
7/15/2007 12757.00 12822.00 12737.00
7/16/2007 12678.00 12743.00 12709.00
7/17/2007 12668.00 12734.00 12710.00
7/18/2007 12633.00 12700.00 12657.00
7/19/2007 12688.00 12755.00 12697.00
7/20/2007 12469.00 12535.00 12521.00
7/21/2007 12469.00 12535.00 12521.00
7/22/2007 12469.00 12535.00 12521.00
7/23/2007 12506.00 12571.00 12582.00
7/24/2007 12184.00 12246.00 12306.00
7/25/2007 12187.00 12250.00 12352.00
7/26/2007 11862.00 11923.00 12048.00
7/27/2007 11677.00 11736.00 11858.00
7/28/2007 11677.00 11736.00 11858.00
7/29/2007 11677.00 11736.00 11858.00
7/30/2007 11848.00 11908.00 11998.00
7/31/2007 11731.00 11791.00 11858.00
8/1/2007 11803.00 11863.00 11939.00
8/2/2007 11838.00 11898.00 11997.00
8/3/2007 11419.00 11478.00 11646.00
8/4/2007 11419.00 11478.00 11646.00
8/5/2007 11419.00 11478.00 11646.00
8/6/2007 11721.00 11782.00 11954.00
8/7/2007 11821.00 11881.00 12030.00
8/8/2007 11906.00 11970.00 12187.00
8/9/2007 11505.00 11565.00 11792.00
8/10/2007 11594.00 11653.00 11797.00
8/11/2007 11594.00 11653.00 11797.00
8/12/2007 11594.00 11653.00 11797.00
8/13/2007 11649.00 11711.00 11820.00
8/14/2007 11378.00 11437.00 11586.00
8/15/2007 11193.00 11249.00 11424.00
8/16/2007 11262.00 11320.00 11527.00
8/17/2007 11529.00 11588.00 11830.00
8/18/2007 11529.00 11588.00 11830.00
8/19/2007 11529.00 11588.00 11830.00
8/20/2007 11557.00 11618.00 11833.00
8/21/2007 11622.00 11683.00 11858.00
8/22/2007 11769.00 11833.00 12010.00
8/23/2007 11735.00 11796.00 11990.00
8/24/2007 11862.00 11928.00 12119.00
8/25/2007 11862.00 11928.00 12119.00
8/26/2007 11862.00 11928.00 12119.00
8/27/2007 11687.00 11749.00 11995.00
8/28/2007 11378.00 11436.00 11676.00
8/29/2007 11653.00 11717.00 11949.00
8/30/2007 11560.00 11621.00 11871.00
8/31/2007 11697.00 11762.00 12018.00
9/1/2007 11697.00 11762.00 12018.00
9/2/2007 11697.00 11762.00 12018.00
9/3/2007 11697.00 11762.00 12018.00
9/4/2007 11800.00 11866.00 12148.00
9/5/2007 11601.00 11663.00 11975.00
9/6/2007 11629.00 11691.00 12031.00
9/7/2007 11430.00 11491.00 11825.00
9/8/2007 11430.00 11491.00 11825.00
9/9/2007 11430.00 11491.00 11825.00
9/10/2007 11364.00 11424.00 11806.00
9/11/2007 11491.00 11555.00 11957.00
9/12/2007 11481.00 11543.00 11950.00
9/13/2007 11574.00 11639.00 12073.00
9/14/2007 11591.00 11654.00 12070.00
9/15/2007 11591.00 11654.00 12070.00
9/16/2007 11591.00 11654.00 12070.00
9/17/2007 11560.00 11624.00 12007.00
9/18/2007 11920.00 11988.00 12397.00
9/19/2007 12009.00 12079.00 12470.00
9/20/2007 11855.00 11922.00 12363.00
9/21/2007 11891.00 11959.00 12423.00
9/22/2007 11891.00 11959.00 12423.00
9/23/2007 11891.00 11959.00 12423.00
9/24/2007 11809.00 11877.00 12341.00
9/25/2007 11771.00 11838.00 12326.00
9/26/2007 11874.00 11944.00 12395.00
9/27/2007 11877.00 11945.00 12444.00
9/28/2007 11812.00 11879.00 12391.00
9/29/2007 11812.00 11879.00 12391.00
9/30/2007 11812.00 11879.00 12391.00
10/1/2007 11940.00 12010.00 12572.00
10/2/2007 11974.00 12044.00 12594.00
10/3/2007 11950.00 12019.00 12545.00
10/4/2007 11978.00 12047.00 12584.00
10/5/2007 12112.00 12186.00 12712.00
10/6/2007 12112.00 12186.00 12712.00
10/7/2007 12112.00 12186.00 12712.00
10/8/2007 12047.00 12118.00 12655.00
10/9/2007 12140.00 12212.00 12745.00
10/10/2007 12095.00 12167.00 12698.00
10/11/2007 12071.00 12143.00 12646.00
10/12/2007 12133.00 12205.00 12687.00
10/13/2007 12133.00 12205.00 12687.00
10/14/2007 12133.00 12205.00 12687.00
10/15/2007 11991.00 12065.00 12570.00
10/16/2007 11857.00 11926.00 12460.00
10/17/2007 11836.00 11907.00 12487.00
10/18/2007 11809.00 11877.00 12454.00
10/19/2007 11529.00 11596.00 12129.00
10/20/2007 11529.00 11596.00 12129.00
10/21/2007 11529.00 11596.00 12129.00
10/22/2007 11577.00 11647.00 12182.00
10/23/2007 11608.00 11678.00 12281.00
10/24/2007 11588.00 11655.00 12234.00
10/25/2007 11605.00 11673.00 12234.00
10/26/2007 11746.00 11817.00 12429.00
10/27/2007 11746.00 11817.00 12429.00
10/28/2007 11746.00 11817.00 12429.00
10/29/2007 11778.00 11850.00 12457.00
10/30/2007 11743.00 11813.00 12376.00
10/31/2007 11888.00 11959.00 12521.00
</Table>
AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED OCTOBER 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
SINCE INCEPTION
ONE YEAR (03/01/06)
-------- ---------------
RYDEX S&P 500 PURE VALUE ETF...................................... 7.79% 10.92%
S&P 500/ CITIGROUP PURE VALUE TOTAL RETURN INDEX.................. 8.19% 11.32%
S&P 500 VALUE TOTAL RETURN INDEX.................................. 13.55% 14.43%
</Table>
The returns presented above do not reflect the effect of taxes. Index returns
represent total returns. Past performance is not guarantee of future results.
8
Rydex S&P 500 Pure Value ETF
PORTFOLIO SUMMARY As of October 31, 2007
- --------------------------------------------------------------------------------
TOP 10 HOLDINGS*
- --------------------------------------------------------------------------------
<Table>
<Caption>
DESCRIPTION % OF NET ASSETS
- ------------------------------------------------------------------------------------
FORD MOTOR CO. 2.85%
EMBARQ CORP. 1.89%
FEDERAL NATIONAL MORTGAGE ASSOCIATION 1.83%
INTEGRYS ENERGY GROUP, INC. 1.78%
GENERAL MOTORS CORP. 1.70%
SUPERVALU, INC. 1.56%
VERIZON COMMUNICATIONS, INC. 1.42%
DTE ENERGY CO. 1.34%
MOLSON COORS BREWING CO. -- CLASS B 1.32%
CONOCOPHILLIPS 1.28%
- ------------------------------------------------------------------------------------
</Table>
SECTOR ALLOCATIONS*
(PIE CHART)
<Table>
Utilities Financials Consumer Discretionary Materials Consumer Staples
21.17 20.15 15.80 10.30 9.36
</Table>
<Table>
Utilities Telecommunication Services Industrials Health Care Energy
21.17 8.19 7.21 3.27 3.13
</Table>
<Table>
Utilities Information Technology
21.17 1.42
</Table>
* The Fund's Top 10 Holdings are expressed as a percentage of net assets and the
Sector Allocations are expressed as a percentage of the Fund's investments
market value. These percentages may change over time.
9 ANNUAL REPORT
RYDEX S&P 500 PURE GROWTH ETF
MANAGER'S ANALYSIS
- --------------------------------------------------------------------------------
For the year ended October 31, 2007, Rydex S&P 500 Pure Growth ETF returned
12.79%. Over the year its benchmark, the S&P 500/Citigroup Pure Growth Total
Return Index, turned in a 13.21% return, underperforming its counterpart index,
the S&P 500 Growth Total Return Index which saw 15.60% returns.
The beginning of the fiscal year proved to be difficult for this ETF as the
markets favored value over growth stocks. However, a shift to growth during the
summer helped returns. Compared to the S&P 500/Citigroup Growth benchmark, the
pure benchmark's performance benefited by the consumer discretionary and health
care sectors but was hurt by information technology. Surprisingly, the two
benchmarks performed similarly for the year.
CUMULATIVE FUND PERFORMANCE: MARCH 1, 2006 -- OCTOBER 31, 2007
(PERFORMANCE GRAPH)
<Table>
<Caption>
S&P 500/CITIGROUP
RYDEX S&P PURE GROWTH S&P 500/CITIGROUP
500 PURE TOTAL RETURN GROWTH TOTAL
GROWTH ETF(A) INDEX(B) RETURN INDEX(C)
------------- ----------------- -----------------
3/1/2006 10000.00 10000.00 10000.00
3/2/2006 9991.00 9992.00 9983.00
3/3/2006 9965.00 9966.00 9974.00
3/4/2006 9965.00 9966.00 9974.00
3/5/2006 9965.00 9966.00 9974.00
3/6/2006 9887.00 9889.00 9903.00
3/7/2006 9849.00 9850.00 9887.00
3/8/2006 9875.00 9877.00 9922.00
3/9/2006 9826.00 9826.00 9866.00
3/10/2006 9884.00 9884.00 9931.00
3/11/2006 9884.00 9884.00 9931.00
3/12/2006 9884.00 9884.00 9931.00
3/13/2006 9901.00 9903.00 9948.00
3/14/2006 10017.00 10019.00 10041.00
3/15/2006 10052.00 10055.00 10076.00
3/16/2006 10073.00 10075.00 10086.00
3/17/2006 10084.00 10087.00 10105.00
3/18/2006 10084.00 10087.00 10105.00
3/19/2006 10084.00 10087.00 10105.00
3/20/2006 10058.00 10061.00 10098.00
3/21/2006 10000.00 10002.00 10045.00
3/22/2006 10038.00 10039.00 10094.00
3/23/2006 10035.00 10038.00 10068.00
3/24/2006 10058.00 10061.00 10072.00
3/25/2006 10058.00 10061.00 10072.00
3/26/2006 10058.00 10061.00 10072.00
3/27/2006 10046.00 10048.00 10050.00
3/28/2006 10029.00 10031.00 9991.00
3/29/2006 10119.00 10122.00 10060.00
3/30/2006 10105.00 10107.00 10051.00
3/31/2006 10058.00 10062.00 10002.00
4/1/2006 10058.00 10062.00 10002.00
4/2/2006 10058.00 10062.00 10002.00
4/3/2006 10046.00 10050.00 10012.00
4/4/2006 10110.00 10114.00 10063.00
4/5/2006 10131.00 10134.00 10094.00
4/6/2006 10128.00 10131.00 10078.00
4/7/2006 10038.00 10042.00 9973.00
4/8/2006 10038.00 10042.00 9973.00
4/9/2006 10038.00 10042.00 9973.00
4/10/2006 10038.00 10041.00 9985.00
4/11/2006 9945.00 9949.00 9910.00
4/12/2006 9954.00 9959.00 9913.00
4/13/2006 9956.00 9962.00 9921.00
4/14/2006 9956.00 9962.00 9921.00
4/15/2006 9956.00 9962.00 9921.00
4/16/2006 9956.00 9962.00 9921.00
4/17/2006 9945.00 9949.00 9879.00
4/18/2006 10073.00 10077.00 10029.00
4/19/2006 10108.00 10113.00 10050.00
4/20/2006 10142.00 10149.00 10056.00
4/21/2006 10096.00 10100.00 10047.00
4/22/2006 10096.00 10100.00 10047.00
4/23/2006 10096.00 10100.00 10047.00
4/24/2006 10078.00 10083.00 10021.00
4/25/2006 10012.00 10017.00 9982.00
4/26/2006 10017.00 10023.00 10004.00
4/27/2006 9980.00 9984.00 10028.00
4/28/2006 9974.00 9978.00 9994.00
4/29/2006 9974.00 9978.00 9994.00
4/30/2006 9974.00 9978.00 9994.00
5/1/2006 9924.00 9930.00 9954.00
5/2/2006 9948.00 9953.00 9994.00
5/3/2006 9910.00 9914.00 9940.00
5/4/2006 9924.00 9930.00 9967.00
5/5/2006 10023.00 10028.00 10059.00
5/6/2006 10023.00 10028.00 10059.00
5/7/2006 10023.00 10028.00 10059.00
5/8/2006 10026.00 10031.00 10056.00
5/9/2006 9997.00 10002.00 10048.00
5/10/2006 9988.00 9994.00 10024.00
5/11/2006 9849.00 9854.00 9896.00
5/12/2006 9727.00 9734.00 9799.00
5/13/2006 9727.00 9734.00 9799.00
5/14/2006 9727.00 9734.00 9799.00
5/15/2006 9747.00 9752.00 9845.00
5/16/2006 9724.00 9730.00 9821.00
5/17/2006 9593.00 9598.00 9677.00
5/18/2006 9538.00 9544.00 9621.00
5/19/2006 9573.00 9580.00 9649.00
5/20/2006 9573.00 9580.00 9649.00
5/21/2006 9573.00 9580.00 9649.00
5/22/2006 9524.00 9530.00 9613.00
5/23/2006 9468.00 9475.00 9571.00
5/24/2006 9489.00 9493.00 9606.00
5/25/2006 9590.00 9595.00 9715.00
5/26/2006 9628.00 9636.00 9754.00
5/27/2006 9628.00 9636.00 9754.00
5/28/2006 9628.00 9636.00 9754.00
5/29/2006 9628.00 9636.00 9754.00
5/30/2006 9486.00 9493.00 9598.00
5/31/2006 9567.00 9573.00 9662.00
6/1/2006 9680.00 9688.00 9773.00
6/2/2006 9660.00 9667.00 9781.00
6/3/2006 9660.00 9667.00 9781.00
6/4/2006 9660.00 9667.00 9781.00
6/5/2006 9480.00 9488.00 9611.00
6/6/2006 9451.00 9458.00 9611.00
6/7/2006 9431.00 9437.00 9557.00
6/8/2006 9436.00 9444.00 9580.00
6/9/2006 9402.00 9411.00 9531.00
6/10/2006 9402.00 9411.00 9531.00
6/11/2006 9402.00 9411.00 9531.00
6/12/2006 9265.00 9273.00 9412.00
6/13/2006 9195.00 9204.00 9346.00
6/14/2006 9256.00 9265.00 9413.00
6/15/2006 9468.00 9476.00 9589.00
6/16/2006 9433.00 9441.00 9554.00
6/17/2006 9433.00 9441.00 9554.00
6/18/2006 9433.00 9441.00 9554.00
6/19/2006 9323.00 9331.00 9469.00
6/20/2006 9297.00 9305.00 9463.00
6/21/2006 9413.00 9422.00 9555.00
6/22/2006 9358.00 9368.00 9499.00
6/23/2006 9375.00 9384.00 9492.00
6/24/2006 9375.00 9384.00 9492.00
6/25/2006 9375.00 9384.00 9492.00
6/26/2006 9387.00 9397.00 9525.00
6/27/2006 9288.00 9297.00 9439.00
6/28/2006 9329.00 9338.00 9486.00
6/29/2006 9544.00 9555.00 9686.00
6/30/2006 9553.00 9563.00 9656.00
7/1/2006 9553.00 9563.00 9656.00
7/2/2006 9553.00 9563.00 9656.00
7/3/2006 9585.00 9596.00 9725.00
7/4/2006 9585.00 9596.00 9725.00
7/5/2006 9483.00 9493.00 9652.00
7/6/2006 9494.00 9507.00 9684.00
7/7/2006 9422.00 9435.00 9612.00
7/8/2006 9422.00 9435.00 9612.00
7/9/2006 9422.00 9435.00 9612.00
7/10/2006 9413.00 9425.00 9623.00
7/11/2006 9451.00 9463.00 9656.00
7/12/2006 9338.00 9348.00 9547.00
7/13/2006 9230.00 9241.00 9443.00
7/14/2006 9160.00 9171.00 9395.00
7/15/2006 9160.00 9171.00 9395.00
7/16/2006 9160.00 9171.00 9395.00
7/17/2006 9163.00 9174.00 9390.00
7/18/2006 9143.00 9154.00 9403.00
7/19/2006 9311.00 9324.00 9559.00
7/20/2006 9198.00 9209.00 9480.00
7/21/2006 9099.00 9111.00 9421.00
7/22/2006 9099.00 9111.00 9421.00
7/23/2006 9099.00 9111.00 9421.00
7/24/2006 9288.00 9299.00 9582.00
7/25/2006 9378.00 9390.00 9636.00
7/26/2006 9343.00 9357.00 9626.00
7/27/2006 9279.00 9292.00 9584.00
7/28/2006 9407.00 9420.00 9697.00
7/29/2006 9407.00 9420.00 9697.00
7/30/2006 9407.00 9420.00 9697.00
7/31/2006 9404.00 9419.00 9677.00
8/1/2006 9361.00 9373.00 9630.00
8/2/2006 9436.00 9450.00 9688.00
8/3/2006 9480.00 9494.00 9698.00
8/4/2006 9471.00 9484.00 9692.00
8/5/2006 9471.00 9484.00 9692.00
8/6/2006 9471.00 9484.00 9692.00
8/7/2006 9436.00 9450.00 9673.00
8/8/2006 9416.00 9430.00 9651.00
8/9/2006 9341.00 9356.00 9636.00
8/10/2006 9396.00 9411.00 9686.00
8/11/2006 9341.00 9356.00 9650.00
8/12/2006 9341.00 9356.00 9650.00
8/13/2006 9341.00 9356.00 9650.00
8/14/2006 9329.00 9346.00 9668.00
8/15/2006 9489.00 9505.00 9794.00
8/16/2006 9602.00 9621.00 9876.00
8/17/2006 9643.00 9661.00 9899.00
8/18/2006 9657.00 9677.00 9945.00
8/19/2006 9657.00 9677.00 9945.00
8/20/2006 9657.00 9677.00 9945.00
8/21/2006 9590.00 9607.00 9906.00
8/22/2006 9605.00 9624.00 9916.00
8/23/2006 9547.00 9566.00 9870.00
8/24/2006 9564.00 9584.00 9906.00
8/25/2006 9555.00 9575.00 9906.00
8/26/2006 9555.00 9575.00 9906.00
8/27/2006 9555.00 9575.00 9906.00
8/28/2006 9622.00 9642.00 9961.00
8/29/2006 9672.00 9691.00 9992.00
8/30/2006 9698.00 9718.00 10006.00
8/31/2006 9701.00 9720.00 9992.00
9/1/2006 9753.00 9772.00 10048.00
9/2/2006 9753.00 9772.00 10048.00
9/3/2006 9753.00 9772.00 10048.00
9/4/2006 9753.00 9772.00 10048.00
9/5/2006 9782.00 9801.00 10060.00
9/6/2006 9660.00 9679.00 9957.00
9/7/2006 9614.00 9633.00 9913.00
9/8/2006 9672.00 9691.00 9953.00
9/9/2006 9672.00 9691.00 9953.00
9/10/2006 9672.00 9691.00 9953.00
9/11/2006 9701.00 9722.00 9977.00
9/12/2006 9869.00 9890.00 10090.00
9/13/2006 9907.00 9930.00 10114.00
9/14/2006 9884.00 9907.00 10102.00
9/15/2006 9949.00 9972.00 10143.00
9/16/2006 9949.00 9972.00 10143.00
9/17/2006 9949.00 9972.00 10143.00
9/18/2006 9940.00 9963.00 10150.00
9/19/2006 9902.00 9924.00 10119.00
9/20/2006 9961.00 9982.00 10175.00
9/21/2006 9894.00 9915.00 10124.00
9/22/2006 9841.00 9862.00 10085.00
9/23/2006 9841.00 9862.00 10085.00
9/24/2006 9841.00 9862.00 10085.00
9/25/2006 9940.00 9963.00 10168.00
9/26/2006 9992.00 10016.00 10242.00
9/27/2006 9984.00 10007.00 10256.00
9/28/2006 9995.00 10018.00 10274.00
9/29/2006 9963.00 9988.00 10241.00
9/30/2006 9963.00 9988.00 10241.00
10/1/2006 9963.00 9988.00 10241.00
10/2/2006 9908.00 9933.00 10192.00
10/3/2006 9897.00 9920.00 10205.00
10/4/2006 10083.00 10108.00 10350.00
10/5/2006 10135.00 10160.00 10378.00
10/6/2006 10094.00 10119.00 10354.00
10/7/2006 10094.00 10119.00 10354.00
10/8/2006 10094.00 10119.00 10354.00
10/9/2006 10132.00 10157.00 10352.00
10/10/2006 10138.00 10164.00 10369.00
10/11/2006 10094.00 10118.00 10335.00
10/12/2006 10202.00 10229.00 10432.00
10/13/2006 10190.00 10217.00 10439.00
10/14/2006 10190.00 10217.00 10439.00
10/15/2006 10190.00 10217.00 10439.00
10/16/2006 10234.00 10259.00 10473.00
10/17/2006 10176.00 10201.00 10434.00
10/18/2006 10173.00 10199.00 10462.00
10/19/2006 10173.00 10198.00 10473.00
10/20/2006 10158.00 10185.00 10500.00
10/21/2006 10158.00 10185.00 10500.00
10/22/2006 10158.00 10185.00 10500.00
10/23/2006 10219.00 10246.00 10565.00
10/24/2006 10263.00 10289.00 10554.00
10/25/2006 10277.00 10306.00 10597.00
10/26/2006 10347.00 10376.00 10648.00
10/27/2006 10242.00 10271.00 10555.00
10/28/2006 10242.00 10271.00 10555.00
10/29/2006 10242.00 10271.00 10555.00
10/30/2006 10263.00 10291.00 10563.00
10/31/2006 10277.00 10305.00 10567.00
11/1/2006 10155.00 10184.00 10490.00
11/2/2006 10158.00 10185.00 10494.00
11/3/2006 10126.00 10153.00 10474.00
11/4/2006 10126.00 10153.00 10474.00
11/5/2006 10126.00 10153.00 10474.00
11/6/2006 10263.00 10290.00 10596.00
11/7/2006 10274.00 10302.00 10621.00
11/8/2006 10277.00 10307.00 10631.00
11/9/2006 10219.00 10248.00 10568.00
11/10/2006 10257.00 10285.00 10582.00
11/11/2006 10257.00 10285.00 10582.00
11/12/2006 10257.00 10285.00 10582.00
11/13/2006 10295.00 10324.00 10609.00
11/14/2006 10397.00 10427.00 10692.00
11/15/2006 10472.00 10502.00 10737.00
11/16/2006 10496.00 10527.00 10759.00
11/17/2006 10487.00 10519.00 10779.00
11/18/2006 10487.00 10519.00 10779.00
11/19/2006 10487.00 10519.00 10779.00
11/20/2006 10446.00 10478.00 10764.00
11/21/2006 10487.00 10517.00 10789.00
11/22/2006 10542.00 10575.00 10825.00
11/23/2006 10542.00 10575.00 10825.00
11/24/2006 10501.00 10532.00 10777.00
11/25/2006 10501.00 10532.00 10777.00
11/26/2006 10501.00 10532.00 10777.00
11/27/2006 10324.00 10354.00 10628.00
11/28/2006 10356.00 10388.00 10679.00
11/29/2006 10452.00 10483.00 10773.00
11/30/2006 10484.00 10517.00 10779.00
12/1/2006 10440.00 10471.00 10752.00
12/2/2006 10440.00 10471.00 10752.00
12/3/2006 10440.00 10471.00 10752.00
12/4/2006 10554.00 10586.00 10826.00
12/5/2006 10606.00 10638.00 10863.00
12/6/2006 10603.00 10637.00 10843.00
12/7/2006 10542.00 10574.00 10792.00
12/8/2006 10545.00 10577.00 10806.00
12/9/2006 10545.00 10577.00 10806.00
12/10/2006 10545.00 10577.00 10806.00
12/11/2006 10557.00 10590.00 10819.00
12/12/2006 10522.00 10553.00 10804.00
12/13/2006 10530.00 10564.00 10822.00
12/14/2006 10615.00 10647.00 10923.00
12/15/2006 10600.00 10635.00 10930.00
12/16/2006 10600.00 10635.00 10930.00
12/17/2006 10600.00 10635.00 10930.00
12/18/2006 10528.00 10561.00 10872.00
12/19/2006 10560.00 10595.00 10908.00
12/20/2006 10539.00 10573.00 10872.00
12/21/2006 10501.00 10535.00 10830.00
12/22/2006 10455.00 10489.00 10772.00
12/23/2006 10455.00 10489.00 10772.00
12/24/2006 10455.00 10489.00 10772.00
12/25/2006 10455.00 10489.00 10772.00
12/26/2006 10472.00 10506.00 10809.00
12/27/2006 10528.00 10562.00 10877.00
12/28/2006 10504.00 10541.00 10868.00
12/29/2006 10452.00 10487.00 10820.00
12/30/2006 10452.00 10487.00 10820.00
12/31/2006 10452.00 10487.00 10820.00
1/1/2007 10452.00 10487.00 10820.00
1/2/2007 10452.00 10487.00 10820.00
1/3/2007 10405.00 10441.00 10799.00
1/4/2007 10458.00 10494.00 10832.00
1/5/2007 10408.00 10445.00 10788.00
1/6/2007 10408.00 10445.00 10788.00
1/7/2007 10408.00 10445.00 10788.00
1/8/2007 10440.00 10477.00 10810.00
1/9/2007 10446.00 10481.00 10809.00
1/10/2007 10467.00 10503.00 10827.00
1/11/2007 10554.00 10590.00 10903.00
1/12/2007 10604.00 10640.00 10967.00
1/13/2007 10604.00 10640.00 10967.00
1/14/2007 10604.00 10640.00 10967.00
1/15/2007 10604.00 10640.00 10967.00
1/16/2007 10589.00 10628.00 10956.00
1/17/2007 10606.00 10644.00 10959.00
1/18/2007 10554.00 10592.00 10907.00
1/19/2007 10601.00 10637.00 10944.00
1/20/2007 10601.00 10637.00 10944.00
1/21/2007 10601.00 10637.00 10944.00
1/22/2007 10542.00 10582.00 10868.00
1/23/2007 10598.00 10635.00 10902.00
1/24/2007 10676.00 10716.00 10993.00
1/25/2007 10571.00 10611.00 10868.00
1/26/2007 10557.00 10595.00 10843.00
1/27/2007 10557.00 10595.00 10843.00
1/28/2007 10557.00 10595.00 10843.00
1/29/2007 10566.00 10605.00 10836.00
1/30/2007 10639.00 10678.00 10892.00
1/31/2007 10714.00 10755.00 10955.00
2/1/2007 10787.00 10826.00 11016.00
2/2/2007 10808.00 10847.00 11034.00
2/3/2007 10808.00 10847.00 11034.00
2/4/2007 10808.00 10847.00 11034.00
2/5/2007 10778.00 10819.00 11015.00
2/6/2007 10802.00 10843.00 11014.00
2/7/2007 10843.00 10884.00 11036.00
2/8/2007 10848.00 10889.00 11032.00
2/9/2007 10767.00 10807.00 10955.00
2/10/2007 10767.00 10807.00 10955.00
2/11/2007 10767.00 10807.00 10955.00
2/12/2007 10723.00 10765.00 10911.00
2/13/2007 10787.00 10828.00 10975.00
2/14/2007 10883.00 10924.00 11063.00
2/15/2007 10930.00 10971.00 11087.00
2/16/2007 10924.00 10966.00 11074.00
2/17/2007 10924.00 10966.00 11074.00
2/18/2007 10924.00 10966.00 11074.00
2/19/2007 10924.00 10966.00 11074.00
2/20/2007 10980.00 11021.00 11104.00
2/21/2007 10959.00 11002.00 11090.00
2/22/2007 10950.00 10993.00 11090.00
2/23/2007 10930.00 10974.00 11061.00
2/24/2007 10930.00 10974.00 11061.00
2/25/2007 10930.00 10974.00 11061.00
2/26/2007 10889.00 10931.00 11035.00
2/27/2007 10545.00 10588.00 10655.00
2/28/2007 10604.00 10646.00 10710.00
3/1/2007 10563.00 10605.00 10672.00
3/2/2007 10434.00 10477.00 10561.00
3/3/2007 10434.00 10477.00 10561.00
3/4/2007 10434.00 10477.00 10561.00
3/5/2007 10335.00 10377.00 10485.00
3/6/2007 10496.00 10538.00 10637.00
3/7/2007 10481.00 10523.00 10621.00
3/8/2007 10557.00 10600.00 10684.00
3/9/2007 10563.00 10604.00 10680.00
3/10/2007 10563.00 10604.00 10680.00
3/11/2007 10563.00 10604.00 10680.00
3/12/2007 10566.00 10609.00 10700.00
3/13/2007 10353.00 10396.00 10503.00
3/14/2007 10437.00 10479.00 10583.00
3/15/2007 10481.00 10523.00 10606.00
3/16/2007 10442.00 10484.00 10568.00
3/17/2007 10442.00 10484.00 10568.00
3/18/2007 10442.00 10484.00 10568.00
3/19/2007 10547.00 10590.00 10680.00
3/20/2007 10614.00 10658.00 10742.00
3/21/2007 10777.00 10823.00 10914.00
3/22/2007 10774.00 10820.00 10924.00
3/23/2007 10780.00 10828.00 10927.00
3/24/2007 10780.00 10828.00 10927.00
3/25/2007 10780.00 10828.00 10927.00
3/26/2007 10786.00 10833.00 10944.00
3/27/2007 10725.00 10772.00 10874.00
3/28/2007 10640.00 10687.00 10796.00
3/29/2007 10658.00 10703.00 10825.00
3/30/2007 10652.00 10699.00 10810.00
3/31/2007 10652.00 10699.00 10810.00
4/1/2007 10652.00 10699.00 10810.00
4/2/2007 10707.00 10754.00 10848.00
4/3/2007 10815.00 10864.00 10955.00
4/4/2007 10833.00 10880.00 10986.00
4/5/2007 10882.00 10933.00 11021.00
4/6/2007 10882.00 10933.00 11021.00
4/7/2007 10882.00 10933.00 11021.00
4/8/2007 10882.00 10933.00 11021.00
4/9/2007 10877.00 10926.00 11021.00
4/10/2007 10903.00 10951.00 11049.00
4/11/2007 10836.00 10885.00 10978.00
4/12/2007 10935.00 10985.00 11064.00
4/13/2007 10964.00 11016.00 11099.00
4/14/2007 10964.00 11016.00 11099.00
4/15/2007 10964.00 11016.00 11099.00
4/16/2007 11101.00 11152.00 11212.00
4/17/2007 11122.00 11175.00 11256.00
4/18/2007 11087.00 11139.00 11233.00
4/19/2007 11052.00 11104.00 11213.00
4/20/2007 11148.00 11201.00 11324.00
4/21/2007 11148.00 11201.00 11324.00
4/22/2007 11148.00 11201.00 11324.00
4/23/2007 11133.00 11187.00 11296.00
4/24/2007 11124.00 11178.00 11295.00
4/25/2007 11250.00 11304.00 11406.00
4/26/2007 11270.00 11325.00 11408.00
4/27/2007 11244.00 11299.00 11411.00
4/28/2007 11244.00 11299.00 11411.00
4/29/2007 11244.00 11299.00 11411.00
4/30/2007 11124.00 11177.00 11315.00
5/1/2007 11148.00 11202.00 11347.00
5/2/2007 11212.00 11267.00 11419.00
5/3/2007 11247.00 11302.00 11465.00
5/4/2007 11259.00 11315.00 11481.00
5/5/2007 11259.00 11315.00 11481.00
5/6/2007 11259.00 11315.00 11481.00
5/7/2007 11264.00 11321.00 11501.00
5/8/2007 11264.00 11319.00 11497.00
5/9/2007 11314.00 11370.00 11520.00
5/10/2007 11145.00 11200.00 11357.00
5/11/2007 11229.00 11284.00 11466.00
5/12/2007 11229.00 11284.00 11466.00
5/13/2007 11229.00 11284.00 11466.00
5/14/2007 11192.00 11246.00 11441.00
5/15/2007 11139.00 11193.00 11408.00
5/16/2007 11232.00 11289.00 11510.00
5/17/2007 11221.00 11277.00 11500.00
5/18/2007 11329.00 11386.00 11592.00
5/19/2007 11329.00 11386.00 11592.00
5/20/2007 11329.00 11386.00 11592.00
5/21/2007 11358.00 11415.00 11607.00
5/22/2007 11361.00 11418.00 11595.00
5/23/2007 11343.00 11402.00 11579.00
5/24/2007 11235.00 11291.00 11474.00
5/25/2007 11282.00 11340.00 11539.00
5/26/2007 11282.00 11340.00 11539.00
5/27/2007 11282.00 11340.00 11539.00
5/28/2007 11282.00 11340.00 11539.00
5/29/2007 11302.00 11361.00 11558.00
5/30/2007 11396.00 11453.00 11656.00
5/31/2007 11422.00 11481.00 11670.00
6/1/2007 11448.00 11508.00 11719.00
6/2/2007 11448.00 11508.00 11719.00
6/3/2007 11448.00 11508.00 11719.00
6/4/2007 11512.00 11572.00 11759.00
6/5/2007 11463.00 11523.00 11712.00
6/6/2007 11358.00 11418.00 11609.00
6/7/2007 11174.00 11233.00 11411.00
6/8/2007 11294.00 11354.00 11530.00
6/9/2007 11294.00 11354.00 11530.00
6/10/2007 11294.00 11354.00 11530.00
6/11/2007 11297.00 11357.00 11532.00
6/12/2007 11197.00 11255.00 11423.00
6/13/2007 11346.00 11407.00 11579.00
6/14/2007 11396.00 11456.00 11644.00
6/15/2007 11458.00 11518.00 11725.00
6/16/2007 11458.00 11518.00 11725.00
6/17/2007 11458.00 11518.00 11725.00
6/18/2007 11446.00 11507.00 11719.00
6/19/2007 11438.00 11499.00 11721.00
6/20/2007 11303.00 11364.00 11575.00
6/21/2007 11365.00 11425.00 11652.00
6/22/2007 11248.00 11308.00 11506.00
6/23/2007 11248.00 11308.00 11506.00
6/24/2007 11248.00 11308.00 11506.00
6/25/2007 11181.00 11241.00 11473.00
6/26/2007 11149.00 11207.00 11445.00
6/27/2007 11266.00 11325.00 11545.00
6/28/2007 11257.00 11318.00 11542.00
6/29/2007 11260.00 11319.00 11526.00
6/30/2007 11260.00 11319.00 11526.00
7/1/2007 11260.00 11319.00 11526.00
7/2/2007 11342.00 11403.00 11627.00
7/3/2007 11362.00 11424.00 11668.00
7/4/2007 11362.00 11424.00 11668.00
7/5/2007 11400.00 11461.00 11695.00
7/6/2007 11476.00 11539.00 11753.00
7/7/2007 11476.00 11539.00 11753.00
7/8/2007 11476.00 11539.00 11753.00
7/9/2007 11473.00 11536.00 11770.00
7/10/2007 11333.00 11394.00 11628.00
7/11/2007 11388.00 11452.00 11689.00
7/12/2007 11555.00 11620.00 11899.00
7/13/2007 11561.00 11626.00 11929.00
7/14/2007 11561.00 11626.00 11929.00
7/15/2007 11561.00 11626.00 11929.00
7/16/2007 11511.00 11575.00 11910.00
7/17/2007 11514.00 11578.00 11906.00
7/18/2007 11523.00 11588.00 11911.00
7/19/2007 11567.00 11632.00 11981.00
7/20/2007 11441.00 11506.00 11855.00
7/21/2007 11441.00 11506.00 11855.00
7/22/2007 11441.00 11506.00 11855.00
7/23/2007 11450.00 11514.00 11913.00
7/24/2007 11263.00 11327.00 11703.00
7/25/2007 11327.00 11391.00 11769.00
7/26/2007 11061.00 11125.00 11510.00
7/27/2007 10891.00 10953.00 11327.00
7/28/2007 10891.00 10953.00 11327.00
7/29/2007 10891.00 10953.00 11327.00
7/30/2007 10973.00 11037.00 11426.00
7/31/2007 10804.00 10867.00 11270.00
8/1/2007 10868.00 10932.00 11358.00
8/2/2007 10941.00 11005.00 11407.00
8/3/2007 10684.00 10745.00 11137.00
8/4/2007 10684.00 10745.00 11137.00
8/5/2007 10684.00 10745.00 11137.00
8/6/2007 10906.00 10970.00 11380.00
8/7/2007 10970.00 11037.00 11448.00
8/8/2007 11090.00 11155.00 11630.00
8/9/2007 10807.00 10869.00 11322.00
8/10/2007 10827.00 10892.00 11326.00
8/11/2007 10827.00 10892.00 11326.00
8/12/2007 10827.00 10892.00 11326.00
8/13/2007 10795.00 10858.00 11296.00
8/14/2007 10608.00 10669.00 11112.00
8/15/2007 10444.00 10505.00 10965.00
8/16/2007 10397.00 10460.00 10936.00
8/17/2007 10631.00 10696.00 11186.00
8/18/2007 10631.00 10696.00 11186.00
8/19/2007 10631.00 10696.00 11186.00
8/20/2007 10620.00 10682.00 11176.00
8/21/2007 10658.00 10720.00 11177.00
8/22/2007 10763.00 10829.00 11296.00
8/23/2007 10734.00 10799.00 11291.00
8/24/2007 10853.00 10920.00 11433.00
8/25/2007 10853.00 10920.00 11433.00
8/26/2007 10853.00 10920.00 11433.00
8/27/2007 10754.00 10820.00 11357.00
8/28/2007 10526.00 10589.00 11127.00
8/29/2007 10739.00 10805.00 11360.00
8/30/2007 10731.00 10798.00 11342.00
8/31/2007 10845.00 10912.00 11456.00
9/1/2007 10845.00 10912.00 11456.00
9/2/2007 10845.00 10912.00 11456.00
9/3/2007 10845.00 10912.00 11456.00
9/4/2007 10953.00 11020.00 11572.00
9/5/2007 10877.00 10946.00 11483.00
9/6/2007 10944.00 11011.00 11531.00
9/7/2007 10751.00 10817.00 11339.00
9/8/2007 10751.00 10817.00 11339.00
9/9/2007 10751.00 10817.00 11339.00
9/10/2007 10713.00 10779.00 11329.00
9/11/2007 10883.00 10951.00 11493.00
9/12/2007 10894.00 10963.00 11507.00
9/13/2007 10950.00 11018.00 11583.00
9/14/2007 10988.00 11058.00 11592.00
9/15/2007 10988.00 11058.00 11592.00
9/16/2007 10988.00 11058.00 11592.00
9/17/2007 10897.00 10967.00 11533.00
9/18/2007 11204.00 11277.00 11832.00
9/19/2007 11295.00 11367.00 11906.00
9/20/2007 11210.00 11283.00 11855.00
9/21/2007 11238.00 11313.00 11906.00
9/22/2007 11238.00 11313.00 11906.00
9/23/2007 11238.00 11313.00 11906.00
9/24/2007 11183.00 11254.00 11861.00
9/25/2007 11197.00 11270.00 11867.00
9/26/2007 11270.00 11345.00 11934.00
9/27/2007 11323.00 11398.00 11980.00
9/28/2007 11306.00 11379.00 11960.00
9/29/2007 11306.00 11379.00 11960.00
9/30/2007 11306.00 11379.00 11960.00
10/1/2007 11440.00 11516.00 12103.00
10/2/2007 11437.00 11514.00 12075.00
10/3/2007 11423.00 11498.00 12017.00
10/4/2007 11429.00 11504.00 12030.00
10/5/2007 11566.00 11644.00 12145.00
10/6/2007 11566.00 11644.00 12145.00
10/7/2007 11566.00 11644.00 12145.00
10/8/2007 11537.00 11615.00 12121.00
10/9/2007 11625.00 11704.00 12232.00
10/10/2007 11636.00 11716.00 12238.00
10/11/2007 11534.00 11613.00 12163.00
10/12/2007 11634.00 11713.00 12239.00
10/13/2007 11634.00 11713.00 12239.00
10/14/2007 11634.00 11713.00 12239.00
10/15/2007 11516.00 11595.00 12147.00
10/16/2007 11455.00 11533.00 12095.00
10/17/2007 11484.00 11562.00 12113.00
10/18/2007 11505.00 11583.00 12128.00
10/19/2007 11218.00 11294.00 11823.00
10/20/2007 11218.00 11294.00 11823.00
10/21/2007 11218.00 11294.00 11823.00
10/22/2007 11288.00 11363.00 11861.00
10/23/2007 11396.00 11473.00 11974.00
10/24/2007 11332.00 11409.00 11962.00
10/25/2007 11329.00 11405.00 11939.00
10/26/2007 11429.00 11507.00 12078.00
10/27/2007 11429.00 11507.00 12078.00
10/28/2007 11429.00 11507.00 12078.00
10/29/2007 11478.00 11558.00 12143.00
10/30/2007 11431.00 11511.00 12066.00
10/31/2007 11593.00 11668.00 12215.00
</Table>
AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED OCTOBER 31, 2007
- --------------------------------------------------------------------------------
SINCE INCEPTION
ONE YEAR (03/01/06)
-------- ---------------
RYDEX S&P 500 PURE GROWTH ETF..................................... 12.79% 9.26%
S&P 500/ CITIGROUP PURE GROWTH TOTAL RETURN INDEX................. 13.21% 9.68%
S&P 500 GROWTH TOTAL RETURN INDEX................................. 15.60% 12.74%
The returns presented above do not reflect the effect of taxes. Index returns
represent total returns. Past performance is not guarantee of future results.
10
Rydex S&P 500 Pure Growth ETF
PORTFOLIO SUMMARY As of October 31, 2007
- --------------------------------------------------------------------------------
TOP 10 HOLDINGS*
- --------------------------------------------------------------------------------
<Table>
<Caption>
DESCRIPTION % OF NET ASSETS
- ------------------------------------------------------------------------------------
AMAZON.COM, INC. 2.56%
APOLLO GROUP, INC. -- CLASS A 1.96%
EXPRESS SCRIPTS, INC. 1.82%
GOOGLE, INC. -- CLASS A 1.70%
XTO ENERGY, INC. 1.53%
HOSPIRA, INC. 1.39%
GILEAD SCIENCES, INC. 1.37%
APACHE CORP. 1.35%
COVENTRY HEALTH CARE, INC. 1.22%
DEVON ENERGY CORP. 1.11%
- ------------------------------------------------------------------------------------
</Table>
SECTOR ALLOCATIONS*
(PIE CHART)
<Table>
Health Care Consumer Discretionary Information Technology Energy
21.97 19.76 19.10 10.95
</Table>
<Table>
Health Care Consumer Staples Industrials Financials Materials
21.97 9.42 7.10 6.67 4.16
</Table>
<Table>
Health Care Utilities
21.97 0.87
</Table>
* The Fund's Top 10 Holdings are expressed as a percentage of net assets and the
Sector Allocations are expressed as a percentage of the Fund's investments
market value. These percentages may change over time.
11 ANNUAL REPORT
RYDEX S&P MIDCAP 400 PURE VALUE ETF
MANAGER'S ANALYSIS
- --------------------------------------------------------------------------------
For the year ended October 31, 2007, Rydex S&P MidCap 400 Pure Value ETF
returned 9.94%. Over the year its benchmark, the S&P 400/Citigroup Pure Value
Total Return Index, enjoyed a 10.32% return, underperforming its counterpart
index, the S&P MidCap 400 Value Total Return Index, which had a return of
12.96%.
This fund experienced very positive performance as it was exposed to two of the
best areas of the market until early summer (mid-cap and value stocks). However
the second half of the year was not as positive, as growth stocks came into
favor over value and returns for this ETF began to drag. Compared to the S&P
400/Citigroup Value Index, the pure benchmark benefited from the utilities
sector and was hurt by exposure to the Industrials sector.
CUMULATIVE FUND PERFORMANCE: MARCH 1, 2006 - OCTOBER 31, 2007
(PERFORMANCE GRAPH)
<Table>
<Caption>
RYDEX S&P S&P MIDCAP S&P MIDCAP
MIDCAP 400 400/CITIGROUP PURE 400/CITIGROUP VALUE
PURE VALUE VALUE TOTAL TOTAL RETURN
ETF(A) RETURN INDEX(B) INDEX(C)
---------- ------------------ -------------------
3/1/2006 10000.00 10000.00 10000.00
3/2/2006 9902.00 9903.00 9971.00
3/3/2006 9860.00 9864.00 9945.00
3/4/2006 9860.00 9864.00 9945.00
3/5/2006 9860.00 9864.00 9945.00
3/6/2006 9778.00 9781.00 9867.00
3/7/2006 9702.00 9703.00 9763.00
3/8/2006 9708.00 9710.00 9775.00
3/9/2006 9715.00 9716.00 9750.00
3/10/2006 9794.00 9797.00 9820.00
3/11/2006 9794.00 9797.00 9820.00
3/12/2006 9794.00 9797.00 9820.00
3/13/2006 9813.00 9815.00 9848.00
3/14/2006 9895.00 9899.00 9946.00
3/15/2006 9962.00 9966.00 10029.00
3/16/2006 9949.00 9954.00 10038.00
3/17/2006 9968.00 9973.00 10064.00
3/18/2006 9968.00 9973.00 10064.00
3/19/2006 9968.00 9973.00 10064.00
3/20/2006 9952.00 9956.00 10027.00
3/21/2006 9864.00 9867.00 9940.00
3/22/2006 9952.00 9955.00 10017.00
3/23/2006 9911.00 9914.00 10014.00
3/24/2006 9959.00 9962.00 10058.00
3/25/2006 9959.00 9962.00 10058.00
3/26/2006 9959.00 9962.00 10058.00
3/27/2006 9975.00 9980.00 10056.00
3/28/2006 9902.00 9907.00 10016.00
3/29/2006 10032.00 10037.00 10130.00
3/30/2006 10006.00 10010.00 10120.00
3/31/2006 9997.00 10003.00 10127.00
4/1/2006 9997.00 10003.00 10127.00
4/2/2006 9997.00 10003.00 10127.00
4/3/2006 10029.00 10034.00 10138.00
4/4/2006 10060.00 10065.00 10165.00
4/5/2006 10117.00 10124.00 10235.00
4/6/2006 10095.00 10101.00 10238.00
4/7/2006 9984.00 9990.00 10136.00
4/8/2006 9984.00 9990.00 10136.00
4/9/2006 9984.00 9990.00 10136.00
4/10/2006 9943.00 9947.00 10100.00
4/11/2006 9822.00 9829.00 9992.00
4/12/2006 9879.00 9884.00 10033.00
4/13/2006 9860.00 9867.00 10030.00
4/14/2006 9860.00 9867.00 10030.00
4/15/2006 9860.00 9867.00 10030.00
4/16/2006 9860.00 9867.00 10030.00
4/17/2006 9851.00 9856.00 10029.00
4/18/2006 10079.00 10085.00 10264.00
4/19/2006 10146.00 10152.00 10358.00
4/20/2006 10206.00 10214.00 10362.00
4/21/2006 10200.00 10207.00 10363.00
4/22/2006 10200.00 10207.00 10363.00
4/23/2006 10200.00 10207.00 10363.00
4/24/2006 10165.00 10171.00 10334.00
4/25/2006 10181.00 10189.00 10313.00
4/26/2006 10187.00 10194.00 10296.00
4/27/2006 10184.00 10191.00 10315.00
4/28/2006 10181.00 10188.00 10340.00
4/29/2006 10181.00 10188.00 10340.00
4/30/2006 10181.00 10188.00 10340.00
5/1/2006 10149.00 10157.00 10325.00
5/2/2006 10197.00 10206.00 10371.00
5/3/2006 10222.00 10231.00 10366.00
5/4/2006 10308.00 10319.00 10438.00
5/5/2006 10406.00 10415.00 10531.00
5/6/2006 10406.00 10415.00 10531.00
5/7/2006 10406.00 10415.00 10531.00
5/8/2006 10422.00 10432.00 10548.00
5/9/2006 10403.00 10412.00 10531.00
5/10/2006 10365.00 10374.00 10508.00
5/11/2006 10203.00 10213.00 10361.00
5/12/2006 10003.00 10011.00 10186.00
5/13/2006 10003.00 10011.00 10186.00
5/14/2006 10003.00 10011.00 10186.00
5/15/2006 10013.00 10020.00 10138.00
5/16/2006 9978.00 9985.00 10104.00
5/17/2006 9797.00 9804.00 9928.00
5/18/2006 9740.00 9748.00 9834.00
5/19/2006 9791.00 9798.00 9861.00
5/20/2006 9791.00 9798.00 9861.00
5/21/2006 9791.00 9798.00 9861.00
5/22/2006 9778.00 9786.00 9790.00
5/23/2006 9683.00 9691.00 9739.00
5/24/2006 9746.00 9755.00 9745.00
5/25/2006 9883.00 9890.00 9879.00
5/26/2006 9940.00 9950.00 9944.00
5/27/2006 9940.00 9950.00 9944.00
5/28/2006 9940.00 9950.00 9944.00
5/29/2006 9940.00 9950.00 9944.00
5/30/2006 9749.00 9758.00 9785.00
5/31/2006 9886.00 9894.00 9926.00
6/1/2006 10051.00 10062.00 10077.00
6/2/2006 10070.00 10081.00 10114.00
6/3/2006 10070.00 10081.00 10114.00
6/4/2006 10070.00 10081.00 10114.00
6/5/2006 9854.00 9864.00 9880.00
6/6/2006 9860.00 9869.00 9828.00
6/7/2006 9791.00 9801.00 9744.00
6/8/2006 9759.00 9768.00 9700.00
6/9/2006 9772.00 9783.00 9687.00
6/10/2006 9772.00 9783.00 9687.00
6/11/2006 9772.00 9783.00 9687.00
6/12/2006 9610.00 9619.00 9491.00
6/13/2006 9474.00 9483.00 9343.00
6/14/2006 9502.00 9510.00 9368.00
6/15/2006 9768.00 9778.00 9660.00
6/16/2006 9715.00 9724.00 9609.00
6/17/2006 9715.00 9724.00 9609.00
6/18/2006 9715.00 9724.00 9609.00
6/19/2006 9591.00 9600.00 9466.00
6/20/2006 9591.00 9602.00 9440.00
6/21/2006 9737.00 9749.00 9600.00
6/22/2006 9664.00 9674.00 9539.00
6/23/2006 9718.00 9730.00 9586.00
6/24/2006 9718.00 9730.00 9586.00
6/25/2006 9718.00 9730.00 9586.00
6/26/2006 9800.00 9812.00 9654.00
6/27/2006 9692.00 9704.00 9561.00
6/28/2006 9730.00 9742.00 9587.00
6/29/2006 10006.00 10020.00 9863.00
6/30/2006 10067.00 10080.00 9923.00
7/1/2006 10067.00 10080.00 9923.00
7/2/2006 10067.00 10080.00 9923.00
7/3/2006 10121.00 10134.00 9991.00
7/4/2006 10121.00 10134.00 9991.00
7/5/2006 10022.00 10035.00 9853.00
7/6/2006 10025.00 10037.00 9876.00
7/7/2006 9981.00 9994.00 9800.00
7/8/2006 9981.00 9994.00 9800.00
7/9/2006 9981.00 9994.00 9800.00
7/10/2006 10016.00 10029.00 9809.00
7/11/2006 10089.00 10102.00 9852.00
7/12/2006 9965.00 9979.00 9737.00
7/13/2006 9787.00 9799.00 9566.00
7/14/2006 9724.00 9737.00 9501.00
7/15/2006 9724.00 9737.00 9501.00
7/16/2006 9724.00 9737.00 9501.00
7/17/2006 9696.00 9707.00 9439.00
7/18/2006 9724.00 9736.00 9450.00
7/19/2006 9902.00 9916.00 9667.00
7/20/2006 9749.00 9761.00 9465.00
7/21/2006 9664.00 9677.00 9335.00
7/22/2006 9664.00 9677.00 9335.00
7/23/2006 9664.00 9677.00 9335.00
7/24/2006 9851.00 9865.00 9517.00
7/25/2006 9914.00 9928.00 9619.00
7/26/2006 9895.00 9909.00 9620.00
7/27/2006 9800.00 9816.00 9539.00
7/28/2006 9933.00 9950.00 9693.00
7/29/2006 9933.00 9950.00 9693.00
7/30/2006 9933.00 9950.00 9693.00
7/31/2006 9911.00 9926.00 9701.00
8/1/2006 9860.00 9874.00 9643.00
8/2/2006 9905.00 9919.00 9691.00
8/3/2006 9968.00 9984.00 9749.00
8/4/2006 9946.00 9963.00 9732.00
8/5/2006 9946.00 9963.00 9732.00
8/6/2006 9946.00 9963.00 9732.00
8/7/2006 9902.00 9916.00 9664.00
8/8/2006 9854.00 9870.00 9594.00
8/9/2006 9746.00 9761.00 9529.00
8/10/2006 9784.00 9798.00 9572.00
8/11/2006 9692.00 9709.00 9498.00
8/12/2006 9692.00 9709.00 9498.00
8/13/2006 9692.00 9709.00 9498.00
8/14/2006 9749.00 9763.00 9512.00
8/15/2006 9895.00 9913.00 9679.00
8/16/2006 10010.00 10026.00 9802.00
8/17/2006 10006.00 10025.00 9797.00
8/18/2006 10016.00 10034.00 9814.00
8/19/2006 10016.00 10034.00 9814.00
8/20/2006 10016.00 10034.00 9814.00
8/21/2006 9924.00 9941.00 9735.00
8/22/2006 9946.00 9964.00 9753.00
8/23/2006 9848.00 9865.00 9658.00
8/24/2006 9835.00 9852.00 9646.00
8/25/2006 9813.00 9831.00 9637.00
8/26/2006 9813.00 9831.00 9637.00
8/27/2006 9813.00 9831.00 9637.00
8/28/2006 9914.00 9931.00 9710.00
8/29/2006 10000.00 10017.00 9767.00
8/30/2006 10025.00 10043.00 9796.00
8/31/2006 10089.00 10107.00 9845.00
9/1/2006 10111.00 10129.00 9877.00
9/2/2006 10111.00 10129.00 9877.00
9/3/2006 10111.00 10129.00 9877.00
9/4/2006 10111.00 10129.00 9877.00
9/5/2006 10152.00 10172.00 9924.00
9/6/2006 10016.00 10033.00 9760.00
9/7/2006 9965.00 9985.00 9697.00
9/8/2006 9997.00 10015.00 9710.00
9/9/2006 9997.00 10015.00 9710.00
9/10/2006 9997.00 10015.00 9710.00
9/11/2006 10013.00 10032.00 9688.00
9/12/2006 10171.00 10191.00 9833.00
9/13/2006 10225.00 10245.00 9916.00
9/14/2006 10178.00 10199.00 9862.00
9/15/2006 10164.00 10186.00 9856.00
9/16/2006 10164.00 10186.00 9856.00
9/17/2006 10164.00 10186.00 9856.00
9/18/2006 10119.00 10140.00 9839.00
9/19/2006 10094.00 10114.00 9806.00
9/20/2006 10192.00 10214.00 9875.00
9/21/2006 10081.00 10102.00 9793.00
9/22/2006 10021.00 10043.00 9728.00
9/23/2006 10021.00 10043.00 9728.00
9/24/2006 10021.00 10043.00 9728.00
9/25/2006 10116.00 10138.00 9815.00
9/26/2006 10186.00 10207.00 9881.00
9/27/2006 10205.00 10227.00 9911.00
9/28/2006 10192.00 10214.00 9918.00
9/29/2006 10123.00 10146.00 9866.00
9/30/2006 10123.00 10146.00 9866.00
10/1/2006 10123.00 10146.00 9866.00
10/2/2006 10126.00 10148.00 9834.00
10/3/2006 10135.00 10158.00 9816.00
10/4/2006 10288.00 10311.00 9952.00
10/5/2006 10367.00 10389.00 10061.00
10/6/2006 10303.00 10326.00 10005.00
10/7/2006 10303.00 10326.00 10005.00
10/8/2006 10303.00 10326.00 10005.00
10/9/2006 10348.00 10372.00 10071.00
10/10/2006 10380.00 10403.00 10100.00
10/11/2006 10380.00 10405.00 10091.00
10/12/2006 10519.00 10544.00 10228.00
10/13/2006 10560.00 10586.00 10275.00
10/14/2006 10560.00 10586.00 10275.00
10/15/2006 10560.00 10586.00 10275.00
10/16/2006 10627.00 10654.00 10344.00
10/17/2006 10579.00 10606.00 10276.00
10/18/2006 10576.00 10603.00 10264.00
10/19/2006 10633.00 10659.00 10308.00
10/20/2006 10592.00 10620.00 10237.00
10/21/2006 10592.00 10620.00 10237.00
10/22/2006 10592.00 10620.00 10237.00
10/23/2006 10636.00 10663.00 10283.00
10/24/2006 10633.00 10659.00 10313.00
10/25/2006 10684.00 10712.00 10371.00
10/26/2006 10773.00 10800.00 10440.00
10/27/2006 10643.00 10669.00 10323.00
10/28/2006 10643.00 10669.00 10323.00
10/29/2006 10643.00 10669.00 10323.00
10/30/2006 10674.00 10702.00 10351.00
10/31/2006 10646.00 10674.00 10312.00
11/1/2006 10550.00 10578.00 10204.00
11/2/2006 10528.00 10555.00 10191.00
11/3/2006 10531.00 10558.00 10199.00
11/4/2006 10531.00 10558.00 10199.00
11/5/2006 10531.00 10558.00 10199.00
11/6/2006 10703.00 10731.00 10313.00
11/7/2006 10703.00 10733.00 10334.00
11/8/2006 10793.00 10822.00 10396.00
11/9/2006 10748.00 10777.00 10344.00
11/10/2006 10835.00 10866.00 10409.00
11/11/2006 10835.00 10866.00 10409.00
11/12/2006 10835.00 10866.00 10409.00
11/13/2006 10876.00 10908.00 10434.00
11/14/2006 11004.00 11034.00 10539.00
11/15/2006 11046.00 11079.00 10582.00
11/16/2006 11062.00 11094.00 10597.00
11/17/2006 11049.00 11082.00 10582.00
11/18/2006 11049.00 11082.00 10582.00
11/19/2006 11049.00 11082.00 10582.00
11/20/2006 11068.00 11101.00 10612.00
11/21/2006 11078.00 11111.00 10629.00
11/22/2006 11129.00 11161.00 10682.00
11/23/2006 11129.00 11161.00 10682.00
11/24/2006 11132.00 11165.00 10678.00
11/25/2006 11132.00 11165.00 10678.00
11/26/2006 11132.00 11165.00 10678.00
11/27/2006 10895.00 10928.00 10450.00
11/28/2006 10931.00 10962.00 10484.00
11/29/2006 11036.00 11069.00 10597.00
11/30/2006 11052.00 11085.00 10627.00
12/1/2006 11046.00 11080.00 10627.00
12/2/2006 11046.00 11080.00 10627.00
12/3/2006 11046.00 11080.00 10627.00
12/4/2006 11212.00 11248.00 10763.00
12/5/2006 11235.00 11270.00 10781.00
12/6/2006 11203.00 11237.00 10768.00
12/7/2006 11164.00 11201.00 10729.00
12/8/2006 11145.00 11180.00 10733.00
12/9/2006 11145.00 11180.00 10733.00
12/10/2006 11145.00 11180.00 10733.00
12/11/2006 11155.00 11188.00 10726.00
12/12/2006 11094.00 11128.00 10680.00
12/13/2006 11167.00 11204.00 10699.00
12/14/2006 11267.00 11303.00 10776.00
12/15/2006 11251.00 11288.00 10764.00
12/16/2006 11251.00 11288.00 10764.00
12/17/2006 11251.00 11288.00 10764.00
12/18/2006 11129.00 11170.00 10656.00
12/19/2006 11129.00 11169.00 10654.00
12/20/2006 11164.00 11204.00 10677.00
12/21/2006 11107.00 11148.00 10624.00
12/22/2006 11094.00 11133.00 10590.00
12/23/2006 11094.00 11133.00 10590.00
12/24/2006 11094.00 11133.00 10590.00
12/25/2006 11094.00 11133.00 10590.00
12/26/2006 11212.00 11253.00 10671.00
12/27/2006 11319.00 11362.00 10764.00
12/28/2006 11255.00 11298.00 10721.00
12/29/2006 11156.00 11199.00 10642.00
12/30/2006 11156.00 11199.00 10642.00
12/31/2006 11156.00 11199.00 10642.00
1/1/2007 11156.00 11199.00 10642.00
1/2/2007 11156.00 11199.00 10642.00
1/3/2007 11252.00 11297.00 10696.00
1/4/2007 11265.00 11307.00 10712.00
1/5/2007 11098.00 11142.00 10573.00
1/6/2007 11098.00 11142.00 10573.00
1/7/2007 11098.00 11142.00 10573.00
1/8/2007 11076.00 11119.00 10563.00
1/9/2007 11114.00 11157.00 10593.00
1/10/2007 11108.00 11152.00 10625.00
1/11/2007 11263.00 11307.00 10731.00
1/12/2007 11308.00 11352.00 10796.00
1/13/2007 11308.00 11352.00 10796.00
1/14/2007 11308.00 11352.00 10796.00
1/15/2007 11308.00 11352.00 10796.00
1/16/2007 11305.00 11348.00 10781.00
1/17/2007 11292.00 11335.00 10768.00
1/18/2007 11224.00 11267.00 10671.00
1/19/2007 11301.00 11345.00 10748.00
1/20/2007 11301.00 11345.00 10748.00
1/21/2007 11301.00 11345.00 10748.00
1/22/2007 11253.00 11298.00 10703.00
1/23/2007 11311.00 11355.00 10768.00
1/24/2007 11411.00 11457.00 10878.00
1/25/2007 11330.00 11375.00 10782.00
1/26/2007 11369.00 11415.00 10823.00
1/27/2007 11369.00 11415.00 10823.00
1/28/2007 11369.00 11415.00 10823.00
1/29/2007 11488.00 11534.00 10881.00
1/30/2007 11534.00 11581.00 10952.00
1/31/2007 11572.00 11618.00 10997.00
2/1/2007 11685.00 11733.00 11113.00
2/2/2007 11701.00 11748.00 11135.00
2/3/2007 11701.00 11748.00 11135.00
2/4/2007 11701.00 11748.00 11135.00
2/5/2007 11701.00 11751.00 11143.00
2/6/2007 11795.00 11843.00 11224.00
2/7/2007 11846.00 11897.00 11293.00
2/8/2007 11846.00 11895.00 11291.00
2/9/2007 11785.00 11834.00 11212.00
2/10/2007 11785.00 11834.00 11212.00
2/11/2007 11785.00 11834.00 11212.00
2/12/2007 11788.00 11837.00 11180.00
2/13/2007 11917.00 11967.00 11296.00
2/14/2007 11959.00 12011.00 11351.00
2/15/2007 11972.00 12024.00 11371.00
2/16/2007 11988.00 12038.00 11385.00
2/17/2007 11988.00 12038.00 11385.00
2/18/2007 11988.00 12038.00 11385.00
2/19/2007 11988.00 12038.00 11385.00
2/20/2007 12072.00 12123.00 11470.00
2/21/2007 12056.00 12108.00 11487.00
2/22/2007 12065.00 12117.00 11504.00
2/23/2007 12078.00 12132.00 11493.00
2/24/2007 12078.00 12132.00 11493.00
2/25/2007 12078.00 12132.00 11493.00
2/26/2007 12062.00 12114.00 11461.00
2/27/2007 11672.00 11722.00 11110.00
2/28/2007 11704.00 11755.00 11129.00
3/1/2007 11695.00 11746.00 11114.00
3/2/2007 11537.00 11587.00 10950.00
3/3/2007 11537.00 11587.00 10950.00
3/4/2007 11537.00 11587.00 10950.00
3/5/2007 11340.00 11388.00 10742.00
3/6/2007 11504.00 11554.00 10922.00
3/7/2007 11514.00 11564.00 10938.00
3/8/2007 11582.00 11631.00 11019.00
3/9/2007 11624.00 11674.00 11063.00
3/10/2007 11624.00 11674.00 11063.00
3/11/2007 11624.00 11674.00 11063.00
3/12/2007 11675.00 11727.00 11112.00
3/13/2007 11434.00 11482.00 10888.00
3/14/2007 11495.00 11544.00 10933.00
3/15/2007 11582.00 11634.00 11017.00
3/16/2007 11496.00 11547.00 10949.00
3/17/2007 11496.00 11547.00 10949.00
3/18/2007 11496.00 11547.00 10949.00
3/19/2007 11621.00 11675.00 11064.00
3/20/2007 11738.00 11792.00 11160.00
3/21/2007 11889.00 11942.00 11325.00
3/22/2007 11870.00 11922.00 11335.00
3/23/2007 11895.00 11950.00 11358.00
3/24/2007 11895.00 11950.00 11358.00
3/25/2007 11895.00 11950.00 11358.00
3/26/2007 11892.00 11946.00 11354.00
3/27/2007 11815.00 11868.00 11286.00
3/28/2007 11744.00 11798.00 11235.00
3/29/2007 11770.00 11825.00 11236.00
3/30/2007 11773.00 11828.00 11246.00
3/31/2007 11773.00 11828.00 11246.00
4/1/2007 11773.00 11828.00 11246.00
4/2/2007 11873.00 11929.00 11310.00
4/3/2007 11964.00 12020.00 11393.00
4/4/2007 11938.00 11994.00 11388.00
4/5/2007 11954.00 12009.00 11408.00
4/6/2007 11954.00 12009.00 11408.00
4/7/2007 11954.00 12009.00 11408.00
4/8/2007 11954.00 12009.00 11408.00
4/9/2007 11974.00 12031.00 11428.00
4/10/2007 12022.00 12079.00 11467.00
4/11/2007 11945.00 12001.00 11397.00
4/12/2007 12006.00 12063.00 11454.00
4/13/2007 12013.00 12069.00 11476.00
4/14/2007 12013.00 12069.00 11476.00
4/15/2007 12013.00 12069.00 11476.00
4/16/2007 12132.00 12191.00 11597.00
4/17/2007 12142.00 12199.00 11603.00
4/18/2007 12149.00 12206.00 11601.00
4/19/2007 12090.00 12149.00 11562.00
4/20/2007 12200.00 12261.00 11675.00
4/21/2007 12200.00 12261.00 11675.00
4/22/2007 12200.00 12261.00 11675.00
4/23/2007 12162.00 12221.00 11691.00
4/24/2007 12171.00 12230.00 11687.00
4/25/2007 12288.00 12348.00 11787.00
4/26/2007 12307.00 12368.00 11793.00
4/27/2007 12239.00 12298.00 11740.00
4/28/2007 12239.00 12298.00 11740.00
4/29/2007 12239.00 12298.00 11740.00
4/30/2007 12055.00 12114.00 11563.00
5/1/2007 12097.00 12157.00 11595.00
5/2/2007 12223.00 12282.00 11720.00
5/3/2007 12252.00 12313.00 11763.00
5/4/2007 12307.00 12370.00 11796.00
5/5/2007 12307.00 12370.00 11796.00
5/6/2007 12307.00 12370.00 11796.00
5/7/2007 12323.00 12384.00 11812.00
5/8/2007 12310.00 12373.00 11816.00
5/9/2007 12366.00 12428.00 11900.00
5/10/2007 12194.00 12254.00 11744.00
5/11/2007 12304.00 12367.00 11854.00
5/12/2007 12304.00 12367.00 11854.00
5/13/2007 12304.00 12367.00 11854.00
5/14/2007 12262.00 12323.00 11809.00
5/15/2007 12226.00 12289.00 11760.00
5/16/2007 12310.00 12372.00 11828.00
5/17/2007 12278.00 12340.00 11806.00
5/18/2007 12336.00 12401.00 11862.00
5/19/2007 12336.00 12401.00 11862.00
5/20/2007 12336.00 12401.00 11862.00
5/21/2007 12411.00 12476.00 11940.00
5/22/2007 12427.00 12492.00 11967.00
5/23/2007 12366.00 12429.00 11910.00
5/24/2007 12165.00 12229.00 11710.00
5/25/2007 12252.00 12315.00 11789.00
5/26/2007 12252.00 12315.00 11789.00
5/27/2007 12252.00 12315.00 11789.00
5/28/2007 12252.00 12315.00 11789.00
5/29/2007 12323.00 12389.00 11858.00
5/30/2007 12440.00 12508.00 11996.00
5/31/2007 12472.00 12540.00 12068.00
6/1/2007 12560.00 12627.00 12148.00
6/2/2007 12560.00 12627.00 12148.00
6/3/2007 12560.00 12627.00 12148.00
6/4/2007 12608.00 12678.00 12200.00
6/5/2007 12511.00 12578.00 12112.00
6/6/2007 12356.00 12420.00 11955.00
6/7/2007 12087.00 12149.00 11703.00
6/8/2007 12223.00 12288.00 11830.00
6/9/2007 12223.00 12288.00 11830.00
6/10/2007 12223.00 12288.00 11830.00
6/11/2007 12210.00 12274.00 11830.00
6/12/2007 12051.00 12115.00 11688.00
6/13/2007 12184.00 12249.00 11821.00
6/14/2007 12246.00 12312.00 11908.00
6/15/2007 12338.00 12404.00 11992.00
6/16/2007 12338.00 12404.00 11992.00
6/17/2007 12338.00 12404.00 11992.00
6/18/2007 12290.00 12357.00 11948.00
6/19/2007 12267.00 12335.00 11934.00
6/20/2007 12112.00 12175.00 11788.00
6/21/2007 12183.00 12250.00 11872.00
6/22/2007 12063.00 12128.00 11762.00
6/23/2007 12063.00 12128.00 11762.00
6/24/2007 12063.00 12128.00 11762.00
6/25/2007 11966.00 12031.00 11673.00
6/26/2007 11969.00 12035.00 11629.00
6/27/2007 12115.00 12181.00 11766.00
6/28/2007 12134.00 12200.00 11780.00
6/29/2007 12102.00 12168.00 11747.00
6/30/2007 12102.00 12168.00 11747.00
7/1/2007 12102.00 12168.00 11747.00
7/2/2007 12301.00 12369.00 11925.00
7/3/2007 12330.00 12399.00 11957.00
7/4/2007 12330.00 12399.00 11957.00
7/5/2007 12340.00 12407.00 11969.00
7/6/2007 12369.00 12437.00 12024.00
7/7/2007 12369.00 12437.00 12024.00
7/8/2007 12369.00 12437.00 12024.00
7/9/2007 12388.00 12457.00 12041.00
7/10/2007 12148.00 12214.00 11837.00
7/11/2007 12203.00 12269.00 11894.00
7/12/2007 12392.00 12460.00 12103.00
7/13/2007 12441.00 12511.00 12150.00
7/14/2007 12441.00 12511.00 12150.00
7/15/2007 12441.00 12511.00 12150.00
7/16/2007 12336.00 12406.00 12071.00
7/17/2007 12418.00 12487.00 12109.00
7/18/2007 12385.00 12456.00 12078.00
7/19/2007 12460.00 12533.00 12149.00
7/20/2007 12242.00 12315.00 11993.00
7/21/2007 12242.00 12315.00 11993.00
7/22/2007 12242.00 12315.00 11993.00
7/23/2007 12219.00 12291.00 11969.00
7/24/2007 11897.00 11967.00 11672.00
7/25/2007 11868.00 11937.00 11656.00
7/26/2007 11572.00 11637.00 11380.00
7/27/2007 11363.00 11429.00 11204.00
7/28/2007 11363.00 11429.00 11204.00
7/29/2007 11363.00 11429.00 11204.00
7/30/2007 11445.00 11509.00 11295.00
7/31/2007 11337.00 11403.00 11174.00
8/1/2007 11442.00 11508.00 11221.00
8/2/2007 11487.00 11555.00 11279.00
8/3/2007 11084.00 11147.00 10920.00
8/4/2007 11084.00 11147.00 10920.00
8/5/2007 11084.00 11147.00 10920.00
8/6/2007 11230.00 11296.00 11064.00
8/7/2007 11256.00 11323.00 11121.00
8/8/2007 11354.00 11420.00 11251.00
8/9/2007 11032.00 11093.00 10959.00
8/10/2007 11246.00 11310.00 11058.00
8/11/2007 11246.00 11310.00 11058.00
8/12/2007 11246.00 11310.00 11058.00
8/13/2007 11243.00 11309.00 11095.00
8/14/2007 11022.00 11085.00 10873.00
8/15/2007 10800.00 10862.00 10653.00
8/16/2007 10931.00 10995.00 10707.00
8/17/2007 11168.00 11232.00 10950.00
8/18/2007 11168.00 11232.00 10950.00
8/19/2007 11168.00 11232.00 10950.00
8/20/2007 11233.00 11299.00 11014.00
8/21/2007 11253.00 11319.00 11053.00
8/22/2007 11380.00 11449.00 11190.00
8/23/2007 11350.00 11419.00 11153.00
8/24/2007 11458.00 11527.00 11274.00
8/25/2007 11458.00 11527.00 11274.00
8/26/2007 11458.00 11527.00 11274.00
8/27/2007 11324.00 11392.00 11162.00
8/28/2007 11038.00 11102.00 10892.00
8/29/2007 11311.00 11381.00 11154.00
8/30/2007 11240.00 11309.00 11096.00
8/31/2007 11373.00 11441.00 11255.00
9/1/2007 11373.00 11441.00 11255.00
9/2/2007 11373.00 11441.00 11255.00
9/3/2007 11373.00 11441.00 11255.00
9/4/2007 11455.00 11525.00 11370.00
9/5/2007 11302.00 11369.00 11242.00
9/6/2007 11337.00 11405.00 11301.00
9/7/2007 11126.00 11194.00 11095.00
9/8/2007 11126.00 11194.00 11095.00
9/9/2007 11126.00 11194.00 11095.00
9/10/2007 11038.00 11104.00 11008.00
9/11/2007 11136.00 11203.00 11122.00
9/12/2007 11077.00 11145.00 11093.00
9/13/2007 11080.00 11146.00 11118.00
9/14/2007 11119.00 11186.00 11151.00
9/15/2007 11119.00 11186.00 11151.00
9/16/2007 11119.00 11186.00 11151.00
9/17/2007 11041.00 11108.00 11067.00
9/18/2007 11380.00 11450.00 11404.00
9/19/2007 11497.00 11571.00 11486.00
9/20/2007 11402.00 11474.00 11399.00
9/21/2007 11408.00 11480.00 11417.00
9/22/2007 11408.00 11480.00 11417.00
9/23/2007 11408.00 11480.00 11417.00
9/24/2007 11304.00 11376.00 11329.00
9/25/2007 11301.00 11372.00 11310.00
9/26/2007 11405.00 11476.00 11397.00
9/27/2007 11499.00 11572.00 11503.00
9/28/2007 11408.00 11481.00 11451.00
9/29/2007 11408.00 11481.00 11451.00
9/30/2007 11408.00 11481.00 11451.00
10/1/2007 11686.00 11762.00 11620.00
10/2/2007 11771.00 11849.00 11676.00
10/3/2007 11716.00 11792.00 11645.00
10/4/2007 11722.00 11797.00 11652.00
10/5/2007 11916.00 11994.00 11830.00
10/6/2007 11916.00 11994.00 11830.00
10/7/2007 11916.00 11994.00 11830.00
10/8/2007 11866.00 11946.00 11776.00
10/9/2007 11919.00 11998.00 11844.00
10/10/2007 11853.00 11930.00 11825.00
10/11/2007 11814.00 11890.00 11768.00
10/12/2007 11840.00 11919.00 11787.00
10/13/2007 11840.00 11919.00 11787.00
10/14/2007 11840.00 11919.00 11787.00
10/15/2007 11690.00 11765.00 11690.00
10/16/2007 11601.00 11678.00 11576.00
10/17/2007 11608.00 11686.00 11577.00
10/18/2007 11618.00 11695.00 11590.00
10/19/2007 11346.00 11420.00 11324.00
10/20/2007 11346.00 11420.00 11324.00
10/21/2007 11346.00 11420.00 11324.00
10/22/2007 11431.00 11507.00 11398.00
10/23/2007 11483.00 11560.00 11464.00
10/24/2007 11431.00 11508.00 11411.00
10/25/2007 11398.00 11474.00 11346.00
10/26/2007 11546.00 11622.00 11470.00
10/27/2007 11546.00 11622.00 11470.00
10/28/2007 11546.00 11622.00 11470.00
10/29/2007 11542.00 11619.00 11502.00
10/30/2007 11542.00 11618.00 11472.00
10/31/2007 11706.00 11778.00 11649.00
</Table>
AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED OCTOBER 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
SINCE INCEPTION
ONE YEAR (03/01/06)
-------- ---------------
RYDEX S&P MIDCAP 400 PURE VALUE ETF............................... 9.94% 9.90%
S&P MIDCAP 400/CITIGROUP PURE VALUE TOTAL RETURN INDEX............ 10.32% 10.31%
S&P MIDCAP 400 VALUE TOTAL RETURN INDEX........................... 12.96% 9.58%
</Table>
The returns presented above do not reflect the effect of taxes. Index returns
represent total returns. Past performance is not guarantee of future results.
12
Rydex S&P MidCap 400 Pure Value ETF
PORTFOLIO SUMMARY As of October 31, 2007
- --------------------------------------------------------------------------------
TOP 10 HOLDINGS*
- --------------------------------------------------------------------------------
<Table>
<Caption>
DESCRIPTION % OF NET ASSETS
- ------------------------------------------------------------------------------------
LYONDELL CHEMICAL CO. 3.57%
LEAR CORP. 2.55%
AVIS BUDGET GROUP, INC. 2.33%
AVNET, INC. 2.14%
OLIN CORP. 2.07%
ENERGY EAST CORP. 1.99%
BLACK HILLS CORP. 1.78%
UNIVERSAL CORP. 1.72%
PUGET ENERGY, INC. 1.71%
WORTHINGTON INDUSTRIES, INC. 1.61%
- ------------------------------------------------------------------------------------
</Table>
SECTOR ALLOCATIONS*
(PIE CHART)
<Table>
Utilities Materials Financials Consumer Discretionary Industrials
23.8 16.83 16.08 14.15 11.30
</Table>
<Table>
Utilities Information Technology Consumer Staples Energy
23.8 7.77 7.74 1.84
</Table>
<Table>
Utilities Telecommunication Services
23.8 0.49
</Table>
* The Fund's Top 10 Holdings are expressed as a percentage of net assets and the
Sector Allocations are expressed as a percentage of the Fund's investments
market value. These percentages may change over time.
13 ANNUAL REPORT
RYDEX S&P MIDCAP 400 PURE GROWTH ETF
MANAGER'S ANALYSIS
- --------------------------------------------------------------------------------
For the year ended October 31, 2007, Rydex S&P MidCap 400 Pure Growth ETF
returned 20.17%. Over the year its benchmark, the S&P 400/Citigroup Pure Growth
Total Return Index, delivered a 20.69% return - slightly under its counterpart
index, the S&P MidCap 400 Growth Total Return Index, which delivered a 21.05%
return.
This ETF benefited from being in the most favorable size and style of the
market. It spent the fiscal year being one of the best performers and ended the
year as a very profitable place to be. Although the ETF experienced some losses
during the summer, it rebounded well for the rest of the year.
CUMULATIVE FUND PERFORMANCE: MARCH 1, 2006 - OCTOBER 31, 2007
(PERFORMANCE GRAPH)
<Table>
<Caption>
RYDEX S&P S&P MIDCAP S&P MIDCAP
MIDCAP 400 400/CITIGROUP PURE 400/CITIGROUP GROWTH
PURE GROWTH GROWTH TOTAL TOTAL RETURN
ETF(A) RETURN INDEX(B) INDEX(C)
----------- ------------------ --------------------
3/1/2006 10000.00 10002.00 10000.00
3/2/2006 9918.00 9921.00 9957.00
3/3/2006 9884.00 9886.00 9921.00
3/4/2006 9884.00 9886.00 9921.00
3/5/2006 9884.00 9886.00 9921.00
3/6/2006 9802.00 9804.00 9808.00
3/7/2006 9679.00 9681.00 9683.00
3/8/2006 9685.00 9687.00 9688.00
3/9/2006 9618.00 9621.00 9621.00
3/10/2006 9690.00 9694.00 9677.00
3/11/2006 9690.00 9694.00 9677.00
3/12/2006 9690.00 9694.00 9677.00
3/13/2006 9736.00 9739.00 9739.00
3/14/2006 9835.00 9838.00 9848.00
3/15/2006 9871.00 9874.00 9904.00
3/16/2006 9850.00 9853.00 9905.00
3/17/2006 9884.00 9887.00 9932.00
3/18/2006 9884.00 9887.00 9932.00
3/19/2006 9884.00 9887.00 9932.00
3/20/2006 9875.00 9878.00 9903.00
3/21/2006 9804.00 9808.00 9820.00
3/22/2006 9886.00 9891.00 9898.00
3/23/2006 9905.00 9909.00 9926.00
3/24/2006 9933.00 9938.00 9985.00
3/25/2006 9933.00 9938.00 9985.00
3/26/2006 9933.00 9938.00 9985.00
3/27/2006 9907.00 9912.00 9978.00
3/28/2006 9899.00 9903.00 9957.00
3/29/2006 10023.00 10027.00 10052.00
3/30/2006 10030.00 10034.00 10070.00
3/31/2006 10046.00 10050.00 10069.00
4/1/2006 10046.00 10050.00 10069.00
4/2/2006 10046.00 10050.00 10069.00
4/3/2006 9983.00 9988.00 10033.00
4/4/2006 10036.00 10042.00 10071.00
4/5/2006 10124.00 10128.00 10152.00
4/6/2006 10135.00 10140.00 10160.00
4/7/2006 10044.00 10048.00 10062.00
4/8/2006 10044.00 10048.00 10062.00
4/9/2006 10044.00 10048.00 10062.00
4/10/2006 9991.00 9996.00 10027.00
4/11/2006 9892.00 9897.00 9937.00
4/12/2006 9895.00 9901.00 9956.00
4/13/2006 9905.00 9911.00 9976.00
4/14/2006 9905.00 9911.00 9976.00
4/15/2006 9905.00 9911.00 9976.00
4/16/2006 9905.00 9911.00 9976.00
4/17/2006 9888.00 9895.00 9970.00
4/18/2006 10099.00 10105.00 10181.00
4/19/2006 10181.00 10188.00 10286.00
4/20/2006 10179.00 10185.00 10291.00
4/21/2006 10087.00 10094.00 10255.00
4/22/2006 10087.00 10094.00 10255.00
4/23/2006 10087.00 10094.00 10255.00
4/24/2006 10021.00 10028.00 10203.00
4/25/2006 9991.00 9998.00 10148.00
4/26/2006 9962.00 9969.00 10089.00
4/27/2006 9918.00 9926.00 10077.00
4/28/2006 9962.00 9970.00 10135.00
4/29/2006 9962.00 9970.00 10135.00
4/30/2006 9962.00 9970.00 10135.00
5/1/2006 9899.00 9906.00 10110.00
5/2/2006 9930.00 9938.00 10163.00
5/3/2006 9924.00 9933.00 10143.00
5/4/2006 9914.00 9922.00 10188.00
5/5/2006 10011.00 10019.00 10304.00
5/6/2006 10011.00 10019.00 10304.00
5/7/2006 10011.00 10019.00 10304.00
5/8/2006 10008.00 10017.00 10321.00
5/9/2006 9975.00 9983.00 10293.00
5/10/2006 9943.00 9952.00 10276.00
5/11/2006 9812.00 9820.00 10155.00
5/12/2006 9648.00 9656.00 9969.00
5/13/2006 9648.00 9656.00 9969.00
5/14/2006 9648.00 9656.00 9969.00
5/15/2006 9595.00 9604.00 9887.00
5/16/2006 9584.00 9593.00 9874.00
5/17/2006 9430.00 9439.00 9696.00
5/18/2006 9380.00 9390.00 9609.00
5/19/2006 9430.00 9440.00 9623.00
5/20/2006 9430.00 9440.00 9623.00
5/21/2006 9430.00 9440.00 9623.00
5/22/2006 9337.00 9346.00 9541.00
5/23/2006 9272.00 9281.00 9498.00
5/24/2006 9244.00 9254.00 9460.00
5/25/2006 9335.00 9345.00 9558.00
5/26/2006 9399.00 9410.00 9621.00
5/27/2006 9399.00 9410.00 9621.00
5/28/2006 9399.00 9410.00 9621.00
5/29/2006 9399.00 9410.00 9621.00
5/30/2006 9228.00 9238.00 9469.00
5/31/2006 9363.00 9373.00 9620.00
6/1/2006 9508.00 9518.00 9765.00
6/2/2006 9521.00 9531.00 9803.00
6/3/2006 9521.00 9531.00 9803.00
6/4/2006 9521.00 9531.00 9803.00
6/5/2006 9272.00 9282.00 9549.00
6/6/2006 9251.00 9261.00 9493.00
6/7/2006 9204.00 9212.00 9419.00
6/8/2006 9177.00 9185.00 9373.00
6/9/2006 9145.00 9152.00 9349.00
6/10/2006 9145.00 9152.00 9349.00
6/11/2006 9145.00 9152.00 9349.00
6/12/2006 8913.00 8917.00 9115.00
6/13/2006 8765.00 8769.00 8960.00
6/14/2006 8833.00 8837.00 9032.00
6/15/2006 9126.00 9134.00 9331.00
6/16/2006 9078.00 9085.00 9305.00
6/17/2006 9078.00 9085.00 9305.00
6/18/2006 9078.00 9085.00 9305.00
6/19/2006 8943.00 8950.00 9143.00
6/20/2006 8907.00 8912.00 9097.00
6/21/2006 9073.00 9081.00 9276.00
6/22/2006 9016.00 9023.00 9228.00
6/23/2006 9170.00 9179.00 9359.00
6/24/2006 9170.00 9179.00 9359.00
6/25/2006 9170.00 9179.00 9359.00
6/26/2006 9194.00 9205.00 9392.00
6/27/2006 9092.00 9100.00 9309.00
6/28/2006 9069.00 9077.00 9306.00
6/29/2006 9337.00 9349.00 9588.00
6/30/2006 9380.00 9393.00 9629.00
7/1/2006 9380.00 9393.00 9629.00
7/2/2006 9380.00 9393.00 9629.00
7/3/2006 9428.00 9442.00 9705.00
7/4/2006 9428.00 9442.00 9705.00
7/5/2006 9278.00 9290.00 9536.00
7/6/2006 9301.00 9313.00 9566.00
7/7/2006 9209.00 9220.00 9458.00
7/8/2006 9209.00 9220.00 9458.00
7/9/2006 9209.00 9220.00 9458.00
7/10/2006 9152.00 9163.00 9413.00
7/11/2006 9187.00 9198.00 9443.00
7/12/2006 9061.00 9071.00 9329.00
7/13/2006 8892.00 8899.00 9170.00
7/14/2006 8818.00 8825.00 9100.00
7/15/2006 8818.00 8825.00 9100.00
7/16/2006 8818.00 8825.00 9100.00
7/17/2006 8782.00 8789.00 9030.00
7/18/2006 8782.00 8791.00 9023.00
7/19/2006 9023.00 9033.00 9255.00
7/20/2006 8812.00 8820.00 9028.00
7/21/2006 8694.00 8703.00 8885.00
7/22/2006 8694.00 8703.00 8885.00
7/23/2006 8694.00 8703.00 8885.00
7/24/2006 8928.00 8937.00 9104.00
7/25/2006 9021.00 9031.00 9230.00
7/26/2006 8964.00 8973.00 9218.00
7/27/2006 8852.00 8860.00 9105.00
7/28/2006 8997.00 9005.00 9252.00
7/29/2006 8997.00 9005.00 9252.00
7/30/2006 8997.00 9005.00 9252.00
7/31/2006 8995.00 9005.00 9285.00
8/1/2006 8873.00 8882.00 9186.00
8/2/2006 8936.00 8945.00 9263.00
8/3/2006 9004.00 9014.00 9337.00
8/4/2006 8919.00 8928.00 9270.00
8/5/2006 8919.00 8928.00 9270.00
8/6/2006 8919.00 8928.00 9270.00
8/7/2006 8871.00 8880.00 9224.00
8/8/2006 8759.00 8769.00 9131.00
8/9/2006 8664.00 8674.00 9059.00
8/10/2006 8732.00 8743.00 9136.00
8/11/2006 8643.00 8652.00 9053.00
8/12/2006 8643.00 8652.00 9053.00
8/13/2006 8643.00 8652.00 9053.00
8/14/2006 8634.00 8643.00 9045.00
8/15/2006 8812.00 8823.00 9223.00
8/16/2006 8968.00 8979.00 9372.00
8/17/2006 8978.00 8989.00 9376.00
8/18/2006 9016.00 9026.00 9398.00
8/19/2006 9016.00 9026.00 9398.00
8/20/2006 9016.00 9026.00 9398.00
8/21/2006 8905.00 8916.00 9306.00
8/22/2006 8905.00 8916.00 9308.00
8/23/2006 8837.00 8847.00 9225.00
8/24/2006 8748.00 8759.00 9190.00
8/25/2006 8748.00 8758.00 9190.00
8/26/2006 8748.00 8758.00 9190.00
8/27/2006 8748.00 8758.00 9190.00
8/28/2006 8845.00 8856.00 9264.00
8/29/2006 8894.00 8907.00 9302.00
8/30/2006 8924.00 8937.00 9318.00
8/31/2006 8936.00 8948.00 9353.00
9/1/2006 8989.00 9002.00 9417.00
9/2/2006 8989.00 9002.00 9417.00
9/3/2006 8989.00 9002.00 9417.00
9/4/2006 8989.00 9002.00 9417.00
9/5/2006 9016.00 9028.00 9448.00
9/6/2006 8865.00 8877.00 9281.00
9/7/2006 8826.00 8837.00 9227.00
9/8/2006 8827.00 8841.00 9223.00
9/9/2006 8827.00 8841.00 9223.00
9/10/2006 8827.00 8841.00 9223.00
9/11/2006 8854.00 8867.00 9222.00
9/12/2006 9082.00 9095.00 9400.00
9/13/2006 9137.00 9151.00 9490.00
9/14/2006 9086.00 9099.00 9412.00
9/15/2006 9067.00 9081.00 9401.00
9/16/2006 9067.00 9081.00 9401.00
9/17/2006 9067.00 9081.00 9401.00
9/18/2006 9081.00 9095.00 9415.00
9/19/2006 9067.00 9082.00 9381.00
9/20/2006 9132.00 9147.00 9428.00
9/21/2006 9088.00 9103.00 9382.00
9/22/2006 9026.00 9040.00 9303.00
9/23/2006 9026.00 9040.00 9303.00
9/24/2006 9026.00 9040.00 9303.00
9/25/2006 9130.00 9146.00 9403.00
9/26/2006 9214.00 9229.00 9498.00
9/27/2006 9221.00 9237.00 9523.00
9/28/2006 9227.00 9242.00 9534.00
9/29/2006 9132.00 9147.00 9468.00
9/30/2006 9132.00 9147.00 9468.00
10/1/2006 9132.00 9147.00 9468.00
10/2/2006 9092.00 9108.00 9393.00
10/3/2006 9086.00 9102.00 9357.00
10/4/2006 9263.00 9280.00 9532.00
10/5/2006 9379.00 9397.00 9654.00
10/6/2006 9313.00 9330.00 9585.00
10/7/2006 9313.00 9330.00 9585.00
10/8/2006 9313.00 9330.00 9585.00
10/9/2006 9375.00 9393.00 9628.00
10/10/2006 9419.00 9437.00 9675.00
10/11/2006 9387.00 9403.00 9640.00
10/12/2006 9560.00 9578.00 9800.00
10/13/2006 9600.00 9619.00 9846.00
10/14/2006 9600.00 9619.00 9846.00
10/15/2006 9600.00 9619.00 9846.00
10/16/2006 9672.00 9692.00 9927.00
10/17/2006 9577.00 9596.00 9822.00
10/18/2006 9533.00 9551.00 9790.00
10/19/2006 9550.00 9569.00 9840.00
10/20/2006 9504.00 9524.00 9772.00
10/21/2006 9504.00 9524.00 9772.00
10/22/2006 9504.00 9524.00 9772.00
10/23/2006 9558.00 9576.00 9826.00
10/24/2006 9542.00 9562.00 9846.00
10/25/2006 9552.00 9571.00 9874.00
10/26/2006 9668.00 9689.00 9988.00
10/27/2006 9542.00 9562.00 9868.00
10/28/2006 9542.00 9562.00 9868.00
10/29/2006 9542.00 9562.00 9868.00
10/30/2006 9575.00 9596.00 9879.00
10/31/2006 9524.00 9544.00 9821.00
11/1/2006 9379.00 9399.00 9684.00
11/2/2006 9394.00 9414.00 9688.00
11/3/2006 9406.00 9425.00 9716.00
11/4/2006 9406.00 9425.00 9716.00
11/5/2006 9406.00 9425.00 9716.00
11/6/2006 9524.00 9544.00 9828.00
11/7/2006 9558.00 9578.00 9857.00
11/8/2006 9615.00 9635.00 9915.00
11/9/2006 9533.00 9554.00 9849.00
11/10/2006 9622.00 9644.00 9920.00
11/11/2006 9622.00 9644.00 9920.00
11/12/2006 9622.00 9644.00 9920.00
11/13/2006 9651.00 9672.00 9935.00
11/14/2006 9793.00 9816.00 10044.00
11/15/2006 9904.00 9925.00 10126.00
11/16/2006 9904.00 9926.00 10114.00
11/17/2006 9885.00 9908.00 10103.00
11/18/2006 9885.00 9908.00 10103.00
11/19/2006 9885.00 9908.00 10103.00
11/20/2006 9873.00 9897.00 10105.00
11/21/2006 9900.00 9923.00 10131.00
11/22/2006 9965.00 9988.00 10175.00
11/23/2006 9965.00 9988.00 10175.00
11/24/2006 9949.00 9973.00 10159.00
11/25/2006 9949.00 9973.00 10159.00
11/26/2006 9949.00 9973.00 10159.00
11/27/2006 9759.00 9783.00 9970.00
11/28/2006 9765.00 9789.00 9992.00
11/29/2006 9902.00 9927.00 10133.00
11/30/2006 9911.00 9936.00 10156.00
12/1/2006 9919.00 9944.00 10161.00
12/2/2006 9919.00 9944.00 10161.00
12/3/2006 9919.00 9944.00 10161.00
12/4/2006 10042.00 10067.00 10263.00
12/5/2006 10086.00 10112.00 10291.00
12/6/2006 10098.00 10123.00 10291.00
12/7/2006 10031.00 10055.00 10236.00
12/8/2006 10039.00 10063.00 10233.00
12/9/2006 10039.00 10063.00 10233.00
12/10/2006 10039.00 10063.00 10233.00
12/11/2006 10016.00 10041.00 10212.00
12/12/2006 9951.00 9976.00 10150.00
12/13/2006 9968.00 9993.00 10162.00
12/14/2006 10037.00 10062.00 10252.00
12/15/2006 9997.00 10024.00 10205.00
12/16/2006 9997.00 10024.00 10205.00
12/17/2006 9997.00 10024.00 10205.00
12/18/2006 9904.00 9932.00 10098.00
12/19/2006 9909.00 9938.00 10114.00
12/20/2006 9921.00 9949.00 10109.00
12/21/2006 9883.00 9911.00 10069.00
12/22/2006 9852.00 9880.00 10025.00
12/23/2006 9852.00 9880.00 10025.00
12/24/2006 9852.00 9880.00 10025.00
12/25/2006 9852.00 9880.00 10025.00
12/26/2006 9885.00 9913.00 10056.00
12/27/2006 9973.00 10002.00 10148.00
12/28/2006 9943.00 9972.00 10114.00
12/29/2006 9863.00 9893.00 10035.00
12/30/2006 9863.00 9893.00 10035.00
12/31/2006 9863.00 9893.00 10035.00
1/1/2007 9863.00 9893.00 10035.00
1/2/2007 9863.00 9893.00 10035.00
1/3/2007 9893.00 9923.00 10058.00
1/4/2007 9920.00 9949.00 10088.00
1/5/2007 9832.00 9862.00 10005.00
1/6/2007 9832.00 9862.00 10005.00
1/7/2007 9832.00 9862.00 10005.00
1/8/2007 9857.00 9888.00 10030.00
1/9/2007 9914.00 9945.00 10061.00
1/10/2007 9956.00 9986.00 10100.00
1/11/2007 10076.00 10106.00 10217.00
1/12/2007 10152.00 10184.00 10299.00
1/13/2007 10152.00 10184.00 10299.00
1/14/2007 10152.00 10184.00 10299.00
1/15/2007 10152.00 10184.00 10299.00
1/16/2007 10131.00 10162.00 10281.00
1/17/2007 10141.00 10172.00 10287.00
1/18/2007 10061.00 10091.00 10188.00
1/19/2007 10089.00 10122.00 10248.00
1/20/2007 10089.00 10122.00 10248.00
1/21/2007 10089.00 10122.00 10248.00
1/22/2007 10038.00 10070.00 10194.00
1/23/2007 10116.00 10148.00 10285.00
1/24/2007 10211.00 10244.00 10388.00
1/25/2007 10072.00 10104.00 10235.00
1/26/2007 10063.00 10094.00 10248.00
1/27/2007 10063.00 10094.00 10248.00
1/28/2007 10063.00 10094.00 10248.00
1/29/2007 10107.00 10138.00 10281.00
1/30/2007 10127.00 10160.00 10333.00
1/31/2007 10200.00 10233.00 10430.00
2/1/2007 10265.00 10298.00 10517.00
2/2/2007 10316.00 10350.00 10550.00
2/3/2007 10316.00 10350.00 10550.00
2/4/2007 10316.00 10350.00 10550.00
2/5/2007 10314.00 10348.00 10547.00
2/6/2007 10337.00 10371.00 10576.00
2/7/2007 10356.00 10391.00 10594.00
2/8/2007 10368.00 10403.00 10611.00
2/9/2007 10291.00 10325.00 10535.00
2/10/2007 10291.00 10325.00 10535.00
2/11/2007 10291.00 10325.00 10535.00
2/12/2007 10280.00 10314.00 10497.00
2/13/2007 10354.00 10389.00 10584.00
2/14/2007 10429.00 10465.00 10674.00
2/15/2007 10492.00 10528.00 10710.00
2/16/2007 10480.00 10515.00 10722.00
2/17/2007 10480.00 10515.00 10722.00
2/18/2007 10480.00 10515.00 10722.00
2/19/2007 10480.00 10515.00 10722.00
2/20/2007 10526.00 10562.00 10787.00
2/21/2007 10564.00 10601.00 10827.00
2/22/2007 10558.00 10594.00 10838.00
2/23/2007 10562.00 10598.00 10847.00
2/24/2007 10562.00 10598.00 10847.00
2/25/2007 10562.00 10598.00 10847.00
2/26/2007 10511.00 10548.00 10789.00
2/27/2007 10187.00 10221.00 10457.00
2/28/2007 10192.00 10228.00 10457.00
3/1/2007 10171.00 10208.00 10432.00
3/2/2007 10015.00 10053.00 10269.00
3/3/2007 10015.00 10053.00 10269.00
3/4/2007 10015.00 10053.00 10269.00
3/5/2007 9849.00 9886.00 10099.00
3/6/2007 9996.00 10033.00 10258.00
3/7/2007 10021.00 10059.00 10292.00
3/8/2007 10087.00 10126.00 10367.00
3/9/2007 10112.00 10152.00 10398.00
3/10/2007 10112.00 10152.00 10398.00
3/11/2007 10112.00 10152.00 10398.00
3/12/2007 10158.00 10198.00 10435.00
3/13/2007 9965.00 10004.00 10232.00
3/14/2007 10004.00 10042.00 10274.00
3/15/2007 10072.00 10111.00 10336.00
3/16/2007 10029.00 10068.00 10286.00
3/17/2007 10029.00 10068.00 10286.00
3/18/2007 10029.00 10068.00 10286.00
3/19/2007 10117.00 10158.00 10396.00
3/20/2007 10185.00 10227.00 10478.00
3/21/2007 10323.00 10363.00 10625.00
3/22/2007 10355.00 10397.00 10664.00
3/23/2007 10399.00 10441.00 10699.00
3/24/2007 10399.00 10441.00 10699.00
3/25/2007 10399.00 10441.00 10699.00
3/26/2007 10397.00 10439.00 10694.00
3/27/2007 10363.00 10404.00 10655.00
3/28/2007 10309.00 10351.00 10613.00
3/29/2007 10321.00 10362.00 10613.00
3/30/2007 10340.00 10383.00 10629.00
3/31/2007 10340.00 10383.00 10629.00
4/1/2007 10340.00 10383.00 10629.00
4/2/2007 10376.00 10419.00 10668.00
4/3/2007 10457.00 10500.00 10750.00
4/4/2007 10464.00 10508.00 10771.00
4/5/2007 10527.00 10571.00 10815.00
4/6/2007 10527.00 10571.00 10815.00
4/7/2007 10527.00 10571.00 10815.00
4/8/2007 10527.00 10571.00 10815.00
4/9/2007 10529.00 10574.00 10815.00
4/10/2007 10556.00 10601.00 10852.00
4/11/2007 10504.00 10548.00 10790.00
4/12/2007 10604.00 10649.00 10883.00
4/13/2007 10642.00 10688.00 10913.00
4/14/2007 10642.00 10688.00 10913.00
4/15/2007 10642.00 10688.00 10913.00
4/16/2007 10755.00 10801.00 11029.00
4/17/2007 10727.00 10773.00 10998.00
4/18/2007 10702.00 10748.00 10976.00
4/19/2007 10650.00 10696.00 10929.00
4/20/2007 10763.00 10809.00 11030.00
4/21/2007 10763.00 10809.00 11030.00
4/22/2007 10763.00 10809.00 11030.00
4/23/2007 10763.00 10811.00 11050.00
4/24/2007 10736.00 10783.00 11041.00
4/25/2007 10799.00 10846.00 11121.00
4/26/2007 10872.00 10920.00 11169.00
4/27/2007 10849.00 10898.00 11129.00
4/28/2007 10849.00 10898.00 11129.00
4/29/2007 10849.00 10898.00 11129.00
4/30/2007 10719.00 10766.00 10977.00
5/1/2007 10730.00 10777.00 11009.00
5/2/2007 10855.00 10903.00 11142.00
5/3/2007 10855.00 10904.00 11163.00
5/4/2007 10932.00 10980.00 11228.00
5/5/2007 10932.00 10980.00 11228.00
5/6/2007 10932.00 10980.00 11228.00
5/7/2007 10918.00 10967.00 11217.00
5/8/2007 10918.00 10967.00 11226.00
5/9/2007 10987.00 11038.00 11299.00
5/10/2007 10830.00 10878.00 11135.00
5/11/2007 10901.00 10950.00 11228.00
5/12/2007 10901.00 10950.00 11228.00
5/13/2007 10901.00 10950.00 11228.00
5/14/2007 10853.00 10903.00 11184.00
5/15/2007 10807.00 10857.00 11141.00
5/16/2007 10888.00 10938.00 11215.00
5/17/2007 10933.00 10984.00 11258.00
5/18/2007 11010.00 11061.00 11328.00
5/19/2007 11010.00 11061.00 11328.00
5/20/2007 11010.00 11061.00 11328.00
5/21/2007 11148.00 11200.00 11440.00
5/22/2007 11181.00 11233.00 11462.00
5/23/2007 11156.00 11209.00 11444.00
5/24/2007 11012.00 11064.00 11278.00
5/25/2007 11073.00 11125.00 11353.00
5/26/2007 11073.00 11125.00 11353.00
5/27/2007 11073.00 11125.00 11353.00
5/28/2007 11073.00 11125.00 11353.00
5/29/2007 11129.00 11181.00 11413.00
5/30/2007 11238.00 11291.00 11537.00
5/31/2007 11290.00 11344.00 11597.00
6/1/2007 11349.00 11403.00 11661.00
6/2/2007 11349.00 11403.00 11661.00
6/3/2007 11349.00 11403.00 11661.00
6/4/2007 11376.00 11431.00 11715.00
6/5/2007 11328.00 11382.00 11650.00
6/6/2007 11204.00 11258.00 11514.00
6/7/2007 10966.00 11019.00 11276.00
6/8/2007 11098.00 11152.00 11400.00
6/9/2007 11098.00 11152.00 11400.00
6/10/2007 11098.00 11152.00 11400.00
6/11/2007 11089.00 11143.00 11414.00
6/12/2007 10970.00 11023.00 11298.00
6/13/2007 11096.00 11150.00 11427.00
6/14/2007 11148.00 11203.00 11515.00
6/15/2007 11205.00 11260.00 11575.00
6/16/2007 11205.00 11260.00 11575.00
6/17/2007 11205.00 11260.00 11575.00
6/18/2007 11193.00 11249.00 11568.00
6/19/2007 11168.00 11223.00 11546.00
6/20/2007 11084.00 11138.00 11451.00
6/21/2007 11153.00 11208.00 11530.00
6/22/2007 11027.00 11082.00 11402.00
6/23/2007 11027.00 11082.00 11402.00
6/24/2007 11027.00 11082.00 11402.00
6/25/2007 10952.00 11007.00 11328.00
6/26/2007 10979.00 11033.00 11303.00
6/27/2007 11105.00 11160.00 11424.00
6/28/2007 11122.00 11179.00 11425.00
6/29/2007 11099.00 11155.00 11398.00
6/30/2007 11099.00 11155.00 11398.00
7/1/2007 11099.00 11155.00 11398.00
7/2/2007 11220.00 11277.00 11529.00
7/3/2007 11281.00 11339.00 11583.00
7/4/2007 11281.00 11339.00 11583.00
7/5/2007 11274.00 11332.00 11580.00
7/6/2007 11369.00 11428.00 11663.00
7/7/2007 11369.00 11428.00 11663.00
7/8/2007 11369.00 11428.00 11663.00
7/9/2007 11360.00 11420.00 11672.00
7/10/2007 11191.00 11250.00 11525.00
7/11/2007 11247.00 11306.00 11589.00
7/12/2007 11385.00 11444.00 11761.00
7/13/2007 11413.00 11474.00 11798.00
7/14/2007 11413.00 11474.00 11798.00
7/15/2007 11413.00 11474.00 11798.00
7/16/2007 11327.00 11387.00 11722.00
7/17/2007 11316.00 11376.00 11729.00
7/18/2007 11277.00 11338.00 11697.00
7/19/2007 11283.00 11344.00 11737.00
7/20/2007 11184.00 11243.00 11642.00
7/21/2007 11184.00 11243.00 11642.00
7/22/2007 11184.00 11243.00 11642.00
7/23/2007 11151.00 11210.00 11613.00
7/24/2007 10929.00 10986.00 11364.00
7/25/2007 10938.00 10996.00 11360.00
7/26/2007 10720.00 10777.00 11122.00
7/27/2007 10580.00 10636.00 11003.00
7/28/2007 10580.00 10636.00 11003.00
7/29/2007 10580.00 10636.00 11003.00
7/30/2007 10672.00 10728.00 11108.00
7/31/2007 10536.00 10592.00 10971.00
8/1/2007 10538.00 10593.00 10986.00
8/2/2007 10674.00 10730.00 11113.00
8/3/2007 10381.00 10435.00 10820.00
8/4/2007 10381.00 10435.00 10820.00
8/5/2007 10381.00 10435.00 10820.00
8/6/2007 10538.00 10593.00 10967.00
8/7/2007 10640.00 10697.00 11083.00
8/8/2007 10814.00 10873.00 11246.00
8/9/2007 10619.00 10675.00 11022.00
8/10/2007 10509.00 10567.00 10970.00
8/11/2007 10509.00 10567.00 10970.00
8/12/2007 10509.00 10567.00 10970.00
8/13/2007 10517.00 10574.00 10983.00
8/14/2007 10335.00 10390.00 10790.00
8/15/2007 10132.00 10186.00 10568.00
8/16/2007 10136.00 10190.00 10540.00
8/17/2007 10345.00 10400.00 10751.00
8/18/2007 10345.00 10400.00 10751.00
8/19/2007 10345.00 10400.00 10751.00
8/20/2007 10383.00 10439.00 10790.00
8/21/2007 10389.00 10445.00 10799.00
8/22/2007 10569.00 10627.00 10975.00
8/23/2007 10488.00 10546.00 10915.00
8/24/2007 10655.00 10714.00 11103.00
8/25/2007 10655.00 10714.00 11103.00
8/26/2007 10655.00 10714.00 11103.00
8/27/2007 10529.00 10586.00 10982.00
8/28/2007 10283.00 10340.00 10723.00
8/29/2007 10538.00 10597.00 10982.00
8/30/2007 10494.00 10553.00 10932.00
8/31/2007 10649.00 10708.00 11093.00
9/1/2007 10649.00 10708.00 11093.00
9/2/2007 10649.00 10708.00 11093.00
9/3/2007 10649.00 10708.00 11093.00
9/4/2007 10766.00 10827.00 11239.00
9/5/2007 10674.00 10734.00 11158.00
9/6/2007 10724.00 10785.00 11212.00
9/7/2007 10519.00 10579.00 11006.00
9/8/2007 10519.00 10579.00 11006.00
9/9/2007 10519.00 10579.00 11006.00
9/10/2007 10448.00 10506.00 10937.00
9/11/2007 10596.00 10657.00 11093.00
9/12/2007 10592.00 10652.00 11101.00
9/13/2007 10647.00 10708.00 11137.00
9/14/2007 10712.00 10774.00 11192.00
9/15/2007 10712.00 10774.00 11192.00
9/16/2007 10712.00 10774.00 11192.00
9/17/2007 10621.00 10681.00 11107.00
9/18/2007 10942.00 11006.00 11429.00
9/19/2007 10981.00 11044.00 11469.00
9/20/2007 10912.00 10976.00 11396.00
9/21/2007 10939.00 11003.00 11430.00
9/22/2007 10939.00 11003.00 11430.00
9/23/2007 10939.00 11003.00 11430.00
9/24/2007 10876.00 10939.00 11354.00
9/25/2007 10870.00 10934.00 11349.00
9/26/2007 10935.00 11000.00 11433.00
9/27/2007 10993.00 11058.00 11520.00
9/28/2007 10937.00 11002.00 11484.00
9/29/2007 10937.00 11002.00 11484.00
9/30/2007 10937.00 11002.00 11484.00
10/1/2007 11068.00 11133.00 11630.00
10/2/2007 11169.00 11236.00 11700.00
10/3/2007 11152.00 11218.00 11673.00
10/4/2007 11125.00 11192.00 11659.00
10/5/2007 11341.00 11411.00 11858.00
10/6/2007 11341.00 11411.00 11858.00
10/7/2007 11341.00 11411.00 11858.00
10/8/2007 11265.00 11333.00 11799.00
10/9/2007 11395.00 11464.00 11928.00
10/10/2007 11387.00 11457.00 11931.00
10/11/2007 11305.00 11373.00 11840.00
10/12/2007 11311.00 11380.00 11862.00
10/13/2007 11311.00 11380.00 11862.00
10/14/2007 11311.00 11380.00 11862.00
10/15/2007 11217.00 11286.00 11789.00
10/16/2007 11154.00 11221.00 11702.00
10/17/2007 11148.00 11216.00 11711.00
10/18/2007 11204.00 11270.00 11754.00
10/19/2007 10914.00 10980.00 11466.00
10/20/2007 10914.00 10980.00 11466.00
10/21/2007 10914.00 10980.00 11466.00
10/22/2007 10999.00 11065.00 11542.00
10/23/2007 11081.00 11148.00 11634.00
10/24/2007 11098.00 11164.00 11639.00
10/25/2007 11117.00 11184.00 11595.00
10/26/2007 11282.00 11351.00 11743.00
10/27/2007 11282.00 11351.00 11743.00
10/28/2007 11282.00 11351.00 11743.00
10/29/2007 11290.00 11360.00 11778.00
10/30/2007 11219.00 11288.00 11674.00
10/31/2007 11445.00 11516.00 11889.00
</Table>
AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED OCTOBER 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
SINCE INCEPTION
ONE YEAR (03/01/06)
-------- ---------------
RYDEX S&P MIDCAP 400 PURE GROWTH ETF.............................. 20.17% 8.42%
S&P MIDCAP 400/CITIGROUP PURE GROWTH TOTAL RETURN INDEX........... 20.69% 8.83%
S&P MIDCAP 400 GROWTH TOTAL RETURN INDEX.......................... 21.05% 10.93%
</Table>
The returns presented above do not reflect the effect of taxes. Index returns
represent total returns. Past performance is not guarantee of future results.
14
Rydex S&P MidCap 400 Pure Growth ETF
PORTFOLIO SUMMARY As of October 31, 2007
- --------------------------------------------------------------------------------
TOP 10 HOLDINGS*
- --------------------------------------------------------------------------------
<Table>
<Caption>
DESCRIPTION % OF NET ASSETS
- ------------------------------------------------------------------------------------
GAMESTOP CORP. -- CLASS A 2.17%
HANSEN NATURAL CORP. 1.77%
ITT EDUCATIONAL SERVICES, INC. 1.75%
GEN-PROBE, INC. 1.75%
STRAYER EDUCATION, INC. 1.69%
CAREER EDUCATION CORP. 1.67%
CORINTHIAN COLLEGES, INC. 1.59%
FRONTIER OIL CORP. 1.58%
DENBURY RESOURCES, INC. 1.55%
ENERGIZER HOLDINGS, INC. 1.52%
- ------------------------------------------------------------------------------------
</Table>
SECTOR ALLOCATIONS*
(PIE CHART)
<Table>
Consumer Discretionary Health Care Information Technology Industrials Energy
30.58 19.22 13.62 10.85 10.35
</Table>
<Table>
Consumer Discretionary Financials Consumer Staples Materials Utilities
30.58 6.83 4.61 3.34 0.60
</Table>
* The Fund's Top 10 Holdings are expressed as a percentage of net assets and the
Sector Allocations are expressed as a percentage of the Fund's investments
market value. These percentages may change over time.
15 ANNUAL REPORT
RYDEX S&P SMALLCAP 600 PURE VALUE ETF
MANAGER'S ANALYSIS
- --------------------------------------------------------------------------------
For the year ended October 31, 2007, Rydex S&P SmallCap 600 Pure Value ETF fell
- -5.38%. Over the year its benchmark, the S&P 600/Citigroup Pure Value Total
Return Index, slide -5.24%, underperforming its counterpart index, the S&P
SmallCap 600 Value Total Return Index, which returned 5.62%.
This ETF and its benchmark struggled versus other styles over the year. In
particular, the drop in the market this summer hit small-cap value stocks hard
and they never recovered. Compared to the S&P 600/Citigroup Value Index, the
pure index was hurt significantly by three sectors: consumer discretionary,
industrials and information technology.
CUMULATIVE FUND PERFORMANCE: MARCH 1, 2006 - OCTOBER 31, 2007
(PERFORMANCE GRAPH)
<Table>
<Caption>
S&P
RYDEX SMALLCAP 600/CITIGROUP S&P
S&P SMALLCAP PURE VALUE SMALLCAP 600/CITIGROUP
600 PURE TOTAL RETURN VALUE TOTAL
VALUE ETF(A) INDEX(B) RETURN INDEX(C)
------------ ---------------------- ----------------------
3/1/2006 10000.00 10000.00 10000.00
3/2/2006 9938.00 9938.00 9980.00
3/3/2006 9904.00 9906.00 9941.00
3/4/2006 9904.00 9906.00 9941.00
3/5/2006 9904.00 9906.00 9941.00
3/6/2006 9854.00 9856.00 9847.00
3/7/2006 9714.00 9717.00 9722.00
3/8/2006 9735.00 9737.00 9726.00
3/9/2006 9691.00 9693.00 9684.00
3/10/2006 9836.00 9839.00 9817.00
3/11/2006 9836.00 9839.00 9817.00
3/12/2006 9836.00 9839.00 9817.00
3/13/2006 9844.00 9847.00 9832.00
3/14/2006 9932.00 9934.00 9948.00
3/15/2006 9982.00 9985.00 10026.00
3/16/2006 10018.00 10022.00 10048.00
3/17/2006 10075.00 10079.00 10085.00
3/18/2006 10075.00 10079.00 10085.00
3/19/2006 10075.00 10079.00 10085.00
3/20/2006 10107.00 10109.00 10090.00
3/21/2006 9961.00 9965.00 9981.00
3/22/2006 10133.00 10137.00 10114.00
3/23/2006 10166.00 10172.00 10144.00
3/24/2006 10234.00 10238.00 10204.00
3/25/2006 10234.00 10238.00 10204.00
3/26/2006 10234.00 10238.00 10204.00
3/27/2006 10237.00 10242.00 10199.00
3/28/2006 10174.00 10179.00 10154.00
3/29/2006 10349.00 10354.00 10317.00
3/30/2006 10317.00 10323.00 10296.00
3/31/2006 10338.00 10344.00 10336.00
4/1/2006 10338.00 10344.00 10336.00
4/2/2006 10338.00 10344.00 10336.00
4/3/2006 10296.00 10301.00 10288.00
4/4/2006 10354.00 10360.00 10337.00
4/5/2006 10372.00 10378.00 10391.00
4/6/2006 10367.00 10374.00 10386.00
4/7/2006 10247.00 10254.00 10259.00
4/8/2006 10247.00 10254.00 10259.00
4/9/2006 10247.00 10254.00 10259.00
4/10/2006 10185.00 10190.00 10214.00
4/11/2006 10062.00 10069.00 10085.00
4/12/2006 10120.00 10125.00 10134.00
4/13/2006 10127.00 10133.00 10153.00
4/14/2006 10127.00 10133.00 10153.00
4/15/2006 10127.00 10133.00 10153.00
4/16/2006 10127.00 10133.00 10153.00
4/17/2006 10109.00 10116.00 10153.00
4/18/2006 10338.00 10344.00 10424.00
4/19/2006 10450.00 10457.00 10535.00
4/20/2006 10432.00 10441.00 10500.00
4/21/2006 10393.00 10402.00 10476.00
4/22/2006 10393.00 10402.00 10476.00
4/23/2006 10393.00 10402.00 10476.00
4/24/2006 10338.00 10347.00 10407.00
4/25/2006 10328.00 10336.00 10379.00
4/26/2006 10346.00 10355.00 10374.00
4/27/2006 10307.00 10316.00 10303.00
4/28/2006 10359.00 10369.00 10350.00
4/29/2006 10359.00 10369.00 10350.00
4/30/2006 10359.00 10369.00 10350.00
5/1/2006 10330.00 10338.00 10347.00
5/2/2006 10450.00 10459.00 10427.00
5/3/2006 10455.00 10466.00 10448.00
5/4/2006 10489.00 10498.00 10566.00
5/5/2006 10585.00 10594.00 10651.00
5/6/2006 10585.00 10594.00 10651.00
5/7/2006 10585.00 10594.00 10651.00
5/8/2006 10596.00 10607.00 10665.00
5/9/2006 10588.00 10599.00 10663.00
5/10/2006 10486.00 10496.00 10608.00
5/11/2006 10182.00 10192.00 10358.00
5/12/2006 9979.00 9988.00 10159.00
5/13/2006 9979.00 9988.00 10159.00
5/14/2006 9979.00 9988.00 10159.00
5/15/2006 9951.00 9958.00 10095.00
5/16/2006 9956.00 9964.00 10089.00
5/17/2006 9815.00 9823.00 9937.00
5/18/2006 9740.00 9748.00 9860.00
5/19/2006 9823.00 9833.00 9925.00
5/20/2006 9823.00 9833.00 9925.00
5/21/2006 9823.00 9833.00 9925.00
5/22/2006 9787.00 9796.00 9854.00
5/23/2006 9704.00 9711.00 9791.00
5/24/2006 9774.00 9783.00 9824.00
5/25/2006 9922.00 9932.00 9985.00
5/26/2006 9888.00 9897.00 10005.00
5/27/2006 9888.00 9897.00 10005.00
5/28/2006 9888.00 9897.00 10005.00
5/29/2006 9888.00 9897.00 10005.00
5/30/2006 9649.00 9658.00 9755.00
5/31/2006 9769.00 9777.00 9880.00
6/1/2006 9945.00 9958.00 10066.00
6/2/2006 9961.00 9973.00 10084.00
6/3/2006 9961.00 9973.00 10084.00
6/4/2006 9961.00 9973.00 10084.00
6/5/2006 9688.00 9699.00 9801.00
6/6/2006 9623.00 9631.00 9730.00
6/7/2006 9602.00 9611.00 9688.00
6/8/2006 9662.00 9673.00 9689.00
6/9/2006 9584.00 9594.00 9625.00
6/10/2006 9584.00 9594.00 9625.00
6/11/2006 9584.00 9594.00 9625.00
6/12/2006 9376.00 9380.00 9385.00
6/13/2006 9238.00 9240.00 9272.00
6/14/2006 9233.00 9237.00 9310.00
6/15/2006 9524.00 9533.00 9615.00
6/16/2006 9438.00 9446.00 9525.00
6/17/2006 9438.00 9446.00 9525.00
6/18/2006 9438.00 9446.00 9525.00
6/19/2006 9295.00 9300.00 9379.00
6/20/2006 9251.00 9254.00 9334.00
6/21/2006 9402.00 9407.00 9504.00
6/22/2006 9438.00 9445.00 9488.00
6/23/2006 9449.00 9456.00 9498.00
6/24/2006 9449.00 9456.00 9498.00
6/25/2006 9449.00 9456.00 9498.00
6/26/2006 9576.00 9586.00 9626.00
6/27/2006 9436.00 9444.00 9475.00
6/28/2006 9485.00 9494.00 9506.00
6/29/2006 9821.00 9835.00 9847.00
6/30/2006 9917.00 9935.00 9918.00
7/1/2006 9917.00 9935.00 9918.00
7/2/2006 9917.00 9935.00 9918.00
7/3/2006 9956.00 9973.00 9986.00
7/4/2006 9956.00 9973.00 9986.00
7/5/2006 9860.00 9875.00 9858.00
7/6/2006 9912.00 9930.00 9897.00
7/7/2006 9761.00 9776.00 9745.00
7/8/2006 9761.00 9776.00 9745.00
7/9/2006 9761.00 9776.00 9745.00
7/10/2006 9805.00 9820.00 9771.00
7/11/2006 9870.00 9887.00 9830.00
7/12/2006 9678.00 9692.00 9650.00
7/13/2006 9477.00 9486.00 9462.00
7/14/2006 9391.00 9404.00 9373.00
7/15/2006 9391.00 9404.00 9373.00
7/16/2006 9391.00 9404.00 9373.00
7/17/2006 9324.00 9335.00 9293.00
7/18/2006 9397.00 9408.00 9354.00
7/19/2006 9680.00 9693.00 9642.00
7/20/2006 9446.00 9457.00 9383.00
7/21/2006 9306.00 9317.00 9221.00
7/22/2006 9306.00 9317.00 9221.00
7/23/2006 9306.00 9317.00 9221.00
7/24/2006 9563.00 9575.00 9456.00
7/25/2006 9670.00 9684.00 9554.00
7/26/2006 9599.00 9614.00 9498.00
7/27/2006 9490.00 9504.00 9388.00
7/28/2006 9704.00 9716.00 9588.00
7/29/2006 9704.00 9716.00 9588.00
7/30/2006 9704.00 9716.00 9588.00
7/31/2006 9714.00 9728.00 9593.00
8/1/2006 9560.00 9574.00 9467.00
8/2/2006 9584.00 9597.00 9548.00
8/3/2006 9691.00 9706.00 9676.00
8/4/2006 9625.00 9640.00 9646.00
8/5/2006 9625.00 9640.00 9646.00
8/6/2006 9625.00 9640.00 9646.00
8/7/2006 9576.00 9589.00 9573.00
8/8/2006 9449.00 9462.00 9480.00
8/9/2006 9376.00 9390.00 9398.00
8/10/2006 9433.00 9446.00 9464.00
8/11/2006 9319.00 9333.00 9376.00
8/12/2006 9319.00 9333.00 9376.00
8/13/2006 9319.00 9333.00 9376.00
8/14/2006 9371.00 9385.00 9413.00
8/15/2006 9542.00 9557.00 9621.00
8/16/2006 9651.00 9667.00 9770.00
8/17/2006 9678.00 9694.00 9780.00
8/18/2006 9711.00 9728.00 9795.00
8/19/2006 9711.00 9728.00 9795.00
8/20/2006 9711.00 9728.00 9795.00
8/21/2006 9672.00 9688.00 9714.00
8/22/2006 9735.00 9752.00 9744.00
8/23/2006 9618.00 9635.00 9604.00
8/24/2006 9581.00 9596.00 9582.00
8/25/2006 9592.00 9609.00 9591.00
8/26/2006 9592.00 9609.00 9591.00
8/27/2006 9592.00 9609.00 9591.00
8/28/2006 9688.00 9704.00 9686.00
8/29/2006 9802.00 9821.00 9795.00
8/30/2006 9831.00 9849.00 9842.00
8/31/2006 9839.00 9856.00 9850.00
9/1/2006 9875.00 9894.00 9884.00
9/2/2006 9875.00 9894.00 9884.00
9/3/2006 9875.00 9894.00 9884.00
9/4/2006 9875.00 9894.00 9884.00
9/5/2006 9982.00 10001.00 9985.00
9/6/2006 9789.00 9808.00 9789.00
9/7/2006 9688.00 9707.00 9719.00
9/8/2006 9717.00 9735.00 9752.00
9/9/2006 9717.00 9735.00 9752.00
9/10/2006 9717.00 9735.00 9752.00
9/11/2006 9675.00 9693.00 9725.00
9/12/2006 9878.00 9897.00 9942.00
9/13/2006 9984.00 10005.00 10036.00
9/14/2006 9927.00 9947.00 9981.00
9/15/2006 9983.00 10003.00 10017.00
9/16/2006 9983.00 10003.00 10017.00
9/17/2006 9983.00 10003.00 10017.00
9/18/2006 9965.00 9985.00 10015.00
9/19/2006 9921.00 9942.00 9972.00
9/20/2006 10022.00 10045.00 10092.00
9/21/2006 9939.00 9958.00 9990.00
9/22/2006 9905.00 9925.00 9903.00
9/23/2006 9905.00 9925.00 9903.00
9/24/2006 9905.00 9925.00 9903.00
9/25/2006 10007.00 10029.00 10015.00
9/26/2006 10022.00 10045.00 10062.00
9/27/2006 10095.00 10117.00 10111.00
9/28/2006 10072.00 10094.00 10092.00
9/29/2006 9939.00 9961.00 9977.00
9/30/2006 9939.00 9961.00 9977.00
10/1/2006 9939.00 9961.00 9977.00
10/2/2006 9861.00 9880.00 9893.00
10/3/2006 9913.00 9933.00 9907.00
10/4/2006 10066.00 10079.00 10090.00
10/5/2006 10155.00 10170.00 10211.00
10/6/2006 10082.00 10097.00 10155.00
10/7/2006 10082.00 10097.00 10155.00
10/8/2006 10082.00 10097.00 10155.00
10/9/2006 10176.00 10190.00 10225.00
10/10/2006 10204.00 10219.00 10248.00
10/11/2006 10160.00 10175.00 10216.00
10/12/2006 10373.00 10392.00 10416.00
10/13/2006 10436.00 10455.00 10483.00
10/14/2006 10436.00 10455.00 10483.00
10/15/2006 10436.00 10455.00 10483.00
10/16/2006 10519.00 10539.00 10587.00
10/17/2006 10493.00 10512.00 10523.00
10/18/2006 10472.00 10490.00 10474.00
10/19/2006 10524.00 10544.00 10520.00
10/20/2006 10472.00 10491.00 10438.00
10/21/2006 10472.00 10491.00 10438.00
10/22/2006 10472.00 10491.00 10438.00
10/23/2006 10495.00 10514.00 10465.00
10/24/2006 10547.00 10567.00 10494.00
10/25/2006 10615.00 10635.00 10573.00
10/26/2006 10717.00 10739.00 10658.00
10/27/2006 10573.00 10595.00 10523.00
10/28/2006 10573.00 10595.00 10523.00
10/29/2006 10573.00 10595.00 10523.00
10/30/2006 10623.00 10644.00 10578.00
10/31/2006 10519.00 10539.00 10518.00
11/1/2006 10307.00 10326.00 10343.00
11/2/2006 10265.00 10283.00 10299.00
11/3/2006 10270.00 10289.00 10321.00
11/4/2006 10270.00 10289.00 10321.00
11/5/2006 10270.00 10289.00 10321.00
11/6/2006 10385.00 10405.00 10451.00
11/7/2006 10396.00 10418.00 10470.00
11/8/2006 10506.00 10527.00 10547.00
11/9/2006 10396.00 10417.00 10450.00
11/10/2006 10498.00 10520.00 10535.00
11/11/2006 10498.00 10520.00 10535.00
11/12/2006 10498.00 10520.00 10535.00
11/13/2006 10579.00 10603.00 10589.00
11/14/2006 10768.00 10791.00 10760.00
11/15/2006 10849.00 10873.00 10831.00
11/16/2006 10849.00 10875.00 10802.00
11/17/2006 10778.00 10803.00 10755.00
11/18/2006 10778.00 10803.00 10755.00
11/19/2006 10778.00 10803.00 10755.00
11/20/2006 10823.00 10847.00 10794.00
11/21/2006 10862.00 10888.00 10833.00
11/22/2006 10857.00 10882.00 10845.00
11/23/2006 10857.00 10882.00 10845.00
11/24/2006 10865.00 10891.00 10849.00
11/25/2006 10865.00 10891.00 10849.00
11/26/2006 10865.00 10891.00 10849.00
11/27/2006 10629.00 10654.00 10587.00
11/28/2006 10668.00 10693.00 10612.00
11/29/2006 10757.00 10782.00 10748.00
11/30/2006 10794.00 10820.00 10778.00
12/1/2006 10752.00 10779.00 10719.00
12/2/2006 10752.00 10779.00 10719.00
12/3/2006 10752.00 10779.00 10719.00
12/4/2006 10967.00 10994.00 10910.00
12/5/2006 10978.00 11005.00 10938.00
12/6/2006 10985.00 11014.00 10925.00
12/7/2006 10959.00 10987.00 10875.00
12/8/2006 10946.00 10975.00 10856.00
12/9/2006 10946.00 10975.00 10856.00
12/10/2006 10946.00 10975.00 10856.00
12/11/2006 10959.00 10988.00 10854.00
12/12/2006 10946.00 10974.00 10801.00
12/13/2006 10928.00 10956.00 10804.00
12/14/2006 11025.00 11052.00 10868.00
12/15/2006 10988.00 11016.00 10850.00
12/16/2006 10988.00 11016.00 10850.00
12/17/2006 10988.00 11016.00 10850.00
12/18/2006 10852.00 10883.00 10727.00
12/19/2006 10841.00 10873.00 10727.00
12/20/2006 10886.00 10918.00 10772.00
12/21/2006 10902.00 10933.00 10739.00
12/22/2006 10860.00 10892.00 10695.00
12/23/2006 10860.00 10892.00 10695.00
12/24/2006 10860.00 10892.00 10695.00
12/25/2006 10860.00 10892.00 10695.00
12/26/2006 10983.00 11015.00 10811.00
12/27/2006 11150.00 11183.00 10948.00
12/28/2006 11097.00 11128.00 10908.00
12/29/2006 10995.00 11027.00 10815.00
12/30/2006 10995.00 11027.00 10815.00
12/31/2006 10995.00 11027.00 10815.00
1/1/2007 10995.00 11027.00 10815.00
1/2/2007 10995.00 11027.00 10815.00
1/3/2007 11084.00 11116.00 10824.00
1/4/2007 11087.00 11118.00 10840.00
1/5/2007 10827.00 10859.00 10641.00
1/6/2007 10827.00 10859.00 10641.00
1/7/2007 10827.00 10859.00 10641.00
1/8/2007 10825.00 10858.00 10658.00
1/9/2007 10851.00 10882.00 10681.00
1/10/2007 10848.00 10882.00 10692.00
1/11/2007 10990.00 11022.00 10838.00
1/12/2007 11053.00 11086.00 10904.00
1/13/2007 11053.00 11086.00 10904.00
1/14/2007 11053.00 11086.00 10904.00
1/15/2007 11053.00 11086.00 10904.00
1/16/2007 11066.00 11101.00 10876.00
1/17/2007 11037.00 11072.00 10853.00
1/18/2007 10969.00 11002.00 10741.00
1/19/2007 11061.00 11096.00 10833.00
1/20/2007 11061.00 11096.00 10833.00
1/21/2007 11061.00 11096.00 10833.00
1/22/2007 10969.00 11002.00 10732.00
1/23/2007 11045.00 11079.00 10836.00
1/24/2007 11185.00 11221.00 10947.00
1/25/2007 11079.00 11113.00 10823.00
1/26/2007 11137.00 11172.00 10866.00
1/27/2007 11137.00 11172.00 10866.00
1/28/2007 11137.00 11172.00 10866.00
1/29/2007 11179.00 11216.00 10918.00
1/30/2007 11256.00 11292.00 10994.00
1/31/2007 11319.00 11356.00 11041.00
2/1/2007 11419.00 11457.00 11149.00
2/2/2007 11471.00 11508.00 11166.00
2/3/2007 11471.00 11508.00 11166.00
2/4/2007 11471.00 11508.00 11166.00
2/5/2007 11447.00 11485.00 11114.00
2/6/2007 11495.00 11533.00 11179.00
2/7/2007 11547.00 11586.00 11258.00
2/8/2007 11492.00 11530.00 11231.00
2/9/2007 11369.00 11407.00 11114.00
2/10/2007 11369.00 11407.00 11114.00
2/11/2007 11369.00 11407.00 11114.00
2/12/2007 11345.00 11385.00 11083.00
2/13/2007 11437.00 11476.00 11185.00
2/14/2007 11429.00 11469.00 11213.00
2/15/2007 11440.00 11480.00 11226.00
2/16/2007 11487.00 11526.00 11255.00
2/17/2007 11487.00 11526.00 11255.00
2/18/2007 11487.00 11526.00 11255.00
2/19/2007 11487.00 11526.00 11255.00
2/20/2007 11592.00 11632.00 11361.00
2/21/2007 11618.00 11660.00 11384.00
2/22/2007 11652.00 11693.00 11397.00
2/23/2007 11597.00 11638.00 11355.00
2/24/2007 11597.00 11638.00 11355.00
2/25/2007 11597.00 11638.00 11355.00
2/26/2007 11605.00 11648.00 11327.00
2/27/2007 11185.00 11225.00 10936.00
2/28/2007 11274.00 11313.00 10936.00
3/1/2007 11198.00 11237.00 10902.00
3/2/2007 11016.00 11055.00 10710.00
3/3/2007 11016.00 11055.00 10710.00
3/4/2007 11016.00 11055.00 10710.00
3/5/2007 10769.00 10805.00 10487.00
3/6/2007 11014.00 11051.00 10722.00
3/7/2007 11024.00 11064.00 10702.00
3/8/2007 11074.00 11113.00 10787.00
3/9/2007 11074.00 11112.00 10834.00
3/10/2007 11074.00 11112.00 10834.00
3/11/2007 11074.00 11112.00 10834.00
3/12/2007 11100.00 11141.00 10874.00
3/13/2007 10827.00 10865.00 10610.00
3/14/2007 10914.00 10953.00 10701.00
3/15/2007 11022.00 11061.00 10817.00
3/16/2007 10965.00 11002.00 10760.00
3/17/2007 10965.00 11002.00 10760.00
3/18/2007 10965.00 11002.00 10760.00
3/19/2007 11076.00 11112.00 10861.00
3/20/2007 11155.00 11193.00 10958.00
3/21/2007 11302.00 11341.00 11136.00
3/22/2007 11349.00 11389.00 11132.00
3/23/2007 11360.00 11399.00 11163.00
3/24/2007 11360.00 11399.00 11163.00
3/25/2007 11360.00 11399.00 11163.00
3/26/2007 11354.00 11394.00 11142.00
3/27/2007 11252.00 11291.00 11050.00
3/28/2007 11189.00 11228.00 11004.00
3/29/2007 11247.00 11284.00 11049.00
3/30/2007 11218.00 11256.00 11049.00
3/31/2007 11218.00 11256.00 11049.00
4/1/2007 11218.00 11256.00 11049.00
4/2/2007 11299.00 11341.00 11092.00
4/3/2007 11394.00 11436.00 11187.00
4/4/2007 11334.00 11374.00 11176.00
4/5/2007 11360.00 11402.00 11189.00
4/6/2007 11360.00 11402.00 11189.00
4/7/2007 11360.00 11402.00 11189.00
4/8/2007 11360.00 11402.00 11189.00
4/9/2007 11368.00 11410.00 11182.00
4/10/2007 11402.00 11445.00 11228.00
4/11/2007 11307.00 11349.00 11128.00
4/12/2007 11389.00 11432.00 11208.00
4/13/2007 11476.00 11521.00 11272.00
4/14/2007 11476.00 11521.00 11272.00
4/15/2007 11476.00 11521.00 11272.00
4/16/2007 11613.00 11657.00 11434.00
4/17/2007 11568.00 11613.00 11398.00
4/18/2007 11524.00 11568.00 11350.00
4/19/2007 11474.00 11516.00 11297.00
4/20/2007 11624.00 11668.00 11445.00
4/21/2007 11624.00 11668.00 11445.00
4/22/2007 11624.00 11668.00 11445.00
4/23/2007 11595.00 11639.00 11427.00
4/24/2007 11571.00 11616.00 11409.00
4/25/2007 11671.00 11719.00 11489.00
4/26/2007 11714.00 11760.00 11516.00
4/27/2007 11637.00 11684.00 11474.00
4/28/2007 11637.00 11684.00 11474.00
4/29/2007 11637.00 11684.00 11474.00
4/30/2007 11418.00 11463.00 11267.00
5/1/2007 11487.00 11532.00 11334.00
5/2/2007 11706.00 11752.00 11511.00
5/3/2007 11669.00 11716.00 11519.00
5/4/2007 11703.00 11750.00 11565.00
5/5/2007 11703.00 11750.00 11565.00
5/6/2007 11703.00 11750.00 11565.00
5/7/2007 11698.00 11746.00 11570.00
5/8/2007 11692.00 11741.00 11561.00
5/9/2007 11756.00 11805.00 11623.00
5/10/2007 11524.00 11571.00 11405.00
5/11/2007 11626.00 11674.00 11554.00
5/12/2007 11626.00 11674.00 11554.00
5/13/2007 11626.00 11674.00 11554.00
5/14/2007 11505.00 11552.00 11457.00
5/15/2007 11400.00 11445.00 11359.00
5/16/2007 11463.00 11509.00 11434.00
5/17/2007 11386.00 11431.00 11377.00
5/18/2007 11468.00 11515.00 11455.00
5/19/2007 11468.00 11515.00 11455.00
5/20/2007 11468.00 11515.00 11455.00
5/21/2007 11595.00 11644.00 11583.00
5/22/2007 11711.00 11761.00 11683.00
5/23/2007 11634.00 11685.00 11627.00
5/24/2007 11492.00 11539.00 11462.00
5/25/2007 11595.00 11645.00 11540.00
5/26/2007 11595.00 11645.00 11540.00
5/27/2007 11595.00 11645.00 11540.00
5/28/2007 11595.00 11645.00 11540.00
5/29/2007 11711.00 11761.00 11662.00
5/30/2007 11758.00 11809.00 11732.00
5/31/2007 11779.00 11829.00 11782.00
6/1/2007 11914.00 11968.00 11887.00
6/2/2007 11914.00 11968.00 11887.00
6/3/2007 11914.00 11968.00 11887.00
6/4/2007 11969.00 12023.00 11906.00
6/5/2007 11835.00 11884.00 11797.00
6/6/2007 11703.00 11752.00 11672.00
6/7/2007 11487.00 11532.00 11446.00
6/8/2007 11584.00 11632.00 11568.00
6/9/2007 11584.00 11632.00 11568.00
6/10/2007 11584.00 11632.00 11568.00
6/11/2007 11563.00 11612.00 11554.00
6/12/2007 11389.00 11435.00 11391.00
6/13/2007 11503.00 11549.00 11548.00
6/14/2007 11603.00 11650.00 11631.00
6/15/2007 11760.00 11810.00 11786.00
6/16/2007 11760.00 11810.00 11786.00
6/17/2007 11760.00 11810.00 11786.00
6/18/2007 11728.00 11781.00 11748.00
6/19/2007 11776.00 11828.00 11780.00
6/20/2007 11641.00 11692.00 11616.00
6/21/2007 11660.00 11710.00 11647.00
6/22/2007 11515.00 11563.00 11533.00
6/23/2007 11515.00 11563.00 11533.00
6/24/2007 11515.00 11563.00 11533.00
6/25/2007 11438.00 11485.00 11452.00
6/26/2007 11383.00 11430.00 11395.00
6/27/2007 11512.00 11559.00 11563.00
6/28/2007 11549.00 11599.00 11578.00
6/29/2007 11488.00 11536.00 11518.00
6/30/2007 11488.00 11536.00 11518.00
7/1/2007 11488.00 11536.00 11518.00
7/2/2007 11665.00 11716.00 11676.00
7/3/2007 11681.00 11733.00 11697.00
7/4/2007 11681.00 11733.00 11697.00
7/5/2007 11700.00 11751.00 11725.00
7/6/2007 11708.00 11758.00 11728.00
7/7/2007 11708.00 11758.00 11728.00
7/8/2007 11708.00 11758.00 11728.00
7/9/2007 11766.00 11819.00 11768.00
7/10/2007 11530.00 11581.00 11547.00
7/11/2007 11589.00 11638.00 11596.00
7/12/2007 11785.00 11835.00 11830.00
7/13/2007 11792.00 11844.00 11874.00
7/14/2007 11792.00 11844.00 11874.00
7/15/2007 11792.00 11844.00 11874.00
7/16/2007 11705.00 11758.00 11793.00
7/17/2007 11700.00 11752.00 11826.00
7/18/2007 11618.00 11669.00 11777.00
7/19/2007 11687.00 11739.00 11885.00
7/20/2007 11456.00 11508.00 11667.00
7/21/2007 11456.00 11508.00 11667.00
7/22/2007 11456.00 11508.00 11667.00
7/23/2007 11456.00 11506.00 11659.00
7/24/2007 11123.00 11170.00 11345.00
7/25/2007 11123.00 11169.00 11352.00
7/26/2007 10739.00 10784.00 11026.00
7/27/2007 10522.00 10565.00 10813.00
7/28/2007 10522.00 10565.00 10813.00
7/29/2007 10522.00 10565.00 10813.00
7/30/2007 10602.00 10646.00 10927.00
7/31/2007 10559.00 10603.00 10836.00
8/1/2007 10498.00 10541.00 10838.00
8/2/2007 10549.00 10593.00 10915.00
8/3/2007 10109.00 10148.00 10466.00
8/4/2007 10109.00 10148.00 10466.00
8/5/2007 10109.00 10148.00 10466.00
8/6/2007 10133.00 10172.00 10587.00
8/7/2007 10099.00 10139.00 10632.00
8/8/2007 10236.00 10277.00 10801.00
8/9/2007 10022.00 10062.00 10640.00
8/10/2007 10295.00 10336.00 10857.00
8/11/2007 10295.00 10336.00 10857.00
8/12/2007 10295.00 10336.00 10857.00
8/13/2007 10181.00 10221.00 10734.00
8/14/2007 9953.00 9992.00 10501.00
8/15/2007 9784.00 9822.00 10323.00
8/16/2007 10041.00 10080.00 10557.00
8/17/2007 10271.00 10313.00 10804.00
8/18/2007 10271.00 10313.00 10804.00
8/19/2007 10271.00 10313.00 10804.00
8/20/2007 10260.00 10303.00 10829.00
8/21/2007 10310.00 10355.00 10863.00
8/22/2007 10451.00 10495.00 11006.00
8/23/2007 10326.00 10370.00 10882.00
8/24/2007 10435.00 10479.00 11037.00
8/25/2007 10435.00 10479.00 11037.00
8/26/2007 10435.00 10479.00 11037.00
8/27/2007 10318.00 10364.00 10911.00
8/28/2007 10019.00 10062.00 10595.00
8/29/2007 10260.00 10305.00 10857.00
8/30/2007 10221.00 10263.00 10803.00
8/31/2007 10324.00 10369.00 10948.00
9/1/2007 10324.00 10369.00 10948.00
9/2/2007 10324.00 10369.00 10948.00
9/3/2007 10324.00 10369.00 10948.00
9/4/2007 10337.00 10382.00 11020.00
9/5/2007 10223.00 10268.00 10896.00
9/6/2007 10189.00 10233.00 10911.00
9/7/2007 9980.00 10022.00 10663.00
9/8/2007 9980.00 10022.00 10663.00
9/9/2007 9980.00 10022.00 10663.00
9/10/2007 9876.00 9917.00 10571.00
9/11/2007 10038.00 10081.00 10750.00
9/12/2007 9945.00 9988.00 10680.00
9/13/2007 9945.00 9989.00 10702.00
9/14/2007 10017.00 10061.00 10755.00
9/15/2007 10017.00 10061.00 10755.00
9/16/2007 10017.00 10061.00 10755.00
9/17/2007 9908.00 9951.00 10655.00
9/18/2007 10348.00 10396.00 11107.00
9/19/2007 10541.00 10592.00 11262.00
9/20/2007 10419.00 10468.00 11169.00
9/21/2007 10401.00 10450.00 11174.00
9/22/2007 10401.00 10450.00 11174.00
9/23/2007 10401.00 10450.00 11174.00
9/24/2007 10261.00 10307.00 11059.00
9/25/2007 10136.00 10182.00 10987.00
9/26/2007 10179.00 10227.00 11068.00
9/27/2007 10192.00 10240.00 11100.00
9/28/2007 10065.00 10111.00 10977.00
9/29/2007 10065.00 10111.00 10977.00
9/30/2007 10065.00 10111.00 10977.00
10/1/2007 10307.00 10356.00 11241.00
10/2/2007 10342.00 10390.00 11339.00
10/3/2007 10273.00 10320.00 11241.00
10/4/2007 10307.00 10355.00 11252.00
10/5/2007 10499.00 10548.00 11487.00
10/6/2007 10499.00 10548.00 11487.00
10/7/2007 10499.00 10548.00 11487.00
10/8/2007 10379.00 10427.00 11386.00
10/9/2007 10472.00 10521.00 11466.00
10/10/2007 10382.00 10430.00 11424.00
10/11/2007 10280.00 10330.00 11300.00
10/12/2007 10323.00 10372.00 11379.00
10/13/2007 10323.00 10372.00 11379.00
10/14/2007 10323.00 10372.00 11379.00
10/15/2007 10137.00 10184.00 11195.00
10/16/2007 10012.00 10060.00 11077.00
10/17/2007 9969.00 10016.00 11067.00
10/18/2007 9964.00 10010.00 11055.00
10/19/2007 9612.00 9657.00 10712.00
10/20/2007 9612.00 9657.00 10712.00
10/21/2007 9612.00 9657.00 10712.00
10/22/2007 9831.00 9877.00 10899.00
10/23/2007 9894.00 9940.00 10990.00
10/24/2007 9809.00 9857.00 10918.00
10/25/2007 9748.00 9793.00 10863.00
10/26/2007 9918.00 9967.00 11051.00
10/27/2007 9918.00 9967.00 11051.00
10/28/2007 9918.00 9967.00 11051.00
10/29/2007 9860.00 9906.00 11025.00
10/30/2007 9862.00 9910.00 10983.00
10/31/2007 9953.00 9989.00 11110.00
</Table>
AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED OCTOBER 31, 2007
- --------------------------------------------------------------------------------
SINCE INCEPTION
ONE YEAR (03/01/06)
-------- ---------------
RYDEX S&P SMALLCAP 600 PURE VALUE ETF............................. -5.38% -0.28%
S&P SMALLCAP 600/CITIGROUP PURE VALUE TOTAL RETURN INDEX.......... -5.24% -0.06%
S&P SMALLCAP 600 VALUE TOTAL RETURN INDEX......................... 5.62% 6.51%
The returns presented above do not reflect the effect of taxes. Index returns
represent total returns. Past performance is not guarantee of future results.
16
Rydex S&P SmallCap 600 Pure Value ETF
PORTFOLIO SUMMARY As of October 31, 2007
- --------------------------------------------------------------------------------
TOP 10 HOLDINGS*
- --------------------------------------------------------------------------------
<Table>
<Caption>
DESCRIPTION % OF NET ASSETS
- ------------------------------------------------------------------------------------
LIBBEY, INC. 2.44%
NASH FINCH CO. 2.37%
CENTRAL VERMONT PUBLIC SERVICE CORP. 1.70%
SPHERION CORP. 1.50%
PENFORD CORP. 1.43%
C&D TECHNOLOGIES, INC. 1.37%
STANDARD REGISTER CO. 1.37%
SUPERIOR INDUSTRIES INTERNATIONAL 1.24%
AGILYSYS, INC. 1.13%
OWENS & MINOR, INC. 1.11%
- ------------------------------------------------------------------------------------
</Table>
SECTOR ALLOCATIONS*
(PIE CHART)
<Table>
Consumer Discretionary Industrials Financials Materials Utilities
19.9 18.97 14.85 12.48 10.57
</Table>
<Table>
Consumer Discretionary Information Technology Consumer Staples Health Care
19.9 10.06 6.70 6.47
</Table>
* The Fund's Top 10 Holdings are expressed as a percentage of net assets and the
Sector Allocations are expressed as a percentage of the Fund's investments
market value. These percentages may change over time.
17 ANNUAL REPORT
RYDEX S&P SMALLCAP 600 PURE GROWTH ETF
MANAGER'S ANALYSIS
- --------------------------------------------------------------------------------
For the year ended October 31, 2007, Rydex S&P SmallCap 600 Pure Growth ETF
returned 14.93%. Over the year its benchmark, S&P 600/Citigroup Pure Growth
Total Return Index returned 15.31%, underperforming its counterpart index, the
S&P SmallCap 600 Growth Total Return Index which handed in a 18.27% return.
This ETF was a steady performer over the year and was able to rebound after the
hit all stocks took in the summer. Rydex S&P SmallCap Pure Growth ETF was able
to recapture losses and finish the year near its 52-week high. The markets
favored growth over value, which helped this ETF achieve positive returns.
Compared to the S&P 600/Citigroup Growth benchmark, the pure benchmark was hurt
by the industrials sector.
CUMULATIVE FUND PERFORMANCE: MARCH 1, 2006 - OCTOBER 31, 2007
(PERFORMANCE GRAPH)
<Table>
<Caption>
RYDEX S&P S&P SMALLCAP S&P SMALLCAP
SMALLCAP 600 600/CITIGROUP PURE 600/CITIGROUP GROWTH
PURE GROWTH GROWTH TOTAL TOTAL RETURN
ETF(A) RETURN INDEX(B) INDEX(C)
------------ ------------------ --------------------
3/1/2006 10000.00 10001.00 10000.00
3/2/2006 9969.00 9971.00 9995.00
3/3/2006 9964.00 9965.00 9967.00
3/4/2006 9964.00 9965.00 9967.00
3/5/2006 9964.00 9965.00 9967.00
3/6/2006 9845.00 9847.00 9842.00
3/7/2006 9748.00 9749.00 9726.00
3/8/2006 9776.00 9778.00 9741.00
3/9/2006 9738.00 9738.00 9700.00
3/10/2006 9852.00 9855.00 9804.00
3/11/2006 9852.00 9855.00 9804.00
3/12/2006 9852.00 9855.00 9804.00
3/13/2006 9875.00 9878.00 9838.00
3/14/2006 9919.00 9919.00 9941.00
3/15/2006 10015.00 10017.00 10018.00
3/16/2006 10048.00 10051.00 10064.00
3/17/2006 10084.00 10087.00 10079.00
3/18/2006 10084.00 10087.00 10079.00
3/19/2006 10084.00 10087.00 10079.00
3/20/2006 10071.00 10074.00 10080.00
3/21/2006 10046.00 10049.00 10028.00
3/22/2006 10145.00 10147.00 10130.00
3/23/2006 10193.00 10197.00 10170.00
3/24/2006 10244.00 10247.00 10219.00
3/25/2006 10244.00 10247.00 10219.00
3/26/2006 10244.00 10247.00 10219.00
3/27/2006 10229.00 10232.00 10212.00
3/28/2006 10178.00 10182.00 10187.00
3/29/2006 10321.00 10324.00 10322.00
3/30/2006 10310.00 10315.00 10308.00
3/31/2006 10359.00 10361.00 10353.00
4/1/2006 10359.00 10361.00 10353.00
4/2/2006 10359.00 10361.00 10353.00
4/3/2006 10252.00 10256.00 10269.00
4/4/2006 10313.00 10317.00 10337.00
4/5/2006 10328.00 10333.00 10370.00
4/6/2006 10328.00 10332.00 10353.00
4/7/2006 10206.00 10211.00 10230.00
4/8/2006 10206.00 10211.00 10230.00
4/9/2006 10206.00 10211.00 10230.00
4/10/2006 10173.00 10177.00 10205.00
4/11/2006 10053.00 10058.00 10079.00
4/12/2006 10112.00 10116.00 10128.00
4/13/2006 10142.00 10148.00 10159.00
4/14/2006 10142.00 10148.00 10159.00
4/15/2006 10142.00 10148.00 10159.00
4/16/2006 10142.00 10148.00 10159.00
4/17/2006 10145.00 10151.00 10170.00
4/18/2006 10366.00 10371.00 10402.00
4/19/2006 10445.00 10450.00 10507.00
4/20/2006 10443.00 10448.00 10488.00
4/21/2006 10374.00 10379.00 10438.00
4/22/2006 10374.00 10379.00 10438.00
4/23/2006 10374.00 10379.00 10438.00
4/24/2006 10366.00 10371.00 10383.00
4/25/2006 10343.00 10349.00 10330.00
4/26/2006 10404.00 10410.00 10338.00
4/27/2006 10346.00 10353.00 10287.00
4/28/2006 10394.00 10402.00 10336.00
4/29/2006 10394.00 10402.00 10336.00
4/30/2006 10394.00 10402.00 10336.00
5/1/2006 10336.00 10343.00 10309.00
5/2/2006 10407.00 10413.00 10362.00
5/3/2006 10397.00 10403.00 10347.00
5/4/2006 10473.00 10481.00 10421.00
5/5/2006 10605.00 10613.00 10553.00
5/6/2006 10605.00 10613.00 10553.00
5/7/2006 10605.00 10613.00 10553.00
5/8/2006 10608.00 10616.00 10560.00
5/9/2006 10585.00 10592.00 10554.00
5/10/2006 10499.00 10506.00 10533.00
5/11/2006 10254.00 10262.00 10309.00
5/12/2006 10089.00 10098.00 10118.00
5/13/2006 10089.00 10098.00 10118.00
5/14/2006 10089.00 10098.00 10118.00
5/15/2006 10094.00 10102.00 10094.00
5/16/2006 10153.00 10161.00 10127.00
5/17/2006 10013.00 10020.00 9974.00
5/18/2006 9878.00 9884.00 9861.00
5/19/2006 9901.00 9908.00 9881.00
5/20/2006 9901.00 9908.00 9881.00
5/21/2006 9901.00 9908.00 9881.00
5/22/2006 9847.00 9853.00 9808.00
5/23/2006 9791.00 9798.00 9760.00
5/24/2006 9791.00 9797.00 9742.00
5/25/2006 9957.00 9964.00 9910.00
5/26/2006 10031.00 10039.00 9959.00
5/27/2006 10031.00 10039.00 9959.00
5/28/2006 10031.00 10039.00 9959.00
5/29/2006 10031.00 10039.00 9959.00
5/30/2006 9779.00 9787.00 9723.00
5/31/2006 9903.00 9912.00 9861.00
6/1/2006 10056.00 10065.00 10023.00
6/2/2006 10051.00 10061.00 10030.00
6/3/2006 10051.00 10061.00 10030.00
6/4/2006 10051.00 10061.00 10030.00
6/5/2006 9791.00 9799.00 9754.00
6/6/2006 9741.00 9746.00 9696.00
6/7/2006 9705.00 9712.00 9647.00
6/8/2006 9682.00 9689.00 9620.00
6/9/2006 9636.00 9642.00 9590.00
6/10/2006 9636.00 9642.00 9590.00
6/11/2006 9636.00 9642.00 9590.00
6/12/2006 9405.00 9410.00 9358.00
6/13/2006 9265.00 9268.00 9241.00
6/14/2006 9333.00 9338.00 9290.00
6/15/2006 9588.00 9595.00 9565.00
6/16/2006 9532.00 9536.00 9510.00
6/17/2006 9532.00 9536.00 9510.00
6/18/2006 9532.00 9536.00 9510.00
6/19/2006 9361.00 9367.00 9343.00
6/20/2006 9321.00 9325.00 9301.00
6/21/2006 9491.00 9497.00 9466.00
6/22/2006 9461.00 9466.00 9428.00
6/23/2006 9527.00 9534.00 9488.00
6/24/2006 9527.00 9534.00 9488.00
6/25/2006 9527.00 9534.00 9488.00
6/26/2006 9598.00 9606.00 9563.00
6/27/2006 9440.00 9444.00 9411.00
6/28/2006 9456.00 9462.00 9435.00
6/29/2006 9756.00 9767.00 9742.00
6/30/2006 9814.00 9825.00 9824.00
7/1/2006 9814.00 9825.00 9824.00
7/2/2006 9814.00 9825.00 9824.00
7/3/2006 9908.00 9919.00 9908.00
7/4/2006 9908.00 9919.00 9908.00
7/5/2006 9791.00 9802.00 9790.00
7/6/2006 9832.00 9844.00 9804.00
7/7/2006 9695.00 9706.00 9675.00
7/8/2006 9695.00 9706.00 9675.00
7/9/2006 9695.00 9706.00 9675.00
7/10/2006 9649.00 9661.00 9657.00
7/11/2006 9715.00 9726.00 9715.00
7/12/2006 9537.00 9549.00 9563.00
7/13/2006 9354.00 9364.00 9383.00
7/14/2006 9267.00 9278.00 9302.00
7/15/2006 9267.00 9278.00 9302.00
7/16/2006 9267.00 9278.00 9302.00
7/17/2006 9196.00 9207.00 9221.00
7/18/2006 9181.00 9192.00 9233.00
7/19/2006 9412.00 9423.00 9478.00
7/20/2006 9168.00 9178.00 9219.00
7/21/2006 9061.00 9072.00 9093.00
7/22/2006 9061.00 9072.00 9093.00
7/23/2006 9061.00 9072.00 9093.00
7/24/2006 9333.00 9345.00 9322.00
7/25/2006 9435.00 9448.00 9419.00
7/26/2006 9367.00 9380.00 9369.00
7/27/2006 9242.00 9254.00 9248.00
7/28/2006 9420.00 9434.00 9416.00
7/29/2006 9420.00 9434.00 9416.00
7/30/2006 9420.00 9434.00 9416.00
7/31/2006 9496.00 9511.00 9471.00
8/1/2006 9364.00 9376.00 9356.00
8/2/2006 9415.00 9428.00 9420.00
8/3/2006 9478.00 9491.00 9508.00
8/4/2006 9438.00 9453.00 9469.00
8/5/2006 9438.00 9453.00 9469.00
8/6/2006 9438.00 9453.00 9469.00
8/7/2006 9311.00 9324.00 9388.00
8/8/2006 9232.00 9245.00 9315.00
8/9/2006 9148.00 9160.00 9229.00
8/10/2006 9171.00 9183.00 9276.00
8/11/2006 9115.00 9126.00 9204.00
8/12/2006 9115.00 9126.00 9204.00
8/13/2006 9115.00 9126.00 9204.00
8/14/2006 9127.00 9141.00 9214.00
8/15/2006 9306.00 9319.00 9407.00
8/16/2006 9410.00 9423.00 9537.00
8/17/2006 9448.00 9461.00 9562.00
8/18/2006 9456.00 9471.00 9571.00
8/19/2006 9456.00 9471.00 9571.00
8/20/2006 9456.00 9471.00 9571.00
8/21/2006 9351.00 9366.00 9475.00
8/22/2006 9392.00 9406.00 9498.00
8/23/2006 9272.00 9286.00 9366.00
8/24/2006 9265.00 9279.00 9356.00
8/25/2006 9265.00 9278.00 9360.00
8/26/2006 9265.00 9278.00 9360.00
8/27/2006 9265.00 9278.00 9360.00
8/28/2006 9341.00 9355.00 9436.00
8/29/2006 9410.00 9424.00 9511.00
8/30/2006 9438.00 9453.00 9542.00
8/31/2006 9395.00 9410.00 9536.00
9/1/2006 9395.00 9410.00 9556.00
9/2/2006 9395.00 9410.00 9556.00
9/3/2006 9395.00 9410.00 9556.00
9/4/2006 9395.00 9410.00 9556.00
9/5/2006 9412.00 9429.00 9607.00
9/6/2006 9181.00 9195.00 9408.00
9/7/2006 9166.00 9180.00 9376.00
9/8/2006 9194.00 9208.00 9391.00
9/9/2006 9194.00 9208.00 9391.00
9/10/2006 9194.00 9208.00 9391.00
9/11/2006 9176.00 9190.00 9371.00
9/12/2006 9402.00 9419.00 9577.00
9/13/2006 9501.00 9517.00 9670.00
9/14/2006 9471.00 9487.00 9616.00
9/15/2006 9496.00 9514.00 9644.00
9/16/2006 9496.00 9514.00 9644.00
9/17/2006 9496.00 9514.00 9644.00
9/18/2006 9514.00 9531.00 9660.00
9/19/2006 9461.00 9478.00 9611.00
9/20/2006 9568.00 9584.00 9683.00
9/21/2006 9517.00 9535.00 9615.00
9/22/2006 9415.00 9431.00 9505.00
9/23/2006 9415.00 9431.00 9505.00
9/24/2006 9415.00 9431.00 9505.00
9/25/2006 9514.00 9531.00 9605.00
9/26/2006 9552.00 9570.00 9660.00
9/27/2006 9573.00 9590.00 9677.00
9/28/2006 9562.00 9581.00 9667.00
9/29/2006 9463.00 9482.00 9584.00
9/30/2006 9463.00 9482.00 9584.00
10/1/2006 9463.00 9482.00 9584.00
10/2/2006 9364.00 9380.00 9476.00
10/3/2006 9333.00 9351.00 9452.00
10/4/2006 9545.00 9563.00 9639.00
10/5/2006 9644.00 9664.00 9747.00
10/6/2006 9598.00 9617.00 9700.00
10/7/2006 9598.00 9617.00 9700.00
10/8/2006 9598.00 9617.00 9700.00
10/9/2006 9700.00 9721.00 9758.00
10/10/2006 9710.00 9730.00 9780.00
10/11/2006 9657.00 9678.00 9736.00
10/12/2006 9832.00 9853.00 9919.00
10/13/2006 9886.00 9909.00 9974.00
10/14/2006 9886.00 9909.00 9974.00
10/15/2006 9886.00 9909.00 9974.00
10/16/2006 9964.00 9986.00 10082.00
10/17/2006 9868.00 9890.00 9990.00
10/18/2006 9865.00 9888.00 9971.00
10/19/2006 9898.00 9920.00 10012.00
10/20/2006 9878.00 9902.00 9959.00
10/21/2006 9878.00 9902.00 9959.00
10/22/2006 9878.00 9902.00 9959.00
10/23/2006 9929.00 9952.00 9980.00
10/24/2006 9931.00 9955.00 9991.00
10/25/2006 9977.00 10003.00 10061.00
10/26/2006 10099.00 10123.00 10151.00
10/27/2006 9977.00 10002.00 10034.00
10/28/2006 9977.00 10002.00 10034.00
10/29/2006 9977.00 10002.00 10034.00
10/30/2006 9995.00 10018.00 10059.00
10/31/2006 9947.00 9971.00 10007.00
11/1/2006 9776.00 9800.00 9860.00
11/2/2006 9763.00 9789.00 9844.00
11/3/2006 9789.00 9812.00 9881.00
11/4/2006 9789.00 9812.00 9881.00
11/5/2006 9789.00 9812.00 9881.00
11/6/2006 9926.00 9952.00 10019.00
11/7/2006 9977.00 10003.00 10051.00
11/8/2006 10041.00 10066.00 10112.00
11/9/2006 9975.00 10000.00 10028.00
11/10/2006 10051.00 10078.00 10089.00
11/11/2006 10051.00 10078.00 10089.00
11/12/2006 10051.00 10078.00 10089.00
11/13/2006 10074.00 10100.00 10109.00
11/14/2006 10206.00 10234.00 10257.00
11/15/2006 10341.00 10368.00 10354.00
11/16/2006 10336.00 10364.00 10313.00
11/17/2006 10331.00 10358.00 10302.00
11/18/2006 10331.00 10358.00 10302.00
11/19/2006 10331.00 10358.00 10302.00
11/20/2006 10333.00 10362.00 10316.00
11/21/2006 10374.00 10401.00 10357.00
11/22/2006 10366.00 10395.00 10364.00
11/23/2006 10366.00 10395.00 10364.00
11/24/2006 10364.00 10392.00 10349.00
11/25/2006 10364.00 10392.00 10349.00
11/26/2006 10364.00 10392.00 10349.00
11/27/2006 10140.00 10168.00 10132.00
11/28/2006 10163.00 10191.00 10157.00
11/29/2006 10287.00 10317.00 10291.00
11/30/2006 10303.00 10331.00 10319.00
12/1/2006 10252.00 10281.00 10284.00
12/2/2006 10252.00 10281.00 10284.00
12/3/2006 10252.00 10281.00 10284.00
12/4/2006 10394.00 10425.00 10418.00
12/5/2006 10460.00 10491.00 10474.00
12/6/2006 10471.00 10501.00 10481.00
12/7/2006 10430.00 10460.00 10430.00
12/8/2006 10440.00 10471.00 10429.00
12/9/2006 10440.00 10471.00 10429.00
12/10/2006 10440.00 10471.00 10429.00
12/11/2006 10430.00 10460.00 10422.00
12/12/2006 10394.00 10424.00 10368.00
12/13/2006 10392.00 10422.00 10366.00
12/14/2006 10448.00 10478.00 10425.00
12/15/2006 10366.00 10396.00 10392.00
12/16/2006 10366.00 10396.00 10392.00
12/17/2006 10366.00 10396.00 10392.00
12/18/2006 10234.00 10264.00 10261.00
12/19/2006 10270.00 10299.00 10291.00
12/20/2006 10310.00 10342.00 10326.00
12/21/2006 10257.00 10289.00 10277.00
12/22/2006 10242.00 10272.00 10228.00
12/23/2006 10242.00 10272.00 10228.00
12/24/2006 10242.00 10272.00 10228.00
12/25/2006 10242.00 10272.00 10228.00
12/26/2006 10318.00 10348.00 10293.00
12/27/2006 10425.00 10457.00 10404.00
12/28/2006 10392.00 10423.00 10373.00
12/29/2006 10287.00 10319.00 10279.00
12/30/2006 10287.00 10319.00 10279.00
12/31/2006 10287.00 10319.00 10279.00
1/1/2007 10287.00 10319.00 10279.00
1/2/2007 10287.00 10319.00 10279.00
1/3/2007 10242.00 10273.00 10228.00
1/4/2007 10244.00 10278.00 10243.00
1/5/2007 10130.00 10163.00 10122.00
1/6/2007 10130.00 10163.00 10122.00
1/7/2007 10130.00 10163.00 10122.00
1/8/2007 10145.00 10178.00 10148.00
1/9/2007 10150.00 10182.00 10155.00
1/10/2007 10140.00 10173.00 10148.00
1/11/2007 10226.00 10258.00 10242.00
1/12/2007 10315.00 10350.00 10332.00
1/13/2007 10315.00 10350.00 10332.00
1/14/2007 10315.00 10350.00 10332.00
1/15/2007 10315.00 10350.00 10332.00
1/16/2007 10280.00 10314.00 10299.00
1/17/2007 10265.00 10299.00 10299.00
1/18/2007 10148.00 10181.00 10172.00
1/19/2007 10211.00 10245.00 10246.00
1/20/2007 10211.00 10245.00 10246.00
1/21/2007 10211.00 10245.00 10246.00
1/22/2007 10094.00 10127.00 10151.00
1/23/2007 10204.00 10238.00 10269.00
1/24/2007 10305.00 10340.00 10363.00
1/25/2007 10191.00 10225.00 10259.00
1/26/2007 10219.00 10254.00 10298.00
1/27/2007 10219.00 10254.00 10298.00
1/28/2007 10219.00 10254.00 10298.00
1/29/2007 10280.00 10314.00 10341.00
1/30/2007 10328.00 10364.00 10411.00
1/31/2007 10402.00 10436.00 10487.00
2/1/2007 10537.00 10574.00 10623.00
2/2/2007 10590.00 10626.00 10661.00
2/3/2007 10590.00 10626.00 10661.00
2/4/2007 10590.00 10626.00 10661.00
2/5/2007 10529.00 10567.00 10616.00
2/6/2007 10590.00 10628.00 10661.00
2/7/2007 10639.00 10675.00 10719.00
2/8/2007 10654.00 10690.00 10717.00
2/9/2007 10544.00 10580.00 10608.00
2/10/2007 10544.00 10580.00 10608.00
2/11/2007 10544.00 10580.00 10608.00
2/12/2007 10504.00 10541.00 10572.00
2/13/2007 10572.00 10611.00 10649.00
2/14/2007 10611.00 10649.00 10699.00
2/15/2007 10659.00 10697.00 10730.00
2/16/2007 10700.00 10737.00 10777.00
2/17/2007 10700.00 10737.00 10777.00
2/18/2007 10700.00 10737.00 10777.00
2/19/2007 10700.00 10737.00 10777.00
2/20/2007 10801.00 10840.00 10873.00
2/21/2007 10834.00 10873.00 10920.00
2/22/2007 10837.00 10877.00 10918.00
2/23/2007 10801.00 10841.00 10896.00
2/24/2007 10801.00 10841.00 10896.00
2/25/2007 10801.00 10841.00 10896.00
2/26/2007 10773.00 10812.00 10848.00
2/27/2007 10369.00 10406.00 10463.00
2/28/2007 10384.00 10421.00 10476.00
3/1/2007 10343.00 10380.00 10448.00
3/2/2007 10130.00 10166.00 10257.00
3/3/2007 10130.00 10166.00 10257.00
3/4/2007 10130.00 10166.00 10257.00
3/5/2007 9959.00 9995.00 10094.00
3/6/2007 10158.00 10196.00 10281.00
3/7/2007 10165.00 10202.00 10287.00
3/8/2007 10237.00 10275.00 10364.00
3/9/2007 10280.00 10318.00 10404.00
3/10/2007 10280.00 10318.00 10404.00
3/11/2007 10280.00 10318.00 10404.00
3/12/2007 10333.00 10372.00 10453.00
3/13/2007 10137.00 10174.00 10232.00
3/14/2007 10221.00 10261.00 10304.00
3/15/2007 10295.00 10335.00 10397.00
3/16/2007 10252.00 10290.00 10366.00
3/17/2007 10252.00 10290.00 10366.00
3/18/2007 10252.00 10290.00 10366.00
3/19/2007 10364.00 10404.00 10484.00
3/20/2007 10435.00 10474.00 10561.00
3/21/2007 10605.00 10647.00 10721.00
3/22/2007 10669.00 10710.00 10772.00
3/23/2007 10725.00 10766.00 10826.00
3/24/2007 10725.00 10766.00 10826.00
3/25/2007 10725.00 10766.00 10826.00
3/26/2007 10728.00 10770.00 10813.00
3/27/2007 10651.00 10692.00 10743.00
3/28/2007 10598.00 10639.00 10701.00
3/29/2007 10626.00 10668.00 10731.00
3/30/2007 10613.00 10656.00 10724.00
3/31/2007 10613.00 10656.00 10724.00
4/1/2007 10613.00 10656.00 10724.00
4/2/2007 10639.00 10682.00 10779.00
4/3/2007 10735.00 10777.00 10874.00
4/4/2007 10712.00 10754.00 10877.00
4/5/2007 10786.00 10830.00 10918.00
4/6/2007 10786.00 10830.00 10918.00
4/7/2007 10786.00 10830.00 10918.00
4/8/2007 10786.00 10830.00 10918.00
4/9/2007 10748.00 10791.00 10898.00
4/10/2007 10778.00 10822.00 10934.00
4/11/2007 10715.00 10758.00 10874.00
4/12/2007 10758.00 10803.00 10946.00
4/13/2007 10794.00 10838.00 10985.00
4/14/2007 10794.00 10838.00 10985.00
4/15/2007 10794.00 10838.00 10985.00
4/16/2007 10934.00 10979.00 11115.00
4/17/2007 10911.00 10955.00 11088.00
4/18/2007 10852.00 10896.00 11029.00
4/19/2007 10817.00 10861.00 10994.00
4/20/2007 10918.00 10964.00 11103.00
4/21/2007 10918.00 10964.00 11103.00
4/22/2007 10918.00 10964.00 11103.00
4/23/2007 10880.00 10925.00 11092.00
4/24/2007 10878.00 10923.00 11087.00
4/25/2007 10931.00 10977.00 11174.00
4/26/2007 10967.00 11012.00 11195.00
4/27/2007 10949.00 10995.00 11177.00
4/28/2007 10949.00 10995.00 11177.00
4/29/2007 10949.00 10995.00 11177.00
4/30/2007 10763.00 10810.00 10993.00
5/1/2007 10776.00 10822.00 11028.00
5/2/2007 10946.00 10992.00 11211.00
5/3/2007 10944.00 10990.00 11211.00
5/4/2007 11028.00 11076.00 11273.00
5/5/2007 11028.00 11076.00 11273.00
5/6/2007 11028.00 11076.00 11273.00
5/7/2007 11018.00 11065.00 11270.00
5/8/2007 10992.00 11041.00 11247.00
5/9/2007 11063.00 11112.00 11307.00
5/10/2007 10901.00 10947.00 11116.00
5/11/2007 10990.00 11038.00 11228.00
5/12/2007 10990.00 11038.00 11228.00
5/13/2007 10990.00 11038.00 11228.00
5/14/2007 10929.00 10978.00 11168.00
5/15/2007 10837.00 10885.00 11085.00
5/16/2007 10918.00 10967.00 11152.00
5/17/2007 10860.00 10908.00 11113.00
5/18/2007 10959.00 11007.00 11204.00
5/19/2007 10959.00 11007.00 11204.00
5/20/2007 10959.00 11007.00 11204.00
5/21/2007 11104.00 11153.00 11342.00
5/22/2007 11175.00 11225.00 11405.00
5/23/2007 11112.00 11162.00 11353.00
5/24/2007 10936.00 10986.00 11186.00
5/25/2007 11033.00 11082.00 11279.00
5/26/2007 11033.00 11082.00 11279.00
5/27/2007 11033.00 11082.00 11279.00
5/28/2007 11033.00 11082.00 11279.00
5/29/2007 11117.00 11167.00 11354.00
5/30/2007 11203.00 11254.00 11444.00
5/31/2007 11259.00 11311.00 11503.00
6/1/2007 11313.00 11365.00 11577.00
6/2/2007 11313.00 11365.00 11577.00
6/3/2007 11313.00 11365.00 11577.00
6/4/2007 11346.00 11399.00 11611.00
6/5/2007 11280.00 11332.00 11532.00
6/6/2007 11157.00 11210.00 11407.00
6/7/2007 10979.00 11030.00 11199.00
6/8/2007 11096.00 11147.00 11314.00
6/9/2007 11096.00 11147.00 11314.00
6/10/2007 11096.00 11147.00 11314.00
6/11/2007 11068.00 11119.00 11297.00
6/12/2007 10982.00 11032.00 11192.00
6/13/2007 11099.00 11150.00 11323.00
6/14/2007 11173.00 11224.00 11408.00
6/15/2007 11297.00 11351.00 11532.00
6/16/2007 11297.00 11351.00 11532.00
6/17/2007 11297.00 11351.00 11532.00
6/18/2007 11307.00 11362.00 11520.00
6/19/2007 11340.00 11394.00 11564.00
6/20/2007 11231.00 11284.00 11437.00
6/21/2007 11259.00 11312.00 11477.00
6/22/2007 11162.00 11214.00 11390.00
6/23/2007 11162.00 11214.00 11390.00
6/24/2007 11162.00 11214.00 11390.00
6/25/2007 11129.00 11181.00 11316.00
6/26/2007 11068.00 11122.00 11256.00
6/27/2007 11256.00 11312.00 11419.00
6/28/2007 11287.00 11342.00 11429.00
6/29/2007 11228.00 11282.00 11391.00
6/30/2007 11228.00 11282.00 11391.00
7/1/2007 11228.00 11282.00 11391.00
7/2/2007 11328.00 11383.00 11509.00
7/3/2007 11358.00 11415.00 11546.00
7/4/2007 11358.00 11415.00 11546.00
7/5/2007 11394.00 11449.00 11584.00
7/6/2007 11396.00 11454.00 11602.00
7/7/2007 11396.00 11454.00 11602.00
7/8/2007 11396.00 11454.00 11602.00
7/9/2007 11440.00 11498.00 11638.00
7/10/2007 11262.00 11318.00 11449.00
7/11/2007 11340.00 11396.00 11529.00
7/12/2007 11485.00 11544.00 11691.00
7/13/2007 11496.00 11554.00 11707.00
7/14/2007 11496.00 11554.00 11707.00
7/15/2007 11496.00 11554.00 11707.00
7/16/2007 11432.00 11489.00 11641.00
7/17/2007 11432.00 11490.00 11659.00
7/18/2007 11412.00 11470.00 11625.00
7/19/2007 11468.00 11527.00 11712.00
7/20/2007 11318.00 11374.00 11537.00
7/21/2007 11318.00 11374.00 11537.00
7/22/2007 11318.00 11374.00 11537.00
7/23/2007 11325.00 11383.00 11545.00
7/24/2007 11071.00 11127.00 11290.00
7/25/2007 11050.00 11107.00 11276.00
7/26/2007 10821.00 10876.00 11051.00
7/27/2007 10722.00 10776.00 10938.00
7/28/2007 10722.00 10776.00 10938.00
7/29/2007 10722.00 10776.00 10938.00
7/30/2007 10786.00 10840.00 11028.00
7/31/2007 10663.00 10716.00 10925.00
8/1/2007 10669.00 10721.00 10965.00
8/2/2007 10796.00 10850.00 11103.00
8/3/2007 10501.00 10551.00 10790.00
8/4/2007 10501.00 10551.00 10790.00
8/5/2007 10501.00 10551.00 10790.00
8/6/2007 10684.00 10736.00 10959.00
8/7/2007 10747.00 10801.00 11069.00
8/8/2007 10893.00 10946.00 11231.00
8/9/2007 10801.00 10855.00 11089.00
8/10/2007 10796.00 10851.00 11084.00
8/11/2007 10796.00 10851.00 11084.00
8/12/2007 10796.00 10851.00 11084.00
8/13/2007 10725.00 10777.00 11023.00
8/14/2007 10562.00 10615.00 10852.00
8/15/2007 10473.00 10524.00 10723.00
8/16/2007 10582.00 10634.00 10841.00
8/17/2007 10798.00 10852.00 11087.00
8/18/2007 10798.00 10852.00 11087.00
8/19/2007 10798.00 10852.00 11087.00
8/20/2007 10842.00 10895.00 11128.00
8/21/2007 10842.00 10897.00 11140.00
8/22/2007 10943.00 10998.00 11260.00
8/23/2007 10786.00 10840.00 11125.00
8/24/2007 10931.00 10985.00 11286.00
8/25/2007 10931.00 10985.00 11286.00
8/26/2007 10931.00 10985.00 11286.00
8/27/2007 10821.00 10874.00 11174.00
8/28/2007 10554.00 10603.00 10895.00
8/29/2007 10758.00 10809.00 11122.00
8/30/2007 10730.00 10781.00 11093.00
8/31/2007 10849.00 10902.00 11229.00
9/1/2007 10849.00 10902.00 11229.00
9/2/2007 10849.00 10902.00 11229.00
9/3/2007 10849.00 10902.00 11229.00
9/4/2007 10923.00 10979.00 11312.00
9/5/2007 10885.00 10940.00 11241.00
9/6/2007 10915.00 10972.00 11273.00
9/7/2007 10742.00 10794.00 11080.00
9/8/2007 10742.00 10794.00 11080.00
9/9/2007 10742.00 10794.00 11080.00
9/10/2007 10697.00 10746.00 11019.00
9/11/2007 10852.00 10907.00 11195.00
9/12/2007 10831.00 10885.00 11174.00
9/13/2007 10847.00 10902.00 11195.00
9/14/2007 10923.00 10979.00 11253.00
9/15/2007 10923.00 10979.00 11253.00
9/16/2007 10923.00 10979.00 11253.00
9/17/2007 10814.00 10868.00 11152.00
9/18/2007 11142.00 11202.00 11509.00
9/19/2007 11254.00 11317.00 11634.00
9/20/2007 11165.00 11226.00 11552.00
9/21/2007 11195.00 11259.00 11568.00
9/22/2007 11195.00 11259.00 11568.00
9/23/2007 11195.00 11259.00 11568.00
9/24/2007 11086.00 11146.00 11481.00
9/25/2007 11091.00 11153.00 11473.00
9/26/2007 11162.00 11225.00 11560.00
9/27/2007 11216.00 11280.00 11625.00
9/28/2007 11132.00 11194.00 11542.00
9/29/2007 11132.00 11194.00 11542.00
9/30/2007 11132.00 11194.00 11542.00
10/1/2007 11374.00 11440.00 11790.00
10/2/2007 11455.00 11523.00 11872.00
10/3/2007 11396.00 11463.00 11809.00
10/4/2007 11450.00 11519.00 11853.00
10/5/2007 11625.00 11695.00 12038.00
10/6/2007 11625.00 11695.00 12038.00
10/7/2007 11625.00 11695.00 12038.00
10/8/2007 11531.00 11600.00 11977.00
10/9/2007 11610.00 11680.00 12036.00
10/10/2007 11613.00 11682.00 12034.00
10/11/2007 11447.00 11514.00 11879.00
10/12/2007 11506.00 11573.00 11956.00
10/13/2007 11506.00 11573.00 11956.00
10/14/2007 11506.00 11573.00 11956.00
10/15/2007 11371.00 11436.00 11832.00
10/16/2007 11310.00 11374.00 11745.00
10/17/2007 11290.00 11355.00 11749.00
10/18/2007 11282.00 11346.00 11730.00
10/19/2007 10961.00 11025.00 11398.00
10/20/2007 10961.00 11025.00 11398.00
10/21/2007 10961.00 11025.00 11398.00
10/22/2007 11139.00 11204.00 11525.00
10/23/2007 11259.00 11325.00 11654.00
10/24/2007 11134.00 11198.00 11555.00
10/25/2007 11101.00 11166.00 11506.00
10/26/2007 11315.00 11380.00 11727.00
10/27/2007 11315.00 11380.00 11727.00
10/28/2007 11315.00 11380.00 11727.00
10/29/2007 11325.00 11393.00 11751.00
10/30/2007 11269.00 11336.00 11662.00
10/31/2007 11432.00 11499.00 11836.00
</Table>
AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIOD ENDED OCTOBER 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
SINCE INCEPTION
ONE YEAR (03/01/06)
-------- ---------------
RYDEX S&P SMALLCAP 600 PURE GROWTH ETF............................ 14.93% 8.35%
S&P SMALLCAP 600/CITIGROUP PURE GROWTH TOTAL RETURN INDEX......... 15.31% 8.73%
S&P SMALLCAP 600 GROWTH TOTAL RETURN INDEX........................ 18.27% 10.63%
</Table>
The returns presented above do not reflect the effect of taxes. Index returns
represent total returns. Past performance is not guarantee of future results.
18
Rydex S&P SmallCap 600 Pure Growth ETF
PORTFOLIO SUMMARY As of October 31, 2007
- --------------------------------------------------------------------------------
TOP 10 HOLDINGS*
- --------------------------------------------------------------------------------
<Table>
<Caption>
DESCRIPTION % OF NET ASSETS
- ------------------------------------------------------------------------------------
FLIR SYSTEMS, INC. 2.56%
ITRON, INC. 1.65%
J2 GLOBAL COMMUNICATIONS, INC. 1.45%
BANKRATE, INC. 1.44%
OPTIONSXPRESS HOLDINGS, INC. 1.42%
POSSIS MEDICAL, INC. 1.38%
EPIQ SYSTEMS, INC. 1.33%
COINSTAR, INC. 1.32%
PRE-PAID LEGAL SERVICES, INC. 1.32%
INTEGRA LIFESCIENCES HOLDINGS CORP. 1.31%
- ------------------------------------------------------------------------------------
</Table>
SECTOR ALLOCATIONS*
(PIE CHART)
<Table>
Information Technology Health Care Consumer Discretionary Energy Industrials
24.29 23.83 21.66 10.40 8.58
</Table>
<Table>
Information Technology Financials Consumer Staples Telecommunication Services
24.29 8.53 2.20 0.51
</Table>
* The Fund's Top 10 Holdings are expressed as a percentage of net assets and the
Sector Allocations are expressed as a percentage of the Fund's investments
market value. These percentages may change over time.
19 ANNUAL REPORT
RYDEX S&P EQUAL WEIGHT CONSUMER DISCRETIONARY ETF
MANAGER'S ANALYSIS
- --------------------------------------------------------------------------------
For the period since inception (November 1, 2006) through October 31, 2007,
Rydex S&P Equal Weight Consumer Discretionary ETF slid slightly -.40%. For the
same period its benchmark, the S&P Equal Weight Consumer Discretionary Total
Return Index returned 0.27%
This ETF struggled throughout the year and had significant losses as the overall
market was hurt this summer. Consumer discretionary spending and outlook were
impacted negatively by the credit crunch. This sector was one of only two
sectors that declined on the year due to poor performance in household durables,
specialty retail, multiline retail and automobiles industries.
CUMULATIVE FUND PERFORMANCE: NOVEMBER 1, 2006 - OCTOBER 31, 2007
(PERFORMANCE GRAPH)
<Table>
<Caption>
RYDEX S&P
EQUAL WEIGHT S&P 500
CONSUMER DISCRETIONARY TOTAL RETURN
ETF(A) INDEX(B)
---------------------- ------------
11/1/2006 10000.00 10000.00
11/2/2006 9980.00 9999.00
11/3/2006 9913.00 9978.00
11/4/2006 9913.00 9978.00
11/5/2006 9913.00 9978.00
11/6/2006 10056.00 10091.00
11/7/2006 10069.00 10114.00
11/8/2006 10120.00 10137.00
11/9/2006 10076.00 10085.00
11/10/2006 10165.00 10104.00
11/11/2006 10165.00 10104.00
11/12/2006 10165.00 10104.00
11/13/2006 10173.00 10132.00
11/14/2006 10298.00 10198.00
11/15/2006 10358.00 10225.00
11/16/2006 10434.00 10249.00
11/17/2006 10387.00 10259.00
11/18/2006 10387.00 10259.00
11/19/2006 10387.00 10259.00
11/20/2006 10342.00 10254.00
11/21/2006 10389.00 10272.00
11/22/2006 10445.00 10297.00
11/23/2006 10445.00 10297.00
11/24/2006 10398.00 10260.00
11/25/2006 10398.00 10260.00
11/26/2006 10398.00 10260.00
11/27/2006 10225.00 10120.00
11/28/2006 10211.00 10158.00
11/29/2006 10302.00 10256.00
11/30/2006 10313.00 10264.00
12/1/2006 10267.00 10236.00
12/2/2006 10267.00 10236.00
12/3/2006 10267.00 10236.00
12/4/2006 10405.00 10327.00
12/5/2006 10469.00 10368.00
12/6/2006 10465.00 10357.00
12/7/2006 10394.00 10317.00
12/8/2006 10398.00 10336.00
12/9/2006 10398.00 10336.00
12/10/2006 10398.00 10336.00
12/11/2006 10425.00 10359.00
12/12/2006 10373.00 10349.00
12/13/2006 10422.00 10363.00
12/14/2006 10525.00 10453.00
12/15/2006 10478.00 10465.00
12/16/2006 10478.00 10465.00
12/17/2006 10478.00 10465.00
12/18/2006 10438.00 10431.00
12/19/2006 10414.00 10454.00
12/20/2006 10438.00 10440.00
12/21/2006 10389.00 10404.00
12/22/2006 10389.00 10350.00
12/23/2006 10389.00 10350.00
12/24/2006 10389.00 10350.00
12/25/2006 10389.00 10350.00
12/26/2006 10407.00 10395.00
12/27/2006 10495.00 10470.00
12/28/2006 10469.00 10455.00
12/29/2006 10431.00 10408.00
12/30/2006 10431.00 10408.00
12/31/2006 10431.00 10408.00
1/1/2007 10431.00 10408.00
1/2/2007 10431.00 10408.00
1/3/2007 10449.00 10398.00
1/4/2007 10451.00 10411.00
1/5/2007 10375.00 10347.00
1/6/2007 10375.00 10347.00
1/7/2007 10375.00 10347.00
1/8/2007 10400.00 10373.00
1/9/2007 10469.00 10368.00
1/10/2007 10509.00 10389.00
1/11/2007 10638.00 10455.00
1/12/2007 10660.00 10506.00
1/13/2007 10660.00 10506.00
1/14/2007 10660.00 10506.00
1/15/2007 10660.00 10506.00
1/16/2007 10676.00 10515.00
1/17/2007 10680.00 10506.00
1/18/2007 10720.00 10475.00
1/19/2007 10758.00 10506.00
1/20/2007 10758.00 10506.00
1/21/2007 10758.00 10506.00
1/22/2007 10702.00 10451.00
1/23/2007 10725.00 10488.00
1/24/2007 10780.00 10577.00
1/25/2007 10633.00 10458.00
1/26/2007 10602.00 10445.00
1/27/2007 10602.00 10445.00
1/28/2007 10602.00 10445.00
1/29/2007 10622.00 10435.00
1/30/2007 10642.00 10495.00
1/31/2007 10767.00 10566.00
2/1/2007 10867.00 10625.00
2/2/2007 10898.00 10643.00
2/3/2007 10898.00 10643.00
2/4/2007 10898.00 10643.00
2/5/2007 10872.00 10634.00
2/6/2007 10918.00 10641.00
2/7/2007 10965.00 10660.00
2/8/2007 10974.00 10648.00
2/9/2007 10872.00 10573.00
2/10/2007 10872.00 10573.00
2/11/2007 10872.00 10573.00
2/12/2007 10820.00 10539.00
2/13/2007 10903.00 10621.00
2/14/2007 10974.00 10705.00
2/15/2007 11016.00 10717.00
2/16/2007 10996.00 10708.00
2/17/2007 10996.00 10708.00
2/18/2007 10996.00 10708.00
2/19/2007 10996.00 10708.00
2/20/2007 11083.00 10739.00
2/21/2007 11050.00 10724.00
2/22/2007 11019.00 10717.00
2/23/2007 10981.00 10680.00
2/24/2007 10981.00 10680.00
2/25/2007 10981.00 10680.00
2/26/2007 10918.00 10668.00
2/27/2007 10560.00 10299.00
2/28/2007 10593.00 10359.00
3/1/2007 10558.00 10332.00
3/2/2007 10455.00 10215.00
3/3/2007 10455.00 10215.00
3/4/2007 10455.00 10215.00
3/5/2007 10310.00 10119.00
3/6/2007 10462.00 10276.00
3/7/2007 10471.00 10254.00
3/8/2007 10566.00 10327.00
3/9/2007 10584.00 10334.00
3/10/2007 10584.00 10334.00
3/11/2007 10584.00 10334.00
3/12/2007 10611.00 10362.00
3/13/2007 10395.00 10154.00
3/14/2007 10395.00 10223.00
3/15/2007 10457.00 10261.00
3/16/2007 10404.00 10222.00
3/17/2007 10404.00 10222.00
3/18/2007 10404.00 10222.00
3/19/2007 10511.00 10333.00
3/20/2007 10589.00 10399.00
3/21/2007 10747.00 10577.00
3/22/2007 10725.00 10573.00
3/23/2007 10752.00 10584.00
3/24/2007 10752.00 10584.00
3/25/2007 10752.00 10584.00
3/26/2007 10723.00 10595.00
3/27/2007 10645.00 10529.00
3/28/2007 10544.00 10448.00
3/29/2007 10556.00 10487.00
3/30/2007 10567.00 10475.00
3/31/2007 10567.00 10475.00
4/1/2007 10567.00 10475.00
4/2/2007 10616.00 10502.00
4/3/2007 10725.00 10602.00
4/4/2007 10716.00 10614.00
4/5/2007 10765.00 10649.00
4/6/2007 10765.00 10649.00
4/7/2007 10765.00 10649.00
4/8/2007 10765.00 10649.00
4/9/2007 10783.00 10655.00
4/10/2007 10783.00 10684.00
4/11/2007 10712.00 10615.00
4/12/2007 10781.00 10681.00
4/13/2007 10765.00 10718.00
4/14/2007 10765.00 10718.00
4/15/2007 10765.00 10718.00
4/16/2007 10895.00 10833.00
4/17/2007 10935.00 10855.00
4/18/2007 10941.00 10863.00
4/19/2007 10892.00 10850.00
4/20/2007 11004.00 10951.00
4/21/2007 11004.00 10951.00
4/22/2007 11004.00 10951.00
4/23/2007 10977.00 10926.00
4/24/2007 10979.00 10922.00
4/25/2007 11082.00 11034.00
4/26/2007 11151.00 11026.00
4/27/2007 11104.00 11025.00
4/28/2007 11104.00 11025.00
4/29/2007 11104.00 11025.00
4/30/2007 10953.00 10939.00
5/1/2007 11024.00 10968.00
5/2/2007 11118.00 11040.00
5/3/2007 11089.00 11091.00
5/4/2007 11100.00 11115.00
5/5/2007 11100.00 11115.00
5/6/2007 11100.00 11115.00
5/7/2007 11100.00 11144.00
5/8/2007 11084.00 11132.00
5/9/2007 11156.00 11171.00
5/10/2007 11004.00 11017.00
5/11/2007 11055.00 11124.00
5/12/2007 11055.00 11124.00
5/13/2007 11055.00 11124.00
5/14/2007 11031.00 11105.00
5/15/2007 10975.00 11091.00
5/16/2007 11035.00 11190.00
5/17/2007 11049.00 11181.00
5/18/2007 11160.00 11255.00
5/19/2007 11160.00 11255.00
5/20/2007 11160.00 11255.00
5/21/2007 11205.00 11272.00
5/22/2007 11236.00 11265.00
5/23/2007 11223.00 11252.00
5/24/2007 11136.00 11144.00
5/25/2007 11160.00 11205.00
5/26/2007 11160.00 11205.00
5/27/2007 11160.00 11205.00
5/28/2007 11160.00 11205.00
5/29/2007 11173.00 11224.00
5/30/2007 11269.00 11318.00
5/31/2007 11292.00 11321.00
6/1/2007 11379.00 11363.00
6/2/2007 11379.00 11363.00
6/3/2007 11379.00 11363.00
6/4/2007 11417.00 11384.00
6/5/2007 11345.00 11324.00
6/6/2007 11223.00 11226.00
6/7/2007 11013.00 11030.00
6/8/2007 11147.00 11155.00
6/9/2007 11147.00 11155.00
6/10/2007 11147.00 11155.00
6/11/2007 11120.00 11166.00
6/12/2007 10991.00 11047.00
6/13/2007 11127.00 11217.00
6/14/2007 11160.00 11272.00
6/15/2007 11213.00 11345.00
6/16/2007 11213.00 11345.00
6/17/2007 11213.00 11345.00
6/18/2007 11189.00 11332.00
6/19/2007 11180.00 11352.00
6/20/2007 11091.00 11197.00
6/21/2007 11097.00 11269.00
6/22/2007 11006.00 11124.00
6/23/2007 11006.00 11124.00
6/24/2007 11006.00 11124.00
6/25/2007 10959.00 11088.00
6/26/2007 10901.00 11053.00
6/27/2007 11015.00 11154.00
6/28/2007 11026.00 11150.00
6/29/2007 10997.00 11133.00
6/30/2007 10997.00 11133.00
7/1/2007 10997.00 11133.00
7/2/2007 11077.00 11252.00
7/3/2007 11084.00 11294.00
7/4/2007 11084.00 11294.00
7/5/2007 11153.00 11298.00
7/6/2007 11252.00 11339.00
7/7/2007 11252.00 11339.00
7/8/2007 11252.00 11339.00
7/9/2007 11202.00 11349.00
7/10/2007 10968.00 11188.00
7/11/2007 11001.00 11254.00
7/12/2007 11153.00 11468.00
7/13/2007 11189.00 11504.00
7/14/2007 11189.00 11504.00
7/15/2007 11189.00 11504.00
7/16/2007 11129.00 11482.00
7/17/2007 11100.00 11481.00
7/18/2007 11055.00 11458.00
7/19/2007 11124.00 11510.00
7/20/2007 10948.00 11369.00
7/21/2007 10948.00 11369.00
7/22/2007 10948.00 11369.00
7/23/2007 10923.00 11425.00
7/24/2007 10704.00 11199.00
7/25/2007 10691.00 11251.00
7/26/2007 10376.00 10988.00
7/27/2007 10213.00 10814.00
7/28/2007 10213.00 10814.00
7/29/2007 10213.00 10814.00
7/30/2007 10316.00 10925.00
7/31/2007 10202.00 10787.00
8/1/2007 10197.00 10866.00
8/2/2007 10291.00 10916.00
8/3/2007 9978.00 10627.00
8/4/2007 9978.00 10627.00
8/5/2007 9978.00 10627.00
8/6/2007 10137.00 10884.00
8/7/2007 10193.00 10951.00
8/8/2007 10300.00 11109.00
8/9/2007 10007.00 10781.00
8/10/2007 10030.00 10786.00
8/11/2007 10030.00 10786.00
8/12/2007 10030.00 10786.00
8/13/2007 10050.00 10782.00
8/14/2007 9777.00 10587.00
8/15/2007 9612.00 10443.00
8/16/2007 9619.00 10477.00
8/17/2007 9804.00 10735.00
8/18/2007 9804.00 10735.00
8/19/2007 9804.00 10735.00
8/20/2007 9844.00 10732.00
8/21/2007 9900.00 10744.00
8/22/2007 10027.00 10870.00
8/23/2007 9985.00 10858.00
8/24/2007 10121.00 10985.00
8/25/2007 10121.00 10985.00
8/26/2007 10121.00 10985.00
8/27/2007 9989.00 10892.00
8/28/2007 9730.00 10636.00
8/29/2007 9983.00 10872.00
8/30/2007 9934.00 10827.00
8/31/2007 10081.00 10949.00
9/1/2007 10081.00 10949.00
9/2/2007 10081.00 10949.00
9/3/2007 10081.00 10949.00
9/4/2007 10108.00 11064.00
9/5/2007 9969.00 10942.00
9/6/2007 9972.00 10990.00
9/7/2007 9744.00 10804.00
9/8/2007 9744.00 10804.00
9/9/2007 9744.00 10804.00
9/10/2007 9639.00 10791.00
9/11/2007 9748.00 10938.00
9/12/2007 9717.00 10942.00
9/13/2007 9831.00 11034.00
9/14/2007 9891.00 11037.00
9/15/2007 9891.00 11037.00
9/16/2007 9891.00 11037.00
9/17/2007 9829.00 10980.00
9/18/2007 10188.00 11301.00
9/19/2007 10249.00 11370.00
9/20/2007 10065.00 11296.00
9/21/2007 10047.00 11348.00
9/22/2007 10047.00 11348.00
9/23/2007 10047.00 11348.00
9/24/2007 9944.00 11289.00
9/25/2007 9826.00 11285.00
9/26/2007 9902.00 11348.00
9/27/2007 9922.00 11393.00
9/28/2007 9929.00 11359.00
9/29/2007 9929.00 11359.00
9/30/2007 9929.00 11359.00
10/1/2007 10070.00 11510.00
10/2/2007 10164.00 11507.00
10/3/2007 10215.00 11457.00
10/4/2007 10128.00 11481.00
10/5/2007 10320.00 11594.00
10/6/2007 10320.00 11594.00
10/7/2007 10320.00 11594.00
10/8/2007 10260.00 11557.00
10/9/2007 10260.00 11650.00
10/10/2007 10276.00 11631.00
10/11/2007 10195.00 11572.00
10/12/2007 10188.00 11627.00
10/13/2007 10188.00 11627.00
10/14/2007 10188.00 11627.00
10/15/2007 10027.00 11530.00
10/16/2007 9949.00 11454.00
10/17/2007 9931.00 11475.00
10/18/2007 9859.00 11467.00
10/19/2007 9618.00 11173.00
10/20/2007 9618.00 11173.00
10/21/2007 9618.00 11173.00
10/22/2007 9761.00 11216.00
10/23/2007 9776.00 11315.00
10/24/2007 9770.00 11287.00
10/25/2007 9745.00 11276.00
10/26/2007 9857.00 11432.00
10/27/2007 9857.00 11432.00
10/28/2007 9857.00 11432.00
10/29/2007 9900.00 11476.00
10/30/2007 9906.00 11402.00
10/31/2007 9960.00 11539.00
<Caption>
S&P 500
EQUAL WEIGHTED
CONSUMER DISCRETIONARY
TOTAL RETURN
INDEX(C)
----------------------
11/1/2006 10001.00
11/2/2006 9979.00
11/3/2006 9912.00
11/4/2006 9912.00
11/5/2006 9912.00
11/6/2006 10055.00
11/7/2006 10069.00
11/8/2006 10122.00
11/9/2006 10075.00
11/10/2006 10165.00
11/11/2006 10165.00
11/12/2006 10165.00
11/13/2006 10174.00
11/14/2006 10299.00
11/15/2006 10360.00
11/16/2006 10436.00
11/17/2006 10389.00
11/18/2006 10389.00
11/19/2006 10389.00
11/20/2006 10343.00
11/21/2006 10390.00
11/22/2006 10445.00
11/23/2006 10445.00
11/24/2006 10398.00
11/25/2006 10398.00
11/26/2006 10398.00
11/27/2006 10225.00
11/28/2006 10212.00
11/29/2006 10303.00
11/30/2006 10314.00
12/1/2006 10267.00
12/2/2006 10267.00
12/3/2006 10267.00
12/4/2006 10405.00
12/5/2006 10471.00
12/6/2006 10466.00
12/7/2006 10395.00
12/8/2006 10400.00
12/9/2006 10400.00
12/10/2006 10400.00
12/11/2006 10428.00
12/12/2006 10375.00
12/13/2006 10425.00
12/14/2006 10529.00
12/15/2006 10481.00
12/16/2006 10481.00
12/17/2006 10481.00
12/18/2006 10441.00
12/19/2006 10417.00
12/20/2006 10442.00
12/21/2006 10393.00
12/22/2006 10395.00
12/23/2006 10395.00
12/24/2006 10395.00
12/25/2006 10395.00
12/26/2006 10412.00
12/27/2006 10500.00
12/28/2006 10474.00
12/29/2006 10436.00
12/30/2006 10436.00
12/31/2006 10436.00
1/1/2007 10436.00
1/2/2007 10436.00
1/3/2007 10455.00
1/4/2007 10458.00
1/5/2007 10381.00
1/6/2007 10381.00
1/7/2007 10381.00
1/8/2007 10407.00
1/9/2007 10477.00
1/10/2007 10517.00
1/11/2007 10646.00
1/12/2007 10669.00
1/13/2007 10669.00
1/14/2007 10669.00
1/15/2007 10669.00
1/16/2007 10686.00
1/17/2007 10690.00
1/18/2007 10731.00
1/19/2007 10768.00
1/20/2007 10768.00
1/21/2007 10768.00
1/22/2007 10712.00
1/23/2007 10735.00
1/24/2007 10792.00
1/25/2007 10645.00
1/26/2007 10613.00
1/27/2007 10613.00
1/28/2007 10613.00
1/29/2007 10633.00
1/30/2007 10654.00
1/31/2007 10780.00
2/1/2007 10879.00
2/2/2007 10910.00
2/3/2007 10910.00
2/4/2007 10910.00
2/5/2007 10884.00
2/6/2007 10931.00
2/7/2007 10978.00
2/8/2007 10988.00
2/9/2007 10885.00
2/10/2007 10885.00
2/11/2007 10885.00
2/12/2007 10835.00
2/13/2007 10916.00
2/14/2007 10989.00
2/15/2007 11030.00
2/16/2007 11011.00
2/17/2007 11011.00
2/18/2007 11011.00
2/19/2007 11011.00
2/20/2007 11098.00
2/21/2007 11065.00
2/22/2007 11034.00
2/23/2007 10996.00
2/24/2007 10996.00
2/25/2007 10996.00
2/26/2007 10933.00
2/27/2007 10574.00
2/28/2007 10609.00
3/1/2007 10572.00
3/2/2007 10470.00
3/3/2007 10470.00
3/4/2007 10470.00
3/5/2007 10324.00
3/6/2007 10478.00
3/7/2007 10486.00
3/8/2007 10583.00
3/9/2007 10600.00
3/10/2007 10600.00
3/11/2007 10600.00
3/12/2007 10628.00
3/13/2007 10411.00
3/14/2007 10411.00
3/15/2007 10474.00
3/16/2007 10421.00
3/17/2007 10421.00
3/18/2007 10421.00
3/19/2007 10530.00
3/20/2007 10606.00
3/21/2007 10767.00
3/22/2007 10743.00
3/23/2007 10772.00
3/24/2007 10772.00
3/25/2007 10772.00
3/26/2007 10741.00
3/27/2007 10664.00
3/28/2007 10565.00
3/29/2007 10575.00
3/30/2007 10587.00
3/31/2007 10587.00
4/1/2007 10587.00
4/2/2007 10636.00
4/3/2007 10745.00
4/4/2007 10736.00
4/5/2007 10786.00
4/6/2007 10786.00
4/7/2007 10786.00
4/8/2007 10786.00
4/9/2007 10805.00
4/10/2007 10806.00
4/11/2007 10734.00
4/12/2007 10803.00
4/13/2007 10788.00
4/14/2007 10788.00
4/15/2007 10788.00
4/16/2007 10917.00
4/17/2007 10958.00
4/18/2007 10965.00
4/19/2007 10915.00
4/20/2007 11028.00
4/21/2007 11028.00
4/22/2007 11028.00
4/23/2007 11002.00
4/24/2007 11004.00
4/25/2007 11107.00
4/26/2007 11177.00
4/27/2007 11129.00
4/28/2007 11129.00
4/29/2007 11129.00
4/30/2007 10977.00
5/1/2007 11049.00
5/2/2007 11145.00
5/3/2007 11115.00
5/4/2007 11125.00
5/5/2007 11125.00
5/6/2007 11125.00
5/7/2007 11126.00
5/8/2007 11110.00
5/9/2007 11183.00
5/10/2007 11031.00
5/11/2007 11083.00
5/12/2007 11083.00
5/13/2007 11083.00
5/14/2007 11059.00
5/15/2007 11002.00
5/16/2007 11062.00
5/17/2007 11078.00
5/18/2007 11188.00
5/19/2007 11188.00
5/20/2007 11188.00
5/21/2007 11234.00
5/22/2007 11266.00
5/23/2007 11252.00
5/24/2007 11164.00
5/25/2007 11189.00
5/26/2007 11189.00
5/27/2007 11189.00
5/28/2007 11189.00
5/29/2007 11204.00
5/30/2007 11299.00
5/31/2007 11323.00
6/1/2007 11411.00
6/2/2007 11411.00
6/3/2007 11411.00
6/4/2007 11450.00
6/5/2007 11378.00
6/6/2007 11255.00
6/7/2007 11044.00
6/8/2007 11178.00
6/9/2007 11178.00
6/10/2007 11178.00
6/11/2007 11150.00
6/12/2007 11020.00
6/13/2007 11158.00
6/14/2007 11191.00
6/15/2007 11245.00
6/16/2007 11245.00
6/17/2007 11245.00
6/18/2007 11222.00
6/19/2007 11214.00
6/20/2007 11127.00
6/21/2007 11135.00
6/22/2007 11044.00
6/23/2007 11044.00
6/24/2007 11044.00
6/25/2007 10997.00
6/26/2007 10938.00
6/27/2007 11051.00
6/28/2007 11064.00
6/29/2007 11035.00
6/30/2007 11035.00
7/1/2007 11035.00
7/2/2007 11115.00
7/3/2007 11123.00
7/4/2007 11123.00
7/5/2007 11193.00
7/6/2007 11291.00
7/7/2007 11291.00
7/8/2007 11291.00
7/9/2007 11242.00
7/10/2007 11008.00
7/11/2007 11040.00
7/12/2007 11195.00
7/13/2007 11230.00
7/14/2007 11230.00
7/15/2007 11230.00
7/16/2007 11169.00
7/17/2007 11142.00
7/18/2007 11097.00
7/19/2007 11166.00
7/20/2007 10990.00
7/21/2007 10990.00
7/22/2007 10990.00
7/23/2007 10963.00
7/24/2007 10744.00
7/25/2007 10730.00
7/26/2007 10414.00
7/27/2007 10251.00
7/28/2007 10251.00
7/29/2007 10251.00
7/30/2007 10355.00
7/31/2007 10240.00
8/1/2007 10235.00
8/2/2007 10331.00
8/3/2007 10017.00
8/4/2007 10017.00
8/5/2007 10017.00
8/6/2007 10175.00
8/7/2007 10232.00
8/8/2007 10340.00
8/9/2007 10048.00
8/10/2007 10070.00
8/11/2007 10070.00
8/12/2007 10070.00
8/13/2007 10089.00
8/14/2007 9816.00
8/15/2007 9650.00
8/16/2007 9656.00
8/17/2007 9843.00
8/18/2007 9843.00
8/19/2007 9843.00
8/20/2007 9885.00
8/21/2007 9940.00
8/22/2007 10067.00
8/23/2007 10025.00
8/24/2007 10163.00
8/25/2007 10163.00
8/26/2007 10163.00
8/27/2007 10029.00
8/28/2007 9769.00
8/29/2007 10025.00
8/30/2007 9974.00
8/31/2007 10123.00
9/1/2007 10123.00
9/2/2007 10123.00
9/3/2007 10123.00
9/4/2007 10151.00
9/5/2007 10011.00
9/6/2007 10015.00
9/7/2007 9784.00
9/8/2007 9784.00
9/9/2007 9784.00
9/10/2007 9679.00
9/11/2007 9790.00
9/12/2007 9758.00
9/13/2007 9874.00
9/14/2007 9935.00
9/15/2007 9935.00
9/16/2007 9935.00
9/17/2007 9871.00
9/18/2007 10234.00
9/19/2007 10296.00
9/20/2007 10111.00
9/21/2007 10091.00
9/22/2007 10091.00
9/23/2007 10091.00
9/24/2007 9992.00
9/25/2007 9875.00
9/26/2007 9952.00
9/27/2007 9971.00
9/28/2007 9979.00
9/29/2007 9979.00
9/30/2007 9979.00
10/1/2007 10119.00
10/2/2007 10210.00
10/3/2007 10259.00
10/4/2007 10174.00
10/5/2007 10366.00
10/6/2007 10366.00
10/7/2007 10366.00
10/8/2007 10308.00
10/9/2007 10310.00
10/10/2007 10326.00
10/11/2007 10245.00
10/12/2007 10241.00
10/13/2007 10241.00
10/14/2007 10241.00
10/15/2007 10079.00
10/16/2007 10004.00
10/17/2007 9986.00
10/18/2007 9929.00
10/19/2007 9692.00
10/20/2007 9692.00
10/21/2007 9692.00
10/22/2007 9819.00
10/23/2007 9842.00
10/24/2007 9835.00
10/25/2007 9809.00
10/26/2007 9922.00
10/27/2007 9922.00
10/28/2007 9922.00
10/29/2007 9965.00
10/30/2007 9971.00
10/31/2007 10027.00
</Table>
TOTAL RETURNS FOR THE PERIOD ENDED OCTOBER 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
SINCE INCEPTION
(11/1/2006)
---------------
RYDEX S&P EQUAL WEIGHT CONSUMER DISCRETIONARY ETF................. -0.40%
S&P 500 EQUAL WEIGHT CONSUMER DISCRETIONARY TOTAL RETURN INDEX.... 0.27%
S&P 500 TOTAL RETURN INDEX........................................ 15.39%
</Table>
The returns presented above do not reflect the effect of taxes. Index returns
represent total returns. Past performance is not guarantee of future results.
20
Rydex S&P Equal Weight Consumer Discretionary ETF
PORTFOLIO SUMMARY As of October 31, 2007
- --------------------------------------------------------------------------------
TOP 10 HOLDINGS*
- --------------------------------------------------------------------------------
<Table>
<Caption>
DESCRIPTION % OF NET ASSETS
- ------------------------------------------------------------------------------------
APOLLO GROUP, INC. -- CLASS A 1.49%
DILLARD'S, INC. -- CLASS A 1.30%
YUM! BRANDS, INC. 1.29%
GENERAL MOTORS CORP. 1.28%
AUTOZONE, INC. 1.27%
TRIBUNE CO. 1.26%
JOHNSON CONTROLS, INC. 1.25%
MEREDITH CORP. 1.25%
HARLEY-DAVIDSON, INC. 1.24%
NIKE, INC. -- CLASS B 1.24%
- ------------------------------------------------------------------------------------
</Table>
INDUSTRY ALLOCATIONS*
(PIE CHART)
<Table>
Media Specialty Retail Household Durables
19.57 19.27 14.55
</Table>
<Table>
Media Hotels, Restaurants & Leisure Multiline Retail
19.57 12.65 9.59
</Table>
<Table>
Media Textiles, Apparel & Luxury Goods
19.57 6.39
</Table>
<Table>
Media Leisure Equipment & Products Automobiles
19.57 4.54 3.75
</Table>
<Table>
Media Internet & Catalog Retail Diversified Consumer Services
19.57 3.46 2.68
</Table>
<Table>
Media Auto Components Distributors
19.57 2.47 1.08
</Table>
* The Fund's Top 10 Holdings are expressed as a percentage of net assets and the
Industry Allocations are expressed as a percentage of the Fund's investments
market value. These percentages may change over time.
21 ANNUAL REPORT
RYDEX S&P EQUAL WEIGHT CONSUMER STAPLES ETF
MANAGER'S ANALYSIS
- --------------------------------------------------------------------------------
For the period since inception (November 1, 2006) through October 31, 2007,
Rydex S&P Equal Weight Consumer Staples ETF returned 11.45%. For the same period
its benchmark, the S&P Equal Weight Consumer Staples Total Return Index
delivered a 12.51% return.
Consumer staples is a late-cycle sector and performed in line with the overall
market in the past year. All of its industry groups delivered positive returns.
CUMULATIVE FUND PERFORMANCE: NOVEMBER 1, 2006 - OCTOBER 31, 2007
(PERFORMANCE GRAPH)
<Table>
<Caption>
S&P 500
RYDEX S&P EQUAL WEIGHTED
EQUAL WEIGHT S&P 500 CONSUMER STAPLES
CONSUMER STAPLES TOTAL RETURN TOTAL RETURN
ETF(A) INDEX(B) INDEX(C)
---------------- ------------ ----------------
11/1/2006 10000.00 10000.00 9999.00
11/2/2006 9981.00 9999.00 9981.00
11/3/2006 9846.00 9978.00 9845.00
11/4/2006 9846.00 9978.00 9845.00
11/5/2006 9846.00 9978.00 9845.00
11/6/2006 9927.00 10091.00 9927.00
11/7/2006 9911.00 10114.00 9911.00
11/8/2006 9975.00 10137.00 9975.00
11/9/2006 9940.00 10085.00 9939.00
11/10/2006 9950.00 10104.00 9950.00
11/11/2006 9950.00 10104.00 9950.00
11/12/2006 9950.00 10104.00 9950.00
11/13/2006 9936.00 10132.00 9937.00
11/14/2006 9979.00 10198.00 9981.00
11/15/2006 10010.00 10225.00 10010.00
11/16/2006 10064.00 10249.00 10064.00
11/17/2006 10056.00 10259.00 10057.00
11/18/2006 10056.00 10259.00 10057.00
11/19/2006 10056.00 10259.00 10057.00
11/20/2006 10035.00 10254.00 10036.00
11/21/2006 10027.00 10272.00 10027.00
11/22/2006 10056.00 10297.00 10058.00
11/23/2006 10056.00 10297.00 10058.00
11/24/2006 10031.00 10260.00 10032.00
11/25/2006 10031.00 10260.00 10032.00
11/26/2006 10031.00 10260.00 10032.00
11/27/2006 9913.00 10120.00 9915.00
11/28/2006 9956.00 10158.00 9958.00
11/29/2006 10042.00 10256.00 10044.00
11/30/2006 10029.00 10264.00 10032.00
12/1/2006 9994.00 10236.00 9996.00
12/2/2006 9994.00 10236.00 9996.00
12/3/2006 9994.00 10236.00 9996.00
12/4/2006 10139.00 10327.00 10142.00
12/5/2006 10203.00 10368.00 10207.00
12/6/2006 10195.00 10357.00 10200.00
12/7/2006 10160.00 10317.00 10164.00
12/8/2006 10183.00 10336.00 10187.00
12/9/2006 10183.00 10336.00 10187.00
12/10/2006 10183.00 10336.00 10187.00
12/11/2006 10193.00 10359.00 10197.00
12/12/2006 10228.00 10349.00 10233.00
12/13/2006 10212.00 10363.00 10216.00
12/14/2006 10262.00 10453.00 10266.00
12/15/2006 10251.00 10465.00 10256.00
12/16/2006 10251.00 10465.00 10256.00
12/17/2006 10251.00 10465.00 10256.00
12/18/2006 10233.00 10431.00 10239.00
12/19/2006 10247.00 10454.00 10254.00
12/20/2006 10226.00 10440.00 10233.00
12/21/2006 10243.00 10404.00 10249.00
12/22/2006 10233.00 10350.00 10239.00
12/23/2006 10233.00 10350.00 10239.00
12/24/2006 10233.00 10350.00 10239.00
12/25/2006 10233.00 10350.00 10239.00
12/26/2006 10257.00 10395.00 10265.00
12/27/2006 10290.00 10470.00 10298.00
12/28/2006 10282.00 10455.00 10290.00
12/29/2006 10230.00 10408.00 10238.00
12/30/2006 10230.00 10408.00 10238.00
12/31/2006 10230.00 10408.00 10238.00
1/1/2007 10230.00 10408.00 10238.00
1/2/2007 10230.00 10408.00 10238.00
1/3/2007 10234.00 10398.00 10242.00
1/4/2007 10209.00 10411.00 10217.00
1/5/2007 10145.00 10347.00 10152.00
1/6/2007 10145.00 10347.00 10152.00
1/7/2007 10145.00 10347.00 10152.00
1/8/2007 10166.00 10373.00 10174.00
1/9/2007 10176.00 10368.00 10185.00
1/10/2007 10209.00 10389.00 10218.00
1/11/2007 10278.00 10455.00 10288.00
1/12/2007 10259.00 10506.00 10268.00
1/13/2007 10259.00 10506.00 10268.00
1/14/2007 10259.00 10506.00 10268.00
1/15/2007 10259.00 10506.00 10268.00
1/16/2007 10270.00 10515.00 10279.00
1/17/2007 10249.00 10506.00 10260.00
1/18/2007 10259.00 10475.00 10269.00
1/19/2007 10278.00 10506.00 10289.00
1/20/2007 10278.00 10506.00 10289.00
1/21/2007 10278.00 10506.00 10289.00
1/22/2007 10297.00 10451.00 10308.00
1/23/2007 10309.00 10488.00 10320.00
1/24/2007 10343.00 10577.00 10355.00
1/25/2007 10291.00 10458.00 10301.00
1/26/2007 10280.00 10445.00 10292.00
1/27/2007 10280.00 10445.00 10292.00
1/28/2007 10280.00 10445.00 10292.00
1/29/2007 10307.00 10435.00 10318.00
1/30/2007 10341.00 10495.00 10352.00
1/31/2007 10416.00 10566.00 10428.00
2/1/2007 10509.00 10625.00 10521.00
2/2/2007 10503.00 10643.00 10516.00
2/3/2007 10503.00 10643.00 10516.00
2/4/2007 10503.00 10643.00 10516.00
2/5/2007 10468.00 10634.00 10482.00
2/6/2007 10482.00 10641.00 10496.00
2/7/2007 10441.00 10660.00 10454.00
2/8/2007 10430.00 10648.00 10443.00
2/9/2007 10411.00 10573.00 10426.00
2/10/2007 10411.00 10573.00 10426.00
2/11/2007 10411.00 10573.00 10426.00
2/12/2007 10409.00 10539.00 10423.00
2/13/2007 10486.00 10621.00 10502.00
2/14/2007 10532.00 10705.00 10546.00
2/15/2007 10609.00 10717.00 10625.00
2/16/2007 10630.00 10708.00 10646.00
2/17/2007 10630.00 10708.00 10646.00
2/18/2007 10630.00 10708.00 10646.00
2/19/2007 10630.00 10708.00 10646.00
2/20/2007 10693.00 10739.00 10709.00
2/21/2007 10638.00 10724.00 10655.00
2/22/2007 10613.00 10717.00 10629.00
2/23/2007 10576.00 10680.00 10593.00
2/24/2007 10576.00 10680.00 10593.00
2/25/2007 10576.00 10680.00 10593.00
2/26/2007 10588.00 10668.00 10605.00
2/27/2007 10293.00 10299.00 10308.00
2/28/2007 10359.00 10359.00 10375.00
3/1/2007 10295.00 10332.00 10310.00
3/2/2007 10186.00 10215.00 10203.00
3/3/2007 10186.00 10215.00 10203.00
3/4/2007 10186.00 10215.00 10203.00
3/5/2007 10159.00 10119.00 10174.00
3/6/2007 10253.00 10276.00 10269.00
3/7/2007 10197.00 10254.00 10213.00
3/8/2007 10288.00 10327.00 10306.00
3/9/2007 10313.00 10334.00 10330.00
3/10/2007 10313.00 10334.00 10330.00
3/11/2007 10313.00 10334.00 10330.00
3/12/2007 10357.00 10362.00 10376.00
3/13/2007 10199.00 10154.00 10217.00
3/14/2007 10249.00 10223.00 10266.00
3/15/2007 10328.00 10261.00 10347.00
3/16/2007 10294.00 10222.00 10314.00
3/17/2007 10294.00 10222.00 10314.00
3/18/2007 10294.00 10222.00 10314.00
3/19/2007 10359.00 10333.00 10378.00
3/20/2007 10440.00 10399.00 10461.00
3/21/2007 10561.00 10577.00 10583.00
3/22/2007 10582.00 10573.00 10603.00
3/23/2007 10615.00 10584.00 10637.00
3/24/2007 10615.00 10584.00 10637.00
3/25/2007 10615.00 10584.00 10637.00
3/26/2007 10625.00 10595.00 10649.00
3/27/2007 10548.00 10529.00 10571.00
3/28/2007 10540.00 10448.00 10562.00
3/29/2007 10551.00 10487.00 10574.00
3/30/2007 10592.00 10475.00 10615.00
3/31/2007 10592.00 10475.00 10615.00
4/1/2007 10592.00 10475.00 10615.00
4/2/2007 10621.00 10502.00 10643.00
4/3/2007 10690.00 10602.00 10710.00
4/4/2007 10707.00 10614.00 10727.00
4/5/2007 10732.00 10649.00 10753.00
4/6/2007 10732.00 10649.00 10753.00
4/7/2007 10732.00 10649.00 10753.00
4/8/2007 10732.00 10649.00 10753.00
4/9/2007 10743.00 10655.00 10765.00
4/10/2007 10759.00 10684.00 10781.00
4/11/2007 10699.00 10615.00 10720.00
4/12/2007 10749.00 10681.00 10770.00
4/13/2007 10770.00 10718.00 10793.00
4/14/2007 10770.00 10718.00 10793.00
4/15/2007 10770.00 10718.00 10793.00
4/16/2007 10841.00 10833.00 10864.00
4/17/2007 10870.00 10855.00 10894.00
4/18/2007 10853.00 10863.00 10877.00
4/19/2007 10891.00 10850.00 10914.00
4/20/2007 10979.00 10951.00 11002.00
4/21/2007 10979.00 10951.00 11002.00
4/22/2007 10979.00 10951.00 11002.00
4/23/2007 10993.00 10926.00 11018.00
4/24/2007 11012.00 10922.00 11037.00
4/25/2007 11060.00 11034.00 11085.00
4/26/2007 11029.00 11026.00 11054.00
4/27/2007 10987.00 11025.00 11013.00
4/28/2007 10987.00 11025.00 11013.00
4/29/2007 10987.00 11025.00 11013.00
4/30/2007 10951.00 10939.00 10976.00
5/1/2007 10949.00 10968.00 10975.00
5/2/2007 10987.00 11040.00 11012.00
5/3/2007 10954.00 11091.00 10979.00
5/4/2007 10951.00 11115.00 10978.00
5/5/2007 10951.00 11115.00 10978.00
5/6/2007 10951.00 11115.00 10978.00
5/7/2007 10977.00 11144.00 11003.00
5/8/2007 10954.00 11132.00 10980.00
5/9/2007 10954.00 11171.00 10981.00
5/10/2007 10807.00 11017.00 10834.00
5/11/2007 10832.00 11124.00 10859.00
5/12/2007 10832.00 11124.00 10859.00
5/13/2007 10832.00 11124.00 10859.00
5/14/2007 10830.00 11105.00 10857.00
5/15/2007 10847.00 11091.00 10874.00
5/16/2007 10962.00 11190.00 10990.00
5/17/2007 10939.00 11181.00 10966.00
5/18/2007 11000.00 11255.00 11028.00
5/19/2007 11000.00 11255.00 11028.00
5/20/2007 11000.00 11255.00 11028.00
5/21/2007 10956.00 11272.00 10984.00
5/22/2007 10958.00 11265.00 10986.00
5/23/2007 10947.00 11252.00 10977.00
5/24/2007 10903.00 11144.00 10932.00
5/25/2007 10960.00 11205.00 10991.00
5/26/2007 10960.00 11205.00 10991.00
5/27/2007 10960.00 11205.00 10991.00
5/28/2007 10960.00 11205.00 10991.00
5/29/2007 11006.00 11224.00 11036.00
5/30/2007 11048.00 11318.00 11078.00
5/31/2007 11052.00 11321.00 11083.00
6/1/2007 11140.00 11363.00 11171.00
6/2/2007 11140.00 11363.00 11171.00
6/3/2007 11140.00 11363.00 11171.00
6/4/2007 11096.00 11384.00 11126.00
6/5/2007 11023.00 11324.00 11055.00
6/6/2007 10935.00 11226.00 10966.00
6/7/2007 10795.00 11030.00 10825.00
6/8/2007 10874.00 11155.00 10907.00
6/9/2007 10874.00 11155.00 10907.00
6/10/2007 10874.00 11155.00 10907.00
6/11/2007 10903.00 11166.00 10936.00
6/12/2007 10801.00 11047.00 10834.00
6/13/2007 10943.00 11217.00 10975.00
6/14/2007 10933.00 11272.00 10964.00
6/15/2007 10971.00 11345.00 11004.00
6/16/2007 10971.00 11345.00 11004.00
6/17/2007 10971.00 11345.00 11004.00
6/18/2007 10971.00 11332.00 11005.00
6/19/2007 10911.00 11352.00 10959.00
6/20/2007 10808.00 11197.00 10882.00
6/21/2007 10894.00 11269.00 10970.00
6/22/2007 10765.00 11124.00 10838.00
6/23/2007 10765.00 11124.00 10838.00
6/24/2007 10765.00 11124.00 10838.00
6/25/2007 10746.00 11088.00 10820.00
6/26/2007 10710.00 11053.00 10784.00
6/27/2007 10806.00 11154.00 10882.00
6/28/2007 10827.00 11150.00 10904.00
6/29/2007 10838.00 11133.00 10913.00
6/30/2007 10838.00 11133.00 10913.00
7/1/2007 10838.00 11133.00 10913.00
7/2/2007 10909.00 11252.00 10987.00
7/3/2007 10905.00 11294.00 10984.00
7/4/2007 10905.00 11294.00 10984.00
7/5/2007 10888.00 11298.00 10967.00
7/6/2007 10914.00 11339.00 10993.00
7/7/2007 10914.00 11339.00 10993.00
7/8/2007 10914.00 11339.00 10993.00
7/9/2007 10916.00 11349.00 10995.00
7/10/2007 10815.00 11188.00 10891.00
7/11/2007 10876.00 11254.00 10954.00
7/12/2007 11015.00 11468.00 11094.00
7/13/2007 11057.00 11504.00 11138.00
7/14/2007 11057.00 11504.00 11138.00
7/15/2007 11057.00 11504.00 11138.00
7/16/2007 11015.00 11482.00 11096.00
7/17/2007 10954.00 11481.00 11034.00
7/18/2007 10962.00 11458.00 11042.00
7/19/2007 10996.00 11510.00 11078.00
7/20/2007 10888.00 11369.00 10969.00
7/21/2007 10888.00 11369.00 10969.00
7/22/2007 10888.00 11369.00 10969.00
7/23/2007 10943.00 11425.00 11025.00
7/24/2007 10777.00 11199.00 10856.00
7/25/2007 10783.00 11251.00 10864.00
7/26/2007 10585.00 10988.00 10662.00
7/27/2007 10467.00 10814.00 10545.00
7/28/2007 10467.00 10814.00 10545.00
7/29/2007 10467.00 10814.00 10545.00
7/30/2007 10526.00 10925.00 10603.00
7/31/2007 10420.00 10787.00 10497.00
8/1/2007 10539.00 10866.00 10616.00
8/2/2007 10555.00 10916.00 10633.00
8/3/2007 10420.00 10627.00 10498.00
8/4/2007 10420.00 10627.00 10498.00
8/5/2007 10420.00 10627.00 10498.00
8/6/2007 10756.00 10884.00 10836.00
8/7/2007 10793.00 10951.00 10875.00
8/8/2007 10852.00 11109.00 10935.00
8/9/2007 10602.00 10781.00 10681.00
8/10/2007 10591.00 10786.00 10671.00
8/11/2007 10591.00 10786.00 10671.00
8/12/2007 10591.00 10786.00 10671.00
8/13/2007 10604.00 10782.00 10684.00
8/14/2007 10465.00 10587.00 10542.00
8/15/2007 10397.00 10443.00 10475.00
8/16/2007 10383.00 10477.00 10462.00
8/17/2007 10572.00 10735.00 10654.00
8/18/2007 10572.00 10735.00 10654.00
8/19/2007 10572.00 10735.00 10654.00
8/20/2007 10560.00 10732.00 10640.00
8/21/2007 10568.00 10744.00 10649.00
8/22/2007 10671.00 10870.00 10753.00
8/23/2007 10648.00 10858.00 10730.00
8/24/2007 10751.00 10985.00 10835.00
8/25/2007 10751.00 10985.00 10835.00
8/26/2007 10751.00 10985.00 10835.00
8/27/2007 10680.00 10892.00 10762.00
8/28/2007 10473.00 10636.00 10555.00
8/29/2007 10644.00 10872.00 10727.00
8/30/2007 10583.00 10827.00 10666.00
8/31/2007 10663.00 10949.00 10746.00
9/1/2007 10663.00 10949.00 10746.00
9/2/2007 10663.00 10949.00 10746.00
9/3/2007 10663.00 10949.00 10746.00
9/4/2007 10720.00 11064.00 10805.00
9/5/2007 10549.00 10942.00 10631.00
9/6/2007 10570.00 10990.00 10654.00
9/7/2007 10471.00 10804.00 10554.00
9/8/2007 10471.00 10804.00 10554.00
9/9/2007 10471.00 10804.00 10554.00
9/10/2007 10475.00 10791.00 10557.00
9/11/2007 10612.00 10938.00 10698.00
9/12/2007 10640.00 10942.00 10726.00
9/13/2007 10669.00 11034.00 10755.00
9/14/2007 10678.00 11037.00 10763.00
9/15/2007 10678.00 11037.00 10763.00
9/16/2007 10678.00 11037.00 10763.00
9/17/2007 10625.00 10980.00 10711.00
9/18/2007 10831.00 11301.00 10920.00
9/19/2007 10888.00 11370.00 10978.00
9/20/2007 10825.00 11296.00 10915.00
9/21/2007 10861.00 11348.00 10951.00
9/22/2007 10861.00 11348.00 10951.00
9/23/2007 10861.00 11348.00 10951.00
9/24/2007 10816.00 11289.00 10907.00
9/25/2007 10804.00 11285.00 10894.00
9/26/2007 10911.00 11348.00 11004.00
9/27/2007 10953.00 11393.00 11045.00
9/28/2007 10958.00 11359.00 11050.00
9/29/2007 10958.00 11359.00 11050.00
9/30/2007 10958.00 11359.00 11050.00
10/1/2007 10951.00 11510.00 11043.00
10/2/2007 10947.00 11507.00 11040.00
10/3/2007 10886.00 11457.00 10978.00
10/4/2007 10926.00 11481.00 11019.00
10/5/2007 10979.00 11594.00 11071.00
10/6/2007 10979.00 11594.00 11071.00
10/7/2007 10979.00 11594.00 11071.00
10/8/2007 10958.00 11557.00 11051.00
10/9/2007 11025.00 11650.00 11120.00
10/10/2007 11044.00 11631.00 11138.00
10/11/2007 11004.00 11572.00 11098.00
10/12/2007 11080.00 11627.00 11175.00
10/13/2007 11080.00 11627.00 11175.00
10/14/2007 11080.00 11627.00 11175.00
10/15/2007 10996.00 11530.00 11091.00
10/16/2007 10970.00 11454.00 11064.00
10/17/2007 10979.00 11475.00 11075.00
10/18/2007 10987.00 11467.00 11083.00
10/19/2007 10822.00 11173.00 10915.00
10/20/2007 10822.00 11173.00 10915.00
10/21/2007 10822.00 11173.00 10915.00
10/22/2007 10900.00 11216.00 10995.00
10/23/2007 10911.00 11315.00 11006.00
10/24/2007 10898.00 11287.00 10993.00
10/25/2007 10958.00 11276.00 11055.00
10/26/2007 11017.00 11432.00 11114.00
10/27/2007 11017.00 11432.00 11114.00
10/28/2007 11017.00 11432.00 11114.00
10/29/2007 11053.00 11476.00 11150.00
10/30/2007 11038.00 11402.00 11135.00
10/31/2007 11146.00 11539.00 11251.00
</Table>
TOTAL RETURNS FOR THE PERIOD ENDED OCTOBER 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
SINCE INCEPTION
(11/1/2006)
---------------
RYDEX S&P EQUAL WEIGHT CONSUMER STAPLES ETF....................... 11.45%
S&P 500 EQUAL WEIGHT CONSUMER STAPLES TOTAL RETURN INDEX.......... 12.51%
S&P 500 TOTAL RETURN INDEX........................................ 15.39%
</Table>
The returns presented above do not reflect the effect of taxes. Index returns
represent total returns. Past performance is not guarantee of future results.
22
Rydex S&P Equal Weight Consumer Staples ETF
PORTFOLIO SUMMARY As of October 31, 2007
- --------------------------------------------------------------------------------
TOP 10 HOLDINGS*
- --------------------------------------------------------------------------------
<Table>
<Caption>
DESCRIPTION % OF NET ASSETS
- ------------------------------------------------------------------------------------
AVON PRODUCTS, INC. 3.01%
MOLSON COORS BREWING CO. -- CLASS B 2.98%
PEPSI BOTTLING GROUP, INC. 2.96%
COSTCO WHOLESALE CORP. 2.83%
WHOLE FOODS MARKET, INC. 2.83%
CVS CAREMARK CORP. 2.82%
COCA-COLA CO. 2.81%
COLGATE-PALMOLIVE CO. 2.79%
ARCHER-DANIELS-MIDLAND CO. 2.78%
UST, INC. 2.74%
- ------------------------------------------------------------------------------------
</Table>
INDUSTRY ALLOCATIONS*
(PIE CHART)
<Table>
Food Products Food & Staples Retailing Beverages Household Products
29.93 23.67 22.01 10.61
</Table>
<Table>
Food Products Tobacco Personal Products
29.93 8.06 5.72
</Table>
* The Fund's Top 10 Holdings are expressed as a percentage of net assets and the
Industry Allocations are expressed as a percentage of the Fund's investments
market value. These percentages may change over time.
23 ANNUAL REPORT
RYDEX S&P EQUAL WEIGHT ENERGY ETF
MANAGER'S ANALYSIS
- --------------------------------------------------------------------------------
For the period since inception (November 1, 2006) through October 31, 2007,
Rydex S&P Equal Weight Energy ETF returned 40.28%. For the same period its
benchmark, the S&P Equal Weight Energy Total Return Index, returned 41.12%.
Energy stocks benefited significantly from the rise in oil prices, which
approached the $95 mark towards the end of the period. This ETF was invested in
one of the best areas of the marketplace. Performance across the sector was
exceptionally strong with energy equipment & services providers as well as the
oil, gas & consumable fuels industry posting more than 40% in gains.
CUMULATIVE FUND PERFORMANCE: NOVEMBER 1, 2006 - OCTOBER 31, 2007
(PERFORMANCE GRAPH)
<Table>
<Caption>
S&P 500
RYDEX S&P S&P 500 EQUAL WEIGHTED
EQUAL WEIGHT TOTAL RETURN ENERGY TOTAL
ENERGY ETF(A) INDEX(B) RETURN INDEX(C)
------------- ------------ ---------------
11/1/2006 10000.00 10000.00 10000.00
11/2/2006 10006.00 9999.00 10007.00
11/3/2006 10248.00 9978.00 10249.00
11/4/2006 10248.00 9978.00 10249.00
11/5/2006 10248.00 9978.00 10249.00
11/6/2006 10341.00 10091.00 10342.00
11/7/2006 10238.00 10114.00 10238.00
11/8/2006 10405.00 10137.00 10408.00
11/9/2006 10486.00 10085.00 10488.00
11/10/2006 10337.00 10104.00 10340.00
11/11/2006 10337.00 10104.00 10340.00
11/12/2006 10337.00 10104.00 10340.00
11/13/2006 10316.00 10132.00 10319.00
11/14/2006 10358.00 10198.00 10360.00
11/15/2006 10488.00 10225.00 10491.00
11/16/2006 10178.00 10249.00 10181.00
11/17/2006 10300.00 10259.00 10302.00
11/18/2006 10300.00 10259.00 10302.00
11/19/2006 10300.00 10259.00 10302.00
11/20/2006 10283.00 10254.00 10288.00
11/21/2006 10484.00 10272.00 10489.00
11/22/2006 10434.00 10297.00 10438.00
11/23/2006 10434.00 10297.00 10438.00
11/24/2006 10420.00 10260.00 10425.00
11/25/2006 10420.00 10260.00 10425.00
11/26/2006 10420.00 10260.00 10425.00
11/27/2006 10345.00 10120.00 10349.00
11/28/2006 10538.00 10158.00 10542.00
11/29/2006 10910.00 10256.00 10915.00
11/30/2006 10951.00 10264.00 10956.00
12/1/2006 11009.00 10236.00 11015.00
12/2/2006 11009.00 10236.00 11015.00
12/3/2006 11009.00 10236.00 11015.00
12/4/2006 10943.00 10327.00 10948.00
12/5/2006 10972.00 10368.00 10977.00
12/6/2006 10982.00 10357.00 10988.00
12/7/2006 10931.00 10317.00 10935.00
12/8/2006 10920.00 10336.00 10926.00
12/9/2006 10920.00 10336.00 10926.00
12/10/2006 10920.00 10336.00 10926.00
12/11/2006 10879.00 10359.00 10884.00
12/12/2006 10848.00 10349.00 10854.00
12/13/2006 10933.00 10363.00 10939.00
12/14/2006 11067.00 10453.00 11076.00
12/15/2006 10968.00 10465.00 10977.00
12/16/2006 10968.00 10465.00 10977.00
12/17/2006 10968.00 10465.00 10977.00
12/18/2006 10602.00 10431.00 10610.00
12/19/2006 10747.00 10454.00 10754.00
12/20/2006 10592.00 10440.00 10600.00
12/21/2006 10509.00 10404.00 10517.00
12/22/2006 10436.00 10350.00 10446.00
12/23/2006 10436.00 10350.00 10446.00
12/24/2006 10436.00 10350.00 10446.00
12/25/2006 10436.00 10350.00 10446.00
12/26/2006 10385.00 10395.00 10393.00
12/27/2006 10484.00 10470.00 10492.00
12/28/2006 10469.00 10455.00 10478.00
12/29/2006 10364.00 10408.00 10373.00
12/30/2006 10364.00 10408.00 10373.00
12/31/2006 10364.00 10408.00 10373.00
1/1/2007 10364.00 10408.00 10373.00
1/2/2007 10364.00 10408.00 10373.00
1/3/2007 9962.00 10398.00 9971.00
1/4/2007 9770.00 10411.00 9781.00
1/5/2007 9843.00 10347.00 9853.00
1/6/2007 9843.00 10347.00 9853.00
1/7/2007 9843.00 10347.00 9853.00
1/8/2007 9861.00 10373.00 9872.00
1/9/2007 9766.00 10368.00 9777.00
1/10/2007 9648.00 10389.00 9657.00
1/11/2007 9590.00 10455.00 9600.00
1/12/2007 9841.00 10506.00 9851.00
1/13/2007 9841.00 10506.00 9851.00
1/14/2007 9841.00 10506.00 9851.00
1/15/2007 9841.00 10506.00 9851.00
1/16/2007 9752.00 10515.00 9764.00
1/17/2007 9861.00 10506.00 9873.00
1/18/2007 9779.00 10475.00 9791.00
1/19/2007 10042.00 10506.00 10053.00
1/20/2007 10042.00 10506.00 10053.00
1/21/2007 10042.00 10506.00 10053.00
1/22/2007 10037.00 10451.00 10050.00
1/23/2007 10294.00 10488.00 10307.00
1/24/2007 10313.00 10577.00 10327.00
1/25/2007 10083.00 10458.00 10095.00
1/26/2007 10112.00 10445.00 10125.00
1/27/2007 10112.00 10445.00 10125.00
1/28/2007 10112.00 10445.00 10125.00
1/29/2007 10058.00 10435.00 10072.00
1/30/2007 10317.00 10495.00 10331.00
1/31/2007 10383.00 10566.00 10398.00
2/1/2007 10431.00 10625.00 10446.00
2/2/2007 10485.00 10643.00 10500.00
2/3/2007 10485.00 10643.00 10500.00
2/4/2007 10485.00 10643.00 10500.00
2/5/2007 10439.00 10634.00 10455.00
2/6/2007 10443.00 10641.00 10459.00
2/7/2007 10369.00 10660.00 10383.00
2/8/2007 10458.00 10648.00 10474.00
2/9/2007 10404.00 10573.00 10420.00
2/10/2007 10404.00 10573.00 10420.00
2/11/2007 10404.00 10573.00 10420.00
2/12/2007 10249.00 10539.00 10265.00
2/13/2007 10394.00 10621.00 10409.00
2/14/2007 10425.00 10705.00 10442.00
2/15/2007 10309.00 10717.00 10325.00
2/16/2007 10323.00 10708.00 10340.00
2/17/2007 10323.00 10708.00 10340.00
2/18/2007 10323.00 10708.00 10340.00
2/19/2007 10323.00 10708.00 10340.00
2/20/2007 10253.00 10739.00 10269.00
2/21/2007 10398.00 10724.00 10415.00
2/22/2007 10532.00 10717.00 10550.00
2/23/2007 10551.00 10680.00 10570.00
2/24/2007 10551.00 10680.00 10570.00
2/25/2007 10551.00 10680.00 10570.00
2/26/2007 10634.00 10668.00 10653.00
2/27/2007 10271.00 10299.00 10289.00
2/28/2007 10307.00 10359.00 10324.00
3/1/2007 10331.00 10332.00 10350.00
3/2/2007 10141.00 10215.00 10159.00
3/3/2007 10141.00 10215.00 10159.00
3/4/2007 10141.00 10215.00 10159.00
3/5/2007 10023.00 10119.00 10042.00
3/6/2007 10216.00 10276.00 10235.00
3/7/2007 10383.00 10254.00 10403.00
3/8/2007 10429.00 10327.00 10448.00
3/9/2007 10437.00 10334.00 10458.00
3/10/2007 10437.00 10334.00 10458.00
3/11/2007 10437.00 10334.00 10458.00
3/12/2007 10387.00 10362.00 10409.00
3/13/2007 10255.00 10154.00 10274.00
3/14/2007 10396.00 10223.00 10417.00
3/15/2007 10377.00 10261.00 10397.00
3/16/2007 10307.00 10222.00 10328.00
3/17/2007 10307.00 10222.00 10328.00
3/18/2007 10307.00 10222.00 10328.00
3/19/2007 10512.00 10333.00 10534.00
3/20/2007 10522.00 10399.00 10545.00
3/21/2007 10723.00 10577.00 10747.00
3/22/2007 10916.00 10573.00 10941.00
3/23/2007 10953.00 10584.00 10979.00
3/24/2007 10953.00 10584.00 10979.00
3/25/2007 10953.00 10584.00 10979.00
3/26/2007 11042.00 10595.00 11069.00
3/27/2007 11015.00 10529.00 11042.00
3/28/2007 10976.00 10448.00 11002.00
3/29/2007 11057.00 10487.00 11084.00
3/30/2007 10934.00 10475.00 10960.00
3/31/2007 10934.00 10475.00 10960.00
4/1/2007 10934.00 10475.00 10960.00
4/2/2007 11086.00 10502.00 11114.00
4/3/2007 11102.00 10602.00 11131.00
4/4/2007 11179.00 10614.00 11207.00
4/5/2007 11233.00 10649.00 11262.00
4/6/2007 11233.00 10649.00 11262.00
4/7/2007 11233.00 10649.00 11262.00
4/8/2007 11233.00 10649.00 11262.00
4/9/2007 11229.00 10655.00 11259.00
4/10/2007 11401.00 10684.00 11432.00
4/11/2007 11335.00 10615.00 11366.00
4/12/2007 11540.00 10681.00 11571.00
4/13/2007 11555.00 10718.00 11586.00
4/14/2007 11555.00 10718.00 11586.00
4/15/2007 11555.00 10718.00 11586.00
4/16/2007 11623.00 10833.00 11657.00
4/17/2007 11517.00 10855.00 11551.00
4/18/2007 11405.00 10863.00 11437.00
4/19/2007 11287.00 10850.00 11319.00
4/20/2007 11445.00 10951.00 11478.00
4/21/2007 11445.00 10951.00 11478.00
4/22/2007 11445.00 10951.00 11478.00
4/23/2007 11501.00 10926.00 11535.00
4/24/2007 11474.00 10922.00 11507.00
4/25/2007 11770.00 11034.00 11805.00
4/26/2007 11737.00 11026.00 11771.00
4/27/2007 11762.00 11025.00 11796.00
4/28/2007 11762.00 11025.00 11796.00
4/29/2007 11762.00 11025.00 11796.00
4/30/2007 11604.00 10939.00 11639.00
5/1/2007 11665.00 10968.00 11699.00
5/2/2007 11801.00 11040.00 11838.00
5/3/2007 11907.00 11091.00 11943.00
5/4/2007 11907.00 11115.00 11945.00
5/5/2007 11907.00 11115.00 11945.00
5/6/2007 11907.00 11115.00 11945.00
5/7/2007 11899.00 11144.00 11937.00
5/8/2007 11855.00 11132.00 11892.00
5/9/2007 11903.00 11171.00 11941.00
5/10/2007 11681.00 11017.00 11717.00
5/11/2007 11936.00 11124.00 11975.00
5/12/2007 11936.00 11124.00 11975.00
5/13/2007 11936.00 11124.00 11975.00
5/14/2007 11963.00 11105.00 12001.00
5/15/2007 11953.00 11091.00 11991.00
5/16/2007 11996.00 11190.00 12036.00
5/17/2007 12198.00 11181.00 12238.00
5/18/2007 12413.00 11255.00 12455.00
5/19/2007 12413.00 11255.00 12455.00
5/20/2007 12413.00 11255.00 12455.00
5/21/2007 12538.00 11272.00 12580.00
5/22/2007 12409.00 11265.00 12451.00
5/23/2007 12453.00 11252.00 12495.00
5/24/2007 12210.00 11144.00 12252.00
5/25/2007 12384.00 11205.00 12427.00
5/26/2007 12384.00 11205.00 12427.00
5/27/2007 12384.00 11205.00 12427.00
5/28/2007 12384.00 11205.00 12427.00
5/29/2007 12320.00 11224.00 12363.00
5/30/2007 12596.00 11318.00 12641.00
5/31/2007 12515.00 11321.00 12560.00
6/1/2007 12617.00 11363.00 12663.00
6/2/2007 12617.00 11363.00 12663.00
6/3/2007 12617.00 11363.00 12663.00
6/4/2007 12878.00 11384.00 12926.00
6/5/2007 12801.00 11324.00 12848.00
6/6/2007 12594.00 11226.00 12641.00
6/7/2007 12332.00 11030.00 12378.00
6/8/2007 12424.00 11155.00 12470.00
6/9/2007 12424.00 11155.00 12470.00
6/10/2007 12424.00 11155.00 12470.00
6/11/2007 12519.00 11166.00 12565.00
6/12/2007 12353.00 11047.00 12400.00
6/13/2007 12658.00 11217.00 12705.00
6/14/2007 12907.00 11272.00 12957.00
6/15/2007 13058.00 11345.00 13109.00
6/16/2007 13058.00 11345.00 13109.00
6/17/2007 13058.00 11345.00 13109.00
6/18/2007 13070.00 11332.00 13121.00
6/19/2007 13078.00 11352.00 13129.00
6/20/2007 12724.00 11197.00 12773.00
6/21/2007 12991.00 11269.00 13042.00
6/22/2007 12940.00 11124.00 12992.00
6/23/2007 12940.00 11124.00 12992.00
6/24/2007 12940.00 11124.00 12992.00
6/25/2007 12726.00 11088.00 12777.00
6/26/2007 12460.00 11053.00 12510.00
6/27/2007 12635.00 11154.00 12685.00
6/28/2007 12545.00 11150.00 12596.00
6/29/2007 12639.00 11133.00 12691.00
6/30/2007 12639.00 11133.00 12691.00
7/1/2007 12639.00 11133.00 12691.00
7/2/2007 12830.00 11252.00 12882.00
7/3/2007 12905.00 11294.00 12957.00
7/4/2007 12905.00 11294.00 12957.00
7/5/2007 12905.00 11298.00 12959.00
7/6/2007 13027.00 11339.00 13082.00
7/7/2007 13027.00 11339.00 13082.00
7/8/2007 13027.00 11339.00 13082.00
7/9/2007 13108.00 11349.00 13164.00
7/10/2007 13006.00 11188.00 13060.00
7/11/2007 12981.00 11254.00 13037.00
7/12/2007 13170.00 11468.00 13226.00
7/13/2007 13251.00 11504.00 13309.00
7/14/2007 13251.00 11504.00 13309.00
7/15/2007 13251.00 11504.00 13309.00
7/16/2007 13056.00 11482.00 13112.00
7/17/2007 12938.00 11481.00 12994.00
7/18/2007 13168.00 11458.00 13226.00
7/19/2007 13328.00 11510.00 13385.00
7/20/2007 13251.00 11369.00 13309.00
7/21/2007 13251.00 11369.00 13309.00
7/22/2007 13251.00 11369.00 13309.00
7/23/2007 13297.00 11425.00 13355.00
7/24/2007 12869.00 11199.00 12926.00
7/25/2007 13035.00 11251.00 13093.00
7/26/2007 12653.00 10988.00 12709.00
7/27/2007 12385.00 10814.00 12440.00
7/28/2007 12385.00 10814.00 12440.00
7/29/2007 12385.00 10814.00 12440.00
7/30/2007 12529.00 10925.00 12585.00
7/31/2007 12446.00 10787.00 12502.00
8/1/2007 12388.00 10866.00 12442.00
8/2/2007 12292.00 10916.00 12346.00
8/3/2007 11864.00 10627.00 11917.00
8/4/2007 11864.00 10627.00 11917.00
8/5/2007 11864.00 10627.00 11917.00
8/6/2007 11916.00 10884.00 11969.00
8/7/2007 12163.00 10951.00 12218.00
8/8/2007 12400.00 11109.00 12457.00
8/9/2007 12097.00 10781.00 12152.00
8/10/2007 12255.00 10786.00 12311.00
8/11/2007 12255.00 10786.00 12311.00
8/12/2007 12255.00 10786.00 12311.00
8/13/2007 12219.00 10782.00 12276.00
8/14/2007 12024.00 10587.00 12080.00
8/15/2007 11698.00 10443.00 11752.00
8/16/2007 11549.00 10477.00 11600.00
8/17/2007 11914.00 10735.00 11970.00
8/18/2007 11914.00 10735.00 11970.00
8/19/2007 11914.00 10735.00 11970.00
8/20/2007 11929.00 10732.00 11984.00
8/21/2007 11756.00 10744.00 11811.00
8/22/2007 11918.00 10870.00 11975.00
8/23/2007 12055.00 10858.00 12112.00
8/24/2007 12288.00 10985.00 12347.00
8/25/2007 12288.00 10985.00 12347.00
8/26/2007 12288.00 10985.00 12347.00
8/27/2007 12132.00 10892.00 12191.00
8/28/2007 11856.00 10636.00 11913.00
8/29/2007 12240.00 10872.00 12300.00
8/30/2007 12184.00 10827.00 12243.00
8/31/2007 12338.00 10949.00 12397.00
9/1/2007 12338.00 10949.00 12397.00
9/2/2007 12338.00 10949.00 12397.00
9/3/2007 12338.00 10949.00 12397.00
9/4/2007 12633.00 11064.00 12695.00
9/5/2007 12635.00 10942.00 12697.00
9/6/2007 12780.00 10990.00 12844.00
9/7/2007 12595.00 10804.00 12659.00
9/8/2007 12595.00 10804.00 12659.00
9/9/2007 12595.00 10804.00 12659.00
9/10/2007 12512.00 10791.00 12574.00
9/11/2007 12716.00 10938.00 12779.00
9/12/2007 12799.00 10942.00 12864.00
9/13/2007 12882.00 11034.00 12948.00
9/14/2007 12917.00 11037.00 12983.00
9/15/2007 12917.00 11037.00 12983.00
9/16/2007 12917.00 11037.00 12983.00
9/17/2007 12871.00 10980.00 12938.00
9/18/2007 13258.00 11301.00 13327.00
9/19/2007 13370.00 11370.00 13439.00
9/20/2007 13415.00 11296.00 13487.00
9/21/2007 13563.00 11348.00 13635.00
9/22/2007 13563.00 11348.00 13635.00
9/23/2007 13563.00 11348.00 13635.00
9/24/2007 13449.00 11289.00 13521.00
9/25/2007 13304.00 11285.00 13374.00
9/26/2007 13306.00 11348.00 13379.00
9/27/2007 13401.00 11393.00 13476.00
9/28/2007 13302.00 11359.00 13376.00
9/29/2007 13302.00 11359.00 13376.00
9/30/2007 13302.00 11359.00 13376.00
10/1/2007 13522.00 11510.00 13599.00
10/2/2007 13433.00 11507.00 13507.00
10/3/2007 13337.00 11457.00 13411.00
10/4/2007 13445.00 11481.00 13520.00
10/5/2007 13474.00 11594.00 13551.00
10/6/2007 13474.00 11594.00 13551.00
10/7/2007 13474.00 11594.00 13551.00
10/8/2007 13345.00 11557.00 13422.00
10/9/2007 13614.00 11650.00 13691.00
10/10/2007 13857.00 11631.00 13935.00
10/11/2007 13876.00 11572.00 13954.00
10/12/2007 13986.00 11627.00 14066.00
10/13/2007 13986.00 11627.00 14066.00
10/14/2007 13986.00 11627.00 14066.00
10/15/2007 14108.00 11530.00 14191.00
10/16/2007 14069.00 11454.00 14151.00
10/17/2007 13957.00 11475.00 14038.00
10/18/2007 14071.00 11467.00 14154.00
10/19/2007 13427.00 11173.00 13507.00
10/20/2007 13427.00 11173.00 13507.00
10/21/2007 13427.00 11173.00 13507.00
10/22/2007 13348.00 11216.00 13426.00
10/23/2007 13499.00 11315.00 13579.00
10/24/2007 13663.00 11287.00 13746.00
10/25/2007 13846.00 11276.00 13930.00
10/26/2007 14079.00 11432.00 14164.00
10/27/2007 14079.00 11432.00 14164.00
10/28/2007 14079.00 11432.00 14164.00
10/29/2007 14104.00 11476.00 14190.00
10/30/2007 13676.00 11402.00 13759.00
10/31/2007 14027.00 11539.00 14112.00
</Table>
TOTAL RETURNS FOR THE PERIOD ENDED OCTOBER 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
SINCE INCEPTION
(11/1/2006)
---------------
RYDEX S&P EQUAL WEIGHT ENERGY ETF................................. 40.28%
S&P 500 EQUAL WEIGHT ENERGY TOTAL RETURN INDEX.................... 41.12%
S&P 500 TOTAL RETURN INDEX........................................ 15.39%
</Table>
The returns presented above do not reflect the effect of taxes. Index returns
represent total returns. Past performance is not guarantee of future results.
24
Rydex S&P Equal Weight Energy ETF
PORTFOLIO SUMMARY As of October 31, 2007
- --------------------------------------------------------------------------------
TOP 10 HOLDINGS*
- --------------------------------------------------------------------------------
<Table>
<Caption>
DESCRIPTION % OF NET ASSETS
- ------------------------------------------------------------------------------------
CONSOL ENERGY, INC. 3.76%
EOG RESOURCES, INC. 3.54%
TESORO CORP. 3.52%
APACHE CORP. 3.47%
PEABODY ENERGY CORP. 3.47%
CHESAPEAKE ENERGY CORP. 3.32%
DEVON ENERGY CORP. 3.30%
ANADARKO PETROLEUM CORP. 3.29%
NOBLE ENERGY, INC. 3.24%
WILLIAMS COS., INC. 3.23%
- ------------------------------------------------------------------------------------
</Table>
INDUSTRY ALLOCATIONS*
(PIE CHART)
<Table>
Oil, Gas & Consumable Fuels Energy Equipment & Services
70.49 29.51
</Table>
* The Fund's Top 10 Holdings are expressed as a percentage of net assets and the
Industry Allocations are expressed as a percentage of the Fund's investments
market value. These percentages may change over time.
25 ANNUAL REPORT
RYDEX S&P EQUAL WEIGHT FINANCIALS ETF
MANAGER'S ANALYSIS
- --------------------------------------------------------------------------------
For the period since inception (November 1, 2006) through October 31, 2007,
Rydex S&P Equal Weight Financials ETF slid -2.23%. For the same period its
benchmark, the S&P Equal Weight Financials Total Return Index, fell -1.71%.
Financials were already struggling before the credit crisis hit the market,
adding significant additional losses to the sector because of the sub-prime
market concerns and its potential impacts. It was difficult to find positive
news for these stocks and the index, and performance of this ETF reflects the
negative sentiment. This was the worst performing sector, due primarily to
significant drawdowns in the thrifts & mortgage finance, real estate management
& development, commercial banks and consumer finance industries. The only
industries within the sector that had positive returns were capital markets and
insurance. An additional drag was that equal weighting underperformed the cap-
weighted benchmark.
CUMULATIVE FUND PERFORMANCE: NOVEMBER 1, 2006 - OCTOBER 31, 2007
(PERFORMANCE GRAPH)
<Table>
<Caption>
S&P 500
RYDEX S&P S&P 500 EQUAL WEIGHTED
EQUAL WEIGHT TOTAL RETURN FINANCIALS TOTAL
FINANCIALS ETF(A) INDEX(B) RETURN INDEX(C)
----------------- ------------ ----------------
11/1/2006 10000.00 10000.00 9999.00
11/2/2006 9969.00 9999.00 9968.00
11/3/2006 9926.00 9978.00 9925.00
11/4/2006 9926.00 9978.00 9925.00
11/5/2006 9926.00 9978.00 9925.00
11/6/2006 10058.00 10091.00 10057.00
11/7/2006 10066.00 10114.00 10066.00
11/8/2006 10082.00 10137.00 10082.00
11/9/2006 10021.00 10085.00 10021.00
11/10/2006 10072.00 10104.00 10072.00
11/11/2006 10072.00 10104.00 10072.00
11/12/2006 10072.00 10104.00 10072.00
11/13/2006 10091.00 10132.00 10092.00
11/14/2006 10152.00 10198.00 10153.00
11/15/2006 10165.00 10225.00 10166.00
11/16/2006 10239.00 10249.00 10240.00
11/17/2006 10212.00 10259.00 10215.00
11/18/2006 10212.00 10259.00 10215.00
11/19/2006 10212.00 10259.00 10215.00
11/20/2006 10276.00 10254.00 10278.00
11/21/2006 10282.00 10272.00 10283.00
11/22/2006 10305.00 10297.00 10308.00
11/23/2006 10305.00 10297.00 10308.00
11/24/2006 10276.00 10260.00 10281.00
11/25/2006 10276.00 10260.00 10281.00
11/26/2006 10276.00 10260.00 10281.00
11/27/2006 10091.00 10120.00 10093.00
11/28/2006 10109.00 10158.00 10112.00
11/29/2006 10198.00 10256.00 10202.00
11/30/2006 10198.00 10264.00 10203.00
12/1/2006 10159.00 10236.00 10163.00
12/2/2006 10159.00 10236.00 10163.00
12/3/2006 10159.00 10236.00 10163.00
12/4/2006 10307.00 10327.00 10312.00
12/5/2006 10340.00 10368.00 10345.00
12/6/2006 10356.00 10357.00 10362.00
12/7/2006 10321.00 10317.00 10327.00
12/8/2006 10342.00 10336.00 10349.00
12/9/2006 10342.00 10336.00 10349.00
12/10/2006 10342.00 10336.00 10349.00
12/11/2006 10373.00 10359.00 10380.00
12/12/2006 10389.00 10349.00 10396.00
12/13/2006 10383.00 10363.00 10391.00
12/14/2006 10447.00 10453.00 10454.00
12/15/2006 10474.00 10465.00 10482.00
12/16/2006 10474.00 10465.00 10482.00
12/17/2006 10474.00 10465.00 10482.00
12/18/2006 10490.00 10431.00 10499.00
12/19/2006 10482.00 10454.00 10491.00
12/20/2006 10519.00 10440.00 10528.00
12/21/2006 10478.00 10404.00 10487.00
12/22/2006 10443.00 10350.00 10452.00
12/23/2006 10443.00 10350.00 10452.00
12/24/2006 10443.00 10350.00 10452.00
12/25/2006 10443.00 10350.00 10452.00
12/26/2006 10506.00 10395.00 10517.00
12/27/2006 10584.00 10470.00 10595.00
12/28/2006 10565.00 10455.00 10576.00
12/29/2006 10505.00 10408.00 10517.00
12/30/2006 10505.00 10408.00 10517.00
12/31/2006 10505.00 10408.00 10517.00
1/1/2007 10505.00 10408.00 10517.00
1/2/2007 10505.00 10408.00 10517.00
1/3/2007 10569.00 10398.00 10582.00
1/4/2007 10555.00 10411.00 10567.00
1/5/2007 10450.00 10347.00 10461.00
1/6/2007 10450.00 10347.00 10461.00
1/7/2007 10450.00 10347.00 10461.00
1/8/2007 10483.00 10373.00 10494.00
1/9/2007 10491.00 10368.00 10504.00
1/10/2007 10542.00 10389.00 10556.00
1/11/2007 10623.00 10455.00 10637.00
1/12/2007 10648.00 10506.00 10664.00
1/13/2007 10648.00 10506.00 10664.00
1/14/2007 10648.00 10506.00 10664.00
1/15/2007 10648.00 10506.00 10664.00
1/16/2007 10664.00 10515.00 10679.00
1/17/2007 10629.00 10506.00 10646.00
1/18/2007 10609.00 10475.00 10624.00
1/19/2007 10625.00 10506.00 10641.00
1/20/2007 10625.00 10506.00 10641.00
1/21/2007 10625.00 10506.00 10641.00
1/22/2007 10590.00 10451.00 10605.00
1/23/2007 10611.00 10488.00 10627.00
1/24/2007 10727.00 10577.00 10743.00
1/25/2007 10607.00 10458.00 10624.00
1/26/2007 10635.00 10445.00 10652.00
1/27/2007 10635.00 10445.00 10652.00
1/28/2007 10635.00 10445.00 10652.00
1/29/2007 10621.00 10435.00 10638.00
1/30/2007 10698.00 10495.00 10715.00
1/31/2007 10745.00 10566.00 10764.00
2/1/2007 10820.00 10625.00 10839.00
2/2/2007 10861.00 10643.00 10880.00
2/3/2007 10861.00 10643.00 10880.00
2/4/2007 10861.00 10643.00 10880.00
2/5/2007 10840.00 10634.00 10860.00
2/6/2007 10925.00 10641.00 10945.00
2/7/2007 10993.00 10660.00 11013.00
2/8/2007 10944.00 10648.00 10964.00
2/9/2007 10840.00 10573.00 10860.00
2/10/2007 10840.00 10573.00 10860.00
2/11/2007 10840.00 10573.00 10860.00
2/12/2007 10784.00 10539.00 10805.00
2/13/2007 10886.00 10621.00 10906.00
2/14/2007 10962.00 10705.00 10983.00
2/15/2007 10995.00 10717.00 11017.00
2/16/2007 11010.00 10708.00 11032.00
2/17/2007 11010.00 10708.00 11032.00
2/18/2007 11010.00 10708.00 11032.00
2/19/2007 11010.00 10708.00 11032.00
2/20/2007 11068.00 10739.00 11090.00
2/21/2007 11031.00 10724.00 11053.00
2/22/2007 11006.00 10717.00 11028.00
2/23/2007 10894.00 10680.00 10918.00
2/24/2007 10894.00 10680.00 10918.00
2/25/2007 10894.00 10680.00 10918.00
2/26/2007 10826.00 10668.00 10847.00
2/27/2007 10472.00 10299.00 10491.00
2/28/2007 10536.00 10359.00 10558.00
3/1/2007 10497.00 10332.00 10517.00
3/2/2007 10381.00 10215.00 10402.00
3/3/2007 10381.00 10215.00 10402.00
3/4/2007 10381.00 10215.00 10402.00
3/5/2007 10191.00 10119.00 10210.00
3/6/2007 10396.00 10276.00 10416.00
3/7/2007 10325.00 10254.00 10345.00
3/8/2007 10427.00 10327.00 10449.00
3/9/2007 10458.00 10334.00 10480.00
3/10/2007 10458.00 10334.00 10480.00
3/11/2007 10458.00 10334.00 10480.00
3/12/2007 10462.00 10362.00 10483.00
3/13/2007 10135.00 10154.00 10156.00
3/14/2007 10199.00 10223.00 10221.00
3/15/2007 10284.00 10261.00 10305.00
3/16/2007 10234.00 10222.00 10256.00
3/17/2007 10234.00 10222.00 10256.00
3/18/2007 10234.00 10222.00 10256.00
3/19/2007 10342.00 10333.00 10364.00
3/20/2007 10404.00 10399.00 10426.00
3/21/2007 10644.00 10577.00 10669.00
3/22/2007 10576.00 10573.00 10603.00
3/23/2007 10611.00 10584.00 10637.00
3/24/2007 10611.00 10584.00 10637.00
3/25/2007 10611.00 10584.00 10637.00
3/26/2007 10559.00 10595.00 10585.00
3/27/2007 10464.00 10529.00 10490.00
3/28/2007 10344.00 10448.00 10369.00
3/29/2007 10396.00 10487.00 10421.00
3/30/2007 10394.00 10475.00 10420.00
3/31/2007 10394.00 10475.00 10420.00
4/1/2007 10394.00 10475.00 10420.00
4/2/2007 10356.00 10502.00 10382.00
4/3/2007 10495.00 10602.00 10521.00
4/4/2007 10464.00 10614.00 10490.00
4/5/2007 10477.00 10649.00 10503.00
4/6/2007 10477.00 10649.00 10503.00
4/7/2007 10477.00 10649.00 10503.00
4/8/2007 10477.00 10649.00 10503.00
4/9/2007 10466.00 10655.00 10493.00
4/10/2007 10475.00 10684.00 10503.00
4/11/2007 10398.00 10615.00 10426.00
4/12/2007 10400.00 10681.00 10429.00
4/13/2007 10481.00 10718.00 10511.00
4/14/2007 10481.00 10718.00 10511.00
4/15/2007 10481.00 10718.00 10511.00
4/16/2007 10686.00 10833.00 10718.00
4/17/2007 10730.00 10855.00 10763.00
4/18/2007 10809.00 10863.00 10841.00
4/19/2007 10774.00 10850.00 10807.00
4/20/2007 10842.00 10951.00 10875.00
4/21/2007 10842.00 10951.00 10875.00
4/22/2007 10842.00 10951.00 10875.00
4/23/2007 10805.00 10926.00 10838.00
4/24/2007 10763.00 10922.00 10796.00
4/25/2007 10900.00 11034.00 10934.00
4/26/2007 10879.00 11026.00 10914.00
4/27/2007 10869.00 11025.00 10904.00
4/28/2007 10869.00 11025.00 10904.00
4/29/2007 10869.00 11025.00 10904.00
4/30/2007 10757.00 10939.00 10791.00
5/1/2007 10749.00 10968.00 10782.00
5/2/2007 10838.00 11040.00 10872.00
5/3/2007 10921.00 11091.00 10957.00
5/4/2007 10935.00 11115.00 10971.00
5/5/2007 10935.00 11115.00 10971.00
5/6/2007 10935.00 11115.00 10971.00
5/7/2007 10967.00 11144.00 11002.00
5/8/2007 10940.00 11132.00 10977.00
5/9/2007 11010.00 11171.00 11048.00
5/10/2007 10859.00 11017.00 10894.00
5/11/2007 10981.00 11124.00 11018.00
5/12/2007 10981.00 11124.00 11018.00
5/13/2007 10981.00 11124.00 11018.00
5/14/2007 10923.00 11105.00 10959.00
5/15/2007 10875.00 11091.00 10911.00
5/16/2007 10940.00 11190.00 10976.00
5/17/2007 10904.00 11181.00 10941.00
5/18/2007 10927.00 11255.00 10965.00
5/19/2007 10927.00 11255.00 10965.00
5/20/2007 10927.00 11255.00 10965.00
5/21/2007 10942.00 11272.00 10980.00
5/22/2007 10973.00 11265.00 11011.00
5/23/2007 10954.00 11252.00 10993.00
5/24/2007 10823.00 11144.00 10861.00
5/25/2007 10850.00 11205.00 10889.00
5/26/2007 10850.00 11205.00 10889.00
5/27/2007 10850.00 11205.00 10889.00
5/28/2007 10850.00 11205.00 10889.00
5/29/2007 10933.00 11224.00 10972.00
5/30/2007 11043.00 11318.00 11083.00
5/31/2007 11021.00 11321.00 11061.00
6/1/2007 11058.00 11363.00 11099.00
6/2/2007 11058.00 11363.00 11099.00
6/3/2007 11058.00 11363.00 11099.00
6/4/2007 11072.00 11384.00 11115.00
6/5/2007 10977.00 11324.00 11017.00
6/6/2007 10902.00 11226.00 10942.00
6/7/2007 10688.00 11030.00 10727.00
6/8/2007 10821.00 11155.00 10862.00
6/9/2007 10821.00 11155.00 10862.00
6/10/2007 10821.00 11155.00 10862.00
6/11/2007 10844.00 11166.00 10885.00
6/12/2007 10713.00 11047.00 10752.00
6/13/2007 10886.00 11217.00 10927.00
6/14/2007 10881.00 11272.00 10923.00
6/15/2007 10944.00 11345.00 10985.00
6/16/2007 10944.00 11345.00 10985.00
6/17/2007 10944.00 11345.00 10985.00
6/18/2007 10927.00 11332.00 10965.00
6/19/2007 10946.00 11352.00 10987.00
6/20/2007 10765.00 11197.00 10806.00
6/21/2007 10790.00 11269.00 10830.00
6/22/2007 10641.00 11124.00 10680.00
6/23/2007 10641.00 11124.00 10680.00
6/24/2007 10641.00 11124.00 10680.00
6/25/2007 10566.00 11088.00 10605.00
6/26/2007 10556.00 11053.00 10594.00
6/27/2007 10651.00 11154.00 10692.00
6/28/2007 10651.00 11150.00 10692.00
6/29/2007 10589.00 11133.00 10629.00
6/30/2007 10589.00 11133.00 10629.00
7/1/2007 10589.00 11133.00 10629.00
7/2/2007 10739.00 11252.00 10779.00
7/3/2007 10781.00 11294.00 10823.00
7/4/2007 10781.00 11294.00 10823.00
7/5/2007 10756.00 11298.00 10799.00
7/6/2007 10791.00 11339.00 10835.00
7/7/2007 10791.00 11339.00 10835.00
7/8/2007 10791.00 11339.00 10835.00
7/9/2007 10753.00 11349.00 10797.00
7/10/2007 10497.00 11188.00 10538.00
7/11/2007 10533.00 11254.00 10575.00
7/12/2007 10745.00 11468.00 10788.00
7/13/2007 10770.00 11504.00 10814.00
7/14/2007 10770.00 11504.00 10814.00
7/15/2007 10770.00 11504.00 10814.00
7/16/2007 10737.00 11482.00 10781.00
7/17/2007 10718.00 11481.00 10762.00
7/18/2007 10595.00 11458.00 10638.00
7/19/2007 10585.00 11510.00 10628.00
7/20/2007 10382.00 11369.00 10425.00
7/21/2007 10382.00 11369.00 10425.00
7/22/2007 10382.00 11369.00 10425.00
7/23/2007 10376.00 11425.00 10419.00
7/24/2007 10070.00 11199.00 10110.00
7/25/2007 10149.00 11251.00 10190.00
7/26/2007 9893.00 10988.00 9932.00
7/27/2007 9745.00 10814.00 9786.00
7/28/2007 9745.00 10814.00 9786.00
7/29/2007 9745.00 10814.00 9786.00
7/30/2007 9866.00 10925.00 9906.00
7/31/2007 9699.00 10787.00 9738.00
8/1/2007 9722.00 10866.00 9762.00
8/2/2007 9753.00 10916.00 9793.00
8/3/2007 9340.00 10627.00 9379.00
8/4/2007 9340.00 10627.00 9379.00
8/5/2007 9340.00 10627.00 9379.00
8/6/2007 9743.00 10884.00 9784.00
8/7/2007 9830.00 10951.00 9871.00
8/8/2007 10074.00 11109.00 10118.00
8/9/2007 9728.00 10781.00 9770.00
8/10/2007 9659.00 10786.00 9701.00
8/11/2007 9659.00 10786.00 9701.00
8/12/2007 9659.00 10786.00 9701.00
8/13/2007 9590.00 10782.00 9631.00
8/14/2007 9321.00 10587.00 9361.00
8/15/2007 9205.00 10443.00 9243.00
8/16/2007 9522.00 10477.00 9563.00
8/17/2007 9855.00 10735.00 9899.00
8/18/2007 9855.00 10735.00 9899.00
8/19/2007 9855.00 10735.00 9899.00
8/20/2007 9782.00 10732.00 9825.00
8/21/2007 9863.00 10744.00 9908.00
8/22/2007 9957.00 10870.00 10002.00
8/23/2007 9884.00 10858.00 9929.00
8/24/2007 9936.00 10985.00 9983.00
8/25/2007 9936.00 10985.00 9983.00
8/26/2007 9936.00 10985.00 9983.00
8/27/2007 9803.00 10892.00 9848.00
8/28/2007 9484.00 10636.00 9527.00
8/29/2007 9686.00 10872.00 9732.00
8/30/2007 9590.00 10827.00 9634.00
8/31/2007 9732.00 10949.00 9778.00
9/1/2007 9732.00 10949.00 9778.00
9/2/2007 9732.00 10949.00 9778.00
9/3/2007 9732.00 10949.00 9778.00
9/4/2007 9847.00 11064.00 9894.00
9/5/2007 9651.00 10942.00 9696.00
9/6/2007 9651.00 10990.00 9696.00
9/7/2007 9482.00 10804.00 9526.00
9/8/2007 9482.00 10804.00 9526.00
9/9/2007 9482.00 10804.00 9526.00
9/10/2007 9438.00 10791.00 9482.00
9/11/2007 9559.00 10938.00 9603.00
9/12/2007 9542.00 10942.00 9588.00
9/13/2007 9699.00 11034.00 9745.00
9/14/2007 9709.00 11037.00 9756.00
9/15/2007 9709.00 11037.00 9756.00
9/16/2007 9709.00 11037.00 9756.00
9/17/2007 9645.00 10980.00 9691.00
9/18/2007 10072.00 11301.00 10123.00
9/19/2007 10166.00 11370.00 10219.00
9/20/2007 9966.00 11296.00 10017.00
9/21/2007 9976.00 11348.00 10027.00
9/22/2007 9976.00 11348.00 10027.00
9/23/2007 9976.00 11348.00 10027.00
9/24/2007 9872.00 11289.00 9923.00
9/25/2007 9837.00 11285.00 9886.00
9/26/2007 9901.00 11348.00 9953.00
9/27/2007 9995.00 11393.00 10048.00
9/28/2007 9970.00 11359.00 10022.00
9/29/2007 9970.00 11359.00 10022.00
9/30/2007 9970.00 11359.00 10022.00
10/1/2007 10184.00 11510.00 10240.00
10/2/2007 10259.00 11507.00 10316.00
10/3/2007 10253.00 11457.00 10309.00
10/4/2007 10280.00 11481.00 10337.00
10/5/2007 10441.00 11594.00 10500.00
10/6/2007 10441.00 11594.00 10500.00
10/7/2007 10441.00 11594.00 10500.00
10/8/2007 10341.00 11557.00 10399.00
10/9/2007 10441.00 11650.00 10501.00
10/10/2007 10349.00 11631.00 10408.00
10/11/2007 10284.00 11572.00 10343.00
10/12/2007 10278.00 11627.00 10336.00
10/13/2007 10278.00 11627.00 10336.00
10/14/2007 10278.00 11627.00 10336.00
10/15/2007 10087.00 11530.00 10143.00
10/16/2007 9920.00 11454.00 9973.00
10/17/2007 9872.00 11475.00 9926.00
10/18/2007 9786.00 11467.00 9837.00
10/19/2007 9501.00 11173.00 9549.00
10/20/2007 9501.00 11173.00 9549.00
10/21/2007 9501.00 11173.00 9549.00
10/22/2007 9614.00 11216.00 9664.00
10/23/2007 9683.00 11315.00 9735.00
10/24/2007 9585.00 11287.00 9635.00
10/25/2007 9518.00 11276.00 9569.00
10/26/2007 9744.00 11432.00 9795.00
10/27/2007 9744.00 11432.00 9795.00
10/28/2007 9744.00 11432.00 9795.00
10/29/2007 9729.00 11476.00 9782.00
10/30/2007 9685.00 11402.00 9738.00
10/31/2007 9777.00 11539.00 9829.00
</Table>
TOTAL RETURNS FOR THE PERIOD ENDED OCTOBER 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
SINCE INCEPTION
(11/1/2006)
---------------
RYDEX S&P EQUAL WEIGHT FINANCIALS ETF............................. -2.23%
S&P 500 EQUAL WEIGHT FINANCIALS TOTAL RETURN INDEX................ -1.71%
S&P 500 TOTAL RETURN INDEX........................................ 15.39%
</Table>
The returns presented above do not reflect the effect of taxes. Index returns
represent total returns. Past performance is not guarantee of future results.
26
Rydex S&P Equal Weight Financials ETF
PORTFOLIO SUMMARY As of October 31, 2007
- --------------------------------------------------------------------------------
TOP 10 HOLDINGS*
- --------------------------------------------------------------------------------
<Table>
<Caption>
DESCRIPTION % OF NET ASSETS
- ------------------------------------------------------------------------------------
JANUS CAPITAL GROUP, INC. 1.38%
GOLDMAN SACHS GROUP, INC. 1.35%
STATE STREET CORP. 1.33%
CME GROUP, INC. 1.33%
T. ROWE PRICE GROUP, INC. 1.31%
INTERCONTINENTALEXCHANGE, INC. 1.30%
NORTHERN TRUST CORP. 1.27%
FEDERATED INVESTORS, INC. -- CLASS B 1.25%
AFLAC, INC 1.25%
ASSURANT, INC 1.24%
- ------------------------------------------------------------------------------------
</Table>
INDUSTRY ALLOCATIONS*
(PIE CHART)
<Table>
Insurance Capital Markets Commercial Banks
25.88 20.11 18.44
</Table>
<Table>
Insurance Real Estate Investment Trusts (REITs)
25.88 14.56
</Table>
<Table>
Insurance Diversified Financial Services Thrifts & Mortgage Finance
25.88 10.11 5.73
</Table>
<Table>
Insurance Consumer Finance Real Estate Management & Development
25.88 4.22 0.95
</Table>
* The Fund's Top 10 Holdings are expressed as a percentage of net assets and the
Industry Allocations are expressed as a percentage of the Fund's investments
market value. These percentages may change over time.
27 ANNUAL REPORT
RYDEX S&P EQUAL WEIGHT HEALTH CARE ETF
MANAGER'S ANALYSIS
- --------------------------------------------------------------------------------
For the period since inception (November 1, 2006) through October 31, 2007,
Rydex S&P Equal Weight Health Care ETF returned 17.37%. For the same period its
benchmark, the S&P Equal Weight Health Care Total Return Index, returned 18.22%.
The health care sector and this fund had solid returns as the markets continue
to realize that health care spending will continue. The equal-weighted ETF
outperformed the cap-weighted S&P 500 Health Care Index by more than 6% since
inception. This was primarily driven by an extremely strong year in the
biotechnology industry, but good years in the life sciences tools & services,
health care providers & services, and health care equipment & supplies
industries also aided in the effort. The only industry that performed poorly,
health care technology, is also the sector's smallest allocation.
CUMULATIVE FUND PERFORMANCE: NOVEMBER 1, 2006 - OCTOBER 31, 2007
(PERFORMANCE GRAPH)
<Table>
<Caption>
S&P 500
RYDEX S&P EQUAL WEIGHTED
EQUAL WEIGHT S&P 500 HEALTH CARE
HEALTH CARE TOTAL RETURN TOTAL RETURN
ETF(A) INDEX(B) INDEX(C)
------------ ------------ --------------
11/1/2006 10000.00 10000.00 10002.00
11/2/2006 10053.00 9999.00 10053.00
11/3/2006 9994.00 9978.00 9995.00
11/4/2006 9994.00 9978.00 9995.00
11/5/2006 9994.00 9978.00 9995.00
11/6/2006 10121.00 10091.00 10123.00
11/7/2006 10190.00 10114.00 10193.00
11/8/2006 10045.00 10137.00 10053.00
11/9/2006 9865.00 10085.00 9872.00
11/10/2006 9919.00 10104.00 9931.00
11/11/2006 9919.00 10104.00 9931.00
11/12/2006 9919.00 10104.00 9931.00
11/13/2006 9935.00 10132.00 9945.00
11/14/2006 9994.00 10198.00 10005.00
11/15/2006 10036.00 10225.00 10047.00
11/16/2006 10095.00 10249.00 10106.00
11/17/2006 10083.00 10259.00 10095.00
11/18/2006 10083.00 10259.00 10095.00
11/19/2006 10083.00 10259.00 10095.00
11/20/2006 10047.00 10254.00 10057.00
11/21/2006 10038.00 10272.00 10050.00
11/22/2006 10105.00 10297.00 10116.00
11/23/2006 10105.00 10297.00 10116.00
11/24/2006 10055.00 10260.00 10068.00
11/25/2006 10055.00 10260.00 10068.00
11/26/2006 10055.00 10260.00 10068.00
11/27/2006 9978.00 10120.00 9989.00
11/28/2006 9994.00 10158.00 10006.00
11/29/2006 10059.00 10256.00 10071.00
11/30/2006 10111.00 10264.00 10123.00
12/1/2006 10103.00 10236.00 10116.00
12/2/2006 10103.00 10236.00 10116.00
12/3/2006 10103.00 10236.00 10116.00
12/4/2006 10210.00 10327.00 10225.00
12/5/2006 10247.00 10368.00 10261.00
12/6/2006 10281.00 10357.00 10295.00
12/7/2006 10257.00 10317.00 10271.00
12/8/2006 10267.00 10336.00 10280.00
12/9/2006 10267.00 10336.00 10280.00
12/10/2006 10267.00 10336.00 10280.00
12/11/2006 10293.00 10359.00 10307.00
12/12/2006 10299.00 10349.00 10314.00
12/13/2006 10267.00 10363.00 10282.00
12/14/2006 10303.00 10453.00 10319.00
12/15/2006 10328.00 10465.00 10342.00
12/16/2006 10328.00 10465.00 10342.00
12/17/2006 10328.00 10465.00 10342.00
12/18/2006 10313.00 10431.00 10329.00
12/19/2006 10350.00 10454.00 10365.00
12/20/2006 10366.00 10440.00 10382.00
12/21/2006 10364.00 10404.00 10381.00
12/22/2006 10305.00 10350.00 10323.00
12/23/2006 10305.00 10350.00 10323.00
12/24/2006 10305.00 10350.00 10323.00
12/25/2006 10305.00 10350.00 10323.00
12/26/2006 10319.00 10395.00 10337.00
12/27/2006 10349.00 10470.00 10367.00
12/28/2006 10345.00 10455.00 10363.00
12/29/2006 10309.00 10408.00 10326.00
12/30/2006 10309.00 10408.00 10326.00
12/31/2006 10309.00 10408.00 10326.00
1/1/2007 10309.00 10408.00 10326.00
1/2/2007 10309.00 10408.00 10326.00
1/3/2007 10293.00 10398.00 10312.00
1/4/2007 10360.00 10411.00 10378.00
1/5/2007 10313.00 10347.00 10332.00
1/6/2007 10313.00 10347.00 10332.00
1/7/2007 10313.00 10347.00 10332.00
1/8/2007 10362.00 10373.00 10380.00
1/9/2007 10352.00 10368.00 10370.00
1/10/2007 10380.00 10389.00 10398.00
1/11/2007 10503.00 10455.00 10523.00
1/12/2007 10544.00 10506.00 10564.00
1/13/2007 10544.00 10506.00 10564.00
1/14/2007 10544.00 10506.00 10564.00
1/15/2007 10544.00 10506.00 10564.00
1/16/2007 10582.00 10515.00 10603.00
1/17/2007 10643.00 10506.00 10664.00
1/18/2007 10641.00 10475.00 10662.00
1/19/2007 10659.00 10506.00 10681.00
1/20/2007 10659.00 10506.00 10681.00
1/21/2007 10659.00 10506.00 10681.00
1/22/2007 10598.00 10451.00 10620.00
1/23/2007 10600.00 10488.00 10622.00
1/24/2007 10675.00 10577.00 10698.00
1/25/2007 10637.00 10458.00 10659.00
1/26/2007 10621.00 10445.00 10642.00
1/27/2007 10621.00 10445.00 10642.00
1/28/2007 10621.00 10445.00 10642.00
1/29/2007 10641.00 10435.00 10664.00
1/30/2007 10730.00 10495.00 10752.00
1/31/2007 10782.00 10566.00 10805.00
2/1/2007 10861.00 10625.00 10885.00
2/2/2007 10857.00 10643.00 10880.00
2/3/2007 10857.00 10643.00 10880.00
2/4/2007 10857.00 10643.00 10880.00
2/5/2007 10861.00 10634.00 10886.00
2/6/2007 10853.00 10641.00 10877.00
2/7/2007 10871.00 10660.00 10896.00
2/8/2007 10879.00 10648.00 10903.00
2/9/2007 10835.00 10573.00 10859.00
2/10/2007 10835.00 10573.00 10859.00
2/11/2007 10835.00 10573.00 10859.00
2/12/2007 10817.00 10539.00 10841.00
2/13/2007 10851.00 10621.00 10876.00
2/14/2007 10922.00 10705.00 10947.00
2/15/2007 11009.00 10717.00 11035.00
2/16/2007 10981.00 10708.00 11007.00
2/17/2007 10981.00 10708.00 11007.00
2/18/2007 10981.00 10708.00 11007.00
2/19/2007 10981.00 10708.00 11007.00
2/20/2007 11013.00 10739.00 11039.00
2/21/2007 10997.00 10724.00 11023.00
2/22/2007 10975.00 10717.00 11002.00
2/23/2007 10952.00 10680.00 10980.00
2/24/2007 10952.00 10680.00 10980.00
2/25/2007 10952.00 10680.00 10980.00
2/26/2007 10924.00 10668.00 10951.00
2/27/2007 10610.00 10299.00 10636.00
2/28/2007 10651.00 10359.00 10677.00
3/1/2007 10580.00 10332.00 10606.00
3/2/2007 10463.00 10215.00 10489.00
3/3/2007 10463.00 10215.00 10489.00
3/4/2007 10463.00 10215.00 10489.00
3/5/2007 10376.00 10119.00 10402.00
3/6/2007 10497.00 10276.00 10525.00
3/7/2007 10467.00 10254.00 10494.00
3/8/2007 10534.00 10327.00 10562.00
3/9/2007 10548.00 10334.00 10576.00
3/10/2007 10548.00 10334.00 10576.00
3/11/2007 10548.00 10334.00 10576.00
3/12/2007 10578.00 10362.00 10606.00
3/13/2007 10410.00 10154.00 10439.00
3/14/2007 10481.00 10223.00 10509.00
3/15/2007 10515.00 10261.00 10544.00
3/16/2007 10504.00 10222.00 10533.00
3/17/2007 10504.00 10222.00 10533.00
3/18/2007 10504.00 10222.00 10533.00
3/19/2007 10616.00 10333.00 10655.00
3/20/2007 10642.00 10399.00 10680.00
3/21/2007 10755.00 10577.00 10808.00
3/22/2007 10792.00 10573.00 10834.00
3/23/2007 10796.00 10584.00 10839.00
3/24/2007 10796.00 10584.00 10839.00
3/25/2007 10796.00 10584.00 10839.00
3/26/2007 10794.00 10595.00 10837.00
3/27/2007 10741.00 10529.00 10784.00
3/28/2007 10690.00 10448.00 10734.00
3/29/2007 10707.00 10487.00 10750.00
3/30/2007 10743.00 10475.00 10786.00
3/31/2007 10743.00 10475.00 10786.00
4/1/2007 10743.00 10475.00 10786.00
4/2/2007 10777.00 10502.00 10822.00
4/3/2007 10911.00 10602.00 10955.00
4/4/2007 10941.00 10614.00 10986.00
4/5/2007 11020.00 10649.00 11067.00
4/6/2007 11020.00 10649.00 11067.00
4/7/2007 11020.00 10649.00 11067.00
4/8/2007 11020.00 10649.00 11067.00
4/9/2007 11022.00 10655.00 11069.00
4/10/2007 11057.00 10684.00 11104.00
4/11/2007 11045.00 10615.00 11091.00
4/12/2007 11168.00 10681.00 11216.00
4/13/2007 11243.00 10718.00 11291.00
4/14/2007 11243.00 10718.00 11291.00
4/15/2007 11243.00 10718.00 11291.00
4/16/2007 11346.00 10833.00 11395.00
4/17/2007 11366.00 10855.00 11416.00
4/18/2007 11354.00 10863.00 11403.00
4/19/2007 11383.00 10850.00 11432.00
4/20/2007 11449.00 10951.00 11501.00
4/21/2007 11449.00 10951.00 11501.00
4/22/2007 11449.00 10951.00 11501.00
4/23/2007 11536.00 10926.00 11588.00
4/24/2007 11571.00 10922.00 11624.00
4/25/2007 11603.00 11034.00 11655.00
4/26/2007 11589.00 11026.00 11641.00
4/27/2007 11557.00 11025.00 11608.00
4/28/2007 11557.00 11025.00 11608.00
4/29/2007 11557.00 11025.00 11608.00
4/30/2007 11490.00 10939.00 11542.00
5/1/2007 11547.00 10968.00 11600.00
5/2/2007 11630.00 11040.00 11683.00
5/3/2007 11646.00 11091.00 11699.00
5/4/2007 11690.00 11115.00 11744.00
5/5/2007 11690.00 11115.00 11744.00
5/6/2007 11690.00 11115.00 11744.00
5/7/2007 11729.00 11144.00 11784.00
5/8/2007 11696.00 11132.00 11750.00
5/9/2007 11729.00 11171.00 11783.00
5/10/2007 11565.00 11017.00 11620.00
5/11/2007 11623.00 11124.00 11679.00
5/12/2007 11623.00 11124.00 11679.00
5/13/2007 11623.00 11124.00 11679.00
5/14/2007 11579.00 11105.00 11634.00
5/15/2007 11581.00 11091.00 11636.00
5/16/2007 11704.00 11190.00 11760.00
5/17/2007 11642.00 11181.00 11698.00
5/18/2007 11694.00 11255.00 11750.00
5/19/2007 11694.00 11255.00 11750.00
5/20/2007 11694.00 11255.00 11750.00
5/21/2007 11680.00 11272.00 11737.00
5/22/2007 11686.00 11265.00 11743.00
5/23/2007 11704.00 11252.00 11761.00
5/24/2007 11676.00 11144.00 11733.00
5/25/2007 11717.00 11205.00 11774.00
5/26/2007 11717.00 11205.00 11774.00
5/27/2007 11717.00 11205.00 11774.00
5/28/2007 11717.00 11205.00 11774.00
5/29/2007 11715.00 11224.00 11772.00
5/30/2007 11721.00 11318.00 11779.00
5/31/2007 11737.00 11321.00 11795.00
6/1/2007 11781.00 11363.00 11841.00
6/2/2007 11781.00 11363.00 11841.00
6/3/2007 11781.00 11363.00 11841.00
6/4/2007 11797.00 11384.00 11857.00
6/5/2007 11743.00 11324.00 11802.00
6/6/2007 11660.00 11226.00 11720.00
6/7/2007 11500.00 11030.00 11558.00
6/8/2007 11583.00 11155.00 11642.00
6/9/2007 11583.00 11155.00 11642.00
6/10/2007 11583.00 11155.00 11642.00
6/11/2007 11587.00 11166.00 11646.00
6/12/2007 11500.00 11047.00 11559.00
6/13/2007 11597.00 11217.00 11657.00
6/14/2007 11603.00 11272.00 11663.00
6/15/2007 11657.00 11345.00 11718.00
6/16/2007 11657.00 11345.00 11718.00
6/17/2007 11657.00 11345.00 11718.00
6/18/2007 11623.00 11332.00 11686.00
6/19/2007 11647.00 11352.00 11708.00
6/20/2007 11507.00 11197.00 11567.00
6/21/2007 11534.00 11269.00 11595.00
6/22/2007 11384.00 11124.00 11444.00
6/23/2007 11384.00 11124.00 11444.00
6/24/2007 11384.00 11124.00 11444.00
6/25/2007 11352.00 11088.00 11412.00
6/26/2007 11406.00 11053.00 11466.00
6/27/2007 11483.00 11154.00 11544.00
6/28/2007 11479.00 11150.00 11541.00
6/29/2007 11441.00 11133.00 11502.00
6/30/2007 11441.00 11133.00 11502.00
7/1/2007 11441.00 11133.00 11502.00
7/2/2007 11554.00 11252.00 11617.00
7/3/2007 11580.00 11294.00 11643.00
7/4/2007 11580.00 11294.00 11643.00
7/5/2007 11601.00 11298.00 11665.00
7/6/2007 11637.00 11339.00 11701.00
7/7/2007 11637.00 11339.00 11701.00
7/8/2007 11637.00 11339.00 11701.00
7/9/2007 11595.00 11349.00 11658.00
7/10/2007 11489.00 11188.00 11554.00
7/11/2007 11580.00 11254.00 11644.00
7/12/2007 11734.00 11468.00 11799.00
7/13/2007 11702.00 11504.00 11767.00
7/14/2007 11702.00 11504.00 11767.00
7/15/2007 11702.00 11504.00 11767.00
7/16/2007 11686.00 11482.00 11751.00
7/17/2007 11651.00 11481.00 11717.00
7/18/2007 11653.00 11458.00 11720.00
7/19/2007 11607.00 11510.00 11672.00
7/20/2007 11489.00 11369.00 11555.00
7/21/2007 11489.00 11369.00 11555.00
7/22/2007 11489.00 11369.00 11555.00
7/23/2007 11560.00 11425.00 11627.00
7/24/2007 11453.00 11199.00 11518.00
7/25/2007 11461.00 11251.00 11528.00
7/26/2007 11238.00 10988.00 11302.00
7/27/2007 11050.00 10814.00 11115.00
7/28/2007 11050.00 10814.00 11115.00
7/29/2007 11050.00 10814.00 11115.00
7/30/2007 11139.00 10925.00 11204.00
7/31/2007 11032.00 10787.00 11095.00
8/1/2007 11096.00 10866.00 11161.00
8/2/2007 11220.00 10916.00 11286.00
8/3/2007 11048.00 10627.00 11112.00
8/4/2007 11048.00 10627.00 11112.00
8/5/2007 11048.00 10627.00 11112.00
8/6/2007 11271.00 10884.00 11338.00
8/7/2007 11232.00 10951.00 11298.00
8/8/2007 11271.00 11109.00 11336.00
8/9/2007 10989.00 10781.00 11053.00
8/10/2007 11068.00 10786.00 11134.00
8/11/2007 11068.00 10786.00 11134.00
8/12/2007 11068.00 10786.00 11134.00
8/13/2007 11101.00 10782.00 11166.00
8/14/2007 10973.00 10587.00 11037.00
8/15/2007 10868.00 10443.00 10933.00
8/16/2007 10809.00 10477.00 10873.00
8/17/2007 10957.00 10735.00 11023.00
8/18/2007 10957.00 10735.00 11023.00
8/19/2007 10957.00 10735.00 11023.00
8/20/2007 10961.00 10732.00 11029.00
8/21/2007 10983.00 10744.00 11050.00
8/22/2007 11086.00 10870.00 11154.00
8/23/2007 11105.00 10858.00 11173.00
8/24/2007 11194.00 10985.00 11263.00
8/25/2007 11194.00 10985.00 11263.00
8/26/2007 11194.00 10985.00 11263.00
8/27/2007 11135.00 10892.00 11203.00
8/28/2007 10961.00 10636.00 11029.00
8/29/2007 11096.00 10872.00 11166.00
8/30/2007 11086.00 10827.00 11155.00
8/31/2007 11145.00 10949.00 11215.00
9/1/2007 11145.00 10949.00 11215.00
9/2/2007 11145.00 10949.00 11215.00
9/3/2007 11145.00 10949.00 11215.00
9/4/2007 11240.00 11064.00 11311.00
9/5/2007 11198.00 10942.00 11269.00
9/6/2007 11293.00 10990.00 11363.00
9/7/2007 11151.00 10804.00 11222.00
9/8/2007 11151.00 10804.00 11222.00
9/9/2007 11151.00 10804.00 11222.00
9/10/2007 11149.00 10791.00 11219.00
9/11/2007 11273.00 10938.00 11345.00
9/12/2007 11303.00 10942.00 11375.00
9/13/2007 11321.00 11034.00 11392.00
9/14/2007 11307.00 11037.00 11379.00
9/15/2007 11307.00 11037.00 11379.00
9/16/2007 11307.00 11037.00 11379.00
9/17/2007 11226.00 10980.00 11298.00
9/18/2007 11431.00 11301.00 11505.00
9/19/2007 11505.00 11370.00 11581.00
9/20/2007 11439.00 11296.00 11513.00
9/21/2007 11480.00 11348.00 11555.00
9/22/2007 11480.00 11348.00 11555.00
9/23/2007 11480.00 11348.00 11555.00
9/24/2007 11450.00 11289.00 11527.00
9/25/2007 11458.00 11285.00 11535.00
9/26/2007 11555.00 11348.00 11633.00
9/27/2007 11571.00 11393.00 11649.00
9/28/2007 11555.00 11359.00 11633.00
9/29/2007 11555.00 11359.00 11633.00
9/30/2007 11555.00 11359.00 11633.00
10/1/2007 11648.00 11510.00 11727.00
10/2/2007 11604.00 11507.00 11684.00
10/3/2007 11608.00 11457.00 11687.00
10/4/2007 11626.00 11481.00 11706.00
10/5/2007 11725.00 11594.00 11806.00
10/6/2007 11725.00 11594.00 11806.00
10/7/2007 11725.00 11594.00 11806.00
10/8/2007 11685.00 11557.00 11767.00
10/9/2007 11754.00 11650.00 11837.00
10/10/2007 11764.00 11631.00 11845.00
10/11/2007 11654.00 11572.00 11736.00
10/12/2007 11717.00 11627.00 11801.00
10/13/2007 11717.00 11627.00 11801.00
10/14/2007 11717.00 11627.00 11801.00
10/15/2007 11656.00 11530.00 11740.00
10/16/2007 11581.00 11454.00 11665.00
10/17/2007 11602.00 11475.00 11686.00
10/18/2007 11598.00 11467.00 11681.00
10/19/2007 11438.00 11173.00 11520.00
10/20/2007 11438.00 11173.00 11520.00
10/21/2007 11438.00 11173.00 11520.00
10/22/2007 11432.00 11216.00 11513.00
10/23/2007 11581.00 11315.00 11665.00
10/24/2007 11502.00 11287.00 11586.00
10/25/2007 11547.00 11276.00 11631.00
10/26/2007 11561.00 11432.00 11645.00
10/27/2007 11561.00 11432.00 11645.00
10/28/2007 11561.00 11432.00 11645.00
10/29/2007 11583.00 11476.00 11667.00
10/30/2007 11594.00 11402.00 11678.00
10/31/2007 11737.00 11539.00 11822.00
</Table>
TOTAL RETURNS FOR THE PERIOD ENDED OCTOBER 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
SINCE INCEPTION
(11/1/2006)
---------------
RYDEX S&P EQUAL WEIGHT HEALTH CARE ETF............................ 17.37%
S&P 500 EQUAL WEIGHT HEALTH CARE TOTAL RETURN INDEX............... 18.22%
S&P 500 TOTAL RETURN INDEX........................................ 15.39%
</Table>
The returns presented above do not reflect the effect of taxes. Index returns
represent total returns. Past performance is not guarantee of future results.
28
Rydex S&P Equal Weight Health Care ETF
PORTFOLIO SUMMARY As of October 31, 2007
- --------------------------------------------------------------------------------
TOP 10 HOLDINGS*
- --------------------------------------------------------------------------------
<Table>
<Caption>
DESCRIPTION % OF NET ASSETS
- ------------------------------------------------------------------------------------
VARIAN MEDICAL SYSTEMS, INC. 2.35%
GENZYME CORP. 2.32%
MCKESSON CORP. 2.23%
EXPRESS SCRIPTS, INC. 2.22%
GILEAD SCIENCES, INC. 2.22%
WATERS CORP. 2.18%
MERCK & CO., INC. 2.16%
HUMANA, INC. 2.15%
BIOGEN IDEC, INC. 2.11%
MEDCO HEALTH SOLUTIONS, INC. 2.08%
- ------------------------------------------------------------------------------------
</Table>
INDUSTRY ALLOCATIONS*
(PIE CHART)
<Table>
Health Care Providers & Services Pharmaceuticals Health Care Equipment & Supplies
29.84 27.21 20.88
</Table>
<Table>
Health Care Providers & Services Biotechnology Life Sciences Tools & Services
29.84 10.49 9.92
</Table>
<Table>
Health Care Providers & Services Health Care Technology
29.84 1.66
</Table>
* The Fund's Top 10 Holdings are expressed as a percentage of net assets and the
Industry Allocations are expressed as a percentage of the Fund's investments
market value. These percentages may change over time.
29 ANNUAL REPORT
RYDEX S&P EQUAL WEIGHT INDUSTRIALS ETF
MANAGER'S ANALYSIS
- --------------------------------------------------------------------------------
For the period since inception (November 1, 2006) through October 31, 2007,
Rydex S&P Equal Weight Industrials ETF returned 22.00%. For the same period, its
benchmark, the S&P Equal Weight Industrials Total Return Index, delivered a
22.52% return.
This past year was one where the market showed its appreciation of industrial
stocks. The large cap stocks did well, especially towards the last part of the
year and this ETF enjoyed an above market average return. Due to the higher oil
prices, airlines performed poorly. However, another small portion of the sector,
construction & engineering, more than doubled.
CUMULATIVE FUND PERFORMANCE: NOVEMBER 1, 2006 - OCTOBER 31, 2007
(PERFORMANCE GRAPH)
<Table>
<Caption>
S&P 500
RYDEX S&P S&P EQUAL WEIGHTED
EQUAL WEIGHT 500 TOTAL INDUSTRIALS TOTAL
INDUSTRIALS ETF(A) RETURN INDEX(B) RETURN INDEX(C)
------------------ --------------- -----------------
11/1/2006 10000.00 10000.00 9999.00
11/2/2006 9990.00 9999.00 9988.00
11/3/2006 9955.00 9978.00 9955.00
11/4/2006 9955.00 9978.00 9955.00
11/5/2006 9955.00 9978.00 9955.00
11/6/2006 10057.00 10091.00 10056.00
11/7/2006 10142.00 10114.00 10142.00
11/8/2006 10201.00 10137.00 10201.00
11/9/2006 10116.00 10085.00 10116.00
11/10/2006 10179.00 10104.00 10179.00
11/11/2006 10179.00 10104.00 10179.00
11/12/2006 10179.00 10104.00 10179.00
11/13/2006 10236.00 10132.00 10236.00
11/14/2006 10277.00 10198.00 10276.00
11/15/2006 10368.00 10225.00 10370.00
11/16/2006 10419.00 10249.00 10420.00
11/17/2006 10393.00 10259.00 10395.00
11/18/2006 10393.00 10259.00 10395.00
11/19/2006 10393.00 10259.00 10395.00
11/20/2006 10348.00 10254.00 10350.00
11/21/2006 10427.00 10272.00 10429.00
11/22/2006 10442.00 10297.00 10443.00
11/23/2006 10442.00 10297.00 10443.00
11/24/2006 10419.00 10260.00 10422.00
11/25/2006 10419.00 10260.00 10422.00
11/26/2006 10419.00 10260.00 10422.00
11/27/2006 10248.00 10120.00 10250.00
11/28/2006 10232.00 10158.00 10234.00
11/29/2006 10336.00 10256.00 10339.00
11/30/2006 10360.00 10264.00 10364.00
12/1/2006 10293.00 10236.00 10296.00
12/2/2006 10293.00 10236.00 10296.00
12/3/2006 10293.00 10236.00 10296.00
12/4/2006 10442.00 10327.00 10446.00
12/5/2006 10484.00 10368.00 10489.00
12/6/2006 10492.00 10357.00 10497.00
12/7/2006 10474.00 10317.00 10478.00
12/8/2006 10476.00 10336.00 10482.00
12/9/2006 10476.00 10336.00 10482.00
12/10/2006 10476.00 10336.00 10482.00
12/11/2006 10444.00 10359.00 10449.00
12/12/2006 10403.00 10349.00 10408.00
12/13/2006 10372.00 10363.00 10377.00
12/14/2006 10474.00 10453.00 10479.00
12/15/2006 10411.00 10465.00 10417.00
12/16/2006 10411.00 10465.00 10417.00
12/17/2006 10411.00 10465.00 10417.00
12/18/2006 10366.00 10431.00 10372.00
12/19/2006 10403.00 10454.00 10407.00
12/20/2006 10409.00 10440.00 10414.00
12/21/2006 10370.00 10404.00 10377.00
12/22/2006 10293.00 10350.00 10300.00
12/23/2006 10293.00 10350.00 10300.00
12/24/2006 10293.00 10350.00 10300.00
12/25/2006 10293.00 10350.00 10300.00
12/26/2006 10338.00 10395.00 10343.00
12/27/2006 10427.00 10470.00 10433.00
12/28/2006 10402.00 10455.00 10409.00
12/29/2006 10335.00 10408.00 10342.00
12/30/2006 10335.00 10408.00 10342.00
12/31/2006 10335.00 10408.00 10342.00
1/1/2007 10335.00 10408.00 10342.00
1/2/2007 10335.00 10408.00 10342.00
1/3/2007 10341.00 10398.00 10349.00
1/4/2007 10323.00 10411.00 10330.00
1/5/2007 10258.00 10347.00 10265.00
1/6/2007 10258.00 10347.00 10265.00
1/7/2007 10258.00 10347.00 10265.00
1/8/2007 10313.00 10373.00 10320.00
1/9/2007 10335.00 10368.00 10342.00
1/10/2007 10357.00 10389.00 10366.00
1/11/2007 10447.00 10455.00 10456.00
1/12/2007 10500.00 10506.00 10510.00
1/13/2007 10500.00 10506.00 10510.00
1/14/2007 10500.00 10506.00 10510.00
1/15/2007 10500.00 10506.00 10510.00
1/16/2007 10568.00 10515.00 10578.00
1/17/2007 10580.00 10506.00 10589.00
1/18/2007 10541.00 10475.00 10551.00
1/19/2007 10578.00 10506.00 10588.00
1/20/2007 10578.00 10506.00 10588.00
1/21/2007 10578.00 10506.00 10588.00
1/22/2007 10468.00 10451.00 10477.00
1/23/2007 10625.00 10488.00 10635.00
1/24/2007 10625.00 10577.00 10635.00
1/25/2007 10502.00 10458.00 10514.00
1/26/2007 10468.00 10445.00 10480.00
1/27/2007 10468.00 10445.00 10480.00
1/28/2007 10468.00 10445.00 10480.00
1/29/2007 10500.00 10435.00 10511.00
1/30/2007 10560.00 10495.00 10571.00
1/31/2007 10713.00 10566.00 10725.00
2/1/2007 10866.00 10625.00 10877.00
2/2/2007 10902.00 10643.00 10915.00
2/3/2007 10902.00 10643.00 10915.00
2/4/2007 10902.00 10643.00 10915.00
2/5/2007 10884.00 10634.00 10897.00
2/6/2007 10892.00 10641.00 10904.00
2/7/2007 10923.00 10660.00 10936.00
2/8/2007 10862.00 10648.00 10875.00
2/9/2007 10786.00 10573.00 10799.00
2/10/2007 10786.00 10573.00 10799.00
2/11/2007 10786.00 10573.00 10799.00
2/12/2007 10804.00 10539.00 10818.00
2/13/2007 10906.00 10621.00 10921.00
2/14/2007 11068.00 10705.00 11082.00
2/15/2007 11096.00 10717.00 11112.00
2/16/2007 11076.00 10708.00 11091.00
2/17/2007 11076.00 10708.00 11091.00
2/18/2007 11076.00 10708.00 11091.00
2/19/2007 11076.00 10708.00 11091.00
2/20/2007 11131.00 10739.00 11147.00
2/21/2007 11155.00 10724.00 11172.00
2/22/2007 11119.00 10717.00 11134.00
2/23/2007 11102.00 10680.00 11118.00
2/24/2007 11102.00 10680.00 11118.00
2/25/2007 11102.00 10680.00 11118.00
2/26/2007 11019.00 10668.00 11036.00
2/27/2007 10643.00 10299.00 10658.00
2/28/2007 10678.00 10359.00 10693.00
3/1/2007 10645.00 10332.00 10661.00
3/2/2007 10498.00 10215.00 10514.00
3/3/2007 10498.00 10215.00 10514.00
3/4/2007 10498.00 10215.00 10514.00
3/5/2007 10429.00 10119.00 10444.00
3/6/2007 10564.00 10276.00 10580.00
3/7/2007 10584.00 10254.00 10601.00
3/8/2007 10680.00 10327.00 10697.00
3/9/2007 10696.00 10334.00 10712.00
3/10/2007 10696.00 10334.00 10712.00
3/11/2007 10696.00 10334.00 10712.00
3/12/2007 10743.00 10362.00 10760.00
3/13/2007 10508.00 10154.00 10526.00
3/14/2007 10574.00 10223.00 10591.00
3/15/2007 10606.00 10261.00 10624.00
3/16/2007 10636.00 10222.00 10654.00
3/17/2007 10636.00 10222.00 10654.00
3/18/2007 10636.00 10222.00 10654.00
3/19/2007 10756.00 10333.00 10776.00
3/20/2007 10791.00 10399.00 10812.00
3/21/2007 10924.00 10577.00 10944.00
3/22/2007 10891.00 10573.00 10912.00
3/23/2007 10965.00 10584.00 10987.00
3/24/2007 10965.00 10584.00 10987.00
3/25/2007 10965.00 10584.00 10987.00
3/26/2007 10891.00 10595.00 10913.00
3/27/2007 10791.00 10529.00 10812.00
3/28/2007 10679.00 10448.00 10701.00
3/29/2007 10709.00 10487.00 10731.00
3/30/2007 10720.00 10475.00 10741.00
3/31/2007 10720.00 10475.00 10741.00
4/1/2007 10720.00 10475.00 10741.00
4/2/2007 10734.00 10502.00 10757.00
4/3/2007 10840.00 10602.00 10863.00
4/4/2007 10799.00 10614.00 10822.00
4/5/2007 10797.00 10649.00 10821.00
4/6/2007 10797.00 10649.00 10821.00
4/7/2007 10797.00 10649.00 10821.00
4/8/2007 10797.00 10649.00 10821.00
4/9/2007 10838.00 10655.00 10863.00
4/10/2007 10836.00 10684.00 10859.00
4/11/2007 10765.00 10615.00 10789.00
4/12/2007 10885.00 10681.00 10910.00
4/13/2007 10900.00 10718.00 10923.00
4/14/2007 10900.00 10718.00 10923.00
4/15/2007 10900.00 10718.00 10923.00
4/16/2007 11018.00 10833.00 11044.00
4/17/2007 11039.00 10855.00 11065.00
4/18/2007 11088.00 10863.00 11114.00
4/19/2007 11110.00 10850.00 11136.00
4/20/2007 11219.00 10951.00 11245.00
4/21/2007 11219.00 10951.00 11245.00
4/22/2007 11219.00 10951.00 11245.00
4/23/2007 11276.00 10926.00 11303.00
4/24/2007 11246.00 10922.00 11273.00
4/25/2007 11340.00 11034.00 11367.00
4/26/2007 11305.00 11026.00 11333.00
4/27/2007 11417.00 11025.00 11446.00
4/28/2007 11417.00 11025.00 11446.00
4/29/2007 11417.00 11025.00 11446.00
4/30/2007 11264.00 10939.00 11293.00
5/1/2007 11321.00 10968.00 11351.00
5/2/2007 11436.00 11040.00 11466.00
5/3/2007 11524.00 11091.00 11554.00
5/4/2007 11544.00 11115.00 11575.00
5/5/2007 11544.00 11115.00 11575.00
5/6/2007 11544.00 11115.00 11575.00
5/7/2007 11565.00 11144.00 11596.00
5/8/2007 11571.00 11132.00 11602.00
5/9/2007 11655.00 11171.00 11686.00
5/10/2007 11507.00 11017.00 11539.00
5/11/2007 11608.00 11124.00 11639.00
5/12/2007 11608.00 11124.00 11639.00
5/13/2007 11608.00 11124.00 11639.00
5/14/2007 11583.00 11105.00 11615.00
5/15/2007 11579.00 11091.00 11610.00
5/16/2007 11647.00 11190.00 11680.00
5/17/2007 11647.00 11181.00 11679.00
5/18/2007 11675.00 11255.00 11709.00
5/19/2007 11675.00 11255.00 11709.00
5/20/2007 11675.00 11255.00 11709.00
5/21/2007 11698.00 11272.00 11731.00
5/22/2007 11665.00 11265.00 11699.00
5/23/2007 11663.00 11252.00 11698.00
5/24/2007 11571.00 11144.00 11604.00
5/25/2007 11657.00 11205.00 11692.00
5/26/2007 11657.00 11205.00 11692.00
5/27/2007 11657.00 11205.00 11692.00
5/28/2007 11657.00 11205.00 11692.00
5/29/2007 11700.00 11224.00 11734.00
5/30/2007 11818.00 11318.00 11854.00
5/31/2007 11908.00 11321.00 11946.00
6/1/2007 11951.00 11363.00 11986.00
6/2/2007 11951.00 11363.00 11986.00
6/3/2007 11951.00 11363.00 11986.00
6/4/2007 11966.00 11384.00 12001.00
6/5/2007 11958.00 11324.00 11994.00
6/6/2007 11810.00 11226.00 11846.00
6/7/2007 11595.00 11030.00 11630.00
6/8/2007 11759.00 11155.00 11794.00
6/9/2007 11759.00 11155.00 11794.00
6/10/2007 11759.00 11155.00 11794.00
6/11/2007 11775.00 11166.00 11811.00
6/12/2007 11663.00 11047.00 11698.00
6/13/2007 11911.00 11217.00 11947.00
6/14/2007 11994.00 11272.00 12032.00
6/15/2007 12059.00 11345.00 12099.00
6/16/2007 12059.00 11345.00 12099.00
6/17/2007 12059.00 11345.00 12099.00
6/18/2007 12012.00 11332.00 12050.00
6/19/2007 12075.00 11352.00 12114.00
6/20/2007 11977.00 11197.00 12016.00
6/21/2007 12051.00 11269.00 12090.00
6/22/2007 11940.00 11124.00 11979.00
6/23/2007 11940.00 11124.00 11979.00
6/24/2007 11940.00 11124.00 11979.00
6/25/2007 11891.00 11088.00 11931.00
6/26/2007 11832.00 11053.00 11871.00
6/27/2007 11901.00 11154.00 11941.00
6/28/2007 11914.00 11150.00 11952.00
6/29/2007 11922.00 11133.00 11962.00
6/30/2007 11922.00 11133.00 11962.00
7/1/2007 11922.00 11133.00 11962.00
7/2/2007 11899.00 11252.00 12132.00
7/3/2007 12113.00 11294.00 12154.00
7/4/2007 12113.00 11294.00 12154.00
7/5/2007 12123.00 11298.00 12165.00
7/6/2007 12184.00 11339.00 12227.00
7/7/2007 12184.00 11339.00 12227.00
7/8/2007 12184.00 11339.00 12227.00
7/9/2007 12285.00 11349.00 12328.00
7/10/2007 12082.00 11188.00 12125.00
7/11/2007 12197.00 11254.00 12240.00
7/12/2007 12400.00 11468.00 12444.00
7/13/2007 12453.00 11504.00 12499.00
7/14/2007 12453.00 11504.00 12499.00
7/15/2007 12453.00 11504.00 12499.00
7/16/2007 12476.00 11482.00 12522.00
7/17/2007 12541.00 11481.00 12587.00
7/18/2007 12533.00 11458.00 12579.00
7/19/2007 12613.00 11510.00 12661.00
7/20/2007 12408.00 11369.00 12454.00
7/21/2007 12408.00 11369.00 12454.00
7/22/2007 12408.00 11369.00 12454.00
7/23/2007 12461.00 11425.00 12509.00
7/24/2007 12215.00 11199.00 12261.00
7/25/2007 12174.00 11251.00 12220.00
7/26/2007 11912.00 10988.00 11957.00
7/27/2007 11764.00 10814.00 11810.00
7/28/2007 11764.00 10814.00 11810.00
7/29/2007 11764.00 10814.00 11810.00
7/30/2007 11979.00 10925.00 12025.00
7/31/2007 11846.00 10787.00 11892.00
8/1/2007 11932.00 10866.00 11978.00
8/2/2007 12047.00 10916.00 12094.00
8/3/2007 11737.00 10627.00 11781.00
8/4/2007 11737.00 10627.00 11781.00
8/5/2007 11737.00 10627.00 11781.00
8/6/2007 11903.00 10884.00 11950.00
8/7/2007 11877.00 10951.00 11922.00
8/8/2007 11875.00 11109.00 11921.00
8/9/2007 11497.00 10781.00 11541.00
8/10/2007 11600.00 10786.00 11643.00
8/11/2007 11600.00 10786.00 11643.00
8/12/2007 11600.00 10786.00 11643.00
8/13/2007 11713.00 10782.00 11758.00
8/14/2007 11434.00 10587.00 11475.00
8/15/2007 11173.00 10443.00 11209.00
8/16/2007 11067.00 10477.00 11103.00
8/17/2007 11315.00 10735.00 11352.00
8/18/2007 11315.00 10735.00 11352.00
8/19/2007 11315.00 10735.00 11352.00
8/20/2007 11456.00 10732.00 11497.00
8/21/2007 11442.00 10744.00 11483.00
8/22/2007 11688.00 10870.00 11733.00
8/23/2007 11561.00 10858.00 11606.00
8/24/2007 11748.00 10985.00 11794.00
8/25/2007 11748.00 10985.00 11794.00
8/26/2007 11748.00 10985.00 11794.00
8/27/2007 11700.00 10892.00 11745.00
8/28/2007 11360.00 10636.00 11403.00
8/29/2007 11649.00 10872.00 11694.00
8/30/2007 11608.00 10827.00 11652.00
8/31/2007 11793.00 10949.00 11839.00
9/1/2007 11793.00 10949.00 11839.00
9/2/2007 11793.00 10949.00 11839.00
9/3/2007 11793.00 10949.00 11839.00
9/4/2007 11883.00 11064.00 11931.00
9/5/2007 11725.00 10942.00 11773.00
9/6/2007 11807.00 10990.00 11855.00
9/7/2007 11538.00 10804.00 11584.00
9/8/2007 11538.00 10804.00 11584.00
9/9/2007 11538.00 10804.00 11584.00
9/10/2007 11471.00 10791.00 11516.00
9/11/2007 11614.00 10938.00 11660.00
9/12/2007 11592.00 10942.00 11638.00
9/13/2007 11653.00 11034.00 11701.00
9/14/2007 11680.00 11037.00 11729.00
9/15/2007 11680.00 11037.00 11729.00
9/16/2007 11680.00 11037.00 11729.00
9/17/2007 11616.00 10980.00 11664.00
9/18/2007 12024.00 11301.00 12076.00
9/19/2007 12092.00 11370.00 12143.00
9/20/2007 12002.00 11296.00 12053.00
9/21/2007 12071.00 11348.00 12124.00
9/22/2007 12071.00 11348.00 12124.00
9/23/2007 12071.00 11348.00 12124.00
9/24/2007 11975.00 11289.00 12026.00
9/25/2007 12034.00 11285.00 12087.00
9/26/2007 12106.00 11348.00 12160.00
9/27/2007 12174.00 11393.00 12227.00
9/28/2007 12147.00 11359.00 12201.00
9/29/2007 12147.00 11359.00 12201.00
9/30/2007 12147.00 11359.00 12201.00
10/1/2007 12347.00 11510.00 12402.00
10/2/2007 12299.00 11507.00 12355.00
10/3/2007 12180.00 11457.00 12236.00
10/4/2007 12221.00 11481.00 12277.00
10/5/2007 12425.00 11594.00 12482.00
10/6/2007 12425.00 11594.00 12482.00
10/7/2007 12425.00 11594.00 12482.00
10/8/2007 12386.00 11557.00 12444.00
10/9/2007 12488.00 11650.00 12546.00
10/10/2007 12359.00 11631.00 12417.00
10/11/2007 12279.00 11572.00 12335.00
10/12/2007 12351.00 11627.00 12410.00
10/13/2007 12351.00 11627.00 12410.00
10/14/2007 12351.00 11627.00 12410.00
10/15/2007 12234.00 11530.00 12292.00
10/16/2007 12153.00 11454.00 12211.00
10/17/2007 12182.00 11475.00 12239.00
10/18/2007 12252.00 11467.00 12309.00
10/19/2007 11878.00 11173.00 11934.00
10/20/2007 11878.00 11173.00 11934.00
10/21/2007 11878.00 11173.00 11934.00
10/22/2007 11962.00 11216.00 12020.00
10/23/2007 12116.00 11315.00 12176.00
10/24/2007 12160.00 11287.00 12218.00
10/25/2007 12071.00 11276.00 12131.00
10/26/2007 12090.00 11432.00 12149.00
10/27/2007 12090.00 11432.00 12149.00
10/28/2007 12090.00 11432.00 12149.00
10/29/2007 12145.00 11476.00 12205.00
10/30/2007 12044.00 11402.00 12105.00
10/31/2007 12201.00 11539.00 12252.00
</Table>
TOTAL RETURNS FOR THE PERIOD ENDED OCTOBER 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
SINCE INCEPTION
(11/1/2006)
---------------
RYDEX S&P EQUAL WEIGHT INDUSTRIALS ETF............................ 22.00%
S&P 500 EQUAL WEIGHT INDUSTRIALS TOTAL RETURN INDEX............... 22.52%
S&P 500 TOTAL RETURN INDEX........................................ 15.39%
</Table>
The returns presented above do not reflect the effect of taxes. Index returns
represent total returns. Past performance is not guarantee of future results.
30
Rydex S&P Equal Weight Industrials ETF
PORTFOLIO SUMMARY As of October 31, 2007
- --------------------------------------------------------------------------------
TOP 10 HOLDINGS*
- --------------------------------------------------------------------------------
<Table>
<Caption>
DESCRIPTION % OF NET ASSETS
- ------------------------------------------------------------------------------------
MONSTER WORLDWIDE, INC. 2.22%
R.R. DONNELLEY & SONS CO. 2.17%
UNION PACIFIC CORP. 2.16%
TEXTRON, INC. 2.14%
FLUOR CORP. 2.13%
L-3 COMMUNICATIONS HOLDINGS, INC. 2.10%
CSX CORP. 2.10%
GENERAL DYNAMICS CORP. 2.06%
LOCKHEED MARTIN CORP. 2.05%
BURLINGTON NORTHERN SANTA FE CORP. 2.02%
- ------------------------------------------------------------------------------------
</Table>
INDUSTRY ALLOCATIONS*
(PIE CHART)
<Table>
Machinery Aerospace & Defense Commercial Services & Supplies
24.06 21.76 15.30
</Table>
<Table>
Machinery Road & Rail Air Freight & Logistics Electrical Equipment
24.06 10.01 7.46 5.86
</Table>
<Table>
Machinery Industrial Conglomerates Construction & Engineering
24.06 5.83 4.10
</Table>
<Table>
Machinery Building Products Trading Companies & Distributors
24.06 1.99 1.86
</Table>
<Table>
Machinery Airlines
24.06 1.77
</Table>
* The Fund's Top 10 Holdings are expressed as a percentage of net assets and the
Industry Allocations are expressed as a percentage of the Fund's investments
market value. These percentages may change over time.
31 ANNUAL REPORT
RYDEX S&P EQUAL WEIGHT MATERIALS ETF
MANAGER'S ANALYSIS
- --------------------------------------------------------------------------------
For the period since inception (November 1, 2006) through October 31, 2007,
Rydex S&P Equal Weight Materials ETF returned 24.02%. For the same period its
benchmark, the S&P Equal Weight Materials Total Return Index, returned 25.24%.
Stocks in the materials sector had a very good year. The ETF performed
negatively during the summer along with just about every fund but was able to
recapture the majority of the loss in the final three months due to strong
global demand for commodities. Metals & mining was the strongest performing
industry, up more than 48%. Containers & packaging stocks posted anemic gains of
less than 4%, trailing the rest of the sector.
CUMULATIVE FUND PERFORMANCE: NOVEMBER 1, 2006 - OCTOBER 31, 2007
(PERFORMANCE GRAPH)
<Table>
<Caption>
S&P 500
RYDEX S&P S&P 500 EQUAL WEIGHTED
EQUAL WEIGHT TOTAL RETURN MATERIALS TOTAL
MATERIALS ETF(A) INDEX(B) RETURN INDEX(C)
---------------- ------------ ---------------
11/1/2006 10000.00 10000.00 10001.00
11/2/2006 10064.00 9999.00 10064.00
11/3/2006 10019.00 9978.00 10019.00
11/4/2006 10019.00 9978.00 10019.00
11/5/2006 10019.00 9978.00 10019.00
11/6/2006 10132.00 10091.00 10133.00
11/7/2006 10116.00 10114.00 10116.00
11/8/2006 10167.00 10137.00 10167.00
11/9/2006 10233.00 10085.00 10234.00
11/10/2006 10165.00 10104.00 10167.00
11/11/2006 10165.00 10104.00 10167.00
11/12/2006 10165.00 10104.00 10167.00
11/13/2006 10260.00 10132.00 10262.00
11/14/2006 10277.00 10198.00 10279.00
11/15/2006 10301.00 10225.00 10303.00
11/16/2006 10273.00 10249.00 10274.00
11/17/2006 10291.00 10259.00 10294.00
11/18/2006 10291.00 10259.00 10294.00
11/19/2006 10291.00 10259.00 10294.00
11/20/2006 10384.00 10254.00 10387.00
11/21/2006 10452.00 10272.00 10456.00
11/22/2006 10547.00 10297.00 10552.00
11/23/2006 10547.00 10297.00 10552.00
11/24/2006 10551.00 10260.00 10556.00
11/25/2006 10551.00 10260.00 10556.00
11/26/2006 10551.00 10260.00 10556.00
11/27/2006 10394.00 10120.00 10397.00
11/28/2006 10386.00 10158.00 10391.00
11/29/2006 10516.00 10256.00 10521.00
11/30/2006 10555.00 10264.00 10561.00
12/1/2006 10485.00 10236.00 10491.00
12/2/2006 10485.00 10236.00 10491.00
12/3/2006 10485.00 10236.00 10491.00
12/4/2006 10671.00 10327.00 10676.00
12/5/2006 10729.00 10368.00 10735.00
12/6/2006 10725.00 10357.00 10731.00
12/7/2006 10762.00 10317.00 10768.00
12/8/2006 10807.00 10336.00 10814.00
12/9/2006 10807.00 10336.00 10814.00
12/10/2006 10807.00 10336.00 10814.00
12/11/2006 10768.00 10359.00 10774.00
12/12/2006 10636.00 10349.00 10642.00
12/13/2006 10677.00 10363.00 10684.00
12/14/2006 10739.00 10453.00 10746.00
12/15/2006 10809.00 10465.00 10817.00
12/16/2006 10809.00 10465.00 10817.00
12/17/2006 10809.00 10465.00 10817.00
12/18/2006 10706.00 10431.00 10714.00
12/19/2006 10783.00 10454.00 10791.00
12/20/2006 10745.00 10440.00 10753.00
12/21/2006 10624.00 10404.00 10633.00
12/22/2006 10578.00 10350.00 10587.00
12/23/2006 10578.00 10350.00 10587.00
12/24/2006 10578.00 10350.00 10587.00
12/25/2006 10578.00 10350.00 10587.00
12/26/2006 10673.00 10395.00 10683.00
12/27/2006 10795.00 10470.00 10805.00
12/28/2006 10758.00 10455.00 10767.00
12/29/2006 10690.00 10408.00 10699.00
12/30/2006 10690.00 10408.00 10699.00
12/31/2006 10690.00 10408.00 10699.00
1/1/2007 10690.00 10408.00 10699.00
1/2/2007 10690.00 10408.00 10699.00
1/3/2007 10652.00 10398.00 10662.00
1/4/2007 10562.00 10411.00 10572.00
1/5/2007 10502.00 10347.00 10512.00
1/6/2007 10502.00 10347.00 10512.00
1/7/2007 10502.00 10347.00 10512.00
1/8/2007 10526.00 10373.00 10538.00
1/9/2007 10520.00 10368.00 10531.00
1/10/2007 10568.00 10389.00 10580.00
1/11/2007 10715.00 10455.00 10726.00
1/12/2007 10820.00 10506.00 10833.00
1/13/2007 10820.00 10506.00 10833.00
1/14/2007 10820.00 10506.00 10833.00
1/15/2007 10820.00 10506.00 10833.00
1/16/2007 10814.00 10515.00 10828.00
1/17/2007 10835.00 10506.00 10848.00
1/18/2007 10777.00 10475.00 10791.00
1/19/2007 10918.00 10506.00 10931.00
1/20/2007 10918.00 10506.00 10931.00
1/21/2007 10918.00 10506.00 10931.00
1/22/2007 10814.00 10451.00 10828.00
1/23/2007 10978.00 10488.00 10991.00
1/24/2007 11054.00 10577.00 11069.00
1/25/2007 10965.00 10458.00 10980.00
1/26/2007 10967.00 10445.00 10983.00
1/27/2007 10967.00 10445.00 10983.00
1/28/2007 10967.00 10445.00 10983.00
1/29/2007 10945.00 10435.00 10960.00
1/30/2007 10963.00 10495.00 10978.00
1/31/2007 11090.00 10566.00 11105.00
2/1/2007 11170.00 10625.00 11186.00
2/2/2007 11166.00 10643.00 11182.00
2/3/2007 11166.00 10643.00 11182.00
2/4/2007 11166.00 10643.00 11182.00
2/5/2007 11116.00 10634.00 11134.00
2/6/2007 11179.00 10641.00 11195.00
2/7/2007 11187.00 10660.00 11203.00
2/8/2007 11170.00 10648.00 11188.00
2/9/2007 11127.00 10573.00 11145.00
2/10/2007 11127.00 10573.00 11145.00
2/11/2007 11127.00 10573.00 11145.00
2/12/2007 11137.00 10539.00 11155.00
2/13/2007 11365.00 10621.00 11384.00
2/14/2007 11425.00 10705.00 11444.00
2/15/2007 11487.00 10717.00 11506.00
2/16/2007 11508.00 10708.00 11529.00
2/17/2007 11508.00 10708.00 11529.00
2/18/2007 11508.00 10708.00 11529.00
2/19/2007 11508.00 10708.00 11529.00
2/20/2007 11553.00 10739.00 11574.00
2/21/2007 11705.00 10724.00 11726.00
2/22/2007 11649.00 10717.00 11671.00
2/23/2007 11651.00 10680.00 11674.00
2/24/2007 11651.00 10680.00 11674.00
2/25/2007 11651.00 10680.00 11674.00
2/26/2007 11758.00 10668.00 11781.00
2/27/2007 11278.00 10299.00 11297.00
2/28/2007 11334.00 10359.00 11356.00
3/1/2007 11276.00 10332.00 11297.00
3/2/2007 11087.00 10215.00 11108.00
3/3/2007 11087.00 10215.00 11108.00
3/4/2007 11087.00 10215.00 11108.00
3/5/2007 10943.00 10119.00 10963.00
3/6/2007 11150.00 10276.00 11171.00
3/7/2007 11123.00 10254.00 11143.00
3/8/2007 11266.00 10327.00 11287.00
3/9/2007 11313.00 10334.00 11335.00
3/10/2007 11313.00 10334.00 11335.00
3/11/2007 11313.00 10334.00 11335.00
3/12/2007 11361.00 10362.00 11384.00
3/13/2007 11073.00 10154.00 11095.00
3/14/2007 11160.00 10223.00 11183.00
3/15/2007 11303.00 10261.00 11326.00
3/16/2007 11214.00 10222.00 11236.00
3/17/2007 11214.00 10222.00 11236.00
3/18/2007 11214.00 10222.00 11236.00
3/19/2007 11377.00 10333.00 11399.00
3/20/2007 11462.00 10399.00 11486.00
3/21/2007 11615.00 10577.00 11640.00
3/22/2007 11586.00 10573.00 11609.00
3/23/2007 11628.00 10584.00 11653.00
3/24/2007 11628.00 10584.00 11653.00
3/25/2007 11628.00 10584.00 11653.00
3/26/2007 11702.00 10595.00 11728.00
3/27/2007 11589.00 10529.00 11613.00
3/28/2007 11479.00 10448.00 11503.00
3/29/2007 11549.00 10487.00 11574.00
3/30/2007 11533.00 10475.00 11558.00
3/31/2007 11533.00 10475.00 11558.00
4/1/2007 11533.00 10475.00 11558.00
4/2/2007 11591.00 10502.00 11616.00
4/3/2007 11713.00 10602.00 11740.00
4/4/2007 11717.00 10614.00 11744.00
4/5/2007 11707.00 10649.00 11734.00
4/6/2007 11707.00 10649.00 11734.00
4/7/2007 11707.00 10649.00 11734.00
4/8/2007 11707.00 10649.00 11734.00
4/9/2007 11800.00 10655.00 11827.00
4/10/2007 11736.00 10684.00 11763.00
4/11/2007 11649.00 10615.00 11676.00
4/12/2007 11746.00 10681.00 11774.00
4/13/2007 11769.00 10718.00 11798.00
4/14/2007 11769.00 10718.00 11798.00
4/15/2007 11769.00 10718.00 11798.00
4/16/2007 11919.00 10833.00 11949.00
4/17/2007 11859.00 10855.00 11888.00
4/18/2007 11786.00 10863.00 11815.00
4/19/2007 11788.00 10850.00 11817.00
4/20/2007 11919.00 10951.00 11950.00
4/21/2007 11919.00 10951.00 11950.00
4/22/2007 11919.00 10951.00 11950.00
4/23/2007 11902.00 10926.00 11932.00
4/24/2007 11805.00 10922.00 11834.00
4/25/2007 12000.00 11034.00 12032.00
4/26/2007 11981.00 11026.00 12012.00
4/27/2007 11962.00 11025.00 11993.00
4/28/2007 11962.00 11025.00 11993.00
4/29/2007 11962.00 11025.00 11993.00
4/30/2007 11780.00 10939.00 11811.00
5/1/2007 11707.00 10968.00 11738.00
5/2/2007 11819.00 11040.00 11851.00
5/3/2007 11904.00 11091.00 11937.00
5/4/2007 11950.00 11115.00 11982.00
5/5/2007 11950.00 11115.00 11982.00
5/6/2007 11950.00 11115.00 11982.00
5/7/2007 12052.00 11144.00 12085.00
5/8/2007 12039.00 11132.00 12072.00
5/9/2007 12126.00 11171.00 12160.00
5/10/2007 11910.00 11017.00 11943.00
5/11/2007 12025.00 11124.00 12059.00
5/12/2007 12025.00 11124.00 12059.00
5/13/2007 12025.00 11124.00 12059.00
5/14/2007 11973.00 11105.00 12006.00
5/15/2007 12050.00 11091.00 12084.00
5/16/2007 12070.00 11190.00 12105.00
5/17/2007 12066.00 11181.00 12101.00
5/18/2007 12145.00 11255.00 12180.00
5/19/2007 12145.00 11255.00 12180.00
5/20/2007 12145.00 11255.00 12180.00
5/21/2007 12158.00 11272.00 12194.00
5/22/2007 12135.00 11265.00 12170.00
5/23/2007 12120.00 11252.00 12156.00
5/24/2007 11973.00 11144.00 12008.00
5/25/2007 12116.00 11205.00 12152.00
5/26/2007 12116.00 11205.00 12152.00
5/27/2007 12116.00 11205.00 12152.00
5/28/2007 12116.00 11205.00 12152.00
5/29/2007 12089.00 11224.00 12125.00
5/30/2007 12236.00 11318.00 12275.00
5/31/2007 12284.00 11321.00 12322.00
6/1/2007 12403.00 11363.00 12442.00
6/2/2007 12403.00 11363.00 12442.00
6/3/2007 12403.00 11363.00 12442.00
6/4/2007 12382.00 11384.00 12420.00
6/5/2007 12330.00 11324.00 12369.00
6/6/2007 12176.00 11226.00 12214.00
6/7/2007 11896.00 11030.00 11933.00
6/8/2007 12099.00 11155.00 12138.00
6/9/2007 12099.00 11155.00 12138.00
6/10/2007 12099.00 11155.00 12138.00
6/11/2007 12006.00 11166.00 12044.00
6/12/2007 11873.00 11047.00 11911.00
6/13/2007 12137.00 11217.00 12176.00
6/14/2007 12218.00 11272.00 12258.00
6/15/2007 12329.00 11345.00 12370.00
6/16/2007 12329.00 11345.00 12370.00
6/17/2007 12329.00 11345.00 12370.00
6/18/2007 12319.00 11332.00 12361.00
6/19/2007 12381.00 11352.00 12405.00
6/20/2007 12173.00 11197.00 12266.00
6/21/2007 12275.00 11269.00 12372.00
6/22/2007 12167.00 11124.00 12263.00
6/23/2007 12167.00 11124.00 12263.00
6/24/2007 12167.00 11124.00 12263.00
6/25/2007 12068.00 11088.00 12161.00
6/26/2007 11949.00 11053.00 12043.00
6/27/2007 12026.00 11154.00 12120.00
6/28/2007 12051.00 11150.00 12145.00
6/29/2007 12122.00 11133.00 12216.00
6/30/2007 12122.00 11133.00 12216.00
7/1/2007 12122.00 11133.00 12216.00
7/2/2007 12301.00 11252.00 12400.00
7/3/2007 12313.00 11294.00 12411.00
7/4/2007 12313.00 11294.00 12411.00
7/5/2007 12363.00 11298.00 12462.00
7/6/2007 12417.00 11339.00 12517.00
7/7/2007 12417.00 11339.00 12517.00
7/8/2007 12417.00 11339.00 12517.00
7/9/2007 12411.00 11349.00 12510.00
7/10/2007 12219.00 11188.00 12317.00
7/11/2007 12353.00 11254.00 12453.00
7/12/2007 12638.00 11468.00 12741.00
7/13/2007 12727.00 11504.00 12831.00
7/14/2007 12727.00 11504.00 12831.00
7/15/2007 12727.00 11504.00 12831.00
7/16/2007 12611.00 11482.00 12715.00
7/17/2007 12698.00 11481.00 12803.00
7/18/2007 12754.00 11458.00 12860.00
7/19/2007 12804.00 11510.00 12910.00
7/20/2007 12588.00 11369.00 12693.00
7/21/2007 12588.00 11369.00 12693.00
7/22/2007 12588.00 11369.00 12693.00
7/23/2007 12644.00 11425.00 12749.00
7/24/2007 12469.00 11199.00 12573.00
7/25/2007 12350.00 11251.00 12454.00
7/26/2007 11945.00 10988.00 12043.00
7/27/2007 11697.00 10814.00 11793.00
7/28/2007 11697.00 10814.00 11793.00
7/29/2007 11697.00 10814.00 11793.00
7/30/2007 11953.00 10925.00 12051.00
7/31/2007 11826.00 10787.00 11922.00
8/1/2007 11864.00 10866.00 11962.00
8/2/2007 11832.00 10916.00 11931.00
8/3/2007 11522.00 10627.00 11616.00
8/4/2007 11522.00 10627.00 11616.00
8/5/2007 11522.00 10627.00 11616.00
8/6/2007 11683.00 10884.00 11779.00
8/7/2007 11680.00 10951.00 11776.00
8/8/2007 11903.00 11109.00 12003.00
8/9/2007 11522.00 10781.00 11618.00
8/10/2007 11591.00 10786.00 11688.00
8/11/2007 11591.00 10786.00 11688.00
8/12/2007 11591.00 10786.00 11688.00
8/13/2007 11593.00 10782.00 11691.00
8/14/2007 11306.00 10587.00 11399.00
8/15/2007 10969.00 10443.00 11057.00
8/16/2007 10915.00 10477.00 11003.00
8/17/2007 11158.00 10735.00 11250.00
8/18/2007 11158.00 10735.00 11250.00
8/19/2007 11158.00 10735.00 11250.00
8/20/2007 11279.00 10732.00 11373.00
8/21/2007 11325.00 10744.00 11419.00
8/22/2007 11649.00 10870.00 11749.00
8/23/2007 11564.00 10858.00 11663.00
8/24/2007 11743.00 10985.00 11844.00
8/25/2007 11743.00 10985.00 11844.00
8/26/2007 11743.00 10985.00 11844.00
8/27/2007 11624.00 10892.00 11726.00
8/28/2007 11289.00 10636.00 11385.00
8/29/2007 11556.00 10872.00 11656.00
8/30/2007 11524.00 10827.00 11625.00
8/31/2007 11676.00 10949.00 11778.00
9/1/2007 11676.00 10949.00 11778.00
9/2/2007 11676.00 10949.00 11778.00
9/3/2007 11676.00 10949.00 11778.00
9/4/2007 11741.00 11064.00 11843.00
9/5/2007 11612.00 10942.00 11713.00
9/6/2007 11714.00 10990.00 11816.00
9/7/2007 11450.00 10804.00 11549.00
9/8/2007 11450.00 10804.00 11549.00
9/9/2007 11450.00 10804.00 11549.00
9/10/2007 11304.00 10791.00 11402.00
9/11/2007 11443.00 10938.00 11542.00
9/12/2007 11425.00 10942.00 11525.00
9/13/2007 11545.00 11034.00 11647.00
9/14/2007 11599.00 11037.00 11703.00
9/15/2007 11599.00 11037.00 11703.00
9/16/2007 11599.00 11037.00 11703.00
9/17/2007 11558.00 10980.00 11661.00
9/18/2007 12043.00 11301.00 12154.00
9/19/2007 12192.00 11370.00 12305.00
9/20/2007 12149.00 11296.00 12262.00
9/21/2007 12221.00 11348.00 12335.00
9/22/2007 12221.00 11348.00 12335.00
9/23/2007 12221.00 11348.00 12335.00
9/24/2007 12146.00 11289.00 12259.00
9/25/2007 12115.00 11285.00 12226.00
9/26/2007 12209.00 11348.00 12322.00
9/27/2007 12356.00 11393.00 12472.00
9/28/2007 12273.00 11359.00 12387.00
9/29/2007 12273.00 11359.00 12387.00
9/30/2007 12273.00 11359.00 12387.00
10/1/2007 12469.00 11510.00 12586.00
10/2/2007 12463.00 11507.00 12580.00
10/3/2007 12342.00 11457.00 12459.00
10/4/2007 12327.00 11481.00 12444.00
10/5/2007 12578.00 11594.00 12698.00
10/6/2007 12578.00 11594.00 12698.00
10/7/2007 12578.00 11594.00 12698.00
10/8/2007 12498.00 11557.00 12619.00
10/9/2007 12676.00 11650.00 12797.00
10/10/2007 12540.00 11631.00 12661.00
10/11/2007 12480.00 11572.00 12599.00
10/12/2007 12544.00 11627.00 12667.00
10/13/2007 12544.00 11627.00 12667.00
10/14/2007 12544.00 11627.00 12667.00
10/15/2007 12419.00 11530.00 12539.00
10/16/2007 12246.00 11454.00 12366.00
10/17/2007 12263.00 11475.00 12383.00
10/18/2007 12363.00 11467.00 12483.00
10/19/2007 12081.00 11173.00 12198.00
10/20/2007 12081.00 11173.00 12198.00
10/21/2007 12081.00 11173.00 12198.00
10/22/2007 12052.00 11216.00 12170.00
10/23/2007 12127.00 11315.00 12244.00
10/24/2007 12181.00 11287.00 12299.00
10/25/2007 12156.00 11276.00 12275.00
10/26/2007 12296.00 11432.00 12415.00
10/27/2007 12296.00 11432.00 12415.00
10/28/2007 12296.00 11432.00 12415.00
10/29/2007 12394.00 11476.00 12514.00
10/30/2007 12177.00 11402.00 12296.00
10/31/2007 12402.00 11539.00 12524.00
</Table>
TOTAL RETURNS FOR THE PERIOD ENDED OCTOBER 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
SINCE INCEPTION
(11/1/2006)
---------------
RYDEX S&P EQUAL WEIGHT MATERIALS ETF.............................. 24.02%
S&P 500 EQUAL WEIGHT MATERIALS TOTAL RETURN INDEX................. 25.24%
S&P 500 TOTAL RETURN INDEX........................................ 15.39%
</Table>
The returns presented above do not reflect the effect of taxes. Index returns
represent total returns. Past performance is not guarantee of future results.
32
Rydex S&P Equal Weight Materials ETF
PORTFOLIO SUMMARY As of October 31, 2007
- --------------------------------------------------------------------------------
TOP 10 HOLDINGS*
- --------------------------------------------------------------------------------
<Table>
<Caption>
DESCRIPTION % OF NET ASSETS
- ------------------------------------------------------------------------------------
MONSANTO CO. 4.25%
SIGMA-ALDRICH CORP. 3.71%
MEADWESTVACO CORP. 3.70%
FREEPORT-MCMORAN COPPER & GOLD, INC. 3.68%
NEWMONT MINING CORP. (HOLDING CO.) 3.64%
NUCOR CORP. 3.61%
ALCOA, INC. 3.60%
WEYERHAEUSER CO. 3.59%
PRAXAIR, INC. 3.56%
AIR PRODUCTS & CHEMICALS, INC. 3.52%
- ------------------------------------------------------------------------------------
</Table>
INDUSTRY ALLOCATIONS*
(PIE CHART)
<Table>
Chemicals Metals & Mining Containers & Packaging
44.84 24.74 16.22
</Table>
<Table>
Chemicals Paper & Forest Products Construction Materials
44.84 10.79 3.41
</Table>
* The Fund's Top 10 Holdings are expressed as a percentage of net assets and the
Industry Allocations are expressed as a percentage of the Fund's investments
market value. These percentages may change over time.
33 ANNUAL REPORT
RYDEX S&P EQUAL WEIGHT TECHNOLOGY ETF
MANAGER'S ANALYSIS
- --------------------------------------------------------------------------------
For the period since inception (November 1, 2006) through October 31, 2007,
Rydex S&P Equal Weight Technology ETF returned 15.44%. For the same period, its
benchmark, the S&P Equal Weight Technology Total Return Index, handed in a
16.01% return.
Technology stocks experienced some volatility but finished the fiscal year with
a reasonable return more in line with major indices. Despite the rising market
volatility, which can negatively impact this sector, it outperformed the overall
market. This outperformance coincides with the general trend of a style shift
moving from value to growth. U.S. Dollar weakness also has helped this sector
since many companies in the sector have a large portion of revenue come from the
overseas market.
CUMULATIVE FUND PERFORMANCE: NOVEMBER 1, 2006 - OCTOBER 31, 2007
(PERFORMANCE GRAPH)
<Table>
<Caption>
S&P 500
EQUAL WEIGHTED
RYDEX S&P S&P 500 INFORMATION TECHNOLOGY
EQUAL WEIGHT TOTAL RETURN TOTAL RETURN
TECHNOLOGY ETF(A) INDEX(B) INDEX(C)
----------------- ------------ ----------------------
11/1/2006 10000.00 10000.00 10001.00
11/2/2006 10008.00 9999.00 10011.00
11/3/2006 10010.00 9978.00 10013.00
11/4/2006 10010.00 9978.00 10013.00
11/5/2006 10010.00 9978.00 10013.00
11/6/2006 10169.00 10091.00 10172.00
11/7/2006 10228.00 10114.00 10231.00
11/8/2006 10266.00 10137.00 10269.00
11/9/2006 10249.00 10085.00 10253.00
11/10/2006 10312.00 10104.00 10315.00
11/11/2006 10312.00 10104.00 10315.00
11/12/2006 10312.00 10104.00 10315.00
11/13/2006 10423.00 10132.00 10426.00
11/14/2006 10548.00 10198.00 10551.00
11/15/2006 10561.00 10225.00 10566.00
11/16/2006 10592.00 10249.00 10597.00
11/17/2006 10579.00 10259.00 10585.00
11/18/2006 10579.00 10259.00 10585.00
11/19/2006 10579.00 10259.00 10585.00
11/20/2006 10594.00 10254.00 10599.00
11/21/2006 10596.00 10272.00 10601.00
11/22/2006 10697.00 10297.00 10703.00
11/23/2006 10697.00 10297.00 10703.00
11/24/2006 10665.00 10260.00 10671.00
11/25/2006 10665.00 10260.00 10671.00
11/26/2006 10665.00 10260.00 10671.00
11/27/2006 10400.00 10120.00 10406.00
11/28/2006 10397.00 10158.00 10403.00
11/29/2006 10439.00 10256.00 10445.00
11/30/2006 10485.00 10264.00 10492.00
12/1/2006 10400.00 10236.00 10408.00
12/2/2006 10400.00 10236.00 10408.00
12/3/2006 10400.00 10236.00 10408.00
12/4/2006 10527.00 10327.00 10536.00
12/5/2006 10569.00 10368.00 10577.00
12/6/2006 10523.00 10357.00 10532.00
12/7/2006 10427.00 10317.00 10434.00
12/8/2006 10441.00 10336.00 10451.00
12/9/2006 10441.00 10336.00 10451.00
12/10/2006 10441.00 10336.00 10451.00
12/11/2006 10446.00 10359.00 10454.00
12/12/2006 10395.00 10349.00 10404.00
12/13/2006 10372.00 10363.00 10381.00
12/14/2006 10527.00 10453.00 10536.00
12/15/2006 10527.00 10465.00 10538.00
12/16/2006 10527.00 10465.00 10538.00
12/17/2006 10527.00 10465.00 10538.00
12/18/2006 10456.00 10431.00 10468.00
12/19/2006 10404.00 10454.00 10415.00
12/20/2006 10423.00 10440.00 10433.00
12/21/2006 10339.00 10404.00 10350.00
12/22/2006 10262.00 10350.00 10274.00
12/23/2006 10262.00 10350.00 10274.00
12/24/2006 10262.00 10350.00 10274.00
12/25/2006 10262.00 10350.00 10274.00
12/26/2006 10316.00 10395.00 10329.00
12/27/2006 10387.00 10470.00 10399.00
12/28/2006 10358.00 10455.00 10370.00
12/29/2006 10316.00 10408.00 10329.00
12/30/2006 10316.00 10408.00 10329.00
12/31/2006 10316.00 10408.00 10329.00
1/1/2007 10316.00 10408.00 10329.00
1/2/2007 10316.00 10408.00 10329.00
1/3/2007 10328.00 10398.00 10342.00
1/4/2007 10513.00 10411.00 10526.00
1/5/2007 10425.00 10347.00 10439.00
1/6/2007 10425.00 10347.00 10439.00
1/7/2007 10425.00 10347.00 10439.00
1/8/2007 10435.00 10373.00 10448.00
1/9/2007 10469.00 10368.00 10483.00
1/10/2007 10546.00 10389.00 10561.00
1/11/2007 10590.00 10455.00 10605.00
1/12/2007 10611.00 10506.00 10625.00
1/13/2007 10611.00 10506.00 10625.00
1/14/2007 10611.00 10506.00 10625.00
1/15/2007 10611.00 10506.00 10625.00
1/16/2007 10582.00 10515.00 10595.00
1/17/2007 10492.00 10506.00 10506.00
1/18/2007 10268.00 10475.00 10282.00
1/19/2007 10301.00 10506.00 10315.00
1/20/2007 10301.00 10506.00 10315.00
1/21/2007 10301.00 10506.00 10315.00
1/22/2007 10211.00 10451.00 10225.00
1/23/2007 10224.00 10488.00 10239.00
1/24/2007 10379.00 10577.00 10394.00
1/25/2007 10287.00 10458.00 10301.00
1/26/2007 10335.00 10445.00 10351.00
1/27/2007 10335.00 10445.00 10351.00
1/28/2007 10335.00 10445.00 10351.00
1/29/2007 10297.00 10435.00 10313.00
1/30/2007 10343.00 10495.00 10359.00
1/31/2007 10370.00 10566.00 10386.00
2/1/2007 10412.00 10625.00 10428.00
2/2/2007 10473.00 10643.00 10488.00
2/3/2007 10473.00 10643.00 10488.00
2/4/2007 10473.00 10643.00 10488.00
2/5/2007 10467.00 10634.00 10484.00
2/6/2007 10456.00 10641.00 10473.00
2/7/2007 10575.00 10660.00 10593.00
2/8/2007 10598.00 10648.00 10615.00
2/9/2007 10462.00 10573.00 10479.00
2/10/2007 10462.00 10573.00 10479.00
2/11/2007 10462.00 10573.00 10479.00
2/12/2007 10418.00 10539.00 10435.00
2/13/2007 10462.00 10621.00 10480.00
2/14/2007 10632.00 10705.00 10651.00
2/15/2007 10692.00 10717.00 10710.00
2/16/2007 10674.00 10708.00 10693.00
2/17/2007 10674.00 10708.00 10693.00
2/18/2007 10674.00 10708.00 10693.00
2/19/2007 10674.00 10708.00 10693.00
2/20/2007 10724.00 10739.00 10743.00
2/21/2007 10711.00 10724.00 10731.00
2/22/2007 10799.00 10717.00 10818.00
2/23/2007 10831.00 10680.00 10852.00
2/24/2007 10831.00 10680.00 10852.00
2/25/2007 10831.00 10680.00 10852.00
2/26/2007 10778.00 10668.00 10799.00
2/27/2007 10374.00 10299.00 10395.00
2/28/2007 10431.00 10359.00 10451.00
3/1/2007 10354.00 10332.00 10372.00
3/2/2007 10167.00 10215.00 10187.00
3/3/2007 10167.00 10215.00 10187.00
3/4/2007 10167.00 10215.00 10187.00
3/5/2007 10079.00 10119.00 10098.00
3/6/2007 10255.00 10276.00 10276.00
3/7/2007 10199.00 10254.00 10220.00
3/8/2007 10291.00 10327.00 10311.00
3/9/2007 10316.00 10334.00 10337.00
3/10/2007 10316.00 10334.00 10337.00
3/11/2007 10316.00 10334.00 10337.00
3/12/2007 10387.00 10362.00 10407.00
3/13/2007 10172.00 10154.00 10193.00
3/14/2007 10280.00 10223.00 10303.00
3/15/2007 10305.00 10261.00 10326.00
3/16/2007 10266.00 10222.00 10288.00
3/17/2007 10266.00 10222.00 10288.00
3/18/2007 10266.00 10222.00 10288.00
3/19/2007 10299.00 10333.00 10323.00
3/20/2007 10383.00 10399.00 10407.00
3/21/2007 10582.00 10577.00 10605.00
3/22/2007 10515.00 10573.00 10539.00
3/23/2007 10513.00 10584.00 10537.00
3/24/2007 10513.00 10584.00 10537.00
3/25/2007 10513.00 10584.00 10537.00
3/26/2007 10546.00 10595.00 10571.00
3/27/2007 10504.00 10529.00 10528.00
3/28/2007 10404.00 10448.00 10429.00
3/29/2007 10349.00 10487.00 10375.00
3/30/2007 10377.00 10475.00 10401.00
3/31/2007 10377.00 10475.00 10401.00
4/1/2007 10377.00 10475.00 10401.00
4/2/2007 10429.00 10502.00 10456.00
4/3/2007 10523.00 10602.00 10551.00
4/4/2007 10556.00 10614.00 10585.00
4/5/2007 10615.00 10649.00 10644.00
4/6/2007 10615.00 10649.00 10644.00
4/7/2007 10615.00 10649.00 10644.00
4/8/2007 10615.00 10649.00 10644.00
4/9/2007 10584.00 10655.00 10612.00
4/10/2007 10611.00 10684.00 10640.00
4/11/2007 10523.00 10615.00 10552.00
4/12/2007 10605.00 10681.00 10634.00
4/13/2007 10613.00 10718.00 10642.00
4/14/2007 10613.00 10718.00 10642.00
4/15/2007 10613.00 10718.00 10642.00
4/16/2007 10690.00 10833.00 10720.00
4/17/2007 10699.00 10855.00 10729.00
4/18/2007 10751.00 10863.00 10782.00
4/19/2007 10738.00 10850.00 10770.00
4/20/2007 10814.00 10951.00 10845.00
4/21/2007 10814.00 10951.00 10845.00
4/22/2007 10814.00 10951.00 10845.00
4/23/2007 10810.00 10926.00 10840.00
4/24/2007 10908.00 10922.00 10939.00
4/25/2007 10987.00 11034.00 11020.00
4/26/2007 11021.00 11026.00 11053.00
4/27/2007 10977.00 11025.00 11009.00
4/28/2007 10977.00 11025.00 11009.00
4/29/2007 10977.00 11025.00 11009.00
4/30/2007 10839.00 10939.00 10872.00
5/1/2007 10856.00 10968.00 10889.00
5/2/2007 10939.00 11040.00 10972.00
5/3/2007 10977.00 11091.00 11011.00
5/4/2007 10985.00 11115.00 11019.00
5/5/2007 10985.00 11115.00 11019.00
5/6/2007 10985.00 11115.00 11019.00
5/7/2007 10964.00 11144.00 10998.00
5/8/2007 10977.00 11132.00 11011.00
5/9/2007 11052.00 11171.00 11087.00
5/10/2007 10885.00 11017.00 10918.00
5/11/2007 11038.00 11124.00 11072.00
5/12/2007 11038.00 11124.00 11072.00
5/13/2007 11038.00 11124.00 11072.00
5/14/2007 10985.00 11105.00 11021.00
5/15/2007 10879.00 11091.00 10914.00
5/16/2007 10975.00 11190.00 11009.00
5/17/2007 10914.00 11181.00 10948.00
5/18/2007 11010.00 11255.00 11046.00
5/19/2007 11010.00 11255.00 11046.00
5/20/2007 11010.00 11255.00 11046.00
5/21/2007 11063.00 11272.00 11099.00
5/22/2007 11096.00 11265.00 11133.00
5/23/2007 11002.00 11252.00 11038.00
5/24/2007 10801.00 11144.00 10836.00
5/25/2007 10897.00 11205.00 10935.00
5/26/2007 10897.00 11205.00 10935.00
5/27/2007 10897.00 11205.00 10935.00
5/28/2007 10897.00 11205.00 10935.00
5/29/2007 10962.00 11224.00 11000.00
5/30/2007 11027.00 11318.00 11065.00
5/31/2007 11144.00 11321.00 11178.00
6/1/2007 11176.00 11363.00 11209.00
6/2/2007 11176.00 11363.00 11209.00
6/3/2007 11176.00 11363.00 11209.00
6/4/2007 11232.00 11384.00 11266.00
6/5/2007 11188.00 11324.00 11225.00
6/6/2007 11103.00 11226.00 11139.00
6/7/2007 10927.00 11030.00 10963.00
6/8/2007 11105.00 11155.00 11142.00
6/9/2007 11105.00 11155.00 11142.00
6/10/2007 11105.00 11155.00 11142.00
6/11/2007 11094.00 11166.00 11130.00
6/12/2007 11000.00 11047.00 11037.00
6/13/2007 11153.00 11217.00 11189.00
6/14/2007 11205.00 11272.00 11243.00
6/15/2007 11274.00 11345.00 11312.00
6/16/2007 11274.00 11345.00 11312.00
6/17/2007 11274.00 11345.00 11312.00
6/18/2007 11282.00 11332.00 11317.00
6/19/2007 11268.00 11352.00 11307.00
6/20/2007 11174.00 11197.00 11211.00
6/21/2007 11356.00 11269.00 11395.00
6/22/2007 11234.00 11124.00 11273.00
6/23/2007 11234.00 11124.00 11273.00
6/24/2007 11234.00 11124.00 11273.00
6/25/2007 11163.00 11088.00 11202.00
6/26/2007 11126.00 11053.00 11164.00
6/27/2007 11291.00 11154.00 11331.00
6/28/2007 11262.00 11150.00 11300.00
6/29/2007 11205.00 11133.00 11245.00
6/30/2007 11205.00 11133.00 11245.00
7/1/2007 11205.00 11133.00 11245.00
7/2/2007 11305.00 11252.00 11347.00
7/3/2007 11331.00 11294.00 11373.00
7/4/2007 11331.00 11294.00 11373.00
7/5/2007 11389.00 11298.00 11431.00
7/6/2007 11454.00 11339.00 11496.00
7/7/2007 11454.00 11339.00 11496.00
7/8/2007 11454.00 11339.00 11496.00
7/9/2007 11477.00 11349.00 11519.00
7/10/2007 11393.00 11188.00 11436.00
7/11/2007 11427.00 11254.00 11469.00
7/12/2007 11649.00 11468.00 11692.00
7/13/2007 11640.00 11504.00 11683.00
7/14/2007 11640.00 11504.00 11683.00
7/15/2007 11640.00 11504.00 11683.00
7/16/2007 11638.00 11482.00 11681.00
7/17/2007 11718.00 11481.00 11760.00
7/18/2007 11634.00 11458.00 11676.00
7/19/2007 11778.00 11510.00 11822.00
7/20/2007 11657.00 11369.00 11700.00
7/21/2007 11657.00 11369.00 11700.00
7/22/2007 11657.00 11369.00 11700.00
7/23/2007 11672.00 11425.00 11716.00
7/24/2007 11473.00 11199.00 11516.00
7/25/2007 11446.00 11251.00 11488.00
7/26/2007 11190.00 10988.00 11232.00
7/27/2007 10958.00 10814.00 10998.00
7/28/2007 10958.00 10814.00 10998.00
7/29/2007 10958.00 10814.00 10998.00
7/30/2007 11063.00 10925.00 11103.00
7/31/2007 10881.00 10787.00 10922.00
8/1/2007 10921.00 10866.00 10962.00
8/2/2007 10969.00 10916.00 11011.00
8/3/2007 10657.00 10627.00 10698.00
8/4/2007 10657.00 10627.00 10698.00
8/5/2007 10657.00 10627.00 10698.00
8/6/2007 10780.00 10884.00 10821.00
8/7/2007 10772.00 10951.00 10814.00
8/8/2007 10931.00 11109.00 10973.00
8/9/2007 10686.00 10781.00 10725.00
8/10/2007 10726.00 10786.00 10767.00
8/11/2007 10726.00 10786.00 10767.00
8/12/2007 10726.00 10786.00 10767.00
8/13/2007 10789.00 10782.00 10830.00
8/14/2007 10594.00 10587.00 10634.00
8/15/2007 10374.00 10443.00 10414.00
8/16/2007 10320.00 10477.00 10359.00
8/17/2007 10527.00 10735.00 10568.00
8/18/2007 10527.00 10735.00 10568.00
8/19/2007 10527.00 10735.00 10568.00
8/20/2007 10554.00 10732.00 10596.00
8/21/2007 10617.00 10744.00 10659.00
8/22/2007 10745.00 10870.00 10789.00
8/23/2007 10711.00 10858.00 10755.00
8/24/2007 10837.00 10985.00 10881.00
8/25/2007 10837.00 10985.00 10881.00
8/26/2007 10837.00 10985.00 10881.00
8/27/2007 10751.00 10892.00 10796.00
8/28/2007 10508.00 10636.00 10551.00
8/29/2007 10768.00 10872.00 10812.00
8/30/2007 10789.00 10827.00 10833.00
8/31/2007 10908.00 10949.00 10953.00
9/1/2007 10908.00 10949.00 10953.00
9/2/2007 10908.00 10949.00 10953.00
9/3/2007 10908.00 10949.00 10953.00
9/4/2007 11073.00 11064.00 11118.00
9/5/2007 10954.00 10942.00 10999.00
9/6/2007 11017.00 10990.00 11064.00
9/7/2007 10782.00 10804.00 10828.00
9/8/2007 10782.00 10804.00 10828.00
9/9/2007 10782.00 10804.00 10828.00
9/10/2007 10774.00 10791.00 10819.00
9/11/2007 10929.00 10938.00 10975.00
9/12/2007 10847.00 10942.00 10894.00
9/13/2007 10833.00 11034.00 10879.00
9/14/2007 10822.00 11037.00 10869.00
9/15/2007 10822.00 11037.00 10869.00
9/16/2007 10822.00 11037.00 10869.00
9/17/2007 10757.00 10980.00 10804.00
9/18/2007 11008.00 11301.00 11056.00
9/19/2007 11059.00 11370.00 11107.00
9/20/2007 11044.00 11296.00 11092.00
9/21/2007 11069.00 11348.00 11117.00
9/22/2007 11069.00 11348.00 11117.00
9/23/2007 11069.00 11348.00 11117.00
9/24/2007 11025.00 11289.00 11074.00
9/25/2007 11111.00 11285.00 11161.00
9/26/2007 11134.00 11348.00 11184.00
9/27/2007 11163.00 11393.00 11214.00
9/28/2007 11149.00 11359.00 11201.00
9/29/2007 11149.00 11359.00 11201.00
9/30/2007 11149.00 11359.00 11201.00
10/1/2007 11310.00 11510.00 11363.00
10/2/2007 11354.00 11507.00 11408.00
10/3/2007 11274.00 11457.00 11326.00
10/4/2007 11274.00 11481.00 11326.00
10/5/2007 11418.00 11594.00 11473.00
10/6/2007 11418.00 11594.00 11473.00
10/7/2007 11418.00 11594.00 11473.00
10/8/2007 11464.00 11557.00 11518.00
10/9/2007 11498.00 11650.00 11552.00
10/10/2007 11527.00 11631.00 11581.00
10/11/2007 11364.00 11572.00 11417.00
10/12/2007 11510.00 11627.00 11566.00
10/13/2007 11510.00 11627.00 11566.00
10/14/2007 11510.00 11627.00 11566.00
10/15/2007 11483.00 11530.00 11539.00
10/16/2007 11400.00 11454.00 11457.00
10/17/2007 11517.00 11475.00 11573.00
10/18/2007 11527.00 11467.00 11584.00
10/19/2007 11205.00 11173.00 11261.00
10/20/2007 11205.00 11173.00 11261.00
10/21/2007 11205.00 11173.00 11261.00
10/22/2007 11318.00 11216.00 11374.00
10/23/2007 11397.00 11315.00 11453.00
10/24/2007 11243.00 11287.00 11298.00
10/25/2007 11174.00 11276.00 11227.00
10/26/2007 11328.00 11432.00 11383.00
10/27/2007 11328.00 11432.00 11383.00
10/28/2007 11328.00 11432.00 11383.00
10/29/2007 11391.00 11476.00 11447.00
10/30/2007 11410.00 11402.00 11466.00
10/31/2007 11544.00 11539.00 11601.00
</Table>
TOTAL RETURNS FOR THE PERIOD ENDED OCTOBER 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
SINCE INCEPTION
(11/1/2006)
---------------
RYDEX S&P EQUAL WEIGHT TECHNOLOGY ETF............................. 15.44%
S&P 500 EQUAL WEIGHT TECHNOLOGY TOTAL RETURN INDEX................ 16.01%
S&P 500 TOTAL RETURN INDEX........................................ 15.39%
</Table>
The returns presented above do not reflect the effect of taxes. Index returns
represent total returns. Past performance is not guarantee of future results.
34
Rydex S&P Equal Weight Technology ETF
PORTFOLIO SUMMARY As of October 31, 2007
- --------------------------------------------------------------------------------
TOP 10 HOLDINGS*
- --------------------------------------------------------------------------------
<Table>
<Caption>
DESCRIPTION % OF NET ASSETS
- ------------------------------------------------------------------------------------
APPLE, INC. 1.93%
EMC CORP. 1.91%
AKAMAI TECHNOLOGIES, INC. 1.86%
MICROSOFT CORP. 1.83%
GOOGLE, INC. -- CLASS A 1.83%
CIENA CORP. 1.82%
MEMC ELECTRONIC MATERIALS, INC. 1.79%
COMPUWARE CORP. 1.78%
TEKTRONIX, INC. 1.76%
QLOGIC CORP. 1.75%
- ------------------------------------------------------------------------------------
</Table>
INDUSTRY ALLOCATIONS*
(PIE CHART)
<Table>
Semiconductors & Semiconductor Equipment Software Computers & Peripherals IT Services
21.71 18.55 15.91 14.79
</Table>
<Table>
Semiconductors & Semiconductor Equipment Communications Equipment Internet Software & Services
21.71 11.99 8.19
</Table>
<Table>
Semiconductors & Semiconductor Equipment Electronic Equipment & Instruments Office Electronics
21.71 7.42 1.44
</Table>
* The Fund's Top 10 Holdings are expressed as a percentage of net assets and the
Industry Allocations are expressed as a percentage of the Fund's investments
market value. These percentages may change over time.
35 ANNUAL REPORT
RYDEX S&P EQUAL WEIGHT UTILITIES ETF
MANAGER'S ANALYSIS
- --------------------------------------------------------------------------------
For the period since inception (November 1, 2006) through October 31, 2007,
Rydex S&P Equal Weight Utilities ETF returned 16.41%.For the same period its
benchmark, the S&P Equal Weight Utilities Total Return Index, delivered a 17.01%
return.
This ETF performed well over the year, with returns peaking in May during the
emergence of sub-prime mortgage concerns. The ETF never recaptured all the
losses but still performed reasonably well. Telecommunication stocks
underperformed energy utilities. Independent power producers and energy traders
as well as electric utilities were the best performing industries, rising more
than 20% each. Diversified and wireless telecommunications, although up
approximately 10% each, were the worst performers.
CUMULATIVE FUND PERFORMANCE: NOVEMBER 1, 2006 - OCTOBER 31, 2007
(PERFORMANCE GRAPH)
<Table>
<Caption>
S&P 500
EQUAL WEIGHTED
RYDEX S&P S&P 500 UTILITIES &
EQUAL WEIGHT TOTAL RETURN TELECOMMUNICATIONS TOTAL
UTILITIES ETF(A) INDEX(B) RETURN INDEX(C)
---------------- ------------ ------------------------
11/1/2006 10000.00 10000.00 10000.00
11/2/2006 9978.00 9999.00 9977.00
11/3/2006 9938.00 9978.00 9938.00
11/4/2006 9938.00 9978.00 9938.00
11/5/2006 9938.00 9978.00 9938.00
11/6/2006 9964.00 10091.00 9964.00
11/7/2006 9969.00 10114.00 9970.00
11/8/2006 10020.00 10137.00 10021.00
11/9/2006 9993.00 10085.00 9992.00
11/10/2006 10031.00 10104.00 10032.00
11/11/2006 10031.00 10104.00 10032.00
11/12/2006 10031.00 10104.00 10032.00
11/13/2006 10053.00 10132.00 10054.00
11/14/2006 10076.00 10198.00 10077.00
11/15/2006 10044.00 10225.00 10044.00
11/16/2006 10086.00 10249.00 10086.00
11/17/2006 10106.00 10259.00 10107.00
11/18/2006 10106.00 10259.00 10107.00
11/19/2006 10106.00 10259.00 10107.00
11/20/2006 10084.00 10254.00 10085.00
11/21/2006 10080.00 10272.00 10083.00
11/22/2006 10091.00 10297.00 10093.00
11/23/2006 10091.00 10297.00 10093.00
11/24/2006 10104.00 10260.00 10106.00
11/25/2006 10104.00 10260.00 10106.00
11/26/2006 10104.00 10260.00 10106.00
11/27/2006 10004.00 10120.00 10006.00
11/28/2006 10067.00 10158.00 10069.00
11/29/2006 10222.00 10256.00 10225.00
11/30/2006 10259.00 10264.00 10262.00
12/1/2006 10270.00 10236.00 10274.00
12/2/2006 10270.00 10236.00 10274.00
12/3/2006 10270.00 10236.00 10274.00
12/4/2006 10368.00 10327.00 10372.00
12/5/2006 10381.00 10368.00 10386.00
12/6/2006 10342.00 10357.00 10348.00
12/7/2006 10302.00 10317.00 10307.00
12/8/2006 10288.00 10336.00 10292.00
12/9/2006 10288.00 10336.00 10292.00
12/10/2006 10288.00 10336.00 10292.00
12/11/2006 10322.00 10359.00 10327.00
12/12/2006 10373.00 10349.00 10380.00
12/13/2006 10399.00 10363.00 10405.00
12/14/2006 10437.00 10453.00 10443.00
12/15/2006 10441.00 10465.00 10448.00
12/16/2006 10441.00 10465.00 10448.00
12/17/2006 10441.00 10465.00 10448.00
12/18/2006 10372.00 10431.00 10379.00
12/19/2006 10410.00 10454.00 10417.00
12/20/2006 10384.00 10440.00 10392.00
12/21/2006 10373.00 10404.00 10382.00
12/22/2006 10348.00 10350.00 10355.00
12/23/2006 10348.00 10350.00 10355.00
12/24/2006 10348.00 10350.00 10355.00
12/25/2006 10348.00 10350.00 10355.00
12/26/2006 10413.00 10395.00 10422.00
12/27/2006 10467.00 10470.00 10476.00
12/28/2006 10444.00 10455.00 10453.00
12/29/2006 10437.00 10408.00 10446.00
12/30/2006 10437.00 10408.00 10446.00
12/31/2006 10437.00 10408.00 10446.00
1/1/2007 10437.00 10408.00 10446.00
1/2/2007 10437.00 10408.00 10446.00
1/3/2007 10475.00 10398.00 10481.00
1/4/2007 10446.00 10411.00 10451.00
1/5/2007 10284.00 10347.00 10288.00
1/6/2007 10284.00 10347.00 10288.00
1/7/2007 10284.00 10347.00 10288.00
1/8/2007 10274.00 10373.00 10281.00
1/9/2007 10243.00 10368.00 10249.00
1/10/2007 10263.00 10389.00 10269.00
1/11/2007 10274.00 10455.00 10281.00
1/12/2007 10229.00 10506.00 10236.00
1/13/2007 10229.00 10506.00 10236.00
1/14/2007 10229.00 10506.00 10236.00
1/15/2007 10229.00 10506.00 10236.00
1/16/2007 10271.00 10515.00 10278.00
1/17/2007 10253.00 10506.00 10260.00
1/18/2007 10258.00 10475.00 10265.00
1/19/2007 10300.00 10506.00 10308.00
1/20/2007 10300.00 10506.00 10308.00
1/21/2007 10300.00 10506.00 10308.00
1/22/2007 10282.00 10451.00 10290.00
1/23/2007 10344.00 10488.00 10351.00
1/24/2007 10437.00 10577.00 10445.00
1/25/2007 10357.00 10458.00 10365.00
1/26/2007 10384.00 10445.00 10393.00
1/27/2007 10384.00 10445.00 10393.00
1/28/2007 10384.00 10445.00 10393.00
1/29/2007 10379.00 10435.00 10388.00
1/30/2007 10425.00 10495.00 10434.00
1/31/2007 10448.00 10566.00 10458.00
2/1/2007 10512.00 10625.00 10521.00
2/2/2007 10531.00 10643.00 10541.00
2/3/2007 10531.00 10643.00 10541.00
2/4/2007 10531.00 10643.00 10541.00
2/5/2007 10611.00 10634.00 10621.00
2/6/2007 10664.00 10641.00 10676.00
2/7/2007 10681.00 10660.00 10692.00
2/8/2007 10736.00 10648.00 10748.00
2/9/2007 10714.00 10573.00 10725.00
2/10/2007 10714.00 10573.00 10725.00
2/11/2007 10714.00 10573.00 10725.00
2/12/2007 10681.00 10539.00 10693.00
2/13/2007 10774.00 10621.00 10787.00
2/14/2007 10831.00 10705.00 10844.00
2/15/2007 10800.00 10717.00 10812.00
2/16/2007 10811.00 10708.00 10823.00
2/17/2007 10811.00 10708.00 10823.00
2/18/2007 10811.00 10708.00 10823.00
2/19/2007 10811.00 10708.00 10823.00
2/20/2007 10858.00 10739.00 10871.00
2/21/2007 10829.00 10724.00 10843.00
2/22/2007 10860.00 10717.00 10876.00
2/23/2007 10921.00 10680.00 10937.00
2/24/2007 10921.00 10680.00 10937.00
2/25/2007 10921.00 10680.00 10937.00
2/26/2007 11100.00 10668.00 11117.00
2/27/2007 10772.00 10299.00 10788.00
2/28/2007 10833.00 10359.00 10849.00
3/1/2007 10849.00 10332.00 10865.00
3/2/2007 10695.00 10215.00 10711.00
3/3/2007 10695.00 10215.00 10711.00
3/4/2007 10695.00 10215.00 10711.00
3/5/2007 10540.00 10119.00 10555.00
3/6/2007 10686.00 10276.00 10701.00
3/7/2007 10677.00 10254.00 10693.00
3/8/2007 10734.00 10327.00 10750.00
3/9/2007 10758.00 10334.00 10774.00
3/10/2007 10758.00 10334.00 10774.00
3/11/2007 10758.00 10334.00 10774.00
3/12/2007 10844.00 10362.00 10862.00
3/13/2007 10686.00 10154.00 10703.00
3/14/2007 10747.00 10223.00 10764.00
3/15/2007 10847.00 10261.00 10865.00
3/16/2007 10792.00 10222.00 10810.00
3/17/2007 10792.00 10222.00 10810.00
3/18/2007 10792.00 10222.00 10810.00
3/19/2007 10903.00 10333.00 10923.00
3/20/2007 11028.00 10399.00 11048.00
3/21/2007 11161.00 10577.00 11184.00
3/22/2007 11156.00 10573.00 11178.00
3/23/2007 11200.00 10584.00 11222.00
3/24/2007 11200.00 10584.00 11222.00
3/25/2007 11200.00 10584.00 11222.00
3/26/2007 11240.00 10595.00 11264.00
3/27/2007 11245.00 10529.00 11270.00
3/28/2007 11220.00 10448.00 11243.00
3/29/2007 11267.00 10487.00 11291.00
3/30/2007 11216.00 10475.00 11240.00
3/31/2007 11216.00 10475.00 11240.00
4/1/2007 11216.00 10475.00 11240.00
4/2/2007 11404.00 10502.00 11430.00
4/3/2007 11428.00 10602.00 11454.00
4/4/2007 11400.00 10614.00 11425.00
4/5/2007 11442.00 10649.00 11469.00
4/6/2007 11442.00 10649.00 11469.00
4/7/2007 11442.00 10649.00 11469.00
4/8/2007 11442.00 10649.00 11469.00
4/9/2007 11490.00 10655.00 11518.00
4/10/2007 11521.00 10684.00 11548.00
4/11/2007 11461.00 10615.00 11487.00
4/12/2007 11455.00 10681.00 11482.00
4/13/2007 11442.00 10718.00 11470.00
4/14/2007 11442.00 10718.00 11470.00
4/15/2007 11442.00 10718.00 11470.00
4/16/2007 11499.00 10833.00 11527.00
4/17/2007 11558.00 10855.00 11586.00
4/18/2007 11578.00 10863.00 11607.00
4/19/2007 11549.00 10850.00 11577.00
4/20/2007 11626.00 10951.00 11655.00
4/21/2007 11626.00 10951.00 11655.00
4/22/2007 11626.00 10951.00 11655.00
4/23/2007 11668.00 10926.00 11699.00
4/24/2007 11716.00 10922.00 11747.00
4/25/2007 11814.00 11034.00 11846.00
4/26/2007 11760.00 11026.00 11791.00
4/27/2007 11689.00 11025.00 11720.00
4/28/2007 11689.00 11025.00 11720.00
4/29/2007 11689.00 11025.00 11720.00
4/30/2007 11597.00 10939.00 11628.00
5/1/2007 11711.00 10968.00 11744.00
5/2/2007 11810.00 11040.00 11843.00
5/3/2007 11834.00 11091.00 11867.00
5/4/2007 11850.00 11115.00 11883.00
5/5/2007 11850.00 11115.00 11883.00
5/6/2007 11850.00 11115.00 11883.00
5/7/2007 11933.00 11144.00 11968.00
5/8/2007 11885.00 11132.00 11920.00
5/9/2007 11939.00 11171.00 11974.00
5/10/2007 11803.00 11017.00 11836.00
5/11/2007 11902.00 11124.00 11938.00
5/12/2007 11902.00 11124.00 11938.00
5/13/2007 11902.00 11124.00 11938.00
5/14/2007 11939.00 11105.00 11975.00
5/15/2007 11952.00 11091.00 11988.00
5/16/2007 12007.00 11190.00 12043.00
5/17/2007 11963.00 11181.00 11998.00
5/18/2007 12009.00 11255.00 12046.00
5/19/2007 12009.00 11255.00 12046.00
5/20/2007 12009.00 11255.00 12046.00
5/21/2007 12062.00 11272.00 12100.00
5/22/2007 12027.00 11265.00 12065.00
5/23/2007 11907.00 11252.00 11943.00
5/24/2007 11650.00 11144.00 11685.00
5/25/2007 11661.00 11205.00 11695.00
5/26/2007 11661.00 11205.00 11695.00
5/27/2007 11661.00 11205.00 11695.00
5/28/2007 11661.00 11205.00 11695.00
5/29/2007 11716.00 11224.00 11751.00
5/30/2007 11828.00 11318.00 11866.00
5/31/2007 11839.00 11321.00 11878.00
6/1/2007 11790.00 11363.00 11827.00
6/2/2007 11790.00 11363.00 11827.00
6/3/2007 11790.00 11363.00 11827.00
6/4/2007 11771.00 11384.00 11808.00
6/5/2007 11622.00 11324.00 11659.00
6/6/2007 11508.00 11226.00 11543.00
6/7/2007 11165.00 11030.00 11196.00
6/8/2007 11284.00 11155.00 11316.00
6/9/2007 11284.00 11155.00 11316.00
6/10/2007 11284.00 11155.00 11316.00
6/11/2007 11341.00 11166.00 11374.00
6/12/2007 11185.00 11047.00 11216.00
6/13/2007 11382.00 11217.00 11415.00
6/14/2007 11433.00 11272.00 11468.00
6/15/2007 11556.00 11345.00 11593.00
6/16/2007 11556.00 11345.00 11593.00
6/17/2007 11556.00 11345.00 11593.00
6/18/2007 11479.00 11332.00 11511.00
6/19/2007 11499.00 11352.00 11535.00
6/20/2007 11249.00 11197.00 11282.00
6/21/2007 11317.00 11269.00 11351.00
6/22/2007 11161.00 11124.00 11194.00
6/23/2007 11161.00 11124.00 11194.00
6/24/2007 11161.00 11124.00 11194.00
6/25/2007 11183.00 11088.00 11216.00
6/26/2007 11146.00 11053.00 11179.00
6/27/2007 11265.00 11154.00 11301.00
6/28/2007 11260.00 11150.00 11295.00
6/29/2007 11271.00 11133.00 11307.00
6/30/2007 11271.00 11133.00 11307.00
7/1/2007 11271.00 11133.00 11307.00
7/2/2007 11452.00 11252.00 11490.00
7/3/2007 11465.00 11294.00 11503.00
7/4/2007 11465.00 11294.00 11503.00
7/5/2007 11410.00 11298.00 11446.00
7/6/2007 11375.00 11339.00 11413.00
7/7/2007 11375.00 11339.00 11413.00
7/8/2007 11375.00 11339.00 11413.00
7/9/2007 11399.00 11349.00 11437.00
7/10/2007 11236.00 11188.00 11272.00
7/11/2007 11301.00 11254.00 11337.00
7/12/2007 11458.00 11468.00 11497.00
7/13/2007 11576.00 11504.00 11616.00
7/14/2007 11576.00 11504.00 11616.00
7/15/2007 11576.00 11504.00 11616.00
7/16/2007 11445.00 11482.00 11484.00
7/17/2007 11426.00 11481.00 11466.00
7/18/2007 11482.00 11458.00 11521.00
7/19/2007 11665.00 11510.00 11707.00
7/20/2007 11495.00 11369.00 11535.00
7/21/2007 11495.00 11369.00 11535.00
7/22/2007 11495.00 11369.00 11535.00
7/23/2007 11549.00 11425.00 11589.00
7/24/2007 11217.00 11199.00 11257.00
7/25/2007 11249.00 11251.00 11288.00
7/26/2007 10951.00 10988.00 10987.00
7/27/2007 10770.00 10814.00 10806.00
7/28/2007 10770.00 10814.00 10806.00
7/29/2007 10770.00 10814.00 10806.00
7/30/2007 10882.00 10925.00 10919.00
7/31/2007 10810.00 10787.00 10846.00
8/1/2007 11043.00 10866.00 11082.00
8/2/2007 11123.00 10916.00 11161.00
8/3/2007 10716.00 10627.00 10751.00
8/4/2007 10716.00 10627.00 10751.00
8/5/2007 10716.00 10627.00 10751.00
8/6/2007 10990.00 10884.00 11027.00
8/7/2007 11182.00 10951.00 11222.00
8/8/2007 11264.00 11109.00 11304.00
8/9/2007 10938.00 10781.00 10975.00
8/10/2007 10945.00 10786.00 10983.00
8/11/2007 10945.00 10786.00 10983.00
8/12/2007 10945.00 10786.00 10983.00
8/13/2007 10993.00 10782.00 11032.00
8/14/2007 10779.00 10587.00 10815.00
8/15/2007 10636.00 10443.00 10671.00
8/16/2007 10640.00 10477.00 10675.00
8/17/2007 10903.00 10735.00 10941.00
8/18/2007 10903.00 10735.00 10941.00
8/19/2007 10903.00 10735.00 10941.00
8/20/2007 10879.00 10732.00 10917.00
8/21/2007 10927.00 10744.00 10965.00
8/22/2007 11053.00 10870.00 11093.00
8/23/2007 11088.00 10858.00 11129.00
8/24/2007 11201.00 10985.00 11243.00
8/25/2007 11201.00 10985.00 11243.00
8/26/2007 11201.00 10985.00 11243.00
8/27/2007 10894.00 10892.00 10933.00
8/28/2007 10731.00 10636.00 10770.00
8/29/2007 11006.00 10872.00 11048.00
8/30/2007 10910.00 10827.00 10951.00
8/31/2007 10979.00 10949.00 11020.00
9/1/2007 10979.00 10949.00 11020.00
9/2/2007 10979.00 10949.00 11020.00
9/3/2007 10979.00 10949.00 11020.00
9/4/2007 11141.00 11064.00 11185.00
9/5/2007 10999.00 10942.00 11041.00
9/6/2007 11092.00 10990.00 11136.00
9/7/2007 10932.00 10804.00 10974.00
9/8/2007 10932.00 10804.00 10974.00
9/9/2007 10932.00 10804.00 10974.00
9/10/2007 10931.00 10791.00 10973.00
9/11/2007 11034.00 10938.00 11078.00
9/12/2007 11055.00 10942.00 11099.00
9/13/2007 11067.00 11034.00 11112.00
9/14/2007 11104.00 11037.00 11149.00
9/15/2007 11104.00 11037.00 11149.00
9/16/2007 11104.00 11037.00 11149.00
9/17/2007 11060.00 10980.00 11105.00
9/18/2007 11288.00 11301.00 11335.00
9/19/2007 11432.00 11370.00 11483.00
9/20/2007 11328.00 11296.00 11377.00
9/21/2007 11391.00 11348.00 11443.00
9/22/2007 11391.00 11348.00 11443.00
9/23/2007 11391.00 11348.00 11443.00
9/24/2007 11375.00 11289.00 11426.00
9/25/2007 11382.00 11285.00 11433.00
9/26/2007 11464.00 11348.00 11514.00
9/27/2007 11415.00 11393.00 11465.00
9/28/2007 11290.00 11359.00 11337.00
9/29/2007 11290.00 11359.00 11337.00
9/30/2007 11290.00 11359.00 11337.00
10/1/2007 11439.00 11510.00 11488.00
10/2/2007 11411.00 11507.00 11459.00
10/3/2007 11391.00 11457.00 11439.00
10/4/2007 11475.00 11481.00 11524.00
10/5/2007 11542.00 11594.00 11592.00
10/6/2007 11542.00 11594.00 11592.00
10/7/2007 11542.00 11594.00 11592.00
10/8/2007 11495.00 11557.00 11546.00
10/9/2007 11628.00 11650.00 11681.00
10/10/2007 11544.00 11631.00 11596.00
10/11/2007 11557.00 11572.00 11610.00
10/12/2007 11594.00 11627.00 11648.00
10/13/2007 11594.00 11627.00 11648.00
10/14/2007 11594.00 11627.00 11648.00
10/15/2007 11462.00 11530.00 11515.00
10/16/2007 11415.00 11454.00 11467.00
10/17/2007 11413.00 11475.00 11466.00
10/18/2007 11405.00 11467.00 11459.00
10/19/2007 11163.00 11173.00 11215.00
10/20/2007 11163.00 11173.00 11215.00
10/21/2007 11163.00 11173.00 11215.00
10/22/2007 11224.00 11216.00 11276.00
10/23/2007 11217.00 11315.00 11269.00
10/24/2007 11243.00 11287.00 11296.00
10/25/2007 11396.00 11276.00 11451.00
10/26/2007 11512.00 11432.00 11567.00
10/27/2007 11512.00 11432.00 11567.00
10/28/2007 11512.00 11432.00 11567.00
10/29/2007 11557.00 11476.00 11615.00
10/30/2007 11503.00 11402.00 11559.00
10/31/2007 11641.00 11539.00 11701.00
</Table>
TOTAL RETURNS FOR THE PERIOD ENDED OCTOBER 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
SINCE INCEPTION
(11/1/2006)
---------------
RYDEX S&P EQUAL WEIGHT UTILITIES ETF.............................. 16.41%
S&P 500 EQUAL WEIGHT UTILITIES TOTAL RETURN INDEX................. 17.01%
S&P 500 TOTAL RETURN INDEX........................................ 15.39%
</Table>
The returns presented above do not reflect the effect of taxes. Index returns
represent total returns. Past performance is not guarantee of future results.
36
Rydex S&P Equal Weight Utilities ETF
PORTFOLIO SUMMARY As of October 31, 2007
- --------------------------------------------------------------------------------
TOP 10 HOLDINGS*
- --------------------------------------------------------------------------------
<Table>
<Caption>
DESCRIPTION % OF NET ASSETS
- ------------------------------------------------------------------------------------
QUESTAR CORP. 2.84%
ALLEGHENY ENERGY, INC. 2.83%
AES CORP. 2.81%
ENTERGY CORP. 2.75%
FPL GROUP, INC. 2.71%
FIRSTENERGY CORP. 2.70%
PUBLIC SERVICE ENTERPRISE GROUP, INC. 2.68%
CONSTELLATION ENERGY GROUP, INC. 2.67%
DOMINION RESOURCES, INC. 2.66%
NISOURCE, INC. 2.65%
- ------------------------------------------------------------------------------------
</Table>
INDUSTRY ALLOCATIONS*
(PIE CHART)
<Table>
Electric Utilities Multi-Utilities Diversified Telecommunication Services
34.13 31.04 16.32
</Table>
<Table>
Electric Utilities Independent Power Producers & Energy Traders Gas Utilities
34.13 8.08 5.36
</Table>
<Table>
Electric Utilities Wireless Telecommunication Services
34.13 5.07
</Table>
* The Fund's Top 10 Holdings are expressed as a percentage of net assets and the
Industry Allocations are expressed as a percentage of the Fund's investments
market value. These percentages may change over time.
37 ANNUAL REPORT
SHAREHOLDER EXPENSE EXAMPLE (UNAUDITED)
As a shareholder of the Rydex ETF Trust, you incur transaction costs such as
creation and redemption fees or brokerage charges, and ongoing costs including
advisory fees and, if applicable, distribution fees. All other Trust expenses
are paid by the advisor. This Example is intended to help you understand your
ongoing costs (in dollars) of investing in a Fund and to compare these costs
with the ongoing costs of investing in other mutual funds.
The example in the table is based on an investment of $1,000 invested on May 1,
2007 and held for the six months ended October 31, 2007.
ACTUAL EXPENSES
The first table below provides information about actual account values and
actual expenses. You may use the information in this table, together with the
amount you invested, to estimate the expenses that you incurred over the period.
Simply divide your account value by $1,000 (for example, an $8,600 account value
divided by $1,000 = 8.6), then multiply the result by the number in the first
table under the heading entitled "Expenses Paid During the Six-Month Period" to
estimate the expenses attributable to your investment during this period.
HYPOTHETICAL EXAMPLE FOR COMPARISON PURPOSES
The second table below provides information about hypothetical account values
and hypothetical expenses based on a Fund's actual expense ratio and an assumed
rate of return of 5% per year before expenses, which is not a Fund's actual
return. Thus, you should not use the hypothetical account values and expenses to
estimate the actual ending account balance or your expenses for the period.
Rather, these figures are provided to enable you to compare the ongoing costs of
investing in a Fund and other funds. To do so, compare this 5% hypothetical
example with the 5% hypothetical examples that appear in the shareholder reports
of other funds.
Please note that the expenses shown in the table are meant to highlight your
ongoing costs only and do not reflect any transaction costs, such as creation
and redemption fees, or brokerage charges. Therefore, the second table is useful
in comparing ongoing costs only, and will not help you determine the relative
total costs of owning different funds. In addition, if these transaction costs
were included, your costs would have been higher.
<Table>
<Caption>
BEGINNING ENDING EXPENSES PAID
ACCOUNT ACCOUNT DURING
VALUE VALUE SIX-MONTH PERIOD*
5/1/2007 10/31/2007 5/1/07 TO 10/31/07
--------- ---------- ------------------
ACTUAL
Rydex S&P Equal Weight ETF............................ $1,000.00 $1,006.00 $2.02
Rydex Russell Top 50 ETF.............................. $1,000.00 $1,068.50 $1.04
Rydex S&P 500 Pure Value ETF.......................... $1,000.00 $ 963.70 $1.73
Rydex S&P 500 Pure Growth ETF......................... $1,000.00 $1,042.10 $1.80
Rydex S&P MidCap 400 Pure Value ETF................... $1,000.00 $ 971.00 $1.74
Rydex S&P MidCap 400 Pure Growth ETF.................. $1,000.00 $1,067.80 $1.82
Rydex S&P SmallCap 600 Pure Value ETF................. $1,000.00 $ 871.60 $1.65
Rydex S&P SmallCap 600 Pure Growth ETF................ $1,000.00 $1,062.00 $1.82
Rydex S&P Equal Weight Consumer Discretionary ETF..... $1,000.00 $ 909.50 $2.41
Rydex S&P Equal Weight Consumer Staples ETF........... $1,000.00 $1,017.80 $2.54
Rydex S&P Equal Weight Energy ETF..................... $1,000.00 $1,208.70 $2.78
Rydex S&P Equal Weight Financials ETF................. $1,000.00 $ 908.80 $2.41
Rydex S&P Equal Weight Health Care ETF................ $1,000.00 $1,021.60 $2.55
Rydex S&P Equal Weight Industrials ETF................ $1,000.00 $1,083.10 $2.63
Rydex S&P Equal Weight Materials ETF.................. $1,000.00 $1,052.90 $2.59
Rydex S&P Equal Weight Technology ETF................. $1,000.00 $1,065.00 $2.60
Rydex S&P Equal Weight Utilities ETF.................. $1,000.00 $1,003.93 $2.53
HYPOTHETICAL (ASSUMING A 5% RETURN BEFORE EXPENSES)
Rydex S&P Equal Weight ETF............................ $1,000.00 $1,023.19 $2.04
Rydex Russell Top 50 ETF.............................. $1,000.00 $1,024.20 $1.02
Rydex S&P 500 Pure Value ETF.......................... $1,000.00 $1,023.44 $1.79
Rydex S&P 500 Pure Growth ETF......................... $1,000.00 $1,023.44 $1.79
Rydex S&P MidCap 400 Pure Value ETF................... $1,000.00 $1,023.44 $1.79
Rydex S&P MidCap 400 Pure Growth ETF.................. $1,000.00 $1,023.44 $1.79
Rydex S&P SmallCap 600 Pure Value ETF................. $1,000.00 $1,023.44 $1.79
Rydex S&P SmallCap 600 Pure Growth ETF................ $1,000.00 $1,023.44 $1.79
Rydex S&P Equal Weight Consumer Discretionary ETF..... $1,000.00 $1,022.68 $2.55
Rydex S&P Equal Weight Consumer Staples ETF........... $1,000.00 $1,022.68 $2.55
Rydex S&P Equal Weight Energy ETF..................... $1,000.00 $1,022.68 $2.55
Rydex S&P Equal Weight Financials ETF................. $1,000.00 $1,022.68 $2.55
Rydex S&P Equal Weight Health Care ETF................ $1,000.00 $1,022.68 $2.55
Rydex S&P Equal Weight Industrials ETF................ $1,000.00 $1,022.68 $2.55
Rydex S&P Equal Weight Materials ETF.................. $1,000.00 $1,022.68 $2.55
Rydex S&P Equal Weight Technology ETF................. $1,000.00 $1,022.68 $2.55
Rydex S&P Equal Weight Utilities ETF.................. $1,000.00 $1,022.68 $2.55
</Table>
- --------
* Expenses are equal to the Fund's annualized expense ratio of 0.40%, 0.20%,
0.35%, 0.35%, 0.35%, 0.35%, 0.35%, 0.35%, 0.50%, 0.50%, 0.50%, 0.50%,
0.50%, 0.50%, 0.50%, 0.50% and 0.50% respectively, multiplied by the
average account value of the period, multiplied by days in the period,
divided by 365.
38
RYDEX S&P EQUAL WEIGHT ETF
SCHEDULE OF INVESTMENTS October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- ----------------------------------------------------------
COMMON STOCKS 99.8%
AEROSPACE & DEFENSE 2.3%
Boeing Co. .................. 42,162 $4,156,752
General Dynamics Corp. ...... 51,505 4,684,895
Goodrich Corp. .............. 65,087 4,533,960
Honeywell International,
Inc. ..................... 73,428 4,435,785
L-3 Communications Holdings,
Inc. ..................... 43,501 4,769,450
Lockheed Martin Corp. ....... 42,280 4,652,491
Northrop Grumman Corp. ...... 53,546 4,477,517
Precision Castparts Corp. ... 29,814 4,466,435
Raytheon Co. ................ 68,105 4,332,159
Rockwell Collins, Inc. ...... 61,231 4,580,691
United Technologies Corp. ... 54,261 4,155,850
--------------
TOTAL AEROSPACE & DEFENSE 49,245,985
--------------
AIR FREIGHT & LOGISTICS 0.8%
C.H. Robinson Worldwide,
Inc. ..................... 80,722 4,029,642
Expeditors International of
Washington, Inc. ......... 85,205 4,315,633
FedEx Corp. ................. 41,131 4,250,478
United Parcel Service,
Inc. -- Class B........... 56,624 4,252,462
--------------
TOTAL AIR FREIGHT & LOGISTICS 16,848,215
--------------
AIRLINES 0.2%
Southwest Airlines Co. ...... 282,637 4,016,272
--------------
TOTAL AIRLINES 4,016,272
--------------
AUTO COMPONENTS 0.4%
Goodyear Tire & Rubber Co.*.. 149,563 4,509,324
Johnson Controls, Inc. ...... 110,155 4,815,977
--------------
TOTAL AUTO COMPONENTS 9,325,301
--------------
AUTOMOBILES 0.7%
Ford Motor Co.*.............. 519,977 4,612,196
General Motors Corp. ........ 124,704 4,887,150
Harley-Davidson, Inc. ....... 89,587 4,613,730
--------------
TOTAL AUTOMOBILES 14,113,076
--------------
BEVERAGES 1.7%
Anheuser-Busch Cos., Inc. ... 84,774 4,347,211
Brown-Forman Corp. -- Class
B......................... 57,027 4,218,858
Coca-Cola Co. ............... 76,069 4,698,021
Coca-Cola Enterprises,
Inc. ..................... 176,066 4,544,264
Constellation Brands,
Inc. -- Class A*.......... 178,741 4,489,974
Molson Coors Brewing
Co. -- Class B............ 87,196 4,990,227
Pepsi Bottling Group, Inc. .. 115,155 4,960,877
PepsiCo, Inc. ............... 60,306 4,445,758
--------------
TOTAL BEVERAGES 36,695,190
--------------
BIOTECHNOLOGY 1.1%
Amgen, Inc.*................. 77,516 4,504,455
Biogen Idec, Inc.*........... 63,340 4,715,029
Celgene Corp.*............... 61,488 4,058,208
Genzyme Corp.*............... 68,476 5,202,122
Gilead Sciences, Inc.*....... 107,928 4,985,194
--------------
TOTAL BIOTECHNOLOGY 23,465,008
--------------
BUILDING PRODUCTS 0.4%
American Standard Cos.,
Inc. ..................... 120,989 4,509,260
Masco Corp. ................. 179,304 4,317,640
--------------
TOTAL BUILDING PRODUCTS 8,826,900
--------------
CAPITAL MARKETS 3.6%
American Capital Strategies,
Ltd. ..................... 104,041 4,516,420
Ameriprise Financial, Inc. .. 70,201 4,421,259
Bank of New York Mellon
Corp. .................... 99,335 4,852,515
Bear Stearns Cos., Inc. ..... 37,102 4,214,787
Charles Schwab Corp. ........ 202,753 4,711,980
E*TRADE Financial Corp.*..... 316,084 3,521,176
Federated Investors,
Inc. -- Class B........... 114,099 4,906,257
Franklin Resources, Inc. .... 33,215 4,307,321
Goldman Sachs Group, Inc. ... 21,931 5,437,133
Janus Capital Group, Inc. ... 155,688 5,372,793
Legg Mason, Inc. ............ 52,753 4,375,334
Lehman Brothers Holdings,
Inc. ..................... 69,291 4,388,892
Merrill Lynch & Co., Inc. ... 57,409 3,790,142
Morgan Stanley............... 67,898 4,566,819
Northern Trust Corp. ........ 65,844 4,952,127
State Street Corp. .......... 65,060 5,189,836
T. Rowe Price Group, Inc. ... 79,623 5,114,982
--------------
TOTAL CAPITAL MARKETS 78,639,773
--------------
CHEMICALS 2.6%
Air Products & Chemicals,
Inc. ..................... 45,675 4,469,299
Ashland, Inc. ............... 68,347 4,013,336
Dow Chemical Co. ............ 98,190 4,422,478
Du Pont (E.I.) de Nemours &
Co. ...................... 86,106 4,263,108
Eastman Chemical Co. ........ 63,973 4,259,962
Ecolab, Inc. ................ 93,412 4,406,244
Hercules, Inc. .............. 203,394 3,825,841
International Flavors &
Fragrances, Inc. ......... 81,101 4,234,283
Monsanto Co. ................ 55,197 5,388,883
PPG Industries, Inc. ........ 56,693 4,237,235
Praxair, Inc. ............... 52,749 4,508,984
Rohm & Haas Co. ............. 76,443 3,965,863
Sigma-Aldrich Corp. ......... 90,888 4,696,183
--------------
TOTAL CHEMICALS 56,691,699
--------------
COMMERCIAL BANKS 3.3%
BB&T Corp. .................. 103,255 3,817,337
Comerica, Inc. .............. 79,685 3,719,696
Commerce Bancorp, Inc. ...... 113,368 4,619,746
Fifth Third Bancorp.......... 123,211 3,854,040
First Horizon National
Corp. .................... 146,314 3,815,869
Huntington Bancshares,
Inc. ..................... 246,464 4,414,170
KeyCorp...................... 127,187 3,618,470
M&T Bank Corp. .............. 40,132 3,992,331
Marshall & Ilsley Corp. ..... 94,605 4,039,634
National City Corp. ......... 165,687 4,017,910
PNC Financial Services Group,
Inc. ..................... 61,009 4,402,410
Regions Financial Corp. ..... 139,053 3,771,117
SunTrust Banks, Inc. ........ 55,092 3,999,679
Synovus Financial Corp. ..... 152,804 4,027,914
</Table>
39 ANNUAL REPORT
See Notes to Financial Statements.
RYDEX S&P EQUAL WEIGHT ETF
SCHEDULE OF INVESTMENTS (continued) October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- ----------------------------------------------------------
COMMON STOCKS (CONTINUED)
U.S. Bancorp................. 129,520 $4,294,883
Wachovia Corp. .............. 84,222 3,851,472
Wells Fargo & Co. ........... 118,687 4,036,545
Zions Bancorp................ 60,875 3,598,321
--------------
TOTAL COMMERCIAL BANKS 71,891,544
--------------
COMMERCIAL SERVICES & SUPPLIES 1.8%
Allied Waste Industries,
Inc.*..................... 328,170 4,148,069
Avery Dennison Corp. ........ 75,107 4,348,695
Cintas Corp. ................ 116,768 4,273,709
Equifax, Inc. ............... 110,636 4,259,486
Monster Worldwide, Inc.*..... 123,804 5,023,966
Pitney Bowes, Inc. .......... 92,972 3,722,599
R.R. Donnelley & Sons Co. ... 122,377 4,930,569
Robert Half International,
Inc. ..................... 138,506 4,167,646
Waste Management, Inc. ...... 112,113 4,079,792
--------------
TOTAL COMMERCIAL SERVICES & SUPPLIES 38,954,531
--------------
COMMUNICATIONS EQUIPMENT 1.7%
Ciena Corp.*................. 114,152 5,463,315
Cisco Systems, Inc.*......... 132,385 4,376,648
Corning, Inc. ............... 180,956 4,391,802
JDS Uniphase Corp.*.......... 306,567 4,678,213
Juniper Networks, Inc.*...... 117,655 4,235,580
Motorola, Inc. .............. 240,098 4,511,441
QUALCOMM, Inc. .............. 106,971 4,570,871
Tellabs, Inc.*............... 433,041 3,815,091
--------------
TOTAL COMMUNICATIONS EQUIPMENT 36,042,961
--------------
COMPUTERS & PERIPHERALS 2.4%
Apple, Inc.*................. 30,476 5,788,916
Dell, Inc.*.................. 153,736 4,704,322
EMC Corp.*................... 225,894 5,735,449
Hewlett-Packard Co. ......... 84,999 4,392,748
International Business
Machines Corp. ........... 36,467 4,234,548
Lexmark International,
Inc. -- Class A*.......... 113,759 4,776,740
Network Appliance, Inc.*..... 161,801 5,095,114
QLogic Corp.*................ 338,968 5,264,173
SanDisk Corp.*............... 79,531 3,531,176
Sun Microsystems, Inc.*...... 756,677 4,320,626
Teradata Corp.*.............. 166,398 4,747,335
--------------
TOTAL COMPUTERS & PERIPHERALS 52,591,147
--------------
CONSTRUCTION & ENGINEERING 0.4%
Fluor Corp. ................. 30,521 4,822,318
Jacobs Engineering Group,
Inc.*..................... 51,086 4,452,145
--------------
TOTAL CONSTRUCTION & ENGINEERING 9,274,463
--------------
CONSTRUCTION MATERIALS 0.2%
Vulcan Materials Co. ........ 50,572 4,324,412
--------------
TOTAL CONSTRUCTION MATERIALS 4,324,412
--------------
CONSUMER FINANCE 0.8%
American Express Co. ........ 71,970 4,386,571
Capital One Financial
Corp. .................... 62,943 4,128,431
Discover Financial Services.. 193,077 3,726,386
SLM Corp. ................... 89,572 4,224,216
--------------
TOTAL CONSUMER FINANCE 16,465,604
--------------
CONTAINERS & PACKAGING 0.9%
Ball Corp. .................. 78,174 3,875,867
Bemis Co., Inc. ............. 143,790 4,049,126
Pactiv Corp.*................ 149,882 4,117,258
Sealed Air Corp. ............ 163,176 4,067,978
Temple-Inland, Inc. ......... 81,982 4,399,974
--------------
TOTAL CONTAINERS & PACKAGING 20,510,203
--------------
DISTRIBUTORS 0.2%
Genuine Parts Co. ........... 84,156 4,129,535
--------------
TOTAL DISTRIBUTORS 4,129,535
--------------
DIVERSIFIED CONSUMER SERVICES 0.5%
Apollo Group, Inc. -- Class
A*........................ 74,567 5,910,181
H&R Block, Inc. ............. 205,069 4,470,504
--------------
TOTAL DIVERSIFIED CONSUMER SERVICES 10,380,685
--------------
DIVERSIFIED FINANCIAL SERVICES 1.8%
Bank of America Corp. ....... 84,560 4,082,557
CIT Group, Inc. ............. 105,393 3,714,049
Citigroup, Inc. ............. 91,494 3,833,599
CME Group, Inc. ............. 7,904 5,266,040
IntercontinentalExchange,
Inc.*..................... 28,323 5,047,159
JPMorgan Chase & Co. ........ 92,015 4,324,705
Leucadia National Corp. ..... 93,967 4,760,368
Moody's Corp. ............... 89,804 3,926,231
NYSE Euronext................ 47,406 4,450,001
--------------
TOTAL DIVERSIFIED FINANCIAL SERVICES 39,404,709
--------------
DIVERSIFIED TELECOMMUNICATION SERVICES 1.3%
AT&T, Inc. .................. 100,922 4,217,531
CenturyTel, Inc. ............ 93,562 4,121,406
Citizens Communications
Co. ...................... 308,652 4,061,860
Embarq Corp. ................ 69,642 3,685,455
Qwest Communications
International, Inc.*...... 462,117 3,318,000
Verizon Communications,
Inc. ..................... 97,254 4,480,492
Windstream Corp. ............ 295,474 3,974,125
--------------
TOTAL DIVERSIFIED TELECOMMUNICATION
SERVICES 27,858,869
--------------
ELECTRIC UTILITIES 2.7%
Allegheny Energy, Inc.*...... 80,010 4,853,407
American Electric Power Co.,
Inc. ..................... 93,022 4,484,591
Duke Energy Corp. ........... 228,698 4,384,141
Edison International......... 74,154 4,312,055
Entergy Corp. ............... 39,136 4,691,232
Exelon Corp. ................ 54,986 4,551,741
</Table>
40
See Notes to Financial Statements.
RYDEX S&P EQUAL WEIGHT ETF
SCHEDULE OF INVESTMENTS (continued) October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- ----------------------------------------------------------
COMMON STOCKS (CONTINUED)
FirstEnergy Corp. ........... 66,349 $4,624,525
FPL Group, Inc. ............. 68,146 4,662,549
Integrys Energy Group,
Inc. ..................... 81,290 4,374,215
Pinnacle West Capital
Corp. .................... 106,978 4,321,911
PPL Corp. ................... 86,162 4,454,576
Progress Energy, Inc. ....... 90,238 4,331,424
Southern Co. ................ 115,614 4,238,409
--------------
TOTAL ELECTRIC UTILITIES 58,284,776
--------------
ELECTRICAL EQUIPMENT 0.6%
Cooper Industries,
Ltd. -- Class A........... 86,667 4,540,484
Emerson Electric Co. ........ 84,859 4,435,580
Rockwell Automation, Inc. ... 62,159 4,281,512
--------------
TOTAL ELECTRICAL EQUIPMENT 13,257,576
--------------
ELECTRONIC EQUIPMENT & INSTRUMENTS 1.0%
Agilent Technologies, Inc.*.. 115,669 4,262,403
Jabil Circuit, Inc. ......... 171,346 3,723,348
Molex, Inc. ................. 157,740 4,505,054
Tektronix, Inc. ............. 139,402 5,276,366
Tyco Electronics, Ltd. ...... 127,055 4,532,052
--------------
TOTAL ELECTRONIC EQUIPMENT & INSTRUMENTS 22,299,223
--------------
ENERGY EQUIPMENT & SERVICES 2.3%
Baker Hughes, Inc. .......... 47,828 4,147,644
BJ Services Co. ............. 156,033 3,930,471
ENSCO International, Inc. ... 76,723 4,257,359
Halliburton Co. ............. 111,253 4,385,593
Nabors Industries, Ltd.*..... 136,428 3,830,898
National-Oilwell Varco,
Inc.*..................... 59,884 4,385,904
Noble Corp. ................. 83,504 4,421,537
Rowan Cos., Inc. ............ 114,274 4,454,401
Schlumberger, Ltd. .......... 39,927 3,855,751
Smith International, Inc. ... 59,561 3,934,004
Transocean, Inc.*............ 37,603 4,488,670
Weatherford International,
Ltd.*..................... 62,138 4,033,378
--------------
TOTAL ENERGY EQUIPMENT & SERVICES 50,125,610
--------------
FOOD & STAPLES RETAILING 1.8%
Costco Wholesale Corp. ...... 70,509 4,742,435
CVS Caremark Corp. .......... 112,911 4,716,293
Kroger Co. .................. 150,785 4,431,571
Safeway, Inc. ............... 128,972 4,385,048
SUPERVALU, Inc. ............. 107,273 4,156,829
Sysco Corp. ................. 123,237 4,225,797
Wal-Mart Stores, Inc. ....... 96,589 4,366,789
Walgreen Co. ................ 93,796 3,719,011
Whole Foods Market, Inc. .... 95,493 4,730,723
--------------
TOTAL FOOD & STAPLES RETAILING 39,474,496
--------------
FOOD PRODUCTS 2.5%
Archer-Daniels-Midland Co. .. 130,186 4,658,055
Campbell Soup Co. ........... 120,993 4,474,321
ConAgra Foods, Inc. ......... 161,024 3,821,100
Dean Foods Co. .............. 164,776 4,575,829
General Mills, Inc. ......... 73,260 4,229,300
H.J. Heinz Co. .............. 93,370 4,367,849
Hershey Co. ................. 93,126 4,014,662
Kellogg Co. ................. 75,841 4,003,646
Kraft Foods, Inc. -- Class
A......................... 123,862 $4,138,229
McCormick & Co., Inc. ....... 116,457 4,079,489
Sara Lee Corp. .............. 261,662 4,327,889
Tyson Foods, Inc. -- Class
A......................... 228,096 3,603,917
Wm. Wrigley Jr. Co. ......... 68,254 4,209,224
--------------
TOTAL FOOD PRODUCTS 54,503,510
--------------
GAS UTILITIES 0.4%
Nicor, Inc. ................. 99,079 4,287,148
Questar Corp. ............... 84,719 4,835,761
--------------
TOTAL GAS UTILITIES 9,122,909
--------------
HEALTH CARE EQUIPMENT & SUPPLIES 2.2%
Baxter International, Inc. .. 76,332 4,580,683
Becton, Dickinson & Co. ..... 52,565 4,387,075
Boston Scientific Corp.*..... 312,197 4,330,172
C.R. Bard, Inc. ............. 49,536 4,141,705
Covidien, Ltd. .............. 101,328 4,215,245
Hospira, Inc.*............... 105,978 4,380,071
Medtronic, Inc. ............. 75,642 3,588,457
St Jude Medical, Inc.*....... 93,952 3,826,665
Stryker Corp. ............... 62,769 4,456,599
Varian Medical Systems,
Inc.*..................... 107,972 5,265,794
Zimmer Holdings, Inc.*....... 51,267 3,562,544
--------------
TOTAL HEALTH CARE EQUIPMENT & SUPPLIES 46,735,010
--------------
HEALTH CARE PROVIDERS & SERVICES 3.3%
Aetna, Inc. ................. 82,282 4,621,780
AmerisourceBergen Corp. ..... 93,862 4,421,839
Cardinal Health, Inc. ....... 66,986 4,557,058
CIGNA Corp. ................. 81,397 4,272,529
Coventry Health Care, Inc.*.. 71,338 4,302,395
Express Scripts, Inc.*....... 78,918 4,979,726
Humana, Inc.*................ 64,254 4,815,837
Laboratory Corp. of America
Holdings*................. 55,051 3,784,756
Manor Care, Inc. ............ 66,363 4,418,449
McKesson Corp. .............. 75,812 5,011,173
Medco Health Solutions,
Inc.*..................... 49,418 4,664,071
Patterson Cos., Inc.*........ 110,604 4,325,722
Quest Diagnostics, Inc. ..... 76,119 4,048,008
Tenet Healthcare Corp.*...... 1,262,367 4,430,908
UnitedHealth Group, Inc. .... 86,043 4,229,013
WellPoint, Inc.*............. 54,215 4,295,455
--------------
TOTAL HEALTH CARE PROVIDERS & SERVICES 71,178,719
--------------
HEALTH CARE TECHNOLOGY 0.2%
IMS Health, Inc. ............ 147,451 3,717,240
--------------
TOTAL HEALTH CARE TECHNOLOGY 3,717,240
--------------
HOTELS, RESTAURANTS & LEISURE 2.2%
Carnival Corp. .............. 86,913 4,170,086
Darden Restaurants, Inc. .... 99,013 4,257,559
</Table>
41 ANNUAL REPORT
See Notes to Financial Statements.
RYDEX S&P EQUAL WEIGHT ETF
SCHEDULE OF INVESTMENTS (continued) October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- ----------------------------------------------------------
COMMON STOCKS (CONTINUED)
Harrah's Entertainment,
Inc. ..................... 49,379 $4,357,697
International Game
Technology................ 100,893 4,399,944
Marriott International,
Inc. -- Class A........... 97,332 4,001,318
McDonald's Corp. ............ 78,229 4,670,271
Starbucks Corp.*............. 155,054 4,136,841
Starwood Hotels & Resorts
Worldwide, Inc. .......... 73,245 4,164,711
Wendy's International,
Inc. ..................... 127,408 4,428,702
Wyndham Worldwide Corp. ..... 135,916 4,462,122
Yum! Brands, Inc. ........... 123,515 4,973,949
--------------
TOTAL HOTELS, RESTAURANTS & LEISURE 48,023,200
--------------
HOUSEHOLD DURABLES 2.5%
Black & Decker Corp. ........ 50,594 4,548,907
Centex Corp. ................ 159,686 4,001,731
D.R. Horton, Inc. ........... 305,567 3,877,645
Fortune Brands, Inc. ........ 52,683 4,413,255
Harman International
Industries, Inc. ......... 43,736 3,682,571
KB HOME...................... 159,807 4,417,065
Leggett & Platt, Inc. ....... 219,379 4,262,534
Lennar Corp. -- Class A...... 170,833 3,903,534
Newell Rubbermaid, Inc. ..... 150,142 4,378,141
Pulte Homes, Inc. ........... 268,355 3,982,388
Snap-on, Inc. ............... 86,844 4,334,384
Stanley Works................ 74,814 4,305,546
Whirlpool Corp. ............. 46,751 3,701,744
--------------
TOTAL HOUSEHOLD DURABLES 53,809,445
--------------
HOUSEHOLD PRODUCTS 0.8%
Clorox Co. .................. 70,355 4,402,112
Colgate-Palmolive Co. ....... 61,214 4,668,792
Kimberly-Clark Corp. ........ 61,173 4,336,554
Procter & Gamble Co. ........ 61,609 4,283,058
--------------
TOTAL HOUSEHOLD PRODUCTS 17,690,516
--------------
INDEPENDENT POWER PRODUCERS & ENERGY TRADERS 0.6%
AES Corp.*................... 219,935 4,708,808
Constellation Energy Group,
Inc. ..................... 48,210 4,565,487
Dynegy, Inc. -- Class A*..... 478,015 4,402,518
--------------
TOTAL INDEPENDENT POWER PRODUCERS & ENERGY
TRADERS 13,676,813
--------------
INDUSTRIAL CONGLOMERATES 0.8%
3M Co. ...................... 46,935 4,053,306
General Electric Co. ........ 104,038 4,282,204
Textron, Inc. ............... 69,895 4,837,433
Tyco International, Ltd. .... 96,599 3,976,981
--------------
TOTAL INDUSTRIAL CONGLOMERATES 17,149,924
--------------
INSURANCE 4.6%
ACE, Ltd. ................... 72,054 4,367,193
AFLAC, Inc. ................. 77,482 4,864,320
Allstate Corp. .............. 76,905 4,029,822
Ambac Financial Group,
Inc. ..................... 66,425 2,446,433
American International
Group..................... 64,160 4,049,779
Aon Corp. ................... 97,967 4,439,864
Assurant, Inc. .............. 82,950 4,847,598
Chubb Corp. ................. 82,783 4,416,473
Cincinnati Financial Corp. .. 99,029 3,939,374
Genworth Financial,
Inc. -- Class A........... 141,111 3,852,330
Hartford Financial Services
Group, Inc. .............. 46,962 4,556,723
Lincoln National Corp. ...... 66,707 4,160,516
Loews Corp. ................. 91,048 4,469,546
Marsh & McLennan Cos.,
Inc. ..................... 175,008 4,530,957
MBIA, Inc. .................. 71,275 3,067,676
MetLife, Inc. ............... 62,014 4,269,664
Principal Financial Group,
Inc. ..................... 71,686 4,850,992
Progressive Corp. ........... 220,792 4,084,652
Prudential Financial, Inc. .. 45,624 4,412,753
SAFECO Corp. ................ 72,004 4,169,032
Torchmark Corp. ............. 69,261 4,513,047
Travelers Cos., Inc. ........ 84,901 4,432,681
Unum Group................... 176,572 4,121,190
XL Capital, Ltd. -- Class A.. 56,286 4,049,778
--------------
TOTAL INSURANCE 100,942,393
--------------
INTERNET & CATALOG RETAIL 0.6%
Amazon.com, Inc.*............ 47,629 4,246,125
Expedia, Inc.*............... 132,746 4,335,485
IAC/InterActiveCorp*......... 155,544 4,582,326
--------------
TOTAL INTERNET & CATALOG RETAIL 13,163,936
--------------
INTERNET SOFTWARE & SERVICES 1.1%
Akamai Technologies, Inc.*... 143,089 5,607,658
eBay, Inc.*.................. 110,273 3,980,855
Google, Inc. -- Class A*..... 7,721 5,458,747
VeriSign, Inc.*.............. 126,717 4,319,783
Yahoo!, Inc.*................ 167,495 5,209,094
--------------
TOTAL INTERNET SOFTWARE & SERVICES 24,576,137
--------------
IT SERVICES 2.2%
Affiliated Computer Services,
Inc. -- Class A*.......... 86,052 4,359,394
Automatic Data Processing,
Inc. ..................... 92,914 4,604,818
Cognizant Technology
Solutions Corp. -- Class
A*........................ 114,372 4,741,863
Computer Sciences Corp.*..... 76,715 4,479,389
Convergys Corp.*............. 254,672 4,668,138
Electronic Data Systems
Corp. .................... 196,159 4,235,073
Fidelity National Information
Services, Inc. ........... 93,537 4,313,927
Fiserv, Inc.*................ 86,761 4,806,559
Paychex, Inc. ............... 97,948 4,092,267
Unisys Corp.*................ 608,933 3,702,313
Western Union Co. ........... 214,460 4,726,698
--------------
TOTAL IT SERVICES 48,730,439
--------------
LEISURE EQUIPMENT & PRODUCTS 0.8%
Brunswick Corp. ............. 193,830 4,324,347
Eastman Kodak Co. ........... 155,454 4,455,312
Hasbro, Inc. ................ 148,847 4,443,083
Mattel, Inc. ................ 178,735 3,733,774
--------------
TOTAL LEISURE EQUIPMENT & PRODUCTS 16,956,516
--------------
</Table>
42
See Notes to Financial Statements.
RYDEX S&P EQUAL WEIGHT ETF
SCHEDULE OF INVESTMENTS (continued) October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- ----------------------------------------------------------
COMMON STOCKS (CONTINUED)
LIFE SCIENCES TOOLS & SERVICES 1.0%
Applera Corp. -- Applied
Biosystems Group.......... 123,275 $4,578,433
Millipore Corp.*............. 56,181 4,362,455
PerkinElmer, Inc. ........... 145,805 4,012,553
Thermo Electron Corp.*....... 73,802 4,340,296
Waters Corp.*................ 63,461 4,885,228
--------------
TOTAL LIFE SCIENCES TOOLS & SERVICES 22,178,965
--------------
MACHINERY 2.5%
Caterpillar, Inc. ........... 55,164 4,115,786
Cummins, Inc. ............... 32,890 3,945,484
Danaher Corp. ............... 52,060 4,459,980
Deere & Co. ................. 29,627 4,589,222
Dover Corp. ................. 84,887 3,904,802
Eaton Corp. ................. 43,354 4,013,713
Illinois Tool Works, Inc. ... 73,752 4,223,040
Ingersoll-Rand Co.,,
Ltd. -- Class A........... 79,907 4,023,318
ITT Corp. ................... 64,260 4,300,279
PACCAR, Inc. ................ 72,218 4,012,432
Pall Corp. .................. 112,175 4,494,852
Parker-Hannifin Corp. ....... 55,605 4,468,974
Terex Corp.*................. 51,957 3,856,249
--------------
TOTAL MACHINERY 54,408,131
--------------
MEDIA 3.4%
CBS Corp. -- Class B......... 135,941 3,901,507
Clear Channel Communications,
Inc. ..................... 114,706 4,332,446
Comcast Corp. -- Class A*.... 181,611 3,822,912
DIRECTV Group, Inc.*......... 177,078 4,689,026
Dow Jones & Co., Inc. ....... 72,272 4,322,588
E.W. Scripps Co. -- Class A.. 100,989 4,545,515
Gannett Co., Inc. ........... 95,478 4,049,222
Interpublic Group of Cos.,
Inc.*..................... 406,925 4,211,674
McGraw-Hill Cos., Inc. ...... 86,011 4,303,990
Meredith Corp. .............. 75,800 4,718,550
New York Times Co. -- Class
A......................... 216,781 4,240,236
News Corp. -- Class A........ 196,779 4,264,201
Omnicom Group, Inc. ......... 85,789 4,373,523
Time Warner, Inc. ........... 234,912 4,289,493
Tribune Co. ................. 156,636 4,739,805
Viacom, Inc. -- Class B*..... 109,722 4,530,421
Walt Disney Co. ............. 123,959 4,292,700
--------------
TOTAL MEDIA 73,627,809
--------------
METALS & MINING 1.4%
Alcoa, Inc. ................. 115,201 4,560,808
Allegheny Technologies,
Inc. ..................... 41,232 4,212,673
Freeport-McMoRan Copper &
Gold, Inc. ............... 39,678 4,669,307
Newmont Mining Corp. (Holding
Co.)...................... 90,658 4,610,866
Nucor Corp. ................. 73,977 4,588,053
Titanium Metals Corp.*....... 118,908 4,185,562
United States Steel Corp. ... 41,227 4,448,393
--------------
TOTAL METALS & MINING 31,275,662
--------------
MULTI-UTILITIES 2.4%
Ameren Corp. ................ 80,647 4,359,777
CenterPoint Energy, Inc. .... 259,940 4,356,595
CMS Energy Corp. ............ 257,641 4,372,168
Consolidated Edison, Inc. ... 90,966 4,283,589
Dominion Resources, Inc. .... 49,659 4,550,254
DTE Energy Co. .............. 86,692 4,299,923
NiSource, Inc. .............. 219,922 4,497,405
PG&E Corp. .................. 89,483 4,378,403
Public Service Enterprise
Group, Inc. .............. 48,097 4,598,073
Sempra Energy................ 71,655 4,407,499
TECO Energy, Inc. ........... 265,448 4,467,490
Xcel Energy, Inc. ........... 194,066 4,376,188
--------------
TOTAL MULTI-UTILITIES 52,947,364
--------------
MULTILINE RETAIL 1.6%
Big Lots, Inc.*.............. 138,491 3,321,014
Dillard's, Inc. -- Class A... 203,848 4,694,619
Family Dollar Stores, Inc. .. 158,587 4,020,181
Federated Department Stores,
Inc. ..................... 133,466 4,274,916
J.C. Penney Holding Co.,
Inc. ..................... 64,538 3,629,617
Kohl's Corp.*................ 73,097 4,018,142
Nordstrom, Inc. ............. 86,374 3,406,591
Sears Holdings Corp.*........ 32,552 4,387,684
Target Corp. ................ 65,148 3,997,481
--------------
TOTAL MULTILINE RETAIL 35,750,245
--------------
OFFICE ELECTRONICS 0.2%
Xerox Corp.*................. 250,877 4,375,295
--------------
TOTAL OFFICE ELECTRONICS 4,375,295
--------------
OIL, GAS & CONSUMABLE FUELS 4.7%
Anadarko Petroleum Corp. .... 80,286 4,738,480
Apache Corp. ................ 48,044 4,987,448
Chesapeake Energy Corp. ..... 120,929 4,774,277
Chevron Corp. ............... 45,268 4,142,475
ConocoPhillips............... 48,279 4,101,784
CONSOL Energy, Inc. ......... 95,792 5,412,248
Devon Energy Corp. .......... 50,782 4,743,039
El Paso Corp. ............... 247,905 4,378,002
EOG Resources, Inc. ......... 57,438 5,089,007
Exxon Mobil Corp. ........... 46,223 4,252,054
Hess Corp. .................. 63,508 4,547,808
Marathon Oil Corp. .......... 73,387 4,339,373
Murphy Oil Corp. ............ 61,387 4,519,925
Noble Energy, Inc. .......... 62,538 4,786,658
Occidental Petroleum Corp. .. 66,658 4,602,735
Peabody Energy Corp. ........ 89,336 4,980,482
Spectra Energy Corp. ........ 163,144 4,238,481
Sunoco, Inc. ................ 56,862 4,185,043
Tesoro Corp. ................ 85,464 5,173,136
Valero Energy Corp. ......... 60,866 4,286,792
Williams Cos., Inc. ......... 126,989 4,633,829
XTO Energy, Inc. ............ 68,354 4,537,338
--------------
TOTAL OIL, GAS & CONSUMABLE FUELS 101,450,414
--------------
</Table>
43 ANNUAL REPORT
See Notes to Financial Statements.
RYDEX S&P EQUAL WEIGHT ETF
SCHEDULE OF INVESTMENTS (continued) October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- ----------------------------------------------------------
COMMON STOCKS (CONTINUED)
PAPER & FOREST PRODUCTS 0.6%
International Paper Co. ..... 119,142 $4,403,488
MeadWestvaco Corp. .......... 139,426 4,690,291
Weyerhaeuser Co. ............ 60,098 4,562,039
--------------
TOTAL PAPER & FOREST PRODUCTS 13,655,818
--------------
PERSONAL PRODUCTS 0.4%
Avon Products, Inc. ......... 123,040 5,042,179
Estee Lauder Cos.,
Inc -- Class A............ 102,423 4,496,370
--------------
TOTAL PERSONAL PRODUCTS 9,538,549
--------------
PHARMACEUTICALS 2.8%
Abbott Laboratories.......... 79,683 4,352,285
Allergan, Inc. .............. 68,636 4,638,421
Barr Pharmaceuticals, Inc.*.. 79,958 4,583,193
Bristol-Myers Squibb Co. .... 149,447 4,481,916
Eli Lilly & Co. ............. 74,583 4,038,669
Forest Laboratories, Inc.*... 113,698 4,442,181
Johnson & Johnson............ 65,764 4,285,840
King Pharmaceuticals, Inc.*.. 364,536 3,864,082
Merck & Co., Inc. ........... 83,144 4,843,969
Mylan Laboratories, Inc. .... 280,699 4,221,713
Pfizer, Inc. ................ 173,886 4,279,334
Schering-Plough Corp. ....... 134,671 4,110,159
Watson Pharmaceuticals,
Inc.*..................... 135,103 4,128,748
Wyeth........................ 95,208 4,629,965
--------------
TOTAL PHARMACEUTICALS 60,900,475
--------------
REAL ESTATE INVESTMENT TRUSTS (REITS) 2.6%
Apartment Investment &
Management Co. -- Class
A......................... 94,806 4,430,284
AvalonBay Communities,
Inc. ..................... 36,887 4,524,191
Boston Properties, Inc. ..... 41,338 4,478,559
Developers Diversified Realty
Corp. .................... 78,273 3,944,959
Equity Residential Properties
Trust..................... 103,666 4,331,165
General Growth Properties,
Inc. ..................... 82,533 4,486,494
Host Hotels & Resorts,
Inc. ..................... 193,182 4,280,913
Kimco Realty Corp. .......... 93,902 3,898,811
Plum Creek Timber Co.,
Inc. ..................... 95,773 4,278,180
ProLogis..................... 65,848 4,723,936
Public Storage, Inc. ........ 54,737 4,432,055
Simon Property Group, Inc. .. 42,981 4,474,752
Vornado Realty Trust......... 40,068 4,476,397
--------------
TOTAL REAL ESTATE INVESTMENT TRUSTS
(REITS) 56,760,696
--------------
REAL ESTATE MANAGEMENT & DEVELOPMENT 0.2%
CB Richard Ellis Group,
Inc. -- Class A*.......... 152,760 3,724,289
--------------
TOTAL REAL ESTATE MANAGEMENT & DEVELOPMENT 3,724,289
--------------
ROAD & RAIL 1.0%
Burlington Northern Santa Fe
Corp. .................... 52,592 4,583,393
CSX Corp. ................... 106,078 4,749,112
Norfolk Southern Corp. ...... 83,673 4,321,710
Ryder System, Inc. .......... 85,610 4,096,439
Union Pacific Corp. ......... 38,077 4,875,379
--------------
TOTAL ROAD & RAIL 22,626,033
--------------
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT 3.4%
Advanced Micro Devices,
Inc.*..................... 320,963 4,198,196
Altera Corp. ................ 170,850 3,352,077
Analog Devices, Inc. ........ 117,016 3,915,355
Applied Materials, Inc. ..... 201,126 3,905,867
Broadcom Corp. -- Class A*... 118,433 3,854,994
Intel Corp. ................. 165,382 4,448,776
KLA-Tencor Corp. ............ 74,583 3,926,795
Linear Technology Corp. ..... 122,138 4,032,997
LSI Logic Corp.*............. 633,722 4,182,565
MEMC Electronic Materials,
Inc.*..................... 73,538 5,384,452
Microchip Technology, Inc. .. 116,909 3,877,871
Micron Technology, Inc.*..... 399,417 4,197,873
National Semiconductor
Corp. .................... 161,842 4,068,708
Novellus Systems, Inc.*...... 157,941 4,487,104
NVIDIA Corp.*................ 124,850 4,417,193
Teradyne, Inc.*.............. 301,514 3,720,683
Texas Instruments, Inc. ..... 116,237 3,789,326
Xilinx, Inc. ................ 158,504 3,867,498
--------------
TOTAL SEMICONDUCTORS & SEMICONDUCTOR
EQUIPMENT 73,628,330
--------------
SOFTWARE 2.6%
Adobe Systems, Inc.*......... 100,325 4,805,568
Autodesk, Inc.*.............. 86,829 4,245,938
BMC Software, Inc.*.......... 134,572 4,553,917
CA, Inc. .................... 166,251 4,397,339
Citrix Systems, Inc.*........ 110,465 4,748,890
Compuware Corp.*............. 537,623 5,376,230
Electronic Arts, Inc.*....... 76,382 4,668,468
Intuit, Inc.*................ 144,037 4,633,670
Microsoft Corp. ............. 149,732 5,511,635
Novell, Inc.*................ 562,358 4,251,427
Oracle Corp.*................ 197,073 4,369,108
Symantec Corp.*.............. 223,635 4,199,865
--------------
TOTAL SOFTWARE 55,762,055
--------------
SPECIALTY RETAIL 3.3%
Abercrombie & Fitch
Co. -- Class A............ 54,136 4,287,571
AutoNation, Inc.*............ 241,242 4,267,571
AutoZone, Inc.*.............. 38,002 4,727,829
Bed Bath & Beyond, Inc.*..... 127,818 4,338,143
Best Buy Co., Inc. .......... 92,696 4,497,610
Circuit City Stores, Inc. ... 501,202 3,974,532
Gap, Inc. ................... 237,385 4,486,576
Home Depot, Inc. ............ 122,724 3,867,033
Limited Brands, Inc. ........ 190,605 4,195,216
Lowe's Cos., Inc. ........... 139,272 3,745,024
Office Depot, Inc.*.......... 223,958 4,201,452
OfficeMax, Inc. ............. 135,626 4,292,563
RadioShack Corp. ............ 191,253 3,943,637
Sherwin-Williams Co. ........ 64,433 4,118,557
Staples, Inc. ............... 190,979 4,457,450
</Table>
44
See Notes to Financial Statements.
RYDEX S&P EQUAL WEIGHT ETF
SCHEDULE OF INVESTMENTS (continued) October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- ----------------------------------------------------------
COMMON STOCKS (CONTINUED)
Tiffany & Co. ............... 83,826 $4,541,693
TJX Cos., Inc. .............. 142,798 4,131,146
--------------
TOTAL SPECIALTY RETAIL 72,073,603
--------------
TEXTILES, APPAREL & LUXURY GOODS 1.1%
Coach, Inc.*................. 89,365 3,267,184
Jones Apparel Group, Inc. ... 209,545 4,387,872
Liz Claiborne, Inc. ......... 122,404 3,484,842
NIKE, Inc. -- Class B........ 72,929 4,832,276
Polo Ralph Lauren Corp. ..... 53,571 3,685,685
V.F. Corp. .................. 51,032 4,446,418
--------------
TOTAL TEXTILES, APPAREL & LUXURY GOODS 24,104,277
--------------
THRIFTS & MORTGAGE FINANCE 1.1%
Countrywide Financial
Corp. .................... 221,471 3,437,230
Federal Home Loan Mortgage
Corp. .................... 71,707 3,745,257
Federal National Mortgage
Association............... 69,082 3,940,437
Hudson City Bancorp, Inc. ... 285,669 4,473,577
MGIC Investment Corp. ....... 127,278 2,464,102
Sovereign Bancorp, Inc. ..... 238,670 3,444,008
Washington Mutual, Inc. ..... 118,790 3,311,865
--------------
TOTAL THRIFTS & MORTGAGE FINANCE 24,816,476
--------------
TOBACCO 0.6%
Altria Group, Inc. .......... 62,105 4,529,317
Reynolds American, Inc. ..... 67,032 4,318,872
UST, Inc. ................... 86,025 4,586,853
--------------
TOTAL TOBACCO 13,435,042
--------------
TRADING COMPANIES & DISTRIBUTORS 0.2%
W.W. Grainger, Inc. ......... 46,781 4,206,548
--------------
TOTAL TRADING COMPANIES & DISTRIBUTORS 4,206,548
--------------
WIRELESS TELECOMMUNICATION SERVICES 0.4%
ALLTEL Corp. ................ 61,827 4,398,991
Sprint Nextel Corp. ......... 238,172 4,072,741
--------------
TOTAL WIRELESS TELECOMMUNICATION SERVICES 8,471,732
--------------
TOTAL COMMON STOCKS
(Cost $2,099,824,975) 2,172,832,278
--------------
SHORT TERM INVESTMENTS 0.2%
SSgA Prime Money Market
Fund...................... 4,106,945 4,106,945
--------------
TOTAL SHORT TERM INVESTMENTS
(Cost $4,106,945) 4,106,945
--------------
TOTAL INVESTMENTS 100.0%
(Cost $2,103,931,920) 2,176,939,223
--------------
OTHER ASSETS IN EXCESS OF
LIABILITIES--0.0%(A) 753,345
--------------
NET ASSETS--100.0% $2,177,692,568
- ----------------------------------------------------------
</Table>
* Non-Income Producing Security.
(a) Amount represents less than 0.05% of net assets.
45 ANNUAL REPORT
See Notes to Financial Statements.
RYDEX RUSSELL TOP 50 ETF
SCHEDULE OF INVESTMENTS October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- --------------------------------------------------------
COMMON STOCKS 99.6%
AEROSPACE & DEFENSE 2.3%
Boeing Co. .................. 80,096 $7,896,665
United Technologies Corp. ... 101,154 7,747,385
------------
TOTAL AEROSPACE & DEFENSE 15,644,050
------------
AIR FREIGHT & LOGISTICS 0.8%
United Parcel Service,
Inc. -- Class B........... 68,295 5,128,955
------------
TOTAL AIR FREIGHT & LOGISTICS 5,128,955
------------
BEVERAGES 3.9%
Coca-Cola Co. ............... 234,966 14,511,500
PepsiCo, Inc. ............... 165,697 12,215,183
------------
TOTAL BEVERAGES 26,726,683
------------
BIOTECHNOLOGY 1.5%
Amgen, Inc.*................. 110,364 6,413,252
Genentech, Inc.*............. 47,350 3,510,056
------------
TOTAL BIOTECHNOLOGY 9,923,308
------------
CAPITAL MARKETS 3.5%
Goldman Sachs Group, Inc. ... 43,189 10,707,417
Merrill Lynch & Co., Inc. ... 90,044 5,944,705
Morgan Stanley............... 108,897 7,324,412
------------
TOTAL CAPITAL MARKETS 23,976,534
------------
COMMERCIAL BANKS 3.0%
Wachovia Corp. .............. 194,635 8,900,659
Wells Fargo & Co. ........... 341,520 11,615,095
------------
TOTAL COMMERCIAL BANKS 20,515,754
------------
COMMUNICATIONS EQUIPMENT 4.1%
Cisco Systems, Inc.*......... 616,883 20,394,152
QUALCOMM, Inc. .............. 169,545 7,244,658
------------
TOTAL COMMUNICATIONS EQUIPMENT 27,638,810
------------
COMPUTERS & PERIPHERALS 6.9%
Apple, Inc.*................. 87,981 16,711,991
Hewlett-Packard Co. ......... 272,261 14,070,449
International Business
Machines Corp. ........... 138,736 16,110,024
------------
TOTAL COMPUTERS & PERIPHERALS 46,892,464
------------
CONSUMER FINANCE 1.1%
American Express Co. ........ 105,343 6,420,656
Discover Financial Services.. 48,468 935,432
------------
TOTAL CONSUMER FINANCE 7,356,088
------------
DIVERSIFIED FINANCIAL SERVICES 8.7%
Bank of America Corp. ....... 451,417 21,794,413
Citigroup, Inc. ............. 503,159 21,082,362
JPMorgan Chase & Co. ........ 347,494 16,332,218
------------
TOTAL DIVERSIFIED FINANCIAL SERVICES 59,208,993
------------
DIVERSIFIED TELECOMMUNICATION SERVICES 5.8%
AT&T, Inc. .................. 627,170 26,209,434
Verizon Communications,
Inc. ..................... 295,336 13,606,130
------------
TOTAL DIVERSIFIED TELECOMMUNICATION
SERVICES 39,815,564
------------
ELECTRONIC EQUIPMENT & INSTRUMENTS 0.3%
Tyco Electronics, Ltd. ...... 50,417 1,798,374
------------
TOTAL ELECTRONIC EQUIPMENT & INSTRUMENTS 1,798,374
------------
ENERGY EQUIPMENT & SERVICES 1.7%
Schlumberger, Ltd. .......... 119,890 11,577,777
------------
TOTAL ENERGY EQUIPMENT & SERVICES 11,577,777
------------
FOOD & STAPLES RETAILING 1.6%
Wal-Mart Stores, Inc. ....... 245,266 11,088,476
------------
TOTAL FOOD & STAPLES RETAILING 11,088,476
------------
HEALTH CARE EQUIPMENT & SUPPLIES 0.3%
Covidien, Ltd. .............. 50,417 2,097,347
------------
TOTAL HEALTH CARE EQUIPMENT & SUPPLIES 2,097,347
------------
HEALTH CARE PROVIDERS & SERVICES 1.0%
UnitedHealth Group, Inc. .... 136,316 6,699,931
------------
TOTAL HEALTH CARE PROVIDERS & SERVICES 6,699,931
------------
HOUSEHOLD PRODUCTS 3.3%
Procter & Gamble Co. ........ 320,314 22,268,229
------------
TOTAL HOUSEHOLD PRODUCTS 22,268,229
------------
INDUSTRIAL CONGLOMERATES 6.6%
General Electric Co. ........ 1,046,524 43,074,928
Tyco International, Ltd. .... 50,417 2,075,668
------------
TOTAL INDUSTRIAL CONGLOMERATES 45,150,596
------------
INSURANCE 2.1%
American International Group,
Inc. ..................... 228,004 14,391,612
------------
TOTAL INSURANCE 14,391,612
------------
INTERNET SOFTWARE & SERVICES 2.4%
Google, Inc. -- Class A*..... 23,333 16,496,431
------------
TOTAL INTERNET SOFTWARE & SERVICES 16,496,431
------------
MEDIA 3.7%
Comcast Corp. -- Class A*.... 300,419 6,323,820
News Corp. -- Class A........ 231,804 5,023,193
Time Warner, Inc. ........... 383,140 6,996,136
Walt Disney Co. ............. 201,575 6,980,542
------------
TOTAL MEDIA 25,323,691
------------
OIL, GAS & CONSUMABLE FUELS 12.7%
Chevron Corp. ............... 218,617 20,005,641
ConocoPhillips............... 166,256 14,125,110
Exxon Mobil Corp. ........... 573,030 52,713,030
------------
TOTAL OIL, GAS & CONSUMABLE FUELS 86,843,781
------------
PHARMACEUTICALS 10.3%
Abbott Laboratories.......... 156,682 8,557,971
Eli Lilly & Co. ............. 101,045 5,471,587
Johnson & Johnson............ 294,636 19,201,428
Merck & Co., Inc. ........... 220,460 12,844,000
Pfizer, Inc. ................ 713,904 17,569,177
Wyeth........................ 136,826 6,653,848
------------
TOTAL PHARMACEUTICALS 70,298,011
------------
</Table>
46
See Notes to Financial Statements.
RYDEX RUSSELL TOP 50 ETF
SCHEDULE OF INVESTMENTS (continued) October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- --------------------------------------------------------
COMMON STOCKS (CONTINUED)
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT 2.3%
Intel Corp. ................. 591,095 $15,900,456
------------
TOTAL SEMICONDUCTORS & SEMICONDUCTOR
EQUIPMENT 15,900,456
------------
SOFTWARE 5.8%
Microsoft Corp. ............. 834,971 30,735,282
Oracle Corp.*................ 392,203 8,695,141
------------
TOTAL SOFTWARE 39,430,423
------------
SPECIALTY RETAIL 0.9%
Home Depot, Inc. ............ 200,346 6,312,902
------------
TOTAL SPECIALTY RETAIL 6,312,902
------------
TOBACCO 2.3%
Altria Group, Inc. .......... 213,943 15,602,863
------------
TOTAL TOBACCO 15,602,863
------------
WIRELESS TELECOMMUNICATION SERVICES 0.7%
Sprint Nextel Corp. ......... 286,099 4,892,293
------------
TOTAL WIRELESS TELECOMMUNICATION SERVICES 4,892,293
------------
TOTAL COMMON STOCKS
(Cost $624,824,493) 679,000,396
------------
SHORT TERM INVESTMENTS 0.3%
SSgA Prime Money Market
Fund...................... 1,797,220 1,797,220
------------
TOTAL SHORT TERM INVESTMENTS
(Cost $1,797,220) 1,797,220
------------
TOTAL INVESTMENTS 99.9%
(Cost $626,621,713) 680,797,616
------------
OTHER ASSETS IN EXCESS OF
LIABILITIES-- 0.1% 557,163
------------
NET ASSETS-- 100.0% $681,354,779
- --------------------------------------------------------
</Table>
* Non-Income Producing Security.
47 ANNUAL REPORT
See Notes to Financial Statements.
RYDEX S&P 500 PURE VALUE ETF
SCHEDULE OF INVESTMENTS October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- -------------------------------------------------------
COMMON STOCKS 99.5%
AEROSPACE & DEFENSE 1.8%
Goodrich Corp. ................ 2,640 $183,902
Northrop Grumman Corp. ........ 4,160 347,859
Raytheon Co. .................. 2,780 176,836
-----------
TOTAL AEROSPACE & DEFENSE 708,597
-----------
AUTO COMPONENTS 1.7%
Goodyear Tire & Rubber Co.*.... 8,840 266,526
Johnson Controls, Inc. ........ 8,930 390,420
-----------
TOTAL AUTO COMPONENTS 656,946
-----------
AUTOMOBILES 4.6%
Ford Motor Co.*................ 127,490 1,130,836
General Motors Corp. .......... 17,220 674,852
-----------
TOTAL AUTOMOBILES 1,805,688
-----------
BEVERAGES 2.2%
Coca-Cola Enterprises, Inc. ... 14,410 371,922
Molson Coors Brewing
Co. -- Class B.............. 9,110 521,365
-----------
TOTAL BEVERAGES 893,287
-----------
BUILDING PRODUCTS 0.5%
Masco Corp. ................... 7,840 188,787
-----------
TOTAL BUILDING PRODUCTS 188,787
-----------
CAPITAL MARKETS 0.2%
Bear Stearns Cos., Inc. ....... 740 84,064
-----------
TOTAL CAPITAL MARKETS 84,064
-----------
CHEMICALS 4.0%
Air Products & Chemicals,
Inc. ....................... 2,140 209,399
Ashland, Inc. ................. 5,490 322,373
Dow Chemical Co. .............. 8,250 371,580
Eastman Chemical Co. .......... 5,140 342,272
PPG Industries, Inc. .......... 3,070 229,452
Rohm & Haas Co. ............... 2,200 114,136
-----------
TOTAL CHEMICALS 1,589,212
-----------
COMMERCIAL BANKS 5.8%
BB&T Corp. .................... 4,960 183,371
Comerica, Inc. ................ 4,710 219,863
Fifth Third Bancorp............ 5,090 159,215
Huntington Bancshares, Inc. ... 10,690 191,458
KeyCorp........................ 6,940 197,443
National City Corp. ........... 10,130 245,652
PNC Financial Services Group,
Inc. ....................... 2,810 202,770
Regions Financial Corp. ....... 8,300 225,096
SunTrust Banks, Inc. .......... 2,160 156,816
U.S. Bancorp................... 4,980 165,137
Wachovia Corp. ................ 5,220 238,710
Wells Fargo & Co. ............. 3,860 131,279
-----------
TOTAL COMMERCIAL BANKS 2,316,810
-----------
COMMERCIAL SERVICES & SUPPLIES 1.8%
Allied Waste Industries,
Inc.*....................... 15,920 201,229
R.R. Donnelley & Sons Co. ..... 9,400 378,726
Waste Management, Inc. ........ 3,470 126,273
-----------
TOTAL COMMERCIAL SERVICES & SUPPLIES 706,228
-----------
CONTAINERS & PACKAGING 1.4%
Bemis Co., Inc. ............... 4,390 123,622
Temple-Inland, Inc. ........... 8,210 440,631
-----------
TOTAL CONTAINERS & PACKAGING 564,253
-----------
DISTRIBUTORS 0.5%
Genuine Parts Co. ............. 3,850 188,920
-----------
TOTAL DISTRIBUTORS 188,920
-----------
DIVERSIFIED FINANCIAL SERVICES 2.2%
Bank of America Corp. ......... 4,470 215,812
CIT Group, Inc. ............... 4,380 154,351
Citigroup, Inc. ............... 4,840 202,796
JPMorgan Chase & Co. .......... 6,210 291,870
-----------
TOTAL DIVERSIFIED FINANCIAL SERVICES 864,829
-----------
DIVERSIFIED TELECOMMUNICATION SERVICES 6.6%
AT&T, Inc. .................... 7,900 330,141
CenturyTel, Inc. .............. 3,920 172,676
Citizens Communications Co. ... 25,180 331,369
Embarq Corp. .................. 14,180 750,406
Verizon Communications, Inc. .. 12,250 564,357
Windstream Corp. .............. 33,560 451,382
-----------
TOTAL DIVERSIFIED TELECOMMUNICATION
SERVICES 2,600,331
-----------
ELECTRIC UTILITIES 8.5%
American Electric Power Co.,
Inc. ....................... 6,600 318,186
Duke Energy Corp. ............. 15,990 306,528
Entergy Corp. ................. 1,710 204,978
FirstEnergy Corp. ............. 4,540 316,438
FPL Group, Inc. ............... 3,020 206,629
Integrys Energy Group, Inc. ... 13,100 704,911
Pinnacle West Capital Corp. ... 9,140 369,256
PPL Corp. ..................... 4,150 214,555
Progress Energy, Inc. ......... 9,490 455,520
Southern Co. .................. 7,970 292,180
-----------
TOTAL ELECTRIC UTILITIES 3,389,181
-----------
FOOD & STAPLES RETAILING 3.7%
Costco Wholesale Corp. ........ 3,440 231,374
Kroger Co. .................... 12,940 380,307
Safeway, Inc. ................. 7,360 250,240
SUPERVALU, Inc. ............... 15,930 617,287
-----------
TOTAL FOOD & STAPLES RETAILING 1,479,208
-----------
FOOD PRODUCTS 2.9%
ConAgra Foods, Inc. ........... 9,130 216,655
Kraft Foods, Inc. -- Class A... 5,290 176,739
Sara Lee Corp. ................ 19,460 321,868
Tyson Foods, Inc. -- Class A... 28,650 452,670
-----------
TOTAL FOOD PRODUCTS 1,167,932
-----------
GAS UTILITIES 0.8%
Nicor, Inc. ................... 7,400 320,198
-----------
TOTAL GAS UTILITIES 320,198
-----------
HEALTH CARE PROVIDERS & SERVICES 2.8%
AmerisourceBergen Corp. ....... 9,390 442,363
McKesson Corp. ................ 6,500 429,650
Medco Health Solutions, Inc.*.. 2,620 247,275
-----------
TOTAL HEALTH CARE PROVIDERS & SERVICES 1,119,288
-----------
</Table>
48
See Notes to Financial Statements.
RYDEX S&P 500 PURE VALUE ETF
SCHEDULE OF INVESTMENTS (continued) October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- -------------------------------------------------------
COMMON STOCKS (CONTINUED)
HOTELS, RESTAURANTS & LEISURE 0.5%
Wyndham Worldwide Corp. ....... 5,570 $182,863
-----------
TOTAL HOTELS, RESTAURANTS & LEISURE 182,863
-----------
HOUSEHOLD DURABLES 2.1%
Leggett & Platt, Inc. ......... 12,180 236,657
Newell Rubbermaid, Inc. ....... 4,470 130,345
Stanley Works.................. 2,280 131,214
Whirlpool Corp. ............... 4,010 317,512
-----------
TOTAL HOUSEHOLD DURABLES 815,728
-----------
INDEPENDENT POWER PRODUCERS & ENERGY TRADERS 0.9%
Dynegy, Inc. -- Class A*....... 36,880 339,665
-----------
TOTAL INDEPENDENT POWER PRODUCERS & ENERGY
TRADERS 339,665
-----------
INSURANCE 7.9%
ACE, Ltd. ..................... 5,410 327,900
Allstate Corp. ................ 4,800 251,520
Chubb Corp. ................... 3,390 180,857
Cincinnati Financial Corp. .... 7,610 302,726
Genworth Financial,
Inc. -- Class A............. 6,610 180,453
Hartford Financial Services
Group, Inc. ................ 2,810 272,654
Lincoln National Corp. ........ 3,670 228,898
SAFECO Corp. .................. 3,220 186,438
Travelers Cos., Inc. .......... 6,190 323,180
Unum Group..................... 18,400 429,456
XL Capital, Ltd. -- Class A.... 6,230 448,248
-----------
TOTAL INSURANCE 3,132,330
-----------
IT SERVICES 1.2%
Computer Sciences Corp.*....... 4,510 263,339
Electronic Data Systems
Corp. ...................... 4,210 90,894
Unisys Corp.*.................. 18,450 112,176
-----------
TOTAL IT SERVICES 466,409
-----------
LEISURE EQUIPMENT & PRODUCTS 1.5%
Brunswick Corp. ............... 11,480 256,119
Eastman Kodak Co. ............. 11,170 320,132
-----------
TOTAL LEISURE EQUIPMENT & PRODUCTS 576,251
-----------
MACHINERY 1.8%
Cummins, Inc. ................. 4,160 499,034
PACCAR, Inc. .................. 3,890 216,128
-----------
TOTAL MACHINERY 715,162
-----------
MEDIA 2.9%
CBS Corp. -- Class B........... 12,130 348,131
Dow Jones & Co., Inc. ......... 3,850 230,268
Gannett Co., Inc. ............. 2,390 101,360
New York Times Co. -- Class A.. 7,650 149,634
Time Warner, Inc. ............. 7,000 127,820
Tribune Co. ................... 6,430 194,572
-----------
TOTAL MEDIA 1,151,785
-----------
METALS & MINING 2.2%
Alcoa, Inc. ................... 7,950 314,741
Freeport-McMoRan Copper & Gold,
Inc. ....................... 2,790 328,327
United States Steel Corp. ..... 2,200 237,380
-----------
TOTAL METALS & MINING 880,448
-----------
MULTI-UTILITIES 10.9%
Ameren Corp. .................. 6,460 349,228
CenterPoint Energy, Inc. ...... 23,570 395,033
CMS Energy Corp. .............. 18,620 315,981
Consolidated Edison, Inc. ..... 8,520 401,207
Dominion Resources, Inc. ...... 3,160 289,551
DTE Energy Co. ................ 10,680 529,728
NiSource, Inc. ................ 20,760 424,542
PG&E Corp. .................... 4,950 242,203
Public Service Enterprise
Group, Inc. ................ 3,840 367,104
Sempra Energy.................. 3,850 236,814
TECO Energy, Inc. ............. 18,630 313,543
Xcel Energy, Inc. ............. 19,400 437,470
-----------
TOTAL MULTI-UTILITIES 4,302,404
-----------
MULTILINE RETAIL 0.2%
Federated Department Stores,
Inc. ....................... 3,040 97,371
-----------
TOTAL MULTILINE RETAIL 97,371
-----------
OIL, GAS & CONSUMABLE FUELS 3.1%
ConocoPhillips................. 5,960 506,362
Hess Corp. .................... 5,070 363,063
Marathon Oil Corp. ............ 6,150 363,649
-----------
TOTAL OIL, GAS & CONSUMABLE FUELS 1,233,074
-----------
PAPER & FOREST PRODUCTS 2.6%
International Paper Co. ....... 7,290 269,438
MeadWestvaco Corp. ............ 11,830 397,961
Weyerhaeuser Co. .............. 4,770 362,091
-----------
TOTAL PAPER & FOREST PRODUCTS 1,029,490
-----------
PHARMACEUTICALS 0.4%
Bristol-Myers Squibb Co. ...... 5,690 170,643
-----------
TOTAL PHARMACEUTICALS 170,643
-----------
REAL ESTATE INVESTMENT TRUSTS (REITS) 1.4%
Apartment Investment &
Management Co. -- Class A... 3,850 179,911
Boston Properties, Inc. ....... 1,460 158,176
Plum Creek Timber Co., Inc. ... 5,000 223,350
-----------
TOTAL REAL ESTATE INVESTMENT TRUSTS
(REITS) 561,437
-----------
ROAD & RAIL 1.3%
Ryder System, Inc. ............ 6,850 327,772
Union Pacific Corp. ........... 1,540 197,182
-----------
TOTAL ROAD & RAIL 524,954
-----------
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT 0.2%
Micron Technology, Inc.*....... 8,910 93,644
-----------
TOTAL SEMICONDUCTORS & SEMICONDUCTOR
EQUIPMENT 93,644
-----------
SPECIALTY RETAIL 1.6%
AutoNation, Inc.*.............. 21,350 377,682
Circuit City Stores, Inc. ..... 9,010 71,449
OfficeMax, Inc. ............... 5,500 174,075
-----------
TOTAL SPECIALTY RETAIL 623,206
-----------
TEXTILES, APPAREL & LUXURY GOODS 0.3%
Jones Apparel Group, Inc. ..... 6,290 131,713
-----------
TOTAL TEXTILES, APPAREL & LUXURY GOODS 131,713
-----------
</Table>
49 ANNUAL REPORT
See Notes to Financial Statements.
RYDEX S&P 500 PURE VALUE ETF
SCHEDULE OF INVESTMENTS (continued) October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- -------------------------------------------------------
COMMON STOCKS (CONTINUED)
THRIFTS & MORTGAGE FINANCE 2.5%
Federal National Mortgage
Association................. 12,750 $727,260
Washington Mutual, Inc. ....... 9,370 261,236
-----------
TOTAL THRIFTS & MORTGAGE FINANCE 988,496
-----------
TOBACCO 0.4%
Reynolds American, Inc. ....... 2,360 152,055
-----------
TOTAL TOBACCO 152,055
-----------
WIRELESS TELECOMMUNICATION SERVICES 1.6%
ALLTEL Corp. .................. 4,880 347,212
Sprint Nextel Corp. ........... 16,490 281,979
-----------
TOTAL WIRELESS TELECOMMUNICATION SERVICES 629,191
-----------
TOTAL COMMON STOCKS
(Cost $39,674,559) 39,442,078
-----------
SHORT TERM INVESTMENTS 0.3%
SSgA Prime Money Market Fund... 127,958 127,958
-----------
TOTAL SHORT TERM INVESTMENTS
(Cost $127,958) 127,958
-----------
TOTAL INVESTMENTS 99.8%
(Cost $39,802,517) 39,570,036
-----------
OTHER ASSETS IN EXCESS OF
LIABILITIES--0.2% 64,829
-----------
NET ASSETS--100.0% $39,634,865
- -------------------------------------------------------
</Table>
* Non-Income Producing Security.
50
See Notes to Financial Statements.
RYDEX S&P 500 PURE GROWTH ETF
SCHEDULE OF INVESTMENTS October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- ------------------------------------------------------
COMMON STOCKS 99.9%
AEROSPACE & DEFENSE 2.8%
General Dynamics Corp. ........ 4,829 $439,246
L-3 Communications Holdings,
Inc. ....................... 5,118 561,138
Rockwell Collins, Inc. ........ 6,198 463,672
United Technologies Corp. ..... 4,109 314,708
-----------
TOTAL AEROSPACE & DEFENSE 1,778,764
-----------
AIR FREIGHT & LOGISTICS 1.3%
C.H. Robinson Worldwide,
Inc. ....................... 6,998 349,340
Expeditors International of
Washington, Inc. ........... 9,428 477,528
-----------
TOTAL AIR FREIGHT & LOGISTICS 826,868
-----------
AUTOMOBILES 0.6%
Harley-Davidson, Inc. ......... 7,578 390,267
-----------
TOTAL AUTOMOBILES 390,267
-----------
BEVERAGES 2.6%
Anheuser-Busch Cos., Inc. ..... 8,068 413,727
Brown-Forman Corp. -- Class B.. 3,769 278,831
Pepsi Bottling Group, Inc. .... 14,956 644,305
PepsiCo, Inc. ................. 4,459 328,717
-----------
TOTAL BEVERAGES 1,665,580
-----------
BIOTECHNOLOGY 2.8%
Amgen, Inc.*................... 5,778 335,760
Celgene Corp.*................. 4,709 310,794
Genzyme Corp.*................. 3,709 281,773
Gilead Sciences, Inc.*......... 18,755 866,293
-----------
TOTAL BIOTECHNOLOGY 1,794,620
-----------
BUILDING PRODUCTS 0.6%
American Standard Cos., Inc. .. 10,627 396,068
-----------
TOTAL BUILDING PRODUCTS 396,068
-----------
CAPITAL MARKETS 0.8%
Federated Investors,
Inc. -- Class B............. 12,297 528,771
-----------
TOTAL CAPITAL MARKETS 528,771
-----------
CHEMICALS 2.1%
Ecolab, Inc. .................. 7,918 373,492
International Flavors &
Fragrances, Inc. ........... 5,018 261,990
Praxair, Inc. ................. 3,419 292,256
Sigma-Aldrich Corp. ........... 8,228 425,141
-----------
TOTAL CHEMICALS 1,352,879
-----------
COMMERCIAL BANKS 0.6%
Commerce Bancorp, Inc. ........ 9,947 405,340
-----------
TOTAL COMMERCIAL BANKS 405,340
-----------
COMMERCIAL SERVICES & SUPPLIES 0.7%
Cintas Corp. .................. 5,588 204,521
Pitney Bowes, Inc. ............ 5,878 235,355
-----------
TOTAL COMMERCIAL SERVICES & SUPPLIES 439,876
-----------
COMMUNICATIONS EQUIPMENT 1.1%
Cisco Systems, Inc.*........... 10,877 359,593
QUALCOMM, Inc. ................ 7,208 307,998
-----------
TOTAL COMMUNICATIONS EQUIPMENT 667,591
-----------
COMPUTERS & PERIPHERALS 3.0%
Dell, Inc.*.................... 17,066 522,220
International Business Machines
Corp. ...................... 3,029 351,727
Lexmark International,
Inc. -- Class A*............ 5,349 224,605
Network Appliance, Inc.*....... 6,848 215,644
QLogic Corp.*.................. 17,425 270,610
SanDisk Corp.*................. 6,838 303,607
-----------
TOTAL COMPUTERS & PERIPHERALS 1,888,413
-----------
CONSTRUCTION & ENGINEERING 0.5%
Jacobs Engineering Group,
Inc.*....................... 3,470 302,411
-----------
TOTAL CONSTRUCTION & ENGINEERING 302,411
-----------
CONSUMER FINANCE 1.6%
American Express Co. .......... 4,009 244,348
Capital One Financial Corp. ... 5,518 361,926
SLM Corp. ..................... 8,379 395,154
-----------
TOTAL CONSUMER FINANCE 1,001,428
-----------
CONTAINERS & PACKAGING 1.0%
Ball Corp. .................... 8,268 409,927
Pactiv Corp.*.................. 7,448 204,597
-----------
TOTAL CONTAINERS & PACKAGING 614,524
-----------
DIVERSIFIED CONSUMER SERVICES 2.7%
Apollo Group, Inc. -- Class
A*.......................... 15,666 1,241,687
H&R Block, Inc. ............... 21,614 471,185
-----------
TOTAL DIVERSIFIED CONSUMER SERVICES 1,712,872
-----------
DIVERSIFIED FINANCIAL SERVICES 2.2%
CME Group, Inc. ............... 930 619,612
Leucadia National Corp. ....... 8,527 431,978
Moody's Corp. ................. 7,758 339,180
-----------
TOTAL DIVERSIFIED FINANCIAL SERVICES 1,390,770
-----------
ELECTRONIC EQUIPMENT & INSTRUMENTS 0.3%
Jabil Circuit, Inc. ........... 7,888 171,406
-----------
TOTAL ELECTRONIC EQUIPMENT & INSTRUMENTS 171,406
-----------
ENERGY EQUIPMENT & SERVICES 2.8%
BJ Services Co. ............... 11,137 280,541
Nabors Industries, Ltd.*....... 10,417 292,509
National-Oilwell Varco, Inc.*.. 6,888 504,477
Noble Corp. ................... 3,909 206,982
Smith International, Inc. ..... 7,118 470,144
-----------
TOTAL ENERGY EQUIPMENT & SERVICES 1,754,653
-----------
FOOD & STAPLES RETAILING 1.6%
Sysco Corp. ................... 10,877 372,972
Wal-Mart Stores, Inc. ......... 7,288 329,491
Walgreen Co. .................. 7,748 307,208
-----------
TOTAL FOOD & STAPLES RETAILING 1,009,671
-----------
FOOD PRODUCTS 2.3%
Campbell Soup Co. ............. 7,518 278,016
Hershey Co. ................... 5,428 234,001
Kellogg Co. ................... 6,438 339,862
McCormick & Co., Inc. ......... 6,528 228,676
Wm. Wrigley Jr. Co. ........... 5,778 356,329
-----------
TOTAL FOOD PRODUCTS 1,436,884
-----------
</Table>
51 ANNUAL REPORT
See Notes to Financial Statements.
RYDEX S&P 500 PURE GROWTH ETF
SCHEDULE OF INVESTMENTS (continued) October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- ------------------------------------------------------
COMMON STOCKS (CONTINUED)
GAS UTILITIES 0.5%
Questar Corp. ................. 5,658 $322,959
-----------
TOTAL GAS UTILITIES 322,959
-----------
HEALTH CARE EQUIPMENT & SUPPLIES 7.0%
Baxter International, Inc. .... 4,459 267,585
Becton, Dickinson & Co. ....... 3,559 297,034
Boston Scientific Corp.*....... 20,224 280,507
C.R. Bard, Inc. ............... 3,409 285,026
Hospira, Inc.*................. 21,294 880,081
Medtronic, Inc. ............... 7,028 333,408
St Jude Medical, Inc.*......... 10,767 438,540
Stryker Corp. ................. 8,398 596,258
Varian Medical Systems, Inc.*.. 9,767 476,337
Zimmer Holdings, Inc.*......... 8,088 562,035
-----------
TOTAL HEALTH CARE EQUIPMENT & SUPPLIES 4,416,811
-----------
HEALTH CARE PROVIDERS & SERVICES 6.8%
Cardinal Health, Inc. ......... 6,138 417,568
Coventry Health Care, Inc.*.... 12,797 771,787
Express Scripts, Inc.*......... 18,255 1,151,891
Humana, Inc.*.................. 4,319 323,709
Laboratory Corp. of America
Holdings*................... 2,879 197,931
Patterson Cos., Inc.*.......... 12,437 486,411
Quest Diagnostics, Inc. ....... 8,807 468,356
UnitedHealth Group, Inc. ...... 10,557 518,877
-----------
TOTAL HEALTH CARE PROVIDERS & SERVICES 4,336,530
-----------
HEALTH CARE TECHNOLOGY 0.5%
IMS Health, Inc. .............. 13,167 331,940
-----------
TOTAL HEALTH CARE TECHNOLOGY 331,940
-----------
HOTELS, RESTAURANTS & LEISURE 2.7%
Darden Restaurants, Inc. ...... 9,287 399,341
International Game Technology.. 11,847 516,648
Starbucks Corp.*............... 13,556 361,674
Yum! Brands, Inc. ............. 10,777 433,990
-----------
TOTAL HOTELS, RESTAURANTS & LEISURE 1,711,653
-----------
HOUSEHOLD DURABLES 1.1%
Black & Decker Corp. .......... 3,909 351,458
Harman International
Industries, Inc. ........... 3,949 332,506
-----------
TOTAL HOUSEHOLD DURABLES 683,964
-----------
HOUSEHOLD PRODUCTS 1.7%
Clorox Co. .................... 5,428 339,630
Colgate-Palmolive Co. ......... 5,228 398,739
Procter & Gamble Co. .......... 4,919 341,969
-----------
TOTAL HOUSEHOLD PRODUCTS 1,080,338
-----------
INDEPENDENT POWER PRODUCERS & ENERGY TRADERS 0.4%
AES Corp.*..................... 10,537 225,597
-----------
TOTAL INDEPENDENT POWER PRODUCERS &
ENERGY TRADERS 225,597
-----------
INSURANCE 1.4%
Ambac Financial Group, Inc. ... 4,748 174,869
American International Group,
Inc. ....................... 4,169 263,147
Progressive Corp. ............. 24,813 459,041
-----------
TOTAL INSURANCE 897,057
-----------
INTERNET & CATALOG RETAIL 2.6%
Amazon.com, Inc.*.............. 18,215 1,623,867
-----------
TOTAL INTERNET & CATALOG RETAIL 1,623,867
-----------
INTERNET SOFTWARE & SERVICES 4.5%
Akamai Technologies, Inc.*..... 15,486 606,896
eBay, Inc.*.................... 18,605 671,640
Google, Inc. -- Class A*....... 1,519 1,073,933
Yahoo!, Inc.*.................. 15,746 489,701
-----------
TOTAL INTERNET SOFTWARE & SERVICES 2,842,170
-----------
IT SERVICES 3.6%
Affiliated Computer Services,
Inc. -- Class A*............ 7,358 372,756
Automatic Data Processing,
Inc. ....................... 4,839 239,821
Cognizant Technology Solutions
Corp. -- Class A*........... 16,236 673,144
Fidelity National Information
Services, Inc. ............. 3,709 171,059
Fiserv, Inc.*.................. 8,577 475,166
Paychex, Inc. ................. 7,588 317,027
-----------
TOTAL IT SERVICES 2,248,973
-----------
LIFE SCIENCES TOOLS & SERVICES 1.6%
Applera Corp. -- Applied
Biosystems Group............ 4,539 168,579
Millipore Corp.*............... 2,679 208,024
Waters Corp.*.................. 8,158 628,003
-----------
TOTAL LIFE SCIENCES TOOLS & SERVICES 1,004,606
-----------
MACHINERY 1.2%
Danaher Corp. ................. 4,679 400,850
ITT Corp. ..................... 5,199 347,917
-----------
TOTAL MACHINERY 748,767
-----------
MEDIA 0.8%
McGraw-Hill Cos., Inc. ........ 3,759 188,101
Omnicom Group, Inc. ........... 6,388 325,660
-----------
TOTAL MEDIA 513,761
-----------
METALS & MINING 1.0%
Newmont Mining Corp. (Holding
Co.)........................ 5,808 295,395
Nucor Corp. ................... 5,938 368,275
-----------
TOTAL METALS & MINING 663,670
-----------
MULTILINE RETAIL 0.5%
Kohl's Corp.*.................. 6,018 330,809
-----------
TOTAL MULTILINE RETAIL 330,809
-----------
OIL, GAS & CONSUMABLE FUELS 8.2%
Anadarko Petroleum Corp. ...... 8,527 503,264
Apache Corp. .................. 8,248 856,225
Chesapeake Energy Corp. ....... 13,636 538,349
Devon Energy Corp. ............ 7,538 704,049
EOG Resources, Inc. ........... 7,058 625,339
Exxon Mobil Corp. ............. 3,849 354,069
Murphy Oil Corp. .............. 8,428 620,554
XTO Energy, Inc. .............. 14,606 969,546
-----------
TOTAL OIL, GAS & CONSUMABLE FUELS 5,171,395
-----------
PERSONAL PRODUCTS 1.2%
Avon Products, Inc. ........... 11,457 469,508
Estee Lauder Cos., Inc -- Class
A........................... 6,848 300,627
-----------
TOTAL PERSONAL PRODUCTS 770,135
-----------
</Table>
52
See Notes to Financial Statements.
RYDEX S&P 500 PURE GROWTH ETF
SCHEDULE OF INVESTMENTS (continued) October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- ------------------------------------------------------
COMMON STOCKS (CONTINUED)
PHARMACEUTICALS 3.2%
Allergan, Inc. ................ 3,299 $222,946
Barr Pharmaceuticals, Inc.*.... 7,968 456,726
Forest Laboratories, Inc.*..... 13,127 512,872
Johnson & Johnson.............. 4,888 318,551
Mylan Laboratories, Inc. ...... 16,955 255,003
Wyeth.......................... 5,148 250,347
-----------
TOTAL PHARMACEUTICALS 2,016,445
-----------
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT 1.7%
KLA-Tencor Corp. .............. 2,839 149,473
National Semiconductor Corp. .. 12,227 307,387
NVIDIA Corp.*.................. 18,055 638,786
-----------
TOTAL SEMICONDUCTORS & SEMICONDUCTOR
EQUIPMENT 1,095,646
-----------
SOFTWARE 5.0%
Adobe Systems, Inc.*........... 8,517 407,964
Autodesk, Inc.*................ 7,058 345,136
Citrix Systems, Inc.*.......... 11,147 479,210
Electronic Arts, Inc.*......... 9,087 555,397
Intuit, Inc.*.................. 19,625 631,336
Oracle Corp.*.................. 18,685 414,247
Symantec Corp.*................ 17,965 337,383
-----------
TOTAL SOFTWARE 3,170,673
-----------
SPECIALTY RETAIL 6.5%
Abercrombie & Fitch
Co. -- Class A.............. 6,538 517,810
AutoZone, Inc.*................ 4,449 553,500
Bed Bath & Beyond, Inc.*....... 13,846 469,933
Best Buy Co., Inc. ............ 8,867 430,227
Home Depot, Inc. .............. 9,617 303,032
Lowe's Cos., Inc. ............. 14,326 385,226
RadioShack Corp. .............. 20,014 412,689
Staples, Inc. ................. 9,837 229,595
Tiffany & Co. ................. 6,418 347,727
TJX Cos., Inc. ................ 16,585 479,804
-----------
TOTAL SPECIALTY RETAIL 4,129,543
-----------
TEXTILES, APPAREL & LUXURY GOODS 2.2%
Coach, Inc.*................... 16,266 594,685
Liz Claiborne, Inc. ........... 6,888 196,102
NIKE, Inc. -- Class B.......... 6,358 421,281
Polo Ralph Lauren Corp. ....... 2,829 194,635
-----------
TOTAL TEXTILES, APPAREL & LUXURY GOODS 1,406,703
-----------
TOTAL COMMON STOCKS
(Cost $57,943,659) 63,273,668
-----------
SHORT TERM INVESTMENTS 0.1%
SSgA Prime Money Market Fund... 74,852 74,852
-----------
TOTAL SHORT TERM INVESTMENTS
(Cost $74,852) 74,852
-----------
TOTAL INVESTMENTS 100.0%
(Cost $58,018,511) 63,348,520
-----------
LIABILITIES IN EXCESS OF OTHER
ASSETS--0.0%(A) (8,483)
-----------
NET ASSETS--100.0% $63,340,037
- ------------------------------------------------------
</Table>
* Non-Income Producing Security.
(a) Amount represents less than 0.05% of net assets.
53 ANNUAL REPORT
See Notes to Financial Statements.
RYDEX S&P MIDCAP 400 PURE VALUE ETF
SCHEDULE OF INVESTMENTS October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- ------------------------------------------------------
COMMON STOCKS 99.8%
AIRLINES 0.2%
Alaska Air Group, Inc.*........ 1,870 $47,498
-----------
TOTAL AIRLINES 47,498
-----------
AUTO COMPONENTS 5.8%
ArvinMeritor, Inc. ............ 11,828 175,409
BorgWarner, Inc. .............. 1,930 204,021
Lear Corp.*.................... 15,408 547,446
Modine Manufacturing Co. ...... 13,828 321,639
-----------
TOTAL AUTO COMPONENTS 1,248,515
-----------
BEVERAGES 1.1%
PepsiAmericas, Inc. ........... 6,789 242,503
-----------
TOTAL BEVERAGES 242,503
-----------
CHEMICALS 12.8%
Cabot Corp. ................... 1,570 54,966
CF Industries Holdings, Inc. .. 1,880 165,252
Chemtura Corp. ................ 22,577 210,417
Cytec Industries, Inc. ........ 2,090 139,424
Ferro Corp. ................... 13,428 278,228
Lubrizol Corp. ................ 2,810 190,743
Lyondell Chemical Co. ......... 16,158 766,697
Olin Corp. .................... 19,487 443,914
RPM International, Inc. ....... 8,369 179,348
Sensient Technologies Corp. ... 5,819 173,930
Terra Industries, Inc.*........ 3,749 138,300
-----------
TOTAL CHEMICALS 2,741,219
-----------
COMMERCIAL BANKS 1.8%
Associated Banc-Corp. ......... 3,619 104,444
Colonial BancGroup, Inc. ...... 3,250 62,335
FirstMerit Corp. .............. 6,599 139,899
Webster Financial Corp. ....... 1,950 70,668
-----------
TOTAL COMMERCIAL BANKS 377,346
-----------
COMMERCIAL SERVICES & SUPPLIES 3.1%
Deluxe Corp. .................. 8,489 342,446
Kelly Services, Inc. .......... 10,119 212,802
Manpower, Inc. ................ 1,340 100,152
-----------
TOTAL COMMERCIAL SERVICES & SUPPLIES 655,400
-----------
COMMUNICATIONS EQUIPMENT 0.8%
Andrew Corp.*.................. 11,248 164,896
-----------
TOTAL COMMUNICATIONS EQUIPMENT 164,896
-----------
CONSUMER FINANCE 0.3%
AmeriCredit Corp.*............. 4,069 57,414
-----------
TOTAL CONSUMER FINANCE 57,414
-----------
CONTAINERS & PACKAGING 1.6%
Packaging Corp. of America..... 8,099 257,872
Sonoco Products Co. ........... 2,420 74,827
-----------
TOTAL CONTAINERS & PACKAGING 332,699
-----------
ELECTRIC UTILITIES 7.7%
DPL, Inc. ..................... 3,579 103,934
Great Plains Energy, Inc. ..... 8,359 249,433
Hawaiian Electric Industries,
Inc. ....................... 9,079 210,633
Idacorp, Inc. ................. 4,149 144,759
Northeast Utilities............ 9,849 303,645
Pepco Holdings, Inc. .......... 11,578 329,857
Sierra Pacific Resources....... 5,389 90,912
Westar Energy, Inc. ........... 8,139 216,660
-----------
TOTAL ELECTRIC UTILITIES 1,649,833
-----------
ELECTRONIC EQUIPMENT & INSTRUMENTS 6.7%
Arrow Electronics, Inc.*....... 5,499 219,850
Avnet, Inc.*................... 10,988 458,419
Ingram Micro, Inc. -- Class
A*.......................... 12,668 269,068
KEMET Corp.*................... 12,238 86,523
Tech Data Corp.*............... 4,899 192,678
Vishay Intertechnology, Inc.*.. 15,928 200,533
-----------
TOTAL ELECTRONIC EQUIPMENT & INSTRUMENTS 1,427,071
-----------
FOOD & STAPLES RETAILING 2.3%
BJ's Wholesale Club, Inc.*..... 5,659 203,045
Ruddick Corp. ................. 8,309 282,506
-----------
TOTAL FOOD & STAPLES RETAILING 485,551
-----------
FOOD PRODUCTS 2.6%
J.M. Smucker Co. .............. 2,730 145,864
Lancaster Colony Corp. ........ 3,689 148,187
Smithfield Foods, Inc.*........ 9,299 266,602
-----------
TOTAL FOOD PRODUCTS 560,653
-----------
GAS UTILITIES 4.6%
AGL Resources, Inc. ........... 5,559 219,748
National Fuel Gas Co. ......... 4,029 195,366
Oneok, Inc. ................... 5,729 286,106
WGL Holdings, Inc. ............ 8,499 288,286
-----------
TOTAL GAS UTILITIES 989,506
-----------
HOTELS, RESTAURANTS & LEISURE 0.5%
Bob Evans Farms, Inc. ......... 4,029 113,537
-----------
TOTAL HOTELS, RESTAURANTS & LEISURE 113,537
-----------
HOUSEHOLD DURABLES 2.4%
American Greetings
Corp. -- Class A............ 7,749 204,109
Tupperware Brands Corp. ....... 8,869 320,171
-----------
TOTAL HOUSEHOLD DURABLES 524,280
-----------
INDEPENDENT POWER PRODUCERS & ENERGY TRADERS 1.8%
Black Hills Corp. ............. 8,599 381,968
-----------
TOTAL INDEPENDENT POWER PRODUCERS &
ENERGY TRADERS 381,968
-----------
INDUSTRIAL CONGLOMERATES 0.8%
Sequa Corp.*................... 930 161,653
-----------
TOTAL INDUSTRIAL CONGLOMERATES 161,653
-----------
INSURANCE 6.0%
American Financial Group,
Inc. ....................... 4,649 139,005
Fidelity National Financial,
Inc. -- Class A............. 6,859 105,560
First American Corp. .......... 7,239 217,894
Horace Mann Educators Corp. ... 7,649 158,258
Mercury General Corp. ......... 3,320 170,349
Old Republic International
Corp. ...................... 11,248 172,432
Protective Life Corp. ......... 2,870 123,037
Unitrin, Inc. ................. 4,519 209,275
-----------
TOTAL INSURANCE 1,295,810
-----------
</Table>
54
See Notes to Financial Statements.
RYDEX S&P MIDCAP 400 PURE VALUE ETF
SCHEDULE OF INVESTMENTS (continued) October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- ------------------------------------------------------
COMMON STOCKS (CONTINUED)
LEISURE EQUIPMENT & PRODUCTS 0.5%
Callaway Golf Co. ............. 6,659 $115,334
-----------
TOTAL LEISURE EQUIPMENT & PRODUCTS 115,334
-----------
MACHINERY 2.3%
Kennametal, Inc. .............. 1,250 114,012
Pentair, Inc. ................. 2,380 84,228
Timken Co. .................... 9,099 302,633
-----------
TOTAL MACHINERY 500,873
-----------
MARINE 0.7%
Alexander & Baldwin, Inc. ..... 2,730 142,997
-----------
TOTAL MARINE 142,997
-----------
MEDIA 2.9%
Belo Corp. -- Class A.......... 10,578 195,693
Lee Enterprises, Inc. ......... 5,579 89,543
Media General, Inc. -- Class
A........................... 5,169 144,629
Scholastic Corp.*.............. 5,069 200,631
-----------
TOTAL MEDIA 630,496
-----------
METALS & MINING 1.6%
Worthington Industries, Inc. .. 13,848 346,200
-----------
TOTAL METALS & MINING 346,200
-----------
MULTI-UTILITIES 9.7%
Alliant Energy Corp. .......... 4,269 170,760
Energy East Corp. ............. 15,338 427,623
NSTAR.......................... 3,529 124,080
OGE Energy Corp. .............. 5,479 209,846
PNM Resources, Inc. ........... 5,929 148,284
Puget Energy, Inc. ............ 12,958 366,064
SCANA Corp. ................... 6,709 272,318
Vectren Corp. ................. 8,579 240,555
Wisconsin Energy Corp. ........ 2,370 113,476
-----------
TOTAL MULTI-UTILITIES 2,073,006
-----------
MULTILINE RETAIL 0.7%
Saks, Inc. .................... 6,709 141,962
-----------
TOTAL MULTILINE RETAIL 141,962
-----------
OIL, GAS & CONSUMABLE FUELS 1.8%
Forest Oil Corp.*.............. 3,419 166,129
Overseas Shipholding Group,
Inc. ....................... 3,060 227,664
-----------
TOTAL OIL, GAS & CONSUMABLE FUELS 393,793
-----------
PAPER & FOREST PRODUCTS 0.9%
Louisiana-Pacific Corp. ....... 11,048 181,850
-----------
TOTAL PAPER & FOREST PRODUCTS 181,850
-----------
REAL ESTATE INVESTMENT TRUSTS (REITS) 6.2%
Cousins Properties, Inc. ...... 3,679 105,919
Duke Realty Corp. ............. 2,340 75,231
Equity One, Inc. .............. 6,139 160,719
Highwoods Properties, Inc. .... 2,920 105,003
Hospitality Properties Trust... 3,419 135,392
Liberty Property Trust......... 2,700 101,574
Mack-Cali Realty Corp. ........ 2,600 102,934
Nationwide Health Properties,
Inc. ....................... 4,079 127,346
Potlatch Corp. ................ 4,629 220,618
Rayonier, Inc. ................ 2,850 137,627
Weingarten Realty Investors.... 1,710 65,425
-----------
TOTAL REAL ESTATE INVESTMENT TRUSTS
(REITS) 1,337,788
-----------
ROAD & RAIL 3.4%
Avis Budget Group, Inc.*....... 23,907 498,939
Con-way, Inc. ................. 2,300 98,003
Werner Enterprises, Inc. ...... 7,219 137,305
-----------
TOTAL ROAD & RAIL 734,247
-----------
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT 0.3%
Fairchild Semiconductor
International, Inc.*........ 3,899 71,157
-----------
TOTAL SEMICONDUCTORS & SEMICONDUCTOR
EQUIPMENT 71,157
-----------
SPECIALTY RETAIL 1.2%
Borders Group, Inc. ........... 10,528 162,342
Foot Locker, Inc. ............. 6,389 95,132
-----------
TOTAL SPECIALTY RETAIL 257,474
-----------
THRIFTS & MORTGAGE FINANCE 1.7%
Astoria Financial Corp. ....... 2,630 68,354
First Niagara Financial Group,
Inc. ....................... 11,688 154,281
Washington Federal, Inc. ...... 6,249 150,976
-----------
TOTAL THRIFTS & MORTGAGE FINANCE 373,611
-----------
TOBACCO 1.7%
Universal Corp. ............... 7,569 368,913
-----------
TOTAL TOBACCO 368,913
-----------
TRADING COMPANIES & DISTRIBUTORS 0.8%
United Rentals, Inc.*.......... 5,139 175,702
-----------
TOTAL TRADING COMPANIES & DISTRIBUTORS 175,702
-----------
WIRELESS TELECOMMUNICATION SERVICES 0.5%
Telephone & Data Systems,
Inc. ....................... 1,490 104,002
-----------
TOTAL WIRELESS TELECOMMUNICATION SERVICES 104,002
-----------
TOTAL COMMON STOCKS
(Cost $21,868,700) 21,406,757
-----------
SHORT TERM INVESTMENTS 0.2%
SSgA Prime Money Market Fund... 45,660 45,660
-----------
TOTAL SHORT TERM INVESTMENTS
(Cost $45,660) 45,660
-----------
TOTAL INVESTMENTS 100.0%
(Cost $21,914,360) 21,452,417
-----------
OTHER ASSETS IN EXCESS OF
LIABILITIES--0.0%(A) 5,211
-----------
NET ASSETS--100.0% $21,457,628
- ------------------------------------------------------
</Table>
* Non-Income Producing Security.
(a) Amount represents less than 0.05% of net assets.
55 ANNUAL REPORT
See Notes to Financial Statements.
RYDEX S&P MIDCAP 400 PURE GROWTH ETF
SCHEDULE OF INVESTMENTS October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- -------------------------------------------------------
COMMON STOCKS 99.3%
AEROSPACE & DEFENSE 1.3%
Alliant Techsystems, Inc.*..... 2,570 $283,702
-----------
TOTAL AEROSPACE & DEFENSE 283,702
-----------
AIRLINES 0.5%
Airtran Holdings, Inc.*........ 9,268 96,480
-----------
TOTAL AIRLINES 96,480
-----------
AUTOMOBILES 1.1%
Thor Industries, Inc. ......... 4,669 224,112
-----------
TOTAL AUTOMOBILES 224,112
-----------
BEVERAGES 1.8%
Hansen Natural Corp.*.......... 5,449 370,532
-----------
TOTAL BEVERAGES 370,532
-----------
BIOTECHNOLOGY 1.0%
Cephalon, Inc.*................ 2,740 202,048
-----------
TOTAL BIOTECHNOLOGY 202,048
-----------
CAPITAL MARKETS 3.6%
Eaton Vance Corp. ............. 5,189 259,606
Nuveen Investments,
Inc. -- Class A............. 2,820 182,736
SEI Investments Co. ........... 5,049 159,649
Waddell & Reed Financial,
Inc. -- Class A............. 4,409 146,467
-----------
TOTAL CAPITAL MARKETS 748,458
-----------
COMMERCIAL SERVICES & SUPPLIES 5.2%
ChoicePoint, Inc.*............. 2,680 105,378
Copart, Inc.*.................. 4,469 171,520
Corporate Executive Board
Co. ........................ 2,080 148,200
Dun & Bradstreet Corp. ........ 910 88,133
Mine Safety Appliances Co. .... 3,330 152,481
Rollins, Inc. ................. 6,719 204,056
Stericycle, Inc.*.............. 3,709 216,346
-----------
TOTAL COMMERCIAL SERVICES & SUPPLIES 1,086,114
-----------
COMMUNICATIONS EQUIPMENT 0.9%
Plantronics, Inc. ............. 6,649 181,850
-----------
TOTAL COMMUNICATIONS EQUIPMENT 181,850
-----------
COMPUTERS & PERIPHERALS 1.5%
Western Digital Corp.*......... 12,178 315,654
-----------
TOTAL COMPUTERS & PERIPHERALS 315,654
-----------
DIVERSIFIED CONSUMER SERVICES 8.3%
Career Education Corp.*........ 9,758 348,751
Corinthian Colleges, Inc.*..... 20,267 332,176
DeVry, Inc. ................... 2,980 162,976
ITT Educational Services,
Inc.*....................... 2,880 366,307
Matthews International
Corp. -- Class A............ 3,899 177,678
Strayer Education, Inc. ....... 1,890 352,409
-----------
TOTAL DIVERSIFIED CONSUMER SERVICES 1,740,297
-----------
ELECTRICAL EQUIPMENT 1.1%
AMETEK, Inc. .................. 2,580 121,260
Roper Industries, Inc. ........ 1,570 111,172
-----------
TOTAL ELECTRICAL EQUIPMENT 232,432
-----------
ELECTRONIC EQUIPMENT & INSTRUMENTS 0.8%
Amphenol Corp. ................ 3,970 175,752
-----------
TOTAL ELECTRONIC EQUIPMENT & INSTRUMENTS 175,752
-----------
ENERGY EQUIPMENT & SERVICES 2.4%
FMC Technologies, Inc.*........ 3,420 207,355
Patterson-UTI Energy, Inc. .... 4,959 98,882
Superior Energy Services,
Inc.*....................... 5,279 195,745
-----------
TOTAL ENERGY EQUIPMENT & SERVICES 501,982
-----------
GAS UTILITIES 0.6%
Equitable Resources, Inc. ..... 2,200 123,904
-----------
TOTAL GAS UTILITIES 123,904
-----------
HEALTH CARE EQUIPMENT & SUPPLIES 4.5%
Dentsply International, Inc. .. 4,139 171,686
Edwards Lifesciences Corp.*.... 1,540 77,339
Gen-Probe, Inc.*............... 5,219 365,434
Hologic, Inc.*................. 2,441 165,817
ResMed, Inc.*.................. 3,889 161,121
-----------
TOTAL HEALTH CARE EQUIPMENT & SUPPLIES 941,397
-----------
HEALTH CARE PROVIDERS & SERVICES 4.6%
Apria Healthcare Group, Inc.*.. 7,629 184,393
Community Health Systems,
Inc.*....................... 6,569 216,317
Health Management Associates,
Inc. -- Class A............. 16,607 109,772
Henry Schein, Inc.*............ 2,530 151,547
Lincare Holdings, Inc.*........ 5,169 179,726
Universal Health Services,
Inc. -- Class B............. 2,620 127,725
-----------
TOTAL HEALTH CARE PROVIDERS & SERVICES 969,480
-----------
HEALTH CARE TECHNOLOGY 0.7%
Cerner Corp.*.................. 2,580 153,665
-----------
TOTAL HEALTH CARE TECHNOLOGY 153,665
-----------
HOTELS, RESTAURANTS & LEISURE 3.8%
Applebees International,
Inc. ....................... 6,779 171,780
Brinker International, Inc. ... 4,809 122,101
Cheesecake Factory*............ 5,999 134,558
International Speedway
Corp. -- Class A............ 2,310 102,633
Ruby Tuesday, Inc. ............ 4,699 75,043
Scientific Games Corp. -- Class
A*.......................... 5,269 190,474
-----------
TOTAL HOTELS, RESTAURANTS & LEISURE 796,589
-----------
HOUSEHOLD DURABLES 2.5%
Hovnanian Enterprises,
Inc. -- Class A*............ 7,489 85,150
NVR, Inc.*..................... 390 185,542
Ryland Group, Inc. ............ 4,109 116,819
Toll Brothers, Inc.*........... 6,269 143,623
-----------
TOTAL HOUSEHOLD DURABLES 531,134
-----------
HOUSEHOLD PRODUCTS 2.1%
Church & Dwight Co., Inc. ..... 2,749 130,055
Energizer Holdings, Inc.*...... 3,050 318,115
-----------
TOTAL HOUSEHOLD PRODUCTS 448,170
-----------
INSURANCE 3.2%
Brown & Brown, Inc. ........... 7,459 187,892
Everest Re Group, Ltd. ........ 1,480 157,679
</Table>
56
See Notes to Financial Statements.
RYDEX S&P MIDCAP 400 PURE GROWTH ETF
SCHEDULE OF INVESTMENTS (continued) October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- -------------------------------------------------------
COMMON STOCKS (CONTINUED)
HCC Insurance Holdings, Inc. .. 4,319 $129,095
W.R. Berkley Corp. ............ 6,519 196,157
-----------
TOTAL INSURANCE 670,823
-----------
IT SERVICES 4.2%
Alliance Data Systems Corp.*... 2,360 189,744
CSG Systems International*..... 3,869 79,431
DST Systems, Inc.*............. 3,669 310,801
Global Payments, Inc. ......... 3,520 167,411
SRA International,
Inc. -- Class A*............ 4,899 134,526
-----------
TOTAL IT SERVICES 881,913
-----------
LIFE SCIENCES TOOLS & SERVICES 4.8%
Affymetrix, Inc.*.............. 3,669 93,413
Covance, Inc.*................. 1,190 98,175
Invitrogen Corp.*.............. 2,450 222,631
Pharmaceutical Product
Development, Inc. .......... 4,499 190,038
Techne Corp.*.................. 2,850 185,934
Ventana Medical Systems,
Inc.*....................... 2,418 212,784
-----------
TOTAL LIFE SCIENCES TOOLS & SERVICES 1,002,975
-----------
MACHINERY 1.9%
Donaldson Co., Inc. ........... 3,589 153,824
Graco, Inc. ................... 3,280 129,101
Oshkosh Truck Corp. ........... 2,270 123,034
-----------
TOTAL MACHINERY 405,959
-----------
MEDIA 1.9%
Entercom Communications
Corp. -- Class A............ 4,999 92,731
Harte-Hanks, Inc. ............. 3,390 59,766
John Wiley & Sons, Inc.- Class
A........................... 3,659 160,923
Valassis Communications,
Inc.*....................... 8,379 82,533
-----------
TOTAL MEDIA 395,953
-----------
METALS & MINING 3.3%
Cleveland-Cliffs, Inc. ........ 1,957 187,187
Commercial Metals Co. ......... 6,799 213,353
Steel Dynamics, Inc. .......... 5,519 293,721
-----------
TOTAL METALS & MINING 694,261
-----------
MULTILINE RETAIL 1.7%
99 Cents Only Stores*.......... 14,268 153,381
Dollar Tree Stores, Inc.*...... 5,059 193,760
-----------
TOTAL MULTILINE RETAIL 347,141
-----------
OFFICE ELECTRONICS 0.5%
Zebra Technologies
Corp. -- Class A*........... 2,620 102,416
-----------
TOTAL OFFICE ELECTRONICS 102,416
-----------
OIL, GAS & CONSUMABLE FUELS 7.9%
Denbury Resources, Inc.*....... 5,739 324,827
Frontier Oil Corp. ............ 7,239 331,474
Newfield Exploration Co.*...... 4,159 223,920
Pioneer Natural Resources
Co. ........................ 4,879 248,928
Pogo Producing Co. ............ 4,679 278,681
Quicksilver Resources, Inc.*... 2,720 155,040
Southwestern Energy Co.*....... 1,660 85,872
-----------
TOTAL OIL, GAS & CONSUMABLE FUELS 1,648,742
-----------
PERSONAL PRODUCTS 0.7%
NBTY, Inc.*.................... 3,929 139,872
-----------
TOTAL PERSONAL PRODUCTS 139,872
-----------
PHARMACEUTICALS 3.5%
Endo Pharmaceuticals Holdings,
Inc.*....................... 8,079 236,715
Medicis Pharmaceutical
Corp. -- Class A............ 3,859 114,574
Par Pharmaceutical Cos.,
Inc.*....................... 12,888 237,655
Sepracor, Inc.*................ 4,899 134,918
-----------
TOTAL PHARMACEUTICALS 723,862
-----------
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT 2.4%
Cree, Inc.*.................... 7,359 206,052
Silicon Laboratories, Inc.*.... 6,789 296,679
-----------
TOTAL SEMICONDUCTORS & SEMICONDUCTOR
EQUIPMENT 502,731
-----------
SOFTWARE 3.2%
Activision, Inc.*.............. 4,049 95,759
Fair Isaac Corp. .............. 2,730 103,522
Jack Henry & Associates,
Inc. ....................... 4,939 144,317
Macrovision Corp.*............. 5,119 122,856
McAfee, Inc.*.................. 4,919 203,401
-----------
TOTAL SOFTWARE 669,855
-----------
SPECIALTY RETAIL 10.6%
Advance Auto Parts, Inc. ...... 5,039 171,931
Aeropostale, Inc.*............. 13,258 303,608
American Eagle Outfitters...... 4,139 98,425
Dick's Sporting Goods, Inc.*... 5,979 199,519
GameStop Corp. -- Class A*..... 7,649 452,974
O'Reilly Automotive, Inc.*..... 4,149 137,000
Pacific Sunwear Of
California*................. 9,368 156,633
Petsmart, Inc. ................ 5,569 166,792
Ross Stores, Inc. ............. 5,999 162,093
Urban Outfitters, Inc.*........ 7,969 201,377
Williams-Sonoma, Inc. ......... 5,139 161,570
-----------
TOTAL SPECIALTY RETAIL 2,211,922
-----------
TEXTILES, APPAREL & LUXURY GOODS 0.5%
Timberland Co. -- Class A*..... 5,429 105,920
-----------
TOTAL TEXTILES, APPAREL & LUXURY GOODS 105,920
-----------
TRADING COMPANIES & DISTRIBUTORS 0.7%
Fastenal Co. .................. 3,379 150,298
-----------
TOTAL TRADING COMPANIES & DISTRIBUTORS 150,298
-----------
TOTAL COMMON STOCKS
(Cost $19,730,233) 20,778,395
-----------
SHORT TERM INVESTMENTS 0.7%
SSgA Prime Money Market Fund... 139,759 139,759
-----------
TOTAL SHORT TERM INVESTMENTS
(Cost $139,759) 139,759
-----------
TOTAL INVESTMENTS 100.0%
(Cost $19,869,992) 20,918,154
-----------
LIABILITIES IN EXCESS OF OTHER
ASSETS--0.0%(A) (3,948)
-----------
NET ASSETS--100.0% $20,914,206
- -------------------------------------------------------
</Table>
* Non-Income Producing Security.
(a) Amount represents less than 0.05% of net assets.
57 ANNUAL REPORT
See Notes to Financial Statements.
RYDEX S&P SMALLCAP 600 PURE VALUE ETF
SCHEDULE OF INVESTMENTS October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- ------------------------------------------------------
COMMON STOCKS 99.7%
AEROSPACE & DEFENSE 0.5%
Applied Signal Technology,
Inc. ....................... 7,170 $103,033
-----------
TOTAL AEROSPACE & DEFENSE 103,033
-----------
AIRLINES 2.0%
Frontier Airlines Holdings,
Inc.*....................... 20,069 141,486
Mesa Air Group, Inc.*.......... 33,898 157,626
SkyWest, Inc. ................. 5,110 139,452
-----------
TOTAL AIRLINES 438,564
-----------
AUTO COMPONENTS 2.0%
Standard Motor Products,
Inc. ....................... 20,109 168,111
Superior Industries
International............... 13,799 278,878
-----------
TOTAL AUTO COMPONENTS 446,989
-----------
AUTOMOBILES 2.2%
Coachmen Industries, Inc. ..... 23,579 146,190
Fleetwood Enterprises, Inc.*... 17,289 155,601
Monaco Coach Corp. ............ 16,559 192,084
-----------
TOTAL AUTOMOBILES 493,875
-----------
BUILDING PRODUCTS 1.8%
Apogee Enterprises, Inc. ...... 4,250 100,003
Gibraltar Industries, Inc. .... 6,520 117,490
Lennox International, Inc. .... 2,430 86,751
Universal Forest Products,
Inc. ....................... 2,980 106,714
-----------
TOTAL BUILDING PRODUCTS 410,958
-----------
CAPITAL MARKETS 1.2%
LaBranche & Co., Inc.*......... 16,219 88,880
Piper Jaffray Cos.*............ 1,140 58,596
SWS Group, Inc. ............... 5,960 113,181
-----------
TOTAL CAPITAL MARKETS 260,657
-----------
CHEMICALS 7.7%
Arch Chemicals, Inc. .......... 4,550 207,571
Georgia Gulf Corp. ............ 13,539 163,822
Material Sciences Corp.*....... 7,200 63,072
Omnova Solutions, Inc.*........ 24,139 136,868
Penford Corp. ................. 9,120 321,662
PolyOne Corp.*................. 28,539 228,027
Quaker Chemical Corp. ......... 10,670 230,259
Schulman A, Inc. .............. 10,370 244,836
Tronox, Inc. .................. 9,180 75,551
Zep, Inc.*..................... 4,040 64,640
-----------
TOTAL CHEMICALS 1,736,308
-----------
COMMERCIAL BANKS 3.9%
Central Pacific Financial
Corp. ...................... 1,500 33,645
Community Bank System, Inc. ... 4,690 98,068
First Bancorp.................. 18,369 161,464
First Commonwealth Financial
Corp. ...................... 9,660 110,993
First Financial Bancorp........ 5,680 66,740
Irwin Financial Corp. ......... 3,730 35,957
Provident Bankshares Corp. .... 2,540 62,662
South Financial Group, Inc. ... 3,640 75,202
Sterling Bancorp............... 4,960 72,862
Susquehanna Bancshares, Inc. .. 4,230 85,319
Whitney Holding Corp. ......... 2,480 63,637
-----------
TOTAL COMMERCIAL BANKS 866,549
-----------
COMMERCIAL SERVICES & SUPPLIES 5.8%
ABM Industries, Inc. .......... 5,800 136,416
Angelica Corp. ................ 6,690 115,603
Bowne & Co., Inc. ............. 4,450 77,341
CDI Corp. ..................... 5,190 143,037
Spherion Corp.*................ 38,658 337,098
Standard Register Co. ......... 23,869 306,239
United Stationers, Inc.*....... 2,590 149,987
Volt Information Sciences,
Inc.*....................... 3,020 46,961
-----------
TOTAL COMMERCIAL SERVICES & SUPPLIES 1,312,682
-----------
COMMUNICATIONS EQUIPMENT 0.3%
Tollgrade Communications,
Inc.*....................... 7,880 63,355
-----------
TOTAL COMMUNICATIONS EQUIPMENT 63,355
-----------
COMPUTERS & PERIPHERALS 0.3%
Adaptec, Inc.*................. 21,629 76,350
-----------
TOTAL COMPUTERS & PERIPHERALS 76,350
-----------
CONSTRUCTION & ENGINEERING 1.0%
Shaw Group, Inc.*.............. 1,700 126,820
URS Corp.*..................... 1,650 101,986
-----------
TOTAL CONSTRUCTION & ENGINEERING 228,806
-----------
CONTAINERS & PACKAGING 1.8%
Caraustar Industries, Inc.*.... 18,849 76,150
Chesapeake Corp. .............. 24,339 180,352
Rock-Tenn Co. ................. 4,990 145,508
-----------
TOTAL CONTAINERS & PACKAGING 402,010
-----------
DISTRIBUTORS 0.9%
Audiovox Corp. -- Class A*..... 8,450 101,400
Building Materials Holding
Corp. ...................... 11,819 92,897
-----------
TOTAL DISTRIBUTORS 194,297
-----------
ELECTRIC UTILITIES 4.2%
Allete, Inc. .................. 2,260 98,739
Central Vermont Public Service
Corp. ...................... 11,989 381,011
Cleco Corp. ................... 7,680 202,368
UIL Holdings Corp. ............ 3,660 128,759
Unisource Energy Corp. ........ 4,120 130,686
-----------
TOTAL ELECTRIC UTILITIES 941,563
-----------
ELECTRICAL EQUIPMENT 2.1%
AO Smith Corp. ................ 4,200 157,038
C&D Technologies, Inc.*........ 63,767 307,357
-----------
TOTAL ELECTRICAL EQUIPMENT 464,395
-----------
</Table>
58
See Notes to Financial Statements.
RYDEX S&P SMALLCAP 600 PURE VALUE ETF
SCHEDULE OF INVESTMENTS (continued) October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- ------------------------------------------------------
COMMON STOCKS (CONTINUED)
ELECTRONIC EQUIPMENT & INSTRUMENTS 5.9%
Agilysys, Inc. ................ 14,599 $252,563
Anixter International, Inc.*... 3,070 220,579
Bell Microproducts, Inc.*...... 29,899 179,095
Brightpoint, Inc.*............. 10,100 163,620
CTS Corp. ..................... 4,180 51,623
Insight Enterprises, Inc.*..... 8,170 225,819
Methode Electronics, Inc. ..... 10,240 128,410
Park Electrochemical Corp. .... 3,310 103,669
-----------
TOTAL ELECTRONIC EQUIPMENT & INSTRUMENTS 1,325,378
-----------
FOOD & STAPLES RETAILING 5.4%
Casey's General Stores, Inc. .. 3,900 111,150
Longs Drug Stores Corp. ....... 4,470 234,720
Nash Finch Co. ................ 14,199 531,753
Performance Food Group Co.*.... 8,270 223,207
Spartan Stores, Inc. .......... 5,250 116,707
-----------
TOTAL FOOD & STAPLES RETAILING 1,217,537
-----------
FOOD PRODUCTS 0.6%
Lance, Inc. ................... 6,180 130,892
-----------
TOTAL FOOD PRODUCTS 130,892
-----------
GAS UTILITIES 4.9%
Atmos Energy Corp. ............ 7,610 213,461
Laclede Group, Inc. ........... 5,920 205,957
New Jersey Resources Corp. .... 2,380 117,215
Northwest Natural Gas Co. ..... 2,860 137,766
Piedmont Natural Gas Co. ...... 4,010 102,375
South Jersey Industries,
Inc. ....................... 2,530 95,027
Southwest Gas Corp. ........... 3,570 106,243
UGI Corp. ..................... 4,540 120,855
-----------
TOTAL GAS UTILITIES 1,098,899
-----------
HEALTH CARE EQUIPMENT & SUPPLIES 2.5%
Datascope Corp. ............... 4,440 160,417
Invacare Corp. ................ 6,350 171,831
Theragenics Corp.*............. 47,458 224,477
-----------
TOTAL HEALTH CARE EQUIPMENT & SUPPLIES 556,725
-----------
HEALTH CARE PROVIDERS & SERVICES 3.6%
Gentiva Health Services,
Inc.*....................... 4,240 80,475
MedCath Corp.*................. 3,820 105,929
Owens & Minor, Inc. ........... 6,150 249,321
RehabCare Group, Inc.*......... 11,989 248,652
Res-Care, Inc.*................ 4,640 113,958
-----------
TOTAL HEALTH CARE PROVIDERS & SERVICES 798,335
-----------
HOTELS, RESTAURANTS & LEISURE 1.5%
Landry's Restaurants, Inc. .... 5,190 149,057
Marcus Corp. .................. 3,750 72,150
O'Charleys, Inc. .............. 6,760 108,363
-----------
TOTAL HOTELS, RESTAURANTS & LEISURE 329,570
-----------
HOUSEHOLD DURABLES 6.2%
Bassett Furniture Industries,
Inc. ....................... 16,249 172,402
Champion Enterprises, Inc.*.... 6,600 78,276
Ethan Allen Interiors, Inc. ... 1,450 44,747
La-Z-Boy, Inc. ................ 29,039 229,118
Libbey, Inc. .................. 30,359 546,158
M/I Homes, Inc. ............... 6,660 110,556
National Presto Industries,
Inc. ....................... 1,680 92,299
Skyline Corp. ................. 2,130 75,487
Standard-Pacific Corp. ........ 9,620 46,176
-----------
TOTAL HOUSEHOLD DURABLES 1,395,219
-----------
HOUSEHOLD PRODUCTS 0.2%
Spectrum Brands, Inc.*......... 10,260 44,221
-----------
TOTAL HOUSEHOLD PRODUCTS 44,221
-----------
INDUSTRIAL CONGLOMERATES 0.8%
Standex International Corp. ... 5,550 118,992
Tredegar Corp. ................ 4,130 71,945
-----------
TOTAL INDUSTRIAL CONGLOMERATES 190,937
-----------
INSURANCE 2.3%
Presidential Life Corp. ....... 5,510 97,031
Safety Insurance Group, Inc. .. 1,210 43,512
SCPIE Holdings, Inc.*.......... 2,050 55,657
Selective Insurance Group...... 3,280 79,737
Stewart Information Services
Corp. ...................... 8,070 234,030
-----------
TOTAL INSURANCE 509,967
-----------
INTERNET SOFTWARE & SERVICES 1.9%
MIVA, Inc.*.................... 70,167 223,131
United Online, Inc. ........... 11,119 195,694
-----------
TOTAL INTERNET SOFTWARE & SERVICES 418,825
-----------
IT SERVICES 1.4%
Ciber, Inc.*................... 20,339 158,441
Startek, Inc. ................. 14,489 155,757
-----------
TOTAL IT SERVICES 314,198
-----------
LEISURE EQUIPMENT & PRODUCTS 1.0%
Arctic Cat, Inc. .............. 9,520 137,278
Jakks Pacific, Inc.*........... 3,640 96,460
-----------
TOTAL LEISURE EQUIPMENT & PRODUCTS 233,738
-----------
MACHINERY 3.3%
Albany International
Corp. -- Class A............ 2,410 90,375
Barnes Group, Inc. ............ 3,370 123,780
Briggs & Stratton Corp. ....... 8,350 187,958
Lydall, Inc.*.................. 14,689 158,054
Mueller Industries, Inc. ...... 2,540 91,338
Wabash National Corp. ......... 9,170 93,076
-----------
TOTAL MACHINERY 744,581
-----------
</Table>
59 ANNUAL REPORT
See Notes to Financial Statements.
RYDEX S&P SMALLCAP 600 PURE VALUE ETF
SCHEDULE OF INVESTMENTS (continued) October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- ------------------------------------------------------
COMMON STOCKS (CONTINUED)
MEDIA 0.2%
Radio One, Inc. -- Class D*.... 14,899 $51,997
-----------
TOTAL MEDIA 51,997
-----------
METALS & MINING 0.8%
AM Castle & Co. ............... 2,350 70,735
Quanex Corp. .................. 2,550 105,034
-----------
TOTAL METALS & MINING 175,769
-----------
MULTI-UTILITIES 1.4%
Avista Corp. .................. 6,780 149,499
CH Energy Group, Inc. ......... 3,740 174,808
-----------
TOTAL MULTI-UTILITIES 324,307
-----------
MULTILINE RETAIL 0.8%
Fred's, Inc. -- Class A........ 17,809 188,775
-----------
TOTAL MULTILINE RETAIL 188,775
-----------
PAPER & FOREST PRODUCTS 2.1%
Buckeye Technologies, Inc.*.... 6,740 120,781
Neenah Paper, Inc. ............ 2,320 78,880
Schweitzer-Mauduit
International, Inc. ........ 7,360 206,227
Wausau Paper Corp. ............ 7,170 71,772
-----------
TOTAL PAPER & FOREST PRODUCTS 477,660
-----------
PHARMACEUTICALS 0.4%
Alpharma, Inc. -- Class A*..... 4,430 91,347
-----------
TOTAL PHARMACEUTICALS 91,347
-----------
REAL ESTATE INVESTMENT TRUSTS (REITS) 5.0%
Colonial Properties Trust...... 2,810 88,037
Entertainment Properties
Trust....................... 1,380 75,721
Inland Real Estate Corp. ...... 4,540 67,646
Kite Realty Group Trust........ 3,640 65,957
Lexington Corporate Properties
Trust....................... 6,390 126,458
LTC Properties, Inc. .......... 4,930 124,926
Medical Properties Trust,
Inc. ....................... 3,340 43,854
Mid-America Apartment
Communities, Inc. .......... 940 48,880
National Retail Properties,
Inc. ....................... 6,480 164,268
Parkway Properties, Inc. ...... 2,840 122,120
Senior Housing Properties
Trust....................... 5,560 124,655
Sovran Self Storage, Inc. ..... 1,480 70,019
-----------
TOTAL REAL ESTATE INVESTMENT TRUSTS
(REITS) 1,122,541
-----------
ROAD & RAIL 0.5%
Arkansas Best Corp. ........... 4,110 112,819
-----------
TOTAL ROAD & RAIL 112,819
-----------
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT 0.2%
Photronics, Inc.*.............. 4,740 51,856
-----------
TOTAL SEMICONDUCTORS & SEMICONDUCTOR
EQUIPMENT 51,856
-----------
SPECIALTY RETAIL 4.0%
Group 1 Automotive, Inc. ...... 3,400 105,570
Haverty Furniture Cos., Inc. .. 16,729 142,196
Jo-Ann Stores, Inc.*........... 7,770 149,728
PEP Boys-Manny Moe & Jack...... 15,089 221,959
Sonic Automotive, Inc. -- Class
A........................... 8,810 222,541
Stein Mart, Inc. .............. 7,330 48,158
-----------
TOTAL SPECIALTY RETAIL 890,152
-----------
TEXTILES, APPAREL & LUXURY GOODS 1.0%
Ashworth, Inc.*................ 27,049 150,392
Kellwood Co. .................. 4,640 76,885
-----------
TOTAL TEXTILES, APPAREL & LUXURY GOODS 227,277
-----------
THRIFTS & MORTGAGE FINANCE 2.5%
Bank Mutual Corp. ............. 4,890 54,328
Brookline Bancorp, Inc. ....... 10,370 111,581
Dime Community Bancshares...... 9,320 134,115
Flagstar Bancorp, Inc. ........ 19,759 159,850
Fremont General Corp. ......... 12,149 33,653
TrustCo Bank Corp. NY.......... 6,490 68,405
-----------
TOTAL THRIFTS & MORTGAGE FINANCE 561,932
-----------
TOBACCO 0.5%
Alliance One International,
Inc.*....................... 16,269 106,237
-----------
TOTAL TOBACCO 106,237
-----------
TRADING COMPANIES & DISTRIBUTORS 1.1%
Kaman Corp. ................... 6,300 237,573
-----------
TOTAL TRADING COMPANIES & DISTRIBUTORS 237,573
-----------
TOTAL COMMON STOCKS
(Cost $25,090,245) 22,369,655
-----------
SHORT TERM INVESTMENTS 0.2%
SSgA Prime Money Market Fund... 41,037 41,037
-----------
TOTAL SHORT TERM INVESTMENTS
(Cost $41,037) 41,037
-----------
TOTAL INVESTMENTS 99.9%
(Cost $25,131,282) 22,410,692
-----------
OTHER ASSETS IN EXCESS OF
LIABILITIES--0.1% 15,652
-----------
NET ASSETS--100.0% $22,426,344
- ------------------------------------------------------
</Table>
* Non-Income Producing Security.
60
See Notes to Financial Statements.
RYDEX S&P SMALLCAP 600 PURE GROWTH ETF
SCHEDULE OF INVESTMENTS October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- ------------------------------------------------------
COMMON STOCKS 99.9%
AEROSPACE & DEFENSE 2.2%
Ceradyne, Inc.*................ 1,870 $127,927
Curtiss-Wright Corp. .......... 2,190 123,275
-----------
TOTAL AEROSPACE & DEFENSE 251,202
-----------
AIR FREIGHT & LOGISTICS 0.6%
Forward Air Corp. ............. 1,910 62,323
-----------
TOTAL AIR FREIGHT & LOGISTICS 62,323
-----------
AUTO COMPONENTS 0.9%
Drew Industries, Inc.*......... 2,540 100,533
-----------
TOTAL AUTO COMPONENTS 100,533
-----------
AUTOMOBILES 0.6%
Winnebago Industries........... 2,720 70,122
-----------
TOTAL AUTOMOBILES 70,122
-----------
BUILDING PRODUCTS 0.6%
Simpson Manufacturing Co.,
Inc. ....................... 2,290 68,677
-----------
TOTAL BUILDING PRODUCTS 68,677
-----------
CAPITAL MARKETS 1.8%
Investment Technology Group,
Inc.*....................... 1,060 44,414
optionsXpress Holdings, Inc. .. 5,350 159,216
-----------
TOTAL CAPITAL MARKETS 203,630
-----------
COMMERCIAL BANKS 2.2%
Cascade Bancorp................ 1,940 37,326
East West Bancorp, Inc. ....... 1,280 43,187
Nara Bancorp, Inc. ............ 3,730 57,740
PrivateBancorp, Inc. .......... 1,600 45,056
UCBH Holdings, Inc. ........... 3,560 60,769
-----------
TOTAL COMMERCIAL BANKS 244,078
-----------
COMMERCIAL SERVICES & SUPPLIES 1.0%
Mobile Mini, Inc.*............. 1,650 29,584
Waste Connections, Inc.*....... 2,580 87,230
-----------
TOTAL COMMERCIAL SERVICES & SUPPLIES 116,814
-----------
COMMUNICATIONS EQUIPMENT 2.2%
Comtech Telecommunications
Corp.*...................... 1,900 103,075
NETGEAR, Inc.*................. 3,990 141,007
-----------
TOTAL COMMUNICATIONS EQUIPMENT 244,082
-----------
COMPUTERS & PERIPHERALS 1.2%
Synaptics, Inc.*............... 2,390 129,897
-----------
TOTAL COMPUTERS & PERIPHERALS 129,897
-----------
CONSUMER FINANCE 1.3%
Rewards Network, Inc.*......... 18,470 90,503
World Acceptance Corp.*........ 1,690 54,519
-----------
TOTAL CONSUMER FINANCE 145,022
-----------
DISTRIBUTORS 1.1%
LKQ Corp.*..................... 3,140 121,078
-----------
TOTAL DISTRIBUTORS 121,078
-----------
DIVERSIFIED CONSUMER SERVICES 3.2%
Bright Horizons Family
Solutions, Inc.*............ 1,710 66,348
Coinstar, Inc.*................ 4,310 148,479
Pre-Paid Legal Services,
Inc.*....................... 2,480 147,808
-----------
TOTAL DIVERSIFIED CONSUMER SERVICES 362,635
-----------
DIVERSIFIED FINANCIAL SERVICES 1.0%
Portfolio Recovery Associates,
Inc. ....................... 2,590 116,835
-----------
TOTAL DIVERSIFIED FINANCIAL SERVICES 116,835
-----------
DIVERSIFIED TELECOMMUNICATION SERVICES 0.5%
General Communication,
Inc. -- Class A*............ 4,840 56,773
-----------
TOTAL DIVERSIFIED TELECOMMUNICATION
SERVICES 56,773
-----------
ELECTRONIC EQUIPMENT & INSTRUMENTS 6.7%
Daktronics, Inc. .............. 1,740 51,887
Flir Systems, Inc.*............ 4,150 287,968
Itron, Inc.*................... 1,730 185,958
Scansource, Inc.*.............. 2,790 103,063
Trimble Navigation, Ltd.*...... 3,030 126,351
-----------
TOTAL ELECTRONIC EQUIPMENT & INSTRUMENTS 755,227
-----------
ENERGY EQUIPMENT & SERVICES 4.2%
CARBO Ceramics, Inc. .......... 1,870 84,001
Hornbeck Offshore Services,
Inc.*....................... 2,860 111,826
Oceaneering International,
Inc.*....................... 1,190 91,951
Unit Corp.*.................... 1,770 84,553
W-H Energy Services, Inc.*..... 1,770 101,881
-----------
TOTAL ENERGY EQUIPMENT & SERVICES 474,212
-----------
FOOD & STAPLES RETAILING 0.5%
United Natural Foods, Inc.*.... 1,800 52,092
-----------
TOTAL FOOD & STAPLES RETAILING 52,092
-----------
FOOD PRODUCTS 0.9%
Sanderson Farms, Inc. ......... 2,990 104,052
-----------
TOTAL FOOD PRODUCTS 104,052
-----------
HEALTH CARE EQUIPMENT & SUPPLIES 11.4%
American Medical Systems
Holdings, Inc.*............. 3,780 48,346
Arthrocare Corp.*.............. 1,370 88,831
Biolase Technology, Inc.*...... 8,100 41,391
Cooper Cos., Inc. ............. 1,680 70,560
Greatbatch, Inc.*.............. 2,680 66,625
ICU Medical, Inc.*............. 1,180 47,318
Idexx Laboratories, Inc.*...... 750 91,335
Immucor, Inc.*................. 3,070 99,007
Integra LifeSciences Holdings
Corp.*...................... 3,040 147,349
Kensey Nash Corp.*............. 2,440 66,758
Mentor Corp. .................. 1,570 66,835
Merit Medical Systems, Inc.*... 4,360 56,898
Possis Medical, Inc.*.......... 10,800 154,548
</Table>
61 ANNUAL REPORT
See Notes to Financial Statements.
RYDEX S&P SMALLCAP 600 PURE GROWTH ETF
SCHEDULE OF INVESTMENTS (continued) October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- ------------------------------------------------------
COMMON STOCKS (CONTINUED)
Respironics, Inc.*............. 1,700 $85,102
SurModics, Inc.*............... 2,540 144,120
-----------
TOTAL HEALTH CARE EQUIPMENT & SUPPLIES 1,275,023
-----------
HEALTH CARE PROVIDERS & SERVICES 8.7%
Amedisys, Inc.*................ 2,280 96,786
AMN Healthcare Services,
Inc.*....................... 4,900 93,149
Amsurg Corp.*.................. 3,320 87,814
HealthExtras, Inc.*............ 3,670 106,944
Healthways, Inc.*.............. 2,390 145,073
Molina Healthcare, Inc.*....... 2,570 97,943
Odyssey HealthCare, Inc.*...... 5,430 55,657
Pediatrix Medical Group,
Inc.*....................... 1,290 84,495
Sierra Health Services, Inc.*.. 2,630 111,249
Sunrise Senior Living, Inc.*... 2,790 103,230
-----------
TOTAL HEALTH CARE PROVIDERS & SERVICES 982,340
-----------
HOTELS, RESTAURANTS & LEISURE 5.6%
CEC Entertainment, Inc.*....... 1,830 54,534
Jack in the Box, Inc.*......... 1,880 58,976
Monarch Casino & Resort,
Inc.*....................... 3,150 96,358
Multimedia Games, Inc.*........ 11,500 101,430
P.F. Chang's China Bistro,
Inc.*....................... 2,730 79,470
Panera Bread Co. -- Class A*... 1,990 81,570
Papa John's International,
Inc.*....................... 2,640 61,512
Sonic Corp.*................... 3,610 89,456
-----------
TOTAL HOTELS, RESTAURANTS & LEISURE 623,306
-----------
INSURANCE 2.2%
Hilb Rogal & Hobbs Co. ........ 1,710 75,360
Infinity Property & Casualty
Corp. ...................... 2,780 111,811
Philadelphia Consolidated
Holding Co.*................ 1,470 59,976
-----------
TOTAL INSURANCE 247,147
-----------
INTERNET & CATALOG RETAIL 1.3%
PetMed Express, Inc.*.......... 10,100 147,258
-----------
TOTAL INTERNET & CATALOG RETAIL 147,258
-----------
INTERNET SOFTWARE & SERVICES 3.8%
Bankrate, Inc.*................ 3,510 161,284
j2 Global Communications,
Inc.*....................... 4,840 163,060
Websense, Inc.*................ 5,490 101,016
-----------
TOTAL INTERNET SOFTWARE & SERVICES 425,360
-----------
IT SERVICES 1.3%
CACI International,
Inc. -- Class A*............ 1,350 72,698
Mantech International
Corp. -- Class A*........... 1,900 75,544
-----------
TOTAL IT SERVICES 148,242
-----------
LIFE SCIENCES TOOLS & SERVICES 2.1%
Dionex Corp.*.................. 1,290 113,520
PharmaNet Development Group,
Inc.*....................... 3,710 120,204
-----------
TOTAL LIFE SCIENCES TOOLS & SERVICES 233,724
-----------
MACHINERY 1.8%
ASV, Inc.*..................... 4,580 53,311
Manitowoc Co., Inc. ........... 1,370 67,486
Toro Co. ...................... 1,390 77,368
-----------
TOTAL MACHINERY 198,165
-----------
MARINE 0.5%
Kirby Corp.*................... 1,170 53,446
-----------
TOTAL MARINE 53,446
-----------
OIL, GAS & CONSUMABLE FUELS 6.2%
Cabot Oil & Gas Corp. ......... 1,830 72,633
Helix Energy Solutions Group,
Inc.*....................... 2,130 98,512
Penn Virginia Corp. ........... 1,950 94,380
Petroleum Development Corp.*... 2,060 93,565
St. Mary Land & Exploration
Co. ........................ 2,990 126,656
Stone Energy Corp.*............ 2,920 130,174
Swift Energy Co.*.............. 1,620 76,837
-----------
TOTAL OIL, GAS & CONSUMABLE FUELS 692,757
-----------
PERSONAL PRODUCTS 0.8%
USANA Health Sciences, Inc.*... 2,220 90,598
-----------
TOTAL PERSONAL PRODUCTS 90,598
-----------
PHARMACEUTICALS 1.6%
Bradley Pharmaceuticals,
Inc.*....................... 4,860 95,596
Noven Pharmaceuticals, Inc.*... 1,370 21,180
Sciele Pharma, Inc.*........... 2,550 64,872
-----------
TOTAL PHARMACEUTICALS 181,648
-----------
ROAD & RAIL 1.9%
Heartland Express, Inc. ....... 4,250 59,245
Knight Transportation, Inc. ... 4,160 66,435
Landstar System, Inc. ......... 2,050 86,285
-----------
TOTAL ROAD & RAIL 211,965
-----------
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT 1.2%
Cabot Microelectronics Corp.*.. 1,860 73,805
Diodes, Inc.*.................. 1,980 65,459
-----------
TOTAL SEMICONDUCTORS & SEMICONDUCTOR
EQUIPMENT 139,264
-----------
SOFTWARE 7.9%
Ansys, Inc.*................... 3,440 133,506
Blackbaud, Inc. ............... 3,770 101,601
EPIQ Systems, Inc.*............ 7,700 149,303
Factset Research Systems,
Inc. ....................... 1,750 123,410
Manhattan Associates, Inc.*.... 1,840 55,494
MICROS Systems, Inc.*.......... 840 60,329
Quality Systems, Inc. ......... 1,950 70,649
Take-Two Interactive Software,
Inc.*....................... 4,060 76,247
Tyler Technologies, Inc.*...... 6,940 111,873
-----------
TOTAL SOFTWARE 882,412
-----------
SPECIALTY RETAIL 4.5%
Children's Place Retail Stores,
Inc.*....................... 870 22,272
Dress Barn, Inc.*.............. 2,120 34,747
</Table>
62
See Notes to Financial Statements.
RYDEX S&P SMALLCAP 600 PURE GROWTH ETF
SCHEDULE OF INVESTMENTS (continued) October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- ------------------------------------------------------
COMMON STOCKS (CONTINUED)
Gymboree Corp.*................ 1,390 $47,302
Hibbett Sports, Inc.*.......... 2,480 58,503
HOT Topic, Inc.*............... 7,840 60,054
Jos. A. Bank Clothiers, Inc.*.. 2,460 71,857
Stage Stores, Inc. ............ 5,110 95,864
Tractor Supply Co.*............ 2,010 83,294
Tween Brands, Inc.*............ 1,020 31,314
-----------
TOTAL SPECIALTY RETAIL 505,207
-----------
TEXTILES, APPAREL & LUXURY GOODS 4.4%
Crocs, Inc.*................... 1,480 110,630
Deckers Outdoor Corp.*......... 900 125,811
Fossil, Inc.*.................. 3,320 124,699
K-Swiss, Inc. -- Class A....... 3,430 80,262
Quiksilver, Inc.*.............. 4,270 57,645
-----------
TOTAL TEXTILES, APPAREL & LUXURY GOODS 499,047
-----------
TOTAL COMMON STOCKS
(Cost $10,306,873) 11,216,193
-----------
SHORT TERM INVESTMENTS 0.1%
SSgA Prime Money Market Fund... 12,678 12,678
-----------
TOTAL SHORT TERM INVESTMENTS
(Cost $12,678) 12,678
-----------
TOTAL INVESTMENTS 100.0%
(Cost $10,319,551) 11,228,871
-----------
OTHER ASSETS IN EXCESS OF
LIABILITIES - 0.0%(A) 235
-----------
NET ASSETS - 100.0% $11,229,106
- ------------------------------------------------------
</Table>
* Non-Income Producing Security.
(a) Amount represents less than 0.05% of net assets.
63 ANNUAL REPORT
See Notes to Financial Statements.
RYDEX S&P EQUAL WEIGHT CONSUMER DISCRETIONARY ETF
SCHEDULE OF INVESTMENTS October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- ------------------------------------------------------
COMMON STOCKS 99.7%
AUTO COMPONENTS 2.5%
Goodyear Tire & Rubber Co.*.... 11,641 $350,976
Johnson Controls, Inc. ........ 8,272 361,652
-----------
TOTAL AUTO COMPONENTS 712,628
-----------
AUTOMOBILES 3.7%
Ford Motor Co.*................ 39,824 353,239
General Motors Corp. .......... 9,423 369,287
Harley-Davidson, Inc. ......... 6,985 359,728
-----------
TOTAL AUTOMOBILES 1,082,254
-----------
DISTRIBUTORS 1.1%
Genuine Parts Co. ............. 6,330 310,613
-----------
TOTAL DISTRIBUTORS 310,613
-----------
DIVERSIFIED CONSUMER SERVICES 2.7%
Apollo Group, Inc. -- Class
A*.......................... 5,430 430,381
H&R Block, Inc. ............... 15,746 343,263
-----------
TOTAL DIVERSIFIED CONSUMER SERVICES 773,644
-----------
HOTELS, RESTAURANTS & LEISURE 12.6%
Carnival Corp. ................ 6,579 315,660
Darden Restaurants, Inc. ...... 7,576 325,768
Harrah's Entertainment, Inc. .. 3,712 327,584
International Game Technology.. 7,493 326,770
Marriott International,
Inc. -- Class A............. 7,426 305,283
McDonald's Corp. .............. 5,845 348,947
Starbucks Corp.*............... 11,719 312,663
Starwood Hotels & Resorts
Worldwide, Inc. ............ 5,684 323,192
Wendy's International, Inc. ... 9,836 341,899
Wyndham Worldwide Corp. ....... 10,545 346,192
Yum! Brands, Inc. ............. 9,309 374,874
-----------
TOTAL HOTELS, RESTAURANTS & LEISURE 3,648,832
-----------
HOUSEHOLD DURABLES 14.5%
Black & Decker Corp. .......... 3,852 346,333
Centex Corp. .................. 12,802 320,818
D.R. Horton, Inc. ............. 24,322 308,646
Fortune Brands, Inc. .......... 3,984 333,740
Harman International
Industries, Inc. ........... 3,415 287,543
KB HOME........................ 12,829 354,594
Leggett & Platt, Inc. ......... 17,014 330,582
Lennar Corp. -- Class A........ 13,733 313,799
Newell Rubbermaid, Inc. ....... 11,394 332,249
Pulte Homes, Inc. ............. 21,434 318,081
Snap-on, Inc. ................. 6,651 331,951
Stanley Works.................. 5,733 329,934
Whirlpool Corp. ............... 3,653 289,245
-----------
TOTAL HOUSEHOLD DURABLES 4,197,515
-----------
INTERNET & CATALOG RETAIL 3.4%
Amazon.com, Inc.*.............. 3,418 304,715
Expedia, Inc.*................. 10,213 333,557
IAC/InterActiveCorp*........... 12,114 356,878
-----------
TOTAL INTERNET & CATALOG RETAIL 995,150
-----------
LEISURE EQUIPMENT & PRODUCTS 4.5%
Brunswick Corp. ............... 15,431 344,265
Eastman Kodak Co. ............. 11,885 340,624
Hasbro, Inc. .................. 11,402 340,350
Mattel, Inc. .................. 13,675 285,671
-----------
TOTAL LEISURE EQUIPMENT & PRODUCTS 1,310,910
-----------
MEDIA 19.5%
CBS Corp. -- Class B........... 10,363 297,418
Clear Channel Communications,
Inc. ....................... 8,726 329,581
Comcast Corp. -- Class A*...... 14,066 296,089
DIRECTV Group, Inc.*........... 13,255 350,992
Dow Jones & Co., Inc. ......... 5,441 325,426
E.W. Scripps Co. -- Class A.... 7,743 348,513
Gannett Co., Inc. ............. 7,468 316,718
Interpublic Group of Cos.,
Inc.*....................... 31,194 322,858
McGraw-Hill Cos., Inc. ........ 6,827 341,623
Meredith Corp. ................ 5,805 361,361
New York Times Co. -- Class A.. 16,982 332,168
News Corp. -- Class A.......... 14,903 322,948
Omnicom Group, Inc. ........... 6,540 333,409
Time Warner, Inc. ............. 18,093 330,378
Tribune Co. ................... 12,060 364,936
Viacom, Inc. -- Class B*....... 8,427 347,951
Walt Disney Co. ............... 9,362 324,206
-----------
TOTAL MEDIA 5,646,575
-----------
MULTILINE RETAIL 9.6%
Big Lots, Inc.*................ 10,390 249,152
Dillard's, Inc. -- Class A..... 16,354 376,633
Family Dollar Stores, Inc. .... 12,402 314,391
Federated Department Stores,
Inc. ....................... 10,381 332,503
J.C. Penney Co., Inc. ......... 4,962 279,063
Kohl's Corp.*.................. 5,682 312,340
Nordstrom, Inc. ............... 6,592 259,988
Sears Holdings Corp.*.......... 2,552 343,984
Target Corp. .................. 4,887 299,866
-----------
TOTAL MULTILINE RETAIL 2,767,920
-----------
SPECIALTY RETAIL 19.2%
Abercrombie & Fitch
Co. -- Class A.............. 4,068 322,185
AutoNation, Inc.*.............. 18,797 332,519
AutoZone, Inc.*................ 2,954 367,507
Bed Bath & Beyond, Inc.*....... 9,820 333,291
Best Buy Co., Inc. ............ 7,038 341,484
Circuit City Stores, Inc. ..... 40,715 322,870
Gap, Inc. ..................... 18,057 341,277
Home Depot, Inc. .............. 9,417 296,730
Limited Brands, Inc. .......... 14,770 325,088
Lowe's Cos., Inc. ............. 10,576 284,389
Office Depot, Inc.*............ 18,133 340,175
OfficeMax, Inc. ............... 10,652 337,136
RadioShack Corp. .............. 15,175 312,908
Sherwin-Williams Co. .......... 4,888 312,441
Staples, Inc. ................. 14,650 341,931
Tiffany & Co. ................. 6,274 339,925
TJX Cos., Inc. ................ 10,674 308,799
-----------
TOTAL SPECIALTY RETAIL 5,560,655
-----------
TEXTILES, APPAREL & LUXURY GOODS 6.4%
Coach, Inc.*................... 6,764 247,292
Jones Apparel Group, Inc. ..... 16,551 346,578
Liz Claiborne, Inc. ........... 9,352 266,251
</Table>
64
See Notes to Financial Statements.
RYDEX S&P EQUAL WEIGHT CONSUMER DISCRETIONARY ETF
SCHEDULE OF INVESTMENTS (continued) October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- ------------------------------------------------------
COMMON STOCKS (CONTINUED)
NIKE, Inc. -- Class B.......... 5,402 $357,937
Polo Ralph Lauren Corp. ....... 4,138 284,694
V.F. Corp. .................... 3,915 341,114
-----------
TOTAL TEXTILES, APPAREL & LUXURY GOODS 1,843,866
-----------
TOTAL COMMON STOCKS
(Cost $29,804,854) 28,850,562
-----------
SHORT TERM INVESTMENTS 0.3%
SSgA Prime Money Market Fund... 73,813 73,813
-----------
TOTAL SHORT TERM INVESTMENTS
(Cost $73,813) 73,813
-----------
TOTAL INVESTMENTS 100.0%
(Cost $29,878,667) 28,924,375
-----------
OTHER ASSETS IN EXCESS OF
LIABILITIES--0.0%(A) 3,556
-----------
NET ASSETS--100.0% $28,927,931
- ------------------------------------------------------
</Table>
* Non-Income Producing Security.
(a) Amount represents less than 0.05% of net assets.
65 ANNUAL REPORT
See Notes to Financial Statements.
RYDEX S&P EQUAL WEIGHT CONSUMER STAPLES ETF
SCHEDULE OF INVESTMENTS October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- -----------------------------------------------------
COMMON STOCKS 99.6%
BEVERAGES 21.9%
Anheuser-Busch Cos., Inc. ..... 4,000 $205,120
Brown-Forman Corp. -- Class B.. 2,690 199,006
Coca-Cola Co. ................. 3,590 221,718
Coca-Cola Enterprises, Inc. ... 8,310 214,481
Constellation Brands,
Inc. -- Class A*............ 8,440 212,013
Molson Coors Brewing
Co. -- Class B.............. 4,120 235,788
Pepsi Bottling Group, Inc. .... 5,440 234,355
PepsiCo, Inc. ................. 2,850 210,102
----------
TOTAL BEVERAGES 1,732,583
----------
FOOD & STAPLES RETAILING 23.6%
Costco Wholesale Corp. ........ 3,330 223,976
CVS Caremark Corp. ............ 5,330 222,634
Kroger Co. .................... 7,110 208,963
Safeway, Inc. ................. 6,090 207,060
SUPERVALU, Inc. ............... 5,060 196,075
Sysco Corp. ................... 5,820 199,568
Wal-Mart Stores, Inc. ......... 4,560 206,158
Walgreen Co. .................. 4,430 175,649
Whole Foods Market, Inc. ...... 4,510 223,425
----------
TOTAL FOOD & STAPLES RETAILING 1,863,508
----------
FOOD PRODUCTS 29.8%
Archer-Daniels-Midland Co. .... 6,140 219,689
Campbell Soup Co. ............. 5,710 211,156
ConAgra Foods, Inc. ........... 7,610 180,585
General Mills, Inc. ........... 3,460 199,746
H.J. Heinz Co. ................ 4,410 206,300
Hershey Co. ................... 4,390 189,253
Kellogg Co. ................... 3,580 188,988
Kraft Foods, Inc. -- Class A... 5,840 195,114
McCormick & Co, Inc. .......... 5,500 192,665
Sara Lee Corp. ................ 12,340 204,104
Tyson Foods, Inc. -- Class A... 10,760 170,008
Wm. Wrigley Jr. Co. ........... 3,220 198,578
----------
TOTAL FOOD PRODUCTS 2,356,186
----------
HOUSEHOLD PRODUCTS 10.6%
Clorox Co. .................... 3,320 207,733
Colgate-Palmolive Co. ......... 2,890 220,420
Kimberly-Clark Corp. .......... 2,890 204,872
Procter & Gamble Co. .......... 2,910 202,303
----------
TOTAL HOUSEHOLD PRODUCTS 835,328
----------
PERSONAL PRODUCTS 5.7%
Avon Products, Inc. ........... 5,800 237,684
Estee Lauder Cos., Inc -- Class
A........................... 4,830 212,037
----------
TOTAL PERSONAL PRODUCTS 449,721
----------
TOBACCO 8.0%
Altria Group, Inc. ............ 2,930 213,685
Reynolds American, Inc. ....... 3,170 204,243
UST, Inc. ..................... 4,060 216,479
----------
TOTAL TOBACCO 634,407
----------
TOTAL COMMON STOCKS
(Cost $7,164,047) 7,871,733
----------
SHORT TERM INVESTMENTS 0.3%
SSgA Prime Money Market Fund... 24,280 24,280
----------
TOTAL SHORT TERM INVESTMENTS
(Cost $24,280) 24,280
----------
TOTAL INVESTMENTS 99.9%
(Cost $7,188,327) 7,896,013
----------
OTHER ASSETS IN EXCESS OF
LIABILITIES--0.1% 6,093
----------
NET ASSETS--100.0% $7,902,106
- -----------------------------------------------------
</Table>
*Non-Income Producing Security.
66
See Notes to Financial Statements.
RYDEX S&P EQUAL WEIGHT ENERGY ETF
SCHEDULE OF INVESTMENTS October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- ------------------------------------------------------
COMMON STOCKS 99.9%
ENERGY EQUIPMENT & SERVICES 29.5%
Baker Hughes, Inc. ............ 3,370 $292,246
ENSCO International, Inc. ..... 5,400 299,646
Halliburton Co. ............... 7,830 308,659
National-Oilwell Varco, Inc.*.. 4,220 309,073
Noble Corp. ................... 5,890 311,876
Rowan Cos., Inc. .............. 8,040 313,399
Schlumberger, Ltd. ............ 2,820 272,327
Smith International, Inc. ..... 4,190 276,750
Transocean, Inc.*.............. 2,650 316,330
Weatherford International,
Ltd.*....................... 4,380 284,306
-----------
TOTAL ENERGY EQUIPMENT & SERVICES 2,984,612
-----------
OIL, GAS & CONSUMABLE FUELS 70.4%
Anadarko Petroleum Corp. ...... 5,650 333,463
Apache Corp. .................. 3,380 350,878
Chesapeake Energy Corp. ....... 8,510 335,975
Chevron Corp. ................. 3,190 291,917
ConocoPhillips................. 3,400 288,864
CONSOL Energy, Inc. ........... 6,740 380,810
Devon Energy Corp. ............ 3,580 334,372
El Paso Corp. ................. 17,459 308,326
EOG Resources, Inc. ........... 4,040 357,944
Exxon Mobil Corp. ............. 3,260 299,887
Hess Corp. .................... 4,470 320,097
Marathon Oil Corp. ............ 5,170 305,702
Murphy Oil Corp. .............. 4,330 318,818
Noble Energy, Inc. ............ 4,290 328,357
Occidental Petroleum Corp. .... 4,700 324,535
Peabody Energy Corp. .......... 6,290 350,667
Spectra Energy Corp. .......... 11,500 298,770
Sunoco, Inc. .................. 4,000 294,400
Tesoro Corp. .................. 5,890 356,522
Valero Energy Corp. ........... 4,280 301,440
Williams Cos., Inc. ........... 8,950 326,585
XTO Energy, Inc. .............. 4,810 319,288
-----------
TOTAL OIL, GAS & CONSUMABLE FUELS 7,127,617
-----------
TOTAL COMMON STOCKS
(Cost $7,500,678) 10,112,229
-----------
SHORT TERM INVESTMENTS 0.2%
SSgA Prime Money Market Fund... 16,318 16,318
-----------
TOTAL SHORT TERM INVESTMENTS
(Cost $16,318) 16,318
-----------
TOTAL INVESTMENTS 100.1%
(Cost $7,516,996) 10,128,547
-----------
LIABILITIES IN EXCESS OF OTHER
ASSETS--(0.1)% (6,980)
-----------
NET ASSETS--100.0% $10,121,567
- ------------------------------------------------------
</Table>
*Non-Income Producing Security.
67 ANNUAL REPORT
See Notes to Financial Statements.
RYDEX S&P EQUAL WEIGHT FINANCIALS ETF
SCHEDULE OF INVESTMENTS October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- -----------------------------------------------------
COMMON STOCKS 99.8%
CAPITAL MARKETS 20.1%
American Capital Strategies,
Ltd. ....................... 1,870 $81,177
Ameriprise Financial, Inc. .... 1,260 79,355
Bank of New York Mellon
Corp. ...................... 1,780 86,953
Bear Stearns Cos., Inc. ....... 660 74,976
Charles Schwab Corp. .......... 3,640 84,593
E*TRADE Financial Corp.*....... 5,659 63,041
Federated Investors,
Inc. -- Class B............. 2,040 87,720
Franklin Resources, Inc. ...... 590 76,511
Goldman Sachs Group, Inc. ..... 380 94,209
Janus Capital Group, Inc. ..... 2,790 96,283
Legg Mason, Inc. .............. 940 77,964
Lehman Brothers Holdings,
Inc. ....................... 1,240 78,542
Merrill Lynch & Co., Inc. ..... 1,030 68,001
Morgan Stanley................. 1,220 82,057
Northern Trust Corp. .......... 1,180 88,748
State Street Corp. ............ 1,170 93,331
T. Rowe Price Group, Inc. ..... 1,430 91,863
----------
TOTAL CAPITAL MARKETS 1,405,324
----------
COMMERCIAL BANKS 18.4%
BB&T Corp. .................... 1,850 68,395
Comerica, Inc. ................ 1,430 66,752
Commerce Bancorp, Inc. ........ 2,030 82,722
Fifth Third Bancorp............ 2,210 69,129
First Horizon National Corp. .. 2,620 68,330
Huntington Bancshares, Inc. ... 4,410 78,983
KeyCorp........................ 2,280 64,866
M&T Bank Corp. ................ 720 71,626
Marshall & Ilsley Corp. ....... 1,700 72,590
National City Corp. ........... 2,970 72,023
PNC Financial Services Group,
Inc. ....................... 1,090 78,654
Regions Financial Corp. ....... 2,490 67,529
SunTrust Banks, Inc. .......... 990 71,874
Synovus Financial Corp. ....... 2,740 72,226
U.S. Bancorp................... 2,320 76,931
Wachovia Corp. ................ 1,510 69,052
Wells Fargo & Co. ............. 2,130 72,441
Zions Bancorp.................. 1,090 64,430
----------
TOTAL COMMERCIAL BANKS 1,288,553
----------
CONSUMER FINANCE 4.2%
American Express Co. .......... 1,290 78,625
Capital One Financial Corp. ... 1,130 74,117
Discover Financial Services.... 3,460 66,778
SLM Corp. ..................... 1,600 75,456
----------
TOTAL CONSUMER FINANCE 294,976
----------
DIVERSIFIED FINANCIAL SERVICES 10.1%
Bank of America Corp. ......... 1,520 73,386
CIT Group, Inc. ............... 1,890 66,604
Citigroup, Inc. ............... 1,640 68,716
CME Group, Inc. ............... 140 93,275
IntercontinentalExchange,
Inc.*....................... 510 90,882
JPMorgan Chase & Co. .......... 1,650 77,550
Leucadia National Corp. ....... 1,680 85,109
Moody's Corp. ................. 1,610 70,389
NYSE Euronext.................. 850 79,789
----------
TOTAL DIVERSIFIED FINANCIAL SERVICES 705,700
----------
INSURANCE 25.8%
ACE, Ltd. ..................... 1,290 78,187
AFLAC, Inc. ................... 1,390 87,264
Allstate Corp. ................ 1,380 72,312
Ambac Financial Group, Inc. ... 1,190 43,828
American International Group,
Inc. ....................... 1,150 72,588
Aon Corp. ..................... 1,760 79,763
Assurant, Inc. ................ 1,490 87,076
Chubb Corp. ................... 1,480 78,958
Cincinnati Financial Corp. .... 1,780 70,808
Genworth Financial,
Inc. -- Class A............. 2,530 69,069
Hartford Financial Services
Group, Inc. ................ 840 81,505
Lincoln National Corp. ........ 1,190 74,220
Loews Corp. ................... 1,630 80,017
Marsh & McLennan Cos., Inc. ... 3,130 81,036
MBIA, Inc. .................... 1,280 55,091
MetLife, Inc. ................. 1,110 76,424
Principal Financial Group,
Inc. ....................... 1,280 86,618
Progressive Corp. ............. 3,960 73,260
Prudential Financial, Inc. .... 820 79,310
SAFECO Corp. .................. 1,290 74,691
Torchmark Corp. ............... 1,240 80,798
Travelers Cos., Inc. .......... 1,520 79,359
Unum Group..................... 3,160 73,754
XL Capital, Ltd. -- Class A.... 1,010 72,670
----------
TOTAL INSURANCE 1,808,606
----------
REAL ESTATE INVESTMENT TRUSTS (REITS) 14.5%
Apartment Investment &
Management Co. -- Class A... 1,700 79,441
AvalonBay Communities, Inc. ... 660 80,949
Boston Properties, Inc. ....... 740 80,171
Developers Diversified Realty
Corp. ...................... 1,400 70,560
Equity Residential Properties
Trust....................... 1,860 77,711
General Growth Properties,
Inc. ....................... 1,480 80,453
Host Hotels & Resorts, Inc. ... 3,460 76,674
Kimco Realty Corp. ............ 1,680 69,754
Plum Creek Timber Co., Inc. ... 1,720 76,832
ProLogis....................... 1,180 84,653
Public Storage, Inc. .......... 980 79,351
Simon Property Group, Inc. .... 770 80,165
Vornado Realty Trust........... 720 80,438
----------
TOTAL REAL ESTATE INVESTMENT TRUSTS
(REITS) 1,017,152
----------
REAL ESTATE MANAGEMENT & DEVELOPMENT 1.0%
CB Richard Ellis Group,
Inc. -- Class A*............ 2,730 66,557
----------
TOTAL REAL ESTATE MANAGEMENT &
DEVELOPMENT 66,557
----------
THRIFTS & MORTGAGE FINANCE 5.7%
Countrywide Financial Corp. ... 3,960 61,459
Federal Home Loan Mortgage
Corp. ...................... 1,280 66,855
Federal National Mortgage
Association................. 1,240 70,730
</Table>
68
See Notes to Financial Statements.
RYDEX S&P EQUAL WEIGHT FINANCIALS ETF
SCHEDULE OF INVESTMENTS (continued) October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- -----------------------------------------------------
COMMON STOCKS (CONTINUED)
Hudson City Bancorp, Inc. ..... 5,129 $80,320
Sovereign Bancorp, Inc. ....... 4,280 61,760
Washington Mutual, Inc. ....... 2,130 59,384
----------
TOTAL THRIFTS & MORTGAGE FINANCE 400,508
----------
TOTAL COMMON STOCKS
(Cost $7,317,481) 6,987,376
----------
SHORT TERM INVESTMENTS 0.2%
SSgA Prime Money Market Fund... 9,992 9,992
----------
TOTAL SHORT TERM INVESTMENTS
(Cost $9,992) 9,992
----------
TOTAL INVESTMENTS 100.0%
(Cost $7,327,473) 6,997,368
----------
OTHER ASSETS IN EXCESS OF
LIABILITIES--0.0%(A) 2,452
----------
NET ASSETS--100.0% $6,999,820
- -----------------------------------------------------
</Table>
* Non-Income Producing Security.
(a) Amount represents less than 0.05% of net assets.
69 ANNUAL REPORT
See Notes to Financial Statements.
RYDEX S&P EQUAL WEIGHT HEALTH CARE ETF
SCHEDULE OF INVESTMENTS October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- ------------------------------------------------------
COMMON STOCKS 99.7%
BIOTECHNOLOGY 10.5%
Amgen, Inc.*................... 6,010 $349,241
Biogen Idec, Inc.*............. 4,920 366,245
Celgene Corp.*................. 4,770 314,820
Genzyme Corp.*................. 5,310 403,401
Gilead Sciences, Inc.*......... 8,360 386,148
-----------
TOTAL BIOTECHNOLOGY 1,819,855
-----------
HEALTH CARE EQUIPMENT & SUPPLIES 20.8%
Baxter International, Inc. .... 5,910 354,659
Becton, Dickinson & Co. ....... 4,070 339,682
Boston Scientific Corp.*....... 24,190 335,515
C.R. Bard, Inc. ............... 3,840 321,063
Covidien, Ltd. ................ 7,850 326,560
Hospira, Inc.*................. 8,210 339,319
Medtronic, Inc. ............... 5,860 277,998
St Jude Medical, Inc.*......... 7,290 296,922
Stryker Corp. ................. 4,870 345,770
Varian Medical Systems, Inc.*.. 8,370 408,205
Zimmer Holdings, Inc.*......... 3,970 275,875
-----------
TOTAL HEALTH CARE EQUIPMENT & SUPPLIES 3,621,568
-----------
HEALTH CARE PROVIDERS & SERVICES 29.8%
Aetna, Inc. ................... 6,380 358,365
AmerisourceBergen Corp. ....... 7,280 342,961
Cardinal Health, Inc. ......... 5,190 353,076
CIGNA Corp. ................... 6,310 331,212
Coventry Health Care, Inc.*.... 5,530 333,514
Express Scripts, Inc.*......... 6,120 386,172
Humana, Inc.*.................. 4,980 373,251
Laboratory Corp. of America
Holdings*................... 4,270 293,563
Manor Care, Inc. .............. 5,140 342,221
McKesson Corp. ................ 5,880 388,668
Medco Health Solutions, Inc.*.. 3,830 361,475
Patterson Cos., Inc.*.......... 8,580 335,564
Quest Diagnostics, Inc. ....... 5,900 313,762
UnitedHealth Group, Inc. ...... 6,670 327,830
WellPoint, Inc.*............... 4,200 332,766
-----------
TOTAL HEALTH CARE PROVIDERS & SERVICES 5,174,400
-----------
HEALTH CARE TECHNOLOGY 1.6%
IMS Health, Inc. .............. 11,420 287,898
-----------
TOTAL HEALTH CARE TECHNOLOGY 287,898
-----------
LIFE SCIENCES TOOLS & SERVICES 9.9%
Applera Corp. -- Applied
Biosystems Group............ 9,570 355,430
Millipore Corp.*............... 4,350 337,778
PerkinElmer, Inc. ............. 11,320 311,526
Thermo Electron Corp.*......... 5,730 336,981
Waters Corp.*.................. 4,920 378,742
-----------
TOTAL LIFE SCIENCES TOOLS & SERVICES 1,720,457
-----------
PHARMACEUTICALS 27.1%
Abbott Laboratories............ 6,170 337,005
Allergan, Inc. ................ 5,320 359,525
Barr Pharmaceuticals, Inc.*.... 6,190 354,811
Bristol-Myers Squibb Co. ...... 11,580 347,284
Eli Lilly & Co. ............... 5,780 312,987
Forest Laboratories, Inc.*..... 8,810 344,207
Johnson & Johnson.............. 5,100 332,367
King Pharmaceuticals, Inc.*.... 28,220 299,132
Merck & Co., Inc. ............. 6,450 375,777
Mylan Laboratories, Inc. ...... 21,740 326,970
Pfizer, Inc. .................. 13,480 331,743
Schering-Plough Corp. ......... 10,430 318,324
Watson Pharmaceuticals, Inc.*.. 10,470 319,963
Wyeth.......................... 7,370 358,403
-----------
TOTAL PHARMACEUTICALS 4,718,498
-----------
TOTAL COMMON STOCKS
(Cost $17,490,013) 17,342,676
-----------
SHORT TERM INVESTMENTS 0.2%
SSgA Prime Money Market Fund... 30,609 30,609
-----------
TOTAL SHORT TERM INVESTMENTS
(Cost $30,609) 30,609
-----------
TOTAL INVESTMENTS 99.9%
(Cost $17,520,622) 17,373,285
-----------
OTHER ASSETS IN EXCESS OF
LIABILITIES--0.1% 9,303
-----------
NET ASSETS--100.0% $17,382,588
- ------------------------------------------------------
</Table>
*Non-Income Producing Security.
70
See Notes to Financial Statements.
RYDEX S&P EQUAL WEIGHT INDUSTRIALS ETF
SCHEDULE OF INVESTMENTS October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- -----------------------------------------------------
COMMON STOCKS 99.8%
AEROSPACE & DEFENSE 21.7%
Boeing Co. .................... 1,659 $163,561
General Dynamics Corp. ........ 2,019 183,648
Goodrich Corp. ................ 2,559 178,260
Honeywell International,
Inc. ....................... 2,889 174,524
L-3 Communications Holdings,
Inc. ....................... 1,709 187,375
Lockheed Martin Corp. ......... 1,659 182,556
Northrop Grumman Corp. ........ 2,109 176,355
Precision Castparts Corp. ..... 1,170 175,278
Raytheon Co. .................. 2,679 170,411
Rockwell Collins, Inc. ........ 2,399 179,469
United Technologies Corp. ..... 2,129 163,060
----------
TOTAL AEROSPACE & DEFENSE 1,934,497
----------
AIR FREIGHT & LOGISTICS 7.4%
C.H. Robinson Worldwide,
Inc. ....................... 3,169 158,197
Expeditors International of
Washington, Inc. ........... 3,349 169,627
FedEx Corp. ................... 1,619 167,307
United Parcel Service,
Inc. -- Class B............. 2,229 167,398
----------
TOTAL AIR FREIGHT & LOGISTICS 662,529
----------
AIRLINES 1.8%
Southwest Airlines Co. ........ 11,096 157,674
----------
TOTAL AIRLINES 157,674
----------
BUILDING PRODUCTS 2.0%
American Standard Cos., Inc. .. 4,748 176,958
----------
TOTAL BUILDING PRODUCTS 176,958
----------
COMMERCIAL SERVICES & SUPPLIES 15.3%
Allied Waste Industries,
Inc.*....................... 12,895 162,993
Cintas Corp. .................. 4,588 167,921
Equifax, Inc. ................. 4,348 167,398
Monster Worldwide, Inc.*....... 4,868 197,544
Pitney Bowes, Inc. ............ 3,658 146,466
R.R. Donnelley & Sons Co. ..... 4,808 193,714
Robert Half International,
Inc. ....................... 5,438 163,629
Waste Management, Inc. ........ 4,408 160,407
----------
TOTAL COMMERCIAL SERVICES & SUPPLIES 1,360,072
----------
CONSTRUCTION & ENGINEERING 4.1%
Fluor Corp. ................... 1,200 189,600
Jacobs Engineering Group,
Inc.*....................... 2,009 175,084
----------
TOTAL CONSTRUCTION & ENGINEERING 364,684
----------
ELECTRICAL EQUIPMENT 5.8%
Cooper Industries,
Ltd. -- Class A............. 3,399 178,074
Emerson Electric Co. .......... 3,339 174,530
Rockwell Automation, Inc. ..... 2,439 167,998
----------
TOTAL ELECTRICAL EQUIPMENT 520,602
----------
INDUSTRIAL CONGLOMERATES 5.8%
3M Co. ........................ 1,849 159,680
General Electric Co. .......... 4,088 168,262
Textron, Inc. ................. 2,749 190,258
----------
TOTAL INDUSTRIAL CONGLOMERATES 518,200
----------
MACHINERY 24.0%
Caterpillar, Inc. ............. 2,169 161,829
Cummins, Inc. ................. 1,290 154,748
Danaher Corp. ................. 2,049 175,538
Deere & Co. ................... 1,160 179,684
Dover Corp. ................... 3,339 153,594
Eaton Corp. ................... 1,709 158,219
Illinois Tool Works, Inc. ..... 2,899 165,997
Ingersoll-Rand Co.,
Ltd. -- Class A............. 3,139 158,049
ITT Corp. ..................... 2,529 169,241
PACCAR, Inc. .................. 2,839 157,735
Pall Corp. .................... 4,408 176,628
Parker-Hannifin Corp. ......... 2,189 175,930
Terex Corp.*................... 2,039 151,335
----------
TOTAL MACHINERY 2,138,527
----------
ROAD & RAIL 10.0%
Burlington Northern Santa Fe
Corp. ...................... 2,069 180,313
CSX Corp. ..................... 4,168 186,601
Norfolk Southern Corp. ........ 3,289 169,877
Ryder System, Inc. ............ 3,369 161,207
Union Pacific Corp. ........... 1,499 191,932
----------
TOTAL ROAD & RAIL 889,930
----------
TRADING COMPANIES & DISTRIBUTORS 1.9%
W.W. Grainger, Inc. ........... 1,839 165,363
----------
TOTAL TRADING COMPANIES & DISTRIBUTORS 165,363
----------
TOTAL COMMON STOCKS
(Cost $7,612,625) 8,889,036
----------
SHORT TERM INVESTMENTS 0.1%
SSgA Prime Money Market Fund... 8,389 8,389
----------
TOTAL SHORT TERM INVESTMENTS
(Cost $8,389) 8,389
----------
TOTAL INVESTMENTS 99.9%
(Cost $7,621,014) 8,897,425
----------
OTHER ASSETS IN EXCESS OF
LIABILITIES--0.1% 7,822
----------
NET ASSETS--100.0% $8,905,247
- -----------------------------------------------------
</Table>
*Non-Income Producing Security.
71 ANNUAL REPORT
See Notes to Financial Statements.
RYDEX S&P EQUAL WEIGHT MATERIALS ETF
SCHEDULE OF INVESTMENTS October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- -----------------------------------------------------
COMMON STOCKS 99.8%
CHEMICALS 44.7%
Air Products & Chemicals,
Inc. ....................... 3,210 $314,099
Ashland, Inc. ................. 4,810 282,443
Dow Chemical Co. .............. 6,910 311,226
Du Pont (E.I.) de Nemours &
Co. ........................ 6,060 300,031
Eastman Chemical Co. .......... 4,500 299,655
Ecolab, Inc. .................. 6,570 309,907
Hercules, Inc. ................ 14,300 268,983
International Flavors &
Fragrances, Inc. ........... 5,710 298,119
Monsanto Co. .................. 3,880 378,804
PPG Industries, Inc. .......... 3,990 298,213
Praxair, Inc. ................. 3,710 317,131
Rohm & Haas Co. ............... 5,380 279,114
Sigma-Aldrich Corp. ........... 6,390 330,171
----------
TOTAL CHEMICALS 3,987,896
----------
CONSTRUCTION MATERIALS 3.4%
Vulcan Materials Co. .......... 3,550 303,561
----------
TOTAL CONSTRUCTION MATERIALS 303,561
----------
CONTAINERS & PACKAGING 16.2%
Ball Corp. .................... 5,500 272,690
Bemis Co., Inc. ............... 10,110 284,698
Pactiv Corp.*.................. 10,540 289,534
Sealed Air Corp. .............. 11,480 286,196
Temple-Inland, Inc. ........... 5,760 309,139
----------
TOTAL CONTAINERS & PACKAGING 1,442,257
----------
METALS & MINING 24.7%
Alcoa, Inc. ................... 8,100 320,679
Allegheny Technologies, Inc. .. 2,900 296,293
Freeport-McMoRan Copper & Gold,
Inc. ....................... 2,790 328,327
Newmont Mining Corp. (Holding
Co.)........................ 6,380 324,487
Nucor Corp. ................... 5,190 321,884
Titanium Metals Corp.*......... 8,400 295,680
United States Steel Corp. ..... 2,900 312,910
----------
TOTAL METALS & MINING 2,200,260
----------
PAPER & FOREST PRODUCTS 10.8%
International Paper Co. ....... 8,380 309,725
MeadWestvaco Corp. ............ 9,800 329,672
Weyerhaeuser Co. .............. 4,220 320,340
----------
TOTAL PAPER & FOREST PRODUCTS 959,737
----------
TOTAL COMMON STOCKS
(Cost $8,355,270) 8,893,711
----------
SHORT TERM INVESTMENTS 0.1%
SSgA Prime Money Market Fund... 14,659 14,659
----------
TOTAL SHORT TERM INVESTMENTS
(Cost $14,659) 14,659
----------
TOTAL INVESTMENTS 99.9%
(Cost $8,369,929) 8,908,370
----------
OTHER ASSETS IN EXCESS OF
LIABILITIES--0.1% 5,103
----------
NET ASSETS--100.0% $8,913,473
- -----------------------------------------------------
</Table>
*Non-Income Producing Security.
72
See Notes to Financial Statements.
RYDEX S&P EQUAL WEIGHT TECHNOLOGY ETF
SCHEDULE OF INVESTMENTS October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- ------------------------------------------------------
COMMON STOCKS 100.0%
COMMUNICATIONS EQUIPMENT 12.0%
Ciena Corp.*................... 7,329 $350,766
Cisco Systems, Inc.*........... 8,508 281,275
Corning, Inc. ................. 11,618 281,969
JDS Uniphase Corp.*............ 19,687 300,424
Juniper Networks, Inc.*........ 7,578 272,808
Motorola, Inc. ................ 15,427 289,873
QUALCOMM, Inc. ................ 6,869 293,512
Tellabs, Inc.*................. 27,815 245,050
-----------
TOTAL COMMUNICATIONS EQUIPMENT 2,315,677
-----------
COMPUTERS & PERIPHERALS 15.9%
Apple, Inc.*................... 1,960 372,302
Dell, Inc.*.................... 9,878 302,267
EMC Corp.*..................... 14,517 368,587
Hewlett-Packard Co. ........... 5,459 282,121
International Business Machines
Corp. ...................... 2,350 272,882
Network Appliance, Inc.*....... 10,378 326,803
QLogic Corp.*.................. 21,746 337,715
SanDisk Corp.*................. 5,109 226,840
Sun Microsystems, Inc.*........ 48,631 277,683
Teradata Corp.*................ 10,698 305,214
-----------
TOTAL COMPUTERS & PERIPHERALS 3,072,414
-----------
ELECTRONIC EQUIPMENT & INSTRUMENTS 7.4%
Agilent Technologies, Inc.*.... 7,429 273,759
Jabil Circuit, Inc. ........... 11,018 239,421
Molex, Inc. ................... 10,128 289,256
Tektronix, Inc. ............... 8,978 339,817
Tyco Electronics, Ltd. ........ 8,168 291,352
-----------
TOTAL ELECTRONIC EQUIPMENT & INSTRUMENTS 1,433,605
-----------
INTERNET SOFTWARE & SERVICES 8.2%
Akamai Technologies, Inc.*..... 9,178 359,686
eBay, Inc.*.................... 7,089 255,913
Google, Inc. -- Class A*....... 500 353,500
VeriSign, Inc.*................ 8,148 277,765
Yahoo!, Inc.*.................. 10,748 334,263
-----------
TOTAL INTERNET SOFTWARE & SERVICES 1,581,127
-----------
IT SERVICES 14.8%
Affiliated Computer Services,
Inc. -- Class A*............ 5,529 280,099
Automatic Data Processing,
Inc. ....................... 5,969 295,824
Cognizant Technology Solutions
Corp. -- Class A*........... 7,339 304,275
Computer Sciences Corp.*....... 4,929 287,804
Convergys Corp.*............... 16,327 299,274
Fidelity National Information
Services, Inc. ............. 6,009 277,135
Fiserv, Inc.*.................. 5,569 308,523
Paychex, Inc. ................. 6,299 263,172
Unisys Corp.*.................. 39,073 237,564
Western Union Co. ............. 13,758 303,226
-----------
TOTAL IT SERVICES 2,856,896
-----------
OFFICE ELECTRONICS 1.5%
Xerox Corp.*................... 16,117 281,080
-----------
TOTAL OFFICE ELECTRONICS 281,080
-----------
SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT 21.7%
Advanced Micro Devices, Inc.*.. 20,626 269,788
Altera Corp. .................. 10,978 215,388
Analog Devices, Inc. .......... 7,519 251,586
Applied Materials, Inc. ....... 12,928 251,062
Broadcom Corp. -- Class A*..... 7,619 247,999
Intel Corp. ................... 10,628 285,893
KLA-Tencor Corp. .............. 4,799 252,667
Linear Technology Corp. ....... 7,848 259,141
MEMC Electronic Materials,
Inc.*....................... 4,719 345,525
Microchip Technology, Inc. .... 7,509 249,074
National Semiconductor Corp. .. 10,398 261,406
Novellus Systems, Inc.*........ 10,138 288,021
NVIDIA Corp.*.................. 8,029 284,066
Teradyne, Inc.*................ 19,356 238,853
Texas Instruments, Inc. ....... 7,469 243,489
Xilinx, Inc. .................. 10,188 248,587
-----------
TOTAL SEMICONDUCTORS & SEMICONDUCTOR
EQUIPMENT 4,192,545
-----------
SOFTWARE 18.5%
Adobe Systems, Inc.*........... 6,449 308,907
Autodesk, Inc.*................ 5,589 273,302
BMC Software, Inc.*............ 8,648 292,648
CA, Inc. ...................... 10,678 282,433
Citrix Systems, Inc.*.......... 7,099 305,186
Compuware Corp.*............... 34,484 344,840
Electronic Arts, Inc.*......... 4,909 300,038
Intuit, Inc.*.................. 9,258 297,830
Microsoft Corp. ............... 9,618 354,039
Novell, Inc.*.................. 36,114 273,022
Oracle Corp.*.................. 12,658 280,628
Symantec Corp.*................ 14,367 269,812
-----------
TOTAL SOFTWARE 3,582,685
-----------
TOTAL COMMON STOCKS
(Cost $18,821,473) 19,316,029
-----------
SHORT TERM INVESTMENTS 0.0%(A)
SSgA Prime Money Market Fund... 100 100
-----------
TOTAL SHORT TERM INVESTMENTS
(Cost $100) 100
-----------
TOTAL INVESTMENTS 100.0%
(Cost $18,821,573) 19,316,129
-----------
LIABILITIES IN EXCESS OF OTHER
ASSETS--0.0%(A) (4,119)
-----------
NET ASSETS--100.0% $19,312,010
- ------------------------------------------------------
</Table>
* Non-Income Producing Security.
(a) Amount represents less than 0.05% of net assets.
73 ANNUAL REPORT
See Notes to Financial Statements.
RYDEX S&P EQUAL WEIGHT UTILITIES ETF
SCHEDULE OF INVESTMENTS October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
MARKET
SHARES VALUE
- -----------------------------------------------------
COMMON STOCKS 99.7%
DIVERSIFIED TELECOMMUNICATION SERVICES 16.3%
AT&T, Inc. .................... 3,660 $152,951
CenturyTel, Inc. .............. 3,409 150,166
Citizens Communications Co. ... 11,286 148,524
Embarq Corp. .................. 2,535 134,152
Qwest Communications
International, Inc.*........ 16,803 120,646
Verizon Communications, Inc. .. 3,526 162,443
Windstream Corp. .............. 10,749 144,574
----------
TOTAL DIVERSIFIED TELECOMMUNICATION
SERVICES 1,013,456
----------
ELECTRIC UTILITIES 34.0%
Allegheny Energy, Inc.*........ 2,908 176,399
American Electric Power Co.,
Inc. ....................... 3,381 162,998
Duke Energy Corp. ............. 8,319 159,475
Edison International........... 2,689 156,365
Entergy Corp. ................. 1,427 171,055
Exelon Corp. .................. 1,991 164,815
FirstEnergy Corp. ............. 2,416 168,395
FPL Group, Inc. ............... 2,470 168,998
Integrys Energy Group, Inc. ... 2,962 159,385
Pinnacle West Capital Corp. ... 3,922 158,449
PPL Corp. ..................... 3,122 161,407
Progress Energy, Inc. ......... 3,281 157,488
Southern Co. .................. 4,191 153,642
----------
TOTAL ELECTRIC UTILITIES 2,118,871
----------
GAS UTILITIES 5.3%
Nicor, Inc. ................... 3,606 156,032
Questar Corp. ................. 3,100 176,948
----------
TOTAL GAS UTILITIES 332,980
----------
INDEPENDENT POWER PRODUCERS & ENERGY TRADERS 8.1%
AES Corp.*..................... 8,166 174,834
Constellation Energy Group,
Inc. ....................... 1,755 166,199
Dynegy, Inc. -- Class A*....... 17,425 160,484
----------
TOTAL INDEPENDENT POWER PRODUCERS &
ENERGY TRADERS 501,517
----------
MULTI-UTILITIES 30.9%
Ameren Corp. .................. 2,925 158,126
CenterPoint Energy, Inc. ...... 9,515 159,471
CMS Energy Corp. .............. 9,384 159,246
Consolidated Edison, Inc. ..... 3,311 155,915
Dominion Resources, Inc. ...... 1,804 165,301
DTE Energy Co. ................ 3,155 156,488
NiSource, Inc. ................ 8,078 165,195
PG&E Corp. .................... 3,248 158,925
Public Service Enterprise
Group, Inc. ................ 1,745 166,822
Sempra Energy.................. 2,603 160,111
TECO Energy, Inc. ............. 9,664 162,645
Xcel Energy, Inc. ............. 7,046 158,887
----------
TOTAL MULTI-UTILITIES 1,927,132
----------
WIRELESS TELECOMMUNICATION SERVICES 5.1%
ALLTEL Corp. .................. 2,241 159,447
Sprint Nextel Corp. ........... 9,086 155,371
----------
TOTAL WIRELESS TELECOMMUNICATION SERVICES 314,818
----------
TOTAL COMMON STOCKS
(Cost $5,726,837) 6,208,774
----------
SHORT TERM INVESTMENTS 0.2%
SSgA Prime Money Market Fund... 12,074 12,074
----------
TOTAL SHORT TERM INVESTMENTS
(Cost $12,074) 12,074
----------
TOTAL INVESTMENTS 99.9%
(Cost $5,738,911) 6,220,848
----------
OTHER ASSETS IN EXCESS OF
LIABILITIES--0.1% 7,638
----------
NET ASSETS--100.0% $6,228,486
- -----------------------------------------------------
</Table>
* Non-Income Producing Security.
74
See Notes to Financial Statements.
STATEMENTS OF ASSETS AND LIABILITIES October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
RYDEX S&P RYDEX RUSSELL RYDEX S&P RYDEX S&P
EQUAL TOP 50 500 PURE 500 PURE
WEIGHT ETF ETF VALUE ETF GROWTH ETF
-------------- ------------- ----------- -----------
ASSETS
Investments at Market Value*............. $2,176,939,223 $680,797,616 $39,570,036 $63,348,520
Cash..................................... 1,927 -- 69 --
Receivables:
Investments Sold....................... 15,174,396 -- 717,627 517,586
Dividends.............................. 1,510,469 671,941 67,740 21,766
-------------- ------------ ----------- -----------
TOTAL ASSETS........................ 2,193,626,015 681,469,557 40,355,472 63,887,872
-------------- ------------ ----------- -----------
LIABILITIES
Payables:
Fund shares repurchased................ 15,189,338 -- -- --
Investments Purchased.................. -- -- 707,412 529,684
Accrued Management Fees................ 744,109 114,778 13,195 18,151
-------------- ------------ ----------- -----------
TOTAL LIABILITIES................... 15,933,447 114,778 720,607 547,835
-------------- ------------ ----------- -----------
NET ASSETS............................... $2,177,692,568 $681,354,779 $39,634,865 $63,340,037
============== ============ =========== ===========
NET ASSETS CONSIST OF:
Paid-in Capital.......................... $2,107,482,173 $628,026,915 $39,807,397 $58,350,462
Undistributed Net Investment Income...... 602,527 690,261 71,041 15,214
Accumulated Net Realized Gain/(Loss) on
Investments............................ (3,399,435) (1,538,300) (11,092) (355,648)
Net Unrealized
Appreciation/(Depreciation) on
Investments............................ 73,007,303 54,175,903 (232,481) 5,330,009
-------------- ------------ ----------- -----------
NET ASSETS............................... $2,177,692,568 $681,354,779 $39,634,865 $63,340,037
============== ============ =========== ===========
Shares Outstanding (Unlimited Shares
Authorized), No Par Value.............. 43,010,946 5,850,035 1,150,192 1,600,041
============== ============ =========== ===========
Net Asset Value, Offering Price and
Repurchase Price Per Share............. $ 50.63 $ 116.47 $ 34.46 $ 39.59
============== ============ =========== ===========
*Total Cost of Investments............... $2,103,931,920 $626,621,713 $39,802,517 $58,018,511
============== ============ =========== ===========
</Table>
75 ANNUAL REPORT
See Notes to Financial Statements.
STATEMENTS OF ASSETS AND LIABILITIES October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
RYDEX S&P RYDEX S&P RYDEX S&P RYDEX S&P
MIDCAP 400 MIDCAP 400 SMALLCAP 600 SMALLCAP 600
PURE VALUE ETF PURE GROWTH ETF PURE VALUE ETF PURE GROWTH ETF
-------------- --------------- -------------- ---------------
ASSETS
Investments at Market Value*.......... $21,452,417 $20,918,154 $22,410,692 $11,228,871
Cash.................................. -- 1,867 -- --
Receivables:
Investments Sold.................... 861,899 156,611 240,986 607,754
Dividends........................... 25,866 3,070 24,597 734
----------- ----------- ----------- -----------
TOTAL ASSETS..................... 22,340,182 21,079,702 22,676,275 11,837,359
----------- ----------- ----------- -----------
LIABILITIES
Payables:
Investments Purchased............... 585,531 159,867 243,171 604,942
Due to Custodian.................... 290,679 -- -- --
Accrued Management Fees............. 6,344 5,629 6,760 3,311
----------- ----------- ----------- -----------
TOTAL LIABILITIES................ 882,554 165,496 249,931 608,253
----------- ----------- ----------- -----------
NET ASSETS............................ $21,457,628 $20,914,206 $22,426,344 $11,229,106
=========== =========== =========== ===========
NET ASSETS CONSIST OF:
Paid-in Capital....................... $22,038,927 $19,884,850 $25,369,807 $10,371,918
Undistributed Net Investment Income... 7,853 5,819 -- --
Accumulated Net Realized Gain/(Loss)
on Investments...................... (127,209) (24,625) (222,873) (52,132)
Net Unrealized
Appreciation/(Depreciation) on
Investments......................... (461,943) 1,048,162 (2,720,590) 909,320
----------- ----------- ----------- -----------
NET ASSETS............................ $21,457,628 $20,914,206 $22,426,344 $11,229,106
=========== =========== =========== ===========
Shares Outstanding (Unlimited Shares
Authorized), No Par Value........... 600,078 350,008 600,021 250,001
=========== =========== =========== ===========
Net Asset Value, Offering Price and
Repurchase Price Per Share.......... $ 35.76 $ 59.75 $ 37.38 $ 44.92
=========== =========== =========== ===========
*Total Cost of Investments............ $21,914,360 $19,869,992 $25,131,282 $10,319,551
=========== =========== =========== ===========
</Table>
76
See Notes to Financial Statements.
STATEMENTS OF ASSETS AND LIABILITIES October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
RYDEX S&P RYDEX S&P
EQUAL WEIGHT EQUAL WEIGHT RYDEX S&P RYDEX S&P
CONSUMER CONSUMER EQUAL WEIGHT EQUAL WEIGHT
DISCRETIONARY ETF STAPLES ETF ENERGY ETF FINANCIAL ETF
----------------- ------------ ------------ -------------
ASSETS
Investments at Market Value*............. $28,924,375 $7,896,013 $10,128,547 $6,997,368
Receivables:
Investment Sold........................ -- 204,008 505,527 43,297
Dividends.............................. 13,028 7,371 1,871 7,225
Receivable for Fund shares sold.......... 6,639,040 -- -- --
----------- ---------- ----------- ----------
TOTAL ASSETS........................ 35,576,443 8,107,392 10,635,945 7,047,890
----------- ---------- ----------- ----------
LIABILITIES
Payables:
Investments Purchased.................. 6,636,309 201,984 510,171 45,034
Accrued Management Fees................ 12,203 3,302 4,207 3,036
----------- ---------- ----------- ----------
TOTAL LIABILITIES................... 6,648,512 205,286 514,378 48,070
----------- ---------- ----------- ----------
NET ASSETS............................... $28,927,931 $7,902,106 $10,121,567 $6,999,820
=========== ========== =========== ==========
NET ASSETS CONSIST OF:
Paid-in Capital.......................... $29,875,108 $7,267,334 $ 7,251,932 $7,361,096
Undistributed Net Investment Income...... 9,971 7,621 -- --
Accumulated Net Realized Gain/(Loss) on
Investments............................ (2,856) (80,535) 258,084 (31,171)
Net Unrealized
Appreciation/(Depreciation) on
Investments............................ (954,292) 707,686 2,611,551 (330,105)
----------- ---------- ----------- ----------
NET ASSETS............................... $28,927,931 $7,902,106 $10,121,567 $6,999,820
=========== ========== =========== ==========
Shares Outstanding (Unlimited Shares
Authorized), No Par Value.............. 650,000 150,000 150,000 150,000
=========== ========== =========== ==========
Net Asset Value, Offering Price and
Repurchase Price Per Share............. $ 44.50 $ 52.68 $ 67.48 $ 46.67
=========== ========== =========== ==========
*Total Cost of Investments............... $29,878,667 $7,188,327 $ 7,516,996 $7,327,473
=========== ========== =========== ==========
</Table>
77 ANNUAL REPORT
See Notes to Financial Statements.
STATEMENTS OF ASSETS AND LIABILITIES October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
RYDEX S&P RYDEX S&P RYDEX S&P RYDEX S&P RYDEX S&P
EQUAL WEIGHT EQUAL WEIGHT EQUAL WEIGHT EQUAL WEIGHT EQUAL WEIGHT
HEALTH CARE ETF INDUSTRIALS ETF MATERIALS ETF TECHNOLOGY ETF UTILITIES ETF
--------------- --------------- ------------- -------------- -------------
ASSETS
Investments at Market Value*....... $17,373,285 $8,897,425 $8,908,370 $19,316,129 $6,220,848
Cash............................... 143 -- -- -- --
Receivables:
Investments Sold................. 338,019 471,644 -- 9,215,532 --
Dividends........................ 10,910 6,135 8,870 3,622 10,238
----------- ---------- ---------- ----------- ----------
TOTAL ASSETS.................. 17,722,357 9,375,204 8,917,240 28,535,283 6,231,086
----------- ---------- ---------- ----------- ----------
LIABILITIES
Payables:
Investments Purchased............ 331,644 466,173 -- 1,047,742 --
Fund shares repurchased.......... -- -- -- 8,167,496 --
Due to Custodian................. -- -- -- 1,274 --
Accrued Management Fees.......... 8,125 3,784 3,767 6,761 2,600
----------- ---------- ---------- ----------- ----------
TOTAL LIABILITIES............. 339,769 469,957 3,767 9,223,273 2,600
----------- ---------- ---------- ----------- ----------
NET ASSETS......................... $17,382,588 $8,905,247 $8,913,473 $19,312,010 $6,228,486
=========== ========== ========== =========== ==========
NET ASSETS CONSIST OF:
Paid-in Capital.................... $17,547,972 $7,372,663 $8,379,115 $18,841,439 $5,735,156
Undistributed Net Investment
Income........................... 2,165 1,947 8,395 -- 13,579
Accumulated Net Realized
Gain/(Loss) on Investments....... (20,212) 254,226 (12,478) (23,985) (2,186)
Net Unrealized
Appreciation/(Depreciation) on
Investments...................... (147,337) 1,276,411 538,441 494,556 481,937
----------- ---------- ---------- ----------- ----------
NET ASSETS......................... $17,382,588 $8,905,247 $8,913,473 $19,312,010 $6,228,486
=========== ========== ========== =========== ==========
Shares Outstanding (Unlimited
Shares Authorized), No Par
Value............................ 300,000 150,000 150,000 350,000 100,000
=========== ========== ========== =========== ==========
Net Asset Value, Offering Price and
Repurchase Price Per Share....... $ 57.94 $ 59.37 $ 59.42 $ 55.18 $ 62.28
=========== ========== ========== =========== ==========
*Total Cost of Investments......... $17,520,622 $7,621,014 $8,369,929 $18,821,573 $5,738,911
=========== ========== ========== =========== ==========
</Table>
78
See Notes to Financial Statements.
STATEMENTS OF OPERATIONS For the Year Ended
October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
RYDEX S&P RYDEX RUSSELL RYDEX S&P RYDEX S&P
EQUAL TOP 50 500 PURE 500 PURE
WEIGHT ETF ETF VALUE ETF GROWTH ETF
------------ ------------- ----------- ----------
INVESTMENT INCOME
Dividends............................... $ 34,402,880 $12,043,736 $ 909,658 $ 441,374
------------ ----------- ----------- ----------
Total Income......................... 34,402,880 12,043,736 909,658 441,374
------------ ----------- ----------- ----------
EXPENSES
Management Fee.......................... 8,585,186 1,114,984 127,146 153,595
------------ ----------- ----------- ----------
Net Investment Income..................... 25,817,694 10,928,752 782,512 287,779
------------ ----------- ----------- ----------
REALIZED AND UNREALIZED GAIN/(LOSS) ON
INVESTMENTS
Net Realized Gain/(Loss) From:
Investments............................. 28,183,590 (772,520) 71,241 (303,897)
In-kind Redemptions..................... 208,677,545 28,586,344 1,427,730 --
------------ ----------- ----------- ----------
Net Realized Gain/(Loss)............. 236,861,135 27,813,824 1,498,971 (303,897)
Net Change in Unrealized
Appreciation/(Depreciation) on
Investments............................. (60,770,241) 33,495,340 (1,243,457) 4,763,550
------------ ----------- ----------- ----------
Net Realized and Unrealized Gain on
Investments............................. 176,090,894 61,309,164 255,514 4,459,653
------------ ----------- ----------- ----------
NET INCREASE IN NET ASSETS RESULTING
FROM OPERATIONS.................... $201,908,588 $72,237,916 $ 1,038,026 $4,747,432
============ =========== =========== ==========
</Table>
79 ANNUAL REPORT
See Notes to Financial Statements.
STATEMENTS OF OPERATIONS For the Year Ended
October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
RYDEX S&P RYDEX S&P RYDEX S&P RYDEX S&P
MIDCAP 400 MIDCAP 400 SMALLCAP 600 SMALLCAP 600
PURE VALUE ETF PURE GROWTH ETF PURE VALUE ETF PURE GROWTH ETF
-------------- --------------- -------------- ---------------
INVESTMENT INCOME
Dividends......................... $ 497,254 $ 193,252 $ 408,823 $ 34,225
Foreign Taxes Withheld............ -- -- (227) --
----------- ---------- ----------- ----------
Total Income................... 497,254 193,252 408,596 34,225
----------- ---------- ----------- ----------
EXPENSES
Management Fee.................... 66,220 71,322 67,159 34,036
----------- ---------- ----------- ----------
Net Investment Income............... 431,034 121,930 341,437 189
----------- ---------- ----------- ----------
REALIZED AND UNREALIZED GAIN/(LOSS)
ON INVESTMENTS
Net Realized Gain/(Loss) From:
Investments....................... (60,684) 348,336 (260,960) 69,437
In-kind Redemptions............... 1,230,879 1,499,170 96,574 400,812
----------- ---------- ----------- ----------
Net Realized Gain/(Loss)....... 1,170,195 1,847,506 (164,386) 470,249
----------- ---------- ----------- ----------
Net Change in Unrealized
Appreciation/(Depreciation) on
Investments....................... (1,114,000) 2,040,810 (2,989,872) 855,709
----------- ---------- ----------- ----------
Net Realized and Unrealized
Gain/(Loss) on Investments........ 56,195 3,888,316 (3,154,258) 1,325,958
----------- ---------- ----------- ----------
NET INCREASE/DECREASE IN NET
ASSETS RESULTING FROM
OPERATIONS................... $ 487,229 $4,010,246 $(2,812,821) $1,326,147
=========== ========== =========== ==========
</Table>
80
See Notes to Financial Statements.
STATEMENTS OF OPERATIONS For the Year Ended
October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
RYDEX S&P RYDEX S&P
EQUAL WEIGHT EQUAL WEIGHT RYDEX S&P RYDEX S&P
CONSUMER CONSUMER EQUAL WEIGHT EQUAL WEIGHT
DISCRETIONARY ETF* STAPLES ETF* ENERGY ETF* FINANCIALS ETF*
------------------ ------------ ------------ ---------------
INVESTMENT INCOME
Dividends............................ $ 447,201 $211,838 $ 81,977 $ 134,338
----------- -------- ---------- ---------
Total Income...................... 447,201 211,838 81,977 134,338
----------- -------- ---------- ---------
EXPENSES
Management Fee....................... 190,401 37,892 42,071 28,645
----------- -------- ---------- ---------
Net Investment Income.................. 256,800 173,946 39,906 105,693
----------- -------- ---------- ---------
REALIZED AND UNREALIZED GAIN/(LOSS) ON
INVESTMENTS
Net Realized Gain/(Loss) From:
Investments.......................... (390,702) (80,535) 260,240 (16,742)
In-kind Redemptions.................. (2,631,297) 29,767 -- 410,092
----------- -------- ---------- ---------
Net Realized Gain/(Loss).......... (3,021,999) (50,768) 260,240 393,350
----------- -------- ---------- ---------
Net Change in Unrealized
Appreciation/(Depreciation) on
Investments....................... (954,292) 707,686 2,611,551 (330,105)
----------- -------- ---------- ---------
Net Realized and Unrealized Gain/(Loss)
on Investments....................... (3,976,291) 656,918 2,871,791 63,245
----------- -------- ---------- ---------
NET INCREASE/DECREASE IN NET
ASSETS RESULTING FROM
OPERATIONS...................... $(3,719,491) $830,864 $2,911,697 $ 168,938
=========== ======== ========== =========
</Table>
* The Fund commenced operations on November 1, 2006.
81 ANNUAL REPORT
See Notes to Financial Statements.
STATEMENTS OF OPERATIONS For the Year Ended
October 31, 2007
- --------------------------------------------------------------------------------
<Table>
<Caption>
RYDEX S&P RYDEX S&P RYDEX S&P RYDEX S&P RYDEX S&P
EQUAL WEIGHT EQUAL WEIGHT EQUAL WEIGHT EQUAL WEIGHT EQUAL WEIGHT
HEALTH CARE ETF* INDUSTRIALS ETF* MATERIALS ETF* TECHNOLOGY ETF* UTILITIES ETF*
---------------- ---------------- -------------- --------------- --------------
INVESTMENT INCOME
Dividends............... $ 134,740 $ 125,668 $ 170,040 $ 43,750 $ 258,985
---------- ---------- ---------- ---------- ----------
Total Income......... 134,740 125,668 170,040 43,750 258,985
---------- ---------- ---------- ---------- ----------
EXPENSES
Management Fee.......... 95,572 41,190 41,693 54,839 41,757
---------- ---------- ---------- ---------- ----------
Net Investment
Income/(Loss)........... 39,168 84,478 128,347 (11,089) 217,228
---------- ---------- ---------- ---------- ----------
REALIZED AND UNREALIZED
GAIN ON INVESTMENTS
Net Realized Gain From:
Investments............. 62,510 253,601 23,962 243,828 140,698
In-kind Redemptions..... 1,027,588 -- 1,060,492 1,162,801 520,862
---------- ---------- ---------- ---------- ----------
Net Realized Gain.... 1,090,098 253,601 1,084,454 1,406,629 661,560
---------- ---------- ---------- ---------- ----------
Net Change in Unrealized
Appreciation/(Deprecia-
tion) on Investments.... (147,337) 1,276,411 538,441 494,556 481,937
---------- ---------- ---------- ---------- ----------
Net Realized and
Unrealized Gain on
Investments............. 942,761 1,530,012 1,622,895 1,901,185 1,143,497
---------- ---------- ---------- ---------- ----------
NET INCREASE IN NET
ASSETS RESULTING
FROM OPERATIONS.... $ 981,929 $1,614,490 $1,751,242 $1,890,096 $1,360,725
========== ========== ========== ========== ==========
</Table>
* The Fund commenced operations on November 1, 2006.
82
See Notes to Financial Statements.
STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
<Table>
<Caption>
RYDEX S&P EQUAL WEIGHT ETF RYDEX RUSSELL TOP 50 ETF
----------------------------------- -----------------------------------
YEAR ENDED YEAR ENDED YEAR ENDED YEAR ENDED
OCTOBER 31, 2007 OCTOBER 31, 2006 OCTOBER 31, 2007 OCTOBER 31, 2006
---------------- ---------------- ---------------- ----------------
OPERATIONS
Net Investment Income............ $ 25,817,694 $ 18,288,154 $ 10,928,752 $ 3,238,051
Net Realized Gain................ 236,861,135 98,930,337 27,813,824 6,613,107
Net Change in Unrealized
Appreciation/
(Depreciation) on
Investments................... (60,770,241) 112,521,932 33,495,340 22,742,988
-------------- -------------- ------------- ------------
Net Increase in Net Assets
Resulting From Operations..... 201,908,588 229,740,423 72,237,916 32,594,146
-------------- -------------- ------------- ------------
DISTRIBUTIONS TO SHAREHOLDERS FROM
Net Investment Income............ (25,503,538) (17,292,008) (10,668,692) (3,010,095)
-------------- -------------- ------------- ------------
SHAREHOLDER TRANSACTIONS
Proceeds From Shares Sold........ 1,286,385,367 1,072,339,911 451,183,675 275,530,048
Value of Shares Reinvested....... 214,399 114,370 3,303 512
Value of Shares Repurchased...... 1,045,109,356 (596,515,156) (195,942,838) (77,658,417)
-------------- -------------- ------------- ------------
Net Increase in Net Assets
Resulting From Share
Transactions.................. 241,490,410 475,939,125 255,244,140 197,872,143
-------------- -------------- ------------- ------------
Increase in Net Assets........ 417,895,460 688,387,540 316,813,364 227,456,194
NET ASSETS--BEGINNING OF PERIOD.... 1,759,797,108 1,071,409,568 364,541,415 137,085,221
-------------- -------------- ------------- ------------
NET ASSETS--END OF PERIOD(1)....... $2,177,692,568 $1,759,797,108 $ 681,354,779 $364,541,415
============== ============== ============= ============
(1) Including Undistributed Net
Investment Income................ $ 602,527 $ 1,095,730 $ 690,261 $ 430,201
============== ============== ============= ============
CHANGES IN SHARES OUTSTANDING:
Shares Sold...................... 25,750,000 14,253,000 4,150,000 2,800,000
Shares Issued in Connection with
Stock Split................... -- 27,150,006 -- --
Shares Reinvested................ 4,357 2,583 30 5
Shares Repurchased............... 20,950,000 (9,950,000) (1,800,000) (800,000)
Shares Outstanding, Beginning of
Year.......................... 38,206,589 6,751,000 3,500,005 1,500,000
-------------- -------------- ------------- ------------
Shares Outstanding, End of Year.. 43,010,946 38,206,589 5,850,035 3,500,005
============== ============== ============= ============
</Table>
83 ANNUAL REPORT
See Notes to Financial Statements.
STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
<Table>
<Caption>
RYDEX S&P 500 PURE VALUE ETF RYDEX S&P 500 PURE GROWTH ETF
----------------------------------- -----------------------------------
FOR THE PERIOD FOR THE PERIOD
MARCH 1, 2006* MARCH 1, 2006*
YEAR ENDED THROUGH YEAR ENDED THROUGH
OCTOBER 31, 2007 OCTOBER 31, 2006 OCTOBER 31, 2007 OCTOBER 31, 2006
---------------- ---------------- ---------------- ----------------
OPERATIONS
Net Investment Income................ $ 782,512 $ 191,191 $ 287,779 $ 43,592
Net Realized Gain/(Loss)............. 1,498,971 (56,285) (303,897) (51,751)
Net Change in Unrealized
Appreciation/(Depreciation) on
Investments....................... (1,243,457) 1,010,976 4,763,550 566,459
------------ ----------- ----------- ------------
Net Increase in Net Assets Resulting
From Operations................... 1,038,026 1,145,882 4,747,432 558,300
------------ ----------- ----------- ------------
DISTRIBUTIONS TO SHAREHOLDERS FROM
Net Investment Income................ (763,947) (125,179) (279,098) (37,063)
------------ ----------- ----------- ------------
SHAREHOLDER TRANSACTIONS
Proceeds From Shares Sold............ 30,026,191 20,211,486 41,220,808 17,128,091
Value of Shares Reinvested........... 6,721 -- 1,567 --
Value of Shares Repurchased.......... (11,904,315) -- -- --
------------ ----------- ----------- ------------
Net Increase in Net Assets Resulting
From Share Transactions........... 18,128,597 20,211,486 41,222,375 17,128,091
------------ ----------- ----------- ------------
Increase in Net Assets............ 18,402,676 21,232,189 45,690,709 17,649,328
NET ASSETS--BEGINNING OF PERIOD........ 21,232,189 -- 17,649,328 --
------------ ----------- ----------- ------------
NET ASSETS--END OF PERIOD(1)........... $ 39,634,865 $21,232,189 $63,340,037 $ 17,649,328
============ =========== =========== ============
(1) Including Undistributed Net
Investment Income.................... $ 71,041 $ 62,368 $ 15,214 $ 6,529
============ =========== =========== ============
CHANGES IN SHARES OUTSTANDING:
Shares Sold.......................... 850,000 650,000 1,100,000 500,000
Shares Reinvested.................... 192 -- 41 --
Shares Repurchased................... (350,000) -- -- --
Shares Outstanding, Beginning of
Period............................ 650,000 -- 500,000 --
------------ ----------- ----------- ------------
Shares Outstanding, End of Period.... 1,150,192 650,000 1,600,041 500,000
============ =========== =========== ============
</Table>
* The Fund commenced operations on March 1, 2006.
84
See Notes to Financial Statements.
STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
<Table>
<Caption>
RYDEX S&P MIDCAP 400 PURE GROWTH
RYDEX S&P MIDCAP 400 PURE VALUE ETF ETF
----------------------------------- -----------------------------------
FOR THE PERIOD FOR THE PERIOD
MARCH 1, 2006* MARCH 1, 2006*
YEAR ENDED THROUGH YEAR ENDED THROUGH
OCTOBER 31, 2007 OCTOBER 31, 2006 OCTOBER 31, 2007 OCTOBER 31, 2006
---------------- ---------------- ---------------- ----------------
OPERATIONS
Net Investment Income............ $ 431,034 $ 161,783 $ 121,930 $ 8,022
Net Realized Gain/(Loss)......... 1,170,195 (106,316) 1,847,506 (23,417)
Net Change in Unrealized
Appreciation/(Depreciation) on
Investments................... (1,114,000) 652,057 2,040,810 (992,648)
------------ ----------- ------------ ------------
Net Increase in Net Assets
Resulting From Operations..... 487,229 707,024 4,010,246 (1,008,043)
------------ ----------- ------------ ------------
DISTRIBUTIONS TO SHAREHOLDERS FROM
Net Investment Income............ (425,129) (133,471) (118,480) (5,659)
Net Realized Gains............... -- -- (64,208) --
------------ ----------- ------------ ------------
Total Distributions.............. (425,129) (133,471) (182,688) (5,659)
------------ ----------- ------------ ------------
SHAREHOLDER TRANSACTIONS
Proceeds From Shares Sold........ 20,533,730 14,398,483 8,630,176 23,560,420
Value of Shares Reinvested....... 2,802 -- 432 --
Value of Shares Repurchased...... (14,113,540) -- (14,090,678) --
------------ ----------- ------------ ------------
Net Increase/(Decrease) in Net
Assets Resulting From Share
Transactions.................. 6,422,992 14,398,483 (5,460,070) 23,560,420
------------ ----------- ------------ ------------
Increase/(Decrease) in Net
Assets...................... 6,485,092 14,972,536 (1,632,512) 22,546,718
NET ASSETS--BEGINNING OF PERIOD.... 14,972,536 -- 22,546,718 --
------------ ----------- ------------ ------------
NET ASSETS--END OF PERIOD(1)....... $ 21,457,628 $14,972,536 $ 20,914,206 $ 22,546,718
============ =========== ============ ============
(1) Including Undistributed Net
Investment Income................ $ 7,853 $ 21,957 $ 5,819 $ 2,363
============ =========== ============ ============
CHANGES IN SHARES OUTSTANDING:
Shares Sold...................... 550,000 450,000 150,000 450,000
Shares Reinvested................ 78 -- 8 --
Shares Repurchased............... (400,000) -- (250,000) --
Shares Outstanding, Beginning of
Period........................ 450,000 -- 450,000 --
------------ ----------- ------------ ------------
Shares Outstanding, End of
Period........................ 600,078 450,000 350,008 450,000
============ =========== ============ ============
</Table>
* The Fund commenced operations on March 1, 2006.
85 ANNUAL REPORT
See Notes to Financial Statements.
STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
<Table>
<Caption>
RYDEX S&P SMALLCAP 600 RYDEX S&P SMALLCAP 600
PURE VALUE ETF PURE GROWTH ETF
----------------------------------- -----------------------------------
FOR THE PERIOD FOR THE PERIOD
MARCH 1, 2006* MARCH 1, 2006*
YEAR ENDED THROUGH YEAR ENDED THROUGH
OCTOBER 31, 2007 OCTOBER 31, 2006 OCTOBER 31, 2007 OCTOBER 31, 2006
---------------- ---------------- ---------------- ----------------
OPERATIONS
Net Investment Income/(Loss)..... $ 341,437 $ 55,748 $ 189 $ (2,038)
Net Realized Gain/(Loss)......... (164,386) (25,510) 470,249 (239,219)
Net Change in Unrealized
Appreciation/(Depreciation) on
Investments................... (2,989,872) 269,282 855,709 53,611
----------- ---------- ----------- -----------
Net Increase/(Decrease) in Net
Assets Resulting From
Operations.................... (2,812,821) 299,520 1,326,147 (187,646)
----------- ---------- ----------- -----------
DISTRIBUTIONS TO SHAREHOLDERS FROM
Net Investment Income............ (304,472) (47,250) (4,792) --
Capital.......................... (9,172) -- -- --
----------- ---------- ----------- -----------
Total Distributions to
Shareholders.................. (313,644) (47,250) (4,792) --
----------- ---------- ----------- -----------
SHAREHOLDER TRANSACTIONS
Proceeds From Shares Sold........ 21,411,904 5,766,825 4,219,106 15,469,445
Value of Shares Reinvested....... 883 -- 44 --
Value of Shares Repurchased...... (1,879,073) -- (2,131,084) (7,462,114)
----------- ---------- ----------- -----------
Net Increase in Net Assets
Resulting From Share
Transactions.................. 19,533,714 5,766,825 2,088,066 8,007,331
----------- ---------- ----------- -----------
Increase in Net Assets........ 16,407,249 6,019,095 3,409,421 7,819,685
NET ASSETS--BEGINNING OF PERIOD.... 6,019,095 -- 7,819,685 --
----------- ---------- ----------- -----------
NET ASSETS--END OF PERIOD(1)....... $22,426,344 $6,019,095 $11,229,106 $7,819,685
=========== ========== =========== ===========
(1) Including Undistributed Net
Investment Income................ $ -- $ 7,703 $ -- $ --
=========== ========== =========== ===========
CHANGES IN SHARES OUTSTANDING:
Shares Sold...................... 500,000 150,000 100,000 400,000
Shares Reinvested................ 21 -- 1 --
Shares Repurchased............... (50,000) -- (50,000) (200,000)
Shares Outstanding, Beginning of
Period........................ 150,000 -- 200,000 --
----------- ---------- ----------- -----------
Shares Outstanding, End of
Period........................ 600,021 150,000 250,001 200,000
=========== ========== =========== ===========
</Table>
* The Fund commenced operations on March 1, 2006.
86
See Notes to Financial Statements.
STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
<Table>
<Caption>
RYDEX S&P EQUAL RYDEX S&P EQUAL
WEIGHT CONSUMER WEIGHT CONSUMER
DISCRETIONARY ETF STAPLES ETF
----------------- -----------------
FOR THE PERIOD FOR THE PERIOD
NOVEMBER 1, 2006* NOVEMBER 1, 2006*
THROUGH THROUGH
OCTOBER 31, 2007 OCTOBER 31, 2007
----------------- -----------------
OPERATIONS
Net Investment Income.............................. $ 256,800 $ 173,946
Net Realized Gain/(Loss)........................... (3,021,999) (50,768)
Net Change in Unrealized
Appreciation/(Depreciation) on Investments...... (954,292) 707,686
------------- -----------
Net Increase/(Decrease) in Net Assets Resulting
From Operations................................. (3,719,491) 830,864
------------- -----------
DISTRIBUTIONS TO SHAREHOLDERS FROM
Net Investment Income.............................. (246,829) (166,325)
------------- -----------
SHAREHOLDER TRANSACTIONS
Proceeds From Shares Sold.......................... 164,688,912 9,840,904
Value of Shares Reinvested......................... -- --
Value of Shares Repurchased........................ (131,794,661) (2,603,337)
------------- -----------
Net Increase in Net Assets Resulting From Share
Transactions.................................... 32,894,251 7,237,567
------------- -----------
Increase in Net Assets.......................... 28,927,931 7,902,106
NET ASSETS--BEGINNING OF PERIOD...................... -- --
------------- -----------
NET ASSETS--END OF PERIOD(1)......................... $ 28,927,931 $ 7,902,106
============= ===========
(1) Including Undistributed Net Investment Income.... $ 9,971 $ 7,621
============= ===========
CHANGES IN SHARES OUTSTANDING:
Shares Sold........................................ 3,550,000 200,000
Shares Reinvested.................................. -- --
Shares Repurchased................................. (2,900,000) (50,000)
Shares Outstanding, Beginning of Period............ -- --
------------- -----------
Shares Outstanding, End of Period.................. 650,000 150,000
============= ===========
</Table>
* The Fund commenced operations on November 1, 2006.
87 ANNUAL REPORT
See Notes to Financial Statements.
STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
<Table>
<Caption>
RYDEX S&P EQUAL RYDEX S&P EQUAL
WEIGHT ENERGY ETF WEIGHT FINANCIALS ETF
----------------- ---------------------
FOR THE PERIOD FOR THE PERIOD
NOVEMBER 1, 2006* NOVEMBER 1, 2006*
THROUGH THROUGH
OCTOBER 31, 2007 OCTOBER 31, 2007
----------------- ---------------------
OPERATIONS
Net Investment Income............................. $ 39,906 $ 105,693
Net Realized Gain................................. 260,240 393,350
Net Change in Unrealized
Appreciation/(Depreciation) on Investments..... 2,611,551 (330,105)
----------- ------------
Net Increase in Net Assets Resulting From
Operations..................................... 2,911,697 168,938
----------- ------------
DISTRIBUTIONS TO SHAREHOLDERS FROM
Net Investment Income............................. (42,062) (98,785)
----------- ------------
SHAREHOLDER TRANSACTIONS
Proceeds From Shares Sold......................... 7,251,932 31,922,837
Value of Shares Reinvested........................ -- --
Value of Shares Repurchased....................... -- (24,993,170)
----------- ------------
Net Increase in Net Assets Resulting From Share
Transactions................................... 7,251,932 6,929,667
----------- ------------
Increase in Net Assets......................... 10,121,567 6,999,820
NET ASSETS--BEGINNING OF PERIOD..................... -- --
----------- ------------
NET ASSETS--END OF PERIOD(1)........................ $10,121,567 $ 6,999,820
=========== ============
(1) Including Undistributed Net Investment
Income/(Loss)..................................... $ -- $ --
=========== ============
CHANGES IN SHARES OUTSTANDING:
Shares Sold....................................... 150,000 650,000
Shares Reinvested................................. -- --
Shares Repurchased................................ -- (500,000)
Shares Outstanding, Beginning of Period........... -- --
----------- ------------
Shares Outstanding, End of Period................. 150,000 150,000
=========== ============
</Table>
* The Fund commenced operations on November 1, 2006.
88
See Notes to Financial Statements.
STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
<Table>
<Caption>
RYDEX S&P RYDEX S&P
EQUAL WEIGHT EQUAL WEIGHT
HEALTH CARE ETF INDUSTRIALS ETF
----------------- -----------------
FOR THE PERIOD FOR THE PERIOD
NOVEMBER 1, 2006* NOVEMBER 1, 2006*
THROUGH THROUGH
OCTOBER 31, 2007 OCTOBER 31, 2007
----------------- -----------------
OPERATIONS
Net Investment Income.............................. $ 39,168 $ 84,478
Net Realized Gain.................................. 1,090,098 253,601
Net Change in Unrealized
Appreciation/(Depreciation) on Investments...... (147,337) 1,276,411
------------ ----------
Net Increase in Net Assets Resulting From
Operations...................................... 981,929 1,614,490
------------ ----------
DISTRIBUTIONS TO SHAREHOLDERS FROM
Net Investment Income.............................. (37,003) (81,906)
------------ ----------
SHAREHOLDER TRANSACTIONS
Proceeds From Shares Sold.......................... 36,174,181 7,372,663
Value of Shares Reinvested......................... -- --
Value of Shares Repurchased........................ (19,736,519) --
------------ ----------
Net Increase in Net Assets Resulting From Share
Transactions.................................... 16,437,662 7,372,663
------------ ----------
Increase in Net Assets.......................... 17,382,588 8,905,247
NET ASSETS--BEGINNING OF PERIOD...................... -- --
------------ ----------
NET ASSETS--END OF PERIOD(1)......................... $ 17,382,588 $8,905,247
============ ==========
(1) Including Undistributed Net Investment Income.... $ 2,165 $ 1,947
============ ==========
CHANGES IN SHARES OUTSTANDING:
Shares Sold........................................ 650,000 150,000
Shares Reinvested.................................. -- --
Shares Repurchased................................. (350,000) --
Shares Outstanding, Beginning of Period............ -- --
------------ ----------
Shares Outstanding, End of Period.................. 300,000 150,000
============ ==========
</Table>
* The Fund commenced operations on November 1, 2006.
89 ANNUAL REPORT
See Notes to Financial Statements.
STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
<Table>
<Caption>
RYDEX S&P RYDEX S&P
EQUAL WEIGHT EQUAL WEIGHT
MATERIALS ETF TECHNOLOGY ETF
----------------- -----------------
FOR THE PERIOD FOR THE PERIOD
NOVEMBER 1, 2006* NOVEMBER 1, 2006*
THROUGH THROUGH
OCTOBER 31, 2007 OCTOBER 31, 2007
----------------- -----------------
OPERATIONS
Net Investment Income/(Loss)....................... $ 128,347 $ (11,089)
Net Realized Gain.................................. 1,084,454 1,406,629
Net Change in Unrealized Appreciation on
Investments..................................... 538,441 494,556
------------ -----------
Net Increase in Net Assets Resulting From
Operations...................................... 1,751,242 1,890,096
------------ -----------
DISTRIBUTIONS TO SHAREHOLDERS FROM
Net Investment Income.............................. (119,952) --
------------ -----------
SHAREHOLDER TRANSACTIONS
Proceeds From Shares Sold.......................... 26,216,591 25,589,410
Value of Shares Reinvested......................... -- --
Value of Shares Repurchased........................ (18,934,408) (8,167,496)
------------ -----------
Net Increase in Net Assets Resulting From Share
Transactions.................................... 7,282,183 17,421,914
------------ -----------
Increase in Net Assets.......................... 8,913,473 19,312,010
NET ASSETS--BEGINNING OF PERIOD...................... -- --
------------ -----------
NET ASSETS--END OF PERIOD(1)......................... $ 8,913,473 $19,312,010
============ ===========
(1) Including Undistributed Net Investment Income.... $ 8,395 $ --
============ ===========
CHANGES IN SHARES OUTSTANDING:
Shares Sold........................................ 500,000 500,000
Shares Reinvested.................................. -- --
Shares Repurchased................................. (350,000) (150,000)
Shares Outstanding, Beginning of Period............ -- --
------------ -----------
Shares Outstanding, End of Period.................. 150,000 350,000
============ ===========
</Table>
* The Fund commenced operations on November 1, 2006.
90
See Notes to Financial Statements.
STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
<Table>
<Caption>
RYDEX S&P
EQUAL WEIGHT
UTILITIES ETF
-----------------
FOR THE PERIOD
NOVEMBER 1, 2006*
THROUGH
OCTOBER 31, 2007
-----------------
OPERATIONS
Net Investment Income.......................................... $ 217,228
Net Realized Gain.............................................. 661,560
Net Change in Unrealized Appreciation on Investments........... 481,937
-----------
Net Increase in Net Assets Resulting From Operations........... 1,360,725
-----------
DISTRIBUTIONS TO SHAREHOLDERS FROM
Net Investment Income.......................................... (203,649)
-----------
SHAREHOLDER TRANSACTIONS
Proceeds From Shares Sold...................................... 13,839,342
Value of Shares Reinvested..................................... --
Value of Shares Repurchased.................................... (8,767,932)
-----------
Net Increase in Net Assets Resulting From Share Transactions... 5,071,410
-----------
Increase in Net Assets...................................... 6,228,486
NET ASSETS--BEGINNING OF PERIOD.................................. --
-----------
NET ASSETS--END OF PERIOD(1)..................................... $ 6,228,486
===========
(1) Including Undistributed Net Investment Income................ $ 13,579
===========
CHANGES IN SHARES OUTSTANDING:
Shares Sold.................................................... 250,000
Shares Reinvested.............................................. --
Shares Repurchased............................................. (150,000)
Shares Outstanding, Beginning of Period........................ --
-----------
Shares Outstanding, End of Period.............................. 100,000
===========
</Table>
* The Fund commenced operations on November 1, 2006.
91 ANNUAL REPORT
See Notes to Financial Statements.
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
<Table>
<Caption>
RYDEX S&P EQUAL WEIGHT ETF
---------------------------------------------------------------------------------------
FOR THE PERIOD
APRIL 24, 2003*
YEAR ENDED YEAR ENDED YEAR ENDED YEAR ENDED THROUGH
OCTOBER 31, OCTOBER 31, OCTOBER 31, OCTOBER 31, OCTOBER 31,
2007(1) 2006(1)(2) 2005(1) 2004(1) 2003(1)
--------------- --------------- --------------- --------------- ---------------
PER SHARE OPERATING
PERFORMANCE:
NET ASSET VALUE AT
BEGINNING OF
PERIOD............. $46.06 $39.68 $35.70 $31.61 $25.26
---------- ---------- ---------- -------- --------
Net Investment
Income**........... 0.59 0.52 0.43 0.37 0.18
Net Realized and
Unrealized Gain on
Investments........ 4.56 6.36 3.95 4.08 6.33
---------- ---------- ---------- -------- --------
TOTAL FROM INVESTMENT
OPERATIONS......... 5.15 6.88 4.38 4.45 6.51
---------- ---------- ---------- -------- --------
DISTRIBUTIONS TO
SHAREHOLDERS FROM:
Net Investment
Income............. (0.58) (0.50) (0.40) (0.36) (0.16)
---------- ---------- ---------- -------- --------
NET ASSET VALUE AT
END OF PERIOD...... $50.63 $46.06 $39.68 $35.70 $31.61
========== ========== ========== ======== ========
TOTAL RETURN***...... 11.23% 17.42% 12.29% 14.11% 25.77%
RATIOS/SUPPLEMENTAL
DATA:
Net Assets at End of
Period (000's
Omitted)........... $2,177,693 $1,759,797 $1,071,410 $485,636 $177,135
RATIO TO AVERAGE NET
ASSETS OF:
Expenses............. 0.40% 0.40% 0.40% 0.40% 0.40%****
Net Investment
Income............. 1.22% 1.21% 1.11% 1.09% 1.13%****
Portfolio Turnover
Rate+.............. 25% 16% 22% 55% 42%
</Table>
* The Fund commenced operations on April 24, 2003.
** Based on average shares outstanding.
*** Total investment return is calculated assuming an initial investment
made at the net asset value at the beginning of the period, reinvestment
of all dividends and distribution at net asset value during the period,
and redemption on the last day of the period. Transaction fees are not
reflected in the calculation of total investment return. Total
investment return calculated for a period of less than one year is not
annualized.
**** Annualized.
(1) All per share information representing data prior to April 26, 2006 has
been adjusted for the effect of a 4 for 1 stock split which occurred on
April 26, 2006.
(2) Beginning with the year ended October 31, 2006, the Fund was audited by
Ernst & Young LLP. The previous periods were audited by another
independent registered public accounting firm.
+ Portfolio turnover is not annualized and does not include securities
received or delivered from processing creations or redemptions.
92
See Notes to Financial Statements.
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
<Table>
<Caption>
RYDEX RUSSELL TOP 50 ETF
---------------------------------------------------------
FOR THE PERIOD
MAY 4, 2005*
YEAR ENDED YEAR ENDED THROUGH
OCTOBER 31, 2007 OCTOBER 31, 2006(1) OCTOBER 31, 2005
---------------- ------------------- ----------------
PER SHARE OPERATING PERFORMANCE:
NET ASSET VALUE AT BEGINNING OF PERIOD........ $104.15 $91.39 $91.51
-------- -------- --------
Net Investment Income**....................... 2.15 1.92 0.79
Net Realized and Unrealized Gain/(Loss) on
Investments................................. 12.25 12.71 (0.46)
-------- -------- --------
TOTAL FROM INVESTMENT OPERATIONS.............. 14.40 14.63 0.33
-------- -------- --------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
Net Investment Income......................... (2.08) (1.87) (0.45)
-------- -------- --------
NET ASSET VALUE AT END OF PERIOD.............. $116.47 $104.15 $91.39
======== ======== ========
TOTAL RETURN***............................... 13.96% 16.18% 0.36%
RATIOS/SUPPLEMENTAL DATA:
Net Assets at End of Period (000's Omitted)... $681,355 $364,541 $137,085
RATIO TO AVERAGE NET ASSETS OF:
Expenses...................................... 0.20% 0.20% 0.20%****
Net Investment Income......................... 1.96% 1.98% 1.74%****
Portfolio Turnover Rate+...................... 8% 7% 1%
</Table>
* The Fund commenced operations on May 4, 2005.
** Based on average shares outstanding.
*** Total investment return is calculated assuming an initial investment
made at the net asset value at the beginning of the period, reinvestment
of all dividends and distribution at net asset value during the period,
and redemption on the last day of the period. Transaction fees are not
reflected in the calculation of total investment return. Total
investment return calculated for a period of less than one year is not
annualized.
**** Annualized.
(1) Beginning with the year ended October 31, 2006, the Fund was audited by
Ernst & Young LLP. The previous periods were audited by another
independent registered public accounting firm.
+ Portfolio turnover is not annualized and does not include securities
received or delivered from processing creations or redemptions.
93 ANNUAL REPORT
See Notes to Financial Statements.
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
<Table>
<Caption>
RYDEX S&P 500 RYDEX S&P 500
PURE VALUE ETF PURE GROWTH ETF RYDEX S&P MIDCAP
---------------------------------- ---------------------------------- 400
FOR THE PERIOD FOR THE PERIOD PURE VALUE ETF
MARCH 1, 2006* MARCH 1, 2006* ----------------
YEAR ENDED THROUGH YEAR ENDED THROUGH YEAR ENDED
OCTOBER 31, 2007 OCTOBER 31, 2006 OCTOBER 31, 2007 OCTOBER 31, 2006 OCTOBER 31, 2007
---------------- ---------------- ---------------- ---------------- ----------------
PER SHARE OPERATING
PERFORMANCE:
NET ASSET VALUE AT
BEGINNING OF PERIOD..... $32.66 $29.87 $35.30 $34.42 $33.27
------- ------- ------- ------- -------
Net Investment Income**... 0.75 0.49 0.25 0.11 0.82
Net Realized and
Unrealized Gain on
Investments............. 1.80 2.58 4.26 0.84 2.48
------- ------- ------- ------- -------
TOTAL FROM INVESTMENT
OPERATIONS.............. 2.55 3.07 4.51 0.95 3.30
------- ------- ------- ------- -------
DISTRIBUTIONS TO
SHAREHOLDERS FROM:
Net Investment Income..... (0.75) (0.28) (0.22) (0.07) (0.81)
------- ------- ------- ------- -------
NET ASSET VALUE AT END OF
PERIOD.................. $34.46 $32.66 $39.59 $35.30 $35.76
======= ======= ======= ======= =======
TOTAL RETURN***........... 7.79% 10.27% 12.79% 2.77% 9.94%
RATIOS/SUPPLEMENTAL DATA:
Net Assets at End of
Period (000's Omitted).. $39,635 $21,232 $63,340 $17,649 $21,458
RATIO TO AVERAGE NET
ASSETS OF:
Expenses.................. 0.35% 0.35%**** 0.35% 0.35%**** 0.35%
Net Investment Income..... 2.15% 2.37%**** 0.66% 0.48%**** 2.28%
Portfolio Turnover Rate+.. 26% 4% 24% 7% 46%
<Caption>
RYDEX S&P MIDCAP
400
PURE VALUE ETF
----------------
FOR THE PERIOD
MARCH 1, 2006*
THROUGH
OCTOBER 31, 2006
----------------
PER SHARE OPERATING
PERFORMANCE:
NET ASSET VALUE AT
BEGINNING OF PERIOD..... $31.53
-------
Net Investment Income**... 0.44
Net Realized and
Unrealized Gain on
Investments............. 1.60
-------
TOTAL FROM INVESTMENT
OPERATIONS.............. 2.04
-------
DISTRIBUTIONS TO
SHAREHOLDERS FROM:
Net Investment Income..... (0.30)
-------
NET ASSET VALUE AT END OF
PERIOD.................. $33.27
=======
TOTAL RETURN***........... 6.48%
RATIOS/SUPPLEMENTAL DATA:
Net Assets at End of
Period (000's Omitted).. $14,973
RATIO TO AVERAGE NET
ASSETS OF:
Expenses.................. 0.35%****
Net Investment Income..... 2.07%****
Portfolio Turnover Rate+.. 4%
</Table>
* The Fund commenced operations on March 1, 2006.
** Based on average shares outstanding.
*** Total investment return is calculated assuming an initial investment
made at the net asset value at the beginning of the period, reinvestment
of all dividends and distribution at net asset value during the period,
and redemption on the last day of the period. Transaction fees are not
reflected in the calculation of total investment return. Total
investment return calculated for a period of less than one year is not
annualized.
**** Annualized.
+ Portfolio turnover is not annualized and does not include securities
received or delivered from processing creations or redemptions.
94
See Notes to Financial Statements.
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
<Table>
<Caption>
RYDEX S&P MIDCAP 400 RYDEX S&P SMALLCAP 600 RYDEX S&P SMALLCAP 600
PURE GROWTH ETF PURE VALUE ETF PURE GROWTH ETF
----------------------------- ----------------------------- -----------------------------
FOR THE PERIOD FOR THE PERIOD FOR THE PERIOD
MARCH 1, 2006* MARCH 1, 2006* MARCH 1, 2006*
YEAR ENDED THROUGH YEAR ENDED THROUGH YEAR ENDED THROUGH
OCTOBER 31, OCTOBER 31, OCTOBER 31, OCTOBER 31, OCTOBER 31, OCTOBER 31,
2007 2006 2007 2006 2007 2006
-------------- -------------- -------------- -------------- -------------- --------------
PER SHARE OPERATING PERFORMANCE:
NET ASSET VALUE AT BEGINNING OF
PERIOD........................ $50.10 $52.62 $40.13 $38.45 $39.10 $39.31
------- ------- ------- ------ ------- ------
Net Investment Income/(Loss)**.. 0.33 0.02 0.74 0.37 -- (0.01)
Net Realized and Unrealized
Gain/(Loss) on Investments.... 9.73 (2.53) (2.85) 1.62 5.84 (0.20)
------- ------- ------- ------ ------- ------
TOTAL FROM INVESTMENT
OPERATIONS.................... 10.06 (2.51) (2.11) 1.99 5.84 (0.21)
------- ------- ------- ------ ------- ------
DISTRIBUTIONS TO SHAREHOLDERS
FROM:
Net Investment Income........... (0.27) (0.01) (0.62) (0.31) (0.02) --
Net Realized Gains.............. (0.14) -- -- -- -- --
Capital......................... -- -- (0.02) -- -- --
------- ------- ------- ------ ------- ------
Total Distributions............. (0.41) (0.01) (0.64) (0.31) (0.02) --
------- ------- ------- ------ ------- ------
NET ASSET VALUE AT END OF
PERIOD........................ $59.75 $50.10 $37.38 $40.13 $44.92 $39.10
======= ======= ======= ====== ======= ======
TOTAL RETURN***................. 20.17% (4.76)% (5.38)% 5.19% 14.93% (0.55)%
RATIOS/SUPPLEMENTAL DATA:
Net Assets at End of Period
(000's Omitted)............... $20,914 $22,547 $22,426 $6,019 $11,229 $7,820
RATIO TO AVERAGE NET ASSETS OF:
Expenses........................ 0.35% 0.35%**** 0.35% 0.35%**** 0.35% 0.35%****
Net Investment Income/(Loss).... 0.60% 0.07%**** 1.78% 1.46%**** 0.00% (0.04)%****
Portfolio Turnover Rate+........ 53% 14% 37% 7% 51% 14%
</Table>
* The Fund commenced operations on March 1, 2006.
** Based on average shares outstanding.
*** Total investment return is calculated assuming an initial investment
made at the net asset value at the beginning of the period, reinvestment
of all dividends and distribution at net asset value during the period,
and redemption on the last day of the period. Transaction fees are not
reflected in the calculation of total investment return. Total
investment return calculated for a period of less than one year is not
annualized.
**** Annualized.
+ Portfolio turnover is not annualized and does not include securities
received or delivered from processing creations or redemptions.
95 ANNUAL REPORT
See Notes to Financial Statements.
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
<Table>
<Caption>
RYDEX S&P RYDEX S&P
EQUAL WEIGHT CONSUMER EQUAL WEIGHT
DISCRETIONARY ETF CONSUMER STAPLES ETF
--------------------- --------------------
FOR THE PERIOD FOR THE PERIOD
NOVEMBER 1, 2006* NOVEMBER 1, 2006*
THROUGH THROUGH
OCTOBER 31, 2007 OCTOBER 31, 2007
--------------------- --------------------
PER SHARE OPERATING PERFORMANCE:
NET ASSET VALUE AT BEGINNING OF PERIOD............. $44.98 $48.16
------- ------
Net Investment Income**............................ 0.32 1.16
Net Realized and Unrealized Gain/(Loss) on
Investments...................................... (0.49) 4.32
------- ------
TOTAL FROM INVESTMENT OPERATIONS................... (0.17) 5.48
------- ------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
Net Investment Income.............................. (0.31) (0.96)
------- ------
NET ASSET VALUE AT END OF PERIOD................... $44.50 $52.68
======= ======
TOTAL RETURN***.................................... (0.40)% 11.45%
RATIOS/SUPPLEMENTAL DATA:
Net Assets at End of Period (000's omitted)........ $28,928 $7,902
RATIO TO AVERAGE NET ASSETS OF:
Expenses........................................... 0.50% 0.50%
Net Investment Income.............................. 0.67% 2.29%
Portfolio Turnover Rate+........................... 28% 19%
</Table>
* The Fund commenced operations on November 1, 2006.
** Based on average shares outstanding.
*** Total investment return is calculated assuming an initial investment
made at the net asset value at the beginning of the period, reinvestment
of all dividends and distribution at net asset value during the period,
and redemption on the last day of the period. Transaction fees are not
reflected in the calculation of total investment return. Total
investment return calculated for a period of less than one year is not
annualized.
+ Portfolio turnover is not annualized and does not include securities
received or delivered from processing creations or redemptions.
96
See Notes to Financial Statements.
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
<Table>
<Caption>
RYDEX S&P RYDEX S&P
EQUAL WEIGHT EQUAL WEIGHT
ENERGY ETF FINANCIALS ETF
----------------- -----------------
FOR THE PERIOD FOR THE PERIOD
NOVEMBER 1, 2006* NOVEMBER 1, 2006*
THROUGH THROUGH
OCTOBER 31, 2007 OCTOBER 31, 2007
----------------- -----------------
PER SHARE OPERATING PERFORMANCE:
NET ASSET VALUE AT BEGINNING OF PERIOD................ $48.35 $48.57
------- ------
Net Investment Income**............................... 0.27 0.92
Net Realized and Unrealized Gain/(Loss) on
Investments......................................... 19.14 (1.95)
------- ------
TOTAL FROM INVESTMENT OPERATIONS...................... 19.41 (1.03)
------- ------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
Net Investment Income................................. (0.28) (0.87)
------- ------
NET ASSET VALUE AT END OF PERIOD...................... $67.48 $46.67
======= ======
TOTAL RETURN***....................................... 40.28% (2.23)%
RATIOS/SUPPLEMENTAL DATA:
Net Assets at End of Period (000's omitted)........... $10,122 $7,000
RATIO TO AVERAGE NET ASSETS OF:
Expenses.............................................. 0.50% 0.50%
Net Investment Income................................. 0.47% 1.84%
Portfolio Turnover Rate+.............................. 34% 31%
</Table>
* The Fund commenced operations on November 1, 2006.
** Based on average shares outstanding.
*** Total investment return is calculated assuming an initial investment
made at the net asset value at the beginning of the period, reinvestment
of all dividends and distribution at net asset value during the period,
and redemption on the last day of the period. Transaction fees are not
reflected in the calculation of total investment return. Total
investment return calculated for a period of less than one year is not
annualized.
+ Portfolio turnover is not annualized and does not include securities
received or delivered from processing creations or redemptions.
97 ANNUAL REPORT
See Notes to Financial Statements.
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
<Table>
<Caption>
RYDEX S&P RYDEX S&P
EQUAL WEIGHT EQUAL WEIGHT
HEALTH CARE ETF INDUSTRIALS ETF
----------------- -----------------
FOR THE PERIOD FOR THE PERIOD
NOVEMBER 1, 2006* NOVEMBER 1, 2006*
THROUGH THROUGH
OCTOBER 31, 2007 OCTOBER 31, 2007
----------------- -----------------
- ------------------------------------------------------
PER SHARE OPERATING PERFORMANCE:
NET ASSET VALUE AT BEGINNING OF PERIOD................ $49.46 $49.15
------- ------
Net Investment Income**............................... 0.11 0.56
Net Realized and Unrealized Gain on Investments....... 8.48 10.21
------- ------
TOTAL FROM INVESTMENT OPERATIONS...................... 8.59 10.77
------- ------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
Net Investment Income................................. (0.11) (0.55)
------- ------
NET ASSET VALUE AT END OF PERIOD...................... $57.94 $59.37
======= ======
TOTAL RETURN***....................................... 17.37% 22.00%
RATIOS/SUPPLEMENTAL DATA:
Net Assets at End of Period (000's omitted)........... $17,383 $8,905
RATIO TO AVERAGE NET ASSETS OF:
Expenses.............................................. 0.50% 0.50%
Net Investment Income................................. 0.20% 1.02%
Portfolio Turnover Rate+.............................. 55% 36%
</Table>
* The Fund commenced operations on November 1, 2006.
** Based on average shares outstanding.
*** Total investment return is calculated assuming an initial investment
made at the net asset value at the beginning of the period, reinvestment
of all dividends and distribution at net asset value during the period,
and redemption on the last day of the period. Transaction fees are not
reflected in the calculation of total investment return. Total
investment return calculated for a period of less than one year is not
annualized.
+ Portfolio turnover is not annualized and does not include securities
received or delivered from processing creations or redemptions.
98
See Notes to Financial Statements.
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
<Table>
<Caption>
RYDEX S&P RYDEX S&P
EQUAL WEIGHT EQUAL WEIGHT
MATERIALS ETF TECHNOLOGY ETF
----------------- -----------------
FOR THE PERIOD FOR THE PERIOD
NOVEMBER 1, 2006* NOVEMBER 1, 2006*
THROUGH THROUGH
OCTOBER 31, 2007 OCTOBER 31, 2007
----------------- -----------------
PER SHARE OPERATING PERFORMANCE:
NET ASSET VALUE AT BEGINNING OF PERIOD................ $48.43 $47.80
------ -------
Net Investment Income/(Loss)**........................ 0.85 (0.05)
Net Realized and Unrealized Gain on Investments....... 10.74 7.43
------ -------
TOTAL FROM INVESTMENT OPERATIONS...................... 11.59 7.38
------ -------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
Net Investment Income................................. (0.60) --
------ -------
NET ASSET VALUE AT END OF PERIOD (000'S OMITTED)...... $59.42 $55.18
====== =======
TOTAL RETURN***....................................... 24.02% 15.44%
RATIOS/SUPPLEMENTAL DATA:
Net Assets at End of Period (000's omitted)........... $8,913 $19,312
RATIO TO AVERAGE NET ASSETS OF:
Expenses.............................................. 0.50% 0.50%
Net Investment Income................................. 1.53% (0.10)%
Portfolio Turnover Rate+.............................. 31% 60%
</Table>
* The Fund commenced operations on November 1, 2006.
** Based on average shares outstanding.
*** Total investment return is calculated assuming an initial investment
made at the net asset value at the beginning of the period, reinvestment
of all dividends and distribution at net asset value during the period,
and redemption on the last day of the period. Transaction fees are not
reflected in the calculation of total investment return. Total
investment return calculated for a period of less than one year is not
annualized.
+ Portfolio turnover is not annualized and does not include securities
received or delivered from processing creations or redemptions.
99 ANNUAL REPORT
See Notes to Financial Statements.
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
<Table>
<Caption>
RYDEX S&P
EQUAL WEIGHT
UTILITIES ETF
-----------------
FOR THE PERIOD
NOVEMBER 1, 2006*
THROUGH
OCTOBER 31, 2007
-----------------
PER SHARE OPERATING PERFORMANCE:
NET ASSET VALUE AT BEGINNING OF PERIOD........................... $54.91
------
Net Investment Income**.......................................... 1.55
Net Realized and Unrealized Gain on Investments**................ 7.38
------
TOTAL FROM INVESTMENT OPERATIONS................................. 8.93
------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
Net Investment Income............................................ (1.56)
------
NET ASSET VALUE AT END OF PERIOD................................. $62.28
======
TOTAL RETURN***.................................................. 16.41%
RATIOS/SUPPLEMENTAL DATA:
Net Assets at End of Period (000's omitted)...................... $6,228
RATIO TO AVERAGE NET ASSETS OF:
Expenses......................................................... 0.50%
Net Investment Income............................................ 2.59%
Portfolio Turnover Rate+......................................... 20%
</Table>
* The Fund commenced operations on November 1, 2006.
** Based on average shares outstanding.
*** Total investment return is calculated assuming an initial investment
made at the net asset value at the beginning of the period, reinvestment
of all dividends and distribution at net asset value during the period,
and redemption on the last day of the period. Transaction fees are not
reflected in the calculation of total investment return. Total
investment return calculated for a period of less than one year is not
annualized.
+ Portfolio turnover is not annualized and does not include securities
received or delivered from processing creations or redemptions.
100
See Notes to Financial Statements.
NOTES TO FINANCIAL STATEMENTS October 31, 2007
- --------------------------------------------------------------------------------
1. ORGANIZATION
Rydex ETF Trust (the "Trust") is an open-end, management investment company
registered under the Investment Company Act of 1940, as amended (the "1940
Act"). The Trust was organized as a Delaware statutory trust on November 22,
2002. The Trust currently consists of seventeen series: Rydex S&P Equal Weight
ETF, Rydex Russell Top 50 ETF, Rydex S&P 500 Pure Value ETF, Rydex S&P 500 Pure
Growth ETF, Rydex S&P MidCap 400 Pure Value ETF, Rydex S&P MidCap 400 Pure
Growth ETF, Rydex S&P SmallCap 600 Pure Value ETF, Rydex S&P SmallCap 600 Pure
Growth ETF, Rydex S&P Equal Weight Consumer Discretionary ETF, Rydex S&P Equal
Weight Consumer Staples ETF, Rydex S&P Equal Weight Energy ETF, Rydex S&P Equal
Weight Financials ETF, Rydex S&P Equal Weight Health Care ETF, Rydex S&P Equal
Weight Industrials ETF, Rydex S&P Equal Weight Materials ETF, Rydex S&P Equal
Weight Technology ETF and Rydex S&P Equal Weight Utilities ETF (each a "Fund"
and collectively, the "Funds"). Rydex S&P Equal Weight ETF commenced operations
on April 24, 2003. Rydex Russell Top 50 ETF commenced operations on May 4, 2005.
Rydex S&P 500 Pure Value ETF, Rydex S&P 500 Pure Growth ETF, Rydex S&P MidCap
400 Pure Value ETF, Rydex S&P MidCap 400 Pure Growth ETF, Rydex S&P SmallCap 600
Pure Value ETF and Rydex S&P SmallCap 600 Pure Growth ETF commenced operations
on March 1, 2006. Rydex S&P Equal Weight Consumer Discretionary ETF, Rydex S&P
Equal Weight Consumer Staples ETF, Rydex S&P Equal Weight Energy ETF, Rydex S&P
Equal Weight Financials ETF, Rydex S&P Equal Weight Health Care ETF, Rydex S&P
Equal Weight Industrials ETF, Rydex S&P Equal Weight Materials ETF, Rydex S&P
Equal Weight Technology ETF and Rydex S&P Equal Weight Utilities ETF commenced
operations on November 1, 2006.
The Funds' investment objective is to provide investment results that correspond
generally to the performance, before fees and expenses, of an index representing
publicly traded equity securities (the "Underlying Index"). Rydex S&P Equal
Weight ETF tracks the S&P 500 Equal Weight Total Return Index. Rydex Russell Top
50 ETF tracks the Russell Top 50(TM) Index. Rydex S&P 500 Pure Value ETF tracks
the S&P 500/Citigroup Pure Value Index, the Rydex S&P 500 Pure Growth ETF tracks
the S&P 500/Citigroup Pure Growth Index, the Rydex S&P MidCap 400 Pure Value ETF
tracks the S&P MidCap 400/Citigroup Pure Value Index, the Rydex S&P MidCap 400
Pure Growth ETF tracks the S&P MidCap 400/Citigroup Pure Growth Index, the Rydex
S&P SmallCap 600 Pure Value ETF tracks the S&P SmallCap 600/Citigroup Pure Value
Index, the Rydex S&P SmallCap 600 Pure Growth ETF tracks the S&P SmallCap
600/Citigroup Pure Growth Index, Rydex S&P Equal Weight Consumer Discretionary
ETF tracks the S&P Equal Weight Index Consumer Discretionary, the Rydex S&P
Equal Weight Consumer Staples ETF tracks the S&P Equal Weight Index Consumer
Staples, the Rydex S&P Equal Weight Energy ETF tracks the S&P Equal Weight Index
Energy, the Rydex S&P Equal Weight Financials ETF tracks the S&P Equal Weight
Index Financials, the Rydex S&P Equal Weight Health Care ETF tracks the S&P
Equal Weight Index Health Care, the Rydex S&P Equal Weight Industrials ETF
tracks the S&P Equal Weight Index Industrials, the Rydex S&P Equal Weight
Materials ETF tracks the S&P Equal Weight Index Materials, the Rydex S&P Equal
Weight Technology ETF tracks the S&P Equal Weight Index Information Technology
and the Rydex S&P Equal Weight Utilities ETF tracks the S&P Equal Weight Index
Telecommunication Services & Utilities. The Funds seek to achieve their
objective by investing in common stocks that comprise the Underlying Index. The
Funds use a "replication" strategy to track the Underlying Index. "Replication"
refers to investing in substantially all of the securities in the Underlying
Index in approximately the same proportions as in the Underlying Index.
The Funds operate as index funds and are not actively managed. Adverse
performance of a security in the Funds' portfolio will ordinarily not result in
the elimination of the security from the Funds' portfolio.
The Funds issue and redeem shares on a continuous basis, at net asset value,
only in aggregations of 50,000 shares called a "Creation Unit". Creation Units
are issued and redeemed principally in-kind for securities included in the
Underlying Index.
2. SIGNIFICANT ACCOUNTING POLICIES
The preparation of financial statements in conformity with accounting principles
generally accepted in the United States of America requires management to make
estimates and assumptions that affect the reported amounts of assets,
liabilities and disclosures at the date of the financial statements and
accompanying notes and the reported amounts of increases and decreases in net
assets from operations during the reporting period. Management believes that the
estimates utilized in preparing the Funds' financial statements are reasonable
and prudent; however, actual results could differ from these estimates.
A. SECURITY VALUATION
Securities listed on a domestic securities exchange are valued based on the last
sale price as of the close of regular trading hours on the New York Stock
Exchange or, in the absence of recorded sales, are valued at the most recent bid
price. Securities for which the primary market is the National Association of
Securities Dealers Automated Quotations National Market System ("NASDAQ") are
valued at the NASDAQ Official Closing Price. The Funds invest in money market
mutual funds, which are valued at their NAV.
101 ANNUAL REPORT
NOTES TO FINANCIAL STATEMENTS (continued)
- --------------------------------------------------------------------------------
Securities, for which market quotations are not readily available, including
investments that are subject to limitations as to their sale, are valued at fair
value as determined in good faith by the Advisor in accordance with procedures
adopted by the Board of Trustees. In determining fair value, consideration is
given to market conditions, relative benchmarks and other financial data.
On September 15, 2006, the Financial Accounting Standards Board ("FASB")
released Statement of Financial Accounting Standard No. 157 Fair Value
Measurement ("FAS 157") which provided enhanced guidance for using fair value to
measure assets and liabilities. The standard requires companies to provide
expanded information about the assets and liabilities measured at fair value and
the potential effect of these fair valuations on an entity's financial
performance. The standard does not expand the use of fair value in any new
circumstances, but provides clarification on acceptable fair valuation methods
and applications. Adoption of FAS 157 is required for fiscal years beginning
after November 15, 2007. Management is currently evaluating the impact, if any,
the adoption of FAS 157 will have on the Funds' financial statements.
B. SECURITY TRANSACTIONS AND INCOME RECOGNITION
Security transactions are recorded on the trade date. Realized gains and losses
from portfolio fund transactions are calculated on the identified cost basis.
Dividend income is recorded on the ex-dividend date, net of foreign tax
withholdings. Interest income is recorded on the accrual basis.
C. REPURCHASE AGREEMENTS
The Funds may enter into repurchase agreements with financial institutions. The
Funds follows certain procedures designed to minimize the risks inherent in such
agreements. These procedures include effecting repurchase transactions only with
large, well-capitalized and well-established financial institutions whose
condition will be continually monitored by Rydex Global Advisors, which acts as
the Funds' investment advisor (the "Advisor"). In addition, the value of the
collateral underlying the repurchase agreement will always be at least equal to
the repurchase price, including any accrued interest earned on the repurchase
agreement. In the event of a default or bankruptcy by a selling financial
institution, the Funds will seek to liquidate such collateral. However, the
exercising of the Funds right to liquidate such collateral could involve certain
costs or delays and, to the extent that proceeds from any sale upon a default of
the obligation to repurchase were less than the repurchase price, the Funds
could suffer a loss. It is the current policy of the Funds not to invest in
repurchase agreements that do not mature within seven days if any such
investment, together with any other illiquid assets held by the Funds, amounts
to more than 15% of the Funds net assets. The investments of the Funds in
repurchase agreements, at times, may be substantial when, in the view of the
Advisor, liquidity or other considerations so warrant. For the year ended
October 31, 2007, the Funds had not engaged in repurchase transactions.
D. FEDERAL INCOME TAXES
The Funds policy is to comply with the requirements of the Internal Revenue Code
applicable to regulated investment companies and to distribute all of the
taxable income to the shareholders within the allowable time limits. Therefore,
no provision for Federal income taxes is required.
Income and capital gain distributions are determined in accordance with Federal
income tax regulations, which may differ from accounting principles generally
accepted in the United States of America. These differences are primarily due to
differing treatments for in-kind redemptions, income reclassifications from real
estate investment trusts ("REITs") and losses deferred due to wash sales.
102
NOTES TO FINANCIAL STATEMENTS (continued)
- --------------------------------------------------------------------------------
In order to present paid-in-capital, undistributed net investment income/(loss)
and accumulated net realized gain/(loss) on investments on the statement of
assets and liabilities that more closely represent their tax character, certain
adjustments have been made to these accounts. These adjustments have no effect
on net assets or net asset value per share. The most significant of these
adjustments is for net capital gains resulting from in-kind redemptions which,
because they are non-taxable to the Funds, and therefore are not distributed to
existing Fund shareholders, are reclassified to paid-in-capital. The in-kind net
capital gains for the year ended October 31, 2007 are disclosed in the Fund's
Statement of Operations. For the year ended October 31, 2007, the adjustments
for the Funds were as follows
<Table>
<Caption>
UNDISTRIBUTED ACCUMULATED
PAID-IN NET INVESTMENT NET REALIZED
CAPITAL INCOME GAIN/(LOSS)
------------ -------------- -------------
Rydex S&P Equal Weight ETF.......................... $223,878,979 $(807,359) $(223,071,620)
Rydex Russell Top 50 ETF............................ 28,549,174 -- (28,549,174)
Rydex S&P 500 Pure Value ETF........................ 1,467,314 (9,892) (1,457,422)
Rydex S&P 500 Pure Growth ETF....................... (4) 4 --
Rydex S&P MidCap 400 Pure Value ETF................. 1,217,452 (20,009) (1,197,443)
Rydex S&P MidCap 400 Pure Growth ETF................ 1,784,500 6 (1,784,506)
Rydex S&P SmallCap 600 Pure Value ETF............... 78,440 (44,668) (33,772)
Rydex S&P SmallCap 600 Pure Growth ETF.............. 460,147 4,603 (464,750)
Rydex S&P Equal Weight Consumer Discretionary ETF... (3,019,143) -- 3,019,143
Rydex S&P Equal Weight Consumer Staples ETF......... 29,767 -- (29,767)
Rydex S&P Equal Weight Energy ETF................... -- 2,156 (2,156)
Rydex S&P Equal Weight Financials ETF............... 431,430 (6,908) (424,522)
Rydex S&P Equal Weight Health Care ETF.............. 1,110,310 -- (1,110,310)
Rydex S&P Equal Weight Industrials ETF.............. -- (625) 625
Rydex S&P Equal Weight Materials ETF................ 1,096,932 -- (1,096,932)
Rydex S&P Equal Weight Technology ETF............... 1,419,525 11,089 (1,430,614)
Rydex S&P Equal Weight Utilities ETF................ 663,746 -- (663,746)
</Table>
For the year ended October 31, 2007, there were no significant differences
between the book basis and tax basis of net unrealized appreciation
(depreciation) in value of investments other than tax deferral of losses on wash
sales and the cumulative return of capital payments on REITs.
At October 31, 2007, the Funds had capital loss carryforwards which may be
utilized to offset any net realized capital gains expiring October 31:
<Table>
<Caption>
2013 2014 2015
------- -------- --------
Rydex S&P Equal Weight ETF................................. $ -- $ -- $ --
Rydex Russell Top 50 ETF................................... 88,468 675,404 618,363
Rydex S&P 500 Pure Value ETF............................... -- -- --
Rydex S&P 500 Pure Growth ETF.............................. -- 28,988 142,389
Rydex S&P MidCap 400 Pure Value ETF........................ -- 94,708 13,767
Rydex S&P MidCap 400 Pure Growth ETF....................... -- -- --
Rydex S&P SmallCap 600 Pure Value ETF...................... -- 16,654 170,782
Rydex S&P SmallCap 600 Pure Growth ETF..................... -- -- --
Rydex S&P Equal Weight Consumer Discretionary ETF.......... -- -- --
Rydex S&P Equal Weight Consumer Staples ETF................ -- -- 54,862
Rydex S&P Equal Weight Energy ETF.......................... -- -- --
Rydex S&P Equal Weight Financials ETF...................... -- -- --
Rydex S&P Equal Weight Health Care ETF..................... -- -- --
Rydex S&P Equal Weight Industrials ETF..................... -- -- --
Rydex S&P Equal Weight Materials ETF....................... -- -- --
Rydex S&P Equal Weight Technology ETF...................... -- -- --
Rydex S&P Equal Weight Utilities ETF....................... -- -- --
</Table>
Rydex S&P 500 Pure Value ETF, Rydex S&P Equal Weight ETF and Rydex S&P Small Cap
600 Pure Growth ETF used capital loss carryover from prior year in the current
year for the amount of $44,302, $16,595,327 and $27,599, respectively.
103 ANNUAL REPORT
NOTES TO FINANCIAL STATEMENTS (continued)
- --------------------------------------------------------------------------------
The tax character of distributable earnings (accumulated losses) at October 31,
2007 were as follows:
<Table>
<Caption>
UNDISTRIBUTED UNREALIZED
UNDISTRIBUTED LONG TERM CAPITAL LOSS APPRECIATION/
ORDINARY INCOME CAPITAL GAIN CARRYFORWARD (DEPRECIATION)
--------------- ------------- ------------ --------------
Rydex S&P Equal Weight ETF................... $602,527 $ -- $ -- $69,607,868
Rydex Russell Top 50 ETF..................... 690,261 -- (1,382,235) 54,019,838
Rydex S&P 500 Pure Value ETF................. 71,041 -- -- (243,573)
Rydex S&P 500 Pure Growth ETF................ 15,214 -- (171,377) 5,145,738
Rydex S&P MidCap 400 Pure Value ETF.......... 7,853 -- (108,475) (480,677)
Rydex S&P MidCap 400 Pure Growth ETF......... 5,819 -- -- 1,023,537
Rydex S&P SmallCap 600 Pure Value ETF........ -- -- (187,436) (2,756,027)
Rydex S&P SmallCap 600 Pure Growth ETF....... -- -- -- 857,188
Rydex S&P Equal Weight Consumer Discretionary
ETF........................................ 9,971 -- -- (957,148)
Rydex S&P Equal Weight Consumer Staples ETF.. 7,621 -- (54,862) 682,013
Rydex S&P Equal Weight Energy ETF............ 269,337 -- -- 2,600,298
Rydex S&P Equal Weight Financials ETF........ -- -- -- (361,276)
Rydex S&P Equal Weight Health Care ETF....... 2,165 -- -- (167,549)
Rydex S&P Equal Weight Industrials ETF....... 268,390 -- -- 1,264,194
Rydex S&P Equal Weight Materials ETF......... 8,395 -- -- 525,963
Rydex S&P Equal Weight Technology ETF........ -- -- -- 470,571
Rydex S&P Equal Weight Utilities ETF......... 13,579 -- -- 479,751
</Table>
The tax character of distributions paid during 2007 were as follows:
<Table>
<Caption>
ORDINARY LONG-TERM
INCOME CAPITAL GAIN
----------- ------------
Rydex S&P Equal Weight ETF.................................... $25,503,538 $ --
Rydex Russell Top 50 ETF...................................... 10,668,692 --
Rydex S&P 500 Pure Value ETF.................................. 763,947 --
Rydex S&P 500 Pure Growth ETF................................. 279,098 --
Rydex S&P MidCap 400 Pure Value ETF........................... 425,129 --
Rydex S&P MidCap 400 Pure Growth ETF.......................... 182,688 --
Rydex S&P SmallCap 600 Pure Value ETF......................... 313,644 --
Rydex S&P SmallCap 600 Pure Growth ETF........................ 4,792 --
Rydex S&P Equal Weight Consumer Discretionary ETF............. 246,829 --
Rydex S&P Equal Weight Consumer Staples ETF................... 166,325 --
Rydex S&P Equal Weight Energy ETF............................. 42,062 --
Rydex S&P Equal Weight Financials ETF......................... 98,785 --
Rydex S&P Equal Weight Health Care ETF........................ 37,003 --
Rydex S&P Equal Weight Industrials ETF........................ 81,906 --
Rydex S&P Equal Weight Materials ETF.......................... 119,952 --
Rydex S&P Equal Weight Technology ETF......................... -- --
Rydex S&P Equal Weight Utilities ETF.......................... 203,649 --
</Table>
The tax character of distributions paid during 2006 were as follows:
<Table>
<Caption>
ORDINARY LONG-TERM
INCOME CAPITAL GAIN
----------- ------------
Rydex S&P Equal Weight ETF.................................... $17,292,008 $ --
Rydex Russell Top 50 ETF...................................... 3,010,095 --
Rydex S&P 500 Pure Value ETF.................................. 125,179 --
Rydex S&P 500 Pure Growth ETF................................. 37,063 --
Rydex S&P MidCap 400 Pure Value ETF........................... 133,471 --
Rydex S&P MidCap 400 Pure Growth ETF.......................... 5,659 --
Rydex S&P SmallCap 600 Pure Value ETF......................... 47,250 --
Rydex S&P SmallCap 600 Pure Growth ETF........................ -- --
</Table>
On July 13, 2006, the FASB released FASB Interpretation No. 48 Accounting for
Uncertainty in Income Taxes ("FIN 48"). FIN 48 provides guidance for how
uncertain tax positions should be recognized, measured, presented and disclosed
in the financial statements. FIN 48 requires the evaluation of tax positions
taken or expected to be taken in the course of preparing the Fund's tax returns
to determine whether the tax positions are "more-likely- than-not" of being
sustained by the applicable tax authority. Tax positions not deemed to meet the
more-likely-than-not threshold would be recorded as a tax benefit or expense in
the current year. Adoption of FIN 48 is required for fiscal years beginning
after December 15, 2006 and is to be applied to all open tax years as of the
effective date. Recent SEC guidance allows implementing FIN 48 in fund net asset
value calculations as late as a fund's last net asset value calculation in the
first required financial statement reporting period. As a result, the Funds will
incorporate the effects, if any, of FIN 48 in their semi-annual report as of
April 30, 2008. At this time, management is evaluating the implications of FIN
48 and its impact on the financial statements has not yet been determined.
104
NOTES TO FINANCIAL STATEMENTS (continued)
- --------------------------------------------------------------------------------
E. DIVIDENDS AND DISTRIBUTIONS
The Funds declare and pay dividends from net investment income and distribute
from net realized capital gains at least annually.
F. RISK AND UNCERTAINTIES
The Trust invests in various investments which are exposed to risk, such as
market risk. Due to the level of risk associated with certain investments it is
at least reasonably possible that changes in the values of investment securities
will occur in the near term and that such changes could materially affect
amounts reported in the financial statements. The Rydex Russell Top 50 ETF and
Rydex S&P Equal Weight Sector ETFs are non-diversified funds, subjecting them to
a greater risk than funds that are diversified.
3. ADVISORY, ADMINISTRATION AND OTHER TRANSACTIONS WITH AFFILIATES
The Advisor determines the composition of the portfolio of securities that must
be delivered in exchange for the issuance of Creation Units and periodically
adjusts the composition of the portfolio of the Funds to conform to changes in
the composition of the relevant index. For these services, the Advisor receives
an advisory fee at the annual rate shown below of the average daily net assets
of the Funds.
<Table>
<Caption>
ADVISORY FEE
------------
Rydex S&P Equal Weight ETF........................................... 0.40%
Rydex Russell Top 50 ETF............................................. 0.20%
Rydex S&P 500 Pure Value ETF......................................... 0.35%
Rydex S&P 500 Pure Growth ETF........................................ 0.35%
Rydex S&P MidCap 400 Pure Value ETF.................................. 0.35%
Rydex S&P MidCap 400 Pure Growth ETF................................. 0.35%
Rydex S&P SmallCap 600 Pure Value ETF................................ 0.35%
Rydex S&P SmallCap 600 Pure Growth ETF............................... 0.35%
Rydex S&P Equal Weight Consumer Discretionary ETF.................... 0.50%
Rydex S&P Equal Weight Consumer Staples ETF.......................... 0.50%
Rydex S&P Equal Weight Energy ETF.................................... 0.50%
Rydex S&P Equal Weight Financials ETF................................ 0.50%
Rydex S&P Equal Weight Health Care ETF............................... 0.50%
Rydex S&P Equal Weight Industrials ETF............................... 0.50%
Rydex S&P Equal Weight Materials ETF................................. 0.50%
Rydex S&P Equal Weight Technology ETF................................ 0.50%
Rydex S&P Equal Weight Utilities ETF................................. 0.50%
</Table>
The Advisor pays all expenses of the Funds, including the cost of transfer
agency, custody, fund administration, legal, trustee, audit and other services,
except: interest, taxes, distribution fees or expenses and extraordinary
expenses.
Under an Administration Agreement, State Street Bank and Trust Company (the
"Administrator") provides various administrative and accounting services for the
maintenance and operations of the Funds. Under a Custodian Agreement with the
Trust, the Administrator maintains cash, securities and other assets of the
Trust and the Funds in separate accounts for each fund, keeps all necessary
accounts and records, and provides other services. The Administrator is
required, upon the order of the Trust, to deliver securities held by the
Custodian and to make payments for securities purchased by the Trust for the
Funds. Pursuant to a Transfer Agency and Service Agreement with the Trust, the
Administrator acts as a transfer agent for the Trust's authorized and issued
shares of beneficial interest, and as dividend disbursing agent of the Trust.
The Advisor compensates the Administrator directly for the foregoing services.
The Funds have adopted a Distribution Plan (the "Plan") that allows the Funds to
pay distribution fees to Rydex Distributors, Inc. (the "Distributor") and other
firms that provide distribution services ("Service Providers"). If a Service
Provider provides distribution services, the Funds will pay distribution fees to
the Distributor at an annual rate not to exceed 0.25% of average daily net
assets, pursuant to Rule 12b-1 of the 1940 Act. The Distributor will, in turn,
pay the Service Provider out of its fees. No such fee is currently charged to
the Funds.
105 ANNUAL REPORT
NOTES TO FINANCIAL STATEMENTS (continued)
- --------------------------------------------------------------------------------
4. CAPITAL
At October 31, 2007, there were an unlimited number of no par value shares of
beneficial interest authorized. There is a minimum transaction fee per
transaction to those persons purchasing or redeeming Creation Units. An
additional charge of up to three times the standard transaction fee may be
imposed for purchases and redemptions effected outside the National Securities
Clearing Corporation usual clearing process or for cash. Such transactions are
generally permitted on an in-kind basis, with a balancing cash component to
equate the transaction to the net asset value per unit of the Fund on the
transaction date. The minimum transaction fees are:
<Table>
<Caption>
MINIMUM
TRANSACTION FEE
---------------
Rydex S&P Equal Weight ETF......................................... $2,000
Rydex Russell Top 50 ETF........................................... 500
Rydex S&P 500 Pure Value ETF....................................... 1,000
Rydex S&P 500 Pure Growth ETF...................................... 1,000
Rydex S&P MidCap 400 Pure Value ETF................................ 750
Rydex S&P MidCap 400 Pure Growth ETF............................... 750
Rydex S&P SmallCap 600 Pure Value ETF.............................. 1,000
Rydex S&P SmallCap 600 Pure Growth ETF............................. 1,000
Rydex S&P Equal Weight Consumer Discretionary ETF.................. 750
Rydex S&P Equal Weight Consumer Staples ETF........................ 500
Rydex S&P Equal Weight Energy ETF.................................. 500
Rydex S&P Equal Weight Financials ETF.............................. 750
Rydex S&P Equal Weight Health Care ETF............................. 500
Rydex S&P Equal Weight Industrials ETF............................. 500
Rydex S&P Equal Weight Materials ETF............................... 500
Rydex S&P Equal Weight Technology ETF.............................. 750
Rydex S&P Equal Weight Utilities ETF............................... 500
</Table>
5. INVESTMENT TRANSACTIONS
For the year ended October 31, 2007 the Funds had in-kind contributions and in-
kind redemptions as follows:
<Table>
<Caption>
SUBSCRIPTIONS REDEMPTIONS
-------------- --------------
Rydex S&P Equal Weight ETF................................. $1,271,475,358 $1,028,783,225
Rydex Russell Top 50 ETF................................... 446,885,834 195,016,302
Rydex S&P 500 Pure Value ETF............................... 29,899,037 11,854,438
Rydex S&P 500 Pure Growth ETF.............................. 41,159,111 --
Rydex S&P MidCap 400 Pure Value ETF........................ 20,486,036 14,026,666
Rydex S&P MidCap 400 Pure Growth ETF....................... 8,627,772 14,091,946
Rydex S&P SmallCap 600 Pure Value ETF...................... 21,309,794 1,868,513
Rydex S&P SmallCap 600 Pure Growth ETF..................... 4,207,164 2,131,921
Rydex S&P Equal Weight Consumer Discretionary ETF.......... 164,322,975 130,133,265
Rydex S&P Equal Weight Consumer Staples ETF................ 9,811,607 92,146
Rydex S&P Equal Weight Energy ETF.......................... 7,252,144 --
Rydex S&P Equal Weight Financials ETF...................... 31,865,922 24,978,240
Rydex S&P Equal Weight Health Care ETF..................... 36,171,400 19,735,230
Rydex S&P Equal Weight Industrials ETF..................... 7,372,804 --
Rydex S&P Equal Weight Materials ETF....................... 26,192,308 16,033,088
Rydex S&P Equal Weight Technology ETF...................... 25,603,859 8,172,386
Rydex S&P Equal Weight Utilities ETF....................... 13,834,457 8,747,461
</Table>
106
NOTES TO FINANCIAL STATEMENTS (continued)
- --------------------------------------------------------------------------------
Purchases and sales of investment securities (excluding short-term investments,
U.S. government and government agency obligations) for the Funds were as
follows:
<Table>
<Caption>
PURCHASES SALES
------------ ------------
Rydex S&P Equal Weight ETF.................................. $528,889,645 $531,627,045
Rydex Russell Top 50 ETF.................................... 45,976,640 44,486,897
Rydex S&P 500 Pure Value ETF................................ 9,536,517 9,176,293
Rydex S&P 500 Pure Growth ETF............................... 10,237,742 10,939,872
Rydex S&P MidCap 400 Pure Value ETF......................... 9,329,119 8,639,018
Rydex S&P MidCap 400 Pure Growth ETF........................ 11,672,637 10,624,180
Rydex S&P SmallCap 600 Pure Value ETF....................... 7,858,582 6,936,730
Rydex S&P SmallCap 600 Pure Growth ETF...................... 5,737,502 4,906,270
Rydex S&P Equal Weight Consumer Discretionary ETF........... 10,365,634 11,335,760
Rydex S&P Equal Weight Consumer Staples ETF................. 1,409,793 3,919,501
Rydex S&P Equal Weight Energy ETF........................... 2,838,160 3,188,874
Rydex S&P Equal Weight Financials ETF....................... 2,123,948 1,953,905
Rydex S&P Equal Weight Health Care ETF...................... 10,034,505 10,083,736
Rydex S&P Equal Weight Industrials ETF...................... 2,955,825 3,066,628
Rydex S&P Equal Weight Materials ETF........................ 2,332,953 5,343,786
Rydex S&P Equal Weight Technology ETF....................... 6,611,806 6,648,760
Rydex S&P Equal Weight Utilities ETF........................ 1,619,632 1,598,725
</Table>
There were no purchases or sales of U.S. government or government agency
obligations for the year ended October 31, 2007.
At October 31, 2007, the identified cost of investments in securities owned by
each Fund for federal income tax purposes and the gross unrealized appreciation
and depreciation were as follows:
<Table>
<Caption>
GROSS GROSS NET UNREALIZED
IDENTIFIED UNREALIZED UNREALIZED APPRECIATION
COST APPRECIATION DEPRECIATION (DEPRECIATION)
-------------- ------------ ------------ --------------
Rydex S&P Equal Weight ETF.................... $2,107,331,355 $219,913,547 $150,305,679 $69,607,868
Rydex Russell Top 50 ETF...................... 626,777,778 76,091,163 22,071,325 54,019,838
Rydex S&P 500 Pure Value ETF.................. 39,813,609 2,360,872 2,604,445 (243,573)
Rydex S&P 500 Pure Growth ETF................. 58,202,782 7,946,562 2,800,824 5,145,738
Rydex S&P MidCap 400 Pure Value ETF........... 21,933,094 1,329,749 1,810,426 (480,677)
Rydex S&P MidCap 400 Pure Growth ETF.......... 19,894,617 2,442,904 1,419,367 1,023,537
Rydex S&P SmallCap 600 Pure Value ETF......... 25,166,719 1,194,423 3,950,450 (2,756,027)
Rydex S&P SmallCap 600 Pure Growth ETF........ 10,371,683 1,474,596 617,408 857,188
Rydex S&P Equal Weight Consumer Discretionary
ETF......................................... 29,881,523 287,961 1,245,109 (957,148)
Rydex S&P Equal Weight Consumer Staples ETF... 7,214,000 778,392 96,379 682,013
Rydex S&P Equal Weight Energy ETF............. 7,528,249 2,611,201 10,903 2,600,298
Rydex S&P Equal Weight Financials ETF......... 7,358,644 393,353 754,629 (361,276)
Rydex S&P Equal Weight Health Care ETF........ 17,540,834 962,005 1,129,554 (167,549)
Rydex S&P Equal Weight Industrials ETF........ 7,633,231 1,375,381 111,187 1,264,194
Rydex S&P Equal Weight Materials ETF.......... 8,382,407 790,119 264,156 525,963
Rydex S&P Equal Weight Technology ETF......... 18,845,558 814,808 344,237 470,571
Rydex S&P Equal Weight Utilities ETF.......... 5,741,097 608,309 128,558 479,751
</Table>
107 ANNUAL REPORT
REPORT OF INDEPENDENT REGISTERED PUBLIC
ACCOUNTING FIRM
- --------------------------------------------------------------------------------
The Board of Trustees and Shareholders of Rydex ETF Trust
We have audited the accompanying statements of assets and liabilities, including
the schedules of investments, of Rydex ETF Trust (the "Trust"), comprising,
respectively, Rydex S&P Equal Weight ETF, Rydex Russell Top 50 ETF, Rydex S&P
500 Pure Value ETF, Rydex S&P 500 Pure Growth ETF, Rydex S&P MidCap 400 Pure
Value ETF, Rydex S&P MidCap 400 Pure Growth ETF, Rydex S&P SmallCap 600 Pure
Value ETF and Rydex S&P SmallCap 600 Pure Growth ETF, Rydex S&P Equal Weight
Consumer Discretionary ETF, Rydex S&P Equal Weight Consumer Staples ETF, Rydex
S&P Equal Weight Energy ETF, Rydex S&P Equal Weight Financials ETF, Rydex S&P
Equal Weight Health Care ETF, Rydex S&P Equal Weight Industrials ETF, Rydex S&P
Equal Weight Materials ETF, Rydex S&P Equal Weight Technology ETF, Rydex S&P
Equal Weight Utilities ETF (the "Funds"), as of October 31, 2007, and the
related statements of operations, the statements of changes in net assets and
the financial highlights for each of the periods indicated therein in the two
year period ended October 31, 2007. These financial statements and financial
highlights are the responsibility of the Trust's management. Our responsibility
is to express an opinion on these financial statements and financial highlights
based on our audits. The financial highlights for each of the periods presented
through October 31, 2005 of the Rydex S&P Equal Weight ETF and the Rydex Russell
Top 50 ETF were audited by other auditors whose report dated December 20, 2005,
expressed an unqualified opinion on those financial highlights.
We conducted our audits in accordance with the standards of the Public Company
Accounting Oversight Board (United States). Those standards require that we plan
and perform the audit to obtain reasonable assurance about whether the financial
statements and financial highlights are free of material misstatement. We were
not engaged to perform an audit of the Trust's internal control over financial
reporting. Our audits included consideration of internal control over financial
reporting as a basis for designing audit procedures that are appropriate in the
circumstances, but not for the purpose of expressing an opinion on the
effectiveness of the Trust's internal control over financial reporting.
Accordingly, we express no such opinion. An audit also includes examining, on a
test basis, evidence supporting the amounts and disclosures in the financial
statements and financial highlights, assessing the accounting principles used
and significant estimates made by management, and evaluating the overall
financial statement presentation. Our procedures included confirmation of
securities owned as of October 31, 2007, by correspondence with the custodian
and brokers or by other appropriate auditing procedures where replies from
brokers were not received. We believe that our audits provide a reasonable basis
for our opinion.
In our opinion, the financial statements and financial highlights referred to
above present fairly, in all material respects, the financial position of each
of the respective Funds constituting the Rydex ETF Trust at October 31, 2007,
the results of their operations for the year then ended, the changes in their
net assets and the financial highlights for each of the periods indicated
therein in the two year period ended October 31, 2007, in conformity with U.S.
generally accepted accounting principles.
ERNST & YOUNG LOGO
Boston, Massachusetts
December 19, 2007
108
SUPPLEMENTAL INFORMATION (Unaudited)
- --------------------------------------------------------------------------------
FEDERAL INCOME TAX INFORMATION
Percentage of ordinary distributions (net investment income plus short-term
gains) which qualify for the corporate dividends received deduction for the
fiscal year ended October 31, 2007:
<Table>
<Caption>
PERCENTAGE
----------
Rydex S&P Equal Weight ETF............................................ 100.00%
Rydex Russell Top 50 ETF.............................................. 100.00%
Rydex S&P 500 Pure Value ETF.......................................... 100.00%
Rydex S&P 500 Pure Growth ETF......................................... 100.00%
Rydex S&P MidCap 400 Pure Value ETF................................... 100.00%
Rydex S&P MidCap 400 Pure Growth ETF.................................. 45.74%
Rydex S&P SmallCap 600 Pure Value ETF................................. 100.00%
Rydex S&P SmallCap 600 Pure Growth ETF................................ 42.69%
Rydex S&P Equal Weight Consumer Discretionary ETF..................... 100.00%
Rydex S&P Equal Weight Consumer Staples ETF........................... 100.00%
Rydex S&P Equal Weight Energy ETF..................................... 24.95%
Rydex S&P Equal Weight Financials ETF................................. 85.34%
Rydex S&P Equal Weight Health Care ETF................................ 56.62%
Rydex S&P Equal Weight Industrials ETF................................ 33.19%
Rydex S&P Equal Weight Materials ETF.................................. 100.00%
Rydex S&P Equal Weight Technology ETF................................. 0.00%
Rydex S&P Equal Weight Utilities ETF.................................. 70.30%
</Table>
For the fiscal year ended October 31, 2007, the Funds designate approximately
the following amounts pursuant to the Internal Revenue Code as qualified
dividend income eligible for reduced tax rates:
<Table>
Rydex S&P Equal Weight ETF........................................... $31,120,430
Rydex Russell Top 50 ETF............................................. 11,842,099
Rydex S&P 500 Pure Value ETF......................................... 865,343
Rydex S&P 500 Pure Growth ETF........................................ 364,135
Rydex S&P MidCap 400 Pure Value ETF.................................. 442,567
Rydex S&P MidCap 400 Pure Growth ETF................................. 185,441
Rydex S&P SmallCap 600 Pure Value ETF................................ 311,064
Rydex S&P SmallCap 600 Pure Growth ETF............................... 32,873
Rydex S&P Equal Weight Consumer Discretionary ETF.................... 404,049
Rydex S&P Equal Weight Consumer Staples ETF.......................... 210,950
Rydex S&P Equal Weight Energy ETF.................................... 77,365
Rydex S&P Equal Weight Financials ETF................................ 95,647
Rydex S&P Equal Weight Health Care ETF............................... 123,793
Rydex S&P Equal Weight Industrials ETF............................... 116,274
Rydex S&P Equal Weight Materials ETF................................. 128,361
Rydex S&P Equal Weight Technology ETF................................ --
Rydex S&P Equal Weight Utilities ETF................................. 222,080
</Table>
PROXY VOTING INFORMATION
A description of the policies and procedures that the Trust uses to determine
how to vote proxies relating to securities held in the Funds' portfolios is
available, without charge and upon request, by calling 1-800-820-0888. This
information is also available from the EDGAR database on the SEC's website at
http://www.sec.gov.
Information regarding how the Funds voted proxies for portfolio securities, if
applicable, during the most recent 12-month period ended June 30, 2007 is also
available, without charge and upon request, by (i) calling 1-800-820-0888; or
accessing the Trust's Form N-PX on the SEC's website at, http://www.sec.gov.
QUARTERLY PORTFOLIO SCHEDULES INFORMATION
The Trust files its complete schedule of portfolio holdings with the SEC for the
first and third quarters of each fiscal year on Form N-Q; which are available on
the SEC's website at http://www.sec.gov. The Trust's Forms N-Q may be reviewed
and copied at the SEC's Public Reference Room in Washington, DC, and that
information on the operation of the Public Reference Room may be obtained by
calling 1-800-SEC-0330. Copies of the portfolio holdings are also available to
shareholders, without charge and upon request, by calling 1-800-820-0888.
109 ANNUAL REPORT
SUPPLEMENTAL INFORMATION (continued)
- --------------------------------------------------------------------------------
RYDEX INVESTMENTS
BOARD REVIEW AND APPROVAL OF THE INVESTMENT ADVISORY AGREEMENT
The Investment Company Act of 1940 (the "1940 Act") requires that the initial
approval of, as well as the continuation of, a fund's investment advisory
agreement be specifically approved by the vote of a majority of the trustees who
are not parties to the investment advisory agreement or "interested persons" of
any party (the "Independent Trustees"), cast in person at a meeting called for
the purpose of voting on such approval. In connection with such approvals, the
fund's trustees must request and evaluate, and the investment adviser is
required to furnish, such information as may be reasonably necessary to evaluate
the terms of the advisory agreement. In addition, the Securities and Exchange
Commission (the "SEC") takes the position that, as part of their fiduciary
duties with respect to fund fees, fund boards are required to evaluate the
material factors applicable to a decision to approve an investment advisory
agreement.
Consistent with these responsibilities, the Rydex ETF Trust Board of Trustees
(the "Board") generally calls and holds one meeting each year that is dedicated
to considering whether to renew the investment advisory agreement between Rydex
ETF Trust (the "Trust") and PADCO Advisors II, Inc., which does business under
the name Rydex Investments ("Rydex Investments"), (the "Current Agreement") with
respect to existing funds in the Trust, including the funds discussed in this
Annual Report (each a "Fund" and collectively, the "Funds"), and to reviewing
certain other agreements pursuant to which Rydex Investments provides investment
advisory services to certain other registered investment companies. In
preparation for the meeting, the Board requests and reviews a wide variety of
materials provided by Rydex Investments, including information about Rydex
Investments' affiliates, personnel and operations. The Board also receives data
provided by third parties. This information is in addition to the detailed
information about the Funds that the Board reviews during the course of each
year, including information that relates to Fund operations and performance. The
Board also receives a memorandum from Fund counsel regarding the
responsibilities of the Board for the approval of investment advisory
agreements. In addition, the Independent Trustees receive advice from
independent counsel to the Independent Trustees, meet in executive session
outside the presence of fund management, and participate in question and answer
sessions with representatives of Rydex Investments.
At a Special Meeting of the Board held on July 10, 2007, and subsequently,
during the Board's regular quarterly meeting held on August 27 and 28, 2007 (the
"Annual Renewal Meeting" and together with the July 10, 2007 Meeting, the
"Meetings"), the Board considered and voted in favor of a new investment
advisory agreement for Rydex ETF Trust (the "New Agreement"), which, subject to
its approval by each Fund's shareholders, will enable Rydex Investments to
continue to serve as investment adviser to each Fund after the completion of the
acquisition of Rydex Investments' parent, Rydex Holdings, Inc. (the
"Transaction"). During the Annual Renewal Meeting, the Board also considered and
approved the selection of Rydex Investments and the continuance of the Current
Agreement for an additional one-year period or until the closing of the
Transaction, based on its review of qualitative and quantitative information
provided by Rydex Investments.
BOARD CONSIDERATIONS IN APPROVING THE NEW AGREEMENT AND THE CONTINUATION OF THE
CURRENT AGREEMENT
In preparation for the Annual Renewal Meeting, the Board requested and received
written materials from Rydex Investments about: (a) the quality of Rydex
Investments' investment management and other services; (b) Rydex Investments'
investment management personnel; (c) Rydex Investments' operations and financial
condition; (d) Rydex Investments' brokerage practices (including any soft dollar
arrangements) and investment strategies; (e) the level of the advisory fees that
Rydex Investments charges the Funds compared with the fees it charges to
comparable mutual funds or accounts; (f) each Fund's overall fees and operating
expenses compared with similar mutual funds; (g) the level of Rydex Investments'
profitability from its Fund-related operations; (h) Rydex Investments'
compliance systems; (i) Rydex Investments' policies on and compliance procedures
for personal securities transactions; (j) Rydex Investments' reputation,
expertise and resources in domestic financial markets; and (k) Fund performance
compared with similar mutual funds. Certain of these considerations are
discussed in more detail below.
In its deliberations at the Annual Renewal Meeting, the Board did not identify
any single piece of information that was all-important or controlling. Based on
the Board's deliberations and its evaluation of the information referenced above
and described in more detail below, the Board, including all of the Independent
Trustees, unanimously: (a) concluded that terms of the Current Agreement and New
Agreement were fair and reasonable; (b) concluded that Rydex Investments' fees
were reasonable in light of the services that Rydex Investments provides to the
Funds; (c) agreed to renew the Current Agreement for an additional one-year
term; and (d) agreed to approve the New Agreement for an initial term of two
years.
110
SUPPLEMENTAL INFORMATION (continued)
- --------------------------------------------------------------------------------
In approving the New Agreement and the continuation of the Current Agreement at
the Annual Renewal Meeting, the Board, including the Independent Trustees
advised by independent counsel, considered the factors discussed below.
NATURE, EXTENT AND QUALITY OF SERVICES PROVIDED BY RYDEX INVESTMENTS
At the Annual Renewal Meeting, the Board reviewed the scope of services to be
provided by Rydex Investments under the Current Agreement and noted that there
would be no significant differences between the scope of services required to be
provided by Rydex Investments for the past year and the scope of services
required to be provided by Rydex Investments for the upcoming year. In reviewing
the scope of services provided to the Funds by Rydex Investments, the Board
reviewed and discussed Rydex Investments' investment experience, noting that
Rydex Investments and its affiliates have committed significant resources over
time to the support of the Funds. The Board also considered Rydex Investments'
compliance program and its compliance record with respect to the Funds. In that
regard, the Board noted that Rydex Investments provides information regarding
the portfolio management and compliance to the Board on a periodic basis in
connection with regularly scheduled meetings of the Board. In addition to the
above considerations, the Board reviewed and considered Rydex Investments'
investment processes and strategies, and matters related to Rydex Investments'
portfolio transaction policies and procedures. The Board further noted that the
Funds have consistently met their investment objectives since their respective
inception dates. Based on this review, the Board concluded that the nature,
extent, and quality of services to be provided by Rydex Investments to the Funds
under the Current Agreement were appropriate and continued to support the
Board's original selection of Rydex Investments as investment adviser to the
Funds.
FUND EXPENSES AND PERFORMANCE OF THE FUNDS AND RYDEX INVESTMENTS
At the Annual Renewal Meeting, the Board reviewed statistical information
prepared by Rydex Investments regarding the expense ratio components, including
actual advisory fees, waivers/reimbursements, and gross and net total expenses
of each Fund in comparison with the same information for other exchange-traded
funds registered under the 1940 Act determined by Rydex Investments to comprise
each Fund's applicable peer group. In addition, the Board reviewed statistical
information prepared by Rydex Investments relating to the performance of each
Fund, as well as each Fund's ability to successfully track its benchmark over
time, and a comparison of each Fund's performance to exchange-traded funds with
similar investment objectives for the same periods and to appropriate
indices/benchmarks, in light of total return, yield and market trends. Based on
this review, the Board concluded that the investment advisory fees and expense
levels and the historical performance of the Funds, as managed by Rydex
Investments, as compared to the investment advisory fees and expense levels and
performance of the peer funds, were satisfactory for the purposes of approving
the continuance of the Current Agreement.
COSTS OF SERVICES PROVIDED TO THE FUNDS AND PROFITS REALIZED BY RYDEX
INVESTMENTS AND ITS AFFILIATES
At the Annual Renewal Meeting, the Board reviewed information about the
profitability of the Funds to Rydex Investments based on the advisory fees
payable under the Current Agreement for the last calendar year. Rydex
Investments also presented the Board with material discussing its methodology
for determining the level of advisory fees assessable to the Funds. The Board
analyzed the Funds' expenses, including the investment advisory fees paid to
Rydex Investments. The Board also reviewed information regarding direct revenue
received by Rydex Investments and ancillary revenue received by Rydex
Investments and/or its affiliates in connection with the services provided to
the Funds by Rydex Investments (as discussed below) and/or its affiliates. The
Board also discussed Rydex Investments' profit margin as reflected in Rydex
Investments' profitability analysis and reviewed information regarding economies
of scale (as discussed below). Based on this review, the Board concluded that
the profits to be realized by Rydex Investments and its affiliates under the
Current Agreement and from other relationships between the Funds and Rydex
Investments and/or its affiliates, if any, were within the range the Board
considered reasonable and appropriate.
ECONOMIES OF SCALE
In connection with its review of the Funds' profitability analysis at the Annual
Renewal Meeting, the Board reviewed information regarding economies of scale or
other efficiencies that may result from increases in the Funds' asset levels.
The Board noted that neither the Current Agreement nor the New Agreement for the
Funds provided for any breakpoints in the investment advisory fees as a result
of increases in the asset levels of the Funds. However, the Board also
considered that at the time the Funds were formed, possible future economies of
scale had been taken into consideration by fixing the investment advisory fees
at rates at the lower end of the marketplace, effectively giving Fund
shareholders, from inception, the benefits of the lower average fee shareholders
would have received from a fee structure with declining breakpoints where the
initial fee was higher. The Board also reviewed and considered Rydex
Investments' historic profitability as investment adviser to the Funds and
determined that reductions in advisory fees or additions of breakpoints were not
warranted at this juncture. Based on this review, the Board, recognizing its
responsibility to consider this issue at least annually, determined that the
economies of scale, if any, were de minimis.
111 ANNUAL REPORT
SUPPLEMENTAL INFORMATION (continued)
- --------------------------------------------------------------------------------
OTHER BENEFITS TO RYDEX INVESTMENTS AND/OR ITS AFFILIATES
At the Annual Renewal Meeting, in addition to evaluating the services provided
by Rydex Investments, the Board also considered the nature, extent, quality and
cost of the distribution services performed by Rydex Investments' affiliates
under separate agreements. The Board noted that Rydex Investments reports its
use of soft dollars to the Board on a quarterly basis, as well as any portfolio
transactions on behalf of the Funds placed through an affiliate of the Funds or
Rydex Investments pursuant to Rule 17e-1 under the 1940 Act. Based on its
review, the Board concluded that the nature and quality of the services provided
by Rydex Investments' affiliates to the Trust will benefit the Funds'
shareholders, and that any ancillary benefits would not be disadvantageous to
the Funds' shareholders.
ADDITIONAL CONSIDERATIONS IN APPROVING THE NEW AGREEMENT
On June 18, 2007, the Trustees met with representatives of Security Benefit and
the management of Rydex Investments for the purpose of learning more about
Security Benefit and the proposed Transaction. Immediately following the
announcement that Rydex and Security Benefit entered into a purchase and sale
agreement, the Trustees requested that Rydex Investments provide the Board with
additional information pertaining to the effect of the proposed change of
control on Rydex Investments' personnel and operations and the terms of the New
Agreement. Rydex Investments presented its response to the Board's request for
additional information prior to and at a Special Meeting of the Board of
Trustees held on July 10, 2007. Rydex Investments provided the Board with oral
and written information to help the Board evaluate the impact of the change of
control on Rydex Investments, Rydex Investments' ability to continue to provide
investment advisory services to the Funds under the New Agreement, and informed
the Board that the contractual rate of Rydex Investments' fees will not change
under the New Agreement. Rydex Investments also affirmed that the terms of the
New Agreement were the same in all material respects to those of the Current
Agreement.
The Trustees deliberated on the approval of the New Agreement in light of the
information provided. The Board determined that the terms of the New Agreement
set forth materially similar rights, duties and obligations on Rydex Investments
with regard to the services to be provided to the Trust, and provided at least
the same level of protection to the Trust, the Funds and the Funds' shareholders
as the Current Agreement. The Board also noted that Rydex Investments' fees for
its services to the Funds under the New Agreement would be the same as its fees
under the Current Agreement. The Board further noted that all considerations,
determinations and findings related to the approval of the continuation of the
Current Agreement, as discussed above, were equally relevant to their approval
of the New Agreement, along with the additional factors relevant to the proposed
change of control discussed below.
NATURE, EXTENT AND QUALITY OF SERVICES PROVIDED BY RYDEX INVESTMENTS;
PERFORMANCE OF THE FUNDS
The Board noted that Rydex Investments was taking appropriate steps to maintain
its associates through the closing of the Transaction by, in part, keeping them
informed of the potential Transaction and awarding key personnel with incentives
to emphasize their value to Rydex Investments. As a result of these efforts, it
is anticipated that the key investment and management personnel servicing the
Funds will remain with Rydex Investments following the Transaction and that the
investment and management services provided to the Funds by Rydex Investments
will not change. The Board also considered Rydex Investments' and Security
Benefit's representations to the Board that Security Benefit intends for Rydex
Investments to continue to operate following the closing of the Transaction in
much the same manner as it operates today, and that the Transaction should have
no impact on the day-to-day operations of Rydex Investments, or the persons
responsible for the management of the Funds. Based on this review, the Board
concluded that the range and quality of services provided by Rydex Investments
to the Funds were appropriate and were expected to continue under the New
Agreement, and that there was no reason to expect the consummation of the
Transaction to have any adverse effect on the services provided by Rydex
Investments and its affiliates or the future performance of the Funds.
FUND EXPENSES
The Board also considered the fact that the fees payable to Rydex Investments
and other expenses of the Funds would be the same under the New Agreement as
they are under the Current Agreement, and on this basis, the Board concluded
that these fees and expenses continued to be satisfactory for the purposes of
approving the New Agreement. More detailed information regarding the fees under
the New Agreement is contained in the Proxy Statement and accompanying materials
dated September 6, 2007.
112
SUPPLEMENTAL INFORMATION (continued)
- --------------------------------------------------------------------------------
COSTS OF SERVICES PROVIDED TO THE FUNDS AND PROFITS REALIZED BY RYDEX
INVESTMENTS AND ITS AFFILIATES
Because Rydex Investments' fees under the New Agreement are the same as those
assessed under the Current Agreement, the Board concluded that the profits to be
realized by Rydex Investments and its respective affiliates under the New
Agreement and from other relationships between the Funds and Rydex Investments,
if any, should remain within the range the Board considered reasonable and
appropriate. The Board further noted that, although it is not possible to
predict how the Transaction may affect Rydex Investments' future profitability
from its relationship with the Funds, this matter would be given further
consideration on an annual basis going forward.
ECONOMIES OF SCALE
The Board further considered the potential economies of scale that may result
from the Transaction, and concluded that the extent of such economies of scale
could not be predicted in advance of the closing of the Transaction.
113 ANNUAL REPORT
INFORMATION ON BOARD OF TRUSTEES AND OFFICERS
- --------------------------------------------------------------------------------
A Board of Trustees oversees all Rydex Investments, in which its members have no
stated term of service, and continue to serve after election until resignation.
The Statement of Additional Information includes further information about Fund
Trustees and Officers, and can be obtained without charge by calling 1-800-820-
0888.
All Trustees and Officers may be reached c/o Rydex Investments, 9601 Blackwell
Rd., Suite 500, Rockville, MD 20850.
TRUSTEES AND OFFICERS
<Table>
<Caption>
NAME, POSITION LENGTH OF SERVICE
AND AS TRUSTEE NUMBER OF FUNDS
YEAR OF BIRTH (YEAR BEGAN) OVERSEEN
- ---------------- ----------------------------------------- ----------------
CARL G. Rydex Series Funds - 2004 141
VERBONCOEUR* Rydex Variable Trust - 2004
Trustee, Rydex Dynamic Funds - 2004
President (1952) Rydex ETF Trust - 2004
</Table>
PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS: Chief Executive Officer and
Treasurer of Rydex Specialized Products, LLC (2005 to present); Chief Executive
Officer of Rydex Fund Services, Inc., PADCO Advisors, Inc., PADCO Advisors II,
Inc., and Rydex Distributors, Inc. (2003 to present); Executive Vice President
of Rydex Fund Services, Inc. (2000 to 2003); Vice President of Rydex Fund
Services, Inc. and Rydex Distributors, Inc. (1997 to 2000)
<Table>
---------------------
MICHAEL P. Rydex Series Funds - 2005 141
BYRUM* Rydex Variable Trust - 2005
Trustee, Vice Rydex Dynamic Funds - 2005
President and Rydex ETF Trust - 2005
Secretary (1970)
</Table>
PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS: Secretary of Rydex Specialized
Products, LLC (2005 to present); Secretary of Rydex Series Funds, Rydex Variable
Trust, and Rydex Dynamic Funds (2004 to present); Vice President of Rydex Series
Funds (1997 to present); Vice President of Rydex Variable Trust (1998 to
present); Vice President of Rydex Dynamic Funds (1999 to present); Vice
President of Rydex ETF Trust (2002 to present); President and Trustee of Rydex
Capital Partners SPhinX Fund (2003 to 2006); President of Rydex Global Advisors
(2004 to present); Chief Operating Officer of Rydex Global Advisors and Rydex
Distributors, Inc. (2003 to 2004)
- --------------------------------------------------------------------------------
INDEPENDENT TRUSTEES
<Table>
<Caption>
NAME, POSITION LENGTH OF SERVICE
AND AS TRUSTEE NUMBER OF FUNDS
YEAR OF BIRTH (YEAR BEGAN) OVERSEEN
- ---------------- ----------------------------------------- ----------------
JOHN O. DEMARET Rydex Series Funds - 1997 133
Trustee, Rydex Variable Trust - 1998
Chairman of the Rydex Dynamic Funds - 1999
Board (1940) Rydex ETF Trust - 2003
</Table>
PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS: Retired
<Table>
---------------------
COREY A. Rydex Series Funds - 1993 133
COLEHOUR Rydex Variable Trust - 1998
Trustee (1945) Rydex Dynamic Funds - 1999
Rydex ETF Trust - 2003
</Table>
PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS: Senior Vice President of
Marketing/Co-Owner, Schield Management Company
<Table>
---------------------
J. KENNETH Rydex Series Funds - 1995 133
DALTON Rydex Variable Trust - 1998
Trustee (1941) Rydex Dynamic Funds - 1999
Rydex ETF Trust - 2003
</Table>
PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS: Mortgage Banking Consultant and
Investor, The Dalton Group
<Table>
---------------------
WERNER E. KELLER Rydex Series Funds - 2005 133
Trustee (1940) Rydex Variable Trust - 2005
Rydex Dynamic Funds - 2005
Rydex ETF Trust - 2005
</Table>
PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS: Retired (2001 to present);
Chairman, Centurion Capital Management (1991 to 2001)
<Table>
---------------------
THOMAS F. LYDON, Rydex Series Funds - 2005 133
JR. Rydex Variable Trust - 2005
Trustee (1960) Rydex Dynamic Funds - 2005
Rydex ETF Trust - 2005
</Table>
PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS: President, Global Trends
Investments
<Table>
---------------------
PATRICK T. Rydex Series Funds - 1997 133
MCCARVILLE Rydex Variable Trust - 1998
Trustee (1942) Rydex Dynamic Funds - 1999
Rydex ETF Trust - 2003
</Table>
PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS: Founder and Chief Executive
Officer, Par Industries, Inc.
<Table>
---------------------
ROGER SOMERS Rydex Series Funds - 1993 133
Trustee (1944) Rydex Variable Trust - 1998
Rydex Dynamic Funds - 1999
Rydex ETF Trust - 2003
</Table>
PRINCIPAL OCCUPATIONS DURING PAST FIVE YEARS: Owner, Arrow Limousine
- --------------------------------------------------------------------------------
114
INFORMATION ON BOARD OF TRUSTEES AND OFFICERS
- --------------------------------------------------------------------------------
INDEPENDENT TRUSTEES (CONT.)
EXECUTIVE OFFICERS
<Table>
<Caption>
NAME, POSITION AND PRINCIPAL OCCUPATIONS DURING PAST FIVE
YEAR OF BIRTH YEARS
- ----------------------------------------- -----------------------------------------
NICK BONOS* Chief Financial Officer of Rydex
Vice President and Treasurer (1963) Specialized Products, LLC (2005 to
present); Vice President and Treasurer of
Rydex Series Funds, Rydex Variable Trust,
Rydex Dynamic Funds, and Rydex ETF Trust
(2003 to present); Senior Vice President
of Rydex Fund Services, Inc. (2003 to
present); Vice President and Treasurer of
Rydex Capital Partners SPhinX Fund (2003
to 2006); Vice President of Accounting of
Rydex Fund Services, Inc. (2000 to 2003)
JOANNA M. HAIGNEY* Chief Compliance Officer Rydex Series
Chief Compliance Officer and Secretary Funds, Rydex Assistant Variable Trust,
(1966) and Rydex Dynamic Funds (2004 to
present); Assistant Secretary of Rydex
Series Funds, Rydex Variable Trust, and
Rydex Dynamic Funds (2000 to present);
Assistant Secretary of Rydex ETF Trust
(2002 to present); Vice President of
Compliance of Rydex Fund Services, Inc.
(2000 to present); Secretary of Rydex
Capital Partners SPhinX Fund (2003 to
2006)
JOSEPH ARRUDA* Assistant Treasurer of Rydex Series
Assistant Treasurer (1966) Funds, Rydex Variable Trust, Rydex
Dynamic Funds, Rydex ETF Trust (2006);
Vice President of Rydex Fund Services,
Inc. (2004 to present); Director of
Accounting of Rydex Fund Services, Inc.
(2003 to 2004); Vice President of Mutual
Funds, State Street Bank & Trust (2000 to
2003)
PAULA BILLOS* Controller of Rydex Series Funds, Rydex
Controller (1974) Variable Trust, Rydex Dynamic Funds,
Rydex ETF Trust (2006); Director of Fund
Administration of Rydex Fund Services,
Inc. (2001 to present)
</Table>
* Trustees and Officers of the Funds are deemed to be "interested persons" of
the Trust, within the meaning of Section 2(a)(19) of the 1940 Act, inasmuch as
this person is affiliated with the Advisor.
115 ANNUAL REPORT
[GRAPHIC]
[RYDEX INVESTMENTS LOGO]
9601 Blackwell Road o Suite 500 o Rockville, MD 20850
www.rydexinvestments.com o 800.820.0888
ETF-ANN-1007X1008
ITEM 2. CODE OF ETHICS.
The Registrant has adopted a code of ethics that applies to the Registrant's
principal executive officer and principal financial officer. A copy of the code
of ethics is filed as an exhibit to this form N-CSR.
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.
The registrant's Board of Trustees has determined that Werner Keller, an
"independent" Trustee serving on the registrant's audit committee, is an "audit
committee financial expert," as defined in Item 3 of Form N-CSR. Under
applicable securities laws, a person who is determined to be an audit committee
financial expert will not be deemed an "expert" for any purpose, including
without limitation for the purposes of Section 11 of the Securities Act of 1933,
as a result of being designated or identified as an audit committee financial
expert. The designation or identification of a person as an audit committee
financial expert does not impose on such person any duties, obligations, or
liabilities that are greater than the duties, obligations, and liabilities
imposed on such person as a member of the audit committee and Board of Trustees
in the absence of such designation or identification.
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.
(a)-(d) The aggregate Audit Fees billed by the Trust's principal accountant, for
the audit of the annual financial statements in connection with statutory and
regulatory filings for the fiscal years ended October 31, 2007 and October 31,
2006 were $247,800 and $128,000, respectively. The aggregate Tax Fees billed by
the Trust's principal accountant for professional services rendered for tax
compliance, tax advice, and tax planning, including preparation of tax returns
and distribution assistance, for the fiscal years ended October 31, 2007 and
October 31, 2006 were $0.
(e) The audit committee has adopted a policy whereby audit and non-audit
services performed by the registrant's principal accountant for the registrant,
its investment advisor, and any entity controlling, controlled by, or under
common control with the investment advisor that provides ongoing services to the
registrant require pre-approval in advance at regularly scheduled audit
committee meetings. If such service is required between regularly scheduled
audit committee meetings, the chairman of the audit committee, J. Kenneth
Dalton, is authorized to pre-approve the service with full committee approval at
the next scheduled meeting. There shall be no waivers of the pre-approval
process. No services described in (b)-(d) above were approved pursuant to
paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.
(f) Not applicable.
(g) Not applicable.
(h) Not applicable.
ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.
Not applicable.
ITEM 6. SCHEDULE OF INVESTMENTS
Schedule of Investments is included as part of the report to shareholders filed
under Item 1 of this form.
ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END
MANAGEMENT INVESTMENT COMPANIES.
Not applicable.
ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.
Not applicable.
ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT
COMPANY AND AFFILIATED PURCHASERS.
Not applicable.
ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.
Not applicable.
ITEM 11. CONTROLS AND PROCEDURES.
(a) Based on their evaluation on January 7, 2008, the President (principal
executive officer) and the Treasurer (principal financial officer) of the Rydex
ETF Trust (the "Trust") believe that there were no significant deficiencies in
the design or operation of the internal controls of the Trust or Rydex Global
Advisors ("RGA"), the investment advisor and manager of the Trust, and State
Street Bank and Trust Company (the "Administrator"), the administrator of the
Trust, or Rydex Distributors, Inc. ("RD"), which acts as distributor for the
Trust, including disclosure controls and procedures (as defined in Rule 30a-3(c)
under the Investment Company Act of 1940) which would have adversely affected
the ability of the Trust, the Administrator or RGA on behalf of the Trust, to
record, process, summarize, and report the subject matter contained in this
Report, and the President and Treasurer of the Trust have identified no material
weaknesses in such internal controls on behalf of the Trust.
There was no fraud, whether or not material, involving officers or employees of
RGA, the Administrator, RD or the Trust who have a significant role in the
Trust's internal controls, including disclosure controls and procedures (as
defined in Rule 30a-3(c) under the Investment Company Act of 1940) that has come
to the attention of the advisor or the officers of the Trust, including its
President and Treasurer.
(b) There were no significant changes in the Trust's and RGA's internal controls
over financial reporting, including disclosure controls and procedures (as
defined in Rule 30a-3(d) under the Investment Company Act of 1940) that occurred
during the second fiscal quarter of the period covered by this report that has
materially affected, or is reasonably likely to materially affect, the
registrant's internal control over financial reporting.
ITEM 12. EXHIBITS.
(a)(1) The registrant's code of ethics pursuant to Item 2 of Form N-CSR is
attached.
(a)(2) Separate certifications by the President (principal executive officer)
and Treasurer (principal financial officer) of the registrant as required by
Rule 30a-2(a) under the Act (17 CFR 270.30a-2(a)) are attached.
(b) A certification by the registrant's President (principal executive officer)
and Treasurer (principal financial officer) as required by Rule 30a-2(b) under
the Act (17 CFR 270.30a-2(b)) is attached.