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: 811-10183
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MET INVESTORS SERIES TRUST
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(Exact name of registrant as specified in charter)
22 Corporate Plaza Drive
Newport Beach, California 92660
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(Address of principal executive offices)(Zip code)
(Name and Address of Agent for Service) Copy to:
Elizabeth M. Forget Robert N. Hickey, Esq.
------------------------- Sullivan & Worcester LLP
President 1666 K Street, N.W.
Met Investors Series Trust Washington, D.C. 20006
22 Corporate Plaza Drive, Newport Beach,
California 92660
Registrant's telephone number, including area code: (800) 848-3854
Date of fiscal year end: December 31
Date of reporting period: June 30, 2005
Item 1: Reports to Shareholders.
MET INVESTORS SERIES TRUST
Met/AIM Mid Cap Core Equity Portfolio
Met/AIM Small Cap Growth Portfolio
Goldman Sachs Mid-Cap Value Portfolio
Harris Oakmark International Portfolio
Janus Aggressive Growth Portfolio
Lord Abbett America's Value Portfolio
Lord Abbett Bond Debenture Portfolio
Lord Abbett Growth and Income Portfolio
Lord Abbett Growth Opportunities Portfolio
Lord Abbett Mid-Cap Value Portfolio
MetLife Aggressive Strategy Portfolio
MetLife Balanced Strategy Portfolio
MetLife Defensive Strategy Portfolio
MetLife Growth Strategy Portfolio
MetLife Moderate Strategy Portfolio
MFS Research International Portfolio
Neuberger Berman Real Estate Portfolio
Oppenheimer Capital Appreciation Portfolio
PIMCO Inflation Protected Bond Portfolio
PIMCO Total Return Portfolio
Met/Putnam Capital Opportunities Portfolio
RCM Global Technology Portfolio
(formerly PIMCO PEA Innovation Portfolio)
Third Avenue Small Cap Value Portfolio
T. Rowe Price Mid-Cap Growth Portfolio
Turner Mid-Cap Growth Portfolio
Van Kampen Comstock Portfolio
SEMI-ANNUAL REPORT
JUNE 30, 2005
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MET/AIM MID CAP CORE EQUITY PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY AIM CAPITAL MANAGEMENT, INC.
LETTER TO POLICYHOLDERS
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ECONOMIC OVERVIEW & OUTLOOK
In the first half of 2005, as oil prices rose and inflation fears became more
pronounced, the equity markets struggled and the economic data points were
mixed. Oil prices were volatile, topping out at over $60 per barrel. In
response, gasoline prices also spiked to record highs, which put pressure on
the equity markets. For the first six months of the year, the Dow Jones
Industrial Average/1/ was down -3.50%, the S&P 500 Index/2/ was down -0.81% and
the NASDAQ Composite Index/3/ was down -5.45%.
The final reading of first quarter Gross Domestic Product (GDP) growth was
revised up to 3.8% from 3.5%, which indicated solid economic growth. Estimates
for the second quarter range widely from a modest growth rate of 2.5%, to a
more optimistic 4.0%. Manufacturing, as measured by the Institute for Supply
Management's Index (ISM,) showed signs of slowing during the first half; the
index finished at 53.8, which was off slightly from the end last year. Despite
the lower readings this year, any reading over fifty translates to expansion
within the manufacturing sector.
The Conference Board's Index of Consumer Confidence finished June at 105.8, up
only slightly from the beginning of the year. Despite pressure from high energy
prices, consumer spending remained at healthy rates, while sales of both new
and existing homes continued at near record levels. Non-farm payrolls, while
volatile from month to month, posted gains indicating solid employment growth.
At the same time, the unemployment rate declined to 5.0%, its lowest level
since September 2001.
The first half ended with the Federal Open Market Committee's June 30 meeting,
at which the Board raised the Federal funds rate by another quarter point,
bringing the rate target to 3.25%. Despite rising oil and gas prices, the Fed
remarked, "Although energy prices have risen further, the expansion remains
firm and labor market conditions continue to improve gradually." It is expected
that the Fed will continue to raise interest rates until the Federal funds rate
is at or near 4.00% by the end of 2005.
PORTFOLIO OVERVIEW
From January 1, 2005 to June 30, 2005, the Met/AIM Mid Cap Core Equity
Portfolio--Class B shares posted a return of 1.99%, underperforming its
benchmark, the Russell Midcap Index/4/, which posted a return of 3.92%.
Portfolio managers held overweight positions in the consumer staples,
materials, information technology and energy sectors, and underweight positions
in the consumer discretionary, financials, utilities, industrials and health
care sectors, relative to the Russell Mid Cap Index. Throughout the first half
of the year, managers took steps to increase exposure to the energy and health
care sectors, and to reduce exposure to the financials, industrials and
information technology sectors.
Security selection and an overweight position in the materials sector was
largely responsible for the Portfolio's underperformance relative to the
Russell Midcap Index. Stock selection in the consumer discretionary sector also
detracted from relative performance. Alternatively, an overweight position in
the energy sector was the largest positive contributor to performance in the
first half of this year, while the industrials sector benefited the Portfolio
as well.
Portfolio managers continue to focus on attractively priced mid-cap companies
with good growth prospects. The Portfolio's stock selection process seeks to
identify companies whose stock prices may be experiencing near-term distress.
Rigorous fundamental research focusing on cash flow analysis identifies
companies with management teams capable of weathering near-term challenges
while generating improving levels of free cash flow. Going forward, managers
believe this investment philosophy will generate relatively consistent
long-term performance.
RONALD S. SLOAN
Portfolio Manager
AIM CAPITAL MANAGEMENT, INC.
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TOP TEN HOLDINGS BY MARKET VALUE
As of 6/30/05
Percent of
Description Net Assets
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Williams Companies, Inc. 2.53%
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Kroger Co. 2.19%
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BJ Services Co. 2.04%
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Mattel, Inc. 1.97%
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Xerox Corp. 1.92%
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Dover Corp. 1.90%
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Southwestern Energy Co. 1.75%
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Lexmark International, Inc. 1.75%
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Sigma-Aldrich Corp. 1.66%
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Tate & Lyle Plc 1.58%
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PORTFOLIO COMPOSITION (% of portfolio market value)
As of 6/30/05
[CHART]
Non-Cyclical 28.2%
Energy 18.1%
Basic Materials 9.8%
Financials 10.8%
Cyclical 8.4%
Industrials 11.4%
Technology 7.6%
Communications 4.5%
Utilities 1.2%
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1
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MET/AIM MID CAP CORE EQUITY PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY AIM CAPITAL MANAGEMENT, INC.
LETTER TO POLICYHOLDERS (CONTINUED)
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MET/AIM MID CAP CORE EQUITY PORTFOLIO MANAGED BY
AIM CAPITAL MANAGEMENT, INC. VS. RUSSELL MIDCAP INDEX/4/
Growth Based on $10,000+
[CHART]
Met/AIM Mid Cap
Core Equity Russell Midcap Index
--------------- --------------------
10/01 $10,000 $10,000
12/01 11,026 11,463
3/02 11,606 11,950
6/02 10,826 10,809
9/02 9,275 8,903
12/02 9,843 9,608
3/03 9,402 9,381
6/03 10,874 11,094
9/03 11,314 11,807
12/03 12,406 13,457
3/04 12,840 14,148
6/04 13,456 14,354
9/04 13,073 14,233
12/04 14,183 16,177
3/05 14,293 16,137
6/05 14,475 16,811
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Average Annual Return/5/
(for the period ended 6/30/05)
------------------------------------------------------------
1 Year 3 Year Since Inception/6/
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Met/AIM Mid Cap Core Equity
Portfolio--Class A 7.84% 10.40% 8.46%
- -- Class B 7.58% 10.16% 10.43%
Class E 7.63% 10.27% 7.17%
------------------------------------------------------------
- - - Russell Midcap Index/4/ 17.12% 15.86% 14.94%
------------------------------------------------------------
+The chart reflects the performance of Class B shares of the Portfolio. The
performance of Class B shares will differ from that of the other Classes
because of the difference in expenses paid by policyholders investing in the
different share classes.
/1/The Dow Jones Industrial Average is a price-weighted index comprised of 30
common stocks. The Index does not include fees or expenses and is not available
for direct investment.
/2/The S&P 500 Index is an unmanaged index consisting of 500 stocks chosen for
market size, liquidity, and industry group representation. It is a market-value
weighted index (stock price times number of shares outstanding), with each
stock's weight in the Index proportionate to its market value. The Index does
not include fees or expenses and is not available for direct investment.
/3/The NASDAQ Composite Index is a market-value weighted index of all common
stocks listed on NASDAQ. The Index does not include fees or expenses and is not
available for direct investment.
/4/The Russell Midcap Index is an unmanaged index and measures the performance
of the 800 smallest companies in the Russell 1000 Index, which represent
approximately 25% of the total market capitalization of the Russell 1000 Index.
As of the latest reconstitution, the average market capitalization was
approximately $4.7 billion; the median market capitalization was approximately
$3.6 billion. The largest company in the Index had a market capitalization of
$13.7 billion. The Index does not include fees or expenses and is not available
for direct investment.
/5/"Average Annual Return" is calculated including reinvestment of all income
dividends and capital gain distributions.
/6/Inception of the Class A shares is 1/2/02. Inception of the Class B shares
is 10/9/01. Inception of the Class E shares is 4/2/02. Index returns are based
on an inception date of 10/9/01.
Past performance does not guarantee future results. The investment return and
principal value of an investment in the Portfolio will fluctuate, so that
shares, on any given day or when redeemed, may be worth more or less than their
original cost.
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2
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MET/AIM SMALL CAP GROWTH PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY AIM CAPITAL MANAGEMENT, INC.
LETTER TO POLICYHOLDERS
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ECONOMIC OVERVIEW & OUTLOOK
In the first half of 2005, as oil prices rose and inflation fears became more
pronounced, the equity markets struggled and the economic data points were
mixed. Oil prices were volatile, topping out at over $60 per barrel. In
response, gasoline prices also spiked to record highs, which put pressure on
the equity markets. For the first six months of the year, the Dow Jones
Industrial Average/1/ was down -3.50%, the S&P 500 Index/2/ was down -0.81% and
the NASDAQ Composite Index/3/ was down -5.45%.
The final reading of first quarter Gross Domestic Product (GDP) growth was
revised up to 3.8% from 3.5%, which indicated solid economic growth. Estimates
for the second quarter range widely from a modest growth rate of 2.5%, to a
more optimistic 4.0%. Manufacturing, as measured by the Institute for Supply
Management's Index (ISM,) showed signs of slowing during the first half; the
index finished at 53.8, which was off slightly from the end of last year.
Despite the lower readings this year, any reading over fifty translates to
expansion within the manufacturing sector.
The Conference Board's Index of Consumer Confidence finished June at 105.8, up
only slightly from the beginning of the year. Despite pressure from high energy
prices, consumer spending remained at healthy rates, while sales of both new
and existing homes continued at near record levels. Non-farm payrolls, while
volatile from month to month, posted gains indicating solid employment growth.
At the same time, the unemployment rate declined to 5.0%, its lowest level
since September 2001.
The first half ended with the Federal Open Market Committee's June 30 meeting,
at which the Board raised the Federal funds rate by another quarter point,
bringing the rate target to 3.25%. Despite rising oil and gas prices, the Fed
remarked, "Although energy prices have risen further, the expansion remains
firm and labor market conditions continue to improve gradually." It is expected
that the Fed will continue to raise interest rates until the Federal funds rate
is at or near 4.00% by the end of 2005.
PORTFOLIO OVERVIEW
From January 1 through June 30, 2005, the Met/AIM Small Cap Growth
Portfolio--Class B shares posted a return of 1.81%, outperforming its
benchmark, the Russell 2000 Index/4/, which posted a return of -1.25%.
Portfolio managers held overweight positions in the consumer discretionary,
health care, and information technology sectors, and under weight positions in
the financials, energy and materials sectors relative to the Russell 2000 Index.
The Portfolio's outperformance relative to the Russell 2000 Index in the first
half of 2005 was largely due to stock picking and overweightings in the
consumer discretionary and health care sectors. Stock selection in the
financials sector detracted from the Portfolio, as did an overweight position
in the information technology sector. A complete avoidance of the utilities
sector also detracted from performance when compared with the benchmark. On an
absolute basis, the consumer discretionary and health care sectors were the
largest contributors to the Portfolio's positive performance.
Portfolio managers remain cautiously optimistic about the market and continue
to position the Portfolio with a "barbell" approach, balancing exposure to more
aggressive, cyclically sensitive names and high quality, consistent growth
companies. This positioning is designed to potentially benefit investors if
markets rally while providing some downside protection if markets weaken.
JULIET S. ELLIS
Senior Portfolio Manager
JUAN R. HARTSFIELD
Portfolio Manager
AIM CAPITAL MANAGEMENT, INC.
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TOP TEN HOLDINGS BY MARKET VALUE
As of 6/30/05
Percent of
Description Net Assets
---------------------------------------
Jos. A. Bank Clothiers, Inc. 1.27%
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JLG Industries, Inc. 1.24%
---------------------------------------
Cerner Corp. 1.21%
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Macromedia, Inc. 1.14%
---------------------------------------
Mentor Corp. 1.11%
---------------------------------------
LifePoint Hospitals, Inc. 1.08%
---------------------------------------
Nautilus Group, Inc. 1.07%
---------------------------------------
Alamosa Holdings, Inc. 1.06%
---------------------------------------
Cal Dive International, Inc. 1.06%
---------------------------------------
Aeropostale, Inc. 1.05%
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PORTFOLIO COMPOSITION (% of portfolio market value)
As of 6/30/05
[CHART]
Non-Cyclical 25.8%
Cyclical 14.9%
Industrials 15.5%
Technology 23.2%
Financials 8.5%
Communications 5.1%
Energy 5.4%
Basic Materials 1.6%
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3
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MET/AIM SMALL CAP GROWTH PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY AIM CAPITAL MANAGEMENT, INC.
LETTER TO POLICYHOLDERS (CONTINUED)
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MET/AIM SMALL CAP GROWTH PORTFOLIO MANAGED BY
AIM CAPITAL MANAGEMENT, INC. VS. RUSSELL 2000 INDEX/4/
Growth Based on $10,000+
[CHART]
Met/AIM Small
Cap Growth Russell 2000
---------- ------------
10/01 $10,000 $10,000
12/01 11,890 11,891
3/02 11,540 12,365
6/02 10,040 11,333
9/02 8,190 8,908
12/02 8,620 9,456
3/03 8,290 9,031
6/03 10,010 11,146
9/03 10,749 12,158
12/03 11,969 13,923
3/04 12,229 14,795
6/04 12,380 14,865
9/04 11,279 14,439
12/04 12,739 16,474
3/05 12,409 15,594
6/05 12,968 16,268
---------------------------------------------------------
Average Annual Return/5/
(for the period ended 6/30/05)
---------------------------------------------------------
1 Year 3 Year Since Inception/6/
---------------------------------------------------------
Met/AIM Small Cap Growth
Portfolio--Class A 5.06% 9.17% 2.89%
- -- Class B 4.77% 8.91% 7.23%
Class E 4.91% -- 3.84%
---------------------------------------------------------
- - - Russell 2000 Index/4/ 9.44% 12.81% 13.93%
---------------------------------------------------------
+The chart reflects the performance of Class B shares of the Portfolio. The
performance of Class B shares will differ from that of the other Classes
because of the difference in expenses paid by policyholders investing in the
different share classes.
/1/The Dow Jones Industrial Average is a price-weighted index comprised of 30
common stocks. The Index does not include fees or expenses and is not available
for direct investment.
/2/The S&P 500 Index is an unmanaged index consisting of 500 stocks chosen for
market size, liquidity, and industry group representation. It is a market-value
weighted index (stock price times number of shares outstanding), with each
stock's weight in the Index proportionate to its market value. The Index does
not include fees or expenses and is not available for direct investment.
/3/The NASDAQ Composite Index is a market-value weighted index of all common
stocks listed on NASDAQ. The Index does not include fees or expenses and is not
available for direct investment.
/4/The Russell 2000 Index is an unmanaged index and measures the performance of
the 2,000 smallest companies in the Russell 3000 Index, which represents
approximately 8% of the total market capitalization of the Russell 3000 Index.
As of the latest reconstitution, the average market capitalization was
approximately $664.9 million; the median market capitalization was
approximately $539.5 million. The largest company in the Index had a market
capitalization of $1.8 billion. The Index does not include fees or expenses and
is not available for direct investment.
/5/"Average Annual Return" is calculated including reinvestment of all income
dividends and capital gain distributions.
/6/Inception of the Class A shares is 1/2/02. Inception of the Class B shares
is 10/9/01. Inception of the Class E shares is 4/2/02. Index returns are based
on an inception date of 10/9/01.
Past performance does not guarantee future results. The investment return and
principal value of an investment in the Portfolio will fluctuate, so that
shares, on any given day or when redeemed, may be worth more or less than their
original cost.
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4
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GOLDMAN SACHS MID-CAP VALUE PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY GOLDMAN SACHS ASSET MANAGEMENT L.P.
LETTER TO POLICYHOLDERS
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PERFORMANCE REVIEW
For the six month period ended June 30, 2005, Met Investors Series Trust
Goldman Sachs Mid-Cap Value Portfolio--Class A shares returned 6.20% versus
5.51% for its benchmark, the Russell Midcap Value Index/1/.
MARKET REVIEW
The U.S. equity markets finished the second quarter of 2005 with relatively
flat returns despite reaching both highs and lows of the year. Overall, during
the reporting period the equity market, as measured by the S&P 500 Index/2/,
returned -0.81%. Throughout the period, investor sentiment related to interest
rates and commodity prices drove the market's direction. After bottoming in
April and then surging in May, the markets weakened in June as oil prices
exceeded $60/barrel. Despite low interest rates and an improved outlook for
economic growth, investor confidence was shaken by continued troubles in the
U.S. auto industry.
PORTFOLIO POSITIONING
During the six month reporting period, the Portfolio generated positive returns
and outperformed the Russell Midcap Value Index. The Portfolio's stocks in the
Basic Materials and Energy sectors led performers while its holdings in the
REIT and Insurance sectors detracted from results.
In Energy, we continue to rely on stock selection, rather than sector
positioning, to drive strong performance results. We favor companies with
strong management teams, quality assets and low cost structures. EOG Resources,
Inc. (3.5% of the Portfolio) and Williams Companies, Inc. (1.5%) represent such
holdings and both companies outperformed their industry peers over the period.
We sold the Portfolio's positions in Unocal Corp. and Patterson-UTI Energy,
Inc. as both stocks reached our valuation targets.
Strength in individual stocks, such as HealthNet, Inc. (1.9%) and Abercrombie
and Fitch Co. (0.0%) also contributed to performance. Shares of HealthNet, Inc.
rose after announcing it had negotiated contracts with major hospital systems,
thereby giving investors greater clarity in its earnings potential.
Abercrombie, a top performer for several quarters, was sold after the stock
exceeded our valuation target due to improved operating margins and same store
sales.
The largest detractors from performance included Ditech Communications Corp.
(0.1%), istar Financial, Inc. (2.1%), and Lear Corp. (0.6%). In the Services
sector, the Portfolio's holding in Ditech Communications, a telecom equipment
supplier, has been unable to meet high revenue expectations and is also dealing
with the consolidation of its end markets. We have reduced the position amid
the weaker fundamentals. In the REITs sector, istar Financial, Inc. reported
positive results during the reporting period, but lowered its 2005 outlook due
to an increase in loan prepayments and reduced credit spreads. Lear Corp, a
U.S. auto supplier, declined as investors grew concerned with its exposure to
the U.S. auto industry. The Portfolio continues to hold the stock at its low
valuation levels, but we will closely monitor the situation.
OUTLOOK
As we advance into the second half of the year, we believe that our emphasis on
in-depth fundamental research and a disciplined approach to valuation will
identify quality companies at the right price. Additionally, we believe our
reality-based approach to valuation, using industry-specific, cash
flow-oriented valuation metrics, allows us to better assess potential
investments within each industry group. It's our belief that this will result
in strong stock selection over time.
TEAM MANAGED
The Portfolio is managed by a team headed by Eileen Rominger, Managing Director
and Chief Investment Officer--Value. Ms. Rominger joined Goldman Sachs in 1999.
From 1981 to 1999, Ms. Rominger worked at Oppenheimer Capital, most recently as
a senior portfolio manager.
The returns represent past performance. Past performance does not guarantee
future results. The Portfolio's investment return and principal value will
fluctuate so that an investor's shares, when redeemed, may be worth more or
less than their original cost. Current performance may be lower or higher than
the performance quoted above.
The Portfolio is subject to the risk of rising and falling stock prices. In
recent years the U.S. stock market has experienced substantial price volatility.
Holdings are as of June 30, 2005. Holdings and allocations shown are unaudited,
and may not be representative of current or future investments. Holdings and
allocations may not include the Portfolio's entire investment portfolio, which
may change at any time. Portfolio holdings should not be relied on in making
investment decisions and should not be construed as research or investment
advice regarding particular securities.
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TOP TEN HOLDINGS BY MARKET VALUE
As of 6/30/05
Percent of
Description Net Assets
--------------------------------------------
EOG Resources, Inc. 3.51%
--------------------------------------------
PPL Corp. 2.68%
--------------------------------------------
Lennar Corp.--Class A 2.53%
--------------------------------------------
AGL Resources, Inc. 2.25%
--------------------------------------------
iStar Financial, Inc. (REIT) 2.08%
--------------------------------------------
Federated Department Stores, Inc. 2.05%
--------------------------------------------
Entergy Corp. 1.99%
--------------------------------------------
PG&E Corp. 1.94%
--------------------------------------------
M&T Bank Corp. 1.91%
--------------------------------------------
Zions Bancorporation 1.89%
--------------------------------------------
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PORTFOLIO COMPOSITION (% of portfolio market value)
As of 6/30/05
[CHART]
Financials 27.8%
Cyclical 16.9%
Energy 13.7%
Utilities 10.4%
Non-Cyclical 10.2%
Technology 7.7%
Industrials 7.4%
Basic Materials 3.2%
Communications 2.7%
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5
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GOLDMAN SACHS MID-CAP VALUE PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY GOLDMAN SACHS ASSET MANAGEMENT, L.P.
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
GOLDMAN SACHS MID-CAP VALUE PORTFOLIO MANAGED BY
GOLDMAN SACHS ASSET MANAGEMENT L.P. VS. RUSSELL MIDCAP VALUE INDEX/1/
Growth Based on $10,000+
[CHART]
Goldman Sachs Russell Midcap
Mid-Cap Value Value Index
------------- --------------
4/04 $10,000 $10,000
6/04 10,620 10,622
9/04 10,740 10,807
12/04 12,098 12,262
3/05 12,361 12,357
6/05 12,847 12,938
-------------------------------------------------------------
Average Annual Return/3/
(for the period ended 6/30/05)
-------------------------------------------------------------
1 Year Since Inception/4/
-------------------------------------------------------------
Goldman Sachs Mid-Cap Value
- -- Portfolio--Class A 20.97% 28.47%
Class B 20.74% 28.23%
-------------------------------------------------------------
- - - Russell Midcap Value Index/1/ 21.80% 24.63%
-------------------------------------------------------------
+The chart reflects the performance of Class A shares of the Portfolio. The
performance of Class A shares will differ from that of the Class B shares
because of the difference in expenses paid by policyholders investing in the
different share classes.
/1/The Russell Midcap Value Index measures the performance of those Russell
Midcap companies with higher price-to-book ratios and higher forecasted growth
values. The stocks are also members of the Russell 1000 Growth Index. The Index
does not include fees or expenses and is not available for direct investment.
/2/The S&P 500 Index is an unmanaged index consisting of 500 stocks chosen for
market size, liquidity, and industry group representation. It is a market-value
weighted index (stock price times number of shares outstanding), with each
stock's weight in the Index proportionate to its market value. The Index does
not include fees or expenses and is not available for direct investment.
/3/"Average Annual Return" is calculated including reinvestment of all income
dividends and capital gain distributions.
/4/Inception of the Class A and Class B shares is 5/1/04. Index returns are
based on an inception date of 4/30/04.
Past performance does not guarantee future results. The investment return and
principal value of an investment in the Portfolio will fluctuate, so that
shares, on any given day or when redeemed, may be worth more or less than their
original cost.
- --------------------------------------------------------------------------------
6
- --------------------------------------------------------------------------------
HARRIS OAKMARK INTERNATIONAL PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY HARRIS ASSOCIATES L.P.
LETTER TO POLICYHOLDERS
- --------------------------------------------------------------------------------
MARKET & ECONOMIC REVIEW
Much negative news has come from Europe lately, casting doubt on true European
economic unification. First--a very important development that has received
little attention here--France and Germany prevented liberalization of EU
Services. Their trade unions feared competition from lower priced service
providers from Eastern Europe and slammed the brakes on this important step
toward economic unification. This news seems minor in comparison to the French
and Dutch voters' rejection of the new EU Constitution. This rather opaque
document seems to have been attacked from both the left and the right, and we
believe it is effectively finished.
These setbacks reflect a great deal of soul-searching in Europe. Old Europe,
unable to adapt to any type of effective free market reforms, is being
smothered by low growth and double-digit unemployment. Little, if any, new
capital has been invested in countries like France, Germany, and Italy because
private investors sense an uncomfortable business environment that is in
desperate need of change. Against this backdrop, the fall of the Euro is very
understandable. Because the economic environment in Western Europe is dire, it
has caused a fire sale of blue chip share prices. Many firms, though based in
Old Europe, have revenues from all over the world, and they can provide
excellent value. This is how we, as bottom up, value-oriented investors, can
profit from patience. And, on a positive note, maybe a new government in
Germany (elections will occur this fall) will brighten real reform prospects in
Europe.
PORTFOLIO PERFORMANCE REVIEW
As of the half-year ended June 30, 2005, the Morgan Stanley Capital
International Europe, Australasia and Far East Index (MSCI EAFE Index)/1/
returned -0.85%. During this same period, your Portfolio Class B shares
outperformed the index with a 1.82% return, primarily attributable to stock
selection in Germany and an under-weight allocation to Japan. In addition, the
currency hedge positions benefited from the appreciation of the U.S. Dollar
relative to the British Pound and the Swiss Franc. The greatest detractors from
performance during the quarter were due to stock selection in Japan and in the
U.K.
Individual securities that contributed to performance most significantly during
the first half of 2005 were the two European securities exchanges:
Frankfurt-based Deutsche Boerse AG and Paris-based Euronext N.V. The market has
anticipated for several years the acquisition of London Stock Exchange by one
of the two cash-rich European exchanges. In January, Deutsche Boerse AG
extended a takeover bid for LSE, to which Euronext responded with a proposed
merger plan, but no official offer as of yet. Deutsche Boerse AG withdrew its
bid several weeks later. The market is very pleased with this opportunity for
both of the exchanges to improve their capital structure, whether via the
acquisition of LSE or the buyback of shares in the absence of a bid.
The largest detractor from performance during the period was Japanese
engineering outsourcing company Meitec Corp. Meitec Corp's outplacement
business, Drake Beam Morin, Inc., has underperformed expectations as Japanese
corporations have been trending toward permanent hires due to the more
optimistic macro environment.
OUTLOOK
We have initiated a number of new positions in Japan during the period: Honda
Motor Co., Ltd. which we believe to be one of the best managed companies in the
automotive industry; Rohm Co., Ltd. a global leader in integrated chips and
electronic components with a terrific record of profitability and return on
capital; consumer products company Uni-Charm Corp., the Japanese leader in baby
diapers and hygiene products; Kao Corp., consumer products producer with strong
market positions; and NTT DoCoMo Inc., Japan's largest wireless service
provider which trades at roughly 8.5 times our estimate of current year
operating profit. As a result, the Portfolio's weighting in Japan has grown to
nearly 15 percent--the highest weighting we've ever had in Japan. We are very
excited to find so many quality Japanese companies that sell at attractive
prices and are run by managements who are shareholder-oriented.
We remain excited about the value and quality of the names in the Portfolio.
Thank you for your continued confidence and support.
DAVID G. HERRO
MICHAEL J. WELCH
Portfolio Managers
HARRIS ASSOCIATES L.P.
- --------------------------------------------------------------------------------
TOP TEN HOLDINGS BY MARKET VALUE
As of 6/30/05
Percent of
Description Net Assets
--------------------------------------------
GlaxoSmithKline Plc 3.63%
--------------------------------------------
Bayerische Motoren Werke (BMW) AG 3.36%
--------------------------------------------
SK Telecom Co., Ltd. 3.31%
--------------------------------------------
Diageo Plc 3.14%
--------------------------------------------
Takeda Pharmaceutical Co., Ltd. 3.10%
--------------------------------------------
Bank of Ireland 2.91%
--------------------------------------------
Nestle S.A. 2.86%
--------------------------------------------
Deutsche Boerse AG 2.84%
--------------------------------------------
Novartis AG 2.66%
--------------------------------------------
Euronext N.V. 2.62%
--------------------------------------------
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION (% of portfolio market value)
As of 6/30/05
[CHART]
United Kingdom 21.2%
Switzerland 15.7%
Japan 15.2%
France 10.9%
Germany 9.2%
Netherlands 7.8%
South Korea 6.5%
Others 5.8%
Italy 4.4%
Ireland 3.3%
- --------------------------------------------------------------------------------
7
- --------------------------------------------------------------------------------
HARRIS OAKMARK INTERNATIONAL PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY HARRIS ASSOCIATES L.P.
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
HARRIS OAKMARK INTERNATIONAL PORTFOLIO MANAGED BY
HARRIS ASSOCIATES L.P. VS. MSCI EAFE INDEX/1/
Growth Based on $10,000+
[CHART]
Harris Oakmark
International MSCI EAFE*
------------- -----------
10/01 $10,000 $10,000
12/01 10,969 10,391
3/02 10,787 10,450
6/02 10,473 10,249
9/02 8,713 8,231
12/02 8,984 8,765
3/03 7,890 8,052
6/03 9,855 9,627
9/03 10,534 10,415
12/03 12,124 12,196
3/04 12,585 12,733
6/04 12,882 12,789
9/04 12,903 12,760
12/04 14,612 14,720
3/05 14,929 14,705
6/05 14,878 14,595
-------------------------------------------------------------
Average Annual Return/2/
(for the period ended 6/30/05)
-------------------------------------------------------------
1 Year 3 Year Since Inception/3/
-------------------------------------------------------------
Harris Oakmark International
Portfolio--Class A 15.85% 12.70% 9.50%
- -- Class B 15.50% 12.42% 11.26%
Class E 15.57% 12.50% 10.40%
-------------------------------------------------------------
- - - MSCI EAFE Index/1/ 14.13% 12.51% 10.67%
-------------------------------------------------------------
+The chart reflects the performance of Class B shares of the Portfolio. The
performance of Class B shares will differ from that of the other Classes
because of the difference in expenses paid by policyholders investing in the
different share classes.
/1/The Morgan Stanley Capital International Europe, Australasia and Far East
Index ("MSCI EAFE Index") is an unmanaged, free float-adjusted market
capitalization index that is designed to measure developed market equity
performance, excluding the US & Canada. The Index does not include fees or
expenses and is not available for direct investment.
/2/"Average Annual Return" is calculated including reinvestment of all income
dividends and capital gain distributions.
/3/Inception of the Class A shares is 1/2/02. Inception of the Class B shares
is 10/9/01. Inception of the Class E shares is 4/2/02. Index returns are based
on an inception date of 10/9/01.
Past performance does not guarantee future results. The investment return and
principal value of an investment in the Portfolio will fluctuate, so that
shares, on any given day or when redeemed, may be worth more or less than their
original cost.
- --------------------------------------------------------------------------------
8
- --------------------------------------------------------------------------------
JANUS AGGRESSIVE GROWTH PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY JANUS CAPITAL MANAGEMENT LLC
LETTER TO POLICYHOLDERS
- --------------------------------------------------------------------------------
PERFORMANCE OVERVIEW
The Portfolio's Class B shares gained 0.53% for six months ended June 30, 2005,
versus its benchmark, the S&P 500 Index, which returned -0.81%.
PORTFOLIO POSITIONING IN A CHALLENGING ECONOMIC ENVIRONMENT
Over the past six months, the U.S. economy saw a number of gyrations. Gross
Domestic Product (GDP) in the fourth quarter of 2004 was much better than
expected, but GDP in the first quarter of 2005 was weaker than forecasted. The
Federal Reserve raised interest rates over a series of meetings; however, bond
and mortgage rates remained stubbornly low. The consumer continued to surprise
skeptics by spending heartily on new homes, cars, and other goods despite
higher gasoline prices and tepid job growth; while corporate America was stingy
in capital outlays.
Given the continued lack of corporate capital spending, weak job creation, and
potential negative impact higher interest rates may have on the economy, my
strategy over the past six months was to increase portfolio exposure to growth
companies that are less reliant upon the economy and away from more cyclical,
industrial stocks. For example, in looking at the strongest positive
contributors to performance, 9 out of 10 stocks were in areas that were
generally less economically sensitive.
STRONG PERFORMERS INCLUDE RETAIL AND HEALTH-RELATED COMPANIES
Upward sales trends--and cool fashion trends--provided a brisk tailwind for
Abercrombie & Fitch Co.--Class A, which was the single largest contributor to
the Portfolio's performance during the period. The specialty retailer sells
casual apparel for men, women and children in 700 stores across the country.
Under the leadership of a new chief operating officer, Abercrombie & Fitch
Co.--Class A, has added to sales staff, which has boosted store productivity.
We believe Abercrombie & Fitch Co.'s management team is focusing on operations
in a positive way, which should continue to yield positive results going
forward.
Another strong contributor was Genentech, Inc., a bio-technology firm with a
focus on cancer products. The company completed several studies with favorable
outcomes, including the use of Avastin for extending survival among patients
inflicted with non-small cell lung cancer and Herceptin in the adjuvant breast
cancer setting. We believe these drugs will provide long-term growth of revenue
and profits, while enabling Genentech, Inc., to reinvest in research for future
therapies. Roche Holding AG, a Swiss pharmaceutical company which owns 56% of
Genentech, Inc., was also among our top performers as it holds the European and
Japanese distribution rights to these drugs.
Elsewhere in healthcare, UnitedHealth Group, Inc. continued to have a positive
impact on the Portfolio. The company capitalizes on the increasing utilization
of healthcare and corporate America's desire to share more healthcare costs
with its employees. Pricing has been strong for managed care as increases have
been passed on in the form of higher copays and tiered drug pricing, while
underlying costs have been very tightly controlled. Finally, we anticipate that
UnitedHealth Group, Inc's merger with Oxford Health Plans should enable
UnitedHealth Group, Inc. to gain a market-leading position in New England and
cut costs as the company's call centers and information systems are
consolidated.
In another take on healthy living, Whole Foods Markets, Inc., the leading
organic and natural foods retailer, continued to be one of the most exciting
and best-performing investments in the Portfolio. The company is refining its
store model to a larger format with unique fresh food offerings that generate
excitement and intense loyalty among its customers. These new stores are
generating more sales per square foot than the smaller stores and are providing
better-than-expected same-store sales as they mature. With only 168 stores
nationwide, I believe Whole Foods has tremendous growth potential over the next
several years as the company penetrates new markets and continues to invest in
existing locations.
UNFORESEEN EVENTS AND COMPETITIVE FEARS PRESSURED SELECT HOLDINGS
Healthcare stocks, while important to positive results, also provided
disappointment during the period. The largest performance detractor was Elan
Plc. The biopharmaceutical firm's shares plunged after the company announced it
was withdrawing Tysabri, a multiple sclerosis drug, from the market after two
patients taking the drug succumbed to a rare brain infection. We had estimated
the drug's potential to be over $2 billion prior to this event, but elected to
liquidate the position as the investment thesis for Elan disappeared.
Competitive fears in two different industries also hurt our performance.
High-end stereo and infotainment equipment maker Harman International
Industries, Inc., declined on news that Mercedes-Benz had awarded a car-systems
contract to a competitor. Also, reports of weak U.S. automobile sales weighed
on the shares. McAfee Inc., an anti-virus and security software vendor,
suffered when Microsoft Corp., announced a series of acquisitions and new
product introductions aimed at the company's offerings.
INVESTMENT STRATEGY AND OUTLOOK
Looking ahead, in my opinion the economy is being pressured by several factors:
Corporate profits may be under pressure due to rising interest rates and raw
material costs; record consumer debt levels and high gasoline prices may
finally take a toll on consumer spending; and tepid economic news from Europe
and Japan could crimp U.S. export demand. In this environment, I expect to see
the market gravitate toward companies that provide strong earnings despite
these headwinds, so the Portfolio remains invested predominantly in stocks that
we believe can grow organically and return shareholder value through
intelligent capital allocation.
Thank you for your continued confidence and investment in the Portfolio.
CLAIRE YOUNG
Portfolio Manager
JANUS CAPITAL MANAGEMENT LLC
- --------------------------------------------------------------------------------
9
- --------------------------------------------------------------------------------
JANUS AGGRESSIVE GROWTH PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY JANUS CAPITAL MANAGEMENT LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
TOP TEN HOLDINGS BY MARKET VALUE
As of 6/30/05
Percent of
Description Net Assets
-------------------------------------------
Yahoo!, Inc. 3.11%
-------------------------------------------
Abercrombie & Fitch Co.--Class A 2.89%
-------------------------------------------
Roche Holdings AG 2.70%
-------------------------------------------
Celgene Corp. 2.70%
-------------------------------------------
Whole Foods Market, Inc. 2.52%
-------------------------------------------
Four Seasons Hotels, Inc. 2.26%
-------------------------------------------
UnitedHealth Group, Inc. 2.24%
-------------------------------------------
Cisco Systems, Inc. 2.04%
-------------------------------------------
Research In Motion, Ltd. 2.01%
-------------------------------------------
Alcon, Inc. 1.99%
-------------------------------------------
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION (% of portfolio market value)
As of 6/30/05
[CHART]
Non-Cyclical 38.8%
Technology 19.4%
Cyclical 18.0%
Communications 9.0%
Cyclical 6.5%
Financials 4.4%
Diversified 1.9%
Basic Materials 1.0%
Utilities 1.0%
- --------------------------------------------------------------------------------
10
- --------------------------------------------------------------------------------
JANUS AGGRESSIVE GROWTH PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY JANUS CAPITAL MANAGEMENT LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
JANUS AGGRESSIVE GROWTH PORTFOLIO MANAGED BY
JANUS CAPITAL MANAGEMENT LLC VS. S&P 500 INDEX/1/
Growth Based on $10,000+
[CHART]
Janus Aggressive
Growth S&P 500
---------------- -------
2/01 $10,000 $10,000
3/01 7,970 8,512
6/01 8,300 9,010
9/01 6,220 7,687
12/01 7,400 8,509
3/02 7,430 8,533
6/02 6,260 7,389
9/02 5,250 6,113
12/02 5,341 6,628
3/03 5,351 6,420
6/03 6,041 7,408
9/03 6,251 7,605
12/03 6,991 8,531
3/04 7,042 8,675
6/04 7,242 8,824
9/04 6,832 8,659
12/04 7,582 9,458
3/05 7,312 9,255
6/05 7,622 9,382
--------------------------------------------------------
Average Annual Return/2/
(for the period ended 6/30/05)
--------------------------------------------------------
1 Year 3 Year Since Inception/3/
--------------------------------------------------------
Janus Aggressive Growth
Portfolio--Class A 5.48% 7.05% 1.01%
- -- Class B 5.25% 6.77% -6.01%
Class E 5.38% -- 14.66%
--------------------------------------------------------
- - - S&P 500 Index/1/ 6.32% 8.28% -1.43%
--------------------------------------------------------
+The chart reflects the performance of Class B shares of the Portfolio. The
performance of Class B shares will differ from that of the Class A shares
because of the difference in expenses paid by policyholders investing in the
different share class.
/1/The S&P 500 Index is an unmanaged index consisting of 500 stocks chosen for
market size, liquidity, and industry group representation. It is a market-value
weighted index (stock price times number of shares outstanding), with each
stock's weight in the Index proportionate to its market value. The Index does
not include fees or expenses and is not available for direct investment.
/2/"Average Annual Return" is calculated including reinvestment of all income
dividends and capital gain distributions.
/3/Inception of Class A shares is 1/2/02. Inception of Class B shares is
2/12/01. Index returns are based on an inception date of 1/31/01.
Past performance does not guarantee future results. The investment return and
principal value of an investment in the Portfolio will fluctuate, so that
shares, on any given day or when redeemed, may be worth more or less than their
original cost.
- --------------------------------------------------------------------------------
11
- --------------------------------------------------------------------------------
LORD ABBETT AMERICA'S VALUE PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY LORD, ABBETT & CO. LLC
LETTER TO POLICYHOLDERS
- --------------------------------------------------------------------------------
MARKET REVIEW
Under the weight of waning fiscal stimulus and rising energy prices, real Gross
Domestic Product (GDP) moderated during the first half of 2005 to about a 3.7
percent annualized rate from a 4.4 percent rate in 2004. Contributing to this
still above-trend growth rate of economic activity, consumer spending during
the first half grew slightly faster than its 30-year average, business spending
expanded at near double-digit rates, while residential housing demand surged on
continued declines in mortgage rates. Although corporate fundamentals remained
strong, this modest economic slowing, rising energy prices, and increasing
short-term interest rates raised investor concerns so that in the six-month
period ended June 30, 2005, equities were caught in a sea of confluences and
drifted marginally lower.
Perhaps the most significant development in the first half of 2005 was the
flattening of the yield curve, the distribution of Treasury bond yields across
maturities. Federal Reserve Board (the Fed) Chairman Alan Greenspan now
famously referred to the failure of long-term yields to adjust upward with the
Fed's tightening campaign as a "conundrum." Specifically, although the Fed
raised short-rates 100 basis points, long-term yields declined by about 25
basis points. So although the Fed desired to extract excess liquidity from the
economy, borrowing costs actually fell.
With the decline in long-term yields, mortgage rates also softened, which
lifted housing demand. The surge in residential investments sent median home
prices soaring at the fastest rate in 25 years. Ultimately, fears of a real
estate bubble helped to pare equity gains despite the still-strong economy and
corporate earnings reports. Indeed, were it not for steady earnings growth and
the surging corporate cash flows that accompanied them, equities would surely
have suffered more under the weight of such concerns. As it is, these
still-positive fundamentals allowed the market, later in the second quarter, to
rebound almost enough to recover its earlier losses.
Using the S&P 500 Index/1/ as a proxy, the preliminary figures on corporate
earnings show an expansion of some 15 percent from year-ago levels,
significantly outstripping its lagging equity prices, bringing down its
price-to-earnings ratio to the lowest level since 1997, and developing good
value, especially relative to still low yields in the bond market. In the first
two months of 2005, surging crude prices lifted the earnings of energy
companies and their equities. Interestingly, the utilities sector, which tends
to outperform in periods of economic weakness, was the second best performing
sector in the large-cap dominated S&P 500 Index. And although consumer spending
grew unrelentingly in the face of a series of adverse shocks, consumer
discretionary stocks stumbled, effectively ignoring the consumer's vitality.
The worst performing sector was clearly materials, as the cost of raw goods
eroded the earnings power of their otherwise robust revenue growth.
Correspondingly, risk-averse investors and their value bias fared much better
than those seeking to capture a premium over the undervalued market by
purchasing "growthier" names. In a clear shift to dividends and defensive
sectors, mid-caps dominated the capitalization spectrum, trailed by large-caps,
and then small-caps.
PORTFOLIO REVIEW
By returning 0.96% the Lord Abbett America's Value Portfolio--Class B shares
outperformed its benchmark, the S&P 500 Index, which returned (0.80)%.
EQUITY COMPONENT
Stock selection within the consumer discretionary and financials sectors
combined to aid relative performance. Specifically, shares of May Department
Stores Co. (2.8 percent of portfolio weighting) rose following the announcement
of a takeover by competitor Federated Department Stores. Also PanAmSat Holdings
Corp. (3.0 percent of portfolio weighting), which has a current dividend yield
of approximately 8.0 percent--performed well since its initial public offering
in March.
An overweight position within the utilities sector also helped earnings as the
electric utilities industry performed well during the six-month period ended
June 30, 2005.
An overweight position within the materials sector and stock selection within
the information technology sector hurt Portfolio performance relative to its
benchmark. In the materials sector, overweight positions in the chemical
industry and in the paper & forest products industry relative to the benchmark,
were the primary detractors for the Portfolio due to increased fears of a
slower economy, which might lead to weakening demand for these companies.
Also, Avaya, Inc. (0.9 percent of portfolio weighting) hurt performance after
it warned that 2005 results will fall short of revenue targets because of
slower U.S. telephony equipment sales and disruption from a recent European
acquisition.
BOND COMPONENT
Over the first few months of the year, higher short-term rates decreased
potential returns for convertible arbitrageurs and prompted some liquidation by
hedge funds. Convertible securities were able to rebound strongly off the low
levels reached in April. Although we may see some further liquidations at the
margin, we believe this activity has squeezed rich valuations out of the
market, leaving a more constructive investment environment than we have seen
for some time.
Over the six-month period ended June 30, 2005, we increased our Mortgage Backed
securities position. This increase was the result of our additions to this
segment of the market, as well as the strength of mortgages and high grade
bonds during the period. These relatively long-dated securities rallied as the
yield curve continued to flatten.
A significant detractor from performance was our minimal weight in long-dated
treasury securities. As the yield curve flattened, these securities
outperformed other fixed income investments. We continue to believe there is
limited opportunity within this sector of the market, despite its strong recent
performance.
- --------------------------------------------------------------------------------
12
- --------------------------------------------------------------------------------
LORD ABBETT AMERICA'S VALUE PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY LORD, ABBETT & CO. LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
OUTLOOK
In the equities market, we believe that we are in the middle of an economic
expansion cycle, which is progressing unevenly across industries. There are
pockets of supply/demand imbalances that are allowing some of our portfolio
companies to raise prices, leading to rising profitability. These pockets
include such diverse areas as oilfield services, crop nutrients, and plywood.
There are also some portfolio companies whose profitability is rising due to
strong and/or improving demand for their offerings such as security software,
large-scale truck engines, and eye care solutions. Finally, there are
individual company situations where extreme pessimism has created valuations
that do not reflect improving fundamentals. We continue to find and invest the
Portfolio's assets in all of these types of situations.
We believe that strong economic conditions and low interest rates continue to
be supportive of the credit markets. In the high yield area, we feel that
credit conditions are still relatively benign and should remain so for the near
future. Low default rates, high liquidity levels, and a stable economy remain
supportive of favorable returns. Further, high yield securities tend to be less
sensitive to interest rate movements than investment grade securities, and
therefore can provide good returns even if long rates back up. We are also
finding better value in convertible securities. We expect interest rates to
drift upwards modestly, as yields on the 10-year Treasury begin to reflect more
realistic economic expectations. Consequently, we are finding limited
opportunity in long-dated securities. We anticipate continued measured
increases in interest rates by the Federal Reserve Board, although these
actions are increasingly data dependent.
TEAM MANAGED
NOTE TO INVESTORS: THE PORTFOLIO IS MANAGED BY A TEAM OF INVESTMENT MANAGERS
AND ANALYSTS. EDWARD K. VON DER LINDE AND CHRISTOPHER J. TOWLE HEAD THE TEAM
AND ARE JOINTLY AND PRIMARILY RESPONSIBLE FOR THE DAY-TO-DAY MANAGEMENT OF THE
PORTFOLIO. MESSRS. VON DER LINDE AND TOWLE, PARTNERS OF LORD ABBETT, HAVE BEEN
WITH LORD ABBETT SINCE 1988 AND 1987 RESPECTIVELY.
The views of Lord, Abbett & Co. LLC and the Portfolio's holdings described in
this report are as of June 30, 2005; these views and portfolio holdings may
have changed subsequent to this date. Information provided in this report
should not be considered a recommendation to purchase or sell securities. The
Portfolio is not insured by the FDIC, is not a deposit or other obligation of,
or guaranteed by banks, and are subject to investment risks including loss of
principal amount invested. For a more detailed discussion of the risks
associated with the Portfolio, see the Portfolio's Prospectus.
TOP TEN HOLDINGS BY MARKET VALUE
As of 6/30/05
Percent of
Description Net Assets
-------------------------------------------------------------
Federal National Mortgage Assoc. (6.00%, 02/01/34) 2.77%
-------------------------------------------------------------
SBC Communications, Inc. 2.42%
-------------------------------------------------------------
Tupperware Corp. 2.30%
-------------------------------------------------------------
Ameren Corp. 2.27%
-------------------------------------------------------------
NiSource, Inc. 2.20%
-------------------------------------------------------------
PanAmSat Holding Corp. 2.14%
-------------------------------------------------------------
Bristol-Myers Squibb Co. 2.13%
-------------------------------------------------------------
R.R. Donnelley & Sons Co. 2.08%
-------------------------------------------------------------
Puget Energy, Inc. 2.04%
-------------------------------------------------------------
May Department Stores Co. 2.01%
-------------------------------------------------------------
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION (% of portfolio market value)
As of 6/30/05
[CHART]
Financials 19.7%
Cyclical 14.9%
Non-Cyclical 14.9%
Basic Materials 13.7%
Energy 10.8%
Industrials 9.7%
Communications 9.2%
Utilities 6.6%
Technology 0.5%
- --------------------------------------------------------------------------------
13
- --------------------------------------------------------------------------------
LORD ABBETT AMERICA'S VALUE PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY LORD, ABBETT & CO. LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
LORD ABBETT AMERICA'S VALUE PORTFOLIO MANAGED BY LORD, ABBETT & CO. LLC VS. S&P
500 INDEX/1 /
Growth Based on $10,000+
[CHART]
Lord Abbett
America's Value S&P 500
--------------- -------
5/03 $10,000 $10,000
6/03 10,440 10,662
9/03 10,770 10,945
12/03 12,104 12,278
3/04 12,524 12,485
6/04 12,781 12,700
9/04 13,069 12,462
12/04 14,251 13,613
3/05 14,105 13,320
6/05 14,388 13,502
---------------------------------------------------------------------
Average Annual Return/2/
(for the period ended 6/30/05)
---------------------------------------------------------------------
1 Year Since Inception/3/
---------------------------------------------------------------------
Lord Abbett America's Value Portfolio
- -- Class B 12.49% 18.26%
---------------------------------------------------------------------
- - - S&P 500 Index/1/ 6.32% 14.84%
---------------------------------------------------------------------
+The chart reflects the performance of Class B shares of the Portfolio. This is
currently the only active Class in the Portfolio.
/1/The S&P 500 Index is an unmanaged index consisting of 500 stocks chosen for
market size, liquidity, and industry group representation. It is a market-value
weighted index (stock price times number of shares outstanding), with each
stock's weight in the Index proportionate to its market value. The Index does
not include fees or expenses and is not available for direct investment.
/2/"Average Annual Return" is calculated including reinvestment of all income
dividends and capital gain distributions.
/3/Inception of Class B shares is 5/1/03. Index returns are based on an
inception date of 4/30/03.
Past performance does not guarantee future results. The investment return and
principal value of an investment in the Portfolio will fluctuate, so that
shares, on any given day or when redeemed, may be worth more or less than their
original cost.
- --------------------------------------------------------------------------------
14
- --------------------------------------------------------------------------------
LORD ABBETT BOND DEBENTURE PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY LORD, ABBETT & CO. LLC
LETTER TO POLICYHOLDERS
- --------------------------------------------------------------------------------
MARKET REVIEW
Since January, the Federal Reserve Board (the Fed) has raised interest rates
four times to 3.25 percent and oil prices have remained elevated, hitting over
$60 a barrel in late June. High yield and investment grade bonds have done
well, while convertible securities have struggled. For the six-month period
ended June 30, 2005, the CSFB High Yield Index/1/ posted a +0.77 percent return
(the Merrill Lynch High Yield Master II Index/2/ posted a +1.13 percent return)
and the Lehman Aggregate Index/3/ rose 2.51 percent. The Merrill Lynch All
Convertibles Index/4/ returned -3.45 percent, uncharacteristically
underperforming the S&P 500 Index/5/ in a down market. The S&P 500 Index was
down 0.81 percent during the six-month period. Although convertibles have
rebounded significantly since their low in April, they still have not made up
all the lost ground for the year.
Higher-rated credits have outperformed lower-rated credits in both the high
yield and convertible markets. Within the high yield market, BB-rated bonds
outperformed B-rated, which outperformed the CCC-rated. In the convertible
market, the investment grade issues beat speculative grade issues as well.
While rates on the 3-month Treasury rose 89 basis points during this six-month
period ended June 30, 2005, the 10-Year Treasury fell 34 basis points to a
yield of below 4 percent during this same period, continuing the flattening of
the yield curve.
PORTFOLIO REVIEW
By returning (0.24)% during the period the Lord Abbett Bond Debenture
Portfolio--Class A shares underperformed its benchmark, the CSFB High Yield
Index, which returned 0.77% for the six month period ending June 30, 2005.
Over the first quarter higher short-term rates decreased potential returns for
convertible arbitrageurs and prompted some liquidation by hedge funds.
Convertible securities were able to rebound strongly off the low levels reached
in April. Although we may see some further liquidations at the margin, we
believe this activity has squeezed rich valuations out of the market, leaving a
more constructive investment environment than we have seen for some time.
A significant detractor from relative performance was our minimal weight in
long-dated treasury securities. As the yield curve flattened, these securities
outperformed other fixed income investments. We continue to believe there is
limited opportunity within this sector of the market, despite its strong recent
performance.
OUTLOOK
Our expectations are somewhat more optimistic than the general market
consensus. In our opinion, the US economy is considerably more stable than the
market appears to be discounting. We believe that US Gross Domestic Product
growth will continue in the range of 3.0-3.5 percent.
We expect interest rates to drift upwards modestly, as yields on the 10-year
Treasury begin to reflect more realistic economic expectations. Consequently,
we are finding limited opportunity in long-dated securities. We anticipate
continued measured increases in interest rates by the Fed, although we believe
these actions are increasingly data dependent.
We believe that strong economic conditions and low interest rates are
supportive of the credit markets. In the high yield area, we feel that credit
conditions are still relatively benign and should remain so for the near
future. Low default rates, high liquidity levels, and a stable economy remain
supportive of favorable returns. Further, high yield securities tend to be less
sensitive to interest rate movements than investment grade securities, and
therefore can provide good returns even if long rates back up. We are also
finding better value in convertible securities.
TEAM MANAGED
Lord Abbett uses a team of investment managers and analysts acting together to
manage the Fund's investments. Christopher J. Towle, Partner and Investment
Manager, heads the team and is primarily responsible for the day-to-day
management of the Fund. Mr. Towle joined Lord Abbett in 1987, is the holder of
a Chartered Financial Analyst designation and has been in the investment
business since 1980.
The views of Lord, Abbett & Co. LLC and the portfolio's holdings described in
this report are as of June 30, 2005; these views and portfolio holdings may
have changed subsequent to this date. Information provided in this report
should not be considered a recommendation to purchase or sell securities. The
Portfolio is not insured by the FDIC, is not a deposit or other obligation of,
or guaranteed by banks, and are subject to investment risks including loss of
principal amount invested. For a more detailed discussion of the risks
associated with the Portfolio, see the Portfolio's Prospectus.
- --------------------------------------------------------------------------------
TOP TEN HOLDINGS BY MARKET VALUE
As of 6/30/05
Percent of
Description Net Assets
----------------------------------------------------------------
U.S. Treasury Note (4.375%, 05/15/07) 1.92%
----------------------------------------------------------------
Federal National Mortgage Assoc. (6.00%, 11/01/34) 1.06%
----------------------------------------------------------------
U.S. Treasury Note (5.00%, 02/15/11) 0.91%
----------------------------------------------------------------
General Motors Acceptance Corp. (7.25%, 03/02/11) 0.73%
----------------------------------------------------------------
Federal Home Loan Mortgage Corp. (5.50%, 2/15/06) 0.70%
----------------------------------------------------------------
Qwest Capital Funding, Inc. (7.90%, 08/15/10) 0.69%
----------------------------------------------------------------
Federal National Mortgage Assoc. (6.00%, 11/01/33) 0.65%
----------------------------------------------------------------
Insight Communications, Inc. (0.00%/12.25%, 02/15/11) 0.62%
----------------------------------------------------------------
Federal National Mortgage Assoc. (6.00%, 08/1/34) 0.62%
----------------------------------------------------------------
Federal National Mortgage Assoc. (6.00%, 03/1/33) 0.62%
----------------------------------------------------------------
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION (% of portfolio market value)
As of 6/30/05
[CHART]
Corporate Bonds 85.1%
U.S. Government Agency 10.3%
Equity Securities 4.6%
- --------------------------------------------------------------------------------
15
- --------------------------------------------------------------------------------
LORD ABBETT BOND DEBENTURE PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY LORD, ABBETT & CO. LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
LORD ABBETT BOND DEBENTURE PORTFOLIO MANAGED BY LORD, ABBETT & CO. LLC, VS.
LEHMAN BROTHERS AGGREGATE BOND INDEX/3/ AND CREDIT SUISSE FIRST BOSTON HIGH
YIELD INDEX/1/
Growth Based on $10,000+
[CHART]
Lord Abbett First Boston High Lehman Bros.
Bond Debenture Yield Index* Bond Index
-------------- ------------ ----------
5/96 $10,000 $10,000 $10,000
5/96 10,000 10,081
6/96 10,201 10,103 10,114
9/96 10,790 10,482 10,300
12/96 11,288 10,945 10,609
3/97 11,432 11,106 10,550
6/97 12,147 11,585 10,938
9/97 12,778 12,130 11,302
12/97 13,052 12,326 11,636
3/98 13,709 12,697 11,815
6/98 13,791 12,857 12,091
9/98 13,197 12,067 12,603
12/98 13,869 12,397 12,646
3/99 14,082 12,601 12,581
6/99 14,004 12,747 12,470
9/99 13,812 12,543 12,555
12/99 14,341 12,804 12,540
3/00 14,479 12,639 12,817
6/00 14,551 12,695 13,039
9/00 14,871 12,782 13,433
12/00 14,465 12,135 13,998
3/01 14,859 12,733 14,422
6/01 14,782 12,654 14,503
9/01 14,180 12,151 15,173
12/01 15,010 12,837 15,179
3/02 15,089 13,159 15,194
6/02 14,585 12,857 15,757
9/02 14,264 12,494 16,480
12/02 14,950 13,234 16,739
3/03 15,505 14,148 16,971
6/03 16,629 15,526 17,396
9/03 16,950 15,998 17,371
12/03 17,867 16,931 17,427
3/04 18,194 17,383 17,889
6/04 18,001 17,350 17,452
9/04 18,595 18,131 18,011
12/04 19,374 18,958 18,182
3/05 18,975 18,745 18,096
6/05 19,328 19,101 18,641
------------------------------------------------------------------
Average Annual Return/6/
(for the period ended 6/30/05)
------------------------------------------------------------------
1 Year 3 Year 5 Year Since Inception/7/
------------------------------------------------------------------
Lord Abbett Bond
Debenture
- -- Portfolio--Class A 7.37% 9.84% 5.84% 7.45%
Class B 7.19% 9.61% -- 6.18%
Class E 7.19% 9.70% -- 7.76%
------------------------------------------------------------------
Lehman Brothers
- - - Aggregate Bond Index/3/ 6.81% 5.76% 7.14% 7.03%
------------------------------------------------------------------
Credit Suisse First Boston
- -- High Yield Index/1/ 10.08% 14.11% 8.51% 7.32%
------------------------------------------------------------------
+The chart reflects the performance of Class A shares of the Portfolio. The
performance of Class A shares will differ from that of the Class B and Class E
shares because of the difference in expenses paid by policyholders investing in
the different share class.
/1/The Credit Suisse First Boston High Yield Index is an unmanaged index
representative of lower rated debt, including straight-preferred stocks. The
Index does not include fees or expenses and is not available for direct
investment.
/2/Merrill Lynch High Yield Master II Index is a market value-weighted index of
all domestic and Yankee high-yield bonds (dollar-denominated bonds issued in
the U.S. by foreign banks and corporations), including deferred-interest bonds
and payment in-kind securities. Issues included in the index have maturities of
one year or more, and have a credit rating lower than BBB-/Baa3, but are not in
default.
/3/The Lehman Brothers Aggregate Bond Index is a broad measure of the
performance of the taxable bonds in the U.S. market, with maturities of at
least one year. The Index does not include fees or expenses and is not
available for direct investment.
/4/Merrill Lynch All U.S. Convertible Securities Index is a market
capitalization-weighted index of domestic corporate convertible securities that
are convertible to common stock only. The Index does not include fees or
expenses and is not available for direct investment.
/5/The S&P 500 Index is an unmanaged index consisting of 500 stocks chosen for
market size, liquidity, and industry group representation. It is a market-value
weighted index (stock price times number of shares outstanding), with each
stock's weight in the Index proportionate to its market value. The Index does
not include fees or expenses and is not available for direct investment.
/6/"Average Annual Return" is calculated including reinvestment of all income
dividends and capital gain distributions.
/7/Inception of the Class A shares is 5/1/96. Inception of the Class B shares
is 4/3/01. Inception date Class E shares is 4/2/02. Index returns are based on
an inception date of 5/1/96.
A NOTE ABOUT RISK: The Portfolio has the ability to invest up to 80% of total
assets in debt securities, which may include high-yield debt securities. The
risks of high-yield debt securities include, but are not limited to, price
volatility and the possibility of default in the timely payment of interest and
principal. In addition the Portfolio may invest up to 20% of net assets at
market value in debt and equity securities primarily traded in foreign
countries. Foreign securities markets may not be subject to the same degree of
regulation as
- --------------------------------------------------------------------------------
16
- --------------------------------------------------------------------------------
LORD ABBETT BOND DEBENTURE PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY LORD, ABBETT & CO. LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
U.S. markets and may be more volatile and less liquid than major U.S. markets.
Foreign investments are subject to currency exposure. These and other risks are
more fully described in the Prospectus. There can be no assurance that the
Portfolio will meet its investment objective.
Past performance does not guarantee future results. The investment return and
principal value of an investment in the Portfolio will fluctuate, so that
shares, on any given day or when redeemed, may be worth more or less than their
original cost.
- --------------------------------------------------------------------------------
17
- --------------------------------------------------------------------------------
LORD ABBETT GROWTH AND INCOME PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY LORD, ABBETT & CO. LLC
LETTER TO POLICYHOLDERS
- --------------------------------------------------------------------------------
MARKET REVIEW
Under the weight of waning fiscal stimulus and rising energy prices, real Gross
Domestic Product (GDP) moderated during the first half of 2005 to about a 3.7
percent annualized rate from a 4.4 percent rate in 2004. Contributing to this
still above-trend growth rate of economic activity, consumer spending during
the first half grew slightly faster than its 30-year average, business spending
expanded at near double-digit rates, while residential housing demand surged on
continued declines in mortgage rates. Although corporate fundamentals remained
strong, this modest economic slowing, rising energy prices, and increasing
short-term interest rates raised investor concerns so that in the six-month
period ended June 30, 2005, equities were caught in a sea of confluences and
drifted marginally lower.
Perhaps the most significant development in the first half of 2005 was the
flattening of the yield curve, the distribution of Treasury bond yields across
maturities. Federal Reserve Board (the Fed) Chairman Alan Greenspan now
famously referred to the failure of long-term yields to adjust upward with the
Fed's tightening campaign as a "conundrum." Specifically, although the Fed
raised short-rates 100 basis points, long-term yields declined by about 25
basis points. So although the Fed desired to extract excess liquidity from the
economy, borrowing costs actually fell.
With the decline in long-term yields, mortgage rates also softened, which
lifted housing demand. The surge in residential investments sent median home
prices soaring at the fastest rate in 25 years. Ultimately, fears of a real
estate bubble helped to pare equity gains despite the still-strong economy and
corporate earnings reports. Indeed, were it not for steady earnings growth and
the surging corporate cash flows that accompanied them, equities would surely
have suffered more under the weight of such concerns. As it is, these
still-positive fundamentals allowed the market, later in the second quarter, to
rebound almost enough to recover its earlier losses.
Using the S&P 500 Index/1/ as a proxy, the preliminary figures on corporate
earnings show an expansion of some 15 percent from year-ago levels,
significantly outstripping its lagging equity prices, bringing down its
price-to-earnings ratio to the lowest level since 1997, and developing good
value, especially relative to still low yields in the bond market. In the first
two months of 2005, surging crude prices lifted the earnings of energy
companies and their equities. Interestingly, the utilities sector, which tends
to outperform in periods of economic weakness, was the second best performing
sector within the large-cap dominated S&P 500 Index. And although consumer
spending grew unrelentingly in the face of a series of adverse shocks, consumer
discretionary stocks stumbled, effectively ignoring the consumer's vitality.
The worst performing sector was clearly materials, as the cost of raw goods
eroded the earnings power of their otherwise robust revenue growth.
Correspondingly, risk-averse investors and their value bias fared much better
than those seeking to capture a premium over the undervalued market by
purchasing "growthier" names. In a clear shift to dividends and defensive
sectors, mid-caps dominated the capitalization spectrum, trailed by large-caps,
and then small-caps.
PORTFOLIO REVIEW
By returning (2.92)% during the period the Lord Abbett Growth and Income
Portfolio--Class A shares underperformed its benchmark, the S&P 500 Index,
which returned (0.80)% for the six month period ending June 30, 2005.
Stock selection within the producer durables sector detracted from performance
relative to the S&P 500 Index during the six-month period ended June 30, 2005.
Stocks within this sector were negatively affected due to the impact of
high-energy costs and concerns among some about a possible economic slowdown.
These concerns are reflected in stock prices and are somewhat overdone. Early
in the period, Deere (2.1 percent of portfolio weighting) met profit
expectations, but concerns (which we do not embrace) arose about the
sustainability of current strong farm equipment sales. Xerox (0.9 percent of
portfolio weighting) did not meet first quarter profit expectations due to
declines in equipment sales, but recovered recently on analyst upgrades. Within
the utilities sector, Comcast (1.4 percent of portfolio weighting) hurt
performance as shares fell early in the second quarter due to a lowered
earnings forecast and the acquisition of Adelphia. In addition, the Portfolio's
overweight within the materials and processing sector, relative to the index,
detracted from performance. Finally, stock selection within the financial
services sector negatively affected performance relative to the benchmark.
Shares of Bank of New York (1.2 percent of portfolio weighting) had absolute
negative returns, and the Portfolio's underexposure in the sector, relative to
the Index, was also a detractor.
Stock selection within the technology sector contributed positively to
performance during the six-month period ended June 30, 2005. Apple Computer
(0.0 percent of portfolio weighting) and Motorola (1.8 percent of portfolio
weighting) both experienced strong product sales. Within the consumer
discretionary sector, the Portfolio's relative sector underweight aided
performance. In addition, stock selection within the auto and transportation
sector also helped performance where the Portfolio avoided the worst falls of
the autos during the middle of the six-month period ended June 30, 2005.
OUTLOOK
Looking forward, we anticipate an environment with pockets of real strength and
others of weakness. Overall profits will continue their upward trend, but
specific industries and companies are doing far better than some that have
suffered disappointments. Today's environment is a very mixed picture, and we
have had our portion of good investments as well as other companies that have
stumbled.
The Portfolio holds many companies marked by limited capacity in the face of
rising final demand for their products. This translates into pricing power, and
pricing power generally leads to higher earnings and stock prices, especially
if coupled with cheap stocks. At the same time we continue to reduce exposure
in industries and companies that are over earning and have excess capacity.
Banks are a particular case in point.
- --------------------------------------------------------------------------------
18
- --------------------------------------------------------------------------------
LORD ABBETT GROWTH AND INCOME PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY LORD, ABBETT & CO. LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
Many companies in the Portfolio are seriously under earning relative to their
potential and catalysts are in place, such as new management, that may lead to
real improvement in profits. These are unique pockets of opportunity that
should pay off well. Among these are industrial and capital goods companies,
together with some basic materials companies. Despite overcapacity within the
technology sector, there are some select opportunities where new but proven
management is at the helm and hard at work to potentially raise profitability.
Health care was the largest sector weighting at the end of the second quarter.
Historically, good quality health care companies tended to sell at high prices
and growth valuations. Today, the opposite is true. A drought in new product
introductions, patent expirations, product recalls, and various other well
publicized events have occurred driving valuations down to levels unseen for
decades. Not well publicized are enormous research efforts that have tended
over time to yield important new therapies, leading to major profit gains.
Investors can buy high quality pharmaceutical companies today at valuations
below many regulated electric utilities. This is unique and an extraordinary
investment opportunity in our view.
TEAM MANAGED
NOTE TO INVESTORS: THE PORTFOLIO IS MANAGED BY A TEAM OF INVESTMENT MANAGERS
AND ANALYSTS. ELI M. SALZMANN AND SHOLOM DINSKY HEAD THE TEAM AND HAVE THE
JOINT AND PRIMARY RESPONSIBILITY FOR THE DAY-TO-DAY MANAGEMENT OF THE
PORTFOLIO. THE OTHER SENIOR MEMBERS OF THE TEAM ARE: ROBERT G. MORRIS, W.
THOMAS HUDSON, JR. AND KENNETH G. FULLER. MESSRS. DINSKY, HUDSON, MORRIS, AND
SALZMANN ARE PARTNERS OF LORD ABBETT. MESSRS. HUDSON, SALZMANN, AND MORRIS
DINSKY, AND FULLER HAVE BEEN WITH LORD ABBETT SINCE 1982, 1997, 1991, 2000 AND
2002 RESPECTIVELY.
The views of Lord, Abbett & Co. LLC and the Portfolio's holdings described in
this report are as of June 30, 2005; these views and portfolio holdings may
have changed subsequent to this date. Information provided in this report
should not be considered a recommendation to purchase or sell securities. The
Portfolio is not insured by the FDIC, is not a deposit or other obligation of,
or guaranteed by banks, and are subject to investment risks including loss of
principal amount invested. For a more detailed discussion of the risks
associated with the Portfolio, see the Portfolio's Prospectus.
TOP TEN HOLDINGS BY MARKET VALUE
As of 6/30/05
Percent of
Description Net Assets
-------------------------------------
ExxonMobil Corp. 6.20%
-------------------------------------
General Electric Co. 2.96%
-------------------------------------
Pfizer, Inc. 2.70%
-------------------------------------
Wyeth 2.40%
-------------------------------------
Kraft Foods, Inc.--Class A 2.32%
-------------------------------------
Novartis AG (ADR) 2.17%
-------------------------------------
Deere & Co. 2.14%
-------------------------------------
Schlumberger, Ltd. 2.05%
-------------------------------------
Newmont Mining Corp. 1.92%
-------------------------------------
J.P. Morgan Chase & Co. 1.90%
-------------------------------------
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION (% of portfolio market value)
As of 6/30/05
[CHART]
Non-Cyclical 29.6%
Industrials 19.5%
Financials 11.6%
Energy 10.6%
Basic Materials 10.0%
Communications 7.4%
Technology 7.3%
Cyclical 3.0%
Utilities 1.0%
- --------------------------------------------------------------------------------
19
- --------------------------------------------------------------------------------
LORD ABBETT GROWTH AND INCOME PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY LORD, ABBETT & CO. LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
LORD ABBETT GROWTH AND INCOME PORTFOLIO MANAGED BY
LORD, ABBETT & CO. LLC VS. S&P 500 INDEX/1/
Growth Based on $10,000+
[CHART]
Lord Abbett
Growth & Income S&P 500
--------------- -----------
12/89 $10,000 $10,000
12/89 10,210
3/90 10,160 9,922
6/90 10,510 10,152
9/90 9,350 8,831
12/90 10,291 9,511
3/91 11,504 10,706
6/91 11,504 10,744
9/91 12,115 11,213
12/91 13,074 11,656
3/92 13,434 11,706
6/92 13,772 12,211
9/92 14,099 12,419
12/92 15,106 12,883
3/93 16,066 14,073
6/93 16,288 14,467
9/93 16,941 15,215
12/93 17,344 15,279
3/94 16,738 14,779
6/94 17,067 14,917
9/94 18,017 15,299
12/94 17,826 15,182
3/95 19,579 16,646
6/95 20,939 18,096
9/95 22,103 19,536
12/95 23,141 20,800
3/96 24,356 22,129
6/96 24,766 22,583
9/96 25,707 23,179
12/96 27,642 25,374
3/97 28,259 25,821
6/97 32,252 29,557
9/97 34,443 32,267
12/97 34,441 32,984
3/98 38,060 36,793
6/98 37,866 36,985
9/98 33,223 32,210
12/98 38,879 37,824
3/99 39,990 38,902
6/99 44,584 43,104
9/99 41,026 39,130
12/99 45,319 42,639
3/00 45,130 42,738
6/00 44,336 40,904
9/00 47,921 44,508
12/00 51,971 45,233
3/01 47,127 42,279
6/01 49,814 44,144
9/01 42,989 36,993
12/01 48,973 39,937
3/02 50,927 40,464
6/02 45,397 36,155
9/02 36,408 28,758
12/02 40,184 31,605
3/03 38,074 29,863
6/03 44,851 35,490
9/03 46,233 36,391
12/03 52,664 41,653
3/04 53,917 43,048
6/04 54,650 43,389
9/04 53,595 43,840
12/04 59,475 48,193
3/05 57,982 47,022
6/05 57,744 48,235
------------------------------------------------------------
Average Annual Return/2/
(for the period ended 6/30/05)
------------------------------------------------------------
Since
1 Year 3 Year 5 Year 10 Year Inception/3/
------------------------------------------------------------
Lord Abbett Growth
and Income
- -- Portfolio--Class A 5.65% 8.33% 5.42% 10.68% 11.93%
Class B 5.40% 8.06% -- -- 5.37%
------------------------------------------------------------
- - - S&P 500 Index/1/ 6.32% 8.28% -2.38% 9.94% 10.61%
------------------------------------------------------------
+The chart reflects the performance of Class A shares of the Portfolio. The
performance of Class A shares will differ from that of the Class B shares
because of the difference in expenses paid by policyholders investing in the
different share class.
/1/The S&P 500 Index is an unmanaged index consisting of 500 stocks chosen for
market size, liquidity, and industry group representation. It is a market-value
weighted index (stock price times number of shares outstanding), with each
stock's weight in the Index proportionate to its market value. The Index does
not include fees or expenses and is not available for direct investment.
/2/"Average Annual Return" is calculated including reinvestment of all income
dividends and capital gain distributions.
/3/Inception of the Class A shares is 12/11/89. Returns shown for the Class A
shares are the historical returns of the Lord Abbett Growth & Income Portfolio
of Cova Series Trust (from January 8, 1999 through December 31, 2000) and of
the Growth and Income Portfolio of Lord Abbett Series Fund, Inc. (from December
11, 1989 through January 7, 1999). Inception of the Class B shares is 3/22/01.
Index returns are based on an inception date of 12/11/89.
A NOTE ABOUT RISK: The Portfolio may invest up to 10% of gross assets at market
value in securities primarily traded in foreign countries. Foreign securities
markets may not be subject to the same degree of regulation as U.S. markets and
may be more volatile and less liquid than major U.S. markets. Foreign
investments are subject to currency exposure. These and other risks are more
fully described in the Prospectus. There can be no assurance that the Portfolio
will meet its investment objective.
Past performance does not guarantee future results. The investment return and
principal value of an investment in the Portfolio will fluctuate, so that
shares, on any given day or when redeemed, may be worth more or less than their
original cost.
- --------------------------------------------------------------------------------
20
- --------------------------------------------------------------------------------
LORD ABBETT GROWTH OPPORTUNITIES PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY LORD, ABBETT & CO. LLC
LETTER TO POLICYHOLDERS
- --------------------------------------------------------------------------------
MARKET REVIEW
Under the weight of waning fiscal stimulus and rising energy prices, real Gross
Domestic Product (GDP) moderated during the first half of 2005 to about a 3.7
percent annualized rate from a 4.4 percent rate in 2004. Contributing to this
still above-trend growth rate of economic activity, consumer spending during
the first half grew slightly faster than its 30-year average, business spending
expanded at near double-digit rates, while residential housing demand surged on
continued declines in mortgage rates. Although corporate fundamentals remained
strong, this modest economic slowing, rising energy prices, and increasing
short-term interest rates raised investor concerns so that in the six-month
period ended June 30, 2005, equities were caught in a sea of confluences and
drifted marginally lower.
Perhaps the most significant development in the first half of 2005 was the
flattening of the yield curve, the distribution of Treasury bond yields across
maturities. Federal Reserve Board (the Fed) Chairman Alan Greenspan now
famously referred to the failure of long-term yields to adjust upward with the
Fed's tightening campaign as a "conundrum." Specifically, although the Fed
raised short-rates 100 basis points, long-term yields declined by about 25
basis points. So although the Fed desired to extract excess liquidity from the
economy, borrowing costs actually fell.
With the decline in long-term yields, mortgage rates also softened, which
lifted housing demand. The surge in residential investments sent median home
prices soaring at the fastest rate in 25 years. Ultimately, fears of a real
estate bubble helped to pare equity gains despite the still-strong economy and
corporate earnings reports. Indeed, were it not for steady earnings growth and
the surging corporate cash flows that accompanied them, equities would surely
have suffered more under the weight of such concerns. As it is, these
still-positive fundamentals allowed the market, later in the second quarter, to
rebound almost enough to recover its earlier losses.
Using the S&P 500 Index/1/ as a proxy, the preliminary figures on corporate
earnings show an expansion of some 15 percent from year-ago levels,
significantly outstripping its lagging equity prices, bringing down its
price-to-earnings ratio to the lowest level since 1997, and developing good
value, especially relative to still low yields in the bond market. In the first
two months of 2005, surging crude prices lifted the earnings of energy
companies and their equities. Interestingly, the utilities sector, which tends
to outperform in periods of economic weakness, was the second best performing
sector within the large-cap dominated S&P 500 Index. And although consumer
spending grew unrelentingly in the face of a series of adverse shocks, consumer
discretionary stocks stumbled, effectively ignoring the consumer's vitality.
The worst performing sector was clearly materials, as the cost of raw goods
eroded the earnings power of their otherwise robust revenue growth.
Correspondingly, risk-averse investors and their value bias fared much better
than those seeking to capture a premium over the undervalued market by
purchasing "growthier" names. In a clear shift to dividends and defensive
sectors, mid-caps dominated the capitalization spectrum, trailed by large-caps,
and then small-caps.
PORTFOLIO REVIEW
By returning (1.17)% the Lord Abbett Growth Opportunities Portfolio--Class B
shares underperformed its benchmark, the Russell Midcap Growth Index/2/ which
returned 1.70% for the six month period ending June 30, 2005.
The greatest detractor from performance relative to the Index for the six-month
period was stock selection within the financial services sector. The flattening
of the yield curve hurt banks within the financial services sector, in
particular, Investors Financial Services Corp. (0.7 percent of Portfolio
weighting), a bank and trust company that provide securities processing
services, and CapitalSource, Inc. (0.7 percent of Portfolio weighting), a
specialized commercial finance company. Stock Selection within the technology
sector also detracted from the Portfolio's overall performance relative to the
benchmark. Enterprise Voice Over Internet Protocol (VoIP) equipment maker
Avaya, Inc. (0.8 percent of Portfolio weighting), experienced setbacks from
lagging product sales and higher non-cash expenses relating to a recent
acquisition.
The largest contributor to performance relative to the index was stock
selection within the utilities sector, particularly telecommunications.
Long-term holdings of Nextel Partners, Inc. (1.5 percent of Portfolio
weighting), a wireless communications services provider, continued to benefit
from the expansion of wireless services to smaller markets. Shares of
Cablevision System Corp.--NY Group--Class A (1.1 percent of Portfolio
weighting), a leading cable company, rose as plans for the company to go
private were released. Also contributing to performance was ITT Industries,
Inc. (1.4 percent of Portfolio weighting), a global industrial company that
provides services and products across multiple markets. Shares of ITT
Industries reached new highs after the company announced strong first quarter
profits, as a result of strong sales and growth within their wastewater and
defense segments.
OUTLOOK
While the economic expansion remains solid, we believe that higher commodity
prices and rising interest rates will slow Gross Domestic Product (GDP) growth
in 2005 and 2006. Additionally, we believe that economic growth is decelerating
more rapidly than is commonly perceived. This deceleration is likely to affect
industrial commodity prices, which are currently at record levels. Therefore,
we are trimming several industrial companies, such as machinery and steel
processing and becoming overweight in later cycle areas. We are also taking
advantage of market pullbacks to boost our commitment to several traditional
growth industries, such as healthcare, technology, education, and business
services. We are reducing exposure to brokerage services, investment
management, and online trading companies.
TEAM MANAGED
Lord Abbett uses a team of investment managers and analysts acting together to
manage the Portfolio's investments. The investment management team is headed by
Kevin P. Ferguson who is primarily responsible for the day-to-day management of
the Portfolio. Mr. Ferguson, Partner and Mid Cap Growth Investment Manager,
joined Lord Abbett in 1999. Before joining Lord Abbett, Mr. Ferguson was a
Portfolio Manager/Senior Vice President at Lynch & Mayer, Inc.
- --------------------------------------------------------------------------------
21
- --------------------------------------------------------------------------------
LORD ABBETT GROWTH OPPORTUNITIES PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY LORD, ABBETT & CO. LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
The views of Lord, Abbett & Co. LLC and the Portfolio's holdings described in
this report are as of June 30, 2005; these views and portfolio holdings may
have changed subsequent to this date. Information provided in this report
should not be considered a recommendation to purchase or sell securities. The
Portfolio is not insured by the FDIC, is not a deposit or other obligation of,
or guaranteed by banks, and are subject to investment risks including loss of
principal amount invested. For a more detailed discussion of the risks
associated with the Portfolio, see the Portfolio's Prospectus.
- --------------------------------------------------------------------------------
TOP TEN HOLDINGS BY MARKET VALUE
As of 6/30/05
Percent of
Description Net Assets
------------------------------------------------
Invitrogen Corp. 2.12%
------------------------------------------------
CACI International, Inc. 2.00%
------------------------------------------------
Halliburton Co. 1.91%
------------------------------------------------
Community Health Systems, Inc. 1.83%
------------------------------------------------
Weatherford International, Ltd. 1.62%
------------------------------------------------
Jacobs Engineering Group, Inc. 1.62%
------------------------------------------------
Fisher Scientific International, Inc. 1.59%
------------------------------------------------
Alliance Data Systems Corp. 1.52%
------------------------------------------------
CIT Group, Inc. 1.51%
------------------------------------------------
Nextel Partners, Inc. 1.48%
------------------------------------------------
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION (% of portfolio market value)
As of 6/30/05
[CHART]
Non-Cyclical 26.4%
Industrials 16.6%
Technology 16.1%
Cyclical 10.5%
Communications 9.4%
Financials 8.6%
Energy 7.8%
Basic Materials 4.6%
- --------------------------------------------------------------------------------
22
- --------------------------------------------------------------------------------
LORD ABBETT GROWTH OPPORTUNITIES PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY LORD, ABBETT & CO. LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
LORD ABBETT GROWTH OPPORTUNITIES PORTFOLIO MANAGED BY
LORD, ABBETT & CO. LLC VS. RUSSELL MIDCAP GROWTH INDEX/2/
Growth Based on $10,000+
[CHART]
LA Growth Opportunities Russell Midcap Growth
----------------------- ---------------------
2/01 $10,000 $10,000
3/01 8,440 7,729
6/01 9,640 8,979
9/01 7,710 6,483
12/01 8,930 8,237
3/02 8,720 8,092
6/02 7,800 6,614
9/02 6,570 5,478
12/02 6,750 5,980
3/03 6,770 5,979
6/03 7,950 7,101
9/03 8,160 7,609
12/03 9,160 8,535
3/04 9,460 8,948
6/04 9,471 9,042
9/04 9,030 8,650
12/04 10,300 9,856
3/05 10,020 9,691
6/05 10,180 10,024
-----------------------------------------------------------------
Average Annual Return/3/
(for the period ended 6/30/05)
-----------------------------------------------------------------
1 Year 3 Year Since Inception/4/
-----------------------------------------------------------------
Lord Abbett Growth Opportunities
Portfolio--Class A 7.84% 9.64% 1.80%
- -- Class B 7.50% 9.28% 0.41%
-----------------------------------------------------------------
- - - Russell Midcap Growth Index/2/ 10.87% 14.86% 0.05%
-----------------------------------------------------------------
+The chart reflects the performance of Class B shares of the Portfolio. The
performance of Class B shares will differ from that of the Class A shares
because of the difference in expenses paid by policyholders investing in the
different share class.
/1/The S&P 500 Index is an unmanaged index consisting of 500 stocks chosen for
market size, liquidity, and industry group representation. It is a market-value
weighted index (stock price times number of shares outstanding), with each
stock's weight in the Index proportionate to its market value. The Index does
not include fees or expenses and is not available for direct investment.
/2/The Russell Midcap Growth Index measures the performance of those Russell
Midcap companies with higher price-to-book ratios and higher forecasted growth
values. The stocks are also members of the Russell 1000 Growth index. The Index
does not include fees or expenses and is not available for direct investment.
/3/"Average Annual Return" is calculated including reinvestment of all income
dividends and capital gain distributions.
/4/Inception of the Class A shares is 5/1/01. Inception of the Class B shares
is 2/12/01. Index returns are based on an inception date of 2/12/01.
A NOTE ABOUT RISK: The Portfolio invests primarily in common stocks of
mid-sized companies with market capitalizations between $1 billion and $10
billion, which tend to be more volatile and can be less liquid than other types
of stocks. Also, mid-cap companies may have more limited product lines, markets
or financial resources, and typically experience a higher risk of failure than
large-cap companies. These factors can affect portfolio performance.
Past performance does not guarantee future results. The investment return and
principal value of an investment in the Portfolio will fluctuate, so that
shares, on any given day or when redeemed, may be worth more or less than their
original cost.
- --------------------------------------------------------------------------------
23
- --------------------------------------------------------------------------------
LORD ABBETT MID-CAP VALUE PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY LORD, ABBETT & CO. LLC
LETTER TO POLICYHOLDERS
- --------------------------------------------------------------------------------
MARKET REVIEW
Under the weight of waning fiscal stimulus and rising energy prices, real Gross
Domestic Product (GDP) moderated during the first half of 2005 to about a 3.7
percent annualized rate from a 4.4 percent rate in 2004. Contributing to this
still above-trend growth rate of economic activity, consumer spending during
the first half grew slightly faster than its 30-year average, business spending
expanded at near double-digit rates, while residential housing demand surged on
continued declines in mortgage rates. Although corporate fundamentals remained
strong, this modest economic slowing, rising energy prices, and increasing
short-term interest rates raised investor concerns so that in the six-month
period ended June 30, 2005, equities were caught in a sea of confluences and
drifted marginally lower.
Perhaps the most significant development in the first half of 2005 was the
flattening of the yield curve, the distribution of Treasury bond yields across
maturities. Federal Reserve Board (the Fed) Chairman Alan Greenspan now
famously referred to the failure of long-term yields to adjust upward with the
Fed's tightening campaign as a "conundrum." Specifically, although the Fed
raised short-rates 100 basis points, long-term yields declined by about 25
basis points. So although the Fed desired to extract excess liquidity from the
economy, borrowing costs actually fell.
With the decline in long-term yields, mortgage rates also softened, which
lifted housing demand. The surge in residential investments sent median home
prices soaring at the fastest rate in 25 years. Ultimately, fears of a real
estate bubble helped to pare equity gains despite the still-strong economy and
corporate earnings reports. Indeed, were it not for steady earnings growth and
the surging corporate cash flows that accompanied them, equities would surely
have suffered more under the weight of such concerns. As it is, these
still-positive fundamentals allowed the market, later in the second quarter, to
rebound almost enough to recover its earlier losses.
Using the S&P 500 Index/1/ as a proxy, the preliminary figures on corporate
earnings show an expansion of some 15 percent from year-ago levels,
significantly outstripping its lagging equity prices, bringing down its
price-to-earnings ratio to the lowest level since 1997, and developing good
value, especially relative to still low yields in the bond market. In the first
two months of 2005, surging crude prices lifted the earnings of energy
companies and their equities. Interestingly, the utilities sector, which tends
to outperform in periods of economic weakness, was the second best performing
sector within the large-cap dominated S&P 500 Index. And although consumer
spending grew unrelentingly in the face of a series of adverse shocks, consumer
discretionary stocks stumbled, effectively ignoring the consumer's vitality.
The worst performing sector was clearly materials, as the cost of raw goods
eroded the earnings power of their otherwise robust revenue growth.
Correspondingly, risk-averse investors and their value bias fared much better
than those seeking to capture a premium over the undervalued market by
purchasing "growthier" names. In a clear shift to dividends and defensive
sectors, mid-caps dominated the capitalization spectrum, trailed by large-caps,
and then small-caps.
PORTFOLIO REVIEW
By returning 2.36% the Lord Abbett Mid-Cap Value Portfolio--Class A shares
underperformed its benchmark, the Russell Midcap Index/2/ which returned 3.90%
for the six month period ended June 30, 2005.
Stock selection and an overweight sector weighting within the materials and
processing sector combined to be the primary detractor to relative performance
for the six-month period ended June 30, 2005. In particular, overweight
positions within the paper, forest products and container industries hurt
performance due to increased fears that a slower economy might lead to
weakening demand for these products. The stock of Ball Corp (1.6 percent of
portfolio weighting) declined as analysts reduced forecasted earnings growth
due to lower than expected demand for beverage cans.
Within the producer durables sector, stock selection also detracted from
portfolio performance relative to the benchmark. Grainger (W.W.), Inc. (1.5
percent of portfolio weighting) declined due to weaker than expected sales
trends and operating margin pressure.
An overweight position within the strong performing other energy
sector--specifically, the overweight position within the oil well equipment
industry--was the primary contributor to portfolio performance relative to the
benchmark. During this six-month period ended June 30, 2005, analysts raised
earnings estimates for three portfolio holdings (Halliburton, 2.1 percent of
portfolio weighting; GlobalSantaFe Corp, 2.2 percent of portfolio weighting;
and Pride International, Inc., 1.6 percent of portfolio weighting) as pricing
for oilfield services continued to be strong.
Also, within the health care sector, Aetna, Inc. (2.1 percent of portfolio
weighting) continued to perform well as a result of continued earnings growth.
OUTLOOK
We believe that we are in the middle of an economic expansion cycle, which is
progressing unevenly across industries. There are pockets of supply/demand
imbalances that are allowing some of our portfolio companies to raise prices,
leading to rising profitability. These pockets include such diverse areas as
oilfield services, crop nutrients, and plywood. There are also some portfolio
companies whose profitability is rising due to strong and/or improving demand
for their offerings such as security software, large-scale truck engines, and
eye care solutions. Finally, there are individual company situations where
extreme pessimism has created valuations that do not reflect improving
fundamentals. We continue to find and invest the Portfolio's assets in all of
these types of situations.
TEAM MANAGED
NOTE TO INVESTORS: LORD ABBETT USES A TEAM OF INVESTMENT MANAGERS AND ANALYSTS
ACTING TOGETHER TO MANAGE THE PORTFOLIO'S INVESTMENTS. EDWARD K. VON DER LINDE,
PARTNER AND INVESTMENT MANAGER, HEADS THE TEAM. THE OTHER SENIOR MEMBERS ARE
EILEEN BANKO, HOWARD E. HANSEN, AND DAVID G. BUILDER. MR. VON DER LINDE AND MR.
HANSEN ARE JOINTLY AND PRIMARILY RESPONSIBLE FOR THE DAY-TO-DAY MANAGEMENT OF
THE PORTFOLIO.
- --------------------------------------------------------------------------------
24
- --------------------------------------------------------------------------------
LORD ABBETT MID-CAP VALUE PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY LORD, ABBETT & CO. LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
The views of Lord, Abbett & Co. LLC and the Portfolio's holdings described in
this report are as of June 30, 2005; these views and portfolio holdings may
have changed subsequent to this date. Information provided in this report
should not be considered a recommendation to purchase or sell securities. The
Portfolio is not insured by the FDIC, is not a deposit or other obligation of,
or guaranteed by banks, and are subject to investment risks including loss of
principal amount invested. For a more detailed discussion of the risks
associated with the Portfolio, see the Portfolio's Prospectus.
- --------------------------------------------------------------------------------
TOP TEN HOLDINGS BY MARKET VALUE
As of 6/30/05
Percent of
Description Net Assets
------------------------------------
Eastman Chemical Co. 2.52%
------------------------------------
EOG Resources, Inc. 2.29%
------------------------------------
GlobalSantaFe Corp. 2.15%
------------------------------------
Halliburton Co. 2.14%
------------------------------------
Genuine Parts Co. 2.07%
------------------------------------
R.R. Donnelley & Sons Co. 2.07%
------------------------------------
Aetna, Inc. 2.05%
------------------------------------
Ameren Corp. 2.03%
------------------------------------
Georgia-Pacific Corp. 1.99%
------------------------------------
Bausch & Lomb, Inc. 1.99%
------------------------------------
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION (% of portfolio market value)
As of 6/30/05
[CHART]
Industrials 16.3%
Cyclical 15.4%
Basic Materials 14.3%
Financials 13.6%
Non-Cyclical 11.7%
Energy 9.2%
Communications 7.2%
Technology 6.6%
Utilities 5.7%
- --------------------------------------------------------------------------------
25
- --------------------------------------------------------------------------------
LORD ABBETT MID-CAP VALUE PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY LORD, ABBETT & CO. LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
LORD ABBETT MID-CAP VALUE PORTFOLIO MANAGED BY
LORD, ABBETT & CO. LLC VS. INDICES 1 AND 2 (SEE FOOTNOTES)
Growth Based on $10,000+
[CHART]
Lord Abbett S&P 400 Mid Cap /
Mid Cap Value Russell Midcap Barra Value Index
------------- -------------- -----------------
8/97 $10,000 $10,000 $10,000
8/97 10,066
9/97 10,440 10,561 10,630
12/97 10,490 10,678 11,204
3/98 11,361 11,833 12,306
6/98 11,308 11,654 11,797
9/98 9,383 9,927 10,169
12/98 10,606 11,757 11,727
3/99 10,125 11,702 10,783
6/99 11,829 12,973 12,392
9/99 10,940 11,858 11,185
12/99 11,211 13,902 12,000
3/00 12,366 15,304 12,752
6/00 13,198 14,614 12,413
9/00 14,890 15,609 14,033
12/00 17,139 15,049 15,341
3/01 16,703 13,470 14,811
6/01 17,659 14,754 16,497
9/01 16,267 12,119 14,351
12/01 18,527 14,203 16,436
3/02 19,674 14,807 18,068
6/02 18,472 13,393 17,007
9/02 15,754 11,031 13,864
12/02 16,802 11,904 14,775
3/03 15,426 11,623 13,918
6/03 17,910 13,746 16,588
9/03 18,796 14,631 17,782
12/03 21,196 16,675 20,716
3/04 22,625 17,532 21,862
6/04 23,245 17,786 22,122
9/04 23,317 17,637 21,949
12/04 26,458 20,046 24,638
3/05 26,458 19,996 24,463
6/05 27,082 20,831 25,652
-----------------------------------------------------------------
Average Annual Return/4/
(for the period ended 6/30/05)
-----------------------------------------------------------------
1 Year 3 Year 5 Year Since Inception/5/
-----------------------------------------------------------------
Lord Abbett Mid-Cap Value
- -- Portfolio--Class A 16.51% 13.61% 15.46% 13.51%
Class B 16.25% 13.31% -- 11.92%
-----------------------------------------------------------------
S&P MidCap 400/Barra
- - - Value Index/2/ 15.96% 14.68% 15.62% 12.67%
-----------------------------------------------------------------
- -- Russell Midcap Index/3/ 17.12% 15.86% 7.35% 9.78%
-----------------------------------------------------------------
+The chart reflects the performance of Class A shares of the Portfolio. The
performance of Class A shares will differ from that of the Class B shares
because of the difference in expenses paid by policyholders investing in the
different share class.
/1/The S&P 500 Index is an unmanaged index consisting of 500 stocks chosen for
market size, liquidity, and industry group representation. It is a market-value
weighted index (stock price times number of shares outstanding), with each
stock's weight in the Index proportionate to its market value. The Index does
not include fees or expenses and is not available for direct investment.
/2/The S&P MidCap 400/Barra Value Index consists of 400 domestic stocks chosen
for market size, liquidity, and industry group representation. The blended
Index is constructed by selecting the stocks in each index with high
book-to-price ratios. Indices cited are unmanaged, do not reflect the deduction
of fees or expenses and are not available for direct investment.
/3/The Russell Midcap Index is an unmanaged index and measures the performance
of the 800 smallest companies in the Russell 1000 Index, which represent
approximately 25% of the total market capitalization of the Russell 1000 Index.
As of the latest reconstitution, the average market capitalization was
approximately $4.7 billion; the median market capitalization was approximately
$3.6 billion. The largest company in the Index had a market capitalization of
$13.7 billion. The Index does not include fees or expenses and is not available
for direct investment.
/4/"Average Annual Return" is calculated including reinvestment of all income
dividends and capital gain distributions.
/5/Inception of the Class A shares is 8/20/97. Inception of the Class B shares
is 4/3/01. The Russell Mid Cap Index returns are based on an inception date of
8/20/97. The S&P 400 Mid-Cap/BARRA Value Index returns are based on an
inception date of 8/1/97.
A NOTE ABOUT RISK: The Portfolio may invest up to 10% of net assets at market
value in securities primarily traded in foreign countries. Foreign securities
markets may not be subject to the same degree of regulation as U.S. markets and
may be more volatile and less liquid than major U.S. markets. Foreign
investments are subject to currency exposure. These and other risks are more
fully described in the prospectus. There can be no assurance that the Portfolio
will meet its investment objective.
Past performance does not guarantee future results. The investment return and
principal value of an investment in the Portfolio will fluctuate, so that
shares, on any given day or when redeemed, may be worth more or less than their
original cost.
- --------------------------------------------------------------------------------
26
- --------------------------------------------------------------------------------
METLIFE AGGRESSIVE STRATEGY PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY MET INVESTORS ADVISORY LLC
LETTER TO POLICYHOLDERS
- --------------------------------------------------------------------------------
The MetLife Aggressive Strategy Portfolio outperformed its blended benchmark,
year-to-date through 6/30/05, as its Class B shares 0.56% gain bested the
- -0.05% return of its benchmark by 61 basis points (the Aggressive Blended
Benchmark/1/ is comprised of the following mix: 76% Wilshire 5000 Equity
Index/2/, 19% MSCI EAFE Index/3/, and 5% Citigroup 3-Month Treasury Bill
Index/4/).
Effective as of May 2, 2005 revised target asset allocation percentages were
established for the Portfolio. Met Investors Advisory LLC ("the Advisor") added
an allocation for the Van Kampen Comstock Portfolio, which pursues a deep and
concentrated value investment strategy, to the Portfolio in order to help
broaden securities diversification in the large cap value space. In light of
the new 13% allocation to the Van Kampen Comstock Portfolio, the target
allocations to the Lord Abbett Growth and Income Portfolio, and the Davis
Venture Value Portfolio were reduced.
In terms of relative performance for the period, the equity components proved
to be the main reason for the out performance, even though the biggest equity
component in the portfolio experienced difficulty through June 30, 2005. The
Lord Abbett Growth and Income Portfolio's year-to-date return of -2.92% lagged
the Russell 1000 Value Index by 468 basis points. Given Lord Abbett's long and
successful history managing the Growth and Income Portfolio, the Advisor
remains confident in this team's ability to produce consistent long-term
performance. Additionally, the Van Kampen Comstock Portfolio got off to a poor
start, lagging its benchmark index for the two month period. The primary
detractors to performance for this Portfolio can be attributed to stock
selection in the materials sector. Specifically, International Paper Company
and Alcoa saw their stock prices decline significantly during this short two
month period. On the positive side, portfolios practicing a value investment
philosophy continued to perform well. The Goldman Sachs Mid-Cap Value
Portfolio, the Jennison Growth Portfolio, the Davis Venture Value Portfolio and
the Third Avenue Small Cap Value Portfolio all had strong relative performance
for the first six months of the year as their applicable value benchmarks were
also up for the period. On the international side, the Harris Oakmark
International Portfolio, performed well through June 30, 2005 outperforming its
index, the MSCI EAFE Index, by 280 basis points. Additionally the RCM Global
Technology Portfolio performed well, outperforming the NASDAQ Composite
Index/5/ year-to-date by 57 basis points.
TOP TEN HOLDINGS BY MARKET VALUE
As of 6/30/05
Percent of
Description Net Assets
--------------------------------------------------
Van Kampen Comstock Portfolio 12.56%
--------------------------------------------------
Janus Aggressive Growth Portfolio 12.23%
--------------------------------------------------
Davis Venture Value Portfolio* 11.88%
--------------------------------------------------
Lord Abbett Growth and Income Portfolio 11.65%
--------------------------------------------------
Harris Oakmark International Portfolio 9.75%
--------------------------------------------------
Third Avenue Small Cap Value Portfolio 8.39%
--------------------------------------------------
Jennison Growth Portfolio* 7.17%
--------------------------------------------------
MFS Research International Portfolio 6.81%
--------------------------------------------------
Harris Oakmark Focused Value Portfolio* 5.12%
--------------------------------------------------
Met/AIM Small Cap Growth Portfolio 4.14%
--------------------------------------------------
* Part of Metropolitan Series Fund, Inc.
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION (% of portfolio market value)
As of 6/30/05
[CHART]
Registered Investment Company 100%
- --------------------------------------------------------------------------------
27
- --------------------------------------------------------------------------------
METLIFE AGGRESSIVE STRATEGY PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY MET INVESTORS ADVISORY LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
METLIFE AGGRESSIVE STRATEGY PORTFOLIO VS. AGGRESSIVE BLENDED BENCHMARK/1/
Growth Based on $10,000+
[CHART]
Aggressive Strategy Aggressive Benchmark
------------------- --------------------
11/04 $10,000 $10,000
12/04 10,715 10,713
3/05 10,555 10,519
6/05 10,776 10,694
--------------------------------------------------------------
Cumulative Return/6/
(for the period ended 6/30/05)
--------------------------------------------------------------
Since Inception/7/
--------------------------------------------------------------
MetLife Aggressive Strategy
Portfolio--Class A 4.67%
- -- Class B 7.75%
--------------------------------------------------------------
- - - Aggressive Blended Benchmark/1/ 8.47%
--------------------------------------------------------------
+The chart reflects the performance of Class B shares of the Portfolio. The
performance of Class B shares will differ from that of the other Classes
because of the difference in expenses paid by policyholders investing in the
different share classes.
/1/Aggressive Blended Benchmark--Comprised of 76% Wilshire 5000 Equity Index,
19% Morgan Stanley Capital International Europe Australasia and Far East Index
and 5% Citigroup 3-Month Treasury Bill Index.
/2/The Wilshire 5000 Equity Index measures the performance of all U.S.
headquartered equity securities with readily available price data. The market
capitalized weighted index is compromised of approximately 82% New York Stock
Exchange, 2% American Stock Exchange and 16% OTC (1995). The Index was created
in 1974 and backdated to 1971, with a base index of December 1980 (base index
equals 1,044.596). Dividends are reinvested on the "ex" dividend date and the
rebalancing of share weights is done on a monthly basis. No attempt has been
made to adjust the market capitalization of the index to take into account
cross holding between corporations. The Index does not include fees or expenses
and is not available for direct investment.
/3/ The Morgan Stanley Capital International Europe, Australasia and Far East
Index ("MSCI EAFE Index") is an unmanaged free float-adjusted market
capitalization index that is designed to measure developed market equity
performance, excluding the US & Canada. The Index does not include fees or
expenses and is not available for direct investment.
/4/The Citigroup 3-Month Treasury Bill Index--equal dollar amounts of
three-month Treasury bills are purchased at the beginning of each of three
consecutive months. As each bill matures, all proceeds are rolled over or
reinvested in a new three-month bill. The income used to calculate the monthly
return is derived by subtracting the original amount invested from the maturity
value. The Index does not include fees or expenses and is not available for
direct investment.
/5/The NASDAQ Composite Index is a market-value weighted index of all common
stocks listed on NASDAQ. The Index does not include fees or expenses and is not
available for direct investment.
/6/"Cumulative Return" is calculated including reinvestment of all income
dividends and capital gain distributions.
/7/Inception of the Class B shares is 11/3/04. Inception of the Class A shares
is 5/1/05. Index returns are based on an inception date of 10/31/04.
Past performance does not guarantee future results. The investment return and
principal value of an investment in the Portfolio will fluctuate, so that
shares, on any given day or when redeemed, may be worth more or less than their
original cost.
- --------------------------------------------------------------------------------
28
- --------------------------------------------------------------------------------
METLIFE BALANCED STRATEGY PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY MET INVESTORS ADVISORY LLC
LETTER TO POLICYHOLDERS
- --------------------------------------------------------------------------------
The MetLife Balanced Strategy Portfolio modestly lagged its blended benchmark,
year-to-date through 6/30/05, as its Class B shares 0.68% gain trailed the
0.74% return of its benchmark by 6 basis points (the Balanced Blended
Benchmark/1/ is comprised of the following mix: 52% Wilshire 5000 Equity
Index/2/, 30% Lehman Brothers Universal Index/3/, 13% MSCI EAFE Index/4/, and
5% Citigroup 3-Month Treasury Bill Index/5/).
Effective as of May 2, 2005 revised target asset allocation percentages were
established for the Portfolio. Met Investors Advisory LLC (the Advisor) added
an allocation for the Van Kampen Comstock Portfolio, which pursues a deep and
concentrated value investment strategy, to the Portfolio in order to help
broaden securities diversification in the large cap value space. In light of
the new 9% allocation to the Van Kampen Comstock Portfolio, the target
allocations to the Lord Abbett Growth and Income Portfolio, and the Davis
Venture Value Portfolio were reduced. In addition, the Advisor added an
allocation to the Salomon Brothers U.S. Government Portfolio, which pursues a
short to intermediate duration strategy, as another fixed income option.
In terms of relative performance, the fixed income component of the Balanced
Strategy Portfolio proved to be the main reason for the lag in performance
relative to the index year-to-date through June 30, 2005. The addition of the
Salomon Brothers U.S. Government Portfolio on May 2, 2005 lowered overall
portfolio duration, which was a negative as most rates fell during the second
quarter. Additionally, the PIMCO Inflation Protected Bond Portfolio lagged its
benchmark, the Lehman Brothers U.S. TIPS Index/6/, year-to-date by 74 basis
points due to a shorter duration bias and exposure to short treasury futures
contracts. On the high yield side, the Lord Abbett Bond Debenture Portfolio
continued to perform poorly versus the high yield asset class. The Lord Abbett
Bond Debenture Portfolio is a "hybrid" bond fund with a current allocation of
approximately 60% high yield securities, 20% convertible securities, and 20%
high grade corporate securities. Therefore, it is expected to lag strong
absolute performance in a high yield rally. However, the Advisor continues to
favor this option due to its multi-asset class structure, conservative risk
profile, and strong management team.
The overall performance of the equity components was relatively strong even
though the two biggest equity components in the Portfolio experienced
difficulty year-to-date. The Oppenheimer Capital Appreciation Portfolio
returned -2.27% for the period, lagging the Russell 1000 Growth Index/7/ by 55
basis points. The Lord Abbett Growth and Income Portfolio's year-to-date return
of -2.92% lagged the Russell 1000 Value Index/8/ by 468 basis points. Given
Lord Abbett's long and successful history managing the Growth and Income
Portfolio, the Advisor remains confident in this team's ability to produce
consistent long-term performance. Additionally, the Van Kampen Comstock
Portfolio got off to a poor start, lagging its benchmark index for the two
month period. The primary detractors to performance for this Portfolio can be
attributed to stock selection in the materials sector. Specifically,
International Paper Company and Alcoa saw their stock prices decline
significantly during this short two month period. On the international side,
the Harris Oakmark International Portfolio, performed well through June 30,
2005 outperforming its index, the MSCI EAFE Index, by 280 basis points.
On the positive side, portfolios practicing a value investment philosophy
continued to perform well. It's no surprise that the Goldman Sachs Mid-Cap
Value Portfolio, the Davis Venture Value Portfolio and the Third Avenue Small
Cap Value Portfolio all had strong relative performance for the first half of
the year as their applicable value benchmarks were also up for the period.
Lastly, while a small portion of the overall Portfolio, the Neuberger Berman
Real Estate Portfolio rebounded strongly during the first and second quarters
of 2005 achieving a 16.96% return beating the 16.09% return of the NAREIT
Equity REIT Index/9/ return adding to the Balanced Portfolio's overall
performance.
- --------------------------------------------------------------------------------
TOP TEN HOLDINGS BY MARKET VALUE
As of 6/30/05
Percent of
Description Net Assets
------------------------------------------------------
Lord Abbett Bond Debenture Portfolio 9.00%
------------------------------------------------------
Oppenheimer Capital Appreciation Portfolio 8.92%
------------------------------------------------------
Van Kampen Comstock Portfolio 8.79%
------------------------------------------------------
Davis Venture Value Portfolio* 8.00%
------------------------------------------------------
PIMCO Total Return Portfolio 7.89%
------------------------------------------------------
Lord Abbett Growth and Income Portfolio 7.85%
------------------------------------------------------
PIMCO Inflation Protected Bond Portfolio 6.81%
------------------------------------------------------
Harris Oakmark Focused Value Portfolio* 5.91%
------------------------------------------------------
MFS Research International Portfolio 4.92%
------------------------------------------------------
Salomon Brothers U.S. Government Portfolio* 4.90%
------------------------------------------------------
* Part of Metropolitan Series Fund, Inc.
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION (% of portfolio market value)
As of 6/30/05
[CHART]
Registered Investment Company 100%
- --------------------------------------------------------------------------------
29
- --------------------------------------------------------------------------------
METLIFE BALANCED STRATEGY PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY MET INVESTORS ADVISORY LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
METLIFE BALANCED STRATEGY PORTFOLIO VS. BALANCED BLENDED BENCHMARK/1/
Growth Based on $10,000+
[CHART]
Balanced Strategy Balanced Benchmark
----------------- ------------------
11/04 $10,000 $10,000
12/04 10,419 10,501
3/05 10,298 10,354
6/05 10,490 10,568
------------------------------------------------------------
Cumulative Return/10/
(for the period ended 6/30/05)
------------------------------------------------------------
Since Inception/11/
------------------------------------------------------------
MetLife Balanced Strategy
Portfolio--Class A 3.49%
- -- Class B 4.89%
------------------------------------------------------------
- - - Balanced Blended Benchmark/1/ 6.75%
------------------------------------------------------------
+The chart reflects the performance of Class B shares of the Portfolio. The
performance of Class B shares will differ from that of the other Classes
because of the difference in expenses paid by policyholders investing in the
different share classes.
/1/Balanced Blended Benchmark--Comprised of 52% Wilshire 5000 Equity Index, 30%
Lehman Brothers Universal Index, 13% Morgan Stanley Capital International
Europe Australasia and Far East Index and 5% Citigroup 3-Month Treasury Bill
Index.
/2/The Wilshire 5000 Equity Index measures the performance of all U.S.
headquartered equity securities with readily available price data. The market
capitalized weighted index is compromised of approximately 82% New York Stock
Exchange, 2% American Stock Exchange and 16% OTC (1995). The Index was created
in 1974 and backdated to 1971, with a base index of December 1980 (base index
equals 1,044.596). Dividends are reinvested on the "ex" dividend date and the
rebalancing of share weights is done on a monthly basis. No attempt has been
made to adjust the market capitalization of the index to take into account
cross holding between corporations. The index does not include fees or expenses
and is not available for direct investment.
/3/The Lehman Brothers Universal Index represents the union of the U.S.
Aggregate Index, the U.S. High-Yield Corporate Index, the 144A Index, the
Eurodollar Index, the Emerging Markets Index, the non-EIRSA portion of the
Commercial Mortgage Backed Securities Index and the Commercial Mortgage Backed
Securities High Yield Index. Municipal debt, private placements, and non-dollar
denominated issues are excluded from the Universal Index. The only constituent
of the Index that includes floating-rate debt is the Emerging Markets Index.
Bonds and securities must be fixed rate, although it can carry a coupon that
steps up or changes according to a predetermined schedule; must be
dollar-denominated and including bonds with maturities up to ten years and
long-term indices composed of bonds with maturities longer than ten years. All
returns are market value weighted inclusive of accrued interest. Yield is
defined as the yield to worst, the lesser of the yield to maturity and yield to
call. Market values are expressed in millions of dollars.
/4/The Morgan Stanley Capital International Europe, Australasia and Far East
Index ("MSCI EAFE Index") is an unmanaged free float-adjusted market
capitalization index that is designed to measure developed market equity
performance, excluding the US & Canada. The Index does not include fees or
expenses and is not available for direct investment. The Citigroup 3-Month
Treasury Bill Index--equal dollar amounts of three-month Treasury bills are
purchased at the beginning of each of three consecutive months. As each bill
matures, all proceeds are rolled over or reinvested in a new three-month bill.
The income used to calculate the monthly return is derived by subtracting the
original amount invested from the maturity value. The Index does not include
fees or expenses and is not available for direct investment.
/5/The Citigroup 3-Month Treasury Bill Index--equal dollar amounts of
three-month Treasury bills are purchased at the beginning of each of three
- --------------------------------------------------------------------------------
30
- --------------------------------------------------------------------------------
METLIFE BALANCED STRATEGY PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY MET INVESTORS ADVISORY LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
consecutive months. As each bill matures, all proceeds are rolled over or
reinvested in a new three-month bill. The income used to calculate the monthly
return is derived by subtracting the original amount invested from the maturity
value. The Index does not include fees or expenses and is not available for
direct investment.
/6/The Lehman Brothers Global Real: U.S. TIPS Index represents an unmanaged
market index made up of U.S. Treasury Inflation Linked Index securities. The
Index does not include fees or expenses and is not available for direct
investment.
/7/The Russell 1000 Growth Index offers investors access to the large-cap
growth segment of the U.S. equity universe. The Russell 1000 Growth is
constructed to provide a comprehensive and unbiased barometer of the large-cap
growth market. Based on ongoing empirical research of investment manager
behavior, the methodology used to determine growth probability approximates the
aggregate large-cap growth manager's opportunity set. The Index does not
include fees or expenses and is not available for direct investment.
/8/Russell 1000 Value Index: offers investors access to the large-cap value
segment of the U.S. equity universe. The Russell 1000 Value is constructed to
provide a comprehensive and unbiased barometer of the large-cap value market.
Based on ongoing empirical research of investment manager behavior, the
methodology used to determine growth probability approximates the aggregate
large-cap value manager's opportunity set. The Index does not include fees or
expenses and is not available for direct investment.
/9/The NAREIT Equity REIT Index is an unmanaged index that reflects performance
of all publicly traded equity REITs. The Index does not include fees or
expenses and is not available for direct investment.
/10/"Cumulative Return" is calculated including reinvestment of all income
dividends and capital gain distributions.
/11/Inception of the Class B shares is 11/3/04. Inception of the Class A shares
is 5/1/05. Index returns are based on an inception date of 10/31/04.
Past performance does not guarantee future results. The investment return and
principal value of an investment in the Portfolio will fluctuate, so that
shares, on any given day or when redeemed, may be worth more or less than their
original cost.
- --------------------------------------------------------------------------------
31
- --------------------------------------------------------------------------------
METLIFE DEFENSIVE STRATEGY PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY MET INVESTORS ADVISORY LLC
LETTER TO POLICYHOLDERS
- --------------------------------------------------------------------------------
The MetLife Defensive Strategy Portfolio lagged its blended benchmark,
year-to-date through June 30, 2005, as its Class B shares 0.90% gain trailed
the 1.47% return of its benchmark by 57 basis points (the Defensive Blended
Benchmark/1/ is comprised of the following mix: 28% Wilshire 5000 Equity
Index/2/, 55% Lehman Brothers Universal Index/3/, 7% MSCI EAFE Index/4/ and 10%
Citigroup 3-Month Treasury Bill Index/5/).
Effective as of May 2, 2005 revised target asset allocation percentages were
established for the Portfolio. The Met Investors Advisory LLC (the Advisor)
Committee added an allocation for the Salomon Brothers U.S. Government
Portfolio, a short to intermediate duration fund, to the Portfolio. In light of
the new 15% allocation to the Salomon Brothers U.S. Government Portfolio, the
target allocations to the PIMCO Total Return, PIMCO Inflation Protected Bond
and Lord Abbett Bond Debenture Portfolios were reduced. In addition, to help
broaden the Portfolio's securities diversification in the large cap value
space, the Advisor added an allocation to the Van Kampen Comstock Portfolio,
which pursues a deep and concentrated value investment strategy.
In terms of relative performance for the period, the fixed income component of
the Defensive Strategy Portfolio proved to be the main reason for the lag in
performance relative to the index year-to-date through June 30, 2005. The
addition of the Salomon Brothers U.S. Government Portfolio as an allocation on
May 2, 2005 lowered overall portfolio duration, which was a negative as most
rates fell during the second quarter. Additionally, the PIMCO Inflation
Protected Bond Portfolio lagged its benchmark, the Lehman Brothers U.S. TIPS
Index, year-to-date by 74 basis points due to a shorter duration bias and
exposure to short treasury futures contracts. On the high yield side, the Lord
Abbett Bond Debenture Portfolio continued to perform poorly versus the high
yield asset class. The Lord Abbett Bond Debenture Portfolio is a "hybrid" bond
fund with a current allocation of approximately 60% high yield securities, 20%
convertible securities, and 20% high grade corporate securities. Therefore, it
is expected to lag strong absolute performance in a high yield rally. However,
the Advisor continues to favor this option due to its multi-asset class
structure, relatively conservative risk profile, for a Portfolio investing in
high yield debt securities and strong management team.
The biggest equity components in the Portfolio also experienced difficulty
year-to-date. The Oppenheimer Capital Appreciation Portfolio returned -2.27%,
lagging the Russell 1000 Growth Index/6/ by 55 basis points. The Lord Abbett
Growth and Income Portfolio's year-to-date return of -2.92% lagged the Russell
1000 Value Index/7/ by 468 basis points primarily due to Lord Abbett's decision
to strategically underweight the energy sector and overweight the industrials
sector. Given Lord Abbett's long and successful history managing the Growth and
Income Portfolio, the Advisor remains confident in this team's ability to
produce consistent long-term performance. Additionally, the Van Kampen Comstock
Portfolio got off to a poor start since it was added on May 2, 2005, lagging
its benchmark index for the two month period. The primary detractors to
performance for this Portfolio can be attributed to stock selection in the
materials sector. Specifically, International Paper Company and Alcoa saw their
stock prices decline significantly during this short two-month period.
On the positive side, portfolios practicing a value investment philosophy
continued to perform well. It's no surprise that the Goldman Sachs Mid-Cap
Value Portfolio, the Davis Venture Value Portfolio and the Third Avenue Small
Cap Value Portfolio all had strong relative performance for the first half of
the year as their applicable value benchmarks were also up for the period.
Lastly, while a small portion of the overall Portfolio, the Neuberger Berman
Real Estate Portfolio rebounded strongly during the first and second quarters
of 2005 achieving a 16.96% return beating the 16.09% return of the NAREIT
Equity REIT Index/8/ return adding to the Defensive Portfolio's overall
performance.
- --------------------------------------------------------------------------------
TOP TEN HOLDINGS BY MARKET VALUE
As of 6/30/05
Percent of
Description Net Assets
------------------------------------------------------
PIMCO Total Return Portfolio 20.04%
------------------------------------------------------
PIMCO Inflation Protected Bond Portfolio 15.58%
------------------------------------------------------
Salomon Brothers U.S. Government Portfolio* 14.98%
------------------------------------------------------
Lord Abbett Bond Debenture Portfolio 10.34%
------------------------------------------------------
Oppenheimer Capital Appreciation Portfolio 7.30%
------------------------------------------------------
Lord Abbett Growth and Income Portfolio 6.13%
------------------------------------------------------
Goldman Sachs Mid-Cap Core Value Portfolio 4.36%
------------------------------------------------------
MFS Research International Portfolio 4.11%
------------------------------------------------------
Van Kampen Comstock Portfolio 4.07%
------------------------------------------------------
Davis Venture Value Portfolio* 3.12%
------------------------------------------------------
* Part of Metropolitan Series Fund, Inc.
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION (% of portfolio market value)
As of 6/30/05
[CHART]
Registered Investment Company 100%
- --------------------------------------------------------------------------------
32
- --------------------------------------------------------------------------------
METLIFE DEFENSIVE STRATEGY PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY MET INVESTORS ADVISORY LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
METLIFE DEFENSIVE STRATEGY PORTFOLIO VS. DEFENSIVE BLENDED BENCHMARK/1/
Growth Based on $10,000+
[CHART]
Defensive Strategy Defensive Benchmark
------------------ -------------------
11/04 $10,000 $10,000
12/04 10,134 10,289
3/05 10,032 10,193
6/05 10,225 10,435
-------------------------------------------------------------
Cumulative Return/9/
(for the period ended 6/30/05)
-------------------------------------------------------------
Since Inception/10/
-------------------------------------------------------------
MetLife Defensive Strategy
Portfolio--Class A 2.34%
- -- Class B 2.26%
-------------------------------------------------------------
- - - Defensive Blended Benchmark/1/ 4.91%
-------------------------------------------------------------
+The chart reflects the performance of Class B shares of the Portfolio. The
performance of Class B shares will differ from that of the other Classes
because of the difference in expenses paid by policyholders investing in the
different share classes.
/1/Defensive Blended Benchmark--Comprised of 28% Wilshire 5000 Equity Index,
55% Lehman Brothers Universal Index, 7% Morgan Stanley Capital International
Europe Australasia and Far East Index and 10% Citigroup 3-Month Treasury Bill
Index.
/2/The Wilshire 5000 Equity Index measures the performance of all U.S.
headquartered equity securities with readily available price data. The market
capitalized weighted index is compromised of approximately 82% New York Stock
Exchange, 2% American Stock Exchange and 16% OTC (1995). The Index was created
in 1974 and backdated to 1971; with a base index of December 1980 (base index
equals 1,044.596). Dividends are reinvested on the "ex" dividend date and the
rebalancing of share weights is done on a monthly basis. No attempt has been
made to adjust the market capitalization of the index to take into account
cross holding between corporations. The Index does not include fees or expenses
and is not available for direct investment.
/3/The Lehman Brothers Universal Index represents the union of the U.S.
Aggregate Index, the U.S. High-Yield Corporate Index, the 144A Index, the
Eurodollar Index, the Emerging Markets Index, the non-EIRSA portion of the
Commercial Mortgage Backed Securities Index and the Commercial Mortgage Backed
Securities High Yield Index. Municipal debt, private placements, and non-dollar
denominated issues are excluded from the Universal Index. The only constituent
of the Index that includes floating-rate debt is the Emerging Markets Index.
Bonds and securities must be fixed rate, although it can carry a coupon that
steps up or changes according to a predetermined schedule; must be
dollar-denominated and including bonds with maturities up to ten years and
long-term indices composed of bonds with maturities longer than ten years. All
returns are market value weighted inclusive of accrued interest. Yield is
defined as the yield to worst, the lesser of the yield to maturity and yield to
call. Market values are expressed in millions of dollars. The Index does not
include fees or expenses and is not available for direct investment.
/4/The Morgan Stanley Capital International Europe, Australasia and Far East
Index ("MSCI EAFE Index") is an unmanaged free float-adjusted market
capitalization index that is designed to measure developed market equity
performance, excluding the US & Canada. The Index does not include fees or
expenses and is not available for direct investment.
/5/The Citigroup 3-Month Treasury Bill Index--equal dollar amounts of
three-month Treasury bills are purchased at the beginning of each of three
consecutive months. As each bill matures, all proceeds are rolled over or
reinvested in a new three-month bill. The income used to calculate the monthly
return is derived by subtracting the original amount invested from the maturity
value. The Index does not include fees or expenses and is not available for
direct investment.
- --------------------------------------------------------------------------------
33
- --------------------------------------------------------------------------------
METLIFE DEFENSIVE STRATEGY PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY MET INVESTORS ADVISORY LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
/6/The Russell 1000 Growth Index offers investors access to the large-cap
growth segment of the U.S. equity universe The Russell 1000 Growth is
constructed to provide a comprehensive and unbiased barometer of the large-cap
growth market. Based on ongoing empirical research of investment manager
behavior, the methodology used to determine growth probability approximates the
aggregate large-cap growth manager's opportunity set. The Index does not
include fees or expenses and is not available for direct investment.
/7/The Russell 1000 Value Index offers investors access to the large-cap value
segment of the U.S. equity universe. The Russell 1000 Value is constructed to
provide a comprehensive and unbiased barometer of the large-cap value market.
Based on ongoing empirical research of investment manager behavior, the
methodology used to determine growth probability approximates the aggregate
large-cap value manager's opportunity set. The Index does not include fees or
expenses and is not available for direct investment.
/8/The NAREIT Equity REIT Index is an unmanaged index that reflects performance
of all publicly traded equity REITs. The Index does not include fees or
expenses and is not available for direct investment.
/9/"Cumulative Return" is calculated including reinvestment of all income
dividends and capital gain distributions.
/10/Inception of the Class B shares is 11/3/04. Inception of the Class A shares
is 5/1/05. Index returns are based on an inception date of 10/31/04.
Past performance does not guarantee future results. The investment return and
principal value of an investment in the Portfolio will fluctuate, so that
shares, on any given day or when redeemed, may be worth more or less than their
original cost.
- --------------------------------------------------------------------------------
34
- --------------------------------------------------------------------------------
METLIFE GROWTH STRATEGY PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY MET INVESTORS ADVISORY LLC
LETTER TO POLICYHOLDERS
- --------------------------------------------------------------------------------
The MetLife Growth Strategy Portfolio outperformed its blended benchmark,
year-to-date through 6/30/05, as its Class B shares 0.57% gain bested the 0.21%
return of it benchmark by 36 basis points (the Growth Blended Benchmark/1/ is
comprised of the following mix: 68% Wilshire 5000 Equity Index/2/, 10% Lehman
Brothers Universal Index/3/, 17% MSCI EAFE Index/4/, and 5% Citigroup 3-Month
Treasury Bill Index/5/).
Effective as of May 2, 2005 revised target asset allocation percentages were
established for the Portfolio. Met Investors Advisory LLC (the Advisor) added
an allocation for the Van Kampen Comstock Portfolio, which pursues a deep and
concentrated value investment strategy, to the Portfolio in order to help
broaden the Portfolio's securities diversification in the large cap value
space. In light of the new 12% allocation to the Van Kampen Comstock Portfolio,
the target allocations to the Lord Abbett Growth & Income Portfolio, and the
Davis Venture Value Portfolio were reduced.
In terms of relative performance for the period, the equity components proved
to be the main reason for the out performance, even though the biggest equity
component in the Portfolio experienced difficulty through June 30, 2005. The
Lord Abbett Growth and Income Portfolio's year-to-date return of -2.92% lagged
the Russell 1000 Value Index/6/ by 468 basis points. Given Lord Abbett's long
and successful history managing the Growth and Income Portfolio, the Advisor
remains confident in this team's ability to produce consistent long-term
performance. Additionally, the Van Kampen Comstock Portfolio got off to a poor
start, lagging its benchmark index for the two month period. The primary
detractors to performance for this Portfolio can be attributed to stock
selection in the materials sector. Specifically, International Paper Company
and Alcoa saw their stock prices decline significantly during this short two
month period. On the positive side, portfolios practicing a value investment
philosophy continued to perform well. It's no surprise the Goldman Sachs
Mid-Cap Value Portfolio, the Davis Venture Value Portfolio and the Third Avenue
Small Cap Value Portfolio all had strong relative performance for the first
half of the year as their applicable value benchmarks were also up for the
period. On the international side, the Harris Oakmark International Portfolio,
performed well through June 30, 2005 outperforming its index, the MSCI EAFE
Index, by 280 basis points. Lastly, while a small portion of the overall
portfolio, the Neuberger Berman Real Estate portfolio rebounded strongly in the
first half of the year achieving a 16.96% return beating the 16.09% return of
the NAREIT Equity REIT Index/7/ return adding to the Growth Portfolio's overall
performance.
The relatively small fixed income component of the Growth Strategy Portfolio
experience difficulty year-to-date through June 30, 2005 .The PIMCO Inflation
Protected Bond Portfolio lagged its benchmark, the Lehman Brothers U.S. TIPS
Index/8/, year-to-date by 74 basis points due to a shorter duration bias and
exposure to short treasury futures contracts. On the high yield side, the Lord
Abbett Bond Debenture Portfolio continued to perform poorly versus the high
yield asset class. The Lord Abbett Bond Debenture Portfolio is a "hybrid"
product with a target construction allocation of 60% high yield securities, 20%
convertible securities, and 20% high grade corporate securities. Therefore, it
is expected to lag strong absolute performance in a high yield rally. However,
the Advisor continues to favor this option due to its multi-asset class
structure, relatively conservative risk profile for a Portfolio investing in
high yield debt securities, and strong management team.
TOP TEN HOLDINGS BY MARKET VALUE
As of 6/30/05
Percent of
Description Net Assets
-----------------------------------------------------
Lord Abbett Growth and Income Portfolio 11.70%
-----------------------------------------------------
Van Kampen Comstock Portfolio 11.65%
-----------------------------------------------------
Davis Venture Value Portfolio* 10.94%
-----------------------------------------------------
Janus Aggressive Growth Portfolio 8.19%
-----------------------------------------------------
Harris Oakmark International Portfolio 7.83%
-----------------------------------------------------
Third Avenue Small Cap Value Portfolio 7.37%
-----------------------------------------------------
MFS Research International Portfolio 5.87%
-----------------------------------------------------
Jennison Growth Portfolio* 5.14%
-----------------------------------------------------
Oppenheimer Capital Appreciation Portfolio 4.93%
-----------------------------------------------------
PIMCO Inflation Protected Bond Portfolio 4.83%
-----------------------------------------------------
* Part of Metropolitan Series Fund, Inc.
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION (% of portfolio market value)
As of 6/30/05
[CHART]
Registered Investment Company 100%
- --------------------------------------------------------------------------------
35
- --------------------------------------------------------------------------------
METLIFE GROWTH STRATEGY PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY MET INVESTORS ADVISORY LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
METLIFE GROWTH STRATEGY PORTFOLIO VS. GROWTH BLENDED BENCHMARK/1/
Growth Based on $10,000+
LOGO
----------------------------------------------------------
Cumulative Return/9/
(for the period ended 6/30/05)
----------------------------------------------------------
Since Inception/10/
----------------------------------------------------------
MetLife Growth Strategy
Portfolio--Class A 4.22%
- -- Class B 6.90%
----------------------------------------------------------
- - - Growth Blended Benchmark/1/ 7.91%
----------------------------------------------------------
+The chart reflects the performance of Class B shares of the Portfolio. The
performance of Class B shares will differ from that of the other Classes
because of the difference in expenses paid by policyholders investing in the
different share classes.
/1/Growth Blended Benchmark--Comprised of 68% Wilshire 5000 Equity Index, 10%
Lehman Brothers Universal Index, 17% Morgan Stanley Capital International
Europe Australasia and Far East Index and 5% Citigroup 3-Month Treasury Bill
Index.
/2/The Wilshire 5000 Equity Index measures the performance of all U.S.
headquartered equity securities with readily available price data. The market
capitalized weighted index is compromised of approximately 82% New York Stock
Exchange, 2% American Stock Exchange and 16% OTC (1995). The Index was created
in 1974 and backdated to 1971; with a base index of December 1980 (base index
equals 1,044.596). Dividends are reinvested on the "ex" dividend date and the
rebalancing of share weights is done on a monthly basis. No attempt has been
made to adjust the market capitalization of the Index to take into account
cross holding between corporations. The Index does not include fees or expenses
and is not available for direct investment.
/3/The Lehman Brothers Universal Index represents the union of the U.S.
Aggregate Index, the U.S. High-Yield Corporate Index, the 144A Index, the
Eurodollar Index, the Emerging Markets Index, the non-EIRSA portion of the
Commercial Mortgage Backed Securities Index and the Commercial Mortgage Backed
Securities High Yield Index. Municipal debt, private placements, and non-dollar
denominated issues are excluded from the Universal Index. The only constituent
of the Index that includes floating-rate debt is the Emerging Markets Index.
Bonds and securities must be fixed rate, although it can carry a coupon that
steps up or changes according to a predetermined schedule; must be
dollar-denominated and including bonds with maturities up to ten years and
long-term indices composed of bonds with maturities longer than ten years. All
returns are market value weighted inclusive of accrued interest. Yield is
defined as the yield to worst, the lesser of the yield to maturity and yield to
call. Market values are expressed in millions of dollars. The Index does not
include fees or expenses and is not available for direct investment.
/4/The Morgan Stanley Capital International Europe, Australasia and Far East
Index ("MSCI EAFE Index") is an unmanaged free float-adjusted market
capitalization index that is designed to measure developed market equity
performance, excluding the US & Canada. The Index does not include fees or
expenses and is not available for direct investment.
/5/The Citigroup 3-Month Treasury Bill Index--equal dollar amounts of
three-month Treasury bills are purchased at the beginning of each of three
consecutive months. As each bill matures, all proceeds are rolled over or
reinvested in a new three-month bill. The income used to calculate the monthly
return is derived by subtracting the original amount invested from the maturity
value. The Index does not include fees or expenses and is not available for
direct investment.
/6/The Russell 1000 Value Index offers investors access to the large-cap value
segment of the U.S. equity universe. The Russell 1000 Value is constructed to
provide a comprehensive and unbiased barometer of the large-cap value market.
Based on ongoing empirical research of investment manager behavior, the
methodology used to determine growth probability approximates the aggregate
large-cap value manager's opportunity set. The Index does not include fees or
expenses and is not available for direct investment.
- --------------------------------------------------------------------------------
36
- --------------------------------------------------------------------------------
METLIFE GROWTH STRATEGY PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY MET INVESTORS ADVISORY LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
/7/The NAREIT Equity REIT Index is an unmanaged index that reflects performance
of all publicly traded equity REITs. The Index does not include fees or
expenses and is not available for direct investment.
/8/The Lehman Brothers Global Real: U.S. TIPS Index represents an unmanaged
market index made up of U.S. Treasury Inflation Linked Index securities. The
Index does not include fees or expenses and is not available for direct
investment.
/9/"Cumulative Return" is calculated including reinvestment of all income
dividends and capital gain distributions.
/10/Inception of the Class B shares is 11/3/04. Inception of the Class A shares
is 5/1/05. Index returns are based on an inception date of 10/31/04.
Past performance does not guarantee future results. The investment return and
principal value of an investment in the Portfolio will fluctuate, so that
shares, on any given day or when redeemed, may be worth more or less than their
original cost.
- --------------------------------------------------------------------------------
37
- --------------------------------------------------------------------------------
METLIFE MODERATE STRATEGY PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY MET INVESTORS ADVISORY LLC
LETTER TO POLICYHOLDERS
- --------------------------------------------------------------------------------
The MetLife Moderate Strategy Portfolio lagged its blended benchmark,
year-to-date through 6/30/05, as its Class B shares 0.69% gain trailed the
1.13% return of its benchmark by 44 basis points (the Moderate Blended
Benchmark/1/ is comprised of the following mix: 40% Wilshire 5000 Equity
Index/2/, 45% Lehman Brothers Universal Index/3/, 10% MSCI EAFE Index/4/, and
5% Citigroup 3-Month Treasury Bill Index/5/).
Effective as of May 2, 2005 revised target asset allocation percentages were
established for the Portfolio. Met Investors Advisory LLC (the Advisor) added
an allocation for the Salomon Brothers U.S. Government Portfolio, a short to
intermediate duration fund, to the Portfolio. In light of the new 8% allocation
to the Salomon Brothers U.S. Government Portfolio, the target allocations to
the PIMCO Total Return, PIMCO Inflation Protected Bond and Lord Abbett Bond
Debenture Portfolios were reduced. In addition, to help broaden the Portfolio's
securities diversification in the large cap value space, the Advisor added an
allocation to the Van Kampen Comstock Portfolio, which pursues a deep and
concentrated value investment strategy.
In terms of relative performance for the period, the fixed income component of
the Portfolio proved to be the main reason for the lag in performance relative
to its blended benchmark year-to-date through June 30, 2005. The addition of
the Salomon Brothers U.S. Government Portfolio as an allocation on May 2, 2005
lowered overall portfolio duration, which was a negative as most rates fell
during the second quarter. Additionally, the PIMCO Inflation Protected Bond
Portfolio lagged its benchmark, the Lehman Brothers U.S. TIPS Index/6/,
year-to-date by 74 basis points due to a shorter duration bias and exposure to
short treasury futures contracts. On the high yield side, the Lord Abbett Bond
Debenture Portfolio continued to perform poorly versus the high yield asset
class. The Lord Abbett Bond Debenture Portfolio is a "hybrid" bond fund with a
current allocation of approximately 60% high yield securities, 20% convertible
securities, and 20% high grade corporate securities. Therefore, it is expected
to lag strong absolute performance in a high yield rally. However, the Advisor
continues to favor this option due to its multi-asset class structure,
relatively conservative risk profile, for a Portfolio investing in high yield
debt securities and strong management team.
The biggest equity components in the Portfolio also experienced difficulty
year-to-date. The Oppenheimer Capital Appreciation Portfolio returned -2.27%,
lagging the Russell 1000 Growth Index/7/ by 55 basis points. The Lord Abbett
Growth and Income Portfolio's year-to-date return of -2.92% lagged the Russell
1000 Value Index/8/ by 468 basis points primarily due to Lord Abbett's decision
to strategically underweight the energy sector and overweight the industrials
sector. Given Lord Abbett's long and successful history managing the Growth and
Income Portfolio, the Advisor remains confident in this team's ability to
produce consistent long-term performance. Additionally, the Van Kampen Comstock
Portfolio got off to a poor start since it was added on May 2, 2005, lagging
its benchmark index for the two month period. The primary detractors to
performance for this Portfolio can be attributed to stock selection in the
materials sector. Specifically, International Paper Company and Alcoa saw their
stock prices decline significantly during this short two-month period.
On the positive side, portfolios practicing a value investment philosophy
continued to perform well. The Goldman Sachs Mid-Cap Value Portfolio, the Davis
Venture Value Portfolio and the Third Avenue Small Cap Value Portfolio all had
strong relative performance for the first half of the year as their applicable
value benchmarks were also up for the period. Lastly, while a small portion of
the overall Portfolio, the Neuberger Berman Real Estate Portfolio rebounded
strongly during the first and second quarters of 2005 achieving a 16.96% return
beating the 16.09% return of the NAREIT Equity REIT Index/9/ return adding to
the Portfolio's overall performance.
- --------------------------------------------------------------------------------
TOP TEN HOLDINGS BY MARKET VALUE
As of 6/30/05
Percent of
Description Net Assets
------------------------------------------------------
PIMCO Total Return Portfolio 14.87%
------------------------------------------------------
PIMCO Inflation Protected Bond Portfolio 11.72%
------------------------------------------------------
Lord Abbett Bond Debenture Portfolio 10.05%
------------------------------------------------------
Oppenheimer Capital Appreciation Portfolio 8.96%
------------------------------------------------------
Lord Abbett Growth and Income Portfolio 8.87%
------------------------------------------------------
Salomon Brothers U.S. Government Portfolio* 7.87%
------------------------------------------------------
Van Kampen Comstock Portfolio 5.89%
------------------------------------------------------
MFS Research International Portfolio 4.94%
------------------------------------------------------
Goldman Sachs Mid-Cap Value Portfolio 4.18%
------------------------------------------------------
Jennison Growth Portfolio* 4.16%
------------------------------------------------------
* Part of Metropolitan Series Fund, Inc.
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION (% of portfolio market value)
As of 6/30/05
[CHART]
Registered Investment Company 100%
- --------------------------------------------------------------------------------
38
- --------------------------------------------------------------------------------
METLIFE MODERATE STRATEGY PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY MET INVESTORS ADVISORY LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
METLIFE MODERATE STRATEGY PORTFOLIO VS. MODERATE BLENDED BENCHMARK/1/
Growth Based on $10,000+
LOGO
------------------------------------------------------------
Cumulative Return/10/
(for the period ended 6/30/05)
------------------------------------------------------------
Since Inception/11/
------------------------------------------------------------
MetLife Moderate Strategy
Portfolio--Class A 2.83%
- -- Class B 3.26%
------------------------------------------------------------
- - - Moderate Blended Benchmark/5/ 5.95%
------------------------------------------------------------
+The chart reflects the performance of Class B shares of the Portfolio. The
performance of Class B shares will differ from that of the other Classes
because of the difference in expenses paid by policyholders investing in the
different share classes.
/1/Moderate Blended Benchmark--Comprised of 40% Wilshire 5000 Equity Index, 45%
Lehman Brothers Universal Index, 10% Morgan Stanley Capital International
Europe Australasia and Far East Index and 5% Citigroup 3-Month Treasury Bill
Index.
/2/The Wilshire 5000 Equity Index measures the performance of all U.S.
headquartered equity securities with readily available price data. The market
capitalized weighted index is compromised of approximately 82% New York Stock
Exchange, 2% American Stock Exchange and 16% OTC (1995). The Index was created
in 1974 and backdated to 1971; with a base index of December 1980 (base index
equals 1,044.596). Dividends are reinvested on the "ex" dividend date and the
rebalancing of share weights is done on a monthly basis. No attempt has been
made to adjust the market capitalization of the Index to take into account
cross holding between corporations. The Index does not include fees or expenses
and is not available for direct investment.
/3/The Lehman Brothers Universal Index represents the union of the U.S.
Aggregate Index, the U.S. High-Yield Corporate Index, the 144A Index, the
Eurodollar Index, the Emerging Markets Index, the non-EIRSA portion of the
Commercial Mortgage Backed Securities Index and the Commercial Mortgage Backed
Securities High Yield Index. Municipal debt, private placements, and non-dollar
denominated issues are excluded from the Universal Index. The only constituent
of the Index that includes floating-rate debt is the Emerging Markets Index.
Bonds and securities must be fixed rate, although it can carry a coupon that
steps up or changes according to a predetermined schedule; must be
dollar-denominated and including bonds with maturities up to ten years and
long-term indices composed of bonds with maturities longer than ten years. All
returns are market value weighted inclusive of accrued interest. Yield is
defined as the yield to worst, the lesser of the yield to maturity and yield to
call. Market values are expressed in millions of dollars. The Index does not
include fees or expenses and is not available for direct investment.
/4/The Morgan Stanley Capital International Europe, Australasia and Far East
Index ("MSCI EAFE Index") is an unmanaged free float-adjusted market
capitalization index that is designed to measure developed market equity
performance, excluding the US & Canada. The Index does not include fees or
expenses and is not available for direct investment.
/5/The Citigroup 3-Month Treasury Bill Index--equal dollar amounts of
three-month Treasury bills are purchased at the beginning of each of three
consecutive months. As each bill matures, all proceeds are rolled over or
reinvested in a new three-month bill. The income used to calculate the monthly
return is derived by subtracting the original amount invested from the maturity
value. The Index does not include fees or expenses and is not available for
direct investment.
- --------------------------------------------------------------------------------
39
- --------------------------------------------------------------------------------
METLIFE MODERATE STRATEGY PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY MET INVESTORS ADVISORY LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
/6/The Lehman Brothers Global Real: U.S. TIPS Index represents an unmanaged
market index made up of U.S. Treasury Inflation Linked Index securities. The
Index does not include fees or expenses and is not available for direct
investment.
/7/The Russell 1000 Growth Index offers investors access to the large-cap
growth segment of the U.S. equity universe. The Russell 1000 Growth is
constructed to provide a comprehensive and unbiased barometer of the large-cap
growth market. Based on ongoing empirical research of investment manager
behavior, the methodology used to determine growth probability approximates the
aggregate large-cap growth manager's opportunity set. The Index does not
include fees or expenses and is not available for direct investment.
/8/The Russell 1000 Value Index offers investors access to the large-cap value
segment of the U.S. equity universe. The Russell 1000 Value is constructed to
provide a comprehensive and unbiased barometer of the large-cap value market.
Based on ongoing empirical research of investment manager behavior, the
methodology used to determine growth probability approximates the aggregate
large-cap value manager's opportunity set. The Index does not include fees or
expenses and is not available for direct investment.
/9/The NAREIT Equity REIT Index is an unmanaged index that reflects performance
of all publicly traded equity REITs. The Index does not include fees or
expenses and is not available for direct investment.
/10/"Cumulative Return" is calculated including reinvestment of all income
dividends and capital gain distributions.
/11/Inception of the Class B shares is 11/3/04. Inception of the Class A shares
is 5/1/05. Index returns are based on an inception date of 10/31/04.
Past performance does not guarantee future results. The investment return and
principal value of an investment in the Portfolio will fluctuate, so that
shares, on any given day or when redeemed, may be worth more or less than their
original cost.
- --------------------------------------------------------------------------------
40
- --------------------------------------------------------------------------------
MFS RESEARCH INTERNATIONAL PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY MASSACHUSETTS FINANCIAL SERVICES COMPANY
LETTER TO POLICYHOLDERS
- --------------------------------------------------------------------------------
SUMMARY OF RESULTS
For the six months ended June 30, 2005, the MFS Research International
Portfolio--Class B shares provided a total return of -2.57%. In comparison, the
Portfolio's benchmark, the Morgan Stanley Capital International Europe,
Australasia and Far East Index (MSCI EAFE Index)/1/, had a return of -0.85%
over the same period.
DETRACTORS FROM PERFORMANCE
Relative to the benchmark, special products and services, retailing, and
utilities and communications were the Portfolio's weakest-performing sectors
over the period. In all three sectors, stock selection hurt results.
Within the special products and services sector, our position in technology
investment holding company Softbank Corp. hurt relative results as the stock's
returns lagged that of the benchmark. In retail, UK-based home improvement
store operator Kingfisher Plc was among the top relative detractors for the
period. And within the utilities and communications sector, German
telecommunications company Deutsche Telekom AG detracted from performance as
the stock declined over the six-month period.
In other sectors, Japanese electronics manufacturer Seiko Epson, Japanese video
game console maker Nintendo, and French bank Credit Agricole S.A. hurt results
relative to the benchmark. Not owning certain strong-performing energy
companies, and our positioning in BP Plc, detracted from relative performance
as all three benchmark constituents posted strong gains over the period.
CONTRIBUTORS TO PERFORMANCE
Energy, health care, and financial services were the Portfolio's
strongest-performing sectors over the period relative to the benchmark. Stock
selection in the energy sector aided relative results as several of our
holdings performed well. These included oil and gas companies Statoil ASA,
CNOOC of China, and LUKOIL (ADR). Global seamless steel pipe manufacturer
Tenaris also contributed to relative performance.
Stock selection in the health care sector also helped relative results. Within
this sector, our positions in British pharmaceutical firm AstraZeneca Plc and
Swiss pharmaceutical and diagnostic company Roche Holding AG contributed to
relative performance as both stocks outperformed the benchmark for the period.
Other positions that aided performance included Hungarian financial services
company OTP Bank, Ltd. (GDR) Korean electronics manufacturer Samsung
Electronics Co., Ltd., Japanese metal supplier Mitsui Mining & Smelting Co.,
Ltd., and Turkish banking firm Akbank T.A.S.
During the reporting period, shifts in currency valuations contributed to
performance relative to the benchmark. The base currency of the Portfolio is
U.S. dollars and the performance of the Portfolio and its benchmark are
presented in terms of this currency. Nevertheless, specific holdings of the
Portfolio and benchmark may be denominated in different currencies and,
therefore, present the possibility of currency depreciation or appreciation.
Because the exposures of the Portfolio and the benchmark to foreign currency
movements may differ from time to time, these movements may have a material
impact on relative performance.
TEAM MANAGED
The Portfolio is managed by a committee of research analysts under the general
supervision of Thomas Melendez and Jose Luiz Garcia.
*Security was not held in the Portfolio at period-end.
- --------------------------------------------------------------------------------
TOP TEN HOLDINGS BY MARKET VALUE
As of 6/30/05
Percent of
Description Net Assets
---------------------------------------------
Total Fina Elf S.A. 2.99%
---------------------------------------------
Samsung Electronics Co., Ltd. 2.88%
---------------------------------------------
Nestle S.A. 2.30%
---------------------------------------------
Roche Holding AG 2.25%
---------------------------------------------
Vodafone Group Plc 2.18%
---------------------------------------------
Suez S.A. 2.16%
---------------------------------------------
Royal Bank of Scotland Group Plc 2.00%
---------------------------------------------
Mitsui Mining & Smelting Co., Ltd. 1.99%
---------------------------------------------
Telefonica S.A. 1.92%
---------------------------------------------
Schneider Electric S.A. 1.84%
---------------------------------------------
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION (% of portfolio market value)
As of 6/30/05
[CHART]
Financials 28.3%
Non-Cyclical 18.2%
Communications 14.1%
Energy 11.6%
Cyclical 10.2%
Basic Materials 9.7%
Industrials 7.3%
Technology 0.6%
- --------------------------------------------------------------------------------
41
- --------------------------------------------------------------------------------
MFS RESEARCH INTERNATIONAL PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY MASSACHUSETTS FINANCIAL SERVICES COMPANY
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
MFS RESEARCH INTERNATIONAL PORTFOLIO MANAGED BY
MASSACHUSETTS FINANCIAL SERVICES COMPANY VS. MSCI EAFE INDEX/1/
Growth Based on $10,000+
[CHART]
MFS Research
International MSCI EAFE*
-------------- ----------
2/01 $10,000 $10,000
3/01 8,830 8,991
6/01 9,150 8,913
9/01 8,040 7,669
12/01 8,486 8,205
3/02 8,516 8,251
6/02 8,375 8,092
9/02 7,154 6,499
12/02 7,484 6,920
3/03 6,993 6,357
6/03 8,018 7,601
9/03 8,521 8,223
12/03 9,882 9,630
3/04 10,306 10,053
6/04 10,335 10,097
9/04 10,477 10,074
12/04 11,814 11,622
3/05 11,692 11,610
6/05 11,510 11,523
-----------------------------------------------------------
Average Annual Return/2/
(for the period ended 6/30/05)
-----------------------------------------------------------
1 Year 3 Year Since Inception/3/
-----------------------------------------------------------
MFS Research International
Portfolio--Class A 11.63% 11.42% 4.80%
- -- Class B 11.37% 11.18% 3.27%
Class E 11.55% 11.28% 10.03%
-----------------------------------------------------------
- - - MSCI EAFE Index/1/ 14.13% 12.51% 3.29%
-----------------------------------------------------------
+The chart reflects the performance of Class B shares of the Portfolio. The
performance of Class B shares will differ from that of the other Classes
because of the difference in expenses paid by policyholders investing in the
different share classes.
/1/The Morgan Stanley Capital International Europe, Australasia and Far East
Index ("MSCI EAFE Index") is an unmanaged free float-adjusted market
capitalization index that is designed to measure developed market equity
performance, excluding the US & Canada. The Index does not include fees or
expenses and is not available for direct investment.
/2/"Average Annual Return" is calculated including reinvestment of all income
dividends and capital gain distributions.
/3/Inception of the Class A shares is 5/1/01. Inception of the Class B shares
is 2/12/01. Inception of the Class E shares is 10/31/01. Index returns are
based on an inception date of 2/12/01.
Past performance does not guarantee future results. The investment return and
principal value of an investment in the Portfolio will fluctuate, so that
shares, on any given day or when redeemed, may be worth more or less than their
original cost.
- --------------------------------------------------------------------------------
42
- --------------------------------------------------------------------------------
NEUBERGER BERMAN REAL ESTATE PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY NEUBERGER BERMAN MANAGEMENT, INC.
LETTER TO POLICYHOLDERS
- --------------------------------------------------------------------------------
Coming off a very strong 2004, the REIT market was pressured by profit taking
as the New Year opened. In addition, evidence of a pick-up in economic
activity, indications of coincident increases in inflationary trends and
growing concerns that the heretofore measured pace of Fed monetary tightening
might intensify generated pressure across a spectrum of income-oriented
investment sectors.
Financial market returns in the first quarter were generally negative and the
performance of the broad universe of equity real estate investment trusts
(REITs), as measured by the NAREIT Equity REIT Index/1/, mirrored this trend.
This was only one of two quarters out of the last ten that REITs generated
negative returns. The second quarter of 2005 produced generally positive
returns for financial markets as most domestic stock and bond indices increased
in the mid-single digit range. The performance of the broad universe of equity
real estate investment trusts (REITs), as measured by the NAREIT Equity REIT
Index, significantly outpaced these returns as the NAREIT Equity index
generated a 14.45% return. This performance marked a significant improvement
versus a weak first quarter for REITs. The Met Investors Series Trust Neuberger
Berman Real Estate Portfolio outperformed its benchmark in the first half of
2005 as its Class A shares returned 6.74% as compared to 6.38% for the NAREIT
Equity REIT Index.
We believe that REIT fundamentals continue to improve off a bottom that was
established in 2003. Ongoing economic recovery has driven increased demand for
a host of property types--commercial, industrial, office and retail. In
addition, a lack of building activity during the early part of the decade has
facilitated what we believe to be an attractive supply and demand relationship
that has increased pricing power for many property segments. Accordingly, we
continue to anticipate that overall REIT earnings can grow 8% during 2005,
approximately double the rate generated in 2004, and that dividends could
increase 4%.
The presence of a still low term structure for interest rates should continue
to provide support for robust demand for REITs as income-oriented investors
gravitate toward investments that produce competitive cash flows. We also
continue to take comfort from our historical analysis of REIT return patterns,
which indicates that REITs possess a very low correlation to interest rate
movements and that during periods of rising rates, REITs have tended to
generate positive total rates of return.
STEVEN R. BROWN
Portfolio Manager
NEUBERGER BERMAN MANAGEMENT, INC.
TOP TEN HOLDINGS BY MARKET VALUE
As of 6/30/05
Percent of
Description Net Assets
-------------------------------------------------
Colonial Properties Trust (REIT) 5.27%
-------------------------------------------------
Trizec Properties, Inc. (REIT) 4.43%
-------------------------------------------------
Simon Property Group, Inc. (REIT) 4.37%
-------------------------------------------------
Vornado Realty Trust (REIT) 3.42%
-------------------------------------------------
Boston Properties, Inc. (REIT) 3.27%
-------------------------------------------------
SL Green Realty Corp. (REIT) 3.22%
-------------------------------------------------
Host Marriott Corp. (REIT) 3.11%
-------------------------------------------------
General Growth Properties, Inc. (REIT) 3.02%
-------------------------------------------------
Brandywine Realty Trust (REIT) 2.97%
-------------------------------------------------
Essex Property Trust, Inc. (REIT) 2.96%
-------------------------------------------------
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION (% of portfolio market value)
As of 6/30/05
[CHART]
Office 36.3%
Regional Malls 16.4%
Apartments 11.7%
Lodging 9.1%
Health Care 4.2%
Community Centers 4.0%
Industrials 16.8%
Office Industrial 1.5%
- --------------------------------------------------------------------------------
43
- --------------------------------------------------------------------------------
NEUBERGER BERMAN REAL ESTATE PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY NEUBERGER BERMAN MANAGEMENT, INC.
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
NEUBERGER BERMAN REAL ESTATE PORTFOLIO MANAGED BY
NEUBERGER BERMAN MANAGEMENT, INC. VS. NAREIT EQUITY REIT INDEX/1/
Growth Based on $10,000+
[CHART]
Neuberger NAREIT Equity
Berman Real Estate REITs Index
------------------ --------------
5/04 $10,000 $10,000
6/04 10,350 11,027
9/04 11,130 11,935
12/04 12,975 13,751
3/05 12,090 12,777
6/05 13,848 14,624
------------------------------------------------------------
Average Annual Return/2/
(for the period ended 6/30/05)
------------------------------------------------------------
1 Year Since Inception/3/
------------------------------------------------------------
Neuberger Berman Real Estate
- -- Portfolio--Class A 33.80% 32.17%
Class B 33.63% 31.92%
Class E 33.78% 32.05%
------------------------------------------------------------
- - - NAREIT Equity REIT Index/1/ 32.62% 38.49%
------------------------------------------------------------
+The chart reflects the performance of Class A shares of the Portfolio. The
performance of Class B shares will differ from that of the Class A and Class E
shares because of the difference in expenses paid by policyholders investing in
the different share class.
/1/The NAREIT Equity REIT Index is an unmanaged index that reflects performance
of all publicly traded equity REITs. The Index does not include fees or
expenses and is not available for direct investment.
/2/"Average Annual Return" is calculated including reinvestment of all income
dividends and capital gain distributions.
/3/Inception of Class A, B and E shares is 5/1/04. Index returns are based on
an inception date of 4/30/04.
Past performance does not guarantee future results. The investment return and
principal value of an investment in the Portfolio will fluctuate, so that
shares, on any given day or when redeemed, may be worth more or less than their
original cost.
- --------------------------------------------------------------------------------
44
- --------------------------------------------------------------------------------
OPPENHEIMER CAPITAL APPRECIATION PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY OPPENHEIMERFUNDS, INC.
LETTER TO POLICYHOLDERS
- --------------------------------------------------------------------------------
The Portfolio's investment strategy remained focused on companies that offered
strong potential for above-average growth while exhibiting valuations that we
believed was reasonable relative to future growth prospects. In other words, we
continued to invest in market leaders with established brands, solid corporate
infrastructure and strong product distribution. These are the types of
companies we believe have the potential for real earnings growth and high
investment returns. At the same time, with every potential investment we
carefully scrutinized valuations, earnings and cash flow to determine if a
stock's price were reasonable in light of the company's growth prospects.
Our disciplined approach led us to avoid some of the market's most glaring
dangers during the reporting period, and to capitalize on several profitable
opportunities. In some instances, the dangers and opportunities were
represented by the same stock at different times. For example, at the beginning
of the reporting period, we avoided investing in Internet sales platform eBay,
Inc. despite the company's strong top and bottom line growth because the stock
price did not meet our GARP (Growth At a Reasonable Price) criteria. The
stock's substantial decline later in the period created an opportunity for the
Portfolio to buy a position in this market leader at a reasonable price, an
investment that contributed positively to the Portfolio's returns. Similarly,
the Portfolio had sold its position in biotechnology developer Genentech, Inc.
in a prior period when the stock price exceeded levels we believed were
reasonable in relation to growth prospects. Early in 2005, the stock price once
again offered an attractive entry point, and the Portfolio re-acquired shares
in this fast-growing company.
Of course, not all of the Portfolio's positions delivered such exceptional
performance. Despite holding a few relatively good performing technology stocks
in addition to eBay, Inc. such as Intel Corp., Nokia Oyj (ADR), and Cisco
Systems, Inc., our overweighted position in technology generally undermined
returns. IBM Corp. proved to be our most notable disappointment in the sector.
In the health care area, performance suffered from the Portfolio's lack of
exposure to HMO organizations, which benefited from an improved pricing
environment. Finally, among consumer discretionary holdings, a slump in media
stocks, another area that the Portfolio emphasized, further detracted from
returns.
The market's tilt toward value has now persisted for roughly five years. As a
result, the average price to earnings ratios for traditionally growth-oriented
stocks has slipped near those of traditionally value-oriented issues. At the
same time, growth stocks continue to offer significantly greater opportunities
for real revenue and earnings growth over time, which we believe the market is
increasingly likely to reward as the current phase of U.S. economic growth
matures. These conditions mirror other periods of recession and early cycle
growth in which investor sentiment has turned to value-oriented stocks, only to
shift in favor of growth-oriented stocks as the rate of economic expansion
steadies. We believe we now stand on the cusp of such a transition, leading us
to emphasize investments in areas that have traditionally exhibited steady,
long-term growth. As of the end of the reporting period, we have found a
relatively large number of investments meet these criteria in the technology,
health care and consumer discretionary sectors.
JANE PUTNAM
Portfolio Manager
OPPENHEIMERFUNDS, INC.
- --------------------------------------------------------------------------------
TOP TEN HOLDINGS BY MARKET VALUE
As of 6/30/05
Percent of
Description Net Assets
---------------------------------
General Electric Co. 4.66%
---------------------------------
Microsoft Corp. 3.67%
---------------------------------
Comcast Corp.--Class A 3.02%
---------------------------------
Citigroup, Inc. 2.55%
---------------------------------
ExxonMobil Corp. 2.50%
---------------------------------
Cisco Systems, Inc. 2.38%
---------------------------------
Johnson & Johnson 2.25%
---------------------------------
Intel Corp. 1.99%
---------------------------------
Medtronic, Inc. 1.99%
---------------------------------
Time Warner, Inc. 1.91%
---------------------------------
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION (% of portfolio market value)
As of 6/30/05
LOGO
- --------------------------------------------------------------------------------
45
- --------------------------------------------------------------------------------
OPPENHEIMER CAPITAL APPRECIATION PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY OPPENHEIMERFUNDS, INC.
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
OPPENHEIMER CAPITAL APPRECIATION PORTFOLIO MANAGED BY
OPPENHEIMERFUNDS, INC. VS. S&P 500 INDEX/1/
Growth Based on $10,000+
[CHART]
Oppenheimer Capital S&P 500
------------------- -------
2/01 $10,000 $10,000
3/01 8,740 8,512
6/01 9,350 9,010
9/01 7,750 7,687
12/01 8,573 8,509
3/02 8,314 8,533
6/02 7,023 7,389
9/02 6,013 6,113
12/02 6,453 6,628
3/03 6,263 6,420
6/03 7,174 7,408
9/03 7,463 7,605
12/03 8,294 8,531
3/04 8,354 8,675
6/04 8,464 8,824
9/04 8,144 8,659
12/04 8,825 9,458
3/05 8,581 9,255
6/05 8,612 9,382
-----------------------------------------------------------------
Average Annual Return/2/
(for the period ended 6/30/05)
-----------------------------------------------------------------
1 Year 3 Year Since Inception/3/
-----------------------------------------------------------------
Oppenheimer Capital Appreciation
Portfolio--Class A 2.07% 7.32% 0.40%
- -- Class B 1.76% 7.04% -3.35%
Class E -- -- 2.51%
-----------------------------------------------------------------
- - - S&P 500 Index/1/ 6.32% 8.28% -1.43%
-----------------------------------------------------------------
+The chart reflects the performance of Class B shares of the Portfolio. The
performance of Class B shares will differ from that of the other Classes
because of the difference in expenses paid by policyholders investing in the
different share classes.
/1/The S&P 500 Index is an unmanaged index consisting of 500 stocks chosen for
market size, liquidity, and industry group representation. It is a market-value
weighted index (stock price times number of shares outstanding), with each
stock's weight in the Index proportionate to its market value. The Index does
not include fees or expenses and is not available for direct investment.
/2/"Average Annual Return" is calculated including reinvestment of all income
dividends and capital gain distributions.
/3/Inception of Class A shares is 1/2/02. Inception of the Class B shares is
2/12/01. Inception of the Class E shares is 5/1/05. Index returns are based on
an inception date of 2/12/01.
Holdings are subject to change. The Portfolio's investment strategies and focus
can change from time to time. The mention of specific Portfolio holdings does
not constitute a recommendation by OppenheimerFunds, Inc.
Past performance does not guarantee future results. The investment return and
principal value of an investment in the Portfolio will fluctuate, so that
shares, on any given day or when redeemed, may be worth more or less than their
original cost.
- --------------------------------------------------------------------------------
46
- --------------------------------------------------------------------------------
PIMCO INFLATION PROTECTED BOND PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY PACIFIC INVESTMENT MANAGEMENT COMPANY LLC
LETTER TO POLICYHOLDERS
- --------------------------------------------------------------------------------
MAJOR MARKET TRENDS AFFECTING THE PORTFOLIO'S PERFORMANCE
Most bond sectors lost ground during the first quarter. Treasury Inflation
Protected Securities (TIPS) were no exception. The Lehman Brothers Global Real:
U.S. TIPS Index/1/, a widely used index for U.S. inflation-linked bonds, lost
0.33 percent, as real yields rose on prospects for stronger real growth and a
more hawkish Federal Reserve. Break-even inflation (BEI), a measure of
inflation expectations equal to the difference between yields on
inflation-linked bonds and equivalent maturity nominal Treasuries, rose as
well. During the second quarter the bond market reversed course as interest
rates fell and signs of an economic slowdown emerged. Risk appetites for
credit-sensitive assets revived. The U.S. real yield curve continued to flatten
driven by lower yields for intermediate/longer maturities. Shorter maturity
real yields rose as short-term inflation expectations fell sharply. Despite
higher oil prices, inflation expectations fell amid signs of a possible
economic slowdown and nominal Treasuries outperformed TIPS for the second
quarter.
OTHER FACTORS ATTRIBUTED TO THE PORTFOLIO'S POSITIVE/NEGATIVE PERFORMANCE VS.
THE BENCHMARK
Interest rate strategies have benefited the Portfolio year-to-date. During the
first quarter, a below-benchmark duration from TIPS helped returns as U.S. real
yields rose, and above benchmark duration during the second quarter was also
positive for performance as rates fell. A short-to-intermediate maturity focus
was a negative for performance during the six-month period, as the real yield
curve flattened. Exposure to European nominal bonds has been positive
year-to-date despite these bonds slightly detracting from performance during
the second quarter. Also credit strategies designed to outperform from a
recovery in the automotive sector contributed to relative returns for the
six-month period.
MARKET/PORTFOLIO OUTLOOK
Over the past few years PIMCO's Secular Outlook has described the tension
between disinflation and reflation. We believe the forces of disinflation will
be stronger over the next several years, which will foster an environment of
low and even declining global interest rates. In our view a range of 3-4 1/2
percent for the yield on ten-year Treasuries should prevail over the next
several years. High quality, longer maturity bonds should be attractive in a
disinflationary environment.
STRATEGY
In this environment we will prudently exploit benefits of disinflation and BW
II stability. Given our outlook for lower inflation than previously
anticipated, duration from inflation-linked bonds should be held near
benchmark. We expect to emphasize longer maturity TIPS given the demand from
U.S. pension funds looking to reduce the mismatch between the duration of their
assets and liabilities. Exposure to currency-hedged nominal European government
bonds should also be attractive because disinflationary forces are likely to be
especially pronounced in European economies. Another out-of-index sector that
we think offers value is emerging markets. We believe higher quality emerging
market bonds should be a compelling source of safe yield in light of their
improving credit fundamentals.
JOHN B. BRYNJOLFSSON
Portfolio Manager
PACIFIC INVESTMENT MANAGEMENT COMPANY LLC
This publication contains the current opinions of the manager and should not be
considered as investment advice or a recommendation of any particular security,
strategy or investment product. Such opinions are subject to change without
notice. This publication is distributed for informational purposes only.
Information contained herein has been obtained from sources believed reliable,
but not guaranteed.
Each sector of the bond market entails risk. The guarantee on Treasuries, TIPS
and Government Bonds is to the timely repayment of principal and interest,
shares of a portfolio that invest in them are not guaranteed. Mortgage-backed
securities are subject prepayment risk. With corporate bonds there is no
assurance that issuers will meet their obligations. An investment in high-yield
securities generally involves greater risk to principal than an investment in
higher-rated bonds. Investing in non-U.S. securities may entail risk as a
result of non-U.S. economic and political developments, which may be enhanced
when investing in emerging markets. The credit quality of a particular security
or group of securities does not ensure the stability or safety of the overall
portfolio. Duration is a measure of price sensitivity to interest rates and is
expressed in years. Inflation-indexed bonds issued by the U.S. Government, also
known as TIPS, are fixed-income securities whose principal value is
periodically adjusted according to the rate of inflation. Repayment upon
maturity of the original principal as adjusted for inflation is guaranteed by
the U.S. Government. Neither the current market value of inflation-indexed
bonds nor the value of a portfolio that invests in inflation-indexed bonds is
guaranteed, and either or both may fluctuate.
- --------------------------------------------------------------------------------
TOP TEN HOLDINGS BY MARKET VALUE
As of 6/30/05
Percent of
Description Net Assets
----------------------------------------------------------------
U.S. Treasury Inflation Index Note (2.00%, 01/15/14) 13.68%
----------------------------------------------------------------
U.S. Treasury Inflation Index Bond (2.375%, 01/15/25) 12.66%
----------------------------------------------------------------
U.S. Treasury Inflation Index Bond (3.875%, 04/15/29) 11.13%
----------------------------------------------------------------
U.S. Treasury Note (3.00%, 07/15/12) 10.92%
----------------------------------------------------------------
U.S. Treasury Inflation Index Note (2.00%, 07/15/14) 10.25%
----------------------------------------------------------------
U.S. Treasury Inflation Index Note (3.875%, 01/15/09) 9.82%
----------------------------------------------------------------
U.S. Treasury Inflation Index Note (3.50%, 01/15/11) 7.97%
----------------------------------------------------------------
U.S. Treasury Inflation Index Bond (3.625%, 04/15/28) 4.73%
----------------------------------------------------------------
Federal National Mortgage Corp. (3.235%, 09/07/06) 3.85%
----------------------------------------------------------------
U.S. Treasury Inflation Index Note (1.875%, 07/15/13) 2.79%
----------------------------------------------------------------
- --------------------------------------------------------------------------------
47
- --------------------------------------------------------------------------------
PIMCO INFLATION PROTECTED BOND PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY PACIFIC INVESTMENT MANAGEMENT COMPANY LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION (% of portfolio market value)
As of 6/30/05
[CHART]
U.S. Government & Agency Obligations 87.8%
Corporate Bonds & Debt Securities 5.0%
Asset-Backed Securities 2.4%
Foreign Bonds & Debt Securities 2.2%
Collateralized Mortgage Obligations 2.0%
Municipals 0.5%
Preferred Stock 0.1%
- --------------------------------------------------------------------------------
48
- --------------------------------------------------------------------------------
PIMCO INFLATION PROTECTED BOND PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY PACIFIC INVESTMENT MANAGEMENT COMPANY LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
PIMCO INFLATION PROTECTED BOND PORTFOLIO MANAGED BY
PACIFIC MANAGEMENT COMPANY LLC VS. LEHMAN GLOBAL REAL: U.S. TIPS BOND INDEX/1/
Growth Based on $10,000+
[CHART]
PIMCO Lehman Global
Inflation Real: U.S. TIPS
Protected Bond Bond Index
-------------- ------------------
5/03 $10,000 $10,000
6/03 10,360 10,367
9/03 10,460 10,398
12/03 10,547 10,568
3/04 11,173 11,111
6/04 10,855 10,766
9/04 11,215 11,180
12/04 11,541 11,460
3/05 11,541 11,423
6/05 11,768 11,771
------------------------------------------------------------------
Average Annual Return/2/
(for the period ended 6/30/05)
------------------------------------------------------------------
1 Year Since Inception/3/
------------------------------------------------------------------
PIMCO Inflation Protected Bond
- -- Portfolio--Class A 8.43% 7.80%
Class B 8.22% 7.56%
------------------------------------------------------------------
Lehman Global Real: U.S. TIPS Bond
- - - Index/1/ 9.33% 7.80%
------------------------------------------------------------------
+The chart reflects the performance of Class A shares of the Portfolio. The
performance of Class A shares will differ from that of the Class B shares
because of the difference in expenses paid by policyholders investing in the
different share class.
/1/The Lehman Brothers Global Real: U.S. TIPS Index represents an unmanaged
market index made up of U.S. Treasury Inflation Linked Index securities. The
Index does not include fees or expenses and is not available for direct
investment.
/2/"Average Annual Return" is calculated including reinvestment of all income
dividends and capital gain distributions.
/3/Inception of Class A shares is 5/1/03. Index returns are based on an
inception date of 4/30/03.
Past performance does not guarantee future results. The investment return and
principal value of an investment in the Portfolio will fluctuate, so that
shares, on any given day or when redeemed, may be worth more or less than their
original cost.
- --------------------------------------------------------------------------------
49
- --------------------------------------------------------------------------------
PIMCO TOTAL RETURN PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY PACIFIC INVESTMENT MANAGEMENT COMPANY LLC
LETTER TO POLICYHOLDERS
- --------------------------------------------------------------------------------
MAJOR MARKET TRENDS AFFECTING THE PORTFOLIO'S PERFORMANCE
Bonds rallied worldwide as interest rates fell, risk appetites for
credit-sensitive assets revived and signs of an economic slowdown emerged
during the second quarter. This is in contrast to the first three months of the
year when a hawkish tone from the Federal Open Market Committee, higher
inflation prints and credit concerns prompted a rise in interest rates
negatively impacting fixed income. The U.S. yield curve flattened in the first
half of 2005 with longer maturity bonds supported by benign inflation as well
as demand from countries outside the U.S. with high savings rates. While all
major bond market sectors posted positive results in the second quarter,
emerging market bonds were the best performing sector, bouncing back strongly
after volatility in credit markets hurt returns early in the quarter. For the
first half of 2005, the bond market as measured by the Lehman Brothers
Aggregate Index, was up with a return of 3%.
OTHER FACTORS ATTRIBUTED TO THE PORTFOLIO'S POSITIVE/NEGATIVE PERFORMANCE VS.
THE BENCHMARK
Interest rate strategies have been mixed for performance year to date. A modest
above-index duration position contributed to relative returns during the first
half of the year. With respect to yield curve positioning, a slight bias to
steepening was modestly negative as the curve continued to flatten. Increased
exposure to and coupon selection in the mortgage sector helped returns.
Underweighting corporate securities has also been a boost to the portfolio as
corporates underperformed, amid lingering concerns about the auto sector and
corporate restructurings. Exposure to Eurozone issues continued to benefit the
portfolio amid worries about a slowdown in the global economy. Municipal bonds
have detracted from returns year to date. Munis are less volatile than taxable
issues and tend to lag Treasuries in market rallies. Emerging market bonds were
a strong contributor to returns in the second quarter, bouncing back strongly
after volatility in credit markets hurt returns earlier in the year. Continued
cash inflows from dedicated institutional investors attracted to the sector's
strong credit fundamentals supported the market.
MARKET/PORTFOLIO OUTLOOK
Over the past few years PIMCO's Secular Outlook has described the tension
between disinflation and reflation. We believe the forces of disinflation will
be stronger over the next several years, which will foster an environment of
low and even declining global interest rates. In our view, a range of 3-4 1/2
percent for the yield on ten-year Treasuries should prevail over the next
several years.
With regards to strategy, we will prudently exploit the benefits of
disinflation and Bretton Woods II stability. This will likely include extending
duration modestly above the index when rates are near the higher end of our
forecasted range, and shortening duration targets as rates near the low end.
Among other things, we also anticipate keeping our yield curve exposure near
the index overall but taking selective exposure to higher quality, longer
maturity bonds.
WILLIAM H. GROSS
PASI HAMALAINEN
Portfolio Managers
PACIFIC INVESTMENT MANAGEMENT COMPANY LLC
This publication contains the current opinions of the Portfolio manager and
should not be considered as investment advice or a recommendation of any
particular security, strategy or investment product. Such opinions are subject
to change without notice. This publication is distributed for informational
purposes only. Information contained herein has been obtained from sources
believed reliable, but not guaranteed.
Each sector of the bond market entails risk. The guarantee on Treasuries, TIPS
and Government Bonds is to the timely repayment of principal and interest,
shares of a portfolio that invest in them are not guaranteed. Mortgage-backed
securities are subject prepayment risk. With corporate bonds there is no
assurance that issuers will meet their obligations. An investment in high-yield
securities generally involves greater risk to principal than an investment in
higher-rated bonds. Investing in non-U.S. securities may entail risk as a
result of non-U.S. economic and political developments, which may be enhanced
when investing in emerging markets. The credit quality of a particular security
or group of securities does not ensure the stability or safety of the overall
portfolio. Duration is a measure of price sensitivity to interest rates and is
expressed in years. Inflation-indexed bonds issued by the U.S. Government, also
known as TIPS, are fixed-income securities whose principal value is
periodically adjusted according to the rate of inflation. Repayment upon
maturity of the original principal as adjusted for inflation is guaranteed by
the U.S. Government. Neither the current market value of inflation-indexed
bonds nor the value a portfolio that invests in inflation-indexed bonds is
guaranteed, and either or both may fluctuate.
- --------------------------------------------------------------------------------
TOP TEN HOLDINGS BY MARKET VALUE
As of 6/30/05
Percent of
Description Net Assets
--------------------------------------------------------------
Federal National Mortgage Assoc. (5.50%, TBA) 23.98%
--------------------------------------------------------------
U.S. Treasury Note (4.875%, 02/15/12) 12.94%
--------------------------------------------------------------
Federal National Mortgage Assoc. (5.50%, 02/01/35) 5.96%
--------------------------------------------------------------
Federal National Mortgage Assoc. (4.00%, TBA) 4.77%
--------------------------------------------------------------
Federal Home Loan Bank (5.50%, 05/01/35) 3.07%
--------------------------------------------------------------
Federal Republic of Germany (5.50% 01/04/31) 3.02%
--------------------------------------------------------------
U.S. Treasury Bond (8.75%, 05/15/17) 2.52%
--------------------------------------------------------------
Federal National Mortgage Assoc. (6.00%, TBA) 2.02%
--------------------------------------------------------------
U.S. Treasury Note (4.125%, 05/15/15) 1.95%
--------------------------------------------------------------
Federal National Mortgage Assoc. (3.319%, 09/22/06) 1.88%
--------------------------------------------------------------
- --------------------------------------------------------------------------------
50
- --------------------------------------------------------------------------------
PIMCO TOTAL RETURN PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY PACIFIC INVESTMENT MANAGEMENT COMPANY LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION (% of portfolio market value)
As of 6/30/05
[CHART]
U.S. Government & Agency Obligations 74.5%
Collateralized Mortgage Obligations 5.1%
Asset-Backed Securities 5.0%
Foreign Bonds & Debt Securities 4.1%
Foreign Government 4.1%
Municipals 3.9%
Corporate Bonds & Debt Securities 2.6%
Preferred Stock 0.7%
Warrants 0.0%
- --------------------------------------------------------------------------------
51
- --------------------------------------------------------------------------------
PIMCO TOTAL RETURN PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY PACIFIC INVESTMENT MANAGEMENT COMPANY LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
PIMCO TOTAL RETURN PORTFOLIO MANAGED BY
PACIFIC INVESTMENT MANAGEMENT COMPANY LLC VS. LEHMAN BROTHERS AGGREGATE BOND
INDEX/1/
Growth Based on $10,000+
[CHART]
PIMCO Lehman Bros.
Total Return Aggregate Bond In
------------ -------------------
2/01 $10,000 $10,000
3/01 10,100 10,137
6/01 10,110 10,194
9/01 10,640 10,664
12/01 10,669 10,669
3/02 10,669 10,680
6/02 11,041 11,075
9/02 11,444 11,583
12/02 11,661 11,765
3/03 11,837 11,929
6/03 12,117 12,227
9/03 12,158 12,210
12/03 12,186 12,249
3/04 12,481 12,573
6/04 12,228 12,267
9/04 12,597 12,659
12/04 12,771 12,779
3/05 12,703 12,719
6/05 13,087 13,102
---------------------------------------------------------------
Average Annual Return/2/
(for the period ended 6/30/05)
---------------------------------------------------------------
1 Year 3 Year Since Inception/3/
---------------------------------------------------------------
PIMCO Total Return
Portfolio--Class A 7.37% 6.13% 6.88%
- -- Class B 7.02% 5.82% 6.33%
Class E 7.19% 5.95% 5.31%
---------------------------------------------------------------
Lehman Brothers Aggregate Bond
- - - Index/1/ 6.82% 5.76% 6.31%
---------------------------------------------------------------
+The chart reflects the performance of Class B shares of the Portfolio. The
performance of Class B shares will differ from that of the other Classes
because of the difference in expenses paid by policyholders investing in the
different share classes.
/1/The Lehman Brothers Aggregate Bond Index is a broad measure of the taxable
bonds in the U.S. market, with maturities of at least one year. The Index does
not include fees or expenses and is not available for direct investment.
/2/"Average Annual Return" is calculated including reinvestment of all income
dividends and capital gain distributions.
/3/Inception of the Class A shares is 5/1/01. Inception of the Class B shares
is 2/12/01. Inception of the Class E shares is 10/31/01. Index returns are
based on an inception date of 1/31/01.
Past performance does not guarantee future results. The investment return and
principal value of an investment in the Portfolio will fluctuate, so that
shares, on any given day or when redeemed, may be worth more or less than their
original cost.
- --------------------------------------------------------------------------------
52
- --------------------------------------------------------------------------------
MET/PUTNAM CAPITAL OPPORTUNITIES PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY PUTNAM INVESTMENT MANAGEMENT, LLC
LETTER TO POLICYHOLDERS
- --------------------------------------------------------------------------------
PERFORMANCE
For the six-month period ended June 30, 2005, the Met/Putnam Capital
Opportunities Portfolio. Outperformed the Russell 2000 Index/1/ benchmark while
performing in line with the Russell 2500 Index/2/. In the first quarter of
2005, U.S. equity markets sandwiched a determined rally between two strong
downdrafts, as high energy prices and interest-rate increases clouded the
prospects for equities. While U.S. equity markets were buoyed by a
strengthening dollar and a lack of inflation in the second quarter of 2005,
increases in energy prices, signs of economic stagnation, and continuing
interest-rate increases by the Federal Reserve Board limited gains.
Excellent stock selection in the retail cyclicals industry (Movie Gallery,
Michaels Stores, Inc., Abercrombie & Fitch Co.--Class A) made the consumer
cyclicals sector the Portfolio's largest relative contributor. Our position in
Administaff (commercial and consumer services) also aided results. Shares of
Movie Gallery, the number three U.S. video-rental chain, rose during the period
after rival Blockbuster dropped its bid to buy Hollywood Entertainment. This
enabled Movie Gallery to move ahead with its purchase of Hollywood
Entertainment, the second largest video-rental company, for $850 million, an
action that nearly doubled Movie Gallery's stores and increased its presence in
large U.S. cities. Michaels Stores benefited from fiscal fourth-quarter profit
growth of 18 percent, as a new inventory system that improves the way it stocks
products helped boost sales. Shares of Abercrombie & Fitch Co.--Class A moved
higher on better-than-expected January and February same-store sales growth due
to a strong response to their spring assortment. Administaff, Inc., a human
resources management company, also saw its shares trade higher during the
period after the firm reported above-consensus first quarter profit and lifted
its full-year outlook. Strong sales and the retention of existing clients drove
positive results.
Positions in health-care services (Cerner, Health Net, Inc. Manor Care, Inc.)
and medical technology (Respironics, Inc.), coupled with an underweight to the
biotechnology industry, helped relative performance in the health-care sector.
Cerner, which provides information technology to the health-care industry,
benefited from solid results across several metrics as bookings, backlog,
systems-sales revenue, and EPS growth were all strong. Shares of Health Net,
Inc., were supported by the appointment of a new CFO who is expected to
strengthen internal controls and corporate oversight. Manor Care, Inc., rallied
during the month of May after the U.S. Medicare program announced a proposal of
new funding rules that would be more beneficial to nursing home operators than
the market had expected. Rounding out the top relative contributors, shares of
Respironics traded higher after the company reported solid earnings, which rose
23% domestically and 26% internationally, on sales of its treatments for
obstructive sleep apnea.
Unfavorable stock selection in the metals (AK Steel Holdings) and chemicals
(Georgia Gulf) industries made the basic materials sector the Portfolio's
largest relative detractor. Shares of AK Steel Holdings, which operates through
its wholly owned subsidiaries AK Steel Corporation and AK Holdings, fell during
the period in a difficult operating environment for the industry. U.S. steel
stocks slipped early in the quarter following comments that steel manufacturers
would find it difficult to pass on higher raw material costs to its customers,
despite their experiencing robust demand and strong prices. On a more
company-specific note, AK Steel reported lower first-quarter profit as higher
costs and maintenance outages hurt results. Our overweight to chemical
manufacturer Georgia Gulf also weighed on relative performance within the
sector and was the Portfolio's leading individual detractor from performance.
The company warned of lower quarterly earnings results due in large part to an
unexpected shutdown at its Plaquemine, Louisiana, chlorine facility in early
April. In addition, investors worried that stubbornly high natural gas and
benzene prices may continue to stifle results.
Stock selection within the financial industry also detracted from results, as
our holdings in the real estate (NovaStar Financial, Redwood Trust) and banking
(R & G Financial Corp.--Class B and Doral Financial Corp.) industries more than
offset the relative benefit of our holdings in consumer finance. Shares of
NovaStar Financial fell after the company missed its 2004 net income forecast
in a challenging market and interest-rate environment. Redwood Trust traded
lower despite posting strong quarterly earnings results, as investor sentiment
turned cautious given the threat of an industry-wide decrease in origination
volumes. Within the banking industry, our holdings in the Puerto Rican
financial firms R & G Financial Corp.--Class B and Doral Financial Corp. proved
to be the leading detractors form performance. Shares of R & G suffered after
it was announced that the company faced an informal U.S. Securities and
Exchange Commission probe into its proposed restatement of its 2003 and 2004
financial statements. Similarly, Doral Financial Corp. also said that the SEC
is examining its planned restatement of five years' worth of financial
statements.
OUTLOOK: U.S. EQUITY MARKETS
Our market strategists believe that continued rate hikes, slowing economic and
earnings growth, and rebounding investor risk aversion will constrain stock
market returns, which should average only modest, single-digit gains over the
next several years.
Within this moderately positive average, 2005 may prove an exception on the
downside. Leading indicators of economic activity have softened this year,
indicating that past policy tightenings are beginning to affect the pace of
economic activity. Our forecasters believe that with the best part of the
economic and profits cycles now past, opportunities will become increasingly
rare and specific over the balance of the year. As earnings power grows scarce,
companies that can deliver it are apt to outperform.
Our asset allocation team's forecasting models now favor growth stocks over
value stocks for the first time in many years. This outlook is confirmed by the
team's sector-selection analysis: A flattening yield curve dims the outlook for
financial stocks, the largest sector in the value style indices.
PORTFOLIO STRATEGY
Your Met/Putnam Capital Opportunities Portfolio management team takes a
bottom-up approach, seeking to identify the most attractive investment
opportunities based on valuation while considering overall portfolio
construction. We continue to manage the fund with a 12- to 18-month time
horizon and have positioned it for a gradual economic recovery.
- --------------------------------------------------------------------------------
53
- --------------------------------------------------------------------------------
MET/PUTNAM CAPITAL OPPORTUNITIES PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY PUTNAM INVESTMENT MANAGEMENT, LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
During the period, the Portfolio's largest purchases were: CMS Energy (electric
utilities), Timberland (retail cyclicals), and Emulex (computers). Our largest
sells during the period were: NVR (homebuilding), Providian Financial (consumer
finance), and Michaels Stores (retail cyclicals).
TEAM MANAGED
PUTNAM INVESTMENT MANAGEMENT, LLC
- --------------------------------------------------------------------------------
TOP TEN HOLDINGS BY MARKET VALUE
As of 6/30/05
Percent of
Description Net Assets
----------------------------------------
BMC Software, Inc. 2.75%
----------------------------------------
CMS Energy Corp. 2.71%
----------------------------------------
Terex Corp. 2.56%
----------------------------------------
Manor Care, Inc. 2.37%
----------------------------------------
SUPERVALU, Inc. 2.29%
----------------------------------------
Timberland Co. (The)--Class A 2.24%
----------------------------------------
AmerUs Group Co. 2.04%
----------------------------------------
Autoliv, Inc. 2.04%
----------------------------------------
Citrix Systems, Inc. 1.98%
----------------------------------------
Storage Technology Corp. 1.97%
----------------------------------------
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION (% of portfolio market value)
As of 6/30/05
LOGO
- --------------------------------------------------------------------------------
54
- --------------------------------------------------------------------------------
MET/PUTNAM CAPITAL OPPORTUNITIES PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY PUTNAM INVESTMENT MANAGEMENT, LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
MET/PUTNAM CAPITAL OPPORTUNITIES PORTFOLIO MANAGED BY
PUTNAM INVESTMENT MANAGEMENT, LLC VS. RUSSELL 2000 INDEX/2/
Growth Based on $10,000+
[CHART]
Met/Putnam Capital
Opportunities Russell 2000
------------- ------------
5/96 $10,000 $10,000
6/96 9,977 9,967
9/96 10,149 10,001
12/96 10,859 10,521
3/97 10,083 9,977
6/97 11,623 11,594
9/97 13,363 13,320
12/97 13,128 12,873
3/98 14,730 14,168
6/98 13,746 13,508
9/98 10,791 10,786
12/98 12,419 12,545
3/99 11,828 11,865
6/99 13,165 13,711
9/99 13,285 12,844
12/99 17,953 15,213
3/00 19,471 16,290
6/00 18,097 15,674
9/00 18,484 15,848
12/00 16,058 14,753
3/01 13,599 13,792
6/01 15,845 15,763
9/01 12,201 12,486
12/01 14,706 15,119
3/02 15,232 15,721
6/02 13,654 14,408
9/02 11,112 11,325
12/02 11,612 12,023
3/03 10,559 11,483
6/03 12,652 14,172
9/03 13,329 15,459
12/03 14,947 17,704
3/04 15,587 18,812
6/04 15,826 18,900
9/04 15,612 18,360
12/04 17,718 20,947
3/05 17,266 19,828
6/05 17,793 20,685
-------------------------------------------------------------
Average Annual Return/3/
(for the period ended 6/30/05)
-------------------------------------------------------------
1 Year 3 Year 5 Year Since Inception/4/
-------------------------------------------------------------
Met/Putnam Capital
Opportunities
- -- Portfolio--Class A 12.44% 9.23% -0.34% 6.49%
Class B 12.13% 8.96% -- 6.89%
-------------------------------------------------------------
- - - Russell 2000 Index/1/ 9.45% 12.81% 5.70% 8.26%
-------------------------------------------------------------
+The chart reflects the performance of Class A shares of the Portfolio. The
performance of Class A shares will differ from that of the Class B shares
because of the difference in expenses paid by policyholders investing in the
different share class.
/1/The Russell 2000 Index is an unmanaged index and measures the performance of
the 2,000 smallest companies in the Russell 3000 Index, which represents
approximately 8% of the total market capitalization of the Russell 3000 Index.
As of the latest reconstitution, the average market capitalization was
approximately $664.9 million; the median market capitalization was
approximately $539.5 million. The largest company in the Index had a market
capitalization of $1.8 billion. The Index does not include fees or expenses and
is not available for direct investment.
/2/The Russell 2500 Index measures the performance of 2,500 smallest 2500
companies in the Russell 3000 Index, which represents approximately 16% of the
total market capitalization of the Russell 1000 Index. As of the latest
reconstitution, the average market capitalization was approximately $1.1
billion; the median market capitalization was approximately $705.8 million. The
largest company in the Index had an approximate market capitalization of $4.5
billion. The Index does not include fees or expenses and is not available for
direct investment.
/3/"Average Annual Return" is calculated including reinvestment of all income
dividends and capital gain distributions.
/4/Inception of the Class A shares is 5/1/96. Inception of the Class B shares
is 4/3/01. Index returns are based on an inception date of 5/1/96.
Past performance does not guarantee future results. The investment return and
principal value of an investment in the Portfolio will fluctuate, so that
shares, on any given day or when redeemed, may be worth more or less than their
original cost.
- --------------------------------------------------------------------------------
55
- --------------------------------------------------------------------------------
RCM GLOBAL TECHNOLOGY PORTFOLIO FOR THE PERIOD ENDED 6/30/05
(FORMERLY PIMCO PEA INNOVATION PORTFOLIO)
MANAGED BY RCM CAPITAL MANAGEMENT LLC
LETTER TO POLICYHOLDERS
- --------------------------------------------------------------------------------
MANAGEMENT'S PERFORMANCE REVIEW
For the six months ended June 30, 2005, the RCM Global Technology
Portfolio--Class B for Met Investors Series Trust decreased by 4.59%. The
Portfolio outperformed its sector benchmark, the Goldman Sachs Technology
Index/1/ which decreased by 7.55%, and outperformed the broad market as defined
by the NASDAQ Composite Index/2/ which decreased by 5.12%.
MARKET ENVIRONMENT
The first half of 2005 consisted of two periods. The first began the first day
of the year and continued until the middle of April. During this period it
seemed that investors regarded almost all quarterly earnings reports as
"disappointing". Investor expectations had become too high in the fourth
quarter of 2004, and the caution exercised by most management teams in their
forecasts were not well received. As a result, most indices made their lows for
the quarter in mid-April.
At the same time, interest rates were rising and oil prices were increasing,
leading several economists to worry about much slower economic growth, a
housing bust, and margin pressures. In fact, as RCM talked to company
management teams, business was getting worse, and many companies had a poor
month of May. However, this slowing actually caused a turn in the stock market,
as the bond market began to discount the slowing economy and rates went down.
This caused the worries about housing to dissipate, and consumers began to feel
better. And as we ended the quarter, the market had recovered, the economy
seemed to have a better month than expected in June, and the outlook for most
technology companies seemed pretty favorable. Most importantly, the stocks in
the RCM Global Technology Portfolio began to recover.
One of the "truths" that we have discovered about technology stocks is that
they tend to outperform when the economy is slow but not in a recession. If the
economy is too strong, the materials stocks tend to have more leverage and do
better, but tech does well in a moderate growth, low inflation period because
its growth drivers are a desire for productivity or new products, not price
increases. We seem to be entering such a period.
PORTFOLIO REVIEW
During the first half of 2005, the RCM Global Technology Portfolio was
overweight internet stocks (relative to the Goldman Sachs Technology Index),
which was one of the worst performing sub-sectors during the period but was the
Portfolio's largest performance contributor. After a poor first quarter by this
sector, RCM had carefully assessed the associated risks and maintained the
Portfolio's large overweight in the internet sub-sector. RCM's research
continues to indicate that internet companies are still experiencing very
strong growth that is sustainable longer than most forecasts are predicting. In
particular, as of June 30, 2005, one of the Portfolio's largest holdings was in
Google which rose dramatically during the second quarter, and we also saw a
nice rebound in Shanda. The Portfolio's other two large internet holdings,
Yahoo and Verisign, did not outperform significantly, but RCM believes their
business is very strong, so they increased the Portfolio's holdings in each of
these. RCM also significantly reduced the Portfolio's holding in Google as it
reached our near term price target as the quarter ended. Because Google had
been the Portfolio's largest position, its strength more than offset the
declines in the other stocks.
The largest negative contributor during the six month period ending June 30,
2005 was the Portfolio's overweight in biotechnology companies, Biogen Idec and
Elan Corp. The Portfolio has often had positions in biotechnology companies
that meet RCM's earnings and valuation criteria, but in this case, the
Portfolio had concentrated its biotech holdings on only these two stocks. Both
companies were behind the newly approved drug, Tysabri. The drug received U.S.
approval in late November for Multiple Sclerosis (MS) when one-year data
demonstrated strong efficacy, a 60% reduction in relapse rates, and a benign
safety profile. Subsequent two year safety data reported on February 17th also
corroborated the strong profile evident in the one year results. Unfortunately
on February 28th the companies, in consultation with the FDA, decided to
suspend sales of Tysabri following two fatal reports from trial patients that
were thought to be associated with the drug. Immediately after the announcement
both stocks plunged dramatically, detracting over 170 basis points from the
Portfolio's performance since RCM took over management earlier in 2005.
Though the Portfolio is still underweight the semiconductor sub-sector, which
has been the best area in technology, RCM has been narrowing the gap by
building up positions in growth companies like Broadcom, International
Rectifier, Chartered Semiconductor, and Sandisk Corp. They joined the
Portfolio's holdings in National Semiconductor, Marvell Technology, Cypress
Semiconductor, and Samsung Electronics, so the Portfolio now has exposure to
what RCM believes is a dynamic list of companies within this area.
Finally, the Portfolio's energy-technology holdings were up favorably for the
period and benefited its overall performance.
OUTLOOK
RCM continues to implement their consistent investment philosophy of focusing
on companies with solid fundamentals. While RCM cannot rule out a further spike
in oil prices that might cause a recession in 2006, they do think the potential
is small. RCM is already seeing some moderation in commodity prices and
consumer spending; this caution will likely circle back into slowing growth for
the world economy and the self correcting pricing that should allow moderate
growth to continue. As long as economic growth stays above 2.5%, RCM believes
that technology spending should remain relatively healthy. This should result
in the need for renewed investments in telecommunications & wireless data
technology, and in internet-infrastructure at many companies. RCM believes that
the Portfolio is positioned in those areas of technology that will benefit from
the lion's share of spending, and as confidence returns, they hope for
appreciation in the Portfolio's holdings.
WALTER C. PRICE
HUACHEN CHEN
Portfolio Managers
RCM CAPITAL MANAGEMENT LLC
- --------------------------------------------------------------------------------
56
- --------------------------------------------------------------------------------
RCM GLOBAL TECHNOLOGY PORTFOLIO FOR THE PERIOD ENDED 6/30/05
(FORMERLY PIMCO PEA INNOVATION PORTFOLIO)
MANAGED BY RCM CAPITAL MANAGEMENT LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
TOP TEN HOLDINGS BY MARKET VALUE
As of 6/30/05
Percent of
Description Net Assets
-------------------------------------------------
Yahoo!, Inc. 6.36%
-------------------------------------------------
Google, Inc. 5.03%
-------------------------------------------------
Verisign, Inc. 4.31%
-------------------------------------------------
Oracle Corp. 4.00%
-------------------------------------------------
EMC Corp. 3.41%
-------------------------------------------------
Red Hat, Inc. 3.35%
-------------------------------------------------
Shanda Interactive Entertainment, Ltd. 3.31%
-------------------------------------------------
NCR Corp. 2.95%
-------------------------------------------------
Juniper Networks, Inc. 2.87%
-------------------------------------------------
Autodesk, Inc. 2.86%
-------------------------------------------------
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION (% of portfolio market value)
As of 6/30/05
LOGO
- --------------------------------------------------------------------------------
57
- --------------------------------------------------------------------------------
RCM GLOBAL TECHNOLOGY PORTFOLIO FOR THE PERIOD ENDED 6/30/05
(FORMERLY PIMCO PEA INNOVATION PORTFOLIO)
MANAGED BY RCM CAPITAL MANAGEMENT LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
RCM GLOBAL TECHNOLOGY PORTFOLIO
(FORMERLY PIMCO PEA INNOVATION PORTFOLIO) MANAGED BY
RCM CAPITAL MANAGEMENT LLC VS. NASDAQ COMPOSITE INDEX/2/ AND S&P 500 INDEX/3/
Growth Based on $10,000+
[CHART]
RCM Global
Technology S&P 500 NASDAQ
---------- ------- ------
2/01 $10,000 $10,000 $10,000
3/01 7,070 8,512 6,650
6/01 7,590 9,010 7,817
9/01 4,210 7,687 5,466
12/01 6,160 8,509 7,120
3/02 5,880 8,533 6,747
6/02 3,850 7,389 5,356
9/02 2,510 6,113 4,297
12/02 3,040 6,628 4,903
3/03 3,070 6,420 4,935
6/03 3,730 7,408 5,977
9/03 4,250 7,605 6,588
12/03 4,790 8,531 7,401
3/04 4,870 8,675 7,375
6/04 4,740 8,824 7,581
9/04 3,971 8,659 7,033
12/04 4,584 9,458 8,078
3/05 4,184 9,255 7,436
6/05 4,374 9,382 7,664
----------------------------------------------------------
Average Annual Return/4/
(for the period ended 6/30/05)
----------------------------------------------------------
1 Year 3 Year Since Inception/5/
----------------------------------------------------------
RCM Global Technology
Portfolio--Class A -7.48% 4.47% -13.45%
- -- Class B -7.74% 4.33% -17.19%
Class E -7.72% 4.42% -4.76%
----------------------------------------------------------
- - - NASDAQ Composite Index/2/ 1.10% 12.69% -5.86%
----------------------------------------------------------
- -- S&P 500 Index/3/ 6.32% 8.28% -1.43%
----------------------------------------------------------
+The chart reflects the performance of Class B shares of the Portfolio. The
performance of Class B shares will differ from that of the other Classes
because of the difference in expenses paid by policyholders investing in the
different share classes.
/1/The Goldman Sachs Technology Index is a modified capitalization-weighted
index of selected technology stocks. The Index does not include fees or
expenses and is not available for direct investment.
/2/The NASDAQ Composite Index is a market-value weighted index of all common
stocks listed on NASDAQ. The Index does not include fees or expenses and is not
available for direct investment.
/3/The S&P 500 Index is an unmanaged index consisting of 500 stocks chosen for
market size, liquidity, and industry group representation. It is a market-value
weighted index (stock price times number of shares outstanding), with each
stock's weight in the Index proportionate to its market value. The Index does
not include fees or expenses and is not available for direct investment.
/4/"Average Annual Return" is calculated including reinvestment of all income
dividends and capital gain distributions.
/5/Inception of the Class A shares is 5/1/01. Inception of the Class B shares
is 2/12/01. Inception of the Class E shares is 10/31/01. Index returns are
based on an inception date of 1/31/01.
The Adviser for the Portfolio changed in January 2005. The Portfolio changed
its name effective May 1, 2005. In addition the Portfolio changed its benchmark
from the S&P 500 Index to the NASDAQ Composite Index.
Past performance does not guarantee future results. The investment return and
principal value of an investment in the Portfolio will fluctuate, so that
shares, on any given day or when redeemed, may be worth more or less than their
original cost.
- --------------------------------------------------------------------------------
58
- --------------------------------------------------------------------------------
THIRD AVENUE SMALL CAP VALUE PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY THIRD AVENUE MANAGEMENT LLC
LETTER TO POLICYHOLDERS
- --------------------------------------------------------------------------------
During the first six months of 2005, the Met Investors Series Trust Third
Avenue Small Cap Value Portfolio--Class A shares ("the Portfolio") appreciated
by 5.84%, compared to an increase of 0.90% for the Russell 2000 Value Index/1/
and to declines of 0.81% and 1.25% for the S&P 500 Index/2 /and Russell 2000
Index/3/ respectively. The strong performance during the first half of 2005 was
driven by meaningful appreciation from some of our real estate holdings,
including Trammell Crow Co. (up 34%), St. Joe Co. (The) (up 27%), and Forest
City Enterprises, Inc.--(Class A) (up 23%). Other investments that contributed
significantly to the solid performance of the Portfolio include RTI
International Metals, Inc. (up 53%) and Whiting Petroleum Corp. (up 20%). These
positive contributions were partially offset by declines in other holdings,
including Superior Industries International, Inc., (down 18%), Leucadia
National Corp. (down 17%), Alamo Group, Inc. (down 31%), Willbros Group, Inc.
(down 38%) and Russ Berrie (down 44%).
During the six-month period, we acquired three new positions and eliminated
four positions, decreasing the number of holdings in the Portfolio to 80. One
of the new positions, American Axle & Manufacturing Holdings, Inc., is a Tier I
supplier to the automotive industry, and a leading manufacturer of driveline
systems and powertrain components. Any investor looking for Baron von
Rothschild's proverbial "blood in the streets" would find it among the U.S.
auto supply industry. As the saying goes, when the "Big 3" catch a cold, the
auto suppliers catch pneumonia, or possibly, worse. Unfortunately for U.S. auto
suppliers, General Motors ("GM") and Ford in particular, have something much
worse than a cold. General Motors, American Axle's main customer, continues to
steadily lose market share to Toyota, Nissan and others. Revenue in the
company's biggest market, North America, fell nearly 13% in the first quarter.
GM's dependency on SUVs and light trucks was grimly illustrated in the first
quarter as sales of those high margin vehicles fell off a cliff. The company
faces increasingly massive health care costs as well, for both current
employees and retirees. GM management has stated that payments for retirees'
health care add about $1,525 to the cost of every vehicle the company sells. In
recognition of these and other negative trends, on May 5, 2005, rating agency
Standard & Poor's cut GM's debt rating to "junk" status (rating agency Fitch
also has since downgraded GM).
Despite the terrible adversity engulfing the U.S. auto industry, we believe
that companies like American Axle & Manufacturing Holdings, Inc., as well as
Superior Industries International, Inc., another auto supplier holding in the
Portfolio--with historically strong businesses and solid capital
structures--will weather the current storm. American Axle & Manufacturing
Holdings, Inc., continues to make strides with other original equipment
manufacturers ("OEMs"), including foreign OEMs, and has meaningful
opportunities to increase its bill of materials with its customers (I.E., by
providing a broader range of components or larger, more complex systems and
increasing its content per vehicle). Shares were purchased near General
Accepted Accounting Principles book value and around seven times 2004's fully
diluted earnings (earnings that are down considerably from the past couple of
years' results, owing to production cuts at GM, higher steel costs, and debt
refinancing charges). Thanks to a major refinancing in 2004, the right side of
the company's balance sheet improved markedly (indeed, the company's interest
expense has been nearly cut in half, and were it not for the new financing,
it's not at all clear we would have purchased shares of American Axle American
Axle & Manufacturing Holdings, Inc.).
Resource conversions (E.G., going private or selling to a strategic buyer)
involving three of the investments in the Portfolio led to the elimination of
those positions in the first half of 2005. LNR Property Corporation was
acquired by LNR Property Holdings, Ltd., for $63.10 per share in cash.
Ascential Software Corporation was acquired by International Business Machines
(IBM) for $18.50 per share in cash, while Hollywood Entertainment was acquired
by Movie Gallery, Inc., in exchange for $13.25 per share in cash. In each case,
the acquisition price represented a significant premium to our cost basis.
Another resource conversion involving a Portfolio holding took place during the
first six months of this year, as Kmart Holding Corp. and Sears, Roebuck and
Co. completed their merger, resulting in a new retail company named Sears
Holdings Corp.
We continue to be very comfortable with Third Avenue's investment philosophy,
and how we are applying it. Furthermore, we believe that our portfolio is well
positioned to benefit from resource conversions, either in the form of
go-private transactions, with the transactions financed largely with the
businesses' surplus cash, or in the form of acquisitions of our companies by
strategic buyers, as was the case in three of the aforementioned transactions.
We continue to believe that the Portfolio has TWO ways to win: resource
conversion, or value recognition by the public markets. We will continue to
strive to find additional investment opportunities that meet our "Safe and
Cheap/4/" criteria today that will enable us to achieve attractive investment
returns in the future.
CURTIS JENSEN
IAN LAPEY
Portfolio Managers
THIRD AVENUE MANAGEMENT LLC
- --------------------------------------------------------------------------------
TOP TEN HOLDINGS BY MARKET VALUE
As of 6/30/05
Percent of
Description Net Assets
--------------------------------------------------
Superior Industries International, Inc. 2.80%
--------------------------------------------------
St. Mary Land & Exploration Co. 2.67%
--------------------------------------------------
Pogo Producing Co. 2.55%
--------------------------------------------------
Whiting Petroleum Corp. 2.51%
--------------------------------------------------
Trammell Crow Co. 2.38%
--------------------------------------------------
St. Joe Co. (The) 2.29%
--------------------------------------------------
Sycamore Networks, Inc. 1.96%
--------------------------------------------------
Fording Canadian Coal Trust 1.88%
--------------------------------------------------
Forest City Enterprises, Inc. 1.86%
--------------------------------------------------
Alexander & Baldwin, Inc. 1.79%
--------------------------------------------------
- --------------------------------------------------------------------------------
59
- --------------------------------------------------------------------------------
THIRD AVENUE SMALL CAP VALUE PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY THIRD AVENUE MANAGEMENT LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION (% of portfolio market value)
As of 6/30/05
LOGO
- --------------------------------------------------------------------------------
60
- --------------------------------------------------------------------------------
THIRD AVENUE SMALL CAP VALUE PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY THIRD AVENUE MANAGEMENT LLC
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
THIRD AVENUE SMALL CAP VALUE PORTFOLIO MANAGED BY
THIRD AVENUE MANAGEMENT LLC VS. RUSSELL 2000 VALUE INDEX/1/
Growth Based on $10,000+
LOGO
-------------------------------------------------------------
Average Annual Return/5/
(for the period ended 6/30/05)
-------------------------------------------------------------
1 Year 3 Year Since Inception/6/
-------------------------------------------------------------
Third Avenue Small Cap Value
- -- Portfolio--Class A 19.88% 19.60% 15.54%
Class B 19.61% 19.37% 15.32%
-------------------------------------------------------------
- - - Russell 2000 Value Index/1/ 14.39% 14.15% 11.35%
-------------------------------------------------------------
+The chart reflects the performance of Class A shares of the Portfolio. The
performance of Class A shares will differ from that of the Class B shares
because of the difference in expenses paid by policyholders investing in the
different share class.
/1/The Russell 2000 Value Index is an unmanaged index and measures the
performance of those Russell 2000 companies with lower price-to-book ratios and
lower forecasted growth values. The Index does not include fees or expenses and
is not available for direct investment.
/2/The S&P 500 Index is an unmanaged index consisting of 500 stocks chosen for
market size, liquidity, and industry group representation. It is a market-value
weighted index (stock price times number of shares outstanding), with each
stock's weight in the Index proportionate to its market value. The Index does
not include fees or expenses and is not available for direct investment.
/3/The Russell 2000 Index measures the performance of the 2,000 smallest
companies in the Russell 3000 Index, which represents approximately 8% of the
total market capitalization of the Russell 3000 Index. As of the latest
reconstitution, the average market capitalization was approximately $664.9
million; the median market capitalization was approximately $539.5 million. The
largest company in the Index had an approximate market capitalization of $1.6
billion. The Index does not include fees or expenses and is not available for
direct investment.
/4/"Safe" signifies that, in Third Avenue's view, the companies have strong
finances, competent management, and an understandable business. "Cheap"
signifies that, in Third Avenue's view, the companies' securities are selling
for significantly less than what a private buyer might pay for control of the
business.
/5/"Average Annual Return" is calculated including reinvestment of all income
dividends and capital gain distributions.
/6/Inception of the Class A and Class B shares is 5/1/02. Index returns are
based on an inception date of 5/1/02.
Past performance does not guarantee future results. The investment return and
principal value of an investment in the Portfolio will fluctuate, so that
shares, on any given day or when redeemed, may be worth more or less than their
original cost.
- --------------------------------------------------------------------------------
61
- --------------------------------------------------------------------------------
T. ROWE PRICE MID-CAP GROWTH PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY T. ROWE PRICE ASSOCIATES, INC.
LETTER TO POLICYHOLDERS
- --------------------------------------------------------------------------------
PERFORMANCE
The Portfolio registered a modest gain, performing in line with the Russell
Midcap Growth Index/1/ for the six months ended June 30, 2005. Stock selection
and the impact of sector weightings were generally favorable, but our consumer
discretionary and health care holdings detracted.
MARKET ENVIRONMENT
Most major U.S. stock indexes struggled in the first half of 2005, despite a
second-quarter rebound. Mid-cap stocks generated a modest gain, however, and
decisively outperformed both large- and small-caps. The market was hindered by
concerns about the pace of economic growth amid surging oil prices--which
reached $60 per barrel in late June--and rising short-term interest rates.
Although growth stocks were better performers in May's market upturn, value
stocks maintained a solid year-to-date advantage as energy and utilities led
our mid-cap benchmark.
PORTFOLIO REVIEW
The information technology, energy, and telecommunications services sectors
aided relative performance. Technology stocks rebounded in the second quarter,
but finished in negative territory for the first half of the year. Strong stock
selection in communications and electronic equipment companies were the primary
drivers of relative performance. Within communications equipment, Adtran and
Harris were key relative contributors. Adtran, a maker of access equipment for
telecom service providers and enterprises, has benefited from strength in the
DSL market. Harris's performance has been aided by strong demand in its
military and international businesses.
Oil prices provided a tailwind for energy stocks. As oil companies spend at
higher levels, demand for equipment and services has increased. Good stock
selection and an overweight in oil and gas producers boosted relative
performance. Wireless services were the source of relative strength in the
telecom sector as continued subscriber growth and industry consolidation
benefited our holdings. Nextel Partners is generating strong growth in the
under-penetrated mid-size and rural U.S. markets.
Our consumer discretionary lagged due to weakness in household durables,
retail, and hotels, restaurant, and leisure positions. Within leisure equipment
& products, boat engine maker Brunswick declined over concerns of a slowdown in
consumer spending. However, we believe that Brunswick's innovation in marine
engines and electronics and its solid dealer network give it an edge in the
industry. High gas prices continue to hurt lower income consumers, the target
of some of our retail holdings. Most notably, Family Dollar struggled on margin
pressure and tough competition from other discount retailers.
Despite strong results in the second quarter, our health care positions weighed
on relative performance, primarily due to stock selection in pharmaceuticals.
Earnings misses led to weakness in our generic pharmaceutical holdings, and
safety concerns over Elan's multiple sclerosis drug caused the stock to be our
largest detractor in the period. Our underweight in the strong health care
services industry also hampered relative results.
OUTLOOK
Mid-cap earnings remain strong and are the primary reason for the asset class's
strong results versus large-caps. Growth stocks appear attractively valued,
given the significant outperformance by value in recent years. We expect
companies with consistent earnings and cash flow growth to be rewarded as the
economic recovery matures.
BRIAN W.H. BERGHUIS
Portfolio Manager
T. ROWE PRICE ASSOCIATES, INC.
- --------------------------------------------------------------------------------
TOP TEN HOLDINGS BY MARKET VALUE
As of 6/30/05
Percent of
Description Net Assets
---------------------------------
Omnicare, Inc. 1.56%
---------------------------------
Rockwell Collins, Inc. 1.48%
---------------------------------
Roper Industries, Inc. 1.41%
---------------------------------
Medimmune, Inc. 1.32%
---------------------------------
Murphy Oil Corp. 1.31%
---------------------------------
Harris Corp. 1.26%
---------------------------------
Best Buy Co., Inc. 1.26%
---------------------------------
BJ Services Co. 1.26%
---------------------------------
EOG Resources, Inc. 1.23%
---------------------------------
Manor Care, Inc. 1.17%
---------------------------------
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION (% of portfolio market value)
As of 6/30/05
[CHART]
Non-Cyclical 30.1%
Technology 14.5%
Communications 12.7%
Cyclical 12.4%
Industrials 12.3%
Financials 9.0%
Energy 6.3%
Basic Materials 2.7%
- --------------------------------------------------------------------------------
62
- --------------------------------------------------------------------------------
T. ROWE PRICE MID-CAP GROWTH PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY T. ROWE PRICE ASSOCIATES, INC.
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
T. ROWE PRICE MID-CAP GROWTH PORTFOLIO MANAGED BY
T. ROWE PRICE ASSOCIATES, INC. VS. RUSSELL MIDCAP GROWTH INDEX/1/
Growth Based on $10,000+
LOGO
---------------------------------------------------------------
Average Annual Return/2/
(for the period ended 6/30/05)
---------------------------------------------------------------
1 Year 3 Year Since Inception/3/
---------------------------------------------------------------
T. Rowe Price Mid-Cap Growth
Portfolio--Class A 11.77% 13.01% -5.43%
- -- Class B 11.60% 12.71% -5.95%
Class E 11.70% 12.84% 0.96%
---------------------------------------------------------------
- - - Russell Midcap Growth Index/1/ 10.87% 14.86% 0.05%
---------------------------------------------------------------
+The chart reflects the performance of Class B shares of the Portfolio. The
performance of Class B shares will differ from that of the other Classes
because of the difference in expenses paid by policyholders investing in the
different share classes.
/1/The Russell Midcap Growth Index is an unmanaged index and measures the
performance of those Russell Midcap companies with higher price-to-book ratios
and higher forecasted growth values. The stocks are also members of the Russell
1000 Growth Index. The Index does not include fees or expenses and is not
available for direct investment.
/2/"Average Annual Return" is calculated including reinvestment of all income
dividends and capital gain distributions.
/3/Inception of the Class A shares is 5/1/01. Inception of the Class B shares
is 2/12/01. Inception of the Class E shares is 10/31/01. Index returns are
based on an inception date of 2/12/01.
Past performance does not guarantee future results. The investment return and
principal value of an investment in the Portfolio will fluctuate, so that
shares, on any given day or when redeemed, may be worth more or less than their
original cost.
- --------------------------------------------------------------------------------
63
- --------------------------------------------------------------------------------
TURNER MID-CAP GROWTH PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY TURNER INVESTMENT PARTNERS, INC.
LETTER TO POLICYHOLDERS
- --------------------------------------------------------------------------------
For the first half of 2005 the Met Investors Series Trust/Turner Investment
Partners Mid-Cap Growth Portfolio--Class A returned 0.98% vs. the 1.70% gain
posted by the Russell Midcap Growth Index/1/. Serving as share-price dampeners
were three phenomena: rising interest rates, rising oil prices, and
sporadically rising inflation. The Federal Reserve boosted short-term rates to
3.25%. Oil prices rose about 40% at one point in June, hitting a 22-year high
of $60.54 a barrel. At various times the Consumer Price Index rose at an annual
rate of 3%--far from catastrophic but nonetheless higher than it has been for
some time. The fear was that upticks in rates, oil prices, and inflation would
depress consumer spending, business investment, corporate profits, and, last
but not least, stock prices.
Overall six of the Portfolio's 10 sector positions beat their corresponding
index sectors. Contributing the most to performance were growth oriented
holdings in the consumer discretionary sector, a 24% weighting. Holdings in the
energy and financial services sectors, a combined 15% weighing also had a
positive impact on performance. Apparel/footwear retail, oil & gas production,
information technology services and wireless telecommunication stocks did
especially well.
Detracting from performance most was a 19% weighing in the healthcare sector.
Stocks that fared relatively poorly included holdings in the biotechnology and
pharmaceutical industries. Also detracting from performance were holdings in
the producer durables and technology sectors, a combined 27% weighting. Stocks
in the semiconductors, aerospace & defense, telecommunications equipment and
electronic production equipment industries had a negative impact on performance.
As always, the Portfolio is emphasizing stocks that we think have the strongest
prospective earnings power: stocks of companies in the Internet, health and
wellness, brokerage, financial-transaction processing, biotechnology, medical
products, software, data-security, semiconductor, and wireless industries.
As of the end of June 2005, the stock market was down for the year-to-date, but
we don't think it will stay down for all of 2005. We don't anticipate any sort
of major cathartic event will take place to push the market into positive
territory. What we do think will happen is that more investors will gradually
realize that stocks are reasonably valued, especially in relation to bonds, and
that earnings should be reasonably good. We've seen a trend over the past
several quarters of companies exceeding Wall Street's earnings expectations.
Those expectations have been modest and thus capable of continuing to be
exceeded. If earnings keep coming in above the targets, then we think the
market should respond positively, as it has in the past. However, keep in mind
that historical trends are no guarantee to positive returns.
TEAM MANAGED
NOTE TO INVESTORS: THE PORTFOLIO IS MANAGED BY A COMMITTEE COMPOSED OF
CHRISTOPHER K. MCHUGH, BILL MCVAIL, CFA, AND ROBERT E. TURNER, CFA. MR. MCHUGH,
SENIOR PORTFOLIO MANAGER/SECURITY ANALYST, CO-FOUNDED TURNER IN 1990 AND IS THE
PORTFOLIO'S LEAD MANAGER. MR. MCVAIL, SENIOR PORTFOLIO MANAGER/SECURITY
ANALYST, JOINED TURNER IN 1998. MR. TURNER, CHAIRMAN AND CHIEF INVESTMENT
OFFICER--GROWTH EQUITIES, CO-FOUNDED TURNER IN 1990.
TOP TEN HOLDINGS BY MARKET VALUE
As of 6/30/05
Percent of
Description Net Assets
------------------------------------
Coach, Inc. 1.93%
------------------------------------
Wellpoint, Inc. 1.70%
------------------------------------
Bed Bath & Beyond, Inc. 1.54%
------------------------------------
Juniper Networks, Inc. 1.51%
------------------------------------
Roper Industries, Inc. 1.50%
------------------------------------
Broadcom Corp. 1.49%
------------------------------------
T. Rowe Price Group, Inc. 1.44%
------------------------------------
Fortune Brands, Inc. 1.44%
------------------------------------
Chico's FAS, Inc. 1.43%
------------------------------------
Monster Worldwide, Inc. 1.42%
------------------------------------
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION (% of portfolio market value)
As of 6/30/05
[CHART]
Non-Cyclical 22.0%
Cyclical 19.8%
Technology 18.6%
Industrials 11.1%
Communications 9.6%
Financials 9.2%
Energy 7.0%
Basic Materials 2.7%
- --------------------------------------------------------------------------------
64
- --------------------------------------------------------------------------------
TURNER MID-CAP GROWTH PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY TURNER INVESTMENT PARTNERS, INC.
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
TURNER MID-CAP GROWTH PORTFOLIO MANAGED BY
TURNER INVESTMENT PARTNERS, INC. VS. RUSSELL MIDCAP GROWTH INDEX/2/
Growth Based on $10,000+
[CHART]
Turner Mid-Cap Growth Russell Mid Cap Growth Index
--------------------- ----------------------------
4/04 $10,000 $10,000
6/04 10,410 10,399
9/04 9,700 9,949
12/04 11,230 11,336
3/05 10,960 11,146
6/05 11,341 11,529
--------------------------------------------------------------
Average Annual Return/3/
(for the period ended 6/30/05)
--------------------------------------------------------------
1 Year Since Inception/4/
--------------------------------------------------------------
Turner Mid-Cap Growth
- -- Portfolio--Class A 8.93% 13.40%
Class B 8.65% 13.10%
--------------------------------------------------------------
- - - Russell Midcap Growth Index/2/ 10.86% 12.93%
--------------------------------------------------------------
+The chart reflects the performance of Class A shares of the Portfolio. The
performance of Class A shares will differ from that of the Class B shares
because of the difference in expenses paid by policyholders investing in the
different share class.
/1/The Russell Midcap Index is an unmanaged index and measures the performance
of the 800 smallest companies in the Russell 1000 Index, which represent
approximately 25% of the total market capitalization of the Russell 1000 Index.
As of the latest reconstitution, the average market capitalization was
approximately $4.7 billion; the median market capitalization was approximately
$3.6 billion. The largest company in the Index had a market capitalization of
$13.7 billion. The Index does not include fees or expenses and is not available
for direct investment.
/2/The Russell Midcap Growth Index is an unmanaged index and measures the
performance of those Russell Midcap companies with higher price-to-book ratios
and higher forecasted growth values. The stocks are also members of the Russell
1000 Growth index. The Index does not include fees or expenses and is not
available for direct investment.
/3/"Average Annual Return" is calculated including reinvestment of all income
dividends and capital gain distributions.
/4/Inception of the Class A and Class B shares is 5/1/04. Index returns are
based on an inception date of 4/30/04.
Past performance does not guarantee future results. The investment return and
principal value of an investment in the Portfolio will fluctuate, so that
shares, on any given day or when redeemed, may be worth more or less than their
original cost.
- --------------------------------------------------------------------------------
65
- --------------------------------------------------------------------------------
VAN KAMPEN COMSTOCK PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY MORGAN STANLEY INVESTMENT MANAGEMENT, INC.
LETTER TO POLICYHOLDERS
- --------------------------------------------------------------------------------
MARKET CONDITIONS
The two months spanning the Portfolio's commencement of operations on May 1,
2005 through June 30, 2005, encompassed a notable (though not dramatic) stock
market rally. Bouncing off its April low, the market was up in May due to
improving investor sentiment. A retreat in oil prices, positive economic data,
and respectable first quarter earnings reports gave investors reasons to be
more optimistic. However, sentiment shifted in June. Federal Reserve Board
Chairman Alan Greenspan dashed earlier hopes that the Federal Open Market
Committee (the "Fed") was nearly finished raising the federal funds rate and
crude oil surged north of $60 per barrel. Nonetheless, the market eked out a
small gain for the month of June, and finished the two-month period up 3.33%,
as measured by the S&P 500 Index/1/.
PERFORMANCE ANALYSIS
The Portfolio--Class A shares returned 0.60% (non-annualized) for the period
since inception, May 1, 2005, through June 30, 2005. By comparison, the
Portfolio's benchmark, the S&P 500 Index, returned 3.33% for the same period.
To preface, we note that we follow a "bottom up" approach to investing.
Accordingly, all the overall sector weightings of the portfolio are a result of
individual stock picks rather than a macroeconomic or broad sector call. Within
this context, the Portfolio lagged the S&P 500 Index primarily due to the
Portfolio's considerable materials sector overweight. Materials stocks were
also the Portfolio's largest detractor on an absolute basis. Paper stocks fell
short in the wake of a challenging environment. Specifically, soaring energy
and commodity costs required to produce paper have cut into these companies'
profit margins. Additionally, due to overcapacity in the industry, pricing
power has been relatively sluggish. We are patient, however, and continue to
monitor the situation carefully.
Stock selection in media and entertainment stocks also hampered the Portfolio's
return relative to the benchmark index. Advertising revenues, a significant
portion of media companies' earnings, remained weak. Furthermore, the radio
industry has suffered from a diminished outlook given competition from
alternate formats such as satellite radio and MP3 players. Nonetheless, we
selectively added to media companies that were attractively valued by our
measures.
The Portfolio's pharmaceuticals holdings also lost ground. However, we
continued to maintain these positions, as our long-term view has not been
deterred by the negative sentiment that plagues the group.
In contrast, the Portfolio's underweight in industrials, a weak performing
group in the overall market, proved advantageous. The industrials sector
represented a very small portion of the Portfolio, limiting the Portfolio's
exposure to downside performance here. In our view, the sector has not offered
many compelling investment opportunities in the recent past. Stock selection in
the energy sector also boosted the Portfolio's returns relative to the
benchmark. High oil prices continued to support a very favorable environment
for many crude oil related companies.
At the close of the period, the Portfolio's significant underweights relative
to the S&P 500 Index were in industrials and information technology, where
stocks have been expensive by our measures. Conversely, the Portfolio was most
overweighted relative to the benchmark in materials and telecommunications
services. Beleaguered materials stocks have continued to show up in our stock
screens. The historical corrections that are typical in this cyclical sector
have not dampened our long-term fundamental outlook. Although recent
improvements such as healthier balance sheets and consolidation have benefited
overall industry fundamentals, the long-suffering telecom sector still remains
undervalued in our view. However, unimpressive management teams and shifting
business models could signal value "traps." We continue to watch the stocks
closely.
OUTLOOK
We are more concerned with balance sheets and the financial health of
individual companies than broad market trends or economic forecasting. Although
market conditions have challenged us to find new investment opportunities
lately, we maintain our focus on stocks with reasonable valuations relative to
our assessment of fair value.
PORTFOLIO MANAGEMENT
The Portfolio is managed by Van Kampen's Multi-Cap Value team which is made up
of established investment professionals. Current members of the team include B.
Robert Baker, Jr., Jason S. Leder and Kevin C. Holt. Mr. Baker is a Managing
Director with Van Kampen and has been employed by Van Kampen since 1991.
Mr. Leder and Mr. Holt are Executive Directors with Van Kampen and have been
employed by Van Kampen since 1995 and 1999, respectively.
THERE IS NO GUARANTEE THE SECURITY SECTORS MENTIONED WILL CONTINUE TO PERFORM
WELL OR BE HELD BY THE FUND IN THE FUTURE.
- --------------------------------------------------------------------------------
TOP TEN HOLDINGS BY MARKET VALUE
As of 6/30/05
Percent of
Description Net Assets
-------------------------------------------
GlaxoSmithKline Plc (ADR) 4.61%
-------------------------------------------
Federal Home Loan Mortgage Corp. 3.89%
-------------------------------------------
Bristol-Myers Squibb Co. 3.23%
-------------------------------------------
Verizon Communications, Inc. 3.11%
-------------------------------------------
International Paper Co. 3.04%
-------------------------------------------
Bank of America Corp. 3.03%
-------------------------------------------
SBC Communications, Inc. 2.82%
-------------------------------------------
Citigroup, Inc. 2.46%
-------------------------------------------
Georgia-Pacific Corp. 2.26%
-------------------------------------------
Halliburton Co. 2.19%
-------------------------------------------
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION (% of portfolio market value)
As of 6/30/05
[CHART]
Non-Cyclical 25.7%
Financials 24.8%
Communications 18.2%
Basic Materials 11.5%
Energy 6.3%
Cyclical 6.1%
Technology 3.1%
Utilities 2.8%
Industrials 1.5%
- --------------------------------------------------------------------------------
66
- --------------------------------------------------------------------------------
VAN KAMPEN COMSTOCK PORTFOLIO FOR THE PERIOD ENDED 6/30/05
MANAGED BY MORGAN STANLEY INVESTMENT MANAGEMENT, INC.
LETTER TO POLICYHOLDERS (CONTINUED)
- --------------------------------------------------------------------------------
VAN KAMPEN COMSTOCK PORTFOLIO MANAGED BY
MORGAN STANLEY INVESTMENT MANAGEMENT, INC. VS. S&P 500 INDEX/1/
Growth Based on $10,000+
[CHART]
Van Kampen Commstock S&P 500
-------------------- -------
4/05 $10,000 $10,000
6/05 10,060 10,333
--------------------------------------------------
Cumulative Return/2/
(for the period ended 6/30/05)
--------------------------------------------------
Since Inception/3/
--------------------------------------------------
Van Kampen Comstock
- -- Portfolio--Class A 0.60%
Class B 0.60%
--------------------------------------------------
- - - S&P 500 Index/1/ 3.33%
--------------------------------------------------
+The chart reflects the performance of Class A shares of the Portfolio. The
performance of Class A shares will differ from that of the Class B shares
because of the difference in expenses paid by policyholders investing in the
different share class.
/1/The S&P 500 Index is an unmanaged index consisting of 500 stocks chosen for
market size, liquidity, and industry group representation. It is a market-value
weighted index (stock price times number of shares outstanding), with each
stock's weight in the Index proportionate to its market value. The Index does
not include fees or expenses and is not available for direct investment.
/2/"Cumulative Return" is calculated including reinvestment of all income
dividends and capital gain distributions.
/3/Inception of Class A and Class B shares is 5/1/05. Index returns are based
on an inception date of 4/30/05.
Past performance does not guarantee future results. The investment return and
principal value of an investment in the Portfolio will fluctuate, so that
shares, on any given day or when redeemed, may be worth more or less than their
original cost.
- --------------------------------------------------------------------------------
67
MET INVESTORS SERIES TRUST
UNDERSTANDING YOUR PORTFOLIO'S EXPENSES
SHAREHOLDER EXPENSE EXAMPLE
As a mutual fund shareholder you may incur two types of costs: (1) TRANSACTION
COSTS, including sales charges (loads) on purchase payments and redemption fees
and (2) ONGOING COSTS, including management fees, distribution (12b-1) fees,
shareholder services fees and other Portfolio expenses. For Met Investors
Series Trust sales charges and redemption fees do not apply and Class A does
not charge a distribution (12b-1) fee. Costs are described in more detail in
the Portfolio's prospectus. The examples below are intended to help you
understand your ongoing costs of investing in the Portfolios and help you
compare these with the ongoing costs of investing in other mutual funds.
ACTUAL EXPENSES
The first line in the table for each Class of shares shows the ACTUAL account
values and ACTUAL Portfolio expenses you would have paid on a $1,000 investment
in the Portfolio from January 1, 2005 through June 30, 2005. It also shows how
much a $1,000 investment would be worth at the close of the period, assuming
ACTUAL Portfolio returns and expenses. To estimate the expenses you paid over
the period, simply divide your account by $1,000 (for example $8,600 account
value divided by $1,000 = 8.6) and multiply the result by the number in the
"Expenses Paid During Period" column as shown below for your Portfolio and
Class.
HYPOTHETICAL EXAMPLE FOR COMPARISON PURPOSES
The second line of the table below provides information about hypothetical
account values and hypothetical expenses based on the Portfolio's actual
expense ratio and an ASSUMED rate of return of 5% per year before expenses,
which is not the Portfolio'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 the Portfolio 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. Therefore, the second line of the table is useful in
comparing ongoing costs only, and will not help you determine the relative
TOTAL costs of owning different Portfolios. In addition, if these transaction
costs were included, your costs would have been higher.
BEGINNING ENDING EXPENSES PAID
ACCOUNT VALUE ACCOUNT VALUE DURING PERIOD*
1/1/05 6/30/05 1/1/05-6/30/05
MET/AIM MID CAP CORE EQUITY PORTFOLIO ------------- ------------- --------------
Class A
Actual $1,000.00 $1,021.94 $3.99
Hypothetical (5% return before expenses) 1,000.00 1,020.85 3.98
- ------------------------------------------ ------------- ------------- --------------
Class B
Actual 1,000.00 1,019.91 5.20
Hypothetical (5% return before expenses) 1,000.00 1,019.64 5.20
- ------------------------------------------ ------------- ------------- --------------
Class E
Actual 1,000.00 1,020.57 4.70
Hypothetical (5% return before expenses) 1,000.00 1,020.14 4.70
- ------------------------------------------ ------------- ------------- --------------
* Expenses are equal to the Portfolio's annualized expense ratio of 0.79%,
1.04%, and 0.94% for the Class A, Class B, and Class E, respectively,
multiplied by the average account value over the period, multiplied by 181/365
(to reflect the one-half year period).
BEGINNING ENDING EXPENSES PAID
ACCOUNT VALUE ACCOUNT VALUE DURING PERIOD*
1/1/05 6/30/05 1/1/05-6/30/05
MET/AIM SMALL CAP GROWTH PORTFOLIO ------------- ------------- --------------
Class A
Actual $1,000.00 $1,019.47 $5.26
Hypothetical (5% return before expenses) 1,000.00 1,019.59 5.26
- ------------------------------------------ ------------- ------------- --------------
Class B
Actual 1,000.00 1,018.05 6.50
Hypothetical (5% return before expenses) 1,000.00 1,018.35 6.51
- ------------------------------------------ ------------- ------------- --------------
Class E
Actual 1,000.00 1,018.75 6.01
Hypothetical (5% return before expenses) 1,000.00 1,018.84 6.01
- ------------------------------------------ ------------- ------------- --------------
* Expenses are equal to the Portfolio's annualized expense ratio of 1.05%,
1.30%, and 1.20% for the Class A, Class B, and Class E, respectively,
multiplied by the average account value over the period, multiplied by 181/365
(to reflect the one-half year period).
68
MET INVESTORS SERIES TRUST
UNDERSTANDING YOUR PORTFOLIO'S EXPENSES - CONTINUED
BEGINNING ENDING EXPENSES PAID
ACCOUNT VALUE ACCOUNT VALUE DURING PERIOD*
1/1/05 6/30/05 1/1/05-6/30/05
GOLDMAN SACHS MID-CAP VALUE PORTFOLIO ------------- ------------- --------------
Class A
Actual $1,000.00 $1,061.98 $4.08
Hypothetical (5% return before expenses) 1,000.00 1,020.84 3.99
- ------------------------------------------ ------------- ------------- --------------
Class B
Actual 1,000.00 1,061.09 5.33
Hypothetical (5% return before expenses) 1,000.00 1,019.63 5.22
- ------------------------------------------ ------------- ------------- --------------
* Expenses are equal to the Portfolio's annualized expense ratio of 0.80% and
1.04% for the Class A and Class B, respectively, multiplied by the average
account value over the period, multiplied by 181/365 (to reflect the one-half
year period).
BEGINNING ENDING EXPENSES PAID
ACCOUNT VALUE ACCOUNT VALUE DURING PERIOD*
1/1/05 6/30/05 1/1/05-6/30/05
HARRIS OAKMARK INTERNATIONAL PORTFOLIO ------------- ------------- --------------
Class A
Actual $1,000.00 $1,019.50 $4.70
Hypothetical (5% return before expenses) 1,000.00 1,020.14 4.70
- ------------------------------------------ ------------- ------------- --------------
Class B
Actual 1,000.00 1,018.22 5.91
Hypothetical (5% return before expenses) 1,000.00 1,018.93 5.92
- ------------------------------------------ ------------- ------------- --------------
Class E
Actual 1,000.00 1,018.18 5.43
Hypothetical (5% return before expenses) 1,000.00 1,019.41 5.44
- ------------------------------------------ ------------- ------------- --------------
* Expenses are equal to the Portfolio's annualized expense ratio of 0.94%,
1.18%, and 1.09% for the Class A, Class B, and Class E, respectively,
multiplied by the average account value over the period, multiplied by 181/365
(to reflect the one-half year period).
BEGINNING ENDING EXPENSES PAID
ACCOUNT VALUE ACCOUNT VALUE DURING PERIOD*
1/1/05 6/30/05 1/1/05-6/30/05
JANUS AGGRESSIVE GROWTH PORTFOLIO ------------- ------------- --------------
Class A
Actual $1,000.00 $1,006.54 $3.62
Hypothetical (5% return before expenses) 1,000.00 1,021.18 3.65
- ------------------------------------------ ------------- ------------- --------------
Class B
Actual 1,000.00 1,005.28 4.90
Hypothetical (5% return before expenses) 1,000.00 1,019.91 4.94
- ------------------------------------------ ------------- ------------- --------------
Class E
Actual 1,000.00 1,006.59 4.39
Hypothetical (5% return before expenses) 1,000.00 1,020.42 4.42
- ------------------------------------------ ------------- ------------- --------------
* Expenses are equal to the Portfolio's annualized expense ratio of 0.73%,
0.99%, and 0.88% for the Class A, Class B, and Class E, respectively,
multiplied by the average account value over the period, multiplied by 181/365
(to reflect the one-half year period).
BEGINNING ENDING EXPENSES PAID
ACCOUNT VALUE ACCOUNT VALUE DURING PERIOD*
1/1/05 6/30/05 1/1/05-6/30/05
LORD ABBETT AMERICA'S VALUE PORTFOLIO ------------- ------------- --------------
Class B
Actual $1,000.00 $1,009.59 $5.48
Hypothetical (5% return before expenses) 1,000.00 1,019.34 5.51
- ------------------------------------------ ------------- ------------- --------------
* Expenses are equal to the Portfolio's annualized expense ratio of 1.10%
multiplied by the average account value over the period, multiplied by 181/365
(to reflect the one-half year period).
BEGINNING ENDING EXPENSES PAID
ACCOUNT VALUE ACCOUNT VALUE DURING PERIOD*
1/1/05 6/30/05 1/1/05-6/30/05
LORD ABBETT BOND DEBENTURE PORTFOLIO ------------- ------------- --------------
Class A
Actual $1,000.00 $ 997.63 $2.80
Hypothetical (5% return before expenses) 1,000.00 1,021.99 2.83
- ------------------------------------------ ------------- ------------- --------------
Class B
Actual 1,000.00 996.81 4.03
Hypothetical (5% return before expenses) 1,000.00 1,020.76 4.08
- ------------------------------------------ ------------- ------------- --------------
Class E
Actual 1,000.00 996.82 3.54
Hypothetical (5% return before expenses) 1,000.00 1,021.25 3.58
- ------------------------------------------ ------------- ------------- --------------
* Expenses are equal to the Portfolio's annualized expense ratio of 0.57%,
0.81%, and 0.71% for the Class A, Class B, and Class E, respectively,
multiplied by the average account value over the period, multiplied by 181/365
(to reflect the one-half year period).
69
MET INVESTORS SERIES TRUST
UNDERSTANDING YOUR PORTFOLIO'S EXPENSES - CONTINUED
BEGINNING ENDING EXPENSES PAID
ACCOUNT VALUE ACCOUNT VALUE DURING PERIOD*
1/1/05 6/30/05 1/1/05-6/30/05
LORD ABBETT GROWTH AND INCOME PORTFOLIO ------------- ------------- --------------
Class A
Actual $1,000.00 $ 970.85 $2.59
Hypothetical (5% return before expenses) 1,000.00 1,022.17 2.65
- ------------------------------------------ ------------- ------------- --------------
Class B
Actual 1,000.00 969.56 3.80
Hypothetical (5% return before expenses) 1,000.00 1,020.94 3.90
- ------------------------------------------ ------------- ------------- --------------
* Expenses are equal to the Portfolio's annualized expense ratio of 0.53% and
0.78% for the Class A and Class B, respectively, multiplied by the average
account value over the period, multiplied by 181/365 (to reflect the one-half
year period).
BEGINNING ENDING EXPENSES PAID
ACCOUNT VALUE ACCOUNT VALUE DURING PERIOD*
1/1/05 6/30/05 1/1/05-6/30/05
LORD ABBETT GROWTH OPPORTUNITIES PORTFOLIO ------------- ------------- --------------
Class A
Actual $1,000.00 $ 989.45 $4.44
Hypothetical (5% return before expenses) 1,000.00 1,020.33 4.51
- ------------------------------------------ ------------- ------------- --------------
Class B
Actual 1,000.00 988.35 5.67
Hypothetical (5% return before expenses) 1,000.00 1,019.09 5.76
- ------------------------------------------ ------------- ------------- --------------
* Expenses are equal to the Portfolio's annualized expense ratio of 0.90% and
1.15% for the Class A and Class B, respectively, multiplied by the average
account value over the period, multiplied by 181/365 (to reflect the one-half
year period).
BEGINNING ENDING EXPENSES PAID
ACCOUNT VALUE ACCOUNT VALUE DURING PERIOD*
1/1/05 6/30/05 1/1/05-6/30/05
LORD ABBETT MID-CAP VALUE PORTFOLIO ------------- ------------- --------------
Class A
Actual $1,000.00 $1,023.57 $3.83
Hypothetical (5% return before expenses) 1,000.00 1,021.01 3.83
- ------------------------------------------ ------------- ------------- --------------
Class B
Actual 1,000.00 1,022.35 5.09
Hypothetical (5% return before expenses) 1,000.00 1,019.76 5.08
- ------------------------------------------ ------------- ------------- --------------
* Expenses are equal to the Portfolio's annualized expense ratio of 0.76% and
1.01% for the Class A and Class B, respectively, multiplied by the average
account value over the period, multiplied by 181/365 (to reflect the one-half
year period).
BEGINNING ENDING EXPENSES PAID
ACCOUNT VALUE ACCOUNT VALUE DURING PERIOD*
1/1/05 6/30/05 1/1/05-6/30/05
METLIFE AGGRESSIVE STRATEGY PORTFOLIO ------------- ------------- --------------
Class B
Actual $1,000.00 $1,005.60 $1.74
Hypothetical (5% return before expenses) 1,000.00 1,023.06 1.76
- ------------------------------------------ ------------- ------------- --------------
* Expenses are equal to the Portfolio's annualized expense ratio of 0.35%
multiplied by the average account value over the period, multiplied by 181/365
(to reflect the one-half year period).
BEGINNING ENDING EXPENSES PAID
ACCOUNT VALUE ACCOUNT VALUE DURING PERIOD*
1/1/05 6/30/05 1/1/05-6/30/05
METLIFE BALANCED STRATEGY PORTFOLIO ------------- ------------- --------------
Class B
Actual $1,000.00 $1,006.80 $1.63
Hypothetical (5% return before expenses) 1,000.00 1,023.17 1.64
- ------------------------------------------ ------------- ------------- --------------
* Expenses are equal to the Portfolio's annualized expense ratio of 0.33%
multiplied by the average account value over the period, multiplied by 181/365
(to reflect the one-half year period).
BEGINNING ENDING EXPENSES PAID
ACCOUNT VALUE ACCOUNT VALUE DURING PERIOD*
1/1/05 6/30/05 1/1/05-6/30/05
METLIFE DEFENSIVE STRATEGY PORTFOLIO ------------- ------------- --------------
Class B
Actual $1,000.00 $1,009.00 $1.74
Hypothetical (5% return before expenses) 1,000.00 1,023.06 1.76
- ------------------------------------------ ------------- ------------- --------------
* Expenses are equal to the Portfolio's annualized expense ratio of 0.35%
multiplied by the average account value over the period, multiplied by 181/365
(to reflect the one-half year period).
70
MET INVESTORS SERIES TRUST
UNDERSTANDING YOUR PORTFOLIO'S EXPENSES - CONTINUED
BEGINNING ENDING EXPENSES PAID
ACCOUNT VALUE ACCOUNT VALUE DURING PERIOD*
1/1/05 6/30/05 1/1/05-6/30/05
METLIFE GROWTH STRATEGY PORTFOLIO ------------- ------------- --------------
Class B
Actual $1,000.00 $1,005.70 $1.64
Hypothetical (5% return before expenses) 1,000.00 1,023.16 1.65
- ------------------------------------------ ------------- ------------- --------------
* Expenses are equal to the Portfolio's annualized expense ratio of 0.33%
multiplied by the average account value over the period, multiplied by 181/365
(to reflect the one-half year period).
BEGINNING ENDING EXPENSES PAID
ACCOUNT VALUE ACCOUNT VALUE DURING PERIOD*
1/1/05 6/30/05 1/1/05-6/30/05
METLIFE MODERATE STRATEGY PORTFOLIO ------------- ------------- --------------
Class B
Actual $1,000.00 $1,006.90 $1.74
Hypothetical (5% return before expenses) 1,000.00 1,023.06 1.76
- ------------------------------------------ ------------- ------------- --------------
* Expenses are equal to the Portfolio's annualized expense ratio of 0.35%
multiplied by the average account value over the period, multiplied by 181/365
(to reflect the one-half year period).
BEGINNING ENDING EXPENSES PAID
ACCOUNT VALUE ACCOUNT VALUE DURING PERIOD*
1/1/05 6/30/05 1/1/05-6/30/05
MFS RESEARCH INTERNATIONAL PORTFOLIO ------------- ------------- --------------
Class A
Actual $1,000.00 $ 976.11 $4.84
Hypothetical (5% return before expenses) 1,000.00 1,019.90 4.94
- ------------------------------------------ ------------- ------------- --------------
Class B
Actual 1,000.00 974.32 6.10
Hypothetical (5% return before expenses) 1,000.00 1,018.61 6.24
- ------------------------------------------ ------------- ------------- --------------
Class E
Actual 1,000.00 975.21 5.61
Hypothetical (5% return before expenses) 1,000.00 1,019.11 5.74
- ------------------------------------------ ------------- ------------- --------------
* Expenses are equal to the Portfolio's annualized expense ratio of 0.99%,
1.25%, and 1.15% for the Class A, Class B, and Class E, respectively,
multiplied by the average account value over the period, multiplied by 181/365
(to reflect the one-half year period).
BEGINNING ENDING EXPENSES PAID
ACCOUNT VALUE ACCOUNT VALUE DURING PERIOD*
1/1/05 6/30/05 1/1/05-6/30/05
NEUBERGER BERMAN REAL ESTATE PORTFOLIO ------------- ------------- --------------
Class A
Actual $1,000.00 $1,067.36 $3.57
Hypothetical (5% return before expenses) 1,000.00 1,021.34 3.49
- ------------------------------------------ ------------- ------------- --------------
Class B
Actual 1,000.00 1,066.56 4.84
Hypothetical (5% return before expenses) 1,000.00 1,020.11 4.74
- ------------------------------------------ ------------- ------------- --------------
Class E
Actual 1,000.00 1,066.56 4.33
Hypothetical (5% return before expenses) 1,000.00 1,020.60 4.24
- ------------------------------------------ ------------- ------------- --------------
* Expenses are equal to the Portfolio's annualized expense ratio of 0.70%,
0.95%, and 0.85% for the Class A, Class B, and Class E, respectively,
multiplied by the average account value over the period, multiplied by 181/365
(to reflect the one-half year period).
BEGINNING ENDING EXPENSES PAID
ACCOUNT VALUE ACCOUNT VALUE DURING PERIOD*
1/1/05 6/30/05 1/1/05-6/30/05
OPPENHEIMER CAPITAL APPRECIATION PORTFOLIO ------------- ------------- --------------
Class A
Actual $1,000.00 $ 977.27 $3.47
Hypothetical (5% return before expenses) 1,000.00 1,021.28 3.55
- ------------------------------------------ ------------- ------------- --------------
Class B
Actual 1,000.00 975.93 4.64
Hypothetical (5% return before expenses) 1,000.00 1,020.10 4.74
- ------------------------------------------ ------------- ------------- --------------
Class E**
Actual 1,000.00 1,025.09 1.54
Hypothetical (5% return before expenses) 1,000.00 1,006.83 1.53
- ------------------------------------------ ------------- ------------- --------------
* Expenses are equal to the Portfolio's annualized expense ratio of 0.71%,
0.95% and 0.91% for the Class A, Class B and Class E, respectively, multiplied
by the average account value over the period, multiplied by 181/365 (to reflect
the one-half year period).
** Inception Date 5/1/05
71
MET INVESTORS SERIES TRUST
UNDERSTANDING YOUR PORTFOLIO'S EXPENSES - CONTINUED
BEGINNING ENDING EXPENSES PAID
ACCOUNT VALUE ACCOUNT VALUE DURING PERIOD*
1/1/05 6/30/05 1/1/05-6/30/05
PIMCO INFLATION PROTECTED BOND PORTFOLIO ------------- ------------- --------------
Class A
Actual $1,000.00 $1,019.74 $2.76
Hypothetical (5% return before expenses) 1,000.00 1,022.06 2.76
- ------------------------------------------ ------------- ------------- --------------
Class B
Actual 1,000.00 1,019.76 4.00
Hypothetical (5% return before expenses) 1,000.00 1,020.84 4.00
- ------------------------------------------ ------------- ------------- --------------
* Expenses are equal to the Portfolio's annualized expense ratio of 0.55% and
0.80% for the Class A and Class B, respectively, multiplied by the average
account value over the period, multiplied by 181/365 (to reflect the one-half
year period).
BEGINNING ENDING EXPENSES PAID
ACCOUNT VALUE ACCOUNT VALUE DURING PERIOD*
1/1/05 6/30/05 1/1/05-6/30/05
PIMCO TOTAL RETURN PORTFOLIO ------------- ------------- --------------
Class A
Actual $1,000.00 $1,026.30 $2.93
Hypothetical (5% return before expenses) 1,000.00 1,021.90 2.92
- ------------------------------------------ ------------- ------------- --------------
Class B
Actual 1,000.00 1,024.80 4.17
Hypothetical (5% return before expenses) 1,000.00 1,020.67 4.16
- ------------------------------------------ ------------- ------------- --------------
Class E
Actual 1,000.00 1,025.60 3.67
Hypothetical (5% return before expenses) 1,000.00 1,021.17 3.66
- ------------------------------------------ ------------- ------------- --------------
* Expenses are equal to the Portfolio's annualized expense ratio of 0.58%,
0.83%, and 0.73% for the Class A, Class B, and Class E, respectively,
multiplied by the average account value over the period, multiplied by 181/365
(to reflect the one-half year period).
BEGINNING ENDING EXPENSES PAID
ACCOUNT VALUE ACCOUNT VALUE DURING PERIOD*
1/1/05 6/30/05 1/1/05-6/30/05
MET/PUTNAM CAPITAL OPPORTUNITIES PORTFOLIO ------------- ------------- --------------
Class A
Actual $1,000.00 $1,004.25 $6.02
Hypothetical (5% return before expenses) 1,000.00 1,018.79 6.06
- ------------------------------------------ ------------- ------------- --------------
Class B
Actual 1,000.00 1,002.86 7.26
Hypothetical (5% return before expenses) 1,000.00 1,017.55 7.31
- ------------------------------------------ ------------- ------------- --------------
* Expenses are equal to the Portfolio's annualized expense ratio of 1.21% and
1.46% for the Class A and Class B, respectively, multiplied by the average
account value over the period, multiplied by 181/365 (to reflect the one-half
year period).
BEGINNING ENDING EXPENSES PAID
ACCOUNT VALUE ACCOUNT VALUE DURING PERIOD*
1/1/05 6/30/05 1/1/05-6/30/05
RCM GLOBAL TECHNOLOGY PORTFOLIO ------------- ------------- --------------
Class A
Actual $1,000.00 $ 954.55 $5.33
Hypothetical (5% return before expenses) 1,000.00 1,019.34 5.51
- ------------------------------------------ ------------- ------------- --------------
Class B
Actual 1,000.00 954.15 6.54
Hypothetical (5% return before expenses) 1,000.00 1,018.10 6.75
- ------------------------------------------ ------------- ------------- --------------
Class E
Actual 1,000.00 954.25 6.06
Hypothetical (5% return before expenses) 1,000.00 1,018.60 6.26
- ------------------------------------------ ------------- ------------- --------------
* Expenses are equal to the Portfolio's annualized expense ratio of 1.10%,
1.35%, and 1.25% for the Class A, Class B, and Class E, respectively,
multiplied by the average account value over the period, multiplied by 181/365
(to reflect the one-half year period).
72
MET INVESTORS SERIES TRUST
UNDERSTANDING YOUR PORTFOLIO'S EXPENSES - CONTINUED
BEGINNING ENDING EXPENSES PAID
ACCOUNT VALUE ACCOUNT VALUE DURING PERIOD*
1/1/05 6/30/05 1/1/05-6/30/05
THIRD AVENUE SMALL CAP PORTFOLIO ------------- ------------- --------------
Class A
Actual $1,000.00 $1,058.41 $4.13
Hypothetical (5% return before expenses) 1,000.00 1,020.78 4.06
- ------------------------------------------ ------------- ------------- --------------
Class B
Actual 1,000.00 1,057.06 5.38
Hypothetical (5% return before expenses) 1,000.00 1,019.56 5.28
- ------------------------------------------ ------------- ------------- --------------
* Expenses are equal to the Portfolio's annualized expense ratio of 0.81% and
1.06% for the Class A and Class B, respectively, multiplied by the average
account value over the period, multiplied by 181/365 (to reflect the one-half
year period).
BEGINNING ENDING EXPENSES PAID
ACCOUNT VALUE ACCOUNT VALUE DURING PERIOD*
1/1/05 6/30/05 1/1/05-6/30/05
T. ROWE PRICE MID-CAP GROWTH PORTFOLIO ------------- ------------- --------------
Class A
Actual $1,000.00 $1,018.54 $4.05
Hypothetical (5% return before expenses) 1,000.00 1,020.78 4.06
- ------------------------------------------ ------------- ------------- --------------
Class B
Actual 1,000.00 1,017.40 5.29
Hypothetical (5% return before expenses) 1,000.00 1,019.55 5.30
- ------------------------------------------ ------------- ------------- --------------
Class E
Actual 1,000.00 1,018.67 4.80
Hypothetical (5% return before expenses) 1,000.00 1,020.04 4.80
- ------------------------------------------ ------------- ------------- --------------
* Expenses are equal to the Portfolio's annualized expense ratio of 0.81%,
1.06%, and 0.96% for the Class A, Class B, and Class E, respectively,
multiplied by the average account value over the period, multiplied by 181/365
(to reflect the one-half year period).
BEGINNING ENDING EXPENSES PAID
ACCOUNT VALUE ACCOUNT VALUE DURING PERIOD*
1/1/05 6/30/05 1/1/05-6/30/05
TURNER MID-CAP GROWTH PORTFOLIO ------------- ------------- --------------
Class A
Actual $1,000.00 $1,009.80 $4.41
Hypothetical (5% return before expenses) 1,000.00 1,020.41 4.43
- ------------------------------------------ ------------- ------------- --------------
Class B
Actual 1,000.00 1,008.02 5.60
Hypothetical (5% return before expenses) 1,000.00 1,019.22 5.63
- ------------------------------------------ ------------- ------------- --------------
* Expenses are equal to the Portfolio's annualized expense ratio of 0.88% and
1.12% for Class A and Class B, respectively, multiplied by the average account
value over the period, multiplied by 181/365 (to reflect the one-half year
period).
BEGINNING ENDING EXPENSES PAID
ACCOUNT VALUE ACCOUNT VALUE DURING PERIOD*
1/1/05 6/30/05 1/1/05-6/30/05
VAN KAMPEN COMSTOCK PORTFOLIO ------------- ------------- --------------
Class A
Actual $1,000.00 $1,006.00 $1.18
Hypothetical (5% return before expenses) 1,000.00 1,007.18 1.18
- ------------------------------------------ ------------- ------------- --------------
Class B
Actual 1,000.00 1,006.00 1.63
Hypothetical (5% return before expenses) 1,000.00 1,006.73 1.63
- ------------------------------------------ ------------- ------------- --------------
* Expenses are equal to the Portfolio's annualized expense ratio of 0.70% and
0.97% for the Class A and Class B, respectively, multiplied by the average
account value over the period, multiplied by 181/365 (to reflect the one-half
year period).
73
MET INVESTORS SERIES TRUST
MET/AIM MID CAP CORE EQUITY PORTFOLIO
PORTFOLIO OF INVESTMENTS
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
-----------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
-----------------------------------------------------------------
COMMON STOCKS - 90.4%
AUTO COMPONENTS - 0.9%
Genuine Parts Co........................ 64,100 $ 2,633,869
--------------
BANKS - 5.1%
City National Corp...................... 44,100 3,162,411
Compass Bancshares, Inc................. 61,850 2,783,250
Marshall & Ilsley Corp.................. 58,900 2,618,105
New York Community Bancorp, Inc.(a)..... 177,800 3,221,736
TCF Financial Corp...................... 109,700 2,839,036
--------------
14,624,538
--------------
BUILDING MATERIALS - 1.1%
Sherwin-Williams Co. (The).............. 69,800 3,286,882
--------------
CHEMICALS - 6.3%
Engelhard Corp.......................... 124,400 3,551,620
International Flavors & Fragrances, Inc. 103,500 3,748,770
Rohm and Haas Co........................ 70,300 3,257,702
Scotts Company (The) - Class A*(a)...... 40,100 2,855,521
Sigma-Aldrich Corp...................... 85,200 4,774,608
--------------
18,188,221
--------------
COMMERCIAL SERVICES & SUPPLIES - 15.0%
Ceridian Corp.*......................... 144,650 2,817,782
Fair Isaac Corp.(a)..................... 80,100 2,923,650
GTECH Holdings Corp..................... 132,500 3,874,300
H&R Block, Inc.......................... 67,500 3,938,625
Pitney Bowes, Inc....................... 67,500 2,939,625
Rentokil Initial Plc*................... 1,470,715 4,189,938
Republic Services, Inc.................. 79,000 2,844,790
Sabre Holdings Corp. - Class A.......... 83,200 1,659,840
Service Corporation International....... 552,300 4,429,446
Valassis Communications, Inc.*.......... 108,800 4,031,040
Waters Corp.*........................... 108,600 4,036,662
Xerox Corp.*............................ 399,800 5,513,242
--------------
43,198,940
--------------
COMPUTERS & PERIPHERALS - 1.8%
Lexmark International, Inc. - Class A*.. 77,400 5,017,842
--------------
CONTAINERS & PACKAGING - 2.1%
Ball Corp............................... 86,600 3,114,136
Pactiv Corp.*........................... 137,900 2,975,882
--------------
6,090,018
--------------
ELECTRIC UTILITIES - 1.1%
Wisconsin Energy Corp................... 78,100 3,045,900
--------------
ELECTRONIC EQUIPMENT & INSTRUMENTS - 4.4%
Agilent Technologies, Inc. *............ 145,500 3,349,410
Amphenol Corp. - Class A(a)............. 67,800 2,723,526
Briggs & Stratton Corp.(a).............. 120,800 4,182,096
Xilinx, Inc............................. 97,900 2,496,450
--------------
12,751,482
--------------
--------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
--------------------------------------------------------------
FOOD PRODUCTS - 2.6%
Campbell Soup Co....................... 92,500 $ 2,846,225
Tate & Lyle Plc........................ 531,590 4,534,513
--------------
7,380,738
--------------
FOOD RETAILERS - 2.2%
Kroger Co.*............................ 331,200 6,302,736
--------------
HEALTH CARE EQUIPMENT & SUPPLIES - 3.0%
Mettler-Toledo International, Inc.*(a). 61,200 2,850,696
Pall Corp.............................. 75,000 2,277,000
Techne Corp.*(a)....................... 73,200 3,360,612
--------------
8,488,308
--------------
HOTELS, RESTAURANTS & LEISURE - 1.2%
Outback Steakhouse, Inc.(a)............ 77,000 3,483,480
--------------
HOUSEHOLD DURABLES - 2.5%
Ethan Allen Interiors, Inc.(a)......... 107,300 3,595,623
Mohawk Industries, Inc.*............... 44,600 3,679,500
--------------
7,275,123
--------------
INDUSTRIAL - DIVERSIFIED - 1.0%
ITT Industries, Inc.................... 30,300 2,958,189
--------------
INSURANCE - 4.7%
ACE, Ltd............................... 66,300 2,973,555
Axis Capital Holdings, Ltd.(a)......... 136,250 3,855,875
Montpelier Re Holdings, Ltd.(a)........ 104,100 3,599,778
RenaissanceRe Holdings, Ltd.(a)........ 62,300 3,067,652
--------------
13,496,860
--------------
IT CONSULTING & SERVICES - 1.1%
Reynolds and Reynolds Co. - Class A.... 121,200 3,276,036
--------------
MACHINERY - 1.9%
Dover Corp............................. 150,400 5,471,552
--------------
MEDIA - 2.9%
Belo Corp.(a).......................... 171,300 4,106,061
Knight-Ridder, Inc..................... 67,900 4,164,986
--------------
8,271,047
--------------
OIL & GAS - 16.4%
Amerada Hess Corp...................... 26,150 2,785,236
BJ Services Co......................... 111,400 5,846,272
FMC Technologies, Inc.*................ 131,000 4,188,070
Murphy Oil Corp........................ 81,900 4,277,637
Nabors Industries, Ltd.*............... 64,200 3,891,804
Newfield Exploration Co.*.............. 71,800 2,864,102
Noble Corp............................. 52,000 3,198,520
Plains Exploration & Production Co.*(a) 95,500 3,393,115
Smith International, Inc............... 66,800 4,255,160
Southwestern Energy Co.*(a)............ 107,000 5,026,860
Williams Companies, Inc................ 382,300 7,263,700
--------------
46,990,476
--------------
PAPER & FOREST PRODUCTS - 1.4%
Georgia-Pacific Corp................... 124,900 3,971,820
--------------
See notes to financial statements
74
MET INVESTORS SERIES TRUST
MET/AIM MID CAP CORE EQUITY PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
--------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
--------------------------------------------------------------
PHARMACEUTICALS - 3.6%
Forest Laboratories, Inc.*............. 96,500 $ 3,749,025
IMS Health, Inc........................ 150,700 3,732,839
Teva Pharmaceutical Industries,
Ltd.(ADR)(a)......................... 87,500 2,724,750
--------------
10,206,614
--------------
RETAIL - SPECIALTY - 3.0%
Family Dollar Stores, Inc.............. 108,700 2,837,070
Mattel, Inc............................ 309,500 5,663,850
--------------
8,500,920
--------------
SEMICONDUCTOR EQUIPMENT & PRODUCTS - 2.2%
International Rectifier Corp.*(a)...... 70,400 3,359,488
National Semiconductor Corp............ 137,000 3,018,110
--------------
6,377,598
--------------
SOFTWARE - 2.9%
Computer Associates International, Inc. 155,000 4,259,400
Diebold, Inc.(a)....................... 91,200 4,114,032
--------------
8,373,432
--------------
Total Common Stocks (Cost $241,739,145) 259,662,621
--------------
---------------------------------------------------------------------
SECURITY SHARES/PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
---------------------------------------------------------------------
SHORT-TERM INVESTMENTS - 24.3%
State Street Bank & Trust Co., Repurchase
Agreement, dated 06/30/05 at 2.680%
to be repurchased at $33,013,457 on
07/01/05 collateralized by $31,515,000
FNMA 5.750% due 02/15/08 with a
value of $33,671,824................... $33,011,000 $ 33,011,000
State Street Navigator Securities Lending
Prime Portfolio(b)..................... 36,726,477 36,726,477
--------------
Total Short-Term Investments
(Cost $69,737,477) 69,737,477
--------------
TOTAL INVESTMENTS - 114.7%
(Cost $311,476,622) 329,400,098
Other Assets and Liabilities (net) - (14.7%) (42,129,435)
--------------
TOTAL NET ASSETS - 100.0% $ 287,270,663
==============
PORTFOLIO FOOTNOTES:
* Non-income producing security.
(a) All or a portion of security out on loan.
(b) Represents investment of collateral received from securities lending
transactions.
ADR - American Depositary Receipt
FNMA - Federal National Mortgage Association
See notes to financial statements
75
MET INVESTORS SERIES TRUST
MET/AIM SMALL CAP GROWTH PORTFOLIO
PORTFOLIO OF INVESTMENTS
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
------------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
------------------------------------------------------------------
COMMON STOCKS - 97.2%
AEROSPACE & DEFENSE - 0.9%
United Industrial Corp.(a).................. 124,100 $ 4,435,334
-------------
BANKS - 4.1%
Amegy Bancorporation, Inc.*(a).............. 170,260 3,810,419
East West Bancorp, Inc...................... 113,120 3,799,701
PrivateBancorp, Inc.(a)..................... 71,200 2,519,056
SVB Financial Group*(a)..................... 95,400 4,569,660
Texas Capital Bancshares, Inc.*(a).......... 106,800 2,108,232
Texas Regional Bancshares, Inc. - Class A(a) 80,100 2,441,448
-------------
19,248,516
-------------
BIOTECHNOLOGY - 2.4%
Affymetrix, Inc.*(a)........................ 69,180 3,730,877
Millipore Corp.*............................ 53,400 3,029,382
Myriad Genetics, Inc.*(a)................... 104,400 1,633,860
Protein Design Labs, Inc. *(a).............. 132,600 2,679,846
-------------
11,073,965
-------------
BUSINESS SERVICES - 0.7%
CRA International, Inc.*(a)................. 64,300 3,462,555
-------------
CHEMICALS - 1.7%
FMC Corp.*(a)............................... 73,800 4,143,132
Scotts Co. (The) - Class A*................. 57,300 4,080,333
-------------
8,223,465
-------------
COMMERCIAL SERVICES & SUPPLIES - 7.6%
Advisory Board Co.*(a)...................... 58,500 2,851,290
Corporate Executive Board Co................ 60,460 4,735,832
CoStar Group, Inc.*(a)...................... 105,120 4,583,232
Euronet Worldwide, Inc.*(a)................. 152,200 4,424,454
Gen Probe, Inc.*............................ 102,240 3,704,155
Global Payments, Inc.(a).................... 64,100 4,345,980
MPS Group, Inc.*(a)......................... 274,200 2,582,964
Pediatrix Medical Group, Inc.*(a)........... 56,900 4,184,426
Stericycle, Inc.*(a)........................ 85,800 4,317,456
-------------
35,729,789
-------------
COMMUNICATIONS EQUIPMENT & SERVICES - 1.7%
Plantronics, Inc.(a)........................ 71,800 2,610,648
Polycom, Inc.*.............................. 189,400 2,823,954
SafeNet, Inc.*(a)........................... 76,600 2,608,996
-------------
8,043,598
-------------
COMPUTERS & PERIPHERALS - 2.0%
Catapult Communications Corp.*(a)........... 107,900 1,840,774
Mercury Computer Systems, Inc.*(a).......... 140,000 3,831,800
NETGEAR, Inc.*(a)........................... 189,300 3,520,980
-------------
9,193,554
-------------
CONSTRUCTION MATERIALS - 1.8%
Eagle Materials, Inc.(a).................... 52,460 4,857,271
Hughes Supply, Inc.......................... 120,500 3,386,050
-------------
8,243,321
-------------
---------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
---------------------------------------------------------------
ELECTRICAL EQUIPMENT - 0.6%
Actuant Corp. - Class A*(a).............. 60,800 $ 2,914,752
-------------
ELECTRONIC EQUIPMENT & INSTRUMENTS - 4.9%
ARM Holdings, Plc (ADR)(a)............... 662,012 4,064,754
Daktronics, Inc.(a)...................... 7,400 148,074
FARO Technologies, Inc.*(a).............. 145,000 3,952,700
FLIR Systems, Inc.*(a)................... 154,800 4,619,232
Imax Corp.*(a)........................... 301,200 2,993,928
Thomas & Betts Corp.*.................... 115,000 3,247,600
Trimble Navigation, Ltd.*(a)............. 105,000 4,091,850
-------------
23,118,138
-------------
ENERGY EQUIPMENT & SERVICES - 0.8%
FMC Technologies, Inc.*(a)............... 116,700 3,730,899
-------------
FINANCIAL SERVICES - 1.3%
Affiliated Managers Group, Inc.*(a)...... 48,390 3,306,489
Jeffries Group, Inc.(a).................. 68,700 2,603,043
-------------
5,909,532
-------------
FOOD PRODUCTS - 0.9%
United Natural Foods, Inc.*(a)........... 146,900 4,461,353
-------------
HEALTH CARE EQUIPMENT & SUPPLIES - 7.2%
American Medical Systems Holdings,
Inc.*(a)............................... 209,900 4,334,435
Immucor, Inc.*........................... 108,700 3,146,865
Integra LifeSciences Holdings*(a)........ 112,800 3,293,760
Intuitive Surgical, Inc.*(a)............. 73,400 3,423,376
Mentor Corp.(a).......................... 126,100 5,230,628
NuVasive, Inc.*(a)....................... 200,700 3,335,634
ResMed, Inc.*(a)......................... 55,000 3,629,450
Varian, Inc.*............................ 90,500 3,419,995
Wright Medical Group, Inc.*(a)........... 154,700 4,130,490
-------------
33,944,633
-------------
HEALTH CARE PROVIDERS & SERVICES - 3.0%
Amsurg Corp.*(a)......................... 100,900 2,793,921
Centene Corp.*........................... 77,500 2,602,450
LifePoint Hospitals, Inc.*(a)............ 100,800 5,092,416
Per-Se Technologies, Inc.*............... 2,300 48,346
VCA Antech, Inc.*........................ 156,000 3,783,000
-------------
14,320,133
-------------
HOTELS, RESTAURANTS & LEISURE - 7.8%
Choice Hotels International, Inc.(a)..... 72,200 4,743,540
Jack in the Box, Inc.*(a)................ 111,900 4,243,248
Kerzner International, Ltd.*(a).......... 45,500 2,591,225
Marvel Enterprises, Inc.*(a)............. 196,950 3,883,854
P.F. Chang's China Bistro, Inc.*(a)...... 80,660 4,757,327
Panera Bread Co. - Class A*(a)........... 38,500 2,390,272
Penn National Gaming, Inc.*.............. 68,400 2,496,600
RARE Hospitality International, Inc.*(a). 134,280 4,091,512
Sonic Corp.*(a).......................... 151,000 4,610,030
Steiner Leisure, Ltd.*................... 76,300 2,828,441
-------------
36,636,049
-------------
See notes to financial statements
76
MET INVESTORS SERIES TRUST
MET/AIM SMALL CAP GROWTH PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
--------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
--------------------------------------------------------------
HOUSEHOLD DURABLES - 1.7%
Beazer Homes USA, Inc.(a).............. 65,100 $ 3,720,465
Tempur-Pedic International, Inc.*(a)... 192,590 4,271,646
--------------
7,992,111
--------------
HOUSEHOLD PRODUCTS - 0.8%
Church & Dwight, Inc.(a)............... 97,400 3,525,880
--------------
INSURANCE - 1.3%
HCC Insurance Holdings, Inc.(a)........ 80,600 3,052,322
ProAssurance Corp.*(a)................. 71,000 2,964,960
--------------
6,017,282
--------------
INTERNET SOFTWARE & SERVICES - 3.1%
Blue Coat Systems, Inc.*............... 47,500 1,419,300
F5 Networks, Inc.*(a).................. 47,300 2,234,215
Internet Security Systems, Inc.*(a).... 184,100 3,735,389
PlanetOut, Inc.*(a).................... 12,040 104,989
Sapient Corp.*(a)...................... 456,700 3,621,631
ValueClick, Inc.*(a)................... 297,100 3,663,243
--------------
14,778,767
--------------
LEISURE EQUIPMENT & PRODUCTS - 1.1%
Nautilus Group, Inc.(a)................ 176,100 5,018,850
--------------
MACHINERY - 2.4%
Graco, Inc............................. 74,800 2,548,436
IDEX Corp.............................. 75,700 2,922,777
JLG Industries, Inc.................... 211,700 5,817,516
--------------
11,288,729
--------------
MEDIA - 2.0%
Lions Gate Entertainment Corp.*(a)..... 411,000 4,216,860
Macrovision Corp.*(a).................. 152,200 3,430,588
Radio One, Inc. - Class D*(a).......... 127,700 1,630,729
--------------
9,278,177
--------------
METALS & MINING - 0.7%
Carpenter Technology Corp.(a).......... 66,400 3,439,520
--------------
MUTUAL FUNDS - 0.4%
iShares Nasdaq Biotechnology Index Fund 29,400 1,996,260
--------------
OIL & GAS - 4.4%
Cal Dive International, Inc.*(a)....... 95,040 4,977,245
Core Laboratories N.V.*................ 107,600 2,885,832
Encore Aquisition Co.*(a).............. 102,800 4,214,800
Range Resources Corp.(a)............... 166,600 4,481,540
Unit Corp.*............................ 98,740 4,345,547
--------------
20,904,964
--------------
PHARMACEUTICALS - 2.5%
Amylin Pharmaceuticals, Inc.*(a)....... 124,000 2,595,320
First Horizon Pharmaceutical Corp.*(a). 163,000 3,103,520
MGI Pharma, Inc.*(a)................... 141,500 3,079,040
United Therapeutics Corp.*(a).......... 61,400 2,959,480
--------------
11,737,360
--------------
-------------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
-------------------------------------------------------------------
REAL ESTATE - 1.2%
BioMed Reality Trust, Inc. (REIT)........... 64,600 $ 1,540,710
Pan Pacific Retail Properties, Inc.
(REIT)(a)................................. 63,200 4,195,216
--------------
5,735,926
--------------
RETAIL - SPECIALTY - 9.7%
Aeropostale, Inc.*(a)....................... 147,200 4,945,920
BJ's Wholesale Club, Inc.*.................. 118,600 3,853,314
Children's Place Retail Stores, Inc.*(a).... 88,700 4,139,629
GameStop Corp. - Class A*(a)................ 115,310 3,771,790
Guitar Center, Inc.*(a)..................... 59,200 3,455,504
Jos. A. Bank Clothiers, Inc.*(a)............ 138,600 6,001,380
MSC Industrial Direct Co., Inc. - Class A(a) 142,080 4,795,200
Pacific Sunwear of California, Inc.*(a)..... 94,000 2,161,060
RC2 Corp.*(a)............................... 82,800 3,110,796
Regis Corp.................................. 87,800 3,431,224
Toro Co. (The)(a)........................... 70,700 2,729,727
Wolverine World Wide, Inc.(a)............... 126,900 3,046,869
--------------
45,442,413
--------------
SEMICONDUCTOR EQUIPMENT & PRODUCTS - 3.9%
FormFactor, Inc.*(a)........................ 146,440 3,868,945
Microsemi Corp.*(a)......................... 257,100 4,833,480
Semtech Corp.*(a)........................... 32,200 536,130
Sigmatel, Inc.*(a).......................... 99,700 1,710,852
Tessera Technologies, Inc.*(a).............. 119,800 4,002,518
Varian Semiconductor Equipment
Associates, Inc.*(a)...................... 92,700 3,429,900
--------------
18,381,825
--------------
SOFTWARE - 5.5%
ANSYS, Inc.*................................ 34,100 1,210,891
Avid Technology, Inc.*(a)................... 62,900 3,351,312
Cerner Corp.*(a)............................ 84,120 5,717,636
Epicor Software Corp.*(a)................... 255,500 3,372,600
Macromedia, Inc.*........................... 140,700 5,377,554
MicroStrategy, Inc. - Class A*(a)........... 76,500 4,057,560
Retalix, Ltd.*(a)........................... 5,880 126,420
Websense, Inc.*(a).......................... 53,300 2,561,065
--------------
25,775,038
--------------
TELECOMMUNICATION SERVICES - WIRELESS - 1.2%
Alamosa Holdings, Inc.*(a).................. 359,800 5,001,220
NeuStar, Inc. - Class A*.................... 30,800 788,480
--------------
5,789,700
--------------
TEXTILES, APPAREL & LUXURY GOODS - 1.5%
Bebe stores, Inc.(a)........................ 107,435 2,843,791
Warnaco Group, Inc. (The)*(a)............... 175,700 4,085,025
--------------
6,928,816
--------------
See notes to financial statements
77
MET INVESTORS SERIES TRUST
MET/AIM SMALL CAP GROWTH PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
----------------------------------------------------------------------
SECURITY SHARES/PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
----------------------------------------------------------------------
TRANSPORTATION - 4.4%
Forward Air Corp.(a)..................... 127,850 $ 3,614,320
Heartland Express, Inc.(a)............... 124,300 2,415,149
Kirby Corp.*............................. 51,900 2,340,690
Knight Transportation, Inc.(a)........... 106,800 2,598,444
Old Dominion Freight Line, Inc.*(a)...... 84,900 2,277,867
Swift Transportation Co., Inc.*(a)....... 176,900 4,120,001
UTI Worldwide, Inc.(a)................... 49,000 3,411,380
--------------
20,777,851
--------------
Total Common Stocks
(Cost $401,103,674) 457,499,055
--------------
SHORT-TERM INVESTMENTS - 28.3%
State Street Bank & Trust Co., Repurchase
Agreement, dated 06/30/05 at 2.680%
to be repurchased at $15,866,181 on
07/01/05 collateralized by
$16,295,000 FNMA 3.250% due
08/15/08 with a value of
$16,182,972............................ $ 15,865,000 15,865,000
State Street Navigator Securities Lending
Prime Portfolio(b)..................... 117,552,957 117,552,957
--------------
Total Short-Term Investments
(Cost $133,417,957) 133,417,957
--------------
TOTAL INVESTMENTS - 125.5%
(Cost $534,521,631) 590,917,012
Other Assets and Liabilities (net) - (25.5%) (120,072,931)
--------------
TOTAL NET ASSETS - 100.0% $ 470,844,081
==============
PORTFOLIO FOOTNOTES:
* Non-income producing security.
(a) All or a portion of security out on loan.
(b) Represents investment of collateral received from securities lending
transactions.
ADR - American Depositary Receipt
FNMA - Federal National Mortgage Association
REIT - Real Estate Investment Trust
See notes to financial statements
78
MET INVESTORS SERIES TRUST
GOLDMAN SACHS MID-CAP VALUE PORTFOLIO
PORTFOLIO OF INVESTMENTS
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
---------------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
---------------------------------------------------------------------
COMMON STOCKS - 97.4%
AEROSPACE & DEFENSE - 2.3%
Alliant Techsystems, Inc.*..................... 47,549 $ 3,356,960
Rockwell Collins, Inc.......................... 90,277 4,304,407
-------------
7,661,367
-------------
AUTO COMPONENTS - 1.3%
Autoliv, Inc................................... 54,320 2,379,216
Lear Corp...................................... 53,792 1,956,953
-------------
4,336,169
-------------
BANKS - 7.6%
Commerce Bancshares, Inc....................... 42,005 2,117,472
FirstMerit Corp................................ 158,384 4,135,406
Keycorp........................................ 96,344 3,193,804
M&T Bank Corp.................................. 60,250 6,335,890
Northern Trust Corp............................ 72,595 3,309,606
Zions Bancorporation........................... 85,017 6,251,300
-------------
25,343,478
-------------
BEVERAGES - 0.5%
Pepsi Bottling Group, Inc...................... 52,744 1,509,006
-------------
BIOTECHNOLOGY - 1.3%
MedImmune, Inc.*............................... 167,079 4,464,351
-------------
CHEMICALS - 3.1%
Agrium, Inc.................................... 173,904 3,410,257
Carlisle Cos., Inc............................. 33,527 2,300,958
Rohm & Haas Co................................. 98,237 4,552,303
-------------
10,263,518
-------------
COMMERCIAL SERVICES & SUPPLIES - 2.0%
Republic Services, Inc......................... 105,725 3,807,157
Xerox Corp.*................................... 95,763 1,320,572
Zebra Technologies Corp. - Class A*............ 32,472 1,421,949
-------------
6,549,678
-------------
COMPUTER HARDWARE - 1.2%
CDW Corp....................................... 60,283 3,441,556
Ditech Communications Corp.*................... 68,657 445,584
-------------
3,887,140
-------------
DIVERSIFIED ENERGY - 3.2%
CMS Energy Corp.*.............................. 46,676 702,941
PNM Resources, Inc............................. 46,530 1,340,529
Public Service Enterprise Group, Inc........... 11,700 711,594
Western Gas Resources, Inc..................... 82,966 2,895,513
Williams Companies, Inc. (The)................. 265,065 5,036,235
-------------
10,686,812
-------------
DRUGS - 1.0%
Charles River Laboratories International, Inc.* 68,256 3,293,352
-------------
ELECTRIC UTILITIES - 10.2%
Cinergy Corp................................... 40,844 1,830,628
Edison International........................... 81,922 3,321,937
Entergy Corp................................... 87,270 6,593,249
FirstEnergy Corp............................... 79,137 3,807,281
-------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
-------------------------------------------------------
ELECTRIC UTILITIES - CONTINUED
PG&E Corp........................ 171,601 $ 6,441,902
Pinnacle West Capital Corp....... 5,504 244,653
PPL Corp......................... 149,675 8,887,701
Wisconsin Energy Corp............ 64,380 2,510,820
-------------
33,638,171
-------------
FINANCIALS - DIVERSIFIED - 3.9%
American Capital Strategies, Ltd. 88,669 3,201,837
Bear Stearns Cos., Inc........... 46,690 4,852,959
CIT Group, Inc................... 113,238 4,865,837
-------------
12,920,633
-------------
FOOD PRODUCTS - 1.9%
Archer-Daniels-Midland Co........ 138,123 2,953,070
Smithfield Foods, Inc.*.......... 121,036 3,300,651
-------------
6,253,721
-------------
HEALTH CARE PROVIDERS & SERVICES - 1.9%
Health Net, Inc.*................ 162,604 6,204,969
-------------
HOTELS, RESTAURANTS & LEISURE - 2.7%
Callaway Golf Co................. 166,322 2,566,348
Harrah's Entertainment, Inc...... 43,510 3,135,766
Hilton Hotels Corp............... 131,100 3,126,735
-------------
8,828,849
-------------
HOUSEHOLD DURABLES - 4.7%
Lennar Corp. - Class A........... 132,291 8,393,864
Mohawk Industries, Inc.*......... 56,473 4,659,023
Stanley Works.................... 54,999 2,504,654
-------------
15,557,541
-------------
HOUSEHOLD PRODUCTS - 2.5%
Clorox Company (The)............. 72,255 4,026,049
Newell Rubbermaid, Inc........... 183,259 4,368,894
-------------
8,394,943
-------------
INSURANCE - 8.1%
Ambac Financial Group, Inc....... 70,135 4,892,617
Everest Re Group, Ltd............ 58,287 5,420,691
PartnerRe, Ltd................... 64,204 4,136,022
PMI Group, Inc. (The)............ 60,938 2,375,363
RenaissanceRe Holdings, Ltd...... 67,241 3,310,947
Torchmark Corp................... 75,795 3,956,499
Willis Group Holdings, Ltd....... 85,036 2,782,378
-------------
26,874,517
-------------
INTERNET SOFTWARE & SERVICES - 0.5%
Avocent Corp.*................... 63,580 1,661,981
-------------
IT CONSULTING & SERVICES - 2.7%
BearingPoint, Inc.*.............. 362,438 2,656,671
Ingram Micro, Inc.*.............. 5,980 93,288
Tech Data Corp.*................. 111,802 4,093,071
WebMD Corp. *.................... 208,555 2,141,860
-------------
8,984,890
-------------
See notes to financial statements
79
MET INVESTORS SERIES TRUST
GOLDMAN SACHS MID-CAP VALUE PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
----------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
----------------------------------------------------------------
MEDIA - 2.6%
Dow Jones & Co., Inc.(a).................. 129,039 $ 4,574,433
Lamar Advertising Co. - Class A*.......... 95,468 4,083,166
-------------
8,657,599
-------------
OIL & GAS - 10.1%
AGL Resources, Inc........................ 192,901 7,455,624
BJ Services Co............................ 63,408 3,327,652
Energen Corp.............................. 21,520 754,276
EOG Resources, Inc........................ 204,723 11,628,266
Frontier Oil Corp......................... 72,557 2,129,548
Noble Energy, Inc......................... 56,021 4,237,989
Range Resources Corp...................... 147,097 3,956,909
-------------
33,490,264
-------------
PAPER & PACKAGING - 0.9%
Packaging Corp. of America................ 147,322 3,101,128
-------------
PARTS & EQUIPMENT - 2.5%
American Standard Cos., Inc............... 108,699 4,556,662
Cooper Industries, Ltd. - Class A......... 58,445 3,734,636
-------------
8,291,298
-------------
PHARMACEUTICALS - 0.6%
IVAX Corp.*............................... 92,268 1,983,762
-------------
REAL ESTATE - 7.4%
Apartment Investment & Management Co.
(REIT) - Class A........................ 116,192 4,754,577
Developers Diversified Realty Corp. (REIT) 89,976 4,135,297
Equity Residential (REIT)................. 35,940 1,323,311
Healthcare Realty Trust, Inc. (REIT)...... 7,930 306,177
istar Financial, Inc. (REIT).............. 165,323 6,875,783
Plum Creek Timber Co., Inc. (REIT)........ 127,022 4,610,899
Prentiss Properties Trust (REIT).......... 73,096 2,663,618
-------------
24,669,662
-------------
RETAIL - MULTILINE - 3.8%
Federated Department Stores, Inc.......... 92,483 6,777,154
J.C. Penney Co., Inc...................... 108,867 5,724,227
-------------
12,501,381
-------------
RETAIL - SPECIALTY - 1.5%
Ross Stores, Inc.......................... 85,549 2,473,222
Talbots, Inc.............................. 76,149 2,472,558
-------------
4,945,780
-------------
SEMICONDUCTOR EQUIPMENT & PRODUCTS - 1.9%
Amphenol Corp. - Class A.................. 70,134 2,817,283
Freescale Semiconductor, Inc.*............ 60,250 1,265,852
Tessera Technologies, Inc. *.............. 63,392 2,117,927
-------------
6,201,062
-------------
SOFTWARE - 1.2%
Activision, Inc.*......................... 239,816 3,961,760
-------------
TOBACCO - 0.8%
Reynolds American Inc..................... 33,975 2,677,230
-------------
----------------------------------------------------------------------
SECURITY SHARES/PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
----------------------------------------------------------------------
TRANSPORTATION - 1.5%
Landstar System, Inc.*..................... 30,580 $ 921,069
Teekay Shipping Corp....................... 57,951 2,544,049
Yellow Roadway Corp.*...................... 29,056 1,476,045
-------------
4,941,163
-------------
Total Common Stocks (Cost $292,957,679) 322,737,175
-------------
SHORT-TERM INVESTMENTS - 4.8%
State Street Bank & Trust Co., Repurchase
Agreement, dated 06/30/05 at 2.000% to
be repurchased at $15,822,879 on
07/01/05 collateralized by $14,410,000
FNMA 6.625% due 09/15/09 with a value
of $16,139,200 (Cost $15,822,000)........ $15,822,000 15,822,000
-------------
TOTAL INVESTMENTS - 102.2%
(Cost $308,779,679) 338,559,175
Other Assets and Liabilities (net) - (2.2%) (7,221,474)
-------------
TOTAL NET ASSETS - 100.0% $ 331,337,701
=============
PORTFOLIO FOOTNOTES:
* Non-income producing security.
REIT - Real Estate Investment Trust
FNMA - Federal National Mortgage Association
See notes to financial statements
80
MET INVESTORS SERIES TRUST
HARRIS OAKMARK INTERNATIONAL PORTFOLIO
PORTFOLIO OF INVESTMENTS
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
----------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
----------------------------------------------------------------
COMMON STOCKS - 96.5%
AUSTRALIA - 2.2%
Australia & New Zealand Banking Group,
Ltd................................. 1,350,000 $ 22,277,311
---------------
FRANCE - 10.4%
BNP Paribas S.A.(a)................... 226,500 15,481,744
L'Oreal S.A.(a)....................... 176,600 12,664,102
Neopost S.A.(a)....................... 145,000 12,753,965
Pernod-Ricard S.A.(a)................. 46,300 7,384,342
Publicis Groupe(a).................... 756,000 22,237,331
Sanofi-Aventis S.A.(a)................ 118,035 9,660,963
Total S.A............................. 32,500 7,609,025
Vivendi Universal S.A.(a)............. 533,600 16,706,157
---------------
104,497,629
---------------
GERMANY - 9.1%
Bayerische Motoren Werke (BMW)
AG(a)............................... 805,800 36,653,749
Deutsche Boerse AG(a)................. 364,400 28,451,081
Hannover Rueckversicherung AG(a)...... 116,600 4,399,291
Henkel KGaA........................... 256,000 21,510,910
---------------
91,015,031
---------------
HONG KONG - 0.4%
Giordano International, Ltd........... 6,384,000 4,343,325
---------------
IRELAND - 3.1%
Bank of Ireland....................... 1,810,000 29,092,027
Bank of Ireland....................... 130,000 2,106,184
---------------
31,198,211
---------------
ISRAEL - 0.6%
Orbotech, Ltd.*....................... 265,000 5,694,850
---------------
ITALY - 4.2%
Banco Popolare di Verona e Novara
Scrl(a)............................. 672,500 11,446,258
Bulgari S.p.A.(a)..................... 911,000 10,173,513
San Paolo IMI S.p.A.(a)............... 325,000 4,443,721
UniCredito Italiano S.p.A.(a)......... 2,974,000 15,643,263
---------------
41,706,755
---------------
JAPAN - 14.5%
Daiwa Securities Group, Inc........... 2,889,000 17,767,372
Honda Motor Co., Ltd.................. 392,500 19,307,928
Kao Corp.............................. 295,000 6,950,448
Meitec Corp........................... 432,800 13,280,915
NTT DoCoMo, Inc....................... 16,110 23,682,383
Rohm Co., Ltd......................... 192,000 18,420,527
Takeda Pharmaceutical Co., Ltd........ 628,000 31,049,564
Uni-Charm Corp.(a).................... 373,000 14,982,615
---------------
145,441,752
---------------
MEXICO - 1.3%
Grupo Televisa, S.A. (ADR)............ 201,000 12,480,090
---------------
------------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
------------------------------------------------------------------
NETHERLANDS - 7.5%
Akzo Nobel N.V.(a)..................... 577,000 $ 22,639,364
Euronext N.V.(a)....................... 775,600 26,166,895
Heineken Holding N.V.*(a) - Series A... 523,000 14,616,556
Heineken N.V........................... 64,375 1,982,754
Koninklijke (Royal) Philips Electronics
N.V.................................. 364,000 9,150,972
---------------
74,556,541
---------------
SINGAPORE - 1.1%
United Overseas Bank, Ltd.............. 1,260,400 10,596,916
United Overseas Land, Ltd.............. 126,040 170,196
---------------
10,767,112
---------------
SOUTH KOREA - 6.2%
Kookmin Bank........................... 420,800 19,170,850
Lotte Chilsung Beverage Co., Ltd....... 11,510 9,966,151
SK Telecom Co., Ltd.................... 188,200 33,114,962
---------------
62,251,963
---------------
SWITZERLAND - 15.0%
Credit Suisse Group(a)................. 543,000 21,283,585
Givaudan S.A.(a)....................... 27,620 16,027,011
Lonza Group AG(a)...................... 339,700 18,738,872
Nestle S.A.(a)......................... 112,200 28,647,207
Novartis AG............................ 561,000 26,620,859
Swatch Group AG(a)..................... 770,200 21,945,900
Syngenta AG*........................... 168,300 17,222,210
---------------
150,485,644
---------------
UNITED KINGDOM - 20.9%
Aegis Group Plc........................ 6,707,500 11,907,129
Associated British Ports Holdings Plc.. 2,060,000 18,109,484
BP Plc................................. 1,059,000 11,018,694
British Sky Broadcasting Group Plc..... 693,000 6,534,752
Cadbury Schweppes Plc.................. 2,331,000 22,202,695
Diageo Plc............................. 2,308,000 33,934,409
GlaxoSmithKline Plc.................... 1,506,000 36,357,528
Lloyds TSB Group Plc................... 2,280,200 19,285,223
Michael Page International Plc......... 2,390,000 8,626,125
Signet Group Plc....................... 11,522,000 22,385,588
Vodafone Group Plc..................... 7,655,000 18,611,801
---------------
208,973,428
---------------
Total Common Stocks
(Cost $838,745,223) 965,689,642
---------------
See notes to financial statements
81
MET INVESTORS SERIES TRUST
HARRIS OAKMARK INTERNATIONAL PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
--------------------------------------------------------------
SECURITY SHARES/PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
--------------------------------------------------------------
SHORT-TERM INVESTMENTS - 20.5%
State Street Bank & Trust Co.,
Repurchase Agreement, dated
06/30/05 at 2.00% to be
repurchased at $35,932,996 on
07/01/05 collaterized by
$33,760,000 FNMA at 5.50% due
03/15/11 with a value of
$36,650,700.................... $ 35,931,000 $ 35,931,000
State Street Navigator Securities
Lending Prime Portfolio(b)..... 168,591,160 168,591,160
--------------
Total Short-Term Investments
(Cost $204,522,160) 204,522,160
--------------
TOTAL INVESTMENTS - 117.0%
(Cost $1,043,267,383) 1,170,211,802
Other Assets and Liabilities (net) - (17.0%) (169,609,677)
--------------
TOTAL NET ASSETS - 100.0% $1,000,602,125
==============
PORTFOLIO FOOTNOTES:
* Non-income producing security.
(a) All or a portion of security out on loan.
(b) Represents investment of collateral received from securities lending
transactions.
ADR - American Depositary Receipt
FNMA - Federal National Mortgage Association
The adviser considers liquid securities as coverage for forward purchase
commitments.
Summary of Total Foreign Securities by Industry Classification 6/30/2005
VALUE PERCENT OF
INDUSTRY (000) NET ASSETS
------------------------------------------------------------
Apparel & Textiles...................... $ 10,174 1.0%
Automobiles............................. 55,962 5.6
Banks................................... 148,550 14.8
Beverages............................... 57,918 5.8
Biotechnology........................... 18,739 1.9
Business Services....................... 8,626 0.9
Chemicals............................... 55,889 5.6
Communications Services................. 98,351 9.8
Cosmetics & Personal Care............... 12,664 1.3
Electronics............................. 33,266 3.3
Financial Services...................... 94,663 9.5
Food & Drug Retailing................... 32,169 3.2
Food Products........................... 28,647 2.9
Household Products...................... 43,444 4.3
Insurance............................... 4,399 0.4
Media................................... 23,241 2.3
Office Furnishings & Supplies........... 12,754 1.3
Oil & Gas............................... 18,628 1.9
Pharmaceuticals......................... 103,689 10.3
Real Estate............................. 170 0.0
Retailers............................... 48,675 4.9
Software................................ 13,281 1.3
Telecomminication Services - Diversified 23,682 2.4
Transportation.......................... 18,109 1.8
-------- ----
Total................................... $965,690 96.5%
======== ====
See notes to financial statements
82
MET INVESTORS SERIES TRUST
JANUS AGGRESSIVE GROWTH PORTFOLIO
PORTFOLIO OF INVESTMENTS
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
----------------------------------------------------------------
SECURITY PAR/ VALUE
DESCRIPTION SHARES (NOTE 2)
----------------------------------------------------------------
DOMESTIC BONDS & DEBT SECURITIES - 0.4%
AUTOMOTIVE LOANS - 0.4%
General Motors Acceptance Corp., 4.375%,
due 12/10/07.......................... 645,000 $ 604,652
General Motors Acceptance Corp., 5.125%,
due 05/09/08(a)....................... 1,075,000 1,016,203
General Motors Acceptance Corp., 5.850%,
due 01/14/09(a)....................... 858,000 804,923
-------------
2,425,778
-------------
Total Domestic Bonds & Debt Securities
(Cost $2,375,865)
-------------
COMMON STOCKS - 96.8%
AIR FREIGHT & LOGISTICS - 3.6%
C.H. Robinson Worldwide, Inc.(a)........ 113,885 6,628,107
FedEx Corp.............................. 123,340 9,991,773
United Parcel Service, Inc. - Class B... 106,700 7,379,372
-------------
23,999,252
-------------
AUTOMOBILES - 1.6%
Harley-Davidson, Inc.................... 91,860 4,556,256
Thor Industries, Inc.(a)................ 184,495 5,798,678
-------------
10,354,934
-------------
BANKS - 0.9%
UCBH Holdings, Inc.(a).................. 359,755 5,842,421
-------------
BIOTECHNOLOGY - 1.6%
Invitrogen Corp.*....................... 131,190 10,926,815
-------------
CHEMICALS - 0.1%
Syngenta AG (ADR)*...................... 24,210 493,642
-------------
COMMERCIAL SERVICES & SUPPLIES - 2.7%
CoStar Group, Inc.*(a).................. 33,390 1,455,804
First Data Corp......................... 108,170 4,341,944
Paychex, Inc............................ 131,595 4,282,101
Stericycle, Inc.*(a).................... 156,900 7,895,208
-------------
17,975,057
-------------
COMMUNICATIONS EQUIPMENT - 3.0%
Corning, Inc.*.......................... 402,780 6,694,204
Research In Motion, Ltd.*............... 180,760 13,331,050
-------------
20,025,254
-------------
COMPUTERS & PERIPHERALS - 2.4%
Dell, Inc.*............................. 256,550 10,136,290
Hewlett-Packard Co...................... 260,015 6,112,953
-------------
16,249,243
-------------
CONTAINERS & PACKAGING - 0.9%
Ball Corp............................... 172,345 6,197,526
-------------
ELECTRIC UTILITIES - 0.9%
AES Corp. (The)*........................ 378,700 6,203,106
-------------
ELECTRONICS - 0.2%
ATI Technologies, Inc.*(a).............. 137,775 1,632,634
-------------
-------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
-------------------------------------------------------------
ENERGY EQUIPMENT & SERVICES - 1.3%
Reliant Energy, Inc.*(a)............... 685,365 $ 8,484,819
-------------
FINANCIALS - DIVERSIFIED - 2.6%
E*TRADE Financial Corp.*............... 324,195 4,535,488
MBIA, Inc.(a).......................... 125,025 7,415,233
SLM Corp............................... 98,730 5,015,484
-------------
16,966,205
-------------
FOOD & DRUG RETAILING - 3.7%
Walgreen Co............................ 168,015 7,727,010
Whole Foods Market, Inc................ 141,265 16,711,649
-------------
24,438,659
-------------
HEALTH CARE EQUIPMENT & SUPPLIES - 4.0%
Intuitive Surgical, Inc.*(a)........... 152,340 7,105,138
Patterson Cos., Inc.*(a)............... 173,810 7,835,355
Varian Medical Systems, Inc.*(a)....... 307,880 11,493,160
-------------
26,433,653
-------------
HEALTH CARE PROVIDERS & SERVICES - 7.4%
Cardinal Health, Inc................... 97,355 5,605,701
Cerner Corp.*(a)....................... 81,335 5,528,340
Coventry Health Care, Inc.*............ 135,335 9,574,951
LCA-Vision, Inc.(a).................... 75,525 3,659,941
Neurocrine Biosciences, Inc.*(a)....... 229,345 9,646,251
UnitedHealth Group, Inc................ 284,070 14,811,410
-------------
48,826,594
-------------
HOTELS, RESTAURANTS & LEISURE - 3.9%
Four Seasons Hotels, Inc.(a)........... 226,015 14,939,592
Harrah's Entertainment, Inc............ 43,375 3,126,036
Starwood Hotels & Resorts Worldwide,
Inc. - Class B....................... 130,860 7,664,470
-------------
25,730,098
-------------
HOUSEHOLD DURABLES - 2.4%
Harman International Industries, Inc... 80,500 6,549,480
Lennar Corp. - Class A................. 152,075 9,649,159
-------------
16,198,639
-------------
HOUSEHOLD PRODUCTS - 1.8%
Procter & Gamble Co.................... 129,940 6,854,335
Reckitt Benckiser Plc.................. 168,331 4,948,774
-------------
11,803,109
-------------
INDUSTRIAL - DIVERSIFIED - 1.6%
General Electric Co.................... 300,940 10,427,571
-------------
INSURANCE - 0.5%
American International Group, Inc...... 54,695 3,177,780
-------------
INTERNET SOFTWARE & SERVICES - 4.8%
IAC/InterActiveCorp*(a)................ 186,025 4,473,901
Juniper Networks, Inc.*................ 255,890 6,443,310
Yahoo!, Inc.*.......................... 594,035 20,583,313
-------------
31,500,524
-------------
See notes to financial statements
83
MET INVESTORS SERIES TRUST
JANUS AGGRESSIVE GROWTH PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
------------------------------------------------------------
MEDIA - 0.4%
Viacom, Inc. - Class B.............. 88,635 $ 2,838,093
-------------
OIL & GAS - 5.1%
BP Plc (ADR)........................ 126,380 7,883,584
EOG Resources, Inc.................. 137,275 7,797,220
Exxon Mobil Corp.................... 158,600 9,114,742
Transocean, Inc.*................... 162,770 8,784,697
-------------
33,580,243
-------------
PHARMACEUTICALS - 16.5%
Alcon, Inc.......................... 120,670 13,195,264
Caremark Rx, Inc.*.................. 157,360 7,005,667
Celgene Corp.*(a)................... 438,095 17,861,133
Esprit Holdings, Ltd................ 1,009,000 7,260,461
Genentech, Inc.*.................... 152,275 12,224,637
Novartis AG......................... 108,833 5,164,399
OSI Pharmaceuticals, Inc.*(a)....... 115,665 4,727,229
Pfizer, Inc......................... 106,595 2,939,890
Roche Holding AG.................... 142,110 17,904,649
Sanofi-Synthelabo S.A............... 74,694 6,113,576
Teva Pharmaceutical Industries, Ltd.
(ADR)(a).......................... 336,920 10,491,689
United Therapeutics Corp.*(a)....... 97,020 4,676,364
-------------
109,564,958
-------------
RETAIL - MULTILINE - 0.5%
Wal-Mart Stores, Inc................ 75,715 3,649,463
-------------
RETAIL - SPECIALTY - 5.4%
Abercrombie & Fitch Co. - Class A... 278,685 19,145,659
Kohl's Corp.*....................... 65,505 3,662,384
Tiffany & Co........................ 208,480 6,829,805
Urban Outfitters, Inc.*(a).......... 106,427 6,033,347
-------------
35,671,195
-------------
SEMICONDUCTOR EQUIPMENT & PRODUCTS - 4.5%
Advanced Micro Devices, Inc.*(a).... 286,310 4,964,616
Broadcom Corp. - Class A*........... 168,285 5,975,800
KLA-Tencor Corp..................... 129,540 5,660,898
Maxim Integrated Products, Inc...... 223,315 8,532,866
Texas Instruments, Inc.............. 155,520 4,365,446
-------------
29,499,626
-------------
SOFTWARE - 7.2%
Adobe Systems, Inc.................. 341,290 9,767,720
Citrix Systems, Inc.*(a)............ 150,955 3,269,685
Electronic Arts, Inc.*.............. 152,695 8,644,064
EMC Corp.*.......................... 535,865 7,346,709
NAVTEQ Corp.*....................... 256,060 9,520,311
Oracle Corp.*....................... 493,560 6,514,992
SAP AG (ADR)(a)..................... 53,800 2,329,540
-------------
47,393,021
-------------
-----------------------------------------------------------------
SECURITY SHARES/PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
-----------------------------------------------------------------
TELECOMMUNICATION SERVICES - DIVERSIFIED - 2.8%
Cisco Systems, Inc.*................. 705,220 $ 13,476,754
Motorola, Inc........................ 291,460 5,322,060
-------------
18,798,814
-------------
TELECOMMUNICATION SERVICES - WIRELESS - 2.5%
Amdocs, Ltd.*........................ 424,460 11,218,478
China Mobile (Hong Kong), Ltd........ 1,259,000 4,654,554
China Mobile (Hong Kong), Ltd.
(ADR)(a)........................... 21,320 396,339
-------------
16,269,371
-------------
Total Common Stocks (Cost $578,175,792) 641,152,319
-------------
SHORT-TERM INVESTMENTS - 21.7%
U.S. GOVERNMENT & AGENCY DISCOUNT NOTES - 0.6%
Federal National Mortgage Association
Discount Notes, 0.010%, due
07/01/05(c)........................ $ 4,100,000 4,100,000
-------------
COMMERICAL PAPER - 2.5%
Prudential Funding LLC, 3.250%, due
07/01/05........................... 16,800,000 16,800,000
State Street Navigator Securities
Lending Prime Portfolio(b)......... 122,775,084 122,755,084
-------------
Total Short-Term Investments
(Cost $143,675,084) 143,655,084
-------------
TOTAL INVESTMENTS - 118.9%
(Cost $724,226,741) 787,233,181
Other Assets and Liabilities (net) - (18.9%) (125,119,218)
-------------
TOTAL NET ASSETS - 100.0% $ 662,113,963
=============
PORTFOLIO FOOTNOTES:
* Non-income producing security.
(a) All or a portion of security out on loan.
(b) Represents investment of collateral received from securities lending
transactions.
(c) Zero Coupon Bond-Interest rate represents current yield to maturity.
ADR - American Depositary Receipt
See notes to financial statements
84
MET INVESTORS SERIES TRUST
LORD ABBETT AMERICA'S VALUE PORTFOLIO
PORTFOLIO OF INVESTMENTS
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
----------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
----------------------------------------------------------------
DOMESTIC BONDS & DEBT SECURITIES - 20.7%
AUTO COMPONENTS - 0.3%
Accuride Corp. 8.500%,
due 02/01/15 (144A)(a)................ $ 65,000 $ 63,863
Cooper Standard Automotive 8.375%,
due 12/15/14 (144A)(a)................ 65,000 51,675
Stanadyne Corp. 10.000%, due 08/15/14... 75,000 71,250
-----------
186,788
-----------
CHEMICALS - 0.9%
Airgas, Inc. 6.250%, due 07/15/14....... 125,000 127,187
Crompton Corp. 9.875%, due 08/01/12..... 125,000 145,625
Equistar Chemicals LP 7.550%, due
02/15/26.............................. 125,000 116,563
Nalco Co. 8.875%, due 11/15/13.......... 100,000 107,750
Terra Capital, Inc. 11.500%, due
06/01/10.............................. 10,000 11,450
-----------
508,575
-----------
COMMERCIAL SERVICES & SUPPLIES - 0.3%
Iron Mountain, Inc. 6.625%, due
01/01/16.............................. 150,000 139,500
-----------
CONTAINERS & PACKAGING - 1.1%
Constar International, Inc. 11.000%,
due 12/01/12.......................... 115,000 92,000
Crown Cork & Seal, Inc. 7.375%,
due 12/15/26.......................... 150,000 138,375
Graham Packaging Co. LP 9.875%,
due 10/15/14 (144A)(a)................ 100,000 100,750
Rayovac Corp. 8.500%, due 10/01/13...... 100,000 105,000
Stone Container Finance Co. 7.375%, due
07/15/14.............................. 150,000 141,750
-----------
577,875
-----------
ENERGY EQUIPMENT & SERVICES - 0.3%
Dynegy Holdings, Inc. 6.875%, due
04/01/11.............................. 150,000 148,875
-----------
ENTERTAINMENT & LEISURE - 0.2%
LCE Acquisition Corp. 9.000%,
due 08/01/14 (144A)(a)................ 100,000 97,250
-----------
FINANCIALS - DIVERSIFIED - 0.9%
Ford Motor Credit Co. 7.375%, due
10/28/09.............................. 300,000 293,422
General Motors Acceptance Corp 7.250%,
due 03/02/11.......................... 200,000 187,746
-----------
481,168
-----------
FOOD & DRUG RETAILING - 0.3%
Stater Brothers Holdings, Inc. 8.125%,
due 06/15/12.......................... 150,000 147,000
-----------
FOOD PRODUCTS - 0.4%
Chiquita Brands International, Inc.
7.500%, due 11/01/14.................. 110,000 102,850
Rite Aid Corp. 8.125%, due 05/01/10..... 125,000 129,375
-----------
232,225
-----------
------------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
------------------------------------------------------------------
HEALTH CARE EQUIPMENT & SUPPLIES - 0.4%
Tenet Healthcare Corp.
9.875%, due 07/01/14.................... $ 125,000 $ 134,687
9.250%, due 02/01/15 (144A)(a)........... 100,000 104,250
-----------
238,937
-----------
HEALTH CARE PROVIDERS & SERVICES - 0.3%
Ameripath, Inc.
10.500%, due 04/01/13.................... 75,000 76,313
DaVita, Inc.
7.250%, due 03/15/15 (144A)(a)........... 100,000 103,250
-----------
179,563
-----------
HOTELS, RESTAURANTS & LEISURE - 0.9%
Hard Rock Hotel, Inc. 8.875%, due
06/01/13................................ 100,000 109,250
Hilton Hotels Corp. 3.375%, due
04/15/23................................ 150,000 181,312
River Rock Entertainment Authority 9.750%,
due 11/01/11............................ 50,000 55,125
Wynn Las Vegas LLC 6.625%,
due 12/01/14 (144A)(a).................. 125,000 122,188
-----------
467,875
-----------
INDUSTRIAL CONGLOMERATES - 0.5%
Allied Waste North America, Inc. 6.125%,
due 02/15/14............................ 200,000 186,750
Park-Ohio Industries, Inc. 8.375%,
due 11/15/14 (144A)(a).................. 75,000 67,312
-----------
254,062
-----------
MACHINERY - 0.3%
Agco Corp. Delaware 1.750%, due
12/31/33................................ 175,000 181,563
-----------
MEDIA - 0.6%
Gaylord Entertainment Co. 8.000%, due
11/15/13................................ 175,000 184,844
Mediacom LLC 9.500%, due 01/15/13......... 160,000 160,400
-----------
345,244
-----------
METALS & MINING - 0.4%
Allegheny Ludlum Corp. 6.950%, due
12/15/25................................ 120,000 115,934
Novelis, Inc. 7.250%, due
02/15/15 (144A)(a)...................... 75,000 75,656
-----------
191,590
-----------
OIL & GAS - 1.4%
El Paso Corp. 7.000%, due 05/15/11........ 350,000 350,875
EXCO Resources, Inc. 7.250%, due
01/15/11................................ 100,000 100,500
Foundation Pennsylvania Coal Co. 7.250%,
due 08/01/14............................ 100,000 105,500
Hornbeck Offshore Services, Inc. 6.125%,
due 12/01/14............................ 150,000 152,625
Kerr-McGee Corp. 6.950%, due 07/01/24..... 50,000 51,914
-----------
761,414
-----------
See notes to financial statements
85
MET INVESTORS SERIES TRUST
LORD ABBETT AMERICA'S VALUE PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
------------------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
------------------------------------------------------------------------
PAPER & FOREST PRODUCTS - 0.6%
Boise Cascade LLC 7.125%,
due 10/15/14 (144A)(a).................. $ 60,000 $ 59,250
Bowater, Inc. 6.500%, due 06/15/13........ 125,000 124,062
Buckeye Technologies, Inc. 8.000%,
due 10/15/10............................ 125,000 120,625
-----------
303,937
-----------
PHARMACEUTICALS - 0.5%
Jean Coutu Group PJC, Inc. 8.500%,
due 08/01/14............................ 100,000 99,250
Warner Chilcott Corp. 8.750%,
due 02/01/15 (144A)(a).................. 175,000 171,062
-----------
270,312
-----------
REAL ESTATE INVESTMENT TRUSTS - 0.4%
Host Marriott LP, (REIT) 6.375%,
due 03/15/15 (144A)(a).................. 200,000 199,000
-----------
RETAIL - MULTILINE - 0.2%
Saks, Inc. 7.375%, due 02/15/19........... 115,000 115,575
-----------
TELECOMMUNICATION SERVICES - DIVERSIFIED - 1.0%
Cincinnati Bell, Inc. 7.000%,
due 02/15/15 (144A)(a).................. 275,000 270,187
Lucent Technologies, Inc. 6.500%,
due 01/15/28............................ 150,000 133,875
Qwest Capital Funding, Inc. 7.900%,
due 08/15/10............................ 125,000 125,000
-----------
529,062
-----------
TELECOMMUNICATION SERVICES - WIRELESS - 0.2%
Nextel Partners, Inc. 8.125%, due 07/01/11 100,000 109,000
-----------
TEXTILES, APPAREL & LUXURY GOODS - 0.5%
Elizabeth Arden, Inc. 7.750%,
due 01/15/14............................ 150,000 157,125
Invista, Inc. 9.250%,
due 05/01/12 (144A)(a).................. 100,000 109,750
-----------
266,875
-----------
UTILITIES - 0.0%
Williams Companies, Inc. (The) 7.875%,
due 09/01/21............................ 25,000 28,563
-----------
U.S. GOVERNMENT & AGENCY OBLIGATIONS - 7.8%
Federal National Mortgage Association
6.000%, due 02/01/34................... 1,453,053 1,490,712
6.000%, due 08/01/34................... 415,995 426,777
6.000%, due 09/01/34................... 207,361 212,728
5.500%, due 11/01/34................... 477,010 483,963
6.000%, due 02/01/35................... 500,000 512,942
U.S. Treasury Note 5.000%, due 02/15/11... 1,000,000 1,062,774
-----------
4,189,896
-----------
Total Domestic Bonds & Debt Securities
(Cost $11,064,821) 11,151,724
-----------
---------------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
---------------------------------------------------------------------
CONVERTIBLE BONDS - 3.4%
AEROSPACE & DEFENSE - 0.5%
Alliant Techsystems, Inc. 2.750%, due
02/15/24................................... $ 100,000 $ 104,875
Armor Holdings, Inc., 2.000%, due
11/01/11++................................. 150,000 146,625
------------
251,500
------------
BIOTECHNOLOGY - 0.3%
Fisher Scientific International, Inc. 2.500%,
due 10/01/23............................... 100,000 146,625
------------
COMMERCIAL SERVICES & SUPPLIES - 0.3%
DST Sys, Inc. 4.125%, due 08/15/23........... 150,000 171,562
------------
COMPUTERS & PERIPHERALS - 0.2%
EMC Corp. 4.500%, due 04/01/07............... 100,000 106,000
------------
ENERGY EQUIPMENT & SERVICES - 0.5%
Hanover Compressor Co. 4.750%,
due 01/15/14............................... 250,000 258,750
------------
HOTELS, RESTAURANTS & LEISURE - 0.2%
International Game Technology 1.562%,
due 01/29/33+.............................. 200,000 130,750
------------
MEDIA - 0.4%
Emmis Communications Corp. 6.250%,
due 12/31/49............................... 3,000 125,490
Liberty Media Corp. 3.250%, due
03/15/31................................... 125,000 96,250
------------
221,740
------------
METALS & MINING - 0.6%
Placer Dome, Inc. 2.750%, due 10/15/23....... 300,000 319,125
------------
PHARMACEUTICALS - 0.1%
Watson Pharmaceuticals, Inc. 1.750%,
due 03/15/23............................... 75,000 69,938
------------
SEMICONDUCTOR EQUIPMENT & PRODUCTS - 0.2%
Cypress Semiconductor Corp. 1.250%,
due 06/15/08............................... 45,000 47,812
LSI Logic Corp. 4.000%, due 05/15/10......... 50,000 49,500
------------
97,312
------------
SOFTWARE - 0.1%
Mentor Graphics Corp. 6.875%,
due 06/15/07............................... 75,000 74,625
------------
Total Convertible Bonds (Cost $1,949,206) 1,847,927
------------
See notes to financial statements
86
MET INVESTORS SERIES TRUST
LORD ABBETT AMERICA'S VALUE PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
---------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
---------------------------------------------------------
COMMON STOCKS - 69.9%
AEROSPACE & DEFENSE - 0.2%
Northrop Grumman Corp................ 1,900 $ 104,975
------------
AUTO COMPONENTS - 1.9%
Dana Corp............................ 66,300 995,163
------------
CHEMICALS - 7.7%
Crompton Corp........................ 57,000 806,550
Dow Chemical Co...................... 17,800 792,634
Eastman Chemical Co.................. 19,200 1,058,880
Monsanto Co.......................... 14,600 917,902
Mosaic Co.*.......................... 35,600 553,936
------------
4,129,902
------------
COMMERCIAL SERVICES & SUPPLIES - 4.1%
R.R. Donnelley & Son Co.............. 32,400 1,118,124
The ServiceMaster Co................. 80,400 1,077,360
------------
2,195,484
------------
COMMUNICATIONS EQUIPMENT - 0.6%
Avaya, Inc.*......................... 40,321 335,471
------------
CONTAINERS & PACKAGING - 0.8%
Ball Corp............................ 12,600 453,096
------------
ENERGY EQUIPMENT & SERVICES - 2.8%
GlobalSantaFe Corp................... 12,800 522,240
Halliburton Co....................... 20,900 999,438
------------
1,521,678
------------
FOOD & DRUG RETAILING - 3.5%
Archer-Daniels-Midland Co............ 4,200 89,796
H.J. Heinz Co........................ 30,000 1,062,600
Kellogg Co........................... 16,900 751,036
------------
1,903,432
------------
FOOD RETAILERS - 1.1%
Albertson's, Inc..................... 28,700 593,516
------------
HOTELS, RESTAURANTS & LEISURE - 0.9%
McDonald's Corp...................... 17,300 480,075
------------
HOUSEHOLD DURABLES - 5.7%
Newell Rubbermaid, Inc............... 43,500 1,037,040
Snap-On, Inc......................... 23,300 799,190
Tupperware Corp...................... 52,900 1,236,273
------------
3,072,503
------------
INDUSTRIAL CONGLOMERATES - 1.0%
Hubbell, Inc. - Class B.............. 11,800 520,380
------------
INSURANCE - 5.8%
ACE, Ltd............................. 11,100 497,835
Allstate Corp. (The)................. 4,100 244,975
Lincoln National Corp................ 13,000 609,960
Max Re Capital, Ltd.................. 4,600 105,340
PartnerRe, Ltd....................... 6,800 438,056
SAFECO Corp.......................... 13,500 733,590
XL Capital, Ltd. - Class A........... 6,900 513,498
------------
3,143,254
------------
---------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
---------------------------------------------------------------
LEISURE EQUIPMENT & PRODUCTS - 0.5%
Foot Locker, Inc........................... 9,200 $ 250,424
------------
MACHINERY - 2.5%
CNH Global N.V............................. 5,100 96,339
Cummins, Inc............................... 7,300 544,653
Ingersoll-Rand Co. - Class A............... 3,700 263,995
Timken Co.................................. 19,500 450,450
------------
1,355,437
------------
MEDIA - 1.0%
Clear Channel Communications, Inc.......... 16,900 522,717
------------
METALS & MINING - 0.2%
Metal Management, Inc...................... 4,700 90,945
------------
OIL & GAS - 5.3%
ChevronTexaco Corp......................... 17,000 950,640
EOG Resources, Inc......................... 4,700 266,960
Kerr-McGee Corp............................ 5,773 440,537
NiSource, Inc.............................. 47,900 1,184,567
------------
2,842,704
------------
PAPER & FOREST PRODUCTS - 2.9%
Georgia-Pacific Corp....................... 26,100 829,980
MeadWestvaco Corp.......................... 26,100 731,844
------------
1,561,824
------------
PHARMACEUTICALS - 2.4%
Bristol-Myers Squibb Co.................... 45,900 1,146,582
Mylan Laboratories, Inc.................... 7,650 147,186
------------
1,293,768
------------
REAL ESTATE - 3.3%
Health Care Property Investors, Inc. (REIT) 29,900 808,496
Healthcare Realty Trust, Inc. (REIT)....... 24,300 938,223
------------
1,746,719
------------
RETAIL - MULTILINE - 2.0%
May Department Stores Co................... 27,000 1,084,320
------------
RETAIL - SPECIALTY - 1.1%
Limited, Inc............................... 9,600 205,632
OfficeMax, Inc............................. 13,800 410,826
------------
616,458
------------
TELECOMMUNICATION SERVICES - DIVERSIFIED - 4.6%
PanAmSat Holding Corp...................... 56,100 1,150,611
SBC Communications, Inc.................... 54,900 1,303,875
------------
2,454,486
------------
TRADING COMPANIES & DISTRIBUTORS - 1.7%
Genuine Parts Co........................... 22,600 928,634
------------
UTILITIES - 6.3%
Ameren Corp................................ 22,100 1,222,130
Northeast Utilities........................ 51,500 1,074,290
Puget Energy, Inc.......................... 46,900 1,096,522
------------
3,392,942
------------
Total Common Stocks (Cost $33,888,809) 37,590,307
------------
See notes to financial statements
87
MET INVESTORS SERIES TRUST
LORD ABBETT AMERICA'S VALUE PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
--------------------------------------------------------------------
SECURITY SHARES/PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
--------------------------------------------------------------------
PREFERRED STOCK - 2.5%
ELECTRICAL EQUIPMENT - 0.7%
CMS Energy Corp. 4.500%, due
12/31/49................................. 5,000 $ 407,500
------------
FOOD RETAILERS - 0.3%
Albertson's, Inc. 7.250%, due 05/16/07..... 7,000 156,590
------------
INSURANCE - 0.8%
Chubb Corp. 7.000%, due 08/16/06........... 4,000 127,040
Fortis Insurance* 7.750%, due
01/26/08................................. 150 164,063
XL Capital, Ltd. 0.000%, due 05/15/07...... 6,000 143,700
------------
434,803
------------
MEDIA - 0.5%
Interpublic Group of Co., Inc. 5.375%, due
12/15/06................................. 6,000 269,400
------------
OIL & GAS - 0.2%
FPL Group, Inc. 8.000%, due 02/16/06....... 1,500 96,915
------------
Total Preferred Stock (Cost $1,230,242) 1,365,208
------------
SHORT-TERM INVESTMENTS - 5.6%
REPURCHASE AGREEMENT - 5.6%
State Street Bank & Trust Co., Repurchase
Agreement, dated 06/30/05 at 1.250% to
be repurchased at $3,010,105 on
07/01/05 collateralized by $3,050,000
FHLMC 4.500% due 11/15/11
with a value of $3,072,875
(Cost $3,010,000)........................ $3,010,000 3,010,000
------------
TOTAL INVESTMENTS - 102.1%
(Cost $51,142,954) 54,965,166
Other Assets and Liabilities (net) - (2.1%) (1,167,055)
------------
TOTAL NET ASSETS - 100.0% $ 53,798,111
============
PORTFOLIO FOOTNOTES:
* Non-income producing security.
+ Zero coupon bond- Interest rate represents current yield to maturity.
++ Security is a "step-down" bond where coupon decreases or steps down at a
predetermined date. Rates shown are current coupon and next coupon rate when
security steps down.
(a) Securities that may be resold to "qualified institutional buyers" under
Rule 144A or securities offered pursuant to Section 4(2) of the Securities
Act of 1933, as amended. These securities have been determined to be liquid
under guidelines established by the Board of Trustees.
REIT - Real Estate Investment Trust
FHLMC - Federal Home Loan Mortgage Corporation
See notes to financial statements
88
MET INVESTORS SERIES TRUST
LORD ABBETT BOND DEBENTURE PORTFOLIO
PORTFOLIO OF INVESTMENTS
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
----------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
----------------------------------------------------------------
DOMESTIC BONDS & DEBT SECURITIES - 72.2%
AEROSPACE & DEFENSE - 1.9%
Armor Holdings, Inc.
8.250%, due 08/15/13(b)......... $ 2,000,000 $ 2,172,500
DRS Technologies, Inc.
6.875%, due 11/01/13............ 6,000,000 6,240,000
Esterline Technologies Corp.
7.750%, due 06/15/13............ 3,000,000 3,195,000
L-3 Communications Corp.
6.125%, due 01/15/14(b)......... 4,500,000 4,522,500
Raytheon Co. 4.850%, due 01/15/11. 7,500,000 7,620,907
Titan Corp. 8.000%, due 05/15/11.. 3,000,000 3,232,500
---------------
26,983,407
---------------
AUTO COMPONENTS - 1.5%
Accuride Corp.
8.500%, due 02/01/15............ 1,500,000 1,473,750
Affinia Group, Inc. 9.000%,
due 11/30/14 (144A)(a).......... 900,000 760,500
ArvinMeritor, Inc.
8.750%, due 03/01/12(b)......... 2,500,000 2,618,750
Cooper Standard Automotive, Inc.
8.375%, due 12/15/14(b)......... 3,625,000 2,881,875
Cummins, Inc.
9.500%, due 12/01/10(b)......... 2,500,000 2,762,500
Delco Remy International, Inc.
11.000%, due 05/01/09(b)........ 3,000,000 2,775,000
Stanadyne Corp.
10.000%, due 08/15/14........... 2,000,000 1,900,000
Stanadyne Holdings, Inc.
0.000%/12.000%, due
02/15/15++...................... 2,750,000 1,498,750
Tenneco Automotive, Inc.
8.625%, due 11/15/14(b)......... 1,375,000 1,388,750
United Rentals North America, Inc.
7.750%, due 11/15/13(b)......... 3,350,000 3,308,125
---------------
21,368,000
---------------
AUTOMOTIVE LOANS - 1.4%
Ford Motor Credit Co.
7.375%, due 10/28/09............ 6,500,000 6,357,468
7.250%, due 10/25/11(b).......... 3,000,000 2,890,377
General Motors Acceptance Corp.
7.250%, due 03/02/11............ 11,250,000 10,560,712
---------------
19,808,557
---------------
BANKS - 0.1%
Regions Financial Corp.
7.000%, due 03/01/11............ 1,500,000 1,689,851
---------------
BUILDING PRODUCTS - 0.7%
Ainsworth Lumber Company Limited
7.250%, due 10/01/12............ 5,000,000 4,787,500
Builders Firstsource, Inc. 7.518%,
due 02/15/12 (144A)(a)@......... 2,600,000 2,600,000
----------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
----------------------------------------------------------------
BUILDING PRODUCTS - CONTINUED
Jacuzzi Brands, Inc.
9.625%, due 07/01/10............ $ 2,500,000 $ 2,750,000
---------------
10,137,500
---------------
BUILDING MATERIALS - 0.0%
Texas Industries, Inc. 7.250%,
due 07/15/13 (144A)(a).......... 350,000 360,500
---------------
CAPITAL GOODS - DIVERSIFIED - 0.5%
J.B. Poindexter & Co.
8.750%, due 03/15/14............ 2,725,000 2,493,375
Tyco Internationall Group S.A.,
- Series A, Convertible 2.750%,
due 01/15/18.................... 3,375,000 4,370,625
---------------
6,864,000
---------------
CHEMICALS - 3.0%
Crompton Corp.
9.875%, due 08/01/12(b)......... 5,000,000 5,825,000
Equistar Chemicals LP
7.550%, due 02/15/26............ 6,115,000 5,702,237
Hercules, Inc.
6.750%, due 10/15/29............ 5,000,000 4,875,000
Huntsman LLC
11.500%, due 07/15/12........... 1,320,000 1,554,300
IMC Global, Inc., - Series B
11.250%, due 06/01/11........... 4,000,000 4,440,000
Lyondell Chemical Co., - Series A
9.625%, due 05/01/07............ 1,500,000 1,608,750
Nalco Co.
8.875%, due 11/15/13(b)......... 4,500,000 4,848,750
Nova Chemicals Corp.
6.500%, due 01/15/12............ 1,825,000 1,779,375
PQ Corp. 7.500%,
due 02/15/13 (144A)(a).......... 2,000,000 1,975,000
Rhodia 8.875%, due 06/01/11(b).... 4,000,000 3,870,000
Rockwood Specialties Group 7.500%,
due 11/15/14 (144A)(a).......... 4,500,000 4,488,750
Terra Capital, Inc.
11.500%, due 06/01/10(d)........ 1,950,000 2,232,750
---------------
43,199,912
---------------
COMMERCIAL SERVICES & SUPPLIES - 0.9%
Iron Mountain, Inc.
8.625%, due 04/01/13............ 3,000,000 3,120,000
7.750%, due 01/15/15............. 8,400,000 8,484,000
JohnsonDiversey Holdings, Inc.,
- Series B 9.625%, due 05/15/12. 2,000,000 2,040,000
---------------
13,644,000
---------------
COMMUNICATIONS EQUIPMENT - 0.6%
Lucent Technologies, Inc.
6.450%, due 03/15/29............ 4,000,000 3,600,000
Qwest Corp. 7.875%,
due 09/01/11 (144A)(a).......... 2,000,000 2,095,000
See notes to financial statements
89
MET INVESTORS SERIES TRUST
LORD ABBETT BOND DEBENTURE PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
---------------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
---------------------------------------------------------------------
COMMUNICATIONS EQUIPMENT - CONTINUED
Ubiquitel Operating Co.
9.875%, due 03/01/11(b)................ $ 2,650,000 $ 2,921,625
---------------
8,616,625
---------------
COMPUTER SOFTWARE & PROCESSING - 0.1%
Electronic Data Systems Corp. - Series B
6.500%, due 08/01/13................... 2,000,000 2,047,844
---------------
CONSUMER PRODUCTS - 0.5%
Rayovac Corp.
8.500%, due 10/01/13................... 7,000,000 7,350,000
---------------
CONTAINERS & PACKAGING - 1.7%
Anchor Glass Container Corp., - Series B
11.000%, due 02/15/13(b)............... 2,500,000 1,962,500
Constar International, Inc.
11.000%, due 12/01/12(b)............... 3,175,000 2,540,000
Crown Cork & Seal, Inc.
7.375%, due 12/15/26(b)................ 8,500,000 7,841,250
Owens Brockway Glass Container, Inc.
8.875%, due 02/15/09................... 3,000,000 3,202,500
7.750%, due 05/15/11(b)................. 5,500,000 5,871,250
Owens-Illinois, Inc.
7.500%, due 05/15/10(b)................ 1,000,000 1,055,000
Stone Container Finance
7.375%, due 07/15/14................... 1,775,000 1,677,375
---------------
24,149,875
---------------
ELECTRIC SERVICES - 2.5%
Duke Energy Co.
5.375%, due 01/01/09................... 6,500,000 6,724,575
Midwest Generation LLC
8.750%, due 05/01/34................... 5,000,000 5,625,000
Mission Energy Holding Co.
13.500%, due 07/15/08.................. 2,000,000 2,385,000
NRG Energy, Inc. 8.000%,
due 12/15/13 (144A)(a)................. 5,000,000 5,300,000
Pacific Gas and Electric Co.
4.800%, due 03/01/14................... 2,500,000 2,510,572
PSE&G Energy Holdings, Inc.
8.500%, due 06/15/11................... 5,500,000 6,022,500
Texas Genco LLC 6.875%,
due 12/15/14 (144A)(a)................. 2,550,000 2,696,625
Virginia Electric & Power Co.
4.500%, due 12/15/10................... 5,000,000 5,012,555
Virginia Electric & Power Co., - Series A
7.000%, due 01/01/24................... 700,000 718,886
---------------
36,995,713
---------------
ELECTRIC UTILITIES - 0.9%
Nevada Power Co. 5.875%,
due 01/15/15 (144A)(a)................. 3,500,000 3,535,000
Reliant Energy, Inc.
6.750%, due 12/15/14................... 5,400,000 5,305,500
-------------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
-------------------------------------------------------------------
ELECTRIC UTILITIES - CONTINUED
Teco Energy, Inc.
7.500%, due 06/15/10(b).............. $ 3,250,000 $ 3,558,750
---------------
12,399,250
---------------
ELECTRONIC EQUIPMENT & INSTRUMENTS - 0.2%
Communications & Power Industries, Inc.
8.000%, due 02/01/12................. 2,650,000 2,676,500
---------------
ENERGY EQUIPMENT & SERVICES - 0.4%
PPL Corp.
6.400%, due 11/01/11 (144A)(a)....... 2,000,000 2,193,138
Reliant Resources, Inc.
9.500%, due 07/15/13(b).............. 3,100,000 3,456,500
---------------
5,649,638
---------------
ENTERTAINMENT & LEISURE - 0.1%
Loews Cineplex Entertainment Aquisition
Corp. 9.000%, due 08/01/14
(144A)(a)............................ 1,625,000 1,580,313
---------------
ENVIRONMENTAL SERVICES - 0.9%
Allied Waste North America, Inc.
5.750%, due 02/15/11(b).............. 4,000,000 3,760,000
7.875%, due 04/15/13.................. 5,000,000 5,137,500
7.250%, due 03/15/15
(144A)(a)(b)........................ 4,000,000 3,890,000
---------------
12,787,500
---------------
FINANCIAL SERVICES - 0.1%
JSG Funding 9.625%, due 10/01/12....... 1,850,000 1,859,250
---------------
FOOD PRODUCTS - 1.4%
Chiquita Brands International, Inc.
7.500%, due 11/01/14................. 4,150,000 3,880,250
Dole Food Co., Inc.
8.750%, due 07/15/13................. 3,500,000 3,806,250
Land O Lakes, Inc.
9.000%, due 12/15/10................. 1,900,000 2,056,750
8.750%, due 11/15/11(b)............... 2,600,000 2,632,500
Le-Natures, Inc.
9.000%, due 06/15/13 (144A)(a)....... 3,500,000 3,692,500
Pinnacle Foods Holding Corp.
8.250%, due 12/01/13(b).............. 4,250,000 3,825,000
---------------
19,893,250
---------------
FOOD RETAILERS - 1.2%
Alimentation Couch-Tard, Inc.
7.500%, due 12/15/13................. 2,725,000 2,874,875
Dominos, Inc. 8.250%, due 07/01/11..... 2,188,000 2,341,160
Ingles Markets, Inc.
8.875%, due 12/01/11................. 4,500,000 4,595,625
Roundys, Inc., - Series B
8.875%, due 06/15/12................. 1,500,000 1,552,500
Stater Brothers Holdings, Inc.
8.125%, due 06/15/12................. 6,500,000 6,370,000
---------------
17,734,160
---------------
See notes to financial statements
90
MET INVESTORS SERIES TRUST
LORD ABBETT BOND DEBENTURE PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
------------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
------------------------------------------------------------------
HEALTH CARE EQUIPMENT & SUPPLIES - 1.8%
Alliance Imaging
7.250%, due 12/15/12(b)............. $ 3,500,000 $ 3,325,000
CDRV Investors, Inc. 0.000%/ 9.625%,
due 01/01/15 (144A)++............... 2,075,000 1,027,125
Fresenius Med Cap Trust II
7.875%, due 02/01/08................ 1,050,000 1,097,250
Hanger Orthopedic Group, Inc.
10.375%, due 02/15/09(b)............ 4,000,000 3,710,000
Tenet Healthcare Corp.
7.375%, due 02/01/13(b)............. 7,000,000 6,947,500
9.875%, due 07/01/14................. 3,000,000 3,232,500
9.250%, due 02/01/15 (144A)(a)....... 3,000,000 3,127,500
Vanguard Health Holding Co. II
9.000%, due 10/01/14................ 3,500,000 3,797,500
---------------
26,264,375
---------------
HEALTH CARE PROVIDERS & SERVICES - 3.0%
Ameripath, Inc.
10.500%, due 04/01/13............... 5,000,000 5,087,500
Ardent Health Services, Inc.
10.000%, due 08/15/13............... 4,000,000 4,855,000
Bio-Rad Laboratories, Inc.
6.125%, due 12/15/14................ 3,000,000 3,045,000
Coventry Health Care, Inc.
6.125%, due 01/15/15................ 3,000,000 3,067,500
Davita, Inc. 7.250%,
due 03/15/15 (144A)(a)(b)........... 3,000,000 3,097,500
HCA, Inc. 6.375%, due 01/15/15(b)..... 2,775,000 2,886,300
HealthSouth Corp.
8.375%, due 10/01/11(b)............. 4,350,000 4,339,125
National Mentor, Inc. 9.625%,
due 12/01/12 (144A)(a).............. 2,000,000 2,115,000
National Nephrology Associations, Inc.
9.000%, due 11/01/11 (144A)(a)...... 1,500,000 1,691,250
PacifiCare Health Systems, Inc.
10.750%, due 06/01/09(d)............ 1,950,000 2,154,750
Perkinelmer, Inc.
8.875%, due 01/15/13(b)............. 3,500,000 3,911,250
Rotech Healthcare, Inc.
9.500%, due 04/01/12................ 2,000,000 2,150,000
Triad Hospitals, Inc.
7.000%, due 11/15/13(b)............. 2,500,000 2,581,250
UnitedHealth Group, Inc.
4.875%, due 04/01/13(b)............. 3,000,000 3,080,403
---------------
44,061,828
---------------
HOMEBUILDERS - 0.4%
Beazer Homes USA, Inc.
6.500%, due 11/15/13(b)............. 3,500,000 3,473,750
Schuler Homes, Inc.
9.375%, due 07/15/09................ 1,500,000 1,572,878
-------------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
-------------------------------------------------------------------
HOMEBUILDERS - CONTINUED
William Lyon Homes, Inc.
10.750%, due 04/01/13................ $ 1,150,000 $ 1,253,500
---------------
6,300,128
---------------
HOTELS, RESTAURANTS & LEISURE - 6.9%
Boyd Gaming Corp.
8.750%, due 04/15/12(b).............. 2,625,000 2,864,531
Dennys Holdings, Inc.
10.000%, due 10/01/12(b)............. 3,550,000 3,709,750
Friendly Ice Cream Corp.
8.375%, due 06/15/12(b).............. 3,100,000 3,022,500
Gaylord Entertainment Co.
8.000%, due 11/15/13................. 7,500,000 7,921,875
6.750%, due 11/15/14.................. 4,000,000 3,930,000
Hard Rock Hotel, Inc.
8.875%, due 06/01/13................. 6,000,000 6,555,000
Harrah's Operation Co., Inc.
7.500%, due 01/15/09................. 1,700,000 1,858,321
5.375%, due 12/15/13(b)............... 2,000,000 2,032,478
Host Marriott LP (REIT)
7.000%, due 08/15/12(b).............. 5,650,000 5,890,125
6.375%, due 03/15/15 (144A)(a)........ 3,000,000 2,985,000
Host Marriott LP (REIT), - Series G
9.250%, due 10/01/07................. 2,250,000 2,441,250
Isle of Capri Casinos, Inc.
9.000%, due 03/15/12................. 3,000,000 3,277,500
7.000%, due 03/01/14.................. 6,500,000 6,565,000
John Q Hammons Hotels, Inc., - Series B
8.875%, due 05/15/12................. 1,500,000 1,642,500
Las Vegas Sands Corp. 6.375%,
due 02/15/15 (144A)(a)(b)............ 5,500,000 5,403,750
Mandalay Resort Group
9.375%, due 02/15/10(b).............. 2,000,000 2,245,000
MGM Mirage, Inc.
6.750%, due 09/01/12................. 5,500,000 5,692,500
O' Charleys, Inc.
9.000%, due 11/01/13(b).............. 1,500,000 1,627,500
Park Place Entertainment Corp.
7.875%, due 12/15/05................. 3,250,000 3,306,875
9.375%, due 02/15/07.................. 1,750,000 1,885,625
Penn National Gaming, Inc.
6.875%, due 12/01/11................. 1,750,000 1,802,500
Premier Entertainment Biloxi LLC
10.750%, due 02/01/12................ 1,975,000 1,925,625
River Rock Entertainment Authority
9.750%, due 11/01/11(b).............. 4,800,000 5,292,000
Scientific Games Corp. 6.250%,
due 12/15/12 (144A)(a)............... 1,750,000 1,776,250
Seneca Gaming Corp.
7.250%, due 05/01/12................. 750,000 779,063
See notes to financial statements
91
MET INVESTORS SERIES TRUST
LORD ABBETT BOND DEBENTURE PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
--------------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
--------------------------------------------------------------------
HOTELS, RESTAURANTS & LEISURE - CONTINUED
Six Flags, Inc. 9.625%, due 06/01/14... $ 2,000,000 $ 1,880,000
Station Casinos, Inc.
6.500%, due 02/01/14................. 5,500,000 5,637,500
Turning Stone Casino Resort Enterprise
9.125%, due 12/15/10 (144A)(a)....... 1,500,000 1,593,750
Wynn Las Vegas LLC 6.625%,
due 12/01/14 (144A)(a)............... 4,250,000 4,154,375
---------------
99,698,143
---------------
HOUSEHOLD DURABLES - 0.1%
D. R. Horton, Inc.
6.875%, due 05/01/13(b).............. 1,000,000 1,087,106
---------------
INDUSTRIALS - 0.1%
Park-Ohio Industries, Inc. 8.375%,
due 11/15/14 (144A)(a)............... 1,550,000 1,391,125
---------------
MACHINERY - 0.6%
Dresser-Rand Group, Inc. 7.375%,
due 11/01/14 (144A)(a)............... 3,000,000 3,135,000
Gardner Denver 8.000%,
due 05/01/13 (144A)(a)............... 1,200,000 1,219,992
JLG Industries, Inc.
8.250%, due 05/01/08(b).............. 2,150,000 2,262,875
Manitowoc Co., Inc.
7.125%, due 11/01/13(b).............. 2,500,000 2,625,000
---------------
9,242,867
---------------
MEDIA - 6.5%
Allbritton Communications Co.
7.750%, due 12/15/12................. 7,500,000 7,425,000
AMC Entertainment, Inc.
8.000%, due 03/01/14(b).............. 8,000,000 7,140,000
Block Communications, Inc.
9.250%, due 04/15/09(b).............. 2,000,000 2,140,000
Carmike Cinemas, Inc.
7.500%, due 02/15/14(b).............. 1,500,000 1,366,875
Cch Ii LLC / Cch Ii Capital Corp.
10.250%, due 09/15/10................ 4,000,000 4,065,000
Century Communications Corp., - Class A
9.500%, due 03/01/49(b)(c)........... 1,850,000 1,914,750
Charter Communications Holdings
10.000%, due 04/01/09................ 8,000,000 6,220,000
Cinemark USA, Inc.
9.000%, due 02/01/13................. 1,750,000 1,806,875
Clear Channel Communications, Inc.
4.625%, due 01/15/08(b).............. 1,800,000 1,780,250
CSC Holdings, Inc., - Series B
8.125%, due 08/15/09................. 4,750,000 4,833,125
Dex Media, Inc.
8.000%, due 11/15/13................. 5,000,000 5,337,500
------------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
------------------------------------------------------------------
MEDIA - CONTINUED
DirecTV Holdings LLC
8.375%, due 03/15/13................ $ 1,625,000 $ 1,807,813
6.375%, due 06/15/15 (144A)(a)...... 4,350,000 4,350,000
EchoStar DBS Corp.
6.375%, due 10/01/11 (b)........... 4,000,000 3,985,000
Emmis Operating Co.
6.875%, due 05/15/12............... 3,000,000 2,985,000
FrontierVision Operating Partners LP,
- Series B 11.875%, due
09/15/07(c)........................ 1,000,000 1,380,000
Globo Comunicacoes Participacao
10.625%, due 12/05/08
(144A)(a)(c)(d).................... 750,000 776,250
Insight Communications Co., Inc.
0.000%/12.250%, due
02/15/11++(b)...................... 9,000,000 9,067,500
Interpublic Group of Companies, Inc.
6.250%, due 11/15/14............... 2,485,000 2,332,955
Lin Television Corp. 6.500%,
due 05/15/13(b).................... 2,000,000 1,910,000
Mediacom LLC
9.500%, due 01/15/13(b)............ 6,500,000 6,516,250
Paxson Communications Corp.
10.750%, due 07/15/08(b)........... 6,000,000 5,940,000
Radio One, Inc.
6.375%, due 02/15/13 (144A)(a)..... 2,000,000 1,977,500
Renaissance Media Group LLC
0.000%/ 10.000%, due
04/15/08++......................... 750,000 746,250
Sinclair Broadcast Group, Inc.
8.750%, due 12/15/11............... 2,000,000 2,110,000
Warner Music Group
7.375%, due 04/15/14............... 5,000,000 5,075,000
---------------
94,988,893
---------------
METALS & MINING - 0.9%
Allegheny Ludlum Corp.
6.950%, due 12/15/25(b)............ 3,450,000 3,333,107
Century Aluminum Company
7.500%, due 08/15/14(b)............ 2,000,000 1,985,000
Novelis, Inc.
7.250%, due 02/15/15 (144A)(a)..... 2,500,000 2,521,875
Peabody Energy Corp.
5.875%, due 04/15/16(b)............ 4,000,000 4,020,000
Timken Co. 5.750%, due 02/15/10...... 1,500,000 1,539,813
---------------
13,399,795
---------------
OIL & GAS - 7.2%
Chesapeake Energy Corp.
6.250%, due 01/15/18 (144A)(a)..... 8,000,000 7,920,000
See notes to financial statements
92
MET INVESTORS SERIES TRUST
LORD ABBETT BOND DEBENTURE PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
----------------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
----------------------------------------------------------------------
OIL & GAS - CONTINUED
Dynegy Holdings, Inc.
9.875%, due 07/15/10 (144A)(a).......... $ 4,500,000 $ 4,995,000
6.875%, due 04/01/11 (b)................ 5,500,000 5,458,750
El Paso Corp.
7.000%, due 05/15/11(b)................. 7,000,000 7,017,500
7.750%, due 01/15/32(b)................. 4,500,000 4,410,000
Ferrellgas LP 6.750%, due 05/01/14....... 5,500,000 5,335,000
Ferrellgas Partners LLP
8.750%, due 06/15/12................... 2,000,000 2,010,000
Foundation Pennsylvania Coal Co.
7.250%, due 08/01/14................... 3,500,000 3,692,500
Hanover Compressor Co.
8.625%, due 12/15/10.................... 3,000,000 3,187,500
4.750%, due 01/15/14.................... 5,500,000 5,692,500
Hornbeck Offshore Services, Inc.
6.125%, due 12/01/14................... 2,500,000 2,543,750
J Ray McDermott S.A.
11.000%, due 12/15/13 (144A)(a)........ 1,500,000 1,687,500
KCS Energy, Inc.
7.125%, due 04/01/12.................... 3,575,000 3,664,375
7.125%, due 04/01/12 (144A)(a).......... 1,275,000 1,306,875
Kerr-McGee Corp.
6.950%, due 07/01/24................... 2,125,000 2,206,330
Key Energy Services, Inc.
6.375%, due 05/01/13................... 6,000,000 6,060,000
Northwest Pipeline Corp.
8.125%, due 03/01/10................... 1,500,000 1,635,000
Pioneer Natural Resources Co., - Series A
7.200%, due 01/15/28................... 1,510,000 1,627,517
Pogo Producing Co.
6.625%, due 03/15/15 (144A)(a)......... 2,875,000 2,982,813
Pride International, Inc.
7.375%, due 07/15/14(b)................ 1,500,000 1,653,750
Schlumberger, Ltd. (Convertible)
1.500%, due 06/01/23................... 7,500,000 8,643,750
SEMCO Energy, Inc.
7.125%, due 05/15/08(b)................ 8,000,000 8,184,680
Sonat, Inc. 7.625%, due 07/15/11......... 1,500,000 1,518,750
Suburban Propane Partners LP
6.875%, due 12/15/13................... 5,500,000 5,252,500
Williams Cos, Inc.
7.875%, due 09/01/21(b)................ 5,000,000 5,712,500
---------------
104,398,840
---------------
OIL & GAS EXPLORATION & PRODUCTION - 1.6%
El Paso Production Holding Co.
7.750%, due 06/01/13(b)................ 3,000,000 3,217,500
EXCO Resources, Inc.
7.250%, due 01/15/11................... 6,000,000 6,030,000
----------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
----------------------------------------------------------------
OIL & GAS EXPLORATION & PRODUCTION - CONTINUED
Forest Oil Corp.
8.000%, due 06/15/08(b).......... $ 1,500,000 $ 1,597,500
Harvest Operations Corp.
7.875%, due 10/15/11............. 1,500,000 1,436,250
Houston Exploration Co.
7.000%, due 06/15/13(b).......... 3,400,000 3,527,500
Markwest Energy
6.875%, due 11/01/14 (144A)(a)... 5,000,000 5,000,000
Range Resources Corp.
7.375%, due 07/15/13............. 2,575,000 2,755,250
---------------
23,564,000
---------------
PAPER & FOREST PRODUCTS - 2.6%
Abitibi-Consolidated, Inc. (Yankee)
8.550%, due 08/01/10(b).......... 2,800,000 2,933,000
Boise Cascade LLC
7.125%, due 10/15/14 (144A)(a)... 2,500,000 2,468,750
Bowater, Inc.
6.500%, due 06/15/13(b).......... 6,500,000 6,451,250
Buckeye Technologies, Inc.
8.000%, due 10/15/10(b).......... 5,400,000 5,211,000
Graham Packaging Company
8.500%, due 10/15/12 (144A)(a)... 4,200,000 4,263,000
Jefferson Smurfit Corp.
8.250%, due 10/01/12.............. 1,750,000 1,767,500
7.500%, due 06/01/13(b)........... 2,500,000 2,400,000
Longview Fibre Co.
10.000%, due 01/15/09............ 1,500,000 1,605,000
Norske Skog Canada
7.375%, due 03/01/14(b).......... 6,500,000 6,402,500
Tembec Industries, Inc.
7.750%, due 03/15/12(b).......... 2,000,000 1,480,000
Tembec Industries, Inc., (Yankee)
8.625%, due 06/30/09(b).......... 3,500,000 2,870,000
---------------
37,852,000
---------------
PERSONAL PRODUCTS - 0.8%
Elizabeth Arden, Inc.
7.750%, due 01/15/14............. 6,000,000 6,285,000
Playtex Products, Inc.
9.375%, due 06/01/11(b).......... 5,000,000 5,287,500
---------------
11,572,500
---------------
PHARMACEUTICALS - 1.0%
Alpharma, Inc.
8.625%, due 05/01/11 (144A)(a)... 6,750,000 6,631,875
Warner Chilcott Corp.
8.750%, due 02/01/15 (144A)(a)... 7,500,000 7,331,250
---------------
13,963,125
---------------
PUBLISHING - 1.0%
American Media Operations, Inc.,
- Series B 10.250%, due 05/01/09. 1,000,000 1,005,000
See notes to financial statements
93
MET INVESTORS SERIES TRUST
LORD ABBETT BOND DEBENTURE PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
----------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
----------------------------------------------------------------
PUBLISHING - CONTINUED
Dex Media West - Series B
9.875%, due 08/15/13............. $ 3,418,000 $ 3,913,610
Houghton Mifflin Co.
8.250%, due 02/01/11............. 7,000,000 7,297,500
PRIMEDIA, Inc.
8.875%, due 05/15/11............. 2,500,000 2,631,250
---------------
14,847,360
---------------
REAL ESTATE - 0.2%
Felcor Lodging LP (REIT)
8.500%, due 06/01/11............. 2,260,000 2,480,350
---------------
RETAIL - MULTILINE - 0.9%
JC Penney, Inc.
6.875%, due 10/15/15.............. 1,750,000 1,890,000
7.950%, due 04/01/17 (b).......... 700,000 810,250
Jean Coutu Group PJC, Inc.
8.500%, due 08/01/14(b).......... 2,600,000 2,580,500
Rite Aid Corp.
8.125%, due 05/01/10.............. 6,000,000 6,210,000
6.875%, due 08/15/13(b)........... 2,200,000 1,914,000
---------------
13,404,750
---------------
RETAIL - SPECIALTY - 0.3%
Saks, Inc. 7.375%, due 02/15/19.... 4,125,000 4,145,625
---------------
SEMICONDUCTOR EQUIPMENT & PRODUCTS - 0.1%
Freescale Semiconductor
7.125%, due 07/15/14............. 1,750,000 1,890,000
---------------
SOFTWARE - 0.3%
Sensus Metering Systems, Inc.
8.625%, due 12/15/13............. 4,000,000 3,740,000
---------------
TELECOMMUNICATION SERVICES - DIVERSIFIED - 2.4%
Cincinnati Bell, Inc.
8.375%, due 01/15/14(b).......... 5,000,000 5,150,000
Intelsat Bermuda, Ltd.
8.250%, due 01/15/13 (144A)(a)... 6,000,000 6,225,000
Level 3 Financing, Inc. 10.750%,
due 10/15/11 (144A)(a)(b)........ 3,000,000 2,542,500
MCI, Inc.
5.908%, due 05/01/07.............. 514 522
6.688%, due 05/01/09.............. 514 536
8.735%, due 05/01/14.............. 4,281,583 4,811,429
Qwest Capital Funding, Inc.
7.900%, due 08/15/10(b).......... 10,000,000 10,000,000
Qwest Communications International,
Inc. 7.250%, due 02/15/11........ 1,250,000 1,215,625
Qwest Services Corp.
13.500%, due 12/15/10............ 3,000,000 3,480,000
TeleCorp PCS, Inc.
10.625%, due 07/15/10............ 1,000,000 1,057,959
---------------
34,483,571
---------------
-----------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
-----------------------------------------------------------------
TELECOMMUNICATION SERVICES - WIRELESS - 2.3%
Airgate PCS, Inc. 6.891%,
due 10/15/11@..................... $ 4,150,000 $ 4,264,125
Alamosa Delaware, Inc.
11.000%, due 07/31/10(b).......... 1,500,000 1,689,375
Centennial Communications Corp.
10.125%, due 06/15/13............. 6,000,000 6,810,000
Dobson Communications Corp.
8.875%, due 10/01/13(b)........... 2,400,000 2,208,000
Nextel Communications, Inc.
7.375%, due 08/01/15.............. 1,500,000 1,627,500
Nextel Partners, Inc.
8.125%, due 07/01/11.............. 5,900,000 6,431,000
Rogers Wireless Communications, Inc.
9.625%, due 05/01/11(b)........... 1,000,000 1,178,750
Rural Cellular Corp.
9.750%, due 01/15/10(b)........... 2,500,000 2,337,500
Triton PCS, Inc.
9.375%, due 02/01/11 (144A)(a)(b).. 1,000,000 722,500
8.750%, due 11/15/11(b)............ 2,050,000 1,460,625
Valor Telecommunications Enterprise
7.750%, due 02/15/15 (144A)(a).... 1,700,000 1,678,750
Western Wireless Corp.
9.250%, due 07/15/13.............. 2,000,000 2,287,500
---------------
32,695,625
---------------
TEXTILES, APPAREL & LUXURY GOODS - 0.4%
Invista, Inc. 9.250%,
due 05/01/12 (144A)(a)............ 5,000,000 5,487,500
---------------
TRANSPORTATION - 0.8%
CHC Helicopter Corp.
7.375%, due 05/01/14.............. 4,000,000 4,010,000
Offshore Logistics, Inc.
6.125%, due 06/15/13.............. 6,000,000 5,820,000
Trinity Industries, Inc.
6.500%, due 03/15/14(b)........... 2,500,000 2,500,000
---------------
12,330,000
---------------
U.S. GOVERNMENT AGENCY MORTGAGE BACKED SECURITIES - 6.6%
Federal Home Loan Mortgage Corp.
5.500%, due 07/15/06.............. 10,000,000 10,175,830
Federal National Mortgage Assoc.
6.000%, due 02/01/32............... 962,383 988,199
6.000%, due 11/01/32............... 4,877,050 5,004,793
5.500%, due 02/01/33............... 6,576,313 6,676,247
6.000%, due 03/01/33............... 8,745,321 8,974,383
6.000%, due 05/01/33............... 8,246,238 8,462,227
5.500%, due 10/01/33............... 3,492,555 3,544,628
6.000%, due 11/01/33............... 9,190,535 9,428,728
6.000%, due 02/01/34............... 4,843,510 4,969,040
6.000%, due 08/01/34............... 16,871,530 17,308,507
See notes to financial statements
94
MET INVESTORS SERIES TRUST
LORD ABBETT BOND DEBENTURE PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
-----------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
-----------------------------------------------------------------
U.S. GOVERNMENT AGENCY MORTGAGE BACKED SECURITIES - CONTINUED
6.000%, due 09/01/34............... $ 4,922,231 $ 5,049,643
6.000%, due 11/01/34............... 15,000,000 15,388,274
---------------
95,970,499
---------------
U.S. GOVERNMENT & AGENCY OBLIGATIONS - 2.8%
U.S. Treasury Note
4.375%, due 05/15/07............... 27,500,000 27,874,907
5.000%, due 02/15/11(b)............ 12,500,000 13,284,675
---------------
41,159,582
---------------
Total Domestic Bonds & Debt Securities
(Cost $1,034,278,394) 1,048,215,232
---------------
CONVERTIBLE BONDS - 15.0%
ADVERTISING - 0.4%
Lamar Advertising Co.
2.875%, due 12/31/10.............. 5,500,000 5,665,000
---------------
AEROSPACE & DEFENSE - 1.1%
Alliant Techsystems, Inc.
2.750%, due 02/15/24.............. 5,000,000 5,243,750
Armor Holdings, Inc. 2.000%/ 0.000%,
due 11/01/24+++................... 3,000,000 2,932,500
Lockheed Martin Corp.
3.018%, due 08/15/33@............. 7,000,000 7,485,870
---------------
15,662,120
---------------
COMMERCIAL SERVICES & SUPPLIES - 0.3%
Charles River Associates, Inc.
2.875%, due 06/15/34.............. 2,930,000 4,435,288
---------------
COMPUTER SOFTWARE & PROCESSING - 0.3%
Mentor Graphics Corp.
6.875%, due 06/15/07.............. 5,000,000 4,975,000
---------------
CONSTRUCTION MATERIALS - 0.6%
Fluor Corp. New
1.500%, due 02/15/24.............. 7,500,000 8,700,000
---------------
ELECTRICAL EQUIPMENT - 0.4%
LSI Logic Corp.
4.000%, due 05/15/10.............. 6,000,000 5,940,000
---------------
ELECTRONIC EQUIPMENT & INSTRUMENTS - 0.4%
EDO Corp. 5.250%, due 04/15/07...... 1,500,000 1,552,500
Flir Systems, Inc.
3.000%, due 06/01/23.............. 3,000,000 4,477,500
---------------
6,030,000
---------------
FINANCIAL SERVICES - 0.8%
American Express Co.
1.850%, due 12/01/33.............. 5,900,000 6,003,250
Morgan Stanley Group, Inc.
8.250%, due 05/15/06............... 30,400 2,008,224
1.000%, due 03/30/12 (144A)(a)..... 3,500,000 3,373,300
---------------
11,384,774
---------------
---------------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
---------------------------------------------------------------------
HEALTH CARE EQUIPMENT & SUPPLIES - 1.4%
Advanced Med Optics, Inc.
2.500%, due 07/15/24............... $ 5,500,000 $ 5,548,125
Fisher Scientific International, Inc.
2.500%, due 10/01/23............... 4,000,000 5,865,000
Invitrogen Corp.
1.500%, due 02/15/24............... 5,500,000 5,321,250
Medtronic, Inc.
1.250%, due 09/15/21............... 4,000,000 3,985,000
---------------
20,719,375
---------------
HEALTH CARE PROVIDERS & SERVICES - 0.7%
Alza Corp. 0.000%, due 07/28/20+..... 6,000,000 5,385,000
Universal Health Services, Inc.
0.426%, due 06/23/20............... 6,500,000 4,615,000
---------------
10,000,000
---------------
HOTELS, RESTAURANTS & LEISURE - 1.0%
Hilton Hotels Corp.
3.375%, due 04/15/23 (b)........... 4,500,000 5,439,375
Starwood Hotels
3.500%, due 05/16/23............... 7,000,000 8,426,250
---------------
13,865,625
---------------
LEISURE EQUIPMENT & PRODUCTS - 0.3%
International Game Technology
1.632%, due 01/29/33 +............. 7,500,000 4,903,125
---------------
MACHINERY - 0.4%
AGCO Corp. 1.750%, due 12/31/33...... 5,500,000 5,706,250
---------------
MEDIA - 1.5%
Disney Walt Co. 2.125%, due
04/15/23........................... 7,500,000 7,734,375
Liberty Media Corp.
3.250%, due 03/15/31............... 8,250,000 6,352,500
Lions Gate Entertainment Corp.
3.625%, due 03/15/25............... 2,500,000 2,528,125
Sinclair Broadcast Group, Inc.
6.000%, due 09/15/12............... 2,785,000 2,346,362
Sinclair Broadcast Group, Inc.
4.875% 2.000%, due 07/15/18+++..... 3,000,000 2,737,500
---------------
21,698,862
---------------
METALS & MINING - 0.5%
Placer Dome, Inc.
2.750%, due 10/15/23 (Yankee)...... 7,000,000 7,446,250
---------------
OIL & GAS - 0.6%
Airgas, Inc. 6.250%, due 07/15/14(b). 4,000,000 4,070,000
Quicksilver Resources, Inc.
1.875%, due 11/01/24 (144A)(a)..... 3,000,000 4,623,750
---------------
8,693,750
---------------
See notes to financial statements
95
MET INVESTORS SERIES TRUST
LORD ABBETT BOND DEBENTURE PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
----------------------------------------------------------------
SECURITY SHARES/PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
----------------------------------------------------------------
PHARMACEUTICALS - 2.3%
Allergan, Inc.
0.000%, due 11/06/22+............ $ 3,000,000 $ 2,943,750
Celgene Corp. 1.750%, due 06/01/08. 2,500,000 4,409,375
Decode Genetics, Inc.
3.500%, due 04/15/11............. 2,500,000 2,293,750
SFBC International Inc.
2.250%, due 08/15/24............. 7,500,000 8,568,750
Teva Pharmaceutical Finance B.V.
0.375%, due 11/15/22.............. 4,025,000 5,931,844
0.500%, due 02/01/24.............. 1,750,000 1,723,750
Watson Pharmaceuticals, Inc.
1.750%, due 03/15/23............. 7,500,000 6,993,750
---------------
32,864,969
---------------
RETAIL - MULTILINE - 0.3%
Costco Wholesale Corp.
0.340%, due 08/19/17+............ 5,000,000 5,118,750
---------------
RETAIL - SPECIALTY - 0.2%
Saks, Inc. 2.000%, due 03/15/24.... 3,000,000 3,352,500
---------------
SEMICONDUCTOR EQUIPMENT & PRODUCTS - 0.2%
Cypress Semiconductor Corp.
1.250%, due 06/15/08............. 2,830,000 3,006,875
---------------
SOFTWARE - 1.1%
DST Systems, Inc., - Series A
4.125%, due 08/15/23............. 7,500,000 8,578,125
EMC Corp. 4.500%, due 04/01/07..... 6,500,000 6,890,000
---------------
15,468,125
---------------
TELECOMMUNICATION SERVICES - WIRELESS - 0.2%
Nextel Communications, Inc.
5.250%, due 01/15/10............. 2,500,000 2,521,875
---------------
Total Convertible Bonds
(Cost $214,675,971) 218,158,513
---------------
COMMON STOCKS - 0.3%
AEROSPACE & DEFENSE - 0.1%
Raytheon Co........................ 39,150 1,531,548
---------------
INTERNET SOFTWARE & SERVICES - 0.0%
McDATA Corp. - Class A*(b)......... 440 1,760
---------------
PAPER & FOREST PRODUCTS - 0.0%
PT Indah Kiat Pulp & Paper Corp.*.. 1,867,500 256,627
---------------
TELECOMMUNICATION SERVICES - DIVERSIFIED - 0.2%
Avaya, Inc.*(b).................... 215,301 1,791,305
---------------
Total Common Stocks
(Cost $4,817,791) 3,581,240
---------------
PREFERRED STOCK - 4.2%
AUTOMOBILES - 0.2%
Ford Motor Co.(b).................. 60,000 2,419,800
---------------
--------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
--------------------------------------------------------------
BANKS - 0.2%
Marshall & Ilsley Corp.(b)............ 125,000 $ 3,443,750
---------------
BEVERAGES, FOOD & TOBACCO - 0.2%
Constellation Brands, Inc.(b)......... 75,000 3,352,500
---------------
ELECTRICAL EQUIPMENT - 0.5%
FPL Group, Inc. 8.00%(b).............. 100,000 6,461,000
---------------
FINANCIAL SERVICES - 0.3%
Lehman Brothers Holdings, Inc.(b)..... 140,000 3,549,000
---------------
FOOD & DRUG RETAILING - 0.3%
Albertsons, Inc. 7.250%............... 170,000 3,802,900
---------------
INSURANCE - 0.2%
Chubb Corp.(b)........................ 75,000 2,382,000
XL Capital, Ltd....................... 45,000 1,077,750
---------------
3,459,750
---------------
MEDIA - 0.4%
Interpublic Group of Companies, Inc. -
Series A 5.375%(b).................. 120,000 5,388,000
---------------
OIL & GAS - 1.0%
Chesapeake Energy Corp.(b)............ 6,000 8,784,750
Williams Cos, Inc.(b)................. 65,000 5,931,250
---------------
14,716,000
---------------
PHARMACEUTICALS - 0.4%
Schering Plough Corp.................. 120,000 6,117,600
---------------
U.S. GOVERNMENT AGENCY - 0.1%
Federal National Mortgage Assoc....... 15 1,456,567
---------------
UTILITIES - 0.4%
PNM Resources, Inc. *................. 120,000 6,424,800
---------------
Total Preferred Stock
(Cost $57,661,819) 60,591,667
---------------
See notes to financial statements
96
MET INVESTORS SERIES TRUST
LORD ABBETT BOND DEBENTURE PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
--------------------------------------------------------------
SECURITY SHARES/PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
--------------------------------------------------------------
SHORT-TERM INVESTMENTS - 24.3%
State Street Bank & Trust Co.,
Repurchase Agreement, dated
06/30/05 at 2.00% to be
repurchased at $7,392,543 on
07/01/05 collateralized by
$7,285,000 FHLMC 2.00% due
03/05/19 with a value of
$7,539,975..................... $ 7,392,132 $ 7,392,132
State Street Bank & Trust Co.,
Repurchase Agreement, dated
06/30/05 at 2.00% to be
repurchased at $49,328,720 on
07/01/05 collateralized by
$50,000,000 FNMA 3.00% due
07/16/13 with a value of
$50,312,500.................... 49,325,980 49,325,980
State Street Bank & Trust Co.,
Repurchase Agreement, dated
06/30/05 at 2.00% to be
repurchased at $25,912,355 on
07/01/05 collateralized by
$26,300,000 FNMA 5.40% due
06/15/15 with a value of
$26,431,500.................... 25,910,915 25,910,915
State Street Bank & Trust Co.,
Repurchase Agreement, dated
06/30/05 at 2.00% to be
repurchased at $24,828,352 on
07/01/05 collateralized by
$25,135,000 FHLMC 4.50% due
11/15/11 with a value of
$25,323,513.................... 24,826,973 24,826,973
State Street Navigator Securities
Lending Prime Portfolio(e)..... 246,101,521 246,101,521
--------------
Total Short-Term Investments
(Cost $353,557,521) 353,557,521
--------------
TOTAL INVESTMENTS - 116.0%
(Cost $1,664,991,496) 1,684,104,173
Other Assets and Liabilities (net) - (16.0%) (231,784,233)
--------------
TOTAL NET ASSETS - 100.0% $1,452,319,940
==============
PORTFOLIO FOOTNOTES:
* Non-income producing security.
+ Zero coupon bond- Interest rate represents current yield to maturity.
++ Security is a "step-up" bond where coupon increases or steps up at a
predetermined date. Rates shown are current coupon and next coupon rate when
security steps up.
+++ Security is a "step down" bond where coupon decreases or steps down at a
predetermined date. Rates shown are current coupon and next coupon rate
when security steps down.
@ Variable or floating rate security. The stated rate represents the rate at
June 30, 2005.
(a) Securities that may be resold to "qualified institutional buyers" under
Rule 144A or securities offered pursuant to Section 4(2) of the Securities
Act of 1933, as amended. These securities have been determined to be liquid
under guidelines established by the Board of Trustees.
(b) All or a portion of security out on loan.
(c) Security is in default.
(d) Illiquid securities representing in the aggregate 0.36% of net assets.
(e) Represents investment of collateral received from securities lending
transactions.
REIT - Real Estate Investment Trust
FHLMC - Federal Home Loan Mortgage Corp.
FNMA - Federal National Mortgage Association
Yankee - U.S. Dollar denominated bonds issued by non-U.S. companies in the U.S.
The following table summarizes the credit composition of the portfolio holdings
of the Lord Abbett Bond Debenture Portfolio at June 30, 2005, based upon credit
quality ratings issued by Standard & Poor's. For securities not rated by
Standard & Poor's, the equivalent Moody's rating is used.
PERCENT OF
PORTFOLIO COMPOSITION BY CREDIT QUALITY PORTFOLIO
--------------------------------------------------
AAA/Government/Government Agency 10.71%
AA 0.30
A 3.18
BBB 8.31
BB 17.29
B 41.67
Below B 9.47
Equities/Other 9.07
------
Total: 100.00%
======
See notes to financial statements
97
MET INVESTORS SERIES TRUST
LORD ABBETT GROWTH AND INCOME PORTFOLIO
PORTFOLIO OF INVESTMENTS
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
------------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
------------------------------------------------------------------
COMMON STOCKS - 95.8%
AEROSPACE & DEFENSE - 2.2%
General Dynamics Corp.(a)............... 214,790 $ 23,528,096
Honeywell International, Inc............ 612,897 22,450,417
Raytheon Co.(a)......................... 438,230 17,143,558
---------------
63,122,071
---------------
AIR FREIGHT & LOGISTICS - 1.0%
United Parcel Service, Inc. - Class B(a) 414,170 28,643,997
---------------
BANKS - 2.1%
Bank of New York Co., Inc.(a)........... 1,172,117 33,733,527
Marshall & Ilsley Corp.(a).............. 239,420 10,642,219
Wachovia Corp.(a)....................... 329,304 16,333,479
---------------
60,709,225
---------------
BEVERAGES - 2.3%
Diageo Plc (ADR)(a)..................... 257,973 15,297,799
PepsiCo, Inc.(a)........................ 961,976 51,879,366
---------------
67,177,165
---------------
CHEMICALS - 4.2%
E.I. du Pont de Nemours & Co............ 1,233,432 53,049,910
Monsanto Co.(a)......................... 340,215 21,389,317
Potash Corp. of Saskatchewan, Inc.(a)... 143,786 13,743,066
Praxair, Inc.(a)........................ 694,650 32,370,690
---------------
120,552,983
---------------
COMMERCIAL SERVICES & SUPPLIES - 2.1%
Automatic Data Processing, Inc.(a)...... 678,634 28,482,269
Waste Management, Inc................... 1,176,727 33,348,443
---------------
61,830,712
---------------
COMMUNICATIONS EQUIPMENT - 3.3%
Motorola, Inc........................... 2,834,825 51,763,905
SBC Communications, Inc.(a)............. 1,769,707 42,030,541
---------------
93,794,446
---------------
COMPUTER SOFTWARE & PROCESSING - 0.2%
Electronic Data Systems Corp.(a)........ 311,200 5,990,600
---------------
COMPUTERS & PERIPHERALS - 2.1%
EMC Corp.*.............................. 2,038,178 27,943,420
Hewlett-Packard Co...................... 1,368,100 32,164,031
---------------
60,107,451
---------------
CONSTRUCTION & ENGINEERING - 0.4%
Fluor Corp New(a)....................... 182,100 10,487,139
---------------
ELECTRIC SERVICES - 0.8%
Ameren Corp.(a)......................... 53,800 2,975,140
Progress Energy, Inc.(a)................ 364,647 16,496,630
Southern Co. (The)(a)................... 129,085 4,475,377
---------------
23,947,147
---------------
ELECTRICAL EQUIPMENT - 1.0%
Emerson Electric Co..................... 478,756 29,984,488
---------------
-----------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
-----------------------------------------------------------------
ELECTRONIC EQUIPMENT & INSTRUMENTS - 0.9%
Xerox Corp.*(a)........................ 1,814,605 $ 25,023,403
---------------
ENERGY EQUIPMENT & SERVICES - 3.4%
Baker Hughes, Inc.(a).................. 789,202 40,375,575
Schlumberger, Ltd.(a).................. 777,963 59,078,510
---------------
99,454,085
---------------
FINANCIAL SERVICES - 6.4%
Bank of America Corp................... 849,086 38,726,813
Citigroup, Inc......................... 930,149 43,000,788
Goldman Sachs Group, Inc............... 200,400 20,444,808
J.P. Morgan Chase & Co................. 1,554,770 54,914,476
Mellon Financial Corp.................. 352,978 10,126,939
Merrill Lynch & Co., Inc............... 214,839 11,818,293
Mitsubishi Tokyo Financial Group,
Inc.(ADR)(a)......................... 685,200 5,810,496
---------------
184,842,613
---------------
FOOD PRODUCTS - 3.5%
Campbell Soup Co.(a)................... 504,890 15,535,465
H.J. Heinz Co.......................... 554,850 19,652,787
Kraft Foods, Inc. - Class A(a)......... 2,103,299 66,905,941
---------------
102,094,193
---------------
FOOD RETAILERS - 1.7%
Kroger Co. (The)*(a)................... 2,560,601 48,728,237
---------------
HEALTH CARE EQUIPMENT & SUPPLIES - 0.2%
Guidant Corp........................... 90,345 6,080,218
---------------
HEALTH CARE PROVIDERS & SERVICES - 4.0%
Baxter International, Inc.............. 1,407,135 52,204,708
Cardinal Health, Inc.(a)............... 743,008 42,782,401
CIGNA Corp............................. 184,740 19,772,722
---------------
114,759,831
---------------
HOUSEHOLD DURABLES - 0.6%
Newell Rubbermaid, Inc.(a)............. 735,400 17,531,936
---------------
HOUSEHOLD PRODUCTS - 2.7%
Clorox Co. (The)....................... 356,511 19,864,793
Kimberly-Clark Corp.................... 499,559 31,267,398
Procter & Gamble Co. (The)............. 501,395 26,448,586
---------------
77,580,777
---------------
INDUSTRIAL CONGLOMERATES - 3.6%
General Electric Co.................... 2,468,215 85,523,650
Tyco International, Ltd................ 674,761 19,703,021
---------------
105,226,671
---------------
INSURANCE - 2.7%
AFLAC, Inc.(a)......................... 123,658 5,351,918
American International Group, Inc...... 627,551 36,460,713
Chubb Corp. (The)(a)................... 73,800 6,318,018
Hartford Financial Services Group, Inc. 380,275 28,436,965
---------------
76,567,614
---------------
See notes to financial statements
98
MET INVESTORS SERIES TRUST
LORD ABBETT GROWTH AND INCOME PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
--------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
--------------------------------------------------------
INTERNET SOFTWARE & SERVICES - 0.1%
BEA Systems, Inc.*............ 189,625 $ 1,664,908
---------------
MACHINERY - 5.9%
Caterpillar, Inc.............. 276,009 26,306,418
Deere & Co.(a)................ 943,456 61,786,934
Eaton Corp.(a)................ 302,896 18,143,470
Illinois Tool Works, Inc.(a).. 110,680 8,818,982
Pall Corp.(a)................. 398,842 12,108,843
Parker-Hannifin Corp.(a)...... 699,001 43,345,052
---------------
170,509,699
---------------
MEDIA - 4.3%
Comcast Corp. - Class A* (a).. 1,389,151 41,605,072
Tribune Co.(a)................ 726,925 25,573,222
Viacom, Inc. - Class B........ 436,605 13,980,092
Walt Disney Co................ 1,712,870 43,130,067
---------------
124,288,453
---------------
METALS & MINING - 3.6%
Alcoa, Inc.(a)................ 741,560 19,376,963
Barrick Gold Corp.(a)......... 1,169,755 29,278,967
Newmont Mining Corp.(a)....... 1,418,491 55,363,704
---------------
104,019,634
---------------
OIL & GAS - 6.7%
El Paso Corp.(a).............. 1,187,100 13,675,392
Exxon Mobil Corp.............. 3,116,900 179,128,243
---------------
192,803,635
---------------
PAPER & FOREST PRODUCTS - 1.8%
International Paper Co........ 1,732,118 52,327,285
---------------
PERSONAL PRODUCTS - 1.4%
Gillette Co................... 823,660 41,701,906
---------------
PHARMACEUTICALS - 12.5%
Bristol-Myers Squibb Co.(a)... 766,082 19,136,728
GlaxoSmithKline Plc (ADR)(a).. 883,394 42,853,443
Johnson & Johnson............. 308,849 20,075,185
MedImmune, Inc.*.............. 703,244 18,790,680
Merck & Co., Inc.............. 705,060 21,715,848
Novartis AG (ADR)(a).......... 1,322,259 62,727,967
Pfizer, Inc................... 2,825,107 77,916,451
Schering-Plough Corp.(a)...... 1,493,698 28,469,884
Wyeth......................... 1,555,510 69,220,195
---------------
360,906,381
---------------
RETAIL - MULTILINE - 1.8%
CVS Corp.(a).................. 1,010,640 29,379,305
Wal-Mart Stores, Inc.......... 483,000 23,280,600
---------------
52,659,905
---------------
ROAD & RAIL - 1.5%
Canadian National Railway Co.. 278,499 16,055,468
Union Pacific Corp.(a)........ 436,159 28,263,103
---------------
44,318,571
---------------
----------------------------------------------------------------------
SECURITY SHARES/PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
----------------------------------------------------------------------
SOFTWARE - 1.4%
Microsoft Corp........................... 1,581,200 $ 39,277,008
---------------
TELECOMMUNICATION SERVICES - DIVERSIFIED - 2.8%
BellSouth Corp........................... 508,952 13,522,855
Sprint Corp.(a).......................... 787,083 19,747,912
Verizon Communications, Inc.(a).......... 1,379,164 47,650,116
---------------
80,920,883
---------------
TEXTILES, APPAREL & LUXURY GOODS - 0.4%
NIKE, Inc. - Class B..................... 133,435 11,555,471
---------------
UTILITIES - 0.2%
PG&E Corp................................ 139,575 5,239,646
---------------
Total Common Stocks
(Cost $ 2,518,216,656) 2,766,430,387
---------------
SHORT-TERM INVESTMENTS - 17.8%
State Street Bank & Trust Co.,
Repurchase Agreement, dated
06/30/05 at 2.00% to be repurchased
at $134,847,491 on 07/01/05
collateralized by $50,000,000 FNMA
5.700% due 03/27/23 with a value of
$50,625,000............................ 50,000,000 50,000,000
State Street Bank & Trust Co.,
Repurchase Agreement, dated
06/30/05 at 2.00% to be repurchased
at $134,847,491 on 07/01/05
collateralized by $50,000,000 FNMA
5.500% due 07/14/28 with a value of
$50,437,500............................ 50,000,000 50,000,000
State Street Bank & Trust Co.,
Repurchase Agreement, date
06/30/05 at 2.00% to be repurchased
at $134,847,491 on 07/01/05
collateralized by $35,245,000 FHLMC
2.000% due 03/05/19 with a value of
$36,478,575............................ 34,840,000 34,840,000
State Street Navigator Securities Lending
Prime Portfolio(b)..................... 378,383,282 378,383,282
---------------
Total Short-Term Investments
(Cost $ 513,223,282) 513,223,282
---------------
TOTAL INVESTMENTS - 113.6%
(Cost $ 3,031,439,938) 3,279,653,669
Other Assets and Liabilities (net) - (13.6%) (392,490,024)
---------------
TOTAL NET ASSETS - 100.0% $ 2,887,163,645
===============
See notes to financial statements
99
MET INVESTORS SERIES TRUST
LORD ABBETT GROWTH AND INCOME PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
PORTFOLIO FOOTNOTES:
* Non-income producing security.
(a) All or a portion of security out on loan.
(b) Represents investment of collateral received from securities lending
transactions.
ADR - American Depositary Receipt
FHLMC - Federal Home Loan Mortgage Corp.
FNMA - Federal National Mortgage Association
See notes to financial statements
100
MET INVESTORS SERIES TRUST
LORD ABBETT GROWTH OPPORTUNITIES PORTFOLIO
PORTFOLIO OF INVESTMENTS
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
--------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
--------------------------------------------------------------
COMMON STOCKS - 96.2%
AEROSPACE & DEFENSE - 0.7%
Rockwell Collins, Inc.................... 9,500 $ 452,960
-------------
AUTO COMPONENTS - 1.4%
Advance Auto Parts, Inc.*................ 12,800 826,240
-------------
BANKS - 1.6%
North Fork Bancorporation, Inc........... 27,000 758,430
SVB Financial Group*(a).................. 3,800 182,020
-------------
940,450
-------------
BIOTECHNOLOGY - 2.1%
Invitrogen Corp.*........................ 15,300 1,274,337
-------------
BUILDING PRODUCTS - 2.1%
Danaher Corp............................. 11,600 607,144
MSC Industrial Direct Co., Inc. - Class A 19,700 664,875
-------------
1,272,019
-------------
CHEMICALS - 4.4%
Ecolab, Inc.............................. 15,800 511,288
Monsanto Co.............................. 12,700 798,449
Potash Corporation of Saskatchewan, Inc.. 6,300 602,154
Rohm & Haas Co........................... 16,200 750,708
-------------
2,662,599
-------------
COAL - 1.0%
Headwaters, Inc.*(a)..................... 16,800 577,584
-------------
COMMERCIAL SERVICES & SUPPLIES - 5.2%
Career Education Corp.*.................. 4,900 179,389
Cerner Corp.*(a)......................... 5,100 346,647
Corinthian Colleges, Inc.*(a)............ 30,300 386,931
Education Management Corp.*.............. 18,300 617,259
Iron Mountain, Inc.*..................... 19,275 597,911
Robert Half International, Inc........... 14,500 362,065
United Rentals, Inc.*(a)................. 31,000 626,510
-------------
3,116,712
-------------
COMMUNICATIONS EQUIPMENT - 1.7%
Avaya, Inc.*............................. 58,200 484,224
Comverse Technology, Inc.*............... 15,100 357,115
Lucent Technologies, Inc.*(a)............ 55,300 160,923
-------------
1,002,262
-------------
COMMUNICATIONS SERVICES - 2.4%
Alliance Data Systems Corp.*............. 22,500 912,600
EchoStar Communications Corp. - Class A*. 17,600 530,640
-------------
1,443,240
-------------
CONSTRUCTION & ENGINEERING - 2.3%
Dycom Industries, Inc.*.................. 21,600 427,896
Jacobs Engineering Group, Inc.*.......... 17,300 973,298
-------------
1,401,194
-------------
ELECTRICAL EQUIPMENT - 0.5%
Symbol Technologies, Inc................. 28,100 277,347
-------------
------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
------------------------------------------------------------
ELECTRONIC EQUIPMENT & INSTRUMENTS - 4.1%
Broadcom Corp. - Class A*.............. 14,700 $ 521,997
Fisher Scientific International, Inc.*. 14,800 960,520
Microchip Technology, Inc.............. 18,200 539,084
Xilinx, Inc............................ 16,800 428,400
-------------
2,450,001
-------------
FINANCIAL SERVICES - 6.5%
Affiliated Managers Group, Inc.*(a).... 7,549 515,823
Capitalsource, Inc.*(a)................ 22,500 441,675
CIT Group, Inc......................... 21,200 910,964
Investors Financial Services Corp...... 11,400 431,148
Lazard Ltd - Class A*(a)............... 16,700 388,275
Legg Mason, Inc........................ 7,100 739,181
Providian Financial Corp.*............. 29,400 518,322
-------------
3,945,388
-------------
FOOD & DRUG RETAILING - 0.7%
Safeway, Inc........................... 18,300 413,397
-------------
HEALTH CARE EQUIPMENT & SUPPLIES - 1.2%
Bard (C.R.), Inc....................... 6,100 405,711
Boston Scientific Corp.*............... 12,900 348,300
-------------
754,011
-------------
HEALTH CARE PROVIDERS & SERVICES - 6.8%
Caremark Rx, Inc.*..................... 10,900 485,268
Community Health Systems, Inc.*........ 29,100 1,099,689
DaVita, Inc.*.......................... 12,600 573,048
Lincare Holdings, Inc.*................ 15,500 633,020
Omnicare, Inc.......................... 13,100 555,833
PacifiCare Health Systems, Inc.*....... 10,600 757,370
-------------
4,104,228
-------------
HOTELS, RESTAURANTS & LEISURE - 5.2%
Cheesecake Factory, Inc. (The)*........ 14,200 493,166
Hilton Hotels Corp..................... 32,500 775,125
Panera Bread Co. - Class A*(a)......... 5,500 341,468
Penn National Gaming, Inc.*............ 21,800 795,700
Royal Caribbean Cruises, Ltd.(a)....... 14,800 715,728
-------------
3,121,187
-------------
HOUSEHOLD PRODUCTS - 1.3%
Nu Skin Enterprises, Inc. - Class A(a). 12,500 291,250
Prestige Brands Holdings, Inc.*........ 26,600 518,700
-------------
809,950
-------------
INDUSTRIAL CONGLOMERATES - 1.4%
ITT Industries, Inc.................... 8,400 820,092
-------------
INDUSTRIAL - DIVERSIFIED - 0.2%
UNOVA, Inc.*(a)........................ 5,100 135,813
-------------
INSURANCE - 0.2%
Universal American Financial Corp.*.... 4,900 110,838
-------------
See notes to financial statements
101
MET INVESTORS SERIES TRUST
LORD ABBETT GROWTH OPPORTUNITIES PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
--------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
--------------------------------------------------------------
INTERNET SOFTWARE & SERVICES - 6.3%
Ask Jeeves, Inc.*(a)..................... 6,800 $ 205,292
CNET Networks, Inc.*(a).................. 19,900 233,626
IAC / Interactive Corp.*(a).............. 33,603 808,152
Juniper Networks, Inc.*.................. 22,400 564,032
Monster Worldwide, Inc.*................. 26,200 751,416
Salesforce.com, Inc.*(a)................. 14,400 294,912
TIBCO Software, Inc.*.................... 56,300 368,202
VeriSign, Inc.*.......................... 19,000 546,440
-------------
3,772,072
-------------
IT CONSULTING & SERVICES - 3.2%
CACI International, Inc. - Class A*...... 19,100 1,206,356
Computer Sciences Corp.*................. 16,000 699,200
-------------
1,905,556
-------------
MACHINERY - 2.3%
Ingersoll-Rand Co. - Class A............. 12,400 884,740
Timken Co. (The)......................... 21,600 498,960
-------------
1,383,700
-------------
MEDIA - 3.3%
Cablevision Systems Corp. - NY
Group - Class A*....................... 20,700 666,540
Univision Communications, Inc. - Class A* 25,700 708,035
Westwood One, Inc........................ 31,300 639,459
-------------
2,014,034
-------------
OIL & GAS - 6.5%
Cooper Cameron Corp.*.................... 10,100 626,705
Halliburton Co........................... 24,000 1,147,680
Noble Corp............................... 10,500 645,855
Weatherford International, Ltd.*......... 16,800 974,064
XTO Energy, Inc.......................... 15,353 521,848
-------------
3,916,152
-------------
PHARMACEUTICALS - 8.0%
Barr Pharmaceuticals, Inc.*.............. 6,700 326,558
Celgene Corp.*(a)........................ 7,600 309,852
Cephalon, Inc.*(a)....................... 6,600 262,746
Covance, Inc.*........................... 13,100 587,797
Endo Pharmaceuticals Holdings, Inc.*(a).. 29,600 777,888
Eyetech Pharmaceuticals, Inc.*(a)........ 1,700 21,488
Genzyme Corp.*........................... 12,900 775,161
IVAX Corp.*.............................. 13,750 295,625
Medicines Co.*........................... 9,500 222,205
OSI Pharmaceuticals, Inc.*............... 7,300 298,351
QLT, Inc.*............................... 25,300 263,626
Sepracor, Inc.*.......................... 7,000 420,070
Teva Pharmaceutical Industries, Ltd.
(ADR)(a)............................... 9,100 283,374
-------------
4,844,741
-------------
-------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
-------------------------------------------------------------
RETAIL - MULTILINE - 0.5%
Dollar Tree Stores, Inc.*............... 13,000 $ 312,000
-------------
RETAIL - SPECIALTY - 3.0%
American Eagle Outfitters, Inc.......... 10,800 331,020
Dollar General Corp.(a)................. 37,200 757,392
PETCO Animal Supplies, Inc.*............ 24,200 709,544
-------------
1,797,956
-------------
ROAD & RAIL - 0.6%
Heartland Express, Inc.................. 17,300 336,139
-------------
SEMICONDUCTOR EQUIPMENT & PRODUCTS - 0.8%
Integrated Device Technology, Inc.*..... 14,200 152,650
Linear Technology Corp.................. 9,500 348,555
-------------
501,205
-------------
SOFTWARE - 5.2%
Amdocs, Ltd.*........................... 28,300 747,969
Cognos, Inc.*........................... 10,600 361,884
Hyperion Solutions Corp.*............... 8,700 350,088
Informatica Corp.*...................... 42,800 359,092
McAfee, Inc.*........................... 16,500 431,970
Take-Two Interactive Software, Inc.*(a). 20,100 511,545
VERITAS Software Corp.*................. 15,600 380,640
-------------
3,143,188
-------------
TELECOMMUNICATION SERVICES - DIVERSIFIED - 0.2%
NeuStar, Inc. - Class A*................ 3,900 99,840
-------------
TELECOMMUNICATION SERVICES - WIRELESS - 1.5%
Nextel Partners, Inc. - Class A*(a)..... 35,400 891,018
-------------
TRANSPORTATION - 1.1%
UTI Worldwide, Inc.(a).................. 9,200 640,504
-------------
TRUCKING & FREIGHT FORWARDING - 0.7%
Landstar System, Inc.*.................. 14,800 445,776
-------------
Total Common Stocks
(Cost $ 50,837,363) 57,915,730
-------------
See notes to financial statements
102
MET INVESTORS SERIES TRUST
LORD ABBETT GROWTH OPPORTUNITIES PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
------------------------------------------------------------------
SECURITY SHARES/PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
------------------------------------------------------------------
SHORT-TERM INVESTMENTS - 22.0%
State Street Bank & Trust Co., Repurchase
Agreement, dated 06/30/05 at 1.25% to
be repurchased at $3,680,128 on
07/01/05 collateralized by $3,630,000
FHLMC 2.000% due 03/05/19 with a
value of $3,757,050.................... $3,680,000 $ 3,680,000
State Street Navigator Securities Lending
Prime Portfolio(b)..................... 9,571,084 9,571,084
------------
Total Short-Term Investments
(Cost $ 13,251,084) 13,251,084
------------
TOTAL INVESTMENTS - 118.2%
(Cost $ 64,088,447) 71,166,814
Other Assets and Liabilities (net) - (18.2%) (10,952,392)
------------
TOTAL NET ASSETS - 100.0% $ 60,214,422
============
PORTFOLIO FOOTNOTES:
* Non-income producing security.
(a) All or a portion of security out on loan.
(b) Represents investment of collateral received from securities lending
transactions.
ADR - American Depositary Receipt
FHLMC - Federal Home Loan Mortgage Corp.
See notes to financial statements
103
MET INVESTORS SERIES TRUST
LORD ABBETT MID-CAP VALUE PORTFOLIO
PORTFOLIO OF INVESTMENTS
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
-------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
-------------------------------------------------------------
COMMON STOCKS - 97.5%
AUTO COMPONENTS - 1.8%
Dana Corp.(a).......................... 371,800 $ 5,580,718
-------------
CHEMICALS - 9.3%
Crompton Corp.*(a)..................... 337,800 4,779,870
Eastman Chemical Co.................... 146,200 8,062,930
Monsanto Co............................ 93,000 5,846,910
Mosaic Co. (The)*(a)................... 357,500 5,562,700
Potash Corp. of Saskatchewan, Inc...... 59,200 5,658,336
-------------
29,910,746
-------------
COMMERCIAL SERVICES & SUPPLIES - 2.1%
R. R. Donnelley & Sons Co.............. 191,824 6,619,846
-------------
COMMUNICATIONS EQUIPMENT - 0.9%
Avaya, Inc.*........................... 356,000 2,961,920
-------------
CONTAINERS & PACKAGING - 3.6%
Ball Corp.............................. 144,800 5,207,008
Pactiv Corp.*.......................... 293,100 6,325,098
-------------
11,532,106
-------------
ELECTRIC UTILITIES - 5.5%
Ameren Corp.(a)........................ 117,500 6,497,750
CMS Energy Corp.*(a)................... 349,200 5,258,952
Northeast Utilities.................... 217,300 4,532,878
Puget Energy, Inc...................... 62,300 1,456,574
-------------
17,746,154
-------------
ELECTRONIC EQUIPMENT & INSTRUMENTS - 1.6%
Pride International, Inc.*............. 198,800 5,109,160
-------------
ENERGY EQUIPMENT & SERVICES - 2.1%
Halliburton Co......................... 143,400 6,857,388
-------------
FOOD & DRUG RETAILING - 1.5%
Albertson's, Inc.(a)................... 69,600 1,439,328
Safeway, Inc.(a)....................... 99,500 2,247,705
SUPERVALU INC.......................... 32,700 1,066,347
-------------
4,753,380
-------------
FOOD PRODUCTS - 2.9%
Archer-Daniels-Midland Co.............. 250,340 5,352,269
Dean Foods Co.*........................ 94,300 3,323,132
TreeHouse Foods, Inc.*................. 18,860 537,699
-------------
9,213,100
-------------
HEALTH CARE EQUIPMENT & SUPPLIES - 2.0%
Bausch & Lomb, Inc..................... 76,700 6,366,100
-------------
HEALTH CARE PROVIDERS & SERVICES - 2.1%
Aetna, Inc............................. 79,500 6,584,190
-------------
HOTELS, RESTAURANTS & LEISURE - 1.7%
Brinker International, Inc.*........... 95,700 3,832,785
Yum! Brands, Inc....................... 30,100 1,567,608
-------------
5,400,393
-------------
-----------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
-----------------------------------------------------------
HOUSEHOLD DURABLES - 5.6%
American Greetings Corp. - Class A... 137,300 $ 3,638,450
Leggett & Platt, Inc................. 140,100 3,723,858
Newell Rubbermaid, Inc.(a)........... 147,600 3,518,784
Snap-On, Inc.(a)..................... 153,500 5,265,050
Tupperware Corp.(a).................. 73,000 1,706,010
-------------
17,852,152
-------------
INDUSTRIAL CONGLOMERATES - 1.6%
Hubbell, Inc. - Class B.............. 119,100 5,252,310
-------------
INSURANCE - 10.1%
ACE, Ltd............................. 22,700 1,018,095
Conseco, Inc.*....................... 196,800 4,294,176
Everest Reinsurance Group, Ltd....... 62,200 5,784,600
Lincoln National Corp................ 32,200 1,510,824
PartnerRe, Ltd....................... 82,700 5,327,534
PMI Group, Inc. (The)(a)............. 102,300 3,987,654
SAFECO Corp.......................... 107,500 5,841,550
XL Capital, Ltd. - Class A........... 62,800 4,673,576
-------------
32,438,009
-------------
INTERNET SOFTWARE & SERVICES - 1.2%
Sabre Holdings Corp.(a).............. 193,700 3,864,315
-------------
IT CONSULTING & SERVICES - 0.9%
Computer Sciences Corp.*............. 67,600 2,954,120
-------------
MACHINERY - 3.4%
CNH Global N.V.(a)................... 107,200 2,025,008
Cummins, Inc.(a)..................... 55,700 4,155,777
Timken Co............................ 205,000 4,735,500
-------------
10,916,285
-------------
MEDIA - 4.0%
Interpublic Group of Co., Inc. (The)* 446,300 5,435,934
R.H. Donnelley Corp.*(a)............. 57,500 3,563,850
Westwood One, Inc.................... 185,000 3,779,550
-------------
12,779,334
-------------
OIL & GAS - 6.8%
EOG Resources, Inc................... 129,100 7,332,880
GlobalSantaFe Corp................... 169,100 6,899,280
NiSource, Inc........................ 218,300 5,398,559
Southwest Gas Corp.(a)............... 86,400 2,204,064
-------------
21,834,783
-------------
PAPER & FOREST PRODUCTS - 4.6%
Bowater, Inc......................... 112,900 3,654,573
Georgia-Pacific Corp................. 200,515 6,376,377
MeadWestvaco Corp.................... 167,000 4,682,680
-------------
14,713,630
-------------
PHARMACEUTICALS - 3.0%
King Pharmaceuticals, Inc.*.......... 509,000 5,303,780
Mylan Laboratories, Inc.(a).......... 229,975 4,424,719
-------------
9,728,499
-------------
See notes to financial statements
104
MET INVESTORS SERIES TRUST
LORD ABBETT MID-CAP VALUE PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
-----------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
-----------------------------------------------------------------
REAL ESTATE - 3.1%
Health Care Property Investors, Inc. (REIT) 39,500 $ 1,068,080
Healthcare Realty Trust, Inc. (REIT)(a).... 85,955 3,318,723
Host Marriott Corp. (REIT)................. 319,000 5,582,500
-------------
9,969,303
-------------
RETAIL - MULTILINE - 4.0%
Federated Department Stores, Inc........... 33,700 2,469,536
Foot Locker, Inc........................... 224,900 6,121,778
May Department Stores Co................... 105,600 4,240,896
-------------
12,832,210
-------------
RETAIL - SPECIALTY - 0.9%
OfficeMax, Inc.(a)......................... 97,000 2,887,690
-------------
SOFTWARE - 4.3%
Cadence Design Systems, Inc.*.............. 346,200 4,729,092
McAfee, Inc.*.............................. 209,800 5,492,564
Sybase, Inc.*(a)........................... 192,400 3,530,540
-------------
13,752,196
-------------
TELECOMMUNICATION SERVICES - DIVERSIFIED - 2.2%
ADC Telecommunications, Inc.*.............. 25,600 557,312
CenturyTelephone, Inc...................... 99,600 3,449,148
PanAmSat Holding Corp.(a).................. 63,700 1,306,487
Tellabs, Inc.*............................. 179,900 1,565,130
-------------
6,878,077
-------------
TEXTILES, APPAREL & LUXURY GOODS - 1.1%
Tommy Hilfiger Corp.*...................... 253,800 3,492,288
-------------
TRADING COMPANIES & DISTRIBUTORS - 3.6%
Genuine Parts Co........................... 161,300 6,627,817
Grainger (W.W.), Inc....................... 89,700 4,914,663
-------------
11,542,480
-------------
Total Common Stocks
(Cost $ 243,030,597) 312,322,882
-------------
---------------------------------------------------------------------
SECURITY SHARES/PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
---------------------------------------------------------------------
SHORT-TERM INVESTMENTS - 18.3%
State Street Bank & Trust Co., Repurchase
Agreement, dated 06/30/05 at 2.00% to
be repurchased at $8,724,485 on
07/01/05 collateralized by $7,950,000
FNMA 6.625% due 09/15/09 with a value
of $8,904,000.......................... $ 8,724,000 $ 8,724,000
State Street Navigator Securities Lending
Prime Portfolio(b)..................... 50,076,477 50,076,477
-------------
Total Short-Term Investments
(Cost $ 58,800,477) 58,800,477
-------------
TOTAL INVESTMENTS - 115.8%
(Cost $ 301,831,074) 371,123,359
Other Assets and Liabilities (net) - (15.8%) (50,627,549)
-------------
TOTAL NET ASSETS - 100.0% $ 320,495,810
=============
PORTFOLIO FOOTNOTES:
* Non-income producing security.
(a) All or a portion of security out on loan.
(b) Represents investment of collateral received from securities lending
transactions.
REIT - Real Estate Investment Trust
FNMA - Federal National Mortgage Association
See notes to financial statements
105
MET INVESTORS SERIES TRUST
METLIFE AGGRESSIVE STRATEGY PORTFOLIO
PORTFOLIO OF INVESTMENTS
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
--------------------------------------------------------------------
SECURITY
DESCRIPTION SHARES VALUE
--------------------------------------------------------------------
INVESTMENT COMPANY SECURITIES - 100%
Davis Venture Value Portfolio (Class A)*... 2,208,237 $ 63,023,083
Goldman Sachs Mid-Cap Value Portfolio
(Class A)................................ 1,291,430 16,375,338
Harris Oakmark Focused Value Portfolio
(Class A)*............................... 105,699 27,146,690
Harris Oakmark International Portfolio
(Class A)................................ 3,532,720 51,719,027
Janus Aggressive Growth Portfolio
(Class A)................................ 8,428,637 64,900,503
Jennison Growth Portfolio (Class A)*....... 3,491,715 38,059,697
Lord Abbett Growth and Income Portfolio
(Class A)................................ 2,320,290 61,812,523
Met/AIM Small Cap Growth Portfolio
(Class A)................................ 1,679,331 21,982,446
MFS Research International Portfolio
(Class A)................................ 3,159,355 36,143,022
RCM Global Technology Portfolio (Class A).. 4,968,245 21,909,962
Third Avenue Small Cap Value Portfolio
(Class A)................................ 2,924,717 44,514,195
Turner Mid-Cap Growth Portfolio (Class A).. 1,454,381 16,492,686
Van Kampen Comstock Portfolio (Class A).... 6,624,947 66,646,967
-------------
Total Investment Company Securities
(Cost $518,099,587) 530,726,139
-------------
TOTAL INVESTMENTS - 100.0%
(Cost $518,099,587) 530,726,139
Other Assets and Liabilities (net) - (0.0%) (164,104)
-------------
TOTAL NET ASSETS - 100.0% $ 530,562,035
=============
* Part of Metropolitan Series Fund, Inc.
See notes to financial statements
106
MET INVESTORS SERIES TRUST
METLIFE BALANCED STRATEGY PORTFOLIO
PORTFOLIO OF INVESTMENTS
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
-----------------------------------------------------------------------
SECURITY
DESCRIPTION SHARES VALUE
-----------------------------------------------------------------------
INVESTMENT COMPANY SECURITIES - 100%
Davis Venture Value Portfolio
(Class A)*............................... 7,763,825 $ 221,579,577
Goldman Sachs Mid-Cap Value Portfolio
(Class A)................................ 6,806,066 86,300,911
Harris Oakmark Focused Value Portfolio
(Class A)*............................... 445,680 114,463,891
Harris Oakmark International Portfolio
(Class A)................................ 11,178,777 163,657,291
Janus Aggressive Growth Portfolio
(Class A)................................ 11,101,100 85,478,473
Jennison Growth Portfolio (Class A)*....... 7,881,221 85,905,313
Lord Abbett Bond Debenture Portfolio
(Class A)................................ 19,789,945 249,353,304
Lord Abbett Growth and Income Portfolio
(Class A)................................ 8,157,178 217,360,500
Met/AIM Mid-Cap Equity Portfolio
(Class A)................................ 1,937,262 27,974,070
Met/AIM Small Cap Growth Portfolio
(Class A)................................ 4,423,365 57,901,844
MFS Research International Portfolio
(Class A)................................ 11,903,699 136,178,312
Neuberger Berman Real Estate Portfolio
(Class A)................................ 4,393,879 58,482,530
Oppenheimer Capital Appreciation
Portfolio (Class A)...................... 30,230,504 246,983,219
Pimco Inflation Protected Bond Portfolio
(Class A)................................ 17,371,172 188,477,221
Pimco Total Return Portfolio (Class A)..... 18,683,779 218,600,215
Salomon Brothers US Government Portfolio
(Class A)*............................... 11,111,929 135,676,652
Third Avenue Small Cap Value Portfolio
(Class A)................................ 7,704,293 117,259,338
T. Rowe Price Mid-Cap Growth Portfolio
(Class A)................................ 7,457,721 57,349,873
Turner Mid-Cap Growth Portfolio
(Class A)................................ 5,108,267 57,927,745
Van Kampen Comstock Portfolio
(Class A)................................ 24,195,053 243,402,238
---------------
Total Investment Company Securities
(Cost $2,720,803,871) 2,770,312,517
---------------
TOTAL INVESTMENTS - 100.0%
(Cost $2,720,803,871) 2,770,312,517
Other Assets and Liabilities (net) - (0.0%) (657,617)
---------------
TOTAL NET ASSETS - 100.0% $ 2,769,654,900
===============
* Part of Metropolitan Series Fund, Inc.
See notes to financial statements
107
MET INVESTORS SERIES TRUST
METLIFE DEFENSIVE STRATEGY PORTFOLIO
PORTFOLIO OF INVESTMENTS
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
--------------------------------------------------------------------
SECURITY
DESCRIPTION SHARES VALUE
--------------------------------------------------------------------
INVESTMENT COMPANY SECURITIES - 100%
Davis Venture Value Portfolio (Class A)*... 309,736 $ 8,839,853
Goldman Sachs Mid-Cap Value Portfolio
(Class A)................................ 965,255 12,239,431
Harris Oakmark International Portfolio
(Class A)................................ 396,332 5,802,304
Jennison Growth Portfolio (Class A)*....... 558,550 6,088,200
Lord Abbett Bond Debenture Portfolio
(Class A)................................ 2,339,154 29,473,338
Lord Abbett Growth and Income Portfolio
(Class A)................................ 651,027 17,343,361
Met/AIM Mid-Cap Equity Portfolio
(Class A)................................ 412,207 5,952,262
MFS Research International Portfolio
(Class A)................................ 1,012,865 11,587,173
Neuberger Berman Real Estate Portfolio
(Class A)................................ 233,750 3,111,207
Oppenheimer Capital Appreciation Portfolio
(Class A)................................ 2,500,676 20,430,519
PIMCO Inflation Protected Bond Portfolio
(Class A)................................ 4,225,178 45,843,181
PIMCO Total Return Portfolio (Class A)..... 4,969,660 58,145,019
Salomon Brothers U.S. Government Portfolio
(Class A)*............................... 3,546,863 43,307,197
Third Avenue Small Cap Value Portfolio
(Class A)................................ 409,715 6,235,862
T. Rowe Price Mid-Cap Growth Portfolio
(Class A)................................ 793,262 6,100,185
Van Kampen Comstock Portfolio (Class A).... 1,144,164 11,510,293
-------------
Total Investment Company Securities
(Cost $287,430,436) 292,009,385
-------------
TOTAL INVESTMENTS - 100.0%
(Cost $287,430,436) 292,009,385
Other Assets and Liabilities (net) - (0.0%) (94,889)
-------------
TOTAL NET ASSETS -100.0% $ 291,914,496
=============
* Part of Metropolitan Series Fund, Inc.
See notes to financial statements
108
MET INVESTORS SERIES TRUST
METLIFE GROWTH STRATEGY PORTFOLIO
PORTFOLIO OF INVESTMENTS
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
-----------------------------------------------------------------------
SECURITY
DESCRIPTION SHARES VALUE
-----------------------------------------------------------------------
INVESTMENT COMPANY SECURITIES - 100%
Davis Venture Value Portfolio
(Class A)*............................... 9,260,466 $ 264,293,695
Goldman Sachs Mid-Cap Value Portfolio
(Class A)................................ 5,905,239 74,878,430
Harris Oakmark Focused Value Portfolio
(Class A)*............................... 386,660 99,305,769
Harris Oakmark International Portfolio
(Class A)................................ 12,930,123 189,296,998
Janus Aggressive Growth Portfolio
(Class A)................................ 25,689,370 197,808,150
Jennison Growth Portfolio (Class A)*....... 11,400,708 124,267,721
Lord Abbett Bond Debenture Portfolio
(Class A)................................ 7,630,552 96,144,953
Lord Abbett Growth and Income Portfolio
(Class A)................................ 10,616,273 282,817,510
Met/AIM Small Cap Growth Portfolio
(Class A)................................ 5,757,825 75,369,923
MFS Research International Portfolio
(Class A)................................ 12,390,995 141,752,984
Neuberger Berman Real Estate Portfolio
(Class A)................................ 3,812,406 50,743,120
Oppenheimer Capital Appreciation
Portfolio (Class A)...................... 14,571,219 119,046,861
PIMCO Inflation Protected Bond Portfolio
(Class A)................................ 10,763,512 116,784,111
RCM Global Technology Portfolio
(Class A)................................ 11,352,938 50,066,458
Third Avenue Small Cap Value Portfolio
(Class A)................................ 11,699,224 178,062,182
T. Rowe Price Mid-Cap Growth Portfolio
(Class A)................................ 3,235,403 24,880,247
Turner Mid-Cap Growth Portfolio
(Class A)................................ 4,432,865 50,268,685
Van Kampen Comstock Portfolio
(Class A)................................ 27,982,549 281,504,439
---------------
Total Investment Company Securities
(Cost $2,368,324,260) 2,417,292,236
---------------
TOTAL INVESTMENTS - 100.0%
(Cost $2,368,324,260) 2,417,292,236
Other Assets and Liabilities (net) - (0.0%) (587,368)
---------------
TOTAL NET ASSETS - 100.0% $ 2,416,704,868
===============
* Part of Metropolitan Series Fund, Inc.
See notes to financial statements
109
MET INVESTORS SERIES TRUST
METLIFE MODERATE STRATEGY PORTFOLIO
PORTFOLIO OF INVESTMENTS
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
---------------------------------------------------------------------
SECURITY
DESCRIPTION SHARES VALUE
---------------------------------------------------------------------
INVESTMENT COMPANY SECURITIES - 100%
Davis Venture Value Portfolio (Class A)*... 1,347,935 $ 38,470,066
Goldman Sachs Mid-Cap Value Portfolio
(Class A)................................ 3,153,420 39,985,367
Harris Oakmark International Portfolio
(Class A)................................ 1,940,992 28,416,118
Jennison Growth Portfolio (Class A)*....... 3,655,206 39,841,746
Lord Abbett Bond Debenture Portfolio
(Class A)................................ 7,636,654 96,221,842
Lord Abbett Growth and Income Portfolio
(Class A)................................ 3,186,876 84,898,365
Met/AIM Mid-Cap Equity Portfolio
(Class A)................................ 1,345,630 19,430,903
MFS Research International Portfolio
(Class A)................................ 4,132,976 47,281,250
Neuberger Berman Real Estate Portfolio
(Class A)................................ 1,526,898 20,323,018
Oppenheimer Capital Appreciation Portfolio
(Class A)................................ 10,502,365 85,804,326
PIMCO Inflation Protected Bond Portfolio
(Class A)................................ 10,338,527 112,173,020
PIMCO Total Return Portfolio (Class A)..... 12,163,933 142,318,021
Salomon Brothers US Government Portfolio
(Class A)*............................... 6,172,065 75,360,917
Third Avenue Small Cap Value Portfolio
(Class A)................................ 2,008,493 30,569,264
T. Rowe Price Mid-Cap Growth Portfolio
(Class A)................................ 3,887,565 29,895,373
Turner Mid-Cap Growth Portfolio
(Class A)................................ 887,997 10,069,889
Van Kampen Comstock Portfolio
(Class A)................................ 5,599,658 56,332,557
-------------
Total Investment Company Securities
(Cost $943,032,857) 957,392,042
-------------
TOTAL INVESTMENTS - 100.0%
(Cost $943,032,857) 957,392,042
Other Assets and Liabilities (net) - (0.0%) (284,688)
-------------
TOTAL NET ASSETS - 100.0% $ 957,107,354
=============
* Part of Metropolitan Series Fund, Inc.
See notes to financial statements
110
MET INVESTORS SERIES TRUST
MFS RESEARCH INTERNATIONAL PORTFOLIO
PORTFOLIO OF INVESTMENTS
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
--------------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
--------------------------------------------------------------------
COMMON STOCKS - 97.9%
AUSTRALIA - 0.1%
Macquarie Goodman Group.................. 393,851 $ 1,221,987
-------------
AUSTRIA - 1.2%
Erste Bank der Oesterreichischen
Sparkassen AG.......................... 175,210 8,761,504
Raiffeisen International Bank-Holding
AG*.................................... 19,560 1,244,282
-------------
10,005,786
-------------
BRAZIL - 1.3%
Companhia Vale do Rio Doce (ADR)......... 329,440 9,646,003
Unibanco-Uniao de Bancos Brasilieros S.A.
(GDR).................................. 34,320 1,325,439
-------------
10,971,442
-------------
CANADA - 1.2%
Aber Diamond Corp........................ 268,730 8,221,730
Canadian Natural Resources Ltd........... 47,100 1,723,341
-------------
9,945,071
-------------
CHINA - 0.3%
ZTE Corp.(a)............................. 805,700 2,396,841
-------------
COLOMBIA - 0.1%
Bancolombia S.A. (ADR)................... 61,810 988,342
-------------
FINLAND - 1.3%
Nokia Oyj................................ 671,730 11,176,030
-------------
FRANCE - 15.2%
Axa(a)................................... 487,860 12,129,796
BNP Paribas S.A.(a)...................... 200,570 13,709,374
Business Objects S.A.*(a)................ 201,990 5,331,642
Carrefour S.A............................ 184,200 8,886,530
Credit Agricole S.A.(a).................. 375,280 9,479,709
PSA Peugeot Citroen(a)................... 100,010 5,903,667
Sanofi-Aventis(a)........................ 184,923 15,135,631
Schneider Electric S.A.(a)............... 209,995 15,779,802
Suez S.A.(a)............................. 686,760 18,569,781
Total Fina Elf S.A.(a)................... 109,390 25,610,808
-------------
130,536,740
-------------
GERMANY - 2.4%
Deutsche Telekom AG(a)................... 681,300 12,587,744
Hypo Real Estate Holding AG.............. 154,080 5,847,993
Premiere AG*(a).......................... 75,190 2,598,658
-------------
21,034,395
-------------
HONG KONG - 2.0%
China Mengniu Dairy Co., Ltd............. 9,576,000 6,335,759
CNOOC, Ltd.(a)........................... 18,843,000 11,135,712
-------------
17,471,471
-------------
HUNGARY - 1.3%
OTP Bank, Ltd. (GDR)(a).................. 161,280 10,757,542
-------------
-------------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
-------------------------------------------------------------------
IRELAND - 1.0%
Anglo Irish Bank Corp................... 338,898 $ 4,201,009
Depfa Bank Plc.......................... 290,740 4,649,722
-------------
8,850,731
-------------
ITALY - 2.2%
Fastweb*(a)............................. 197,427 8,495,447
Italcementi S.p.A.(a)................... 104,520 1,626,208
Italcementi S.p.A.(a)................... 211,000 2,316,353
UniCredito Italiano S.p.A............... 1,266,760 6,663,167
-------------
19,101,175
-------------
JAPAN - 18.2%
Aiful Corp.............................. 152,825 11,348,042
Asahi Glass Co.(a)...................... 789,000 8,266,220
Chugai Pharmaceutical Co., Ltd.(a)...... 701,500 10,822,897
FANUC, Ltd.............................. 117,300 7,433,514
Fast Retailing Co., Ltd................. 72,600 3,764,014
Kaneka Corp............................. 783,000 8,745,556
Mitsubishi Tokyo Financial Group, Inc... 1,096 9,251,710
Mitsui Mining & Smelting Co., Ltd....... 3,655,000 17,076,571
Seiko Epson Corp........................ 387,700 12,882,641
Sekisui Chemical Co., Ltd.(a)........... 1,629,000 11,173,624
Shinsei Bank, Ltd....................... 1,513,000 8,119,415
Takefuji Corp........................... 214,440 14,477,151
Tanabe Seiyaku Co., Ltd................. 155,000 1,494,555
Tokyo Gas Co., Ltd.(a).................. 2,200,000 8,214,045
Toyota Motor Corp....................... 339,500 12,137,942
UFJ Holdings, Inc.*..................... 1,188 6,159,341
Yamanouchi Pharmaceutical Co., Ltd...... 137,200 4,682,133
-------------
156,049,371
-------------
KOREA - 7.3%
Hana Bank............................... 310,050 8,280,101
Hanwha Chemical Corp.................... 331,510 3,929,785
Hyundai Mobis........................... 157,720 10,564,315
Kookmin Bank............................ 167,960 7,651,939
LG. Philips LCD Co., Ltd.*.............. 153,850 7,101,199
Samsung Electronics Co., Ltd............ 52,090 24,703,734
-------------
62,231,073
-------------
LUXEMBOURG - 0.7%
Tenaris S.A. (ADR)...................... 71,630 5,606,480
-------------
MEXICO - 3.6%
Consorico ARA, S.A. de C.V.............. 904,010 3,121,761
Grupo Elektra, S.A. de C.V.............. 881,230 6,544,293
Grupo Financiero Inbursa, S.A. de C.V... 2,471,490 5,345,622
Grupo Televisa, S.A. (ADR).............. 189,920 11,792,133
Urbi, Desarrollos Urbanos, S.A. de C.V.* 819,380 4,499,079
-------------
31,302,888
-------------
See notes to financial statements
111
MET INVESTORS SERIES TRUST
MFS RESEARCH INTERNATIONAL PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
-------------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
-------------------------------------------------------------------
NETHERLANDS - 2.5%
Koninklijke (Royal) KPN N.V............. 917,550 $ 7,683,307
Koninklijke (Royal) Philips
Electronics N.V....................... 341,180 8,577,277
TPG N.V................................. 189,250 4,790,791
-------------
21,051,375
-------------
NORWAY - 1.5%
Statoil ASA(a).......................... 633,310 12,859,796
-------------
POLAND - 0.5%
Powszechna Kasa Oszczednosci Bank
Polski S.A............................ 538,010 4,357,245
-------------
RUSSIA - 0.8%
LUKOIL (ADR)(a)......................... 180,820 6,655,984
-------------
SINGAPORE - 1.1%
Singapore Telecommunications, Ltd.(a)... 5,589,290 9,183,203
-------------
SPAIN - 3.4%
Banco Bilbao Vizcaya Argentaria, S.A.(a) 824,480 12,682,696
Telefonica S.A.(a)...................... 1,010,688 16,498,153
-------------
29,180,849
-------------
SWEDEN - 2.4%
Sandvik AB(a)........................... 309,520 11,460,996
Swedish Match AB(a)..................... 797,220 9,042,683
-------------
20,503,679
-------------
SWITZERLAND - 7.2%
Nestle S.A.(a).......................... 77,428 19,769,126
Roche Holding AG........................ 153,190 19,300,634
Syngenta AG*............................ 70,270 7,190,759
UBS AG(a)............................... 200,711 15,605,401
-------------
61,865,920
-------------
TURKEY - 0.5%
Akbank T.A.S............................ 793,980 4,553,648
-------------
UNITED KINGDOM - 18.0%
Anglo American Plc...................... 380,110 8,926,300
AstraZeneca Plc......................... 284,853 11,777,944
Aviva Plc............................... 1,107,253 12,300,233
BHP Billiton Plc........................ 350,350 4,496,344
BP Plc.................................. 1,288,160 13,403,060
Burberry Group Plc...................... 695,370 5,008,796
Diageo Plc.............................. 686,530 10,094,016
easyJet Plc*............................ 1,356,800 5,925,874
Hilton Group Plc........................ 1,188,420 6,074,260
HSBC Holdings Plc....................... 811,085 12,934,679
Kingfisher Plc.......................... 61,302 268,875
Reckitt Benckiser Plc................... 324,334 9,535,116
Reed International Plc.................. 815,600 7,791,410
Royal Bank of Scotland Group Plc........ 569,610 17,163,258
TI Automotive, Ltd. - Class A*(b)....... 45,100 0
---------------------------------------------------------------------
SECURITY SHARES/PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
---------------------------------------------------------------------
UNITED KINGDOM - CONTINUED
Vodafone Group Plc....................... 7,701,845 $ 18,725,703
Yell Group Plc........................... 1,357,950 10,330,910
-------------
154,756,778
-------------
UNITED STATES - 0.6%
Synthes, Inc............................. 43,860 4,801,894
-------------
Total Common Stocks (Cost $ 799,492,424) 839,417,736
-------------
PREFERRED STOCK - 0.6%
JAPAN - 0.6%
Nintendo Co., Ltd.
(Cost $5,569,691)...................... 48,500 5,052,210
-------------
SHORT-TERM INVESTMENTS - 17.6%
State Street Bank & Trust Co., Repurchase
Agreement, dated 06/30/05 at 2.000%
to be repurchased at $15,015,834 on
07/01/05 collateralized by
$15,240,000 FNMA 5.400% due
06/15/15 with a value of
$15,316,200............................ $ 15,015,000 15,015,000
State Street Navigator Securities Lending
Prime Portfolio(c)..................... 136,143,669 136,143,669
-------------
Total Short-Term Investments
(Cost $ 151,158,669) 151,158,669
-------------
TOTAL INVESTMENTS - 116.1%
(Cost $ 956,220,784) 995,628,615
Other Assets and Liabilities (net) - (16.1%) (137,753,807)
-------------
TOTAL NET ASSETS - 100.0% $ 857,874,808
=============
PORTFOLIO FOOTNOTES:
* Non-income producing security.
(a) All or a portion of security out on loan.
(b) Illiquid securities representing in the aggregate 0.00% of net assets.
(c) Represents investment of collateral received from securities lending
transactions.
ADR - American Depositary Receipt
GDR - Global Depositary Receipt
FNMA - Federal National Mortgage Association
See notes to financial statements
112
MET INVESTORS SERIES TRUST
MFS RESEARCH INTERNATIONAL PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
Summary of Total Foreign Securities by Industry Classification 6/30/2005
VALUE PERCENT OF
INDUSTRY (000) NET ASSETS
------------------------------------------------------------
Airlines................................ $ 5,926 0.7%
Automotive.............................. 28,606 3.3
Banks................................... 173,885 20.3
Beverages, Food & Tobacco............... 54,168 6.3
Building Products....................... 17,815 2.1
Chemicals............................... 31,040 3.6
Commercial Services & Supplies.......... 12,883 1.5
Electronic Equipment & Instruments...... 38,892 4.5
Energy Equipment & Services............. 18,570 2.2
Financials - Diversified................ 25,825 3.0
Food Retailers.......................... 8,886 1.0
Health Care Equipment & Supplies........ 4,802 0.6
Hotels, Restaurants & Leisure........... 11,126 1.3
Household Durables...................... 24,704 2.9
Household Products...................... 9,535 1.1
Insurance............................... 24,430 2.8
Media................................... 32,513 3.8
Metals & Mining......................... 50,901 5.9
Oil & Gas............................... 79,603 9.3
Pharmaceuticals......................... 63,214 7.4
Real Estate............................. 14,691 1.7
Retail - Multiline...................... 10,577 1.2
Retail - Specialty...................... 5,009 0.6
Software................................ 5,332 0.6
Telecommunication Services - Diversified 86,746 10.1
Transportation.......................... 4,791 0.7
-------- ----
$844,470 98.5%
======== ====
See notes to financial statements
113
MET INVESTORS SERIES TRUST
NEUBERGER BERMAN REAL ESTATE PORTFOLIO
PORTFOLIO OF INVESTMENTS
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
----------------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
----------------------------------------------------------------------
COMMON STOCKS - 96.3%
APARTMENTS - 11.3%
Apartment Investment & Management Co. -
Class A (REIT)............................ 281,500 $ 11,518,980
Camden Property Trust (REIT)................ 228,200 12,265,750
Essex Property Trust, Inc. (REIT)........... 156,200 12,973,972
United Dominion Realty Trust, Inc.
(REIT).................................... 522,700 12,570,935
-------------
49,329,637
-------------
COMMUNITY CENTERS - 3.9%
Developers Diversified Realty Corp.
(REIT).................................... 191,500 8,801,340
Pan Pacific Retail Properties, Inc. (REIT).. 122,800 8,151,464
-------------
16,952,804
-------------
DIVERSIFIED - 14.2%
Colonial Properties Trust (REIT)............ 523,900 23,051,600
Equity Lifestyle Properties, Inc. (REIT).... 211,300 8,401,288
Liberty Property Trust (REIT)............... 159,000 7,045,290
Public Storage, Inc. (REIT)................. 139,800 8,842,350
Vornado Realty Trust (REIT)................. 186,000 14,954,400
-------------
62,294,928
-------------
HEALTH CARE - 4.0%
Nationwide Health Properties, Inc. (REIT)... 177,900 4,200,219
OMEGA Healthcare Investors, Inc. (REIT)..... 142,900 1,837,694
Ventas, Inc. (REIT)......................... 384,900 11,623,980
-------------
17,661,893
-------------
INDUSTRIALS - 1.9%
ProLogis (REIT)............................. 208,400 8,386,016
-------------
LODGING - 8.8%
Hilton Hotels Corp.......................... 334,900 7,987,365
Host Marriott Corp. (REIT).................. 778,700 13,627,250
Starwood Hotels & Resorts
Worldwide, Inc............................ 111,400 6,524,698
Sunstone Hotel Investors, Inc. (REIT)....... 422,200 10,242,572
-------------
38,381,885
-------------
OFFICE - 34.9%
Alexandria Real Estate Equities, Inc. (REIT) 87,700 6,441,565
Arden Realty, Inc. (REIT)................... 193,200 6,951,336
BioMed Realty Trust, Inc. (REIT)............ 271,700 6,480,045
Boston Properties, Inc. (REIT).............. 204,600 14,322,000
Brandywine Realty Trust (REIT).............. 423,700 12,986,405
Brascan Corp. - Class A..................... 251,500 9,597,240
Brookfield Properties Corp.................. 322,650 9,292,320
CarrAmerica Realty Corp. (REIT)............. 189,500 6,856,110
Columbia Equity Trust, Inc. (REIT)*......... 372,700 5,720,945
Equity Office Properties Trust (REIT)....... 286,200 9,473,220
Mack-Cali Realty Corp. (REIT)............... 230,400 10,437,120
---------------------------------------------------------------------
SECURITY SHARES/PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
---------------------------------------------------------------------
OFFICE - CONTINUED
Maguire Properties, Inc. (REIT).......... 348,200 $ 9,867,988
Reckson Associates Realty Corp. (REIT)... 319,000 10,702,450
SL Green Realty Corp. (REIT)............. 218,700 14,106,150
Trizec Properties, Inc. (REIT)........... 942,300 19,383,111
-------------
152,618,005
-------------
OFFICE INDUSTRIAL - 1.5%
PS Business Parks, Inc. (REIT)........... 146,300 6,503,035
-------------
REGIONAL MALLS - 15.8%
CBL & Associates Properties,
Inc. (REIT)............................ 200,600 8,639,842
General Growth Properties, Inc. (REIT)... 322,100 13,235,089
Mills Corp. (The) (REIT)................. 97,200 5,908,788
Pennsylvania Real Estate Investment
Trust (REIT)........................... 201,400 9,566,500
Simon Property Group, Inc. (REIT)........ 264,100 19,144,609
Taubman Centers, Inc. (REIT)............. 371,300 12,657,617
-------------
69,152,445
-------------
Total Common Stocks
(Cost $ 373,051,556) 421,280,648
-------------
SHORT-TERM INVESTMENTS - 3.8%
State Street Bank & Trust Co., Repurchase
Agreement, dated 06/30/05 at 2.00% to
be repurchased at $16,733,930 on
07/01/05 collateralized by $16,945,000
FHLMC 4.500% due 11/15/11 with a
value of $17,072,088
(Cost $16,733,000)..................... $ 16,733,000 16,733,000
-------------
TOTAL INVESTMENTS - 100.1%
(Cost $ 389,784,556) 438,013,648
Other Assets and Liabilities (net) - (0.1%) (235,147)
-------------
TOTAL NET ASSETS - 100.0% $ 437,778,501
=============
PORTFOLIO FOOTNOTES:
* Non-income producing security.
REIT - Real Estate Investment Trust
FHLMC - Federal Home Loan Mortgage Corp.
See notes to financial statements
114
MET INVESTORS SERIES TRUST
OPPENHEIMER CAPITAL APPRECIATION PORTFOLIO
PORTFOLIO OF INVESTMENTS
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
----------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
----------------------------------------------------------------
COMMON STOCKS - 93.7%
ADVERTISING - 0.1%
Omnicom Group, Inc.................... 12,300 $ 982,278
---------------
AEROSPACE & DEFENSE - 3.0%
Empresa Brasileira de Aeronautica S.A.
(ADR)(a)............................ 158,900 5,254,823
General Dynamics Corp................. 27,400 3,001,396
Honeywell International, Inc.......... 122,100 4,472,523
Lockheed Martin Corp.................. 137,400 8,913,138
United Technologies Corp.............. 165,000 8,472,750
---------------
30,114,630
---------------
AIR FREIGHT & LOGISTICS - 1.5%
Expeditors International of
Washington, Inc..................... 87,400 4,353,394
FedEx Corp............................ 127,600 10,336,876
---------------
14,690,270
---------------
BANKS - 0.6%
Bank of America Corp.................. 126,700 5,778,787
---------------
BEVERAGES - 1.8%
PepsiCo, Inc.......................... 328,300 17,705,219
---------------
BIOTECHNOLOGY - 1.0%
Genentech, Inc.*...................... 124,900 10,026,972
---------------
CHEMICALS - 2.8%
Air Products & Chemicals, Inc......... 126,700 7,640,010
E.I. du Pont de Nemours & Co.......... 238,100 10,240,681
Praxair, Inc.......................... 223,700 10,424,420
---------------
28,305,111
---------------
COMMERCIAL SERVICES & SUPPLIES - 2.1%
Automatic Data Processing, Inc........ 230,100 9,657,297
Kinder Morgan Management LLC(a)....... 128,689 5,919,705
Waste Management, Inc................. 184,400 5,225,896
---------------
20,802,898
---------------
COMMUNICATIONS EQUIPMENT & SERVICES - 4.9%
Cisco Systems, Inc.*.................. 1,254,400 23,971,584
Lucent Technologies, Inc.*(a)......... 1,008,700 2,935,317
Motorola, Inc......................... 416,000 7,596,160
Nokia Oyj (ADR)(a).................... 496,700 8,265,088
QUALCOMM, Inc......................... 83,900 2,769,539
Tektronix, Inc........................ 168,200 3,914,014
---------------
49,451,702
---------------
COMPUTERS & PERIPHERALS - 2.8%
Dell, Inc.*........................... 236,700 9,352,017
International Business Machines Corp.. 227,900 16,910,180
Sun Microsystems, Inc.*............... 557,400 2,079,102
---------------
28,341,299
---------------
-------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
-------------------------------------------------------------
ELECTRONIC EQUIPMENT & INSTRUMENTS - 2.5%
Agilent Technologies, Inc.*........ 226,100 $ 5,204,822
Broadcom Corp. - Class A*.......... 286,800 10,184,268
L-3 Communications Holdings, Inc... 81,300 6,225,954
PerkinElmer, Inc................... 199,900 3,778,110
---------------
25,393,154
---------------
FINANCIALS - DIVERSIFIED - 6.7%
American Express Co................ 248,800 13,243,624
Citigroup, Inc..................... 555,800 25,694,634
Goldman Sachs Group, Inc. (The).... 89,600 9,140,992
J.P. Morgan Chase & Co............. 191,200 6,753,184
Lehman Brothers Holdings, Inc...... 31,000 3,077,680
Morgan Stanley..................... 33,900 1,778,733
Prudential Financial, Inc.......... 120,000 7,879,200
---------------
67,568,047
---------------
FOOD PRODUCTS - 0.1%
Campbell Soup Co................... 38,400 1,181,568
---------------
HEALTH CARE EQUIPMENT & SUPPLIES - 6.5%
Johnson & Johnson.................. 349,800 22,737,000
Medtronic, Inc..................... 387,800 20,084,162
Millipore Corp.*................... 148,300 8,413,059
Stryker Corp....................... 194,400 9,245,664
Varian Medical Systems, Inc.*...... 83,800 3,128,254
Waters Corp.*...................... 63,000 2,341,710
---------------
65,949,849
---------------
HEALTH CARE PROVIDERS & SERVICES - 1.7%
Aetna, Inc......................... 71,600 5,929,912
Laboratory Corp. of America Hldgs.* 38,400 1,916,160
UnitedHealth Group, Inc............ 169,000 8,811,660
---------------
16,657,732
---------------
HOTELS, RESTAURANTS & LEISURE - 2.3%
Carnival Corp...................... 204,700 11,166,385
McDonald's Corp.................... 176,000 4,884,000
Royal Caribbean Cruises, Ltd.(a)... 154,600 7,476,456
---------------
23,526,841
---------------
HOUSEHOLD PRODUCTS - 1.5%
Estee Lauder Cos., Inc. - Class A.. 8,800 344,344
Procter & Gamble Co................ 285,700 15,070,675
---------------
15,415,019
---------------
INDUSTRIAL - DIVERSIFIED - 6.5%
3M Co.............................. 150,100 10,852,230
General Electric Co................ 1,357,500 47,037,375
Tyco International, Ltd............ 262,200 7,656,240
---------------
65,545,845
---------------
See notes to financial statements
115
MET INVESTORS SERIES TRUST
OPPENHEIMER CAPITAL APPRECIATION PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
-------------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
-------------------------------------------------------------------
INSURANCE - 0.8%
American International Group, Inc........ 100,500 $ 5,839,050
Hartford Financial Services Group,
Inc. (The)............................. 33,500 2,505,130
---------------
8,344,180
---------------
INTERNET SOFTWARE & SERVICES - 2.5%
eBay, Inc.*.............................. 406,700 13,425,167
Yahoo!, Inc.*............................ 351,600 12,182,940
---------------
25,608,107
---------------
IT CONSULTING & SERVICES - 0.3%
Ingram Micro, Inc. - Class A*............ 206,500 3,233,790
---------------
MACHINERY - 0.8%
Ingersoll-Rand Co. - Class A............. 105,500 7,527,425
---------------
MEDIA - 9.3%
Clear Channel Communications, Inc.(a).... 118,700 3,671,391
Comcast Corp. - Class A*................. 1,015,600 30,417,220
News Corp. - Class B(a).................. 503,600 8,490,696
Time Warner, Inc.*....................... 1,150,300 19,221,513
Univision Communications, Inc. - Class A* 196,900 5,424,595
Viacom, Inc. - Class B................... 562,600 18,014,452
Walt Disney Co........................... 351,900 8,860,842
---------------
94,100,709
---------------
OIL & GAS - 5.7%
Amerada Hess Corp........................ 18,500 1,970,435
Apache Corp.............................. 23,000 1,485,800
Exxon Mobil Corp......................... 439,500 25,258,065
GlobalSantaFe Corp....................... 137,200 5,597,760
Occidental Petroleum Corp................ 3,900 300,027
Pride International, Inc.*............... 38,300 984,310
Schlumberger, Ltd........................ 185,700 14,102,058
Smith International, Inc................. 31,100 1,981,070
Transocean, Inc.*........................ 107,200 5,785,584
---------------
57,465,109
---------------
PHARMACEUTICALS - 7.2%
Abbott Laboratories...................... 126,800 6,214,468
Amgen, Inc.*............................. 293,600 17,751,056
Eli Lilly & Co........................... 63,700 3,548,727
Gilead Sciences, Inc.*................... 105,900 4,658,541
Merck & Co., Inc......................... 198,300 6,107,640
Novartis AG.............................. 247,454 11,742,314
Pfizer, Inc.............................. 419,300 11,564,294
Teva Pharmaceutical Industries, Ltd.
(ADR)(a)............................... 352,000 10,961,280
---------------
72,548,320
---------------
RETAIL - MULTILINE - 4.2%
Costco Wholesale Corp.................... 92,600 4,150,332
Federated Department Stores, Inc......... 102,400 7,503,872
------------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
------------------------------------------------------------------
RETAIL - MULTILINE - CONTINUED
J.C. Penney Co., Inc.................... 131,000 $ 6,887,980
Target Corp............................. 115,100 6,262,591
Wal-Mart Stores, Inc.................... 357,700 17,241,140
---------------
42,045,915
---------------
RETAIL - SPECIALTY - 2.8%
Best Buy Co., Inc....................... 141,400 9,692,970
Home Depot, Inc. (The).................. 193,800 7,538,820
Lowe's Cos., Inc........................ 86,100 5,012,742
Staples, Inc............................ 36,900 786,708
Williams-Sonoma, Inc.*.................. 134,100 5,306,337
---------------
28,337,577
---------------
SEMICONDUCTOR EQUIPMENT & PRODUCTS - 3.5%
Altera Corp.*........................... 90,800 1,799,656
Analog Devices, Inc..................... 122,900 4,585,399
Fairchild Semiconductor Corp. - Class A* 46,600 687,350
Intel Corp.............................. 772,100 20,120,926
Texas Instruments, Inc.................. 296,800 8,331,176
---------------
35,524,507
---------------
SOFTWARE - 7.6%
Adobe Systems, Inc...................... 312,200 8,935,164
Autodesk, Inc........................... 105,200 3,615,724
Cadence Design Systems, Inc.*........... 216,400 2,956,024
Citrix Systems, Inc.*................... 111,700 2,419,422
EMC Corp.*.............................. 215,800 2,958,618
Mercury Interactive Corp.*.............. 121,200 4,649,232
Microsoft Corp.......................... 1,491,300 37,043,892
SAP AG (ADR)(a)......................... 328,300 14,215,390
---------------
76,793,466
---------------
TELECOMMUNICATION SERVICES - DIVERSIFIED - 0.6%
Sprint Corp............................. 246,100 6,174,649
---------------
Total Common Stocks
(Cost $ 912,096,661) 945,140,975
---------------
See notes to financial statements
116
MET INVESTORS SERIES TRUST
OPPENHEIMER CAPITAL APPRECIATION PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
----------------------------------------------------------------------
SECURITY SHARES/PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
----------------------------------------------------------------------
SHORT-TERM INVESTMENTS - 11.2%
State Street Bank & Trust Co., Repurchase
Agreement, dated 06/30/05 at 2.000%
to be repurchased at $57,600,200 on
07/01/05 collateralized by
$58,315,000 FHLMC 4.500% due
11/15/11 with a value of
$58,752,363............................ $57,597,000 $ 57,597,000
State Street Navigator Securities Lending
Prime Portfolio(b)..................... 55,797,875 55,797,875
---------------
Total Short-Term Investments
(Cost $ 113,394,875) 113,394,875
---------------
TOTAL INVESTMENTS - 104.9%
(Cost $ 1,025,491,536) 1,058,535,850
Other Assets and Liabilities (net) - (4.9%) (49,812,577)
---------------
TOTAL NET ASSETS - 100.0% $ 1,008,723,273
===============
PORTFOLIO FOOTNOTES:
* Non-income producing security.
(a) All or a portion of security out on loan.
(b) Represents investment of collateral received from securities lending
transactions.
ADR - American Depositary Receipt
FHLMC - Federal Home Loan Mortgage Corp.
See notes to financial statements
117
MET INVESTORS SERIES TRUST
PIMCO INFLATION PROTECTED BOND PORTFOLIO
PORTFOLIO OF INVESTMENTS
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
---------------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
---------------------------------------------------------------------
MUNICIPALS - 0.5%
Badger Tob Asset Securitization Corp.
6.375%, due 06/01/32................... $ 1,000,000 $ 1,068,550
California County Tob Securitization
Agency 5.625%, due 06/01/23............ 185,000 187,407
Golden State Tob Securitization Corp.
6.750%, due 06/01/39................... 1,000,000 1,126,940
Ohio State 5.000%, due 06/15/13.......... 1,000,000 1,111,250
Tobacco Settlement Financing Corp.
6.000%, due 06/01/23................... 1,000,000 1,054,730
Tobacco Settlement Revenue Management
6.375%, due 05/15/28................... 200,000 212,890
-------------
Total Municipals (Cost $4,182,606) 4,761,767
-------------
DOMESTIC BONDS & DEBT SECURITIES - 10.5%
ASSET-BACKED SECURITIES - 2.7%
Ameriquest Mortgage Securities, Inc.
3.494%, due 03/25/35+(144A)(b)......... 464,351 464,279
Asset-Backed Securities Corp. 3.720%,
due 01/15/33 - Class A+................ 349,097 350,199
Carrington Mortgage Loan Trust
3.240%, due 06/25/35+.................. 300,000 299,812
Equity One ABS, Inc. 3.614%,
due 04/25/34+.......................... 1,719,251 1,725,183
GSAMP Trust 3.604%, due
03/25/34+.............................. 873,116 873,645
Residential Asset Mortgage Products, Inc.
3.474%, due 09/25/13+................... 2,955,443 2,957,589
3.424%, due 01/25/25+................... 393,052 393,290
3.654%, due 11/25/33+................... 4,971,360 4,974,371
Small Business Administration
4.504%, due 02/10/14.................... 2,653,185 2,667,956
4.880%, due 11/01/24.................... 5,205,601 5,306,002
Wells Fargo Home Equity Trust 3.474%,
due 06/25/19+.......................... 196,489 196,649
Redwood Capital, Ltd. 2003-3 7.354%,
due 01/09/06 (144A)(a)+................ 1,200,000 1,199,112
Redwood Capital, Ltd. 2003-4 5.804%,
due 01/09/06 (144A)(a)+................ 1,200,000 1,198,692
Truman Capital Mortgage Loan Trust
3.654%, due 01/25/34 - Class A1
(144A)(b)+............................. 249,140 249,335
-------------
22,856,114
-------------
AUTOMOBILES - 0.5%
Daimler Chrysler NA Holdings 3.610%,
due 03/07/07+.......................... 4,400,000 4,388,138
-------------
COLLATERALIZED MORTGAGE OBLIGATIONS - 2.2%
Bank of America Mortgage Securities
6.500%, due 09/25/33................... 450,244 457,698
Bear Stearns ARM Trust 4.247%,
due 01/25/34+.......................... 4,492,121 4,480,154
------------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
------------------------------------------------------------------
COLLATERALIZED MORTGAGE OBLIGATIONS - CONTINUED
Countrywide Home Loans
3.604%, due 04/25/35+................ $ 6,380,930 $ 6,380,919
3.654%, due
06/25/35+(144A)(a)................. 1,000,000 1,000,312
Greenpoint Mortgage Funding Trust
3.534%, due 06/25/45+............... 3,963,755 3,960,378
Sequoia Mortgage Trust
3.610%, due 10/19/26 - Class A+..... 1,371,793 1,373,971
Structured Adjustable Rate Mortgage
Loan Trust 3.434%, due
03/25/35+........................... 906,527 907,352
-------------
18,560,784
-------------
FINANCIALS - DIVERSIFIED - 4.6%
Ford Motor Credit Co.
3.572%, due 07/07/05................. 4,100,000 4,086,060
6.875%, due 02/01/06................. 1,700,000 1,717,229
4.218%, due 11/16/06+................ 2,400,000 2,379,814
4.389%, due 03/21/07+................ 12,400,000 12,144,225
General Electric Capital Corp.
3.390%, due 03/04/08+............... 3,300,000 3,302,515
General Motors Acceptance Corp.
4.145%, due 05/18/06+................ 1,800,000 1,791,939
4.050%, due 01/16/07+................ 200,000 195,711
Goldman Sachs Group, Inc.
3.380%, due 08/01/06+................ 3,300,000 3,300,452
3.778%, due 06/28/10+................ 4,400,000 4,409,733
Toyota Motor Credit Corp.
3.200%, due 09/18/06+............... 5,500,000 5,500,726
-------------
38,828,404
-------------
INSURANCE - 0.1%
Residential Reinsurance, Ltd. 8.280%,
due 12/08/07 (144A)(a)+............. 500,000 487,050
-------------
MISCELLANEOUS - 0.3%
Phoenix Quake Wind, Ltd. 5.979%,
due 07/03/08 (144A)(a)+............. 1,500,000 1,542,855
Vita Capital, Ltd. 4.854%,
due 01/01/07 (144A)(a)+............. 800,000 801,784
-------------
2,344,639
-------------
OIL & GAS - 0.1%
Halliburton Co. 4.650%, due
10/17/05+........................... 1,200,000 1,204,744
-------------
Total Domestic Bonds & Debt Securities
(Cost $88,923,345) 88,669,873
-------------
FOREIGN BONDS & DEBT SECURITIES - 2.5%
BRAZIL - 0.1%
Federal Republic of Brazil
8.000%, due 04/15/14................ 1,055,493 1,080,244
-------------
CANADA - 0.1%
Government of Canada
3.000%, due 12/01/36................ 620,988 632,524
-------------
See notes to financial statements
118
MET INVESTORS SERIES TRUST
PIMCO INFLATION PROTECTED BOND PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
-----------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
-----------------------------------------------------------------
FRANCE - 1.4%
Government of France
3.000%, due 07/25/12................ $ 7,426,370 $ 10,287,586
5.750%, due 10/25/32+............... 700,000 1,149,459
-------------
11,437,045
-------------
RUSSIA - 0.9%
Russian Federation 5.000%/7.5000%,
due 03/31/30++..................... 7,200,000 8,012,880
-------------
Total Foreign Bonds & Debt Securities
(Cost $21,307,510) 21,162,693
-------------
U.S. GOVERNMENT & AGENCY OBLIGATIONS - 98.5%
Federal National Mortgage Assoc.
3.235%, due 09/07/06+............... 32,600,000 32,598,826
3.314%, due 09/21/06+............... 16,500,000 16,495,066
3.464%, due 08/25/34+............... 3,082,578 3,080,184
U.S. Treasury Inflation Index Bond
2.375%, due 01/15/25................ 97,884,605 107,179,825
3.625%, due 04/15/28................ 29,811,832 40,065,492
3.875%, due 04/15/29................ 66,999,389 94,186,535
3.375%, due 04/15/32................ 3,286,080 4,471,254
U.S. Treasury Inflation Index Note
3.375%, due 01/15/07................ 122,720 126,656
3.625%, due 01/15/08................ 8,183,868 8,662,436
3.875%, due 01/15/09................ 64,494,464 70,195,710
4.250%, due 01/15/10................ 7,916,203 8,910,683
3.500%, due 01/15/11................ 60,881,950 67,495,739
3.375%, due 01/15/12................ 766,472 856,144
1.875%, due 07/15/13................ 23,077,262 23,577,577
2.000%, due 01/15/14................ 112,378,164 115,789,066
2.000%, due 07/15/14................ 84,166,320 86,753,845
U.S. Treasury Note
0.875%, due 04/15/10................ 20,115,872 19,625,568
3.000%, due 07/15/12................ 84,128,252 92,429,355
4.250%, due 11/15/14................ 15,800,000 16,175,882
1.625%, due 01/15/15................ 22,910,175 22,834,113
U.S. Treasury Bond 6.625%,
due 02/15/27....................... 1,500,000 1,991,310
-------------
Total U.S. Government & Agency Obligations
(Cost $834,986,999) 833,501,266
-------------
SHARES
--------------
PREFERRED STOCK - 0.1%
Federal National Mortgage Assoc.
7.00% + (Cost $535,000)............ 10,700 593,516
-------------
------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
------------------------------------------------------------
SHORT-TERM INVESTMENTS - 80.1%
U.S. GOVERNMENT & AGENCY DISCOUNT NOTES - 24.2%
Federal Home Loan Bank
0.010%, due 07/01/05(c)........ $ 23,200,000 $ 23,200,000
0.010%, due 07/27/05(c)........ 38,000,000 37,911,903
3.225%, due 09/09/05(c)........ 23,000,000 22,855,771
Federal Home Loan Mortgage Corp.
2.875%, due 07/12/05(c)........ 2,200,000 2,198,007
2.963%, due 08/01/05(c)........ 9,400,000 9,375,150
3.020%, due 08/02/05(c)........ 4,100,000 4,088,994
3.250%, due 09/13/05(c)........ 19,900,000 19,767,057
3.254%, due 11/01/05(c)........ 900,000 889,822
3.310%, due 11/02/05(c)........ 600,000 593,159
Federal National Mortgage Assoc.
0.010%, due 07/01/05(c)........ 23,200,000 23,200,000
2.930%, due 07/06/05(c)........ 12,400,000 12,394,920
2.988%, due 07/20/05(c)........ 25,200,000 25,160,233
3.005%, due 07/27/05(c)........ 22,700,000 22,650,653
3.010%, due 08/01/05(c)........ 300,000 299,222
U.S. Treasury Bill
3.060%, due 09/01/05(c)........ 205,000 203,949
3.080%, due 09/15/05(c)........ 415,000 412,382
-------------
205,201,222
-------------
COMMERICAL PAPER - 34.3%
ANZ National, Ltd.
3.040%, due 07/19/05 (144A)(b) 19,900,000 19,869,752
Bank of Ireland
3.010%, due 07/05/05 (144A)(b) 2,400,000 2,399,197
Barclays Plc
3.020%, due 07/21/05........... 500,000 499,161
3.315%, due 09/14/05........... 8,000,000 7,944,750
DNB North Bank ASA
3.260%, due 09/06/05.......... 22,900,000 22,761,060
Fortis Funding LLC
3.270%, due 09/23/05 (144A)(b) 22,700,000 22,526,799
General Electric Capital Corp.
3.270%, due 09/08/05........... 21,700,000 21,563,995
3.290%, due 09/09/05........... 3,500,000 3,477,610
National Australia Funding
3.080%, due 07/11/05 (144A)(b) 22,700,000 22,680,579
Rabobank USA Financial Corp.
3.160%, due 08/08/05........... 22,900,000 22,823,616
3.360%, due 10/17/05........... 2,000,000 1,979,840
Royal Bank of Scotland
3.085%, due 07/15/05........... 22,500,000 22,473,006
3.080%, due 07/18/05........... 2,100,000 2,096,946
3.220%, due 08/15/05........... 400,000 398,390
Skandinaviska Enskilda Banken
3.030%, due 07/11/05 (144A)(b). 800,000 799,327
3.040%, due 07/14/05 (144A)(b). 600,000 599,341
See notes to financial statements
119
MET INVESTORS SERIES TRUST
PIMCO INFLATION PROTECTED BOND PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
-------------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
-------------------------------------------------------------------
COMMERICAL PAPER - CONTINUED
3.070%, due 07/14/05 (144A)(b)... $ 600,000 $ 599,335
3.170%, due 08/18/05 (144A)(b)... 19,400,000 19,318,002
3.280%, due 09/07/05 (144A)(b)... 3,800,000 3,776,457
Spintab AB 3.250%, due 09/08/05... 18,000,000 17,887,875
Total Fina Elf S.A.
3.105%, due 07/11/05 (144A)(b)... 2,300,000 2,298,016
3.150%, due 08/08/05 (144A)(b)... 22,900,000 22,823,858
UBS Finance, Inc.
3.390%, due 07/01/05............. 1,200,000 1,200,000
2.975%, due 07/14/05............. 500,000 499,463
3.165%, due 08/08/05............. 23,000,000 22,923,161
3.165%, due 08/30/05............. 800,000 795,780
Unicredito Italiano SPA
3.037%, due 07/07/05............ 23,200,000 23,200,008
--------------
290,215,324
--------------
REPURCHASE AGREEMENT - 21.6%
Credit Suisse First Boston Corp.,
Repurchase Agreement, dated
06/30/05 at 2.700% to be
repurchased at $183,013,725 on
07/01/05 collateralized by
$186,468,000 U.S. Treasury Note
3.500% due 06/30/05 with a value
of $187,237,454................. 183,000,000 183,000,000
--------------
Total Short-Term Investments
(Cost $678,416,092) 678,416,546
--------------
OPTIONS - 0.0%
Treasury Inflation Index Puts,
Expires 08/5/05................. 35,000,000 0
Treasury Note Future Puts,
Expires 8/26/2005............... 150,000 2,340
Treasury Note Puts,
Expires 8/26/2005............... 75,000,000 0
--------------
Total Options (Cost $28,612) 2,340
--------------
TOTAL INVESTMENTS - 192.2%
(Cost $1,628,380,164) 1,627,108,001
Other Assets and Liabilities (net) - (92.2%) (780,662,136)
--------------
TOTAL NET ASSETS - 100.0% $ 846,445,865
==============
PORTFOLIO FOOTNOTES:
+ Variable or floating rate security. The stated rate represents the rate at
June 30, 2005.
++ Security is a "step-up" bond where coupon increases or step up at a
predetermined date. Rates shown are current coupon and next coupon rate when
security steps up.
(a) Securities that may be resold to "qualified institutional buyers" under
Rule 144A or securities offered pursuant to Section 4(2) of the Securities
Act of 1933, as amended. These securities have been determined to be
illiquid by the Portfolio's adviser. These securities represent in the
aggregate 0.63% of net assets.
(b) Securities that may be resold to "qualified institutional buyers" under
Rule 144A or securities offered pursuant to Section 4(2) of the Securities
Act of 1933, as amended. These securities have been determined to be liquid
under guidelines established by the Board of Trustees.
(c) Zero coupon bond- Interest rate represents current yield to maturity.
The adviser considers liquid securities as coverage for open derivatives.
The following table summarizes the portfolio composition of the Portfolio's
holdings at June 30, 2005, based upon quality ratings issued by Standard &
Poor's. For securities not rated by Standard & Poor's, the Moody's rating is
used.
PERCENT OF
PORTFOLIO
PORTFOLIO COMPOSITION BY CREDIT QUALITY (UNAUDITED)
---------------------------------------------------
AAA/Government/Government Agency 76.07%
AA 0.12
A 20.69
BBB 1.38
BB 1.74
------
Total: 100.00%
======
STRIKE NUMBER OF
PUT OPTIONS EXPIRATION PRICE CONTRACTS VALUE
---------------------------------------------------------
U.S. Treasury Note
10 Year Futures. 08/26/2005 $111.00 (84,000) $(17,063)
U.S. Treasury Note
10 Year Futures. 08/26/2005 110.00 (120,000) (11,250)
U.S. Treasury Note
10 Year Futures. 11/22/2005 110.00 (85,000) (45,156)
--------
(Written Option
Premium $85,701) $(73,469)
========
STRIKE NUMBER OF
CALL OPTIONS EXPIRATION PRICE CONTRACTS VALUE
---------------------------------------------------------
U.S. Treasury Note
10 Year Futures. 08/26/2005 $115.00 (57,000) $(18,703)
U.S. Treasury Note
10 Year Futures. 08/26/2005 116.00 (232,000) (32,625)
--------
(Written Option
Premium $73,264) $(51,328)
========
INTEREST
SECURITY SOLD SHORT RATE MATURITY PROCEEDS VALUE
---------------------------------------------------------------
U.S. Treasury Note. 4.25% 11/15/2013 $14,995,277 $14,961,014
See notes to financial statements
120
MET INVESTORS SERIES TRUST
PIMCO TOTAL RETURN PORTFOLIO
PORTFOLIO OF INVESTMENTS
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
-----------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
-----------------------------------------------------------------
MUNICIPALS - 2.2%
Badger Tobacco Asset Securitization
Corp.
6.125%, due 06/01/27............... $ 300,000 $ 318,582
6.375%, due 06/01/32................ 360,000 384,678
California Infrastructure & Economic
Development, (AMBAC)
5.000%, due 07/01/36............... 1,350,000 1,433,916
California State Economic Recovery
5.250%, due 07/01/12............... 3,300,000 3,689,829
Clark County Nevada School District
(FGIC) 5.375%, due 06/15/13
(144A)(c)........................ 1,000,000 1,263,440
Energy Northwest Wash Electric
Revenue
5.500%, due 07/01/12............... 1,600,000 1,802,080
5.500%, due 07/01/14^
(144A)(c)......................... 1,000,000 1,286,220
Florida State, Series A
5.000%, due 06/01/32............... 900,000 951,057
Florida State Board of Education
5.000%, due 06/01/32............... 400,000 424,464
Georgia State 5.000%, due 05/01/20
(144A)(c).......................... 1,000,000 1,161,600
Golden State Tob Securitization Corp.
6.250%, due 06/01/33............... 640,000 698,202
6.750%, due 06/01/39................ 3,400,000 3,831,596
Illinois Development Finance
Authority (AMBAC)
5.000%, due 02/01/33
(144A)(c)........................ 3,705,000 3,988,358
New York City Municipal Water
Finance Authority
5.000%, due 06/15/34^
(144A)(c)......................... 1,030,000 1,140,251
5.000%, due 06/15/35
(144A)(c)......................... 650,000 726,830
5.000%, due 06/15/38^
(144A)(c)......................... 2,400,000 2,709,360
Northern Tob Securization Corp
6.500%, due 06/01/31............... 900,000 948,816
Tacoma Washington Regional Water
Supply Systems, (MBIA Insured)
5.000%, due 12/01/32............... 800,000 838,768
Texas State 4.750%, due 04/01/35^
(144A)(c).......................... 2,400,000 2,539,248
Texas State University Systems
Financing Revenue
5.000%, due 03/15/34............... 890,000 941,691
Tobacco Settlement Funding Corp.
6.375%, due 06/01/32............... 1,400,000 1,505,406
5.875%, due 05/15/39................ 2,000,000 2,088,620
-------------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
-------------------------------------------------------------------
MUNICIPALS - CONTINUED
6.750%, due 06/01/39.................. $ 1,200,000 $ 1,341,444
6.125%, due 06/01/42.................. 1,200,000 1,260,072
6.250%, due 06/01/42.................. 1,300,000 1,375,933
Tobacco Settlement Revenue
Management 6.375%, due
05/15/28............................. 1,800,000 1,916,010
Wisconsin State, (MBIA Insured)
5.000%, due 05/01/13................. 3,000,000 3,322,680
--------------
Total Municipals
(Cost $41,468,996) 43,889,151
--------------
DOMESTIC BONDS & DEBT SECURITIES - 15.4%
AEROSPACE & DEFENSE - 0.0%
General Dynamics Corp.
2.125%, due 05/15/06................. 325,000 320,225
Lockheed Martin Corp.
8.500%, due 12/01/29................. 100,000 144,868
--------------
465,093
--------------
AIRLINES - 0.0%
United Airlines, Inc.
3.140%, due 03/02/49^(d)............. 277,646 268,638
--------------
ASSET-BACKED SECURITIES - 3.9%
Ameriquest Mortgage Securities, Inc.
3.604%, due 06/25/31^................ 55,627 55,666
Bank One Issuance Trust
3.270%, due 10/15/08^................ 7,100,000 7,107,209
Bear Stearns Asset-Backed Securities,
Inc. 3.714%, due 10/27/32^........... 146,812 147,526
Carrington Mortgage Loan Trust
3.404%, due 05/25/35^................ 5,272,959 5,270,486
CDC Mortgage Capital Trust
3.544%, due 03/25/34^................ 167,738 167,870
Chec Loan Trust
3.484%, due 01/25/25^................ 2,854,991 2,857,093
Citibank Omni-S Master Trust
3.350%, due 08/18/09^................ 7,100,000 7,105,342
3.600%, due 11/17/09^................. 2,800,000 2,805,866
Citifinancial Mortgage Securities, Inc.
3.624%, due 05/25/33^................ 598,402 599,098
Citigroup Mortgage Loan Trust
3.404%, due 05/25/35^................ 2,871,600 2,871,152
Countrywide Asset-Backed Certificates
3.200%, due 08/25/23^................ 260,228 260,390
3.464%, due 03/25/24^................. 59,728 59,755
3.624%, due 03/25/34^................. 4,708,526 4,711,641
Daimler Chrysler Auto Trust
3.750%, due 12/08/07................. 4,700,000 4,705,142
First Franklin Mortgage Loan Trust
3.484%, due 10/25/13^................ 1,258,365 1,259,355
See notes to financial statements
121
MET INVESTORS SERIES TRUST
PIMCO TOTAL RETURN PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
----------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
----------------------------------------------------------------
ASSET-BACKED SECURITIES - CONTINUED
First NLC Trust
3.436%, due 09/25/35^............. $ 3,500,000 $ 3,501,644
Fremont Home Loan Trust
3.404%, due 04/25/35^............. 1,942,708 1,944,553
GSAMP Trust
3.494%, due 10/25/34^............. 582,553 583,061
Household Automotive Trust
3.300%, due 05/18/09.............. 1,250,000 1,243,750
Household Home Equity Loan Trust
3.610%, due 10/20/32^............. 191,747 191,994
Ixis Real Estate Capital Trust
3.394%, due 09/25/35^............. 7,421,365 7,420,207
Long Beach Mortgage Loan Trust
3.464%, due 02/25/24^............. 64,610 64,657
3.634%, due 06/25/33^.............. 178,573 178,796
Morgan Stanley Home Equity Loans
3.434%, due 12/25/34^............. 5,065,940 5,069,253
Option One Mortgage Loan Trust
3.634%, due 08/25/33^............. 160,576 160,978
Quest Trust 3.874%, due
06/25/34^(144A)(c)................ 1,262,764 1,267,098
Renaissance Home Equity Loan Trust
3.514%, due 07/25/34^............. 484,786 485,206
3.494%, due 02/25/35............... 2,372,934 2,374,686
Residential Asset Mortgage Products,
Inc. 3.464%, due 06/25/24^........ 157,314 157,395
Residential Asset Securities Corp.
3.434%, due 06/25/25^.............. 364,669 364,897
3.404%, due 04/25/35^.............. 6,522,525 6,527,032
SLM Student Loan Trust 2.990%, due
12/15/22 (144A)(c)................ 910,000 894,307
Structured Asset Securities Corp.
3.814%, due 05/25/32^............. 1,173,627 1,177,776
Vanderbilt Mortgage Finance, Inc.
6.545%, due 04/07/18.............. 39,471 39,935
Wachovia Asset Securitization
3.574%, due 06/25/33^............. 416,850 418,191
Wells Fargo Home Equity Trust
3.474%, due 06/25/19^............. 903,851 904,584
--------------
74,953,591
--------------
AUTOMOBILES - 0.2%
Daimler Chrysler NA Holdings
7.200%, due 09/01/09.............. 255,000 277,823
General Motors Corp.
7.200%, due 01/15/11.............. 555,000 516,150
8.250%, due 07/15/23............... 580,000 482,850
8.375%, due 07/15/33............... 3,600,000 3,024,000
-----------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
-----------------------------------------------------------------
AUTOMOBILES - CONTINUED
TRW Automotive, Inc.
9.375%, due 02/15/13............... $ 76,000 $ 84,550
--------------
4,385,373
--------------
BANKS - 0.3%
ABN AMRO NA Holding Capital
6.523%, due 12/01/49^
(144A)(c)........................ 345,000 380,770
ANZ Capital Trust I 5.360%, due
12/29/49 (144A)(b)................. 525,000 541,186
HSBC Capital Funding LP
1.000%, due 12/29/49
(144A)(c)........................ 585,000 570,889
9.547%, due 12/31/49^
(144A)(c)......................... 350,000 426,899
Popular N.A., Inc.
6.125%, due 10/15/06............... 610,000 621,991
4.700%, due 06/30/09................ 50,000 50,569
Rabobank Capital Fund III 5.254%,
due 12/29/49^(144A)(c)............. 370,000 380,330
RBS Capital Trust II
6.425%, due 12/29/49^.............. 120,000 133,570
RBS Capital Trust III
5.512%, due 09/29/49^.............. 815,000 847,999
SunTrust Banks, Inc.
2.500%, due 11/01/06............... 525,000 513,114
US Bank NA
2.850%, due 11/15/06............... 695,000 683,759
Westpac Capital Trust III 5.819%, due
12/29/49^(144A)(b)................. 80,000 85,009
Westpac Capital Trust IV 5.256%, due
12/29/49^(144A)(b)................. 165,000 168,669
Fleet Boston Financial Corp.
7.375%, due 12/01/09............... 70,000 78,641
--------------
5,483,395
--------------
CHEMICALS - 0.1%
Dow Chemical Co.
7.375%, due 11/01/29............... 185,000 239,695
Huntsman International LLC
9.875%, due 03/01/09............... 70,000 75,250
ICI Wilmington, Inc.
5.625%, due 12/01/13............... 340,000 353,353
Lyondell Chemical Co.
10.875%, due 05/01/09.............. 120,000 125,100
--------------
793,398
--------------
COLLATERALIZED MORTGAGE OBLIGATIONS - 7.4%
Adjustable Rate Mortgage Trust
4.660%, due 05/25/35^.............. 8,618,026 8,626,110
See notes to financial statements
122
MET INVESTORS SERIES TRUST
PIMCO TOTAL RETURN PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
-----------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
-----------------------------------------------------------------
COLLATERALIZED MORTGAGE OBLIGATIONS - CONTINUED
Bank America Mortgage Securities
3.764%, due 01/25/34^.............. $ 3,105,255 $ 3,112,844
Bank of America Funding Corp.
4.118%, due 05/25/35^.............. 11,700,000 11,565,467
Bear Stearns Adjustable Rate Mortgage
Trust 5.350%, due 02/25/33^........ 336,313 339,501
Bear Stearns ALT-A Trust
5.450%, due 05/25/35............... 8,914,920 9,085,292
Bear Stearns Commercial Mortgage
Securities, Inc.
3.436%, due 05/14/16^
(144A)(c)......................... 6,469,663 6,476,938
5.060%, due 11/15/16................ 431,597 440,068
Cendant Mortgage Corp. 6.000%, due
07/25/43 (144A)(c)................. 1,217,768 1,236,560
Countrywide Alternative Loan Trust
5.750%, due 07/25/32............... 15,161 15,135
Countrywide Home Loans
3.634%, due 03/25/35^.............. 8,001,456 8,008,100
3.654%, due 06/25/35^
(144A)(b)......................... 19,200,000 19,205,985
Credit Suisse First Boston Mortgage
Securities Corp.
5.750%, due 09/22/17............... 2,369,475 2,392,547
2.478%, due 03/25/32^
(144A)(c)......................... 448,893 449,600
6.500%, due 04/25/33................ 1,282,066 1,297,451
2.360%, due 08/25/33^
(144A)(c)......................... 1,327,556 1,334,827
Credit-Based Asset Servicing &
Securitization
3.654%, due 08/25/29^.............. 54,390 54,446
GMAC Mortgage Corp.
5.940%, due 07/01/13............... 101,106 99,063
Green Tree Financial Corp.
6.220%, due 03/01/30............... 255,282 260,075
GSR Mortgage Loan Trust
6.000%, due 03/25/32............... 12,602 12,643
Harborview Mortgage Loan Trust
3.480%, due 05/19/35^.............. 8,477,231 8,441,733
Homestar Mortgage Acceptance Corp.
3.504%, due 01/25/22^.............. 154,710 154,821
Indymac ARM Trust
3.957%, due 01/25/32^.............. 7,672 7,657
Indymac MBS Inc.
3.714%, due 05/25/33^.............. 4,033,692 4,041,466
Mellon Residential Funding Corp.
3.894%, due 07/25/29^.............. 114,349 115,254
MLCC Mortgage Investors, Inc.
3.600%, due 03/15/25^.............. 218,274 219,397
--------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
--------------------------------------------------------------
COLLATERALIZED MORTGAGE OBLIGATIONS - CONTINUED
Morgan Stanley Dean Witter Capital
4.920%, due 03/12/35............ $ 495,000 $ 508,384
Renaissance Home Equity Loan Trust
3.754%, due 08/25/33^........... 1,190,084 1,195,535
Residential Accredit Loans, Inc.
5.500%, due 06/25/17............ 32,878 33,050
3.714%, due 03/25/33^............ 3,954,567 3,957,756
Residential Funding Mortgage
Securities
3.664%, due 06/25/18^........... 2,094,840 2,095,109
Sequoia Mortgage Trust
3.610%, due 07/20/33^........... 1,534,387 1,537,201
Structured Asset Mortgage
Investments, Inc.
4.419%, due 03/25/32^........... 3,898,841 3,932,032
3.544%, due 06/19/35^............ 7,949,435 7,966,538
Washington Mutual, Inc.
6.000%, due 03/25/17............ 272,806 272,691
3.584%, due 12/25/27^............ 8,528,079 8,525,084
5.129%, due 10/25/32^............ 303,451 305,601
3.765%, due 02/27/34^............ 1,247,397 1,246,025
4.004%, due 12/25/40^............ 11,246 11,231
3.900%, due 06/25/42^............ 4,066,490 4,109,743
3.903%, due 08/25/42^............ 63,800,000 5,226,312
Wells Fargo Mortgage Backed
Securities Trust
4.658%, due 09/25/33............ 38,666,000 16,323,264
--------------
144,238,536
--------------
COMMERCIAL SERVICES & SUPPLIES - 0.0%
Allied Waste North America, Inc.
6.125%, due 02/15/14............ 315,000 294,131
7.375%, due 04/15/14............. 15,000 13,950
Cendant Corp.
7.125%, due 03/15/15............ 240,000 273,719
Xerox Corp.
7.625%, due 06/15/13............ 50,000 54,062
--------------
635,862
--------------
CONTAINERS & PACKAGING - 0.0%
Owens Brockway Glass Container
7.750%, due 05/15/11............ 55,000 58,712
--------------
ELECTRIC UTILITIES - 0.3%
Alabama Power Co.
2.800%, due 12/01/06............ 250,000 245,908
Arizona Public Service Co.
4.650%, due 05/15/15............ 165,000 162,823
Dominion Resources, Inc.
8.125%, due 06/15/10............ 335,000 386,383
6.300%, due 03/15/33............. 210,000 229,160
See notes to financial statements
123
MET INVESTORS SERIES TRUST
PIMCO TOTAL RETURN PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
-------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
-------------------------------------------------------------
ELECTRIC UTILITIES - CONTINUED
DTE Energy Co. 6.375%, due
04/15/33....................... $ 260,000 $ 285,303
Entergy Gulf States 3.600%, due
06/01/08....................... 1,400,000 1,371,447
FPL Group Capital, Inc.
7.625%, due 09/15/06........... 405,000 421,691
Pacificorp 4.300%, due 09/15/08.. 250,000 251,149
Pepco Holdings, Inc.
6.450%, due 08/15/12........... 90,000 98,345
7.450%, due 08/15/32............ 180,000 223,378
PSEG Power LLC
5.500%, due 12/01/15........... 420,000 437,924
8.625%, due 04/15/31............ 245,000 339,299
TXU Energy Co. 3.920%, due
01/17/06^...................... 800,000 799,897
Progress Energy, Inc. 6.850%, due
04/15/12....................... 650,000 723,094
--------------
5,975,801
--------------
ENERGY EQUIPMENT & SERVICES - 0.0%
Peabody Energy Corp.
6.875%, due 03/15/13........... 70,000 74,550
--------------
FINANCIALS - DIVERSIFIED - 1.8%
American General Finance Corp.
3.000%, due 11/15/06........... 605,000 595,639
4.500%, due 11/15/07............ 280,000 280,748
CIT Group, Inc. 7.750%, due
04/02/12....................... 1,900,000 2,231,381
Citigroup, Inc. 5.625%, due
08/27/12....................... 1,000,000 1,069,704
Ford Motor Credit Co.
4.389%, due 03/21/07^.......... 9,200,000 9,010,232
7.375%, due 10/28/09............ 60,000 58,684
7.875%, due 06/15/10............ 1,070,000 1,058,440
7.000%, due 10/01/13............ 470,000 451,645
General Electric Capital Corp.
5.450%, due 01/15/13........... 375,000 398,406
6.750%, due 03/15/32............ 165,000 204,307
General Motors Acceptance Corp.
5.850%, due 01/14/09........... 1,000,000 938,138
Goldman Sachs Group, Inc.
3.491%, due 07/23/09^.......... 6,700,000 6,741,058
5.700%, due 09/01/12............ 55,000 58,607
5.000%, due 10/01/14............ 525,000 531,632
6.345%, due 02/15/34............ 395,000 429,456
Heller Financial, Inc.
6.375%, due 03/15/06........... 400,000 406,816
ING Capital Funding Trust III
8.439%, due 12/31/49^.......... 200,000 236,869
---------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
---------------------------------------------------------------
FINANCIALS - DIVERSIFIED - CONTINUED
Mid-State Trust, Class A
7.791%, due 03/15/38............. $ 355,906 $ 396,539
Mizuho Financial Group, Inc.
8.790%, due 12/29/49^
(144A)(c)....................... 390,000 430,570
9.870%, due 12/31/49^
(144A)(c)....................... 410,000 464,784
Morgan Stanley Group, Inc.
5.300%, due 03/01/13............. 800,000 832,694
Nisource Finance Corp.
6.150%, due 03/01/13............. 475,000 514,094
Prudential Holding, LLC 8.695%, due
12/18/23(144A)(c)................ 150,000 198,703
Qwest Capital Funding, Inc.
7.750%, due 08/15/06............. 700,000 719,250
SLM Corp. 5.625%, due 04/10/07..... 775,000 794,900
Small Business Administration
7.449%, due 08/01/10.............. 964,154 1,038,122
6.353%, due 03/01/11.............. 218,761 230,326
5.500%, due 10/01/18.............. 183,818 190,137
Ford Motor Co.
7.450%, due 07/16/31............. 4,400,000 3,673,190
--------------
34,185,071
--------------
FOOD & DRUG RETAILING - 0.0%
Safeway, Inc.
4.125%, due 11/01/08............. 480,000 473,453
--------------
HEALTH CARE EQUIPMENT & SUPPLIES - 0.0%
HCA, Inc. 5.250%, due 11/06/08..... 450,000 450,574
--------------
HEALTH CARE PROVIDERS & SERVICES - 0.0%
UnitedHealth Group, Inc.
3.300%, due 01/30/08............. 340,000 332,326
--------------
HOTELS, RESTAURANTS & LEISURE - 0.0%
Starwood Hotels & Resorts 7.375%,
due 11/15/15..................... 40,000 44,700
--------------
HOUSEHOLD DURABLES - 0.1%
Centex Corp.
5.700%, due 05/15/14............. 280,000 291,126
D.R. Horton, Inc.
8.500%, due 04/15/12............. 60,000 65,702
KB Home 5.750%, due 02/01/14....... 430,000 428,322
Pulte Homes, Inc. 5.250%,
due 01/15/14..................... 290,000 290,381
Standard Pacific Corp.
6.875%, due 05/15/11............. 85,000 86,488
--------------
1,162,019
--------------
See notes to financial statements
124
MET INVESTORS SERIES TRUST
PIMCO TOTAL RETURN PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
---------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
---------------------------------------------------------------
INSURANCE - 0.0%
Nationwide Financial Services, Inc.
6.250%, due 11/15/11.............. $ 55,000 $ 60,662
5.900%, due 07/01/12.............. 60,000 64,892
--------------
125,554
--------------
MEDIA - 0.2%
Clear Channel Communications, Inc.
5.500%, due 09/15/14............. 300,000 285,040
Comcast Cable Holdings
8.375%, due 03/15/13............. 506,000 617,899
Comcast Corp. 7.050%, due
03/15/33......................... 75,000 88,843
Cox Communications, Inc.
4.625%, due 06/01/13............. 430,000 418,087
Echostar DBS Corp. 6.375%, due
10/01/11......................... 70,000 69,738
News America Holdings, Inc.
7.750%, due 01/20/24............. 25,000 30,084
Time Warner Cos, Inc.
9.150%, due 02/01/23............. 155,000 213,342
8.375%, due 03/15/23.............. 260,000 333,280
7.625%, due 04/15/31.............. 310,000 388,382
News America Holdings, Inc.
8.250%, due 08/10/18............. 110,000 135,555
Tele-Communications TCI Group
7.875%, due 02/15/26............. 175,000 219,180
--------------
2,799,430
--------------
OIL & GAS - 0.6%
Duke Capital LLC
6.250%, due 02/15/13.............. 375,000 405,437
8.000%, due 10/01/19.............. 55,000 68,225
El Paso Corp. 7.750%, due
01/15/32......................... 2,875,000 2,817,500
Husky Energy, Inc. 6.150%, due
06/15/19......................... 215,000 232,424
Kinder Morgan Energy Partners
7.400%, due 03/15/31.............. 225,000 275,013
7.750%, due 03/15/32.............. 135,000 171,929
7.300%, due 08/15/33.............. 90,000 109,540
Magellan Midstream Partners
5.650%, due 10/15/16............. 385,000 398,775
Pemex Project Funding Master Trust
7.375%, due 12/15/14.............. 1,700,000 1,910,800
8.625%, due 02/01/22.............. 2,944,000 3,635,840
PG&E Corp.
3.820%, due 04/03/06^............ 1,325,000 1,325,000
Pioneer Natural Resource
5.875%, due 07/15/16............. 405,000 409,249
Reliant Resource, Inc.
9.500%, due 07/15/13............. 120,000 133,800
----------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
----------------------------------------------------------------
OIL & GAS - CONTINUED
Transcontinental Gas Pipe Line Corp.
8.875%, due 07/15/12 Series B..... $ 35,000 $ 41,825
Valero Energy Corp. 7.500%, due
04/15/32.......................... 225,000 278,619
Williams Companies, Inc. (The)
8.125%, due 03/15/12.............. 35,000 39,900
--------------
12,253,876
--------------
PAPER & FOREST PRODUCTS - 0.0%
Georgia-Pacific Corp.
7.375%, due 07/15/08.............. 15,000 16,031
International Paper Co.
5.850%, due 10/30/12.............. 115,000 120,404
--------------
136,435
--------------
PHARMACEUTICALS - 0.0%
Wyeth 6.450%, due 02/01/24.......... 160,000 182,696
--------------
RETAIL - MULTILINE - 0.0%
Federated Department Stores, Inc.
6.300%, due 04/01/09.............. 60,000 63,766
--------------
TELECOMMUNICATION SERVICES - DIVERSIFIED - 0.4%
Qwest Communications International,
Inc. 7.500%, due 02/15/14
(144A)(c)......................... 511,000 486,089
Qwest Corp. 9.125%, due 03/15/12
(144A)(c)......................... 1,720,000 1,879,100
SBC Communications, Inc.
4.125%, due 09/15/09.............. 4,000,000 3,970,632
5.100%, due 09/15/14............... 380,000 389,246
5.625%, due 06/15/16............... 455,000 480,731
Sprint Capital Corp.
6.900%, due 05/01/19.............. 220,000 252,545
Verizon Global Funding Corp.
7.375%, due 09/01/12.............. 185,000 216,478
Verizon New York, Inc.
6.875%, due 04/01/12 Series A..... 325,000 359,670
7.375%, due 04/01/32 Series B...... 155,000 182,629
--------------
8,217,120
--------------
TELECOMMUNICATION SERVICES - WIRELESS - 0.1%
AT&T Wireless Services, Inc.
7.875%, due 03/01/11.............. 260,000 302,515
8.125%, due 05/01/12............... 5,000 5,999
8.750%, due 03/01/31............... 245,000 344,462
Cingular Wireless LLC
6.500%, due 12/15/11.............. 700,000 774,303
Nextel Communications, Inc.
7.375%, due 08/01/15.............. 70,000 75,950
--------------
1,503,229
--------------
See notes to financial statements
125
MET INVESTORS SERIES TRUST
PIMCO TOTAL RETURN PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
------------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
------------------------------------------------------------------
TRANSPORTATION - 0.0%
Norfolk Southern Corp.
5.590%, due 05/17/25................ $ 60,000 $ 62,548
7.800%, due 05/15/27................. 7,000 9,311
5.640%, due 05/17/29................. 168,000 176,283
7.250%, due 02/15/31................. 65,000 83,284
Union Pacific Corp.
6.625%, due 02/01/29................ 50,000 58,725
--------------
390,151
--------------
Total Domestic Bonds & Debt Securities
(Cost $297,144,580) 299,653,349
--------------
FOREIGN BONDS & DEBT SECURITIES - 8.9%
ARUBA - 0.0%
UFJ Finance Aruba AEC
6.750%, due 07/15/13................ 220,000 245,730
--------------
BRAZIL - 0.8%
Federal Republic of Brazil
4.250%, due 04/15/09^............... 848,000 849,696
11.250%, due 07/26/07................ 700,000 784,000
11.500%, due 03/12/08................ 2,140,000 2,468,490
4.312%, due 04/15/09^................ 451,795 447,345
9.230%, due 06/29/09^................ 1,380,000 1,602,525
11.000%, due 01/11/12................ 1,265,000 1,508,512
4.312%, due 04/15/12^................ 3,549,457 3,414,046
8.000%, due 04/15/14................. 3,683,665 3,770,047
11.000%, due 08/17/40................ 825,000 993,506
--------------
15,838,167
--------------
CANADA - 0.0%
Abitibi-Consolidated, Inc.
6.000%, due 06/20/13................ 15,000 13,875
Rogers Wireless, Inc.
6.375%, due 03/01/14................ 435,000 444,787
--------------
458,662
--------------
CAYMAN ISLANDS - 0.0%
Hutchison Whampoa International Ltd.
6.250%, due 01/24/14
(144A)(c)......................... 245,000 263,898
Mizuho Finance 5.790%, due 04/15/14
(144A)(c)........................... 315,000 331,903
--------------
595,801
--------------
COLOMBIA - 0.0%
Republic of Colombia
9.750%, due 04/09/11................ 375,600 430,813
--------------
FRANCE - 0.6%
AXA S.A. 8.600%, due 12/15/30......... 60,000 81,957
France Telecom S.A.
7.750%, due 03/01/11................ 400,000 464,731
8.500%, due 03/01/31................. 165,000 230,765
------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
------------------------------------------------------------
FRANCE - CONTINUED
Republic of France 0.010%, due
09/01/05...................... $ 9,000,000 $ 10,847,814
--------------
11,625,267
--------------
GERMANY - 4.6%
Bundesrepublik Deutschland
0.010%, due 07/13/05.......... 25,000,000 30,223,556
Federal Republic of Germany
5.500%, due 01/04/31.......... 37,300,000 58,778,427
--------------
89,001,983
--------------
HONG KONG - 0.2%
Hong Kong Government 5.125%, due
08/01/14 (144A)(c)............ 4,000,000 4,189,212
--------------
ITALY - 0.0%
Telecom Italia Capital
4.000%, due 11/15/08.......... 270,000 266,129
4.000%, due 01/15/10
(144A)(c).................... 510,000 496,059
--------------
762,188
--------------
KOREA - 0.1%
Industrial Bank of Korea
4.000%, due 05/19/14^
(144A)(c)................... 335,000 325,945
Korea First Bank
7.267%, due 03/03/34^
(144A)(c)................... 240,000 270,217
Woori Bank Korea
5.750%, due 03/13/14^
(144A)(b)................... 305,000 313,187
--------------
909,349
--------------
MEXICO - 0.6%
United Mexican States
6.375%, due 01/16/13.......... 1,185,000 1,275,060
6.625%, due 03/03/15........... 705,000 777,615
8.000%, due 09/24/22........... 1,500,000 1,841,250
11.500%, due 05/15/26.......... 130,000 208,975
8.300%, due 08/15/31........... 5,925,000 7,391,437
--------------
11,494,337
--------------
NETHERLANDS - 0.0%
Deutsche Telekom Finance
5.250%, due 07/22/13.......... 425,000 441,970
8.125%, due 06/15/30........... 50,000 67,909
--------------
509,879
--------------
NORWAY - 0.0%
Den Norske Bank
7.729%, due 06/29/49^
(144A)(b)................... 115,000 134,813
--------------
See notes to financial statements
126
MET INVESTORS SERIES TRUST
PIMCO TOTAL RETURN PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
--------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
--------------------------------------------------------------
PANAMA - 0.2%
Republic of Panama
8.250%, due 04/22/08............. $ 750,000 $ 821,250
9.625%, due 02/08/11............. 1,560,000 1,872,000
9.375%, due 07/23/12............. 410,000 498,150
9.375%, due 01/16/23............. 880,000 1,091,200
--------------
4,282,600
--------------
PERU - 0.3%
Republic of Peru
9.125%, due 01/15/08............. 2,600,000 2,886,000
9.125%, due 02/21/12............. 1,660,000 1,950,500
9.875%, due 02/06/15............. 400,000 497,000
--------------
5,333,500
--------------
RUSSIA - 1.3%
Morgan Stanley (Gazprom) 9.625%,
due 03/01/13 (144A)(c).......... 130,000 160,063
Republic of Ukraine
7.650%, due 06/11/13
(144A)(b)..................... 500,000 552,375
Republic of Ukraine, Series AI
11.000%, due 03/15/07........... 2,568,648 2,714,290
Russian Federation
8.750%, due 07/24/05............. 3,295,000 3,303,897
8.250%, due 03/31/10 (144A)...... 240,000 261,984
11.000%, due 07/24/18............ 100,000 148,890
Russian Federation 5.000%/7.5000%,
due 03/31/30++.................. 15,165,000 16,877,128
Ukraine Republic
6.875%, due 03/04/11............ 200,000 211,210
--------------
24,229,837
--------------
SINGAPORE - 0.0%
United Overseas Bank, Ltd. 5.375%,
due 09/03/19^(144A)(c).......... 470,000 485,093
--------------
SOUTH AFRICA - 0.1%
Republic of South Africa
9.125%, due 05/19/09............ 700,000 813,750
--------------
SWEDEN - 0.0%
Skandinaviska Enskilda Banken
4.958%, due 03/29/49^
(144A)(b)..................... 415,000 414,406
Swedbank Foreningssparbanken
9.000%, due 12/29/49^
(144A)(b)..................... 180,000 212,907
--------------
627,313
--------------
UNITED KINGDOM - 0.1%
BP Capital Markets Plc
2.750%, due 12/29/06............ 380,000 374,058
British Telecom Plc
8.125%, due 12/15/10............ 190,000 225,209
-----------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
-----------------------------------------------------------------
UNITED KINGDOM - CONTINUED
HBOS Capital Funding LP
5.250%, due 06/30/49^
(144A)(c)........................ $ 45,000 $ 48,660
HBOS Plc 5.375%, due 12/29/49
(144A)(c).......................... 285,000 294,385
HBOS Treasury Services Plc 3.600%,
due 08/15/07 (144A)(c)............. 425,000 421,295
Standard Chartered Bank 8.000%,
due 05/30/31 (144A)(b)............. 235,000 321,520
--------------
1,685,127
--------------
Total Foreign Bonds & Debt Securities
(Cost $172,597,407) 173,653,421
--------------
U.S. GOVERNMENT & AGENCY OBLIGATIONS - 86.2%
Federal Home Loan Bank
5.500%, due 07/01/07................ 565,183 573,974
4.500%, due 10/01/07................ 3,666,756 3,685,626
7.000%, due 09/01/10................ 13,792 14,448
6.500%, due 04/01/11................ 131,832 137,164
6.000%, due 05/01/11................ 179,135 185,383
5.500%, due 05/01/14................ 105,358 108,274
6.000%, due 06/01/14................ 129,898 134,396
6.000%, due 10/01/14................ 31,306 32,390
6.000%, due 03/01/15................ 4,860 5,028
5.500%, due 04/01/16................ 76,068 78,142
5.500%, due 09/01/19................ 5,945,693 6,107,885
6.000%, due 03/01/21................ 1,019,411 1,051,901
6.000%, due 01/01/22................ 3,320,176 3,425,994
6.000%, due 10/01/22................ 11,134,170 11,481,485
6.000%, due 12/01/22................ 639,252 659,192
6.000%, due 02/01/23................ 1,339,625 1,381,412
5.500%, due 03/01/23................ 3,236,925 3,306,151
6.000%, due 04/01/23................ 534,289 550,879
4.672%, due 01/01/29^............... 4,433,954 4,566,971
6.500%, due 06/01/29................ 5,559 5,776
5.942%, due 11/01/31^............... 398,938 403,083
5.500%, due 05/01/35................ 59,494,085 60,381,097
--------------
98,276,651
--------------
Federal Home Loan Mortgage Corp.
2.750%, due 02/15/12................ 7,160,126 7,116,318
4.000%, due 12/15/12................ 132,000 131,944
4.000%, due 09/15/16................ 14,777,812 14,772,960
5.000%, due 09/15/16................ 2,146,230 2,167,415
3.500%, due 03/15/17................ 18,699,000 18,621,822
4.500%, due 02/15/18................ 3,509,880 3,508,587
5.000%, due 06/15/18................ 6,395,793 6,415,520
6.500%, due 02/15/19................ 532,634 534,010
6.000%, due 10/15/22................ 179,551 179,637
6.500%, due 10/15/22................ 13,651 13,642
4.625%, due 11/15/23^............... 1,785,916 1,888,582
See notes to financial statements
127
MET INVESTORS SERIES TRUST
PIMCO TOTAL RETURN PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
------------------------------------------------------------
U.S. GOVERNMENT & AGENCY OBLIGATIONS - CONTINUED
6.500%, due 01/15/24........... $ 145,000 $ 156,388
3.820%, due 05/15/29^.......... 883,122 887,823
6.000%, due 12/15/29........... 1,071,321 1,073,824
3.500%, due 07/15/32........... 794,660 782,546
5.213%, due 08/01/32^.......... 3,978,489 4,026,016
3.470%, due 07/15/34^.......... 1,218,770 1,222,434
5.000%, due TBA (a)............ 15,000,000 14,971,875
--------------
78,471,343
--------------
Federal National Mortgage Assoc.
3.319%, due 09/22/06^.......... 36,600,000 36,589,569
6.090%, due 10/01/08........... 477,809 499,233
6.000%, due 11/01/08........... 25,529 26,258
6.500%, due 03/01/09........... 5,580 5,687
4.000%, due 08/25/09........... 8,264,346 8,269,363
5.500%, due 11/01/10........... 380,554 386,145
7.000%, due 04/01/11........... 92,596 97,110
7.000%, due 05/01/11........... 44,323 46,256
4.500%, due 08/25/11........... 26,620,958 26,715,532
8.000%, due 11/01/13........... 51,271 53,393
6.500%, due 12/01/13........... 31,475 32,778
5.000%, due 04/25/14........... 17,850,806 17,890,822
8.000%, due 08/01/14........... 15,727 16,338
6.500%, due 04/01/16........... 350,888 365,524
6.500%, due 06/01/16^.......... 158,354 164,959
6.500%, due 07/01/16........... 450,334 469,118
6.500%, due 08/01/16........... 25,095 26,142
6.000%, due 09/01/16........... 88,956 92,031
6.500%, due 09/01/16........... 154,505 160,950
6.500%, due 10/01/16........... 321,506 334,917
6.500%, due 02/01/17........... 184,752 192,459
6.000%, due 03/01/17........... 348,223 360,274
6.000%, due 04/01/17........... 123,875 128,162
3.500%, due 04/25/17........... 4,945,828 4,921,115
6.000%, due 05/01/17........... 185,920 192,354
6.000%, due 06/01/17........... 138,850 143,655
6.000%, due 07/01/17........... 237,821 246,052
6.500%, due 07/01/17........... 224,365 233,742
6.000%, due 08/01/17........... 122,862 127,114
6.500%, due 10/01/17........... 68,379 71,237
5.500%, due 11/01/17........... 5,926,986 6,090,271
5.000%, due 02/01/18........... 152,429 154,303
5.000%, due 05/01/18........... 19,187 19,423
5.000%, due 07/01/18........... 449,865 455,398
5.000%, due 11/01/18........... 80,035 81,019
5.000%, due 12/01/18........... 781,813 791,428
6.000%, due 12/01/18........... 98,056 101,249
5.000%, due 02/01/19........... 1,382,455 1,399,458
5.000%, due 03/01/19........... 95,464 96,614
5.000%, due 04/01/19........... 924,446 935,584
5.000%, due 06/01/19........... 473,863 479,879
--------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
--------------------------------------------------
U.S. GOVERNMENT & AGENCY OBLIGATIONS - CONTINUED
5.000%, due 07/01/19. $ 1,017,424 $ 1,029,683
5.000%, due 09/01/19. 3,935,887 3,983,309
5.000%, due 10/01/19. 116,512 117,916
5.000%, due 11/01/19. 141,814 143,522
5.000%, due 12/01/19. 558,413 565,210
5.000%, due 01/01/20. 718,480 727,156
5.000%, due 02/01/20. 95,108 96,254
5.000%, due 03/01/20. 202,098 204,542
6.000%, due 06/01/22. 9,634,672 9,930,694
6.000%, due 09/01/22. 2,706,804 2,790,581
6.000%, due 10/01/22. 1,738,426 1,791,838
6.000%, due 01/01/23. 3,028,274 3,121,317
5.500%, due 06/01/23. 4,009,922 4,094,641
8.000%, due 10/01/25. 12,822 13,825
4.568%, due 10/01/28^ 989,822 1,013,930
7.500%, due 09/01/30. 4,102 4,385
6.000%, due 12/25/30. 2,519,030 2,517,672
6.949%, due 02/01/31^ 2,032,639 2,083,723
4.795%, due 09/01/31^ 518,404 534,595
3.660%, due 09/18/31^ 2,997,767 3,018,129
4.214%, due 04/25/32^ 1,196,016 1,219,133
5.567%, due 07/01/32^ 548,803 551,233
5.458%, due 09/01/32^ 1,460,902 1,486,467
5.500%, due 10/01/32. 844,997 857,838
4.814%, due 11/01/32^ 2,145,074 2,182,136
5.500%, due 11/01/32. 1,284,844 1,304,369
5.500%, due 12/01/32. 3,204,006 3,252,694
5.500%, due 01/01/33. 36,367 36,920
5.500%, due 03/01/33. 371,138 376,672
5.500%, due 07/01/33. 512,213 519,850
5.500%, due 08/01/33. 773,496 785,029
6.000%, due 02/01/34. 899,915 923,239
3.360%, due 05/25/34^ 2,134,647 2,129,415
5.500%, due 06/01/34. 14,121,288 14,327,137
5.500%, due 07/01/34. 906,419 919,632
4.998%, due 09/01/34^ 11,895,005 12,048,706
5.227%, due 09/01/34^ 813,308 816,528
6.000%, due 09/01/34. 427,160 438,217
5.500%, due 10/01/34. 6,594,547 6,690,677
5.500%, due 11/01/34. 1,923,569 1,951,609
6.000%, due 11/01/34. 9,265,388 9,505,222
4.821%, due 12/01/34^ 8,112,922 8,203,333
4.845%, due 12/01/34^ 22,207,270 22,459,389
5.500%, due 12/01/34. 1,913,021 1,940,907
5.500%, due 01/01/35. 1,864,610 1,891,791
5.500%, due 02/01/35. 129,020,720 130,901,520
5.500%, due 03/01/35. 27,853,167 28,259,517
5.500%, due 04/01/35. 2,047,776 2,077,667
5.500%, due 05/01/35. 9,485,153 9,623,605
See notes to financial statements
128
MET INVESTORS SERIES TRUST
PIMCO TOTAL RETURN PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
---------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
---------------------------------------------------------------
U.S. GOVERNMENT & AGENCY OBLIGATIONS - CONTINUED
5.500%, due 06/01/35.............. $ 6,993,190 $ 7,095,268
5.015%, due 12/01/36^............. 2,390,026 2,433,415
3.704%, due 08/01/41^............. 13,929,003 14,102,127
3.754%, due 09/01/41^............. 6,612,749 6,746,574
3.704%, due 07/01/42^............. 6,787,988 6,857,067
3.704%, due 08/01/42^............. 5,850,000 5,910,839
3.704%, due 10/01/44.............. 8,600,000 8,689,438
4.000%, due TBA(a)................ 95,000,000 93,070,360
5.000%, due TBA(a)................ 2,000,000 2,014,063
5.500%, due TBA(a)................ 461,100,000 467,440,125
6.000%, due TBA(a)................ 38,500,000 39,462,500
--------------
1,068,748,065
--------------
Federal National Mortgage Assoc.,
REMIC
6.250%, due 10/25/22.............. 257,544 257,265
6.000%, due 06/01/29.............. 90,259 92,776
--------------
350,041
--------------
Government National Mortgage Assoc.
8.250%, due 02/15/09.............. 24,658 25,472
6.000%, due 04/15/14.............. 104,249 108,310
4.375%, due 02/20/22^............. 62,095 63,141
3.375%, due 04/20/22^............. 8,609 8,738
4.375%, due 01/20/23^............. 136,572 138,580
7.000%, due 10/15/23.............. 86,452 92,007
7.500%, due 01/15/26.............. 55,382 59,507
4.125%, due 01/20/26^............. 78,672 80,038
4.375%, due 02/20/26^............. 67,156 68,353
3.375%, due 05/20/26^............. 116,753 118,346
4.125%, due 11/20/26^............. 45,759 46,641
4.375%, due 01/20/27^............. 39,640 40,276
4.375%, due 02/20/27^............. 43,997 44,691
3.375%, due 06/20/27^............. 41,128 41,790
3.750%, due 08/20/27^............. 328,826 334,078
3.500%, due 09/20/27^............. 195,818 197,408
4.125%, due 11/20/27^............. 227,201 231,075
4.250%, due 02/20/28^............. 97,340 98,821
4.250%, due 03/20/28^............. 89,569 90,891
3.375%, due 05/20/28^............. 46,167 46,922
4.125%, due 10/20/28^............. 96,698 97,847
3.375%, due 04/20/29^............. 105,628 106,921
3.875%, due 04/20/29^............. 239,123 243,808
3.375%, due 05/20/29^............. 117,330 119,147
3.500%, due 07/20/29^............. 120,548 121,732
3.500%, due 08/20/29^............. 105,513 106,736
3.500%, due 09/20/29^............. 235,385 237,846
4.125%, due 10/20/29^............. 78,077 79,217
4.250%, due 01/20/30^............. 393,404 399,316
3.375%, due 04/20/30^............. 273,783 278,425
3.375%, due 05/20/30^............. 368,525 374,769
--------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
--------------------------------------------------------------
U.S. GOVERNMENT & AGENCY OBLIGATIONS - CONTINUED
3.375%, due 06/20/30^............ $ 148,854 $ 151,106
4.125%, due 10/20/30^............ 27,854 28,233
4.125%, due 11/20/30^............ 453,719 459,712
4.125%, due 12/20/30^............ 12,934 13,111
7.500%, due 04/15/31............. 6,330,097 7,119,913
3.375%, due 04/20/31^............ 318,900 323,847
3.500%, due 08/20/31^............ 51,917 52,439
4.500%, due 10/20/31^............ 14,955 15,376
3.750%, due 03/20/32^............ 8,099 8,164
3.375%, due 04/20/32^............ 30,299 30,785
3.500%, due 04/20/32^............ 100,437 102,357
3.375%, due 05/20/32^............ 397,898 402,981
4.000%, due 07/20/32^............ 75,444 76,816
4.000%, due 03/20/33^............ 97,544 98,531
3.500%, due 09/20/33^............ 892,417 897,858
6.000%, due TBA(a)............... 4,000,000 4,126,248
--------------
18,008,326
--------------
Government National Mortgage
Assoc., REMIC
3.736%, due 02/16/30^............ 92,676 93,569
3.536%, due 01/16/31^............ 395,360 396,956
--------------
490,525
--------------
U.S. Treasury Bond
8.750%, due 05/15/17............. 34,200,000 49,115,749
7.875%, due 02/15/21............. 5,400,000 7,645,433
8.125%, due 05/15/21............. 14,800,000 21,432,842
6.125%, due 11/15/27............. 875,000 1,105,303
5.375%, due 02/15/31............. 3,565,000 4,207,816
--------------
83,507,143
--------------
U.S. Treasury Inflation Index Note
3.625%, due 01/15/08............. 15,648,620 16,563,705
3.875%, due 01/15/09............. 474,212 516,132
1.875%, due 07/15/13............. 7,727,780 7,895,318
2.000%, due 07/15/14............. 30,221,779 31,150,887
--------------
56,126,042
--------------
U.S. Treasury Note
2.500%, due 10/31/06............. 13,000,000 12,819,222
3.000%, due 12/31/06............. 24,000,000 23,787,192
4.250%, due 11/15/13............. 7,900,000 8,095,343
4.750%, due 05/15/14............. 25,000,000 25,957,025
4.250%, due 11/15/14............. 7,745,000 7,929,254
4.125%, due 05/15/15............. 37,500,000 38,059,575
4.875%, due 02/15/12............. 237,500,000 252,306,700
--------------
368,954,311
--------------
Total U.S. Government & Agency
Obligations (Cost $1,766,835,701) 1,772,932,447
--------------
See notes to financial statements
129
MET INVESTORS SERIES TRUST
PIMCO TOTAL RETURN PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
------------------------------------------------------------
SECURITY SHARES/PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
------------------------------------------------------------
PREFERRED STOCK - 0.2%
Federal National Mortgage
Assoc. 7.00%*^................ 41,900 $ 2,324,143
Home Ownership Funding
13.331%/1.000% +++
(144A)(b)................... 2,500 848,906
--------------
Total Preferred Stock
(Cost $3,106,000) 3,173,049
--------------
RIGHTS - 0.0%
FOREIGN GOVERNMENT - 0.0%
United Mexican States,
1.000%, due 06/30/06*(e)....... 1,500,000 38,625
1.000%, due 06/30/07*(e)
(Cost $0).................... 1,500,000 36,000
--------------
74,625
--------------
SHORT-TERM INVESTMENTS - 16.4%
U.S. GOVERNMENT & AGENCY DISCOUNT NOTES - 3.2%
Federal National Mortgage Assoc.
2.930%, due 07/06/05+.......... $ 1,200,000 1,199,508
3.250%, due 09/14/05+.......... 52,400,000 52,044,117
U.S. Treasury Bill..............
3.150%, due 09/01/05+.......... 500,000 497,437
3.030%, due 09/15/05+.......... 460,000 457,058
3.240%, due 09/15/05+.......... 7,945,000 7,894,875
--------------
62,092,995
--------------
COMMERCIAL PAPER - 12.1%
Danske Corp. 3.085%, due
07/28/05...................... 55,000,000 54,872,744
Rabobank USA Financial Corp.
3.370%, due 07/01/05........... 5,700,000 5,700,000
3.150%, due 08/08/05........... 52,500,000 52,325,437
Skandinaviska Enskilda Banken
3.030%, due 07/11/05
(144A)(c).................... 6,300,000 6,294,697
3.030%, due 07/13/05
(144A)(c).................... 300,000 299,697
3.310%, due 09/13/05
(144A)(c).................... 800,000 794,557
TotalFinaElf S.A.
3.370%, due 07/01/05
(144A)(c).................... 4,900,000 4,900,000
3.105%, due 07/11/05
(144A)(c).................... 52,600,000 52,554,633
UBS Finance, Inc.
3.105%, due 07/11/05........... 100,000 99,914
2.975%, due 07/14/05........... 50,600,000 50,545,640
3.165%, due 08/30/05........... 7,300,000 7,261,492
--------------
235,648,811
--------------
-----------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
-----------------------------------------------------------------
REPURCHASE AGREEMENTS - 1.1%
Credit Suisse First Boston Corp.,
Repurchase Agreement, dated
06/30/05 at 2.700% to be
repurchased at $19,001,425 on
07/01/05 collateralized by
$19,039,000 U.S. Treasury Note
4.00% due 05/06/30 with a value of
$19,484,290....................... $ 19,000,000 $ 19,000,000
State Street Bank & Trust Co.,
Repurchase Agreement, dated
06/30/05 at 1.250% to be
repurchased at $3,044,106 on
07/01/05 collateralized by
$3,085,000 FNMA 3.785% due
03/15/07 with a value of
$3,108,138........................ 3,044,000 3,044,000
--------------
22,044,000
--------------
Total Short-Term Investments
(Cost $319,786,542) 319,785,806
--------------
OPTIONS - 0.0%
Eurodollar Puts, Expire 09/19/05.... 50,000 0
Eurodollar Puts, Expire 12/19/05.... 8,555,000 0
Swaption Calls, Expire 06/02/06..... 7,000,000 218,484
U.S. Treasury Bond Futures Calls,
Expire 08/26/05................... 83,000 158,219
--------------
Total Options (Cost $340,291)....... 376,703
--------------
TOTAL INVESTMENTS - 134.1%
(Cost $2,601,279,517) 2,613,538,551
Other Assets and Liabilities (net) - (34.1%) (664,173,832)
--------------
TOTAL NET ASSETS - 100.0% $1,949,364,719
==============
See notes to financial statements
130
MET INVESTORS SERIES TRUST
PIMCO TOTAL RETURN PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
PORTFOLIO FOOTNOTES:
* Non-income producing security.
^ Variable or floating rate security. The stated rate represents the rate at
June 30, 2005
+ Zero coupon bond - Interest rate represents current yield to maturity.
++ Security is a "step-up" bond where coupon increases or steps up at a
predetermined date. Rates shown are current coupon and next coupon rate when
security steps up.
+++ Security is a "step-down" bond where coupon decreases or steps down at a
predetermined date. Rates shown are current coupon and next coupon rate
when security steps down.
(a) Settlement is on a delayed delivery or when-issued basis with final
maturity to be announced (TBA) in the future.
(b) Securities that may be resold to "qualified institutional buyers" under
Rule 144A or securities offered pursuant to Section 4(2) of the Securities
Act of 1933, as amended. These securities have been determined to be
illiquid by the Portfolio's adviser. These securities represent in the
aggregate 0.27% of net assets.
(c) Securities that may be resold to "qualified institutional buyers" under
Rule 144A or securities offered pursuant to Section 4(2) of the Securities
Act of 1933, as amended. These securities have been determined to be liquid
under guidelines established by the Board of Trustees.
(d) Security is in default.
(e) Illiquid securities representing in the aggregate 0.00% of net assets.
AMBAC - Ambac Indemnity Corporation
FGIC - Financial Guaranty Insurance Corporation
MBIA - Municipal Bond Insurance Association
REMIC - Real Estate Mortgage Investment Conduit
FNMA - Federal National Mortgage Association
The adviser considers liquid securities as coverage for open derivatives.
The following table summarizes the portfolio composition of the Portfolio's
holdings at June 30, 2005 based upon quality ratings issued by Standard &
Poor's. For securities not rated by Standard & Poor's, the Moody's rating is
used.
PERCENT OF
PORTFOLIO
PORTFOLIO COMPOSITION BY CREDIT QUALITY (UNAUDITED)
---------------------------------------------------
AAA/Government/Government Agency 81.74%
AA 2.17
A 11.05
BBB 2.97
BB 1.68
B 0.26
Below B 0.13
------
Total: 100.00%
======
STRIKE NUMBER OF
PUT OPTIONS EXPIRATION PRICE CONTRACTS VALUE
---------------------------------------------------------------------------
OTC 3 Month LIBOR
Interest Rate Swap 09/23/2005 $ 6.00 (19,900,000) $ (40)
OTC 3 Month LIBOR
Interest Rate Swap 09/23/2005 7.00 (23,200,000) --
------------
(Written Option
Premium $1,031,890) $ (40)
============
STRIKE NUMBER OF
CALL OPTIONS EXPIRATION PRICE CONTRACTS VALUE
---------------------------------------------------------------------------
U.S. Treasury Note 10YR
Future 08/26/2005 $ 114.00 (151,000) $ (99,094)
U.S. Treasury Note 10YR
Future 08/26/2005 116.00 (704,000) (99,000)
Swap Option 3 Month
Libor 09/23/2005 4.00 (95,300,000) (328,594)
Swap Option 3 Month
Libor 06/02/2006 4.00 (16,400,000) (191,421)
------------
(Written Option
Premium $2,247,123) $ (718,109)
============
INTEREST
SECURITIES SOLD SHORT RATE MATURITY PROCEEDS VALUE
---------------------------------------------------------------------------
U.S. Treasury Note 3.25% 08/15/2007 $ 28,789,730 $ 28,774,583
U.S. Treasury Note 3.00% 11/15/2007 29,506,572 29,573,460
U.S. Treasury Note 4.00% 11/15/2012 27,676,238 28,019,215
U.S. Treasury Note 3.88% 02/15/2013 7,322,915 7,311,125
U.S. Treasury Note 3.63% 05/15/2013 63,939,572 64,093,877
U.S. Treasury Note 4.75% 05/15/2014 25,510,784 25,960,950
U.S. Treasury Note 4.25% 08/15/2014 16,566,714 16,797,192
Federal National
Mortgage Assoc. 4.00% TBA 92,147,188 92,951,610
------------ ------------
$291,449,713 $293,482,012
============ ============
See notes to financial statements
131
MET INVESTORS SERIES TRUST
MET/PUTNAM CAPITAL OPPORTUNITIES PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
-------------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
-------------------------------------------------------------------
COMMON STOCKS - 98.0%
AEROSPACE & DEFENSE - 0.1%
AAR Corp.*..................................... 1,926 $ 30,257
Triumph Group, Inc.*........................... 623 21,656
------------
51,913
------------
AIR FREIGHT & LOGISTICS - 0.1%
ABX Air, Inc.*(a).............................. 4,458 36,333
------------
AIRLINES - 0.7%
Alaska Air Group, Inc.*........................ 4,059 120,755
ExpressJet Holdings, Inc.*..................... 19,563 166,481
World Air Holdings, Inc.*...................... 1,697 19,889
------------
307,125
------------
AUTO COMPONENTS - 2.5%
BorgWarner, Inc................................ 8,604 461,777
Noble International Ltd.(a).................... 1,213 28,566
TBC Corp.*..................................... 824 22,355
Tenneco Automotive, Inc.*...................... 35,090 583,897
Titan International, Inc.(a)................... 2,359 32,979
------------
1,129,574
------------
AUTOMOBILES - 3.5%
Autoliv, Inc................................... 21,400 937,320
Winnebago Industries, Inc.(a).................. 20,698 677,859
------------
1,615,179
------------
BANKS - 1.4%
Anchor BanCorp Wisconsin, Inc.(a).............. 1,761 53,288
Center Financial Corp.(a)...................... 461 11,447
City Holding Co................................ 1,148 41,925
First Regional Bancorp.*(a).................... 122 8,070
Independent Bank Corp.(a)...................... 1,355 38,536
IndyMac Bancorp, Inc........................... 4,300 175,139
Lakeland Financial Corp.(a).................... 100 4,068
Provident Financial Holdings, Inc.............. 402 11,300
R&G Financial Corp. - Class B.................. 14,569 257,726
Republic Bancorp, Inc. - Class A(a)............ 374 8,120
Southwest Bancorp, Inc......................... 799 16,363
------------
625,982
------------
BIOTECHNOLOGY - 0.1%
ArQule, Inc.*(a)............................... 2,208 14,308
Charles River Laboratories International, Inc.* 158 7,624
Diversa Corp.*(a).............................. 3,550 18,495
------------
40,427
------------
BUILDING PRODUCTS - 0.7%
Huttig Building Producs, Inc.*................. 1,808 19,725
Louisiana-Pacific Corp......................... 10,300 253,174
Universal Forest Products, Inc................. 1,503 62,300
------------
335,199
------------
COMMERCIAL SERVICES & SUPPLIES - 4.4%
Administaff, Inc.(a)........................... 24,110 572,854
CCC Information Services Group, Inc.*.......... 785 18,801
---------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
---------------------------------------------------------------
COMMERCIAL SERVICES & SUPPLIES - CONTINUED
Consolidated Graphics, Inc.*.............. 2,373 $ 96,747
Darling International, Inc.*.............. 4,064 15,240
Education Management Corp.*............... 5,500 185,515
Labor Ready, Inc.*........................ 10,243 238,764
NCO Group, Inc.*.......................... 993 21,479
Rent-A-Center, Inc.*...................... 28,150 655,613
Spherion Corp.*........................... 2,300 15,180
StarTek, Inc.(a).......................... 1,900 31,198
Steelcase, Inc. - Class A(a).............. 6,930 95,981
TeleTech Holdings, Inc.*.................. 7,483 60,986
------------
2,008,358
------------
COMMUNICATIONS EQUIPMENT - 1.4%
Brocade Communications Systems, Inc.*(a).. 143,833 558,072
Methode Electronics, Inc.................. 3,744 44,441
NETGEAR, Inc.*(a)......................... 556 10,342
Redback Networks, Inc.*................... 5,997 38,261
------------
651,116
------------
COMMUNICATIONS EQUIPMENT & SERVICES - 0.2%
Commonwealth Telephone Enterprises, Inc... 2,006 84,071
------------
COMPUTERS & PERIPHERALS - 3.9%
Catapult Communications Corp.*............ 2,243 38,266
Emulex Corp.*............................. 40,589 741,155
MTS Sytem Corp............................ 700 23,506
Storage Technology Corp.*................. 24,951 905,472
Systemax, Inc.*........................... 2,477 16,645
TTM Technologies, Inc.*(a)................ 7,120 54,183
------------
1,779,227
------------
CONSTRUCTION & ENGINEERING - 0.1%
Perini Corp.*(a).......................... 2,964 48,669
------------
CONSTRUCTION MATERIALS - 1.2%
Eagle Materials, Inc.(a).................. 5,872 543,688
------------
CONTAINERS & PACKAGING - 0.3%
Graphic Packaging Corp.*(a)............... 2,629 9,596
Greif, Inc. - Class A(a).................. 2,417 147,679
------------
157,275
------------
ELECTRIC SERVICES - 0.4%
Alliant Energy Corp....................... 574 16,158
Black Hills Corp.......................... 4,198 154,697
Puget Energy, Inc......................... 424 9,913
------------
180,768
------------
ELECTRIC UTILITIES - 2.7%
CMS Energy Corp.*(a)...................... 82,441 1,241,561
------------
ELECTRONIC EQUIPMENT & INSTRUMENTS - 0.8%
Analogic Corp............................. 2,058 103,558
Checkpoint Systems, Inc.*................. 3,300 58,410
Encore Wire Corp.*(a)..................... 4,004 46,406
FEI Co.*(a)............................... 568 12,956
See notes to financial statements
132
MET INVESTORS SERIES TRUST
MET/PUTNAM CAPITAL OPPORTUNITIES PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
------------------------------------------------------------
ELECTRONIC EQUIPMENT & INSTRUMENTS - CONTINUED
OmniVision Technologies, Inc.*(a)....... 5,857 $ 79,597
Sigmatel, Inc.*(a)...................... 3,118 53,505
Stoneridge, Inc.*....................... 2,270 14,982
------------
369,414
------------
ENERGY EQUIPMENT & SERVICES - 0.2%
Energen Corp............................ 198 6,940
TransMontaigne, Inc.*(a)................ 6,669 70,024
------------
76,964
------------
FINANCIAL SERVICES - 6.2%
Accredited Home Lenders Holding Co.*(a). 7,640 336,160
Affiliated Managers Group, Inc.*(a)..... 12,446 850,435
Asset Acceptance Capital Corp.*......... 1,632 42,285
ASTA Funding, Inc.(a)................... 1,130 31,392
Calamos Asset Management, Inc. - Class A 1,604 43,693
CompuCredit Corp.*(a)................... 9,000 308,520
Delphi Financial Group, Inc............. 3,150 139,073
Doral Financial Corp.(a)................ 8,071 133,494
Firstfed Financial Corp.*............... 12,206 727,600
Student Loan Corp....................... 13 2,857
Triad Guaranty, Inc.*................... 788 39,707
Westcorp................................ 2,500 131,050
World Acceptance Corp.*................. 2,260 67,913
------------
2,854,179
------------
FOOD PRODUCTS - 0.0%
Andersons, Inc.(The).................... 241 8,630
------------
FOOD RETAILERS - 0.7%
Ingles Markets, Inc.(a)................. 884 12,172
Nash Finch Co.(a)....................... 8,897 326,876
------------
339,048
------------
HEALTH CARE EQUIPMENT & SUPPLIES - 2.0%
Alliance Imaging, Inc.*(a).............. 2,163 22,625
American Medical Systems Holdings, Inc.* 16,000 330,400
Candela Corp.*(a)....................... 964 10,074
Cantel Medical Corp.*(a)................ 729 11,926
EPIX Pharmaceuticals, Inc.*(a).......... 4,900 43,365
Medical Action Industries, Inc.*........ 556 9,925
Respironics, Inc.*...................... 13,644 492,685
------------
921,000
------------
HEALTH CARE PROVIDERS & SERVICES - 3.7%
Alderwoods Group, Inc.*................. 5,933 85,257
American Dental Partners, Inc.*(a)...... 465 11,351
AMN Healthcare Services, Inc.*(a)....... 4,680 70,340
Genesis HealthCare Corp.*(a)............ 5,005 231,631
Geo Group, Inc. (The)*.................. 1,869 46,819
Manor Care, Inc......................... 27,400 1,088,602
OCA, Inc.*(a)........................... 1,000 1,880
Odyssey Healthcare, Inc.*(a)............ 2,826 40,751
Shopko Stores, Inc.*.................... 4,900 119,119
------------
1,695,750
------------
-------------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
-------------------------------------------------------------------
HOTELS, RESTAURANTS & LEISURE - 0.3%
Denny's Corp.*(a)............................. 10,431 $ 52,155
Dover Downs Gaming & Entertainment, Inc.(a)... 1,000 13,260
Luby's, Inc.*................................. 3,033 36,244
MTR Gaming Group, Inc.*....................... 3,396 39,530
------------
141,189
------------
HOUSEHOLD DURABLES - 0.2%
Blount International, Inc.*................... 1,824 30,443
Hooker Furniture Corp......................... 200 3,494
Kimball International, Inc. - Class B......... 1,603 21,160
Select Comfort Corp.*(a)...................... 1,136 24,344
------------
79,441
------------
HOUSEHOLD PRODUCTS - 0.3%
Blyth, Inc.................................... 4,398 123,364
------------
INSURANCE - 7.9%
Affirmative Insurance Holdings, Inc.(a)....... 1,121 17,768
American Equity Investment Life Holding Co.(a) 12,205 144,995
American Physicians Capital, Inc.*............ 1,307 48,555
Amerus Group Co.(a)........................... 19,517 937,792
Bristol West Holdings, Inc.................... 1,216 22,253
CNA Surety Corp.*............................. 700 10,395
Commerce Group, Inc. (The).................... 3,147 195,460
Direct General Corp.(a)....................... 1,657 30,837
FPIC Insurance Group, Inc.*(a)................ 265 7,772
HCC Insurance Holdings, Inc................... 16,388 620,614
Infinity Property & Casualty Corp............. 2,342 81,689
IPC Holdings, Ltd............................. 98 3,883
Midland Co. (The)............................. 700 24,633
National Interstate Corp.*.................... 607 12,182
Presidential Life Corp........................ 200 3,422
Radian Group, Inc............................. 11,330 535,003
StanCorp Financial Group, Inc................. 2,100 160,818
United Fire & Casualty Co..................... 1,500 66,630
W.R. Berkley Corp............................. 16,629 593,323
Zenith National Insurance Corp................ 1,899 128,866
------------
3,646,890
------------
INTERNET SOFTWARE & SERVICES - 5.3%
Acxiom Corp................................... 19,506 407,285
Blair Corp.................................... 724 28,598
EarthLink, Inc.*.............................. 103,042 892,344
John H. Harland Co............................ 4,849 184,262
Sabre Holdings Corp. - Class A................ 32,700 652,365
SonicWALL, Inc.*.............................. 7,127 38,415
United Online, Inc.(a)........................ 19,200 208,512
------------
2,411,781
------------
IT CONSULTING & SERVICES - 0.1%
Agilysys, Inc.(a)............................. 1,368 21,478
Tyler Technologies, Inc.*(a).................. 3,700 27,972
------------
49,450
------------
See notes to financial statements
133
MET INVESTORS SERIES TRUST
MET/PUTNAM CAPITAL OPPORTUNITIES PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
---------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
---------------------------------------------------------------
LEISURE EQUIPMENT & PRODUCTS - 1.2%
Arctic Cat, Inc........................... 3,051 $ 62,637
Hasbro, Inc............................... 18,797 390,790
JAKKS Pacific, Inc.*(a)................... 1,876 36,038
Marine Products Corp.(a).................. 871 12,673
Maritrans, Inc.(a)........................ 1,623 43,902
-------------
546,040
-------------
MACHINERY - 3.7%
Advanced Energy Industries, Inc.*(a)...... 1,791 14,077
Albany International Corp. - Class A...... 11,190 359,311
Applied Industrial Technologies, Inc...... 2,268 73,234
Cascade Corp.............................. 1,941 83,948
Terex Corp.*.............................. 29,803 1,174,238
-------------
1,704,808
-------------
MEDIA - 1.1%
Catalina Marketing Corp................... 16,362 415,759
Hollinger International, Inc. - Class A(a) 7,817 78,248
-------------
494,007
-------------
METALS & MINING - 4.3%
A. M. Castle & Co.*....................... 2,772 42,855
AK Steel Holding Corp.*(a)................ 69,994 448,662
Brush Engineered Materials, Inc.*(a)...... 4,265 60,819
Mueller Industries, Inc................... 1,300 35,230
NS Group, Inc.*(a)........................ 294 9,558
Reliance Steel & Aluminum Co.............. 14,622 542,037
Shiloh Industries, Inc.*(a)............... 756 9,261
Steel Dynamics, Inc.(a)................... 32,355 849,319
-------------
1,997,741
-------------
OIL & GAS - 6.2%
Atwood Oceanics, Inc.*.................... 574 35,335
Cabot Oil & Gas Corp...................... 523 18,148
Callon Petroleum Co.*(a).................. 2,927 43,261
Denbury Resource, Inc.*................... 15,187 603,987
Georgia Gulf Corp.(a)..................... 22,041 684,373
Giant Industries, Inc.*(a)................ 12,400 446,400
Harvest Natural Resources, Inc.*(a)....... 1,759 19,226
Parker Drilling Co.*(a)................... 16,200 113,562
Petroleum Development Corp.*.............. 2,314 73,701
Vintage Petroleum, Inc.................... 19,300 588,071
WGL Holdings, Inc......................... 7,100 238,844
-------------
2,864,908
-------------
PERSONAL PRODUCTS - 0.6%
Nu Skin Enterprises, Inc. - Class A....... 11,092 258,444
-------------
PHARMACEUTICALS - 0.8%
Able Laboratories, Inc.*(a)............... 8,758 30,478
Albany Molecular Research, Inc.*.......... 3,700 51,800
Connetics Corp.*.......................... 2,500 44,100
Enzon Pharmaceuticals, Inc.*.............. 3,899 25,265
Regeneron Pharmaceuticals, Inc.*(a)....... 8,863 74,361
Savient Pharmaceuticals, Inc.*(a)......... 12,000 52,920
Telik, Inc.*(a)........................... 4,100 66,666
-------------
345,590
-------------
-------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
-------------------------------------------------------------
REAL ESTATE - 7.3%
Boykin Lodging Co.*(a)(REIT)............ 3,018 $ 40,441
Capital Automotive Reit (REIT).......... 14,827 565,947
CBL & Associates Properties, Inc. (REIT) 7,142 307,606
Cedar Shopping Centers, Inc. (REIT)..... 1,100 16,225
Equity Inns, Inc. (REIT)................ 7,100 94,430
Innkeepers USA Trust (REIT)............. 2,400 35,856
LTC Properties, Inc. (REIT)............. 3,914 81,020
Mills Corp.(REIT)....................... 6,200 376,898
National Health Investors, Inc. (REIT).. 13,798 387,310
New Century Financial Corp.(a)(REIT).... 4,347 223,653
Newcastle Investment Corp.(a)(REIT)..... 3,853 116,168
Novastar Financial, Inc.(a)(REIT)....... 2,004 78,457
OMEGA Healthcare Investors, Inc. (REIT). 8,416 108,230
RAIT Investment Trust(a)(REIT).......... 10,233 306,478
Redwood Trust, Inc.(a)(REIT)............ 11,739 605,732
-------------
3,344,451
-------------
RETAIL - SPECIALTY - 9.2%
Borders Group, Inc...................... 10,105 255,758
Cato Corp. (The) - Class A.............. 6,400 132,160
CSK Auto Corp.*......................... 2,796 46,637
CSS Industries, Inc.(a)................. 747 25,278
Payless ShoeSource, Inc.*............... 14,605 280,416
Stride Rite Corp. (The)................. 2,101 28,973
SUPERVALU, Inc.......................... 32,197 1,049,944
Timberland Co. (The) - Class A*......... 26,597 1,029,836
Too, Inc.*.............................. 22,754 531,761
Trans World Entertainment Corp.*........ 3,641 43,073
Yankee Candle Co., Inc.................. 24,764 794,924
-------------
4,218,760
-------------
ROAD & RAIL - 0.2%
Arkansas Best Corp...................... 2,932 93,267
RailAmerica, Inc.*...................... 1,915 22,788
-------------
116,055
-------------
SEMICONDUCTOR EQUIPMENT & PRODUCTS - 0.4%
ADE Corp.*(a)........................... 1,932 54,192
IXYS Corp.*............................. 4,705 66,717
TriQuint Semiconductor, Inc.*........... 23,100 76,923
-------------
197,832
-------------
SOFTWARE - 8.1%
Ansoft Corp.*........................... 1,002 24,208
Atari, Inc.*(a)......................... 9,200 25,576
Blackboard, Inc.*(a).................... 2,335 55,853
BMC Software, Inc.*..................... 70,271 1,261,365
Cerner Corp.*(a)........................ 9,700 659,309
Citrix Systems, Inc.*................... 41,896 907,468
EPIQ Systems, Inc.*(a).................. 2,895 47,362
Hyperion Solutions Corp.*............... 9,796 394,191
See notes to financial statements
134
MET INVESTORS SERIES TRUST
MET/PUTNAM CAPITAL OPPORTUNITIES PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
----------------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
----------------------------------------------------------------------
SOFTWARE - CONTINUED
Inter-Tel, Inc.(a)............................. 7,906 $ 147,131
Magma Design Automation, Inc.*(a).............. 992 8,293
ManTech International Corp. - Class A*......... 1,075 33,368
SPSS, Inc.*.................................... 2,068 39,726
Transaction Systems Architects, Inc. - Class A* 5,600 137,928
-------------
3,741,778
-------------
TELECOMMUNICATION SERVICES - DIVERSIFIED - 1.5%
Intrado, Inc.*(a).............................. 2,887 43,189
MasTec, Inc.*(a)............................... 2,331 20,513
Premiere Global Services, Inc.*................ 46,251 522,174
TALK America Holdings, Inc.*(a)................ 5,546 55,515
US Unwired, Inc.*.............................. 4,547 26,464
-------------
667,855
-------------
TEXTILES, APPAREL & LUXURY GOODS - 1.9%
Tommy Hilfiger Corp.*.......................... 14,298 196,740
UniFirst Corp.(a).............................. 600 24,324
Wolverine World Wide, Inc...................... 27,250 654,273
-------------
875,337
-------------
TRANSPORTATION - 0.1%
Hub Group, Inc. - Class A*..................... 1,985 49,724
-------------
Total Common Stocks
(Cost $41,295,160) 44,976,895
-------------
MUTUAL FUNDS - 1.3%
iShares Russell 2000 Index Fund(a)............. 7,890 502,593
SPDR Trust Series Fund(a)...................... 980 116,796
-------------
Total Mutual Funds
(Cost $609,653) 619,389
-------------
-----------------------------------------------------------------------
SHARES/PAR VALUE
SECURITY DESCRIPTION AMOUNT (NOTE 2)
-----------------------------------------------------------------------
SHORT-TERM INVESTMENTS - 25.9%
State Street Bank & Trust Co., Repurchase
Agreement, dated 06/30/05 at 0.90% to
be repurchased at $217,005 on
07/01/05 collateralized by $220,000
FHLMC 4.500% due 11/15/11 with a
value of $221,650......................... $ 217,000 $ 217,000
State Street Navigator Securities Lending
Prime Portfolio(b)........................ 11,656,815 11,656,815
-------------
Total Short-Term Investments
(Cost $11,873,815) 11,873,815
-------------
TOTAL INVESTMENTS - 125.2%
(Cost $53,778,628) 57,470,099
Other Assets and Liabilities (net) - (25.2%) (11,572,757)
-------------
TOTAL NET ASSETS - 100.0% $ 45,897,342
=============
PORTFOLIO FOOTNOTES:
* Non-income producing security.
(a) All or a portion of security out on loan.
(b) Represents investment of collateral received from securities lending
transactions.
REIT - Real Estate Investment Trust
FHLMC - Federal Home Loan Mortgage Corp.
See notes to financial statements
135
MET INVESTORS SERIES TRUST
RCM GLOBAL TECHNOLOGY PORTFOLIO
PORTFOLIO OF INVESTMENTS
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
------------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
------------------------------------------------------------------
COMMON STOCKS - 93.7%
BIOTECHNOLOGY - 1.6%
Affymetrix, Inc.*(a)...................... 60,344 $ 3,254,352
-------------
COMMUNICATIONS EQUIPMENT - 12.2%
Comverse Technology, Inc.*................ 163,870 3,875,525
Corning, Inc.*............................ 310,020 5,152,532
F5 Networks, Inc.*(a)..................... 45,120 2,131,243
Juniper Networks, Inc.*................... 230,410 5,801,724
Motorola, Inc............................. 221,100 4,037,286
Nokia Oyj (ADR)........................... 222,590 3,703,898
-------------
24,702,208
-------------
COMPUTERS & PERIPHERALS - 8.7%
Apple Computer, Inc.*..................... 44,380 1,633,628
Hewlett-Packard Co........................ 209,780 4,931,928
NCR Corp.*................................ 169,790 5,963,025
Network Appliance, Inc.*.................. 9,920 280,438
SanDisk Corp.*(a)......................... 200,610 4,760,475
-------------
17,569,494
-------------
ELECTRONIC EQUIPMENT & INSTRUMENTS - 3.2%
Broadcom Corp. - Class A*................. 142,700 5,067,277
Samsung Elecronics Co., Ltd.*(GDR)........ 5,840 1,397,220
-------------
6,464,497
-------------
HEALTH CARE PROVIDERS & SERVICES - 2.9%
IVAX Corp.*............................... 142,650 3,066,975
Pacificare Health Systems, Inc.*(a)....... 1,630 116,464
Wellpoint, Inc.*.......................... 39,210 2,730,584
-------------
5,914,023
-------------
INDUSTRIAL - DIVERSIFIED - 2.3%
Tyco International, Ltd................... 1,440 42,048
United Technologies Corp.................. 89,560 4,598,906
-------------
4,640,954
-------------
INTERNET SOFTWARE & SERVICES - 23.4%
Ctrip.com International, Ltd. (ADR)(a).... 47,870 2,435,626
Google, Inc.*............................. 34,580 10,171,707
Monster Worldwide, Inc.*.................. 111,670 3,202,695
Netease.com, Inc. (ADR)*(a)............... 5,570 318,103
Shanda Interactive Entertainment, Ltd.*(a) 181,900 6,692,101
Softbank Corp............................. 2,200 85,785
Tencent Holdings, Ltd..................... 3,758,000 2,833,782
Trend Micro, Inc.......................... 500 17,672
VeriSign, Inc.*........................... 302,900 8,711,404
Yahoo!, Inc.*............................. 371,420 12,869,703
-------------
47,338,578
-------------
IT CONSULTING & SERVICES - 2.5%
Cognizant Technology Solutions Corp.*..... 44,690 2,106,240
Infosys Technologies, Ltd. (ADR)(a)....... 30,270 2,345,017
Telvent GIT, S.A.*(a)..................... 61,630 634,789
-------------
5,086,046
-------------
------------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
------------------------------------------------------------------
MEDIA - 0.4%
Usen Corp................................. 24,500 $ 643,485
XM Satelite Radio Holdings,
Inc. - Class A*(a)...................... 5,730 192,872
-------------
836,357
-------------
OIL & GAS - 2.8%
Cooper Cameron Corp.*..................... 6,580 408,289
Diamond Offshore Drilling, Inc.(a)........ 19,220 1,026,925
Halliburton Co............................ 43,850 2,096,907
Nabors Industries, Ltd.*.................. 1,010 61,226
National-Oilwell, Inc.*................... 910 43,261
Schlumberger, Ltd......................... 5,300 402,482
Smith International, Inc.................. 5,860 373,282
Transocean, Inc.*......................... 18,610 1,004,382
Weatherford International, Ltd.*.......... 2,680 155,386
-------------
5,572,140
-------------
SEMICONDUCTOR EQUIPMENT & PRODUCTS - 14.0%
Chartered Semiconductor Manufacturing
Ltd..................................... 5,112,000 3,997,299
Chartered Semiconductor Manufacturing Ltd.
(ADR)*.................................. 18,400 141,496
Cypress Semiconductor Corp.*(a)........... 258,700 3,257,033
Intel Corp................................ 1,530 39,872
International Rectifier Corp.*(a)......... 42,950 2,049,574
Marvell Technology Group, Ltd.*........... 142,960 5,438,198
Microchip Technology, Inc................. 68,900 2,040,818
National Semiconductor Corp............... 222,200 4,895,066
Taiwan Semiconductor Manufacturing Co.,
Ltd. (ADR).............................. 552,270 5,036,705
Tessera Technologies, Inc.*(a)............ 43,750 1,461,688
-------------
28,357,749
-------------
SOFTWARE - 16.5%
Autodesk, Inc............................. 168,400 5,787,908
EMC Corp.*................................ 502,290 6,886,396
Intuit, Inc.*............................. 65,260 2,943,879
Macromedia, Inc.*......................... 1,920 73,382
McAfee, Inc.*............................. 4,000 104,720
Nintendo Co., Ltd......................... 900 93,752
Oracle Corp.*............................. 613,070 8,092,524
Red Hat, Inc.*(a)......................... 516,940 6,771,914
Symantec Corp.*........................... 117,900 2,563,146
-------------
33,317,621
-------------
TELECOMMUNICATION SERVICES - DIVERSIFIED - 3.2%
NeuStar Inc.*............................. 35,100 772,200
Nextel Partners, Inc. - Class A*(a)....... 224,600 5,653,182
-------------
6,425,382
-------------
Total Common Stocks (Cost $178,409,576) 189,479,401
-------------
See notes to financial statements
136
MET INVESTORS SERIES TRUST
RCM GLOBAL TECHNOLOGY PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
-----------------------------------------------------------------------
SECURITY SHARES/PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
-----------------------------------------------------------------------
INDEX OPTION - 0.8%
NASDAQ 100 Index Puts,
Expire 09/17/05........................... 570,000 $ 370,500
NASDAQ 100 Trust Puts, Expire
08/20/05.................................. 1,664,500 1,248,375
-------------
Total Index Option (Cost $1,652,626) 1,618,875
-------------
SHORT-TERM INVESTMENTS - 24.5%
State Street Bank & Trust Co., Repurchase
Agreement, dated 06/30/05 at 2.00% to
be repurchased at 15,212,845 on
07/01/05 collateralized by $15,405,000
FHLMC 4.50% due 11/15/11 with a value
of $15,520,538............................ $15,212,000 15,212,000
State Street Navigator Securities Lending
Prime Portfolio(b)........................ 34,301,216 34,301,216
-------------
Total Short-Term Investments
(Cost $49,513,215) 49,513,216
-------------
TOTAL INVESTMENTS - 119.0%
(Cost $229,575,417) 240,611,492
Other Assets and Liabilities (net) - (19.0%) (38,383,116)
-------------
TOTAL NET ASSETS - 100.0% $ 202,228,376
=============
PORTFOLIO FOOTNOTES:
* Non-income producing security.
(a) All or a portion of security out on loan.
(b) Represents investment of collateral received from securities lending
transactions.
ADR - American Depositary Receipt
FHLMC - Federal Home Loan Mortgage Corp.
SECURITIES SOLD SHORT SHARES PROCEEDS VALUE
------------------------------------------------------------
Amazon.com, Inc............... 40,000 $1,420,689 $1,323,200
Applied Materials, Inc........ 126,000 2,116,081 2,038,680
BEA Systems, Inc.............. 117,700 1,036,081 1,036,081
Hyperion Solutions Corp....... 42,400 1,727,015 1,706,176
Sun Microsystems, Inc......... 3,500 12,626 13,055
Take-Two Interactive Software,
Inc......................... 22,940 610,812 583,823
Western Digital Corp.......... 30,000 405,985 402,600
------- ---------- ----------
382,540 $7,329,289 $7,103,615
======= ========== ==========
See notes to financial statements
137
MET INVESTORS SERIES TRUST
THIRD AVENUE SMALL CAP VALUE PORTFOLIO
PORTFOLIO OF INVESTMENTS
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
-------------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
-------------------------------------------------------------------
COMMON STOCKS - 83.3%
AUTO COMPONENTS - 5.0%
American Axle & Manufacturing Holdings,
Inc.(a)................................. 441,000 $ 11,144,070
Bandag, Inc.(a)........................... 125,200 5,765,460
Superior Industries International, Inc.(a) 910,600 21,581,220
--------------
38,490,750
--------------
BANKS - 2.0%
Brookline Bancorp, Inc.(a)................ 504,500 8,203,170
NewAlliance Bancshares, Inc............... 531,812 7,471,959
--------------
15,675,129
--------------
CHEMICALS - 1.7%
Agrium, Inc............................... 661,600 12,973,976
--------------
COMMERCIAL SERVICES & SUPPLIES - 1.1%
On Assignment, Inc.*...................... 319,271 1,589,970
Quanta Services, Inc.*(a)................. 782,100 6,882,480
--------------
8,472,450
--------------
COMMUNICATIONS EQUIPMENT - 5.4%
CommScope, Inc.*(a)....................... 708,200 12,329,762
Comverse Technology, Inc.*................ 273,400 6,465,910
Scientific-Atlanta, Inc................... 37,500 1,247,625
Sycamore Networks, Inc.*(a)............... 4,362,905 15,052,022
Tellabs, Inc.*............................ 756,901 6,585,039
--------------
41,680,358
--------------
COMPUTERS & PERIPHERALS - 1.7%
Electronics for Imaging, Inc.*(a)......... 396,098 8,333,902
Hutchinson Technology, Inc.*(a)........... 123,065 4,739,233
--------------
13,073,135
--------------
CONSTRUCTION & ENGINEERING - 1.0%
Keith Companies, Inc. (The)*(a)........... 359,880 7,802,198
--------------
ELECTRICAL EQUIPMENT - 4.1%
American Power Conversion Corp............ 198,500 4,682,615
Coherent, Inc.*(a)........................ 259,328 9,338,401
Credence Systems Corp.*(a)................ 628,800 5,690,640
Electro Scientific Industries, Inc.*(a)... 654,406 11,700,779
--------------
31,412,435
--------------
ELECTRONICS - 3.8%
Advanced Power Technology, Inc.*(a)....... 154,500 1,089,225
AVX Corp.(a).............................. 663,000 8,035,560
Bel Fuse, Inc. - Class A.................. 111,088 2,853,851
Bel Fuse, Inc. - Class B(a)............... 59,277 1,811,505
Park Electrochemical Corp................. 383,700 9,669,240
Synopsys, Inc.*........................... 332,436 5,541,708
--------------
29,001,089
--------------
FINANCIAL SERVICES - 3.4%
Ichiyoshi Securities Co., Ltd............. 481,700 4,432,336
Instinet Group, Inc.*..................... 1,823,777 9,556,591
Leucadia National Corp.(a)................ 194,550 7,515,466
Westwood Holdings Group, Inc.(a).......... 246,775 4,417,273
--------------
25,921,666
--------------
----------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
----------------------------------------------------------------
FOOD PRODUCTS - 0.9%
Del Monte Pacific, Ltd................. 6,876,000 $ 2,471,651
Industrias Bachoco, S.A. (ADR)(a)...... 259,600 4,283,400
--------------
6,755,051
--------------
HEALTH CARE PROVIDERS & SERVICES - 0.7%
Cross Country Healthcare, Inc.*........ 346,000 5,882,000
--------------
HOUSEHOLD DURABLES - 2.6%
Cavco Industries, Inc.*................ 302,326 8,519,547
Coachmen Industries, Inc.(a)........... 252,700 3,166,331
Skyline Corp.(a)....................... 207,600 8,289,468
--------------
19,975,346
--------------
INDUSTRIAL - DIVERSIFIED - 1.1%
Trinity Industries, Inc.(a)............ 259,500 8,311,785
--------------
INSURANCE - 5.9%
Arch Capital Group Ltd.*(a)............ 180,974 8,152,879
Brit Insurance Holdings PLC............ 3,642,800 5,759,652
E-L Financial Corp..................... 24,255 7,895,688
FBL Financial Group, Inc. - Class A(a). 277,500 7,661,775
Montpelier Re Holdings Ltd............. 106,000 3,665,480
National Western Life Insurance Co.*... 22,959 4,451,521
Phoenix Companies, Inc. (The)(a)....... 639,300 7,607,670
--------------
45,194,665
--------------
IT CONSULTING & SERVICES - 0.5%
Ingram Micro, Inc. - Class A*.......... 236,450 3,702,807
--------------
LEISURE EQUIPMENT & PRODUCTS - 2.7%
JAKKS Pacific, Inc.*(a)................ 413,979 7,952,536
Leapfrog Enterprises, Inc.*(a)......... 826,200 9,336,060
Russ Berrie & Co., Inc.(a)............. 262,290 3,359,935
--------------
20,648,531
--------------
MACHINERY - 1.7%
Alamo Group, Inc.(a)................... 399,800 7,464,266
Lindsay Manufacturing Co.(a)........... 242,100 5,708,718
--------------
13,172,984
--------------
METALS & MINING - 2.9%
Fording Canadian Coal Trust(a)......... 156,500 14,429,300
RTI International Metals, Inc.*........ 257,900 8,100,639
--------------
22,529,939
--------------
OIL & GAS - 13.4%
Comstock Resources, Inc.*.............. 197,100 4,984,659
Maverick Tube Corp.*(a)................ 251,300 7,488,740
Pogo Producing Co.(a).................. 377,500 19,599,800
Smedvig ASA - Series A................. 674,600 13,574,056
St. Mary Land & Exploration Co.(a)..... 710,000 20,575,800
Tidewater, Inc.(a)..................... 328,800 12,533,856
Whiting Petroleum Corp.*............... 531,773 19,308,678
Willbros Group, Inc.*(a)............... 377,100 5,400,072
--------------
103,465,661
--------------
See notes to financial statements
138
MET INVESTORS SERIES TRUST
THIRD AVENUE SMALL CAP VALUE PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
-----------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
-----------------------------------------------------------------
PAPER & FOREST PRODUCTS - 1.2%
TimberWest Forest Corp................. 772,200 $ 9,280,008
--------------
PHARMACEUTICALS - 1.2%
PAREXEL International Corp.*(a)........ 281,481 5,587,398
Pharmaceutical Product Development,
Inc.*(a)............................. 86,175 4,038,160
--------------
9,625,558
--------------
REAL ESTATE - 12.1%
Avatar Holdings, Inc.*(a).............. 90,500 4,549,435
Brascan Corp. - Class A................ 245,000 9,349,200
Catellus Development Corp. (REIT)...... 245,945 8,066,996
Forest City Enterprises, Inc. - Class A 201,500 14,306,500
Jones Lang Lasalle, Inc.*(a)........... 179,300 7,930,439
Origen Financial, Inc. (REIT).......... 708,509 5,242,967
PS Business Parks, Inc. (REIT)......... 61,200 2,720,340
St. Joe Co. (The)...................... 216,300 17,637,102
Trammell Crow Co.*..................... 756,500 18,337,560
Wellsford Real Properties, Inc.*....... 279,100 4,948,443
--------------
93,088,982
--------------
RETAIL - SPECIALTY - 3.0%
Buckle, Inc. (The ).................... 124,800 5,533,632
Dress Barn, Inc. (The)*(a)............. 454,800 10,292,124
Sears Holdings Corp.*.................. 47,400 7,103,838
--------------
22,929,594
--------------
SOFTWARE - 1.3%
Geac Computer Corp., Ltd.*............. 773,600 6,738,056
Sybase, Inc.*.......................... 174,900 3,209,415
--------------
9,947,471
--------------
TEXTILES, APPAREL & LUXURY GOODS - 1.1%
K-Swiss, Inc. - Class A(a)............. 266,759 8,626,986
--------------
TRANSPORTATION - 1.8%
Alexander & Baldwin, Inc............... 297,031 13,767,387
--------------
Total Common Stocks
(Cost $470,241,937) 641,407,941
--------------
PREFERRED STOCK - 0.1%
REAL ESTATE - 0.1%
CRT Properties, Inc. (REIT)
(Cost $917,500)........................ 36,700 906,857
--------------
----------------------------------------------------------------------
SECURITY SHARES/PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
----------------------------------------------------------------------
SHORT-TERM INVESTMENTS - 38.8%
State Street Bank & Trust Co.,
Repurchase Agreement, dated
06/30/05 at 2.00% to be repruchased
at $122,959,831 on 07/01/05
collateralized by $125,100,000
FHLMC at 4.125% due 11/18/09 with
a value of $125,412,750................ $122,953,000 $ 122,953,000
State Street Navigator Securities Lending
Prime Portfolio(b)..................... 175,351,718 175,351,718
--------------
Total Short-Term Investments
(Cost $298,304,718) 298,304,718
--------------
TOTAL INVESTMENTS - 122.2%
(Cost $769,464,155) 940,619,516
Other Assets and Liabilities (net) - (22.2%) (171,152,731)
--------------
TOTAL NET ASSETS - 100.0% $ 769,466,785
==============
PORTFOLIO FOOTNOTES:
* Non-income producing security.
(a) All or a portion of security out on loan.
(b) Represents investment of collateral received from securities lending
transactions.
ADR - American Depositary Receipt
REIT - Real Estate Investment Trust
FHLMC - Federal Home Loan Mortgage Corp.
See notes to financial statements
139
MET INVESTORS SERIES TRUST
T. ROWE PRICE MID-CAP GROWTH PORTFOLIO
PORTFOLIO OF INVESTMENTS
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
-------------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
-------------------------------------------------------------------
COMMON STOCKS - 95.9%
AEROSPACE & DEFENSE - 3.2%
Alliant Techsystems, Inc.*............. 94,000 $ 6,636,400
Goodrich Corp.(b)...................... 78,000 3,194,880
Rockwell Collins, Inc.................. 178,000 8,487,040
--------------
18,318,320
--------------
AIR FREIGHT & LOGISTICS - 0.2%
Expeditors International of Washington,
Inc.................................. 20,000 996,200
--------------
AIRLINES - 1.3%
JetBlue Airways Corp.*(a).............. 133,000 2,718,520
Southwest Airlines Co.................. 351,000 4,889,430
--------------
7,607,950
--------------
AUTOMOTIVE - 1.9%
CarMax, Inc.*(a)....................... 84,000 2,238,600
Oshkosh Truck Corp..................... 68,000 5,323,040
TRW Automotive Holdings Corp*.......... 138,000 3,382,380
--------------
10,944,020
--------------
BEVERAGES - 0.6%
Cott Corp.*(a)......................... 169,000 3,689,270
--------------
BIOTECHNOLOGY - 0.7%
Celgene Corp.*(a)...................... 54,000 2,201,580
Protein Design Labs, Inc.*(a).......... 92,000 1,859,320
--------------
4,060,900
--------------
COMMERCIAL SERVICES & SUPPLIES - 7.2%
Apollo Group, Inc. - Class A*.......... 33,000 2,581,260
Certegy, Inc........................... 174,000 6,650,280
ChoicePoint, Inc.*..................... 155,000 6,207,750
Cogent Inc.*(a)........................ 46,000 1,313,300
Education Management Corp.*............ 106,000 3,575,380
Global Payments, Inc.(a)............... 54,000 3,661,200
Iron Mountain, Inc.(a)................. 168,000 5,211,360
Manpower, Inc.......................... 125,000 4,972,500
MoneyGram International, Inc........... 182,000 3,479,840
Robert Half International, Inc......... 93,000 2,322,210
Viad Corp.............................. 55,000 1,558,700
--------------
41,533,780
--------------
COMMUNICATIONS EQUIPMENT & SERVICES - 0.5%
American Tower Corp. - Class A*(a)..... 26,100 548,622
Comverse Technology, Inc.*............. 92,000 2,175,800
--------------
2,724,422
--------------
COMPUTER SOFTWARE & PROCESSING - 0.4%
Jack Henry & Associates, Inc.(a)....... 124,000 2,270,440
--------------
ELECTRONIC EQUIPMENT & INSTRUMENTS - 7.0%
Danaher Corp.(a)....................... 73,000 3,820,820
Diebold, Inc........................... 75,000 3,383,250
Dolby Laboratories, Inc.*.............. 112,000 2,470,720
Flextronics International, Ltd.*....... 377,000 4,980,170
-----------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
-----------------------------------------------------------------
ELECTRONIC EQUIPMENT & INSTRUMENTS - CONTINUED
FLIR Systems, Inc.*(a)............... 127,000 $ 3,789,680
FMC Technologies, Inc.*.............. 118,000 3,772,460
Gentex Corp.(a)...................... 275,000 5,005,000
Harman International Industries, Inc. 48,000 3,905,280
Jabil Circuit, Inc.*................. 176,000 5,408,480
Xilinx, Inc.......................... 151,000 3,850,500
--------------
40,386,360
--------------
FINANCIALS - DIVERSIFIED - 5.7%
Ameritrade Holding Corp.*(a)......... 352,000 6,543,680
CapitalSource, Inc.*(a).............. 151,000 2,964,130
E*TRADE Financial Corp.*............. 250,000 3,497,500
Eaton Vance Corp.(a)................. 170,000 4,064,700
Federated Investors, Inc. - Class B.. 65,000 1,950,650
Investors Financial Services Corp.(a) 23,000 869,860
Legg Mason, Inc.(a).................. 53,000 5,517,830
Nuveen Investments - Class A(a)...... 78,000 2,934,360
SVB Financial Group*................. 29,000 1,389,100
Waddell & Reed Financial,
Inc. - Class A..................... 172,000 3,182,000
--------------
32,913,810
--------------
FOOD & DRUG RETAILING - 2.4%
Omnicare, Inc........................ 212,000 8,995,160
Shoppers Drug Mart Corp.............. 39,000 1,352,288
Shoppers Drug Mart Corp.*(144A)(c)... 28,000 970,874
Whole Foods Market, Inc.............. 21,000 2,484,300
--------------
13,802,622
--------------
HEALTH CARE EQUIPMENT & SUPPLIES - 3.0%
Bausch & Lomb, Inc................... 25,000 2,075,000
Edwards Lifesciences Corp.*(a)....... 85,000 3,656,700
Gen-Probe, Inc.*..................... 52,000 1,883,960
INAMED Corp.*........................ 22,000 1,473,340
Kinetic Concepts, Inc.*.............. 64,000 3,840,000
Varian Medical Systems, Inc.*........ 46,000 1,717,180
Waters Corp.*........................ 67,000 2,490,390
--------------
17,136,570
--------------
HEALTH CARE PROVIDERS & SERVICES - 4.5%
Community Health Systems, Inc.*...... 95,000 3,590,050
Coventry Health Care, Inc.*.......... 44,000 3,113,000
DaVita, Inc.*........................ 42,000 1,910,160
Health Management Associates,
Inc. - Class A..................... 188,000 4,921,840
Laboratory Corporation of America....
Holdings*............................ 114,000 5,688,600
Manor Care, Inc...................... 170,000 6,754,100
--------------
25,977,750
--------------
See notes to financial statements
140
MET INVESTORS SERIES TRUST
T. ROWE PRICE MID-CAP GROWTH PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
------------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
------------------------------------------------------------------
HOTELS, RESTAURANTS & LEISURE - 2.2%
Cheesecake Factory, Inc. (The)*(a).... 110,000 $ 3,820,300
Fairmont Hotels & Resorts, Inc.(a).... 188,000 6,548,040
P.F. Chang's China Bistro, Inc.*(a)... 42,000 2,477,160
--------------
12,845,500
--------------
INDUSTRIAL CONGLOMERATES - 3.9%
American Standard Cos., Inc........... 101,000 4,233,920
ITT Industries, Inc................... 54,000 5,272,020
Roper Industries, Inc................. 114,000 8,136,180
Teleflex, Inc.(a)..................... 76,000 4,512,120
--------------
22,154,240
--------------
INSURANCE - 3.0%
Assurant, Inc......................... 169,000 6,100,900
Axis Capital Holdings, Ltd.(a)........ 84,000 2,377,200
Principal Financial Group, Inc.(a).... 89,000 3,729,100
Protective Life Corp.................. 42,000 1,773,240
Willis Group Holdings, Ltd.(a)........ 97,000 3,173,840
--------------
17,154,280
--------------
INTERNET SOFTWARE & SERVICES - 4.1%
Amazon.com, Inc.*(a).................. 96,000 3,175,680
CheckFree Corp.*...................... 83,000 2,826,980
CNET Networks, Inc.*(a)............... 273,000 3,205,020
Getty Images, Inc.*(a)................ 23,000 1,707,980
Juniper Networks, Inc.*............... 90,000 2,266,200
Macromedia, Inc.*..................... 34,000 1,299,480
McAfee, Inc.*......................... 196,000 5,131,280
Monster Worldwide, Inc.*.............. 127,000 3,642,360
--------------
23,254,980
--------------
IT CONSULTING & SERVICES - 1.7%
CACI International, Inc. - Class A*(a) 67,000 4,231,720
DST Systems, Inc.*.................... 122,000 5,709,600
--------------
9,941,320
--------------
LEISURE EQUIPMENT & PRODUCTS - 1.0%
Brunswick Corp........................ 136,000 5,891,520
--------------
MEDIA - 4.6%
Catalina Marketing Corp.(a)........... 121,000 3,074,610
Citadel Broadcasting Corp.*(a)........ 339,000 3,881,550
Cox Radio, Inc. - Class A*............ 111,000 1,748,250
Dreamworks Animation SKG, Inc.*....... 80,000 2,096,000
Entercom Communications Corp.*(a)..... 37,000 1,231,730
Rogers Communications,
Inc. - Class B(a)................... 188,000 6,181,440
Scholastic Corp.*(a).................. 48,000 1,850,400
Univision Communications,
Inc. - Class A*(a).................. 147,000 4,049,850
XM Satellite Radio Holdings,
Inc. - Class A*(a).................. 62,000 2,086,920
--------------
26,200,750
--------------
-----------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
-----------------------------------------------------------------
METALS & MINING - 0.6%
Newmont Mining Corp.................. 85,000 $ 3,317,550
--------------
OIL & GAS - 6.6%
BJ Services Co....................... 138,000 7,242,240
EOG Resources, Inc................... 125,000 7,100,000
Murphy Oil Corp...................... 144,000 7,521,120
Smith International, Inc............. 101,000 6,433,700
Western Gas Resources, Inc.(a)....... 100,000 3,490,000
XTO Energy, Inc.(a).................. 183,000 6,220,170
--------------
38,007,230
--------------
PHARMACEUTICALS - 8.5%
Abgenix, Inc.*(a).................... 94,000 806,520
Alkermes, Inc.*(a)................... 143,000 1,890,460
Amylin Pharmaceuticals, Inc.*(a)..... 71,000 1,486,030
Andrx Corp.*(a)...................... 105,000 2,132,550
Barr Laboratories, Inc.*............. 104,000 5,068,960
Cephalon, Inc.*(a)................... 95,000 3,781,950
Elan Corp. Plc (ADR)*(a)............. 279,000 1,902,780
Gilead Sciences, Inc.*............... 138,000 6,070,620
Human Genome Sciences, Inc.*(a)...... 117,000 1,354,860
IVAX Corp............................ 261,000 5,611,500
Medimmune, Inc.*..................... 285,000 7,615,200
Neurocrine Biosciences, Inc.*(a)..... 55,000 2,313,300
OSI Pharmaceuticals, Inc.*........... 25,000 1,021,750
Sepracor, Inc.*...................... 53,000 3,180,530
Taro Pharmaceutical Industries,
Ltd. - Class A*(a)................. 50,000 1,453,500
Valeant Pharmaceuticals International 75,000 1,322,250
Vertex Pharmaceuticals, Inc.*(a)..... 103,000 1,734,520
--------------
48,747,280
--------------
RETAIL - SPECIALTY - 6.2%
Best Buy Co., Inc.................... 106,000 7,266,300
CDW Corp............................. 73,000 4,167,570
Dollar General Corp.(a).............. 158,000 3,216,880
Family Dollar Stores, Inc............ 165,000 4,306,500
MSC Industrial Direct Co.,
Inc. - Class A..................... 26,000 877,500
O' Reilly Automotive, Inc.*(a)....... 132,000 3,934,920
PETsMART, Inc........................ 165,000 5,007,750
Ross Stores, Inc..................... 125,000 3,613,750
Williams-Sonoma, Inc.*............... 85,000 3,363,450
--------------
35,754,620
--------------
SEMICONDUCTOR EQUIPMENT & PRODUCTS - 3.8%
AMIS Holdings, Inc.*(a).............. 122,000 1,627,480
Integrated Circuit Systems, Inc.*.... 109,000 2,249,760
Intersil Corp. - Class A(a).......... 236,000 4,429,720
Marvell Technology Group, Ltd.*...... 31,000 1,179,240
Microchip Technology, Inc............ 166,000 4,916,920
Novellus Systems, Inc................ 169,000 4,175,990
See notes to financial statements
141
MET INVESTORS SERIES TRUST
T. ROWE PRICE MID-CAP GROWTH PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
----------------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
----------------------------------------------------------------------
SEMICONDUCTOR EQUIPMENT & PRODUCTS - CONTINUED
PMC-Sierra, Inc.*(a)..................... 189,000 $ 1,763,370
Semtech Corp.*(a)........................ 96,000 1,598,400
--------------
21,940,880
--------------
SOFTWARE - 5.0%
Activision, Inc.*........................ 148,000 2,444,960
Adobe Systems, Inc....................... 86,000 2,461,320
Cadence Design Systems, Inc.*(a)......... 302,000 4,125,320
Intuit, Inc.*............................ 35,000 1,578,850
Mercury Interactive Corp.*............... 70,000 2,685,200
NAVTEQ Corp.*............................ 119,000 4,424,420
Red Hat, Inc.*(a)........................ 171,000 2,240,100
Sungard Data Systems, Inc.*.............. 66,000 2,321,220
VeriSign, Inc.*.......................... 219,000 6,298,440
--------------
28,579,830
--------------
TELECOMMUNICATION SERVICES - DIVERSIFIED - 3.2%
ADTRAN, Inc.............................. 171,000 4,239,090
Garmin, Ltd.(a).......................... 78,000 3,334,500
Harris Corp.............................. 233,000 7,271,930
Telus Corp............................... 108,000 3,794,142
--------------
18,639,662
--------------
TELECOMMUNICATION SERVICES - WIRELESS - 2.3%
Crown Castle International Corp.*(a)..... 277,000 5,628,640
Nextel Partners, Inc. - Class A*(a)...... 237,000 5,965,290
Research In Motion, Ltd.*................ 25,000 1,843,750
--------------
13,437,680
--------------
TRANSPORTATION - 0.6%
C.H. Robinson Worldwide, Inc............. 59,000 3,433,800
--------------
Total Common Stocks (Cost $ 464,806,329) 551,663,536
--------------
SHORT-TERM INVESTMENTS - 27.1%
State Street Navigator Securities Lending
Prime Portfolio(b)..................... 130,330,151 130,330,151
T. Rowe Price Government Reserve
Investment Fund**...................... 25,717,890 25,717,890
--------------
Total Short-Term Investments
(Cost $156,048,041) 156,048,041
--------------
TOTAL INVESTMENTS - 123.0%
(Cost $620,854,370) 707,711,577
Other Assets and Liabilities (net) - (23.0%) (132,422,918)
--------------
TOTAL NET ASSETS - 100.0% $ 575,288,659
==============
PORTFOLIO FOOTNOTES:
* Non-income producing security.
** Affiliated Issuer. See Note 3 for additional information.
(a) All or a portion of security out on loan.
(b) Represents investment of collateral received from securities lending
transactions.
(c) Securities that may be resold to "qualified institutional buyers" under
Rule 144A or securities offered pursuant to Section 4(2) of the Securities
Act of 1933, as amended. These securities have been determined to be liquid
under guidelines established by the Board of Trustees.
ADR - American Depositary Receipt
See notes to financial statements
142
MET INVESTORS SERIES TRUST
TURNER MID-CAP GROWTH PORTFOLIO
PORTFOLIO OF INVESTMENTS
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
--------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
--------------------------------------------------------------
COMMON STOCKS - 95.7%
AEROSPACE & DEFENSE - 0.6%
Goodrich Corp........................ 27,330 $ 1,119,437
-------------
AUTO COMPONENTS - 0.5%
Advance Auto Parts, Inc.*............ 15,110 975,351
-------------
BANKS - 0.7%
City National Corp................... 18,070 1,295,800
-------------
BEVERAGES, FOOD & TOBACCO - 0.7%
Constellation Brands, Inc.*.......... 44,540 1,313,930
-------------
BIOTECHNOLOGY - 1.7%
Celgene Corp.*....................... 33,880 1,381,288
Genzyme Corp.*....................... 29,350 1,763,641
-------------
3,144,929
-------------
BUILDING MATERIALS - 0.7%
Sherwin-Williams Co. (The)........... 16,010 753,911
Vulcan Materials, Co................. 8,990 584,260
-------------
1,338,171
-------------
CHEMICALS - 0.6%
Mosaic Co. (The)*.................... 70,430 1,095,891
-------------
COMMERCIAL SERVICES & SUPPLIES - 1.9%
Alliance Data Systems Corp.*......... 21,460 870,417
Certegy, Inc......................... 23,690 905,432
Global Payments, Inc................. 26,075 1,767,885
-------------
3,543,734
-------------
COMMUNICATIONS EQUIPMENT & SERVICES - 1.6%
Adtran, Inc.......................... 30,930 766,755
Avid Technology, Inc.*............... 40,730 2,170,094
-------------
2,936,849
-------------
COMPUTER SERVICES - 1.0%
Cogent, Inc.*........................ 63,230 1,805,217
-------------
CONSTRUCTION & ENGINEERING - 2.1%
D.R. Horton, Inc..................... 32,660 1,228,343
Fluor Corp........................... 12,260 706,053
Lennar Corp. - Class A............... 13,570 861,017
Toll Brothers, Inc.*................. 11,690 1,187,119
-------------
3,982,532
-------------
CONTAINERS & PACKAGING - 0.4%
Owens-Illinois, Inc.*................ 33,570 840,929
-------------
ELECTRICAL EQUIPMENT - 1.9%
Actuant Corp. - Class A*............. 28,400 1,361,496
American Power Conversion Corp....... 39,450 930,626
Ametek, Inc.......................... 28,690 1,200,676
-------------
3,492,798
-------------
ELECTRONIC EQUIPMENT & INSTRUMENTS - 0.7%
Flextronics International, Ltd.*..... 103,550 1,367,896
-------------
---------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
---------------------------------------------------------------
FINANCIALS - DIVERSIFIED - 7.5%
Affiliated Managers Group, Inc.*...... 27,765 $ 1,897,183
Ameritrade Holding Corp.*............. 70,580 1,312,082
Chicago Merchantile Exchange Holdings,
Inc................................. 5,440 1,607,520
Fidelity National Financial, Inc...... 25,150 897,604
Jeffries Group, Inc................... 23,870 904,434
Legg Mason, Inc....................... 18,680 1,944,775
Northern Trust Corp................... 27,170 1,238,680
SEI Investments Co.................... 41,787 1,560,744
T. Rowe Price Group, Inc.............. 43,260 2,708,076
-------------
14,071,098
-------------
FOOD & DRUG RETAILING - 0.7%
Whole Foods Market, Inc............... 11,110 1,314,313
-------------
FOOD PRODUCTS - 0.8%
Campbell-Soup Co...................... 22,520 692,940
Dean Foods Co......................... 20,460 721,011
-------------
1,413,951
-------------
HEALTH CARE EQUIPMENT & SUPPLIES - 5.3%
Advanced Medical Optics, Inc.*........ 35,830 1,424,243
Bard (C.R.), Inc...................... 34,050 2,264,665
Bausch & Lomb, Inc.................... 16,930 1,405,190
Dade Behring Holdings, Inc............ 31,130 2,023,761
Henry Schein, Inc.*................... 30,200 1,253,904
Inamed Corp.*......................... 10,700 716,579
Patterson Cos., Inc.*................. 18,210 820,907
-------------
9,909,249
-------------
HEALTH CARE PROVIDERS & SERVICES - 6.7%
DaVita, Inc.*......................... 28,520 1,297,090
Laboratory Corporation of America
Holdings*........................... 19,570 976,543
LifePoint Hospitals, Inc.*............ 17,770 897,740
Medco Health Solutions, Inc.*......... 17,950 957,812
Pacificare Health Systems, Inc.*...... 26,920 1,923,434
Quest Diagnostics, Inc................ 25,500 1,358,385
WellChoice, Inc.*..................... 28,550 1,983,368
WellPoint, Inc.*...................... 45,900 3,196,476
-------------
12,590,848
-------------
HOTELS, RESTAURANTS & LEISURE - 7.7%
Cheesecake Factory, Inc. (The)*....... 41,000 1,423,930
Harrah's Entertainment, Inc........... 27,670 1,994,177
Host Marriott Corp. (REIT)............ 69,620 1,218,350
MGM MIRAGE*........................... 64,180 2,540,245
P.F. Chang's China Bistro, Inc.*...... 23,480 1,384,850
Scientific Games Corp. - Class A*..... 58,230 1,568,134
Starwood Hotels & Resorts Worldwide,
Inc. - Class B...................... 45,660 2,674,306
Station Casinos, Inc.................. 26,280 1,744,992
-------------
14,548,984
-------------
See notes to financial statements
143
MET INVESTORS SERIES TRUST
TURNER MID-CAP GROWTH PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
------------------------------------------------------------
HOUSEHOLD DURABLES - 1.4%
Fortune Brands, Inc................ 30,370 $ 2,696,856
-------------
HOUSEHOLD PRODUCTS - 0.5%
Tempur-Pedic International, Inc.*.. 40,810 905,166
-------------
INDUSTRIAL CONGLOMERATES - 2.9%
Fisher Scientific Int'l., Inc.*.... 23,630 1,533,587
Pentair, Inc....................... 27,620 1,182,412
Roper Industries, Inc.............. 39,490 2,818,401
-------------
5,534,400
-------------
INTERNET SOFTWARE & SERVICES - 6.1%
CNET Networks, Inc.*............... 92,930 1,090,998
F5 Networks, Inc.*................. 52,380 2,474,169
Ixia*.............................. 62,230 1,209,751
Juniper Networks, Inc.*............ 112,980 2,844,837
Openwave Sys, Inc.*................ 92,040 1,509,456
VeriSign, Inc.*.................... 82,450 2,371,262
-------------
11,500,473
-------------
LEISURE EQUIPMENT & PRODUCTS - 0.5%
WMS Industries, Inc.*.............. 26,680 900,450
-------------
MEDIA - 2.8%
Getty Images, Inc.*................ 17,210 1,278,015
Monster Worldwide, Inc.*........... 93,290 2,675,557
Sirius Satellite Radio, Inc.*...... 207,030 1,341,554
-------------
5,295,126
-------------
METALS & MINING - 2.0%
Allegheny Technologies, Inc........ 40,150 885,709
Joy Global, Inc.................... 22,010 739,316
Peabody Energy Corp................ 20,360 1,059,534
Precision Castparts Corp........... 12,960 1,009,584
-------------
3,694,143
-------------
OIL & GAS - 6.7%
Ashland, Inc....................... 13,330 958,027
Diamond Offshore Drilling, Inc..... 23,040 1,231,027
Grant Prideco, Inc.*............... 50,110 1,325,409
National-Oilwell, Inc.*............ 30,100 1,430,954
Questar Corp....................... 20,250 1,334,475
Range Resources Corp............... 71,630 1,926,847
Tidewater, Inc..................... 21,010 800,901
Ultra Petroleum Corp.*............. 54,460 1,653,406
XTO Energy, Inc.................... 57,920 1,968,701
-------------
12,629,747
-------------
PHARMACEUTICALS - 4.0%
Community Health Systems, Inc.*.... 46,140 1,743,631
Forest Laboratories, Inc.*......... 23,180 900,543
Kos Pharmaceuticals, Inc.*......... 15,860 1,038,830
Sepracor, Inc.*.................... 41,620 2,497,616
Triad Hospitals, Inc.*............. 24,800 1,355,072
-------------
7,535,692
-------------
-------------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
-------------------------------------------------------------------
REAL ESTATE - 0.6%
St. Joe Co. (The)......................... 14,000 $ 1,141,560
-------------
RETAIL - SPECIALTY - 7.7%
Bed Bath & Beyond, Inc.*.................. 69,340 2,897,025
Chico's FAS, Inc.*........................ 78,500 2,690,980
Coach, Inc.*.............................. 107,820 3,619,517
Nordstrom, Inc............................ 15,650 1,063,730
Polo Ralph Lauren Corp.................... 19,490 840,214
Urban Outfitters, Inc.*................... 35,730 2,025,534
Williams-Sonoma, Inc.*.................... 33,210 1,314,120
-------------
14,451,120
-------------
SEMICONDUCTOR EQUIPMENT & PRODUCTS - 8.9%
Altera Corp.*............................. 122,080 2,419,625
Analog Devices, Inc....................... 28,790 1,074,155
ASML Holding N.V.*........................ 55,610 870,853
Broadcom Corp. - Class A*................. 78,780 2,797,478
Cypress Semiconductor Corp.*.............. 116,410 1,465,602
KLA-Tencor Corp........................... 56,410 2,465,117
Kulicke & Soffa Industries, Inc.*......... 97,330 769,880
Lam Research Corp.*....................... 45,890 1,328,057
Marvell Technology Group, Ltd.*........... 40,880 1,555,075
National Semiconductor Corp............... 59,840 1,318,275
Varian Semiconductor Equipment Associates,
Inc.*................................... 17,480 646,760
-------------
16,710,877
-------------
SOFTWARE - 1.8%
Cognizant Technology Solutions
Corp. - Class A*........................ 49,400 2,328,222
Take-Two Interactive Software, Inc.*...... 39,350 1,001,457
-------------
3,329,679
-------------
TELECOMMUNICATION SERVICES - DIVERSIFIED - 2.2%
Amdocs, Ltd.*............................. 35,160 929,279
Comverse Technology, Inc.*................ 95,505 2,258,693
Tellabs, Inc.*............................ 108,160 940,992
-------------
4,128,964
-------------
TELECOMMUNICATION SERVICES - WIRELESS - 2.6%
Alamosa Holdings, Inc.*................... 110,800 1,540,120
Nextel Partners, Inc. - Class A*.......... 55,430 1,395,173
NII Holdings, Inc. - Class B*............. 29,590 1,891,985
-------------
4,827,278
-------------
TRANSPORTATION - 1.2%
C.H. Robinson Worldwide, Inc.............. 18,260 1,062,732
UTI Worldwide, Inc........................ 16,990 1,182,844
-------------
2,245,576
-------------
Total Common Stocks (Cost $155,618,501) 179,629,014
-------------
See notes to financial statements
144
MET INVESTORS SERIES TRUST
TURNER MID-CAP GROWTH PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
------------------------------------------------------------------
SECURITY PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
------------------------------------------------------------------
SHORT-TERM INVESTMENTS - 3.6%
State Street Bank & Trust Co., Repurchase
Agreement, dated 06/30/05 at 2.00% to
be repurchased at $6,809,378 on
07/01/05 collateralized by $6,895,000
FHLMC 4.50% due 11/15/11 with a value
of 6,946,713 (Cost $6,809,000)......... $6,809,000 $ 6,809,000
-------------
TOTAL INVESTMENTS - 99.3%
(Cost $162,427,501) 186,438,014
-------------
Other Assets and Liabilities (net) - 0.7% 1,373,353
-------------
TOTAL NET ASSETS - 100.0% $ 187,811,367
=============
PORTFOLIO FOOTNOTES:
* Non-income producing security.
REIT - Real Estate Investment Trust
FHLMC - Federal Home Loan Mortgage Corporation
See notes to financial statements
145
MET INVESTORS SERIES TRUST
VAN KAMPEN COMSTOCK PORTFOLIO
PORTFOLIO OF INVESTMENTS
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
----------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
----------------------------------------------------------------
COMMON STOCKS - 89.9 %
AIRLINES - 0.4%
Southwest Airlines Co................. 202,300 $ 2,818,039
-------------
BANKS - 6.8%
Bank of America Corp.................. 450,235 20,535,219
Bank of New York Co., Inc.*........... 198,000 5,698,440
SunTrust Banks, Inc................... 14,700 1,061,928
Wachovia Corp......................... 94,800 4,702,080
Wells Fargo & Co...................... 228,500 14,071,030
-------------
46,068,697
-------------
BEVERAGES - 1.2%
Coca-Cola Co. (The)................... 199,500 8,329,125
-------------
CHEMICALS - 3.4%
Dow Chemical Co....................... 132,100 5,882,413
E. I. du Pont de Nemours & Co......... 294,000 12,644,940
Rohm & Haas Co........................ 95,800 4,439,372
-------------
22,966,725
-------------
COMMERCIAL SERVICES & SUPPLIES - 0.4%
First Data Corp....................... 73,300 2,942,262
-------------
COMMUNICATIONS EQUIPMENT - 0.5%
Andrew Corp.*......................... 49,200 627,792
Nokia Corp.(ADR)...................... 79,400 1,321,216
Telefonaktiebolaget LM Ericsson(ADR).. 34,400 1,099,080
-------------
3,048,088
-------------
COMPUTERS & PERIPHERALS - 1.3%
Hewlett-Packard Co.................... 200,500 4,713,755
International Business Machines Corp.. 27,700 2,055,340
Lexmark International, Inc. - Class A* 28,500 1,847,655
-------------
8,616,750
-------------
ELECTRIC UTILITIES - 2.5%
Dominion Resources, Inc............... 79,000 5,797,810
FirstEnergy Corp...................... 148,400 7,139,524
Public Service Enterprise Group, Inc.. 65,700 3,995,874
-------------
16,933,208
-------------
ELECTRONIC EQUIPMENT & INSTRUMENTS - 1.1%
American Electric Power Co., Inc...... 145,000 5,346,150
Flextronics International, Ltd.*...... 128,300 1,694,843
Jabil Circuit, Inc.*.................. 6,500 199,745
KEMET Corp.*.......................... 76,000 478,800
-------------
7,719,538
-------------
ENERGY EQUIPMENT & SERVICES - 0.8%
Constellation Energy Group............ 96,200 5,549,778
-------------
FINANCIALS - DIVERSIFIED - 10.4%
Ambac Financial Group, Inc............ 46,200 3,222,912
Capital One Financial Corp............ 10,600 848,106
Citigroup, Inc........................ 360,000 16,642,800
Fannie Mae............................ 42,200 2,464,480
Freddie Mac........................... 403,700 26,333,351
-----------------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
-----------------------------------------------------------------------
FINANCIALS - DIVERSIFIED - CONTINUED
JPMorgan Chase & Co.......................... 150,000 $ 5,298,000
Lehman Brothers Holdings, Inc................ 32,000 3,176,960
Merrill Lynch & Co., Inc..................... 83,500 4,593,335
PNC Financial Services Group, Inc............ 148,900 8,109,094
-------------
70,689,038
-------------
FOOD & DRUG RETAILING - 3.2%
Kraft Foods, Inc. - Class A.................. 260,600 8,289,686
Unilever NV.................................. 207,800 13,471,674
-------------
21,761,360
-------------
HOUSEHOLD PRODUCTS - 2.0%
Kimberly-Clark Corp.......................... 214,400 13,419,296
-------------
HOTEL, RESTAURANTS & LEISURE - 0.4%
McDonald's Corp.*............................ 90,200 2,503,050
-------------
INSURANCE - 5.1%
AFLAC, Inc................................... 39,300 1,700,904
American International Group, Inc............ 74,100 4,305,210
Assurant, Inc................................ 39,600 1,429,560
Berkshire Hathaway, Inc. - Class B*.......... 710 1,976,285
Chubb Corp. (The)............................ 138,200 11,831,302
Genworth Financial, Inc. - Class A........... 101,200 3,059,276
Hartford Financial Services Group, Inc....... 22,000 1,645,160
RenaissanceRe Holdings, Ltd.................. 13,900 684,436
St. Paul Travelers Co., Inc. (The)........... 64,600 2,553,638
Torchmark Corp............................... 97,200 5,073,840
-------------
34,259,611
-------------
INTERNET SOFTWARE & SERVICES - 0.3%
Cisco Systems, Inc.*......................... 114,800 2,193,828
-------------
IT CONSULTING & SERVICES 0.8%
Affiliated Computer Services, Inc. - Class A* 104,300 5,329,730
-------------
LEISURE EQUIPMENT & PRODUCTS 1.0%
Eastman Kodak Co............................. 123,800 3,324,030
Mattel, Inc.................................. 190,700 3,489,810
-------------
6,813,840
-------------
MACHINERY - 0.2%
Cognex Corp.................................. 52,900 1,385,451
-------------
MEDIA - 7.1%
Clear Channel Communications, Inc............ 423,700 13,105,041
Liberty Media Corp. - Class A*............... 928,700 9,463,453
Time Warner, Inc.*........................... 490,900 8,202,939
Viacom, Inc. - Class B....................... 218,100 6,983,562
Walt Disney Co. (The)........................ 398,900 10,044,302
-------------
47,799,297
-------------
METALS & MINING - 1.7%
Alcoa, Inc................................... 434,900 11,363,937
-------------
OIL & GAS - 4.8%
ConocoPhillips............................... 65,800 3,782,842
GlobalSantaFe Corp........................... 81,400 3,321,120
See notes to financial statements
146
MET INVESTORS SERIES TRUST
VAN KAMPEN COMSTOCK PORTFOLIO
PORTFOLIO OF INVESTMENTS - CONTINUED
JUNE 30, 2005 (UNAUDITED)
(PERCENTAGE OF NET ASSETS)
------------------------------------------------------------------
SECURITY VALUE
DESCRIPTION SHARES (NOTE 2)
------------------------------------------------------------------
OIL & GAS - CONTINUED
Halliburton Co.......................... 309,600 $ 14,805,072
Petroleo Brasileiro S. A. (ADR)......... 45,600 2,099,424
Petroleo Brasileiro S. A. (ADR)......... 7,100 370,123
Schlumberger, Ltd....................... 22,300 1,693,462
Total SA (ADR).......................... 57,000 6,660,450
-------------
32,732,493
-------------
PAPER & FOREST PRODUCTS - 5.3%
Georgia-Pacific Corp.................... 482,000 15,327,600
International Paper Co.................. 681,640 20,592,344
-------------
35,919,944
-------------
PHARMACEUTICALS - 14.3%
AmerisourceBergen Corp.................. 88,300 6,105,945
Bristol-Myers Squibb Co................. 876,100 21,884,978
GlaxoSmithKline Plc (ADR)............... 643,500 31,216,185
Pfizer, Inc............................. 330,700 9,120,706
Roche Holding AG (ADR).................. 148,900 9,380,700
Sanofi-Aventis (ADR)*................... 111,800 4,582,682
Schering-Plough Corp.................... 349,200 6,655,752
Wyeth................................... 181,800 8,090,100
-------------
97,037,048
-------------
RETAIL - MULTILINE - 2.6%
Federated Department Stores, Inc........ 45,000 3,297,600
May Department Stores Co................ 76,000 3,052,160
Wal-Mart Stores, Inc.*.................. 230,100 11,090,820
-------------
17,440,580
-------------
RETAIL - SPECIALTY - 1.1%
Best Buy Co., Inc....................... 39,300 2,694,015
Jones Apparel Group, Inc................ 147,400 4,575,296
-------------
7,269,311
-------------
SEMICONDUCTOR EQUIPMENT & PRODUCTS - 0.3%
Credence Systems Corp.*................. 132,700 1,200,935
Intel Corp.*............................ 11,600 302,296
Novellus Systems, Inc.*................. 13,200 326,172
-------------
1,829,403
-------------
SOFTWARE - 0.9%
Check Point Software Technologies, Ltd.* 33,800 669,240
Microsoft Corp.......................... 87,400 2,171,016
SunGuard Data Systems, Inc.*............ 91,000 3,200,470
-------------
6,040,726
-------------
TELECOMMUNICATION SERVICES - DIVERSIFIED - 8.1%
Amdocs, Ltd.*........................... 22,500 594,675
SBC Communications, Inc................. 804,200 19,099,750
Sprint Corp.*........................... 555,900 13,947,531
Verizon Communications, Inc............. 609,900 21,072,045
-------------
54,714,001
-------------
--------------------------------------------------------------------
SECURITY SHARES/PAR VALUE
DESCRIPTION AMOUNT (NOTE 2)
--------------------------------------------------------------------
TOBACCO - 1.9%
Altria Group, Inc........................ 203,100 $ 13,132,446
-------------
Total Common Stocks
(Cost $605,817,340) $ 608,626,600
-------------
SHORT TERM INVESTMENTS - 9.9%
U.S. GOVERNMENT & AGENCY DISCOUNT NOTES
Federal Home Loan Bank
2.600%, due 07/01/05 $ 67,180,000 67,180,000
-------------
Total Short Term Investments
(Cost $67,180,000) 67,180,000
-------------
TOTAL INVESTMENTS - 99.8%
(Cost $672,997,340) 675,806,600
Other Assets and Liabilities (net) - 0.2% 1,576,657
-------------
TOTAL NET ASSETS - 100% $ 677,383,257
=============
PORTFOLIO FOOTNOTES:
* Non-income producing security.
ADR - American Depositary Receipt
See notes to financial statements
147
MET INVESTORS SERIES TRUST
STATEMENTS OF ASSETS AND LIABILITIES
JUNE 30, 2005 (UNAUDITED)
Met/AIM Met/AIM Goldman Sachs
Mid Cap Core Equity Small Cap Growth Mid-Cap Value
Portfolio Portfolio Portfolio
------------------- ---------------- -------------
ASSETS
Investments, at value (Note 2)* $296,389,098 $575,052,012 $322,737,175
Repurchase Agreement 33,011,000 15,865,000 15,822,000
Cash 373 411 433
Cash denominated in foreign currencies** 1 -- --
Receivable for investments sold -- 16,473,129 4,238,850
Receivable for Trust shares sold 151,244 264,253 397,580
Dividends receivable 203,201 78,336 466,476
Interest receivable 2,457 1,181 879
Unrealized appreciation on forward currency contracts (Note 8) -- -- --
------------------- ---------------- -------------
Total assets 329,757,374 607,734,322 343,663,393
------------------- ---------------- -------------
LIABILITIES
Payables for:
Investments purchased 5,194,460 18,638,822 11,995,911
Trust shares redeemed 270,450 127,114 46,165
Distribution and services fees - Class B 39,093 59,022 19,634
Distribution and services fees - Class E 3,956 1,615 --
Collateral on securities on loan 36,726,477 117,552,957 --
Investment advisory fee payable (Note 3) 169,935 385,814 198,007
Administration fee payable 29,502 36,880 25,286
Custodian and accounting fees payable 13,322 34,453 15,319
Accrued expenses 39,516 53,564 25,370
------------------- ---------------- -------------
Total liabilities 42,486,711 136,890,241 12,325,692
------------------- ---------------- -------------
NET ASSETS $287,270,663 $470,844,081 $331,337,701
=================== ================ =============
NET ASSETS REPRESENTED BY:
Paid in surplus $218,739,462 $385,085,643 $283,153,533
Accumulated net realized gain (loss) 49,496,680 31,088,105 17,018,579
Unrealized appreciation (depreciation) on investments and foreign
currency 17,926,198 56,395,381 29,779,496
Undistributed (distributions in excess of) net investment income 1,108,323 (1,725,048) 1,386,093
------------------- ---------------- -------------
Total $287,270,663 $470,844,081 $331,337,701
=================== ================ =============
NET ASSETS
Class A $ 64,170,223 $170,029,862 $232,655,477
=================== ================ =============
Class B 191,251,158 287,741,809 98,682,224
=================== ================ =============
Class E 31,849,282 13,072,410 --
=================== ================ =============
CAPITAL SHARES OUTSTANDING
Class A 4,445,408 12,990,402 18,342,429
=================== ================ =============
Class B 13,339,154 22,193,370 7,783,140
=================== ================ =============
Class E 2,213,542 1,002,880 --
=================== ================ =============
NET ASSET VALUE AND OFFERING PRICE PER SHARE
Class A $ 14.44 $ 13.09 $ 12.68
=================== ================ =============
Class B 14.34 12.97 12.68
=================== ================ =============
Class E 14.39 13.03 --
=================== ================ =============
- ----------------------------------------------------------------------------------------------------------------------------
* Investments at cost, excluding Repurchase Agreement $278,465,622 $518,656,631 $292,957,679
**Cost of cash denominated in foreign currencies 1 -- --
+ Cost of written options -- -- --
See notes to financial statements
148
Harris Oakmark Janus Lord Abbett Lord Abbett Lord Abbett
International Aggressive Growth America's Value Bond Debenture Growth and Income
Portfolio Portfolio Portfolio Portfolio Portfolio
- -------------- ----------------- --------------- -------------- -----------------
$1,134,280,802 $787,233,181 $51,955,166 $1,576,648,173 $3,144,813,669
35,931,000 -- 3,010,000 107,456,000 134,840,000
108 7,126 1,598 20,896 106
291,285 39,699 -- -- --
-- 10,760,676 63,798 9,118,544 6,372,117
1,157,674 546,891 57,918 891,559 1,085,848
2,403,242 238,316 91,890 112,051 3,694,668
1,996 38,297 193,243 19,230,152 7,491
13,333,019 -- -- -- --
- -------------- ----------------- --------------- -------------- -----------------
1,187,399,126 798,864,186 55,373,613 1,713,477,375 3,290,813,899
- -------------- ----------------- --------------- -------------- -----------------
17,066,887 13,222,248 1,499,683 13,412,187 22,733,231
124,774 223,493 170 617,114 513,966
87,793 53,082 10,757 138,201 221,821
12,583 753 -- 4,370 --
168,591,160 122,755,084 -- 246,101,521 378,383,282
674,629 364,848 28,474 602,311 1,232,763
72,929 51,871 6,278 104,996 226,937
93,074 20,272 12,601 33,248 38,660
73,172 58,572 17,539 143,487 299,594
- -------------- ----------------- --------------- -------------- -----------------
186,862,206 136,750,223 1,575,502 261,157,435 403,650,254
- -------------- ----------------- --------------- -------------- -----------------
$1,000,602,125 $662,113,963 $53,798,111 $1,452,319,940 $2,887,163,645
============== ================= =============== ============== =================
$ 809,256,636 $583,664,339 $49,109,476 $1,334,273,729 $2,408,430,768
33,770,865 15,570,986 261,465 (24,424,204) 179,655,731
140,251,759 63,023,561 3,822,212 19,112,677 248,214,745
17,322,865 (144,923) 604,958 123,357,738 50,862,401
- -------------- ----------------- --------------- -------------- -----------------
$1,000,602,125 $662,113,963 $53,798,111 $1,452,319,940 $2,887,163,645
============== ================= =============== ============== =================
$ 474,187,129 $401,032,648 $ -- $ 739,513,280 $1,818,049,122
============== ================= =============== ============== =================
423,815,819 255,050,937 53,798,111 677,300,365 1,069,114,523
============== ================= =============== ============== =================
102,599,087 6,030,378 -- 35,506,295 --
============== ================= =============== ============== =================
32,397,816 52,064,160 -- 58,679,104 68,250,837
============== ================= =============== ============== =================
29,169,889 33,450,138 3,934,299 54,204,150 40,433,607
============== ================= =============== ============== =================
7,045,799 789,275 -- 2,833,122 --
============== ================= =============== ============== =================
$ 14.64 $ 7.70 $ -- $ 12.60 $ 26.64
============== ================= =============== ============== =================
14.53 7.62 13.67 12.50 26.44
============== ================= =============== ============== =================
14.56 7.64 -- 12.53 --
============== ================= =============== ============== =================
- -----------------------------------------------------------------------------------
$1,007,336,383 $724,226,741 $48,148,095 $1,560,942,005 $2,896,599,938
292,908 39,713 -- -- --
-- -- -- -- --
See notes to financial statements
149
MET INVESTORS SERIES TRUST
STATEMENTS OF ASSETS AND LIABILITIES
JUNE 30, 2005 (UNAUDITED)
Lord Abbett Lord Abbett MetLife
Growth Opportunities Mid-Cap Value Aggressive Strategy
Portfolio Portfolio Portfolio
-------------------- ------------- -------------------
ASSETS
Investments, at value (Note 2)* $67,486,814 $362,399,359 $530,726,139
Repurchase Agreement 3,680,000 8,724,000 --
Cash 891 89 6
Cash denominated in foreign currencies** -- -- --
Receivable for investments sold 6,080 -- --
Receivable for Trust shares sold -- 104,713 67,803
Dividends receivable 8,592 352,312 --
Interest receivable 128 485 --
-------------------- ------------- -------------------
Total assets 71,182,505 371,580,958 530,793,948
-------------------- ------------- -------------------
LIABILITIES
Due to Bank
Payables for:
Investments purchased 1,311,498 716,691 67,680
Trust shares redeemed 7,936 3,677 123
Distribution and services fees - Class B 7,526 40,760 108,061
Distribution and services fees - Class E -- -- --
Collateral on securities on loan 9,571,084 50,076,477 --
Investment advisory fee payable (Note 3) 30,521 177,890 35,938
Administration fee payable 9,995 27,385 1,714
Custodian and accounting fees payable 11,408 12,455 4,677
Accrued expenses 18,115 29,813 13,720
-------------------- ------------- -------------------
Total liabilities 10,968,083 51,085,148 231,913
-------------------- ------------- -------------------
NET ASSETS $60,214,422 $320,495,810 $530,562,035
==================== ============= ===================
NET ASSETS REPRESENTED BY:
Paid in surplus $51,938,735 $227,664,242 $517,531,392
Accumulated net realized gain (loss) 1,382,288 20,820,555 (147,355)
Unrealized appreciation (depreciation) on investments and foreign
currency 7,078,367 69,292,285 12,626,552
Undistributed (distributions in excess of) net investment income (184,968) 2,718,728 551,446
-------------------- ------------- -------------------
Total $60,214,422 $320,495,810 $530,562,035
==================== ============= ===================
NET ASSETS
Class A $23,148,291 $118,715,880 $ 10,470
==================== ============= ===================
Class B 37,066,131 201,779,930 530,551,565
==================== ============= ===================
Class E -- -- --
==================== ============= ===================
CAPITAL SHARES OUTSTANDING
Class A 2,243,814 5,359,571 974
==================== ============= ===================
Class B 3,639,825 9,188,814 49,374,597
==================== ============= ===================
Class E -- -- --
==================== ============= ===================
NET ASSET VALUE AND OFFERING PRICE PER SHARE
Class A $ 10.32 $ 22.15 $ 10.75
==================== ============= ===================
Class B 10.18 21.96 10.75
==================== ============= ===================
Class E -- -- --
==================== ============= ===================
- --------------------------------------------------------------------------------------------------------------------------------
*Investments at cost, excluding Repurchase Agreement $60,408,447 $293,107,074 $518,099,587
MetLife
Balanced Strategy
Portfolio
-----------------
ASSETS
Investments, at value (Note 2)* $2,770,312,517
Repurchase Agreement --
Cash --
Cash denominated in foreign currencies** --
Receivable for investments sold --
Receivable for Trust shares sold 4,348,880
Dividends receivable --
Interest receivable --
-----------------
Total assets 2,774,661,397
-----------------
LIABILITIES
Due to Bank
Payables for:
Investments purchased 4,343,972
Trust shares redeemed 4,908
Distribution and services fees - Class B 556,792
Distribution and services fees - Class E --
Collateral on securities on loan --
Investment advisory fee payable (Note 3) 78,944
Administration fee payable 1,714
Custodian and accounting fees payable 4,677
Accrued expenses 15,490
-----------------
Total liabilities 5,006,497
-----------------
NET ASSETS $2,769,654,900
=================
NET ASSETS REPRESENTED BY:
Paid in surplus $2,722,584,017
Accumulated net realized gain (loss) (3,592,693)
Unrealized appreciation (depreciation) on investments and foreign
currency 49,508,646
Undistributed (distributions in excess of) net investment income 1,154,930
-----------------
Total $2,769,654,900
=================
NET ASSETS
Class A $ 10,349
=================
Class B 2,769,644,551
=================
Class E --
=================
CAPITAL SHARES OUTSTANDING
Class A 996
=================
Class B 266,722,577
=================
Class E --
=================
NET ASSET VALUE AND OFFERING PRICE PER SHARE
Class A $ 10.39
=================
Class B 10.38
=================
Class E --
=================
- -----------------------------------------------------------------------------------------
*Investments at cost, excluding Repurchase Agreement $2,720,803,871
See notes to financial statements
150
MetLife MetLife MetLife MFS Research Neuberger Berman Oppenheimer
Defensive Strategy Growth Strategy Moderate Strategy International Real Estate Capital Appreciation
Portfolio Portfolio Portfolio Portfolio Portfolio Portfolio
- ------------------ --------------- ----------------- -------------- ---------------- --------------------
$292,009,385 $2,417,292,236 $957,392,042 $ 980,613,615 $421,280,648 $1,000,938,850
-- -- -- 15,015,000 16,733,000 57,597,000
-- -- -- 218 414 254
-- -- -- 1,864,399 -- --
838,754 -- -- 7,374,986 6,984,633 5,215,758
-- 4,884,328 1,479,125 831,604 683,186 914,203
-- -- -- 946,239 1,753,898 821,145
-- -- -- 834 930 3,200
- ------------------ --------------- ----------------- -------------- ---------------- --------------------
292,848,139 2,422,176,564 958,871,167 1,006,646,895 447,436,709 1,065,490,410
- ------------------ --------------- ----------------- -------------- ---------------- --------------------
2
838,754 4,880,711 1,477,474 11,510,340 9,210,615 --
-- 3,617 1,651 282,728 94,696 86,796
58,647 487,305 193,249 74,977 48,684 99,448
-- -- -- 1,475 3,881 16
-- -- -- 136,143,669 -- 55,797,875
16,168 77,554 70,100 518,328 238,832 593,713
1,714 1,714 1,714 62,744 30,062 68,860
4,677 4,677 4,677 112,055 12,713 40,449
13,683 16,116 14,948 65,771 18,725 79,980
- ------------------ --------------- ----------------- -------------- ---------------- --------------------
933,643 5,471,696 1,763,813 148,772,087 9,658,208 56,767,137
- ------------------ --------------- ----------------- -------------- ---------------- --------------------
$291,914,496 $2,416,704,868 $957,107,354 $ 857,874,808 $437,778,501 $1,008,723,273
================== =============== ================= ============== ================ ====================
$288,475,695 $2,365,997,053 $944,117,440 $ 741,896,335 $361,268,291 $ 958,181,966
(929,019) (614,161) (1,112,146) 65,310,508 22,587,512 14,930,901
4,578,949 48,967,976 14,359,185 39,389,598 48,229,092 33,039,925
(211,129) 2,354,000 (257,125) 11,278,367 5,693,606 2,570,481
- ------------------ --------------- ----------------- -------------- ---------------- --------------------
$291,914,496 $2,416,704,868 $957,107,354 $ 857,874,808 $437,778,501 $1,008,723,273
================== =============== ================= ============== ================ ====================
$ 10,233 $ 145,846 $ 10,286 $ 480,588,656 $159,526,927 $ 528,030,255
================== =============== ================= ============== ================ ====================
291,904,263 2,416,559,022 957,097,068 365,578,816 245,642,110 480,536,863
================== =============== ================= ============== ================ ====================
-- -- -- 11,707,336 32,609,464 156,155
================== =============== ================= ============== ================ ====================
1,018 13,739 1,009 41,998,387 11,984,093 64,661,622
================== =============== ================= ============== ================ ====================
29,071,571 227,649,723 93,981,126 32,121,262 18,475,296 59,263,742
================== =============== ================= ============== ================ ====================
-- -- -- 1,026,197 2,451,584 19,123
================== =============== ================= ============== ================ ====================
$ 10.05 $ 10.62 $ 10.19 $ 11.44 $ 13.31 $ 8.17
================== =============== ================= ============== ================ ====================
10.04 10.62 10.18 11.38 13.30 8.11
================== =============== ================= ============== ================ ====================
-- -- -- 11.41 13.30 8.17
================== =============== ================= ============== ================ ====================
- ------------------------------------------------------------------------------------------------------------
$287,430,436 $2,368,324,260 $943,032,857 $ 941,205,784 $373,051,556 $ 967,894,536
See notes to financial statements
151
MET INVESTORS SERIES TRUST
STATEMENTS OF ASSETS AND LIABILITIES
JUNE 30, 2005 (UNAUDITED)
PIMCO Inflation PIMCO Met/Putnam
Protected Bond Total Return Capital Opportunities
Portfolio Portfolio Portfolio
--------------- -------------- ---------------------
ASSETS
Investments in unaffiliated securities, at value (Note 2)* $1,444,108,001 $2,591,494,551 $57,253,099
Investment in affiliated security** -- -- --
Repurchase Agreement 183,000,000 22,044,000 217,000
Cash 2,343,405 2,777,183 437
Cash denominated in foreign currencies*** 117,165 64,453,593 --
Receivable for investments sold 30,181,914 498,461,182 316,981
Receivable for Trust shares sold 725,956 1,020,814 7,290
Dividends receivable -- -- 56,359
Interest receivable 3,069,162 14,251,705 5
Net variation margin on financial futures contracts (Note 7) 82,224 955,539 --
--------------- -------------- ---------------------
Total assets 1,663,627,827 3,195,458,567 57,851,171
--------------- -------------- ---------------------
LIABILITIES
Payables for:
Investments purchased 800,190,982 229,960,454 213,300
When-issued / delayed delivery investments (Note 2) -- 703,755,324 --
Trust shares redeemed 237,036 632,829 1,618
Securities sold short, at value (proceeds $14,995,277,
$291,449,713, and $7,329,289) (Note 2) 14,961,014 293,482,012 --
Open swap contracts at fair value (Note 10) 417,581 13,444,477 --
Unrealized depreciation on forward currency contracts (Note 8) 364,546 661,919 --
Outstanding written options**** 124,797 718,149 --
Distribution and services fees - Class B 78,492 210,274 862
Distribution and services fees - Class E -- 17,975 --
Collateral on securities on loan -- -- 11,656,815
Interest payable swap position 323,951 2,067,489 --
Investment advisory fee payable (Note 3) 343,917 834,727 32,158
Administration fee payable 68,311 135,908 9,044
Custodian and accounting fees payable 19,619 56,592 17,405
Accrued expenses 51,716 115,719 22,627
--------------- -------------- ---------------------
Total liabilities 817,181,962 1,246,093,848 11,953,829
--------------- -------------- ---------------------
NET ASSETS $ 846,445,865 $1,949,364,719 $45,897,342
=============== ============== =====================
NET ASSETS REPRESENTED BY:
Paid in surplus $ 814,396,341 $1,887,094,829 $43,385,867
Accumulated net realized gain (loss) 20,847,836 29,487,593 (1,397,555)
Unrealized appreciation (depreciation) on investments, futures
contracts, options contracts, swap contracts and foreign currency 2,129,883 8,534,635 3,691,471
Undistributed (distributions in excess of) net investment income 9,071,805 24,247,662 217,559
--------------- -------------- ---------------------
Total $ 846,445,865 $1,949,364,719 $45,897,342
=============== ============== =====================
NET ASSETS
Class A $ 464,373,330 $ 766,299,524 $41,608,625
=============== ============== =====================
Class B 382,072,535 1,034,185,037 4,288,717
=============== ============== =====================
Class E -- 148,880,158 --
=============== ============== =====================
CAPITAL SHARES OUTSTANDING
Class A 42,794,038 65,516,605 2,931,263
=============== ============== =====================
Class B 35,255,700 89,156,808 305,203
=============== ============== =====================
Class E -- 12,805,233 --
=============== ============== =====================
NET ASSET VALUE AND OFFERING PRICE PER SHARE
Class A $ 10.85 $ 11.70 $ 14.19
=============== ============== =====================
Class B 10.84 11.60 14.05
=============== ============== =====================
Class E -- 11.63 --
=============== ============== =====================
- --------------------------------------------------------------------------------------------------------------------------------
*Investments in unaffiliated securities at cost, excluding Repurchase
Agreement $1,445,380,164 $2,580,749,476 $53,561,628
**Investment in affiliated security at cost -- -- --
***Cost of cash denominated in foreign currencies 117,466 64,310,044 --
****Cost of written options 158,965 3,279,013 --
RCM Global
Technology
Portfolio
------------
ASSETS
Investments in unaffiliated securities, at value (Note 2)* $225,399,492
Investment in affiliated security** --
Repurchase Agreement 15,212,000
Cash 445
Cash denominated in foreign currencies*** 3,274
Receivable for investments sold 9,900,392
Receivable for Trust shares sold 163,496
Dividends receivable 97,873
Interest receivable 845
Net variation margin on financial futures contracts (Note 7) --
------------
Total assets 250,777,817
------------
LIABILITIES
Payables for:
Investments purchased 6,598,797
When-issued / delayed delivery investments (Note 2) --
Trust shares redeemed 294,547
Securities sold short, at value (proceeds $14,995,277,
$291,449,713, and $7,329,289) (Note 2) 7,103,615
Open swap contracts at fair value (Note 10) --
Unrealized depreciation on forward currency contracts (Note 8) --
Outstanding written options**** --
Distribution and services fees - Class B 16,027
Distribution and services fees - Class E 2,271
Collateral on securities on loan 34,301,216
Interest payable swap position --
Investment advisory fee payable (Note 3) 170,240
Administration fee payable 21,887
Custodian and accounting fees payable 11,418
Accrued expenses 29,423
------------
Total liabilities 48,549,441
------------
NET ASSETS $202,228,376
============
NET ASSETS REPRESENTED BY:
Paid in surplus $210,944,282
Accumulated net realized gain (loss) (19,238,179)
Unrealized appreciation (depreciation) on investments, futures
contracts, options contracts, swap contracts and foreign currency 11,261,780
Undistributed (distributions in excess of) net investment income (739,507)
------------
Total $202,228,376
============
NET ASSETS
Class A $108,310,905
============
Class B 75,985,583
============
Class E 17,931,889
============
CAPITAL SHARES OUTSTANDING
Class A 24,547,014
============
Class B 17,401,737
============
Class E 4,093,136
============
NET ASSET VALUE AND OFFERING PRICE PER SHARE
Class A $ 4.41
============
Class B 4.37
============
Class E 4.38
============
- ---------------------------------------------------------------------------------------
*Investments in unaffiliated securities at cost, excluding Repurchase
Agreement $214,363,418
**Investment in affiliated security at cost --
***Cost of cash denominated in foreign currencies --
****Cost of written options --
See notes to financial statements
152
Third Avenue T. Rowe Price Turner Van Kampen
Small Cap Value Mid-Cap Growth Mid-Cap Growth Comstock
Portfolio Portfolio Portfolio Portfolio
- --------------- -------------- -------------- ------------
$817,666,516 $681,993,687 $179,629,014 $608,626,600
-- 25,717,890 -- --
122,953,000 -- 6,809,000 67,180,000
444 -- 231 39,284
-- -- -- --
3,704,504 164,721 2,792,762 294,283
853,597 441,458 206,937 1,285,573
970,930 202,266 42,058 1,187,045
6,831 63,610 378 --
-- -- -- --
- --------------- -------------- -------------- ------------
946,155,822 708,583,632 189,480,380 678,612,785
- --------------- -------------- -------------- ------------
645,081 2,269,351 1,444,487 780,387
-- -- -- --
17,691 159,479 32,668 33,550
-- -- -- --
-- -- -- --
-- -- -- --
-- -- -- --
77,323 71,031 10,302 2,400
-- 2,568 -- --
175,351,718 130,330,151 -- --
-- -- -- --
462,635 346,085 127,718 349,035
53,665 45,684 17,551 10,857
19,446 18,486 15,381 30,918
61,478 52,138 20,906 22,381
- --------------- -------------- -------------- ------------
176,689,037 133,294,973 1,669,013 1,229,528
- --------------- -------------- -------------- ------------
$769,466,785 $575,288,659 $187,811,367 $677,383,257
=============== ============== ============== ============
$570,978,766 $460,796,819 $164,397,292 $673,617,782
25,326,424 28,597,826 (141,668) (1,624,298)
171,157,448 86,857,606 24,010,513 2,809,260
2,004,147 (963,592) (454,770) 2,580,513
- --------------- -------------- -------------- ------------
$769,466,785 $575,288,659 $187,811,367 $677,383,257
=============== ============== ============== ============
$386,280,773 $204,916,911 $137,651,699 $663,066,244
=============== ============== ============== ============
383,186,012 349,658,620 50,159,668 14,317,013
=============== ============== ============== ============
-- 20,713,128 -- --
=============== ============== ============== ============
25,379,280 26,647,662 12,142,713 65,886,877
=============== ============== ============== ============
25,227,202 46,010,383 4,433,056 1,423,216
=============== ============== ============== ============
-- 2,712,837 -- --
=============== ============== ============== ============
$ 15.22 $ 7.69 $ 11.34 $ 10.06
=============== ============== ============== ============
15.19 7.60 11.31 10.06
=============== ============== ============== ============
-- 7.64 -- --
=============== ============== ============== ============
- -------------------------------------------------------------
$646,511,155 $620,854,370 $160,362,501 $605,817,340
-- 25,717,890 -- --
-- -- -- --
-- -- -- --
See notes to financial statements
153
MET INVESTORS SERIES TRUST
STATEMENTS OF OPERATIONS
FOR THE SIX MONTHS ENDED JUNE 30, 2005 (UNAUDITED)
Met/AIM Met/AIM
Mid Cap Core Small Cap Growth
Equity Portfolio Portfolio
---------------- ----------------
INVESTMENT INCOME:
Dividends (1) $ 1,626,312 $ 474,183
Interest (2) 394,779 267,814
---------------- ----------------
Total investment income 2,021,091 741,997
---------------- ----------------
EXPENSES:
Investment advisory fee (Note 3) 1,063,839 1,827,013
Deferred Expense Reimbursement (Note 3) -- 173,254
Administration fees 29,537 36,784
Custody and accounting fees 42,198 74,154
Distribution fee - Class B 236,469 324,156
Distribution fee - Class E 23,016 9,253
Transfer agent fees 12,951 12,997
Audit 12,120 12,120
Legal 10,906 11,013
Trustee fees and expenses 6,875 6,875
Shareholder reporting 13,660 19,192
Insurance 3,578 6,548
Other 2,049 2,331
---------------- ----------------
Total expenses 1,457,198 2,515,690
Less fees waived and expenses reimbursed by the adviser -- --
Less broker commission recapture (38,717) (50,765)
---------------- ----------------
Net expenses 1,418,481 2,464,925
---------------- ----------------
Net investment income 602,610 (1,722,928)
---------------- ----------------
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND FOREIGN
CURRENCY RELATED TRANSACTIONS
Net realized gain (loss) on:
Investments 16,002,105 20,754,359
Foreign currency related transactions -- --
---------------- ----------------
Net realized gain (loss) on investments and foreign currency
related transactions 16,002,105 20,754,359
---------------- ----------------
Unrealized appreciation (depreciation) on investments and foreign currency
Beginning of period 29,471,839 63,681,341
End of period 17,926,198 56,395,381
---------------- ----------------
Net change in unrealized appreciation (depreciation) on investments and
foreign currency (11,545,641) (7,285,960)
---------------- ----------------
Net realized and unrealized gain (loss) on investments and foreign currency
related transactions 4,456,464 13,468,399
---------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS $ 5,059,074 $11,745,471
================ ================
- ---------------------------------------------------------------------------------------------------------------------
(1)Dividend income is net of withholding taxes of: $ 15,317 $ 1,438
(2)Interest income includes security lending income of: 5,675 123,944
Goldman Sachs
Mid-Cap Value
Portfolio
-------------
INVESTMENT INCOME:
Dividends (1) $ 2,492,709
Interest (2) 102,850
-------------
Total investment income 2,595,559
-------------
EXPENSES:
Investment advisory fee (Note 3) 1,015,900
Deferred Expense Reimbursement (Note 3) --
Administration fees 25,217
Custody and accounting fees 54,927
Distribution fee - Class B 109,549
Distribution fee - Class E --
Transfer agent fees 9,258
Audit 9,788
Legal 9,501
Trustee fees and expenses 4,866
Shareholder reporting 4,044
Insurance 2,050
Other 74
-------------
Total expenses 1,245,174
Less fees waived and expenses reimbursed by the adviser --
Less broker commission recapture (37,441)
-------------
Net expenses 1,207,733
-------------
Net investment income 1,387,826
-------------
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND FOREIGN
CURRENCY RELATED TRANSACTIONS
Net realized gain (loss) on:
Investments 14,473,657
Foreign currency related transactions --
-------------
Net realized gain (loss) on investments and foreign currency
related transactions 14,473,657
-------------
Unrealized appreciation (depreciation) on investments and foreign currency
Beginning of period 26,685,739
End of period 29,779,496
-------------
Net change in unrealized appreciation (depreciation) on investments and
foreign currency 3,093,757
-------------
Net realized and unrealized gain (loss) on investments and foreign currency
related transactions 17,567,414
-------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS $18,955,240
=============
- -----------------------------------------------------------------------------------------------
(1)Dividend income is net of withholding taxes of: $ 1,435
(2)Interest income includes security lending income of: --
See notes to financial statements
154
Harris Oakmark Janus Lord Abbett Lord Abbett Lord Abbett
International Aggressive America's Value Bond Debenture Growth and Income
Portfolio Growth Portfolio Portfolio Portfolio Portfolio
- -------------- ---------------- --------------- -------------- -----------------
$ 15,519,992 $ 2,013,504 $ 552,084 $ 1,385,237 $ 28,145,686
570,431 409,005 311,687 40,775,914 1,220,799
- -------------- ---------------- --------------- -------------- -----------------
16,090,423 2,422,509 863,771 42,161,151 29,366,485
- -------------- ---------------- --------------- -------------- -----------------
3,766,006 2,049,466 142,344 3,481,079 7,793,733
-- 55,811 -- -- --
72,554 51,463 6,508 104,387 225,009
403,127 86,691 29,879 103,224 151,281
523,561 331,512 54,748 828,257 1,375,848
67,153 4,005 -- 26,188 --
12,924 12,167 3,365 13,468 8,731
13,110 12,120 12,288 12,681 12,315
10,727 10,727 10,727 10,727 10,735
6,875 6,875 6,904 6,875 6,874
33,659 24,865 658 64,779 146,552
9,915 8,201 291 16,771 34,014
2,782 2,924 403 8,078 17,932
- -------------- ---------------- --------------- -------------- -----------------
4,922,393 2,656,827 268,115 4,676,514 9,783,024
-- -- (25,594) -- --
(75,275) (91,610) (1,630) -- (356,056)
- -------------- ---------------- --------------- -------------- -----------------
4,847,118 2,565,217 240,891 4,676,514 9,426,968
- -------------- ---------------- --------------- -------------- -----------------
11,243,305 (142,708) 622,880 37,484,637 19,939,517
- -------------- ---------------- --------------- -------------- -----------------
18,396,641 20,666,992 166,763 7,848,142 162,861,684
(147,892) -- -- --
- -------------- ---------------- --------------- -------------- -----------------
18,248,749 20,666,992 166,763 7,848,142 162,861,684
- -------------- ---------------- --------------- -------------- -----------------
154,004,079 77,807,798 3,883,374 66,428,920 528,730,437
140,251,759 63,023,561 3,822,212 19,112,677 248,214,745
- -------------- ---------------- --------------- -------------- -----------------
(13,752,320) (14,784,237) (61,162) (47,316,243) (280,515,692)
- -------------- ---------------- --------------- -------------- -----------------
4,496,429 5,882,755 105,601 (39,468,101) (117,654,008)
- -------------- ---------------- --------------- -------------- -----------------
$ 15,739,734 $ 5,740,047 $ 728,481 $ (1,983,464) $ (97,714,491)
============== ================ =============== ============== =================
- -------------------------------------------------------------------------------------
$ 2,104,977 $ 93,821 $ 195 $ -- $ 280,212
334,318 27,173 -- 381,148 81,752
See notes to financial statements
155
MET INVESTORS SERIES TRUST
STATEMENTS OF OPERATIONS
FOR THE SIX MONTHS ENDED JUNE 30, 2005 (UNAUDITED)
Lord Abbett Lord Abbett
Growth Opportunities Mid-Cap
Portfolio Value Portfolio
-------------------- ---------------
INVESTMENT INCOME:
Dividends (1) $ 115,599 $ 2,382,326
Interest (2) 11,798 75,028
-------------------- ---------------
Total investment income 127,397 2,457,354
-------------------- ---------------
EXPENSES:
Investment advisory fee (Note 3) 207,534 1,033,482
Deferred Expense Reimbursement (Note 3) -- --
Administration fees 10,188 27,461
Custody and accounting fees 30,660 39,148
Distribution fee - Class B 44,042 229,723
Distribution fee - Class E -- --
Transfer agent fees 6,756 7,339
Audit 11,924 11,924
Legal 10,727 10,727
Trustee fees and expenses 6,873 6,875
Shareholder reporting 1,865 15,047
Insurance 724 3,712
Other 1,052 1,623
-------------------- ---------------
Total expenses 332,345 1,387,061
Less fees waived and expenses reimbursed by the adviser (21,473) --
Less broker commission recapture -- (10,319)
-------------------- ---------------
Net expenses 310,872 1,376,742
-------------------- ---------------
Net investment income (183,475) 1,080,612
-------------------- ---------------
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND
FOREIGN CURRENCY RELATED TRANSACTIONS
Net realized gain (loss) on:
Investments 1,938,457 8,600,926
-------------------- ---------------
Net realized gain (loss) on investments and foreign
currency related transactions 1,938,457 8,600,926
-------------------- ---------------
Unrealized appreciation (depreciation) on investments and foreign
currency
Beginning of period 9,554,478 71,645,111
End of period 7,078,367 69,292,285
-------------------- ---------------
Net change in unrealized appreciation (depreciation) on
investments and foreign currency (2,476,111) (2,352,826)
-------------------- ---------------
Net realized and unrealized gain (loss) on investments and foreign
currency related transactions (537,654) 6,248,100
-------------------- ---------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS $ (721,129) $ 7,328,712
==================== ===============
- ---------------------------------------------------------------------------------------------------------------
(1)Dividend income is net of withholding taxes of: $ 783 $ 6,815
(2)Interest income includes security lending income of: 4,537 11,182
MetLife MetLife
Aggressive Strategy Balanced Strategy
Portfolio Portfolio
------------------- -----------------
INVESTMENT INCOME:
Dividends (1) $ 1,061,403 $ 3,382,288
Interest (2) -- --
------------------- -----------------
Total investment income 1,061,403 3,382,288
------------------- -----------------
EXPENSES:
Investment advisory fee (Note 3) 224,681 871,540
Deferred Expense Reimbursement (Note 3) -- --
Administration fees 14,877 14,877
Custody and accounting fees 13,502 13,502
Distribution fee - Class B 563,214 2,875,792
Distribution fee - Class E -- --
Transfer agent fees 5,554 5,559
Audit 8,226 8,226
Legal 7,281 7,281
Trustee fees and expenses 6,423 6,425
Shareholder reporting 1,850 11,689
Insurance 813 813
Other 327 328
------------------- -----------------
Total expenses 846,748 3,816,032
Less fees waived and expenses reimbursed by the adviser (58,248) (47,538)
Less broker commission recapture -- --
------------------- -----------------
Net expenses 788,500 3,768,494
------------------- -----------------
Net investment income 272,903 (386,206)
------------------- -----------------
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND
FOREIGN CURRENCY RELATED TRANSACTIONS
Net realized gain (loss) on:
Investments (147,355) (3,592,693)
------------------- -----------------
Net realized gain (loss) on investments and foreign
currency related transactions (147,355) (3,592,693)
------------------- -----------------
Unrealized appreciation (depreciation) on investments and foreign
currency
Beginning of period 6,409,313 12,280,495
End of period 12,626,552 49,508,646
------------------- -----------------
Net change in unrealized appreciation (depreciation) on
investments and foreign currency 6,217,239 37,228,151
------------------- -----------------
Net realized and unrealized gain (loss) on investments and foreign
currency related transactions 6,069,884 33,635,458
------------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS $ 6,342,788 $33,249,252
=================== =================
- ---------------------------------------------------------------------------------------------------------------
(1)Dividend income is net of withholding taxes of: $ -- $ --
(2)Interest income includes security lending income of: -- --
See notes to financial statements
156
MetLife MetLife MetLife MFS Research Neuberger Berman Oppenheimer Capital
Defensive Strategy Growth Strategy Moderate Strategy International Real Estate Appreciation
Portfolio Portfolio Portfolio Portfolio Portfolio Portfolio
- ------------------ --------------- ----------------- ------------- ---------------- -------------------
$ 56,261 $ 4,109,578 $ 596,816 $ 11,901,036 $ 6,523,364 $ 5,710,656
-- -- -- 424,777 117,243 354,253
- ------------------ --------------- ----------------- ------------- ---------------- -------------------
56,261 4,109,578 596,816 12,325,813 6,640,607 6,064,909
- ------------------ --------------- ----------------- ------------- ---------------- -------------------
111,542 778,067 380,599 2,866,837 1,082,587 2,762,401
-- -- -- 465,232 -- 272,191
14,877 14,877 14,877 62,427 29,970 72,260
13,502 13,502 13,502 442,204 34,649 92,592
278,848 2,513,629 995,648 435,702 217,053 629,168
-- -- -- 8,864 19,027 22
5,558 5,559 5,559 14,153 11,988 12,062
8,226 8,226 8,226 13,629 9,788 12,120
7,490 7,281 7,281 10,727 7,866 14,972
6,423 6,423 6,971 6,872 4,866 6,915
494 11,148 3,799 27,715 8,620 39,378
813 813 813 8,026 2,365 12,764
330 329 328 2,850 75 5,433
- ------------------ --------------- ----------------- ------------- ---------------- -------------------
448,103 3,359,854 1,437,603 4,365,238 1,428,854 3,932,278
(57,713) (47,117) (43,695) -- -- --
-- -- -- (105,313) (86,352) (5,908)
- ------------------ --------------- ----------------- ------------- ---------------- -------------------
390,390 3,312,737 1,393,908 4,259,925 1,342,502 3,926,370
- ------------------ --------------- ----------------- ------------- ---------------- -------------------
(334,129) 796,841 (797,092) 8,065,888 5,298,105 2,138,539
- ------------------ --------------- ----------------- ------------- ---------------- -------------------
(929,019) (614,161) (1,112,146) 30,275,912 21,760,512 9,844,028
- ------------------ --------------- ----------------- ------------- ---------------- -------------------
(929,019) (614,161) (1,112,146) 30,275,912 21,760,512 9,844,028
- ------------------ --------------- ----------------- ------------- ---------------- -------------------
(468,308) 20,658,397 801,115 95,219,610 44,064,459 66,409,391
4,578,949 48,967,976 14,359,185 39,389,598 48,229,092 33,039,925
- ------------------ --------------- ----------------- ------------- ---------------- -------------------
5,047,257 28,309,579 13,558,070 (55,830,012) 4,164,633 (33,369,466)
- ------------------ --------------- ----------------- ------------- ---------------- -------------------
4,118,238 27,695,418 12,445,924 (25,554,100) 25,925,145 (23,525,438)
- ------------------ --------------- ----------------- ------------- ---------------- -------------------
$3,784,109 $28,492,259 $11,648,832 $(17,488,212) $31,223,250 $(21,386,899)
================== =============== ================= ============= ================ ===================
- -------------------------------------------------------------------------------------------------------------
$ -- $ -- $ -- $ 1,633,524 $ 21,736 $ 104,398
-- -- -- 320,390 -- 18,605
See notes to financial statements
157
MET INVESTORS SERIES TRUST
STATEMENTS OF OPERATIONS
FOR THE SIX MONTHS ENDED JUNE 30, 2005 (UNAUDITED)
PIMCO Inflation PIMCO Met/Putnam
Protected Bond Total Return Capital Opportunities
Portfolio Portfolio Portfolio
--------------- ------------ ---------------------
INVESTMENT INCOME:
Dividends (1) $ 20,067 $ 244,466 $ 332,789
Interest (2) 12,092,056 33,843,655 48,393
--------------- ------------ ---------------------
Total investment income 12,112,123 34,088,121 381,182
--------------- ------------ ---------------------
EXPENSES:
Investment advisory fee (Note 3) 2,158,114 4,596,599 197,070
Deferred Expense Reimbursement (Note 3) -- 220,000 --
Administration fees 67,967 138,895 9,278
Custody and accounting fees 80,201 226,700 34,864
Distribution fee - Class B 495,501 1,236,257 4,914
Distribution fee - Class E -- 106,833 --
Transfer agent fees 7,502 17,555 7,690
Audit 12,549 12,679 11,924
Legal 10,727 14,972 10,727
Trustee fees and expenses 6,904 8,766 6,875
Shareholder reporting 13,798 80,524 934
Insurance 9,988 21,018 662
Organizational expense -- -- --
Other 3,732 10,066 657
Interest expense on reverse repurchase agreement -- 264 --
--------------- ------------ ---------------------
Total expenses 2,866,983 6,691,128 285,595
Less investment advisory fee waiver -- -- --
Less broker commission recapture -- -- --
--------------- ------------ ---------------------
Net expenses 2,866,983 6,691,128 285,595
--------------- ------------ ---------------------
Net investment income 9,245,140 27,396,993 95,587
--------------- ------------ ---------------------
NET REALIZED AND UNREALIZED GAIN (LOSS) ON
INVESTMENTS, FUTURES CONTRACTS, OPTIONS CONTRACTS,
SWAP CONTRACTS AND FOREIGN CURRENCY RELATED
TRANSACTIONS
Net realized gain (loss) on:
Investments 24,161,095 10,790,650 4,923,953
Futures contracts 1,837,925 16,956,832 --
Options contracts 171,133 2,452,196 --
Swap contracts (4,578,234) (14,945,128) --
Foreign currency related transactions 217,043 3,389,213 --
--------------- ------------ ---------------------
Net realized gain (loss) on investments,
futures contracts, options contracts, swap
contracts and foreign currency related
transactions 21,808,962 18,643,763 4,923,953
--------------- ------------ ---------------------
Unrealized appreciation (depreciation) on
investments, futures contracts, options
contracts, swap contracts and foreign currency
Beginning of period 14,234,514 6,624,166 8,665,754
End of period 2,129,883 8,534,635 3,691,471
--------------- ------------ ---------------------
Net change in unrealized appreciation
(depreciation) on investments, futures
contracts, options contracts, swap contracts
and foreign currency (12,104,631) 1,910,469 (4,974,283)
--------------- ------------ ---------------------
Net realized and unrealized gain (loss) on
investments, futures contracts, options
contracts, swap contracts and foreign currency
related transactions 9,704,331 20,554,232 (50,330)
--------------- ------------ ---------------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM
OPERATIONS $ 18,949,471 $ 47,951,225 $ 45,257
=============== ============ =====================
- --------------------------------------------------------------------------------------------------------------------
(1)Dividend income is net of withholding taxes of: $ -- $ 7 $ 599
(2)Interest income includes security lending income of: -- -- 18,319
*For the period 5/1/2005 (commencement of operations)
through 6/30/2005
See notes to financial statements
158
RCM Global Third Avenue T. Rowe Price Turner Van Kampen
Technology Small Cap Value Mid-Cap Growth Mid-Cap Growth Comstock
Portfolio Portfolio Portfolio Portfolio Portfolio*
- ----------- --------------- -------------- -------------- -----------
$ 233,058 $ 4,059,149 $ 1,169,575 $ 280,337 $ 3,064,702
193,116 1,125,827 425,733 60,953 244,999
- ----------- --------------- -------------- -------------- -----------
426,174 5,184,976 1,595,308 341,290 3,309,701
- ----------- --------------- -------------- -------------- -----------
891,750 2,530,546 1,970,801 659,825 658,682
117,863 -- 2,646 -- --
21,973 53,483 45,573 17,550 10,857
35,125 61,916 60,539 38,469 30,918
111,180 459,741 410,189 67,344 3,520
-- -- 15,333 -- --
12,908 8,385 12,598 7,469 4,327
12,120 12,328 12,120 9,788 4,837
10,727 10,727 10,727 9,501 3,139
6,875 6,875 6,875 4,865 2,523
5,255 28,474 23,224 2,781 6,862
2,928 7,595 5,864 1,843 694
-- -- -- -- --
3,705 3,099 3,116 249 2,829
-- -- -- -- --
- ----------- --------------- -------------- -------------- -----------
1,232,409 3,183,169 2,579,605 819,684 729,188
-- -- (14,716) -- --
(69,362) -- (13,757) (25,357) --
- ----------- --------------- -------------- -------------- -----------
1,163,047 3,183,169 2,551,132 794,327 729,188
- ----------- --------------- -------------- -------------- -----------
(736,873) 2,001,807 (955,824) (453,037) 2,580,513
- ----------- --------------- -------------- -------------- -----------
(3,752,160) 22,884,929 14,142,240 3,474,103 (1,624,298)
-- -- -- -- --
84,569 -- -- -- --
-- -- -- -- --
-- -- -- -- --
- ----------- --------------- -------------- -------------- -----------
(3,667,591) 22,884,929 14,142,240 3,474,103 (1,624,298)
- ----------- --------------- -------------- -------------- -----------
15,839,761 154,022,131 89,052,114 24,500,397 --
11,261,780 171,157,448 86,857,606 24,010,513 2,809,260
- ----------- --------------- -------------- -------------- -----------
(4,577,981) 17,135,317 (2,194,508) (489,884) 2,809,260
- ----------- --------------- -------------- -------------- -----------
(8,245,572) 40,020,246 11,947,732 2,984,219 1,184,962
- ----------- --------------- -------------- -------------- -----------
$(8,982,445) $ 42,022,053 $10,991,908 $ 2,531,182 $ 3,765,475
=========== =============== ============== ============== ===========
- -------------------------------------------------------------------------
$ 15,114 $ 138,889 $ 9,919 $ 340 $ 96,040
38,629 310,232 71,053 -- --
See notes to financial statements
159
MET INVESTORS SERIES TRUST
STATEMENTS OF CHANGES IN NET ASSETS
Met/AIM Met/AIM
Mid Cap Core Equity Portfolio Small Cap Growth Portfolio
--------------------------- ---------------------------
Period Ended Year Ended Period Ended Year Ended
June 30, 2005 December 31, June 30, 2005 December 31,
(Unaudited) 2004 (Unaudited) 2004
------------------------------ ----------------------------
INCREASE (DECREASE) IN NET ASSETS:
OPERATIONS:
Net investment income (loss) $ 602,610 $ 499,142 $ (1,722,928) $ (3,616,147)
Net realized gain (loss) on investments and
currency related transactions 16,002,105 33,878,964 20,754,359 11,908,664
Net change in unrealized appreciation
(depreciation) on investments and foreign
currency related transactions (11,545,641) 849,828 (7,285,960) 24,758,381
------------ ------------- ------------ -------------
Net increase (decrease) in net assets resulting
from operations 5,059,074 35,227,934 11,745,471 33,050,898
------------ ------------- ------------ -------------
DISTRIBUTIONS TO SHAREHOLDERS:
From net investment income
Class A -- -- -- --
Class B -- -- -- --
Class E -- -- -- --
From net realized gains
Class A -- -- -- --
Class B -- -- -- --
------------ ------------- ------------ -------------
Net decrease in net assets resulting from
distributions -- -- -- --
------------ ------------- ------------ -------------
CAPITAL SHARE TRANSACTIONS (NOTE 4):
Proceeds from shares sold
Class A 41,704,910 54,894,820 73,612,568 86,292,636
Class B 9,787,769 102,685,594 53,723,063 236,051,026
Class E 3,274,143 11,547,030 1,555,457 5,979,215
Net asset value of shares issued through dividend
reinvestment
Class A -- -- -- --
Class B -- -- -- --
Class E -- -- -- --
Cost of shares repurchased
Class A (37,405,856) (2,497,798) (1,669,822) (2,533,281)
Class B (32,800,164) (133,288,217) (81,615,279) (162,516,156)
Class E (2,622,886) (4,345,433) (1,110,527) (2,926,367)
------------ ------------- ------------ -------------
Net increase (decrease) in net assets from capital
share transactions (18,062,084) 28,995,996 44,495,460 160,347,073
------------ ------------- ------------ -------------
TOTAL INCREASE (DECREASE) IN NET ASSETS (13,003,010) 64,223,930 56,240,931 193,397,971
Net assets at beginning of period 300,273,673 236,049,743 414,603,150 221,205,179
------------ ------------- ------------ -------------
Net assets at end of period $287,270,663 $ 300,273,673 $470,844,081 $ 414,603,150
============ ============= ============ =============
Net assets at end of period includes undistributed
(distributions in excess of) net investment
income $ 1,108,323 $ 505,713 $ (1,725,048) $ (2,120)
============ ============= ============ =============
* For the period 5/1/2004 (commencement of operations) through
12/31/2004.
See notes to financial statements
160
Goldman Sachs Harris Oakmark
Mid-Cap Value Portfolio International Portfolio
- ----------------------------- ------------------------------
Period Ended Period Ended Period Ended Year Ended
June 30, 2005 December 31, June 30, 2005 December 31,
(Unaudited) 2004* (Unaudited) 2004
- ----------------------------- ------------------------------
$ 1,387,826 $ 690,163 $ 11,243,305 $ 6,972,943
14,473,657 4,549,248 18,248,749 16,508,247
3,093,757 26,685,739 (13,752,320) 102,823,826
------------ ------------ -------------- -------------
18,955,240 31,925,150 15,739,734 126,305,016
------------ ------------ -------------- -------------
-- (503,784) -- (67,270)
-- (246,118) -- --
-- -- -- (7,919)
-- (1,061,691) -- --
-- (942,635) -- --
------------ ------------ -------------- -------------
-- (2,754,228) -- (75,189)
------------ ------------ -------------- -------------
97,330,836 122,709,132 203,610,096 262,454,536
18,038,721 146,508,373 51,193,890 359,768,952
-- -- 28,962,415 46,840,558
-- 1,565,475 -- 67,269
-- 1,188,753 -- --
-- -- -- 7,919
(4,557,796) (600,135) (13,666,691) (4,757,148)
(28,393,460) (70,578,360) (117,845,786) (269,632,570)
-- -- (3,219,018) (5,154,361)
------------ ------------ -------------- -------------
82,418,301 200,793,238 149,034,906 389,595,155
------------ ------------ -------------- -------------
101,373,541 229,964,160 164,774,640 515,824,982
229,964,160 -- 835,827,485 320,002,503
------------ ------------ -------------- -------------
$331,337,701 $229,964,160 $1,000,602,125 $ 835,827,485
============ ============ ============== =============
$ 1,386,093 $ (1,733) $ 17,322,865 $ 6,079,560
============ ============ ============== =============
See notes to financial statements
161
MET INVESTORS SERIES TRUST
STATEMENTS OF CHANGES IN NET ASSETS
Janus Aggressive Lord Abbett America's
Growth Portfolio Value Portfolio
--------------------------- -------------------------
Period Ended Year Ended Period Ended Year Ended
June 30, 2005 December 31, June 30, 2005 December 31,
(Unaudited) 2004 (Unaudited) 2004
----------------------------- --------------------------
INCREASE (DECREASE) IN NET ASSETS:
OPERATIONS:
Net investment income (loss) $ (142,708) $ (328,535) $ 622,880 $ 592,978
Net realized gain (loss) on investments,
futures contracts, options contracts,
swap contracts and currency related
transactions 20,666,992 5,126,655 166,763 420,310
Net change in unrealized appreciation
(depreciation) on investments,
futures contracts, options contracts,
swap contracts and foreign currency
related transactions (14,784,237) 41,313,797 (61,162) 2,989,773
------------ ------------- ----------- -----------
Net increase (decrease) in net assets
resulting from operations 5,740,047 46,111,917 728,481 4,003,061
------------ ------------- ----------- -----------
DISTRIBUTIONS TO SHAREHOLDERS:
From net investment income
Class A -- -- -- --
Class B -- -- -- (602,825)
Class E -- -- -- --
From net realized gains
Class B -- -- -- (294,872)
------------ ------------- ----------- -----------
Net decrease in net assets resulting from
distributions -- -- -- (897,697)
------------ ------------- ----------- -----------
CAPITAL SHARE TRANSACTIONS (NOTE 4):
Proceeds from shares sold
Class A 152,700,846 231,046,855 -- --
Class B 4,462,077 253,256,204 17,738,431 26,071,543
Class E 1,164,598 2,264,527 -- --
Net asset value of shares issued through
dividend reinvestment
Class A -- -- -- --
Class B -- -- -- 897,697
Class E -- -- -- --
Cost of shares repurchased
Class A (9,458,955) (10,580,251) -- --
Class B (87,593,745) (201,600,167) (172,102) (3,544,101)
Class E (687,989) (1,239,917) -- --
------------ ------------- ----------- -----------
Net increase (decrease) in net assets
from capital share transactions 60,586,832 273,147,251 17,566,329 23,425,139
------------ ------------- ----------- -----------
TOTAL INCREASE (DECREASE) IN NET ASSETS 66,326,879 319,259,168 18,294,810 26,530,503
Net assets at beginning of period 595,787,084 276,527,916 35,503,301 8,972,798
------------ ------------- ----------- -----------
Net assets at end of period $662,113,963 $ 595,787,084 $53,798,111 $35,503,301
============ ============= =========== ===========
Net assets at end of period includes
undistributed (distributions in
excess of) net investment income $ (144,923) $ (2,215) $ 604,958 $ (6,214)
============ ============= =========== ===========
See notes to financial statements
162
Lord Abbett Lord Abbett Lord Abbett Growth
Bond Debenture Portfolio Growth and Income Portfolio Opportunities Portfolio
- -------------------------------- -------------------------------- ----------------------------
Period Ended Year Ended Period Ended Year Ended Period Ended Year Ended
June 30, 2005 December 31, June 30, 2005 December 31, June 30, 2005 December 31,
(Unaudited) 2004 (Unaudited) 2004 (Unaudited) 2004
- -------------------------------- -------------------------------- ----------------------------
$ 37,484,637 $ 66,921,986 $ 19,939,517 $ 30,922,004 $ (183,475) $ (314,569)
7,848,142 19,498,066 162,861,684 92,681,329 1,938,457 5,277,754
(47,316,243) 7,147,712 (280,515,692) 211,963,235 (2,476,111) 1,986,221
- -------------- -------------- -------------- -------------- ----------- -----------
(1,983,464) 93,567,764 (97,714,491) 335,566,568 (721,129) 6,949,406
- -------------- -------------- -------------- -------------- ----------- -----------
-- (16,480,060) -- (8,324,659) -- --
-- (24,779,991) -- (4,361,705) -- --
-- (1,133,005) -- -- -- --
-- -- -- -- -- --
- -------------- -------------- -------------- -------------- ----------- -----------
-- (42,393,056) -- (12,686,364) -- --
- -------------- -------------- -------------- -------------- ----------- -----------
290,636,613 307,600,359 422,975,812 732,164,945 156,749 1,848,223
84,016,433 373,022,019 20,418,692 526,114,774 2,534,899 5,987,645
2,464,926 12,794,717 -- -- -- --
-- 16,480,060 -- 8,324,659 -- --
-- 24,779,991 -- 4,361,705 -- --
-- 1,133,005 -- -- -- --
(71,091,607) (42,951,702) (412,600,831) (198,556,419) (3,225,785) (5,958,093)
(181,142,488) (425,267,564) (195,663,773) (494,272,802) (1,042,482) (1,543,452)
(2,004,978) (3,001,958) -- -- -- --
- -------------- -------------- -------------- -------------- ----------- -----------
122,878,899 264,588,927 (164,870,100) 578,136,862 (1,576,619) 334,323
- -------------- -------------- -------------- -------------- ----------- -----------
120,895,435 315,763,635 (262,584,591) 907,017,066 (2,297,748) 7,283,729
1,331,424,505 1,015,660,870 3,149,748,236 2,248,731,170 62,512,170 55,228,441
- -------------- -------------- -------------- -------------- ----------- -----------
$1,452,319,940 $1,331,424,505 $2,887,163,645 $3,149,748,236 $60,214,422 $62,512,170
============== ============== ============== ============== =========== ===========
$ 123,357,738 $ 69,369,911 $ 50,862,401 $ 30,922,884 $ (184,968) $ (1,494)
============== ============== ============== ============== =========== ===========
See notes to financial statements
163
MET INVESTORS SERIES TRUST
STATEMENTS OF CHANGES IN NET ASSETS
Lord Abbett MetLife
Mid-Cap Value Aggressive Strategy
Portfolio Portfolio
-------------------------- --------------------------
Period Ended Year Ended Period Ended Period Ended
June 30, 2005 December 31, June 30, 2005 December 31,
(Unaudited) 2004 (Unaudited) 2004*
---------------------------- ---------------------------
INCREASE (DECREASE) IN NET ASSETS:
OPERATIONS:
Net investment income (loss) $ 1,080,612 $ 1,721,411 $ 272,903 $ 911,286
Net realized gain (loss) on investments 8,600,926 16,015,176 (147,355) --
Net change in unrealized appreciation
(depreciation) on investments (2,352,826) 38,650,957 6,217,239 6,409,313
------------ ------------ ------------ ------------
Net increase (decrease) in net assets
resulting from operations 7,328,712 56,387,544 6,342,787 7,320,599
------------ ------------ ------------ ------------
DISTRIBUTIONS TO SHAREHOLDERS:
From net investment income
Class A -- (567,036) -- --
Class B -- (641,122) -- (415,966)
From net realized gains
Class A -- (2,682,707) -- --
Class B -- (3,866,110) -- (264,513)
------------ ------------ ------------ ------------
Net decrease in net assets resulting from
distributions -- (7,756,975) -- (680,479)
------------ ------------ ------------ ------------
CAPITAL SHARE TRANSACTIONS (NOTE 4):
Proceeds from shares sold
Class A 1,221,296 25,436,777 10,000 --
Class B 19,004,123 48,207,902 225,576,679 297,741,324
Net asset value of shares issued through
dividend reinvestment
Class A -- 3,249,744 -- --
Class B -- 4,507,232 -- 680,479
Cost of shares repurchased
Class A (10,246,155) (15,760,542) -- --
Class B (995,164) (833,333) (5,901,561) (527,793)
------------ ------------ ------------ ------------
Net increase (decrease) in net assets
from capital share transactions 8,984,100 64,807,780 219,685,118 297,894,010
------------ ------------ ------------ ------------
TOTAL INCREASE (DECREASE) IN NET ASSETS 16,312,812 113,438,349 226,027,905 304,534,130
Net assets at beginning of year 304,182,998 190,744,649 304,534,130 --
------------ ------------ ------------ ------------
Net assets at end of period $320,495,810 $304,182,998 $530,562,035 $304,534,130
============ ============ ============ ============
Net assets at end of period includes
undistributed (distributions in
excess of) net investment income $ 2,718,728 $ 1,638,116 $ 551,446 $ 278,543
============ ============ ============ ============
* For the period 5/1/2004 (commencement of operations) through 12/31/2004.
See notes to financial statements
164
MetLife MetLife
Balanced Strategy Defensive Strategy
Portfolio Portfolio
- -------------------------------- ----------------------------
Period Ended Period Ended Period Ended Period Ended
June 30, 2005 December 31, June 30, 2005 December 31,
(Unaudited) 2004* (Unaudited) 2004*
- -------------------------------- ----------------------------
$ (386,206) $ 16,801,133 $ (334,129) $ 2,338,495
(3,592,693) -- (929,019) --
37,228,151 12,280,495 5,047,257 (468,308)
- -------------- -------------- ------------ ------------
33,249,252 29,081,628 3,784,109 1,870,187
- -------------- -------------- ------------ ------------
-- -- -- --
-- (14,606,246) -- (2,169,357)
-- -- -- --
-- (897,795) -- (68,531)
- -------------- -------------- ------------ ------------
-- (15,504,041) -- (2,237,888)
- -------------- -------------- ------------ ------------
10,000 -- 10,000 --
1,197,862,436 1,533,412,693 170,567,608 127,961,135
-- -- -- --
-- 15,504,041 -- 2,237,888
-- -- -- --
(22,694,500) (1,266,609) (12,255,330) (23,213)
- -------------- -------------- ------------ ------------
1,175,177,936 1,547,650,125 158,322,278 130,175,810
- -------------- -------------- ------------ ------------
1,208,427,188 1,561,227,712 162,106,387 129,808,109
1,561,227,712 -- 129,808,109 --
- -------------- -------------- ------------ ------------
$2,769,654,900 $1,561,227,712 $291,914,496 $129,808,109
============== ============== ============ ============
$ 1,154,930 $ 1,541,136 $ (211,129) $ 123,000
============== ============== ============ ============
See notes to financial statements
165
MET INVESTORS SERIES TRUST
STATEMENTS OF CHANGES IN NET ASSETS
MetLife MetLife
Growth Strategy Portfolio Moderate Strategy Portfolio
------------------------------ --------------------------
Period Ended Period Ended Period Ended Period Ended
June 30, 2005 December 31, June 30, 2005 December 31,
(Unaudited) 2004* (Unaudited) 2004*
-------------------------------- ---------------------------
INCREASE (DECREASE) IN NET ASSETS:
OPERATIONS:
Net investment income (loss) $ 796,841 $ 9,983,939 $ (797,092) $ 7,177,173
Net realized gain (loss) on investments and
foreign currency related transactions (614,161) -- (1,112,146) --
Net change in unrealized appreciation
(depreciation) on investments and foreign
currency related transactions 28,309,579 20,658,397 13,558,070 801,115
-------------- -------------- ------------ ------------
Net increase (decrease) in net assets resulting
from operations 28,492,259 30,642,336 11,648,832 7,978,288
-------------- -------------- ------------ ------------
DISTRIBUTIONS TO SHAREHOLDERS:
From net investment income
Class A -- -- -- --
Class B -- (75,364,546) -- (6,421,967)
Class E -- -- -- --
From net realized gains
Class A -- -- -- --
Class B -- (1,105,742) -- (295,434)
Class E -- -- -- --
-------------- -------------- ------------ ------------
Net decrease in net assets resulting from
distributions -- (8,642,188) -- (6,716,831)
-------------- -------------- ------------ ------------
CAPITAL SHARE TRANSACTIONS (NOTE 4):
Proceeds from shares sold
Class A 145,211 10,000 --
Class B 1,013,613,865 1,348,842,649 473,383,421 492,444,381
Class E -- -- -- --
Net asset value of shares issued through dividend
reinvestment
Class A -- -- -- --
Class B -- 8,642,188 -- 6,716,831
Class E -- -- -- --
Cost of shares repurchased
Class A (92) -- -- --
Class B (4,972,000) (59,360) (28,284,817) (72,751)
Class E -- -- -- --
-------------- -------------- ------------ ------------
Net increase (decrease) in net assets from
capital share transactions 1,008,786,984 1,357,425,477 445,108,604 499,088,461
-------------- -------------- ------------ ------------
TOTAL INCREASE (DECREASE) IN NET ASSETS 1,037,279,243 1,379,425,625 456,757,436 500,349,918
Net assets at beginning of year 1,379,425,625 -- 500,349,918 --
-------------- -------------- ------------ ------------
Net assets at end of period $2,416,704,868 $1,379,425,625 $957,107,354 $500,349,918
============== ============== ============ ============
Net assets at end of period includes
undistributed (distributions in excess of)
net investment income $ 2,354,000 $ 1,557,159 $ (257,125) $ 539,967
============== ============== ============ ============
* For the period 5/1/2004 (commencement of operations) through
12/31/2004.
See notes to financial statements
166
MFS Research Neuberger Berman
International Portfolio Real Estate Portfolio
- ------------------------------ ----------------------------
Period Ended Year Ended Period Ended Period Ended
June 30, 2005 December 31, June 30, 2005 December 31,
(Unaudited) 2004 (Unaudited) 2004*
- ------------------------------ ----------------------------
$ 8,065,888 $ 2,416,749 $ 5,298,105 $ 4,202,505
30,275,912 53,491,373 21,760,512 6,909,018
(55,830,012) 51,410,241 4,164,633 44,064,459
------------ ------------- ------------ ------------
(17,488,212) 107,318,363 31,223,250 55,175,982
------------ ------------- ------------ ------------
-- -- -- (832,185)
-- -- -- (1,746,645)
-- -- -- (233,227)
-- (617,967) -- (1,991,167)
-- (851,466) -- (4,580,859)
-- (23,550) -- (570,874)
------------ ------------- ------------ ------------
-- (1,492,983) -- (9,954,957)
------------ ------------- ------------ ------------
204,255,610 230,295,788 78,950,431 76,262,218
58,100,227 289,831,263 110,446,376 197,280,431
1,861,540 8,210,830 11,926,706 18,737,104
-- 617,967 -- 2,848,333
-- 851,466 -- 6,298,135
-- 23,550 -- 808,489
(19,140,193) (15,028,001) (9,632,249) (2,967,826)
(79,819,544) (163,975,108) (47,791,465) (78,714,215)
(1,116,967) (5,550,819) (2,532,579) (585,663)
------------ ------------- ------------ ------------
164,140,673 345,276,936 141,367,220 219,967,006
------------ ------------- ------------ ------------
146,652,461 451,102,316 172,590,470 265,188,031
711,222,347 260,120,031 265,188,031 --
------------ ------------- ------------ ------------
$857,874,808 $ 711,222,347 $437,778,501 $265,188,031
============ ============= ============ ============
$ 11,278,367 $ 3,212,479 $ 5,693,606 $ (64,250)
============ ============= ============ ============
See notes to financial statements
167
MET INVESTORS SERIES TRUST
STATEMENTS OF CHANGES IN NET ASSETS
Oppenheimer Capital
Appreciation Portfolio PIMCO Inflation
----------------------------- Protected Bond Portfolio
-----------------------------
Period Ended Year Ended Period Ended Year Ended
June 30, 2005 December 31, June 30, 2005 December 31,
(Unaudited) 2004 (Unaudited) 2004
------------------------------- -----------------------------
INCREASE (DECREASE) IN NET ASSETS:
OPERATIONS:
Net investment income (loss) $ 2,138,539 $ 4,932,758 $ 9,245,140 $ 4,649,734
Net realized gain (loss) on investments,
futures contracts, options contracts,
swap contracts and foreign currency
related transactions 9,844,028 49,604,206 21,808,962 40,058,646
Net change in unrealized appreciation
(depreciation) on investments,
futures contracts, options contracts,
swap contracts and foreign currency
related transactions (33,369,466) 800,505 (12,104,631) 9,734,940
-------------- ------------- - ------------- -------------
Net increase (decrease) in net assets
resulting from operations (21,386,899) 55,337,469 18,949,471 54,443,320
-------------- ------------- - ------------- -------------
DISTRIBUTIONS TO SHAREHOLDERS:
From net investment income
Class A -- (121,135) -- (2,957,493)
Class B -- (4,403,857) -- (3,342,458)
Class E -- -- -- --
From net realized gains
Class A -- (860,091) -- (14,359,910)
Class B -- (42,042,932) -- (23,441,391)
Class E -- -- -- --
-------------- ------------- - ------------- -------------
Net decrease in net assets resulting from
distributions -- (47,427,915) -- (44,101,252)
-------------- ------------- - ------------- -------------
CAPITAL SHARE TRANSACTIONS (NOTES 4 AND 12):
Proceeds from shares sold
Class A 244,208,280 276,201,808 278,400,080 329,566,196
Class B 11,251,753 334,591,684 15,381,970 378,757,210
Class E 162,885 -- -- --
Net asset value of shares issued through
acquisition
Class A -- 18,744,683 -- --
Class B -- 59,198,053 -- --
Net asset value of shares issued through
dividend reinvestment
Class A -- 981,226 -- 17,317,403
Class B -- 46,446,689 -- 26,783,849
Class E -- -- -- --
Cost of shares repurchased
Class A (7,894,299) (3,341,835) (157,466,073) (1,182,332)
Class B (150,203,163) (389,381,422) (142,356,091) (295,438,207)
Class E (5,653) -- -- --
-------------- ------------- - ------------- -------------
Net increase (decrease) in net assets
from capital share transactions 97,519,803 373,440,887 (6,040,114) 455,804,119
-------------- ------------- - ------------- -------------
TOTAL INCREASE (DECREASE) IN NET ASSETS 76,132,904 381,350,441 12,909,357 466,146,187
Net assets at beginning of year 932,590,369 551,239,928 833,536,508 367,390,321
-------------- ------------- - ------------- -------------
Net assets at end of period $1,008,723,273 $ 932,590,369 $ 846,445,865 $ 833,536,508
============== ============= = ============= =============
Net assets at end of period includes
undistributed (distributions in
excess of) net investment income $ 2,570,481 $ 431,942 $ 9,071,805 $ (24,289)
============== ============= = ============= =============
See notes to financial statements
168
Met/Putnam Capital
PIMCO Opportunities Portfolio
Total Return Portfolio --------------------------
- --------------------------------
Period Ended Year Ended Period Ended Year Ended
June 30, 2005 December 31, June 30, 2005 December 31,
(Unaudited) 2004 (Unaudited) 2004
- -------------------------------- ---------------------------
$ 27,396,993 $ 23,273,563 $ 95,587 $ 164,202
18,643,763 49,470,077 4,923,953 5,976,598
1,910,469 (5,551,381) (4,974,283) 2,265,029
- -------------- -------------- - ----------- ------------
47,951,225 67,192,259 45,257 8,405,829
- -------------- -------------- - ----------- ------------
-- (14,778,557) -- --
-- (71,868,123) -- --
-- (10,030,527) -- --
-- -- -- --
-- -- -- --
-- -- -- --
- -------------- -------------- - ----------- ------------
-- (96,677,207) -- --
- -------------- -------------- - ----------- ------------
256,080,925 299,306,662 129,493 394,764
86,933,752 336,377,035 443,045 842,338
8,000,595 40,054,617 -- --
-- 96,940,433 -- --
-- 74,811,249 -- --
-- 14,778,557 -- --
-- 71,868,123 -- --
-- 10,030,527 -- --
(87,137,623) (27,393,396) (5,445,228) (11,359,871)
(106,222,544) (322,241,332) (196,206) (386,484)
(9,303,422) (19,571,050) -- --
- -------------- -------------- - ----------- ------------
148,351,683 574,961,425 (5,068,896) (10,509,253)
- -------------- -------------- - ----------- ------------
196,302,908 545,476,477 (5,023,639) (2,103,424)
1,753,061,811 1,207,585,334 50,920,981 53,024,405
- -------------- -------------- - ----------- ------------
$1,949,364,719 $1,753,061,811 $45,897,342 $ 50,920,981
============== ============== = =========== ============
$ 24,247,662 $ (654,766) $ 217,559 $ 121,972
============== ============== = =========== ============
See notes to financial statements
169
MET INVESTORS SERIES TRUST
STATEMENTS OF CHANGES IN NET ASSETS
RCM Global Third Avenue
Technology Portfolio Small Cap Value Portfolio
-------------------------- ---------------------------
Period Ended Year Ended Period Ended Year Ended
June 30, 2005 December 31, June 30, 2005 December 31,
(Unaudited) 2004 (Unaudited) 2004
---------------------------- ----------------------------
INCREASE (DECREASE) IN NET ASSETS:
OPERATIONS:
Net investment income (loss) $ (736,873) $ (879,804) $ 2,001,807 $ 2,301,894
Net realized gain (loss) on investments,
futures contracts, options contracts,
swap contracts and foreign currency
related transactions (3,667,591) (13,318,968) 22,884,929 12,395,932
Net change in unrealized appreciation
(depreciation) on investments,
futures contracts, options contracts,
swap contracts and foreign currency
related transactions (4,577,981) 9,470,625 17,135,317 101,882,945
------------ ------------ ------------ -------------
Net increase (decrease) in net assets
resulting from operations (8,982,445) (4,728,147) 42,022,053 116,580,771
------------ ------------ ------------ -------------
DISTRIBUTIONS TO SHAREHOLDERS:
From net investment income
Class A -- -- -- (1,065,538)
Class B -- -- -- (1,270,051)
From net realized gains
Class A -- (60,119) -- (3,675,389)
Class B -- (77,324) -- (8,327,172)
Class E -- (15,399) -- --
------------ ------------ ------------ -------------
Net decrease in net assets resulting from
distributions -- (152,842) -- (14,338,150)
------------ ------------ ------------ -------------
CAPITAL SHARE TRANSACTIONS (NOTE 4):
Proceeds from shares sold
Class A 35,730,792 62,210,581 163,290,616 199,572,136
Class B 4,506,995 81,788,974 18,259,987 217,143,110
Class E 1,001,987 10,445,465 -- --
Net asset value of shares issued through
dividend reinvestment
Class A -- 60,119 -- 4,740,927
Class B -- 77,324 -- 9,597,223
Class E -- 15,399 -- --
Cost of shares repurchased
Class A (6,219,262) (24,912,809) (6,130,563) (5,895,238)
Class B (23,743,802) (45,631,739) (89,780,659) (199,675,201)
Class E (2,434,193) (4,296,184) -- --
------------ ------------ ------------ -------------
Net increase (decrease) in net assets
from capital share transactions 8,842,517 79,757,130 85,639,381 225,482,957
------------ ------------ ------------ -------------
TOTAL INCREASE (DECREASE) IN NET ASSETS (139,928) 74,876,141 127,661,434 327,725,578
Net assets at beginning of year 202,368,304 127,492,163 641,805,351 314,079,773
------------ ------------ ------------ -------------
Net assets at end of period $202,228,376 $202,368,304 $769,466,785 $ 641,805,351
============ ============ ============ =============
Net assets at end of period includes
undistributed (distributions in
excess of) net investment income $ (739,507) $ (2,633) $ 2,004,147 $ 2,340
============ ============ ============ =============
* For the period 5/1/2004 (commencement of operations)
through 12/31/2004.
**For the period 5/1/2005 (commencement of operations)
through 6/30/2005.
See notes to financial statements
170
T. Rowe Price Turner Van Kampen
Mid-Cap Growth Portfolio Mid-Cap Growth Portfolio Comstock Portfolio
- ------------------------------ ----------------------------- -------------------
Period Ended Year Ended Period Ended Period Ended Period Ended
June 30, 2005 December 31, June 30, 2005 December 31, June 30, 2005
(Unaudited) 2004 (Unaudited) 2004* (Unaudited)**
- ------------------------------ ----------------------------- -------------------
$ (955,824) $ (2,700,285) $ (453,037) $ (517,004) $ 2,580,513
14,142,240 33,664,516 3,474,103 (3,615,771) (1,624,298)
(2,194,508) 36,620,343 (489,884) 24,500,397 2,809,260
------------ ------------- ------------ ------------ ------------
10,991,908 67,584,574 2,531,182 20,367,622 3,765,475
------------ ------------- ------------ ------------ ------------
-- -- -- -- --
-- -- -- -- --
-- -- -- -- --
-- -- -- -- --
-- -- -- -- --
------------ ------------- ------------ ------------ ------------
-- -- -- -- --
------------ ------------- ------------ ------------ ------------
62,152,603 111,891,278 58,847,803 73,955,906 661,061,712
26,762,790 166,117,329 1,382,296 129,967,413 14,356,275
1,203,242 9,661,872 -- --
-- -- -- -- --
-- -- -- -- --
-- -- -- -- --
(8,128,437) (14,266,370) (609,936) (62) (1,778,013)
(27,626,666) (180,133,824) (30,582,626) (68,048,231) (22,192)
(2,289,004) (1,965,718) -- --
------------ ------------- ------------ ------------ ------------
52,074,528 91,304,567 29,037,537 135,875,026 673,617,782
------------ ------------- ------------ ------------ ------------
63,066,436 158,889,141 31,568,719 156,242,648 677,383,257
512,222,223 353,333,082 156,242,648 -- --
------------ ------------- ------------ ------------ ------------
$575,288,659 $ 512,222,223 $187,811,367 $156,242,648 $677,383,257
============ ============= ============ ============ ============
$ (963,592) $ (7,768) $ (454,770) $ (1,733) $ 2,580,513
============ ============= ============ ============ ============
See notes to financial statements
171
MET INVESTORS SERIES TRUST
FINANCIAL HIGHLIGHTS
NET ASSET NET REALIZED/ DIVIDENDS
VALUE UNREALIZED TOTAL FROM FROM NET
BEGINNING OF NET INVESTMENT GAIN (LOSS) ON INVESTMENT INVESTMENT
SELECTED PER SHARE DATA FOR THE YEAR OR PERIOD ENDED: PERIOD INCOME (LOSS) INVESTMENTS OPERATIONS INCOME
MET/AIM MID CAP CORE EQUITY PORTFOLIO ------------ -------------- -------------- ---------- ----------
Class A
6/30/2005--(Unaudited) $14.13 $ 0.04 (a) $ 0.27 (a) $ 0.31 $ --
12/31/2004 12.33 0.08 (a) 1.72 (a) 1.80 --
12/31/2003 9.85 0.01 (a) 2.58 (a) 2.59 (0.01)
01/02/2002 to 12/31/2002 (b) 10.98 0.03 (a) (1.15)(a) (1.12) 0.00+
- ------------------------------------ ------------ -------------- -------------- ---------- ----------
Class B
6/30/2005--(Unaudited) 14.05 0.02 (a) 0.27 (a) 0.29 --
12/31/2004 12.29 0.02 (a) 1.74 (a) 1.76 --
12/31/2003 9.83 (0.01) (a) 2.57 (a) 2.56 --+
12/31/2002 11.02 -- (a) (1.18)(a) (1.18) --+
10/09/2001 to 12/31/2001 (c) 10.00 --+(a) 1.03 (a) 1.03 (0.01)
- ------------------------------------ ------------ -------------- -------------- ---------- ----------
Class E
6/30/2005--(Unaudited) 14.10 0.03 (a) 0.26 (a) 0.29 --
12/31/2004 12.32 0.04 (a) 1.74 (a) 1.78 --
12/31/2003 9.84 -- (a) 2.58 (a) 2.58 --+
04/01/2002 to 12/31/2002 (d) 11.60 0.01 (a) (1.76)(a) (1.75) --+
- ------------------------------------ ------------ -------------- -------------- ---------- ----------
MET/AIM SMALL CAP GROWTH PORTFOLIO ------------ -------------- -------------- ---------- ----------
Class A
6/30/2005--(Unaudited) $12.84 $(0.04) (a) $ 0.29 (a) $ 0.25 $ --
12/31/2004 12.03 (0.09) (a) 0.90 (a) 0.81 --
12/31/2003 8.65 (0.08) (a) 3.46 (a) 3.38 --
01/02/2002 to 12/31/2002 (b) 11.85 (0.11) (a) (3.09)(a) (3.20) --
- ------------------------------------ ------------ -------------- -------------- ---------- ----------
Class B
6/30/2005--(Unaudited) 12.74 (0.06) (a) 0.29 (a) 0.23 --
12/31/2004 11.97 (0.12) (a) 0.89 (a) 0.77 --
12/31/2003 8.62 (0.11) (a) 3.46 (a) 3.35 --
12/31/2002 11.89 (0.08) (a) (3.19)(a) (3.27) --
10/09/2001 to 12/31/2001 (c) 10.00 (0.02) (a) 1.91 (a) 1.89 --
- ------------------------------------ ------------ -------------- -------------- ---------- ----------
Class E
6/30/2005--(Unaudited) 12.80 (0.05) (a) 0.28 (a) 0.23 --
12/31/2004 12.01 (0.11) (a) 0.90 (a) 0.79 --
12/31/2003 8.64 (0.10) (a) 3.47 (a) 3.37 --
04/01/2002 to 12/31/2002 (d) 11.54 (0.05) (a) (2.85)(a) (2.90) --
- ------------------------------------ ------------ -------------- -------------- ---------- ----------
GOLDMAN SACHS MID-CAP VALUE PORTFOLIO ------------ -------------- -------------- ---------- ----------
Class A
6/30/2005--(Unaudited) $11.94 $ 0.07 (a) $ 0.67 (a) $ 0.74 $ --
05/01/2004 to 12/31/2004 (e) 10.00 0.09 (a) 2.01 (a) 2.10 (0.05)
- ------------------------------------ ------------ -------------- -------------- ---------- ----------
Class B
6/30/2005--(Unaudited) 11.95 0.05 (a) 0.68 (a) 0.73 --
05/01/2004 to 12/31/2004 (e) 10.00 0.05 (a) 2.04 (a) 2.09 (0.03)
- ------------------------------------ ------------ -------------- -------------- ---------- ----------
DISTRIBUTIONS
FROM NET
REALIZED
SELECTED PER SHARE DATA FOR THE YEAR OR PERIOD ENDED: CAPITAL GAINS
MET/AIM MID CAP CORE EQUITY PORTFOLIO -------------
Class A
6/30/2005--(Unaudited) $ --
12/31/2004 --
12/31/2003 (0.10)
01/02/2002 to 12/31/2002 (b) (0.01)
- ------------------------------------ -------------
Class B
6/30/2005--(Unaudited) --
12/31/2004 --
12/31/2003 (0.10)
12/31/2002 (0.01)
10/09/2001 to 12/31/2001 (c) --
- ------------------------------------ -------------
Class E
6/30/2005--(Unaudited) --
12/31/2004 --
12/31/2003 (0.10)
04/01/2002 to 12/31/2002 (d) (0.01)
- ------------------------------------ -------------
MET/AIM SMALL CAP GROWTH PORTFOLIO -------------
Class A
6/30/2005--(Unaudited) $ --
12/31/2004 --
12/31/2003 --
01/02/2002 to 12/31/2002 (b) --
- ------------------------------------ -------------
Class B
6/30/2005--(Unaudited) --
12/31/2004 --
12/31/2003 --
12/31/2002 --
10/09/2001 to 12/31/2001 (c) --
- ------------------------------------ -------------
Class E
6/30/2005--(Unaudited) --
12/31/2004 --
12/31/2003 --
04/01/2002 to 12/31/2002 (d) --
- ------------------------------------ -------------
GOLDMAN SACHS MID-CAP VALUE PORTFOLIO -------------
Class A
6/30/2005--(Unaudited) $ --
05/01/2004 to 12/31/2004 (e) (0.11)
- ------------------------------------ -------------
Class B
6/30/2005--(Unaudited) --
05/01/2004 to 12/31/2004 (e) (0.11)
- ------------------------------------ -------------
* Annualized
** Prior to 05/01/2003, broker rebates were excluded from the calculation of
the expense limitation.
+ Rounds to less than $0.005 per share
N/A Not Applicable
(a) Per share amounts based on average shares outstanding during the period.
(b) Commencement of operations--01/02/2002.
(c) Commencement of operations--10/09/2001.
(d) Commencement of operations--04/01/2002.
(e) Commencement of operations--05/01/2004.
(f) Excludes effect of Deferred Expense Reimbursement--See note 3 of financial
statements.
See notes to financial statements
172
RATIO OF
EXPENSES TO RATIO OF RATIO OF NET
RATIO OF AVERAGE NET EXPENSES TO INVESTMENT
NET ASSET NET ASSETS END EXPENSES TO ASSETS AFTER AVERAGE NET INCOME (LOSS)
TOTAL VALUE END OF PERIOD AVERAGE NET BROKER ASSETS BEFORE TO AVERAGE NET PORTFOLIO
DISTRIBUTIONS OF PERIOD TOTAL RETURN (IN MILLIONS) ASSETS** REBATES ** REIMBURSEMENT ASSETS TURNOVER RATE
- ------------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
$ -- $14.44 2.19 % $ 64.1 0.79% N/A 0.79% 0.59 % 37.1 %
-- 14.13 14.60 58.8 0.85 N/A 0.83 (f) 0.59 90.7
(0.11) 12.33 26.42 4.5 0.93 0.92% 0.96 (f) 0.10 36.2
(0.01) 9.85 (10.18) 4.2 0.90* 0.86* 1.64* 0.26* 37.1
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 14.34 1.99 191.3 1.04 N/A 1.04 0.33 37.1
-- 14.05 14.32 211.0 1.08 N/A 1.03 (f) 0.16 90.7
(0.10) 12.29 26.03 211.8 1.19 1.19 1.15 (f) (0.08) 36.2
(0.01) 9.83 (10.73) 32.8 1.15 1.12 1.91 -- 37.1
(0.01) 11.02 10.26 4.5 1.15* N/A 7.18* (0.06)* 18.0
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 14.39 2.06 31.8 0.94 N/A 0.94 0.45 37.1
-- 14.10 14.45 30.5 0.98 N/A 0.94 (f) 0.29 90.7
(0.10) 12.32 26.35 19.8 1.09 1.08 1.07 (f) 0.02 36.2
(0.01) 9.84 (15.17) 4.3 1.05* 1.02* 1.75* 0.13* 37.1
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
- ------------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
$ -- $13.09 1.95 % $170.0 1.05% N/A 0.97%(f) (0.67)% 48.2 %
-- 12.84 6.73 92.5 1.03 N/A 1.02 (f) (0.74) 94.9
-- 12.03 39.08 6.2 1.04 N/A 1.16 (0.78) 29.8
-- 8.65 (27.00) 6.7 1.05* 1.03%* 2.10* (0.64)* 19.50
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 12.97 1.81 287.7 1.30 N/A 1.21 (f) (0.94) 48.2
-- 12.74 6.43 309.7 1.29 N/A 1.23 (f) (1.03) 94.9
-- 11.97 38.86 206.3 1.30 N/A 1.36 (1.04) 29.8
-- 8.62 (27.50) 47.1 1.30 1.28 2.32 (0.87) 19.5
-- 11.89 18.90 7.6 1.30* N/A 5.22* (0.92)* 5.1
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 13.03 1.88 13.1 1.20 N/A 1.11 (f) (0.84) 48.2
-- 12.80 6.58 12.4 1.18 N/A 1.13 (f) (0.93) 94.9
-- 12.01 39.00 8.6 1.20 N/A 1.25 (0.94) 29.8
-- 8.64 (25.13) 1.8 1.20* 1.18* 2.23* (0.77)* 19.5
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
- ------------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
$ -- $12.68 6.20 % $232.7 0.80%* N/A 0.80%* 1.11 %* 29.5 %
(0.16) 11.94 20.98 126.0 0.97 N/A 0.98 1.19 40.8
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 12.68 6.11 98.7 1.04 N/A 1.04 0.78 29.5
(0.14) 11.95 20.85 104.0 1.14* N/A 1.14* 0.71* 40.8
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
See notes to financial statements
173
MET INVESTORS SERIES TRUST
FINANCIAL HIGHLIGHTS
NET ASSET NET REALIZED/ DIVIDENDS
VALUE UNREALIZED TOTAL FROM FROM NET
BEGINNING OF NET INVESTMENT GAIN (LOSS) ON INVESTMENT INVESTMENT
SELECTED PER SHARE DATA FOR THE YEAR OR PERIOD ENDED: PERIOD INCOME (LOSS) INVESTMENTS OPERATIONS INCOME
HARRIS OAKMARK INTERNATIONAL PORTFOLIO ------------ -------------- -------------- ---------- ----------
Class A
6/30/2005--(Unaudited) $14.36 $ 0.20 (a) $ 0.08 (a) $ 0.28 $ --
12/31/2004 11.89 0.04 (a) 2.43 (a) 2.47 --+
12/31/2003 8.89 (0.08)(a) 3.22 (a) 3.14 (0.11)
01/02/2002 to 12/31/2002 (b) 10.81 0.06 (a) (1.97)(a) (1.91) (0.01)
- ------------------------------------ ------------ -------------- -------------- ---------- ----------
Class B
6/30/2005--(Unaudited) 14.27 0.16 (a) 0.10 (a) 0.26 --
12/31/2004 11.84 0.16 (a) 2.27 (a) 2.43 --
12/31/2003 8.87 0.02 (a) 3.08 (a) 3.10 (0.10)
12/31/2002 10.84 0.01 (a) (1.97)(a) (1.96) (0.01)
10/09/2001 to 12/31/2001 (c) 10.00 (0.02)(a) 0.99 (a) 0.97 (0.01)
- ------------------------------------ ------------ -------------- -------------- ---------- ----------
Class E
6/30/2005--(Unaudited) 14.30 0.18 (a) 0.08 (a) 0.26 --
12/31/2004 11.85 0.17 (a) 2.28 (a) 2.45 --+
12/31/2003 8.87 0.03 (a) 3.08 (a) 3.11 (0.10)
04/01/2002 to 12/31/2002 (d) 10.70 (0.01)(a) (1.81)(a) (1.82) (0.01)
- ------------------------------------ ------------ -------------- -------------- ---------- ----------
JANUS AGGRESSIVE GROWTH PORTFOLIO ------------ -------------- -------------- ---------- ----------
Class A
6/30/2005--(Unaudited) $ 7.65 $ -- (a) $ 0.05 (a) $ 0.05 $ --
12/31/2004 7.03 0.01 (a) 0.61 (a) 0.62 --
12/31/2003 5.37 (0.01)(a) 1.67 (a) 1.66 --
01/02/2002 to 12/31/2002 (b) 7.44 0.01 (a) (2.08)(a) (2.07) (0.00)+
- ------------------------------------ ------------ -------------- -------------- ---------- ----------
Class B
6/30/2005--(Unaudited) 7.58 (0.01)(a) 0.05 (a) 0.04 --
12/31/2004 6.99 (0.01)(a) 0.60 (a) 0.59 --
12/31/2003 5.37 (0.02)(a) 1.64 (a) 1.62 --
12/31/2002 7.40 (0.01)(a) (2.05)(a) (2.06) (0.00)+
02/12/2001 to 12/31/2001 (e) 10.00 --+(a) (2.60)(a) (2.60) --
- ------------------------------------ ------------ -------------- -------------- ---------- ----------
Class E
6/30/2005--(Unaudited) 7.59 -- (a) 0.05 (a) 0.05 --
12/31/2004 6.99 -- (a) 0.60 (a) 0.60 --
04/17/2003 to 12/31/2003 (f) 5.65 (0.01)(a) 1.35 (a) 1.34 --
- ------------------------------------ ------------ -------------- -------------- ---------- ----------
LORD ABBETT AMERICA'S VALUE PORTFOLIO ------------ -------------- -------------- ---------- ----------
Class B
6/30/2005--(Unaudited) $13.55 $ 0.19 (a) $(0.07)(a) $ 0.12 $ --
12/31/2004 11.80 0.38 (a) 1.73 (a) 2.11 (0.24)
05/01/2003 to 12/31/2003 (g) 10.00 0.28 (a) 1.81 (a) 2.09 (0.19)
- ------------------------------------ ------------ -------------- -------------- ---------- ----------
DISTRIBUTIONS
FROM NET
REALIZED
SELECTED PER SHARE DATA FOR THE YEAR OR PERIOD ENDED: CAPITAL GAINS
HARRIS OAKMARK INTERNATIONAL PORTFOLIO -------------
Class A
6/30/2005--(Unaudited) $ --
12/31/2004 --
12/31/2003 (0.03)
01/02/2002 to 12/31/2002 (b) --
- ------------------------------------ -------------
Class B
6/30/2005--(Unaudited) --
12/31/2004 --
12/31/2003 (0.03)
12/31/2002 --
10/09/2001 to 12/31/2001 (c) (0.12)
- ------------------------------------ -------------
Class E
6/30/2005--(Unaudited) --
12/31/2004 --
12/31/2003 (0.03)
04/01/2002 to 12/31/2002 (d) --
- ------------------------------------ -------------
JANUS AGGRESSIVE GROWTH PORTFOLIO -------------
Class A
6/30/2005--(Unaudited) $ --
12/31/2004 --
12/31/2003 --
01/02/2002 to 12/31/2002 (b) --
- ------------------------------------ -------------
Class B
6/30/2005--(Unaudited) --
12/31/2004 --
12/31/2003 --
12/31/2002 --
02/12/2001 to 12/31/2001 (e) --
- ------------------------------------ -------------
Class E
6/30/2005--(Unaudited) --
12/31/2004 --
04/17/2003 to 12/31/2003 (f) --
- ------------------------------------ -------------
LORD ABBETT AMERICA'S VALUE PORTFOLIO -------------
Class B
6/30/2005--(Unaudited) $ --
12/31/2004 (0.12)
05/01/2003 to 12/31/2003 (g) (0.10)
- ------------------------------------ -------------
* Annualized
** Prior to 05/01/2003, broker rebates were excluded from the calculation of
the expense limitation.
+ Rounds to less than $0.005 per share
N/A Not Applicable
(a) Per share amounts based on average shares outstanding during the period.
(b) Commencement of operations--01/02/2002.
(c) Commencement of operations--10/09/2001.
(d) Commencement of operations--04/01/2002.
(e) Commencement of operations--02/12/2001.
(f) Commencement of operations--04/17/2003.
(g) Commencement of operations--05/01/2003.
(h) Excludes effect of Deferred Expense Reimbursement--See note 3 of financial
statements.
See notes to financial statements
174
RATIO OF
EXPENSES TO RATIO OF RATIO OF NET
RATIO OF AVERAGE NET EXPENSES TO INVESTMENT
NET ASSET NET ASSETS END EXPENSES TO ASSETS AFTER AVERAGE NET INCOME (LOSS)
TOTAL VALUE END OF PERIOD AVERAGE NET BROKER ASSETS BEFORE TO AVERAGE NET PORTFOLIO
DISTRIBUTIONS OF PERIOD TOTAL RETURN (IN MILLIONS) ASSETS** REBATES ** REIMBURSEMENT ASSETS TURNOVER RATE
- ------------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
$ -- $14.64 1.95% $474.2 0.94% N/A 0.94% 2.71% 7.7%
-- 14.36 20.80 276.4 1.04 N/A 1.03(h) 0.32 11.3
(0.14) 11.89 35.36 8.4 1.16 1.15% 1.21(h) 0.80 22.1
(0.01) 8.89 (17.64) 4.8 1.10* 1.08* 2.49* 0.68* 82.0
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 14.53 1.82 423.8 1.18 N/A 1.18 2.22 7.7
-- 14.27 20.52 483.9 1.23 N/A 1.22(h) 1.27 11.3
(0.13) 11.84 34.96 288.0 1.43 1.43 1.33(h) 0.17 22.1
(0.01) 8.87 (18.09) 17.9 1.35 1.31 2.64 0.15 82.0
(0.13) 10.84 9.69 5.8 1.35* N/A 5.69* (0.07)* 22.5
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 14.56 1.82 102.6 1.09 N/A 1.09 2.52 7.7
-- 14.30 20.69 75.5 1.14 N/A 1.12(h) 1.31 11.3
(0.13) 11.85 35.14 23.6 1.33 1.33 1.24(h) 0.24 22.1
(0.01) 8.87 (16.99) 1.5 1.25* 1.22* 2.42* (0.16)* 82.0
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
- ------------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
$ -- $ 7.70 0.65 % $401.0 0.73% N/A 0.71%(h) 0.08 % 65.0%
-- 7.65 8.82 250.8 0.90 N/A 0.85 (h) 0.15 104.7
-- 7.03 30.91 19.9 0.89 0.89% 0.90 (h) (0.09) 91.5
(0.00)+ 5.37 (27.78) 2.7 0.85 0.77 1.43 0.11 92.7
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 7.62 0.53 255.0 0.99 N/A 0.96 (h) (0.20) 65.0
-- 7.58 8.44 339.5 1.15 N/A 1.08 (h) (0.11) 104.7
-- 6.99 30.90 252.6 1.14 1.13 1.18 (h) (0.37) 91.5
(0.00)+ 5.34 (27.83) 46.8 1.10 1.00 1.69 (0.18) 92.7
-- 7.40 (26.00) 15.2 1.10* N/A 4.03* (0.11)* 98.4
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 7.64 0.66 6.0 0.88 N/A 0.86 (h) (0.09) 65.0
-- 7.59 8.58 5.5 1.05 N/A 0.98 (h) (0.05) 104.7
-- 6.99 23.72 4.1 1.10* 1.05* 1.04* (h) (0.26)* 91.5
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
- ------------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
$ -- $13.67 0.89 % $ 53.8 1.10% N/A 1.22% 2.84 % 18.4%
(0.36) 13.55 17.73 35.50 1.09 N/A 1.59 3.03 31.2
(0.29) 11.80 21.05 9.0 1.05* N/A 3.44* 3.78* 56.2
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
See notes to financial statements
175
MET INVESTORS SERIES TRUST
FINANCIAL HIGHLIGHTS
NET ASSET NET REALIZED/ DIVIDENDS
VALUE UNREALIZED TOTAL FROM FROM NET
BEGINNING OF NET INVESTMENT GAIN (LOSS) ON INVESTMENT INVESTMENT
SELECTED PER SHARE DATA FOR THE YEAR OR PERIOD ENDED: PERIOD INCOME (LOSS) INVESTMENTS OPERATIONS INCOME
LORD ABBETT BOND DEBENTURE PORTFOLIO ------------ -------------- -------------- ---------- ----------
Class A
6/30/2005--(Unaudited) $12.63 $ 0.36 (a) $(0.39)(a) $(0.03) $ --
12/31/2004 12.04 0.70 (a) 0.31 (a) 1.01 (0.42)
12/31/2003 10.24 0.73 (a) 1.27 (a) 2.00 (0.20)
12/31/2002 11.22 0.77 (a) (0.79)(a) (0.02) (0.96)
12/31/2001 11.75 0.90 (a) (0.48)(a) 0.42 (0.95)
12/31/2000 12.48 1.00 (0.90) 0.10 (0.83)
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
Class B
6/30/2005--(Unaudited) 12.54 0.32 (a) (0.39)(a) (0.04) --
12/31/2004 11.97 0.69 (a) 0.29 (a) 0.98 (0.41)
12/31/2003 10.21 0.69 (a) 1.46 (a) 2.15 (0.20)
12/31/2002 11.20 0.72 (a) (0.76)(a) (0.04) (0.95)
03/22/2001 to 12/31/2001 (b) 12.03 0.64 (a) (0.52)(a) 0.12 (0.95)
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
Class E
6/30/2005--(Unaudited) 12.57 0.32 (a) (0.39)(a) (0.04) --
12/31/2004 12.00 0.70 (a) 0.29 (a) 0.99 (0.42)
12/31/2003 10.22 0.70 (a) 1.28 (a) 1.98 (0.20)
04/01/2002 to 12/31/2002 (c) 11.27 0.53 (a) (0.62)(a) (0.09) (0.96)
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
LORD ABBETT GROWTH AND INCOME PORTFOLIO ------------ -------------- -------------- ---------- ----------
Class A
6/30/2005--(Unaudited) $27.44 $ 0.19 (a) $(0.99)(a) $(0.80) $ --
12/31/2004 24.41 0.33 (a) 2.82 (a) 3.15 (0.12)
12/31/2003 18.86 0.23 (a) 5.56 (a) 5.79 (0.24)
12/31/2002 25.05 0.21 (a) (4.67)(a) (4.46) (0.21)
12/31/2001 26.82 0.25 (a) (1.80)(a) (1.55) (0.22)
12/31/2000 24.07 -- 3.26 3.26 (0.28)
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
Class B
6/30/2005--(Unaudited) 27.27 0.15 (a) (0.98)(a) (0.83) --
12/31/2004 24.29 0.27 (a) 2.80 (a) 3.07 (0.09)
12/31/2003 18.78 0.18 (a) 5.54 (a) 5.72 (0.21)
12/31/2002 25.01 0.17 (a) (4.67)(a) (4.50) (0.21)
03/22/2001 to 12/31/2001 (d) 23.59 0.13 (a) 1.51 (a) 1.64 (0.22)
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
LORD ABBETT GROWTH OPPORTUNITIES PORTFOLIO ------------ -------------- -------------- ---------- ----------
Class A
6/30/2005--(Unaudited) $10.43 $(0.02)(a) $(0.09)(a) $(0.11) $ --
12/31/2004 9.24 (0.04)(a) 1.23 (a) 1.19 --
12/31/2003 6.78 (0.05)(a) 2.51 (a) 2.46 --
12/31/2002 8.95 (0.04)(a) (2.13)(a) (2.17) --
05/01/2001 to 12/31/2001 (e) 9.58 (0.03)(a) (0.60)(a) (0.63) --
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
Class B
6/30/2005--(Unaudited) 10.30 (0.04)(a) (0.08)(a) (0.12) --
12/31/2004 9.16 (0.06)(a) 1.20 (a) 1.14 --
12/31/2003 6.75 (0.07)(a) 2.48 (a) 2.41 --
12/31/2002 8.93 (0.06)(a) (2.12)(a) (2.18) --
02/12/2001 to 12/31/2001 (f) 10.00 (0.06)(a) (1.01)(a) (1.07) --
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
DISTRIBUTIONS
FROM NET
REALIZED
SELECTED PER SHARE DATA FOR THE YEAR OR PERIOD ENDED: CAPITAL GAINS
LORD ABBETT BOND DEBENTURE PORTFOLIO -------------
Class A
6/30/2005--(Unaudited) $ --
12/31/2004 --
12/31/2003 --
12/31/2002 --
12/31/2001 --
12/31/2000 --
- ------------------------------------- -------------
Class B
6/30/2005--(Unaudited) --
12/31/2004 --
12/31/2003 (0.19)
12/31/2002 --
03/22/2001 to 12/31/2001 (b) --
- ------------------------------------- -------------
Class E
6/30/2005--(Unaudited) --
12/31/2004 --
12/31/2003 --
04/01/2002 to 12/31/2002 (c) --
- ------------------------------------- -------------
LORD ABBETT GROWTH AND INCOME PORTFOLIO -------------
Class A
6/30/2005--(Unaudited) $ --
12/31/2004 --
12/31/2003 --
12/31/2002 (1.52)
12/31/2001 --
12/31/2000 (0.23)
- ------------------------------------- -------------
Class B
6/30/2005--(Unaudited) --
12/31/2004 --
12/31/2003 --
12/31/2002 (1.52)
03/22/2001 to 12/31/2001 (d) --
- ------------------------------------- -------------
LORD ABBETT GROWTH OPPORTUNITIES PORTFOLIO -------------
Class A
6/30/2005--(Unaudited) $ --
12/31/2004 --
12/31/2003 --
12/31/2002 --
05/01/2001 to 12/31/2001 (e) --
- ------------------------------------- -------------
Class B
6/30/2005--(Unaudited) --
12/31/2004 --
12/31/2003 --
12/31/2002 --
02/12/2001 to 12/31/2001 (f) --
- ------------------------------------- -------------
* Annualized
** Prior to 05/01/2003, broker rebates were excluded from the calculation of
the expense limitation.
+ Rounds to less than $0.005 per share
N/A Not Applicable
(a) Per share amounts based on average shares outstanding during the period.
(b) Commencement of operations--03/22/2001.
(c) Commencement of operations--04/01/2002.
(d) Commencement of operations--03/22/2001.
(e) Commencement of operations--05/01/2001.
(f) Commencement of operations--02/12/2001.
(g) Excludes effect of Deferred Expense Reimbursement--See note 3 of financial
statements.
See notes to financial statements
176
RATIO OF
EXPENSES TO RATIO OF RATIO OF NET
RATIO OF AVERAGE NET EXPENSES TO INVESTMENT
NET ASSET NET ASSETS END EXPENSES TO ASSETS AFTER AVERAGE NET INCOME (LOSS)
TOTAL VALUE END OF PERIOD AVERAGE NET BROKER ASSETS BEFORE TO AVERAGE NET PORTFOLIO
DISTRIBUTIONS OF PERIOD TOTAL RETURN (IN MILLIONS) ASSETS** REBATES ** REIMBURSEMENT ASSETS TURNOVER RATE
- ------------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
$ -- $12.60 (0.24)% $ 739.5 0.57% N/A 0.57% 5.81 % 27.5%
(0.42) 12.63 8.43 520.3 0.63 N/A N/A 5.65 39.8
(0.20) 12.04 19.52 234.6 0.70 N/A 0.67 (g) 6.52 36.9
(0.96) 10.24 (0.39) 202.1 0.70 N/A 0.77 7.43 45.8
(0.95) 11.22 3.76 154.2 0.72 N/A 0.75 7.76 66.2
(0.83) 11.75 0.87 155.2 0.85 N/A 0.86 7.78 64.9
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 12.50 (0.32) 677.3 0.81 N/A 0.81 5.28 27.5
(0.41)# 12.54 8.17 776.0 0.88 N/A N/A 5.61 39.8
(0.39) 11.97 19.15 758.2 0.96 N/A 0.91 (g) 6.11 36.9
(0.95) 10.21 (0.57) 197.4 0.95 N/A 1.05 7.12 45.8
(0.95) 11.20 1.17 31.8 0.95* N/A 0.98* 7.38* 66.2
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 12.53 (0.32) 35.5 0.71 N/A 0.71 5.25 27.5
(0.42) 12.57 8.24 35.2 0.78 N/A N/A 5.67 39.8
(0.20) 12.00 19.35 22.8 0.86 N/A 0.81 (g) 6.10 36.9
(0.96) 10.22 (1.03) 2.5 0.85* N/A 0.98* 7.12* 45.8
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
- ------------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
$ -- $26.64 (2.92)% $1,818.0 0.53% N/A 0.53% 1.39 % 22.9%
(0.12) 27.44 12.92 1,867.5 0.57 N/A 0.56 (g) 1.30 29.7
(0.24) 24.41 31.06 1,167.7 0.62 0.61% 0.62 (g) 1.13 37.0
(1.73) 18.86 (17.95) 890.2 0.65 0.63 0.67 0.94 55.4
(0.22) 25.05 (5.77) 1,205.5 0.64 N/A 0.64 1.04 69.7
(0.51) 26.82 14.68 944.6 0.70 N/A N/A 1.32 51.7
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 26.44 (3.04) 1,069.0 0.78 N/A 0.78 1.14 22.9
(0.09) 27.27 12.65 1,282.3 0.82 N/A 0.80 (g) 1.08 29.7
(0.21) 24.29 30.73 1,081.0 0.86 0.86 0.86 (g) 0.87 37.0
(1.73) 18.78 (18.12) 337.3 0.90 0.88 0.93 0.78 55.4
(0.22) 25.01 6.96 98.7 0.89* N/A 0.89* 0.72* 69.7
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
- ------------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
$ -- $10.32 (1.05)% $ 23.1 0.90% N/A 0.97% (0.47)% 34.7%
-- 10.43 12.76 26.5 0.90 N/A 0.95 (0.43) 99.5
-- 9.24 36.43 27.6 0.90 N/A 1.04 (0.57) 119.0
-- 6.78 (24.25) 3.8 0.85 N/A 1.69 (0.52) 89.6
-- 8.95 (6.58) 0.9 0.85* N/A 5.19* (0.54)* 89.1
- --------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 10.18 (1.17) 37.1 1.15 N/A 1.22 (0.72) 34.7
-- 10.30 12.45 36.0 1.15 N/A 1.20 (0.66) 99.5
-- 9.16 35.70 27.6 1.14 N/A 1.39 (0.83) 119.0
-- 6.75 (24.41) 13.7 1.10 N/A 1.98 (0.77) 89.6
-- 8.93 (10.70) 8.4 1.10* N/A 5.44* (0.78)* 89.1
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
See notes to financial statements
177
MET INVESTORS SERIES TRUST
FINANCIAL HIGHLIGHTS
NET ASSET NET REALIZED/ DIVIDENDS
VALUE UNREALIZED TOTAL FROM FROM NET
BEGINNING OF NET INVESTMENT GAIN (LOSS) ON INVESTMENT INVESTMENT
SELECTED PER SHARE DATA FOR THE YEAR OR PERIOD ENDED: PERIOD INCOME (LOSS) INVESTMENTS OPERATIONS INCOME
LORD ABBETT MID-CAP VALUE PORTFOLIO ------------ -------------- -------------- ---------- ----------
Class A
6/30/2005--(Unaudited) $21.64 $ 0.09 (a) $ 0.42 (a) $ 0.51 $ --
12/31/2004 17.80 0.17 (a) 4.25 (a) 4.42 (0.10)
12/31/2003 14.41 0.15 (a) 3.62 (a) 3.77 (0.11)
12/31/2002 16.64 0.16 (a) (1.71)(a) (1.55) (0.07)
12/31/2001 16.92 0.14 (a) 1.14 (a) 1.28 (0.08)
12/31/2000 11.17 0.08 (a) 5.79 5.87 (0.04)
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
Class B
6/30/2005--(Unaudited) 21.48 0.07 (a) 0.41 (a) 0.48 --
12/31/2004 17.70 0.12 (a) 4.22 (a) 4.34 (0.08)
12/31/2003 14.35 0.11 (a) 3.60 (a) 3.71 (0.09)
12/31/2002 16.62 0.13 (a) (1.72)(a) (1.59) (0.07)
04/03/2001 to 12/31/2001 (b) 16.41 0.08 (a) 1.69 (a) 1.77 (0.08)
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
METLIFE AGGRESSIVE STRATEGY PORTFOLIO ------------ -------------- -------------- ---------- ----------
Class A
5/01/2005-6/30-2005--(Unaudited) (c) $10.27 $ -- (a) $ 0.48 (a) $ 0.48 $ --
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
Class B
6/30/2005--(Unaudited) 10.69 0.02 (a) 0.04 (a) 0.06 --
11/04/2004--12/31/2004 (d) 10.00 0.08 (a) 0.64 (a) 0.72 (0.03)
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
METLIFE BALANCED STRATEGY PORTFOLIO ------------ -------------- -------------- ---------- ----------
Class A
5/01/2005-6/30-2005--(Unaudited) (c) $10.04 $ -- (a) $ 0.35 (a) $ 0.35 $ --
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
Class B
6/30/2005--(Unaudited) 10.31 0.01 (a) 0.06 (a) 0.07 --
11/04/2004--12/31/2004 (d) 10.00 0.28 (a) 0.14 (a) 0.42 (0.11)
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
METLIFE DEFENSIVE STRATEGY PORTFOLIO ------------ -------------- -------------- ---------- ----------
Class A
5/01/2005-6/30-2005--(Unaudited) (c) $ 9.82 $ -- (a) $ 0.23 (a) $ 0.23 $ --
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
Class B
6/30/2005--(Unaudited) 9.95 -- (a) 0.09 (a) 0.09 --
11/04/2004--12/31/2004 (d) 10.00 0.42 (a) (0.29)(a) 0.13 (0.18)
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
METLIFE GROWTH STRATEGY PORTFOLIO ------------ -------------- -------------- ---------- ----------
Class A
5/01/2005-6/30-2005--(Unaudited) (c) $10.19 $ -- (a) $ 0.43 (a) $ 0.43 $ --
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
Class B
6/30/2005--(Unaudited) 10.56 0.02 (a) 0.04 (a) 0.06 --
11/04/2004--12/31/2004 (d) 10.00 0.19 (a) 0.44 (a) 0.63 (0.07)
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
METLIFE MODERATE STRATEGY PORTFOLIO ------------ -------------- -------------- ---------- ----------
Class A
5/01/2005-6/30-2005--(Unaudited) (c) $ 9.91 $ -- (a) $ 0.28 (a) $ 0.28 $ --
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
Class B
6/30/2005--(Unaudited) 10.11 (0.01)(a) 0.08 (a) 0.07 --
11/04/2004--12/31/2004 (d) 10.00 0.36 (a) (0.11)(a) 0.25 (0.14)
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
DISTRIBUTIONS
FROM NET
REALIZED
SELECTED PER SHARE DATA FOR THE YEAR OR PERIOD ENDED: CAPITAL GAINS
LORD ABBETT MID-CAP VALUE PORTFOLIO -------------
Class A
6/30/2005--(Unaudited) $ --
12/31/2004 (0.48)
12/31/2003 (0.27)
12/31/2002 (0.61)
12/31/2001 (1.48)
12/31/2000 (0.08)
- ------------------------------------- -------------
Class B
6/30/2005--(Unaudited) --
12/31/2004 (0.48)
12/31/2003 (0.27)
12/31/2002 (0.61)
04/03/2001 to 12/31/2001 (b) (1.48)
- ------------------------------------- -------------
METLIFE AGGRESSIVE STRATEGY PORTFOLIO -------------
Class A
5/01/2005-6/30-2005--(Unaudited) (c) $ --
- ------------------------------------- -------------
Class B
6/30/2005--(Unaudited) --
11/04/2004--12/31/2004 (d) --
- ------------------------------------- -------------
METLIFE BALANCED STRATEGY PORTFOLIO -------------
Class A
5/01/2005-6/30-2005--(Unaudited) (c) $ --
- ------------------------------------- -------------
Class B
6/30/2005--(Unaudited) --
11/04/2004--12/31/2004 (d) --
- ------------------------------------- -------------
METLIFE DEFENSIVE STRATEGY PORTFOLIO -------------
Class A
5/01/2005-6/30-2005--(Unaudited) (c) $ --
- ------------------------------------- -------------
Class B
6/30/2005--(Unaudited) --
11/04/2004--12/31/2004 (d) --
- ------------------------------------- -------------
METLIFE GROWTH STRATEGY PORTFOLIO -------------
Class A
5/01/2005-6/30-2005--(Unaudited) (c) $ --
- ------------------------------------- -------------
Class B
6/30/2005--(Unaudited) --
11/04/2004--12/31/2004 (d) --
- ------------------------------------- -------------
METLIFE MODERATE STRATEGY PORTFOLIO -------------
Class A
5/01/2005-6/30-2005--(Unaudited) (c) $ --
- ------------------------------------- -------------
Class B
6/30/2005--(Unaudited) --
11/04/2004--12/31/2004 (d) --
- ------------------------------------- -------------
* Annualized
** Prior to 05/01/2003, broker rebates were excluded from the calculation of
the expense limitation.
+ Rounds to less than $0.005 per share
N/A Not Applicable
(a) Per share amounts based on average shares outstanding during the period.
(b) Commencement of operations--04/03/2001.
(c) Commencement of operations--05/01/2005.
(d) Commencement of operations--11/04/2004.
(e) Excludes effect of Deferred Expense Reimbursement--See note 3 of financial
statements.
See notes to financial statements
178
RATIO OF
EXPENSES TO RATIO OF RATIO OF NET
RATIO OF AVERAGE NET EXPENSES TO INVESTMENT
NET ASSET NET ASSETS END EXPENSES TO ASSETS AFTER AVERAGE NET INCOME (LOSS)
TOTAL VALUE END OF PERIOD AVERAGE NET BROKER ASSETS BEFORE TO AVERAGE NET PORTFOLIO
DISTRIBUTIONS OF PERIOD TOTAL RETURN (IN MILLIONS) ASSETS** REBATES** REIMBURSEMENT ASSETS TURNOVER RATE
- ------------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
$ -- $22.15 2.36 % $ 118.7 0.76% N/A 0.76% 0.86 % 7.8%
(0.58) 21.64 24.82 125.1 0.78 N/A N/A 0.86 19.7
(0.38) 17.80 26.15 90.8 0.83 N/A 0.82(e) 0.98 18.8
(0.68) 14.41 (9.31) 74.0 0.89 0.89% 0.90 1.04 29.0
(1.56) 16.64 8.10 75.1 0.92 N/A 0.94 0.86 40.0
(0.12) 16.92 52.87 60.0 1.26 N/A N/A 0.79 66.4
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 21.96 2.23 201.8 1.01 N/A 1.01 0.62 7.8
(0.56) 21.48 24.50 179.1 1.03 N/A N/A 0.60 19.7
(0.36) 17.70 25.87 100.0 1.08 N/A 1.06(e) 0.73 18.8
(0.68) 14.35 (9.58) 51.6 1.14 1.14 1.16 0.83 29.0
(1.56) 16.62 11.33 16.9 1.15* N/A 1.17* 0.68* 40.0
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
- ------------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
$ -- $10.75 4.67 % $ -- 0.10%* N/A 0.11%* (0.11)%* N/A
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 10.75 0.56 530.5 0.35* N/A 0.37* 0.47* N/A
(0.03) 10.69 7.15 304.5 0.35* N/A 0.52* 4.77* N/A
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
- ------------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
$ -- $10.39 3.49 % $ -- 0.04%* N/A 0.04%* (0.04)%* N/A
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 10.38 0.68 2,769.6 0.33* N/A 0.33* 0.29* N/A
(0.11) 10.31 4.19 1,561.2 0.35* N/A 0.38* 17.21* N/A
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
- ------------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
$ -- $10.05 2.34 % $ -- 0.10%* N/A 0.11%* (0.11)%* N/A
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 10.04 0.90 291.9 0.35* N/A 0.40* 0.05* N/A
(0.18) 9.95 1.34 129.8 0.35* N/A 0.71* 26.11* N/A
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
- ------------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
$ -- $10.62 4.22 % $ -- 0.04%* N/A 0.04%* (0.04)%* N/A
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 10.62 0.57 2,416.5 0.33* N/A 0.33* 0.41* N/A
(0.07) 10.56 6.30 1,379.4 0.35* N/A 0.39* 11.59* N/A
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
- ------------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
$ -- $10.19 2.83 % $ -- 0.08%* N/A 0.08%* (0.08)%* N/A
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 10.18 0.69 % 957.1 0.35* N/A 0.36* (0.20)* N/A
(0.14) 10.11 2.55 500.3 0.35 N/A 0.45* 22.53* N/A
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
See notes to financial statements
179
MET INVESTORS SERIES TRUST
FINANCIAL HIGHLIGHTS
NET ASSET NET REALIZED/ DIVIDENDS
VALUE UNREALIZED TOTAL FROM FROM NET
BEGINNING OF NET INVESTMENT GAIN (LOSS) ON INVESTMENT INVESTMENT
SELECTED PER SHARE DATA FOR THE YEAR OR PERIOD ENDED: PERIOD INCOME (LOSS) INVESTMENTS OPERATIONS INCOME
MFS RESEARCH INTERNATIONAL PORTFOLIO ------------ -------------- -------------- ---------- ----------
Class A
6/30/2005--(Unaudited) $11.72 $ 0.13 (a) $(0.41)(a) $(0.28) $ --
12/31/2004 9.81 0.08 (a) 1.85 (a) 1.93 --
12/31/2003 7.49 0.06 (a) 2.34 (a) 2.40 (0.08)
12/31/2002 8.48 0.06 (a) (1.04)(a) (0.98) (0.01)
05/01/2001 to 12/31/2001 (b) 9.55 (0.01) (a) (1.04)(a) (1.05) (0.02)
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
Class B
6/30/2005--(Unaudited) 11.68 0.11 (a) (0.41)(a) (0.30) --
12/31/2004 9.79 0.05 (a) 1.86 (a) 1.91 --
12/31/2003 7.47 0.05 (a) 2.33 (a) 2.38 (0.06)
12/31/2002 8.48 0.03 (a) (1.03)(a) (1.00) (0.01)
02/12/2001 to 12/31/2001 (c) 10.00 0.01 (a) (1.52)(a) (1.51) (0.01)
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
Class E
6/30/2005--(Unaudited) 11.70 0.12 (a) (0.41)(a) (0.29) --
12/31/2004 9.80 0.07 (a) 1.85 (a) 1.92 --
12/31/2003 7.48 0.05 (a) 2.34 (a) 2.39 (0.07)
12/31/2002 8.48 0.03 (a) (1.02)(a) (0.99) (0.01)
10/31/2001 to 12/31/2001 (d) 8.15 (0.01) (a) 0.35 (a) 0.34 (0.01)
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
NEUBERGER BERMAN REAL ESTATE PORTFOLIO ------------ -------------- -------------- ---------- ----------
Class A
6/30/2005--(Unaudited) $12.47 $ 0.21 (a) $ 0.63 (a) $ 0.84 $ --
05/01/2004 to 12/31/2004 (e) 10.00 0.55 (a) 2.42 (a) 2.97 (0.22)
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
Class B
6/30/2005--(Unaudited) 12.47 0.19 (a) 0.64 (a) 0.83 --
05/01/2004 to 12/31/2004 (e) 10.00 0.26 (a) 2.69 (a) 2.95 (0.20)
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
Class E
6/30/2005--(Unaudited) 12.47 0.20 (a) 0.63 (a) 0.83 --
05/01/2004 to 12/31/2004 (e) 10.00 0.33 (a) 2.64 (a) 2.97 (0.22)
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
OPPENHEIMER CAPITAL APPRECIATION PORTFOLIO ------------ -------------- -------------- ---------- ----------
Class A
6/30/2005--(Unaudited) $ 8.36 $ 0.02 (a) $(0.21)(a) $(0.19) $ --
12/31/2004 8.33 0.07 (a) 0.47 (a) 0.54 (0.06)
12/31/2003 6.47 0.01 (a) 1.85 (a) 1.86 --
01/02/2002 to 12/31/2002 (f) 8.57 0.01+(a) (2.11)(a) (2.10) 0.00+
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
Class B
6/30/2005--(Unaudited) 8.31 0.01 (a) (0.21)(a) (0.20) --
12/31/2004 8.29 0.06 (a) 0.46 (a) 0.52 (0.05)
12/31/2003 6.45 -- 1.84 (a) 1.84 --
12/31/2002 8.57 --+(a) (2.12)(a) (2.12) 0.00+
02/12/2001 to 12/31/2001 (c) 10.00 --+(a) (1.43)(a) (1.43) --+
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
Class E
5/01/2005-6/30-2005--(Unaudited) (g) 7.97 0.01 (a) 0.19 (a) 0.20 --
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
DISTRIBUTIONS
FROM NET
REALIZED
SELECTED PER SHARE DATA FOR THE YEAR OR PERIOD ENDED: CAPITAL GAINS
MFS RESEARCH INTERNATIONAL PORTFOLIO -------------
Class A
6/30/2005--(Unaudited) $ --
12/31/2004 (0.02)
12/31/2003 --
12/31/2002 --
05/01/2001 to 12/31/2001 (b) --
- ------------------------------------- -------------
Class B
6/30/2005--(Unaudited) --
12/31/2004 (0.02)
12/31/2003 --
12/31/2002 --
02/12/2001 to 12/31/2001 (c) --
- ------------------------------------- -------------
Class E
6/30/2005--(Unaudited) --
12/31/2004 (0.02)
12/31/2003 --
12/31/2002 --
10/31/2001 to 12/31/2001 (d) --
- ------------------------------------- -------------
NEUBERGER BERMAN REAL ESTATE PORTFOLIO -------------
Class A
6/30/2005--(Unaudited) $ --
05/01/2004 to 12/31/2004 (e) (0.28)
- ------------------------------------- -------------
Class B
6/30/2005--(Unaudited) --
05/01/2004 to 12/31/2004 (e) (0.28)
- ------------------------------------- -------------
Class E
6/30/2005--(Unaudited) --
05/01/2004 to 12/31/2004 (e) (0.28)
- ------------------------------------- -------------
OPPENHEIMER CAPITAL APPRECIATION PORTFOLIO -------------
Class A
6/30/2005--(Unaudited) $ --
12/31/2004 (0.45)
12/31/2003 --
01/02/2002 to 12/31/2002 (f) --
- ------------------------------------- -------------
Class B
6/30/2005--(Unaudited) --
12/31/2004 (0.45)
12/31/2003 --
12/31/2002 --
02/12/2001 to 12/31/2001 (c) --
- ------------------------------------- -------------
Class E
5/01/2005-6/30-2005--(Unaudited) (g) --
- ------------------------------------- -------------
* Annualized
** Prior to 05/01/2003, broker rebates were excluded from the calculation of
the expense limitation.
+ Rounds to less than $0.005 per share
N/A Not Applicable
(a) Per share amounts based on average shares outstanding during the period.
(b) Commencement of operations--05/01/2001.
(c) Commencement of operations--02/12/2001.
(d) Commencement of operations--10/31/2001.
(e) Commencement of operations--05/01/2004.
(f) Commencement of operations--01/02/2002.
(g) Commencement of operations--05/01/2005.
(h) Excludes effect of Deferred Expense Reimbursement--See note 3 of financial
statements.
See notes to financial statements
180
RATIO OF
EXPENSES TO RATIO OF RATIO OF NET
RATIO OF AVERAGE NET EXPENSES TO INVESTMENT
NET ASSET NET ASSETS END EXPENSES TO ASSETS AFTER AVERAGE NET INCOME (LOSS)
TOTAL VALUE END OF PERIOD AVERAGE NET BROKER ASSETS BEFORE TO AVERAGE NET PORTFOLIO
DISTRIBUTIONS OF PERIOD TOTAL RETURN (IN MILLIONS) ASSETS** REBATES ** REIMBURSEMENT ASSETS TURNOVER RATE
- ------------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
$ -- $11.44 (2.39)% $480.6 0.99% N/A 0.87%(h) 2.31 % 38.3%
(0.02) 11.72 19.72 304.0 1.06 N/A 0.94 0.75 98.5
(0.08) 9.81 32.20 67.3 1.09 1.09% 1.11 0.68 99.0
(0.01) 7.49 (11.52) 9.4 1.00 1.00 1.86 0.73 114.1
(0.02) 8.48 (11.04) 3.7 1.00* N/A* 5.08* (0.01)* 133.6
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 11.38 (2.57)% 365.6 1.25 N/A 1.12 (h) 1.84 38.3
(0.02) 11.68 19.56 396.0 1.32 N/A 1.18 0.47 98.5
(0.06) 9.79 32.04 186.0 1.33 1.33 1.39 0.56 99.0
(0.01) 7.47 (11.80) 67.1 1.25 1.25 2.07 0.34 114.1
(0.01) 8.48 (15.14) 14.7 1.25* N/A* 5.33* 0.13 * 133.6
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 11.41 (2.48)% 11.7 1.15 N/A 1.02 (h) 2.01 38.3
(0.02) 11.70 19.64 11.3 1.22 N/A 1.09 0.72 98.5
(0.07) 9.80 32.09 6.9 1.23 1.23 1.28 0.59 99.0
(0.01) 7.48 (11.65) 1.8 1.15 1.15 1.82 0.34 114.1
(0.01) 8.48 4.22 -- 1.15* N/A * 5.23* (1.02)* 133.6
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
- ------------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
$ -- $13.31 6.74 % $159.5 0.70%* N/A 0.70%* 3.53 %* 61.9%
(0.50) 12.47 29.73 77.1 0.84 N/A 0.84 6.76 52.3
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 13.30 6.66 245.6 0.95 N/A 0.95 3.20 61.9
(0.48) 12.47 29.55 167.2 0.98 N/A 0.98 3.45 52.3
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 13.30 6.66 32.6 0.85 N/A 0.84 3.30 61.9
(0.50) 12.47 29.69 20.9 0.91 N/A 0.91 4.19 52.3
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
- ------------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
$ -- $ 8.17 (2.27)% $528.0 0.71% N/A 0.65%(h) 0.60 % 21.0%
(0.51) 8.36 6.70 298.0 0.68 N/A 0.69 (h) 0.90 65.3
-- 8.33 28.75 0.2 0.72 0.72% 0.75 (h) 0.07 36.6
0.00 6.47 (24.47) 0.7 0.75 N/A 0.99 0.17 20.6
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 8.11 (2.41) 480.5 0.95 N/A 0.90 (h) 0.33 21.0
(0.50) 8.31 6.40 634.6 0.95 N/A 0.91 (h) 0.67* 65.3
-- 8.29 28.53 551.0 0.99 0.99 0.98 (h) (0.03) 36.6
0.00 6.45 (24.73) 122.4 1.00 N/A 1.22 (0.02) 20.6
-- 8.57 (14.27) 26.9 1.00* N/A 3.21* 0.04* 29.7
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 8.17 -- 0.2 0.91* N/A 0.80* 0.41* 21.0
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
See notes to financial statements
181
MET INVESTORS SERIES TRUST
FINANCIAL HIGHLIGHTS
NET ASSET NET REALIZED/ DIVIDENDS
VALUE UNREALIZED TOTAL FROM FROM NET
BEGINNING OF NET INVESTMENT GAIN (LOSS) ON INVESTMENT INVESTMENT
SELECTED PER SHARE DATA FOR THE YEAR OR PERIOD ENDED: PERIOD INCOME (LOSS) INVESTMENTS OPERATIONS INCOME
PIMCO INFLATION PROTECTED BOND PORTFOLIO ------------ -------------- -------------- ---------- ----------
Class A
6/30/2005--(Unaudited) $10.64 $ 0.11(a) $ 0.10 (a) $ 0.21 $ --
12/31/2004 10.29 0.16(a) 0.81 (a) 0.97 (0.11)
05/01/2003 to 12/31/2003 (b) 10.00 0.07(a) 0.47 (a) 0.54 (0.04)
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
Class B
6/30/2005--(Unaudited) 10.63 0.11(a) 0.10 (a) 0.21 --
12/31/2004 10.29 0.08(a) 0.84 (a) 0.92 (0.07)
05/01/2003 to 12/31/2003 (b) 10.00 0.07(a) 0.46 (a) 0.53 (0.03)
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
PIMCO TOTAL RETURN PORTFOLIO ------------ -------------- -------------- ---------- ----------
Class A
6/30/2005--(Unaudited) $11.40 $ 0.18(a) $ 0.12 (a) $ 0.30 $ --
12/31/2004 11.61 0.20(a) 0.40 (a) 0.60 (0.81)
12/31/2003 11.34 0.28(a) 0.23 (a) 0.51 (0.13)
12/31/2002 10.35 0.33(a) 0.66 (a) 0.99 --
05/01/2001 to 12/31/2001 (c) 10.03 0.27(a) 0.40 (a) 0.67 (0.20)
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
Class B
6/30/2005--(Unaudited) 11.32 0.16(a) 0.12 (a) 0.28 --
12/31/2004 11.54 0.19(a) 0.38 (a) 0.57 (0.79)
12/31/2003 11.29 0.24(a) 0.25 (a) 0.49 (0.13)
12/31/2002 10.33 0.31(a) 0.65 (a) 0.96 --
02/12/2001 to 12/31/2001 (d) 10.00 0.32(a) 0.34 (a) 0.66 (0.18)
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
Class E
6/30/2005--(Unaudited) 11.34 0.17(a) 0.12 (a) 0.29 --
12/31/2004 11.56 0.21(a) 0.37 (a) 0.58 (0.80)
12/31/2003 11.30 0.23(a) 0.27 (a) 0.50 (0.13)
12/31/2002 10.33 0.33(a) 0.64 (a) 0.97 --
10/31/2001 to 12/31/2001 (e) 10.65 0.07(a) (0.26)(a) (0.19) (0.09)
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
MET/PUTNAM CAPITAL OPPORTUNITIES PORTFOLIO ------------ -------------- -------------- ---------- ----------
Class A
6/30/2005--(Unaudited) $14.13 $ 0.03 (a) $ 0.03 (a) $ 0.06 $ --
12/31/2004 11.92 0.04 (a) 2.17 (a) 2.21 --
12/31/2003 9.26 0.01 (a) 2.65 (a) 2.66 --
12/31/2002 11.74 --+(a) (2.47)(a) (2.47) (0.01)
12/31/2001 14.82 0.02 (a) (1.22)(a) (1.20) (0.02)
12/31/2000 17.27 0.02 (a) (1.78) (1.76) --+
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
Class B
6/30/2005--(Unaudited) 14.01 0.01 (a) 0.03 (a) 0.04 --
12/31/2004 11.84 0.01 (a) 2.16 (a) 2.17 --
12/31/2003 9.23 (2.00)(a) 4.61 (a) 2.61 --
12/31/2002 11.72 (0.02)(a) (2.46)(a) (2.48) (0.01)
04/03/2001 to 12/31/2001 (f) 12.25 --+(a) 1.35 (a) 1.35 (0.02)
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
DISTRIBUTIONS
FROM NET
REALIZED
SELECTED PER SHARE DATA FOR THE YEAR OR PERIOD ENDED: CAPITAL GAINS
PIMCO INFLATION PROTECTED BOND PORTFOLIO -------------
Class A
6/30/2005--(Unaudited) $ --
12/31/2004 (0.51)
05/01/2003 to 12/31/2003 (b) (0.21)
- ------------------------------------- -------------
Class B
6/30/2005--(Unaudited) --
12/31/2004 (0.51)
05/01/2003 to 12/31/2003 (b) (0.21)
- ------------------------------------- -------------
PIMCO TOTAL RETURN PORTFOLIO -------------
Class A
6/30/2005--(Unaudited) $ --
12/31/2004 --
12/31/2003 (0.11)
12/31/2002 --
05/01/2001 to 12/31/2001 (c) (0.15)
- ------------------------------------- -------------
Class B
6/30/2005--(Unaudited) --
12/31/2004 --
12/31/2003 (0.11)
12/31/2002 --
02/12/2001 to 12/31/2001 (d) (0.15)
- ------------------------------------- -------------
Class E
6/30/2005--(Unaudited) --
12/31/2004 --
12/31/2003 (0.11)
12/31/2002 --
10/31/2001 to 12/31/2001 (e) (0.04)
- ------------------------------------- -------------
MET/PUTNAM CAPITAL OPPORTUNITIES PORTFOLIO -------------
Class A
6/30/2005--(Unaudited) $ --
12/31/2004 --
12/31/2003 --
12/31/2002 --
12/31/2001 (1.86)
12/31/2000 (0.69)
- ------------------------------------- -------------
Class B
6/30/2005--(Unaudited) --
12/31/2004 --
12/31/2003 --
12/31/2002 --
04/03/2001 to 12/31/2001 (f) (1.86)
- ------------------------------------- -------------
* Annualized
** Prior to 05/01/2003, broker rebates were excluded from the calculation of
the expense limitation.
+ Rounds to less than $0.005 per share
N/A Not Applicable
(a) Per share amounts based on average shares outstanding during the period.
(b) Commencement of operations--05/01/2003.
(c) Commencement of operations--05/01/2001.
(d) Commencement of operations--02/12/2001.
(e) Commencement of operations--10/31/2004.
(f) Commencement of operations--04/03/2001.
(g) Excludes the effect of Deferred Expense Reimbursement--See note 3 of
financial statements.
See notes to financial statements
182
RATIO OF
EXPENSES TO RATIO OF RATIO OF NET
RATIO OF AVERAGE NET EXPENSES TO INVESTMENT
NET ASSET NET ASSETS END EXPENSES TO ASSETS AFTER AVERAGE NET INCOME (LOSS)
TOTAL VALUE END OF PERIOD AVERAGE NET BROKER ASSETS BEFORE TO AVERAGE NET PORTFOLIO
DISTRIBUTIONS OF PERIOD TOTAL RETURN (IN MILLIONS) ASSETS** REBATES** REIMBURSEMENT ASSETS TURNOVER RATE
- ------------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
$ -- $10.85 1.97% $ 464.4 0.55% N/A 0.53% 2.31% 711.7%
(0.62) 10.64 9.41 331.3 0.62 N/A N/A 1.39 1,173.9
(0.25) 10.29 5.47 1.1 0.70* N/A 0.74 0.72* 935.0
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 10.84 1.98 382.1 0.80 N/A 0.53 2.01 711.7
(0.58) 10.63 8.99 502.3 0.81 N/A N/A 0.73 1,173.9
(0.24) 10.29 5.35 366.2 0.84* N/A 0.84* 0.64* 935.0
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
- ------------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
$ -- $11.70 2.63% $ 766.3 0.58% N/A 0.56%(g) 3.16% 418.5%
(0.81) 11.40 5.25 578.0 0.57 N/A N/A 1.69 416.0
(0.24) 11.61 4.53 194.5 0.59 N/A 0.57 (g) 2.43 547.1
-- 11.34 9.57 155.0 0.65 N/A 0.64 (g) 3.06 474.4
(0.35) 10.35 6.68 59.1 0.65* N/A 1.15* 3.76* 346.0
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 11.60 2.47 1,034.2 0.83 N/A 0.81 (g) 2.86 418.5
(0.79) 11.32 4.98 1,028.5 0.81 N/A N/A 1.66 416.0
(0.24) 11.54 4.53 893.8 0.83 N/A 0.82 (g) 2.07 547.1
-- 11.29 9.29 427.7 0.90 N/A 0.90 (g) 2.85 474.4
(0.33) 10.33 6.68 46.2 0.90* N/A 1.40* 3.48* 346.0
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 11.63 2.56 148.9 0.73 N/A 0.71 (g) 2.96 418.5
(0.80) 11.34 5.06 146.6 0.71 N/A N/A 1.76 416.0
(0.24) 11.56 4.44 119.3 0.73 N/A 0.71 (g) 2.02 547.1
-- 11.30 9.39 29.2 0.80 N/A 0.80 (g) 3.00 474.4
(0.13) 10.33 (1.81) 0.1 0.80* N/A 1.30* 3.71* 346.0
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
- ------------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
$ -- $14.19 0.42 % $ 41.6 1.21% N/A 1.21% 0.43 % 62.1%
-- 14.13 18.54 46.9 1.19 N/A N/A 0.34 84.5
-- 11.92 28.73 50.0 1.25 1.25% N/A 0.08 231.2
(0.01) 9.26 (21.05) 47.1 1.20 1.20 N/A 0.01 77.6
(1.88) 11.74 (8.42) 76.8 1.09 N/A N/A 0.14 79.9
(0.69) 14.82 (10.55) 97.9 1.03 N/A N/A 0.17 107.1
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 14.05 0.29 4.3 1.46 N/A 1.46 0.21 62.1
-- 14.01 18.33 4.0 1.45 N/A N/A 0.12 84.5
-- 11.84 28.28 2.9 1.50 1.50 N/A (0.20) 231.2
(0.01) 9.23 (21.19) 2.1 1.47 1.47 N/A (0.23) 77.6
(1.88) 11.72 10.61 0.9 1.40* N/A N/A (0.10)* 79.9
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
See notes to financial statements
183
MET INVESTORS SERIES TRUST
FINANCIAL HIGHLIGHTS
NET ASSET NET REALIZED/ DIVIDENDS
VALUE UNREALIZED TOTAL FROM FROM NET
BEGINNING OF NET INVESTMENT GAIN (LOSS) ON INVESTMENT INVESTMENT
SELECTED PER SHARE DATA FOR THE YEAR OR PERIOD ENDED: PERIOD INCOME (LOSS) INVESTMENTS OPERATIONS INCOME
RCM GLOBAL TECHNOLOGY PORTFOLIO (FORMERLY PIMCO PEA
INNOVATION PORTFOLIO) ------------ -------------- -------------- ---------- ----------
Class A
6/30/2005--(Unaudited) $ 4.62 $(0.01)(a) $(0.20)(a) $(0.21) $ --
12/31/2004 4.83 (0.02)(a) (0.19)(a) (0.21) --
12/31/2003 3.06 (0.04)(a) 1.81 (a) 1.77 --
12/31/2002 6.18 (0.04)(a) (3.08)(a) (3.12) --
05/01/2001 to 12/31/2001 (b) 8.06 (0.04)(a) (1.84)(a) (1.88) --
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
Class B
6/30/2005--(Unaudited) 4.58 (0.02)(a) (0.19)(a) (0.21) --
12/31/2004 4.79 (0.02)(a) (0.19)(a) (0.21) --
12/31/2003 3.04 (0.05)(a) 1.80 (a) 1.75 --
12/31/2002 6.16 (0.04)(a) (3.08)(a) (3.12) --
02/12/2001 to 12/31/2001 (c) 10.00 (0.06)(a) (3.78)(a) (3.84) --
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
Class E
6/30/2005--(Unaudited) 4.59 (0.02)(a) (0.19)(a) (0.21) --
12/31/2004 4.80 (0.02)(a) (0.19)(a) (0.21) --
12/31/2003 3.05 (0.05)(a) 1.80 (a) 1.75 --
12/31/2002 6.17 (0.03)(a) (3.09)(a) (3.12) --
10/31/2001 to 12/31/2001 (d) 5.24 (0.01)(a) 0.94 (a) 0.93 --
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
THIRD AVENUE SMALL CAP VALUE PORTFOLIO ------------ -------------- -------------- ---------- ----------
Class A
6/30/2005--(Unaudited) $14.38 $ 0.06 (a) $ 0.78 (a) $ 0.84 $ --
12/31/2004 11.62 0.16 (a) 2.96 (a) 3.12 (0.08)
12/31/2003 8.29 0.05 (a) 3.39 (a) 3.44 (0.04)
05/01/2002 to 12/31/2002 (e) 10.00 0.04 (a) (1.72)(a) (1.68) (0.02)
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
Class B
6/30/2005--(Unaudited) 14.37 0.03 (a) 0.79 (a) 0.82 --
12/31/2004 11.61 0.06 (a) 3.02 (a) 3.08 (0.04)
12/31/2003 8.28 0.05 (a) 3.38 (a) 3.43 (0.03)
05/01/2002 to 12/31/2002 (e) 10.00 0.04 (a) (1.73)(a) (1.69) (0.02)
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
T. ROWE PRICE MID-CAP GROWTH PORTFOLIO ------------ -------------- -------------- ---------- ----------
Class A
6/30/2005--(Unaudited) $ 7.55 $(0.01)(a) $ 0.15 (a) $ 0.14 $ --
12/31/2004 6.39 (0.03)(a) 1.19 (a) 1.16 --
12/31/2003 4.66 (0.02)(a) 1.75 (a) 1.73 --
12/31/2002 8.37 (0.02)(a) (3.66)(a) (3.68) --
05/01/2001 to 12/31/2001 (b) 9.76 (0.02)(a) (1.37)(a) (1.39) --
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
Class B
6/30/2005--(Unaudited) 7.47 (0.02)(a) 0.15 (a) 0.13 --
12/31/2004 6.34 (0.05)(a) 1.18 (a) 1.13 --
12/31/2003 4.64 (0.04)(a) 1.74 (a) 1.70 --
12/31/2002 8.34 (0.03)(a) (3.64)(a) (3.67) --
02/12/2001 to 12/31/2001 (c) 10.00 (0.04)(a) (1.62)(a) (1.66) --
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
Class E
6/30/2005--(Unaudited) 7.50 (0.01)(a) 0.15 (a) 0.14 --
12/31/2004 6.36 (0.04)(a) 1.18 (a) 1.14 --
12/31/2003 4.65 (0.03)(a) 1.74 (a) 1.71 --
12/31/2002 8.36 (0.02)(a) (3.66)(a) (3.68) --
10/31/2001 to 12/31/2001 (d) 7.42 (0.01)(a) 0.95 (a) 0.94 --
- ------------------------------------- ------------ -------------- -------------- ---------- ----------
DISTRIBUTIONS
FROM NET
REALIZED
SELECTED PER SHARE DATA FOR THE YEAR OR PERIOD ENDED: CAPITAL GAINS
RCM GLOBAL TECHNOLOGY PORTFOLIO (FORMERLY PIMCO PEA
INNOVATION PORTFOLIO) -------------
Class A
6/30/2005--(Unaudited) $ --
12/31/2004 --+
12/31/2003 --
12/31/2002 --
05/01/2001 to 12/31/2001 (b) --
- ------------------------------------- -------------
Class B
6/30/2005--(Unaudited) --
12/31/2004 --+
12/31/2003 --
12/31/2002 --
02/12/2001 to 12/31/2001 (c) --
- ------------------------------------- -------------
Class E
6/30/2005--(Unaudited) --
12/31/2004 --+
12/31/2003 --
12/31/2002 --
10/31/2001 to 12/31/2001 (d) --
- ------------------------------------- -------------
THIRD AVENUE SMALL CAP VALUE PORTFOLIO -------------
Class A
6/30/2005--(Unaudited) $ --
12/31/2004 (0.28)
12/31/2003 (0.07)
05/01/2002 to 12/31/2002 (e) (0.01)
- ------------------------------------- -------------
Class B
6/30/2005--(Unaudited) --
12/31/2004 (0.28)
12/31/2003 (0.07)
05/01/2002 to 12/31/2002 (e) (0.01)
- ------------------------------------- -------------
T. ROWE PRICE MID-CAP GROWTH PORTFOLIO -------------
Class A
6/30/2005--(Unaudited) $ --
12/31/2004 --
12/31/2003 --
12/31/2002 (0.03)
05/01/2001 to 12/31/2001 (b) --
- ------------------------------------- -------------
Class B
6/30/2005--(Unaudited) --
12/31/2004 --
12/31/2003 --
12/31/2002 (0.03)
02/12/2001 to 12/31/2001 (c) --
- ------------------------------------- -------------
Class E
6/30/2005--(Unaudited) --
12/31/2004 --
12/31/2003 --
12/31/2002 (0.03)
10/31/2001 to 12/31/2001 (d) --
- ------------------------------------- -------------
* Annualized
** Prior to 05/01/2003, broker rebates were excluded from the calculation of
the expense limitation.
+ Rounds to less than $0.005 per share
N/A Not Applicable
(a) Per share amounts based on average shares outstanding during the period.
(b) Commencement of operations--05/01/2001.
(c) Commencement of operations--02/12/2001.
(d) Commencement of operations--10/31/2001.
(e) Commencement of operations--05/01/2002.
(f) Excludes effect of Deferred Expense Reimbursement--See note 3 of financial
statements.
See notes to financial statements
184
RATIO OF
EXPENSES TO RATIO OF RATIO OF NET
RATIO OF AVERAGE NET EXPENSES TO INVESTMENT
NET ASSET NET ASSETS END EXPENSES TO ASSETS AFTER AVERAGE NET INCOME (LOSS)
TOTAL VALUE END OF PERIOD AVERAGE NET BROKER ASSETS BEFORE TO AVERAGE NET PORTFOLIO
DISTRIBUTIONS OF PERIOD TOTAL RETURN (IN MILLIONS) ASSETS** REBATES ** REIMBURSEMENT ASSETS TURNOVER RATE
- ------------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
$ -- $ 4.41 (4.55)% $108.3 1.10% N/A 0.98% (0.62)% 144.3%
-- 4.62 (4.28) 81.8 0.96 N/A N/A (0.45) 173.0
-- 4.83 57.84 47.2 1.10 1.04% 1.26 (0.89) 313.0
-- 3.06 (50.49) 13.0 1.10 1.04 1.73 (0.90) 227.2
-- 6.18 (23.33) 16.1 1.10* N/A 3.97* (0.90)* 346.9
- -------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 4.37 (4.59) 75.9 1.35 N/A 1.22 (0.79) 144.3
-- 4.58 (4.31) 100.2 1.21 N/A N/A (0.57) 173.0
-- 4.79 57.57 64.8 1.35 1.29 1.52 (1.14) 313.0
-- 3.04 (50.65) 15.2 1.35 1.27 1.96 (1.13) 227.2
-- 6.16 (38.40) 9.6 1.35* N/A 4.21* (1.01)* 346.9
- -------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 4.38 (4.58) 17.9 1.25 N/A 1.13 (0.79) 144.3
-- 4.59 (4.30) 20.3 1.10 N/A N/A (0.55) 173.0
-- 4.80 57.88 15.5 1.25 1.22 1.37 (1.07) 313.0
-- 3.05 (50.57) 1.2 1.25 1.12 1.83 (0.97) 227.2
-- 6.17 17.75 -- 1.25* N/A 4.11* (1.18)* 346.9
- -------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
- ------------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
$ -- $15.22 5.84 % $386.3 0.81% N/A 0.81% 0.77 % 7.3%
(0.36) 14.38 26.81 206.3 0.87 N/A N/A 1.12 11.3
(0.11) 11.62 41.52 6.2 0.93 N/A 0.92 (f) 0.54 14.6
(0.03) 8.29 (16.78)(d) 4.2 0.95* N/A 2.07* 0.75* 8.0
- -------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 15.19 5.71 383.2 1.06 N/A 1.06 0.44 7.3
(0.32) 14.37 26.50 435.5 1.07 N/A N/A 0.46 11.3
(0.10) 11.61 41.41 307.9 1.18 N/A 1.13 (f) 0.49 14.6
(0.03) 8.28 (16.90) 33.4 1.20* N/A 1.69* 0.80* 8.0
- -------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
- ------------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
$ -- $ 7.69 1.85% $204.9 0.81% N/A 0.81%(f) (0.20)% 13.2%
-- 7.55 18.15 145.7 0.90 N/A 0.83 (f) (0.41) 51.7
-- 6.39 37.12 34.8 0.91 0.83% 0.92 (f) (0.37) 56.5
(0.03) 4.66 (44.00) 16.0 0.80 0.73 1.10 (0.34) 157.2
-- 8.37 (14.24) 13.5 0.80* N/A* 2.35* (0.35)* 86.3
- -------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 7.60 1.74 349.6 1.06 N/A 1.06 (f) (0.45) 13.2
-- 7.47 17.82 345.0 1.16 N/A 1.07 (f) (0.69) 51.7
-- 6.34 36.64 307.7 1.18 1.12 1.16 (f) (0.64) 56.5
(0.03) 4.64 (44.04) 62.6 1.05 0.96 1.41 (0.54) 157.2
-- 8.34 (16.60) 23.4 1.05* N/A* 2.60* (0.53)* 86.3
- -------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 7.64 1.87 20.7 0.96 N/A 0.96 (f) (0.36) 13.2
-- 7.50 17.92 21.5 1.05 N/A 0.97 (f) (0.57) 51.7
-- 6.36 36.77 10.8 1.08 1.01% 1.06 (f) (0.54) 56.5
(0.03) 4.65 (44.05) 2.1 0.95 0.84 1.34 (0.38) 157.2
-- 8.36 12.67 -- 0.95* N/A* 2.49* (0.70)* 86.3
- -------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
See notes to financial statements
185
MET INVESTORS SERIES TRUST
FINANCIAL HIGHLIGHTS
NET ASSET NET REALIZED/ DIVIDENDS DISTRIBUTIONS
VALUE UNREALIZED TOTAL FROM FROM NET FROM NET
BEGINNING NET INVESTMENT GAIN (LOSS) ON INVESTMENT INVESTMENT REALIZED
SELECTED PER SHARE DATA FOR THE YEAR OR PERIOD ENDED: OF PERIOD INCOME (LOSS) INVESTMENTS OPERATIONS INCOME CAPITAL GAINS
TURNER MID-CAP GROWTH PORTFOLIO --------- -------------- -------------- ---------- ---------- -------------
Class A
6/30/2005--(Unaudited) $11.23 $(0.03)(a) $0.14(a) $0.11 $-- $--
05/01/2004 to 12/31/2004 (b) 10.00 (0.03)(a) 1.26(a) 1.23 -- --
- --------------------------------------- --------- -------------- -------------- ---------- ---------- -------------
Class B
6/30/2005--(Unaudited) 11.22 (0.04)(a) 0.13(a) 0.09 -- --
05/01/2004 to 12/31/2004 (b) 10.00 (0.05)(a) 1.27(a) 1.22 -- --
- --------------------------------------- --------- -------------- -------------- ---------- ---------- -------------
VAN KAMPEN COMSTOCK PORTFOLIO --------- -------------- -------------- ---------- ---------- -------------
Class A
05/01/2005 to 6/30/2005--(Unaudited) (c) $10.00 $ 0.04 (a) $0.02(a) $0.06 $-- $--
- --------------------------------------- --------- -------------- -------------- ---------- ---------- -------------
Class B
05/01/2005 to 6/30/2005--(Unaudited) (c) 10.00 0.03 (a) 0.03(a) 0.06 -- --
- --------------------------------------- --------- -------------- -------------- ---------- ---------- -------------
* Annualized
** Prior to 05/01/2003, broker rebates were excluded from the calculation of
the expense limitation.
+ Rounds to less than $0.005 per share
N/A Not Applicable
(a) Per share amounts based on average shares outstanding during the period.
(b) Commencement of operations--05/01/2004.
(c) Commencement of operations--05/01/2005.
See notes to financial statements
186
RATIO OF
EXPENSES TO RATIO OF RATIO OF NET
RATIO OF AVERAGE NET EXPENSES TO INVESTMENT
NET ASSET NET ASSETS END EXPENSES TO ASSETS AFTER AVERAGE NET INCOME (LOSS)
TOTAL VALUE END OF PERIOD AVERAGE NET BROKER ASSETS BEFORE TO AVERAGE NET PORTFOLIO
DISTRIBUTIONS OF PERIOD TOTAL RETURN (IN MILLIONS) ASSETS** REBATES ** REIMBURSEMENT ASSETS TURNOVER RATE
- ------------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
$-- $11.34 0.98% $137.6 0.88%* N/A 0.88%* (0.46)%* 70.5%
-- 11.23 12.30 76.5 0.91* N/A 0.91* (0.42)* 101.7
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 11.31 0.80 50.1 1.12 N/A 1.12 (0.73) 70.5
-- 11.22 12.20 79.7 1.10* N/A 1.10* (0.72)* 101.7
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
- ------------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
$-- $10.06 --% $663.0 0.70%* N/A 0.70%* 2.51 %* 71.0%
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
-- 10.06 -- 14.3 0.97* N/A 0.97* 1.97* 71.0
- ---------- --------- ------------ -------------- ----------- ------------ ------------- -------------- -------------
See notes to financial statements
187
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
1. ORGANIZATION
Met Investors Series Trust (the "Trust") is registered as an open-end
management investment company under the Investment Company Act of 1940, as
amended (the "1940 Act"). The Trust currently offers twenty-six portfolios,
three of which are non-diversified (each, a "Portfolio" and collectively, the
"Portfolios") each of which operates as a distinct investment vehicle of the
Trust. As of June 30, 2005, the Portfolios included in the Trust are as
follows: Met/AIM Mid Cap Core Equity Portfolio, Met/AIM Small Cap Growth
Portfolio, Goldman Sachs Mid-Cap Growth Portfolio, Harris Oakmark International
Portfolio, Janus Aggressive Growth Portfolio, Lord Abbett America's Value
Portfolio, Lord Abbett Bond Debenture Portfolio, Lord Abbett Growth and Income
Portfolio, Lord Abbett Growth Opportunities Portfolio, Lord Abbett Mid-Cap
Value Portfolio, MetLife Aggressive Strategy Portfolio, MetLife Balanced
Strategy Portfolio, MetLife Defensive Strategy Portfolio, MetLife Growth
Strategy Portfolio, MetLife Moderate Strategy Portfolio, MFS Research
International Portfolio, Neuberger Berman Real Estate Portfolio, Oppenheimer
Capital Appreciation Portfolio, PIMCO Inflation Protected Bond Portfolio, PIMCO
Total Return Portfolio, Met/Putnam Capital Opportunities Portfolio, RCM Global
Technology Portfolio (formerly PIMCO PEA Innovation Portfolio), Third Avenue
Small Cap Value Portfolio, T. Rowe Price Mid-Cap Growth Portfolio, Turner
Mid-Cap Growth Portfolio, and Van Kampen Comstock Portfolio (commenced
operations 5/1/2005). Shares in the Trust are not offered directly to the
general public and are currently available only to separate accounts
established by MetLife Investors Insurance Company, MetLife Investors Insurance
Company of California, MetLife Investors USA Insurance Company, First MetLife
Investors Insurance Company, Metropolitan Life Insurance Company, New England
Life Insurance Company, and General American Life Insurance Company.
The Trust currently offers three classes of shares: Class A Shares are offered
by all Portfolios except Lord Abbett America's Value Portfolio. As of 5/1/2005,
MetLife Aggressive Strategy Portfolio, MetLife Balanced Strategy Portfolio,
MetLife Defensive Strategy Portfolio, MetLife Growth Strategy Portfolio and
MetLife Moderate Strategy Portfolio also offer Class A Shares. Class B Shares
are offered by all Portfolios. Class E Shares are offered by the Met/AIM Mid
Cap Core Equity Portfolio, Met/AIM Small Cap Growth Portfolio, Harris Oakmark
International Portfolio, Janus Aggressive Growth Portfolio, Lord Abbett Bond
Debenture Portfolio, MFS Research International Portfolio, Neuberger Berman
Real Estate Portfolio, Oppenheimer Capital Appreciation Portfolio (commenced
operations 5/1/2005), PIMCO Total Return Portfolio, RCM Global Technology
Portfolio and the T. Rowe Price Mid-Cap Growth Portfolio. Shares of each Class
of the Portfolios represent an equal pro rata interest in the Portfolios and
generally give the shareholder the same voting, dividend, liquidation, and
other rights. Investment income, realized and unrealized capital gains and
losses, the common expenses of each Portfolio and certain Portfolio-level
expenses reductions, if any, are allocated on a pro rata basis to each class
based on the relative net assets of each class to the total net assets of each
Portfolio. Each class of shares differs in its respective distribution expenses
and certain other class-specific expense reductions.
The Trust was established under an Agreement and Declaration of Trust dated as
of July 27, 2000. At a special meeting of shareholders held on January 26,
2001, the shareholders of the Cova Series Trust approved the reorganization of
the Funds of the Cova Series Trust as Portfolios of the Trust pursuant to an
Agreement and Plan of Reorganization between the Trust and Cova Series Trust
dated as of December 8, 2000. At a special meeting of shareholders held on
January 26, 2001, the shareholders of Security First Trust approved the
reorganization of the Series of the Security First Trust as Portfolios of the
Trust pursuant to an Agreement and Plan of Reorganization between the Trust and
Security First Trust dated as of December 8, 2000.
2. SIGNIFICANT ACCOUNTING POLICIES
The preparation of financial statements in conformity with accounting
principles generally accepted in the United States of America may require
management to make estimates and assumptions that affect the reported amounts
of assets and liabilities at the date of the financial statements and the
reported amounts of income and expenses during the reporting period. Actual
results could differ from these estimates.
The following is a summary of significant accounting policies consistently
followed by the Trust in the preparation of its financial statements.
A. SECURITY VALUATION - Portfolio securities for which the primary market is on
a domestic exchange (except the NASDAQ) will be valued at the last sale price
on the day of valuation or, if there was no sale that day, at the last reported
bid price, using prices as of the close of trading. Portfolio securities traded
over-the-counter and quoted on NASDAQ are valued at the NASDAQ Official Closing
Price ("NOCP"). The NOCP is a "normalized" price. At 4.00:02 pm EST the NOCP is
calculated as follows: (i) if the last traded price of a listed security
reported by a Nasdaq member falls within the current best bid and ask price,
then the NOCP will be the last traded price; (ii) if the last traded price
falls outside of that range, however, the NOCP will be the last bid price (if
higher) or the last ask price (if lower). Portfolio securities not quoted on
NASDAQ that are actively traded in the over-the-counter market, including
listed securities for which the primary market is believed to be
over-the-counter, will be valued at the most recently quoted bid price provided
by the principal market makers. If market values are not readily available, or
if available market quotations are not reliable, securities are priced at their
fair value as determined by the Valuation Committee of the Trust's Board of
Trustees using procedures approved by the Board of Trustees. The Portfolios may
use fair value pricing if the value of a security has been materially affected
by events occurring before the Portfolio's calculation of NAV but after the
close of the primary markets on which the security is traded. The Portfolios
may also use fair value pricing if reliable market quotations are unavailable
due to infrequent trading or if trading in a particular security was halted
during the day and did not resume prior to the Portfolios' calculation of NAV.
Such fair value may be determined by utilizing information furnished by a
pricing service which determines
188
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
2. SIGNIFICANT ACCOUNTING POLICIES - CONTINUED
valuations for normal, institutional-size trading units of such securities
using methods based on market transactions for comparable securities and
various relationships between securities which are generally recognized by
institutional traders. Short-term securities with remaining maturities of less
than 60 days are valued at amortized cost, which approximates market value.
Foreign securities traded outside the United States will be valued daily at
their fair value according to procedures decided upon in good faith by the
Trust's Board of Trustees. All securities and other assets of a Portfolio
initially expressed in foreign currencies will be converted to U.S. dollar
values at the mean of the bid and offer prices of such currencies against U.S.
dollars quoted as designated on the Price Source Authorization Agreement
between the Trust and its custodian on a valuation date by any recognized
dealer. The Manager may, from time to time, under the general supervision of
the Board of Trustees or the valuation committee, utilize the services of one
or more pricing services available in valuating the assets of the Trust. The
Manager will continuously monitor the performance of these services. Each
Portfolio has retained a third party pricing service to automatically fair
value each of its investments that is traded principally on a foreign exchange
or market, subject to adjustment by the Trust's Valuation Committee. The
Valuation Committee will regularly monitor and review the services provided by
the pricing service to the Portfolios and periodically report to the Board on
the pricing services' performance. Futures contracts and options are valued
based upon their daily settlement prices. Forward currency exchange contracts
are valued daily at forward foreign currency exchange rates. Investments in
mutual funds are valued at the daily net asset value of the mutual fund.
B. SECURITY TRANSACTIONS - Security transactions are recorded on a trade date
basis. Realized gains and losses are determined on an identified cost basis.
The Portfolios may purchase and sell securities on a "when issued" or "delayed
delivery" basis, with settlement to occur at a later date. The value of the
security so purchased is subject to market fluctuations during this period. The
Portfolios segregate assets having an aggregate value at least equal to the
amount of the when issued or delayed delivery purchase commitments until
payment is made.
C. INVESTMENT INCOME AND EXPENSES - Dividend income is recorded on the
ex-dividend date. Interest income and expenses are recorded when earned or
incurred, respectively. Foreign income and foreign capital gains realized on
some foreign securities may be subject to foreign withholding taxes, which are
accrued as applicable. Premium and discount on securities purchased are
amortized and accreted, respectively, to interest income using the interest
method.
D. FEDERAL INCOME TAXES - The Trust's policy is to comply with the requirements
of Subchapter M of the Internal Revenue Code applicable to regulated investment
companies and to distribute substantially all of its taxable income, including
net realized gains, if any, to its shareholders. Accordingly, the Portfolios
have not recorded a provision for federal income taxes. In addition, any
Portfolios subject to federal excise tax regulations will distribute
substantially all of their net investment income and net capital gains, if any,
in each calendar year in order to avoid the payment of federal excise taxes.
Distributions from net investment income and capital gains are determined in
accordance with federal income tax regulations which may differ from generally
accepted accounting principles. As a result, distributions from net investment
income and net realized capital gains may differ from their ultimate
characterization for federal income tax purposes due to timing differences. For
the Met/AIM Small Cap Growth Portfolio and PIMCO Total Return Portfolio, net
realized gains and losses may differ for financial and tax reporting purposes
primarily as a result of timing differences related to open futures at year end.
The Portfolios utilize the provisions of the federal income tax laws that
provide for the carryforward of capital losses for eight years, offsetting such
losses against any future net realized capital gains. At December 31, 2004, the
accumulated capital loss carryforwards and expiration dates by the Portfolios
were as follows:
Expiring Expiring Expiring Expiring Expiring
Portfolio Total 12/31/2012 12/31/2010 12/31/2009 12/31/2008 12/31/2007
- --------- ----------- ---------- ----------- ----------- ----------- -----------
Janus Aggressive Growth Portfolio * $ 5,222,567 $ -- $ 1,182,381 $ 4,040,186 $ -- $ --
Lord Abbett Bond Debenture Portfolio ** 32,303,617 -- 16,594,455 -- 4,311,256 11,397,906
Lord Abbett Growth and Income Portfolio *** 56,681,066 -- 9,173,099 28,690,142 18,817,825 --
Lord Abbett Growth Opportunities Portfolio **** 12,348,262 -- 5,740,233 4,499,968 1,332,584 775,477
MFS Research International Portfolio ***** 34,231,416 -- 6,377,357 11,694,451 16,159,608 --
Oppenheimer Capital Appreciation Portfolio ****** 1,515,293 -- 1,515,293 -- -- --
Met/Putnam Capital Opportunities Portfolio 6,299,347 -- 6,299,347 -- -- --
Turner Mid-Cap Growth Portfolio 3,440,415 3,440,415 -- -- -- --
* Janus Aggressive Growth Portfolio acquired losses of $7,266,413 in the merger
with Janus Growth Portfolio on April 28th, 2003 which are subject to an annual
limitation of $1,021,923.
189
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
2. SIGNIFICANT ACCOUNTING POLICIES - CONTINUED
** Lord Abbett Bond Debenture Portfolio acquired losses of $19,627,064 in the
merger with Loomis High Yield Fund on April 26, 2002 which are subject to an
annual limitation of $3,688,483.
*** Lord Abbett Growth and Income Portfolio acquired losses of $61,902,713 in
the merger with J.P. Morgan Enhanced Index Portfolio on April 28th 2003 which
are subject to an annual limitation of $5,221,647.
**** Lord Abbett Growth Opportunities Portfolio acquired losses of $13,507,053
in the merger with Lord Abbett Developing Growth Portfolio on April 28th 2003
which are subject to an annual limitation of $771,861.
***** MFS Research International Portfolio acquired losses of $37,816,349 in
the merger with J.P. Morgan International Equity Portfolio on April 28th 2003
which are subject to an annual limitation of $2,138,073.
****** Oppenheimer Capital Appreciation Portfolio acquired losses of $2,062,652
in the merger with Met/Putnam Research Portfolio on November 19, 2004 which are
subject to a limitation of $547,359 in 2004.
E. DISTRIBUTION OF INCOME AND GAINS - Each Portfolio intends to distribute
substantially all of its net investment income and net realized capital gains,
if any, annually.
F. FUTURES CONTRACTS - A futures contract is an agreement involving the
delivery of a particular asset on a specified future date at an agreed upon
price. These contracts are generally used to provide the return of an index
without purchasing all of the securities underlying the index or as a temporary
substitute for purchasing or selling specific securities.
Upon entering into a futures contract, the Portfolios (except for the Third
Avenue Small Cap Value Portfolio and Turner Mid-Cap Growth Portfolio which do
not enter into futures contracts) are required to make initial margin deposits
with the broker or segregate liquid investments to satisfy the broker's margin
requirements. Initial margin deposits are recorded as assets and held in a
segregated account at the custodian. During the period the futures contract is
open, changes in the value of the contract are recognized as unrealized gains
or losses by "marking to market" the contract on a daily basis to reflect the
value of the contract's settlement price at the end of each day's trading.
Variation margin payments are made or received and recognized as assets due
from or liabilities to the broker depending upon whether unrealized gains or
losses, respectively, are incurred. When the contract is closed, the Portfolio
records a realized gain or loss equal to the difference between the proceeds
from (or cost of) the closing transaction and its basis in the contract.
Risks of entering into futures contracts include the possibility that there may
be an illiquid market and that the change in the value of the contract may not
correlate with changes in the value of the underlying securities.
G. OPTIONS CONTRACTS - A purchased option contract gives the buyer the right,
but not the obligation, to buy (call) or sell (put) an underlying item at a
fixed exercise price during a specified period. These contracts are generally
used by the Portfolios (except for the Third Avenue Small Cap Value Portfolio
and Turner Mid-Cap Growth Portfolio) to provide the return of an index without
purchasing all of the securities underlying the index or as a substitute for
purchasing or selling specific securities.
Purchases of put and call options are recorded as investments, the value of
which are marked-to-market daily. When a purchased option expires, the
Portfolio will realize a loss equal to the premium paid. When the Portfolio
enters into a closing sale transaction, the Portfolio will realize a gain or
loss depending on whether the sales proceeds from the closing sale transaction
are greater or less the cost of the option. When the Portfolio exercises a put
option, it will realize a gain or loss from the sale of the underlying security
and the proceeds from such sale will be decreased by the premium originally
paid. When the Portfolio exercises a call option, the cost of the security
which the Portfolio purchases upon exercise will be increased by the premium
originally paid.
The premium received for a written option is recorded as a liability. The
liability is marked-to-market daily based on the option's quoted market price.
When an option expires or the Portfolio enters into a closing purchase
transaction, the Portfolio realizes a gain (or loss if the cost of the closing
purchase transaction exceeds the premium received when the option was sold)
without regard to any unrealized gain or loss on the underlying security and
the liability related to such option is eliminated. When a written call option
is exercised, the Portfolio realizes a gain or loss from the sale of the
underlying security and the proceeds from such sale are increased by the
premium originally received. If a written put option is exercised, the amount
of the premium originally received will reduce the cost of the underlying
security purchased.
The risk associated with purchasing options is limited to the premium
originally paid. The risk in writing a call option is that the Portfolio may
forego the opportunity for profit if the market price of the underlying
security increases and the option is exercised. The risk in writing a put
option is that the Portfolio may incur a loss if the market price of the
underlying security decreases and the option is exercised. This loss can be
greater than premium received. In addition, the Portfolio could be exposed to
risks if the counterparties to the transactions are unable to meet the terms of
the contracts.
H. FORWARD FOREIGN CURRENCY CONTRACTS - Met/AIM Mid Cap Core Equity Portfolio,
Met/AIM Small Cap Growth Portfolio, Goldman Sachs Mid-Cap Value Portfolio,
Harris Oakmark International Portfolio, Janus Aggressive Growth Portfolio, Lord
Abbett America's Value Portfolio, MFS Research International Portfolio,
Neuberger Berman Real Estate Portfolio, Oppenheimer Capital Appreciation
Portfolio, PIMCO Inflation Protected Bond Portfolio, PIMCO Total Return
Portfolio, Met/Putnam Capital Opportunities Portfolio, RCM Global Technology
Portfolio, Third
190
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
2. SIGNIFICANT ACCOUNTING POLICIES - CONTINUED
Avenue Small Cap Value Portfolio and T. Rowe Price Mid-Cap Growth Portfolio may
enter into forward foreign currency contracts to hedge their portfolio holdings
against future movements in certain foreign currency exchange rates. A forward
currency contract is a commitment to purchase or sell a foreign currency at a
future date at a set price. The forward currency contracts are valued at the
forward rate and are marked-to-market daily. The change in market value is
recorded by the Portfolio as an unrealized gain or loss. When the contract is
closed, the Portfolio recognizes a realized gain or loss equal to the
difference between the value of the contract at the time it was opened and the
value at the time it was closed.
The use of forward foreign currency contracts does not eliminate fluctuations
in the underlying prices of the securities of the Portfolio, but it does
establish a rate of exchange that can be achieved in the future. Although
forward foreign currency contracts to sell limit the risk of loss due to a
decline in the value of the currency holdings, they also limit any potential
gain that might result should the value of the currency increase. In addition,
the Portfolio could be exposed to risks if the counterparties to the contracts
are unable to meet the terms of the contracts.
I. SECURITY LENDING - The Portfolios may lend their securities to certain
qualified brokers who borrow securities in order to complete certain
transactions. By lending its investment securities, the Portfolio attempts to
increase its net investment income through the receipt of interest on the loan.
Any gain or loss in the market price of the securities loaned that might occur
and any interest earned or dividends declared during the term of the loan would
accrue to the account of the Portfolio. Risks of delay in recovery of the
securities or even loss of rights in the collateral may occur should the
borrower of the securities fail financially. Risks may also arise to the extent
that the value of the collateral decreases below the value of the securities
loaned.
Upon entering into a securities lending transaction, the Portfolio receives
cash or other securities as collateral in an amount equal to or exceeding 100%
of the current market value of the loaned securities. Any cash received as
collateral is generally invested by State Street Bank and Trust Company ("State
Street"), acting in its capacity as securities lending agent (the Agent), in
the State Street Navigator Securities Lending Prime Portfolio which is a money
market fund registered under the 1940 Act. A portion of the dividends received
on the collateral is rebated to the borrower of the securities and the
remainder is split between the Agent and the Portfolio.
J. FOREIGN CURRENCY TRANSLATION - Assets and liabilities denominated in foreign
currencies are translated into U.S. dollars at the rate of exchange at the end
of the period. Purchases and sales of securities are translated at the rates of
exchange prevailing when such securities were acquired or sold. Income is
translated at rates of exchange prevailing when interest is accrued or
dividends are recorded.
The Portfolios do not isolate that portion of operations resulting from changes
in foreign exchange rates on investments from the fluctuations arising from
changes in market prices of securities held. Such fluctuations are included
with the net realized and unrealized gain or loss from investments.
Reported net realized foreign exchange gains or losses arise from activity in
forward foreign currency contracts, sales of foreign currencies, currency gains
or losses realized between the trade and settlement dates on securities
transactions, and the difference between the amounts of dividends, interest,
and foreign withholding taxes recorded on the Portfolio's books, and the U.S.
dollar equivalent of the amounts actually received or paid. Net unrealized
foreign exchange gains and losses arise from changes in the value of assets and
liabilities other than investments in securities at fiscal year end, from
changes in the exchange rates of foreign currency held, and from changes in the
contract value of forward foreign currency contracts.
K. SHORT SALES - The Met/AIM Mid Cap Core Equity, Met/AIM Small Cap Growth,
Janus Aggressive Growth, Lord Abbett America's Value, MFS Research
International, PIMCO Inflation Protected Bond, PIMCO Total Return, Met/Putnam
Capital Opportunities, RCM Global Technology and T. Rowe Price Mid-Cap Growth
Portfolios may enter into a "short sale" of securities in circumstances in
which, at the time the short position is open, the Portfolio owns an equal
amount of the securities sold short or owns preferred stocks or debt
securities, convertible or exchangeable without payment of further
consideration, into an equal number of securities sold short. This kind of
short sale, which is referred to as one "against the box," may be entered into
by each Portfolio to, for example, lock in a sale price for a security the
Portfolio does not wish to sell immediately.
The PIMCO Total Return and PIMCO Inflation Protected Bond Portfolios may also
make short sales of a security it does not own, in anticipation of a decline in
the market value of that security. To complete such a transaction, the
Portfolio must borrow the security to make delivery to the buyer. The Portfolio
then is obligated to replace the security borrowed by purchasing it at market
price at the time of replacement. The price at such time may be more or less
than the price at which the security was sold by the Portfolio. Until the
security is replaced, the Portfolio is required to pay to the lender any
dividends or interest which accrue during the period of the loan. To borrow the
security, the Portfolio also may be required to pay a premium, which would
increase the cost of the security sold. The proceeds of the short sale will be
retained by the broker, to the extent necessary to meet margin requirements,
until the short position is closed out. Until the Portfolio replaces a borrowed
security, the Portfolio will segregate with its custodian, or earmark, cash or
other liquid assets at such a level that (i) the amount segregated, or earmark,
plus the amount deposited with the broker as collateral will equal the current
value of the security sold short and (ii) the amount segregated plus the amount
deposited with the broker as collateral will not be less than the market value
of the security at the time it was sold short. The Portfolio will incur a loss
as a result of the short sale if the price of the security increases between
the date of the short sale and the date on which the Portfolio replaces
191
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
2. SIGNIFICANT ACCOUNTING POLICIES - CONTINUED
the borrowed security. The Portfolio will realize a gain if the security
declines in price between those dates. This result is the opposite of what one
would expect from a cash purchase of a long position in a security. The amount
of any gain will be decreased, and the amount of any loss increased, by the
amount of any premium, dividends or interest the Portfolio may be required to
pay in connection with a short sale. No more than one third of the Portfolio's
net assets will be, when added together: (i) deposited as collateral for the
obligation to replace securities borrowed to effect short sales; and (ii)
segregated in connection with short sales.
L. SWAP AGREEMENTS - The Lord Abbett America's Value Portfolio, Lord Abbett
Bond Debenture Portfolio, Lord Abbett Growth and Income Portfolio, Lord Abbett
Growth Opportunities Portfolio, Lord Abbett Mid-Cap Value Portfolio, PIMCO
Inflation Protected Bond Portfolio, PIMCO Total Return Portfolio and the RCM
Global Technology Portfolio may enter into swap contracts. Swap contracts are
derivatives in the form of a contract or other similar instrument, which is an
agreement to exchange the return generated by one instrument for the return
generated by another instrument. The payment streams are calculated by
reference to a specified index and agreed upon notional amount. The term
"specified index" includes, but is not limited to, currencies, fixed interest
rates, prices and total return on interest rate indices, fixed income indices,
stock indices and commodity indices (as well as amounts derived from arithmetic
operations on these indices). For example, a Portfolio may agree to swap the
return generated by a fixed income index for the return generated by a second
fixed income index. The currency swaps in which a Portfolio may enter will
generally involve an agreement to pay interest streams in one currency based on
a specified index in exchange for receiving interest streams denominated in
another currency. Such swaps may involve initial and final exchanges that
correspond to the agreed upon notional amount. A Portfolio will usually enter
into swaps on a net basis, i.e., the two payment streams are netted out in a
cash settlement on the payment date or dates specified in the instrument, with
the Portfolio receiving or paying, as the case may be, only the net amount of
the two payments. A Portfolio's obligations under a swap agreement will be
accrued daily (offset against any amounts owing to the Portfolio) and any
accrued by unpaid net amounts owed to a swap counterparty will be covered by
designating the segregation, either on its records or with the Trust's
custodian, of cash or other liquid assets, to avoid any potential leveraging of
a Portfolio. To the extent that the net amounts owed to a swap counterparty are
covered with such liquid assets, the Advisers believe such obligations do not
constitute "senior securities" under the 1940 Act and accordingly, the Adviser
will not treat them as being subject to a Portfolio's borrowing restrictions. A
Portfolio may enter into OTC swap transactions with counterparties that are
approved by the Advisers in accordance with guidelines established by the Board
of Trustees. These guidelines provide for a minimum credit rating for each
counterparty and various credit enhancement techniques (for example,
collateralization of amounts due from counterparties) to limit exposure to
counterparties that have lower credit ratings.
The swaps in which a Portfolio may engage may include instruments under which
one party pays a single or periodic fixed amount(s) (or premium), and the other
party pays periodic amounts based on the movement of a specified index. Swaps
do not involve the delivery of securities, other underlying assets, or
principal. Accordingly, the risk of loss with respect to swaps is limited to
the net amount of payments the Portfolio is contractually obligated to make. If
the other party to a swap defaults, the Portfolio's risk of loss consists of
the net amount of payments that the Portfolio contractually is entitled to
receive. Currency swaps usually involve the delivery of the entire principal
value of one designated currency in exchange for the other designated currency.
Therefore, the entire principal value of a currency swap is subject to the risk
that the other party to the swap will default on its contractual delivery
obligations. If there is a default by the counterparty, a Portfolio may have
contractual remedies pursuant to the agreements related to the transaction. The
swap market has grown substantially in recent years with a large number of
banks and investment banking firms acting both as principals and as agents
utilizing standardized swap documentation. As a result, the swap market has
become relatively liquid. Certain swap transactions involve more recent
innovations for which standardized documentation has not yet been fully
developed and, accordingly, they are less liquid than traditional swap
transactions.
The use of swaps is a highly specialized activity that involves investment
techniques and risks different from those associated with ordinary portfolio
securities transactions. If an Adviser is incorrect in its forecasts of market
values, interest rates, and currency exchange rates, the investment performance
of the Portfolio would be less favorable than it would have been if this
investment technique were not used.
Among the strategic transactions into which the Janus Aggressive Growth
Portfolio, Neuberger Berman Real Estate Portfolio, Oppenheimer Capital
Appreciation Portfolio, PIMCO Inflation Protected Bond Portfolio and PIMCO
Total Return Portfolio, may enter are interest rate swaps and the purchase or
sale of related caps and floors. A Portfolio may enter into these transactions
primarily to manage its exposure to interest rates, to protect against currency
fluctuations, or to preserve a return or spread on a particular investment.
Interest rate swaps involve the exchange by a Portfolio with another party of
their respective commitments to pay or receive interest, e.g., an exchange of
floating rate payments for fixed rate payments with respect to a notional
amount of principal. A currency swap is an agreement to exchange cash flows on
a notional amount of two or more currencies based on the relative value
differential among them. An index swap is an agreement to swap cash flows on a
notional amount based on changes in the values of the reference indices. The
purchase of a cap entitles the purchaser, to the extent that a specific index
exceeds a predetermined interest rate, to receive payments of interest on a
notional principal amount from the party selling such cap. The purchase of a
floor entitles the purchaser to receive payments on a notional principal amount
from the party selling such floor to the extent that a specified index falls
below a predetermined interest rate or amount.
In addition the PIMCO Inflation Protected Bond Portfolio and the PIMCO Total
Return Portfolio may enter into credit default swap contracts for investment
purposes. As the seller in a credit default swap contract, the Portfolio would
be required to pay the par (or other agreed upon) value
192
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
2. SIGNIFICANT ACCOUNTING POLICIES - CONTINUED
of a referenced debt obligation to the counterparty in the event of a default
by a third party, such as a U.S. or foreign corporate issuer, on the debt
obligation. In return, the Portfolio would receive from the counterparty a
periodic stream of payments over the term of the contract provided that no
event of default has occurred. If no default occurs, the Portfolio would keep
the stream of payments and would have no payment obligations. As the seller,
the Portfolio would be subject to investment exposure on the notional amount of
the swap. The Portfolio may also purchase credit default swap contracts in
order to hedge against the risk of default of debt securities held in its
portfolio, in which case the Portfolio would function as the counterparty
referenced in the preceding paragraph. This would involve the risk that the
investment may expire worthless and would only generate income in the event of
an actual default by the issuer of the underlying obligation (as opposed to a
credit downgrade or other indication of financial instability). It would also
involve credit risk--the seller may fail to satisfy its payment obligations to
the Portfolio in the event of a default.
Swap agreements are marked daily by prices that are retrieved from independent
pricing platforms (e.g. Bloomberg) or from brokers. Fair values will be
provided if independent prices are unavailable. The change in value, if any, is
recorded as unrealized gain or loss in the Statements of Operations. A
liquidation payment received or made at the termination of the swap is recorded
as realized gain or loss in the Statements of Operations. Net periodic payments
are included as part of interest income on the Statement of Operations.
M. REPURCHASE AGREEMENTS - The Portfolios may enter into repurchase agreements
with selected commercial banks and broker-dealers, under which the Portfolio
acquires securities as collateral and agrees to resell the securities at an
agreed upon time and at an agreed upon price. The Portfolio accrues interest
for the difference between the amount it pays for the securities and the amount
it receives upon resale. At the time the Portfolio enters into a repurchase
agreement, the value of the collateral securities including accrued interest
will be equal to or exceed the value of the repurchase agreement and, for
repurchase agreements that mature in more than one day, the seller will agree
that the value of the collateral securities including accrued interest will
continue to be at least equal to the value of the repurchase agreement.
N. REVERSE REPURCHASE AGREEMENTS - All Portfolios except Goldman Sachs Mid-Cap
Value, Harris Oakmark International, Met/Putnam Capital Opportunities, MFS
Research International, T. Rowe Price Mid-Cap Growth, Turner Mid-Cap Growth,
and Van Kampen Comstock Portfolios may enter into reverse repurchase agreements
with brokers, dealers, domestic and foreign banks or other financial
institutions. In a reverse repurchase agreement, the Portfolio sells a security
and agrees to repurchase it at a mutually agreed upon date and price,
reflecting the interest rate effective for the term of the agreement. It may
also be viewed as the borrowing of money by the Portfolio. The Portfolio's
investment of the proceeds of a reverse repurchase agreement is the speculative
factor known as leverage. Leverage may cause any gains or losses of the
Portfolio to be magnified. The Portfolio may enter into a reverse repurchase
agreement only if the interest income from investment of the proceeds is
greater than the interest expense of the transaction and the proceeds are
invested for a period no longer than the term of the agreement. At the time a
Portfolio enters into a reverse repurchase agreement, it will earmark, or
establish and maintain a segregated account with an approved custodian
containing, cash or other liquid securities having a value not less than the
repurchase price (including accrued interest). If interest rates rise during a
reverse repurchase agreement, it may adversely affect the Portfolio's net asset
value. Reverse repurchase agreements are considered to be borrowings under the
1940 Act.
The assets contained in the segregated account will be marked-to-market daily
and additional assets will be placed in such account on any day in which the
assets fall below the repurchase price (plus accrued interest). A Portfolio's
liquidity and ability to manage its assets might be affected when it sets aside
cash or portfolio securities to cover such commitments. Reverse repurchase
agreements involve the risk that the market value of the securities retained in
lieu of sale may decline below the price of the securities a Portfolio has sold
but is obligated to repurchase. In the event the buyer of securities under a
reverse repurchase agreement files for bankruptcy or becomes insolvent, such
buyer or its trustee or receiver may receive an extension of time to determine
whether to enforce a Portfolio's obligation to repurchase the securities, and a
Portfolio's use of the proceeds of the reverse repurchase agreement may
effectively be restricted pending such decision.
O. FORWARD COMMITMENTS, WHEN-ISSUED AND DELAYED DELIVERY SECURITIES - All
Portfolios except the Neuberger Berman Real Estate Portfolio and Turner Mid-Cap
Growth Portfolio may purchase securities on a when-issued or delayed delivery
basis and may purchase or sell securities on a forward commitment basis.
Settlement of such transactions normally occurs within a month or more after
the purchase or sale commitment is made. A Portfolio may purchase securities
under such conditions only with the intention of actually acquiring them, but
may enter into a separate agreement to sell the securities before the
settlement date. Since the value of securities purchased may fluctuate prior to
settlement, the Portfolio may be required to pay more at settlement than the
security is worth. In addition, the purchaser is not entitled to any of the
interest earned prior to settlement. Upon making a commitment to purchase a
security on a when-issued, delayed delivery or forward commitment basis, the
Portfolio will hold liquid assets in a segregated account at the Portfolio's
custodian bank worth at least the equivalent of the amount due. The liquid
assets will be monitored on a daily basis and adjusted as necessary to maintain
the necessary value.
P. DIRECTED BROKERAGE AGREEMENT - The Trust has entered into a directed
brokerage arrangement with State Street Brokerage ("SSB"). Under this
arrangement, the Portfolios direct certain trades to SSB in return for a
recapture credit. SSB issues a cash rebate to the Portfolio. Amounts paid to
each Portfolio are shown separately as an expense reduction on the Statements
of Operations of each respective Portfolio.
193
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
3. INVESTMENT MANAGEMENT AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES
The Trust is managed by Met Investors Advisory LLC (the "Manager") which,
subject to the supervision and direction of the Trustees of the Trust, has
overall responsibility for the general management and administration of the
Trust. The Manager has entered into advisory agreements with AIM Capital
Management, Inc., Goldman Sachs Asset Management, L.P., Harris Associates L.P.,
Janus Capital Management LLC, Lord, Abbett & Co., Massachusetts Financial
Services Company, Morgan Stanley Investment Management, Inc., Neuberger Berman
Management, Inc., OppenheimerFunds Inc., Pacific Investment Management Co. LLC
(PIMCO), Putnam Investment Management LLC, RCM Capital Management LLC, Third
Avenue Management LLC., T. Rowe Price Associates and Turner Investment
Partners, Inc., (the "Advisers") for investment advisory services in connection
with the investment management of the Portfolios. The five MetLife Strategy
Portfolios are managed by the Manager.
Subject to the supervision and direction of the Trustees of the Trust, the
Manager supervises the Advisers and has full discretion with respect to the
retention or renewal of the advisory agreements. The Manager pays the Advisers
a fee based on the Portfolio's average daily net assets.
Under the terms of the Portfolios' investment advisory agreement, the
Portfolios pay the Manager a monthly fee based upon annual rates applied to
each of the Portfolios' average daily net assets as follows:
Management Fees
earned by Manager
For the period ended
Portfolio June 30, 2005 % per annum Average Daily Assets
- --------- -------------------- ----------- ----------------------------
Met/AIM Mid Cap Core Equity Portfolio $1,063,839 0.75% First $150 Million
0.70% $150 million to $500 million
0.675% Over $500 million
Met/AIM Small Cap Growth Portfolio 1,827,013 0.90% First $500 million
0.85% Over $500 million
Goldman Sachs Mid-Cap Value Portfolio 1,015,900 0.75% First $200 Million
0.70% Over $200 Million
Harris Oakmark International Portfolio 3,766,006 0.85% First $500 million
0.80% $500 million to $1 billion
0.75% Over $1 billion
Janus Aggressive Growth Portfolio 2,049,466 0.75% First $25 million
0.70% $25 million to $250 million
0.65% $250 million to $1 billion
0.55% Over $1 billion
Lord Abbett America's Value Portfolio 142,344 0.65% First $500 Million
0.60% Over $500 Million
Lord Abbett Bond Debenture Portfolio 3,481,079 0.60% First $250 Million
0.55% $250 Million to $500 Million
0.50% $500 Million to $1 Billion
0.45% Over $1 Billion
Lord Abbett Growth and Income Portfolio 7,793,733 0.60% First $800 Million
0.55% $800 Million to $1.5 Billion
0.45% Over $1.5 Billion
Lord Abbett Growth Opportunities Portfolio 207,534 0.70% First $200 Million
0.65% $200 Million to $500 Million
0.625% Over $500 Million
Lord Abbett Mid-Cap Value Portfolio 1,033,482 0.70% First $200 Million
0.65% $200 Million to $500 Million
0.625% Over $500 Million
194
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
3. INVESTMENT MANAGEMENT AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES -
CONTINUED
Management Fees
earned by Manager
For the period ended
Portfolio June 30, 2005 % per annum Average Daily Assets
- --------- -------------------- ----------- ----------------------------
MetLife Aggressive Strategy Portfolio $224,681 0.10% First $500 million
0.075% $500 million to $1 billion
0.05% Over $1 billion
MetLife Balanced Strategy Portfolio 871,540 0.10% First $500 million
0.075% $500 million to $1 billion
0.05% Over $1 billion
MetLife Defensive Strategy Portfolio 111,542 0.10% First $500 million
0.075% $500 million to $1 billion
0.05% Over $1 billion
MetLife Growth Strategy Portfolio 778,067 0.10% First $500 million
0.075% $500 million to $1 billion
0.05% Over $1 billion
MetLife Moderate Strategy Portfolio 380,599 0.10% First $500 million
0.075% $500 million to $1 billion
0.05% Over $1 billion
MFS Research International Portfolio 2,866,837 0.80% First $200 Million
0.75% $200 Million to $500 Million
0.70% $500 Million to $1 Billion
0.65% Over $1 Billion
Neuberger Berman Real Estate Portfolio 1,082,587 0.70% First $200 Million
0.65% $200 Million to $750 Million
0.55% Over $750 Million
Oppenheimer Capital Appreciation Portfolio 2,762,401 0.65% First $150 Million
0.625% $150 Million to $300 Million
0.60% $300 Million to $500 Million
0.55% Over $500 Million
PIMCO Inflation Protected Bond Portfolio 2,158,114 0.50% All
PIMCO Total Return Portfolio 4,596,599 0.50% All
Met/Putnam Capital Opportunities Portfolio 197,070 0.85% All
RCM Global Technology Portfolio 891,750 0.90% First $500 million
0.85% Over $500 million
Third Avenue Small Cap Value Portfolio 2,530,546 0.75% First $1 billion
0.70% Over $1 billion
T. Rowe Price Mid-Cap Growth Portfolio 1,970,801 0.75% All
Turner Mid-Cap Growth Portfolio 659,825 0.80% First $300 Million
0.70% Over $300 Million
Van Kampen Comstock Portfolio* 658,682 0.65% First $500 million
0.60% $500 million to $1 billion
0.525% Over $1 billion
*For the period from 5/1/2005 (Commencement of operations) through 6/30/2005.
State Street provides Custodian, Administration and Transfer Agency services to
the Trust.
195
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
3. INVESTMENT MANAGEMENT AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES -
CONTINUED
The Manager has entered into an expense limitation agreement with the Trust
("Expense Limitation Agreement") in the interest of limiting expenses of each
Portfolio until April 30, 2006 (excluding the Lord Abbett Bond Debenture
Portfolio, Lord Abbett Growth and Income Portfolio, Lord Abbett Mid-Cap Value
Portfolio, PIMCO Total Return Portfolio and the Met/Putnam Capital
Opportunities Portfolio). Pursuant to that Expense Limitation Agreement, the
Manager has agreed to waive or limit its fees and to assume other expenses so
that the total annual operating expenses of each Portfolio other than interest,
taxes, brokerage commissions, other expenditures which are capitalized in
accordance with generally accepted accounting principles, other extraordinary
expenses not incurred in the ordinary course of each Portfolio's business and
amounts payable pursuant to a plan adopted in accordance with Rule 12b-1 under
the 1940 Act are limited to the following respective expense ratios as a
percentage of each Portfolio's average daily net assets:
Expenses Deferred in
- - ------------------------------------------
Maximum Expense Ratio 2001 2002 2003 2004 2005
- - under current Expense -------- -------- -------- ------- -------
Limitation Agreement Subject to repayment until December 31,
- - ------------------------- ------------------------------------------
Portfolio Class A Class B Class E 2006 2007 2008 2009 2010
- --------- ------- ------- ------- -------- -------- -------- ------- -------
Met/AIM Mid Cap Core Equity Portfolio 0.90% 1.15% 1.05% $ -- $ -- $ -- $ -- $ --
Met/AIM Small Cap Growth Portfolio 1.05% 1.30% 1.20% -- -- 12,489 -- --
Goldman Sachs Mid-Cap Value Portfolio 0.95% 1.20% 1.10%** N/A N/A N/A 876 N/A
Harris Oakmark International Portfolio 1.10% 1.35% 1.25% -- -- -- -- --
Janus Aggressive Growth Portfolio 0.90% 1.15% 1.05% -- 55,811 -- -- --
Lord Abbett America's Value Portfolio 0.85%** 1.10% 1.00%** -- -- 76,985 98,677 40,052
Lord Abbett Developing Growth Portfolio*** N/A N/A N/A 84,349 119,049 54,030 -- --
Lord Abbett Growth Opportunities Portfolio 0.90% 1.15% 1.05%** 175,679 124,154 102,238 29,476 21,473
MetLife Aggressive Strategy Portfolio 0.10% 0.35% 0.25%** -- -- -- 32,989 58,248
MetLife Balanced Strategy Portfolio 0.10% 0.35% 0.25%** -- -- -- 32,988 47,538
MetLife Defensive Strategy Portfolio 0.10% 0.35% 0.25%** -- -- -- 32,988 57,713
MetLife Growth Strategy Portfolio 0.10% 0.35% 0.25%** -- -- -- 32,988 47,117
MetLife Moderate Strategy Portfolio 0.10% 0.35% 0.25%** -- -- -- 32,988 43,695
MFS Research International Portfolio 1.00% 1.25% 1.15% -- -- -- -- --
Neuberger Beman Real Estate Portfolio 0.90% 1.15% 1.05% N/A N/A N/A -- --
Oppenheimer Capital Appreciation Portfolio 0.75% 1.00% 0.90% -- -- -- -- --
PIMCO Inflation Protected Bond Portfolio 0.65% 0.90% 0.80%** -- -- -- -- --
Met/Putnam Research Portfolio* N/A N/A N/A -- 57,101 118,946 79,151 --
RCM Global Technology Portfolio 1.10% 1.35% 1.25% 38,327 171,885 75,381 -- --
Third Avenue Small Cap Value Portfolio 0.95% 1.20% 1.10%** -- -- -- -- --
T. Rowe Price Mid-Cap Growth Portfolio 0.90% 1.15% 1.05% -- -- -- -- --
Turner Mid-Cap Growth Portfolio 0.95% 1.20% 1.10%** N/A N/A N/A N/A N/A
Van Kampen Comstock Portfolio 0.80% 1.05% 0.95% N/A N/A N/A N/A N/A
*Portfolios merged into other portfolios within the Trust. Any repayment will
be paid from surviving portfolios. See note 12.
**Class not offered during the period ending June 30, 2005.
***Lord Abbett Developing Growth Portfolio merged into Lord Abbett Growth
Opportunities Portfolio. Any repayment will be paid from Lord Abbett Growth
Opportunities Portfolio.
196
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
3. INVESTMENT MANAGEMENT AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES -
CONTINUED
The following amounts were repaid to the Manager during the period January 1
through June 30, 2005:
Met/AIM Small Cap Growth Portfolio $173,254
Janus Aggressive Growth Portfolio 55,811
MFS Research International Portfolio 465,232
Oppenheimer Capital Appreciation Portfolio 272,191
PIMCO Total Return Portfolio 220,000
T. Rowe Price Mid-Cap Growth Portfolio 2,646
Certain Portfolios (detailed below) changed expense ratios effective May 1,
2005:
Maximum Expense Ratio
under prior Expense
Limitation Agreement
- ---------------------
Portfolio Class A Class B Class E
--------- ------- ------- -------
Met/AIM Mid Cap Core Equity Portfolio 0.95% 1.20% 1.10%
Harris Oakmark International Portfolio 1.20% 1.45% 1.35%
Janus Aggressive Growth Portfolio 0.90% 1.15% 1.05%
Lord Abbett Bond Debenture Portfolio 0.75% 1.00% 0.90%
MFS Research International Portfolio 1.10% 1.35% 1.25%
Third Avenue Small Cap Value Portfolio 1.00% 1.25% 1.15%*
*Class not offered during the period ending June 30, 2005.
If in any year in which the Management Agreement is still in effect, the
estimated aggregate Portfolio Operating Expenses of such Portfolio for the
fiscal year are less than the Maximum Expense Ratio for that year, (subject to
approval by the Trust's Board of Trustees) the Manager shall be entitled to
Reimbursement by such Portfolio to the extent that the charge does not cause
the expenses in such subsequent year to exceed the Maximum Expense Ratios as
stated above. The Portfolios are not obligated to repay any expense paid by the
Manager more than five years after the end of the fiscal year in which such
expense was incurred.
Effective February 17, 2005, T. Rowe Price has agreed to a voluntary
subadvisory fee waiver that applies if (i) assets under management by T. Rowe
Price for the Trust and Metropolitan Series Fund, Inc. (MSF) in the aggregate
exceed $750,000,000, (ii) T. Rowe Price subadvise three or more portfolios of
the Trust and MSF in the aggregate and (iii) at least one of those portfolios
is a large cap domestic equity portfolio. The Manager has voluntarily agreed to
reduce its advisory fee for T. Rowe Price Mid-Cap Growth Portfolio by the
amount waived (if any) by T. Rowe for the Portfolio pursuant to this voluntary
subadvisory fee waiver.
The waiver schedule for the period February 17, 2005 through June 30, 2005 was:
Percentage Fee Waiver Combined Assets
--------------------- --------------------------
0.0% First $750,000,000
5.0% Next $750,000,000
7.5% Next $1,5000,000,000
10.0% Excess over $3,000,000,000
The amount waived for the period ended June 30, 2005 is shown as investment
advisory fee waiver in the Statement of Operations of the Portfolio.
The Trust has distribution agreements with MetLife Investors Distribution
Company ("MIDC" or the "Distributor") in which MIDC serves as the Distributor
for the Trust's Class A, Class B and Class E shares. MIDC is a wholly-owned
subsidiary of MetLife Investors Group, Inc. which is a wholly-owned subsidiary
of Metlife, Inc. The Class B and Class E Distribution Plans provide that the
Trust, on behalf of each Portfolio, may pay annually up to 0.50% and 0.25%
respectively of the average daily net assets of a Portfolio attributable to its
Class B and Class E shares in respect to activities primarily intended to
result in the sale of Class B and Class E shares. However, under Class B and
Class E Distribution Agreements, payments to the Distributor for activities
pursuant to the Class B Distribution Plan and Class E Distribution Plan are
currently limited to payments
197
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
3. INVESTMENT MANAGEMENT AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES -
CONTINUED
at an annual rate equal to 0.25% and 0.15% of average daily net assets of a
Portfolio attributable to its' Class B and Class E shares, respectively. Under
terms of the Class B and Class E Distribution Plans and Distribution
Agreements, each Portfolio is authorized to make payments monthly to the
Distributor that may be used to pay or reimburse entities providing
distribution and shareholder servicing with respect to the Class B and Class E
shares for such entities' fees or expenses incurred or paid in that regard.
During the period ended June 30, 2005 the following Portfolios paid brokerage
commissions to affiliated brokers/dealers:
Portfolio Affiliate Commission
--------- --------- ----------
Goldman Sachs Mid-Cap Value Portfolio Goldman Sachs & Co. $ 7,338
Neuberger Berman Real Estate Portfolio Lehman Brothers, Inc. 51,865
Third Avenue Small Cap Value Portfolio M. J. Whitman LLC 128,762
At or during the period ended June 30, 2005 the T. Rowe Price Mid-Cap Growth
Portfolio held the following securities of affiliated issuers:
Shares Income earned
purchased Shares sold from affiliate
Number of shares during the during the Number of during the period
held at December 31, period ended period ended shares held at ended June 30,
Security Description 2004 June 30, 2005 June 30, 2005 June 30, 2005 2005
- -------------------- -------------------- ------------- ------------- -------------- -----------------
T. Rowe Price Government Reserve Investment
Fund 22,748,964 43,666,731 50,697,805 15,717,890 $356,842
4. SHARES OF BENEFICIAL INTEREST
Transactions in shares of beneficial interest for the year or period ended
noted below were as follows:
SHARES ISSUED SHARES ISSUED NET INCREASE
IN CONNECTION THROUGH (DECREASE)
BEGINNING SHARES WITH ACQUISITION DIVIDEND SHARES IN SHARES ENDING
SHARES SOLD (NOTE 12) REINVESTMENT REPURCHASED OUTSTANDING SHARES
MET/AIM MID CAP CORE EQUITY PORTFOLIO ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class A
06/30/2005 4,158,223 2,981,525 -- -- (2,694,340) 287,185 4,445,408
12/31/2004 362,141 3,992,888 -- -- (196,806) 3,796,082 4,158,223
- ------------------------- ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class B
06/30/2005 15,011,334 694,800 -- -- (2,366,980) (1,672,180) 13,339,154
12/31/2004 17,228,218 8,039,390 -- -- (10,256,274) (2,216,884) 15,011,334
- ------------------------- ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class E
06/30/2005 2,166,035 232,296 -- -- (184,789) 47,507 2,213,542
12/31/2004 1,605,958 897,130 -- -- (337,053) 560,077 2,166,035
- ------------------------- ---------- ---------- ---------------- ------------- ------------ ------------ ----------
MET/AIM SMALL CAP GROWTH PORTFOLIO ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class A
06/30/2005 7,206,041 5,917,160 -- -- (132,799) 5,784,361 12,990,402
12/31/2004 517,669 6,898,904 -- -- (210,532) 6,688,372 7,206,041
- ------------------------- ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class B
06/30/2005 24,313,464 4,489,969 -- -- (6,610,063) (2,120,094) 22,193,370
12/31/2004 17,244,856 20,169,512 -- -- (13,100,904) 7,068,608 24,313,464
- ------------------------- ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class E
06/30/2005 969,101 124,089 -- -- (90,310) 33,779 1,002,880
12/31/2004 719,424 493,797 -- -- (244,120) 249,677 969,101
- ------------------------- ---------- ---------- ---------------- ------------- ------------ ------------ ----------
GOLDMAN SACHS MID-CAP GROWTH PORTFOLIO ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class A
06/30/2005 10,554,698 8,162,692 -- -- (374,961) 7,787,731 18,342,429
5/1/2004-12/31/2004 -- 10,477,933 -- 131,272 (54,507) 10,554,698 10,554,698
- ------------------------- ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class B
06/30/2005 8,699,886 1,485,609 -- -- (2,402,355) (916,746) 7,783,140
5/1/2004-12/31/2004 -- 14,620,067 -- 99,510 (6,019,691) 8,699,886 8,699,886
- ------------------------- ---------- ---------- ---------------- ------------- ------------ ------------ ----------
198
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
4. SHARES OF BENEFICIAL INTEREST - CONTINUED
SHARES ISSUED SHARES ISSUED NET INCREASE
IN CONNECTION THROUGH (DECREASE)
BEGINNING SHARES WITH ACQUISITION DIVIDEND SHARES IN SHARES ENDING
SHARES SOLD (NOTE 12) REINVESTMENT REPURCHASED OUTSTANDING SHARES
HARRIS OAKMARK INTERNATIONAL PORTFOLIO ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class A
06/30/2005 19,247,995 14,075,491 -- -- (925,670) 13,149,821 32,397,816
12/31/2004 702,614 18,925,313 -- 4,691 (384,623) 18,545,381 19,247,995
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class B
06/30/2005 33,908,093 3,523,239 -- -- (8,261,443) (4,738,204) 29,169,889
12/31/2004 24,326,339 29,229,329 -- -- (19,647,575) 9,581,754 33,908,093
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class E
06/30/2005 5,280,761 1,988,195 -- -- (223,157) 1,765,038 7,045,799
12/31/2004 1,994,880 3,695,709 -- 555 (410,383) 3,285,881 5,280,761
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
JANUS AGGRESSIVE GROWTH PORTFOLIO ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class A
06/30/2005 32,777,040 20,564,832 -- -- (1,277,711) 19,287,121 52,064,161
12/31/2004 2,830,143 31,455,247 -- -- (1,508,350) 29,946,897 32,777,040
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class B
06/30/2005 44,776,722 604,714 -- -- (11,931,298) (11,326,584) 33,450,138
12/31/2004 36,151,783 36,455,040 -- -- (27,830,101) 8,624,939 44,776,722
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class E
06/30/2005 726,039 156,289 -- -- (93,053) 63,236 789,275
12/31/2004 582,085 321,840 -- -- (177,886) 143,954 726,039
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
LORD ABBETT AMERICA'S VALUE PORTFOLIO ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class B
06/30/2005 2,620,775 1,326,462 -- -- (12,938) 1,313,524 3,934,299
12/31/2004 760,468 2,077,534 -- 66,300 (283,527) 1,860,307 2,620,775
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
LORD ABBETT BOND DEBENTURE PORTFOLIO ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class A
06/30/2005 41,181,242 23,275,543 -- -- (5,777,681) 17,497,862 58,679,104
12/31/2004 19,483,208 23,884,643 -- 1,305,868 (3,492,477) 21,698,034 41,181,242
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class B
06/30/2005 61,868,653 6,879,189 -- -- (14,543,692) (7,664,503) 54,204,150
12/31/2004 63,346,723 30,550,825 -- 1,977,653 (34,006,548) (1,478,070) 61,868,653
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class E
06/30/2005 2,796,287 198,146 -- -- (161,311) 36,835 2,833,122
12/31/2004 1,902,823 1,047,602 -- 90,207 (244,345) 893,464 2,796,287
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
LORD ABBETT GROWTH AND INCOME PORTFOLIO ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class A
06/30/2005 68,058,169 15,790,087 -- -- (15,597,419) 192,668 68,250,837
12/31/2004 47,841,392 27,835,340 -- 303,598 (7,922,161) 20,216,777 68,058,169
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class B
06/30/2005 47,020,506 767,519 -- -- (7,354,418) (6,586,899) 40,433,607
12/31/2004 44,508,255 21,296,132 -- 160,004 (18,943,885) 2,512,251 47,020,506
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
LORD ABBETT GROWTH OPPORTUNITIES
PORTFOLIO ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class A
06/30/2005 2,545,370 15,349 -- -- (316,905) (301,556) 2,243,814
12/31/2004 2,991,030 195,015 -- -- (640,675) (445,660) 2,545,370
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class B
06/30/2005 3,491,140 253,879 -- -- (105,194) 148,685 3,639,825
12/31/2004 3,011,260 646,479 -- -- (166,599) 479,880 3,491,140
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
199
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
4. SHARES OF BENEFICIAL INTEREST - CONTINUED
SHARES ISSUED SHARES ISSUED NET INCREASE
IN CONNECTION THROUGH (DECREASE)
BEGINNING SHARES WITH ACQUISITION DIVIDEND SHARES IN SHARES ENDING
SHARES SOLD (NOTE 12) REINVESTMENT REPURCHASED OUTSTANDING SHARES
LORD ABBETT MID-CAP VALUE PORTFOLIO ----------- ----------- ---------------- ------------- ------------ ------------ -----------
Class A
06/30/2005 5,780,050 57,532 -- -- (478,011) (420,479) 5,359,571
12/31/2004 5,097,742 1,352,525 -- 150,591 (820,808) 682,308 5,780,050
---------------------- ----------- ----------- ---------------- ------------- ------------ ------------ -----------
Class B
06/30/2005 8,340,102 896,119 -- -- (47,407) 848,712 9,188,814
12/31/2004 5,648,894 2,524,233 -- 210,422 (43,447) 2,691,208 8,340,102
---------------------- ----------- ----------- ---------------- ------------- ------------ ------------ -----------
METLIFE AGGRESSIVE STRATEGY
PORTFOLIO ----------- ----------- ---------------- ------------- ------------ ------------ -----------
Class A
05/02/2005 -- 974 -- -- -- 974 974
---------------------- ----------- ----------- ---------------- ------------- ------------ ------------ -----------
Class B
06/30/2005 28,480,086 21,457,100 -- -- (562,589) 20,894,511 49,374,597
11/4/2004-12/31/2004 -- 28,465,808 -- 63,655 (49,377) 28,480,086 28,480,086
---------------------- ----------- ----------- ---------------- ------------- ------------ ------------ -----------
METLIFE BALANCED STRATEGY PORTFOLIO ----------- ----------- ---------------- ------------- ------------ ------------ -----------
Class A
05/02/2005 -- 996 -- -- -- 996 996
---------------------- ----------- ----------- ---------------- ------------- ------------ ------------ -----------
Class B
06/30/2005 151,485,878 117,485,016 -- -- (2,248,317) 115,236,699 266,722,577
11/4/2004-12/31/2004 -- 150,101,547 -- 1,506,709 (122,378) 151,485,878 151,485,878
---------------------- ----------- ----------- ---------------- ------------- ------------ ------------ -----------
METLIFE DEFENSIVE STRATEGY PORTFOLIO ----------- ----------- ---------------- ------------- ------------ ------------ -----------
Class A
05/02/2005 -- 1,018 -- -- -- 1,018 1,018
---------------------- ----------- ----------- ---------------- ------------- ------------ ------------ -----------
Class B
06/30/2005 13,044,161 17,263,021 -- -- (1,235,611) 16,027,410 29,071,571
11/4/2004-12/31/2004 -- 12,821,112 -- 225,366 (2,317) 13,044,161 13,044,161
---------------------- ----------- ----------- ---------------- ------------- ------------ ------------ -----------
METLIFE GROWTH STRATEGY PORTFOLIO ----------- ----------- ---------------- ------------- ------------ ------------ -----------
Class A
05/02/2005 -- 13,747 -- -- (8) 13,739 13,739
---------------------- ----------- ----------- ---------------- ------------- ------------ ------------ -----------
Class B
06/30/2005 130,653,075 97,476,325 -- -- (479,677) 96,996,648 227,649,723
11/4/2004-12/31/2004 -- 129,839,642 -- 819,165 (5,732) 130,653,075 130,653,075
---------------------- ----------- ----------- ---------------- ------------- ------------ ------------ -----------
METLIFE MODERATE STRATEGY PORTFOLIO ----------- ----------- ---------------- ------------- ------------ ------------ -----------
Class A
05/02/2005 -- 1,009 -- -- -- 1,009 1,009
---------------------- ----------- ----------- ---------------- ------------- ------------ ------------ -----------
Class B
06/30/2005 49,482,297 47,291,705 -- -- (2,792,876) 44,498,829 93,981,126
11/4/2004-12/31/2004 -- 48,823,787 -- 665,692 (7,182) 49,482,297 49,482,297
---------------------- ----------- ----------- ---------------- ------------- ------------ ------------ -----------
MFS RESEARCH INTERNATIONAL PORTFOLIO ----------- ----------- ---------------- ------------- ------------ ------------ -----------
Class A
06/30/2005 25,930,201 17,699,012 -- -- (1,630,826) 16,068,186 41,998,387
12/31/2004 6,859,905 20,475,790 -- 52,999 (1,458,493) 19,070,296 25,930,201
---------------------- ----------- ----------- ---------------- ------------- ------------ ------------ -----------
Class B
06/30/2005 33,915,867 5,121,772 -- -- (6,916,377) (1,794,605) 32,121,262
12/31/2004 18,995,260 29,379,626 -- 73,339 (14,532,358) 14,920,607 33,915,867
---------------------- ----------- ----------- ---------------- ------------- ------------ ------------ -----------
Class E
06/30/2005 962,210 160,566 -- -- (96,579) 63,987 1,026,197
12/31/2004 702,510 804,394 -- 2,025 (546,719) 259,700 962,210
---------------------- ----------- ----------- ---------------- ------------- ------------ ------------ -----------
200
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
4. SHARES OF BENEFICIAL INTEREST - CONTINUED
SHARES ISSUED SHARES ISSUED NET INCREASE
IN CONNECTION THROUGH (DECREASE)
BEGINNING SHARES WITH ACQUISITION DIVIDEND SHARES IN SHARES ENDING
SHARES SOLD (NOTE 12) REINVESTMENT REPURCHASED OUTSTANDING SHARES
NEUBERGER BERMAN REAL ESTATE PORTFOLIO ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class A
06/30/2005 6,180,529 6,590,690 -- -- (787,126) 5,803,564 11,984,093
5/1/2004-12/31/2004 -- 6,202,972 -- 229,704 (252,147) 6,180,529 6,180,529
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class B
06/30/2005 13,408,224 9,083,327 -- -- (4,016,255) 5,067,072 18,475,296
5/1/2004-12/31/2004 -- 19,251,263 -- 507,914 (6,350,953) 13,408,224 13,408,224
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class E
06/30/2005 1,677,013 981,698 -- -- (207,127) 774,571 2,451,584
5/1/2004-12/31/2004 -- 1,661,039 -- 65,201 (49,227) 1,677,013 1,677,013
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
OPPENHEIMER CAPITAL APPRECIATION
PORTFOLIO ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class A
06/30/2005 35,659,977 29,968,253 -- -- (966,608) 29,001,645 64,661,622
12/31/2004 28,096 33,645,202 2,272,486 119,955 (405,762) 35,631,881 35,659,977
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class B
06/30/2005 76,391,037 1,380,625 -- -- (18,507,921) (17,127,296) 59,263,741
12/31/2004 66,468,580 40,170,162 11,866,269 5,705,981 (47,819,955) 9,922,457 76,391,037
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class E
5/1/2005-06/30/2005 -- 19,805 -- -- (682) 19,123 19,123
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
PIMCO INFLATION PROTECTED BOND
PORTFOLIO ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class A
06/30/2005 31,146,895 26,173,879 -- -- (14,526,736) 11,647,143 42,794,038
12/31/2004 111,760 29,513,272 -- 1,635,260 (113,397) 31,035,135 31,146,895
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class B
06/30/2005 47,232,343 1,441,942 -- -- (13,418,585) (11,976,643) 35,255,700
12/31/2004 35,579,307 35,672,691 -- 2,529,164 (26,548,819) 11,653,036 47,232,343
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
PIMCO TOTAL RETURN PORTFOLIO ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class A
06/30/2005 50,716,821 22,371,929 -- -- (7,572,145) 14,799,784 65,516,605
12/31/2004 16,754,205 26,229,737 8,766,781 1,303,224 (2,337,126) 33,962,616 50,716,821
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class B
06/30/2005 90,890,100 7,634,117 -- -- (9,367,409) (1,733,292) 89,156,808
12/31/2004 77,453,916 28,722,299 6,618,814 6,382,604 (28,287,533) 13,436,184 90,890,100
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class E
06/30/2005 12,928,080 696,003 -- -- (818,850) (122,847) 12,805,233
12/31/2004 10,321,229 3,422,332 -- 889,231 (1,704,712) 2,606,851 12,928,080
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
MET/PUTNAM CAPITAL OPPORTUNITIES
PORTFOLIO ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class A
06/30/2005 3,318,870 9,418 -- -- (397,025) (387,607) 2,931,263
12/31/2004 4,199,765 31,588 -- -- (912,483) (880,895) 3,318,870
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class B
06/30/2005 287,234 32,381 -- -- (14,412) 17,969 305,203
12/31/2004 251,419 67,860 -- -- (32,045) 35,815 287,234
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
RCM GLOBAL TECHNOLOGY PORTFOLIO ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class A
06/30/2005 17,702,019 8,288,794 -- -- (1,443,799) 6,844,995 24,547,014
12/31/2004 9,777,927 13,372,160 -- 13,041 (5,461,109) 7,924,092 17,702,019
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class B
06/30/2005 21,893,383 1,048,930 -- -- (5,540,576) (4,491,646) 17,401,737
12/31/2004 13,511,798 18,445,567 -- 16,957 (10,080,939) 8,381,585 21,893,383
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class E
06/30/2005 4,427,013 232,315 -- -- (566,192) (333,877) 4,093,136
12/31/2004 3,233,733 2,169,075 -- 3,362 (979,157) 1,193,280 4,427,013
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
201
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
4. SHARES OF BENEFICIAL INTEREST - CONTINUED
SHARES ISSUED SHARES ISSUED NET INCREASE
IN CONNECTION THROUGH (DECREASE)
BEGINNING SHARES WITH ACQUISITION DIVIDEND SHARES IN SHARES ENDING
SHARES SOLD (NOTE 12) REINVESTMENT REPURCHASED OUTSTANDING SHARES
THIRD AVENUE SMALL CAP VALUE PORTFOLIO ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class A
06/30/2005 14,349,821 11,450,208 -- -- (420,749) 11,029,459 25,379,280
12/31/2004 530,380 13,973,464 -- 329,460 (483,483) 13,819,441 14,349,821
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class B
06/30/2005 30,307,113 1,258,355 -- -- (6,338,266) (5,079,911) 25,227,202
12/31/2004 26,528,195 17,295,098 -- 667,401 (14,183,581) 3,778,918 30,307,113
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
T. ROWE PRICE MID-CAP GROWTH PORTFOLIO ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class A
06/30/2005 19,294,635 8,452,038 -- -- (1,099,011) 7,353,027 26,647,662
12/31/2004 5,451,817 15,971,697 -- -- (2,128,879) 13,842,818 19,294,635
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class B
06/30/2005 46,163,851 3,663,124 -- -- (3,816,592) (153,468) 46,010,383
12/31/2004 48,525,129 25,248,670 -- -- (27,609,948) (2,361,278) 46,163,851
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class E
06/30/2005 2,861,385 164,765 -- -- (313,313) (148,548) 2,712,837
12/31/2004 1,701,812 1,455,676 -- -- (296,103) 1,159,573 2,861,385
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
TURNER MID-CAP GROWTH PORTFOLIO ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class A
06/30/2005 6,810,572 5,388,229 -- -- (56,088) 5,332,141 12,142,713
5/1/2004-12/31/2004 -- 6,810,578 -- -- (6) 6,810,572 6,810,572
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class B
06/30/2005 7,104,659 126,904 -- -- (2,798,507) (2,671,603) 4,433,056
5/1/2004-12/31/2004 -- 13,360,733 -- -- (6,256,074) 7,104,659 7,104,659
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
VAN KAMPEN COMSTOCK PORTFOLIO ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class A
5/1/2005-6/30/2005 -- 66,063,380 -- -- (176,503) 65,886,877 65,886,877
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
Class B
5/1/2005-6/30/2005 -- 1,425,400 -- -- (2,184) 1,423,216 1,423,216
------------------------ ---------- ---------- ---------------- ------------- ------------ ------------ ----------
5. INVESTMENT TRANSACTIONS
Aggregate cost of purchases and proceeds of sales of investment securities,
excluding short-term securities, for the period ended June 30, 2005 were as
follows:
Purchase Sales
- - ------------------------------ ------------------------------
U.S. Government Non-Government U.S. Government Non-Government
- - --------------- -------------- --------------- --------------
Met/AIM Mid Cap Core Equity Portfolio $ -- 108,737,247 $ -- 100,468,891
Met/AIM Small Cap Growth Portfolio -- 278,751,359 -- 196,763,610
Goldman Sachs Mid-Cap Value Portfolio -- 165,989,848 -- 78,972,988
Harris Oakmark International Portfolio -- 224,877,380 -- 68,097,063
Janus Aggressive Growth Portfolio -- 458,836,758 -- 381,721,397
Lord Abbett America's Value Portfolio 7,119,478 18,728,157 4,483,623 3,285,113
Lord Abbett Bond Debenture Portfolio 180,926,655 280,462,717 99,631,761 245,567,649
Lord Abbett Growth and Income Portfolio -- 867,230,134 -- 676,508,691
Lord Abbett Growth Opportunities Portfolio -- 20,355,994 -- 22,259,786
Lord Abbett Mid-Cap Value Portfolio -- 34,293,056 -- 23,291,275
MFS Research International Portfolio -- 469,100,057 -- 291,095,729
202
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
5. INVESTMENT TRANSACTIONS - CONTINUED
Purchase Sales
- - ------------------------------ ------------------------------
U.S. Government Non-Government U.S. Government Non-Government
- - --------------- -------------- --------------- --------------
Neuberger Berman Real Estate Portfolio -- 277,258,996 -- 196,177,994
Oppenheimer Capital Appreciation Portfolio -- 233,372,389 -- 191,297,984
PIMCO Inflation Protected Bond Portfolio 7,639,529,835 64,914,607 7,656,832,862 8,117,581
PIMCO Total Return Portfolio 7,740,921,280 491,244,205 6,943,255,122 250,704,405
Met/Putnam Capital Opportunities Portfolio -- 29,051,246 -- 33,980,132
RCM Global Technology Portfolio -- 261,343,167 -- 259,161,476
Third Avenue Small Cap Value Portfolio -- 102,839,320 -- 36,698,255
T. Rowe Price Mid-Cap Growth Portfolio -- 117,089,960 -- 66,934,511
Turner Mid-Cap Growth Portfolio -- 135,560,663 -- 113,326,136
Van Kampen Comstock Portfolio -- 465,531,264 -- 428,219,157
At June 30, 2005, the cost of securities for federal income tax purposes and
the unrealized appreciation (depreciation) of investments for federal income
tax purposes for each Portfolio was as follows:
Federal Gross Gross Net Unrealized
Income Tax Unrealized Unrealized Appreciation/
Portfolio Cost Appreciation (Depreciation) (Depreciation)
- --------- -------------- ------------ -------------- --------------
Met/AIM Mid Cap Core Equity Portfolio $ 311,476,622 $ 22,541,858 $ (4,618,382) $ 17,923,476
Met/AIM Small Cap Growth Portfolio 534,521,631 64,837,192 (8,441,811) 56,395,381
Goldman Sachs Mid-Cap Value 308,779,679 34,173,589 (4,394,093) 29,779,496
Harris Oakmark International Portfolio 1,043,267,383 132,869,871 (5,925,452) 126,944,419
Janus Aggressive Growth Portfolio 724,226,741 73,938,800 (10,932,360) 63,006,440
Lord Abbett America's Value Portfolio 51,143,078 4,556,447 (734,359) 3,822,088
Lord Abbett Bond Debenture Portfolio 1,664,991,496 47,557,769 (28,445,092) 19,112,677
Lord Abbett Growth and Income Portfolio 3,031,439,938 324,141,234 (75,927,503) 248,213,731
Lord Abbett Growth Opportunities Portfolio 64,088,447 8,885,421 (1,807,054) 7,078,367
Lord Abbett Mid-Cap Value Portfolio 301,831,074 74,236,548 (4,944,263) 69,292,285
MetLife Aggressive Strategy Portfolio 518,099,587 13,600,558 (974,006) 12,626,552
MetLife Balanced Strategy Portfolio 2,720,803,871 55,951,763 (6,443,118) 49,508,646
MetLife Defensive Strategy Portfolio 287,430,436 4,777,316 (198,368) 4,578,948
MetLife Growth Strategy Portfolio 2,368,324,260 54,862,380 (5,894,404) 48,967,976
MetLife Moderate Strategy Portfolio 943,032,857 16,244,015 (1,884,830) 14,359,185
MFS Research International Portfolio 956,220,784 51,803,950 (12,396,119) 39,407,831
Neuberger Berman Real Estate Portfolio 389,784,556 48,229,092 -- 48,229,092
Oppenheimer Capital Appreciation Portfolio 1,025,491,536 71,596,558 (38,552,244) 33,044,314
PIMCO Inflation Protected Bond Portfolio 1,628,380,164 1,772,529 (3,044,692) (1,272,163)
PIMCO Total Return Portfolio 2,601,279,517 20,529,648 (8,270,614) 12,259,034
Met/Putnam Capital Opportunities Portfolio 53,778,628 5,718,306 (2,026,835) 3,691,471
RCM Global Technology Portfolio 229,575,417 12,923,592 (1,887,517) 11,036,075
Third Avenue Small Cap Value Portfolio 769,464,155 178,981,222 (7,825,861) 171,155,361
T. Rowe Price Mid-Cap Growth Portfolio 620,854,370 103,129,895 (16,272,688) 86,857,207
Turner Mid-Cap Growth Portfolio 162,427,501 24,865,711 (855,198) 24,010,513
Van Kampen Comstock Portfolio 672,997,340 16,667,931 (13,858,671) 2,809,260
203
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
6. SECURITY LENDING
As of June 30, 2005, certain Portfolios had loaned securities which were
collateralized by short term investments. The value of securities on loan and
the value of the related collateral were as follows:
Value of Value of
Securities Collateral
- ------------ ------------
Met/AIM Mid Cap Core Equity Portfolio $ 35,894,798 $ 36,726,477
Met/AIM Small Cap Growth Portfolio 114,651,238 117,552,957
Harris Oakmark International Portfolio 160,479,828 168,591,160
Janus Aggressive Growth Portfolio 119,860,589 122,775,084
Lord Abbett Bond Debenture Portfolio 241,052,908 246,101,521
Lord Abbett Growth and Income Portfolio 369,763,963 378,383,282
Lord Abbett Growth Opportunities Portfolio 9,323,675 9,571,084
Lord Abbett Mid-Cap Value Portfolio 48,813,021 50,076,477
MFS Research International Portfolio 129,566,561 136,143,669
Oppenheimer Capital Appreciation Portfolio 54,483,448 55,797,875
Met/Putnam Capital Opportunities Portfolio 11,363,608 11,656,815
RCM Global Technology Portfolio 33,464,173 34,301,216
Third Avenue Small Cap Value Portfolio 170,852,589 175,351,718
T. Rowe Price Mid-Cap Growth Portfolio 127,139,853 130,330,151
7. FUTURES CONTRACTS
The futures contracts outstanding as of June 30, 2005 and the description and
unrealized appreciation or depreciation were as follows:
Number of
Description Expiration Date Contracts
---------------------------------------------- ---------------------- ---------
PIMCO Inflation Protected Bond Portfolio: U.S. Treasury Note 5 Year Futures September 2005 - Long 48
U.S. Treasury Bond Futures September 2005 - Long 209
U.S. Treasury Note 10 Year Futures September 2005 - Short (243)
PIMCO Total Return Portfolio: Germany Federal Republic Bonds 10 Year Futures August 2005 - Long 809
Germany Federal Republic Bonds 10 Year Futures September 2005 - Long 922
Japan Government Bonds 10 Year Futures September 2005 - Long 17
U.S. Treasury Note 5 Year Futures September 2005 - Long 531
U.S. Treasury Bond Futures September 2005 - Long 939
Municipal 10 Year Notes Index Futures September 2005 - Long 2
Euro Dollar Futures December 2005 - Long 2,121
Euro Dollar Futures June 2006 - Long 600
U.S. Treasury Note 10 Year Futures September 2005 - Short (297)
LIBOR Futures December 2005 - Short (207)
Unrealized
Notional Appreciation/
Value (Depreciation)
------------ --------------
PIMCO Inflation Protected Bond Portfolio: 5,226,750 $ 3,234
24,818,750 28,125
(27,572,906) (106,313)
PIMCO Total Return Portfolio: 9,788 (678)
137,761,948 1,104,327
21,642,773 110,630
57,820,922 244,187
111,506,250 457,813
214,375 2,813
509,199,075 27,450
143,992,500 202,500
(33,700,219) (111,375)
0 148,440
204
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
8. FORWARD FOREIGN CURRENCY CONTRACTS
Open forward foreign currency contracts at June 30, 2005, were as follows:
HARRIS OAKMARK INTERNATIONAL PORTFOLIO
Forward Foreign Currency Contracts to Sell:
Net Unrealized
Value at In Exchange Appreciation/
Settlement Date Contacts to Deliver June 30, 2005 for U.S. $ (Depreciation)
--------------- ------------------- ------------- ----------- --------------
11/16/2005 51,500,000 CHF $40,594,750 44,394,638 $ 3,799,888
11/17/2005 29,400,000 CHF 23,176,452 25,406,153 2,229,701
11/22/2005 22,000,000 CHF 17,350,312 19,133,762 1,783,450
12/7/2005 14,900,000 CHF 11,765,932 13,288,148 1,522,216
1/18/2006 9,000,000 CHF 7,132,658 7,558,579 425,921
7/12/2005 18,500,000 GBP 33,150,841 33,337,000 186,159
7/14/2005 18,600,000 GBP 33,327,514 33,690,180 362,666
11/28/2005 9,900,000 GBP 17,683,472 18,253,125 569,653
12/7/2005 9,500,000 GBP 16,966,634 18,041,450 1,074,816
12/9/2005 11,100,000 GBP 19,823,561 21,202,110 1,378,549
-----------
$13,333,019
===========
PIMCO INFLATION PROTECTED BOND PORTFOLIO
Forward Foreign Currency Contracts to Buy:
Net Unrealized
Value at In Exchange Appreciation/
Settlement Date Contacts to Deliver June 30, 2005 for U.S. $ (Depreciation)
--------------- ------------------- ------------- ----------- --------------
7/26/2005 388,000 EUR $ 469,829 467,864 $ 1,965
7/13/2005 984,469,000 JPY 8,886,838 9,248,182 (361,344)
9/26/2005 298,000 PLN 88,910 89,261 (351)
9/23/2005 2,538,000 RUB 88,377 88,772 (395)
9/26/2005 2,936,000 SKK 92,757 93,198 (441)
---------
$(360,566)
=========
Forward Foreign Currency Contracts to Sell:
Net Unrealized
Value at In Exchange Appreciation/
Settlement Date Contacts to Deliver June 30, 2005 for U.S. $ (Depreciation)
--------------- ------------------- ------------- ----------- --------------
7/19/2005 731,000 CAD $ 596,639 588,039 $(8,600)
7/26/2005 12,117,000 EUR 14,672,459 14,677,079 4,620
-------
$(3,980)
=======
205
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
8. FORWARD FOREIGN CURRENCY CONTRACTS - CONTINUED
PIMCO TOTAL RETURN PORTFOLIO
Forward Foreign Currency Contracts to Buy:
Net Unrealized
Value at In Exchange Appreciation/
Settlement Date Contacts to Deliver June 30, 2005 for U.S. $ (Depreciation)
--------------- ------------------- ------------- ----------- --------------
7/20/2005 808,000 BRL $ 340,562 298,596 $ 41,966
8/23/2005 810,000 BRL 336,510 317,647 18,863
9/6/2005 12,397,000 BRL 5,123,256 4,400,000 723,256
9/8/2005 11,115,000 BRL 4,589,983 3,900,000 689,983
9/13/2005 1,152,000 BRL 474,827 454,080 20,747
8/2/2005 52,440,000 CLP 90,594 90,165 429
8/16/2005 253,215,000 CLP 437,348 437,369 (21)
9/13/2005 232,106,000 CLP 400,703 392,801 7,902
9/26/2005 35,538,750 CNY 4,341,482 4,500,000 (158,518)
7/26/2005 22,000,000 EUR 26,639,771 26,960,450 (320,679)
7/26/2005 704,000 EUR 852,472 848,908 3,564
9/21/2005 25,915,000 INR 593,316 592,749 567
7/13/2005 3,098,514,000 JPY 27,970,400 29,107,694 (1,137,294)
7/27/2005 1,549,537,000 KRW 1,499,247 1,550,713 (51,466)
8/24/2005 316,800,000 KRW 306,528 315,001 (8,473)
9/21/2005 452,000,000 KRW 437,378 445,759 (8,381)
8/31/2005 8,018,000 MXP 735,967 718,780 17,187
9/23/2005 4,298,000 MXP 392,990 392,673 317
8/23/2005 2,144,000 PEN 658,594 658,174 420
9/14/2005 1,331,000 PEN 408,789 408,884 (95)
8/23/2005 1,102,000 PLN 329,067 329,102 (35)
9/26/2005 1,127,000 PLN 336,247 337,576 (1,329)
7/29/2005 20,523,000 RUB 715,550 739,568 (24,018)
8/23/2005 7,755,000 RUB 270,176 276,767 (6,591)
9/23/2005 11,710,000 RUB 407,763 409,584 (1,821)
7/26/2005 1,211,000 SGD 718,482 737,291 (18,809)
8/24/2005 462,000 SGD 274,435 278,733 (4,298)
9/20/2005 654,000 SGD 388,954 391,969 (3,015)
8/31/2005 20,295,000 SKK 640,696 647,885 (7,189)
9/26/2005 12,765,000 SKK 403,284 405,200 (1,916)
8/24/2005 9,010,000 TWD 285,663 290,158 (4,495)
9/21/2005 12,757,000 TWD 405,170 409,272 (4,102)
-----------
$ (237,344)
===========
206
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
8. FORWARD FOREIGN CURRENCY CONTRACTS - CONTINUED
Forward Foreign Currency Contracts to Sell:
Net Unrealized
Value at In Exchange Appreciation/
Settlement Date Contracts to Deliver June 30, 2005 for U.S. $ (Depreciation)
--------------- -------------------- ------------- ----------- --------------
9/6/2005 4,235,000 BRL $ 1,750,181 1,602,346 $(147,835)
9/6/2005 8,162,000 BRL 3,373,076 3,204,897 (168,179)
9/8/2005 3,125,000 BRL 1,290,481 1,179,690 (110,791)
9/8/2005 4,975,000 BRL 2,054,446 1,903,532 (150,914)
9/8/2005 3,015,000 BRL 1,245,056 1,179,808 (65,248)
9/26/2005 35,538,750 CNY 4,341,482 4,487,783 146,301
7/26/2005 127,184,000 EUR 154,006,937 154,055,436 48,499
7/26/2005 7,000,000 EUR 8,476,291 8,499,883 23,592
---------
$(424,575)
=========
BRL - Brazilian Real MXP - Mexican Peso
CHF - Swiss Franc PEN - Peruvian Nuevo Sol
CLP - Chilean Peso PLN - Polish Zloty
CNY - China Yuan Renminbi RUB - Russian Ruble
EUR - Euro SGD - Singapore Dollar
GBP - British Pound SKK - Slovakian Koruna
INR - Indian Rupee TWD - Taiwan Dollar
JPY - Japanese Yen U.S. $ - United States Dollar
KRW - South Korean Won
9. OPTIONS
During the period ended June 30, 2005 the following option contracts were
written:
PIMCO PIMCO
Inflation Protected Total Return
Bond Portfolio Portfolio
------------------- -------------------------
Number of Number of
Contracts Premium Contracts Premium
--------- --------- ------------ -----------
Options outstanding at December 31, 2004 250 $ 110,391 271,600,508 $ 4,561,605
Options written......................... 1,492 348,928 90,403,016 1,416,031
Options bought back..................... (646) (140,968) (74,001,670) (801,831)
Options closed and expired.............. (518) (159,386) (133,200,999) (1,896,792)
----- --------- ------------ -----------
Options outstanding at June 30, 2005.... 578 $ 158,965 154,800,855 $ 3,279,013
===== ========= ============ ===========
207
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
10. SWAP AGREEMENTS
Open swap agreements at June 30, 2005, were as follows:
PIMCO INFLATION PROTECTED BOND PORTFOLIO
Expiration
Notional Amount Date Description Value
- --------------- ---------- ------------------------------------------------------------------ -----------
1,500,000 USD 6/20/2006 Agreement with Goldman Sachs International dated 6/29/2005 to $11,895
receive quarterly the notional amount multiplied by 3.10% and to
pay par in the event of default of General Motors Corp.
7.125% due 7/15/2013.
1,000,000 USD 6/20/2006 Agreement with J.P. Morgan Chase Bank dated 4/27/2005 to 9,511
receive quarterly the notional amount multiplied by 2.80% and to
pay par in the event of default of General Motors Acceptance Corp.
6.875% due 8/28/2012.
1,000,000 USD 6/20/2006 Agreement with Morgan Stanley Capital Services, Inc., dated 19,362
5/19/2005 to receive quarterly the notional amount multiplied by
3.83% and to pay par in the event of default of General Motors
Acceptance Corp. 6.875% due 8/28/2012.
1,000,000 USD 6/20/2006 Agreement with Goldman Sachs International dated 5/31/2005 to 19,075
receive quarterly the notional amount multiplied by 3.80% and to
pay par in the event of default of General Motors Acceptance Corp.
6.875% due 8/28/2012.
40,000,000 USD 12/15/2007 Agreement with Lehman Brothers Special Financing, Inc., dated (77,145)
7/11/2005 to pay semi-annually the notional amount multiplied by
the 3 month USD-LIBOR-BBA and to receive semi-annually the
notional amount multiplied by 4%.
5,200,000 USD 12/15/2007 Agreement with Goldman Sachs Capital Markets, L.P. dated (10,029)
6/13/2005 to receive semi-annually the notional amount
multiplied by 4.00% and to pay semi-annually the notional amount
multiplied by the 3 month USD-LIBOR-BBA.
5,100,000 USD 12/15/2010 Agreement with Lehman Brothers Special Financing, Inc., dated 49,226
6/27/2005 to receive semi-annually the notional amount
multiplied by the 3 month USD-LIBOR-BBA and to pay semi-
annually the notional amount multiplied by 4%.
64,800,000 USD 12/15/2015 Agreement with Goldman Sachs Capital Markets, L.P. dated (3,010,259)
6/2/2005 to pay semi-annually the notional amount multiplied by
5.00% and to receive semi-annually the notional amount
multiplied by the 3 month USD-LIBOR-BBA.
18,000,000 USD 12/15/2015 Agreement with J.P. Morgan Chase Bank dated 6/15/2005 to (836,183)
receive semi-annually the notional amount multiplied by the 3
month US-LIBOR-BBA and to pay semi-annually the notional
amount multiplied by 5%.
15,600,000 USD 12/15/2015 Agreement with Bank of America N.A. dated 6/6/2005 to receive (724,692)
semi-annually the notional amount multiplied by the 3 month USD-
LIBOR-BBA and to pay semi-annually the notional amount
multiplied by 5%.
4,500,000 USD 12/15/2015 Agreement with Lehman Brothers Special Financing, Inc., dated (209,046)
6/13/2005 to receive semi-annually the notional amount
multiplied by the 3 month USD-LIBOR-BBA and to pay semi-
annually the notional amount multiplied by 5%.
208
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
10. SWAP AGREEMENTS - CONTINUED
Expiration
Notional Amount Date Description Value
- --------------- ---------- ----------------------------------------------------------------- ----------
400,000 EUR 3/15/2007 Agreement with Merrill Lynch Capital Services, Inc., dated $14,795
2/10/2004 to receive annually the notional amount multiplied by
4.00% and to pay annually the notional amount multiplied by the 6
month EUR-EURLIBOR-Telerate.
500,000 EUR 3/15/2007 Agreement with J.P. Morgan Chase Bank dated 4/12/2004 to pay 18,492
annually the notional amount multiplied by the 6 month EUR-
EURIBOR-Telerate and to receive annually the notional amount
multiplied by 4%.
22,200,000 EUR 6/17/2015 Agreement with J.P. Morgan Chase Bank dated 4/27/2004 to pay 4,092,639
annually the notional amount multiplied by the 6 month EUR-
EURIBOR-Telerate and to receive annually the notional amount
multiplied by 5%.
10,000,000 GBP 6/15/2008 Agreement with J.P. Morgan Chase Bank dated 10/4/2004 to pay 214,778
semi-annually the notional amount multiplied by the 6 month GBP-
LIBOR-BBA and to receive semi-annually the notional amount
multiplied by 5%.
----------
$(417,581)
==========
PIMCO TOTAL RETURN PORTFOLIO
Expiration
Notional Amount Date Description Value
- --------------- ---------- ------------------------------------------------------------------ ------
2,200,000 USD 7/17/2005 Agreement with Lehman Brothers Special Financing, Inc., dated $712
8/19/2004 to receive semi-annually the notional amount
multiplied by 1.05% and to pay par in the event of default of
Russian Federation 5.00% due 3/31/2030.
400,000 USD 7/20/2005 Agreement with Morgan Stanley Capital Services, Inc., dated 133
9/2/2004 to receive semi-annually the notional amount multiplied
by 1.00% for each of sixteen Credit Derivative Transactions
entered into, and to pay par in the event of default of Russian
Federation 5.00% due 3/31/2030.
900,000 USD 7/31/2005 Agreement with Lehman Brothers dated 8/9/2004 to receive semi- 462
annually the notional amount multiplied by 0.97% and to pay par
in the event of default of Russian Federation 5.00% due
3/31/2030.
800,000 USD 6/20/2006 Agreement with Morgan Stanley Capital Services, Inc. dated 862
6/9/2005 to receive semi-annually the notional amount multiplied
by 0.58% for each of fifty Credit Derivative Transactions entered
into and to pay par in the event of default of Russian Federation
5.00% due 3/31/2030.
1,000,000 USD 6/20/2006 Agreement with J.P. Morgan Chase Bank dated 5/12/2005 to 10,467
receive quarterly the notional amount multiplied by 2.90% and to
pay par in the event of default of General Motors Acceptance Corp.
6.875% due 8/28/2012.
1,000,000 USD 6/20/2006 Agreement with Morgan Stanley Capital Services, Inc. dated 10,467
5/19/2005 to receive quarterly the notional amount multiplied by
2.90% and to pay par in the event of default of General Motors
Acceptance Corp. 6.875% due 8/28/2012.
209
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
10. SWAP AGREEMENTS - CONTINUED
Expiration
Notional Amount Date Description Value
- --------------- ---------- ------------------------------------------------------------------ ---------
2,000,000 USD 6/20/2006 Agreement with J.P. Morgan Chase Bank dated 4/5/2005 to receive $18,720
quarterly the notional amount multiplied by 3.25% and to pay par
in the event of default of General Motors Corp.
7.125% due 7/15/2013.
2,000,000 USD 6/20/2006 Agreement with J.P. Morgan Chase Bank dated 5/11/2005 to 33,392
receive quarterly the notional amount multiplied by 3.20% and to
pay par in the event of default of Ford Motor Credit Co.
7.000% due 10/1/2013.
4,000,000 USD 6/20/2006 Agreement with J.P. Morgan Chase Bank dated 4/27/2005 to 38,043
receive quarterly the notional amount multiplied by 2.80% and to
pay par in the event of default of General Motors Acceptance Corp.
6.875% due 8/28/2012.
4,100,000 USD 3/20/2007 Agreement with Merrill Lynch International, dated 4/26/2005 to 401
receive semi-annually the notional amount multiplied by 0.61%
and to pay par in the event of default of Russian Federation
5.00% (step-up) due 3/31/2030.
600,000 USD 5/20/2007 Agreement with J.P. Morgan Chase Bank dated 6/6/2005 to receive 1,628
semi-annually the notional amount multiplied by 0.77% and to pay
par in the event of default of Russian Federation
2.250% due 3/31/2030.
1,800,000 USD 6/20/2007 Agreement with J.P. Morgan Chase Bank dated 4/27/2005 to 28,450
receive quarterly the notional amount multiplied by 4.60% and to
pay par in the event of default of General Motors Corp.
7.125% due 7/15/2013.
1,200,000 USD 12/20/2008 Agreement with Lehman Brothers dated 10/14/2003 to pay (21,343)
quarterly the notional amount multiplied by 0.97% and to receive
par in the event of default of Goodrich Corporation
7.625% due 12/15/2012.
1,200,000 USD 12/20/2008 Agreement with Lehman Brothers dated 10/14/2003 to pay (13,928)
quarterly the notional amount multiplied by 0.53% and to receive
par in the event of default of Lockheed Martin Corporation
8.20% due 12/1/2009.
1,200,000 USD 12/20/2008 Agreement with Lehman Brothers dated 10/14/2003 to pay (11,335)
quarterly the notional amount multiplied by 0.48% and to receive
par in the event of default of Northrop Grumman Corporation
7.125% due 2/15/2011.
300,000 USD 12/20/2008 Agreement with J.P. Morgan Chase Bank dated 2/12/2004 to pay (8,525)
quarterly the notional amount multiplied by 1.35% and to receive
par in the event of default of Capital One Financing Corporation
8.750% due 2/1/2007.
4,800,000 USD 6/20/2010 Agreement with Morgan Stanley Capital Services, Inc., dated 29,193
4/14/2005 to receive semi-annually the notional amount
multiplied by 2.10% and to pay par in event of default of
underlying sovereign entities of the Dow Jones CDX Emerging
Markets Index.
2,770,000 USD 12/15/2010 Agreement with Lehman Brothers Special Financing, Inc., dated (267,362)
6/20/2005 to pay semi-annually the notional amount multiplied by
the 3 month USD-LIBOR-BBA and to receive semi-annually the
notional amount multiplied by 4.00%.
16,900,000 USD 12/15/2015 Agreement with Bank of America N.A. dated 6/6/2005 to receive (785,083)
semi-annually the notional amount multiplied by the 3 month USD-
LIBOR-BBA and to pay semi-annually the notional amount
multiplied by 5.00%.
210
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
10. SWAP AGREEMENTS - CONTINUED
Expiration
Notional Amount Date Description Value
- --------------- ---------- ---------------------------------------------------------------- -------------
41,600,000 USD 12/15/2015 Agreement with Lehman Brothers Special Financing, Inc., dated $(1,932,512)
6/13/2005 to receive semi-annually the notional amount
multiplied by the 3 month USD-LIBOR-BBA and to pay semi-
annually the notional amount multiplied by 5.00%.
5,800,000 USD 12/15/2015 Agreement with J.P. Morgan Chase Bank dated 6/15/2005 to (269,437)
receive semi-annually the notional amount multiplied by the 3
month US-LIBOR-BBA and to pay semi-annually the notional
amount multiplied by 5%.
9,700,000 USD 4/16/2025 Agreement with J.P. Morgan Chase Bank dated 7/12/2005 to pay (163,342)
semi-annualy the notional amount multiplied by the 3 month CAD-
BA-CDOR and to receive quarterly the notional amount multiplied
by 4.50%.
4,900,000 USD 6/15/2025 Agreement with Merrill Lynch Capital Services, Inc., dated (88,854)
8/2/2005 to receive semi-annually the notional amount multiplied
by 4.50% and to pay semi-annually the notional amount multiplied
by the 3 month CAD-BA-CDOR.
11,800,000 USD 12/15/2025 Agreement with Lehman Brothers Special Financing, Inc., dated (485,605)
7/13/2005 to receive semi-annually the notional amount
multiplied by the 3 month USD-LIBOR-BBA and to pay semi-
annually the notional amount multiplied by 5.00%.
30,900,000 CAD 12/16/2014 Agreement with Bank of America N.A. dated 2/1/2005 to receive (707,448)
semi-annually the notional amount multiplied by the 3 month CAD-
BA-CDOR and to pay semi-annually the notional amount multiplied
by 5.50%.
40,100,000 CAD 12/16/2019 Agreement with Bank of America N.A. dated 2/1/2005 to pay semi- 661,330
annually the notional amount multiplied by the 3 month CAD-BA-
CDOR and to receive semi-annually the notional amount multiplied
by 6.00%.
94,700,000 EUR 6/16/2014 Agreement with Morgan Stanley Capital Services, Inc. dated (7,787,582)
5/6/2005 to pay annually the notional amount multiplied by the 6
month EUR-EURIBOR-Telerate and to receive annually the notional
amount multiplied by 5.00%.
8,700,000 EUR 6/17/2015 Agreement with J.P. Morgan Chase Bank dated 6/21/2005 to (1,154,081)
receive annually the notional amount multiplied by the 6 month
EUR-EURIBOR-Telerate and to pay annually the notional amount
multiplied by 4.50%.
6,100,000 EUR 6/17/2015 Agreement with J.P. Morgan Chase Bank dated 10/14/2004 to pay 1,124,554
annually the notional amount multiplied by the 6 month EUR-
EURIBOR-Telerate and to receive annually the notional amount
multiplied by 5.00%.
258,000,000 JPY 6/15/2012 Agreement with Goldman Sachs Capital Markets, L.P., dated (195,025)
8/24/2004 to receive semi-annually the notional amount
multiplied by the 6 month JPY-LIBOR-BBA and to pay semi-
annually the notional amount multiplied by 2.00%.
2,000,000,000 JPY 6/15/2012 Agreement with Goldman Sachs Capital Markets, L.P., dated (1,511,829)
8/3/2004 to receive semi-annually the notional amount multiplied
by the 6 month JPY-LIBOR-BBA and to pay semi-annually the
notional amount multiplied by 2.00%.
-------------
$(13,444,477)
=============
CAD - Canadian Dollar
EUR - Euro
GBP - British Pound
JPY - Japanese Yen
USD - United States Dollar
211
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
11. DISTRIBUTIONS TO SHAREHOLDERS
The tax character of distributions paid for the periods ended December 31, 2004
and 2003 were as follows:
Ordinary Income Long-Term Capital Gain Total
- - ----------------------- ---------------------- -----------------------
2004 2003 2004 2003 2004 2003
- - ----------- ----------- ----------- ---------- ----------- -----------
Met/AIM Mid Cap Core Equity Portfolio $ -- $ 1,832,869 $ -- $ -- $ -- $ 1,832,869
Goldman Sachs Mid-Cap Value Portfolio 2,754,228 -- 2,754,228 --
Harris Oakmark International Portfolio 75,188 3,002,349 -- 273,106 75,188 3,275,455
Lord Abbett America's Value Portfolio 691,296 207,582 206,401 -- 897,697 207,582
Lord Abbett Bond Debenture Portfolio 42,393,056 15,972,187 -- -- 42,393,056 15,972,187
Lord Abbett Growth and Income Portfolio 12,686,365 15,519,662 -- -- 12,686,365 15,519,662
Lord Abbett Mid-Cap Value Portfolio 1,208,159 1,044,172 6,548,817 2,274,829 7,756,976 3,319,001
MetLife Aggressive Strategy Portfolio 415,966 -- 264,513 680,479 --
MetLife Balanced Strategy Portfolio 14,606,246 -- 897,795 15,504,041 --
MetLife Defensive Strategy Portfolio 2,169,357 -- 68,531 2,237,888 --
MetLife Growth Strategy Portfolio 7,536,446 -- 1,105,742 8,642,188 --
MetLife Moderate Strategy Portfolio 6,421,397 -- 295,434 6,716,831 --
MFS Research International Portfolio 1,492,983 1,398,236 -- -- 1,492,983 1,398,236
Neuberger Berman Real Estate Portfolio 9,887,285 67,672 -- 9,954,957 --
Oppenheimer Capital Appreciation Portfolio 22,602,474 24,825,441 47,427,915 --
PIMCO Inflation Protected Bond Portfolio 44,049,051 8,015,505 52,200 164,306 44,101,251 8,179,811
PIMCO Total Return Portfolio 96,677,207 21,621,640 -- 2,238,470 96,677,207 23,860,110
RCM Global Technology Portfolio 152,842 -- -- 152,842 --
Third Avenue Small Cap Value Portfolio 9,110,042 1,983,734 5,228,107 550,664 14,338,149 2,534,398
212
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
11. DISTRIBUTIONS TO SHAREHOLDERS - CONTINUED
As of December 31, 2004, the components of distributable earnings (accumulated
losses) on a federal income tax basis were as follows:
Undistributed Undistributed Unrealized
Ordinary Long-Term Appreciation Loss Carryforwards
Income Gain (Depreciation) and Deferrals Total
- - ------------- ------------- -------------- ------------------ ------------
Met/AIM Mid Cap Core Equity Portfolio $16,954,107 $17,832,105 $ 28,687,172 $ (1,257) $ 63,472,127
Met/AIM Small Cap Growth Portfolio -- 10,822,827 63,192,260 (2,120) 74,012,967
Goldman Sachs Mid-Cap Value Portfolio 2,582,963 -- 26,647,698 (1,733) 29,228,928
Harris Oakmark International Portfolio 6,157,487 10,199,489 152,996,958 6,251,821 175,605,755
Janus Aggressive Growth Portfolio -- 819,915 77,114,444 (5,224,783) 72,709,576
Lord Abbett America's Value Portfolio 40,230 88,397 3,837,774 (6,248) 3,960,153
Lord Abbett Bond Debenture Portfolio 69,689,446 -- 63,273,658 (32,303,617) 100,659,487
Lord Abbett Growth and Income Portfolio 30,922,883 60,759,564 516,094,805 (31,329,883) 576,447,369
Lord Abbett Growth Opportunities Portfolio 265,890 3,988,972 9,374,611 (4,632,658) 8,996,815
Lord Abbett Mid-Cap Value Portfolio 2,764,720 11,112,078 71,626,058 -- 85,502,856
MetLife Aggressive Strategy Portfolio 278,543 -- 6,409,313 -- 6,687,856
MetLife Balanced Strategy Portfolio 1,541,136 -- 12,280,495 -- 13,821,631
MetLife Defensive Strategy Portfolio 123,000 -- (468,308) -- (345,308)
MetLife Growth Strategy Portfolio 1,557,160 -- 20,658,397 -- 22,215,557
MetLife Moderate Strategy Portfolio 539,967 -- 801,115 -- 1,341,082
MFS Research International Portfolio 30,734,304 22,914,056 92,651,982 (12,833,657) 133,466,685
Neuberger Berman Real Estate Portfolio -- 830,968 44,457,725 (1,733) 45,286,960
Oppenheimer Capital Appreciation Portfolio 5,834,251 5,599,746 62,012,042 (1,517,833) 71,928,206
PIMCO Inflation Protected Bond Portfolio 1,500,020 66,868 10,302,405 (81,462) 11,787,831
PIMCO Total Return Portfolio 488,584 16,049,952 4,955,958 (4,404,915) 17,089,579
Met/Putnam Capital Opportunities Portfolio 121,972 -- 8,640,802 (6,296,556) 2,466,218
RCM Global Technology Portfolio 1,349,808 250,251 7,724,374 (9,057,894) 266,539
Third Avenue Small Cap Value Portfolio 905,957 1,550,884 154,016,868 (7,743) 156,465,966
T. Rowe Price Mid-Cap Growth Portfolio -- 15,056,099 88,451,601 (7,768) 103,499,932
Turner Mid-Cap Growth Portfolio -- -- 24,325,041 (3,442,148) 20,882,893
The difference between book basis and tax basis is attributable primarily to
the tax deferral of losses on wash sales.
12. ACQUISITIONS
On November 22, 2004, Oppenheimer Capital Appreciation Portfolio ("Oppenheimer
Capital") acquired all the net assets of Met/Putnam Research Portfolio ("Putnam
Research") pursuant to a plan of reorganization approved by Putnam Research
shareholders on November 12, 2004. The acquisition was accomplished by a
tax-free exchange of 2,275,486 Class A shares of Oppenheimer Capital (valued at
$18.4 million) in exchange for the 2,247,483 Class A shares of Putnam Research,
11,866,269 Class B shares of Oppenheimer Capital (valued at $95.5 million) in
exchange for the 11,735,069 Class B shares of Putnam Research outstanding on
November 19, 2004. Putnam Research Class A net assets at that date ($18.4
million), including $351,527 of unrealized depreciation and approximately
$5,793,511 million of accumulated net realized losses, were combined with those
of Oppenheimer Capital Class A. Putnam Research Class B net assets at that date
($95.5 million), including $6,305,799 of unrealized appreciation and $2,455,209
million of accumulated net realized gains, were combined with those of
Oppenheimer Capital Class B. The aggregate Class A net assets of Oppenheimer
Capital and Putnam Research immediately before the acquisition were $16,344,195
and $18,393,156, respectively. The aggregate Class A net assets of Oppenheimer
Capital immediately after the acquisition were $34,737,350. The aggregate Class
B net assets of Oppenheimer Capital and Putnam Research immediately before the
acquisition were $793,696,661 and $95,503,852, respectively. The aggregate
Class B net assets of Oppenheimer Capital immediately after the acquisition
were $889,200,513.
213
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
12. ACQUISITIONS - CONTINUED
On November 22, 2004, PIMCO Total Return Portfolio ("Total Return") acquired
all the net assets of J.P. Morgan Quality Bond Portfolio ("Quality Bond")
pursuant to a plan of reorganization approved by Quality Bond shareholders on
November 12, 2004. The acquisition was accomplished by a tax-free exchange of
8,766,781 Class A shares of Total Return (valued at $99.2 million) in exchange
for the 8,868,629 Class A shares of Quality Bond, 6,618,814 Class B shares of
Total Return (valued at $74.4 million) in exchange for the 6,696,262 Class B
shares of Quality Bond. Quality Bond Class A net assets at that date ($99.2
million), including $2,278,057 of unrealized appreciation and approximately
$299,976 million of accumulated net realized gains, were combined with those of
Total Return Class A. Quality Bond Class B net assets at that date ($74.4
million), including $406,911 of unrealized depreciation and $405,123 million of
accumulated net realized losses, were combined with those of Total Return Class
B. The aggregate Class A net assets of Total Return and Quality Bond
immediately before the acquisition were $220,098,364 and $99,218,491,
respectively. The aggregate Class A net assets of Total Return immediately
after the acquisition were $319,316,854. The aggregate Class B net assets of
Total Return and Quality Bond immediately before the acquisition were
$1,095,090,459 and $74,404,338, respectively. The aggregate Class B net assets
of Total Return immediately after the acquisition were $1,169,494,797. The
merger did not impact Class E net assets of Total Return.
13. CONTRACTUAL OBLIGATIONS
The Trust has a variety of indemnification obligations under contracts with its
service providers. The Trust's maximum exposure under these arrangements is
unknown. However, the Trust has not had prior claims or losses pursuant to
these contracts and expects the risk of loss to be remote.
214
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
QUARTERLY PORTFOLIO SCHEDULE
The Trust files its complete schedule of portfolio holdings with the Securities
and Exchange Commission for the first and third quarters of each fiscal year on
Form N-Q. The Trust's Forms N-Q are available on the Securities and Exchange
Commission's website at http://www.sec.gov. The Trust's Forms N-Q may be
reviewed and copied at the Securities and Exchange Commission's Public
Reference Room in Washington, D.C. and information on the operation of the
Public Reference Room may be obtained by calling 1-800-SEC-0330. Once filed,
the most recent Form N-Q will be available without charge, upon request, by
calling (800) 848-3854.
PROXY VOTING POLICIES AND PROCEDURES
A description of the policies and procedures that the Trust uses to determine
how to vote proxies relating to portfolio securities is available without
charge, upon request, by calling (800) 848-3854 and on the Securities and
Exchange Commission's website at http://www.sec.gov.
PROXY VOTING RECORD
The Trust, on behalf of each of its Portfolios, has filed with the Securities
and Exchange Commission its proxy voting record for the most recent 12-month
period ending June 30 on Form N-PX. Form N-PX must be filed by the Trust each
year by August 31. Once filed, the most recent Form N-PX will be available
without charge, upon request, by calling (800) 848-3854 or on the Securities
and Exchange Commission's website at http://www.sec.gov.
APPROVAL OF MANAGEMENT AGREEMENT AND INVESTMENT ADVISORY AGREEMENTS
RCM GLOBAL TECHNOLOGY PORTFOLIO
At a meeting of the Board of Trustees of the Trust held on January 4, 2005, the
Trustees (including the Trustees who are not "interested persons" of the Trust,
the Manager, the Adviser or the Distributor (as that term is defined in the
1940 Act) ("Disinterested Trustees")) approved an interim investment advisory
agreement between the Manager and RCM Capital Management LLC ("RCM"), an
affiliate of the Portfolio's then current Adviser, PEA Capital LLC ("PEA"),
with respect to the Portfolio, which took effect as of January 15, 2005 (the
"Interim Advisory Agreement"). The Interim Advisory Agreement had a term of the
earlier of 150 days or the date on which a new advisory agreement was entered
into. On February 16, 2005, the Board of Trustees, including the Disinterested
Trustees, approved a new investment advisory agreement with respect to the
Portfolio (the "New Advisory Agreement"), which agreement went into effect on
May 1, 2005. The New Advisory Agreement is the same in all material respects to
the Portfolio's previous investment advisory agreement with PEA and to the
Interim Advisory Agreement, except for the Adviser under the previous
investment advisory agreement, the advisory fee and the effective date and term
of the Agreement.
The Board considered essentially the same factors with respect to the Interim
Advisory Agreement as they considered regarding the New Advisory Agreement as
discussed below, with the exception of the consideration of the advisory fee,
as such fee was different under the New Advisory Agreement. In this regard, the
Trustees noted that the advisory fee under the Interim Advisory Agreement was
the same as the advisory fee under the Portfolio's previous investment advisory
agreement and that such fee is paid out of the management fee that the
Portfolio pays to the Manager. Based on these considerations and, as described
below, the overall high quality of the personnel, operations, financial
condition, investment advisory capabilities, methodologies, and performance of
RCM with comparable funds, the Board (including a majority of Disinterested
Trustees) determined that approval of the Interim Advisory Agreement was in the
best interests of the Portfolio and its shareholders.
The Board of Trustees' approval of the New Advisory Agreement was based on a
number of factors relating to RCM's ability to perform under the New Advisory
Agreement. These factors included: RCM's management style and long-term
performance record with comparable funds; RCM's current level of staffing and
its overall resources; RCM's financial condition; and RCM's compliance systems
and any disciplinary history. The Disinterested Trustees were advised by
independent legal counsel throughout the process.
The Board gave substantial consideration to the fees payable under the New
Advisory Agreement. In this connection, the Board evaluated RCM's costs and
profitability (to the extent practicable) in serving as an Adviser to the
Portfolio, including the costs associated with the personnel, systems and
equipment necessary to perform its functions. The Board also examined the fees
to be paid to RCM in light of fees paid to other investment advisers by
comparable funds and the method of computing the Adviser's fee. The advisory
fee under the New Advisory Agreement is lower than the advisory fee paid under
the investment advisory agreement with the Fund's previous Adviser and under
the Interim Advisory Agreement. As a result, the Manager will retain a greater
percentage of its management fee. The Portfolio's total expenses will not
change as a result of the advisory fee decrease because such fee is paid
directly by the Manager.
After comparing the fees with those of comparable funds and in light of the
quality and extent of services to be provided, and the costs to be incurred, by
RCM, the Board concluded that the fee to be paid the Adviser with respect to
the Portfolio was fair and reasonable.
The Board also noted that RCM, through its relationship as an Adviser to the
Portfolio, may engage in soft dollar transactions. While RCM selects brokers
primarily on the basis of their execution capabilities, the direction of
transactions may at times be based on the quality and amount of research such
brokers provide. Further, the Board recognized that RCM is affiliated with
registered broker-dealers and these broker-dealers may
215
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
from time to time execute transactions on behalf of the Portfolios. The Board
noted, however, that the Adviser must select brokers who meet the Trust's
requirements for best execution. The Board concluded that the benefits accruing
to RCM and its affiliates by virtue of the Adviser's relationship to the
Portfolio are fair and reasonable.
In approving the New Advisory Agreement, the Board especially reviewed the
Portfolio's performance record and RCM's management style and long-term
performance record with comparable funds. The Board noted that the Allianz RCM
Global Technology Fund (the "Allianz Tech Fund"), which is also advised by RCM,
has substantially similar investment objectives, policies, and strategies as
the Portfolio. As of December 31, 2004, the Allianz Tech Fund had a one-year
total return of 17.93%, three-year annualized returns of 5.94%, and five-year
annualized returns of -9.17%, which outperformed all of the other ten largest
funds included in Morningstar's Universe of Institutional shares of Technology
Funds, as well as the Goldman Sachs Technology Index over the one-, three-, and
five-year periods, and the S&P 500 Index over the one- and three-year periods.
In considering the profitability to the Adviser of its relationship with the
Portfolio, the Board noted that the fees under the New Advisory Agreement were
paid by the Manager out of the management fees that it receives under the
Management Agreement. The Board also relied on the ability of the Manager to
negotiate the New Advisory Agreement and the fees thereunder at arm's length.
For each of the above reasons, the profitability to the Adviser of its
relationship with the Portfolio was not a material factor in the Board's
deliberations. For similar reasons, the Board did not consider the potential
economies of scale in the Adviser's management of the Portfolio to be a
material factor in its consideration, although it was noted that the advisory
fee schedule for the Portfolio contains breakpoints that reduce the fee rate on
assets above specified levels.
In connection with these considerations, the Board of Trustees determined that
a sub-advisory arrangement between the Manager and RCM was in the best
interests of the Portfolio and its shareholders. Based on these considerations
and the overall high quality of the personnel, operations, financial condition,
investment advisory capabilities, methodologies, and performance of RCM with
comparable funds, the Board (including a majority of Disinterested Trustees)
determined approval of the New Advisory Agreement was in the best interests of
the Portfolio.
VAN KAMPEN COMSTOCK PORTFOLIO
At a meeting of the Board of Trustees of the Trust held on February 16, 2005,
the Board of Trustees, including the Disinterested Trustees, initially approved
the Management Agreement between the Trust and the Manager with respect to the
Van Kampen Comstock Portfolio ("Portfolio") and an investment advisory
agreement with respect to the Portfolio (the "Advisory Agreement") between the
Manager and Morgan Stanley Investment Management, Inc. dba Van Kampen ("Van
Kampen").
In approving the Management Agreement with the Manager with respect to the
Portfolio, the Board reviewed and analyzed the factors it deemed relevant,
including: (1) the nature, quality, and extent of the services to be provided
to the Portfolio by the Manager; (2) the performance of comparable funds
managed by the Manager as compared to a peer group and an appropriate index;
(3) the Manager's personnel and operations; (4) the Manager's financial
condition; (5) the level and method of computing the Portfolio's management
fee; (6) the anticipated profitability of the Manager under the Management
Agreement; (7) "fall-out" benefits to the Manager and its affiliates (i.e.,
ancillary benefits realized by the Manager or its affiliates from the Manager's
relationship with the Trust); (8) the anticipated effect of growth and size on
the Portfolio's performance and expenses; and (9) possible conflicts of
interest. The Board also considered the nature, quality, and extent of the
services to be provided to the Portfolio by the Manager's affiliates, including
distribution services. The Disinterested Trustees were advised by independent
legal counsel throughout the process.
The Board, in examining the nature and quality of the services to be provided
by the Manager to the Portfolio, recognized the Manager's experience in serving
as an investment manager. The Board also noted the extensive responsibilities
that the Manager has as investment manager to the Portfolio, including the
selection of the Adviser for the Portfolio and oversight of the Adviser's
compliance with fund policies and objectives, review of brokerage matters,
oversight of general fund compliance with federal and state laws, and the
implementation of Board directives as they relate to the Portfolio. Based on
its consideration and review of the foregoing information, the Board determined
that the Portfolio was likely to benefit from the nature and quality of these
services, as well as the Manager's ability to render such services based on its
experience, operations and resources.
The Board also evaluated the expertise and performance of the personnel who
would be overseeing the Adviser, and compliance with the Portfolio's investment
restrictions, tax and other requirements.
The Board gave substantial consideration to the fees payable under the
Management Agreement. In this connection, the Board evaluated the Manager's
costs and profitability in serving as investment manager to the Portfolio,
including the costs associated with the personnel, systems and equipment
necessary to manage the Trust and the costs associated with compensating the
Adviser. The Board also examined the fees to be paid by the Portfolio in light
of fees paid to other investment managers by comparable funds and the method of
computing the Portfolio's fee. The Board noted that the proposed management fee
and the total expense ratio were below the median of the peer group for the
Portfolio selected by an independent third party. The Board also noted the
Manager's commitment to the expense limitation agreement with the Portfolio.
After comparing the fees with those of comparable funds and in light of the
quality and extent of services to be provided, and the costs to be incurred, by
the Manager, the Board concluded that the level of the fees to be paid to the
Manager with respect to the Portfolio was fair and reasonable. The Board also
concluded that the Manager's level of profitability from its relationship with
the Portfolio was reasonable.
216
MET INVESTORS SERIES TRUST
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2005 (UNAUDITED)
The Board noted that the management fee schedule for the Portfolio contains
breakpoints that reduce the fee rate on assets above specified levels. The
Board considered the effective fees under the Management Agreement as a
percentage of assets at different asset levels and possible economies of scale
that may be realized if the assets of the Portfolio grow. The Board also noted
that if the Portfolio's assets increase over time, the Portfolio may realize
other economies of scale if assets increase proportionally more than certain
other expenses. The Board also considered the fact that the Manager pays the
advisory fees out of the management fees it receives from the Portfolio.
Based on these considerations and the overall high quality of the personnel,
operations, financial condition, investment advisory capabilities,
methodologies, and performance of the Manager, the Board determined approval of
the Management Agreement was in the best interests of the Portfolio. After full
consideration of these and other factors, the Board, including a majority of
the Disinterested Trustees, with the assistance of independent counsel,
approved the Management Agreement with respect to the Portfolio.
The Board of Trustees approved the Advisory Agreement between the Manager and
Van Kampen based on a number of factors relating to Van Kampen's ability to
perform under the Advisory Agreement. These factors included: Van Kampen's
management style and long-term performance record with comparable funds; Van
Kampen's current level of staffing and its overall resources; Van Kampen's
financial condition; and Van Kampen's compliance systems and any disciplinary
history. The Disinterested Trustees were advised by independent legal counsel
throughout the process.
The Board gave substantial consideration to the fees payable under the Advisory
Agreement. In this connection, the Board evaluated Van Kampen's costs and
profitability (to the extent practicable) in serving as an Adviser to the
Portfolio, including the costs associated with the personnel, systems and
equipment necessary to perform its functions. The Board also examined the fees
to be paid to Van Kampen in light of fees paid to other investment advisers by
comparable funds and the method of computing the Adviser's fee. The Board also
noted that the fees payable under the Advisory Agreement were comparable to the
terms of advisory arrangements with other institutional clients of the Adviser.
After comparing the fees with those of comparable funds and in light of the
quality and extent of services to be provided, and the costs to be incurred, by
Van Kampen, the Board concluded that the fee to be paid the Adviser with
respect to the Portfolio was fair and reasonable.
The Board also noted that Van Kampen, through its relationship as an Adviser to
the Portfolio, may engage in soft dollar transactions for proprietary research
or brokerage services. While Van Kampen selects brokers primarily on the basis
of their execution capabilities, the direction of transactions may at times be
based on the quality and amount of research such brokers provide. Further, the
Board recognized that Van Kampen is affiliated with registered broker-dealers
and these broker-dealers may from time to time execute transactions on behalf
of the Portfolio. The Board noted, however, that the Adviser must select
brokers who meet the Trust's requirements for best execution. The Board
concluded that the benefits accruing to Van Kampen and its affiliates by virtue
of the Adviser's relationship to the Portfolio are fair and reasonable.
In approving the Advisory Agreement, the Board especially reviewed Van Kampen's
management style and long-term performance record with comparable funds. The
Board noted that the Van Kampen Comstock Fund, which is also advised by Van
Kampen, has substantially similar investment objectives, policies, and
strategies as the Portfolio. As of December 31, 2004, the Van Kampen Comstock
Fund had outperformed the Morningstar Large Value Category average, as well as
the S&P Barra Value Index over the one-, three-, five- and ten-year periods,
and had generally strong performance since its inception.
In considering the profitability to the Adviser of its relationship with the
Portfolio, the Board noted that the fees under the Advisory Agreement were paid
by the Manager out of the management fees that it receives under the Management
Agreement. The Board also relied on the ability of the Manager to negotiate the
Advisory Agreement and the fees thereunder at arm's length. In addition, the
Board noted that the terms of the Adviser Agreement and fees payable thereunder
were comparable to the terms of advisory arrangements with other institutional
clients of the Adviser. For each of the above reasons, the profitability to the
Adviser from its relationship with the Portfolio was a not a material factor in
the Board's deliberations. For similar reasons, the Board did not consider the
potential economies of scale in the Adviser's management of the Portfolio to be
a material factor in its consideration, although it was noted that the advisory
fee schedule for the Portfolio contains breakpoints that reduce the fee rate on
assets above specified levels.
In connection with these considerations, the Board of Trustees determined that
a sub-advisory arrangement between the Manager and Van Kampen was in the best
interests of the Portfolio and its shareholders. Based on these considerations
and the overall high quality of the personnel, operations, financial condition,
investment advisory capabilities, methodologies, and performance of Van Kampen
with comparable funds, the Board (including a majority of Disinterested
Trustees) determined approval of the Advisory Agreement was in the best
interests of the Portfolio.
217
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Item 2. Code of Ethics.
Item applicable only to annual reports on Form N-CSR.
Item 3. Audit Committee Financial Expert.
Item applicable only to annual reports on Form N-CSR.
Item 4. Principal Accountant Fees and Services.
Item applicable only to annual reports on Form N-CSR.
Item 5. Audit Committee of Listed Registrants.
Not applicable.
Item 6. Schedule of Investments.
Schedule of Investments is included as a part of the report to shareholders
filed under Item 1 of this Form N-CSR.
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.
The registrant does not have procedures by which shareholders may recommend
nominees to the registrant's Board of Trustees.
Item 11. Controls and Procedures.
(a) Within 90 days of the filing date of this Form N-CSR, Elizabeth M.
Forget, the registrant's President and Jeffrey A. Tupper, the registrant's Chief
Financial Officer and Treasurer, reviewed the registrant's disclosure controls
and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of
1940, as amended (the "1940 Act")) (the "Procedures") and evaluated their
effectiveness. Based on their review, Ms. Forget and Mr. Tupper determined that
the Procedures adequately ensure that information required to be disclosed by
the registrant in its periodic reports filed under the Securities Exchange Act
of 1934 is recorded, processed, summarized and reported within the time periods
required by the Securities and Exchange Commission.
(b) There were no significant changes in the registrant's internal control
over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act) that
occurred during the registrant's 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) Not applicable.
(a)(2) The certifications required by Rule 30a-2(a) of the 1940 Act are
attached hereto.
(a)(3) Not applicable.
(b) The certifications required by Rule 30a-2(b) of the 1940 Act and Section
906 of the Sarbanes-Oxley Act of 2002 are attached hereto.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, the registrant has duly caused this report to be
signed on its behalf by the undersigned, thereunto duly authorized.
MET INVESTORS SERIES TRUST
By: /s/ Elizabeth M. Forget
--------------------------------
Elizabeth M. Forget
President
Date: August 30, 2005
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, this report has been signed below by the
following persons on behalf of the registrant and in the capacities and on the
dates indicated.
By: /s/ Elizabeth M. Forget
--------------------------------
Elizabeth M. Forget
President
Date: August 30, 2005
By: /s/ Jeffrey A. Tupper
--------------------------------
Jeffrey A. Tupper
Chief Financial Officer and Treasurer
Date: August 30, 2005