N-Q 1 g32308.txt PHOENIX OPPORTUNITY TRUST NQ FILING UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM N-Q QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED MANAGEMENT INVESTMENT COMPANY Investment Company Act file number 811-07455 ----------- Phoenix Opportunities Trust -------------------------------------------------------------------------- (Exact name of registrant as specified in charter) 101 Munson Street Greenfield, MA 01301-9668 -------------------------------------------------------------------------------- (Address of principal executive offices) (Zip code) Kevin J. Carr, Esq. Vice President, Chief Legal Officer, John H. Beers, Esq. Counsel and Secretary for Registrant Vice President and Counsel Phoenix Life Insurance Company Phoenix Life Insurance Company One American Row One American Row Hartford, CT 06103-2899 Hartford, CT 06103-2899 -------------------------------------------------------------------------------- (Name and address of agent for service) Registrant's telephone number, including area code: (800) 243-1574 --------------- Date of fiscal year end: September 30 -------------- Date of reporting period: June 30, 2006 --------------- Form N-Q is to be used by management investment companies, other than small business investment companies registered on Form N-5 (ss.ss. 239.24 and 274.5 of this chapter), to file reports with the Commission, not later than 60 days after the close of the first and third fiscal quarters, pursuant to rule 30b1-5 under the Investment Company Act of 1940 (17 CFR 270.30b1-5). The Commission may use the information provided on Form N-Q in its regulatory, disclosure review, inspection, and policymaking roles. A registrant is required to disclose the information specified by Form N-Q, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-Q unless the Form displays a currently valid Office of Management and Budget ("OMB") control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to the Secretary, Securities and Exchange Commission, 100 F Street, NE, Washington, DC 20549. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. ss. 3507. ITEM 1. SCHEDULE OF INVESTMENTS. The Schedules of Investments are attached herewith. PHOENIX OPPORTUNITIES TRUST (FORMERLY PHOENIX-SENECA FUNDS) GLOSSARY JUNE 30, 2006 ADR (AMERICAN DEPOSITARY RECEIPT) Represents shares of foreign companies traded in U.S. dollars on U.S. exchanges that are held by a bank or a trust. Foreign companies use ADRs in order to make it easier for Americans to buy their shares. CONSUMER PRICE INDEX (CPI) Measures the change in consumer prices of goods and services, including housing, electricity, food and transportation as determined by a monthly survey of the U.S. Bureau of Labor Statistics. Also called the cost-of-living index. DEBT INDEX SECURITIES Securities comprised of a basket of credit default swaps referencing a diversified pool of high yield or emerging markets debt instruments. REPURCHASE AGREEMENT A repurchase agreement is a transaction where a Fund acquires a security for cash and obtains a simultaneous commitment from the seller to repurchase the security at an agreed upon price and date. SPONSORED ADR An ADR which is issued with the cooperation of the company whose stock will underlie the ADR. These shares carry all the rights of the common share such as voting rights. ADRs must be sponsored to be able to trade on the NYSE. TREASURY-INFLATION PROTECTED SECURITIES (TIPS) U.S. Treasury bonds and notes whose value is adjusted according to the changes in inflation rate every six months, as measured by the consumer price index. As inflation occurs the value of TIPS increases. WHEN-ISSUED AND DELAYED DELIVERY TRANSACTIONS (W.I. AND TBA) Securities purchased on a when-issued or forward commitment basis are also known as delayed-delivery transactions. Delayed delivery transactions involve a commitment by a Fund to purchase or sell a security at a future date ordinarily up to 90 days later. When-issued or forward commitments enable a Fund to lock in what is believed to be an attractive price or yield on a particular security for a period of time, regardless of future changes in interest rates. Phoenix Bond Fund SCHEDULE OF INVESTMENTS JUNE 30, 2006 (UNAUDITED)
PAR VALUE (000) VALUE ----------- ----------- U.S. GOVERNMENT SECURITIES--9.6% U.S. TREASURY BONDS--2.8% U.S. Treasury Bond 6.25%, 8/15/23(f) $ 2,580 $ 2,845,459 U.S. TREASURY NOTES--6.8% U.S. Treasury Note 4.875%, 5/31/08(f) 955 949,665 U.S. Treasury Inflation Index Note 3%, 7/15/12(d)(f) 1,000 1,153,719 U.S. Treasury Note 4%, 11/15/12(f) 3,975 3,736,190 U.S. Treasury Note 4.75%, 5/15/14(f) 1,160 1,131,589 ----------- 6,971,163 ----------- -------------------------------------------------------------------------------------- TOTAL U.S. GOVERNMENT SECURITIES (IDENTIFIED COST $9,879,134) 9,816,622 -------------------------------------------------------------------------------------- AGENCY MORTGAGE-BACKED SECURITIES--35.4% FHLMC 7.50%, 4/1/14 63 65,796 FHLMC 7%, 4/1/16 49 49,952 FHLMC 5.50%, 9/15/17 393 390,551 FHLMC 5%, 3/15/19 455 432,923 FHLMC 7%, 1/1/33 374 383,411 FHLMC 3.531%, 2/1/34(e) 408 407,441 FNCI TBA 5.50%, 7/15/21(g) 4,490 4,405,813 FNMA 6.375%, 6/15/09 1,000 1,025,541 FNMA 7.50%, 7/1/09 20 20,759 FNMA 6.625%, 11/15/10 1,000 1,044,930 FNMA 7%, 5/1/14 50 50,952 FNMA 8%, 1/1/15 11 11,896 FNMA 3.243%, 7/1/33(e) 368 366,171 FNMA 3.224%, 9/1/33(e) 237 235,471 FNMA 3.417%, 11/1/33(e) 402 400,892 FNMA 3.47%, 12/1/33(e) 273 272,384 FNMA 3.524%, 3/1/34(e) 467 463,132 FNMA 3.627%, 4/1/34(e) 243 240,266 FNMA 4.50%, 1/1/35 521 473,946 FNMA 5.342%, 5/1/35(e) 5,183 5,093,765 FNMA TBA 6%, 8/1/32(g) 13,195 12,972,334 FNMA TBA 5.50%, 8/25/33(g) 7,715 7,403,993 -------------------------------------------------------------------------------------- TOTAL AGENCY MORTGAGE-BACKED SECURITIES (IDENTIFIED COST $36,575,573) 36,212,319 -------------------------------------------------------------------------------------- PAR VALUE (000) VALUE ----------- ----------- AGENCY NON-MORTGAGE-BACKED SECURITIES--7.4% FHLB 7.23%, 9/8/15 $ 1,500 $ 1,586,230 FHLB 6.05%, 3/2/16 1,500 1,482,336 FHLB 6%, 4/27/22 1,020 978,846 FHLMC 6%, 11/20/15 1,000 987,990 FHLMC 6.125%, 12/1/15 1,500 1,486,659 FNMA 6.96%, 9/5/12 1,063 1,076,932 -------------------------------------------------------------------------------------- TOTAL AGENCY NON-MORTGAGE-BACKED SECURITIES (IDENTIFIED COST $7,797,417) 7,598,993 -------------------------------------------------------------------------------------- DOMESTIC CORPORATE BONDS--30.8% AEROSPACE & DEFENSE--0.7% Armor Holdings, Inc. 8.25%, 8/15/13(f) 105 109,200 DRS Technologies, Inc. 6.625%, 2/1/16 115 111,837 Esterline Technologies Corp. 7.75%, 6/15/13 30 30,525 Honeywell International, Inc. 5.37%, 3/13/09(e) 95 95,061 L-3 Communications Corp. 5.875%, 1/15/15 140 131,250 United Technologies Corp. 4.875%, 5/1/15(f) 215 200,675 ----------- 678,548 ----------- AUTOMOBILE MANUFACTURERS--0.3% DaimlerChrysler NA Holding Corp. 5.679%, 10/31/08(e)(f) 340 341,509 AUTOMOTIVE RETAIL--0.1% Hertz Corp. 144A 8.875%, 1/1/14(b) 95 97,850 BIOTECHNOLOGY--0.3% Amgen, Inc. 4.85%, 11/18/14(f) 305 283,688 BREWERS--1.5% Anheuser-Busch Cos., Inc. 5.05%, 10/15/16(f) 1,600 1,497,931 BROADCASTING & CABLE TV--1.5% Charter Communications Operating LLC/ Charter Communications Operating Capital 144A 8.375%, 4/30/14(b) 150 150,937 Clear Channel Communications, Inc. 6.25%, 3/15/11 155 152,212 Comcast Corp. 5.85%, 11/15/15(f) 320 308,178 Comcast Corp. 6.50%, 11/15/35 115 108,557
1 Phoenix Bond Fund
PAR VALUE (000) VALUE ----------- ----------- BROADCASTING & CABLE TV--(CONTINUED) DIRECTV Holdings LLC/DIRECTV Financing Co., Inc. 6.375%, 6/15/15 $ 250 $ 231,875 Echostar DBS Corp. 144A 7.125%, 2/1/16(b) 155 149,963 Liberty Media Corp. 5.70%, 5/15/13 40 36,525 Mediacom Broadband LLC 8.50%, 10/15/15 110 106,150 Rainbow National Services LLC 144A 8.75%, 9/1/12(b) 150 158,250 Sinclair Broadcast Group, Inc. 8%, 3/15/12 100 102,000 ----------- 1,504,647 ----------- BUILDING PRODUCTS--0.2% Building Materials Corporation of America 7.75%, 8/1/14 35 33,600 Ply Gem Industries, Inc. 9%, 2/15/12 175 160,125 ----------- 193,725 ----------- CASINOS & GAMING--1.2% American Real Estate Partners LP/American Real Estate Finance Corp. 7.125%, 2/15/13 185 178,525 Boyd Gaming Corp. 6.75%, 4/15/14 115 109,681 Harrah's Operating Co. Inc. 6.50%, 6/1/16(f) 410 399,497 MGM MIRAGE 6.75%, 9/1/12 105 101,587 MGM MIRAGE 6.625%, 7/15/15 45 42,188 OED Corp./DIAMOND JO LLC 8.75%, 4/15/12 180 182,025 Station Casinos, Inc. 6.875%, 3/1/16 100 93,750 Wynn Las Vegas LLC/Wynn Las Vegas Capital Corp. 6.625%, 12/1/14 105 99,488 ----------- 1,206,741 ----------- COAL & CONSUMABLE FUELS--0.3% Arch Western Finance LLC 6.75%, 7/1/13 150 144,375 Peabody Energy Corp. Series B 6.875%, 3/15/13 165 162,938 ----------- 307,313 ----------- COMMUNICATIONS EQUIPMENT--0.6% Cisco Systems, Inc. 5.50%, 2/22/16(f) 640 614,545 CONSTRUCTION & FARM MACHINERY & HEAVY TRUCKS--0.1% Trinity Industries, Inc. 6.50%, 3/15/14 90 88,200 CONSUMER FINANCE--1.8% American General Finance Corp. 4%, 3/15/11(f) 450 415,616 Ford Motor Credit Co. 8.625%, 11/1/10 140 131,073 General Electric Capital Corp. 4.875%, 10/21/10 265 257,402 General Motors Acceptance Corp. 6.75%, 12/1/14 130 120,935 PAR VALUE (000) VALUE ----------- ----------- CONSUMER FINANCE--(CONTINUED) Residential Capital Corp. 6.375%, 6/30/10 $ 235 $ 231,802 Residential Capital Corp. 6.875%, 6/30/15(f) 495 492,867 SLM Corp. 4%, 1/15/09 175 168,153 ----------- 1,817,848 ----------- DATA PROCESSING & OUTSOURCED SERVICES--0.1% SunGard Data Systems, Inc. 4.875%, 1/15/14 115 100,625 DIVERSIFIED BANKS--1.0% HSBC Bank USA 5.875%, 11/1/34 155 141,584 Santander Issuances SA 144A 5.911%, 6/20/16(b)(f) 410 401,800 USB Capital IX 6.189%, 3/29/49(e) 265 259,141 Wells Fargo & Co. 5.125%, 9/15/16 275 256,633 ----------- 1,059,158 ----------- DIVERSIFIED CAPITAL MARKETS--0.3% UBS Preferred Funding Trust V 6.243%, 5/15/49(e) 260 256,145 DIVERSIFIED COMMERCIAL & PROFESSIONAL SERVICES--0.3% Cendant Corp. 7.375%, 1/15/13 140 153,177 International Lease Finance Corp. 5.75%, 6/15/11 180 178,677 ----------- 331,854 ----------- ELECTRIC UTILITIES--0.4% Progress Energy, Inc. 7.10%, 3/1/11 245 255,572 Reliant Energy, Inc. 9.50%, 7/15/13 175 176,750 ----------- 432,322 ----------- FOOD RETAIL--0.2% Ahold Lease USA, Inc. A-2 8.62%, 1/2/25(e) 110 109,244 Stater Bros. Holdings, Inc. 8.829%, 6/15/10(e) 105 106,837 Stater Bros. Holdings, Inc. 8.125%, 6/15/12 25 24,813 ----------- 240,894 ----------- HEALTH CARE DISTRIBUTORS--0.1% AmerisourceBergen Corp. 144A 5.875%, 9/15/15(b) 140 132,650 HEALTH CARE EQUIPMENT--0.0% Fisher Scientific International, Inc. 6.125%, 7/1/15 10 9,688 HEALTH CARE FACILITIES--0.4% HCA, Inc. 5.75%, 3/15/14 290 260,765 HCA, Inc. 6.375%, 1/15/15 45 41,920
2 Phoenix Bond Fund
PAR VALUE (000) VALUE ----------- ----------- HEALTH CARE FACILITIES--(CONTINUED) US Oncology, Inc. 10.75%, 8/15/14 $ 125 $ 136,250 ----------- 438,935 ----------- HEALTH CARE SERVICES--0.4% Fresenius Medical Care Capital Trust II 7.875%, 2/1/08 335 340,863 Omnicare, Inc. 6.875%, 12/15/15 70 66,850 ----------- 407,713 ----------- HOME FURNISHINGS--0.2% Mohawk Industries, Inc. 6.125%, 1/15/16 265 255,473 HOME IMPROVEMENT RETAIL--0.2% Home Depot, Inc. (The) 5.40%, 3/1/16 260 249,231 HOMEBUILDING--0.8% Horton (D.R.), Inc. 7.50%, 12/1/07 234 237,982 Horton (D.R.), Inc. 5.625%, 9/15/14 155 142,272 Meritage Homes Corp. 7%, 5/1/14 100 90,000 Meritage Homes Corp. 6.25%, 3/15/15 80 67,800 Technical Olympic USA, Inc. 9%, 7/1/10 290 283,475 ----------- 821,529 ----------- HOTELS, RESORTS & CRUISE LINES--0.2% Hilton Hotels Corp. 7.625%, 12/1/12 149 154,339 Royal Caribbean Cruises Ltd. 7.25%, 3/15/18 22 21,452 ----------- 175,791 ----------- HOUSEWARES & SPECIALTIES--0.5% Fortune Brands, Inc. 5.375%, 1/15/16(f) 545 504,139 INDEPENDENT POWER PRODUCERS & ENERGY TRADERS--0.1% TXU Corp. Series P 5.55%, 11/15/14 110 100,322 INDUSTRIAL MACHINERY--0.1% Valmont Industries, Inc. 6.875%, 5/1/14 110 106,700 INSURANCE BROKERS--0.3% Marsh & McLennan Cos., Inc. 5.75%, 9/15/15(f) 345 325,672 INTEGRATED OIL & GAS--1.2% Conoco Funding Co. 6.35%, 10/15/11(f) 1,000 1,029,968 Shell International Finance BV 5.625%, 6/27/11 190 190,037 ----------- 1,220,005 ----------- INTEGRATED TELECOMMUNICATION SERVICES--2.3% Cincinnati Bell, Inc. 7.25%, 7/15/13 130 128,700 Embarq Corp. 7.082%, 6/1/16(f) 525 522,116 PAR VALUE (000) VALUE ----------- ----------- INTEGRATED TELECOMMUNICATION SERVICES--(CONTINUED) Qwest Communications International, Inc. Series B 7.50%, 2/15/14 $ 70 $ 68,600 Qwest Corp. 8.875%, 3/15/12 185 196,100 SBC Communications, Inc. 5.875%, 2/1/12(f) 1,200 1,189,018 Telcordia Technologies, Inc. 144A 10%, 3/15/13(b) 50 42,500 Verizon Global Funding Corp. 7.75%, 12/1/30 240 258,851 ----------- 2,405,885 ----------- INVESTMENT BANKING & BROKERAGE--0.8% E*Trade Financial Corp. 7.375%, 9/15/13 115 115,575 Goldman Sachs Group, Inc. (The) 5.25%, 10/15/13 155 148,518 Lehman Brothers Holdings, Inc. 5.50%, 4/4/16 265 253,221 Merrill Lynch & Co., Inc. 4.25%, 2/8/10 270 256,621 ----------- 773,935 ----------- LEISURE PRODUCTS--0.1% K2, Inc. 7.375%, 7/1/14 90 86,850 LIFE & HEALTH INSURANCE--2.1% MetLife, Inc. 6.125%, 12/1/11(f) 1,500 1,527,485 Protective Life Secured Trust 5.148%, 1/14/08(e)(f) 180 180,282 Protective Life Secured Trust 4%, 4/1/11 300 278,003 UnumProvident Finance Co. plc 144A 6.85%, 11/15/15(b) 135 132,939 ----------- 2,118,709 ----------- LIFE SCIENCES TOOLS & SERVICES--0.3% Swiss Re Capital I LP 144A 6.854%, 5/29/49(b)(e)(f) 345 337,834 MANAGED HEALTH CARE--0.8% Aetna, Inc. 6.625%, 6/15/36(f) 410 405,552 Coventry Health Care, Inc. 6.125%, 1/15/15 135 129,021 WellPoint, Inc. 5.85%, 1/15/36 285 254,670 ----------- 789,243 ----------- METAL & GLASS CONTAINERS--0.6% AEP Industries, Inc. 7.875%, 3/15/13 160 161,200 Ball Corp. 6.875%, 12/15/12 56 55,160 Crown Americas LLC/Crown Americas Capital Corp. 144A 7.75%, 11/15/15(b) 40 39,600 Crown Cork & Seal Co., Inc. 7.375%, 12/15/26 70 61,775 Owens-Brockway Glass Container, Inc. 8.875%, 2/15/09 298 308,430 ----------- 626,165 -----------
3 Phoenix Bond Fund
PAR VALUE (000) VALUE ----------- ----------- MORTGAGE REIT'S--0.5% iStar Financial, Inc. Series B 5.125%, 4/1/11(f) $ 535 $ 512,233 MOVIES & ENTERTAINMENT--0.8% Time Warner Entertainment Co. LP 8.375%, 7/15/33 180 203,638 Viacom, Inc. 144A 6.25%, 4/30/16(b)(f) 475 461,106 WMG Holdings Corp. 0%, 12/15/14(e) 265 192,125 ----------- 856,869 ----------- MULTI-LINE INSURANCE--0.3% Genworth Global Funding Trust 5.125%, 3/15/11 160 156,179 Loews Corp. 5.25%, 3/15/16 170 157,298 ----------- 313,477 ----------- MULTI-UTILITIES--0.5% Consolidated Edison Company of New York, Inc. 5.85%, 3/15/36 125 116,227 MidAmerican Energy Holdings Co. 144A 6.125%, 4/1/36(b) 235 219,673 NiSource Finance Corp. 5.25%, 9/15/17 155 141,010 ----------- 476,910 ----------- OFFICE REIT'S--0.4% Brandywine Operating Partnership LP 5.65%, 12/15/10 175 171,357 Brandywine Operating Partnership LP 6%, 4/1/16 265 256,114 ----------- 427,471 ----------- OIL & GAS EQUIPMENT & SERVICES--0.3% Gulfmark Offshore, Inc. 7.75%, 7/15/14 180 176,400 Hornbeck Offshore Services, Inc. Series B 6.125%, 12/1/14 115 107,238 ----------- 283,638 ----------- OIL & GAS EXPLORATION & PRODUCTION--0.2% Chesapeake Energy Corp. 6.625%, 1/15/16 220 205,700 OIL & GAS STORAGE & TRANSPORTATION--0.7% Atlas Pipeline Partners LP 144A 8.125%, 12/15/15(b) 125 125,156 Ferrellgas Escrow LLC/ Ferrellgas Finance Escrow Corp. 6.75%, 5/1/14 115 109,538 Holly Energy Partners LP 6.25%, 3/1/15 105 96,600 Kinder Morgan Energy Partners LP 7.30%, 8/15/33 150 153,571 PAR VALUE (000) VALUE ----------- ----------- OIL & GAS STORAGE & TRANSPORTATION--(CONTINUED) Pacific Energy Partners LP/ Pacific Energy Finance Corp. 6.25%, 9/15/15 $ 75 $ 73,125 SemGroup LP 144A 8.75%, 11/15/15(b) 100 100,000 TransMontaigne, Inc. 9.125%, 6/1/10 30 32,025 ----------- 690,015 ----------- OTHER DIVERSIFIED FINANCIAL SERVICES--0.6% Bank of America Corp. 4.375%, 12/1/10(f) 325 308,792 Citigroup, Inc. 5%, 9/15/14(f) 330 308,869 ----------- 617,661 ----------- PACKAGED FOODS & MEATS--0.3% B&G Foods, Inc. 8%, 10/1/11 100 100,500 Kraft Foods, Inc. 5.625%, 11/1/11 235 231,469 ----------- 331,969 ----------- PAPER PRODUCTS--0.3% Exopack Holding Corp. 144A 11.25%, 2/1/14(b) 100 101,000 International Paper Co. 6.75%, 9/1/11 175 180,817 ----------- 281,817 ----------- PHARMACEUTICALS--1.8% Johnson & Johnson 6.625%, 9/1/09(f) 1,300 1,343,626 Wyeth 5.50%, 3/15/13(f) 525 511,101 ----------- 1,854,727 ----------- PUBLISHING & PRINTING--0.3% News America, Inc. 5.30%, 12/15/14 165 156,578 Primedia, Inc. 8.875%, 5/15/11 35 33,775 Primedia, Inc. 8%, 5/15/13 105 94,500 ----------- 284,853 ----------- REGIONAL BANKS--0.4% Colonial Bank NA 6.375%, 12/1/15 395 392,436 RESIDENTIAL REIT'S--0.4% Archstone-Smith Trust 5.75%, 3/15/16 215 207,591 ERP Operating LP 5.375%, 8/1/16 270 253,403 ----------- 460,994 ----------- SPECIALIZED REIT'S--0.1% Host Marriott LP 6.375%, 3/15/15 105 99,225 STEEL--0.1% Gibraltar Industries, Inc. 144A 8%, 12/1/15(b) 140 140,000
4 Phoenix Bond Fund
PAR VALUE (000) VALUE ----------- ----------- THRIFTS & MORTGAGE FINANCE--0.2% Sovereign Capital Trust VI 7.908%, 6/13/36 $ 170 $ 169,761 TOBACCO--0.2% Reynolds American, Inc. 144A 7.30%, 7/15/15(b) 95 92,506 Reynolds American, Inc.144A 6.50%, 7/15/10(b) 80 77,800 ----------- 170,306 ----------- -------------------------------------------------------------------------------------- TOTAL DOMESTIC CORPORATE BONDS (IDENTIFIED COST $32,492,913) 31,510,074 -------------------------------------------------------------------------------------- NON-AGENCY MORTGAGE-BACKED SECURITIES--3.6% Banc of America Commercial Mortgage, Inc. 00-1, A1A 7.109%, 11/15/31 211 213,099 Citigroup Mortgage Loan Trust, Inc. 04-NCM2, 2CB3 8%, 8/25/34 162 166,309 Master Asset Securitization Trust Alternative Loans Trust 03-7, 5A1 6.25%, 11/25/33 253 252,280 Master Asset Securitization Trust Alternative Loans Trust 04-1, 3A1 7%, 1/25/34 208 209,368 Master Asset Securitization Trust Alternative Loans Trust 04-5, 6A1 7%, 6/25/34 158 160,850 Master Asset Securitization Trust Alternative Loans Trust 04-6, 6A1 6.50%, 7/25/34 786 786,258 Merrill Lynch Mortgage Trust 05-MCP1, A2 4.556%, 6/12/43 725 694,581 Morgan Stanley Mortgage Loan Trust 04-3, 3A 6%, 4/25/34 808 789,409 Residential Asset Mortgage Products, Inc. 04-SL3, A4 8.50%, 12/25/31 446 462,588 -------------------------------------------------------------------------------------- TOTAL NON-AGENCY MORTGAGE-BACKED SECURITIES (IDENTIFIED COST $3,851,464) 3,734,742 -------------------------------------------------------------------------------------- FOREIGN GOVERNMENT SECURITIES--1.2% SWEDEN--1.2% Swedish Export Credit Corp. 0%, 6/5/07 1,130 1,231,135 -------------------------------------------------------------------------------------- TOTAL FOREIGN GOVERNMENT SECURITIES (IDENTIFIED COST $1,130,000) 1,231,135 -------------------------------------------------------------------------------------- FOREIGN CORPORATE BONDS(c)--4.2% AUSTRALIA--0.4% BHP Billiton Finance USA Ltd. 5.25%, 12/15/15(f) 400 379,343 BERMUDA--0.1% Intelsat Subsidiary Holding Co. Ltd. 8.875%, 1/15/15 125 125,937 PAR VALUE (000) VALUE ----------- ----------- CANADA--0.7% Anadarko Finance Co. Series B 7.50%, 5/1/31(f) $ 325 $ 349,182 CHC Helicopter Corp. 7.375%, 5/1/14 100 96,500 Rogers Wireless Communications, Inc. 6.375%, 3/1/14 135 129,263 TransCanada PipeLines Ltd. 5.85%, 3/15/36 155 145,293 ----------- 720,238 ----------- CHILE--0.2% Celulosa Arauco y Constitucion SA 5.625%, 4/20/15 235 218,854 HONG KONG--0.4% Hutchison Whampoa International Ltd. 144A 7.45%, 11/24/33(b)(f) 385 406,968 IRELAND--0.3% Eircom Funding 8.25%, 8/15/13 285 303,525 ITALY--0.4% Telecom Italia Capital S.A. 5.629%, 2/1/11(e) 155 155,823 Telecom Italia Capital S.A. 5.25%, 10/1/15 280 253,435 ----------- 409,258 ----------- JAPAN--0.5% MUFG Capital Finance 1 Ltd. 6.346%, 7/29/49(e) 265 255,616 Resona Bank Ltd. 144A 5.85%, 9/29/49(b)(e) 250 232,594 ----------- 488,210 ----------- LUXEMBOURG--0.1% Basell AF SCA 144A 8.375%, 8/15/15(b) 135 130,444 NETHERLANDS--0.5% ING Groep NV 5.775%, 12/8/49(e)(f) 535 507,668 UNITED KINGDOM--0.3% HBOS plc 144A 6.413%, 9/29/49(b)(e) 280 250,814 UNITED STATES--0.3% Endurance Specialty Holdings Ltd. 6.15%, 10/15/15 165 154,455 Teva Pharmaceutical Finance LLC 6.15%, 2/1/36 190 170,604 ----------- 325,059 ----------- -------------------------------------------------------------------------------------- TOTAL FOREIGN CORPORATE BONDS (IDENTIFIED COST $4,469,563) 4,266,318 --------------------------------------------------------------------------------------
5 Phoenix Bond Fund
PAR VALUE (000) VALUE ------------- ------------- DEBT INDEX SECURITIES--4.3% Dow Jones CDX HY 6-T2 144A 7.375%, 6/29/11(b) $ 4,500 $ 4,426,875 ---------------------------------------------------------------------------------------------- TOTAL DEBT INDEX SECURITIES (IDENTIFIED COST $4,365,671) 4,426,875 ---------------------------------------------------------------------------------------------- TOTAL LONG TERM INVESTMENTS--96.5% (IDENTIFIED COST $100,561,735) 98,797,078 ------------- SHORT-TERM INVESTMENTS--26.9% FEDERAL AGENCY SECURITIES(h)--26.6% FHLB 4.83%, 7/3/06 6,400 6,400,000 FHLB 5.12%, 7/27/06 10,000 9,965,867 FNMA 5.19%, 8/7/06 5,000 4,974,771 FNMA 5.18%, 9/6/06 6,000 5,941,293 ------------- 27,281,931 ------------- REPURCHASE AGREEMENTS--0.3% State Street Bank & Trust Co. repurchase agreement, 2.05% dated 6/30/06, due 7/3/06, repurchase price $284,049, collateralized by U.S. Treasury Bond 7 25%, 5/15/16 market value $290,547 284 284,000 ---------------------------------------------------------------------------------------------- TOTAL SHORT-TERM INVESTMENTS (IDENTIFIED COST $27,560,787) 27,565,931 ---------------------------------------------------------------------------------------------- TOTAL INVESTMENTS--123.4% (IDENTIFIED COST $128,122,522) 126,363,009(a) Other assets and liabilities, net--(23.4)% (23,929,874) ------------- NET ASSETS--100.0% $ 102,433,135 =============
(a) Federal Income Tax Information: Net unrealized depreciation of investment securities is comprised of gross appreciation of $15,500 and gross depreciation of $2,022,993 for federal income tax purposes. At June 30, 2006, the aggregate cost of securities for federal income tax purposes was $128,370,502. (b) Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. At June 30, 2006, these securities amounted to a value of $8,409,259 or 8.2% of net assets. (c) A corporate bond is considered to be foreign if the security is issued in a foreign country. The country of risk, noted in the header, is determined based on criteria described in Note 1D "Foreign Security Country Determination" in the Notes to Schedules of Investments. (d) Principal amount is adjusted daily pursuant to the change in the Consumer Price Index. (e) Variable or step coupon security; interest rate shown reflects the rate currently in effect. (f) All or a portion segregated as collateral for a when-issued security. (g) When-issued security. (h) The rate shown is the discount rate. 6 Phoenix Earnings Driven Growth Fund SCHEDULE OF INVESTMENTS JUNE 30, 2006 (UNAUDITED) SHARES VALUE ----------- ------------ DOMESTIC COMMON STOCKS--96.3% ADVERTISING--1.5% Lamar Advertising Co. Class A(b) 11,450 $ 616,697 APPAREL RETAIL--3.3% TJX Cos., Inc. (The) 38,920 889,711 Urban Outfitters, Inc.(b) 25,810 451,417 ------------ 1,341,128 ------------ ASSET MANAGEMENT & CUSTODY BANKS--1.9% Legg Mason, Inc. 7,670 763,318 AUTOMOTIVE RETAIL--1.6% O'Reilly Automotive, Inc.(b) 20,510 639,707 BIOTECHNOLOGY--2.2% Genzyme Corp.(b) 14,930 911,477 BROADCASTING & CABLE TV--0.7% Univision Communications, Inc. Class A(b) 8,810 295,135 CASINOS & GAMING--2.3% International Game Technology 24,600 933,324 COMMUNICATIONS EQUIPMENT--1.7% Avaya, Inc.(b) 60,730 693,537 COMPUTER STORAGE & PERIPHERALS--2.5% Network Appliance, Inc.(b) 28,750 1,014,875 CONSTRUCTION & FARM MACHINERY & HEAVY TRUCKS--1.9% Oshkosh Truck Corp. 16,280 773,626 CONSTRUCTION MATERIALS--1.9% Vulcan Materials Co. 10,140 790,920 DATA PROCESSING & OUTSOURCED SERVICES--3.4% Alliance Data Systems Corp.(b) 11,130 654,667 Global Payments, Inc. 15,040 730,192 ------------ 1,384,859 ------------ DISTILLERS & VINTNERS--1.6% Brown-Forman Corp. Class B 9,080 648,766 ELECTRICAL COMPONENTS & EQUIPMENT--4.3% Ametek, Inc. 18,200 862,316 Rockwell Automation, Inc. 12,510 900,845 ------------ 1,763,161 ------------ SHARES VALUE ----------- ------------ ELECTRONIC EQUIPMENT MANUFACTURERS--1.4% Agilent Technologies, Inc.(b) 18,690 $ 589,856 ELECTRONIC MANUFACTURING SERVICES--1.7% Molex, Inc. 21,330 716,048 HEALTH CARE FACILITIES--3.3% LifePoint Hospitals, Inc.(b) 20,200 649,026 United Surgical Partners International, Inc.(b) 23,660 711,456 ------------ 1,360,482 ------------ HEALTH CARE SERVICES--1.9% Quest Diagnostics, Inc. 13,100 784,952 HEALTH CARE SUPPLIES--2.0% Gen-Probe, Inc.(b) 15,400 831,292 HOMEFURNISHING RETAIL--1.9% Williams-Sonoma, Inc. 22,300 759,315 HOUSEHOLD PRODUCTS--1.8% Church & Dwight Co., Inc. 19,720 718,202 HOUSEWARES & SPECIALTIES--2.3% Newell Rubbermaid, Inc. 36,420 940,729 HUMAN RESOURCES & EMPLOYMENT SERVICES--1.6% Monster Worldwide, Inc.(b) 14,890 635,207 INDUSTRIAL MACHINERY--4.1% Eaton Corp. 10,630 801,502 Harsco Corp. 11,170 870,813 ------------ 1,672,315 ------------ INVESTMENT BANKING & BROKERAGE--2.1% Jefferies Group, Inc. 28,400 841,492 IT CONSULTING & OTHER SERVICES--2.5% Cognizant Technology Solutions Corp. Class A(b) 14,960 1,007,855 MANAGED HEALTH CARE--5.0% Humana, Inc.(b) 22,960 1,232,952 Sierra Health Services, Inc.(b) 18,220 820,447 ------------ 2,053,399 ------------ METAL & GLASS CONTAINERS--1.6% Ball Corp. 17,250 638,940 OIL & GAS DRILLING--2.0% Diamond Offshore Drilling, Inc. 9,980 837,621 1 Phoenix Earnings Driven Growth Fund SHARES VALUE --------- ------------ OIL & GAS EQUIPMENT & SERVICES--3.6% Grant Prideco, Inc.(b) 18,240 $ 816,240 Weatherford International Ltd.(b) 13,180 653,992 ------------ 1,470,232 ------------ OIL & GAS REFINING & MARKETING--1.5% Tesoro Corp. 8,050 598,598 OIL & GAS STORAGE & TRANSPORTATION--2.4% Williams Cos., Inc. (The) 41,950 979,952 PHARMACEUTICALS--2.0% Sepracor, Inc.(b) 14,080 804,531 REGIONAL BANKS--1.7% Marshall & Ilsley Corp. 15,490 708,513 RESTAURANTS--3.2% Burger King Holdings, Inc.(b) 37,400 589,050 Darden Restaurants, Inc. 17,910 705,654 ------------ 1,294,704 ------------ SEMICONDUCTOR EQUIPMENT--3.1% KLA-Tencor Corp. 14,800 615,236 MEMC Electronic Materials, Inc.(b) 17,180 644,250 ------------ 1,259,486 ------------ SEMICONDUCTORS--6.7% Intersil Corp. Class A 32,530 756,322 Microchip Technology, Inc. 19,640 658,922 Silicon Laboratories, Inc.(b) 12,990 456,599 Xilinx, Inc. 37,500 849,375 ------------ 2,721,218 ------------ SPECIALTY CHEMICALS--1.9% Rohm and Haas Co. 15,860 794,903 WIRELESS TELECOMMUNICATION SERVICES--4.2% American Tower Corp. Class A(b) 28,960 901,235 NII Holdings, Inc.(b) 14,460 815,255 ------------ 1,716,490 ------------ ----------------------------------------------------------------------------- TOTAL DOMESTIC COMMON STOCKS (IDENTIFIED COST $35,609,086) 39,306,862 ----------------------------------------------------------------------------- SHARES VALUE --------- ------------ FOREIGN COMMON STOCKS(c)--4.0% ASSET MANAGEMENT & CUSTODY BANKS--2.2% Amvescap plc Sponsored ADR (United States) 47,940 $ 886,411 PERSONAL PRODUCTS--1.8% Herbalife Ltd. (United States)(b) 18,980 757,302 ----------------------------------------------------------------------------- TOTAL FOREIGN COMMON STOCKS (IDENTIFIED COST $1,485,630) 1,643,713 ----------------------------------------------------------------------------- TOTAL INVESTMENTS--100.3% (IDENTIFIED COST $37,094,716) 40,950,575(a) Other assets and liabilities, net--(0.3)% (105,753) ------------ NET ASSETS--100.0% $ 40,844,822 ============ (a) Federal Income Tax Information: Net unrealized appreciation of investment securities is comprised of gross appreciation of $5,477,868 and gross depreciation of $1,622,289 for federal income tax purposes. At June 30, 2006, the aggregate cost of securities for federal income tax purposes was $37,094,996. (b) Non-income producing. (c) A common stock is considered to be foreign if the security is issued in a foreign country. The country of risk, noted parenthetically, is determined based on criteria described in Note 1D "Foreign Security Country Determination" in the Notes to Schedules of Investments. 2 Phoenix Growth Opportunities Fund SCHEDULE OF INVESTMENTS JUNE 30, 2006 (UNAUDITED) SHARES VALUE ---------- ------------ DOMESTIC COMMON STOCKS--93.3% ADVERTISING--1.0% Omnicom Group, Inc. 1,170 $ 104,235 AEROSPACE & DEFENSE--1.8% Boeing Co. (The) 2,250 184,298 AGRICULTURAL PRODUCTS--1.7% Archer-Daniels-Midland Co. 4,170 172,138 AIR FREIGHT & LOGISTICS--0.9% Robinson (C.H.) Worldwide, Inc. 1,740 92,742 APPAREL, ACCESSORIES & LUXURY GOODS--1.7% Coach, Inc.(b) 5,890 176,111 APPLICATION SOFTWARE--2.2% Citrix Systems, Inc.(b) 2,570 103,160 Salesforce.Com, Inc.(b) 4,410 117,570 ------------ 220,730 ------------ BIOTECHNOLOGY--5.6% Celgene Corp.(b) 4,320 204,898 Genentech, Inc.(b) 1,380 112,884 Gilead Sciences, Inc.(b) 4,220 249,655 ------------ 567,437 ------------ BROADCASTING & CABLE TV--0.9% Comcast Corp. Class A(b) 2,800 91,672 CASINOS & GAMING--5.4% International Game Technology 3,910 148,346 Las Vegas Sands Corp.(b) 1,930 150,270 Scientific Games Corp. Class A(b) 3,470 123,601 Station Casinos, Inc. 1,730 117,778 ------------ 539,995 ------------ COMMUNICATIONS EQUIPMENT--9.0% Cisco Systems, Inc.(b) 17,520 342,166 Corning, Inc.(b) 8,400 203,196 JDS Uniphase Corp.(b) 43,760 110,713 Qualcomm, Inc. 6,190 248,033 ------------ 904,108 ------------ COMPUTER & ELECTRONICS RETAIL--1.0% Best Buy Co., Inc. 1,820 99,809 SHARES VALUE ---------- ------------ COMPUTER HARDWARE--5.4% Apple Computer, Inc.(b) 4,230 $ 241,618 Hewlett-Packard Co. 6,160 195,149 Sun Microsystems, Inc.(b) 24,950 103,542 ------------ 540,309 ------------ CONSTRUCTION & FARM MACHINERY & HEAVY TRUCKS--2.0% Caterpillar, Inc. 1,660 123,637 Joy Global, Inc. 1,495 77,874 ------------ 201,511 ------------ DATA PROCESSING & OUTSOURCED SERVICES--1.1% Global Payments, Inc. 2,270 110,209 ELECTRICAL COMPONENTS & EQUIPMENT--2.2% Rockwell Automation, Inc. 1,760 126,738 Roper Industries, Inc. 2,130 99,577 ------------ 226,315 ------------ FERTILIZERS & AGRICULTURAL CHEMICALS--1.5% Monsanto Co. 1,830 154,068 FOOD RETAIL--1.2% Whole Foods Market, Inc. 1,920 124,109 HEALTH CARE DISTRIBUTORS--0.3% Schein (Henry), Inc.(b) 620 28,973 HEALTH CARE EQUIPMENT--2.4% Intuitive Surgical, Inc.(b) 1,120 132,126 ResMed, Inc.(b) 2,290 107,516 ------------ 239,642 ------------ HEALTH CARE SERVICES--3.4% DaVita, Inc.(b) 2,180 108,346 Express Scripts, Inc.(b) 1,710 122,675 Quest Diagnostics, Inc. 1,790 107,257 ------------ 338,278 ------------ HOTELS, RESORTS & CRUISE LINES--1.7% Starwood Hotels & Resorts Worldwide, Inc. 2,770 167,142 INDUSTRIAL CONGLOMERATES--5.6% General Electric Co. 12,780 421,229 Textron, Inc. 1,580 145,644 ------------ 566,873 ------------ 1 Phoenix Growth Opportunities Fund SHARES VALUE ---------- ------------ INTERNET SOFTWARE & SERVICES--6.2% Akamai Technologies, Inc.(b) 3,880 $ 140,417 Google, Inc. Class A(b) 770 322,884 Yahoo!, Inc.(b) 5,050 166,650 ------------ 629,951 ------------ INVESTMENT BANKING & BROKERAGE--2.9% Goldman Sachs Group, Inc. (The) 870 130,874 Schwab (Charles) Corp. (The) 10,040 160,439 ------------ 291,313 ------------ LIFE SCIENCES TOOLS & SERVICES--2.2% Covance, Inc.(b) 1,600 97,952 Thermo Electron Corp.(b) 3,390 122,854 ------------ 220,806 ------------ OIL & GAS EQUIPMENT & SERVICES--0.7% National-Oilwell Varco, Inc.(b) 1,100 69,652 OIL & GAS REFINING & MARKETING--0.8% Valero Energy Corp. 1,260 83,815 PERSONAL PRODUCTS--0.9% Avon Products, Inc. 2,990 92,690 PHARMACEUTICALS--1.2% Allergan, Inc. 1,170 125,494 RAILROADS--1.2% CSX Corp. 1,670 117,635 REAL ESTATE MANAGEMENT & DEVELOPMENT--1.0% CB Richard Ellis Group, Inc. Class A(b) 4,150 103,335 RESTAURANTS--2.8% Starbucks Corp.(b) 4,240 160,102 Yum! Brands, Inc. 2,430 122,156 ------------ 282,258 ------------ SEMICONDUCTOR EQUIPMENT--3.3% Applied Materials, Inc. 12,700 206,756 MEMC Electronic Materials, Inc.(b) 3,350 125,625 ------------ 332,381 ------------ SEMICONDUCTORS--5.5% Broadcom Corp. Class A(b) 5,425 163,021 Intel Corp. 12,000 227,400 Micron Technology, Inc.(b) 10,880 163,853 ------------ 554,274 ------------ SOFT DRINKS--1.2% Hansen Natural Corp.(b) 660 125,644 SHARES VALUE ---------- ------------ SPECIALIZED FINANCE--1.7% Chicago Mercantile Exchange Holdings, Inc. 340 $ 166,991 STEEL--1.2% Allegheny Technologies, Inc. 1,730 119,785 SYSTEMS SOFTWARE--1.2% Red Hat, Inc.(b) 5,120 119,808 WIRELESS TELECOMMUNICATION SERVICES--1.3% NII Holdings, Inc.(b) 2,290 129,110 ----------------------------------------------------------------------------- TOTAL DOMESTIC COMMON STOCKS (IDENTIFIED COST $8,384,960) 9,415,646 ----------------------------------------------------------------------------- FOREIGN COMMON STOCKS(c)--6.2% AUTOMOBILE MANUFACTURERS--1.3% Toyota Motor Corp. Sponsored ADR (Japan) 1,220 127,600 CONSTRUCTION MATERIALS--0.1% CEMEX S.A. de C.V. Sponsored ADR (Mexico)(b) 90 5,127 DIVERSIFIED CAPITAL MARKETS--1.3% UBS AG (Switzerland) 1,220 133,834 OIL & GAS EQUIPMENT & SERVICES--1.0% Tenaris S.A. ADR (Argentina) 2,480 100,415 PHARMACEUTICALS--2.5% AstraZeneca plc Sponsored ADR (United Kingdom) 2,340 139,979 Shire Pharmaceuticals Group plc ADR (United Kingdom) 2,600 114,998 ------------ 254,977 ------------ ----------------------------------------------------------------------------- TOTAL FOREIGN COMMON STOCKS (IDENTIFIED COST $589,995) 621,953 ----------------------------------------------------------------------------- TOTAL LONG TERM INVESTMENTS--99.5% (IDENTIFIED COST $8,974,955) 10,037,599 ------------ SHORT-TERM INVESTMENTS--2.0% MONEY MARKET MUTUAL FUNDS--2.0% BlackRock Liquidity Funds TempCash Portfolio (5.04% seven day effective yield) 206,912 206,912 ----------------------------------------------------------------------------- TOTAL SHORT-TERM INVESTMENTS (IDENTIFIED COST $206,912) 206,912 ----------------------------------------------------------------------------- TOTAL INVESTMENTS--101.5% (IDENTIFIED COST $9,181,867) 10,244,511(a) Other assets and liabilities, net--(1.5)% (148,500) ------------ NET ASSETS--100.0% $ 10,096,011 ============ (a) Federal Income Tax Information: Net unrealized appreciation of investment securities is comprised of gross appreciation of $1,262,450 and gross depreciation of $283,917 for federal income tax purposes. At June 30, 2006, the aggregate cost of securities for federal income tax purposes was $9,265,978. (b) Non-income producing. (c) A common stock is considered to be foreign if the security is issued in a foreign country. The country of risk, noted parenthetically, is determined based on criteria described in Note 1D "Foreign security country determination" in the Notes to Schedules of Investments. 2 PHOENIX OPPORTUNITIES TRUST (FORMERLY PHOENIX-SENECA FUNDS) NOTES TO SCHEDULES OF INVESTMENTS JUNE 30, 2006 (UNAUDITED) NOTE 1--SIGNIFICANT ACCOUNTING POLICIES: The following is a summary of significant accounting policies consistently followed by the Phoenix Opportunities Trust in the preparation of the Schedules of Investments. The preparation of the Schedules of Investments in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, and contingent assets and liabilities at the date of the Schedules of Investments. Actual results could differ from those estimates. A. SECURITY VALUATION: Equity securities are valued at the official closing price (typically last sale) on the exchange on which the securities are primarily traded, or if no closing price is available, at the last bid price. Debt securities are valued on the basis of broker quotations or valuations provided by a pricing service, which utilizes information with respect to recent sales, market transactions in comparable securities, quotations from dealers, and various relationships between securities in determining value. As required, some securities and assets may be valued at fair value as determined in good faith by or under the direction of the Trustees. Certain foreign common stocks may be fair valued in cases where closing prices are not readily available or are deemed not reflective of readily available market prices. For example, significant events (such as movement in the U.S. securities market, or other regional and local developments) may occur between the time that foreign markets close (where the security is principally traded) and the time that the Fund calculates its net asset value (generally, the close of the NYSE) that may impact the value of securities traded in these foreign markets. In these cases, information from an external vendor may be utilized to adjust closing market prices of certain foreign common stocks to reflect their fair value. Because the frequency of significant events is not predictable, fair valuation of certain foreign common stocks may occur on a frequent basis. Short-term investments having a remaining maturity of 60 days or less are valued at amortized cost, which approximates market. B. SECURITY TRANSACTIONS AND RELATED INCOME: Security transactions are recorded on the trade date. Dividend income is recorded on the ex-dividend date, or in the case of certain foreign securities, as soon as the Fund is notified. Interest income is recorded on the accrual basis. Each Fund amortizes premiums and accretes discounts using the effective interest method. Realized gains and losses are determined on the identified cost basis. C. FOREIGN CURRENCY TRANSLATION Foreign securities and other assets and liabilities are valued using the foreign currency exchange rate effective at the end of the reporting period. Cost of investments is translated at the currency exchange rate effective at the trade date. D. FOREIGN SECURITY COUNTRY DETERMINATION A combination of the following criteria is used to assign the countries of risk listed in the Schedules of Investments: country of incorporation, actual building address, primary exchange on which the security is traded and country in which the greatest percentage of company revenue is generated. 1 PHOENIX OPPORTUNITIES TRUST (FORMERLY PHOENIX-SENECA FUNDS) NOTES TO SCHEDULES OF INVESTMENTS JUNE 30, 2006 (UNAUDITED) E. WHEN-ISSUED AND DELAYED DELIVERY TRANSACTIONS Certain Funds may engage in when-issued or delayed delivery transactions. Each Fund records when-issued and delayed delivery securities on the trade date. Each Fund maintains collateral for the securities purchased. F. REPURCHASE AGREEMENTS A repurchase agreement is a transaction where a Fund acquires a security for cash and obtains a simultaneous commitment from the seller to repurchase the security at an agreed upon price and date. Each Fund, through its custodian, takes possession of securities collateralizing the repurchase agreement. The collateral is marked-to-market daily to ensure that the market value of the underlying assets remains sufficient to protect the Fund in the event of default by the seller. If the seller defaults and the value of the collateral declines, or if the seller enters insolvency proceedings, realization of collateral may be delayed or limited. G. DEBT INDEX SECURITIES Certain Funds may invest in securities that represent an interest in a diversified portfolio (the "basket") of debt instruments (the "underlying securities"). Under the term of the baskets, the Fund has direct ownership in each underlying security equal to its pro rata interest in the basket. In the event of default of any underlying security, the notional amount on which interest is earned is reduced by the par amount of the defaulted security, and the pro rata interest of such security is distributed to the Fund. Debt index securities are comprised of a basket of credit default swaps referencing a diversified pool of high yield or emerging markets debt instruments. Certain baskets may be purchased on a funded or unfunded basis such that the Fund receives interest payments based upon the notional amount or par amount of the basket. In connection with these investments collateral may be set aside by the Fund's custodian. In the event of default of any of the underlying notional securities within the unfunded basket, the Fund will be required to pay the counterparty an amount equal to its pro rata share of the notional amount of the defaulted security and similarly the Fund will then receive its pro rata interest of the defaulted security or equivalent cash amount. In a funded transaction, in the event of default of any par securities in the funded basket, the Fund would be required to receive its pro rata interest of the defaulted security or equivalent cash amount. H. DOLLAR ROLLS Certain Funds may enter into mortgage dollar rolls in which the Fund sells mortgage-backed securities for delivery at a future date and simultaneously contracts to repurchase substantially similar (same type, coupon and maturity) securities on a specified future date. During the roll period the Fund forgoes principal and interest paid on the securities. The Fund is compensated by the interest earned on the cash proceeds of the initial sale and by the lower repurchase price at the future date. Dollar roll transactions are accounted for as purchases and sales of securities. NOTE 2--CREDIT RISK AND ASSET CONCENTRATION In countries with limited or developing markets, investments may present greater risks than in more developed markets and the prices of such investments may be volatile. The consequences of political, social or economic changes in these markets may have disruptive effects on the market prices of these investments and the income they generate, as well as a Fund's ability to repatriate such amounts. Certain Funds may invest a high percentage of their assets in specific sectors of the market in their pursuit of a greater investment return. Fluctuations in these sectors of concentration may have a greater impact on a Fund, positive or negative, than if a Fund did not concentrate its investments in such sectors. High yield/high risk securities typically entail greater price volatility and/or principal and interest rate risk. There is a greater chance that an issuer will not be able to make principal and interest payments on time. Analysis of the creditworthiness of issuers of high yield securities may be complex, and as a result, it may be more difficult for the adviser and/or subadviser to accurately predict risk. 2 PHOENIX OPPORTUNITIES TRUST (FORMERLY PHOENIX-SENECA FUNDS) NOTES TO SCHEDULES OF INVESTMENTS JUNE 30, 2006 (UNAUDITED) At June 30, 2006, the Bond Fund held $80,909,865 in securities issued by the U.S. Government, comprising 64.1% of the total net assets of the Fund. The Growth Opportunities Fund held securities issued by various companies in the Information Technology sector, comprising 34% of the total net assets of the Fund. NOTE 3 -- MERGERS On May 19, 2006, the Phoenix Bond Fund ("Bond Fund") of the Phoenix Opportunities Trust acquired all of the net assets of the Phoenix Intermediate Bond Fund ("Intermediate Bond Fund") pursuant to an Agreement and Plan of Reorganization approved by the Board of Trustees of the Phoenix Asset Trust (f/k/a Phoenix-Kayne Funds) on May 15, 2006. On June 9, 2006, the Phoenix Growth Opportunities Fund acquired all of the net assets of the Turner Strategic Growth Fund, a series of the Turner Trust pursuant to an Agreement and Plan of Reorganization approved by the Board of Trustees on February 17, 2006. 3 ITEM 2. CONTROLS AND PROCEDURES. (a) The registrant's principal executive and principal financial officers, or persons performing similar functions, have concluded that 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") (17 CFR 270.30a-3(c))) are effective, as of a date within 90 days of the filing date of the report that includes the disclosure required by this paragraph, based on their evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR 270.30a-3(b)) and Rule 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934, as amended (17 CFR 240.13a-15(b) or 240.15d-15(b)). (b) There were no changes in the registrant's internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act (17 CFR 270.30a-3(d)) that occurred during the registrant's last fiscal quarter that have materially affected, or are reasonably likely to materially affect, the registrant's internal control over financial reporting. ITEM 3. EXHIBITS. Certifications pursuant to Rule 30a-2(a) under the 1940 Act and Section 302 of the Sarbanes-Oxley Act of 2002 are attached hereto. SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. (Registrant) Phoenix Opportunities Trust -------------------------------------------------------------------- By (Signature and Title)* /s/ George R. Aylward ------------------------------------------------------- George R. Aylward, Executive Vice President (principal executive officer) Date August 28, 2006 ---------------------------------------------------------------------------- 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 (Signature and Title)* /s/ George R. Aylward ------------------------------------------------------- George R. Aylward, Executive Vice President (principal executive officer) Date August 28, 2006 ---------------------------------------------------------------------------- By (Signature and Title)* /s/ W. Patrick Bradley ------------------------------------------------------- W. Patrick Bradley, Chief Financial Officer and Treasurer (principal financial officer) Date August 25, 2006 ---------------------------------------------------------------------------- * Print the name and title of each signing officer under his or her signature.