N-CSRS 1 vit_ncsrs.txt 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 811-07917 Wilshire Variable Insurance Trust (Exact name of registrant as specified in charter) Wilshire Associates Incorporated 1299 Ocean Avenue, Suite 700 Santa Monica, CA 90401-1085 (Address of principal executive offices) (Zip code) Lawrence Davanzo, President 1299 Ocean Avenue, Suite 700 Santa Monica, CA 90401-1085 (Name and address of agent for service) Registrant's telephone number, including area code: 310-260-6639 Date of fiscal year end: December 31 Date of reporting period: June 30, 2009 Form N-CSRS is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSRS in its regulatory, disclosure review, inspection, and policymaking roles. A registrant is required to disclose the information specified by Form N-CSRS, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSRS unless the Form displays a currently valid Office of Management and Budget ("OMB") control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 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. Reports to Stockholders. The Report to Shareholders is attached herewith. [GRAPHIC OMITTED] Wilshire Variable Insurance Trust SEMI-ANNUAL REPORT (Unaudited) EQUITY FUND BALANCED FUND INCOME FUND SMALL CAP GROWTH FUND INTERNATIONAL EQUITY FUND SOCIALLY RESPONSIBLE FUND JUNE 30, 2009 TABLE OF CONTENTS Shareholder Letter ..................................................... 2 Fund Commentaries ...................................................... 4 Disclosure of Fund Expenses ............................................ 10 Schedules of Investments ............................................... 12 Statements of Assets and Liabilities ................................... 49 Statements of Operations ............................................... 50 Statements of Changes in Net Assets .................................... 51 Financial Highlights ................................................... 53 Notes to the Financial Statements ...................................... 59 Additional Fund Information ............................................ 70 Board Approval of Subadvisory Agreements ............................... 71 Shareholder Voting Results ............................................. 73 ---------------------------- SHARES OF THE WILSHIRE VARIABLE INSURANCE TRUST ARE SOLD ONLY AS THE UNDERLYING INVESTMENT FOR VARIABLE ANNUITY CONTRACTS ISSUED BY INSURANCE COMPANIES.THIS REPORT IS AUTHORIZED FOR USE IN CONNECTION WITH ANY OFFERING OF THE TRUST'S SHARES ONLY IF ACCOMPANIED OR PRECEDED BY THE TRUST'S CURRENT PROSPECTUS. Shares of the Wilshire Variable Insurance Trust are distributed by SEI Investments Distribution Co. Dear Wilshire Variable Insurance Trust Shareholder: We are pleased to present this semi-annual report to shareholders of the Wilshire Variable Insurance Trust (the "Trust"). This report covers the period from January 1, 2009 to June 30, 2009 (the "Period"), for the Equity, Balanced, Income, Small Cap Growth, International Equity and Socially Responsible Funds (the "Funds"). MARKET ENVIRONMENT As 2008 came to a close, investors witnessed one of the most challenging periods for equity investors in memory. The broad U.S. stock market, as measured by the Wilshire 5000(SM), retreated 37%, marking its worst year since 1931. Overseas markets fared even worse, as the Wilshire Global ex-U.S. Index fell 45%. The financial consequences stemming from the housing crisis permeated every segment of the equity market for the year, and no sector was spared. As we reached the midpoint of 2009, many indicators suggested that the economy has reached a turning point and that the worst of the aftermath of 2008's wreckage may be behind us. U.S. GDP contracted at a better than expected 1% rate in the second quarter of 2009, and improvements were noted in manufacturing, durable goods and more. Signs of life were seen in the housing market, while commercial real estate continued to struggle. The employment situation remained depressed, with unemployment reaching 9.5% in June, while inflation (as measured by the CPI) was up 0.7% in June after posting an increase of 0.1% in May. The sharp declines in U.S. equities experienced in 2008 continued in the beginning of 2009, as the Wilshire 5000(SM) fell an additional 25% from the beginning of the year through March 9. However, post-March 9, U.S. equities experienced a dramatic rebound in performance, erasing all of the losses experienced before March 9 and posting a positive year-to-date return of 5%. Small cap stocks, as measured by the Wilshire Small Cap Index, performed even better during the first half of 2009, posting a return of just under 11%. There was a sizable difference in performance between asset class styles during the first half of 2009, as growth stocks outperformed their value counterparts by 13%. The growth asset class was led by the strong returns from the Technology sector (25%), which makes up over 30% of the growth index. Typical value sectors such as Financials and Energy, which together make up over 40% of the value index, returned -3% and -2%, respectively. Despite facing broad economic troubles that roughly mirrored those experienced in the U.S., non-U.S. equities also posted a sharp reversal in performance during the first six months of the year. Developed non-U.S. equities, as measured by the MSCI EAFE Index, posted a stellar return of 25% for the second quarter and are now up 8% for the year-to-date period. Emerging market equities also exhibited their resilience, posting the best return of any asset class for the second quarter, up 34%, as measured by the MSCI Emerging Markets Index. For the year-to-date period, Emerging Market equities are up an impressive 36%. In other asset classes, the DJ Wilshire Global REIT Index returned 28% for the quarter, but the year-to-date return is still negative, down -5.4% . Within fixed income markets, credit markets showed signs of improvement in 2009, posting positive performance in most sectors and asset classes during the first six months of the year. High yield bonds were the strongest performer in the second quarter, as the Merrill Lynch High Yield Index posted a stellar quarterly return of 23%, adding to the first quarter's positive return of 5%. Credit spreads came in dramatically from their historic highs during the second quarter as fears of the 2008 financial crisis eased, although credit spreads still remain above their long-term historical averages. Core bonds had a much more muted but still positive return for the second quarter and year-to-date periods as measured by the Barclays U.S. Aggregate Bond Index, posting returns of 1.8% and 1.9%, respectively. In other fixed income asset classes for the six months of the year, non-U.S. bonds, as measured by the Citigroup World Government Bond Index, returned -1.5%, and U.S. TIPS (Treasury Inflationary Protection Securities) returned 6.2%, as measured by the Barclays U.S. TIPS Index. FUND PERFORMANCE OVERVIEW The sharp market drop in the beginning of 2009 that was followed by a substantial market rally had a mixed effect on our Funds' performance for the first six months of the year. This rally, which began after the market hit its near-term bottom on March 9, has widely been characterized as a low quality, or "junk", rally. On balance, this "junk" rally had a negative effect on our Funds' performance. As the market bid up many severely beaten down stocks, the fundamental principle of investing in high quality companies was generally abandoned, proving to be a headwind for several of Funds' near-term returns. 2 While we are disappointed by the performance of the underperforming Funds over the last six months, we are encouraged by the activities of our sub-advisers who continue to follow through with the disciplined investment approaches that have made them successful over time. While the immediate terrain our sub-advisers must navigate will continue to be challenging, their confidence and conviction remain intact. It is our belief that as markets continue the healing process in the second half of 2009, it will be the patient and disciplined investors who will be rewarded on the upside. As always, we sincerely appreciate your continued support and confidence in Wilshire Associates. Sincerely, /s/ Lawrence E. Davanzo ----------------------- Lawrence E. Davanzo, President 3 WILSHIRE VARIABLE INSURANCE TRUST EQUITY FUND COMMENTARY AVERAGE ANNUAL TOTAL RETURN SIX MONTHS ENDED 06/30/09* ...................................... 2.22% ONE YEAR ENDED 06/30/09 ......................................... (29.36)% FIVE YEARS ENDED 06/30/09. ...................................... (3.66)% TEN YEARS ENDED 06/30/09 ........................................ (3.09)% THE PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. CURRENT PERFORMANCE MAY BE LOWER OR HIGHER. THE INVESTMENT RETURN AND PRINCIPAL VALUE OF AN INVESTMENT WILL FLUCTUATE SO THAT SHARES, WHEN REDEEMED, MAY BE WORTH MORE OR LESS THAN THEIR ORIGINAL COST. RETURNS ASSUME REINVESTMENT OF ALL DISTRIBUTIONS. ANNUITY CONTRACT FEES ARE NOT REFLECTED IN RETURNS. RECENT PERFORMANCE CAN BE FOUND AT YOUR PARTICULAR INSURANCE COMPANY. * NOT ANNUALIZED. Assumes reinvestment of all distributions. During certain periods since inception, certain fees and expenses were waived or reimbursed. Without such waivers and reimbursements, historical total returns would have been lower. For the six month period ended June 30, 2009, there were no waivers. PORTFOLIO SECTOR WEIGHTING** (As of June 30, 2009) [GRAPHIC OMITTED] MATERIALS 2.9% TELECOMMUNICATION SERVICES 3.6% INDUSTRIALS 9.3% CONSUMER STAPLES 9.3% CONSUMER DISCRETIONARY 11.4% FINANCIALS 11.6% UTILITIES 2.1% U.S. TREASURY OBLIGATIONS 1.8% INFORMATION TECHNOLOGY 21.5% HEALTH CARE 14.0% ENERGY 12.5% The Equity Fund (the "Fund") posted a return of 2.22% for the six months ending June 30, 2009, compared to the Fund's benchmark return of 3.16%, as measured by the S&P 500 Index. As 2008 came to a close, investors witnessed one of the most challenging periods for equity investors in memory. The broad U.S. stock market, as measured by the S&P 500 Index, retreated 37% in 2008, marking its worst year since 1931. The sharp declines in U.S. equities experienced in 2008 continued in the beginning of 2009, as the S&P 500 Index fell an additional 25% from the beginning of the year through March 9. However, post-March 9, U.S. equities experienced a dramatic rebound in performance, erasing all of the losses experienced before March 9 and posting a positive year-to-date return. The Fund's performance was hampered by stock selections in the financials, consumer staples and consumer discretionary sectors. Additionally, the fund's overall positioning in higher quality conservative positions was a drag on performance. Conversely, the Fund's overweight position to the technology sector contributed to performance during the period. Although we are disappointed by the slight underperformance of the Fund during the period, we are encouraged by the activities of our sub-advisers who continue to follow through with the disciplined investment approaches that have made them successful. It is our belief that as markets continue with the recovery process, it will be the patient and disciplined investors who will be rewarded on the upside. ** BASED ON PERCENT OF THE FUND'S TOTAL LONG-TERM INVESTMENTS IN SECURITIES MARKET VALUE. 4 WILSHIRE VARIABLE INSURANCE TRUST BALANCED FUND COMMENTARY AVERAGE ANNUAL TOTAL RETURN SIX MONTHS ENDED 06/30/09* ....................................... 2.41% ONE YEAR ENDED 06/30/09 .......................................... (17.52)% FIVE YEARS ENDED 06/30/09. ....................................... (0.86)% TEN YEARS ENDED 06/30/09 ......................................... 0.38% THE BALANCED FUND ATTEMPTS TO ACHIEVE ITS OBJECTIVE BY INVESTING IN OTHER FUNDS. YOU MAY INVEST IN THE UNDERLYING FUNDS DIRECTLY. BY INVESTING IN THE UNDERLYING FUNDS INDIRECTLY THROUGH THE BALANCED FUND, YOU WILL INCUR NOT ONLY THE EXPENSES OF THE UNDERLYING FUNDS, BUT ALSO THE EXPENSES OF THE BALANCED FUND. THE BALANCED FUND IS SUBJECT TO THE RISKS OF THE UNDERLYING FUNDS IT HOLDS. THE PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. CURRENT PERFORMANCE MAY BE LOWER OR HIGHER. THE INVESTMENT RETURN AND PRINCIPAL VALUE OF AN INVESTMENT WILL FLUCTUATE SO THAT SHARES, WHEN REDEEMED, MAY BE WORTH MORE OR LESS THAN THEIR ORIGINAL COST. ANNUITY CONTRACT FEES ARE NOT REFLECTED IN RETURNS. RECENT PERFORMANCE CAN BE FOUND AT YOUR PARTICULAR INSURANCE COMPANY. * NOT ANNUALIZED. Assumes reinvestment of all distributions. During certain periods since inception, certain fees and expenses were waived or reimbursed. Without such waivers and reimbursements,historical total returns would have been lower.For the six month period ended June 30,2009, there were no waivers. PORTFOLIO SECTOR WEIGHTING** (As of June 30, 2009) [GRAPHIC OMITTED] WILSHIRE LARGE CAP CORE 130/30 FUND 19.6% WILSHIRE VARIABLE INSURANCE TRUST EQUITY FUND 39.4% WILSHIRE VARIABLE INSURANCE TRUST INCOME FUND 41.0% The Balanced Fund (the "Fund") is structured to provide long-term investors with an appropriate exposure to both equities and fixed income securities. As a matter of investment policy, 0% to 50% of the Balanced Fund's total assets will be invested in the Equity Fund, 30% to 50% of the value of its total assets will be invested in the Income Fund and 0% to 50% of the value of its assets will be invested in the Wilshire Large Cap Core 130/30 Fund. Under normal circumstances, the Balanced Fund's target asset mix is 60% equity securities and 40% fixed income securities. For the six-month period ended June 30, 2009 (the "Period"), the Fund returned 2.41%, slightly underperforming its custom blended benchmark, which returned 3.06% . The Fund's allocation to the U.S. equity market provided the bulk of the underperformance as the S&P 500 Index lost 11.92% for the Period. The Fund's investment in fixed income hurt overall performance because bonds declined as interest rates spiked across the yield curve and inflation rose. ** BASED ON PERCENT OF THE FUND'S TOTAL LONG-TERM INVESTMENTS IN SECURITIES MARKET VALUE. 5 WILSHIRE VARIABLE INSURANCE TRUST INCOME FUND COMMENTARY AVERAGE ANNUAL TOTAL RETURN SIX MONTHS ENDED 06/30/09* ............................................ 5.17% ONE YEAR ENDED 06/30/09 ............................................... 0.35% FIVE YEARS ENDED 06/30/09. ............................................ 2.64% TEN YEARS ENDED 06/30/09 .............................................. 4.72% THE PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. CURRENT PERFORMANCE MAY BE LOWER OR HIGHER. THE INVESTMENT RETURN AND PRINCIPAL VALUE OF AN INVESTMENT WILL FLUCTUATE SO THAT SHARES, WHEN REDEEMED, MAY BE WORTH MORE OR LESS THAN THEIR ORIGINAL COST. RETURNS ASSUME REINVESTMENT OF ALL DIVIDENDS AND DISTRIBUTIONS. ANNUITY CONTRACT FEES ARE NOT REFLECTED IN RETURNS. RECENT PERFORMANCE CAN BE FOUND AT YOUR PARTICULAR INSURANCE COMPANY. * NOT ANNUALIZED. Assumes reinvestment of all distributions. During certain periods since inception, certain fees and expenses were waived or reimbursed. Without such waivers and reimbursements,historical total returns would have been lower.For the six month period ended June 30,2009, there were no waivers. PORTFOLIO SECTOR WEIGHTING** (As of June 30, 2009) [GRAPHIC OMITTED] ASSET BACKED SECURITIES 3.2% U.S. GOVERNMENT & AGENCY OBLIGATIONS 8.6% FOREIGN BONDS 12.9% U.S. TREASURY OBLIGATIONS 14.9% PREFERRED STOCK 0.1% CORPORATE BONDS 31.6% COLLATERALIZED MORTGAGE OBLIGATIONS 28.7% The Income Fund, (the "Fund") posted a return of 5.17% for the six months ending June 30, 2009, compared to the Fund's benchmark return of 1.91%, as measured by the Barclays Aggregate Bond Index. Within fixed income markets, credit markets showed significant signs of improvement in 2009, leading to positive performance in most fixed income sectors and asset classes during the first half of the year. High yield bonds were the strongest performer in the second quarter, as the Merrill Lynch High Yield Index posted a stellar quarterly return of 23%, adding to the first quarter's positive return of 5%. In other fixed income asset classes, U.S. TIPS returned 6.2%, as measured by the Barclays U.S. TIPS Index. The Fund's overweight to investment grade credits over Treasuries helped performance as credit spreads narrowed significantly from their historic levels during the period. The Fund also benefitted from its modest exposure to high yield and overweight exposure to investment grade agency mortgages, as these issues rallied a bit following their sharp sell-off in 2008. We are pleased by the improved performance of the Fund during the period following a challenging 2008. We are also encouraged by the activities of its sub-adviser who continues to follow through with the disciplined investment approach. It is our belief that as markets continue with the recovery process, it will be the patient and disciplined investors who will be rewarded on the upside. ** BASED ON PERCENT OF THE FUND'S TOTAL LONG-TERM INVESTMENTS IN SECURITIES MARKET VALUE. 6 WILSHIRE VARIABLE INSURANCE TRUST SMALL CAP GROWTH FUND COMMENTARY AVERAGE ANNUAL TOTAL RETURN SIX MONTHS ENDED 06/30/09* ........................................ 8.62% ONE YEAR ENDED 06/30/09 ........................................... (30.10)% FIVE YEARS ENDED 06/30/09. ........................................ (4.49)% TEN YEARS ENDED 06/30/09 .......................................... (2.66)% THE PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. CURRENT PERFORMANCE MAY BE LOWER OR HIGHER. THE INVESTMENT RETURN AND PRINCIPAL VALUE OF AN INVESTMENT WILL FLUCTUATE SO THAT SHARES, WHEN REDEEMED, MAY BE WORTH MORE OR LESS THAN THEIR ORIGINAL COST. RETURNS ASSUME REINVESTMENT OF ALL DIVIDENDS AND DISTRIBUTIONS. ANNUITY CONTRACT FEES ARE NOT REFLECTED IN RETURNS. RECENT PERFORMANCE CAN BE FOUND AT YOUR PARTICULAR INSURANCE COMPANY. * NOT ANNUALIZED. Assumes reinvestment of all distributions. During certain periods since inception, certain fees and expenses were waived or reimbursed. For the six month period ended June 30, 2009, there were waivers totaling 0.22% of average net assets.Without such waivers and reimbursements, historical total returns would have been lower. PORTFOLIO SECTOR WEIGHTING** (As of June 30, 2009) [GRAPHIC OMITTED] MATERIALS 1.9% CONSUMER STAPLES 2.6% ENERGY 4.1% FINANCIALS 6.7% CONSUMER DISCRETIONARY 14.5% INDUSTRIALS 17.1% TELECOMMUNICATION SERVICES 1.5% UTILITIES 0.1% INFORMATION TECHNOLOGY 28.5% HEALTH CARE 23.0% The Small Cap Growth Fund, (the "Fund") posted a return of 8.62% for the six months ending June 30, 2009, compared to the Fund's benchmark return of 11.36%, as measured by the Russell 2000 Growth Index. The Fund's performance was hampered by stock selections in the health care and consumer discretionary sectors. Additionally, the Fund's overall positioning in more momentum oriented companies and exposure to slightly higher average market capitalization stocks versus the small cap benchmark was a drag on performance. The Fund benefitted from strong security selection in the technology and financials sectors, and despite the Fund's underperformance from security selection in the consumer discretionary sector, the fund benefitted from an overweight to the sector during the period. Although we are disappointed by the underperformance of the Fund during the period, we are encouraged by the activities of our sub-advisers who continue to follow through with the disciplined investment approaches that have made them successful. It is our belief that as markets continue with the recovery process, it will be the patient and disciplined investors who will be rewarded on the upside. ** BASED ON PERCENT OF THE FUND'S TOTAL LONG-TERM INVESTMENTS IN SECURITIES MARKET VALUE. 7 WILSHIRE VARIABLE INSURANCE TRUST INTERNATIONAL EQUITY FUND COMMENTARY AVERAGE ANNUAL TOTAL RETURN SIX MONTHS ENDED 06/30/09* ....................................... 6.41% ONE YEAR ENDED 06/30/09 .......................................... (33.97)% FIVE YEARS ENDED 06/30/09. ....................................... (0.78)% TEN YEARS ENDED 06/30/09 ......................................... (1.30)% THE PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. CURRENT PERFORMANCE MAY BE LOWER OR HIGHER. THE INVESTMENT RETURN AND PRINCIPAL VALUE OF AN INVESTMENT WILL FLUCTUATE SO THAT SHARES, WHEN REDEEMED, MAY BE WORTH MORE OR LESS THAN THEIR ORIGINAL COST. RETURNS ASSUME REINVESTMENT OF ALL DISTRIBUTIONS. ANNUITY CONTRACT FEES ARE NOT REFLECTED IN RETURNS. RECENT PERFORMANCE CAN BE FOUND AT YOUR PARTICULAR INSURANCE COMPANY. * NOT ANNUALIZED. Assumes reinvestment of all distributions. During certain periods since inception, certain fees and expenses were waived or reimbursed. For the six month period ended June 30, 2009, there were waivers totaling 0.20% of average net assets.Without such waivers and reimbursements, historical total returns would have been lower. PORTFOLIO SECTOR WEIGHTING** (As of June 30, 2009) [GRAPHIC OMITTED] UTILITIES 5.3% INFORMATION TECHNOLOGY 5.6% TELECOMMUNICATION SERVICES 6.7% CONSUMER DISCRETIONARY 7.5% HEALTH CARE 8.0% MATERIALS 8.5% PREFERRED STOCK 2.5% EXCHANGE TRADED FUND 1.4% FINANCIALS 23.1% INDUSTRIALS 11.3% ENERGY 10.1% CONSUMER STAPLES 10.0% The International Equity Fund (the "Fund") posted a return of 6.41% for the six months ending June 30, 2009, compared to the Fund's benchmark return of 7.95%, as measured by the MSCI EAFE Index. As was the case in the U.S., investors in international securities witnessed one of the most challenging periods for equity investors in memory. The international stock market, as measured by the MSCI EAFE Index, retreated over 43% in 2008, greater than the 37% decline in the U.S. markets. The sharp declines continued in the beginning of 2009 through March 9. However, post-March 9, international equities experienced a dramatic rebound in performance, erasing all of the losses experienced before March 9 and posting a positive year-to-date return. The Fund's performance was hampered by stock selections in the U.K. and Japan and an overweight position in Aus-tralia. The Fund's performance also suffered from selection in Consumer Discretionary and REIT's. Conversely, the Fund's modest exposure to emerging markets counties, such as Brazil, China and Russia, helped performance during the period. Although we are disappointed by the slight underperformance of the Fund during the period, we are encouraged by the activities of our sub-advisers who continue to follow through with the disciplined investment approaches that have made them successful. It is our belief that as markets continue with the recovery process, it will be the patient and disciplined investors who will be rewarded on the upside. ** BASED ON PERCENT OF THE FUND'S TOTAL LONG-TERM INVESTMENTS IN SECURITIES MARKET VALUE. 8 WILSHIRE VARIABLE INSURANCE TRUST SOCIALLY RESPONSIBLE FUND COMMENTARY AVERAGE ANNUAL TOTAL RETURN SIX MONTHS ENDED 06/30/09* ......................................... 0.84% ONE YEAR ENDED 06/30/09 ............................................ (28.79)% FIVE YEARS ENDED 06/30/09. ......................................... (4.16)% TEN YEARS ENDED 06/30/09 ........................................... (0.96)% THE PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. CURRENT PERFORMANCE MAY BE LOWER OR HIGHER. THE INVESTMENT RETURN AND PRINCIPAL VALUE OF AN INVESTMENT WILL FLUCTUATE SO THAT SHARES, WHEN REDEEMED, MAY BE WORTH MORE OR LESS THAN THEIR ORIGINAL COST. RETURNS ASSUME REINVESTMENT OF ALL DISTRIBUTIONS. ANNUITY CONTRACT FEES ARE NOT REFLECTED IN RETURNS. RECENT PERFORMANCE CAN BE FOUND AT YOUR PARTICULAR INSURANCE COMPANY. * NOT ANNUALIZED. Assumes reinvestment of all distributions. During certain periods since inception, certain fees and expenses were waived or reimbursed. Without such waivers and reimbursements, historical total returns would have been lower. For the six month period ended June 30, 2009, there were no waivers. PORTFOLIO SECTOR WEIGHTING** (As of June 30, 2009) [GRAPHIC OMITTED] TELECOMMUNICATION SERVICES 3.1% MATERIALS 3.7% CONSUMER STAPLES 11.1% HEALTH CARE 11.2% CONSUMER DISCRETIONARY 11.6% UTILITIES 2.5% EXCHANGE TRADED FUND 1.6% INFORMATION TECHNOLOGY 17.7% ENERGY 13.3% FINANCIALS 12.5% INDUSTRIALS 11.7% The Socially Responsible Fund, (the "Fund") posted a return of 0.84% for the six months ending June 30, 2009, compared to the Fund's benchmark return of 3.16%, as measured by the S&P 500 Index. The Fund's performance was hampered by stock selections in the financials sector, an overweight position in the industrials sector, and an underweight position in the consumer discretionary sectors. Additionally, the Fund's overall positioning in higher quality conservative positions was a drag on performance. Conversely, the Fund benefitted from strong security selection in the technology sector during the period. Although we are disappointed by the underperformance of the Fund during the period, we are encouraged by the activity of our sub-adviser who continues to follow through with the disciplined investment approaches that have made the sub-adviser successful. It is our belief that as markets continue with the recovery process, it will be the patient and disciplined investors who will be rewarded on the upside. ** BASED ON PERCENT OF THE FUND'S TOTAL LONG-TERM INVESTMENTS IN SECURITIES MARKET VALUE. 9 WILSHIRE VARIABLE INSURANCE TRUST DISCLOSURE OF FUND EXPENSES FOR THE SIX MONTH PERIOD ENDED JUNE 30, 2009 (UNAUDITED) We believe it is important for you to understand the impact of fees regarding your investment. All mutual funds have operating expenses. As a shareholder of a mutual fund, you incur ongoing costs, which include costs for investment advisory, administrative services, distribution and/or shareholder services and shareholder reports (like this one), among others. Operating expenses, which are deducted from a fund's gross income, directly reduce the investment return of the fund. A fund's expenses are expressed as a percentage of its average net assets. This figure is known as the expense ratio. The following examples are intended to help you understand the ongoing fees (in dollars) of investing in your Fund and to compare these costs with those of other mutual funds. The examples are based on an investment of $1,000 made at the beginning of the period shown and held for the entire period. This table illustrates your Fund's costs in two ways: ACTUAL FUND RETURN: This section helps you to estimate the actual expenses, after any applicable fee waivers, that you paid over the period. The "Ending Account Value" shown is derived from the Fund's ACTUAL return for the period, the "Expense Ratio" column shows the period's annualized expense ratio, and the "Expenses Paid During Period" column shows the dollar amount that would have been paid by an investor who started with $1,000 in the Fund at the beginning of the period. You may use the information here, together with your account value, to estimate the expenses that you paid over the period. To do so, simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number given for your Fund in the first line under the heading entitled "Expenses Paid During Period." HYPOTHETICAL 5% RETURN: This section is intended to help you compare your Fund's costs with those of other mutual funds. The "Ending Account Value" shown is derived from hypothetical account values and hypothetical expenses based on the Fund's actual expense ratio and assumed rate of return. It assumes that the Fund had an annual return of 5% before expenses, but that the expense ratio is unchanged. In this case, because the return used is NOT the Fund's actual return, the results do not apply to your investment. This example is useful in making comparisons to other mutual funds because the Securities and Exchange Commission requires all mutual funds to calculate expenses based on an assumed 5% annual return. You can assess your Fund's ongoing costs by comparing this hypothetical example with the hypothetical examples that appear in shareholder reports of other funds. Please note that the expenses shown in the table are meant to highlight and help you compare your ONGOING costs only and do not reflect any transactional costs such as sales charges (loads), redemption fees, or exchange fees. Wilshire Variable Insurance Trust has no such charges or fees, but they may be present in other funds to which you compare this data. Therefore, the hypothetical portions of the table are useful in comparing ongoing costs only, and will not help you determine the relative costs of owning different funds. 10 WILSHIRE VARIABLE INSURANCE TRUST DISCLOSURE OF FUND EXPENSES - (CONTINUED) FOR THE SIX MONTH PERIOD ENDED JUNE 30, 2009 (UNAUDITED)
Beginning Ending Account Account Expenses Paid Value Value Expense During Period 12/31/2008 06/30/2009 Ratio(1) 12/31/2008-06/30/2009(2)(3) ---------- ---------- -------- --------------------------- EQUITY FUND --------------------------------------------------------------------------------------------------- Actual Fund Return $1,000.00 $1,022.20 1.23% $6.25 Hypothetical 5% Return $1,000.00 $1,018.95 1.23% $6.24 BALANCED FUND(4) --------------------------------------------------------------------------------------------------- Actual Fund Return $1,000.00 $1,024.10 0.24% $1.22 Hypothetical 5% Return $1,000.00 $1,023.93 0.24% $1.22 INCOME FUND --------------------------------------------------------------------------------------------------- Actual Fund Return $1,000.00 $1,051.70 1.05% $5.42 Hypothetical 5% Return $1,000.00 $1,019.86 1.05% $5.33 SMALL CAP GROWTH FUND --------------------------------------------------------------------------------------------------- Actual Fund Return $1,000.00 $1,086.20 1.54% $8.08 Hypothetical 5% Return $1,000.00 $1,017.39 1.54% $7.81 INTERNATIONAL EQUITY FUND --------------------------------------------------------------------------------------------------- Actual Fund Return $1,000.00 $1,064.10 1.51% $7.83 Hypothetical 5% Return $1,000.00 $1,017.55 1.51% $7.66 SOCIALLY RESPONSIBLE FUND --------------------------------------------------------------------------------------------------- Actual Fund Return $1,000.00 $1,008.40 1.35% $6.82 Hypothetical 5% Return $1,000.00 $1,018.35 1.35% $6.85
(1) ANNUALIZED, BASED ON THE FUND'S MOST RECENT FISCAL HALF-YEAR EXPENSES. (2) EXPENSES ARE EQUAL TO THE FUND'S ANNUALIZED EXPENSE RATIO MULTIPLIED BY THE AVERAGE ACCOUNT VALUE OVER THE PERIOD, MULTIPLIED BY THE NUMBER OF DAYS IN THE PERIOD, THEN DIVIDED BY 365. (3) EXPENSES SHOWN DO NOT INCLUDE ANNUITY CONTRACT FEES. (4) THE EXPENSE RATIO DOES NOT INCLUDE THE EXPENSES OF THE UNDERLYING FUNDS. 11 WILSHIRE VARIABLE INSURANCE TRUST EQUITY FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS (UNAUDITED) Shares Value ------ ----- COMMON STOCK -- 97.6% Consumer Discretionary -- 11.4% 8,950 Abercrombie & Fitch Co., Class A ....... $ 227,240 9,212 Advance Auto Parts, Inc. ............... 382,206 1,550 Aeropostale, Inc.+ ..................... 53,118 1,973 Amazon.com, Inc.+ ...................... 165,061 2,058 American Eagle Outfitters, Inc. ........ 29,162 10,369 Apollo Group, Inc., Class A+ ........... 737,443 13,005 AutoNation, Inc.+ ...................... 225,637 2,195 Autozone, Inc.+ ........................ 331,686 11,800 Bed Bath & Beyond, Inc.+ ............... 362,850 4,547 Best Buy Co., Inc. ..................... 152,279 1,163 Big Lots, Inc.+ ........................ 24,458 847 BorgWarner, Inc. ....................... 28,925 957 Brinker International, Inc. ............ 16,298 3,006 Career Education Corp.+ ................ 74,820 1,660 CBS Corp., Class B ..................... 11,487 42,009 Centex Corp. ........................... 355,396 1,030 Chipotle Mexican Grill, Inc., Class A+ ............................... 82,400 9,131 Coach, Inc. ............................ 245,441 133,996 Comcast Corp. Special, Class A ......... 1,941,602 16,309 Darden Restaurants, Inc. ............... 537,871 38,441 DIRECTV Group, Inc. (The)+ ............. 949,877 7,519 Dollar Tree, Inc.+ ..................... 316,550 33,601 DR Horton, Inc. ........................ 314,505 6,246 Expedia, Inc.+ ......................... 94,377 10,429 Family Dollar Stores, Inc. ............. 295,141 13,385 Foot Locker, Inc. ...................... 140,141 11,704 Ford Motor Co.+ ........................ 71,043 6,599 Fortune Brands, Inc. ................... 229,249 5,396 GameStop Corp., Class A+ ............... 118,766 32,889 Gap, Inc. (The) ........................ 539,380 1,431 Harman International Industries, Inc. .. 26,903 7,777 Hasbro, Inc. ........................... 188,515 62,632 Home Depot, Inc. (The) ................. 1,479,994 3,792 International Game Technology .......... 60,293 57,761 Interpublic Group of Cos., Inc.+ ....... 291,693 16,857 J.C. Penney Co., Inc. .................. 483,964 5,461 Johnson Controls, Inc. ................. 118,613 8,047 KB Home ................................ 110,083 10,185 Kohl's Corp.+ .......................... 435,409 19,238 Leggett & Platt, Inc. .................. 292,995 11,696 Lennar Corp., Class A .................. 113,334 129,948 Lowe's Cos., Inc. ...................... 2,522,291 32,823 Ltd. Brands, Inc. ...................... 392,891 41,695 Macy's, Inc. ........................... 490,333 1,404 Marriott International, Inc., Class A .. 30,990 1,694 Marvel Entertainment, Inc.+ ............ 60,290 27,227 McDonald's Corp. ....................... 1,565,280 5,263 McGraw-Hill Cos., Inc. (The) ........... 158,469 3,123 Mohawk Industries, Inc.+ ............... 111,429 3,076 NetFlix, Inc.+ ......................... 127,162 4,144 Newell Rubbermaid, Inc. ................ 43,139 Shares Value ------ ----------- Consumer Discretionary (continued) 63,829 News Corp., Class A .................... $ 581,482 545 NVR, Inc.+ ............................. 273,803 14,041 Office Depot, Inc.+ .................... 64,027 22,387 Omnicom Group, Inc. .................... 706,981 1,535 Panera Bread Co., Class A+ ............. 76,535 4,492 PetSmart, Inc. ......................... 96,398 6,852 Polo Ralph Lauren Corp., Class A ....... 366,856 1,871 priceline.com, Inc.+ ................... 208,710 12,872 RadioShack Corp. ....................... 179,693 12,151 Ross Stores, Inc. ...................... 469,029 2,421 Sears Holdings Corp.+ .................. 161,045 18,923 Sherwin-Williams Co. (The) ............. 1,017,111 2,469 Stanley Works (The) .................... 83,551 21,427 Staples, Inc. .......................... 432,183 38,230 Starbucks Corp.+ ....................... 531,015 216 Starwood Hotels & Resorts Worldwide, Inc. ........................ 4,795 35,580 Target Corp. ........................... 1,404,342 32,647 Time Warner Cable, Inc., Class A ....... 1,033,931 55,893 Time Warner, Inc. ...................... 1,407,945 39,194 Toll Brothers, Inc.+ ................... 665,122 200 Viacom, Inc., Class A+ ................. 4,796 10,926 Viacom, Inc., Class B+ ................. 248,020 2,619 Walt Disney Co. (The) .................. 61,101 261 Washington Post Co., Class B ........... 91,919 2,768 Wyndham Worldwide Corp. ................ 33,548 ----------- 28,362,417 ---------- Consumer Staples -- 9.3% 48,091 Altria Group, Inc. ..................... 788,212 50,335 Archer-Daniels-Midland Co. ............. 1,347,468 951 Church & Dwight Co., Inc. .............. 51,649 1,193 Clorox Co. ............................. 66,605 27,975 Coca-Cola Co. (The) .................... 1,342,520 36,789 Coca-Cola Enterprises, Inc. ............ 612,537 11,400 Colgate-Palmolive Co. .................. 806,436 4,245 Constellation Brands, Inc., Class A+ ... 53,827 50,604 CVS/Caremark Corp. ..................... 1,612,749 11,843 Dean Foods Co.+ ........................ 227,267 7,800 Estee Lauder Cos., Inc. (The), Class A ................................ 254,826 690 Hansen Natural Corp.+ .................. 21,266 1,607 Hershey Co. (The) ...................... 57,852 7,800 HJ Heinz Co. ........................... 278,460 11,677 Kimberly-Clark Corp. ................... 612,225 30,066 Kraft Foods, Inc., Class A ............. 761,873 16,359 Pepsi Bottling Group, Inc. ............. 553,588 34,875 PepsiCo, Inc. .......................... 1,916,730 57,884 Philip Morris International, Inc. ...... 2,524,900 68,474 Procter & Gamble Co. ................... 3,499,021 1,802 Reynolds American, Inc. ................ 69,593 9,945 Safeway, Inc. .......................... 202,580 9,319 SUPERVALU, Inc. ........................ 120,681 40,710 SYSCO Corp. ............................ 915,161 See Notes to Financial Statements. 12 WILSHIRE VARIABLE INSURANCE TRUST EQUITY FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Shares Value ------ ----- Consumer Staples (continued) 10,912 Tyson Foods, Inc., Class A ............. $ 137,600 83,716 Wal-Mart Stores, Inc. .................. 4,055,203 11,365 Whole Foods Market, Inc. ............... 215,708 ----------- 23,106,537 ----------- Energy -- 12.4% 18,600 Anadarko Petroleum Corp. ............... 844,254 18,500 Apache Corp. ........................... 1,334,775 4,122 BJ Services Co. ........................ 56,183 18,090 Cameron International Corp.+ ........... 511,947 37,351 Chevron Corp. .......................... 2,474,504 1,039 Cimarex Energy Co. ..................... 29,445 3,312 Comstock Resources, Inc.+ .............. 109,462 44,853 ConocoPhillips ......................... 1,886,517 10,587 Devon Energy Corp. ..................... 576,991 8,217 Diamond Offshore Drilling, Inc. ........ 682,422 1,248 Encore Acquisition Co.+ ................ 38,501 15,956 ENSCO International, Inc. .............. 556,386 2,038 EOG Resources, Inc. .................... 138,421 130,395 Exxon Mobil Corp. ...................... 9,115,914 1,340 FMC Technologies, Inc.+ ................ 50,357 2,450 Frontier Oil Corp. ..................... 32,119 84,807 Halliburton Co. ........................ 1,755,505 1,143 Helmerich & Payne, Inc. ................ 35,284 13,300 Hess Corp. ............................. 714,875 30,105 Marathon Oil Corp. ..................... 907,064 22,500 Murphy Oil Corp. ....................... 1,222,200 10,344 Nabors Industries, Ltd.+ ............... 161,159 132 NATCO Group, Inc., Class A+ ............ 4,345 29,718 National Oilwell Varco, Inc.+ .......... 970,590 871 Newfield Exploration Co.+ .............. 28,456 26,155 Occidental Petroleum Corp. ............. 1,721,260 11,060 Patterson-UTI Energy, Inc. ............. 142,232 16,085 Peabody Energy Corp. ................... 485,124 1,371 Plains Exploration & Production Co.+ ........................ 37,511 6,897 Pride International, Inc.+ ............. 172,839 3,205 Rowan, Inc. ............................ 61,921 51,565 Schlumberger, Ltd. ..................... 2,790,182 16,892 Tesoro Corp. ........................... 215,035 2,627 Tidewater, Inc. ........................ 112,619 20,487 Williams, Inc. ......................... 319,802 15,162 XTO Energy, Inc. ....................... 578,279 ----------- 30,874,480 ----------- Financials -- 11.6% 9,815 Aflac, Inc. ............................ 305,148 24,217 American Express Co. ................... 562,803 6,315 AON Corp. .............................. 239,149 9,440 Associated Banc-Corp ................... 118,000 373 Assurant, Inc. ......................... 8,986 2,725 Bancorpsouth, Inc. ..................... 55,944 165,281 Bank of America Corp. .................. 2,181,709 1,028 Bank of Hawaii Corp. ................... 36,833 Shares Value ------ ----- Financials (continued) 60,258 Bank of New York Mellon Corp. (The) ............................ $ 1,766,162 22,611 BB&T Corp. ............................. 496,990 2,298 Brown & Brown, Inc. .................... 45,799 160,285 Charles Schwab Corp. (The) ............. 2,811,399 31,675 Chubb Corp. ............................ 1,263,199 4,982 Cincinnati Financial Corp. ............. 111,348 10,788 Citigroup, Inc. ........................ 32,041 190 CME Group, Inc., Class A ............... 59,111 259 Comerica, Inc. ......................... 5,478 2,405 Commerce Bancshares, Inc. .............. 76,551 3,503 Cullen/Frost Bankers, Inc. ............. 161,558 42,776 Discover Financial Services ............ 439,309 6,671 Federated Investors, Inc., Class B ..... 160,704 3,459 First Horizon National Corp. ........... 41,509 3,056 FirstMerit Corp. ....................... 51,891 1,249 Franklin Resources, Inc. ............... 89,941 7,515 Goldman Sachs Group, Inc. (The) ........ 1,108,012 11,074 HCC Insurance Holdings, Inc. ........... 265,887 17,803 Hudson City Bancorp, Inc. .............. 236,602 5,066 Huntington Bancshares, Inc. ............ 21,176 663 IntercontinentalExchange, Inc.+ ........ 75,741 69,431 Invesco, Ltd. .......................... 1,237,260 117,911 JPMorgan Chase & Co. ................... 4,021,944 484 M&T Bank Corp. ......................... 24,650 32,630 MetLife, Inc. .......................... 979,226 49,722 Morgan Stanley ......................... 1,417,574 39,472 Northern Trust Corp. ................... 2,118,857 7,948 PNC Financial Services Group, Inc. ..... 308,462 644 Principal Financial Group, Inc. ........ 12,133 6,650 Prudential Financial, Inc. ............. 247,513 3,281 Raymond James Financial, Inc. .......... 56,466 18,921 State Street Corp. ..................... 893,071 505 SunTrust Banks, Inc. ................... 8,307 100 T Rowe Price Group, Inc. ............... 4,167 4,302 TCF Financial Corp. .................... 57,518 3,660 Torchmark Corp. ........................ 135,566 37,418 Travelers Cos., Inc. (The) ............. 1,535,635 39,087 U.S. Bancorp ........................... 700,439 8,586 Unum Group ............................. 136,174 3,171 Valley National Bancorp ................ 37,101 8,675 W.R. Berkley Corp. ..................... 186,252 78,230 Wells Fargo & Co. ...................... 1,897,860 ----------- 28,845,155 ----------- Health Care -- 13.9% 41,809 Abbott Laboratories .................... 1,966,695 48,444 Aetna, Inc. ............................ 1,213,522 11,900 Alcon, Inc. ............................ 1,381,828 532 AmerisourceBergen Corp., Class A ....... 9,438 62,982 Amgen, Inc.+ ........................... 3,334,267 3,744 Beckman Coulter, Inc. .................. 213,932 24,877 Biogen Idec, Inc.+ ..................... 1,123,196 51,457 Boston Scientific Corp.+ ............... 521,774 See Notes to Financial Statements. 13 WILSHIRE VARIABLE INSURANCE TRUST EQUITY FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Shares Value ------ ----- Health Care (continued) 13,831 Bristol-Myers Squibb Co. ............... $ 280,908 1,388 C.R. Bard, Inc. ........................ 103,337 19,646 Cigna Corp. ............................ 473,272 6,603 Community Health Systems, Inc.+ ........ 166,726 11,031 Coventry Health Care, Inc.+ ............ 206,390 49,712 Eli Lilly & Co. ........................ 1,722,024 9,909 Endo Pharmaceuticals Holdings, Inc.+ ........................ 177,569 34,743 Forest Laboratories, Inc.+ ............. 872,397 622 Gen-Probe, Inc.+ ....................... 26,734 1,734 Gilead Sciences, Inc.+ ................. 81,221 2,588 Henry Schein, Inc.+ .................... 124,095 1,811 Hologic, Inc.+ ......................... 25,770 15,979 Humana, Inc.+ .......................... 515,483 685 IMS Health, Inc. ....................... 8,700 2,500 Intuitive Surgical, Inc.+ .............. 409,150 90,698 Johnson & Johnson ...................... 5,151,646 30,116 King Pharmaceuticals, Inc.+ ............ 290,017 4,709 Lincare Holdings, Inc.+ ................ 110,756 5,451 McKesson Corp. ......................... 239,844 17,435 Medco Health Solutions, Inc.+ .......... 795,210 25,944 Medtronic, Inc. ........................ 905,186 63,308 Merck & Co., Inc. ...................... 1,770,092 11,151 Mylan, Inc.+ ........................... 145,520 983 Omnicare, Inc. ......................... 25,322 287,206 Pfizer, Inc. ........................... 4,308,090 5,600 Pharmaceutical Product Development, Inc. ...................... 130,032 5,044 Quest Diagnostics, Inc. ................ 284,633 32,185 Schering-Plough Corp. .................. 808,487 3,867 Sepracor, Inc.+ ........................ 66,976 2,369 Stryker Corp. .......................... 94,144 21,500 Teva Pharmaceutical Industries, Ltd. ADR ............................... 1,060,810 1,916 Thermo Fisher Scientific, Inc.+ ........ 78,115 57,835 UnitedHealth Group, Inc. ............... 1,444,718 3,944 Valeant Pharmaceuticals International+ ......................... 101,440 4,978 Waters Corp.+ .......................... 256,218 8,082 Watson Pharmaceuticals, Inc.+ .......... 272,283 7,223 WellPoint, Inc.+ ....................... 367,578 19,931 Wyeth .................................. 904,668 3,227 Zimmer Holdings, Inc.+ ................. 137,470 ----------- 34,707,683 ----------- Industrials -- 9.2% 7,358 3M Co. ................................. 442,216 566 Alliant Techsystems, Inc.+ ............. 46,616 156 Avery Dennison Corp. ................... 4,006 19,938 Cooper Industries, Ltd., Class A ....... 619,075 762 CSX Corp. .............................. 26,388 2,304 Cummins, Inc. .......................... 81,124 22,669 Dover Corp. ............................ 750,117 31,473 Emerson Electric Co. ................... 1,019,725 Shares Value ------ ----- Industrials (continued) 16,480 FedEx Corp. ............................ $ 916,617 9,533 Fluor Corp. ............................ 488,947 5,515 General Dynamics Corp. ................. 305,476 278,888 General Electric Co. ................... 3,268,567 647 Goodrich Corp. ......................... 32,331 5,992 Harsco Corp. ........................... 169,574 17,820 Honeywell International, Inc. .......... 559,548 5,527 Hubbell, Inc., Class B ................. 177,196 6,500 Illinois Tool Works, Inc. .............. 242,710 108 Jacobs Engineering Group, Inc.+ ........ 4,546 5,021 Joy Global, Inc. ....................... 179,350 9,817 L-3 Communications Holdings, Inc., Class 3 ................................ 681,103 18,862 Lockheed Martin Corp. .................. 1,521,220 7,198 Manpower, Inc. ......................... 304,763 6,332 Masco Corp. ............................ 60,661 5,127 Monster Worldwide, Inc.+ ............... 60,550 2,220 MSC Industrial Direct Co., Class A ..... 78,766 1,811 Norfolk Southern Corp. ................. 68,221 28,044 Northrop Grumman Corp. ................. 1,281,050 19,574 Parker Hannifin Corp. .................. 840,899 8,225 Precision Castparts Corp. .............. 600,672 23,013 Raytheon Co. ........................... 1,022,468 18,480 Robert Half International, Inc. ........ 436,498 7,961 Rockwell Automation, Inc. .............. 255,707 6,010 RR Donnelley & Sons Co. ................ 69,836 8,041 Shaw Group, Inc. (The)+ ................ 220,404 2,929 SPX Corp. .............................. 143,433 38,900 Tyco International, Ltd. ............... 1,010,622 4,806 Union Pacific Corp. .................... 250,200 63,710 United Parcel Service, Inc., Class B ... 3,184,863 8,736 United Technologies Corp. .............. 453,922 5,100 URS Corp.+ ............................. 252,552 33,008 Waste Management, Inc. ................. 929,505 ----------- 23,062,044 ----------- Information Technology -- 21.3% 13,713 3Com Corp.+ ............................ 64,588 43,169 Adobe Systems, Inc.+ ................... 1,221,683 4,360 Affiliated Computer Services, Inc., Class A+ ............................... 193,671 4,926 Akamai Technologies, Inc.+ ............. 94,481 5,046 Alliance Data Systems Corp.+ ........... 207,845 26,711 Apple, Inc.+ ........................... 3,804,448 11,459 Arrow Electronics, Inc.+ ............... 243,389 8,213 Autodesk, Inc.+ ........................ 155,883 12,704 Avnet, Inc.+ ........................... 267,165 9,377 BMC Software, Inc.+ .................... 316,849 21,439 Broadcom Corp., Class A+ ............... 531,473 13,717 Broadridge Financial Solutions, Inc. ... 227,428 19,069 CA, Inc. ............................... 332,373 2,836 Ciena Corp.+ ........................... 29,353 184,480 Cisco Systems, Inc.+ ................... 3,438,707 18,105 Computer Sciences Corp.+ ............... 802,051 See Notes to Financial Statements. 14 WILSHIRE VARIABLE INSURANCE TRUST EQUITY FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Shares Value ------ ----- Information Technology (continued) 25,497 Compuware Corp.+ ....................... $ 174,909 844 Convergys Corp.+ ....................... 7,832 46,800 Dell, Inc.+ ............................ 642,564 846 Diebold, Inc. .......................... 22,301 83,728 eBay, Inc.+ ............................ 1,434,261 230,833 EMC Corp.+ ............................. 3,023,912 4,362 Fidelity National Information Services, Inc. ......................... 87,065 7,484 Fiserv, Inc.+ .......................... 342,019 7,735 Global Payments, Inc. .................. 289,753 3,958 Google, Inc., Class A+ ................. 1,668,653 3,137 Harris Corp. ........................... 88,965 122 Harris Stratex Networks, Inc., Class A+ ............................... 791 6,882 Hewitt Associates, Inc., Class A+ ...... 204,946 84,743 Hewlett-Packard Co. .................... 3,275,317 15,741 Ingram Micro, Inc., Class A+ ........... 275,468 178,568 Intel Corp. ............................ 2,955,300 38,393 International Business Machines Corp. ......................... 4,008,997 3,076 Intersil Corp., Class A ................ 38,665 12,626 Jabil Circuit, Inc. .................... 93,685 16,830 JDS Uniphase Corp.+ .................... 96,268 27,825 Juniper Networks, Inc.+ ................ 656,670 27,389 Lam Research Corp.+ .................... 712,114 1,778 Lender Processing Services, Inc. ....... 49,375 2,459 Lexmark International, Inc., Class A+ ............................... 38,975 16,473 MEMC Electronic Materials, Inc.+ ....... 293,384 11,925 Micron Technology, Inc.+ ............... 60,340 274,811 Microsoft Corp. ........................ 6,532,257 16,951 Molex, Inc. ............................ 263,588 4,701 National Semiconductor Corp. ........... 58,998 40,235 NetApp, Inc.+ .......................... 793,434 27,811 Novell, Inc.+ .......................... 125,984 11,857 Novellus Systems, Inc.+ ................ 198,012 97,108 Oracle Corp. ........................... 2,080,053 12,293 Paychex, Inc. .......................... 309,784 9,436 QLogic Corp.+ .......................... 119,648 31,250 QUALCOMM, Inc. ......................... 1,412,500 9,805 SAIC, Inc.+ ............................ 181,883 10,696 Sun Microsystems, Inc.+ ................ 98,617 8,026 Sybase, Inc.+ .......................... 251,535 23,767 Symantec Corp.+ ........................ 369,815 9,853 Synopsys, Inc.+ ........................ 192,232 119,100 Taiwan Semiconductor Manufacturing Co., Ltd. ADR ............ 1,120,731 599 Tech Data Corp.+ ....................... 19,593 19,985 Tellabs, Inc.+ ......................... 114,514 14,193 Teradata Corp.+ ........................ 332,542 10,574 Teradyne, Inc.+ ........................ 72,538 81,747 Texas Instruments, Inc. ................ 1,741,211 13,328 Total System Services, Inc. ............ 178,462 65,561 Tyco Electronics, Ltd.+ ................ 1,218,779 Shares Value ------ ----- Information Technology (continued) 17,646 VeriSign, Inc.+ ........................ $ 326,098 28,405 Western Digital Corp.+ ................. 752,733 47,867 Western Union Co. (The) ................ 785,019 73,978 Yahoo!, Inc.+ .......................... 1,158,495 ----------- 53,282,971 ----------- Materials -- 2.8% 900 Airgas, Inc. ........................... 36,477 5,576 Allegheny Technologies, Inc. ........... 194,770 1,747 Ashland, Inc. .......................... 49,003 1,099 Ball Corp. ............................. 49,631 28,400 Barrick Gold Corp. ..................... 952,820 1,583 Bemis Co., Inc. ........................ 39,892 4,370 CF Industries Holdings, Inc. ........... 323,992 4,583 Cliffs Natural Resources, Inc. ......... 112,146 1,344 Commercial Metals Co. .................. 21,544 6,551 Eastman Chemical Co. ................... 248,283 214 Ecolab, Inc. ........................... 8,344 1,340 EI Du Pont de Nemours & Co. ............ 34,331 11,680 Freeport-McMoRan Copper & Gold, Inc. .................... 585,285 19,050 International Paper Co. ................ 288,227 10,571 MeadWestvaco Corp. ..................... 173,470 11,992 Monsanto Co. ........................... 891,485 14,000 Newmont Mining Corp. ................... 572,180 34,701 Nucor Corp. ............................ 1,541,765 1,312 Packaging Corp of America .............. 21,254 1,001 Pactiv Corp.+ .......................... 21,722 5,990 PPG Industries, Inc. ................... 262,961 6,135 Reliance Steel & Aluminum Co. .......... 235,523 1,538 RPM International, Inc. ................ 21,594 1,651 Scotts Miracle-Gro Co. (The), Class A ................................ 57,868 2,419 Sealed Air Corp. ....................... 44,630 216 Sonoco Products Co. .................... 5,173 12,328 Steel Dynamics, Inc. ................... 181,591 6,066 Terra Industries, Inc. ................. 146,918 ----------- 7,122,879 ----------- Telecommunication Services -- 3.6% 188,036 AT&T, Inc. ............................. 4,670,814 37,061 Qwest Communications International, Inc. .................... 153,803 198,797 Sprint Nextel Corp.+ ................... 956,213 4,720 Telephone & Data Systems, Inc. ......... 133,576 100,317 Verizon Communications, Inc. ........... 3,082,742 ----------- 8,997,148 ----------- Utilities -- 2.1% 12,733 AES Corp. (The)+ ....................... 147,830 1,513 Aqua America, Inc. ..................... 27,083 4,034 Dominion Resources, Inc. ............... 134,816 9,846 Entergy Corp. .......................... 763,262 49,545 Exelon Corp. ........................... 2,537,199 See Notes to Financial Statements. 15 WILSHIRE VARIABLE INSURANCE TRUST EQUITY FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Shares Value ------ ----- Utilities (continued) 6,153 FPL Group, Inc. ........................ $ 349,860 2,231 MDU Resources Group, Inc. .............. 42,322 1,329 NSTAR .................................. 42,674 12,705 PG&E Corp. ............................. 488,380 6,131 Public Service Enterprise Group, Inc. .. 200,055 7,756 UGI Corp. .............................. 197,701 15,710 Xcel Energy, Inc. ...................... 289,221 ----------- 5,220,403 ----------- Total Common Stock (Cost $244,648,715) ............. 243,581,717 ----------- Maturity Date Par ---- --- U.S.TREASURY OBLIGATIONS -- 1.7% United States Treasury Bill(a) 0.172%(c) 10/22/09 $1,100,000 1,099,309 0.202% 10/08/09 3,300,000 3,298,320 ----------- Total U.S. Treasury Obligations (Cost $4,397,692) 4,397,629 ----------- CASH EQUIVALENT -- 0.9% Cash Equivalent -- 0.9% 2,200,848 PNC Institutional Money Market Trust, 0.050%(b) ................ 2,200,848 ----------- Total Cash Equivalent (Cost $2,200,848) 2,200,848 ----------- Total Investments -- 100.2% (Cost $251,247,255) 250,180,194 Other Assets & Liabilities, Net -- (0.2)% (569,983) ----------- NET ASSETS -- 100.0% $249,610,211 ============ ADR - American Depositary Receipt + Non-income producing security. (a) The rate reported is the effective yield at time of purchase. (b) The rate reported is the effective yield as of June 30, 2009. (c) Security held at broker as collateral for open futures contracts. FUTURES CONTRACTS - LONG POSITIONS Number of Unrealized Contracts Appreciation ---------- ------------ 87 E-Mini S&P 500, Expires September 2009 ............ $23,890 ======= See Notes to Financial Statements. 16 WILSHIRE VARIABLE INSURANCE TRUST BALANCED FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS (UNAUDITED) Shares Value ------ ----- INVESTMENTS IN UNDERLYING FUNDS -- 99.8% 4,766,998 Wilshire Large Cap Core 130/30 Fund* ........................... $29,174,028 4,235,360 Wilshire Variable Insurance Trust Equity Fund* ........................... 58,532,682 5,459,604 Wilshire Variable Insurance Trust Income Fund* ........................... 61,038,369 ----------- Total Investments in Underlying Funds -- 99.8% (Cost $167,033,246) 148,745,079 Other Assets & Liabilities, Net -- 0.2% 290,442 ----------- NET ASSETS -- 100.0% $149,035,521 ============ * Affiliated Fund See Notes to Financial Statements. 17 WILSHIRE VARIABLE INSURANCE TRUST INCOME FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS (UNAUDITED) Maturity Date Par Value -------- ---- ----- ASSET BACKED SECURITIES -- 3.0% Amortizing Residential Collateral Trust 0.594%(a) 01/01/32 $ 34,293 $ 14,048 Bayview Financial Acquisition Trust 0.983%(a) 02/28/44 95,742 73,609 Conseco Finance Securitizations Corp. 8.500%(a)(j) 03/01/33 368,564 20,334 Conseco Financial Corp. 9.150% 01/15/18 17,086 11,179 Countrywide Home Equity Loan Trust 0.489%(a) 05/15/36 341,451 129,587 Delta Funding Home Equity Loan Trust 7.040% 06/25/27 5,476 5,462 Green Tree Home Improvement Loan Trust 7.600% 07/15/20 4,454 3,437 Green Tree Recreational Equipment & Consumer Trust 7.250% 03/15/29 27,255 12,068 Lehman XS Trust 0.574%(a) 02/25/46 295,251 123,656 Morgan Stanley Mortgage Loan Trust 0.464%(a) 03/25/36 166,132 30,127 MSDWCC Heloc Trust 0.504%(a) 07/25/17 22,048 9,236 Nelnet Student Loan Trust 2.572%(a) 04/25/24 200,000 197,056 SACO I, Inc. 0.444%(a) 06/25/36 228,256 15,811 0.484%(a) 03/25/36 202,956 31,904 0.594%(a) 09/25/35 57,359 31,357 Salomon Brothers Mortgage Securities VII, Inc. 0.614%(a) 03/25/32 28,632 25,524 Securitized Asset Backed Receivables LLC Trust 0.544%(a) 02/25/37 881,592 348,899 SG Mortgage Securities Trust 0.554%(a) 12/25/36 852,011 425,733 WAMU Asset-Backed Certificates 0.404%(a) 05/25/37 606,981 456,846 0.484%(a) 05/25/37 1,300,000 539,081 0.604%(a) 05/25/47 1,300,000 347,301 ----------- Total Asset Backed Securities (Cost $6,695,254) 2,852,255 ----------- COLLATERALIZED MORTGAGE OBLIGATIONS -- 26.6% Agency Mortgage-Backed Obligations -- 17.0% Federal Home Loan Mortgage Corp. 5.000% 10/01/33 544,182 556,491 5.000% 08/01/33 829,856 848,625 5.000% 09/01/33 551,244 563,712 5.000% 09/01/33 266,979 273,017 5.000% 09/01/33 244,791 250,327 5.558%(a) 01/01/38 1,092,446 1,143,729 5.640%(a) 05/01/37 1,127,819 1,182,758 Maturity Date Par Value ------- --- ----- Agency Mortgage-Backed Obligations (continued) Federal National Mortgage Association 5.000% 06/01/35 $ 687,832 $ 703,174 5.000% 12/01/35 2,560,828 2,617,946 5.346%(a) 08/01/37 425,131 443,341 5.500% 08/01/37 769,709 797,483 5.500% 11/01/36 677,057 700,324 5.500% 02/01/22 75,026 78,620 5.500% 04/01/36 1,147,035 1,181,256 5.500% 11/01/21 88,343 92,644 5.500% 09/01/35 2,502,350 2,592,645 6.048%(a) 01/01/37 615,388 646,042 6.500% 11/01/37 107,290 114,417 7.000% 05/01/32 56,614 62,427 Government National Mortgage Association 5.500% 05/15/36 129,887 134,524 6.000% 05/15/33 158,612 166,611 6.000% 03/15/35 824,024 861,202 6.000% 03/15/37 240,786 251,160 ----------- 16,262,475 ----------- Non-Agency Mortgage-Backed Obligations -- 9.6% American Home Mortgage Assets 0.544%(a) 05/25/46 268,263 54,184 Asset Securitization Corp. 7.150%(a) 02/14/43 100,000 99,518 Banc of America Commercial Mortgage, Inc. 5.620% 02/10/51 10,000 7,501 5.837%(a) 07/10/14 60,000 45,813 Banc of America Funding Corp. 4.839%(a) 09/20/35 1,601,941 743,820 Banc of America Mortgage Securities, Inc. 5.408%(a) 02/25/34 19,667 16,738 Bear Stearns Adjustable Rate Mortgage Trust 5.278%(a) 11/25/34 92,319 76,672 5.395%(a) 02/25/34 69,986 55,104 Bear Stearns Commercial Mortgage Securities 5.405%(a) 12/11/40 500,000 444,797 Citigroup Mortgage Loan Trust, Inc. 4.172%(a) 09/25/34 79,071 60,110 5.245%(a) 02/25/34 75,896 62,843 Countrywide Alternative Loan Trust 0.525%(a) 03/20/46 82,649 33,874 0.624%(a) 10/25/35 128,738 58,375 4.947%(a) 09/25/34 130,599 85,883 First Horizon Asset Securities, Inc. 4.504%(a) 02/25/35 414,582 354,385 GE Capital Commercial Mortgage Corp. 5.543% 12/10/49 210,000 145,069 Greenpoint Mortgage Funding Trust 0.524%(a) 04/25/36 645,578 235,569 See Notes to Financial Statements. 18 WILSHIRE VARIABLE INSURANCE TRUST INCOME FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Maturity Date Par Value -------- --- ----- Non-Agency Mortgage-Backed Obligations (continued) Harborview Mortgage Loan Trust 0.463%(a) 03/19/38 $1,016,531 $ 391,101 0.533%(a) 05/19/35 144,104 64,417 Homebanc Mortgage Trust 0.614%(a) 05/25/37 167,051 100,022 Impac CMB Trust 0.584%(a) 05/25/35 133,322 59,414 Indymac INDA Mortgage Loan Trust 6.142%(a) 11/25/37 123,016 80,249 Indymac Index Mortgage Loan Trust 0.434%(a) 07/25/36 393,318 138,283 0.514%(a) 06/25/47 354,948 147,133 0.574%(a) 06/25/35 578,391 255,697 4.714%(a) 03/25/35 135,523 65,902 5.099%(a) 09/25/35 84,607 52,308 JP Morgan Chase Commercial Mortgage Securities Corp. 5.420% 01/15/49 100,000 73,609 5.429% 12/12/43 450,000 363,793 5.457%(a) 01/12/43 100,000 85,981 LB-UBS Commercial Mortgage Trust 4.954% 09/15/30 500,000 428,407 Luminent Mortgage Trust 0.504%(a) 05/25/46 290,087 108,388 Master Adjustable Rate Mortgages Trust 0.514%(a) 05/25/47 949,026 383,216 2.140%(a) 12/25/46 304,969 86,617 4.781%(a) 02/25/35 356,371 184,800 5.372%(a) 12/25/34 20,086 13,196 Morgan Stanley Capital I 4.989% 08/13/42 240,000 205,040 5.692%(a) 04/15/49 670,000 488,378 Morgan Stanley Mortgage Loan Trust 0.634%(a) 01/25/35 284,765 139,628 4.149%(a) 07/25/35 180,890 104,358 4.579%(a) 08/25/34 137,906 96,970 Prime Mortgage Trust 8.000% 07/25/34 200,630 160,426 RBSGC Mortgage Pass Through Certificates 0.764%(a) 01/25/37 341,291 133,088 Residential Accredit Loans, Inc. 0.404%(a) 10/25/46 268,301 219,755 0.674%(a) 01/25/37 368,823 181,212 Residential Asset Securitization Trust 4.750% 02/25/19 667,084 656,869 Structured Adjustable Rate Mortgage Loan Trust 3.967%(a) 11/25/34 131,814 94,112 5.149%(a) 01/25/35 148,558 100,540 Thornburg Mortgage Securities Trust 6.190%(a) 09/25/37 370,401 238,060 6.207%(a) 09/25/37 393,835 284,638 Maturity Date Par Value -------- --- ----- Non-Agency Mortgage-Backed Obligations (continued) WaMu Mortgage Pass Through Certificates 0.544%(a) 04/25/45 $139,032 $ 71,213 4.825%(a) 10/25/35 365,098 284,219 Washington Mutual MSC Mortgage Pass-Through Certificates 4.104%(a) 01/25/35 63,658 47,052 Wells Fargo Mortgage Backed Securities Trust 5.241%(a) 04/25/36 95,660 70,148 ---------- 9,238,494 ---------- Total Collateralized Mortgage Obligations (Cost $30,958,950) 25,500,969 ---------- Shares -- COMMON STOCK -- 0.0% 10,000 CB Premiere Escrow Security(j) -- ---------- Total Common Stock (Cost $--) -- ---------- Maturity Date Par ---- --- CORPORATE BONDS -- 29.3% Consumer Discretionary -- 3.1% Boyd Gaming Corp. 6.750% 04/15/14 $ 10,000 8,100 7.125% 02/01/16 10,000 7,412 Caesars Entertainment, Inc. 8.125% 05/15/11 12,000 9,960 CCH I LLC/CCH I Capital 11.000%(b)(j) 10/01/15 50,000 6,000 Cengage Learning Acquisitions, Inc. 10.500% 01/15/15 40,000 32,400 Comcast Corp. 6.500% 01/15/15 665,000 705,356 6.500% 01/15/17 200,000 212,173 Cricket Communications, Inc. 7.750%(c) 05/15/16 80,000 77,000 CSC Holdings, Inc. 7.625% 04/01/11 20,000 19,800 8.625%(c) 02/15/19 30,000 29,175 Daimler Finance NA LLC 6.500% 11/15/13 30,000 30,496 7.300% 01/15/12 135,000 139,799 DI Finance/DynCorp International 9.500% 02/15/13 10,000 9,650 DirecTV Holdings LLC/DirecTV Financing Co. 8.375% 03/15/13 40,000 40,100 Eastman Kodak Co. 7.250% 11/15/13 35,000 21,350 See Notes to Financial Statements. 19 WILSHIRE VARIABLE INSURANCE TRUST INCOME FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Maturity Date Par Value -------- --- ----- Consumer Discretionary (continued) Ecostar DBS Corp. 7.000% 10/01/13 $ 20,000 $ 19,000 7.750% 05/31/15 40,000 38,100 General Motors Corp. 8.250%(b) 07/15/23 70,000 8,575 8.375%(h)(k) 07/05/33 30,000 4,838 Hertz Corp. 8.875% 01/01/14 35,000 32,200 Inn of the Mountain Gods Resort & Casino 12.000%(b) 11/15/10 10,000 4,000 Intelsat Corp. 9.250%(c) 08/15/14 90,000 87,075 Intelsat Jackson Holdings, Ltd. 9.500%(c) 06/15/16 15,000 15,075 J.C. Penney Corp., Inc. 7.400% 04/01/37 10,000 7,892 McDonald's Corp. MTN 5.350% 03/01/18 80,000 84,560 MGM Mirage 10.375%(c) 05/15/14 5,000 5,188 11.125%(c) 11/15/17 20,000 21,200 MGM Mirage, Inc. 6.750% 09/01/12 10,000 7,100 7.625% 01/15/17 60,000 38,850 Mohegan Tribal Gaming Authority 8.000% 04/01/12 5,000 3,800 Qwest Corp. 6.875% 09/15/33 20,000 14,600 Reed Elsevier Capital, Inc. 8.625% 01/15/19 120,000 136,341 Service Corp. International 6.750% 04/01/16 30,000 27,075 7.500% 04/01/27 30,000 23,550 Station Casinos, Inc. 6.000%(j) 04/01/12 20,000 6,900 7.750%(b)(j) 08/15/16 70,000 24,150 Suburban Propane Partners 6.875% 12/15/13 30,000 27,600 Time Warner Cable, Inc. 6.750% 06/15/39 80,000 77,863 7.300% 07/01/38 130,000 135,424 8.250% 04/01/19 250,000 283,654 8.750% 02/14/19 80,000 93,352 Time Warner, Inc. 6.875% 05/01/12 290,000 310,226 Verizon Global Funding Corp. 4.375% 06/01/13 35,000 35,712 ----------- 2,922,671 ----------- Consumer Staples -- 0.9% Altria Group, Inc. 9.700% 11/10/18 10,000 11,483 CVS Caremark Corp. 6.600% 03/15/19 380,000 406,031 Maturity Date Par Value -------- --- ----- Consumer Staples (continued) Dr Pepper Snapple Group, Inc. 6.820% 05/01/18 $110,000 $ 116,327 PepsiCo, Inc. 7.900% 11/01/18 190,000 231,552 Reynolds American, Inc. 6.750% 06/15/17 90,000 84,033 ----------- 849,426 ----------- Energy -- 5.6% Anadarko Petroleum Corp. 6.450% 09/15/36 350,000 314,621 8.700% 03/15/19 40,000 44,809 Apache Corp. 6.000% 09/15/13 180,000 195,854 Baker Hughes, Inc. 7.500% 11/15/18 250,000 292,765 Chesapeake Energy Corp. 6.250% 01/15/18 25,000 20,750 6.375% 06/15/15 10,000 8,900 7.250% 12/15/18 85,000 73,950 Complete Production Services, Inc. 8.000% 12/15/16 75,000 64,125 ConocoPhillips 4.750% 10/15/12 80,000 84,288 5.900% 05/15/38 210,000 209,693 Dynegy Holdings, Inc. 7.750% 06/01/19 115,000 89,556 El Paso Corp. 7.000% 06/15/17 250,000 227,688 7.750% 01/15/32 40,000 32,561 7.800% 08/01/31 611,000 498,398 Energy Transfer Partners LP 6.700% 07/01/18 160,000 163,568 Hess Corp. 7.300% 08/15/31 297,000 306,576 7.875% 10/01/29 60,000 65,079 8.125% 02/15/19 160,000 182,153 Kerr-McGee Corp. 6.950% 07/01/24 10,000 9,279 7.875% 09/15/31 155,000 151,249 Kinder Morgan Energy Partners LP 5.000% 12/15/13 25,000 24,599 5.850% 09/15/12 10,000 10,425 5.950% 02/15/18 180,000 176,199 6.000% 02/01/17 150,000 148,810 6.750% 03/15/11 10,000 10,481 6.950% 01/15/38 200,000 193,738 7.125% 03/15/12 5,000 5,346 Occidental Petroleum Corp. 7.000% 11/01/13 320,000 366,360 Peabody Energy Corp. 6.875% 03/15/13 28,000 27,720 Pemex Project Funding Master Trust 6.625% 06/15/35 207,000 187,218 See Notes to Financial Statements. 20 WILSHIRE VARIABLE INSURANCE TRUST INCOME FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Maturity Date Par Value -------- --- ----- Energy (continued) Pride International, Inc. 7.375% 07/15/14 $ 20,000 $ 19,850 SandRidge Energy, Inc. 9.875%(c) 05/15/16 80,000 77,200 Southern Natural Gas Co. 5.900%(c) 04/01/17 30,000 29,055 8.000% 03/01/32 75,000 79,359 Tennessee Gas Pipeline Co. 7.625% 04/01/37 150,000 151,921 Williams, Inc. 7.500% 01/15/31 363,000 319,440 7.750% 06/15/31 80,000 72,000 XTO Energy, Inc. 5.500% 06/15/18 88,000 88,181 6.750% 08/01/37 30,000 31,319 7.500% 04/15/12 296,000 327,893 ----------- 5,382,976 ----------- Financials -- 10.7% Allstate Life Global Funding Trust MTN 5.375% 04/30/13 100,000 103,399 American Express Co. 6.800%(a) 09/01/66 115,000 82,800 American Express Credit Corp. MTN 5.875% 05/02/13 70,000 69,508 American General Finance Corp. MTN 6.900% 12/15/17 320,000 173,274 American International Group, Inc. 5.850% 01/16/18 40,000 21,162 6.250% 03/15/37 200,000 49,500 BAC Capital Trust XIV 5.630%(a) 03/15/12 10,000 5,000 Bank of America Corp. 7.625% 06/01/19 250,000 251,115 Bear Stearns Co., Inc. 7.250% 02/01/18 350,000 368,896 Caterpillar Financial Services Corp. MTN 6.200% 09/30/13 260,000 275,277 Citigroup, Inc. 2.125% 04/30/12 150,000 150,659 4.125% 02/22/10 400,000 400,098 5.000% 09/15/14 315,000 264,070 6.500% 08/19/13 60,000 58,334 6.875% 03/05/38 320,000 282,613 Countrywide Financial Corp. 6.250% 05/15/16 50,000 44,359 Countrywide Home Loans, Inc. MTN 5.625% 07/15/09 500,000 500,265 Ford Motor Credit Co. LLC 5.879(a)% 06/15/11 103,000 89,352 7.375% 02/01/11 60,000 54,317 7.375% 10/28/09 270,000 267,686 8.000% 12/15/16 420,000 321,102 12.000% 05/15/15 340,000 317,953 Maturity Date Par Value -------- ---- ----- Financials (continued) Forest City Enterprises, Inc. 6.500% 02/01/17 $ 8,000 $ 4,400 General Electric Capital Corp. 5.625% 05/01/18 260,000 246,322 6.375%(a) 11/15/67 420,000 280,233 6.875% 01/10/39 470,000 423,053 GMAC LLC 6.875%(c) 09/15/11 354,000 309,750 7.250%(c) 03/02/11 104,000 95,160 7.500%(c) 12/31/13 69,000 53,475 7.750%(c) 01/19/10 384,000 374,400 8.000%(c) 12/31/18 41,000 26,035 Goldman Sachs Capital II 5.793%(a) 12/29/49 20,000 12,189 Goldman Sachs Group, Inc. 6.600% 01/15/12 290,000 308,770 7.500% 02/15/19 140,000 149,908 HSBC Finance Corp. MTN 4.625% 09/15/10 400,000 403,256 6.375% 11/27/12 40,000 40,686 JPMorgan Chase & Co. 5.125% 09/15/14 595,000 592,120 5.150% 10/01/15 200,000 197,144 5.750% 01/02/13 195,000 201,099 Lehman Brothers Holdings Capital Trust VII MTN 5.857%(b) 11/29/49 200,000 20 Lehman Brothers Holdings, Inc. MTN 6.200%(b) 09/26/14 80,000 11,800 6.500%(b) 07/19/17 160,000 16 6.750%(b),(e) 12/28/17 340,000 34 MetLife, Inc. 6.400% 12/15/36 40,000 28,600 Morgan Stanley 1.557%(a) 10/18/16 40,000 32,353 5.625% 01/09/12 300,000 307,022 5.750% 08/31/12 70,000 72,325 6.625% 04/01/18 100,000 99,691 SLM Corp. MTN 5.000% 04/15/15 10,000 7,618 5.000% 10/01/13 355,000 287,144 5.050% 11/14/14 50,000 38,685 5.375% 05/15/14 345,000 277,280 5.625% 08/01/33 35,000 21,549 SunTrust Capital VIII 6.100%(a) 12/15/36 50,000 32,479 SunTrust Preferred Capital I 5.853%(a) 12/15/11 11,000 7,480 Travelers Cos., Inc. (The) 6.250%(a) 03/15/37 270,000 217,610 Unilever Capital Corp. 7.125% 11/01/10 55,000 58,724 See Notes to Financial Statements. 21 WILSHIRE VARIABLE INSURANCE TRUST INCOME FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Maturity Date Par Value -------- --- ----- Financials (continued) Ventas Realty 9.000%(g) 05/01/12 $ 10,000 $ 10,300 Wachovia Capital Trust III 5.800%(a) 03/15/11 80,000 48,000 Wachovia Corp. 5.625% 10/15/16 690,000 659,163 Wells Fargo & Co. 5.000% 11/15/14 5,000 4,991 5.300% 08/26/11 90,000 95,167 Wells Fargo Capital X 5.950% 12/15/36 100,000 74,000 ----------- 10,260,790 ----------- Health Care -- 1.3% AmerisourceBergen Corp. 5.875% 09/15/15 20,000 19,063 Community Health Systems, Inc. 8.875% 07/15/15 70,000 68,600 DaVita, Inc. 6.625% 03/15/13 85,000 80,113 GlaxoSmithKline Capital, Inc. 5.650% 05/15/18 380,000 402,498 HCA, Inc. 6.250% 02/15/13 14,000 12,250 6.300% 10/01/12 59,000 54,132 7.500% 11/15/95 20,000 10,482 7.690% 06/15/25 30,000 18,423 9.125% 11/15/14 10,000 9,900 9.250% 11/15/16 60,000 59,250 9.625% 11/15/16 21,000 20,790 Humana, Inc. 7.200% 06/15/18 60,000 54,068 Tenet Healthcare Corp. 9.000%(e) 05/01/15 60,000 60,450 9.250% 02/01/15 71,000 64,965 10.000%(e) 05/01/18 60,000 63,000 UnitedHealth Group, Inc. 6.000% 02/15/18 40,000 38,389 WellPoint, Inc. 5.875% 06/15/17 20,000 19,574 Wyeth 5.950% 04/01/37 200,000 206,906 ----------- 1,262,853 ----------- Industrials -- 1.1% AMC Entertainment, Inc. 8.750%(c) 06/01/19 5,000 4,700 Boeing Co. 6.000% 03/15/19 100,000 109,043 Delta Air Lines, Inc. 6.821% 08/10/22 363,024 301,310 7.570% 11/18/10 200,000 191,000 RailAmerica, Inc. 9.250%(c) 07/01/17 120,000 115,800 Maturity Date Par Value -------- --- ----- Industrials (continued) Terex Corp. 7.375% 01/15/14 $ 20,000 $ 18,300 United Parcel Service, Inc. 4.500% 01/15/13 330,000 346,078 ----------- 1,086,231 ----------- Information Technology -- 0.0% Freescale Semiconductor, Inc. 8.875% 12/15/14 20,000 10,100 Xerox Corp. 6.750% 02/01/17 10,000 9,100 ----------- 19,200 ----------- Materials -- 0.9% Alcoa, Inc. 6.000% 07/15/13 210,000 205,171 Freeport-McMoRan Copper & , Inc. 8.375% 04/01/17 345,000 347,587 PPG Industries, Inc. 5.750% 03/15/13 30,000 31,185 6.650% 03/15/18 30,000 31,894 Steel Dynamics, Inc. 6.750% 04/01/15 60,000 53,400 7.375% 11/01/12 15,000 14,213 Teck Resources, Ltd. 9.750%(c) 05/15/14 10,000 10,350 10.250%(c) 05/15/16 10,000 10,475 10.750%(c) 05/15/19 15,000 16,125 Westlake Chemical Corp. 6.625% 01/15/16 12,000 10,500 Weyerhaeuser Co. 6.750% 03/15/12 125,000 125,045 ----------- 855,945 ----------- Telecommunication Services -- 1.8% AT&T, Inc. 5.100% 09/15/14 80,000 83,103 6.550% 02/15/39 270,000 269,520 Bellsouth Capital Funding Corp. 7.875% 02/15/30 160,000 176,760 BellSouth Corp. 4.750% 11/15/12 10,000 10,353 Frontier Communications Corp. 9.250% 05/15/11 10,000 10,425 Level 3 Financing, Inc. 9.250% 11/01/14 25,000 20,500 New Cingular Wireless Services, Inc. 8.125% 05/01/12 85,000 95,164 News America, Inc. 6.650% 11/15/37 10,000 8,995 Nextel Communications, Inc. 5.950% 03/15/14 15,000 11,813 7.375% 08/01/15 20,000 15,950 See Notes to Financial Statements. 22 WILSHIRE VARIABLE INSURANCE TRUST INCOME FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Maturity Date Par Value -------- --- -- Telecommunication Services (continued) Qwest Communications International, Inc. 7.500% 02/15/14 $ 28,000 $ 25,550 Sprint Capital Corp. 6.900% 05/01/19 230,000 190,325 8.375% 03/15/12 40,000 39,600 8.750% 03/15/32 25,000 20,125 Verizon Communications, Inc. 5.500% 02/15/18 210,000 208,553 6.100% 04/15/18 165,000 169,250 8.950% 03/01/39 200,000 253,328 Windstream Corp. 8.625% 08/01/16 85,000 81,388 ----------- 1,690,702 ----------- Utilities -- 3.9% AES Corp. (The) 7.750% 03/01/14 3,000 2,842 7.750% 10/15/15 70,000 65,100 8.000% 06/01/20 310,000 278,225 8.000% 10/15/17 400,000 374,000 8.875% 02/15/11 19,000 19,285 9.375% 09/15/10 63,000 63,630 Dominion Resources, Inc. 4.750% 12/15/10 30,000 30,833 5.700% 09/17/12 260,000 276,561 Duke Energy Carolinas LLC 5.625% 11/30/12 380,000 407,271 Edison Mission Energy 7.000% 05/15/17 30,000 23,025 7.200% 05/15/19 80,000 59,600 7.625% 05/15/27 40,000 25,600 7.750% 06/15/16 30,000 24,450 Energy Future Holdings Corp. 5.550% 11/15/14 40,000 25,257 6.500% 11/15/24 70,000 35,076 6.550% 11/15/34 170,000 81,729 11.250% 11/01/17 1,505,200 918,172 Exelon Corp. 5.625% 06/15/35 210,000 169,038 FirstEnergy Corp. 6.450% 11/15/11 150,000 156,564 7.375% 11/15/31 360,000 339,789 NRG Energy, Inc. 7.250% 02/01/14 55,000 53,350 7.375% 01/15/17 20,000 18,850 7.375% 02/01/16 35,000 33,119 Pacific Gas & Electric Co. 5.800% 03/01/37 10,000 10,050 6.050% 03/01/34 220,000 228,236 8.250% 10/15/18 20,000 24,407 ----------- 3,744,059 ----------- Total Corporate Bonds (Cost $30,885,783) 28,074,853 ----------- Maturity Date Par Value ----- --- ----- FOREIGN BONDS -- 12.1% Australia -- 0.3% Rio Tinto Finance USA, Ltd. 6.500%(g) 07/15/18 $ 250,000 $ 250,146 ----------- Canada -- 0.6% Anadarko Finance Co. 6.750%(g) 05/01/11 200,000 208,160 Canadian Government 4.000%(h) 12/01/31 37,398 44,476 Conoco Funding Co. 7.250%(g) 10/15/31 35,000 38,368 6.350%(g) 10/15/11 70,000 76,397 Hydro Quebec 6.300%(g) 05/11/11 60,000 65,030 OPTI Canada, Inc. 8.250%(g) 12/15/14 45,000 29,700 7.875%(g) 12/15/14 70,000 45,325 Rogers Cable, Inc. 6.750%(g) 03/15/15 10,000 10,592 Rogers Wireless, Inc. 6.375%(g) 03/01/14 10,000 10,719 Sun Media Corp. 7.625%(g) 02/15/13 10,000 6,575 ----------- 535,342 ----------- Cayman Islands -- 0.7% MUFG Capital Finance 1, Ltd. 6.346%(a)(g) 07/25/49 100,000 87,541 Petrobras International Finance Co. 6.125%(g) 10/06/16 100,000 102,500 Systems 2001 AT LLC 6.664%(c)(g) 09/15/13 285,920 285,920 Vale Overseas, Ltd. 6.875%(g) 11/21/36 185,000 175,658 ----------- 651,619 ----------- France -- 2.2% Cie Generale de Geophysique-Veritas 7.750%(g) 05/15/17 70,000 63,700 7.500%(g) 05/15/15 25,000 22,937 France Government OAT 3.750%(h) 04/25/17 1,430,000 2,051,082 ----------- 2,137,719 ----------- Germany -- 0.8% Bundesrepublik Deutschland 3.750%(h) 01/04/17 250,000 364,551 3.750%(h) 01/04/15 240,000 354,253 ----------- 718,804 ----------- Japan -- 0.1% Aiful Corp. 6.000%(c)(g) 12/12/11 200,000 98,000 ----------- See Notes to Financial Statements. 23 WILSHIRE VARIABLE INSURANCE TRUST INCOME FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Maturity Date Par Value ---- --- ----- Luxembourg -- 1.4% FMC Finance III SA 6.875%(g) 07/15/17 $ 145,000 $ 134,850 Telecom Italia Capital SA 6.999%(g) 06/04/18 30,000 30,350 5.250%(g) 10/01/15 210,000 202,721 5.250%(g) 11/15/13 35,000 34,321 4.950%(g) 09/30/14 40,000 38,293 Tyco International Finance SA 6.750%(g) 02/15/11 80,000 83,110 6.375%(g) 10/15/11 100,000 105,373 6.000%(g) 11/15/13 220,000 223,700 Tyco International, Ltd. 7.000%(g) 12/15/19 378,000 371,923 6.875%(g) 01/15/29 150,000 141,842 ----------- 1,366,483 ----------- Marshall Islands -- 0.0% Teekay Corp. 8.875%(g) 07/15/11 19,000 18,858 ----------- Mexico -- 0.3% America Movil SAB de CV 5.625%(g) 11/15/17 80,000 78,192 Kansas City Southern de Mexico SA de CV 12.500%(c)(g) 04/01/16 55,000 55,825 9.375%(g) 05/01/12 20,000 19,000 Mexico Government International Bond MTN 6.750%(g) 09/27/34 152,000 153,292 ----------- 306,309 ----------- Netherlands -- 0.5% Deutsche Telekom International Finance BV 5.750%(g) 03/23/16 195,000 199,653 Koninklijke KPN NV 8.000%(g) 10/01/10 230,000 241,334 ----------- 440,987 ----------- Norway -- 1.9% Eksportfinans A/S MTN 5.500% 06/26/17 1,800,000 1,800,999 ----------- Russia -- 0.8% Russia Federation 7.500%(e)(g) 03/31/30 811,200 798,626 ----------- Sweden -- 1.4% Svensk Exportkredit AB MTN 4.875%(g) 09/29/11 1,300,000 1,372,015 ----------- United Kingdom -- 1.1% BP Capital Markets PLC 5.250%(g) 11/07/13 360,000 386,392 British Telecommunications PLC 9.125%(e)(g) 12/15/10 140,000 148,690 Maturity Date Par Value ---- --- ----- United Kingdom (continued) Diageo Capital PLC 7.375%(g) 01/15/14 $390,000 $ 441,267 Royal Bank of Scotland Group PLC 7.640%(a)(g) 09/29/17 100,000 40,500 ----------- 1,016,849 ----------- Total Foreign Bonds (Cost $11,371,099) 11,512,756 ----------- Shares ------ PREFERRED STOCK -- 0.1% 14,850 Federal Home Loan Mortgage Corp., Ser Z(a) .......................... 18,117 500 Federal National Mortgage Association, Ser O(a) ................................. 775 10,775 Federal National Mortgage Association, Ser S(a) ................................. 14,439 6,250 General Motors Corp. Cnv, Ser B .......... 15,625 2,000 General Motors Corp. Cnv, Ser C .......... 5,750 164 GMAC LLC Preferred Blocker, Inc. Cnv ................................. 70,530 ----------- Total Preferred Stock (Cost $878,185) 125,236 ----------- Maturity Date Par -- ---- U.S. GOVERNMENT & AGENCY OBLIGATIONS -- 8.0% Federal Home Loan Bank 1.625% 07/27/11 $ 740,000 744,071 Federal Home Loan Mortgage Corp. 2.500% 01/07/14 1,760,000 1,742,863 Federal National Mortgage Association 0.351%(d) 10/30/09 5,000,000 4,997,145 5.250% 08/01/12 130,000 135,083 ----------- Total U.S. Government & Agency Obligations (Cost $7,606,739) 7,619,162 ----------- U.S.TREASURY OBLIGATIONS -- 13.8% U.S. Treasury Bill 0.140%(f) 07/30/09 7,000,000 6,999,118 U.S. Treasury Bonds 4.500% 05/15/38 85,000 87,776 4.375% 02/15/38 750,000 757,618 3.500% 02/15/39 808,000 698,669 U.S. Treasury Inflationary Protection Securities 3.875%(i) 04/15/29 492,704 625,118 3.625%(i) 04/15/28 408,540 497,142 2.375%(i) 01/15/27 544,334 563,556 2.000%(i) 01/15/26 1,240,389 1,214,418 1.750%(i) 01/15/28 813,960 768,175 See Notes to Financial Statements. 24 WILSHIRE VARIABLE INSURANCE TRUST INCOME FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Maturity Date Par Value ------- ---- ----- U.S.TREASURY OBLIGATIONS (continued) U.S. Treasury Notes 3.750% 11/15/18 $ 90,000 $ 91,582 3.125% 05/15/19 192,000 185,700 2.750% 02/15/19 110,000 103,022 2.625% 06/30/14 600,000 601,878 1.750% 03/31/14 20,000 19,344 ----------- Total U.S. Treasury Obligations (Cost $13,310,819) 13,213,116 ----------- Shares ------ CASH EQUIVALENT -- 6.4% 6,159,805 PNC Institutional Money Market Trust, 0.050%(f) (Cost $6,159,805) 6,159,805 ----------- Total Investments -- 99.3% (Cost $107,866,634) 95,058,152 Other Assets & Liabilities, Net -- 0.7% 683,262 ----------- NET ASSETS -- 100.0% $ 95,741,414 ============ FORWARD COMMITMENT
PRINCIPAL DESCRIPTION INTEREST RATE DELIVERY DATE AMOUNT VALUE -------------- ---------------- ---------------- --------- ---------- TBA PURCHASE COMMITMENTS AT JUNE 30, 2009 -- 23.8% (COST PAYABLE $22,715,859) GNMA 4.000% 7/20/09 $ 300,000 $ 289,781 GNMA 4.000% 7/20/09 200,000 192,812 GNMA 4.000% 7/20/09 500,000 482,031 FNMA 5.000% 7/13/09 500,000 508,437 FNMA 5.000% 7/13/09 1,900,000 1,934,438 FNMA 5.000% 7/13/09 3,300,000 3,359,813 FNMA 5.000% 7/13/09 6,000,000 6,108,750 FNMA 5.000% 7/13/09 900,000 916,313 FNMA 5.000% 7/13/09 600,000 610,875 FNMA 5.000% 7/16/09 4,300,000 4,449,158 GNMA 5.000% 7/20/09 300,000 305,813 GNMA 5.000% 7/20/09 1,200,000 1,223,250 FNMA 5.500% 7/13/09 100,000 103,219 FNMA 5.500% 7/13/09 400,000 412,875 FNMA 6.000% 7/13/09 1,800,000 1,917,000 ----------- $22,814,565 =========== TBA SALE COMMITMENTS AT JUNE 30, 2009 -- (2.3)% (PROCEEDS RECEIVABLE $2,200,148) GNMA 4.000% 7/20/09 $ (200,000) $ (193,187) FNMA 5.000% 7/13/09 (2,000,000) (2,036,251) ----------- $ (2,229,438) ===========
At June 30, 2009, the Income Fund had the following open forward currency contracts:
CURRENT UNREALIZED LOCAL EXPIRATION VALUE APPRECIATION FOREIGN CURRENCY CURRENCY DATE U.S. DOLLAR (DEPRECIATION) ---------------- -------- --------- ----------- -------------- Short Contracts: Canadian Dollar 214,469 8/19/2009 $ 175,263 $ (9,252) Euro Currency 1,776,734 8/19/2009 2,312,259 (179,130) Long Contracts: Canadian Dollar 152,894 8/19/2009 186,822 7,835 ------------ $(180,547) =============
Cnv - Convertible FNMA - Federal National Mortgage Association GNMA - Government National Mortgage Association LLC - Limited Liability Company LP - Limited Partnership MTN - Medium Term Note PLC - Public Limited Company TBA - To Be Announced (a) Variable Rate Security - The rate reported is the rate in effect as of June 30, 2009. (b) Security is in default on interest payments. (c) Securities sold within terms of a private placement memorandum, exempt from registration under Section 144A of the Securities Act of 1933, as amended, and may be sold only to dealers in that program or other "accredited investors." These securities have been determined to be liquid under guidelines established by the Board of Trustees. (d) Discount Note. The rate reported is the effective yield at time of purchase. (e) Step Bonds - The rate reflected is the effective yield on June 30, 2009. The coupon on a step bond changes on a specified date. (f) The rate shown is the 7-day effective yield as of June 30, 2009. (g) Foreign security denominated in U.S. dollars. (h) Investment in non-U.S. dollars. Par amount reflects principal in local currency. (i) Inflation protected security. Principal amount periodically adjusted for inflation. (j) Securities considered illiquid. The total value of such securities as of June 30, 2009 was $57,384 representing 0.06% of net assets. (k) Subsequent to June 30, 2009, the security was in default on interest payments. Amounts designated as "--" are either $0, or have been rounded to $0. See Notes to Financial Statements. 25 WILSHIRE VARIABLE INSURANCE TRUST SMALL CAP GROWTH FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS (UNAUDITED) Shares Value ------ ----- COMMON STOCK -- 99.4%++ Consumer Discretionary -- 14.5% 152 1-800-Flowers.com, Inc., Class A+ ...... $ 292 1,404 99 Cents Only Stores+ .................. 19,066 3,663 Aeropostale, Inc.+ ..................... 125,531 80 AFC Enterprises, Inc.+ ................. 540 640 Ambassadors Group, Inc. ................ 8,813 1,084 American Apparel, Inc.+ ................ 3,946 7,299 American Eagle Outfitters, Inc. ........ 103,427 618 American Public Education, Inc.+ ....... 24,479 201 America's Car-Mart, Inc.+ .............. 4,121 702 Amerigon, Inc.+ ........................ 4,282 872 Ameristar Casinos, Inc. ................ 16,594 902 Arbitron, Inc. ......................... 14,333 251 ArvinMeritor, Inc. ..................... 1,102 1,854 Bally Technologies, Inc.+ .............. 55,472 789 Bebe Stores, Inc. ...................... 5,428 188 Benihana, Inc., Class A+ ............... 1,188 732 Big 5 Sporting Goods Corp. ............. 8,096 667 BJ's Restaurants, Inc.+ ................ 11,252 431 Blue Nile, Inc.+ ....................... 18,529 16 Blyth, Inc. ............................ 525 25 Books-A-Million, Inc., Class A ......... 178 472 Bridgepoint Education, Inc.+ ........... 8,024 798 Buckle, Inc. (The) ..................... 25,352 2,572 Buffalo Wild Wings, Inc.+ .............. 83,641 658 California Pizza Kitchen, Inc.+ ........ 8,745 3,054 Capella Education Co.+ ................. 183,087 232 Caribou Coffee Co., Inc.+ .............. 1,489 304 Carmike Cinemas, Inc. .................. 2,547 358 Carrols Restaurant Group, Inc.+ ........ 2,384 1,515 Carter's, Inc.+ ........................ 37,284 942 Cato Corp. (The), Class A .............. 16,429 784 CEC Entertainment, Inc.+ ............... 23,112 487 Charlotte Russe Holding, Inc.+ ......... 6,273 238 Charming Shoppes, Inc.+ ................ 885 2,046 Cheesecake Factory (The)+ .............. 35,396 259 Cherokee, Inc. ......................... 5,133 812 Childrens Place Retail Stores, Inc. (The)+ ............................ 21,461 146 China Automotive Systems, Inc.+ ........ 803 999 ChinaCast Education Corp.+ ............. 7,113 7,374 Choice Hotels International, Inc. ...... 196,222 146 Christopher & Banks Corp. .............. 980 993 Cinemark Holdings, Inc. ................ 11,241 500 Citi Trends, Inc.+ ..................... 12,940 1,661 CKE Restaurants, Inc. .................. 14,085 1,977 CKX, Inc.+ ............................. 14,017 1,028 Coinstar, Inc.+ ........................ 27,448 1,541 Coldwater Creek, Inc.+ ................. 9,338 951 Collective Brands, Inc.+ ............... 13,856 2,007 Cooper Tire & Rubber Co. ............... 19,909 91 Core-Mark Holding Co., Inc.+ ........... 2,371 2,725 Corinthian Colleges, Inc.+ ............. 46,134 Shares Value ------ ----- Consumer Discretionary (continued) 171 CPI Corp. .............................. $ 2,905 567 Cracker Barrel Old Country Store, Inc. ............................ 15,819 1,001 CROCS, Inc.+ ........................... 3,403 129 Crown Media Holdings, Inc., Class A+ ............................... 215 447 Deckers Outdoor Corp.+ ................. 31,411 3,246 Denny's Corp.+ ......................... 6,979 161 Destination Maternity Corp.+ ........... 2,685 599 DineEquity, Inc. ....................... 18,683 1,020 Dolan Media Co.+ ....................... 13,046 117 Domino's Pizza, Inc.+ .................. 876 62 Dorman Products, Inc.+ ................. 858 456 Dover Downs Gaming & Entertainment, Inc. .................... 2,120 396 Dress Barn, Inc.+ ...................... 5,663 378 Drew Industries, Inc.+ ................. 4,600 2,930 Drugstore.com, Inc.+ ................... 5,333 24 DSW, Inc., Class A+ .................... 236 150 Einstein Noah Restaurant Group, Inc.+ ........................... 1,298 496 FGX International Holdings, Ltd.+ ...... 5,645 785 Finish Line, Inc., Class A ............. 5,825 1,597 Fossil, Inc.+ .......................... 38,456 409 Fred's, Inc., Class A .................. 5,154 12 Frisch's Restaurants, Inc. ............. 354 426 Fuel Systems Solutions, Inc.+ .......... 8,601 332 Fuqi International, Inc.+ .............. 6,876 155 G-III Apparel Group, Ltd.+ ............. 1,781 70 Global Sources, Ltd.+ .................. 503 11,542 Grand Canyon Education, Inc.+ .......... 193,675 75 Great Wolf Resorts, Inc.+ .............. 153 4,701 Guess?, Inc. ........................... 121,192 788 Gymboree Corp.+ ........................ 27,958 34 Hawk Corp., Class A+ ................... 471 373 hhgregg, Inc.+ ......................... 5,655 16,540 Hibbett Sports, Inc.+ .................. 297,720 899 HOT Topic, Inc.+ ....................... 6,572 953 Hovnanian Enterprises, Inc., Class A+ ............................... 2,249 1,352 HSN, Inc.+ ............................. 14,291 1,266 Interval Leisure Group, Inc.+ .......... 11,799 661 iRobot Corp.+ .......................... 8,580 528 Isle of Capri Casinos, Inc.+ ........... 7,033 1,712 J. Crew Group, Inc.+ ................... 46,258 1,943 Jack in the Box, Inc.+ ................. 43,620 336 Jo-Ann Stores, Inc.+ ................... 6,945 623 JOS A Bank Clothiers, Inc.+ ............ 21,469 804 K12, Inc.+ ............................. 17,326 422 Kirkland's, Inc.+ ...................... 5,068 354 Knology, Inc.+ ......................... 3,055 1,965 Krispy Kreme Doughnuts, Inc.+ .......... 5,895 502 K-Swiss, Inc., Class A ................. 4,267 197 Lakes Entertainment, Inc.+ ............. 573 See Notes to Financial Statements. 26 WILSHIRE VARIABLE INSURANCE TRUST SMALL CAP GROWTH FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Shares Value ------ ----- Consumer Discretionary (continued) 243 Leapfrog Enterprises, Inc., Class A+ ... $ 556 269 Learning Tree International, Inc.+ ..... 2,771 119 Life Time Fitness, Inc.+ ............... 2,381 330 Lincoln Educational Services Corp.+ .... 6,907 2,221 Liz Claiborne, Inc. .................... 6,396 444 LodgeNet Interactive Corp.+ ............ 1,510 1,384 Lululemon Athletica, Inc.+ ............. 18,034 492 Lumber Liquidators, Inc.+ .............. 7,754 73 M/I Homes, Inc. ........................ 715 69 Mac-Gray Corp.+ ........................ 913 642 Maidenform Brands, Inc.+ ............... 7,364 59 Marcus Corp. ........................... 621 773 Martha Stewart Living Omnimedia, Class A+ ............................... 2,365 1,036 Matthews International Corp., Class A .. 32,240 50 McCormick & Schmick's Seafood Restaurants, Inc.+ ..................... 381 442 Mediacom Communications Corp., Class A+ ........................ 2,259 92 Men's Wearhouse, Inc. (The) ............ 1,765 477 Midas, Inc.+ ........................... 4,999 225 Monarch Casino & Resort, Inc.+ ......... 1,643 568 Monro Muffler, Inc. .................... 14,603 471 Morgans Hotel Group Co.+ ............... 1,804 215 Multimedia Games, Inc.+ ................ 1,066 90 National CineMedia, Inc. ............... 1,238 164 National Presto Industries, Inc. ....... 12,480 253 NIVS IntelliMedia Technology Group, Inc.+ ........................... 749 125 Nobel Learning Communities, Inc.+ ...... 1,434 1,045 NutriSystem, Inc. ...................... 15,152 1,852 OfficeMax, Inc. ........................ 11,631 519 Orbitz Worldwide, Inc.+ ................ 986 58 Outdoor Channel Holdings, Inc.+ ........ 342 534 Overstock.com, Inc.+ ................... 6,387 293 Oxford Industries, Inc. ................ 3,413 2,825 Panera Bread Co., Class A+ ............. 140,855 604 Papa John's International, Inc.+ ....... 14,973 388 Peet's Coffee & Tea, Inc.+ ............. 9,778 7,505 Penn National Gaming, Inc.+ ............ 218,471 795 PetMed Express, Inc.+ .................. 11,949 808 PF Chang's China Bistro, Inc.+ ......... 25,904 1,092 Pinnacle Entertainment, Inc.+ .......... 10,145 703 Playboy Enterprises, Inc., Class B+ .... 1,765 1,043 Polaris Industries, Inc. ............... 33,501 888 Pool Corp. ............................. 14,705 251 Pre-Paid Legal Services, Inc.+ ......... 10,941 1,089 priceline.com, Inc.+ ................... 121,478 25 Primedia, Inc. ......................... 50 470 Princeton Review, Inc.+ ................ 2,543 1,521 Raser Technologies, Inc.+ .............. 4,259 1,216 RCN Corp.+ ............................. 7,259 115 Reading International, Inc., Class A+ .. 523 Shares Value ------ ----- Consumer Discretionary (continued) 6,625 Red Robin Gourmet Burgers, Inc.+ ....... $ 124,219 322 Rentrak Corp.+ ......................... 5,290 533 Ruth's Hospitality Group, Inc.+ ........ 1,956 764 Sally Beauty Holdings, Inc.+ ........... 4,859 16,264 Scientific Games Corp., Class A+ ....... 256,483 225 Sealy Corp.+ ........................... 441 1,801 Shuffle Master, Inc.+ .................. 11,905 100 Shutterfly, Inc.+ ...................... 1,395 1,786 Smith & Wesson Holding Corp.+ .......... 10,145 205 Sonic Automotive, Inc., Class A ........ 2,083 1,891 Sonic Corp.+ ........................... 18,967 2,091 Sotheby's .............................. 29,504 88 Sport Supply Group, Inc. ............... 756 372 Stamps.com, Inc.+ ...................... 3,154 285 Standard Motor Products, Inc. .......... 2,357 815 Stein Mart, Inc.+ ...................... 7,221 245 Steiner Leisure, Ltd.+ ................. 7,480 533 Steven Madden, Ltd.+ ................... 13,565 606 Sturm Ruger & Co., Inc. ................ 7,539 106 Systemax, Inc.+ ........................ 1,262 497 Talbots, Inc. .......................... 2,684 2,550 Tempur-Pedic International, Inc. ....... 33,328 18,292 Texas Roadhouse, Inc., Class A+ ........ 199,566 1,257 Ticketmaster Entertainment, Inc.+ ...... 8,070 952 Timberland Co., Class A+ ............... 12,633 415 Town Sports International Holdings, Inc.+ ........................ 1,556 1,222 Tractor Supply Co.+ .................... 50,493 7,057 True Religion Apparel, Inc.+ ........... 157,371 2,132 Tupperware Brands Corp. ................ 55,474 71 Tween Brands, Inc.+ .................... 474 941 Ulta Salon Cosmetics & Fragrance, Inc.+ ....................... 10,464 1,128 Under Armour, Inc., Class A+ ........... 25,245 91 Unifirst Corp. ......................... 3,382 346 Universal Electronics, Inc.+ ........... 6,979 672 Universal Technical Institute, Inc.+ ... 10,033 305 Universal Travel Group+ ................ 3,413 37 US Auto Parts Network, Inc.+ ........... 139 1,315 Valassis Communications, Inc.+ ......... 8,035 46 Value Line, Inc. ....................... 1,512 642 Volcom, Inc.+ .......................... 8,025 1,559 Warnaco Group, Inc. (The)+ ............. 50,512 3,275 Wet Seal, Inc. (The), Class A+ ......... 10,054 238 Weyco Group, Inc. ...................... 5,495 126 Winnebago Industries ................... 936 1,674 Wolverine World Wide, Inc. ............. 36,928 500 Wonder Auto Technology, Inc.+ .......... 5,065 576 World Wrestling Entertainment, Inc., Class A ................................ 7,235 995 Youbet.com, Inc.+ ...................... 3,284 644 Zumiez, Inc.+ .......................... 5,158 ----------- 4,342,124 ----------- See Notes to Financial Statements. 27 WILSHIRE VARIABLE INSURANCE TRUST SMALL CAP GROWTH FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Shares Value ---------- ----- Consumer Staples -- 2.7% 914 AgFeed Industries, Inc.+ ............... $ 5,420 109 Alico, Inc. ............................ 3,272 2,031 Alliance One International, Inc.+ ...... 7,718 272 American Dairy, Inc.+ .................. 10,787 508 American Italian Pasta Co., Class A+ ... 14,803 735 American Oriental Bioengineering, Inc.+ .................. 3,888 41 Arden Group, Inc., Class A ............. 5,129 175 B&G Foods, Inc., Class A ............... 1,472 2,253 Bare Escentuals, Inc.+ ................. 19,984 300 Boston Beer Co., Inc., Class A+ ........ 8,877 355 Calavo Growers, Inc. ................... 7,040 461 Cal-Maine Foods, Inc. .................. 11,507 1,057 Casey's General Stores, Inc. ........... 27,154 624 Chattem, Inc.+ ......................... 42,494 355 China Sky One Medical, Inc.+ ........... 4,785 248 China-Biotics, Inc.+ ................... 2,673 144 Coca-Cola Bottling Co. Consolidated .... 7,939 2,774 Darling International, Inc.+ ........... 18,308 439 Diamond Foods, Inc. .................... 12,248 103 Diedrich Coffee, Inc.+ ................. 2,449 97 Farmer Bros Co. ........................ 2,219 515 Female Health Co.+ ..................... 2,472 4,533 Green Mountain Coffee Roasters, Inc.+ ........................ 267,991 370 Hain Celestial Group, Inc.+ ............ 5,776 279 HQ Sustainable Maritime Industries, Inc.+ ...................... 2,553 91 Inter Parfums, Inc. .................... 668 483 J&J Snack Foods Corp. .................. 17,340 654 Lancaster Colony Corp. ................. 28,822 946 Lance, Inc. ............................ 21,881 165 Lifeway Foods, Inc.+ ................... 2,128 441 Medifast, Inc.+ ........................ 5,054 187 National Beverage Corp.+ ............... 1,991 1,683 Nu Skin Enterprises, Inc., Class A ..... 25,750 23 Nutraceutical International Corp.+ ..... 239 165 Orchids Paper Products Co.+ ............ 3,391 513 Overhill Farms, Inc.+ .................. 2,703 89 Pantry, Inc. (The)+ .................... 1,477 544 Pricesmart, Inc. ....................... 9,112 288 Revlon, Inc., Class A+ ................. 1,567 262 Ruddick Corp. .......................... 6,139 692 Sanderson Farms, Inc. .................. 31,140 51 Schiff Nutrition International, Inc.+ .. 260 1,623 Smart Balance, Inc.+ ................... 11,053 2,574 Star Scientific, Inc.+ ................. 2,291 39 Susser Holdings Corp.+ ................. 436 612 Synutra International, Inc.+ ........... 6,732 823 Tootsie Roll Industries, Inc. .......... 18,674 1,462 United Natural Foods, Inc.+ ............ 38,378 63 Universal Corp. ........................ 2,086 213 USANA Health Sciences, Inc.+ ........... 6,333 1,259 Vector Group, Ltd. ..................... 17,991 Shares Value ------ ----- Consumer Staples (continued) 201 Village Super Market, Inc., Class A .... $ 5,980 391 WD-40 Co. .............................. 11,339 69 Weis Markets, Inc. ..................... 2,313 669 Zhongpin, Inc.+ ........................ 6,931 ----------- 789,157 ----------- Energy -- 4.0% 27 Alon USA Energy, Inc. .................. 279 311 APCO Argentina, Inc. ................... 5,981 138 Approach Resources, Inc.+ .............. 952 5,089 Arena Resources, Inc.+ ................. 162,085 559 Atlas America, Inc. .................... 9,989 176 ATP Oil & Gas Corp.+ ................... 1,225 5,533 Atwood Oceanics, Inc.+ ................. 137,827 97 Bolt Technology Corp.+ ................. 1,090 2,069 BPZ Resources, Inc.+ ................... 10,117 1,517 Brigham Exploration Co.+ ............... 5,294 355 Cal Dive International, Inc.+ .......... 3,064 604 CARBO Ceramics, Inc. ................... 20,657 950 Carrizo Oil & Gas, Inc.+ ............... 16,293 587 Cheniere Energy, Inc.+ ................. 1,726 1,021 Clean Energy Fuels Corp.+ .............. 8,791 8,841 Concho Resources, Inc.+ ................ 253,648 391 Contango Oil & Gas Co.+ ................ 16,614 194 CREDO Petroleum Corp.+ ................. 2,072 269 Cubic Energy, Inc.+ .................... 291 58 CVR Energy, Inc.+ ...................... 425 3,190 Delta Petroleum Corp.+ ................. 6,157 990 Dril-Quip, Inc.+ ....................... 37,719 3,629 Endeavour International Corp.+ ......... 4,935 570 ENGlobal Corp.+ ........................ 2,804 4,414 Evergreen Energy, Inc.+ ................ 4,326 1,420 FX Energy, Inc.+ ....................... 5,382 135 Geokinetics, Inc.+ ..................... 1,843 7,596 GMX Resources, Inc.+ ................... 80,821 704 Golar LNG, Ltd. ........................ 6,019 24 Gulf Island Fabrication, Inc. .......... 380 407 Gulfmark Offshore, Inc.+ ............... 11,233 817 Gulfport Energy Corp.+ ................. 5,596 292 Hercules Offshore, Inc.+ ............... 1,159 203 ION Geophysical Corp.+ ................. 522 37 Isramco, Inc.+ ......................... 3,942 940 James River Coal Co.+ .................. 14,222 449 Lufkin Industries, Inc. ................ 18,881 2,519 Mariner Energy, Inc.+ .................. 29,598 263 Matrix Service Co.+ .................... 3,019 2,093 McMoRan Exploration Co.+ ............... 12,474 126 NATCO Group, Inc., Class A+ ............ 4,148 40 Natural Gas Services Group, Inc.+ ...... 532 934 Northern Oil and Gas, Inc.+ ............ 5,950 244 Panhandle Oil and Gas, Inc., Class A ... 4,790 240 PHI, Inc.+ ............................. 4,114 287 Pioneer Drilling Co.+ .................. 1,375 See Notes to Financial Statements. 28 WILSHIRE VARIABLE INSURANCE TRUST SMALL CAP GROWTH FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Shares Value ------ ----- Energy (continued) 19 PrimeEnergy Corp.+ ..................... $ 680 605 Rex Energy Corp.+ ...................... 3,448 958 RPC, Inc. .............................. 7,999 902 Ship Finance International, Ltd. ....... 9,949 2,286 Sulphco, Inc.+ ......................... 2,103 8,617 Superior Energy Services, Inc.+ ........ 148,816 2,122 Syntroleum Corp.+ ...................... 4,690 357 Teekay Tankers, Ltd., Class A .......... 3,317 1,370 Tetra Technologies, Inc.+ .............. 10,905 321 TGC Industries, Inc.+ .................. 1,563 622 Toreador Resources Corp. ............... 4,167 1,238 Uranerz Energy Corp.+ .................. 2,327 1,471 Uranium Energy Corp.+ .................. 4,266 124 Vaalco Energy, Inc.+ ................... 525 196 Venoco, Inc.+ .......................... 1,503 1,098 W&T Offshore, Inc. ..................... 10,695 1,065 Warren Resources, Inc.+ ................ 2,609 70 Westmoreland Coal Co.+ ................. 567 1,344 Willbros Group, Inc.+ .................. 16,813 1,004 World Fuel Services Corp. .............. 41,395 404 Zion Oil & Gas, Inc.+ .................. 4,290 ----------- 1,212,988 ----------- Financials -- 6.7% 312 Acadia Realty Trust .................... 4,072 1,377 Advance America Cash Advance Centers, Inc. .......................... 6,100 3,237 Affiliated Managers Group, Inc.+ ....... 188,361 44 Alexander's, Inc. ...................... 11,862 31 American Safety Insurance Holdings, Ltd.+ ........................ 422 101 Ames National Corp. .................... 2,465 107 Amtrust Financial Services, Inc. ....... 1,220 191 Arrow Financial Corp. .................. 5,157 199 Asset Acceptance Capital Corp.+ ........ 1,530 63 Associated Estates Realty Corp. ........ 376 256 Assured Guaranty, Ltd. ................. 3,169 138 Bank of Marin Bancorp .................. 3,719 29 Bank of the Ozarks, Inc. ............... 627 715 BGC Partners, Inc., Class A ............ 2,710 174 Bridge Bancorp, Inc. ................... 4,736 1,195 Broadpoint Gleacher Securities, Inc.+ . 6,668 488 Brookline Bancorp, Inc. ................ 4,548 50 Brooklyn Federal Bancorp, Inc. ......... 562 42 Bryn Mawr Bank Corp. ................... 793 51 Calamos Asset Management, Inc., Class A ................................ 720 455 Cardinal Financial Corp. ............... 3,563 319 Cardtronics, Inc.+ ..................... 1,215 718 Cathay General Bancorp ................. 6,828 64 Centerstate Banks, Inc. ................ 475 20 Cheviot Financial Corp. ................ 160 34 Citizens Holding Co. ................... 1,061 829 Citizens, Inc.+ ........................ 5,040 Shares Value ------ ----- Financials (continued) 50 City Holding Co. ....................... $ 1,518 33 Clifton Savings Bancorp, Inc. .......... 355 139 CNB Financial Corp. .................... 1,970 275 Cohen & Steers, Inc. ................... 4,111 236 CompuCredit Corp.+ ..................... 543 0 Cousins Properties, Inc. ............... 1 541 Crawford & Co., Class B+ ............... 2,597 189 Credit Acceptance Corp.+ ............... 4,130 67 Diamond Hill Investment Group, Inc. .... 2,692 700 Dollar Financial Corp.+ ................ 9,653 477 DuPont Fabros Technology, Inc. ......... 4,493 522 EastGroup Properties, Inc. ............. 17,236 842 eHealth, Inc.+ ......................... 14,870 183 Enterprise Financial Services Corp. .... 1,663 377 Epoch Holding Corp. .................... 3,257 443 Equity Lifestyle Properties, Inc. ...... 16,471 104 Evercore Partners, Inc., Class A ....... 2,043 1,540 Ezcorp, Inc., Class A+ ................. 16,601 186 FBL Financial Group, Inc., Class A ..... 1,536 51 FBR Capital Markets Corp.+ ............. 240 317 Financial Federal Corp. ................ 6,514 782 First Cash Financial Services, Inc.+ ... 13,701 384 First Financial Bankshares, Inc. ....... 19,338 233 First Mercury Financial Corp. .......... 3,209 29 First of Long Island Corp. ............. 671 144 GAMCO Investors, Inc., Class A ......... 6,984 237 Getty Realty Corp. ..................... 4,472 2,183 GFI Group, Inc. ........................ 14,713 78 Great Southern Bancorp, Inc. ........... 1,603 3,504 Greenhill & Co., Inc. .................. 253,024 12 Hallmark Financial Services+ ........... 86 109 Hancock Holding Co. .................... 3,541 14 Heritage Financial Group ............... 120 141 International Assets Holding Corp.+ .... 2,097 134 Investors Bancorp, Inc.+ ............... 1,227 123 Investors Real Estate Trust ............ 1,093 47 JMP Group, Inc. ........................ 361 552 KBW, Inc.+ ............................. 15,876 120 Kearny Financial Corp. ................. 1,373 16 Kentucky First Federal Bancorp ......... 194 1,608 Knight Capital Group, Inc., Class A+ ... 27,416 65 Kohlberg Capital Corp. ................. 411 250 Life Partners Holdings, Inc. ........... 3,538 85 LTC Properties, Inc. ................... 1,738 151 Main Street Capital Corp. .............. 2,067 1,080 MarketAxess Holdings, Inc.+ ............ 10,293 36 Metro Bancorp, Inc.+ ................... 693 43,713 MF Global, Ltd.+ ....................... 259,218 480 Mid-America Apartment Communities, Inc. ...................... 17,621 12,137 MSCI, Inc., Class A+ ................... 296,628 241 Nara Bancorp, Inc. ..................... 1,248 45 National Health Investors, Inc. ........ 1,202 197 Nelnet, Inc., Class A+ ................. 2,677 See Notes to Financial Statements. 29 WILSHIRE VARIABLE INSURANCE TRUST SMALL CAP GROWTH FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Shares Value ------ ----- Financials (continued) 225 NewStar Financial, Inc.+ ............... $ 430 519 Omega Healthcare Investors, Inc. ....... 8,055 1,438 optionsXpress Holdings, Inc. ........... 22,332 273 Oritani Financial Corp. ................ 3,743 83 Orrstown Financial Services, Inc. ...... 3,091 22 Park National Corp. .................... 1,243 44 Peapack Gladstone Financial Corp. ...... 849 75 Penns Woods Bancorp, Inc. .............. 2,186 417 Penson Worldwide, Inc.+ ................ 3,732 392 Phoenix Companies ...................... 655 251 Pico Holdings, Inc.+ ................... 7,204 523 Portfolio Recovery Associates, Inc.+ ... 20,256 709 Potlatch Corp. ......................... 17,222 5,767 PrivateBancorp, Inc. ................... 128,258 112 Prudential Bancorp, Inc. of Pennsylvania ........................ 1,323 167 PS Business Parks, Inc. ................ 8,090 262 Pzena Investment Management, Inc., Class A ................................ 1,986 116 QC Holdings, Inc. ...................... 596 340 Redwood Trust, Inc. .................... 5,018 30 Republic Bancorp, Inc., Class A ........ 678 192 Rewards Network, Inc.+ ................. 726 749 Riskmetrics Group, Inc.+ ............... 13,227 265 RLI Corp. .............................. 11,872 116 Roma Financial Corp. ................... 1,478 158 S.Y. Bancorp, Inc. ..................... 3,819 56 Safety Insurance Group, Inc. ........... 1,711 136 Saul Centers, Inc. ..................... 4,022 7,467 Signature Bank+ ........................ 202,505 101 Southside Bancshares, Inc. ............. 2,310 932 Stifel Financial Corp.+ ................ 44,820 221 Suffolk Bancorp ........................ 5,666 106 SVB Financial Group+ ................... 2,885 49 SWS Group, Inc. ........................ 685 659 Tanger Factory Outlet Centers .......... 21,371 370 Tejon Ranch Co.+ ....................... 9,801 114 Texas Capital Bancshares, Inc.+ ........ 1,764 72 Thomas Weisel Partners Group, Inc.+ ........................... 433 104 Tompkins Financial Corp. ............... 4,987 1,223 Tower Group, Inc. ...................... 30,306 291 TradeStation Group, Inc.+ .............. 2,462 950 Trustco Bank Corp. ..................... 5,615 383 U.S. Global Investors, Inc., Class A ... 3,547 71 UMH Properties, Inc. ................... 566 94 United Financial Bankcorp, Inc. ........ 1,299 202 Universal Health Realty Income Trust ........................... 6,367 254 Universal Insurance Holdings, Inc. ..... 1,275 345 ViewPoint Financial Group .............. 5,254 220 Washington Real Estate Investment Trust ....................... 4,921 Shares Value ------ ----- Financials (continued) 562 Westamerica Bancorporation ............. $ 27,881 171 Westwood Holdings Group, Inc. .......... 7,149 41 Wilshire Bancorp, Inc. ................. 236 ----------- 2,016,993 ----------- Health Care -- 22.8% 746 Abaxis, Inc.+ .......................... 15,323 1,048 Abiomed, Inc.+ ......................... 9,243 903 Accelrys, Inc.+ ........................ 5,337 1,324 Accuray, Inc.+ ......................... 8,831 8,292 Acorda Therapeutics, Inc.+ ............. 233,751 277 Acura Pharmaceuticals, Inc.+ ........... 1,656 823 Adolor Corp.+ .......................... 1,448 470 Affymax, Inc.+ ......................... 8,662 2,059 Affymetrix, Inc.+ ...................... 12,210 370 Air Methods Corp.+ ..................... 10,123 1,894 Akorn, Inc.+ ........................... 2,273 6,667 Alexion Pharmaceuticals, Inc.+ ......... 274,147 1,984 Align Technology, Inc.+ ................ 21,030 3,217 Alkermes, Inc.+ ........................ 34,808 823 Alliance HealthCare Services, Inc.+ .... 6,033 229 Allied Healthcare International, Inc.+ . 497 34 ALLION HEALTHCARE INC+ ................. 202 2,123 Allos Therapeutics, Inc.+ .............. 17,600 245 Almost Family, Inc.+ ................... 6,397 1,227 Alnylam Pharmaceuticals, Inc.+ ......... 27,325 994 Alphatec Holdings, Inc.+ ............... 3,300 580 AMAG Pharmaceuticals, Inc.+ ............ 31,709 879 Amedisys, Inc.+ ........................ 29,025 281 America Service Group, Inc.+ ........... 4,516 335 American Caresource Holdings, Inc.+ .... 1,253 157 American Dental Partners, Inc.+ ........ 1,424 2,513 American Medical Systems Holdings, Inc.+ ........................ 39,705 1,801 AMERIGROUP Corp.+ ...................... 48,357 876 AMICAS, Inc.+ .......................... 2,435 515 Amicus Therapeutics, Inc.+ ............. 5,897 1,085 AMN Healthcare Services, Inc.+ ......... 6,922 283 Analogic Corp. ......................... 10,457 235 Angiodynamics, Inc.+ ................... 3,118 484 Ardea Biosciences, Inc.+ ............... 7,618 2,699 Arena Pharmaceuticals, Inc.+ ........... 13,468 2,931 Ariad Pharmaceuticals, Inc.+ ........... 4,660 736 Arqule, Inc.+ .......................... 4,519 1,612 Array Biopharma, Inc.+ ................. 5,062 683 ARYx Therapeutics, Inc.+ ............... 2,821 59 Aspect Medical Systems, Inc.+ .......... 349 1,141 athenahealth, Inc.+ .................... 42,228 52 Atrion Corp. ........................... 6,973 1,588 ATS Medical, Inc.+ ..................... 5,225 1,454 Auxilium Pharmaceuticals, Inc.+ ........ 45,627 2,041 AVANIR Pharmaceuticals, Inc., Class A+ ............................... 4,531 See Notes to Financial Statements. 30 WILSHIRE VARIABLE INSURANCE TRUST SMALL CAP GROWTH FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Shares Value ------ ----- Health Care (continued) 2,593 AVI BioPharma, Inc.+ ................... $ 4,097 704 BioCryst Pharmaceuticals, Inc.+ ........ 2,837 456 Biodel, Inc.+ .......................... 2,353 295 BioDelivery Sciences International, Inc.+ ................... 1,968 421 BioMimetic Therapeutics, Inc.+ ......... 3,890 403 Bio-Reference Labs, Inc.+ .............. 12,739 1,399 BioScrip, Inc.+ ........................ 8,282 123 Biospecifics Technologies Corp.+ ....... 2,931 980 BMP Sunstone Corp.+ .................... 4,645 579 Bovie Medical Corp.+ ................... 5,043 1,664 Bruker Corp.+ .......................... 15,409 837 Cadence Pharmaceuticals, Inc.+ ......... 8,362 896 Cambrex Corp.+ ......................... 3,691 307 Cantel Medical Corp.+ .................. 4,983 132 Caraco Pharmaceutical Laboratories, Ltd.+ .................... 405 76 Cardiac Science Corp.+ ................. 306 19,498 CardioNet, Inc.+ ....................... 318,207 306 Cardiovascular Systems, Inc.+ .......... 2,359 1,299 Cardium Therapeutics, Inc.+ ............ 2,403 11,033 Catalyst Health Solutions, Inc.+ ....... 275,163 568 Celera Corp.+ .......................... 4,334 15,676 Cell Therapeutics, Inc.+ ............... 26,963 348 Celldex Therapeutics, Inc.+ ............ 2,721 10,514 Centene Corp.+ ......................... 210,070 1,972 Cepheid, Inc.+ ......................... 18,576 780 Chelsea Therapeutics International, Inc.+ ................... 3,284 769 Chemed Corp. ........................... 30,360 415 Chindex International, Inc.+ ........... 5,134 992 Clarient, Inc.+ ........................ 3,690 389 Clinical Data, Inc.+ ................... 4,287 331 Computer Programs & Systems, Inc. ...... 12,681 10,385 Conceptus, Inc.+ ....................... 175,506 831 Continucare Corp.+ ..................... 1,936 222 Cornerstone Therapeutics, Inc.+ ........ 2,438 253 Corvel Corp.+ .......................... 5,761 507 Cougar Biotechnology, Inc.+ ............ 21,781 95 Cross Country Healthcare, Inc.+ ........ 653 857 CryoLife, Inc.+ ........................ 4,748 1,962 Cubist Pharmaceuticals, Inc.+ .......... 35,963 2,142 Curis, Inc.+ ........................... 3,406 128 Cutera, Inc.+ .......................... 1,103 18,520 Cyberonics, Inc.+ ...................... 307,988 1,295 Cypress Bioscience, Inc.+ .............. 12,199 1,462 Cytokinetics, Inc.+ .................... 4,137 896 Cytori Therapeutics, Inc.+ ............. 3,235 746 Delcath Systems, Inc.+ ................. 2,671 11,655 Dendreon Corp.+ ........................ 289,627 1,718 Depomed, Inc.+ ......................... 5,583 1,537 DexCom, Inc.+ .......................... 9,514 602 Dionex Corp.+ .......................... 36,740 Shares Value ------ ----- Health Care (continued) 4,051 Discovery Laboratories, Inc.+ .......... $ 4,173 2,772 Durect Corp.+ .......................... 6,597 1,976 Dyax Corp.+ ............................ 4,229 1,913 Eclipsys Corp.+ ........................ 34,013 600 Electro-Optical Sciences, Inc.+ ........ 4,674 339 Emergency Medical Services Corp., Class A+ ........................ 12,482 555 Emergent Biosolutions, Inc.+ ........... 7,953 674 Emeritus Corp.+ ........................ 8,904 1,469 Endologix, Inc.+ ....................... 4,906 374 Ensign Group, Inc. (The) ............... 5,322 493 EnteroMedics, Inc.+ .................... 1,642 809 Enzo Biochem, Inc.+ .................... 3,584 1,542 Enzon Pharmaceuticals, Inc.+ ........... 12,136 1,424 eResearchTechnology, Inc.+ ............. 8,843 277 Exactech, Inc.+ ........................ 4,017 3,598 Exelixis, Inc.+ ........................ 17,522 150 Facet Biotech Corp.+ ................... 1,393 479 Genomic Health, Inc.+ .................. 8,301 574 Genoptix, Inc.+ ........................ 18,362 385 Gentiva Health Services, Inc.+ ......... 6,337 1,490 Geron Corp.+ ........................... 11,428 566 Greatbatch, Inc.+ ...................... 12,797 649 GTx, Inc.+ ............................. 5,990 4,079 Haemonetics Corp.+ ..................... 232,503 32,015 Halozyme Therapeutics, Inc.+ ........... 223,145 160 Hanger Orthopedic Group, Inc.+ ......... 2,174 671 Hansen Medical, Inc.+ .................. 3,315 767 Harvard Bioscience, Inc.+ .............. 3,030 784 Health Grades, Inc.+ ................... 3,065 3,006 Healthsouth Corp.+ ..................... 43,407 60 Healthways, Inc.+ ...................... 807 159 HeartWare International, Inc.+ ......... 4,438 3,742 Hemispherx Biopharma, Inc.+ ............ 9,505 62 Hi-Tech Pharmacal Co., Inc.+ ........... 552 881 HMS Holdings Corp.+ .................... 35,874 115 Home Diagnostics, Inc.+ ................ 706 4,597 Human Genome Sciences, Inc.+ ........... 13,147 433 ICU Medical, Inc.+ ..................... 17,818 920 Idenix Pharmaceuticals, Inc.+ .......... 3,386 711 Idera Pharmaceuticals, Inc.+ ........... 4,166 293 I-Flow Corp.+ .......................... 2,033 4,309 Illumina, Inc.+ ........................ 167,792 2,398 Immucor, Inc.+ ......................... 32,996 1,740 Immunogen, Inc.+ ....................... 14,981 2,197 Immunomedics, Inc.+ .................... 5,580 2,065 Impax Laboratories, Inc.+ .............. 15,198 2,407 Incyte Corp., Ltd.+ .................... 7,919 254 Infinity Pharmaceuticals, Inc.+ ........ 1,483 4,229 Insmed, Inc.+ .......................... 4,229 1,414 Inspire Pharmaceuticals, Inc.+ ......... 7,862 885 Insulet Corp.+ ......................... 6,814 641 Integra LifeSciences Holdings Corp.+ ... 16,993 See Notes to Financial Statements. 31 WILSHIRE VARIABLE INSURANCE TRUST SMALL CAP GROWTH FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Shares Value ------ ----- Health Care (continued) 1,300 InterMune, Inc.+ ....................... $ 19,760 427 Invacare Corp. ......................... 7,537 380 inVentiv Health, Inc.+ ................. 5,141 3,714 Inverness Medical Innovations, Inc.+ ... 132,144 548 IPC The Hospitalist Co., Inc.+ ......... 14,626 610 IRIS International, Inc.+ .............. 7,198 3,170 Isis Pharmaceuticals, Inc.+ ............ 52,305 1,105 ISTA Pharmaceuticals, Inc.+ ............ 4,641 1,684 Javelin Pharmaceuticals, Inc.+ ......... 2,071 107 Kendle International, Inc.+ ............ 1,310 280 Kensey Nash Corp.+ ..................... 7,339 639 KV Pharmaceutical Co., Class A+ ........ 2,051 192 Landauer, Inc. ......................... 11,777 343 Lannett Co., Inc.+ ..................... 2,350 332 LCA-Vision, Inc. ....................... 1,401 1,438 Lexicon Pharmaceuticals, Inc.+ ......... 1,783 516 LHC Group, Inc.+ ....................... 11,460 3,832 Ligand Pharmaceuticals, Inc., Class B+ ............................... 10,959 1,410 Luminex Corp.+ ......................... 26,141 445 MAKO Surgical Corp.+ ................... 4,014 1,792 MannKind Corp.+ ........................ 14,891 259 MAP Pharmaceuticals, Inc.+ ............. 3,165 202 Martek Biosciences Corp. ............... 4,272 1,727 Masimo Corp.+ .......................... 41,638 321 Matrixx Initiatives, Inc.+ ............. 1,794 697 Maxygen, Inc.+ ......................... 4,684 4,376 Medarex, Inc.+ ......................... 36,540 1,343 MedAssets, Inc.+ ....................... 26,121 382 Medical Action Industries, Inc.+ ....... 4,374 1,267 Medicines Co. (The)+ ................... 10,630 271 Medicis Pharmaceutical Corp., Class A ................................ 4,423 977 Medivation, Inc.+ ...................... 21,895 858 Merge Healthcare, Inc.+ ................ 3,689 1,380 Meridian Bioscience, Inc. .............. 31,160 951 Merit Medical Systems, Inc.+ ........... 15,501 660 Metabolix, Inc.+ ....................... 5,425 1,350 Metropolitan Health Networks, Inc.+ .... 2,713 1,422 Micromet, Inc.+ ........................ 7,082 536 Micrus Endovascular Corp.+ ............. 4,845 1,214 MiddleBrook Pharmaceuticals, Inc.+ ..... 1,639 552 Molecular Insight Pharmaceuticals, Inc.+ ................. 2,854 1,198 Momenta Pharmaceuticals, Inc.+ ......... 14,412 367 MWI Veterinary Supply, Inc.+ ........... 12,794 726 Myriad Pharmaceuticals, Inc.+ .......... 3,377 1,249 Nabi Biopharmaceuticals+ ............... 3,023 325 Nanosphere, Inc.+ ...................... 1,596 119 National Healthcare Corp. .............. 4,515 57 National Research Corp. ................ 1,391 707 Natus Medical, Inc.+ ................... 8,159 3,125 Nektar Therapeutics+ ................... 20,250 450 Neogen Corp.+ .......................... 13,041 Shares Value ------ ----- Health Care (continued) 1,304 Neurocrine Biosciences, Inc.+ .......... $ 4,212 326 NeurogesX, Inc.+ ....................... 1,839 382 NovaMed, Inc.+ ......................... 1,509 2,081 Novavax, Inc.+ ......................... 6,826 85 Noven Pharmaceuticals, Inc.+ ........... 1,215 1,592 NPS Pharmaceuticals, Inc.+ ............. 7,419 3,991 NuVasive, Inc.+ ........................ 177,999 758 NxStage Medical, Inc.+ ................. 4,472 587 Obagi Medical Products, Inc.+ .......... 4,279 557 Odyssey HealthCare, Inc.+ .............. 5,726 921 Omnicell, Inc.+ ........................ 9,901 137 OncoGenex Pharmaceutical, Inc.+ ........ 2,998 1,937 Onyx Pharmaceuticals, Inc.+ ............ 54,740 1,275 Opko Health, Inc.+(a) .................. 2,257 975 Optimer Pharmaceuticals, Inc.+ ......... 14,596 1,436 OraSure Technologies, Inc.+ ............ 3,547 649 Orexigen Therapeutics, Inc.+ ........... 3,329 582 Orthofix International NV+ ............. 14,556 2,225 Orthovita, Inc.+ ....................... 11,459 570 Osiris Therapeutics, Inc.+ ............. 7,655 1,135 Owens & Minor, Inc. .................... 49,736 901 OXiGENE, Inc.+ ......................... 1,964 1,157 Pain Therapeutics, Inc.+ ............... 6,213 447 Palomar Medical Technologies, Inc.+ .... 6,553 1,959 Parexel International Corp.+ ........... 28,170 4,067 PDL BioPharma, Inc. .................... 32,129 712 Pharmasset, Inc.+ ...................... 8,010 1,038 PharMerica Corp.+ ...................... 20,376 1,468 Phase Forward, Inc.+ ................... 22,182 759 Poniard Pharmaceuticals, Inc.+ ......... 4,531 890 Pozen, Inc.+ ........................... 6,835 664 Progenics Pharmaceuticals, Inc.+ ....... 3,420 1,152 Protalix BioTherapeutics, Inc.+ ........ 5,207 359 Providence Service Corp. (The)+ ........ 3,931 2,021 PSS World Medical, Inc.+ ............... 37,409 1,298 Psychiatric Solutions, Inc.+ ........... 29,517 803 Quality Systems, Inc. .................. 45,739 1,928 Questcor Pharmaceuticals, Inc.+ ........ 9,640 877 Quidel Corp.+ .......................... 12,769 885 RadNet, Inc.+ .......................... 1,991 2,146 Regeneron Pharmaceuticals, Inc.+ ....... 38,456 495 RehabCare Group, Inc.+ ................. 11,845 1,019 Repligen Corp.+ ........................ 5,604 321 Repros Therapeutics, Inc.+ ............. 2,308 3,549 Resmed, Inc.+ .......................... 144,551 1,249 Rigel Pharmaceuticals, Inc.+ ........... 15,138 341 Rochester Medical Corp.+ ............... 4,569 481 Rockwell Medical Technologies, Inc.+ ... 3,632 639 RTI Biologics, Inc.+ ................... 2,741 1,640 Salix Pharmaceuticals, Ltd.+ ........... 16,187 1,374 Sangamo Biosciences, Inc.+ ............. 6,788 1,739 Santarus, Inc.+ ........................ 4,904 2,070 Savient Pharmaceuticals, Inc.+ ......... 28,690 1,191 Sciclone Pharmaceuticals, Inc.+ ........ 3,049 See Notes to Financial Statements. 32 WILSHIRE VARIABLE INSURANCE TRUST SMALL CAP GROWTH FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Shares Value ------ ----- Health Care (continued) 2,437 Seattle Genetics, Inc.+ ................ $ 23,688 2,056 Sequenom, Inc.+ ........................ 8,039 882 SIGA Technologies, Inc.+ ............... 7,444 577 Sirona Dental Systems, Inc.+ ........... 11,534 410 Somanetics Corp.+ ...................... 6,769 583 SonoSite, Inc.+ ........................ 11,695 1,070 Spectranetics Corp.+ ................... 5,275 1,114 Spectrum Pharmaceuticals, Inc.+ ........ 8,522 3,488 StemCells, Inc.+ ....................... 5,930 863 Stereotaxis, Inc.+ ..................... 3,348 1,990 STERIS Corp. ........................... 51,899 341 Sucampo Pharmaceuticals, Inc., Class A+ ............................... 2,104 1,262 SuperGen, Inc.+ ........................ 2,537 525 SurModics, Inc.+ ....................... 11,881 269 Symmetry Medical, Inc.+ ................ 2,507 393 Synovis Life Technologies, Inc.+ ....... 8,163 531 Synta Pharmaceuticals Corp.+ ........... 1,227 1,814 Theravance, Inc.+ ...................... 26,557 12,883 Thoratec Corp.+ ........................ 345,007 720 TomoTherapy, Inc.+ ..................... 1,980 421 TranS1, Inc.+ .......................... 2,623 213 Transcend Services, Inc.+ .............. 3,376 35 Triple-S Management Corp., Class B+ ............................... 546 182 U.S. Physical Therapy, Inc.+ ........... 2,685 110 Utah Medical Products, Inc. ............ 2,938 907 Vanda Pharmaceuticals, Inc.+ ........... 10,675 226 Varian, Inc.+ .......................... 8,911 551 Vascular Solutions, Inc.+ .............. 4,309 1,106 Vical, Inc.+ ........................... 2,997 502 Viropharma, Inc.+ ...................... 2,977 214 Virtual Radiologic Corp.+ .............. 1,932 337 Vital Images, Inc.+ .................... 3,825 2,348 Vivus, Inc.+ ........................... 14,276 14,786 Volcano Corp.+ ......................... 206,708 1,116 West Pharmaceutical Services, Inc. ..... 38,893 1,295 Wright Medical Group, Inc.+ ............ 21,057 930 XenoPort, Inc.+ ........................ 21,548 131 Young Innovations, Inc. ................ 2,854 16,630 Zoll Medical Corp.+ .................... 321,624 1,251 Zymogenetics, Inc.+ .................... 5,755 ----------- 6,895,614 ----------- Industrials -- 16.9% 439 3D Systems Corp.+ ...................... 3,165 425 AAON, Inc. ............................. 8,466 112 AAR Corp.+ ............................. 1,798 354 ABM Industries, Inc. ................... 6,397 1,088 Acacia Research-Acacia Technologies+ .......................... 8,563 895 Actuant Corp., Class A ................. 10,919 1,070 Acuity Brands, Inc. .................... 30,014 718 Administaff, Inc. ...................... 16,708 Shares Value ------ ----- Industrials (continued) 1,618 Advanced Battery Technologies, Inc.+ ... $ 6,504 528 Advisory Board Co. (The)+ .............. 13,570 453 Aerovironment, Inc.+ ................... 13,980 1,134 Air Transport Services Group, Inc.+ .... 2,631 4,058 Airtran Holdings, Inc.+ ................ 25,119 69 Alaska Air Group, Inc.+ ................ 1,260 523 Allegiant Travel Co., Class A+ ......... 20,732 121 Altra Holdings, Inc.+ .................. 906 618 American Ecology Corp. ................. 11,075 1,095 American Reprographics Co.+ ............ 9,110 310 American Science & Engineering, Inc. ...................... 21,427 1,478 American Superconductor Corp.+ ......... 38,798 145 Ampco-Pittsburgh Corp. ................. 3,400 840 APAC Customer Services, Inc.+ .......... 4,309 65 Apogee Enterprises, Inc. ............... 800 443 Applied Signal Technology, Inc. ........ 11,301 252 Argan, Inc.+ ........................... 3,561 392 Argon ST, Inc.+ ........................ 8,063 97 Ascent Solar Technologies, Inc.+ ....... 758 261 Astronics Corp.+ ....................... 2,712 500 ATC Technology Corp.+ .................. 7,250 1,995 Avis Budget Group, Inc.+ ............... 11,272 327 Axsys Technologies, Inc.+ .............. 17,540 414 AZZ, Inc.+ ............................. 14,246 505 Badger Meter, Inc. ..................... 20,705 268 Baker (Michael) Corp.+ ................. 11,353 309 Baldor Electric Co. .................... 7,351 1,272 Beacon Roofing Supply, Inc.+ ........... 18,393 425 Blount International, Inc.+ ............ 3,659 1,068 Broadwind Energy, Inc.+ ................ 12,090 364 Builders FirstSource, Inc.+ ............ 1,514 1,492 CBIZ, Inc.+ ............................ 10,623 47 CDI Corp. .............................. 524 612 Celadon Group, Inc.+ ................... 5,135 1,620 Cenveo, Inc.+ .......................... 6,853 854 Chart Industries, Inc.+ ................ 15,526 26 Chase Corp. ............................ 309 477 China Fire & Security Group, Inc.+ ..... 5,805 643 CLARCOR, Inc. .......................... 18,769 694 Clean Harbors, Inc.+ ................... 37,469 230 Colfax Corp.+ .......................... 1,776 3,244 Con-way, Inc. .......................... 114,546 1,160 Corporate Executive Board Co. .......... 24,082 677 CoStar Group, Inc.+ .................... 26,992 13,525 Covanta Holding Corp.+ ................. 229,384 316 CRA International, Inc.+ ............... 8,772 532 Cubic Corp. ............................ 19,040 947 Deluxe Corp. ........................... 12,131 737 Diamond Management & Technology Consultants, Inc., Class A ............. 3,095 501 DigitalGlobe, Inc.+ .................... 9,619 552 Duff & Phelps Corp., Class A ........... 9,815 234 Dynamex, Inc.+ ......................... 3,601 See Notes to Financial Statements. 33 WILSHIRE VARIABLE INSURANCE TRUST SMALL CAP GROWTH FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Shares Value ------- ----- Industrials (continued) 438 Dynamic Materials Corp. ................ $ 8,445 119 DynCorp International, Inc., Class A+ .. 1,998 704 EMCOR Group, Inc.+ ..................... 14,164 1,601 Ener1, Inc.+ ........................... 8,741 1,316 Energy Conversion Devices, Inc.+ ....... 18,621 1,142 Energy Recovery, Inc.+ ................. 8,085 236 EnergySolutions, Inc. .................. 2,171 404 EnerNOC, Inc.+ ......................... 8,755 893 ESCO Technologies, Inc.+ ............... 40,006 329 Esterline Technologies Corp.+ .......... 8,906 3,376 Evergreen Solar, Inc.+ ................. 7,326 464 Exponent, Inc.+ ........................ 11,373 535 Flanders Corp.+ ........................ 3,269 1,081 Flow International Corp.+ .............. 2,540 2,381 Force Protection, Inc.+ ................ 21,048 472 Forward Air Corp. ...................... 10,063 336 Franklin Covey Co.+ .................... 2,093 477 Fuel Tech, Inc.+ ....................... 4,627 1,791 FuelCell Energy, Inc.+ ................. 7,486 809 Furmanite Corp.+ ....................... 3,608 6,491 Genco Shipping & Trading, Ltd. ......... 140,985 1,689 GenCorp, Inc.+ ......................... 3,226 1,116 Genessee & Wyoming, Inc., Class A+ ..... 29,585 1,398 Geo Group, Inc. (The)+ ................. 25,975 599 GeoEye, Inc.+ .......................... 14,112 308 Gorman-Rupp Co. (The) .................. 6,212 309 GP Strategies Corp.+ ................... 1,820 20,436 GrafTech International, Ltd.+ .......... 231,131 226 Graham Corp. ........................... 3,006 158 Granite Construction, Inc. ............. 5,258 1,243 Great Lakes Dredge & Dock Corp. ........ 5,942 1,046 GT Solar International, Inc.+ .......... 5,565 385 Harbin Electric, Inc.+ ................. 6,021 1,731 Hawaiian Holdings, Inc.+ ............... 10,421 1,474 Healthcare Services Group .............. 26,355 1,082 Heartland Express, Inc. ................ 15,927 787 HEICO Corp. ............................ 28,537 15,950 Heidrick & Struggles International, Inc. .................... 291,087 87 Heritage-Crystal Clean, Inc.+ .......... 1,057 1,831 Herman Miller, Inc. .................... 28,088 3,286 Hexcel Corp.+ .......................... 31,316 725 Hill International, Inc.+ .............. 3,117 1,112 HNI Corp. .............................. 20,083 264 Houston Wire & Cable Co. ............... 3,144 7,779 HUB Group, Inc., Class A+ .............. 160,559 25 Hurco Cos., Inc.+ ...................... 391 6,744 Huron Consulting Group, Inc.+ .......... 311,775 300 ICF International, Inc.+ ............... 8,277 253 ICT Group, Inc.+ ....................... 2,209 575 II-VI, Inc.+ ........................... 12,748 667 Innerworkings, Inc.+ ................... 3,168 1,627 Interface, Inc., Class A ............... 10,087 753 Kaman Corp. ............................ 12,575 Shares Value ------ ----- Industrials (continued) 94 Kelly Services, Inc., Class A .......... $ 1,029 11,121 Kennametal, Inc. ....................... 213,301 1,537 Knight Transportation, Inc. ............ 25,437 1,600 Knoll, Inc. ............................ 12,128 93 Korn/Ferry International+ .............. 989 66 K-Tron International, Inc.+ ............ 5,259 334 LaBarge, Inc.+ ......................... 3,096 7,574 Landstar System, Inc. .................. 271,982 398 Lindsay Corp. .......................... 13,174 147 LMI Aerospace, Inc.+ ................... 1,488 524 Marten Transport, Ltd.+ ................ 10,878 1,275 MasTec, Inc.+ .......................... 14,943 112 Mcgrath Rentcorp ....................... 2,135 389 Met-Pro Corp. .......................... 4,209 2,292 Microvision, Inc.+ ..................... 7,037 556 Middleby Corp.+ ........................ 24,420 840 Mine Safety Appliances Co. ............. 20,244 313 Mobile Mini, Inc.+ ..................... 4,592 13,419 Monster Worldwide, Inc.+ ............... 158,478 320 Multi-Color Corp. ...................... 3,923 587 MYR Group, Inc.+ ....................... 11,869 1,699 Navigant Consulting, Inc.+ ............. 21,951 114 NCI Building Systems, Inc.+ ............ 301 387 Nordson Corp. .......................... 14,961 287 North American Galvanizing & Coating, Inc.+ ......................... 1,739 1,784 Odyssey Marine Exploration, Inc.+ ...... 2,854 154 Old Dominion Freight Line, Inc.+ ....... 5,170 94 Omega Flex, Inc. ....................... 1,425 131 On Assignment, Inc.+ ................... 512 1,921 Orbital Sciences Corp.+ ................ 29,141 734 Orion Marine Group, Inc.+ .............. 13,946 28 Patriot Transporation Holding, Inc.+ ... 2,042 1,814 Perma-Fix Environmental Services+ ...... 4,390 260 Pike Electric Corp.+ ................... 3,133 445 PMFG, Inc.+ ............................ 3,921 243 Polypore International, Inc.+ .......... 2,702 115 Portec Rail Products, Inc. ............. 1,133 265 Powell Industries, Inc.+ ............... 9,824 229 Power-One, Inc.+ ....................... 341 167 PowerSecure International, Inc.+ ....... 711 69 Preformed Line Products Co. ............ 3,040 277 Primoris Services Corp. ................ 2,055 752 Quanex Building Products Corp. ......... 8,437 545 Raven Industries, Inc. ................. 13,952 701 RBC Bearings, Inc.+ .................... 14,335 208 Republic Airways Holdings, Inc.+ ....... 1,358 1,533 Resources Connection, Inc.+ ............ 26,322 67 Robbins & Myers, Inc. .................. 1,290 1,493 Rollins, Inc. .......................... 25,844 1,643 RSC Holdings, Inc.+ .................... 11,041 246 Rush Enterprises, Inc., Class A+ ....... 2,866 1,464 SatCon Technology Corp.+ ............... 2,635 20 Sauer-Danfoss, Inc. .................... 123 See Notes to Financial Statements. 34 WILSHIRE VARIABLE INSURANCE TRUST SMALL CAP GROWTH FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Shares Value ------ ----- Industrials (continued) 225 School Specialty, Inc.+ ................ $ 4,547 1,005 Simpson Manufacturing Co., Inc. ........ 21,728 202 SmartHeat, Inc.+ ....................... 1,384 48 Standard Parking Corp.+ ................ 782 422 Standard Register Co. (The) ............ 1,376 391 Stanley, Inc.+ ......................... 12,856 39 Sterling Construction Co., Inc.+ ....... 595 174 Sun Hydraulics Corp. ................... 2,814 19,982 SYKES Enterprises, Inc.+ ............... 361,474 27 TAL International Group, Inc. .......... 294 2,082 Taser International, Inc.+ ............. 9,494 609 Team, Inc.+ ............................ 9,543 403 Teledyne Technologies, Inc.+ ........... 13,198 635 Tennant Co. ............................ 11,678 23,816 Terex Corp.+ ........................... 287,459 2,051 Tetra Tech, Inc.+ ...................... 58,761 406 Titan Machinery, Inc.+ ................. 5,152 8,174 TransDigm Group, Inc.+ ................. 295,899 465 Trex Co., Inc.+ ........................ 6,217 309 Trimas Corp.+ .......................... 1,041 4,586 UAL Corp.+ ............................. 14,629 362 Ultralife Corp.+ ....................... 2,596 186 USA Truck, Inc.+ ....................... 2,517 1,424 Valence Technology, Inc.+ .............. 2,549 76 Viad Corp. ............................. 1,309 262 Vicor Corp. ............................ 1,892 111 VSE Corp. .............................. 2,904 5,820 Wabtec Corp. ........................... 187,229 70 Waste Services, Inc.+ .................. 363 747 Watsco, Inc. ........................... 36,551 1,189 Watson Wyatt Worldwide, Inc., Class A ................................ 44,623 1,653 Woodward Governor Co. .................. 32,729 ----------- 5,108,658 ----------- Information Technology -- 28.4% 10,753 3Com Corp.+ ............................ 50,647 13,354 3PAR, Inc.+ ............................ 165,590 1,192 ACI Worldwide, Inc.+ ................... 16,640 1,323 Acme Packet, Inc.+ ..................... 13,389 272 Actel Corp.+ ........................... 2,919 492 ActivIdentity Corp.+ ................... 1,245 1,496 Actuate Corp.+ ......................... 7,151 1,893 Acxiom Corp. ........................... 16,715 644 ADC Telecommunications, Inc.+ .......... 5,126 1,464 Adtran, Inc. ........................... 31,432 1,436 Advanced Analogic Technologies, Inc.+ .................... 6,591 882 Advanced Energy Industries, Inc.+ ...... 7,929 521 Advent Software, Inc.+ ................. 17,084 469 Airvana, Inc.+ ......................... 2,988 671 American Software, Inc., Class A ....... 3,865 3,695 Amkor Technology, Inc.+ ................ 17,477 1,697 Anadigics, Inc.+ ....................... 7,110 Shares Value ------- ----- Information Technology (continued) 438 Anaren, Inc.+ .......................... $ 7,744 2,462 Anixter International, Inc.+ ........... 92,547 15,138 Applied Micro Circuits Corp.+ .......... 123,072 8,313 ArcSight, Inc.+ ........................ 147,722 2,974 Ariba, Inc.+ ........................... 29,264 14,966 Arris Group, Inc.+ ..................... 181,987 4,284 Art Technology Group, Inc.+ ............ 16,279 2,004 Aruba Networks, Inc.+ .................. 17,515 994 AsiaInfo Holdings, Inc.+ ............... 17,107 7,109 Atheros Communications, Inc.+ .......... 136,777 315 ATMI, Inc.+ ............................ 4,892 193 Avid Technology, Inc.+ ................. 2,588 199 Avocent Corp.+ ......................... 2,778 425 Bankrate, Inc.+ ........................ 10,727 253 Benchmark Electronics, Inc.+ ........... 3,643 1,183 BigBand Networks, Inc.+ ................ 6,116 1,492 Blackbaud, Inc. ........................ 23,201 11,051 Blackboard, Inc.+ ...................... 318,932 1,345 Blue Coat Systems, Inc.+ ............... 22,246 853 Bottomline Technologies, Inc.+ ......... 7,686 1,678 Brightpoint, Inc.+ ..................... 10,521 86 Cabot Microelectronics Corp.+ .......... 2,433 117 CACI International, Inc., Class A+ ..... 4,997 439 Callidus Software, Inc.+ ............... 1,251 281 Cass Information Systems, Inc. ......... 9,200 1,234 Cavium Networks, Inc.+ ................. 20,744 572 Ceva, Inc.+ ............................ 4,965 316 Checkpoint Systems, Inc.+ .............. 4,958 765 China Information Security ............. Technology, Inc.+ ...................... 2,188 896 China Security & Surveillance .......... Technology, Inc.+ ...................... 6,756 269 China TransInfo Technology Corp.+ ...... 1,259 1,002 Chordiant Software, Inc.+ .............. 3,637 2,196 Cirrus Logic, Inc.+ .................... 9,882 1,452 Cogent, Inc.+ .......................... 15,580 244 Cognex Corp. ........................... 3,448 1,417 CommVault Systems, Inc.+ ............... 23,494 573 Compellent Technologies, Inc.+ ......... 8,738 302 Computer Task Group, Inc.+ ............. 1,842 13,008 comScore, Inc.+ ........................ 173,267 958 Comtech Telecommunications Corp.+ ...... 30,541 649 Comverge, Inc.+ ........................ 7,853 1,354 Concur Technologies, Inc.+ ............. 42,082 816 Constant Contact, Inc.+ ................ 16,189 72 CPI International, Inc.+ ............... 626 838 Cray, Inc.+ ............................ 6,603 715 CSG Systems International, Inc.+ ....... 9,467 59 CTS Corp. .............................. 386 2,352 Cybersource Corp.+ ..................... 35,986 6,192 Cymer, Inc.+ ........................... 184,088 14,820 Cypress Semiconductor Corp.+ ........... 136,344 992 Daktronics, Inc. ....................... 7,638 1,613 Data Domain, Inc.+ ..................... 53,793 See Notes to Financial Statements. 35 WILSHIRE VARIABLE INSURANCE TRUST SMALL CAP GROWTH FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Shares Value ------ ----- Information Technology (continued) 50 DDi Corp.+ ............................. $ 226 21,907 DealerTrack Holdings, Inc.+ ............ 372,419 382 Deltek, Inc.+ .......................... 1,658 683 DemandTec, Inc.+ ....................... 6,010 620 DG FastChannel, Inc.+ .................. 11,346 510 Dice Holdings, Inc.+ ................... 2,372 297 Digi International, Inc.+ .............. 2,896 1,048 Digital River, Inc.+ ................... 38,063 1,085 Diodes, Inc.+ .......................... 16,969 667 DivX, Inc.+ ............................ 3,662 533 Double-Take Software, Inc.+ ............ 4,610 4,998 DTS, Inc.+ ............................. 135,296 446 Earthlink, Inc.+ ....................... 3,305 231 Ebix, Inc.+ ............................ 7,235 786 Echelon Corp.+ ......................... 6,665 222 eLoyalty Corp.+ ........................ 1,749 426 EMS Technologies, Inc.+ ................ 8,903 2,609 Emulex Corp.+ .......................... 25,516 1,771 Entropic Communications, Inc.+ ......... 3,985 1,664 Entrust, Inc.+ ......................... 3,012 1,102 EPIQ Systems, Inc.+ .................... 16,916 7 ePlus, Inc.+ ........................... 102 1,451 Euronet Worldwide, Inc.+ ............... 28,135 109 Exar Corp.+ ............................ 784 508 ExlService Holdings, Inc.+ ............. 5,695 1,145 FalconStor Software, Inc.+ ............. 5,439 515 FARO Technologies, Inc.+ ............... 7,998 1,174 FEI Co.+ ............................... 26,885 1,583 Formfactor, Inc.+ ...................... 27,291 532 Forrester Research, Inc.+ .............. 13,061 2,017 Gartner, Inc.+ ......................... 30,779 1,250 Global Cash Access Holdings, Inc.+ ..... 9,950 519 GSE Systems, Inc.+ ..................... 3,503 15,724 GSI Commerce, Inc.+ .................... 224,067 630 Hackett Group, Inc. (The)+ ............. 1,468 2,469 Harmonic, Inc.+ ........................ 14,542 1,275 Heartland Payment Systems, Inc. ........ 12,202 729 Hittite Microwave Corp.+ ............... 25,333 303 Hughes Communications, Inc.+ ........... 6,917 449 i2 Technologies, Inc.+ ................. 5,635 197 ICx Technologies, Inc.+ ................ 1,182 748 iGate Corp. ............................ 4,952 96 Imation Corp. .......................... 731 241 Imergent, Inc. ......................... 1,687 926 Immersion Corp.+ ....................... 4,574 2,858 Infinera Corp.+ ........................ 26,094 608 infoGROUP, Inc. ........................ 3,472 10,656 Informatica Corp.+ ..................... 183,177 647 Infospace, Inc.+ ....................... 4,290 704 Innodata Isogen, Inc.+ ................. 3,084 201 Insight Enterprises, Inc.+ ............. 1,942 154 Integral Systems, Inc.+ ................ 1,281 699 Intellon Corp.+ ........................ 2,971 429 Interactive Intelligence, Inc.+ ........ 5,260 Shares Value ------ ----- Information Technology (continued) 1,488 InterDigital, Inc.+ .................... $ 36,367 2,112 Intermec, Inc.+ ........................ 27,245 466 Internet Brands, Inc., Class A+ ........ 3,262 708 Internet Capital Group, Inc.+ .......... 4,765 786 IPG Photonics Corp.+ ................... 8,622 854 Isilon Systems, Inc.+ .................. 3,621 4,213 Itron, Inc.+ ........................... 232,010 1,043 Ixia+ .................................. 7,030 670 IXYS Corp. ............................. 6,780 1,395 j2 Global Communications, Inc.+ ........ 31,471 2,853 Jack Henry & Associates, Inc. .......... 59,200 668 JDA Software Group, Inc.+ .............. 9,993 767 Kenexa Corp.+ .......................... 8,874 207 Keynote Systems, Inc.+ ................. 1,581 1,023 Knot, Inc. (The)+ ...................... 8,061 2,271 Kopin Corp.+ ........................... 8,335 2,059 Kulicke & Soffa Industries, Inc.+ ...... 7,062 425 KVH Industries, Inc.+ .................. 2,903 1,993 L-1 Identity Solutions, Inc., Class 1+ . 15,426 300 Lattice Semiconductor Corp.+ ........... 564 1,880 Lawson Software, Inc.+ ................. 10,490 1,093 Limelight Networks, Inc.+ .............. 4,809 1,928 Lionbridge Technologies+ ............... 3,547 511 Liquidity Services, Inc.+ .............. 5,038 1,379 LivePerson, Inc.+ ...................... 5,516 50 Logility, Inc.+ ........................ 348 2,112 LogMeIn, Inc. .......................... 33,792 685 LoopNet, Inc.+ ......................... 5,309 365 Loral Space & Communications, Inc.+ .... 9,399 784 Manhattan Associates, Inc.+ ............ 14,284 594 Mantech International Corp., Class A+ .. 25,566 339 Marchex, Inc., Class B ................. 1,142 547 MAXIMUS, Inc. .......................... 22,564 764 Maxwell Technologies, Inc.+ ............ 10,566 42 MEMSIC, Inc.+ .......................... 178 262 Mentor Graphics Corp.+ ................. 1,433 6,221 MercadoLibre, Inc.+ .................... 167,220 138 Methode Electronics, Inc. .............. 969 629 Micrel, Inc. ........................... 4,604 2,763 Microsemi Corp.+ ....................... 38,129 308 MicroStrategy, Inc., Class A+ .......... 15,468 1,053 Microtune, Inc.+ ....................... 2,464 1,507 MIPS Technologies, Inc., Class A+ ...... 4,521 85 ModusLink Global Solutions, Inc.+ ...... 583 2,377 MoneyGram International, Inc.+ ......... 4,231 1,153 Monolithic Power Systems, Inc.+ ........ 25,839 5,225 Move, Inc.+ ............................ 11,286 61 MTS Systems Corp. ...................... 1,260 335 Multi-Fineline Electronix, Inc.+ ....... 7,169 221 NCI, Inc., Class A+ .................... 6,723 1,300 Net 1 UEPS Technologies, Inc.+ ......... 17,667 21,773 Netezza Corp.+ ......................... 181,151 303 Netgear, Inc.+ ......................... 4,366 615 Netlogic Microsystems, Inc.+ ........... 22,423 See Notes to Financial Statements. 36 WILSHIRE VARIABLE INSURANCE TRUST SMALL CAP GROWTH FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Shares Value ------ ----- Information Technology (continued) 728 Netscout Systems, Inc.+ ................ $ 6,829 568 NetSuite, Inc.+ ........................ 6,708 474 Network Equipment Technologies, Inc.+ .................... 2,019 1,690 NIC, Inc. .............................. 11,441 1,036 Novatel Wireless, Inc.+ ................ 9,345 11,702 Nuance Communications, Inc.+ ........... 141,477 159 NVE Corp.+ ............................. 7,727 2,169 Omniture, Inc.+ ........................ 27,243 544 Online Resources Corp.+ ................ 3,394 102 OpenTable, Inc.+ ....................... 3,077 1,105 OpenTV Corp., Class A+ ................. 1,459 814 Openwave Systems, Inc.+ ................ 1,823 505 Oplink Communications, Inc.+ ........... 5,757 446 Opnet Technologies, Inc. ............... 4,085 132 Opnext, Inc.+ .......................... 282 417 OSI Systems, Inc.+ ..................... 8,694 4,148 Palm, Inc.+ ............................ 68,732 170 PAR Technology Corp.+ .................. 1,086 3,945 Parametric Technology Corp.+ ........... 46,117 437 Park Electrochemical Corp. ............. 9,409 975 Parkervision, Inc.+ .................... 2,983 69 PC Mall, Inc.+ ......................... 466 83 PC-Tel, Inc.+ .......................... 444 511 Pegasystems, Inc. ...................... 13,480 211 Perficient, Inc.+ ...................... 1,475 600 Perot Systems Corp., Class A+ .......... 8,598 965 Phoenix Technologies, Ltd.+ ............ 2,615 1,467 Plantronics, Inc. ...................... 27,741 450 Plexus Corp.+ .......................... 9,207 1,119 PLX Technology, Inc.+ .................. 4,219 18,110 Polycom, Inc.+ ......................... 367,090 811 Power Integrations, Inc. ............... 19,294 1,358 Progress Software Corp.+ ............... 28,749 649 PROS Holdings, Inc.+ ................... 5,270 402 QAD, Inc. .............................. 1,307 7,131 Quantum Corp.+ ......................... 5,919 234 Quest Software, Inc.+ .................. 3,262 2,260 Rackspace Hosting, Inc.+ ............... 31,324 934 Radiant Systems, Inc.+ ................. 7,752 794 Radisys Corp.+ ......................... 7,154 1,357 RAE Systems, Inc.+ ..................... 1,873 1,429 RealNetworks, Inc.+ .................... 4,273 221 Renaissance Learning, Inc. ............. 2,035 8,346 RF Micro Devices, Inc.+ ................ 31,381 742 RightNow Technologies, Inc.+ ........... 8,756 1,864 Riverbed Technology, Inc.+ ............. 43,226 436 Rofin-Sinar Technologies, Inc.+ ........ 8,724 118 Rogers Corp.+ .......................... 2,387 7,490 Rosetta Stone, Inc.+ ................... 205,526 427 Rubicon Technology, Inc.+ .............. 6,098 379 Rudolph Technologies, Inc.+ ............ 2,092 1,773 S1 Corp.+ .............................. 12,234 811 Saba Software, Inc.+ ................... 3,122 Shares Value ------ ----- Information Technology (continued) 1,532 Safeguard Scientifics, Inc.+ ........... $ 2,022 2,846 Sapient Corp.+ ......................... 17,901 1,230 SAVVIS, Inc.+ .......................... 14,096 53 Scansource, Inc.+ ...................... 1,300 560 Seachange International, Inc.+ ......... 4,497 136 Semitool, Inc.+ ........................ 628 2,078 Semtech Corp.+ ......................... 33,061 1,505 ShoreTel, Inc.+ ........................ 12,040 659 Sigma Designs, Inc.+ ................... 10,570 109 Silicon Graphics International Corp.+ .. 495 3,759 Silicon Laboratories, Inc.+ ............ 142,616 5,700 Skyworks Solutions, Inc.+ .............. 55,746 966 Smith Micro Software, Inc.+ ............ 9,486 413 SolarWinds, Inc.+ ...................... 6,810 2,367 Solera Holdings, Inc.+ ................. 60,122 133 SonicWALL, Inc.+ ....................... 729 12,850 Sourcefire, Inc.+ ...................... 159,211 624 SPSS, Inc.+ ............................ 20,823 403 SRA International, Inc., Class A+ ...... 7,077 370 SRS Labs, Inc.+ ........................ 2,461 194 Standard Microsystems Corp.+ ........... 3,967 1,334 Starent Networks Corp.+ ................ 32,563 71 StarTek, Inc.+ ......................... 569 841 STEC, Inc.+ ............................ 19,503 688 Stratasys, Inc.+ ....................... 7,561 16,565 SuccessFactors, Inc.+ .................. 152,067 1,038 SumTotal Systems, Inc.+ ................ 4,993 530 Super Micro Computer, Inc.+ ............ 4,060 373 Supertex, Inc.+ ........................ 9,366 341 support.com, Inc.+ ..................... 743 693 Switch & Data Facilities Co., Inc.+ .... 8,129 5,907 Sybase, Inc.+ .......................... 185,125 897 Symyx Technologies+ .................... 5,247 6,880 Synaptics, Inc.+ ....................... 265,912 565 Synchronoss Technologies, Inc.+ ........ 6,933 132 SYNNEX Corp.+ .......................... 3,299 438 Syntel, Inc. ........................... 13,771 358 Take-Two Interactive Software, Inc. .... 3,390 1,064 Taleo Corp., Class A+ .................. 19,439 491 Techwell, Inc.+ ........................ 4,174 757 Tekelec+ ............................... 12,740 1,302 TeleCommunication Systems, Inc., Class A+ ............................... 9,257 1,105 TeleTech Holdings, Inc.+ ............... 16,741 1,795 Terremark Worldwide, Inc.+ ............. 10,375 1,656 Tessera Technologies, Inc.+ ............ 41,880 46,872 THQ, Inc.+ ............................. 335,604 2,157 TIBCO Software, Inc.+ .................. 15,466 311 Tier Technologies, Inc., Class B+ ...... 2,388 3,557 TiVo, Inc.+ ............................ 37,277 858 TNS, Inc.+ ............................. 16,087 188 Travelzoo, Inc.+ ....................... 2,059 202 Trident Microsystems, Inc.+ ............ 352 2,814 TriQuint Semiconductor, Inc.+ .......... 14,942 See Notes to Financial Statements. 37 WILSHIRE VARIABLE INSURANCE TRUST SMALL CAP GROWTH FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Shares Value ------ ----- Information Technology (continued) 1,063 Tyler Technologies, Inc.+ .............. $ 16,604 829 Ultimate Software Group, Inc.+ ......... 20,095 804 Ultratech, Inc.+ ....................... 9,897 458 Unica Corp.+ ........................... 2,510 680 Unisys Corp.+ .......................... 1,027 995 Universal Display Corp.+ ............... 9,731 2,961 Valueclick, Inc.+ ...................... 31,150 708 VASCO Data Security International, Inc.+ ................... 5,175 615 Veeco Instruments, Inc.+ ............... 7,128 2,455 VeriFone Holdings, Inc.+ ............... 18,437 884 Viasat, Inc.+ .......................... 22,666 664 Vignette Corp.+ ........................ 8,732 43 Virage Logic Corp.+ .................... 194 334 Virtusa Corp.+ ......................... 2,682 7,100 VistaPrint, Ltd.+ ...................... 302,815 564 Vocus, Inc.+ ........................... 11,145 771 Volterra Semiconductor Corp.+ .......... 10,131 1,507 Websense, Inc.+ ........................ 26,885 2,322 Wind River Systems, Inc.+ .............. 26,610 1,306 Wright Express Corp.+ .................. 33,264 2,130 Zix Corp.+ ............................. 3,195 1,327 Zoran Corp.+ ........................... 14,464 ----------- 8,566,986 ----------- Materials -- 1.9% 171 AEP Industries, Inc.+ .................. 4,513 1,246 Allied Nevada Gold Corp.+ .............. 10,043 180 AMCOL International Corp. .............. 3,884 83 American Vanguard Corp. ................ 938 135 Arch Chemicals, Inc. ................... 3,320 624 Balchem Corp. .......................... 15,300 446 Boise, Inc.+ ........................... 767 25 Bway Holding Co.+ ...................... 438 1,863 Calgon Carbon Corp.+ ................... 25,877 279 China Green Agriculture, Inc.+ ......... 2,257 34 Clearwater Paper Corp.+ ................ 860 281 Deltic Timber Corp. .................... 9,967 240 General Steel Holdings, Inc.+ .......... 953 33 GenTek, Inc.+ .......................... 737 3,662 Greif, Inc., Class A ................... 161,934 281 Hawkins, Inc. .......................... 6,345 440 Koppers Holdings, Inc. ................. 11,603 868 Landec Corp.+ .......................... 5,894 587 LSB Industries, Inc.+ .................. 9,492 343 NewMarket Corp. ........................ 23,094 204 NL Industries, Inc. .................... 1,505 249 Olin Corp. ............................. 2,961 1,467 Omnova Solutions, Inc.+ ................ 4,782 1,779 Paramount Gold and Silver Corp.+ ....... 2,704 534 Polyone Corp.+ ......................... 1,447 1,143 Rock-Tenn Co., Class A ................. 43,617 478 Silgan Holdings, Inc. .................. 23,436 22,540 Solutia, Inc.+ ......................... 129,830 Shares Value ------ ----- Materials (continued) 229 Stepan Co. ............................. $ 10,113 187 Stillwater Mining Co.+ ................. 1,068 49 United States Lime & Minerals, Inc.+ ... 2,079 528 Wausau Paper Corp. ..................... 3,548 1,876 Worthington Industries, Inc. ........... 23,994 725 WR Grace & Co.+ ........................ 8,968 734 Zep, Inc. .............................. 8,845 ----------- 567,113 ----------- Telecommunication Services -- 1.4% 211 AboveNet, Inc.+ ........................ 17,087 1,504 Alaska Communications Systems Group, Inc. ............................ 11,009 788 Cbeyond, Inc.+ ......................... 11,308 2,893 Centennial Communications Corp.+ ....... 24,185 1,306 Cincinnati Bell, Inc.+ ................. 3,709 1,508 Cogent Communications Group, Inc.+ ..... 12,290 413 Consolidated Communications Holdings, Inc. ......................... 4,836 1,568 Fairpoint Communications, Inc. ......... 941 200 Fibernet Telecom Group, Inc.+ .......... 2,484 792 General Communication, Inc., Class A+ ............................... 5,489 847 Global Crossing, Ltd.+ ................. 7,775 444 HickoryTech Corp. ...................... 3,410 896 inContact, Inc.+ ....................... 2,455 166 Iowa Telecommunications Services, Inc. ......................... 2,077 534 iPCS, Inc.+ ............................ 7,989 1,117 Neutral Tandem, Inc.+ .................. 32,974 1,028 NTELOS Holdings Corp. .................. 18,936 4,154 PAETEC Holding Corp.+ .................. 11,216 1,593 Premiere Global Services, Inc.+ ........ 17,268 7,366 SBA Communications Corp., Class A+ ..... 180,762 805 Shenandoah Telecommunications Co. ...... 16,333 1,932 Syniverse Holdings, Inc.+ .............. 30,970 694 USA Mobility, Inc. ..................... 8,855 456 Virgin Mobile USA, Inc., Class A+ ...... 1,833 ----------- 436,191 ----------- Utilities -- 0.1% 426 Cadiz, Inc.+ ........................... 4,102 52 California Water Service Group ......... 1,916 19 Connecticut Water Service, Inc. ........ 412 163 Consolidated Water Co., Inc. ........... 2,584 233 New Jersey Resources Corp. ............. 8,630 29 Pennichuck Corp. ....................... 661 155 Piedmont Natural Gas Co., Inc. ......... 3,737 118 South Jersey Industries, Inc. .......... 4,117 1,624 U.S. Geothermal, Inc.+ ................. 2,306 150 York Water Co. ......................... 2,300 ----------- 30,765 ----------- Total Common Stock (Cost $31,165,880) .............. 29,966,589 ----------- See Notes to Financial Statements. 38 WILSHIRE VARIABLE INSURANCE TRUST SMALL CAP GROWTH FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Shares Value ------ ----- WARRANT -- 0.0% 15 GRH, Expires 15/09/11+ (Cost $--)(a) $ -- ----------- PRIVATE COMPANY -- 0.0% 1 Teton Advisors, Inc.(d) (Cost $39) -- ----------- CASH EQUIVALENT -- 2.3% 676,355 PNC Institutional Money Market Trust, 0.050%(b)(c) 676,373 ----------- Total Cash Equivalent (Cost $676,373) 676,373 ----------- MONEY MARKET FUND -- 0.0% 107,168 TCW Money Market Fund, 0.100%(b) (Cost $107,168) 107,168 ----------- Total Investments -- 101.7% (Cost $31,949,460) 30,750,130 Other Assets & Liabilities, Net -- (1.7)% (522,960) ----------- NET ASSETS -- 100.0% $30,197,170 =========== + Non-income producing security. ++ Narrow industries are used for compliance purposes, whereas broad sectors are utilized for reporting. (a) All or a portion of this security is on loan. (b) The rate reported is the 7-day effective yield as of June 30, 2009. (c) A partial position of this security was purchased with proceeds from collateral received from securities on loan. At June 30, 2009, $18 of this investment represents the collateral received for securities on loan. (d) Security fair valued using methods determined in good faith by the Pricing Committee. As of June 30, 2009, the total market value of this security was $0 representing 0.0% of net assets. Amounts designated as "--" are either $0, or have been rounded to $0. See Notes to Financial Statements. 39 WILSHIRE VARIABLE INSURANCE TRUST INTERNATIONAL EQUITY FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS (UNAUDITED) Shares Value ------ ----- COMMON STOCK -- 94.7% Australia -- 3.3% 840 AGL Energy, Ltd. ....................... $ 9,085 13,400 Alumina, Ltd. .......................... 15,393 3,220 AMP, Ltd. .............................. 12,608 1,749 Aristocrat Leisure, Ltd. ............... 5,326 4,176 Australia & New Zealand Banking Group, Ltd. ............................ 55,308 5,553 BHP Billiton, Ltd. ..................... 152,035 3,707 BlueScope Steel, Ltd. .................. 7,512 2,590 Brambles, Ltd. ......................... 12,392 2,116 Commonwealth Bank of Australia ......... 66,287 1,000 CSL, Ltd. .............................. 25,840 3,120 Fortescue Metals Group, Ltd.+ .......... 9,451 4,120 Foster's Group, Ltd. ................... 17,060 7,765 GPT Group .............................. 3,037 6,870 Insurance Australia Group, Ltd. ........ 19,386 308 Leighton Holdings, Ltd. ................ 5,806 528 Macquarie Group, Ltd. .................. 16,520 5,570 Macquarie Infrastructure Group ......... 6,399 3,409 National Australia Bank, Ltd. .......... 61,379 651 Newcrest Mining, Ltd. .................. 15,901 1,215 Orica, Ltd. ............................ 21,133 802 Origin Energy, Ltd. .................... 9,437 1,610 QBE Insurance Group, Ltd. .............. 25,747 620 Rio Tinto, Ltd. ........................ 25,882 4,886 Stockland .............................. 12,596 4,732 Suncorp-Metway, Ltd. ................... 25,426 2,150 TABCORP Holdings, Ltd. ................. 12,366 8,000 Telstra Corp., Ltd. .................... 21,817 1,550 Toll Holdings, Ltd. .................... 7,774 2,602 Transurban Group ....................... 8,737 1,459 Wesfarmers, Ltd. ....................... 26,548 754 Wesfarmers, Ltd. PPS ................... 14,241 3,555 Westfield Group ........................ 32,516 10,662 Westpac Banking Corp. .................. 173,360 970 Woodside Petroleum, Ltd. ............... 33,489 2,227 Woolworths, Ltd. ....................... 47,219 383 WorleyParsons, Ltd. .................... 7,295 ----------- 1,022,308 ----------- Austria -- 0.9% 3,336 Atrium European Real Estate, Ltd.+ ..... 14,871 570 Erste Group Bank AG .................... 15,469 2,560 OMV AG ................................. 96,205 790 Telekom Austria AG ..................... 12,363 3,300 Vienna Insurance Group ................. 143,799 ----------- 282,707 ----------- Belgium -- 1.1% 1,014 Anheuser-Busch InBev NV ................ 36,753 624 Anheuser-Busch InBev NV+ ............... 2 280 Belgacom SA ............................ 8,951 1,797 Delhaize Group ......................... 126,467 5,266 Fortis ................................. 18,024 Shares Value ------ ----- Belgium (continued) 341 Groupe Bruxelles Lambert SA ............ $ 24,987 400 KBC Groep NV ........................... 7,353 1,100 Solvay SA .............................. 93,020 200 UCB SA ................................. 6,420 ----------- 321,977 ----------- Bermuda -- 0.0% 736 Seadrill, Ltd. ......................... 10,598 ----------- Canada -- 3.5% 1,900 Bank of Nova Scotia .................... 70,954 2,900 Metro, Inc., Class A ................... 94,830 6,400 Nexen, Inc. ............................ 139,097 5,300 Petro-Canada ........................... 204,761 1,250 Potash Corp. of Saskatchewan ........... 116,636 6,000 Rogers Communications, Inc., Class B ................................ 154,296 3,900 Royal Bank of Canada ................... 159,562 3,200 Shoppers Drug Mart Corp. ............... 137,583 ----------- 1,077,719 ----------- China -- 1.0% 93,577 Bank of Communications Co., Ltd., Class H .......................... 104,115 224,000 Dongfeng Motor Group Co., Ltd., Class H .......................... 187,896 7,327 Foxconn International Holdings, Ltd.+ ........................ 4,764 ----------- 296,775 ----------- Denmark -- 0.7% 3 A P Moller - Maersk A/S, Class B ....... 17,970 224 Danske Bank A/S ........................ 3,864 700 DSV A/S ................................ 8,680 5,800 H Lundbeck A/S ......................... 110,323 800 Novo-Nordisk A/S, Class B .............. 43,562 125 Novozymes A/S, Class B ................. 10,167 350 Vestas Wind Systems A/S+ ............... 25,112 ----------- 219,678 ----------- Finland -- 0.9% 1,070 Fortum Oyj ............................. 24,379 14,240 Nokia Oyj .............................. 208,494 1,060 Sampo Oyj, Class A ..................... 20,034 1,450 Stora Enso Oyj, Class R ................ 7,667 1,310 UPM-Kymmene Oyj ........................ 11,428 ----------- 272,002 ----------- France -- 9.0% 370 Accor SA ............................... 14,736 649 Air Liquide SA ......................... 59,526 4,580 Alcatel-Lucent ......................... 11,481 440 Alstom SA .............................. 26,116 8,740 AXA SA ................................. 165,357 4,633 BNP Paribas ............................ 302,011 3,750 Bouygues ............................... 141,762 See Notes to Financial Statements. 40 WILSHIRE VARIABLE INSURANCE TRUST INTERNATIONAL EQUITY FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Shares Value ------ ----- France (continued) 290 Cap Gemini SA .......................... $ 10,729 964 Carrefour SA ........................... 41,325 1,400 Christian Dior SA ...................... 104,831 720 Cie de Saint-Gobain .................... 24,217 295 Cie Generale de Geophysique- Veritas+ ............................... 5,338 440 Cie Generale d'Optique Essilor International SA ....................... 21,033 180 CNP Assurances ......................... 17,216 245 Compagnie Generale des Etablissements Michelin, Class B ....... 14,026 1,610 Credit Agricole SA ..................... 20,179 362 Electricite de France .................. 17,669 12,744 France Telecom SA ...................... 289,859 7,546 GDF Suez ............................... 282,353 950 Groupe Danone .......................... 47,087 350 Lafarge SA ............................. 23,804 330 Lagardere SCA .......................... 10,998 490 L'Oreal SA ............................. 36,767 509 LVMH Moet Hennessy Louis Vuitton SA ............................. 39,022 40 Neopost SA ............................. 3,600 280 Pernod-Ricard SA ....................... 17,696 200 PPR .................................... 16,389 520 Publicis Groupe ........................ 15,913 5,077 Sanofi-Aventis SA ...................... 299,882 2,415 Schneider Electric SA .................. 184,767 820 Societe Generale ....................... 44,993 230 Sodexo ................................. 11,838 450 Suez Environnement SA .................. 7,883 310 Technip SA ............................. 15,280 3,672 Total SA ............................... 198,947 132 Unibail-Rodamco ........................ 19,728 135 Vallourec .............................. 16,494 3,767 Veolia Environnement ................... 111,334 604 Vinci SA ............................... 27,245 1,936 Vivendi ................................ 46,453 ----------- 2,765,884 ----------- Germany -- 5.4% 350 Adidas AG .............................. 13,332 742 Allianz SE ............................. 68,417 3,452 BASF SE ................................ 137,480 1,314 Bayer AG ............................... 70,587 1,250 Commerzbank AG ......................... 7,789 1,677 Daimler AG ............................. 60,878 1,037 Deutsche Bank AG ....................... 63,016 350 Deutsche Boerse AG ..................... 27,228 1,323 Deutsche Post AG ....................... 17,268 3,748 Deutsche Telekom AG .................... 44,294 2,952 E.ON AG ................................ 104,749 217 Fresenius Medical Care AG & Co. KGaA .......................... 9,747 260 Linde AG ............................... 21,351 1,650 MAN AG ................................. 101,484 Shares Value ------- ----- Germany (continued) 106 Merck KGaA ............................. $ 10,782 310 Metro AG ............................... 14,805 1,181 Muenchener Rueckversicherungs AG ....... 159,497 3,740 RWE AG ................................. 294,819 3,680 SAP AG ................................. 148,314 3,600 SGL Carbon AG+ ......................... 111,435 1,313 Siemens AG ............................. 90,762 280 Solarworld AG .......................... 6,640 720 ThyssenKrupp AG ........................ 17,930 160 Volkswagen AG .......................... 54,184 ----------- 1,656,788 ----------- Greece -- 0.2% 1,070 Alpha Bank AE .......................... 11,710 810 EFG Eurobank Ergasias SA+ .............. 8,517 680 Hellenic Telecommunications Organization SA ........................ 10,395 875 National Bank of Greece SA ............. 24,264 500 OPAP SA ................................ 13,327 454 Piraeus Bank SA+ ....................... 4,518 ----------- 72,731 ----------- Hong Kong -- 3.8% 4,840 Bank of East Asia, Ltd. ................ 14,669 11,600 BOC Hong Kong Holdings, Ltd. ........... 20,185 20,200 Cheung Kong Holdings, Ltd. ............. 230,985 18,800 Cheung Kong Infrastructure Holdings, Ltd. ......................... 65,864 13,000 China Mobile, Ltd. ..................... 130,171 2,582 CLP Holdings, Ltd. ..................... 17,110 79,800 CNOOC, Ltd. ............................ 98,309 2,000 Esprit Holdings, Ltd. .................. 11,113 3,801 Hang Lung Properties, Ltd. ............. 12,518 2,100 Hang Seng Bank, Ltd. ................... 29,394 11,330 Hong Kong & China Gas Co., Ltd. ........ 23,785 2,100 Hong Kong Exchanges and Clearing, Ltd. ......................... 32,461 3,100 HongKong Electric Holdings ............. 17,222 5,100 Hutchison Whampoa, Ltd. ................ 33,179 7,000 Jardine Strategic Holdings, Ltd. ....... 102,948 4,129 Li & Fung, Ltd. ........................ 11,025 50,500 MTR Corp. .............................. 150,873 57,775 New World Development, Ltd. ............ 104,004 2,900 Sun Hung Kai Properties, Ltd. .......... 36,014 2,400 Swire Pacific, Ltd., Class A ........... 24,093 ----------- 1,165,922 ----------- India -- 0.6% 5,100 Infosys Technologies, Ltd. ADR ......... 187,578 ----------- Indonesia -- 0.6% 137,000 Gudang Garam TBK PT .................... 167,953 ----------- Ireland -- 0.2% 273 CRH PLC ................................ 6,250 1,058 CRH PLC ................................ 24,308 See Notes to Financial Statements. 41 WILSHIRE VARIABLE INSURANCE TRUST INTERNATIONAL EQUITY FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Shares Value ------- ----- Ireland (continued) 770 Elan Corp. PLC+ ........................ $ 5,054 2,400 Experian PLC ........................... 17,997 ----------- 53,609 ----------- Israel -- 0.8% 25,875 Bank Hapoalim BM+ ...................... 68,510 3,700 Teva Pharmaceutical Industries, Ltd. ADR ............................... 182,558 ----------- 251,068 ----------- Italy -- 2.6% 2,397 Assicurazioni Generali SPA ............. 49,903 690 Atlantia SPA ........................... 13,970 4,660 Banca Monte dei Paschi di Siena SPA ........................... 7,529 1,530 Banco Popolare Scarl ................... 11,437 8,800 Enel SPA ............................... 42,944 10,506 ENI SPA ................................ 249,075 1,510 Fiat SPA ............................... 15,220 1,090 Finmeccanica SPA ....................... 15,365 64,584 Intesa Sanpaolo SPA .................... 208,623 2,180 Intesa Sanpaolo SPA, RNC ............... 5,387 2,310 Mediaset SPA ........................... 12,964 1,310 Mediobanca SPA ......................... 15,604 5,876 Snam Rete Gas SPA ...................... 25,802 14,324 Telecom Italia SPA ..................... 19,852 13,120 Telecom Italia SPA, RNC ................ 12,920 26,743 UniCredit SPA .......................... 67,615 1,132 Unione di Banche Italiane SCPA ......... 14,746 ----------- 788,956 ----------- Japan -- 18.6% 300 Advantest Corp. ........................ 5,463 1,600 Aeon Co., Ltd. ......................... 15,786 500 Aisin Seiki Co., Ltd. .................. 10,801 685 Ajinomoto Co., Inc. .................... 5,418 12,100 Amada Co., Ltd. ........................ 74,982 18,900 Asahi Breweries, Ltd. .................. 270,818 2,200 Asahi Glass Co., Ltd. .................. 17,621 3,600 Asahi Kasei Corp. ...................... 18,264 5,300 Astellas Pharma, Inc. .................. 187,145 4,100 Bank of Yokohama, Ltd. (The) ........... 21,945 1,400 Bridgestone Corp. ...................... 21,929 1,598 Canon, Inc. ............................ 52,194 18 Central Japan Railway Co. .............. 110,649 1,400 Chiba Bank, Ltd. (The) ................. 9,136 878 Chubu Electric Power Co., Inc. ......... 20,275 500 Chugai Pharmaceutical Co., Ltd. ........ 9,514 1,900 Chuo Mitsui Trust Holdings, Inc. ....... 7,239 100 Credit Saison Co., Ltd. ................ 1,268 2,100 Dai Nippon Printing Co., Ltd. .......... 28,751 1,400 Daiichi Sankyo Co., Ltd. ............... 24,988 600 Daikin Industries, Ltd. ................ 19,309 200 Daito Trust Construction Co., Ltd. ..... 9,430 308 Daiwa House Industry Co., Ltd. ......... 3,312 2,900 Daiwa Securities Group, Inc. ........... 17,232 Shares Value ------- ----- Japan (continued) 548 Denso Corp. ............................ $ 14,046 500 Dentsu, Inc. ........................... 10,492 700 East Japan Railway Co. ................. 42,142 500 Eisai Co., Ltd. ........................ 17,751 500 Electric Power Development Co., Ltd. .............................. 14,186 400 Fanuc, Ltd. ............................ 32,053 1,000 FUJIFILM Holdings Corp. ................ 31,823 4,600 Fujitsu, Ltd. .......................... 24,987 1,900 Fukuoka Financial Group, Inc. .......... 8,497 217 Hankyu Hanshin Holdings, Inc. .......... 1,016 100 Hirose Electric Co., Ltd. .............. 10,668 2,773 Hitachi, Ltd. .......................... 8,629 509 Hokkaido Electric Power Co., Inc. ...... 9,530 1,600 Hokuhoku Financial Group, Inc. ......... 4,010 6,300 Hokuriku Electric Power Co. ............ 144,081 10,700 Honda Motor Co., Ltd. .................. 294,351 900 HOYA Corp. ............................. 18,028 200 Ibiden Co., Ltd. ....................... 5,608 3 INPEX Corp. ............................ 23,918 3,800 ITOCHU Corp. ........................... 26,368 1,164 Japan Steel Works, Ltd. (The) .......... 14,344 8 Japan Tobacco, Inc. .................... 25,005 700 JFE Holdings, Inc. ..................... 23,517 2,000 Joyo Bank, Ltd. (The) .................. 10,204 700 JS Group Corp. ......................... 10,803 1,200 JTEKT Corp. ............................ 12,127 4,300 Kajima Corp. ........................... 13,385 14,000 Kamigumi Co., Ltd. ..................... 118,315 1,700 Kansai Electric Power Co., Inc. (The) .. 37,498 1,000 Kao Corp. .............................. 21,759 5 KDDI Corp. ............................. 26,529 1,015 Keio Corp. ............................. 5,895 110 Keyence Corp. .......................... 22,409 5,300 Kintetsu Corp. ......................... 23,361 1,900 Kirin Holdings Co., Ltd. ............... 26,507 6,100 Kobe Steel, Ltd. ....................... 11,360 1,800 Komatsu, Ltd. .......................... 27,790 1,100 Konica Minolta Holdings, Inc. .......... 11,493 1,133 Kubota Corp. ........................... 9,330 1,000 Kuraray Co., Ltd. ...................... 11,085 300 Kyocera Corp. .......................... 22,521 700 Kyushu Electric Power Co., Inc. ........ 15,064 44,200 Marubeni Corp. ......................... 195,477 900 Marui Group Co., Ltd. .................. 6,300 40,000 Minebea Co., Ltd. ...................... 170,222 4,300 Mitsubishi Chemical Holdings Corp. ..... 18,187 2,600 Mitsubishi Corp. ....................... 47,976 4,200 Mitsubishi Electric Corp. .............. 26,543 2,200 Mitsubishi Estate Co., Ltd. ............ 36,522 1,400 Mitsubishi Gas Chemical Co., Inc. ...... 7,633 6,000 Mitsubishi Heavy Industries, Ltd. ...... 24,829 4,600 Mitsubishi Materials Corp. ............. 14,321 14,856 Mitsubishi UFJ Financial Group, Inc. ... 91,728 3,400 Mitsui & Co., Ltd. ..................... 40,287 See Notes to Financial Statements. 42 WILSHIRE VARIABLE INSURANCE TRUST INTERNATIONAL EQUITY FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Shares Value ------- ----- Japan (continued) 1,600 Mitsui Fudosan Co., Ltd. ............... $ 27,749 2,700 Mitsui OSK Lines, Ltd. ................. 17,447 750 Mitsui Sumitomo Insurance Group Holdings, Inc. ......................... 19,620 17,000 Mizuho Financial Group, Inc. ........... 39,495 500 Murata Manufacturing Co., Ltd. ......... 21,339 1,583 NEC Corp. .............................. 6,192 300 Nidec Corp. ............................ 18,260 800 Nikon Corp. ............................ 13,840 137 Nintendo Co., Ltd. ..................... 37,913 14,056 Nippon Electric Glass Co., Ltd. ........ 157,130 2,100 Nippon Express Co., Ltd. ............... 9,533 2,400 Nippon Mining Holdings, Inc. ........... 12,402 2,300 Nippon Oil Corp. ....................... 13,543 5,989 Nippon Steel Corp. ..................... 22,927 5,300 Nippon Telegraph & Telephone Corp. ........................ 215,834 2,800 Nippon Yusen KK ........................ 12,057 5,200 Nissan Motor Co., Ltd. ................. 31,556 400 Nitto Denko Corp. ...................... 12,195 3,500 Nomura Holdings, Inc. .................. 29,541 2,100 NSK, Ltd. .............................. 10,630 3 NTT Data Corp. ......................... 9,683 22 NTT DoCoMo, Inc. ....................... 32,176 1,100 Obayashi Corp. ......................... 5,385 400 Olympus Corp. .......................... 9,419 500 Omron Corp. ............................ 7,244 200 Oriental Land Co., Ltd. ................ 13,409 180 ORIX Corp. ............................. 10,713 4,800 Osaka Gas Co., Ltd. .................... 15,299 2,765 Panasonic Corp. ........................ 37,250 200 Promise Co., Ltd. ...................... 2,552 1,100 Resona Holdings, Inc. .................. 15,418 14,700 Ricoh Co., Ltd. ........................ 189,358 200 Rohm Co., Ltd. ......................... 14,587 2,900 Sankyo Co., Ltd. ....................... 154,688 600 Secom Co., Ltd. ........................ 24,350 1,300 Sega Sammy Holdings, Inc. .............. 16,476 300 Seiko Epson Corp. ...................... 4,896 2,000 Sekisui Chemical Co., Ltd. ............. 12,536 1,700 Sekisui House, Ltd. .................... 17,216 1,500 Seven & I Holdings Co., Ltd. ........... 35,177 1,900 Sharp Corp. ............................ 19,710 700 Shin-Etsu Chemical Co., Ltd. ........... 32,463 1,300 Shinsei Bank, Ltd. ..................... 2,075 700 Shiseido Co., Ltd. ..................... 11,451 2,100 Shizuoka Bank, Ltd. (The) .............. 20,782 2,800 Showa Denko KK ......................... 4,994 38 SMC Corp. .............................. 4,080 1,300 Softbank Corp. ......................... 25,324 4,544 Sojitz Corp. ........................... 9,964 1,900 Sompo Japan Insurance, Inc. ............ 12,660 1,800 Sony Corp. ............................. 46,958 65 Sony Financial Holdings, Inc. .......... 179,206 3,200 Sumitomo Chemical Co., Ltd. ............ 14,390 Shares Value ------- ----- Japan (continued) 2,500 Sumitomo Corp. ......................... $ 25,410 1,900 Sumitomo Electric Industries, Ltd. ..... 21,302 1,800 Sumitomo Heavy Industries, Ltd. ........ 8,007 7,600 Sumitomo Metal Industries, Ltd. ........ 20,202 1,300 Sumitomo Metal Mining Co., Ltd. ........ 18,261 5,200 Sumitomo Mitsui Financial Group, Inc. ............................ 210,409 900 Sumitomo Realty & Development Co., Ltd. .............................. 16,432 2,600 Sumitomo Trust & Banking Co., Ltd. (The) ............................. 13,951 300 T&D Holdings, Inc. ..................... 8,571 1,300 Takashimaya Co., Ltd. .................. 10,232 1,400 Takeda Pharmaceutical Co., Ltd. ........ 54,429 200 TDK Corp. .............................. 9,388 3,100 Teijin, Ltd. ........................... 9,964 400 Terumo Corp. ........................... 17,634 2,500 Tobu Railway Co., Ltd. ................. 14,674 900 Tohoku Electric Power Co., Inc. ........ 18,799 891 Tokio Marine Holdings, Inc. ............ 24,463 2,200 Tokyo Electric Power Co., Inc. (The) ... 56,562 300 Tokyo Electron, Ltd. ................... 14,477 5,500 Tokyo Gas Co., Ltd. .................... 19,648 3,000 Tokyu Corp. ............................ 15,133 2,100 Toppan Printing Co., Ltd. .............. 21,157 2,700 Toray Industries, Inc. ................. 13,743 6,000 Toshiba Corp. .......................... 21,736 8,900 Toyo Suisan Kaisha, Ltd. ............... 183,360 500 Toyota Industries Corp. ................ 12,427 4,355 Toyota Motor Corp. ..................... 164,686 500 Toyota Tsusho Corp. .................... 7,405 4 West Japan Railway Co. ................. 13,227 34 Yahoo! Japan Corp. ..................... 10,813 190 Yamada Denki Co., Ltd. ................. 11,053 600 Yamaha Motor Co., Ltd. ................. 6,665 1,200 Yamato Holdings Co., Ltd. .............. 15,954 ----------- 5,717,245 ----------- Luxembourg -- 0.5% 4,645 ArcelorMittal .......................... 153,657 ----------- Mexico -- 0.7% 50,000 America Movil SAB de CV, Ser L ......... 96,956 2,600 Grupo Elektra SA de CV ................. 118,394 ----------- 215,350 ----------- Netherlands -- 5.0% 1,766 Aegon NV ............................... 10,929 550 Akzo Nobel NV .......................... 24,302 953 ASML Holding NV ........................ 20,648 690 European Aeronautic Defence and Space Co. NV ....................... 11,201 1,350 Fugro NV, CVA .......................... 56,199 600 Heineken NV ............................ 22,352 1,646 ING Groep NV, CVA ...................... 16,669 1,780 Koninklijke Ahold NV ................... 20,513 See Notes to Financial Statements. 43 WILSHIRE VARIABLE INSURANCE TRUST INTERNATIONAL EQUITY FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Shares Value ------- ----- Netherlands (continued) 5,430 Koninklijke DSM NV ..................... $ 170,689 2,352 Koninklijke KPN NV ..................... 32,440 2,340 Koninklijke Philips Electronics NV ..... 43,187 1,203 Reed Elsevier NV ....................... 13,297 23,598 Royal Dutch Shell PLC, Class B ......... 594,050 5,853 Royal Dutch Shell PLC, Class A ......... 146,808 922 TNT NV ................................. 18,014 13,345 Unilever NV, CVA ....................... 322,638 660 Wolters Kluwer NV ...................... 11,574 ----------- 1,535,510 ----------- New Zealand -- 0.0% 7,043 Telecom Corp. of New Zealand, Ltd. ..... 12,351 ----------- Norway -- 0.7% 19,700 DnB NOR ASA ............................ 150,500 2,200 Norsk Hydro ASA ........................ 11,334 2,150 Orkla ASA .............................. 15,631 2,000 Petroleum Geo-Services ASA+ ............ 12,469 1,472 StatoilHydro ASA ....................... 29,072 965 Telenor ASA ............................ 7,445 ----------- 226,451 ----------- Philippines -- 0.2% 3,200 Globe Telecom, Inc. .................... 63,071 ----------- Portugal -- 0.2% 3,730 Banco Comercial Portugues SA, Class R ................................ 3,796 1,620 BRISA .................................. 11,641 4,750 Energias de Portugal SA ................ 18,652 1,970 Portugal Telecom SGPS SA ............... 19,316 ----------- 53,405 ----------- Russia -- 1.1% 5,000 Gazprom OAO ADR ........................ 101,531 9,000 Tatneft ADR ............................ 220,500 ----------- 322,031 ----------- Singapore -- 3.3% 72,000 ComfortDelgro Corp., Ltd. .............. 63,458 3,000 DBS Group Holdings, Ltd. ............... 24,333 9,800 Jardine Cycle & Carriage, Ltd. ......... 129,414 3,908 Keppel Corp., Ltd. ..................... 18,534 6,000 Oversea-Chinese Banking Corp., Ltd. ............................ 27,561 2,500 Singapore Airlines, Ltd. ............... 22,899 130,200 Singapore Telecommunications, Ltd. ..... 268,751 61,000 SMRT Corp., Ltd. ....................... 71,090 39,200 United Overseas Bank, Ltd. ............. 395,750 ----------- 1,021,790 ----------- South Africa -- 1.7% 6,000 African Rainbow Minerals, Ltd. ......... 101,300 3,750 AngloGold Ashanti, Ltd. ................ 137,560 6,700 MTN Group, Ltd. ........................ 102,998 Shares Value ------- ----- South Africa (continued) 18,600 Pick n Pay Stores, Ltd. ................ $ 79,624 11,000 Remgro, Ltd. ........................... 105,942 ----------- 527,424 ----------- South Korea -- 1.5% 1,750 POSCO ADR .............................. 144,673 650 Samsung Electronics Co., Ltd. .......... 300,879 ----------- 445,552 ----------- Spain -- 4.3% 609 Abertis Infraestructuras SA ............ 11,496 138 Acciona SA ............................. 17,034 144 ACS Actividades de Construccion y Servicios SA ........................... 7,307 6,885 Banco Bilbao Vizcaya Argentaria SA ..... 86,659 1,820 Banco Popular Espanol SA ............... 15,919 41,418 Banco Santander SA ..................... 500,472 880 Cintra Concesiones de Infraestructuras de Transporte SA ....................... 5,481 210 Fomento de Construcciones y Contratas SA ........................... 8,637 897 Gamesa Corp. Tecnologica SA ............ 17,095 170 Grupo Ferrovial SA ..................... 5,478 6,436 Iberdrola SA ........................... 52,462 380 Inditex SA ............................. 18,281 18,740 Repsol YPF SA .......................... 419,329 7,449 Telefonica SA .......................... 169,098 ----------- 1,334,748 ----------- Sweden -- 1.7% 800 Assa Abloy AB, Class B ................. 11,188 14,400 Atlas Copco AB, Class A ................ 145,014 1,400 Atlas Copco AB, Class B ................ 12,720 600 Electrolux AB, Ser B ................... 8,395 845 Hennes & Mauritz AB, Class B ........... 42,200 6,200 Nordea Bank AB ......................... 49,280 12,800 Sandvik AB ............................. 95,414 1,000 Scania AB, Class B ..................... 9,951 1,100 Securitas AB, Class B .................. 9,369 3,840 Skandinaviska Enskilda Banken AB, Class A ............................ 16,986 1,200 SKF AB, Class B ........................ 14,833 1,500 Svenska Cellulosa AB, Class B .......... 15,794 1,100 Svenska Handelsbanken AB, Class A ...... 20,862 3,777 Telefonaktiebolaget LM Ericsson, Class B ................................ 37,213 4,100 TeliaSonera AB ......................... 21,582 2,283 Volvo AB, Class B ...................... 14,142 ----------- 524,943 ----------- Switzerland -- 5.0% 3,841 ABB, Ltd. .............................. 60,655 130 Actelion, Ltd.+ ........................ 6,814 340 Adecco SA .............................. 14,212 1,100 Compagnie Financiere Richemont SA ...... 22,934 See Notes to Financial Statements. 44 WILSHIRE VARIABLE INSURANCE TRUST INTERNATIONAL EQUITY FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Shares Value ------- ----- Switzerland (continued) 1,597 Credit Suisse Group AG ................. $ 73,172 90 Geberit AG ............................. 11,089 450 Holcim, Ltd.+ .......................... 25,622 1,800 Julius Baer Holding AG ................. 70,009 6,439 Nestle SA .............................. 243,138 325 Nobel Biocare Holding AG ............... 7,113 13,028 Novartis AG ............................ 530,358 1,191 Roche Holding AG ....................... 162,284 1,470 STMicroelectronics NV .................. 11,077 79 Swatch Group AG (The) .................. 12,715 66 Swiss Life Holding AG .................. 5,712 764 Swiss Reinsurance ...................... 25,387 48 Swisscom AG ............................ 14,771 166 Syngenta AG ............................ 38,624 149 Synthes, Inc. .......................... 14,408 3,903 UBS AG ................................. 47,925 860 Zurich Financial Services AG ........... 152,015 ----------- 1,550,034 ----------- United Kingdom -- 14.9% 2,297 3i Group PLC ........................... 9,189 2,800 Anglo American PLC ..................... 81,454 4,607 Anglo American PLC ..................... 134,695 9,940 AstraZeneca PLC ........................ 438,250 29,540 Aviva PLC .............................. 166,310 6,290 BAE Systems PLC ........................ 35,146 16,799 Barclays PLC ........................... 78,061 5,198 BG Group PLC ........................... 87,527 9,663 BHP Billiton PLC ....................... 217,776 30,463 BP PLC ................................. 240,697 3,143 British American Tobacco PLC ........... 86,754 1,069 British Land Co. PLC ................... 6,731 2,330 British Sky Broadcasting Group PLC ..... 17,490 30,018 BT Group PLC, Class A .................. 50,292 4,422 Cable & Wireless PLC ................... 9,705 2,451 Cadbury PLC ............................ 20,949 1,219 Capita Group PLC (The) ................. 14,372 400 Carnival PLC ........................... 10,653 9,673 Centrica PLC ........................... 35,566 18,980 Compass Group PLC ...................... 107,129 3,710 Diageo PLC ............................. 53,284 8,510 Enterprise Inns PLC .................... 17,510 5,480 Friends Provident Group PLC ............ 5,926 28,000 G4S PLC ................................ 96,434 8,732 GlaxoSmithKline PLC .................... 154,226 490 Hammerson PLC .......................... 2,484 2,878 Home Retail Group PLC .................. 12,353 72,601 HSBC Holdings PLC ...................... 604,811 12,960 Imperial Tobacco Group PLC ............. 337,295 619 Intercontinental Hotels Group PLC ...... 6,371 3,260 International Power PLC ................ 12,804 830 Johnson Matthey PLC .................... 15,760 4,950 Kingfisher PLC ......................... 14,522 1,460 Ladbrokes PLC .......................... 4,424 Shares Value ------- ----- United Kingdom (continued) 970 Land Securities Group PLC .............. $ 7,543 13,730 Legal & General Group PLC .............. 12,841 14,104 Lloyds TSB Group PLC ................... 16,258 350 London Stock Exchange Group PLC ........ 4,053 3,512 Man Group PLC .......................... 16,097 2,730 Marks & Spencer Group PLC .............. 13,765 2,695 National Grid PLC ...................... 24,317 540 Next PLC ............................... 13,083 12,240 Old Mutual PLC ......................... 16,345 1,940 Pearson PLC ............................ 19,535 4,759 Prudential PLC ......................... 32,528 831 Reckitt Benckiser Group PLC ............ 37,948 1,930 Reed Elsevier PLC ...................... 14,418 1,680 Rexam PLC .............................. 7,896 5,933 Rio Tinto PLC .......................... 205,455 3,689 Rolls-Royce Group PLC .................. 22,055 9,434 Royal Bank of Scotland Group PLC ....... 5,996 5,679 RSA Insurance Group PLC ................ 11,276 1,780 SABMiller PLC .......................... 36,341 4,410 Sage Group PLC (The) ................... 12,956 3,120 Sainsbury (J) PLC ...................... 16,111 1,550 Scottish & Southern Energy PLC ......... 29,160 500 Severn Trent PLC ....................... 9,016 2,010 Smith & Nephew PLC ..................... 14,922 1,276 Smiths Group PLC ....................... 14,763 18,289 Standard Chartered PLC ................. 343,865 11,297 Tesco PLC .............................. 65,968 411 Thomson Reuters PLC .................... 11,754 2,071 Tullow Oil PLC ......................... 32,073 2,529 Unilever PLC ........................... 59,433 1,228 United Utilities Group PLC ............. 10,069 86,514 Vodafone Group PLC ..................... 168,253 625 Whitbread PLC .......................... 8,430 2,185 WM Morrison Supermarkets PLC ........... 8,534 157 Wolseley PLC ........................... 3,005 2,730 WPP PLC ................................ 18,153 3,750 Xstrata PLC ............................ 40,753 ----------- 4,571,918 ----------- United States -- 0.7% 4,650 Philip Morris International, Inc. ...... 202,833 ----------- Total Common Stock (Cost $37,466,689) .............. 29,092,566 ----------- PREFERRED STOCK -- 2.4% Brazil -- 2.1% 5,300 Banco Bradesco SA ...................... 78,037 12,800 Cia Vale do Rio Doce ................... 196,974 34,170 Investimentos Itau SA .................. 150,760 12,600 Petroleo Brasileiro SA ................. 209,742 ----------- 635,513 ----------- France -- 0.2% 1,350 Bureau Veritas SA ...................... 66,469 ----------- See Notes to Financial Statements. 45 WILSHIRE VARIABLE INSURANCE TRUST INTERNATIONAL EQUITY FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Shares Value ------- ----- Germany -- 0.1% 550 Henkel AG & Co. KGaA ................... $ 17,169 190 Porsche Automobil Holding SE ........... 12,784 160 Volkswagen AG .......................... 11,192 ----------- 41,145 ----------- Total Preferred Stock (Cost $1,034,955) ............ 743,127 ----------- EXCHANGE TRADED FUND -- 1.4% 9,400 iShares MSCI EAFE Index Fund ........... 430,614 ----------- Total Exchange Traded Fund (Cost $414,316) ......... 430,614 ----------- RIGHT -- 0.0% 4,495 Fortis, Expires 07/14+ ................. -- ----------- Total Right (Cost $--) ............................. -- ----------- CASH EQUIVALENT -- 0.7% United States -- 0.7% 222,742 PNC Institutional Money Market Trust, 0.050%(a) ................ 222,742 ----------- Total Cash Equivalent (Cost $222,742) .............. 222,742 ----------- Total Investments -- 99.2% (Cost $39,138,702) ................................. 30,489,049 Other Assets & Liabilities, Net -- 0.8% ............ 251,736 ----------- NET ASSETS -- 100.0% $30,740,785 ----------- ADR - American Depositary Receipt MSCI EAFE - Morgan Stanley Capital International Europe Australasia and Far East (a) The rate shown is the 7-day effective yield as of June 30, 2009. + Non-income producing security. ^ Securities incorporated in the same country but traded on different exchanges. Amounts designated as "--" are either $0, or have been rounded to $0. See Notes to Financial Statements. 46 WILSHIRE VARIABLE INSURANCE TRUST SOCIALLY RESPONSIBLE FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS (UNAUDITED) Shares Value ------- ----- COMMON STOCK -- 92.5% Consumer Discretionary -- 10.8% 500 Amazon.com, Inc.+ ...................... $ 41,830 6,200 Cablevision Systems Corp., Class A ..... 120,342 17,850 Comcast Corp. Special, Class A ......... 258,647 6,040 Home Depot, Inc. (The) ................. 142,725 10,550 Lowe's Cos., Inc. ...................... 204,776 9,400 Marcus Corp. ........................... 98,888 4,500 McDonald's Corp. ....................... 258,705 10,400 Newell Rubbermaid, Inc. ................ 108,264 30,090 News Corp., Class B .................... 318,051 35,800 Staples, Inc. .......................... 722,086 32,500 Target Corp. ........................... 1,282,775 33,100 Toll Brothers, Inc.+ ................... 561,707 26,310 Walt Disney Co. (The) .................. 613,812 ----------- 4,732,608 ----------- Consumer Staples -- 10.4% 4,100 Cadbury PLC ADR ........................ 141,040 4,300 Costco Wholesale Corp. ................. 196,510 8,700 Estee Lauder Cos., Inc. (The), Class A ................................ 284,229 4,230 General Mills, Inc. .................... 236,965 5,000 HJ Heinz Co. ........................... 178,500 11,600 Kellogg Co. ............................ 540,212 10,800 Kimberly-Clark Corp. ................... 566,244 13,060 Kraft Foods, Inc., Class A ............. 330,940 11,400 McCormick & Co., Inc. .................. 370,842 13,150 PepsiCo, Inc. .......................... 722,724 19,180 Procter & Gamble Co. ................... 980,098 ----------- 4,548,304 ----------- Energy -- 12.5% 22,280 BP PLC ADR ............................. 1,062,310 2,550 ConocoPhillips ......................... 107,253 4,800 Devon Energy Corp. ..................... 261,600 3,690 Diamond Offshore Drilling, Inc. ........ 306,454 45,350 El Paso Corp. .......................... 418,581 2,200 EnCana Corp. ........................... 108,834 13,070 Halliburton Co. ........................ 270,549 6,150 Nabors Industries, Ltd.+ ............... 95,817 10,480 National Oilwell Varco, Inc.+ .......... 342,277 25,410 Newfield Exploration Co.+ .............. 830,145 10,500 PetroHawk Energy Corp.+ ................ 234,150 23,600 Petroleo Brasileiro SA ADR ............. 967,128 1,700 Schlumberger, Ltd. ..................... 91,987 12,870 Spectra Energy Corp. ................... 217,760 7,600 Weatherford International, Ltd.+ ....... 148,656 ----------- 5,463,501 ----------- Financials -- 11.8% 10,600 American Express Co. ................... 246,344 26,800 Annaly Capital Management, Inc. ........ 405,752 39,050 Bank of America Corp. .................. 515,460 7,360 Bank of New York Mellon Corp. (The) ............................ 215,721 Shares Value ------- ----- Financials (continued) 7 Berkshire Hathaway, Inc., Class A+ ..... $ 630,000 12,400 Charles Schwab Corp. (The) ............. 217,496 64,090 Chimera Investment Corp. ............... 223,674 10,000 Forest City Enterprises, Inc., Class A . 66,000 27,200 JPMorgan Chase & Co. ................... 927,792 7,900 Moody's Corp. .......................... 208,165 14,900 Progressive Corp. (The) ................ 225,139 17,820 Travelers Cos., Inc. (The) ............. 731,333 22,100 Wells Fargo & Co. ...................... 536,146 ----------- 5,149,022 ----------- Health Care -- 10.6% 19,200 Abbott Laboratories .................... 903,168 15,200 AmerisourceBergen Corp., Class A ....... 269,648 2,750 Amgen, Inc.+ ........................... 145,585 1,240 Biogen Idec, Inc.+ ..................... 55,986 23,090 Bristol-Myers Squibb Co. ............... 468,958 5,220 Celgene Corp.+ ......................... 249,725 3,400 Edwards Lifesciences Corp.+ ............ 231,302 6,800 Genzyme Corp.+ ......................... 378,556 15,120 Johnson & Johnson ...................... 858,816 17,700 Novartis AG ADR ........................ 721,983 11,880 Pfizer, Inc. ........................... 178,200 6,500 UnitedHealth Group, Inc. ............... 162,370 ----------- 4,624,297 ----------- Industrials -- 11.0% 4,000 3M Co. ................................. 240,400 7,500 Covanta Holding Corp.+ ................. 127,200 4,000 Eaton Corp. ............................ 178,440 7,000 Emerson Electric Co. ................... 226,800 4,000 First Solar, Inc.+ ..................... 648,480 89,600 General Electric Co. ................... 1,050,112 8,300 Honeywell International, Inc. .......... 260,620 55,590 Masco Corp. ............................ 532,552 8,300 McDermott International, Inc.+ ......... 168,573 6,970 Norfolk Southern Corp. ................. 262,560 3,700 Pitney Bowes, Inc. ..................... 81,141 6,500 Quanta Services, Inc.+ ................. 150,345 5,860 Tyco International, Ltd. ............... 152,243 5,580 United Parcel Service, Inc., Class B ... 278,944 16,650 Waste Management, Inc. ................. 468,864 ----------- 4,827,274 ----------- Information Technology -- 16.6% 4,340 Apple, Inc.+ ........................... 618,146 21,300 ASML Holding NV, Class G ............... 461,145 8,300 Automatic Data Processing, Inc. ........ 294,152 22,740 Cisco Systems, Inc.+ ................... 423,873 1,800 Citrix Systems, Inc.+ .................. 57,402 29,100 Corning, Inc. .......................... 467,346 11,400 Dolby Laboratories, Inc., Class A+ ..... 424,992 15,600 EMC Corp.+ ............................. 204,360 830 Google, Inc., Class A+ ................. 349,920 4,500 Hewlett-Packard Co. .................... 173,925 See Notes to Financial Statements. 47 WILSHIRE VARIABLE INSURANCE TRUST SOCIALLY RESPONSIBLE FUND JUNE 30, 2009 SCHEDULE OF INVESTMENTS - (CONTINUED) (UNAUDITED) Shares Value ------- ----- Information Technology (continued) 11,900 Intel Corp. ............................ $ 196,945 2,920 International Business Machines Corp. ......................... 304,907 14,600 Juniper Networks, Inc.+ ................ 344,560 18,600 LSI Corp.+ ............................. 84,816 46,550 Microsoft Corp. ........................ 1,106,494 8,500 Nvidia Corp.+ .......................... 95,965 14,010 Oracle Corp. ........................... 300,094 19,400 QUALCOMM, Inc. ......................... 876,880 8,920 VeriSign, Inc.+ ........................ 164,841 3,850 Visa, Inc., Class A .................... 239,701 6,100 Yahoo!, Inc.+ .......................... 95,526 ----------- 7,285,990 ----------- Materials -- 3.5% 3,400 Air Products & Chemicals, Inc. ......... 219,606 3,400 BHP Billiton, Ltd. ADR ................. 186,082 10,230 Celanese Corp., Ser A, Class A ......... 242,962 3,100 Ecolab, Inc. ........................... 120,869 8,200 EI Du Pont de Nemours & Co. ............ 210,084 4,100 Nucor Corp. ............................ 182,163 6,000 PPG Industries, Inc. ................... 263,400 3,000 Weyerhaeuser Co. ....................... 91,290 ----------- 1,516,456 ----------- Telecommunication Services -- 2.9% 7,100 American Tower Corp., Class A+ ......... 223,863 20,940 AT&T, Inc. ............................. 520,150 17,400 Verizon Communications, Inc. ........... 534,702 ----------- 1,278,715 ----------- Utilities -- 2.4% 13,900 FPL Group, Inc. ........................ 790,354 9,900 NRG Energy, Inc.+ ...................... 257,004 ----------- 1,047,358 ----------- Total Common Stock (Cost $37,288,902) .............. 40,473,525 ----------- EXCHANGE TRADED FUND -- 1.5% 7,360 SPDR Gold Trust ........................ 671,085 ----------- Total Exchange Traded Fund (Cost $689,102) ......... 671,085 ----------- Shares Value ------- ----- CASH EQUIVALENT -- 6.4% Cash Equivalent -- 6.4% 2,782,106 PNC Institutional Money Market Trust, 0.050%(a) ................. $ 2,782,106 ----------- Total Cash Equivalent (Cost $2,782,106) ............ 2,782,106 ----------- Total Investments -- 100.4% (Cost $40,760,110) ................................. 43,926,716 Other Assets & Liabilities, Net -- (0.4)% .......... (162,431) ----------- NET ASSETS -- 100.0% $43,764,285 =========== ADR - American Depositary Receipt SPDR - Standard & Poor's Depositary Receipt (a) The rate shown is the 7-day effective yield as of June 30, 2009. + Non-income producing security. See Notes to Financial Statements. 48 WILSHIRE VARIABLE INSURANCE TRUST STATEMENTS OF ASSETS AND LIABILITIES JUNE 30, 2009 (UNAUDITED)
SMALL CAP EQUITY BALANCED INCOME GROWTH FUND FUND FUND FUND ------------- ------------ ------------ ------------ ASSETS: Investments in securities at value ^ (Note 2) ........................... $ 250,180,194 $148,745,079 $ 95,058,152 $ 30,750,130 Cash ................................ -- 376,170 -- -- Foreign currency, at value .......... -- -- 75,235 -- Unrealized appreciation on forward contracts .................. -- -- 7,835 -- Receivable for investment securities sold and matured ........ 8,249,224 -- 2,837,539 3,781,677 TBA purchase commitments, at value (cost payable $0, $0, $22,715,859, $0, $0, $0) ........................ -- -- 22,814,565 -- Receivable for Fund shares sold ..... 16,006 8,904 1,129 15,726 Dividends and interest receivable ... 280,817 -- 883,326 7,720 Reclaims receivable ................. 5,403 -- 4,380 -- Prepaid expenses and other assets ... 13,885 7,239 6,038 1,325 ------------- ------------ ------------ ------------ Total Assets ........................ 258,745,529 149,137,392 121,688,199 34,556,578 ------------- ------------ ------------ ------------ LIABILITIES: Payable for investment securities purchased .......................... 8,477,287 -- 23,312,891 4,256,934 TBA sale commitments, at value (proceeds receivable $0, $0, $2,200,148, $0, $0, $0) ............ -- -- 2,229,438 -- Variation margin .................... 24,795 -- -- -- Payable for Fund shares redeemed .... -- -- 245 -- Unrealized depreciation on forward contracts .................. -- -- 188,382 -- Obligation to return securities lending collateral ................. -- -- -- 18 Investment advisory fees payable (Note 3) ........................... 288,709 -- 90,922 49,689 Distribution fees payable (Note 4) .. 146,723 -- 48,979 13,322 Administration and Accounting fees payable ....................... 54,732 33,551 22,913 6,956 Printing fees payable ............... 53,741 24,871 18,081 6,681 Professional fees payable ........... 43,992 27,979 14,940 5,785 Custody fees payable ................ 20,456 995 8,880 12,815 Chief Compliance Officer fees payable 2,713 2,373 1,550 470 Other accrued expenses .............. 22,170 12,102 9,564 6,738 ------------- ------------ ------------ ------------ Total Liabilities .................. 9,135,318 101,871 25,946,785 4,359,408 ------------- ------------ ------------ ------------ NET ASSETS .......................... $ 249,610,211 $149,035,521 $ 95,741,414 $ 30,197,170 ============= ============ ============ ============ NET ASSETS consist of: Undistributed net investment income/ (Accumulated net investment loss) .. $1,273,167 $5,143,703 $ 6,600,083 $(165,990) Accumulated net realized gain/(loss) on investments, futures contracts and foreign currency transactions .. (178,405,809) (31,219,064) 92,185 (20,420,979) Net unrealized appreciation/ (depreciation) of investments, futures contracts and other assets and liabilities denominated in foreign currencies .............. (1,043,171) (18,288,167) (12,972,774) (1,199,330) Paid-in capital ..................... 427,786,024 193,399,049 102,021,920 51,983,469 ------------- ------------ ------------ ------------ NET ASSETS .......................... $ 249,610,211 $149,035,521 $ 95,741,414 $ 30,197,170 ============= ============ ============ ============ SHARES OUTSTANDING: (Unlimited shares authorized) ....... 18,064,380 11,307,079 8,560,302 3,194,586 ============= ============ ============ ============ NET ASSET VALUE: (Offering and redemption price per share) ................... $ 13.82 $ 13.18 $ 11.18 $ 9.45 ============= ============ ============ ============ Investments, at cost (Note 1) ....... $ 251,247,255 $167,033,246 $107,866,634 $ 31,949,460 Foreign currency, at cost ........... $ -- $ -- $ 73,164 $ -- Market value of securities on loan .. $ -- $ -- $ -- $ 18
INTERNATIONAL SOCIALLY EQUITY RESPONSIBLE FUND FUND ----------- ------------ ASSETS: Investments in securities at value ^ (Note 2) ........................... $30,489,049 $ 43,926,716 Cash ................................ -- -- Foreign currency, at value .......... 120,520 -- Unrealized appreciation on forward contracts .................. -- -- Receivable for investment securities sold and matured ........ 394,852 -- TBA purchase commitments, at value (cost payable $0, $0, $22,715,859, $0, $0, $0) ........................ -- -- Receivable for Fund shares sold ..... 18,389 14,430 Dividends and interest receivable ... 59,345 63,904 Reclaims receivable ................. 142,223 -- Prepaid expenses and other assets ... 1,403 2,066 ----------- ------------ Total Assets ........................ 31,225,781 44,007,116 ----------- ------------ LIABILITIES: Payable for investment securities purchased .......................... 369,489 87,981 TBA sale commitments, at value (proceeds receivable $0, $0, $2,200,148, $0, $0, $0) ............ -- -- Variation margin .................... -- -- Payable for Fund shares redeemed .... -- 43,357 Unrealized depreciation on forward contracts .................. -- -- Obligation to return securities lending collateral ................. -- Investment advisory fees payable (Note 3) ........................... 46,448 62,314 Distribution fees payable (Note 4) .. 13,434 18,506 Administration and Accounting fees payable ....................... 7,244 9,623 Printing fees payable ............... 6,843 6,645 Professional fees payable ........... 5,772 7,802 Custody fees payable ................ 24,290 2,229 Chief Compliance Officer fees payable 484 667 Other accrued expenses .............. 10,992 3,707 ----------- ------------ Total Liabilities .................. 484,996 242,831 ----------- ------------ NET ASSETS .......................... $30,740,785 $ 43,764,285 =========== ============ NET ASSETS consist of: Undistributed net investment income/ (Accumulated net investment loss) .. $819,423 $ 1,183,032 Accumulated net realized gain/(loss) on investments, futures contracts and foreign currency transactions .. (8,923,521) (26,625,269) Net unrealized appreciation/ (depreciation) of investments, futures contracts and other assets and liabilities denominated in foreign currencies .............. (8,624,789) 3,166,606 Paid-in capital ..................... 47,469,672 66,039,916 ----------- ------------ NET ASSETS .......................... $30,740,785 $ 43,764,285 =========== ============ SHARES OUTSTANDING: (Unlimited shares authorized) ....... 3,191,739 5,187,835 =========== ============ NET ASSET VALUE: (Offering and redemption price per share) ................... $ 9.63 $ 8.44 =========== ============ Investments, at cost (Note 1) ....... $39,138,702 $ 40,760,110 Foreign currency, at cost ........... $ 120,571 $ -- Market value of securities on loan .. $ -- $ --
^ For Balanced Fund represents value of investments in affiliated funds. Amounts designated as "--" are either $0, or have been rounded to $0. See Notes to Financial Statements. 49 WILSHIRE VARIABLE INSURANCE TRUST STATEMENTS OF OPERATIONS FOR THE SIX MONTHS ENDED JUNE 30, 2009 (UNAUDITED)
SMALL CAP EQUITY BALANCED INCOME GROWTH FUND FUND FUND FUND ----------- ----------- ---------- ----------- INVESTMENT INCOME: Dividends# ........................... $ 2,700,707 $ -- $ 62,365 $ 58,729 Interest ............................. 1,610 -- 2,330,279 168 Foreign taxes withheld ............... -- -- -- -- ----------- ----------- ---------- ----------- Total Income $ 2,702,317 $ -- $2,392,644 $ 58,897 ----------- ----------- ---------- ----------- EXPENSES Investment advisory fees (Note 3) .... 815,077 -- 269,724 168,136 Distribution fees (Note 4) ........... 291,092 -- 122,608 36,550 Administration and Accounting fees ... 78,327 48,648 33,331 9,859 Chief Compliance Officer fees ........ 395 1,196 858 235 Professional fees .................... 64,938 49,646 32,156 9,488 Printing fees ........................ 62,654 32,224 23,354 8,177 Transfer agent fees .................. 42,160 8,867 6,454 1,856 Custodian fees ....................... 33,924 3,092 (12,722) 5,942 Trustees' fees and expenses (Note 3) . 24,200 14,350 9,721 2,724 Other ................................ 20,348 12,366 31,891 14,602 ----------- ----------- ---------- ----------- Total Expenses ...................... 1,433,115 170,389 517,375 257,569 Fees waived and reimbursed by investment adviser (Note 3) ......... -- -- -- (32,682) ----------- ----------- ---------- ----------- Net expenses ........................ 1,433,115 170,389 517,375 224,887 ----------- ----------- ---------- ----------- Net Investment Income/(Loss) ......... 1,269,202 (170,389) 1,875,269 (165,990) ----------- ----------- ---------- ----------- NET REALIZED AND UNREALIZED GAIN/(LOSS) ON INVESTMENTS, FUTURES CONTRACTS AND FOREIGN CURRENCY TRANSACTIONS (Notes 2 and 5) Net realized gain/(loss) from: Investments ......................... (77,939,897) (2,021,842) 46,567 (4,283,066) Distributions from underlying funds . -- -- -- -- Futures contracts ................... 170,693 -- -- -- Forward foreign currency exchange contracts and foreign currency transactions ..... -- -- 56,955 -- Net change in unrealized appreciation/(depreciation) of: Investments ......................... 80,916,244 5,301,763 3,099,295 6,904,466 Futures contracts ................... (5,038) -- -- -- Forward foreign currency exchange contracts and other assets and liabilities denominated in foreign currencies ................ -- -- (65,620) -- ----------- ----------- ---------- ----------- Net realized and unrealized gain/(loss) on investments, futures contracts and foreign currencies .............. 3,142,002 3,279,921 3,137,197 2,621,400 ----------- ----------- ---------- ----------- NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS ........... $ 4,411,204 $ 3,109,532 $5,012,466 $ 2,455,410 ----------- ----------- ---------- -----------
INTERNATIONAL SOCIALLY EQUITY RESPONSIBLE FUND FUND ----------- --------- INVESTMENT INCOME: Dividends# ........................... $ 776,667 $ 637,366 Interest ............................. 1,948 429 Foreign taxes withheld ............... (63,861) (841) ----------- --------- Total Income $ 714,754 $ 636,954 ----------- --------- EXPENSES Investment advisory fees (Note 3) .... 151,442 173,439 Distribution fees (Note 4) ........... 37,860 50,904 Administration and Accounting fees ... 10,198 13,735 Chief Compliance Officer fees ........ 237 325 Professional fees .................... 9,275 12,806 Printing fees ........................ 8,294 8,600 Transfer agent fees .................. 1,911 2,567 Custodian fees ....................... 2,809 5,150 Trustees' fees and expenses (Note 3) . 2,801 3,864 Other ................................ 33,395 4,282 ----------- --------- Total Expenses ...................... 258,222 275,672 Fees waived and reimbursed by investment adviser (Note 3) ......... (29,070) -- ----------- --------- Net expenses ........................ 229,152 275,672 ----------- --------- Net Investment Income/(Loss) ......... 485,602 361,282 ----------- --------- NET REALIZED AND UNREALIZED GAIN/(LOSS) ON INVESTMENTS, FUTURES CONTRACTS AND FOREIGN CURRENCY TRANSACTIONS (Notes 2 and 5) Net realized gain/(loss) from: Investments ......................... (4,221,460) (20,388,405) Distributions from underlying funds . -- -- Futures contracts ................... -- -- Forward foreign currency exchange contracts and foreign currency transactions ..... 6,963 -- Net change in unrealized appreciation/(depreciation) of: Investments ......................... 5,633,143 20,233,321 Futures contracts ................... -- -- Forward foreign currency exchange contracts and other assets and liabilities denominated in foreign currencies ................ 10,230 -- ----------- --------- Net realized and unrealized gain/(loss) on investments, futures contracts and foreign currencies .............. 1,428,876 (155,084) ----------- --------- NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS ........... $ 1,914,478 $ 206,198 ----------- ---------
# For Balanced Fund, represents income from affiliated funds. Amounts designated as "--" are either $0, or have been rounded to $0. See Notes to Financial Statements. 50 WILSHIRE VARIABLE INSURANCE TRUST STATEMENTS OF CHANGES IN NET ASSETS FOR THE SIX MONTHS ENDED JUNE 30, 2009 (UNAUDITED)
SMALL CAP EQUITY BALANCED INCOME GROWTH FUND FUND FUND FUND ----------- ----------- ------------ ---------- Operations: Net investment income/(loss) ....... $ 1,269,202 $ (170,389) $ 1,875,269 $ (165,990) Net realized gain/(loss) on investments, futures contracts, forward foreign currency exchange contracts and foreign currency transactions ............. (77,769,204) (2,021,842) 103,522 (4,283,066) Net change in unrealized appreciation of investments, futures contracts, forward foreign currency exchange contracts and other assets and liabilities denominated in foreign currencies . 80,911,206 5,301,763 3,033,675 6,904,466 ------------ ------------ ------------ ----------- Net increase in net assets resulting from operations ......... 4,411,204 3,109,532 5,012,466 2,455,410 ------------ ------------ ------------ ----------- Capital Stock Transactions: (Dollars) Shares sold ...................... 3,551,087 547,045 1,284,993 763,960 Shares redeemed .................. (12,685,914) (9,878,812) (12,160,009) (3,875,351) ................................... ------------ ------------ ------------ ----------- Net decrease in net assets from capital stock transactions ........ (9,134,827) (9,331,767) (10,875,016) (3,111,391) ------------ ------------ ------------ ----------- Net decrease in net assets ......... (4,723,623) (6,222,235) (5,862,550) (655,981) NET ASSETS: Beginning of period ................ 254,333,834 155,257,756 101,603,964 30,853,151 ------------ ------------ ------------ ----------- End of period ...................... $249,610,211 $149,035,521 $ 95,741,414 $30,197,170 ------------ ------------ ------------ ----------- Undistributed net investment income/(Accumulated net investment loss) at end of period ......................... $ 1,273,167 $ 5,143,703 $ 6,600,083 $ (165,990) ------------ ------------ ------------ ----------- Capital Share Transactions: Shares sold ...................... 265,166 43,191 117,717 89,481 Shares redeemed .................. (1,017,853) (802,554) (1,117,338) (442,861) ------------ ------------ ------------ ----------- Net decrease in shares outstanding . (752,687) (759,363) (999,621) (353,380) ------------ ------------ ------------ -----------
INTERNATIONAL SOCIALLY EQUITY RESPONSIBLE FUND FUND ---------- ------------ Operations: Net investment income/(loss) ....... $ 485,602 $ 361,282 Net realized gain/(loss) on investments, futures contracts, forward foreign currency exchange contracts and foreign currency transactions ............. (4,214,497) (20,388,405) Net change in unrealized appreciation of investments, futures contracts, forward foreign currency exchange contracts and other assets and liabilities denominated in foreign currencies . 5,643,373 20,233,321 ----------- ------------ Net increase in net assets resulting from operations ......... 1,914,478 206,198 ----------- ------------ Capital Stock Transactions: (Dollars) Shares sold ...................... 937,148 779,614 Shares redeemed .................. (4,964,727) (1,799,317) ................................... ----------- ------------ Net decrease in net assets from capital stock transactions ........ (4,027,579) (1,019,703) ----------- ------------ Net decrease in net assets ......... (2,113,101) (813,505) NET ASSETS: Beginning of period ................ 32,853,886 44,577,790 ----------- ------------ End of period ...................... $30,740,785 $ 43,764,285 ----------- ------------ Undistributed net investment income/(Accumulated net investment loss) at end of period ......................... $ 819,423 $ 1,183,032 ----------- ------------ Capital Share Transactions: Shares sold ...................... 109,720 99,675 Shares redeemed .................. (548,595) (235,279) ----------- ------------ Net decrease in shares outstanding . (438,875) (135,604) ----------- ------------
See Notes to Financial Statements. 51 WILSHIRE VARIABLE INSURANCE TRUST STATEMENTS OF CHANGES IN NET ASSETS FOR THE YEAR ENDED DECEMBER 31, 2008
SMALL CAP EQUITY BALANCED INCOME GROWTH FUND FUND FUND FUND ------------ ------------ ------------ ------------ Operations: Net investment income/(loss) .............. $ 3,145,465 $ 3,848,157 $ 5,175,098 $ (381,410) Net realized gain/(loss) on investments, futures contracts, forward foreign currency exchange contracts and foreign currency transactions ............ (91,110,121) (22,937,930) 2,054,752 (12,852,693) Distributions from underlying funds ....... -- 1,635,347 -- -- Net change in unrealized appreciation/ (depreciation) of investments, futures contracts, forward foreign currency exchange contracts and other assets and liabilities denominated in foreign currencies ....................... (100,644,742) (42,884,329) (15,601,892) (13,596,976) ------------ ------------ ------------ ------------ Net decrease in net assets resulting from operations .......................... (188,609,398) (60,338,755) (8,372,042) (26,831,079) ------------ ------------ ------------ ------------ Distributions to Shareholders From: Net investment income ..................... (3,121,578) (12,582,403) (5,466,491) -- Net realized capital gains ................ (793,565) (11,917,231) (2,370,929) -- ------------ ------------ ------------ ------------ Total distributions to shareholders ............................. (3,915,143) (24,499,634) (7,837,420) -- ------------ ------------ ------------ ------------ Capital Stock Transactions: (Dollars) Shares sold ............................. 28,278,757 1,589,717 15,887,444 3,277,019 Shares issued from merger ............... -- -- 4,105,280 -- Shares issued as reinvestment of distributions ...................... 3,891,019 24,499,630 7,837,416 -- Shares redeemed ......................... (81,443,597) (29,177,084) (37,480,121) (4,351,194) ------------ ------------ ------------ ------------ Net increase/(decrease) in net assets from capital stock transactions .......... (49,273,821) (3,087,737) (9,649,981) (1,074,175) ------------ ------------ ------------ ------------ Net decrease in net assets ................ (241,798,362) (87,926,126) (25,859,443) (27,905,254) NET ASSETS: Beginning of year ......................... 496,132,196 243,183,882 127,463,407 58,758,405 ------------ ------------ ------------ ------------ End of year ............................... $254,333,834 $155,257,756 $101,603,964 $ 30,853,151 ============ ============ ============ ============ Undistributed net investment income at end of year ........................... $ 3,965 $ 5,314,092 $ 4,724,814 $ -- ============ ============ ============ ============ Capital Share Transactions: Shares sold ............................. 2,013,913 87,690 1,387,859 271,641 Shares issued from merger ............... -- -- 362,339 -- Shares issued as reinvestment of distributions ...................... 298,755 1,862,221 730,664 -- Shares redeemed ......................... (5,097,194) (1,600,842) (3,290,906) (345,521) ------------ ------------ ------------ ------------ Net increase/(decrease) in shares outstanding ....................... (2,784,526) 349,069 (810,044) (73,880) ============ ============ ============ ============
INTERNATIONAL SOCIALLY EQUITY RESPONSIBLE FUND FUND ----------- ------------ Operations: Net investment income/(loss) .............. $ 884,822 $ 821,789 Net realized gain/(loss) on investments, futures contracts, forward foreign currency exchange contracts and foreign currency transactions ............ (4,631,200) (6,188,823) Distributions from underlying funds ....... -- -- Net change in unrealized appreciation/ (depreciation) of investments, futures contracts, forward foreign currency exchange contracts and other assets and liabilities denominated in foreign currencies ....................... (21,262,212) (26,154,352) ----------- ------------ Net decrease in net assets resulting from operations .......................... (25,008,590) (31,521,386) ----------- ------------ Distributions to Shareholders From: Net investment income ..................... (719,012) (883,214) Net realized capital gains ................ -- (3,836,943) ----------- ------------ Total distributions to shareholders ............................. (719,012) (4,720,157) ----------- ------------ Capital Stock Transactions: (Dollars) Shares sold ............................. 5,034,734 1,258,929 Shares issued from merger ............... -- -- Shares issued as reinvestment of distributions ...................... 719,168 4,720,155 Shares redeemed ......................... (4,265,202) (8,962,208) ----------- ------------ Net increase/(decrease) in net assets from capital stock transactions .......... 1,488,700 (2,983,124) ----------- ------------ Net decrease in net assets ................ (24,238,902) (39,224,667) NET ASSETS: Beginning of year ......................... 57,092,788 83,802,457 ----------- ------------ End of year ............................... $32,853,886 $ 44,577,790 =========== ============ Undistributed net investment income at end of year ........................... $ 333,821 $ 821,750 =========== ============ Capital Share Transactions: Shares sold ............................. 390,016 104,391 Shares issued from merger ............... -- -- Shares issued as reinvestment of distributions ...................... 81,531 582,656 Shares redeemed ......................... (314,259) (676,532) ----------- ------------ Net increase/(decrease) in shares outstanding ....................... 157,288 10,515 =========== ============
Amounts designated as "--" are either $0, or have been rounded to $0. See Notes to Financial Statements. 52 WILSHIRE VARIABLE INSURANCE TRUST EQUITY FUND FINANCIAL HIGHLIGHTS FOR A FUND SHARE OUTSTANDING THROUGHOUT EACH PERIOD.
SIX MONTHS ENDED YEAR ENDED DECEMBER 31, JUNE 30, 2009 ------------------------------------------------------------ (UNAUDITED) 2008 2007 2006 2005 2004 ------------- -------- -------- -------- -------- -------- Net asset value, beginning of period ......... $ 13.52 $ 22.97 $ 25.24 $ 22.35 $ 21.34 $ 19.63 -------- -------- -------- -------- -------- -------- INCOME FROM INVESTMENT OPERATIONS: Net investment income(1) ..................... 0.07 0.15 0.14 0.21 0.25 0.26 Net realized and unrealized gain/(loss) on investments and futures contracts ........... 0.23 (9.39) 0.47 3.57 1.01 1.73 -------- -------- -------- -------- -------- -------- Total from investment operations ............. 0.30 (9.24) 0.61 3.78 1.26 1.99 -------- -------- -------- -------- -------- -------- LESS DISTRIBUTIONS: From net investment income ................... -- (0.17) (0.15) (0.23) (0.25) (0.28) From capital gains ........................... -- (0.04) (2.73) (0.66) -- -- -------- -------- -------- -------- -------- -------- Total distributions .......................... -- (0.21) (2.88) (0.89) (0.25) (0.28) -------- -------- -------- -------- -------- -------- Net asset value, end of period ............... $ 13.82 $ 13.52 $ 22.97 $ 25.24 $ 22.35 $ 21.34 ======== ======== ======== ======== ======== ======== Total return(2) .............................. 2.22%(3) (40.19)% 2.20% 16.92% 5.90% 10.15% ======== ======== ======== ======== ======== ======== RATIOS TO AVERAGE NET ASSETS/ SUPPLEMENTAL DATA: Net assets, end of period (in 000's) ......... $249,610 $254,334 $496,132 $527,981 $505,499 $535,028 -------- -------- -------- -------- -------- -------- Operating expenses including reimbursement/waiver and excluding earnings credits .................. 1.23%(4) 1.17% 1.13% 1.00% 0.86% 0.87% Operating expenses excluding reimbursement/waiver and earnings credits ............................ 1.23%(4) 1.17% 1.13% 1.03% 0.93% 0.91% Net investment income ........................ 1.09%(4) 0.80% 0.54% 0.87% 1.15% 1.30% Portfolio turnover rate ...................... 174%(3) 93% 81% 135% 44% 35%
(1) The selected per share data was calculated using the average shares outstanding method for the period. (2) If you are an annuity contract owner, the total return does not reflect the expenses that apply to the separate account or related insurance policies. The inclusion of these charges would reduce the total return figures for all periods shown. (3) Not annualized. (4) Annualized. Amounts designated as "--" are either $0, or have been rounded to $0. See Notes to Financial Statements. 53 WILSHIRE VARIABLE INSURANCE TRUST BALANCED FUND FINANCIAL HIGHLIGHTS - (CONTINUED) FOR A FUND SHARE OUTSTANDING THROUGHOUT EACH PERIOD.
SIX MONTHS ENDED YEAR ENDED DECEMBER 31, JUNE 30, 2009 ---------------------------------------------------- (UNAUDITED) 2008 2007 2006 2005 2004 ----------- -------- -------- -------- -------- -------- Net asset value, beginning of period ..... $ 12.87 $ 20.75 $ 20.13 $ 18.72 $ 17.95 $ 17.02 -------- -------- -------- -------- -------- -------- INCOME FROM INVESTMENT OPERATIONS: Net investment income/(loss)(1) .......... (0.01) 0.35 0.39 0.41 0.11 0.38 Net realized and unrealized gain/(loss) on investments .......................... 0.32 (5.94) 0.23 1.76 0.66 1.01 -------- -------- -------- -------- -------- -------- Total from investment operations ......... 0.31 (5.59) 0.62 2.17 0.77 1.39 -------- -------- -------- -------- -------- -------- LESS DISTRIBUTIONS: From net investment income ............... -- (1.13) -- (0.70) -- (0.46) From capital gains ....................... -- (1.16) -- (0.06) -- -- -------- -------- -------- -------- -------- -------- Total distributions ...................... -- (2.29) -- (0.76) -- (0.46) -------- -------- -------- -------- -------- -------- Net asset value, end of period ........... $ 13.18 $12.87 $ 20.75 $ 20.13 $ 18.72 $ 17.95 ======== ======== ======== ======== ======== ======== Total return(2) .......................... 2.41%(3) (26.68)% 3.08% 11.59% 4.29% 8.18% ======== ======== ======== ======== ======== ======== RATIOS TO AVERAGE NET ASSETS/ SUPPLEMENTAL DATA: Net assets, end of period (in 000's) ..... $149,036 $155,258 $243,184 $260,416 $256,819 $269,488 Operating expenses including reimbursement/waiver and excluding earnings credits+ ............. 0.24%(4) 0.16% 0.09% 0.08% 0.06% 0.04% Operating expenses excluding reimbursement/waiver and earnings credits+ ....................... 0.24%(4) 0.16% 0.09% 0.10% 0.06% 0.04% Net investment income/(loss) ............. (0.24)%(4) 1.92% 1.88% 2.09% 0.60% 2.20% Portfolio turnover rate .................. 0%(3) 30% 10% 4% 1% 6%
+ These ratios do not include expenses from the underlying funds. (1) The selected per share data was calculated using the average shares outstanding method for the period. Recognition of net investment income by the Fund is affected by the timing of the declaration of dividends by the underlying investment companies in which the Fund invests. (2) If you are an annuity contract owner, the total return does not reflect the expenses that apply to the separate account or related insurance policies. The inclusion of these charges would reduce the total return figures for all periods shown. (3) Not annualized. (4) Annualized. Amounts designated as "--" are either $0, or have been rounded to $0. See Notes to Financial Statements. 54 WILSHIRE VARIABLE INSURANCE TRUST INCOME FUND FINANCIAL HIGHLIGHTS - (CONTINUED) FOR A FUND SHARE OUTSTANDING THROUGHOUT EACH PERIOD.
SIX MONTHS ENDED YEAR ENDED DECEMBER 31, JUNE 30, 2009 ---------------------------------------------------- (UNAUDITED) 2008 2007 2006 2005 2004 ------------- -------- -------- -------- -------- -------- Net asset value, beginning of period ..... $ 10.63 $ 12.29 $ 12.36 $ 12.40 $ 12.16 $ 12.26 ------- -------- -------- -------- -------- -------- INCOME FROM INVESTMENT OPERATIONS: Net investment income(1) ................. 0.20 0.54 0.56 0.52 0.45 0.41 Net realized and unrealized gain/ (loss) on investments and foreign currency transactions ................... 0.35 (1.33) (0.05) (0.03) (0.21) 0.19 ------- -------- -------- -------- -------- -------- Total from investment operations ......... 0.55 (0.79) 0.51 0.49 0.24 0.60 ------- -------- -------- -------- -------- -------- LESS DISTRIBUTIONS: From net investment income ............... -- (0.60) (0.56) (0.52) -- (0.47) From capital gains ....................... -- (0.27) (0.02) (0.01) -- (0.23) ------- -------- -------- -------- -------- -------- Total distributions ...................... -- (0.87) (0.58) (0.53) -- (0.70) ------- -------- -------- -------- -------- -------- Net asset value, end of period ........... $ 11.18 $ 10.63 $ 12.29 $ 12.36 $ 12.40 $ 12.16 ======= ======== ======== ======== ======== ======== Total return(2) .......................... 5.17%(3) (6.44)% 4.21% 3.99% 1.97% 4.94% ======= ======== ======== ======== ======== ======== RATIOS TO AVERAGE NET ASSETS/ SUPPLEMENTAL DATA: Net assets, end of period (in 000's) ..... $95,741 $101,604 $127,463 $129,228 $127,380 $127,557 ------- -------- -------- -------- -------- -------- Operating expenses including reimbursement/waiver and excluding earnings credits .............. 1.05%(4) 1.05% 0.98% 1.02% 0.95% 0.91% Operating expenses excluding reimbursement/waiver and earnings credits ........................ 1.05%(4) 1.05% 1.05% 1.05% 1.00% 0.93% Net investment income .................... 3.71%(4) 4.52% 4.47% 4.12% 3.64% 3.25% Portfolio turnover rate .................. 150%(3) 367% 458% 421% 765% 595%
(1) The selected per share data was calculated using the average shares outstanding method for the period. (2) If you are an annuity contract owner, the total return does not reflect the expenses that apply to the separate account or related insurance policies. The inclusion of these charges would reduce the total return figures for all periods shown. (3) Not annualized. (4) Annualized. Amounts designated as "--" are either $0, or have been rounded to $0. See Notes to Financial Statements. 55 WILSHIRE VARIABLE INSURANCE TRUST SMALL CAP GROWTH FUND FINANCIAL HIGHLIGHTS - (CONTINUED) FOR A FUND SHARE OUTSTANDING THROUGHOUT EACH PERIOD. SIX MONTHS ENDED YEAR ENDED DECEMBER 31, JUNE 30, 2009 --------------------------------------------------- (UNAUDITED) 2008 2007 2006 2005 2004 ------- ------- ------- ------- ------- ------- Net asset value, beginning of period $ 8.70 $ 16.22 $ 14.24 $ 12.78 $ 12.33 $ 11.81 ------- ------- ------- ------- ------- ------- INCOME/(LOSS) FROM INVESTMENT OPERATIONS: Net investment income/(loss)(1) (0.05) (0.11) (0.13) (0.18) (0.11) (0.16) Net realized and unrealized gain/(loss) on investments 0.80 (7.41) 2.11 1.64 0.56 0.68 ------- ------- ------- ------- ------- ------- Total from investment operations 0.75 (7.52) 1.98 1.46 0.45 0.52 ------- ------- ------- ------- ------- ------- Net asset value, end of period $ 9.45 $ 8.70 $ 16.22 $ 14.24 $ 12.78 $ 12.33 ======= ======= ======= ======= ======= ======= Total return(2) 8.62%(3) (46.36)% 13.91% 11.42% 3.65% 4.40% ======= ======= ======= ======= ======= ======= RATIOS TO AVERAGE NET ASSETS/ SUPPLEMENTAL DATA: Net assets, end of period (in 000's) $30,197 $30,853 $58,758 $54,195 $52,655 $56,286 Operating expenses including reimbursement/waiver and excluding earnings credits 1.54%(4) 1.64% 1.45% 1.60% 1.66% 1.58% Operating expenses excluding reimbursement/waiver and earnings credits 1.76%(4) 1.88% 1.76% 1.76% 1.73% 1.77% Net investment loss (1.14)%(4) (0.86)% (0.85)% (1.29)% (0.94)% (1.38)% Portfolio turnover rate 98%(3) 199% 110% 240% 152% 96%
(1) The selected per share data was calculated using the average shares outstanding method for the period. (2) If you are an annuity contract owner, the total return does not reflect the expenses that apply to the separate account or related insurance policies. The inclusion of these charges would reduce the total return figures for all periods shown. (3) Not annualized. (4) Annualized. See Notes to Financial Statements. 56 WILSHIRE VARIABLE INSURANCE TRUST INTERNATIONAL EQUITY FUND FINANCIAL HIGHLIGHTS - (CONTINUED) FOR A FUND SHARE OUTSTANDING THROUGHOUT EACH PERIOD.
SIX MONTHS ENDED YEAR ENDED DECEMBER 31, JUNE 30, 2009 --------------------------------------------------- (UNAUDITED) 2008 2007 2006 2005 2004 ------- ------- ------- ------- ------- ------- Net asset value, beginning of period $ 9.05 $ 16.44 $ 16.11 $ 13.11 $ 11.91 $ 10.91 ------- ------- ------- ------- ------- ------- INCOME FROM INVESTMENT OPERATIONS: Net investment income(1) 0.14 0.25 0.13 0.07 0.10 0.03 Net realized and unrealized gain/(loss) on investments and foreign currency transactions 0.44 (7.44) 1.26 3.04 1.11 1.13 ------- ------- ------- ------- ------- ------- Total from investment operations 0.58 (7.19) 1.39 3.11 1.21 1.16 ------- ------- ------- ------- ------- ------- LESS DISTRIBUTIONS: From net investment income -- (0.20) (0.15) (0.11) (0.01) (0.16) From capital gains -- -- (0.91) -- -- -- ------- ------- ------- ------- ------- ------- Total distributions -- (0.20) (1.06) (0.11) (0.01) (0.16) ------- ------- ------- ------- ------- ------- Net asset value, end of period $ 9.63 $ 9.05 $ 16.44 $ 16.11 $ 13.11 $ 11.91 ======= ======= ======= ======= ======= ======= Total return(2) 6.41%(3) (43.75)% 8.73% 23.76% 10.12% 10.61% ======= ======= ======= ======= ======= ======= RATIOS TO AVERAGE NET ASSETS/ SUPPLEMENTAL DATA: Net assets, end of period (in 000's) $30,741 $32,854 $57,093 $51,219 $41,882 $39,276 Operating expenses including reimbursement/waiver and excluding earnings credits 1.51%(4) 1.56% 2.06% 2.10% 1.71% 1.55% Operating expenses excluding reimbursement/waiver and earnings credits 1.71%(4) 1.78% 2.26% 2.27% 1.80% 1.60% Net investment income 3.21%(4) 1.90% 0.77% 0.49% 0.84% 0.26% Portfolio turnover rate 19%(3) 27% 106% 103% 48% 161%
(1) The selected per share data was calculated using the average shares outstanding method for the period. (2) If you are an annuity contract owner, the total return does not reflect the expenses that apply to the separate account or related insurance policies. The inclusion of these charges would reduce the total return figures for all periods shown. (3) Not annualized. (4) Annualized. Amounts designated as "--" are either $0, or have been rounded to $0. See Notes to Financial Statements. 57 WILSHIRE VARIABLE INSURANCE TRUST SOCIALLY RESPONSIBLE FUND FINANCIAL HIGHLIGHTS - (CONTINUED) FOR A FUND SHARE OUTSTANDING THROUGHOUT EACH PERIOD.
SIX MONTHS ENDED YEAR ENDED DECEMBER 31, JUNE 30, 2009 --------------------------------------------------- (UNAUDITE) 2008 2007 2006 2005 2004 ------- ------- ------- ------- ------- ------- Net asset value, beginning of period $ 8.37 $ 15.77 $ 17.43 $ 16.21 $ 15.42 $ 13.79 ------- ------- ------- ------- ------- ------- INCOME/(LOSS) FROM INVESTMENT OPERATIONS: Net investment income(1) 0.07 0.16 0.17 0.21 0.20 0.19 Net realized and unrealized gain/(loss) on investments -- (6.58) (0.60) 3.12 0.59 1.64 ------- ------- ------- ------- ------- ------- Total from investment operations 0.07 (6.42) (0.43) 3.33 0.79 1.83 ------- ------- ------- ------- ------- ------- LESS DISTRIBUTIONS: From net investment income -- (0.17) (0.21) (0.22) --(2) (0.20) From capital gains -- (0.81) (1.02) (1.89) -- -- ------- ------- ------- ------- ------- ------- Total distributions -- (0.98) (1.23) (2.11) -- (0.20) ------- ------- ------- ------- ------- ------- Net asset value, end of period $ 8.44 $ 8.37 $ 15.77 $ 17.43 $ 16.21 $ 15.42 ======= ======= ======= ======= ======= ======= Total return(3) 0.84%(4) (40.39)% (2.63)% 20.52% 5.13% 13.30% ======= ======= ======= ======= ======= ======= RATIOS TO AVERAGE NET ASSETS/ SUPPLEMENTAL DATA: Net assets, end of period (in 000's) $43,764 $44,578 $83,802 $91,154 $79,445 $80,336 Operating expenses including reimbursement/waiver and excluding earnings credits 1.35%(5) 1.32% 1.28% 1.23% 1.03% 1.01% Operating expenses excluding reimbursement/waiver and earnings credits 1.35%(5) 1.32% 1.29% 1.32% 1.26% 1.21% Net investment income 1.77%(5) 1.27% 0.96% 1.20% 1.29% 1.35% Portfolio turnover rate 186%(4) 34% 21% 46% 28% 32%
(1) The selected per share data was calculated using the average shares outstanding method for the period. (2) Less than $0.01 per share. (3) If you are an annuity contract owner, the total return does not reflect the expenses that apply to the separate account or related insurance policies. The inclusion of these charges would reduce the total return figures for all periods shown. (4) Not annualized. (5) Annualized. Amounts designated as "--" are either $0, or have been rounded to $0. See Notes to Financial Statements. 58 WILSHIRE VARIABLE INSURANCE TRUST NOTES TO THE FINANCIAL STATEMENTS JUNE 30, 2009 (UNAUDITED) 1. Organization. The Wilshire Variable Insurance Trust (the "Trust") is an open-end, diversified management investment company registered under the Investment Company Act of 1940 ("1940 Act"), which offers units of beneficial ownership (shares) in 9 separate investment portfolios. The portfolios presented in these financial statements are: Equity Fund, Balanced Fund, Income Fund, Small Cap Growth Fund, International Equity Fund and Socially Responsible Fund (collectively the "Funds", and each a "Fund"). The financial statements for the 2015 ETF Fund, 2025 ETF Fund, and 2035 ETF Fund are included in a separate annual report. Shares of the Funds are presently offered to Horace Mann Life Insurance Company ("HMLIC") Separate Account and the HMLIC 401(k) Separate Account. The Equity Fund shares also may be purchased under the dividend reinvestment plans by certain shareholders. FUND INVESTMENT OBJECTIVES: EQUITY FUND -- primary, long-term capital growth; secondary, conservation of principal and production of income. BALANCED FUND -- realization of high long-term total rate of return consistent with prudent investment risks. INCOME FUND -- long-term total rate of return in excess of the U.S. bond market over a full market cycle. SMALL CAP GROWTH FUND -- long-term capital appreciation through investing primarily in equity securities of small cap companies with earnings growth potential. INTERNATIONAL EQUITY FUND -- long-term growth of capital through diversified holdings of marketable foreign equity investments. SOCIALLY RESPONSIBLE FUND -- long-term growth of capital, current income and growth of income through investing primarily in equity securities of issuers that meet certain socially responsible criteria. 2. Significant Accounting Policies. SECURITY VALUATION -- A security listed or traded on a domestic exchange is valued at its last sales price on the exchange where it is principally traded. In the absence of a current quotation, the security is valued at the mean between the last bid and asked prices on the exchange. Securities traded on National Association of Securities Dealers Automatic Quotation ("Nasdaq") System are valued at the Nasdaq official closing price. If there is no Nasdaq official closing price available, the most recent bid quotation is used. Securities traded over-the-counter (other than on Nasdaq) are valued at the last current sale price. Equity securities primarily traded on a foreign exchange or market are valued daily at the price, which is an estimate of the fair value price, as provided by an independent pricing service. Debt securities that have a remaining maturity of 60 days or less are valued at prices supplied by the Funds' pricing agent for such securities, if available, and otherwise are valued at amortized cost. When market quotations are not readily available, securities are valued according to procedures established by the Board of Trustees or are valued at fair value as determined in good faith by the Pricing Committee, whose members include at least two representatives of the Adviser, one of whom is an officer of the Trust, or the Funds' Valuation Committee. Securities whose market value using the procedures outlined above does not reflect fair value because a significant valuation event has occurred may be valued at fair value by the Pricing Committee or the Valuation Committee. The value of fair valued securities may be different from the last sale price (or the mean between the last bid and asked prices), and there is no guarantee that a fair valued security will be sold at the price at which a Fund is carrying the security. Investments in the underlying funds by the Balanced Fund are valued at their net asset value as reported by the underlying funds. Investments in open-end and closed-end registered investment companies that do not trade on an exchange are valued at the end of day net asset value per share. Investments in open-end and closed-end registered investment companies that trade on an exchange are valued at the last sales price or official closing price as of the close of the customary trading session on the exchange where the security is principally traded. 59 WILSHIRE VARIABLE INSURANCE TRUST NOTES TO THE FINANCIAL STATEMENTS - (CONTINUED) JUNE 30, 2009 (UNAUDITED) The International Equity Fund uses FT Interactive Data Corp. ("FT") as a third party fair valuation vendor daily. FT provides a fair value for foreign securities in the International Equity Fund based on certain factors and methodologies (involving, generally, tracking valuation correlations between the U.S. market and each non-U.S. security) applied by FT. These factors are used to value the International Equity Fund. In such event, it is not necessary to hold a Pricing Committee meeting. In the event that the Adviser believes that the fair values provided by FT are not reliable, the Adviser contacts the International Equity Fund's Administrator and may request that a meeting of the Pricing Committee be held. SECURITY TRANSACTIONS AND INVESTMENT INCOME -- Security transactions are recorded on a trade date basis. Dividend income and distributions on underlying funds are recorded on the ex-dividend date or, for certain foreign dividends, as soon the dividend information becomes available. Interest income and distributions on underlying funds, premium and discount amortization is accrued daily. Securities gains and losses are determined on the basis of identified cost. Distributions received on securities that represent a return of capital or capital gain are reclassed as a reduction of cost of investments and/or as a realized gain. The actual character of income, realized gain and return of capital distributions received from Real Estate Investment Trusts ("REITs") are not known until after the end of the fiscal year, at which time such distributions are appropriately adjusted. The Income Fund, Small Cap Growth Fund, International Equity Fund and Socially Responsible Fund may purchase or sell securities on a when-issued or delayed-delivery basis and make contracts to purchase or sell securities for a fixed price at a future date beyond customary settlement time. Securities purchased or sold on a when-issued, delayed-delivery or forward commitment basis involve a risk of loss if the value of the security to be purchased declines prior to the settlement date. Although the Funds would generally purchase securities on a when-issued, delayed-delivery or forward commitment basis with the intention of acquiring the securities, each Fund may dispose of such securities prior to settlement if its sub-adviser deems it appropriate to do so. Each Fund may dispose of or negotiate a when-issued or forward commitment after entering into these transactions. Such transactions are generally considered to be derivative transactions. The Fund will normally realize a capital gain or loss in connection with these transactions. When a Fund purchases securities on a when-issued, delayed-delivery or forward commitment basis, the Fund's custodian will maintain cash or liquid securities having a value (determined daily) at least equal to the amount of the Fund's purchase commitments. In the case of a forward commitment to sell portfolio securities, the custodian will hold the portfolio securities themselves while the commitment is outstanding. These procedures are designed to ensure that each Fund will maintain sufficient assets at all times to cover its obligations under when-issued purchases, forward commitments and delayed-delivery transactions. REPURCHASE AGREEMENTS -- Securities pledged as collateral for repurchase agreements are held by PNC Global Investment Servicing, Inc. ("PNCGIS") and are designated as being held on each Fund's behalf by its custodian under a book-entry system. Each Fund monitors the adequacy of the collateral on a daily basis and can require the seller to provide additional collateral in the event the market value of the securities pledged falls below the carrying value of the repurchase agreement, including accrued interest. It is the Funds' policy to only enter into repurchase agreements with banks and other financial institutions which are deemed by the investment adviser to be creditworthy. The Fund bears the risk of loss in the event that the other party to a repurchase agreement defaults on its obligations and the Fund is prevented from exercising its rights to dispose of the underlying securities received as collateral and the risk of a possible decline in the value of the underlying securities during the period. There were no repurchase agreements as of June 30, 2009. INVESTMENTS IN REITS -- With respect to the Funds, dividend income is recorded based on the income included in distributions received from the REIT investments using published REIT reclassifications including some management estimates when actual amounts are not available. Distributions received in excess of these estimated amounts are recorded as a reduction of the cost of investments or reclassified to capital gains. The actual amounts of income, return of capital, and capital gains are only determined by each REIT after its fiscal year end, and may differ from the estimated amounts. SECURITIES LENDING -- The Equity, Income, Small Cap Growth, International Equity and the Socially Responsible Funds may seek additional income by lending their securities on a short-term basis to banks, brokers and dealers in return for cash collateral, which is invested in short-term securities. A Fund may return a portion of the interest earned to the borrower or a third party which is unaffiliated with the Trust and acting as a "placing broker." A Fund receives compensation for lending securities in the form of fees. A Fund also continues to receive dividends on the securities loaned. Security 60 WILSHIRE VARIABLE INSURANCE TRUST NOTES TO THE FINANCIAL STATEMENTS - (CONTINUED) JUNE 30, 2009 (UNAUDITED) loans are secured at all times by collateral. It is the Trust's policy that the collateral be equal to at least 102% of the market value of the securities loaned plus accrued interest when the transaction is entered into, and that the collateral supporting loans be remarked daily. Gain or loss in the market price of the securities loaned that may occur during the term of the loan are reflected in the value of the Fund. The risks from securities lending are that the borrower may not provide additional collateral when required or return the securities when due or when called for by the Fund. Lending securities entails a risk of loss to the Fund if and to the extent that the market value of securities loans were to increase and the borrower did not increase the collateral accordingly, and the borrower fails to return the securities. PNCGIS, the Funds' custodian, acts as the securities lending agent for the Funds. The value of the securities on loan and the value of the related collateral at June 30, 2009 are shown on the Statement of Assets and Liabilities. The related income from securities loaned during the period is reflected in the Statements of Operations. MORTGAGE DOLLAR ROLLS -- The Income Fund may enter into mortgage dollar rolls in which the Income Fund makes a forward commitment to purchase or sell a security and, instead of accepting or making delivery, the position is offset by a sale or purchase of the security with a simultaneous agreement to repurchase or resell similar, but not identical, securities at an agreed upon price in the future. The Income Fund accounts for such dollar rolls as purchases and sales and records an unrealized gain or loss each day equal to the difference between the original value of the purchase and the current market value. The Income Fund must maintain liquid securities having a value not less than the repurchase price, including accrued interest, for such dollar rolls. Losses may arise due to changes in values of the securities or if the coun-terparty does not perform under the terms of the agreement. If the counterparty files for bankruptcy or becomes insolvent, the Income Fund's right to repurchase or resell securities may be limited. There were no mortgage dollar rolls as of June 30, 2009. ADRS, EDRS AND GDRS -- The Small Cap Growth Fund, International Equity Fund and Socially Responsible Fund may invest in both sponsored and unsponsored American Depositary Receipts ("ADRs"), European Depositary Receipts ("EDRs"), Global Depositary Receipts ("GDRs") and other similar global instruments. The Equity Fund may invest in ADRs. ADRs typically are issued by an American bank or trust company and evidence ownership of underlying securities issued by a foreign corporation. EDRs, which are sometimes referred to as Continental Depositary Receipts, are receipts issued in Europe, typically by foreign banks and trust companies, that evidence ownership of either foreign or domestic underlying securities. GDRs are depositary receipts structured like global debt issues to facilitate trading on an international basis. Unsponsored ADR, EDR and GDR programs are organized independently and without the cooperation of the issuer of the underlying securities. As a result, available information concerning the issuer may not be as current as for sponsored ADRs, EDRs and GDRs, and the prices of unsponsored ADRs, EDRs and GDRs may be more volatile than if such instruments were sponsored by the issuer. ASSET-BACKED AND MORTGAGE SECURITIES -- The Income Fund may invest in mortgage and asset-backed securities which represent shares in a pool of mortgages or other debt. These securities are generally pass-through securities, which means that principal and interest payments on the underlying securities (less servicing fees) are passed through to shareholders on a pro rata basis. These securities involve prepayment risk, which is the risk that the underlying mortgages or other debt may be refinanced or paid off before they mature, particularly during periods of declining interest rates. In that case, a sub-adviser may have to reinvest the proceeds from the securities at a lower interest rate. This could lower a Fund's return and result in losses to a Fund if some securities were acquired at a premium. Potential market gains on a security subject to prepayment risk may be more limited than potential market gains on a comparable security that is not subject to prepayment risk. The Income Fund may also invest in collateralized mortgage obligations ("CMOs"). In a CMO, a series of bonds or certificates is issued in multiple classes, which have varying levels of risks. FOREIGN CURRENCY TRANSACTIONS -- The books and records of the Funds are maintained in U.S. dollars. Foreign currency transactions are translated into U.S. dollars on the following basis: o market value of investment securities, other assets and other liabilities at the daily rates of exchange and o purchases and sales of investment securities, dividend and interest income and certain expenses at the rates of exchange prevailing on the respective dates of such transactions. 61 WILSHIRE VARIABLE INSURANCE TRUST NOTES TO THE FINANCIAL STATEMENTS - (CONTINUED) JUNE 30, 2009 (UNAUDITED) Net realized and unrealized gain (loss) from foreign currency related transactions includes gains and losses between trade and settlement dates on securities transactions, gains and losses arising from the sales of foreign currency and gains and losses between the ex-dividend and payment dates on dividends, interest and foreign withholding taxes. The effect of changes in foreign exchange rates on realized and unrealized gains or losses is reflected as a component of such gains or losses. FUTURES CONTRACTS -- A futures contract is an agreement to purchase (long) or sell (short) an agreed asset at a set price for delivery on a future date. Upon entering into a futures contract, the Fund is required to pledge to the broker an amount of cash and/or other assets equal to a certain percentage of the contract amount. This amount is known as the "initial margin." Subsequent payments known as "variation margin," are made or received by the Fund each day, depending on the daily fluctuations in the value of the underlying security. The change in the value of the futures contract is recorded for financial statement purposes on a daily basis as unrealized gain or loss. When the contract expires or is closed, the gain or loss is realized and is presented in the Statement of Operations as net realized gain or loss on futures contracts. Risks of entering into futures contracts include the possibility that a change in the value of the contract may not correlate with the changes in the value of the underlying instruments. It is possible that a lack of liquidity for futures contracts could exist in the secondary market, resulting in an inability to close a futures position prior to its expiration date. Additionally, the purchase of a futures contract involves the risk that a Fund could lose more than the original margin deposit required to initiate a futures transaction. FORWARD CURRENCY CONTRACTS -- The Funds may enter into forward foreign currency contracts as hedges against either specific transactions, fund positions or anticipated fund positions. All commitments are "marked-to-market" daily at the applicable foreign exchange rate, and any resulting unrealized gains or losses are recorded currently. The Funds realize gains and losses at the time forward contracts are extinguished. Unrealized gains or losses on outstanding positions in forward foreign currency contracts held at the close of the year are recognized as ordinary income or loss for federal income tax purposes. The Funds could be exposed to risk if the counterparties to the contracts are unable to meet the terms of the contract and from unanticipated movements in the value of a foreign currency relative to the U.S. dollar. EXPENSE POLICY -- Expenses directly attributable to a Fund are charged to that Fund. Expenses not directly attributable to a Fund are allocated proportionately among all Funds daily in relation to the net assets of each Fund or based upon another reasonable basis. Expenses which are attributable to the Trust and the Wilshire Mutual Funds are allocated across the Trust and the Wilshire Mutual Funds based upon relative net assets or another reasonable basis. USE OF ESTIMATES -- The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the period. Actual results could differ from those estimates. 3. Investment Advisory Fee and Other Transactions. The Trust employs the Adviser to manage the investment and reinvestment of the assets of the Funds and to continuously review, oversee and administer the Funds' investment programs. The Adviser has entered into agreements with the following sub-advisers: Equity Fund -- Madison Square Partners (formerly known as New York Life Investment Management LLC) and Victory Capital Management, Inc.; Income Fund -- Western Asset Management Company and Western Asset Management Limited; International Equity Fund -- PanAgora Asset Management, Inc. and Thomas White International, Ltd.; Small Cap Growth Fund -- Mellon Capital Management Corporation and Copper Rock Capital Partners, LLC; Socially Responsible Fund -- Clear Bridge Advisors, LLC. Each sub-adviser's fees are paid by the Adviser out of the advisory fees that it receives from each of the Funds. Fees paid to a sub-adviser of a Fund with multiple sub-advisers depends upon the fee rate negotiated with the Adviser and upon the percentage of the Fund's assets allocated to that sub-adviser by the Adviser, which may vary from time to time. Thus, the basis for fees paid to any such sub-adviser is not constant, and the relative amounts of fees paid to the 62 WILSHIRE VARIABLE INSURANCE TRUST NOTES TO THE FINANCIAL STATEMENTS - (CONTINUED) JUNE 30, 2009 (UNAUDITED) various sub-advisers of a Fund may fluctuate. These internal fluctuations, however, will not affect the total advisory fees paid by a Fund, which will remain fixed on the terms described below. The Adviser may, however, determine in its discretion to waive a portion of its fee if internal fluctuations in the fee to be paid to the sub-advisers results in excess profit to the Adviser. Because the Adviser will pay each sub-adviser's fees out of its own fees from the Funds, there will not be any "duplication" of advisory fees paid by the Funds. For the six months ended June 30, 2009, the Adviser provided services and assumed expenses pursuant to the amended Investment Advisory Agreement for which it received a fee based on each Fund's average daily net assets, computed daily and payable monthly, at the following annual rates: RATE ON AVERAGE RATE ON THE FIRST DAILY NET ASSETS $1 BILLION OF AVERAGE IN EXCESS OF FUND DAILY NET ASSETS $1 BILLION ------ ---------------------- ------------------ Equity Fund* ............... 0.70% 0.60% Balanced Fund** ............ 0.55 0.45 Income Fund ................ 0.55 0.45 Small Cap Growth Fund ...... 1.15 1.15 International Equity Fund .. 1.00 0.90 Socially Responsible Fund .. 0.85 0.75 * The Equity Fund may invest in the Wilshire Large Cap Core 130/30 Fund ("130/30 Fund"). The Adviser directly receives from the Equity Fund a fee based on the average daily net assets of the Equity Fund that are not invested in the 130/30 Fund. ** The Balanced Fund operates under a "fund of funds" structure, primarily investing in shares of underlying funds. The Adviser directly receives from the Balanced Fund a fee based on the average daily net assets of the Balanced Fund that are not invested in underlying funds. The Adviser did not receive fees from the Balanced Fund during the six months ended June 30, 2009. For the six months ended June 30, 2009, the Adviser voluntarily waived fees in the amounts listed below. ADVISORY FEES FUND VOLUNTARILY WAIVED ------ -------------------- Equity Fund ................................... $ -- Balanced Fund ................................. -- Income Fund ................................... -- Small Cap Growth Fund ......................... 32,682 International Equity Fund ..................... 29,070 Socially Responsible Fund ..................... -- SEI Investments Global Funds Services ("SEI") serves as the Funds' administrator and accounting agent pursuant to an administration agreement dated May 30, 2008. DST Systems, Inc. serves as the Funds' transfer agent and dividend disbursing agent. PNCGIS serves as the Funds' Custodian. SEI Investments Distribution Co. (the "Distributor") serves as the Funds' distributor. During the year ended December 31, 2008, SEI had voluntarily waived a portion of its fee. OFFICERS AND TRUSTEES' EXPENSES -- The officers of the Trust receive remuneration from the Adviser. The Trust does not pay any remuneration to its officers with the exception of the Trust's Chief Compliance Officer ("CCO"). The Trust and the Wilshire Mutual Funds, Inc. each pay a portion of the CCO's compensation, and related out of pocket expenses, and the Adviser pays the remainder of such compensation. Effective April 1, 2008, the Trust and the Wilshire Mutual Funds, Inc. together pay each independent trustee an annual retainer of $14,000, an annual additional Board chair retainer of $12,000, a Board in-person meeting fee of $1,500, a Board telephonic meeting fee of $1,000, an annual Committee member retainer of $4,000, an annual Committee chairperson retainer of $8,000 in lieu of the $4,000 Committee member retainer, and a Committee telephonic meeting fee of $500. 63 WILSHIRE VARIABLE INSURANCE TRUST NOTES TO THE FINANCIAL STATEMENTS - (CONTINUED) JUNE 30, 2009 (UNAUDITED) 4. Distribution and Shareholder Services Plan. The Funds have adopted a Rule 12b-1 distribution and shareholder services plan (the "Distribution Plan"). Pursuant to the Distribution Plan with the Funds, the Distributor receives a distribution and shareholder services fee, payable by each Fund. The Distributor uses the fee to pay for distribution-related and shareholder services for the Funds. Under the Distribution Plan, each Fund will pay to the Distributor a shareholder/distribution services fee computed at the annual rate of 0.25% of average daily net assets attributable to each Fund. The Distributor did not receive fees from the Balanced Fund during the six months ended June 30, 2009. 5. Security Transactions. For the six months ended June 30, 2009, aggregate cost of purchases and proceeds from sales of securities, other than short-term investments and U.S. Government securities, were as follows: FUND PURCHASES PROCEEDS FROM SALES ---- ------------ ------------------- Equity Fund ....................... $404,891,641 $416,365,715 Balanced Fund ..................... 15,332 10,092,926 Income Fund ....................... 4,845,643 7,634,057 Small Cap Growth Fund ............. 28,469,652 31,536,373 International Equity Fund ......... 5,732,585 9,149,129 Socially Responsible Fund ......... 72,944,063 75,290,714 Purchases and sales of U.S. Government securities during the six months ended June 30, 2009 were: PROCEEDS FROM SALES FUND PURCHASES AND MATURITIES ---- ------------ ------------------- Income Fund ....................... $138,622,473 $137,462,960 ADOPTION OF STATEMENT OF FINANCIAL ACCOUNTING STANDARD NO. 157 "FAIR VALUE MEASUREMENTS" ("FAS 157") -- In September, 2006, the Financial Accounting Standards Board ("FASB") released Statement of Financial Accounting Standards ("SFAS") No. 157, which provides enhanced guidance for using fair value to measure assets and liabilities. The Funds adopted SFAS No. 157 on January 1, 2008. SFAS No. 157 establishes a fair value hierarchy and specifies that a valuation technique used to measure fair value shall maximize the use of observable inputs and minimize the use of unobservable inputs. The objective of a fair value measurement is to determine the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (an exit price). Accordingly, the fair value hierarchy gives the highest priority to quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). The three levels of the fair value hierarchy under SFAS No. 157 are described below: o Level 1 -- quoted prices in active markets for identical securities. o Level 2 -- other significant observable inputs (including quoted prices for similar securities, interest rates, pre- payment speeds, credit risk, etc. ). o Level 3 -- significant unobservable inputs (including the Fund's own assumptions in determining the fair value of investments). The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The summary of inputs used to value the Funds' net assets as of June 30, 2009 is as follows: 64 WILSHIRE VARIABLE INSURANCE TRUST NOTES TO THE FINANCIAL STATEMENTS - (CONTINUED) JUNE 30, 2009 (UNAUDITED)
EQUITY FUND ----------- Investments in Securities Level 1 Level 2 Level 3 Total ------------- ----------- --------- ------------- Common Stock ....................................... $ 243,581,717 $ -- $ -- $ 243,581,717 U.S. Treasury Obligations .......................... -- 4,397,629 -- 4,397,629 Cash Equivalent .................................... 2,200,848 -- -- 2,200,848 ------------- ----------- --------- ------------- Total Investments in Securities ...................... $ 245,782,565 $ 4,397,629 $ -- $ 250,180,194 ============= =========== ========= ============= Other Financial Instruments Level 1 Level 2 Level 3 Total ------------- ----------- --------- ------------- Unrealized Appreciation on Futures Contracts ....... $ 23,890 $ -- $ -- $ 23,890 ------------- ----------- --------- ------------- Total Other Financial Instruments .................... $ 23,890 $ -- $ -- $ 23,890 ============= =========== ========= ============= BALANCED FUND ------------- Investments in Securities Level 1 Level 2 Level 3 Total ------------- ----------- --------- ------------- Investment in Underlying Funds ..................... $ 148,745,079 $ -- $ -- $ 148,745,079 ------------- ----------- --------- ------------- Total Investments in Securities ...................... $ 148,745,079 $ -- $ -- $ 148,745,079 ============= =========== ========= ============= INCOME FUND ----------- Investments in Securities Level 1 Level 2 Level 3 Total ------------- ----------- --------- ------------- Asset Backed Securities ............................ $ -- $ 2,852,255 $ -- $ 2,852,255 Collateralized Mortgage Obligations ................ -- 25,500,969 -- 25,500,969 Common Stock ....................................... -- -- -- -- Corporate Bonds .................................... -- 28,074,853 -- 28,074,853 Foreign Bonds ...................................... -- 11,512,756 -- 11,512,756 Preferred Stock .................................... 125,236 -- -- 125,236 U.S. Government & Agency Obligations ............... -- 7,619,162 -- 7,619,162 U.S. Treasury Obligations .......................... -- 13,213,116 -- 13,213,116 Cash Equivalent .................................... 6,159,805 -- -- 6,159,805 ------------- ----------- --------- ------------- Total Investments in Securities $ 6,233,855 $ 88,824,297 $ -- $ 95,058,152 ============= =========== ========= ============= Other Financial Instruments Level 1 Level 2 Level 3 Total ------------- ----------- --------- ------------- Forward Commitments ................................ $ -- 20,585,127 $ -- $ 20,585,127 Unrealized Depreciation on Forward Currency Contracts ....................................... -- (180,547) -- (180,547) ------------- ----------- --------- ------------- Total Other Financial Instruments .................... $ -- $20,404,580 $ -- $ 20,404,580 ============= =========== ========= =============
The following is a reconciliation of Level 3 assets for which significant observable inputs were used to determine fair value:
Investments in Investments in Corporate Bonds Preferred Stock Total --------------- --------------- --------- Beginning balance as of January 1, 2009 .................. $ 72,520 $ 49,200 $ 121,720 Accrued discounts/premiums ............................. -- -- -- Realized gain/(loss) ................................... -- -- -- Change in unrealized appreciation/(depreciation) ....... -- -- -- Net purchases/sales .................................... -- -- -- Net transfer in and/or out of Level 3 .................. (72,520) $ (49,200) $(121,720) ------------ ---------- --------- Ending balance as of June 30, 2009 ....................... $ -- $ -- $ -- ============ ========== =========
65 WILSHIRE VARIABLE INSURANCE TRUST NOTES TO THE FINANCIAL STATEMENTS - (CONTINUED) JUNE 30, 2009 (UNAUDITED) SMALL CAP GROWTH FUND ---------------------
Investments in Securities Level 1 Level 2 Level 3 Total ------------ ------------ ---------- ------------ Common Stock ...................... $ 29,966,589 $ -- $ -- $ 29,966,589 Warrant ........................... -- -- -- -- Private Company ................... -- -- -- -- Cash Equivalent ................... 676,373 -- -- 676,373 Money Market Fund ................. 107,168 -- -- 107,168 ------------ ------------ ---------- ------------ Total Investments in Securities ..... $ 30,750,130 $ -- $ -- $ 30,750,130 ============ ============ ========== ============ INTERNATIONAL EQUITY FUND Investments in Securities Level 1 Level 2 Level 3 Total ------------ ------------ ---------- ------------ Common Stock ...................... $ 7,657,602 $ 21,434,964* $ -- $ 29,092,566 Preferred Stock ................... 652,682 90,445* -- 743,127 Exchange Traded Funds ............. 430,614 -- -- 430,614 Right ............................. -- -- -- -- Cash Equivalent ................... 222,742 -- -- 222,742 ------------ ------------ ---------- ------------ Total Investments in Securities ..... $ 8,963,640 $ 21,525,409 $ -- $ 30,489,049 ============ ============ ========== ============
* Represents securities trading primarily outside the United States, the values of which were adjusted as a result of significant market movements following the close of local trading. The following is a reconciliation of Level 3 assets for which significant observable inputs were used to determine fair value:
Investments in Common Stock --------------------------- Beginning balance as of January 1, 2009 ...................... $ 339,886 Accrued discounts/premiums ................................. -- Realized gain/(loss) ....................................... -- Change in unrealized appreciation/(depreciation) ........... -- Net purchases/sales ........................................ -- Net transfer in and/or out of Level 3 ...................... (339,886) --------- Ending balance as of June 30, 2009 ........................... $ -- =========
SOCIALLY RESPONSIBLE FUND -------------------------
Investments in Securities Level 1 Level 2 Level 3 Total ------------ ---------- -------- ------------ Common Stock $ 40,473,525 $ -- $ -- $ 40,473,525 Exchange Traded Fund 671,085 -- -- 671,085 Cash Equivalent 2,782,106 -- -- 2,782,106 ------------ --------- ------- ----------- Total Investments in Securities $ 43,926,716 $ -- $ -- $ 43,926,716 ============ ========== ======== ============
6. Significant Shareholder Activity. On June 30, 2009, the Funds had the following concentrations of shareholders holding 10% or more of the outstanding shares of the Funds. These represent omnibus shareholder accounts. 66 WILSHIRE VARIABLE INSURANCE TRUST NOTES TO THE FINANCIAL STATEMENTS - (CONTINUED) JUNE 30, 2009 (UNAUDITED) FUND ------ Equity Fund (2 omnibus shareholders) ................................... 86% Balanced Fund (1 omnibus shareholder) .................................. 100% Income Fund (2 omnibus shareholders) ................................... 91% Small Cap Growth Fund (1 omnibus shareholder) .......................... 100% International Equity Fund (1 omnibus shareholder) ...................... 100% Socially Responsible Fund (1 omnibus shareholder) ...................... 100% 7.Tax Information. No provision for Federal income taxes is required because each Fund qualifies as a regulated investment company under Subchapter M of the Internal Revenue Code of 1986, as amended, and distributes to shareholders all of its taxable income and gains. Federal income tax regulations differ from accounting principles generally accepted in the United States of America; therefore, distributions determined in accordance with tax regulations may differ in amount or character from net investment income and realized gains for financial reporting purposes. Financial reporting records are adjusted for permanent book/tax differences to reflect tax character. Financial records are not adjusted for temporary differences. The Funds are not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will significantly change in the next twelve months. Management has completed their analysis and has determined that the adoption of FIN 48 will not have an impact on the Funds' financial statements, and therefore the Funds did not record any tax expense in the current period. If the Funds were to record a tax expense as a result of the adoption of FIN 48, the tax expense would include any interest and penalties. The Funds file U.S. federal income tax returns and if applicable, returns in various foreign jurisdictions in which it invests. While the statute of limitations remains open to examine the Funds' U.S. federal income tax returns filed for the fiscal years 2005 to 2008, no examinations are in progress or anticipated at this time. However, management's conclusions regarding FIN 48 may be subject to review and adjustment at a later date based on factors including, but not limited to, further implementation guidance expected from the FASB, and on-going analyses of and changes to tax laws, regulations and interpretations thereof. The Funds intend to retain realized gains to the extent of available capital loss carryforwards. At December 31, 2008, the following Funds had available for Federal income tax purposes unused capital losses as follows: EXPIRING DECEMBER 31 -------------------------------- 2010 2016 ----------- ----------- Equity Fund ............................. $ -- $71,009,319 Balanced Fund ........................... -- 22,469,678 Small Cap Growth Fund ................... 2,873,880 12,009,541 International Equity Fund ............... -- 4,489,974 Socially Responsible Fund ............... -- 6,188,823 The tax character of distributions declared during the years ended December 31, 2008 and 2007 were as follows:
2008 2008 2007 2007 FUND ORDINARY INCOME CAPITAL GAINS ORDINARY INCOME CAPITAL GAINS ---- --------------- ------------- --------------- --------------- Equity Fund .................... $ 3,226,528 $ 688,615 $28,746,251 $26,711,914 Balanced Fund .................. 12,582,487 11,917,147 -- -- Income Fund .................... 7,837,420 -- 5,681,395 -- International Equity Fund ...... 719,012 -- 525,375 2,926,617 Socially Responsible Fund ...... 883,219 3,836,938 1,494,356 4,561,226
67 WILSHIRE VARIABLE INSURANCE TRUST NOTES TO THE FINANCIAL STATEMENTS - (CONTINUED) JUNE 30, 2009 (UNAUDITED) At December 31, 2008, the components of distributable accumulated earnings/(losses) on a tax basis were as follows:
EQUITY BALANCED INCOME FUND FUND FUND ------------- ------------ ------------ Undistributed ordinary income/(loss) ................... $ 3,963 $ 5,314,092 $ 4,609,543 Accumulated capital gain/(loss) ... (71,009,319) (22,469,678) -- Unrealized appreciation/ (depreciation) .................. (111,581,661) (30,317,474) (15,902,515) ------------- ------------ ------------ Total accumulated earnings/(loss) . $(182,587,017) $(47,473,060) $(11,292,972) ============= ============ ============
SMALL CAP INTERNATIONAL SOCIALLY GROWTH EQUITY RESPONSIBLE FUND FUND FUND ------------ ------------ ------------- Undistributed ordinary income/(loss) ................... $ -- $ 337,259 $ 821,750 Accumulated capital gain/(loss) ... (14,883,421) (4,489,974) (6,188,823) Unrealized appreciation/ (depreciation) .................. (9,358,288) (14,490,650) (17,114,756) ------------ ------------ ------------ Total accumulated earnings/(loss) . $(24,241,709) $(18,643,365) $(22,481,829) ============ ============ ============
The differences between book and tax-basis unrealized appreciation/depreciation are attributable primarily to the tax deferral of losses on wash sales on all Funds as well as PFIC mark-to-market on the International Equity Fund. The cost, unrealized appreciation and depreciation for federal tax purposes at June 30, 2009 for each Fund is as follows:
NET UNREALIZED TAX UNREALIZED UNREALIZED APPRECIATION/ FUND COST APPRECIATION DEPRECIATION (DEPRECIATION) ---- ------------ ----------- ------------ -------------- Equity Fund .................. $251,247,255 $18,830,620 $(19,897,681) $ (1,067,061) Balanced Fund ................ 167,226,941 3,245,200 (21,727,062) (18,481,862) Income Fund .................. 107,866,634 1,874,942 (14,707,514) (12,808,482) Small Cap Growth Fund ........ 31,949,460 2,623,890 (3,823,220) (1,199,330) International Equity Fund .... 39,138,702 1,000,577 (9,650,230) (8,649,653) Socially Responsible Fund .... 40,760,110 4,562,931 (1,396,325) 3,166,606
8. Reclassifications. Accounting principles generally accepted in the United States of America require that certain components of net assets be reclassified between financial and tax reporting. The reclassifications primarily include: foreign currency capital gain/(loss) to ordinary income, foreign bond bifurcation, recharacterization of distributions, excess distributions not exceeding current year earnings and profits, PFIC capital gain to ordinary income, partnership income, short-term capital gain distributions from underlying funds and the write off of net operating loss to paid-in-capital. These reclassifications have no effect on net assets or net asset values per share. As of December 31, 2008, the reclassifications were as follows:
INCREASE/(DECREASE) INCREASE/(DECREASE) INCREASE/(DECREASE) UNDISTRIBUTED NET REALIZED FUND PAID-IN CAPITAL INVESTMENT INCOME CAPITAL GAINS/(LOSSES) ------ ------------------- ------------------ ---------------------- Equity Fund ....................... $ -- $ (51,763) $ 51,763 Balanced Fund ..................... -- 1,465,936 (1,465,936) Income Fund ....................... -- (276,790) 276,790 Small Cap Growth Fund ............. (375,767) 380,318 (4,551) International Equity Fund ......... -- 16,933 (16,933) Socially Responsible Fund ......... -- (5) 5
68 WILSHIRE VARIABLE INSURANCE TRUST NOTES TO THE FINANCIAL STATEMENTS - (CONTINUED) JUNE 30, 2009 (UNAUDITED) 9. Fund Merger. On December 21, 2008, the assets of the Short-Term Investment Fund were reorganized into the Income Fund. In this merger, 408,894 shares of the Short-Term Investment Fund were exchanged for 362,339 shares of the Income Fund in a taxable exchange. The value of the Short-Term Investment Fund on December 21, 2008 was $4,105,280. Upon the business combination of such Funds on December 21, 2008, the value of the Income Fund which included accumulated realized losses of $4, combined with the Short-Term Investment Fund was $96,442,706. 10. Indemnifications. In the normal course of business, the Trust on behalf of the Funds enters into contracts that provide general indemnifications. The Funds' maximum exposure under these arrangements is dependent on claims that may be made against the Funds in the future and, therefore, cannot be estimated; however, based on experience, the risk of material loss from such claims is considered remote. 11. Credit Risk. The Income Fund invests primarily in debt instruments. The issuers' ability to meet their obligations may be affected by the recent economic developments. In addition, the Fund's investments are subject to credit risk, which is the risk that an issuer will be unable, or will be perceived to be unable, to repay its obligations at maturity. Funds that invest primarily in high quality securities generally are subject to less credit risk than funds that invest in lower quality securities. Certain securities are backed by credit enhancements from various financial institutions and financial guarantee assurance agencies. These credit enhancements reinforce the credit quality of the individual securities; however, if any of the financial institutions or financial guarantee assurance agencies' credit quality should deteriorate, it could cause the individual security's credit quality to change. Additionally, if any of the Funds concentrate their credit enhancements in any one financial institution, the risk of credit quality deterioration increases. The value of asset-backed securities may be affected by the credit risk of the servicing agent for the pool, the originator of the loans or receivables, or the financial institution(s) providing the credit support. In addition to credit risk, asset-backed securities and other securities with early redemption features are subject to pre-payment risk. During periods of declining interest rates, prepayment of loans underlying asset-backed securities can be expected to accelerate or an issuer may retire an outstanding bond early to reduce interest costs. A Fund's ability to maintain positions in such securities will be affected by reductions in the principal amount of such securities resulting from prepayments, and its ability to reinvest the returns of principal at comparable yields is subject to generally prevailing interest rates at that time. 12. New Accounting Pronouncements. In March 2008, the Financial Accounting Standards Board ("FASB") issued Statement of Financial Accounting Standards No. 161, "Disclosures about Derivative Instruments and Hedging Activities" ("FAS 161") and is effective for fiscal years beginning after November 15, 2008. FAS 161 is intended to improve financial reporting for derivative instruments by requiring enhanced disclosure that enables investors to understand how and why an entity uses derivatives, how derivatives are accounted for, and how derivative instruments affect an entity's results of operations and financial position. Management has evaluated the implications of FAS 161, and has determined there is no impact on the Fund's financial statement disclosure. 13. Subsequent Event Evaluation. The Funds have evaluated the need for disclosures and/or adjustments resulting from subsequent events through August 26, 2009, the date the financial statements were available to be issued. Based on this evaluation, no adjustments were required to the financial statements as of June 30, 2009. 69 WILSHIRE VARIABLE INSURANCE TRUST ADDITIONAL FUND INFORMATION INFORMATION ON PROXY VOTING The Securities and Exchange Commission ("SEC") has adopted the requirement that all funds file their complete proxy voting records with the SEC on an annual basis on Form N-PX. Such filing, for the 12-month period ended June 30, must be made no later than August 31 of each year. A description of policies and procedures that the Funds use to determine how to vote proxies relating to portfolio securities, along with each Fund's proxy voting record relating to portfolio securities held during the most recent 12-month period ended June 30 is available at no charge, upon request by calling 1-888-200-6796, or on the SEC's website at http://www.sec.gov. INFORMATION ON FORM N-Q The Trust files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q within sixty days after the end of period. The Trust's Form N-Q will be available on the SEC's website at http://www.sec.gov, and may be reviewed and copied at the SEC's Public Reference Room in Washington, DC. Information on the operation of the Public Reference Room may be obtained by calling 1-202-551-8090. 70 WILSHIRE VARIABLE INSURANCE TRUST BOARD APPROVAL OF SUBADVISORY AGREEMENTS During the six months ended June 30, 2009, the Board of Trustees (the "Board") of Wilshire Variable Insurance Trust (the "Trust") approved the subadvisory agreements between Wilshire Associates Incorporated ("Wilshire" or the "Adviser") and Clear Bridge Advisors, LLC with respect to the Socially Responsible Fund and Wilshire and Victory Capital Management, Inc. with respect to the Equity Fund. In the following text, the funds are each referred to as a "Fund" and together, the "Funds," the subadvisers are referred to as "Subadvisers" and the subadvisory agreements between Wilshire and each Subadviser are referred to as "Subadvisory Agreements." The information in this summary outlines the Board's considerations associated with its approval of each of the Subad-visory Agreements. In connection with its deliberations regarding the approval of these relationships, the Board considered such information and factors as it believed to be relevant. As described below, the Board considered the nature, extent and quality of the services to be performed by the Subadvisers under the proposed subadvisory arrangements; comparative fees as provided by the Subadvisers; the profits to be realized by the Subadvisers; the extent to which the Subadviser would realize economies of scale as the Fund grows; and whether any fall-out benefits would be realized by the Subadvisers. In considering these matters, the Board was advised with respect to relevant legal standards by independent counsel. In addition, the Trustees who are not "interested persons" of the Trust as defined in the Investment Company Act of 1940 (the "Independent Trustees") discussed the approval of the Subadvisory Agreements with management and in private sessions with counsel at which no representatives of the Subadvisers were present. As required by the Investment Company Act of 1940, each approval was confirmed by the unanimous separate vote of the Independent Trustees. In deciding to approve the Subadvisory Agreements, the Board did not identify any single factor as controlling and this summary does not describe all of the matters considered. However, the Board concluded that each of the various factors referred to below favored such approval. Information Requested and Received The Board, including all the Independent Trustees, considered the approval of the Subadvisory Agreements pursuant to a process that concluded at the Board's February 20, 2009 meeting. The Adviser sent a memorandum to the Subadvisers requesting information regarding the Subadvisory Agreements to be provided to the Trustees in advance of the meeting. In response to the requests for information, the Trustees received information from each Subadviser as to the respective Fund describing: (i) the nature, extent and quality of services to be provided, (ii) the investment performance for products managed by the Subadviser that are similar to the Fund, (iii) the financial condition of the Subadviser, (iv) the extent to which economies of scale may be realized as the Fund grows, (v) whether fee levels reflect any possible economies of scale for the benefit of Fund shareholders, (vi) comparisons of services rendered and amounts paid to other registered investment companies and/or any comparable advisory clients, as applicable, and (vii) benefits to be realized by the Subadviser from its relationship with the Fund. The Independent Trustees also received a memorandum from counsel describing their duties in connection with contract approvals, and they were assisted in their review by independent legal counsel. Prior to consideration by the Board, the Contract Review Committee met on February 19, 2009 to discuss the information provided. It also considered the assessment of performance made by the Investment Committee (which is comprised solely of Independent Trustees), which also met on February 19, 2009 to review data on the Subadvisers' performance. Following its evaluation of all materials provided, the Contract Review Committee concluded that it was in the best interests of each respective Fund to approve the Subadvisory Agreements and recommended to the Board that the Subadvisory Agreements be approved. At its meeting on February 20, 2009, the Board considered the recommendation of the Contract Review Committee along with the other factors that the Board deemed relevant. Nature, Extent and Quality of Services As to each Subadvisory Agreement, the Board considered the nature, extent and quality of services to be provided under such Agreement. The Board considered the reputation, qualifications and background of the Subadviser, investment approach of the Subadviser, the experience and skills of investment personnel to be responsible for the day-to-day man- 71 WILSHIRE VARIABLE INSURANCE TRUST BOARD APPROVAL OF SUBADVISORY AGREEMENTS (CONTINUED) agement of the Fund, and the resources made available to such personnel. The Board also considered the Subadviser's general legal compliance. In addition, the Board considered the analysis provided by the Adviser, which concluded that each Subadviser would provide reasonable services and recommended that each Subadvisory Agreement be approved. Based upon all relevant factors, the Board concluded that the investment performance for products managed by the Sub-advisers that are similar to the respective Fund met or exceeded acceptable levels of investment performance and, therefore, was satisfactory. Subadvisory Fees The Board considered each Subadviser's proposed subadvisory fees. The Board evaluated the competitiveness of the subadvisory fees based upon data supplied by each Subadviser about the fees charged to other clients. The Board also considered that the subadvisory fee rates were negotiated at arm's length between the Adviser and each Subadviser, that the Adviser compensates the Subadviser from its fees and that the aggregate advisory fee had previously been deemed reasonable by the Board. Based upon all of the above, the Board determined that the subadvisory fee for each Subadviser was reasonable. Profitability to the Subadvisers The Board noted that the Adviser compensates each Subadviser from its own advisory fees and that the fees were negotiated at arm's length between the Adviser and each Subadviser. In addition, the Board noted that the revenues to the Subadvisers would be limited due to the size of the Funds. Accordingly, the Board concluded that they need not review estimated levels of profits to the Subadvisers in order to conclude, as they did, that profitability to the Subadvisers would not be unreasonable. Economies of Scale The Board considered whether there may be economies of scale with respect to the subadvisory services to be provided to the Funds and whether the subadvisory fees reflect such economies of scale through breakpoints in fees. The Board also considered whether the effective subadvisory fee rate under each Subadvisory Agreement is reasonable in relation to the asset size of the Funds. The Board concluded that the fee schedule for each Subadviser reflects an appropriate recognition of any economies of scale. Fall-Out Benefits The Board also considered the character and amount of other incidental benefits to be received by each Subadviser. The Board considered each Subadviser's soft dollar practices. The Board concluded that, taking into account the benefits arising from these practices, the fees to be charged under each Subadvisory Agreement are reasonable. Conclusion Based upon all of the information considered and the conclusions reached, the Board determined that the terms of each Subadvisory Agreement are fair and reasonable and that the approval of each Subadvisory Agreement is in the best interests of the Funds. 72 WILSHIRE VARIABLE INSURANCE TRUST SHAREHOLDER VOTING RESULTS At a special meeting held on March 6, 2009 the shareholders of the Wilshire Variable Insurance Trust, Equity Fund voted to approve a change to the Fund's fundamental investment policy relating to investing in other investment companies. NO. OF SHARES % OF OUTSTANDING SHARES % OF SHARES VOTED ------------- ----------------------- ----------------- AFFIRMATIVE .............. 10,487,020 57.587% 86.149% AGAINST .................. 1,221,705 6.709% 10.036% WITHHOLD ................. 464,451 2.550% 3.815% ---------- ------- -------- TOTAL .................... 12,173,176 66.846% 100.000% ---------- ------- --------
At a special meeting held on March 6, 2009 the shareholders of the Wilshire Variable Insurance Trust, Equity Fund voted to approve a change to the Fund's fundamental investment policy relating to diversification.
NO. OF SHARES % OF OUTSTANDING SHARES % OF SHARES VOTED ------------- ----------------------- ----------------- AFFIRMATIVE .............. 10,606,900 58.246% 87.133% AGAINST .................. 1,105,349 6.069% 9.081% WITHHOLD ................. 460,927 2.531% 3.786% ---------- ------- -------- TOTAL .................... 12,173,176 66.846% 100.000% ---------- ------- --------
73 This page Intentionally Left Blank. WILSHIRE VARIABLE INSURANCE TRUST SEMI-ANNUAL REPORT JUNE 30, 2009 WILSHIRE VARIABLE INSURANCE TRUST Equity Fund Small Cap Growth Fund Balanced Fund International Equity Fund Income Fund Socially Responsible Fund BOARD OF TRUSTEES Theodore J. Beck Lawrence E. Davanzo Roger A. Formisano George J. Zock Richard A. Holt CHAIRMAN OF THE BOARD Harriet A. Russell Suanne K. Luhn OFFICERS OF THE FUNDS Lawrence E. Davanzo Victor Zhang PRESIDENT VICE PRESIDENT Helen Thompson James St. Aubin SECRETARY AND TREASURER VICE PRESIDENT Guarav Chopra Alex Kaye ASSISTANT TREASURER VICE PRESIDENT Aaron Eubanks CHIEF COMPLIANCE OFFICER -------------------------------------------------------------------------------- ADMINISTRATOR INVESTMENT SUBADVISERS SEI Investment Global Funds Services Clear Bridge Advisors LLC 1 Freedom Valley Drive 620 8th Avenue Oaks, PA 19456 New York, NY 10018 TRANSFER AGENT Copper Rock Capital Partners, LLC DST Systems, Inc. 200 Clarendon Street Wilshire Mutual Funds Boston, MA 02116 333 W. 11th St. Kansas City, MO 64105 Madison Square Investors 51 Madison Avenue INVESTMENT ADVISER New York, NY 15258 Wilshire Associates Incorporated 1299 Ocean Avenue Mellon Capital Management Corporation Santa Monica, CA 90401-1085 1633 Broadway, 13th Floor New York, NY 10019 CUSTODIAN PNC Global Investment Servicing PanAgora Asset Management, Inc. The Eastwick Center 260 Franklin Street, 22nd Floor 8800 Tinicum Boulevard Boston, MA 02110 Philadelphia, PA 19153 INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM Thomas White International, Ltd. 440 South LaSalle Street, Suite 3900 PricewaterhouseCoopers LLP Chicago, IL 60605 Two Commerce Square 2001 Market Street, Suite 1700 Victory Capital Management, Inc. Philadelphia, PA 19103-7042 127 Public Square Cleveland, OH 41114 Western Asset Management Company 117 E. Colorado Blvd., Suite 600 Pasadena, CA 91105 Western Asset Management Limited 155 Bishopsgate, London England EC2M 3XG
[GRAPHIC OMITTED] Wilshire Variable Insurance Trust Wilshire Associates Incorporated 1299 Ocean Avenue Santa Monica, CA 90401 1-888-200-6796 WIL-SA-001-0200 [GRAPHIC OMITTED] Wilshire Variable Insurance Trust SEMI-ANNUAL REPORT (Unaudited) 2015 ETF FUND 2025 ETF FUND 2035 ETF FUND JUNE 30, 2009 ------------- TABLE OF CONTENTS Shareholder Letter ....................................................... 2 Fund Commentaries ........................................................ 4 Disclosure of Fund Expenses .............................................. 7 Schedules of Investments ................................................. 9 Statements of Assets and Liabilities ..................................... 11 Statements of Operations ................................................. 12 Statements of Changes in Net Assets ...................................... 13 Financial Highlights ..................................................... 15 Notes to the Financial Statements ........................................ 18 Additional Fund Information .............................................. 24 ---------------------------------------------------- SHARES OF THE WILSHIRE VARIABLE INSURANCE TRUST ARE SOLD ONLY AS THE UNDERLYING INVESTMENT FOR VARIABLE ANNUITY CONTRACTS ISSUED BY INSURANCE COMPANIES.THIS REPORT IS AUTHORIZED FOR USE IN CONNECTION WITH ANY OFFERING OF THE TRUST'S SHARES ONLY IF ACCOMPANIED OR PRECEDED BY THE TRUST'S CURRENT PROSPECTUS. Shares of the Wilshire Variable Insurance Trust are distributed by SEI Investments Distribution Co. Dear Wilshire Variable Insurance Trust Shareholder: We are pleased to present this semi-annual report to shareholders of the Wilshire Variable Insurance Trust (the "Trust") Target Maturity Funds (the "Funds"). This report covers the period from January 1, 2009, to June 30, 2009 (the "Period"), for the 2015 ETF Fund, 2025 ETF Fund, and the 2035 ETF Fund. MARKET ENVIRONMENT As 2008 came to a close, investors witnessed one of the most challenging periods for equity investors in memory. The broad U.S. stock market, as measured by the Wilshire 5000(SM), retreated 37%, marking its worst year since 1931. Overseas markets fared even worse, as the Wilshire Global ex-U.S. Index fell 45%. The financial consequences stemming from the housing crisis permeated every segment of the equity market for the year, and no sector was spared. As we reached the midpoint of 2009, many indicators suggested that the economy has reached a turning point and that the worst of the aftermath of 2008's wreckage may be behind us. U.S. GDP contracted at a better than expected 1% rate in the second quarter of 2009, and improvements were noted in manufacturing, durable goods and more. Signs of life were seen in the housing market, while commercial real estate continued to struggle. The employment situation remained depressed, with unemployment reaching 9.5% in June, while inflation (as measured by the CPI) was up 0.7% in June after posting an increase of 0.1% in May. The sharp declines in U.S. equities experienced in 2008 continued in the beginning of 2009, as the Wilshire 5000(SM) fell an additional 25% from the beginning of the year through March 9. However, post-March 9, U.S. equities experienced a dramatic rebound in performance, erasing all of the losses experienced before March 9 and posting a positive year-to-date return of 5%. Small cap stocks, as measured by the Wilshire Small Cap Index, performed even better during the first half of 2009, posting a return of just under 11%. There was a sizable difference in performance between asset class styles during the first half of 2009, as growth stocks outperformed their value counterparts by 13%. The growth asset class was led by the strong returns from the Technology sector (25%), which makes up over 30% of the growth index. Typical value sectors such as Financials and Energy, which together make up over 40% of the value index, returned -3% and -2%, respectively. Despite facing broad economic troubles that roughly mirrored those experienced in the U.S., non-U.S. equities also posted a sharp reversal in performance during the first six months of the year. Developed non-U.S. equities, as measured by the MSCI EAFE Index, posted a stellar return of 25% for the second quarter and are now up 8% for the year-to-date period. Emerging market equities also exhibited their resilience, posting the best return of any asset class for the second quarter, up 34%, as measured by the MSCI Emerging Markets Index. For the year-to-date period, Emerging Market equities are up an impressive 36%. In other asset classes, the DJ Wilshire Global REIT Index returned 28% for the quarter, but the year-to-date return is still negative, down -5.4% . Within fixed income markets, credit markets showed signs of improvement in 2009, posting positive performance in most sectors and asset classes during the first six months of the year. High yield bonds were the strongest performer in the second quarter, as the Merrill Lynch High Yield Index posted a stellar quarterly return of 23%, adding to the first quarter's positive return of 5%. Credit spreads came in dramatically from their historic highs during the second quarter as fears of the 2008 financial crisis eased, although credit spreads still remain above their long-term historical averages. Core bonds had a much more muted but still positive return for the second quarter and year-to-date periods as measured by the Barclays U.S. Aggregate Bond Index, posting returns of 1.8% and 1.9%, respectively. In other fixed income asset classes for the six months of the year, non-U.S. bonds, as measured by the Citigroup World Government Bond Index, returned -1.5%, and U.S. TIPS (Treasury Inflationary Protection Securities) returned 6.2%, as measured by the Barclays U.S. TIPS Index. FUND PERFORMANCE OVERVIEW The sharp market drop in the beginning of 2009 that was followed by a substantial market rally had a mixed effect on our Funds' performance for the first six months of the year. This rally, which began after the market hit its near-term bottom on March 9, has widely been characterized as a low quality, or "junk", rally. On balance, this "junk" rally had a negative effect on our Funds' performance. As the market bid up many severely beaten down stocks, the fundamental principle of investing in high quality companies was generally abandoned, proving to be a headwind for several of Funds' near-term returns. 2 While we are disappointed by the performance of the underperforming Funds over the last six months, we are encouraged by the activities of our sub-advisers who continue to follow through with the disciplined investment approaches that have made them successful over time. While the immediate terrain our sub-advisers must navigate will continue to be challenging, their confidence and conviction remain intact. It is our belief that as markets continue the healing process in the second half of 2009, it will be the patient and disciplined investors who will be rewarded on the upside. As always, we sincerely appreciate your continued support and confidence in Wilshire Associates. Sincerely, /s/ Lawrence E. Davanzo, ------------------------ Lawrence E. Davanzo, President 3 WILSHIRE VARIABLE INSURANCE TRUST 2015 ETF FUND COMMENTARY AVERAGE ANNUAL TOTAL RETURN SIX MONTHS ENDED 06/30/09* .......................................... 4.11% ONE YEAR ENDED 06/30/09 ............................................. (14.92)% INCEPTION (05/1/06) THROUGH 06/30/09 ................................ (4.30)% THE PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. CURRENT PERFORMANCE MAY BE LOWER OR HIGHER. THE INVESTMENT RETURN AND PRINCIPAL VALUE OF AN INVESTMENT WILL FLUCTUATE SO THAT SHARES, WHEN REDEEMED, MAY BE WORTH MORE OR LESS THAN THEIR ORIGINAL COST. RETURNS ASSUME REINVESTMENT OF ALL DISTRIBUTIONS. ANNUITY CONTRACT FEES ARE NOT REFLECTED IN RETURNS. * NOT ANNUALIZED. Assumes reinvestment of all distributions. During certain periods since inception, certain fees and expenses were waived or reimbursed. Without such waivers and reimbursements, historical total returns would have been lower. For the six month period ended June 30, 2009, there were no waivers. PORTFOLIO SECTOR WEIGHTING** (As of June 30, 2009) [GRAPHIC OMITTED] EXCHANGE-TRADED FUNDS 45.1% WILSHIRE VARIABLE INSURANCE TRUST INCOME FUND 25.2% WILSHIRE VARIABLE INSURANCE TRUST EQUITY FUND 29.7% The 2015 ETF Fund's investment objective is to provide capital appreciation and maximize total return until its target retirement date. Thereafter, the 2015 ETF Fund's objective will be to seek high current income and, as a secondary objective, capital appreciation. The investment objective of the 2015 ETF Fund may be changed without a shareholder vote. The chart above provides an illustrative allocation among the underlying funds and the actual allocations may vary from time to time. The 2015 ETF Fund returned 4.11% for the six month period ended June 30, 2009 (the "Period"). The Fund's performance was helped during the Period by its significant exposure to equities. International stocks led the way as the global equity market rallied strongly during the second quarter. Domestically, growth stocks, led by the Technology sector, significantly outperformed value stocks. The Fund's investment in fixed income also provided positive performance to investors in a market that saw substantial credit spread narrowing. Investors' objectives of seeking current income and capital appreciation are balanced in the Fund's portfolio, which maintained approximately 45.2% of its assets in intermediate-term bond investments while investing the remaining 54.8% in diversified domestic and international equities. THE 2015 ETF FUND ATTEMPTS TO ACHIEVE ITS OBJECTIVES BY INVESTING PRIMARILY IN A PORTFOLIO OF ETFS. YOU MAY INVEST IN THE UNDERLYING FUNDS DIRECTLY. BY INVESTING IN THE UNDERLYING FUNDS INDIRECTLY THROUGH THE 2015 ETF FUND, YOU WILL INCUR NOT ONLY THE EXPENSES OF THE UNDERLYING FUNDS, BUT ALSO THE EXPENSES OF THE 2015 ETF FUND. THE ETF FUND IS SUBJECT TO THE RISKS OF THE UNDERLYING FUNDS IT HOLDS. * BASED ON PERCENT OF FUND'S TOTAL LONG-TERM INVESTMENTS' MARKET VALUE. 4 WILSHIRE VARIABLE INSURANCE TRUST 2025 ETF FUND COMMENTARY AVERAGE ANNUAL TOTAL RETURN SIX MONTHS ENDED 06/30/09* .......................................... 3.18% ONE YEAR ENDED 06/30/09 ............................................. (18.81)% INCEPTION (05/1/06) THROUGH 06/30/09 ................................ (6.05)% THE PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. CURRENT PERFORMANCE MAY BE LOWER OR HIGHER. THE INVESTMENT RETURN AND PRINCIPAL VALUE OF AN INVESTMENT WILL FLUCTUATE SO THAT SHARES, WHEN REDEEMED, MAY BE WORTH MORE OR LESS THAN THEIR ORIGINAL COST. RETURNS ASSUME REINVESTMENT OF ALL DISTRIBUTIONS. ANNUITY CONTRACT FEES ARE NOT REFLECTED IN RETURNS. * NOT ANNUALIZED. Assumes reinvestment of all distributions. During certain periods since inception, certain fees and expenses were waived or reimbursed. Without such waivers and reimbursements, historical total returns would have been lower. For the six month period ended June 30, 2009, there were no waivers. PORTFOLIO SECTOR WEIGHTING** (As of June 30, 2009) [GRAPHIC OMITTED] EXCHANGE-TRADED FUNDS 45.1% WILSHIRE VARIABLE INSURANCE TRUST INCOME FUND 20.1% WILSHIRE VARIABLE INSURANCE TRUST EQUITY FUND 34.8% The 2025 ETF Fund's investment objective is to capital appreciation and maximize total return until its target retirement date. Thereafter, the 2025 ETF Fund's objective will be to seek high current income and, as a secondary objective, capital appreciation. The investment objective of the 2025 ETF Fund may be changed without a shareholder vote. The chart above provides an illustrative allocation among the underlying funds and the actual allocations may vary from time to time. The 2025 ETF Fund returned 3.18% for the six month period ended June 30, 2009 (the "Period"). The Fund's performance was helped during the Period by its significant exposure to equities. International stocks led the way as the global equity market rallied strongly during the second quarter. Domestically, growth stocks, led by the Technology sector, significantly outperformed value stocks. The Fund's investment in fixed income also provided positive performance to investors in a market that saw substantial credit spread narrowing. Investors' objectives of seeking current income and capital appreciation are balanced in the Fund's portfolio, which ended the period with approximately 37% of its assets in intermediate-term bond investments while investing the remaining 63% in diversified domestic and international equities. THE 2025 ETF FUND ATTEMPTS TO ACHIEVE ITS OBJECTIVES BY INVESTING PRIMARILY IN A PORTFOLIO OF ETFS. YOU MAY INVEST IN THE UNDERLYING FUNDS DIRECTLY. BY INVESTING IN THE UNDERLYING FUNDS INDIRECTLY THROUGH THE 2025 ETF FUND, YOU WILL INCUR NOT ONLY THE EXPENSES OF THE UNDERLYING FUNDS, BUT ALSO THE EXPENSES OF THE 2025 ETF FUND. THE ETF FUND IS SUBJECT TO THE RISKS OF THE UNDERLYING FUNDS IT HOLDS. * BASED ON PERCENT OF FUND'S TOTAL LONG-TERM INVESTMENTS' MARKET VALUE. 5 WILSHIRE VARIABLE INSURANCE TRUST 2035 ETF FUND COMMENTARY AVERAGE ANNUAL TOTAL RETURN SIX MONTHS ENDED 06/30/09* .......................................... 1.82% ONE YEAR ENDED 06/30/09 ............................................. (23.61)% INCEPTION (05/1/06) THROUGH 06/30/09 ................................ (8.52)% THE PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND DOES NOT GUARANTEE FUTURE RESULTS. CURRENT PERFORMANCE MAY BE LOWER OR HIGHER. THE INVESTMENT RETURN AND PRINCIPAL VALUE OF AN INVESTMENT WILL FLUCTUATE SO THAT SHARES, WHEN REDEEMED, MAY BE WORTH MORE OR LESS THAN THEIR ORIGINAL COST. RETURNS ASSUME REINVESTMENT OF ALL DISTRIBUTIONS. ANNUITY CONTRACT FEES ARE NOT REFLECTED IN RETURNS. * NOT ANNUALIZED. Assumes reinvestment of all distributions. During certain periods since inception, certain fees and expenses were waived or reimbursed. Without such waivers and reimbursements, historical total returns would have been lower. For the six month period ended June 30, 2009, there were no waivers. PORTFOLIO SECTOR WEIGHTING** (As of June 30, 2009) [GRAPHIC OMITTED] EXCHANGE-TRADED FUNDS 45.2% WILSHIRE VARIABLE INSURANCE TRUST EQUITY FUND 18.0% WILSHIRE VARIABLE INSURANCE TRUST INCOME FUND 36.8% The 2035 ETF Fund's investment objective is to provide capital appreciation and maximize total return until its target retirement date. Thereafter, the 2035 ETF Fund's objective will be to seek high current income and, as a secondary objective, capital appreciation. The investment objective of the 2035 ETF Fund may be changed without a shareholder vote. The chart above provides an illustrative allocation among the underlying funds and the actual allocations may vary from time to time. The 2035 ETF Fund returned 1.82% for the six month period ended June 30, 2009 (the "Period"). The Fund's performance was helped during the Period by its significant exposure to equities. International stocks led the way as the global equity market rallied strongly during the second quarter. Domestically, growth stocks, led by the Technology sector, significantly outperformed value stocks. The Fund's investment in fixed income also provided positive performance to investors in a market that saw substantial credit spread narrowing. Investors' objectives of seeking current income and capital appreciation are balanced in the Fund's portfolio, ended the period with approximately 26.2% of its assets in intermediate-term bond investments while investing the remaining 73.8% in diversified domestic and international equities. THE 2035 ETF FUND ATTEMPTS TO ACHIEVE ITS OBJECTIVES BY INVESTING PRIMARILY IN A PORTFOLIO OF ETFS. YOU MAY INVEST IN THE UNDERLYING FUNDS DIRECTLY. BY INVESTING IN THE UNDERLYING FUNDS INDIRECTLY THROUGH THE 2035 ETF FUND, YOU WILL INCUR NOT ONLY THE EXPENSES OF THE UNDERLYING FUNDS, BUT ALSO THE EXPENSES OF THE 2035 ETF FUND. THE ETF FUND IS SUBJECT TO THE RISKS OF THE UNDERLYING FUNDS IT HOLDS. ** BASED ON PERCENT OF FUND'S TOTAL LONG-TERM INVESTMENTS' MARKET VALUE. 6 WILSHIRE VARIABLE INSURANCE TRUST DISCLOSURE OF FUND EXPENSES FOR THE SIX MONTH PERIOD ENDED JUNE 30, 2009 (UNAUDITED) We believe it is important for you to understand the impact of fees regarding your investment. All mutual funds have operating expenses. As a shareholder of a mutual fund, you incur ongoing costs, which include costs for investment advisory, administrative services, distribution and/or shareholder services and shareholder reports (like this one), among others. Operating expenses, which are deducted from a fund's gross income, directly reduce the investment return of the Fund. A fund's expenses are expressed as a percentage of its average net assets. This figure is known as the expense ratio. The following examples are intended to help you understand the ongoing fees (in dollars) of investing in your Fund and to compare these costs with those of other mutual funds. The examples are based on an investment of $1,000 made at the beginning of the period shown and held for the entire period. This table illustrates your Fund's costs in two ways: ACTUAL FUND RETURN: This section helps you to estimate the actual expenses, after any applicable fee waivers, that you paid over the period. The "Ending Account Value" shown is derived from the Fund's ACTUAL return for the period, the "Expense Ratio" column shows the period's annualized expense ratio, and the "Expenses Paid During Period" column shows the dollar amount that would have been paid by an investor who started with $1,000 in the Fund at the beginning of the period. You may use the information here, together with your account value, to estimate the expenses that you paid over the period. To do so, simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number given for your Fund in the first line under the heading entitled "Expenses Paid During Period." HYPOTHETICAL 5% RETURN: This section is intended to help you compare your Fund's costs with those of other mutual funds. The "Ending Account Value" shown is derived from hypothetical account values and hypothetical expenses based on the Fund's actual expense ratio and assumed rate of return. It assumes that the Fund had an annual return of 5% before expenses, but that the expense ratio is unchanged. In this case, because the return used is NOT the Fund's actual return, the results do not apply to your investment. This example is useful in making comparisons to other mutual funds because the Securities and Exchange Commission requires all mutual funds to calculate expenses based on an assumed 5% annual return. You can assess your Fund's ongoing costs by comparing this hypothetical example with the hypothetical examples that appear in shareholder reports of other funds. Please note that the expenses shown in the table are meant to highlight and help you compare your ONGOING costs only and do not reflect any transactional costs such as sales charges (loads), redemption fees, or exchange fees. Wilshire Variable Insurance Trust has no such charges or fees, but they may be present in other funds to which you compare this data. Therefore, the hypothetical portions of the table are useful in comparing ongoing costs only, and will not help you determine the relative costs of owning different funds. 7 WILSHIRE VARIABLE INSURANCE TRUST DISCLOSURE OF FUND EXPENSES - (CONTINUED) FOR THE SIX MONTH PERIOD ENDED JUNE 30, 2009 (UNAUDITED)
Beginning Ending Account Account Expenses Paid Value Value Expense During Period 01/01/2009 06/30/2009 Ratio(1)(2) 01/01/2009-06/30/2009(3)(4) ---------- ---------- ---------- --------------------------- 2015 ETF FUND ---------------------------------------------------------------------------------------------------------- Actual Fund Return ........... $1,000.00 $1,041.10 0.60% $3.05 Hypothetical 5% Return ....... $1,000.00 $1,021.94 0.60% $3.02 2025 ETF FUND ---------------------------------------------------------------------------------------------------------- Actual Fund Return .......... $1,000.00 $1,031.80 0.59% $2.99 Hypothetical 5% Return ...... $1,000.00 $1,021.99 0.59% $2.97 2035 ETF FUND ---------------------------------------------------------------------------------------------------------- Actual Fund Return .......... $1,000.00 $1,018.20 0.60% $3.02 Hypothetical 5% Return ...... $1,000.00 $1,021.94 0.60% $3.02
(1) THE EXPENSE RATIO DOES NOT INCLUDE THE EXPENSES OF THE UNDERLYING FUNDS. (2) ANNUALIZED, BASED ON THE FUND'S EXPENSES FOR THE PERIOD. (3) EXPENSES ARE EQUAL TO THE FUND'S ANNUALIZED EXPENSE RATIO MULTIPLIED BY THE AVERAGE ACCOUNT VALUE OVER THE PERIOD, MULTIPLIED BY THE NUMBER OF DAYS IN THE PERIOD, THEN DIVIDED BY 365. (4) EXPENSES SHOWN DO NOT INCLUDE ANNUITY CONTRACT FEES. 8 WILSHIRE VARIABLE INSURANCE TRUST SCHEDULES OF INVESTMENTS JUNE 30, 2009 (UNAUDITED) 2015 ETF FUND ----------------------------------- Shares Value ------ ----- EXCHANGE-TRADED FUNDS -- 43.4% 24,300 iShares Barclays TIPS Bond Fund ........... $ 2,469,609 46,600 iShares MSCI-EAFE Index Fund .............. 2,134,746 9,100 SPDR Barclays Capital International Treasury Bond ETF ......................... 497,406 5,900 SPDR Dow Jones International Real Estate ETF ........................... 169,507 16,200 Vanguard Emerging Markets ETF ............. 515,484 16,100 Vanguard REIT ETF ......................... 499,261 7,000 Vanguard Small-Cap Growth ETF ............. 336,000 19,400 Vanguard Small-Cap Value ETF .............. 836,529 ----------- Total Exchange-Traded Funds (Cost $7,323,286) ..................................... 7,458,542 ----------- INVESTMENTS IN UNDERLYING FUNDS -- 52.7% 356,447 Wilshire Variable Insurance Trust Equity Fund* .............................. 4,926,091 370,369 Wilshire Variable Insurance Trust Income Fund* .............................. 4,140,727 ----------- Total Investments in Underlying Funds (Cost $11,502,771) .................................... 9,066,818 ----------- CASH EQUIVALENT -- 3.9% 666,835 PNC Institutional Money Market Trust, 0.050% (A) .................. 666,835 ----------- Total Cash Equivalent (Cost $666,835) ....................................... 666,835 ----------- Total Investments -- 100.0% (Cost $19,492,892) .................................... 17,192,195 ----------- Other Assets & Liabilities, Net -- 0.0% ............... 5,468 ----------- NET ASSETS -- 100.0% .................................. $17,197,663 =========== 2025 ETF FUND --------------------------------- Shares Value ------ ----- EXCHANGE-TRADED FUNDS -- 44.4% 17,800 iShares Barclays TIPS Bond Fund ........... $ 1,809,014 41,900 iShares MSCI-EAFE Index Fund .............. 1,919,439 4,200 SPDR Dow Jones International Real Estate ETF ........................... 120,666 11,700 Vanguard Emerging Markets ETF ............. 372,294 11,800 Vanguard REIT ETF ......................... 365,918 5,000 Vanguard Small-Cap Growth ETF ............. 240,000 14,100 Vanguard Small-Cap Value ETF .............. 607,992 ----------- Total Exchange-Traded Funds (Cost $5,344,407) ..................................... 5,435,323 ----------- INVESTMENTS IN UNDERLYING FUNDS -- 54.0% 303,435 Wilshire Variable Insurance Trust Equity Fund* .............................. 4,193,465 216,603 Wilshire Variable Insurance Trust Income Fund* .............................. 2,421,616 ----------- Total Investments in Underlying Funds (Cost $8,703,186) ..................................... 6,615,081 ----------- CASH EQUIVALENT -- 3.0% 364,112 PNC Institutional Money Market Trust, 0.050%, (A) ................. 364,112 ----------- Total Cash Equivalent (Cost $364,112) ....................................... 364,112 ----------- Total Investments -- 101.4% (Cost $14,411,705) .................................... 12,414,516 ----------- Other Assets & Liabilities, Net -- (1.4)% ............. (167,462) ----------- NET ASSETS -- 100.0% .................................. $12,247,054 ----------- See Notes to Financial Statements. 9 WILSHIRE VARIABLE INSURANCE TRUST SCHEDULES OF INVESTMENTS - (CONTINUED) JUNE 30, 2009 (UNAUDITED) 2035 ETF FUND ----------------------------------- Shares Value ------ ----- EXCHANGE- TRADED FUNDS -- 43.7% 2,100 iShares Barclays TIPS Bond Fund ........... $ 213,423 50,900 iShares MSCI-EAFE Index Fund .............. 2,331,729 6,100 SPDR Barclays Capital International Treasury Bond ETF ......................... 333,426 3,900 SPDR Dow Jones International Real Estate ETF ........................... 112,047 14,500 Vanguard Emerging Markets ETF ............. 461,390 11,200 Vanguard Mega Cap 300 Value ETF ........... 330,512 3,300 Vanguard Mid-Cap Value Index Fund ................................ 112,398 7,200 Vanguard REIT ETF ......................... 223,272 7,100 Vanguard Small-Cap Growth ETF ............. 340,800 13,100 Vanguard Small-Cap Value ETF .............. 564,872 ----------- Total Exchange-Traded Funds (Cost $4,935,354) ..................................... 5,023,869 ----------- INVESTMENTS IN UNDERLYING FUNDS -- 53.0% 296,040 Wilshire Variable Insurance Trust Equity Fund* .............................. 4,091,269 179,830 Wilshire Variable Insurance Trust Income Fund* .............................. 2,010,494 ----------- Total Investments in Underlying Funds (Cost $8,334,179) ..................................... 6,101,763 ----------- CASH EQUIVALENT -- 4.2% 483,099 PNC Institutional Money Market Trust, 0.050% (A) .................. 483,099 ----------- Total Cash Equivalent (Cost $483,099) ....................................... 483,099 ----------- Total Investments -- 100.9% (Cost $13,752,632) .................................... 11,608,731 ----------- Other Assets & Liabilities, Net -- (0.9)% ............. (106,522) ----------- NET ASSETS -- 100.0% .................................. $11,502,209 =========== * Affiliated Fund (A) Rate shown is the 7-day effective yield at June 30, 2009. ETF -- Exchange-Traded Fund MSCI-EAFE -- Morgan Stanley Country Index-Europe, Australasia, Far East REIT -- Real Estate Investment Trust SPDR -- S&P 500 Index Depositary Receipt TIPS -- Treasury Inflationary Protection Securities See Notes to Financial Statements. 10 WILSHIRE VARIABLE INSURANCE TRUST STATEMENTS OF ASSETS AND LIABILITIES JUNE 30, 2009 (UNAUDITED)
2015 ETF 2025 ETF 2035 ETF FUND FUND FUND ----------- ----------- ----------- ASSETS: Investments, at cost (Note 2) .................................. $19,492,892 $14,411,705 $13,752,632 Investments in affiliated funds, at value (Note 2), See accompanying schedules .................................... $ 9,066,818 $ 6,615,081 $ 6,101,763 Investments, at value (Note 2), See accompanying schedules ..... 8,125,377 5,799,435 5,506,968 Receivable for Fund shares sold ................................ 24,764 26,010 54,516 Dividends and interest receivable .............................. 99 97 129 Other assets ................................................... 669 516 342 ----------- ----------- ----------- Total Assets .................................................. $17,217,727 $12,441,139 $11,663,718 ----------- ----------- ----------- LIABILITIES: Payable for investment securities purchased .................... -- 172,748 149,996 Payable for fund shares redeemed ............................... -- 7,454 -- Investment advisory fees payable (Note 3) ...................... 6,661 4,883 3,032 Administration and Accounting fees payable ..................... 2,090 1,456 1,290 Chief Compliance Officer fees .................................. 223 151 121 Accrued expenses and other payables ............................ 11,090 7,393 7,070 ----------- ----------- ----------- Total Liabilities ............................................. 20,064 194,085 161,509 ----------- ----------- ----------- NET ASSETS ..................................................... $17,197,663 $12,247,054 $11,502,209 =========== ============ =========== NET ASSETS consist of: Undistributed net investment income ............................ $ 637,034 $ 327,903 $ 185,825 Accumulated net realized loss on investments ................... (2,117,629) (1,307,030) (1,166,756) Net unrealized depreciation of investments ..................... (2,300,697) (1,997,189) (2,143,901) Paid-in Capital ................................................ 20,978,955 15,223,370 14,627,041 ----------- ----------- ----------- NET ASSETS ..................................................... $17,197,663 $12,247,054 $11,502,209 =========== ============ =========== SHARES OUTSTANDING: (Unlimited shares authorized, per fund) ........................ 2,060,063 1,574,142 1,581,640 =========== ============ =========== NET ASSET VALUE: (Offering and redemption price per share) ...................... $ 8.35 $ 7.78 $ 7.27 =========== ============ ===========
Amounts designated as "--" are either $0 or have been rounded to $0. See Notes to Financial Statements. 11 WILSHIRE VARIABLE INSURANCE TRUST STATEMENTS OF OPERATIONS FOR THE SIX MONTHS ENDED JUNE 30, 2009 (UNAUDITED)
2015 ETF 2025 ETF 2035 ETF FUND FUND FUND ----------- ----------- ----------- INVESTMENT INCOME: Dividend Income ................................................. $ 51,854 $ 43,809 $ 52,361 Interest Income ................................................. 378 428 544 ----------- ----------- ----------- Total Income ................................................... 52,232 44,237 52,905 ----------- ----------- ----------- EXPENSES Investment advisory fees (Note 3) ............................... 18,908 12,997 11,251 Administration and Accounting fees (Note 3) ..................... 2,576 2,000 1,633 Trustees' fees and expenses (Note 3) ............................ 1,318 891 715 Chief Compliance Officer fees ................................... 124 82 69 Professional fees ............................................... 7,448 5,838 5,106 Transfer agent fees ............................................. 3,782 785 1,430 Custodian fees .................................................. 3,213 3,252 3,481 Printing fees ................................................... 1,048 852 1,781 Other ........................................................... 1,084 819 590 ----------- ----------- ----------- Total Expenses ................................................. 39,501 27,516 26,056 ----------- ----------- ----------- Recoupment of previously waived advisory fees (Note 3) .......... 5,850 3,025 946 ----------- ----------- ----------- Net expenses ................................................... 45,351 30,541 27,002 ----------- ----------- ----------- Net Investment Income ........................................... 6,881 13,696 25,903 ----------- ----------- ----------- NET REALIZED AND UNREALIZED GAIN/(LOSS) ON INVESTMENTS (Notes 2 and 5) Net realized loss from: Sales of investments ........................................... -- -- -- Sales of investments in and distributions from affiliated funds (1,997,557) (1,321,854) (1,122,415) Net change in unrealized appreciation of: Investments .................................................... 2,569,127 1,656,634 1,351,437 Investments in affiliated funds ................................ 135,256 90,916 88,515 ----------- ----------- ----------- Net realized and unrealized gain on investments ................ 706,826 425,696 317,537 ----------- ----------- ----------- NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS ...................................... $ 713,707 $ 439,392 $ 343,440 =========== ============ ===========
Amounts designated as "--" are either $0 or have been rounded to $0. See Notes to Financial Statements. 12 WILSHIRE VARIABLE INSURANCE TRUST STATEMENTS OF CHANGES IN NET ASSETS FOR THE SIX MONTHS ENDED JUNE 30, 2009 (UNAUDITED)
2015 ETF 2025 ETF 2035 ETF FUND FUND FUND ----------- ----------- ----------- Operations: Net investment income ........................................... $ 6,881 $ 13,696 $ 25,903 Net realized loss from: Sales of investments ........................................... -- -- -- Sales of investments in and distributions from affiliated funds (1,997,557) (1,321,854) (1,122,415) Net change in unrealized appreciation of: Investments .................................................... 2,569,127 1,656,634 1,351,437 Investments in affiliated funds ................................ 135,256 90,916 88,515 ----------- ----------- ----------- Net increase in net assets resulting from operations ................................................ 713,707 439,392 343,440 ----------- ----------- ----------- Capital Stock Transactions: (Dollars) Shares sold ..................................................... 2,493,071 2,744,604 3,628,164 Shares redeemed ................................................. (682,702) (616,061) (392,282) ----------- ----------- ----------- Net increase in net assets from capital stock transactions ...... 1,810,369 2,128,543 3,235,882 ----------- ----------- ----------- Net increase in net assets ...................................... 2,524,076 2,567,935 3,579,322 NET ASSETS: Beginning of period ............................................. 14,673,587 9,679,119 7,922,887 ----------- ----------- ----------- End of period ................................................... $17,197,663 $12,247,054 $11,502,209 =========== ============ =========== Undistributed net investment income at end of period ............ $ 637,034 $ 327,903 $ 185,825 =========== ============ =========== Capital Share Transactions: Shares sold ..................................................... 318,408 374,490 530,304 Shares redeemed ................................................. (88,070) (84,067) (58,177) ----------- ----------- ----------- Net increase in shares outstanding .............................. 230,338 290,423 472,127 =========== ============ ===========
Amounts designated as "--" are either $0 or have been rounded to $0. See Notes to Financial Statements. 13 WILSHIRE VARIABLE INSURANCE TRUST STATEMENTS OF CHANGES IN NET ASSETS FOR THE YEAR ENDED DECEMBER 31, 2008 2015 ETF 2025 ETF 2035 ETF FUND FUND FUND ----------- ------------ ----------- Operations: Net investment income .................................. $ 448,500 $ 225,403 $ 125,594 Net realized gain on investments and distributions from affiliated and underlying funds .... 199,544 103,905 9,135 Net change in unrealized depreciation of investments of affiliates .......................... (3,316,979) (3,363,244) (1,976,961) ----------- ------------ ----------- Net decrease in net assets resulting from operations ... (2,668,935) (3,033,936) (1,842,232) ----------- ------------ ----------- Distributions to Shareholders From: Net investment income .................................. (287,053) (248,626) (137,278) Net realized capital gains ............................. (194,337) (195,481) (129,547) ----------- ------------ ----------- Total distributions to shareholders .................... (481,390) (444,107) (266,825) ----------- ------------ ----------- Capital Stock Transactions: (Dollars) Shares sold ............................................ 6,467,256 6,357,824 4,385,652 Shares issued in connection with merger (Note 9) ....... 4,340,601 -- 2,306,527 Shares issued as reinvestment of distributions ......... 481,389 444,106 266,823 Shares redeemed ........................................ (2,020,534) (672,661) (533,951) ----------- ------------ ----------- Net increase in net assets from capital stock transactions ......................................... 9,268,712 6,129,269 6,425,051 ----------- ------------ ----------- Net increase in net assets ............................. 6,118,387 2,651,226 4,315,994 NET ASSETS: Beginning of year ...................................... 8,555,200 7,027,893 3,606,893 ----------- ------------ ----------- End of year ............................................ $14,673,587 $ 9,679,119 $ 7,922,887 =========== ============ =========== Undistributed net investment income at end of year ..... $ 630,153 $ 314,207 $ 159,922 =========== ============ =========== Capital Share Transactions: Shares sold ............................................ 662,323 658,825 485,351 Shares issued in connection with merger (Note 9) ....... 532,579 -- 317,703 Shares issued as reinvestment of distributions ......... 60,400 59,233 37,871 Shares redeemed ........................................ (207,504) (73,432) (58,186) ----------- ------------ ----------- Net increase in shares outstanding ..................... 1,047,798 644,626 782,739 =========== ============ ===========
See Notes to Financial Statements. 14 WILSHIRE VARIABLE INSURANCE TRUST 2015 ETF FUND FINANCIAL HIGHLIGHTS FOR A FUND SHARE OUTSTANDING THROUGHOUT EACH PERIOD.
PERIOD ENDED FOR THE PERIOD JUNE 30, 2009 YEAR ENDED YEAR ENDED MAY 1, 2006 TO (UNAUDITED) DECEMBER 31, 2008 DECEMBER 31, 2007 DECEMBER 31, 2006(1) ------------- ----------------- ----------------- -------------------- Net asset value, beginning of period .... $ 8.02 $ 10.94 $ 10.54 $ 10.00 ------- ------- ------- ------- INCOME FROM INVESTMENT OPERATIONS: Net investment income(2) ................ 0.00 0.44 0.34 0.61 Net realized and unrealized gain/(loss) on investments ............. 0.33 (3.09) 0.14 (0.07) ------- ------- ------- ------- Total from investment operations ........ 0.33 (2.65) 0.48 0.54 ------- ------- ------- ------- LESS DISTRIBUTIONS: From net investment income .............. -- (0.16) (0.05) -- From capital gains ...................... -- (0.11) (0.03) -- ------- ------- ------- ------- Total distibutions ...................... -- (0.27) (0.08) -- ------- ------- ------- ------- Net asset value, end of period .......... $ 8.35 $ 8.02 $ 10.94 $ 10.54 ======= ======= ====== ======= Total return(3,4) ....................... 4.11%(5) (24.18)% 4.57% 5.40%(5) ======= ======= ====== ======= RATIOS TO AVERAGE NET ASSETS/ SUPPLEMENTAL DATA: Net assets, end of period (in 000's) .... $17,198 $14,674 $8,555 $1,934 Operating expenses including reimbursement/waiver/recoupment + ..... 0.60%(6) 0.50% 0.50% 0.50%(6) Operating expenses excluding reimbursement/waiver/recoupment + ..... 0.52%(6) 1.05% 1.35% 8.69%(6) Net investment income+ ................. 0.09%(6) 4.54% 3.08% 8.87%(6) Portfolio turnover rate ................. 47%(5) 32% 3% 55%(5)
+ These ratios do not include expenses from the affiliated funds. (1) The Fund commenced operations May 1, 2006. (2) The selected per share data was calculated using the average shares outstanding method for the period. Recognition of net investment income by the Fund is affected by the timing of the declaration of dividends by the underlying investment companies in which the Fund invests. (3) Total return represents the total return for the period indicated. (4) If you are an annuity contract owner, the total return does not reflect the expenses that apply to the separate account or related insurance policies. The inclusion of these charges would reduce the total return figures for all periods shown. (5) Non-annualized. (6) Annualized Amounts designated as "--" are either $0 or have been rounded to $0. See Notes to Financial Statements. 15 WILSHIRE VARIABLE INSURANCE TRUST 2025 ETF FUND FINANCIAL HIGHLIGHTS - (CONTINUED) FOR A FUND SHARE OUTSTANDING THROUGHOUT EACH PERIOD.
PERIOD ENDED FOR THE PERIOD JUNE 30, 2009 YEAR ENDED YEAR ENDED MAY 1, 2006 TO (UNAUDITED) DECEMBER 31, 2008 DECEMBER 31, 2007 DECEMBER 31, 2006(1) ------------- ----------------- ----------------- -------------------- Net asset value, beginning of period ... $ 7.54 $11.00 $10.60 $ 10.00 ------- ------ ------ ------- INCOME FROM INVESTMENT OPERATIONS: Net investment income(2) ............... 0.01 0.23 0.32 0.54 Net realized and unrealized gain/(loss) on investments ........................ 0.23 (3.33) 0.14 0.06 ------- ------ ------ ------- Total from investment operations ....... 0.24 (3.10) 0.46 0.60 ------- ------ ------ ------- LESS DISTRIBUTIONS: From net investment income ............. -- (0.20) (0.03) -- From capital gains ..................... -- (0.16) (0.03) -- ------- ------ ------ ------- Total distibutions ..................... -- (0.36) (0.06) -- ------- ------ ------ ------- Net asset value, end of period ......... $ 7.78 $ 7.54 $11.00 $ 10.60 ======= ====== ====== ======= Total return(3,4) ...................... 3.18%(4) (28.11)% 4.36% 6.00%(4) ======= ====== ====== ======= RATIOS TO AVERAGE NET ASSETS/ SUPPLEMENTAL DATA: Net assets, end of period (in 000's) ... $12,247 $9,679 $7,028 $1,372 Operating expenses including reimbursement/waiver/recoupment + ..... 0.59%(6) 0.50% 0.50% 0.50%(5) Operating expenses excluding reimbursement/waiver/recoupment + ..... 0.53%(6) 1.13% 1.72% 12.72%(5) Net investment income+ ................. 0.26%(6) 2.46% 2.85% 7.83%(5) Portfolio turnover rate ................ 39%(5) 24% 2% 10%(5)
+ These ratios do not include expenses from the affiliated funds. (1) The Fund commenced operations May 1, 2006. (2) The selected per share data was calculated using the average shares outstanding method for the period. Recognition of net investment income by the Fund is affected by the timing of the declaration of dividends by the underlying investment companies in which the Fund invests. (3) Total return represents the total return for the period indicated. (4) If you are an annuity contract owner, the total return does not reflect the expenses that apply to the separate account or related insurance policies. The inclusion of these charges would reduce the total return figures for all periods shown. (5) Non-annualized. (6) Annualized Amounts designated as "--" are either $0 or have been rounded to $0. See Notes to Financial Statements. 16 WILSHIRE VARIABLE INSURANCE TRUST 2035 ETF FUND FINANCIAL HIGHLIGHTS - (CONCLUDED) FOR A FUND SHARE OUTSTANDING THROUGHOUT EACH PERIOD.
PERIOD ENDED FOR THE PERIOD JUNE 30, 2009 YEAR ENDED YEAR ENDED MAY 1, 2006 TO (UNAUDITED) DECEMBER 31, 2008 DECEMBER 31, 2007 DECEMBER 31, 2006(1) ------------- ----------------- ----------------- -------------------- Net asset value, beginning of period .... $ 7.14 $ 11.04 $ 10.57 $ 10.00 ------- ------ ------ ------ INCOME FROM INVESTMENT OPERATIONS: Net investment income(2) ................ 0.02 0.24 0.24 0.40 Net realized and unrealized gain/(loss) on investments ......................... 0.11 (3.89) 0.24 0.17 ------- ------ ------ ------ Total from investment operations ........ 0.13 (3.65) 0.48 0.57 ------- ------ ------ ------ LESS DISTRIBUTIONS: From net investment income .............. -- (0.13) -- (3) -- From capital gains ...................... -- (0.12) (0.01) -- ------- ------ ------ ------ Total distibutions ...................... -- (0.25) (0.01) -- ------- ------ ------ ------ Net asset value, end of period .......... $ 7.27 $ 7.14 $11.04 $10.57 ======= ====== ====== ====== Total return(4,5) ....................... 1.82%(4) (33.00)% 4.61% 5.70%(4) ======= ====== ====== ====== RATIOS TO AVERAGE NET ASSETS/ SUPPLEMENTAL DATA: Net assets, end of period (in 000's) .... $11,502 $7,923 $3,607 $324 Operating expenses including reimbursement/waiver/recoupment + ...... 0.60%(7) 0.50% 0.50% 0.50%(7) Operating expenses excluding reimbursement/waiver/recoupment + ...... 0.58%(7) 1.64% 3.37% 61.49%(7) Net investment income+ .................. 0.57%(7) 2.65% 2.20% 5.78%(7) Portfolio turnover rate ................. 28%(6) 18% 0% 4%(6)
+ These ratios do not include expenses from the affiliated funds. (1) The Fund commenced operations May 1, 2006. (2) The selected per share data was calculated using the average shares outstanding method for the period. Recognition of net investment income by the Fund is affected by the timing of the declaration of dividends by the underlying investment companies in which the Fund invests. (3) Amount is less than $0.01 per share. (4) Total return represents the total return for the period indicated. (5) If you are an annuity contract owner, the total return does not reflect the expenses that apply to the separate account or related insurance policies. The inclusion of these charges would reduce the total return figures for all periods shown. (6) Non-annualized. (7) Annualized Amounts designated as "--" are either $0 or have been rounded to $0. See Notes to Financial Statements. 17 WILSHIRE VARIABLE INSURANCE TRUST NOTES TO THE FINANCIAL STATEMENTS JUNE 30, 2009 (UNAUDITED) 1. Organization. The Wilshire Variable Insurance Trust (the "Trust") is an open-end, diversified management investment company registered under the Investment Company Act of 1940 ("1940 Act"), which offers units of beneficial ownership (shares) in 9 separate investment portfolios. The portfolios presented in these financial statements are: 2015 ETF Fund, 2025 ETF Fund and 2035 ETF Fund (collectively the "Funds", each a "Fund" of the Trust). Prior to December 22, 2008, the 2015 ETF Fund, the 2025 ETF Fund and the 2035 ETF Fund were named the 2015 Moderate Fund, the 2025 Moderate Fund and the 2035 Moderate Fund, respectively. The Funds operate under a fund of funds structure and at this time invest substantially all of their assets in unaffiliated exchange-traded funds ("ETFs") and other funds managed by the Adviser, which primarily invest in equity and fixed income securities (the "Underlying Wilshire Funds", together with the ETFs, the "Underlying Funds"), according to an asset allocation strategy designed for investors planning to retire in certain target years. The financial statements for the other Funds of the Trust managed by the Adviser are included in a separate annual report. Shares are presently offered to Horace Mann Life Insurance Company ("HMLIC") Separate Account, the HMLIC 401(k) Separate Account and Great American Life Insurance Company. FUNDS' INVESTMENT OBJECTIVES: High total return until each respective Fund's target retirement date. Thereafter, high current income and, as a secondary objective, capital appreciation. 2. Significant Accounting Policies. SECURITY VALUATION -- A Fund's initial investment in an ETF is valued at the ETF's net asset value or is valued at market price, depending upon whether a Fund purchased the ETF directly from the ETF in "creation units" or on an exchange, as applicable. Investments in the Underlying Funds by the Funds are valued on an ongoing basis in the same manner as other listed securities. A security listed or traded on a domestic exchange is valued at its last sales price on the exchange where it is principally traded. In the absence of a current quotation, the security is valued at the mean between the last bid and asked prices on the exchange. Securities traded on National Association of Securities Dealers Automatic Quotation ("Nasdaq") System are valued at the Nasdaq official closing price. If there is no Nasdaq official closing price available, the most recent bid quotation is used. Securities traded over-the-counter (other than on Nasdaq) are valued at the last current sale price. Equity securities primarily traded on a foreign exchange or market are valued daily at the price, which is an estimate of the fair value price, as provided by an independent pricing service. Debt securities that have a remaining maturity of 60 days or less are valued at prices supplied by the Funds' pricing agent for such securities, if available, and otherwise are valued at amortized cost. When market quotations are not readily available, securities are valued according to procedures established by the Board of Trustees or are valued at fair value as determined in good faith by the Pricing Committee, whose members include at least two representatives of the Adviser, one of whom is an officer of the Trust, or the Trust's Valuation Committee. Securities whose value does not reflect fair value because a significant valuation event has occurred may be valued at fair value by the Pricing Committee or the Valuation Committee. The value of fair valued securities may be different from the last sale price (or the mean between the last bid and asked prices), and there is no guarantee that a fair valued security will be sold at the price at which a security is valued. Investments in the Underlying Wilshire Funds by the Funds are valued at the net asset value as reported by the Underlying Wilshire Funds. SECURITY TRANSACTIONS AND INVESTMENT INCOME -- Security transactions are recorded on a trade date basis. Dividend income and realized gain distributions from the Underlying Funds are recorded on the ex-dividend date. Interest income accrues daily. Securities gains and losses are determined on the basis of identified cost. DISTRIBUTIONS TO SHAREHOLDERS -- Distributions to shareholders are recorded on the ex-dividend date. Distributions from net investment income, if any, are declared and paid annually. The Funds' net realized capital gains, unless offset by any available capital loss carryforward, are distributed to shareholders annually. Additional distributions of net invest- 18 WILSHIRE VARIABLE INSURANCE TRUST NOTES TO THE FINANCIAL STATEMENTS - (CONTINUED) JUNE 30, 2009 (UNAUDITED) ment income and capital gains may be made at the discretion of the Board of Trustees in order to avoid the application of a 4% non-deductible federal excise tax. EXPENSE POLICY -- Expenses directly attributable to a Fund are charged to that Fund. Expenses not directly attributable to a Fund are allocated proportionately among all Funds in relation to the net assets of each Fund or another reasonable basis. Expenses which are attributable to the Trust and the Wilshire Mutual Funds, Inc. are allocated across the Trust and the Wilshire Mutual Funds, Inc. based upon relative net assets or another reasonable basis. USE OF ESTIMATES -- The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the period. Actual results could differ from those estimates. 3. Investment Advisory Fee and Other Transactions With Affiliates. The Trust employs the Adviser to manage the investment and reinvestment of the assets of the Funds and to continuously review, oversee and administer the Funds' investment programs. For the six months ended June 30, 2009, the Adviser provided services and assumed expenses pursuant to the Investment Advisory Agreement, for which it received a fee based on each Fund's average daily net assets, computed daily and payable monthly, at the following annual rates: RATE ON FUND'S FUND AVERAGE NET ASSETS ------ -------------------- 2015 ETF Fund.............................................. 0.25% 2025 ETF Fund.............................................. 0.25% 2035 ETF Fund.............................................. 0.25% The Adviser has contractually agreed to waive fees and/or reimburse expenses through December 31, 2010, so that the annual operating expenses for each Fund for this period will not exceed 0.60% (exclusive of Underlying Fund fees) (the "Expense Limitation"). For the period ended June 30, 2009, the Adviser recouped previously waived expenses in the amounts listed below. FUND FEES RECOUPED ------ ---------------- 2015 ETF Fund.............................................. $5,850 2025 ETF Fund.............................................. 3,025 2035 ETF Fund.............................................. 946 Because the Underlying Funds have varied fee and expense levels and the Funds may own different proportions of the Underlying Funds at different times, the amount of fees and expenses incurred indirectly by a Fund will vary. SEI Investments Global Funds Services ("SEI") serves as the Trust's administrator and accounting agent pursuant to an administration agreement dated May 30, 2008. DST Systems, Inc. serves as the Trust's transfer agent and dividend disbursing agent. PNC Global Investment Services Inc. ("PNCGIS") serves as the Company's custodian. SEI Investments Distribution Co. serves as the Trust's distributor. During the year ended December 31, 2008, SEI had voluntarily waived a portion of its fee. 19 WILSHIRE VARIABLE INSURANCE TRUST NOTES TO THE FINANCIAL STATEMENTS - (CONTINUED) JUNE 30, 2009 (UNAUDITED) OFFICERS' AND DIRECTORS' EXPENSES The officers of the Trust receive remuneration from the Adviser. The Trust does not pay any remuneration to its officers. The Trust and the Wilshire Mutual Funds, Inc. together pay each independent trustee an annual retainer of $14,000, an annual additional Board chair retainer of $12,000, a Board in-person meeting fee of $1,500, a Board telephonic meeting fee of $1,000, an annual Committee member retainer of $4,000, an annual Committee chairperson retainer of $8,000 in lieu of the $4,000 Committee member retainer, and a Committee Telephonic meeting fee of $500. 4. Distribution and Shareholder Services Plan. The Funds have adopted a plan under Rule 12b-1 of the 1940 Act that provides for a fee of up to 0.25% of each Fund's average net assets payable to SEI Investments Distribution Co. (the "Distributor") to reimburse the Distributor for distribution and shareholder services provided to shareholders. 5. Security Transactions. For the period ended June 30, 2009, the aggregate cost of purchases and proceeds from sales of investments, were as follows: FUND PURCHASES PROCEEDS FROM SALES ---- ---------- ------------------- 2015 ETF Fund ......................... $8,584,448 $6,656,456 2025 ETF Fund ......................... 6,234,376 3,518,225 2035 ETF Fund ......................... 5,830,742 2,024,181 ADOPTION OF STATEMENT OF FINANCIAL ACCOUNTING STANDARD NO. 157 "FAIR VALUE MEASUREMENTS" ("FAS 157") -- In September, 2006, the Financial Accounting Standards Board ("FASB") released Statement of Financial Accounting Standards ("SFAS") No. 157, which provides enhanced guidance for using fair value to measure assets and liabilities. The Fund adopted SFAS No. 157 on January 1, 2008. SFAS No. 157 establishes a fair value hierarchy and specifies that a valuation technique used to measure fair value shall maximize the use of observable inputs and minimize the use of unobservable inputs. The objective of a fair value measurement is to determine the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (an exit price). Accordingly, the fair value hierarchy gives the highest priority to quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). The three levels of the fair value hierarchy under SFAS No. 157 are described below: o Level 1 -- quoted prices in active markets for identical securities. o Level 2 -- other significant observable inputs (including quoted prices for similar securities, interest rates, pre- payment speeds, credit risk, etc.). o Level 3 -- significant unobservable inputs (including the Fund's own assumptions in determining the fair value of investments). The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The summary of inputs used to value the Funds' net assets as of June 30, 2009 is as follows:
2015 ETF FUND Investments in Securities Level 1 Level 2 Level 3 Total ------------ --------- --------- ------------ Exchange-Traded Funds .............. $ 7,458,542 $ -- $ -- $ 7,458,542 Investment in Underlying Funds ..... 9,066,818 -- -- 9,066,818 Cash Equivalent .................... 666,835 -- -- 666,835 ------------ --------- --------- ------------ Total Investments in Securities ...... $ 17,192,195 $ -- $ -- $ 17,192,195 ============ ========= ========= ============
20 WILSHIRE VARIABLE INSURANCE TRUST NOTES TO THE FINANCIAL STATEMENTS - (CONTINUED) JUNE 30, 2009 (UNAUDITED)
2025 ETF FUND ------------- Investments in Securities Level 1 Level 2 Level 3 Total ------------- --------- --------- ------------ Exchange-Traded Funds ............ $ 5,435,323 $ -- $ -- $ 5,435,323 Investment in Underlying Funds ... 6,615,081 -- -- 6,615,081 Cash Equivalent .................. 364,112 -- -- 364,112 ------------- --------- --------- ------------ Total Investments in Securities .... $ 12,414,516 $ -- $ -- $ 12,414,516 ============= ========= ========= ============ 2035 ETF FUND ------------- Investments in Securities Level 1 Level 2 Level 3 Total ------------- --------- --------- ------------ Exchange-Traded Funds ............ $ 5,023,869 $ -- $ -- $ 5,023,869 Investment in Underlying Funds ... 6,101,763 -- -- 6,101,763 Cash Equivalent .................. 483,099 -- -- 483,099 ------------- --------- --------- ------------ Total Investments in Securities .... $ 11,608,731 $ -- $ -- $ 11,608,731 ============= ========= ========= ============
6. Significant Shareholder Activity. On June 30, 2009, the Funds had the following concentrations of shareholders holding 10% or more of the outstanding shares of the Funds. These represent omnibus shareholder accounts. FUND ------ 2015 ETF Fund (1 omnibus shareholder) 96% 2025 ETF Fund (1 omnibus shareholder) 98% 2035 ETF Fund (1 omnibus shareholder) 97% 7. Tax Information. No provision for federal income taxes is required because each Fund qualifies as a regulated investment company under Subchapter M of the Internal Revenue Code of 1986, as amended, and distributes to shareholders all of its taxable income and gains. Federal income tax regulations differ from accounting principles generally accepted in the United States of America; therefore, distributions determined in accordance with tax regulations may differ in amount or character from net investment income and realized gains for financial reporting purposes. Financial reporting records are adjusted for permanent book/tax differences to reflect tax character. Financial records are not adjusted for temporary differences. The Funds are not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will significantly change in the next twelve months. Management has completed their analysis and has determined that the adoption of FIN 48 will not have an impact on the Funds' financial statements, and therefore the Fund did not record any tax expense in the current period. If the Funds were to record a tax expense as a result of the adoption of FIN 48, the tax expense would include any interest and penalties. The Funds file U.S. federal income tax returns and if applicable, returns in various foreign jurisdictions in which they invest. While the statute of limitations remains open to examine the Funds' U.S. federal income tax returns filed for the fiscal years 2007 to 2008, no examinations are in progress or anticipated at this time. However, management's conclusions regarding FIN 48 may be subject to review and adjustment at a later date based on factors including, but not limited to, further implementation guidance expected from the FASB, and on-going analyses of and changes to tax laws, regulations and interpretations thereof. The tax character of distributions declared for the years ended December 31, 2008 and December 31, 2007, respectively were as follows: 21 WILSHIRE VARIABLE INSURANCE TRUST NOTES TO THE FINANCIAL STATEMENTS - (CONTINUED) JUNE 30, 2009 (UNAUDITED)
2008 2008 2007 2007 FUND ORDINARY INCOME CAPITAL GAINS ORDINARY INCOME CAPITAL GAINS ---- --------------- ------------- --------------- ------------- 2015 ETF Fund ........ $291,791 $189,599 $48,155 $15,230 2025 ETF Fund ....... 252,565 191,542 24,482 13,916 2035 ETF Fund ....... 137,281 129,544 1,326 4,173
At December 31, 2008, the components of distributable accumulated earnings/(losses) on a tax basis were as follows:
2015 ETF 2025 ETF 2035 ETF FUND FUND FUND ----------- ----------- ----------- Undistributed ordinary income ...... $ 639,575 $ 322,756 $ 163,185 Accumulated capital gain ........... 15,614 13,644 10,416 Capital loss carryforwards ......... (108,234) -- (18,753) Unrealized Depreciation ............ (5,041,954) (3,752,108) (3,623,120) ---------- ----------- ------------ Total accumulated loss ............. $(4,494,999) $(3,415,708) $(3,468,272) =========== =========== ===========
The differences between book and tax-basis unrealized appreciation/depreciation are attributable primarily to the tax deferral of losses on wash sales on all Funds. 8. Reclassifications. The federal tax cost, unrealized appreciation and depreciation at June 30, 2009 for each Fund is as follows:
UNREALIZED UNREALIZED NET UNREALIZED FUND TAX COST APPRECIATION DEPRECIATION DEPRECIATION ---- ----------- ------------ ------------ ----------- 2015 ETF Fund .......... $19,492,898 $214,702 $(2,515,405) $(2,300,703) 2025 ETF Fund .......... 14,411,707 145,528 (2,142,719) (1,997,191) 2035 ETF Fund .......... 13,752,632 134,646 (2,278,547) (2,143,901)
Accounting principles generally accepted in the United States of America require that certain components of net assets be reclassified between financial and tax reporting. The reclassifications relate primarily to the re-characterization of distributions from the Underlying Funds for tax purposes. These reclassifications have no effect on net assets or net asset values per share. As of December 31, 2008, the reclassifications were as follows: INCREASE DECREASE UNDISTRIBUTED NET REALIZED FUND INVESTMENT INCOME CAPITAL GAINS ---- ----------------- ------------- 2015 ETF Fund ....................... $181,656 $(181,656) 2025 ETF Fund ....................... 88,809 (88,809) 2035 ETF Fund ....................... 34,329 (34,329) 9. Fund Mergers. On December 21, 2008, the assets of the 2010 Aggressive Fund, the 2010 Moderate Fund and the 2010 Conservative Fund were reorganized into the 2015 ETF Fund. In this merger, 110,684 shares of the 2010 Aggressive Fund, 293,363 shares of the 2010 Moderate Fund and 142,371 shares of the 2010 Conservative Fund were exchanged for 532,579 shares of the 2015 ETF Fund in a tax-free exchange. Assets of the 2045 Moderate Fund were reorganized into the 2035 ETF Fund. In this merger, 379,614 shares of the 2045 Moderate Fund were exchanged for 317,703 shares of the 2035 ETF Fund in a tax-free exchange. The values of the 2010 Aggressive Fund, the 2010 Moderate Fund and the 2010 Conservative Fund were $798,560, $2,322,799 and $1,219,242, respectively on December 21, 2008. Upon the business combination of such 22 WILSHIRE VARIABLE INSURANCE TRUST NOTES TO THE FINANCIAL STATEMENTS - (CONTINUED) JUNE 30, 2009 (UNAUDITED) Funds on December 21, 2008, the value of the 2010 Aggressive Fund, the 2010 Moderate Fund and the 2010 Conservative Fund, which included accumulated realized losses of $16,694, $92,524 and $104, respectively, and unrealized depreciation of $340,618, $730,805 and $252,442, respectively, combined with the 2015 ETF Fund was $14,298,661. In addition, there were wash sales in the amount of $27,716 in accumulated realized losses and $27,716 in unrealized appreciation associated with this merger. The value of the 2045 Moderate Fund on December 31, 2008 was $2,306,527. Upon the business combination of such funds on December 21, 2008, the value of the 2045 Moderate Fund which included accumulated realized losses of $19,086 and unrealized depreciation of $1,342,048, combined with the 2035 ETF Fund was $7,529,107. 10. Indemnifications. In the normal course of business, the Trust on behalf of the Funds enters into contracts that provide general indemnifications. The Funds' maximum exposure under these arrangements is dependent on claims that may be made against the Funds in the future and, therefore, cannot be estimated; however, based on experience, the risk of material loss from such claims is considered remote. 11. Credit Risk. The Wilshire Variable Trust Income Fund ("Income Fund") is one of the underlying funds the ETF Funds invest in. The Income Fund invests primarily in debt instruments. The issuers' ability to meet their obligations may be affected by the recent economic developments. In addition, the Fund's investments are subject to credit risk," which is the risk that an issuer will be unable, or will be perceived to be unable, to repay its obligations at maturity. Funds that invest primarily in high quality securities generally are subject to less credit risk than funds that invest in lower quality securities. Certain securities are backed by credit enhancements from various financial institutions and financial guarantee assurance agencies. These credit enhancements reinforce the credit quality of the individual securities; however, if any of the financial institutions or financial guarantee assurance agencies' credit quality should deteriorate, it could cause the individual security's credit quality to change. Additionally, if any of the Funds concentrate their credit enhancements in any one financial institution, the risk of credit quality deterioration increases. The value of asset-backed securities may be affected by the credit risk of the servicing agent for the pool, the originator of the loans or receivables, or the financial institution(s) providing the credit support. In addition to credit risk, asset-backed securities and other securities with early redemption features are subject to pre-payment risk. During periods of declining interest rates, prepayment of loans underlying asset-backed securities can be expected to accelerate or an issuer may retire an outstanding bond early to reduce interest costs. A fund's ability to maintain positions in such securities will be affected by reductions in the principal amount of such securities resulting from prepayments, and its ability to reinvest the returns of principal at comparable yields is subject to generally prevailing interest rates at that time. 12. New Accounting Pronouncements. In March 2008, FASB issued Statement of Financial Accounting Standards No. 161, "Disclosures about Derivative Instruments and Hedging Activities" ("FAS 161") and is effective for fiscal years beginning after November 15, 2008. FAS 161 is intended to improve financial reporting for derivative instruments by requiring enhanced disclosure that enables investors to understand how and why an entity uses derivatives, how derivatives are accounted for, and how derivative instruments affect an entity's results of operations and financial position. Management has evaluated the implications of FAS 161, and has determined there is no impact on the Fund's financial statement disclosures. 13. Subsequent Event Evaluation. The Funds have evaluated the need for disclosures and/or adjustments resulting from subsequent events through August 26, 2009, the date the financial statements were available to be issued. Based on this evaluation, no adjustments were required to the financial statements as of June 30, 2009. 23 WILSHIRE VARIABLE INSURANCE TRUST ADDITIONAL FUND INFORMATION INFORMATION ON PROXY VOTING The Securities and Exchange Commission ("SEC") has adopted the requirement that all funds file their complete proxy voting records with the SEC on an annual basis on Form N-PX. Such filing, for the 12-month period ended June 30, must be made no later than August 31 of each year. A description of policies and procedures that the Funds use to determine how to vote proxies relating to portfolio securities, along with each Fund's proxy voting record relating to portfolio securities held during the most recent 12-month period ended June 30 is available at no charge, upon request by calling 1-888-200-6796, or on the SEC's website at http://www.sec.gov. INFORMATION ON FORM N-Q The Trust files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q within sixty days after the end of period. The Trust's Form N-Q will be available on the SEC's website at http://www.sec.gov, and may be reviewed and copied at the SEC's Public Reference Room in Washington, DC. Information on the operation of the Public Reference Room may be obtained by calling 1-202-551-8090. 24 WILSHIRE VARIABLE INSURANCE TRUST SEMI-ANNUAL REPORT JUNE 30, 2009 WILSHIRE VARIABLE INSURANCE TRUST 2015 ETF Fund 2025 ETF Fund 2035 ETF Fund BOARD OF TRUSTEES Theodore J. Beck Lawrence E. Davanzo Roger A. Formisano George J. Zock Richard A. Holt CHAIRMAN OF THE BOARD Harriet A. Russell Suanne K. Luhn OFFICERS OF THE FUNDS Lawrence E. Davanzo Victor Zhang PRESIDENT VICE PRESIDENT Helen Thompson James St. Aubin SECRETARY AND TREASURER VICE PRESIDENT Guarav Chopra Alex Kaye ASSISTANT TREASURER VICE PRESIDENT Aaron Eubanks CHIEF COMPLIANCE OFFICER --------------------------------------------------------------------------------------- ADMINISTRATOR CUSTODIAN SEI Investments Global Funds Services PNC Global Investment Servicing Inc. 1 Freedom Valley Drive The Eastwick Center Oaks, PA 19456 8800 Tinicum Boulevard Philadelphia, PA 19153 TRANSFER AGENT DST Systems, Inc. INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM 333 W. 11th St. PricewaterhouseCoopers LLP Kansas City, MO 64105 Two Commerce Square 2001 Market Street, Suite 1700 INVESTMENT ADVISER Philadelphia, PA 19103-7042 Wilshire Associates Incorporated 1299 Ocean Avenue Santa Monica, CA 90401-1085
[GRAPHIC OMITTED] Wilshire Variable Insurance Trust Wilshire Associates Incorporated 1299 Ocean Avenue Santa Monica, CA 90401 1-888-200-6796 WIL-SA-003-0200 Item 2. Code of Ethics. Not applicable. Item 3. Audit Committee Financial Expert. Not applicable. Item 4. Principal Accountant Fees and Services. Not applicable. Item 5. Audit Committee of Listed Registrants. Not applicable. Item 6. Schedule of Investments. Schedule of Investments in securities of unaffiliated issuers as of the close of the reporting period is included as part of the report to shareholders filed under Item 1 of this form. Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies. Not applicable. Item 8. Portfolio Managers of Closed-End Management Investment Companies. Not applicable. Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers. Not applicable. Item 10. Submission of Matters to a Vote of Security Holders. There have been no changes to the procedures by which shareholders may recommend nominees to the Registrant's Board of Trustees since the registrant last disclosed such procedures in the definitive prospectus/proxy statement on Form N-14 filed with the SEC on December 3, 2008. Item 11. 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 Rules 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 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) Certifications pursuant to Rule 30a-2(a) under the 1940 Act and Section 302 of the Sarbanes-Oxley Act ( of 2002 are attached hereto. (a)(3) Not applicable. (b) Certifications pursuant to Rule 30a-2(b) under 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. (Registrant) Wilshire Variable Insurance Trust. By (Signature and Title)* /s/: Lawrence E. Davanzo ------------------------ Lawrence E. Davanzo, President (principal executive officer) Date September 9, 2009 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/: Lawrence E. Davanzo ------------------------ Lawrence E. Davanzo, President (principal executive officer) Date September 9, 2009 By (Signature and Title)* /s/: Helen Thompson ------------------- Helen Thompson, Treasurer (principal financial officer) Date September 9, 2009 * Print the name and title of each signing officer under his or her signature.