State Farm Variable Product Trust

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This report and any financial information contained herein are submitted for the general information of the owners of interests in State Farm Life Insurance Company and State Farm Life and Accident Assurance Company Variable Life Separate Accounts or Variable Annuity Separate Accounts (the “Accounts”). This report provides the results of operations for each of the Funds of the State Farm Variable Product Trust. It is possible to invest in these underlying Funds only through the purchase of a State Farm Variable Universal Life Insurance policy or State Farm Variable Deferred Annuity policy. Please read the prospectus and consider the investment objectives, charges and expenses and other information it contains about the Accounts carefully before investing.

Variable Deferred Annuity (VA) policy series 97040 & 97090 in all states except MT, NY, WI; 97090 in MT; A97040 & A97090 in NY, WI.

Variable Universal Life (VUL) policy series 97035, and also 97036 in TX, except MT, NY, WI; 97085 in MT; A97035 in NY & WI.

This material must be accompanied or preceded by a prospectus.

A description of the policies and procedures that the Funds use to determine how to vote proxies relating to portfolio securities, and information regarding how the Funds voted proxies relating to portfolio securities during the most recent 12 month period ended June 30, are available without charge upon request at 1-800-447-4930 and at “http://www.sec.gov”.

The Funds file complete schedules of portfolio holdings for each Fund with the Securities and Exchange Commission (the “Commission”) for the first and third quarters of each fiscal year on Form N-Q. The Funds’ Forms N-Q are available on the Commission’s website at “http://www.sec.gov”. The Funds’ Forms N-Q may be reviewed and copied at the Commission’s Public Reference Room in Washington, D.C., and information on the operation of the Public Reference Room may be obtained by calling 1-800-SEC-0330. The Funds make the information on Form N-Q available to shareholders upon request without charge at 1-800-447-4930.

Any website referenced in this report is an inactive textual reference only, and information contained in or otherwise accessible through that website does not form a part of, and is not incorporated by reference into, this report.

Thank you for purchasing a State Farm^® Variable Product. Enclosed is the Annual Report for the 12-month period ended December 31, 2008 for the State Farm Variable Product Trust (“the Trust”). For the Funds offered by the Trust, you will find management’s discussion of investment philosophy and process, market and Fund-specific factors that affected a Fund’s performance over the 12-month period, and benchmark index comparisons to help put a Fund’s performance into context. This Annual Report also includes the Trust’s 2008 fiscal year-end audited financial statements and a list of portfolio holdings for each Fund to help you further understand the Fund(s) you own.

The Annual Report also contains policy total returns for variable deferred annuity and variable universal life policies issued by State Farm Life Insurance Company and State Farm Life and Accident Assurance Company. These policy total returns reflect contract-level fees and expenses, as well as Fund fees and expenses. The contract-level fees and expenses are not included in the performance returns discussed for each Fund. We encourage your review and consideration of this entire report.

During 2008, the financial markets experienced significant levels of price volatility with major equity market indices declining over 33% and major fixed income markets generating a range of small positive to negative total returns.

In the U.S., equity markets struggled and posted negative total returns for 2008, driven by many factors, including continued deterioration in the housing market, a broad decline in corporate earnings, concerns regarding potential consumer and corporate credit defaults, and significant failures in the U.S. financial system. The U.S. government initiated a number of wide-ranging programs in an effort to help stabilize the financial markets following the failure of several large financial institutions, including Lehman Brothers Inc. in September 2008. In addition to these programs, the Federal Reserve acted seven times throughout the year, lowering the Fed Funds Rate from 4.25% as of January 2008 to a target range of 0.00% to 0.25% by December 2008. For the year ended December 31, 2008, large cap stocks (as represented by the S&P 500^® Index¹) and small-cap stocks (as represented by the Russell 2000^® Index²) returned
–37.00% and –33.79%, respectively.

All ten of the S&P 500 market sectors posted double-digit negative total returns for the year ended December 31, 2008. The Financials sector – the fourth largest weighted market sector representing 13.3% of the S&P 500 Index – performed the worst, declining –56.95% for the year. The Materials, Information Technology, and Industrials sectors also posted losses in excess of the overall Index average with declines of –47.05%, –43.68%, and –41.52%, respectively. The more defensive market sectors, including Consumer Staples, Health Care, and Utilities sectors performed better than the overall Index average, but also posted negative total returns for the period of –17.66%, –24.48%, and –31.55%, respectively³.

International equities markets, as represented by the MSCI EAFE Free^® Index, were also weak declining –43.38% for the year. Within the MSCI EAFE Free Index, developed European markets like Ireland and Austria performed the worst, declining –72.74% and –68.96%, respectively, in U.S. dollar terms. Meanwhile, Japan – the largest country weighting in the Index at 24.8% – was the best performing country in the Index for the year, declining –30.5% in U.S. dollar terms. Stock market performance in emerging market countries also suffered during the period with the MSCI Emerging Markets Index posting a negative total return of –54.5% in U.S. dollar terms⁴.

Within the bond markets, U.S. Treasuries advanced during the 12-month period ended December 31, 2008, as the uncertainty surrounding the financial markets helped cause a flight to relative safety, driving prices on U.S. Treasuries higher and yields lower. The yield on 10-year U.S. Treasuries rose from 3.91% on January 2, 2008 to a peak of 4.27% on June 13, 2008 before declining 202 basis points to end at 2.25% on December 31, 2008. Short-term yields experienced an even more dramatic move down, with 3-month U.S. Treasury yields declining 316 basis points from a peak of 3.27% on January 7, 2008 to only 0.11% on December 31, 2008⁵. Among major fixed income indices, the Barclays Capital Government/Credit Intermediate Index provided a total return of 5.08% for the year ended December 31, 2008⁶.

State Farm Investment Management Corp. remains committed to a disciplined, long-term approach to managing investment risk and providing competitive investment products that can help you, our valued shareholder, with your investment goals.

The past year has been very challenging even for the most experienced investors. However, we believe that remaining focused on your long-term goals and maintaining an appropriate asset allocation mix are important elements in pursuing investment success. In uncertain times such as these, your registered State Farm agent is available to discuss your financial needs and risk tolerance.

On behalf of the entire State Farm Variable Products team, thank you for your continued business and allowing us to help serve your investment needs.

Effective September 2, 2008, Capital Guardian Trust Company (“Capital Guardian”) ceased serving as investment sub-adviser to the State Farm Variable Product Trust Large Cap Equity Fund (the “Fund”) and Bridgeway Capital Management, Inc. (“Bridgeway”) and Westwood Management Corp. (“Westwood”) began serving as co-investment sub-advisers to the Fund. Bridgeway and Westwood each manages approximately one-half of the Fund’s assets. State Farm Investment Management Corp. monitors the performance of the sub-advisers and the split of the Fund’s portfolio between the sub-advisers. With the change in sub-advisers, the benchmark for the Fund was changed from the Russell 1000^® Value Index to the S&P 500 Index at that time.

The Fund seeks long-term growth of capital. In doing so, the Fund invests primarily in large capitalization stock issued by U.S. companies. Bridgeway defines “large stocks” as the largest 500 U.S. companies as measured by market capitalization (stock market worth). Westwood defines large capitalization companies as those companies with market capitalizations greater than $5 billion at the time of purchase.

Bridgeway selects stocks using its proprietary, quantitative investment models to identify stocks within the large-cap growth category for the Fund. Growth stocks are those that Bridgeway believes have above average prospects for economic growth. Westwood invests in a portfolio of seasoned companies utilizing a value style of investing in which it chooses those stocks that Westwood believes have earnings prospects that are currently undervalued by the market relative to some financial measure of worth, such as the ratio of price to earnings, price to sales or price to cash flow. Westwood defines seasoned companies as those that generally have been operating for at least three years.

Describe the relevant market environment as it related to the Fund for the reporting period.

The market environment was influenced by numerous factors including: continued deterioration in the housing market, a broad decline in corporate earnings, rising concerns of credit defaults and a subsequent tightening of credit markets, volatile commodity prices, and significant failures in the U.S. financial system that caused the U.S. government to initiate a number of wide-ranging programs in an effort to help stabilize the financial markets. In addition to these programs, the Federal Reserve acted seven times throughout the year, lowering the Fed Funds Rate from 4.25% in January to a target range of 0.00% to 0.25% by December 2008.

Oil prices were volatile throughout the year. Oil prices began the year at just under $96/barrel and touched a closing high of over $145/barrel in mid-July before falling dramatically to below $45/barrel by the end of December, a decline of over
–53% for the 12-month period.

The U.S. dollar rose against the 15-nation Euro during the period as concerns of a broader global credit crisis helped lead to an increased demand for the relative safety of the U.S. dollar. For the period January 2008 through December 2008, the U.S. dollar increased by approximately 5% to $1.40/Euro. Versus the British pound, the U.S. dollar rose by 36% during the period to $1.46/£.

For the year ended December 31, 2008, the S&P 500 produced a total return of –37.00%. All ten of the industry sectors in the S&P 500 Index finished the year with double-digit negative returns ranging from –56.95% to –17.66%. Information Technology, which was the largest sector within the S&P 500 Index at the end of the year, was down –43.68%.

Value stocks, as represented by the Russell 1000^® Value Index, produced a total return of –36.85%, which slightly outperformed growth stocks, as represented by the Russell 1000^® Growth Index, which experienced a total return of
–38.44%.

For the 1-year period ended December 31, 2008, the Large Cap Equity Fund had a total return of –41.12% compared to a –37.00% return for the S&P 500 Index and a –36.85% return for the Russell 1000 Value Index over the same timeframe. The line graph and table below provide additional perspective on the Fund’s long term results.

The performance data quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that your account value, when redeemed, may be worth more or less than the premiums you paid. Recent performance may be less than the figures shown. Obtain contract-level standardized total returns current to the most recent month-end on statefarm.com^® for the State Farm Variable Deferred Annuity Policy at “http://www.statefarm.com/insurance/life_annuity/annuity/variable/vdapandr.asp” and the State Farm Variable Universal Life Insurance Policy at “http://www.statefarm.com/insurance/life_annuity/life/vari_univ/vulpandr.asp”.

Under the former sub-adviser, Capital Guardian, the Fund’s performance struggled during the time period of January 1, 2008 through August 31, 2008 with a total return of –16.70% compared to a return of –12.42% for the Russell 1000 Value Index over the same time period.

For most of the reporting period and under the guidance of Capital Guardian, the primary reasons for the Fund’s underperformance relative to the Russell 1000 Value Index were due to the Fund’s overweight position and stock selection in the Financials sector. Financials was the largest sector in the Russell 1000 Value Index and was down
–24.00% as of August 31, 2008. As of August 31, 2008, Financials represented 29.24% of the Fund’s total assets versus 27.47% for the Index. Among other factors, the Financials sector was negatively impacted by rising concerns of credit defaults and a subsequent tightening of credit markets. Seven of the ten largest detractors to Capital Guardian’s performance during the January 1, 2008 through August 31, 2008 timeframe were in the Financials sector as follows:

Upon the change in sub-advisers effective September 2, 2008, all of the above listed Financials holdings were liquidated from the Fund.

The Fund was also negatively impacted by its underweight position in the Energy sector through August 31, 2008. As of August 31, 2008, the Fund’s weighting in the Energy sector was 8.46% of total assets vs. 17.09% for the Russell 1000 Value Index. Although the Energy sector posted a loss of over –6% during January 1, 2008 through August 31, 2008, it outperformed most sectors within the Russell 1000 Value Index during that same timeframe.

As discussed above, the Financials sector was an overall detractor to Capital Guardian’s performance. However, Financial holdings Hudson City Bancorp Inc. (2.64% of total assets as of August 31, 2008) and Wells Fargo & Co. (2.23% of totals assets as of August 31, 2008) were also among the largest contributors to Capital Guardian’s performance, gaining 25% and 4%, respectively, during the January 1, 2008 through August 31, 2008 timeframe. Other top contributors to Capital Guardian’s performance during the January 1, 2008 through August 31, 2008 timeframe included Southwest Airlines Co. (1.00% of total asset as of August 31, 2008) and Lowe’s Companies Inc. (1.60% of total assets as of August 31, 2008) which gained 25% and 10%, respectively.

Effective September 2, 2008, Bridgeway and Westwood began serving as co-investment sub-advisers to the Fund. Under the guidance of Bridgeway and Westwood, the composition of the Fund’s portfolio changed dramatically. Beginning September 2, 2008, securities within the portfolio (except for securities amounting to approximately 15% of the market value of the Fund at the time of transition) were liquidated and the proceeds were re-invested in equity securities issued by large-cap companies chosen by Bridgeway and Westwood. The reconstitution of the Fund’s portfolio contributed to a higher than normal turnover rate of 144% for 2008. Effective with the change in sub-advisers on September 2, 2008, the benchmark for the Fund was changed from the Russell 1000 Value Index to the S&P 500 Index at that time.

For the period September 2, 2008 through December 31, 2008, Bridgeway and Westwood generated portfolio returns (before fees and expenses) of –32.09% and –21.50%, respectively, compared to a –28.90% return for the S&P 500 Index over the same time period. The discussions below concerning the performance of individual investments made by Bridgeway and Westwood reflect the performance of the individual security while held in the Fund’s portfolio, although a security may have been purchased at any time during the period September 2, 2008 through December 31, 2008.

During the time period of September 2, 2008 through December 31, 2008, the largest detractors to Bridgeway’s performance came primarily from the Energy (8.94% of Bridgeway’s total assets), Materials & Processes (5.84% of Bridgeway’s total assets), and Industrials (15.26% of Bridgeway’s total assets) sectors. Within the Energy sector, Transocean Ltd. (1.04% of Bridgeway’s total assets) and Massey Energy Co. (0.77% of Bridgeway’s total assets) were the two largest detractors to Bridgeway’s performance with declines of –62% and –72%, respectively, during the September 2, 2008 through December 31, 2008 timeframe. In addition, Diamond Offshore Drilling Inc. (1.29% of Bridgeway’s total assets), which declined –42% during the time period of September 2, 2008 through December 31, 2008, was also among the largest detractors to Bridgeway’s performance. Within the Materials & Processes sector, Potash Corp of Saskatchewan Inc. (1.36% of Bridgeway’s total assets), CF Industries

Holdings Inc. (1.20% of Bridgeway’s total assets), and Cliffs Natural Resources Inc. (0.80% of Bridgeway’s total assets), were all major detractors to Bridgeway’s performance with losses of –52%, –60%, and –68%, respectively, during the September 2, 2008 through December 31, 2008 timeframe. In addition, before being sold completely from the Fund, steel related companies held in Bridgeway’s portion of the Fund’s portfolio, including United States Steel Corp. and Gerdau Ameristeel Corp., within the Materials & Processes sector, were detractors to the performance of Bridgeway’s portion of the portfolio. Within the Industrials sector, Union Pacific Corp. (1.89% of Bridgeway’s total assets) and Bucyrus International Inc. (0.45% of Bridgeway’s total assets) were also major detractors to Bridgeway’s performance losing –37% and –64%, respectively, during the September 2, 2008 through December 31, 2008 timeframe. In addition, before being sold completely from the Fund, Industrials holding, Kansas City Southern, within Bridgeway’s portion of the Fund’s portfolio, was also a detractor to performance.

During the time period of September 2, 2008 through December 31, 2008, Bridgeway achieved the greatest contribution to returns primarily from the Health Care sector (21.13% of Bridgeway’s total assets), as Amgen Inc. (1.85% of Bridgeway’s total assets) and Bristol-Myers Squibb Co. (3.10% of Bridgeway’s total assets) posted gains of 16% and 9%, respectively. Also during this time period, Gilead Sciences Inc. (1.55% of Bridgeway’s total assets) was added to Bridgeway’s portion of the Fund’s portfolio and was among Bridgeway’s largest contributors to performance with a gain of 6%. As discussed above, the Industrials sector was an overall detractor to Bridgeway’s performance. However, Industrials holdings CH Robinson Worldwide Inc. (1.07% of Bridgeway’s total assets) and Dun & Bradstreet Corp. (0.98% of Bridgeway’s totals assets) were also among the largest contributors to Bridgeway’s performance, gaining 8% and 2%, respectively, during the September 2, 2008 through December 31, 2008 timeframe. Within the Consumer Discretionary sector (9.13% of Bridgeway’s total assets), Family Dollar Stores Inc. (0.99% of Bridgeway’s total assets) gained 6% and was also among Bridgeway’s largest contributors to performance during the September 2, 2008 through December 31, 2008 timeframe.

Among Westwood’s largest contributions to returns during the September 2, 2008 through December 31, 2008 timeframe were holdings within the Consumer Discretionary (7.36% of Westwood’s total assets) and Consumer Staples (12.69% of Westwood’s total assets) sectors. Within the Consumer Discretionary sector, McDonald’s Corp. (2.53% of Westwood’s total assets) was the largest contributor to Westwood’s performance during the September 2, through December 31, 2008 timeframe with a gain of 13%. McDonald’s Corp. is also the Fund’s largest holding (2.73% of the Fund’s total net assets). Within the Consumer Staples sector, Wal-Mart Stores Inc. (2.53% of Westwood’s total assets) was also among the largest contributors to Westwood’s performance during the September 2, 2008 through December 31, 2008 timeframe with a gain of 6%. Wal-Mart Stores Inc. is the Fund’s sixth largest holding (1.94% of the Fund’s total net assets). As discussed below, the Financials sector was an overall detractor to Westwood’s performance. However, Financials holdings ACE Ltd. (2.62% of Westwood’s total assets) and Travelers Companies Inc. (1.30% of Westwood’s total assets) were also among the largest contributors to Westwood’s performance, gaining 2% and 9%, respectively, during the September 2, 2008 through December 31, 2008 timeframe. In addition, before being completely sold from the Fund, U.S. Bancorp was also a positive contributor within Westwood’s portion of the Fund’s portfolio. Within the Energy sector, Exxon Mobil Corp. (2.71% of Westwood’s total assets) was also among the largest contributors to Westwood’s performance during the September 2, 2008 through December 31, 2008 timeframe with a gain of 6%.

During the time period of September 2, 2008 through December 31, 2008, the largest detractors to Westwood’s performance came primarily from the Financials (18.74% of Westwood’s total assets) and Energy (14.30% of Westwood’s total assets) sectors. Six of the top ten detractors to Westwood’s performance were companies within the Financials sector. However, the largest detractor to Westwood’s performance came from Materials and Processes holding, Freeport-McMoRan Copper & Gold Inc., before being completely sold from Westwood’s portion of the Fund’s portfolio. Within the Financials sector, Bank of America Corp. (2.39% of Westwood’s total assets), MetLife Inc. (1.26% of Westwood’s total assets), State Street Corp. (2.50% of Westwood’s total assets), PNC Financial Services Group Inc. (2.57% of Westwood’s total assets), and Franklin Resources Inc. (1.18% of Westwood’s total assets) were all major detractors to Westwood’s performance during the September 2, 2008 through December 31, 2008 timeframe with losses of –44%,
–23%, –34%, –30%, and –36%, respectively. In addition, before being sold completely from Westwood’s portion of the Fund’s portfolio, Citigroup Inc. within the Financials sector, was a detractor to the performance of Westwood’s portion of the Fund. Within the Energy sector, Transocean Ltd. and XTO Energy Inc. were among the largest detractors to Westwood’s performance during the September 2, 2008 through December 31, 2008 timeframe before being sold completely from Westwood’s portion of the Fund’s portfolio.

The Small/Mid Cap Equity Fund (the “Fund”) is sub-advised by Bridgeway Capital Management, Inc. (“Bridgeway”) and Rainier Investment Management, Inc. (“Rainier”). Bridgeway and Rainier each manage approximately one-half of the Fund’s assets. State Farm Investment Management Corp. monitors the performance of the sub-advisers and the split of the Fund’s portfolio between the sub-advisers. The benchmark for the Fund is the Russell 2500^® Index (the “Index”).

The Fund seeks long-term growth of capital. In doing so, the Fund invests primarily in small- and mid-capitalization stocks issued by U.S. companies. An allocation to small- and mid-cap stocks allows for investment exposure to some companies in the earlier stages of development relative to more mature, larger capitalization companies. Bridgeway invests in those companies that are smaller than the largest 500 U.S. companies as measured by market capitalization. Rainier invests in U.S. companies with market capitalizations within the range of companies included in the Russell Midcap^® Index¹.

Bridgeway selects stocks using its proprietary, quantitative investment models to identify small- and mid-cap “value” stocks. Bridgeway defines a “value” stock as one that it believes is priced cheaply relative to some financial measures of worth, such as the ratio of price to earnings, price to sales, or price to cash flow. Rainier utilizes fundamental analysis to invest its segment of the Fund in companies it believes have prospects of strong earnings growth and attractive overall business fundamentals, selling at what it believes to be reasonable valuations.

Describe the relevant market environment as it related to the Fund for the reporting period.

In total, the Russell 2500 Index posted a total return of –36.79% for the period ended December 31, 2008.

For the twelve months ended December 31, 2008, the Small/Mid Cap Equity Fund finished with a total return of –45.36%. The Fund underperformed the –36.79% total return of the Russell 2500 Index over the same time period. The line graph and table below provide additional perspective on the Fund’s long term results.

The primary contributor to the underperformance of the Fund was the –46.81% portfolio return (before fees and expenses) produced by Rainier, which was hampered by weakness in the Industrials and Energy sectors. Meanwhile, Bridgeway also underperformed the Index with a portfolio return of –42.58% (before fees and expenses).

During the year, the largest detractors to Rainier’s performance came primarily from the Industrials (13.97% of Rainier’s total assets) and Energy (6.56% of Rainier’s total assets) sectors. Four of the top ten detractors were companies within the Industrials sector. Within this sector, McDermott International Inc. (0.94% of Rainier’s total assets), BE Aerospace Inc. (0.86% of Rainier’s total assets), Precision Castparts Corp. (1.95% of Rainier’s total assets), and Bucyrus International Inc. (0.93% of Rainier’s total assets) were all major detractors with losses of –83%, –85%, –57%, and –63%, respectively, for the year. Three of the top ten detractors were companies within the Energy sector. Within this sector, Pioneer Natural Resources Co. (1.23% of Rainier’s total assets) and Whiting Petroleum Corp. (1.64% of Rainier’s total assets) declined
–67% and –42%, respectively. Quicksilver Resources Inc. was an additional Energy company that was a major detractor to Rainier’s performance during 2008 before being sold completely from the Fund. Transocean Ltd. (1.98% of Rainier’s total assets), which was newly purchased by Rainier during 2008, was also among the largest detractors to performance during the year. Transocean Ltd. is also the Fund’s tenth largest holding (1.00% of the Fund’s total net assets).

Rainier achieved the greatest contribution to returns from investments in the Health Care sector, which amounted to 12.46% of Rainier’s total assets. However, the largest contributor to Rainier’s performance came from Energy holding, Petrohawk Energy

Corp., which was completely sold from the Fund during the year. Within the Health Care sector, Rainier’s focus has been in the area of specialty pharmaceuticals, where companies with new product offerings, such as Cephalon Inc. (1.83% of Rainier’s total assets) experienced positive earnings growth and produced a gain of 7% for the year.

During the year, the largest detractors to Bridgeway’s performance came primarily from the Energy (10.90% of Bridgeway’s total assets) and Materials & Processes (10.47% of Bridgeway’s total assets) sectors. Within the Materials & Processes sector, LSB Industries Inc. (0.71% of Bridgeway’s total assets) and Terra Industries Inc. (1.42% of Bridgeway’s total assets) were major detractors with losses of –71% and –65%, respectively, during the year. In addition, before being completely sold from the Fund during 2008, several steel related companies held in Bridgeway’s portion of the Fund’s portfolio, including AK Steel Holding Corp., Steel Dynamics Inc., and Olympic Steel Inc. performed poorly within the Materials & Processes sector with losses of –69%, –69%, and –63%, respectively. Within the Energy sector, Hornbeck Offshore Services Inc. (1.20% of Bridgeway’s total assets) was also a major detractor to Bridgeway’s performance with a loss of –64%. McMoRan Exploration Co. (0.99% of Bridgeway’s total assets), which was newly purchased by Bridgeway during 2008, was also among the largest detractors to performance during the year.

Bridgeway achieved the greatest contribution to returns from the Financial Services sector (12.16% of Bridgeway’s total assets) as Amerisafe Inc. (3.22% of Bridgeway’s total assets) and American Physicians Capital Inc. (2.26% of Bridgeway’s total assets) each posted gains of 32% and 16%, respectively, during the year. Amerisafe Inc. was the Fund’s overall largest holding (1.63% of the Fund’s total net assets) while American Physicians Capital Inc. was the Fund’s overall fifth largest holding (1.14% of the Fund’s total net assets). Although the Industrials sector was an overall detractor to Bridgeway’s performance, there were several Industrials companies that were new purchases by Bridgeway in 2008 that were among the largest contributors to Bridgeway’s performance during the year including: GrafTech International Ltd. (1.05% of Bridgeway’s total assets), VSE Corp. (1.20% of Bridgeway’s total assets), TAL International Group (1.12% of Bridgeway’s total assets), and Briggs & Stratton Corp. (1.17% of Bridgeway’s total assets). Superior Essex Inc. was another Industrials company that was among Bridgeway’s largest contributors to performance before being sold completely from the Fund during 2008. Within the Materials & Processes sector, Rock-Tenn Co. Class A (1.97% of Bridgeway’s total assets), was also a positive contributor to Bridgeway’s performance with a gain of 36% during the year.

Effective September 2, 2008, Capital Guardian Trust Company (“Capital Guardian”) ceased serving as investment sub-adviser to the International Equity Fund (the “Fund”) and Marsico Capital Management, Inc. (“Marsico”) and Northern Cross, LLC (“Northern Cross”) began serving as co-investment sub-advisers to the Fund. Marsico and Northern Cross each manage approximately one-half of the Fund’s assets. State Farm Investment Management Corp. monitors the performance of the sub-advisers and the split of the Fund’s portfolio between the sub-advisers. With the change in sub-advisers, the benchmark for the Fund was changed from the MSCI EAFE Index to the MSCI All Country World Index (ACWI) ex-U.S. at that time.

The Fund seeks long-term growth of capital and invests primarily in large cap stocks in developed international markets. Marsico invests its portion of the Fund primarily in foreign equity securities issued by companies that it selects for their long-term growth potential. Northern Cross invests its portion of the Fund primarily in foreign equity securities issued by companies that it believes have the potential for long term margin expansion.

Marsico may invest its portion of the Fund in an unlimited number of companies of any size throughout the world, and normally invests in the securities of issuers that are economically tied to at least four different foreign countries. In selecting investments for the Fund, Marsico uses an approach that combines ‘top-down’ macroeconomic analysis with ‘bottom-up’ stock selection. Northern Cross focuses on equities priced cheaply relative to some financial measure of worth, such as ratios of price to earnings, price to sales or price to cash flow. Under normal market conditions Northern Cross will invest its portion of the Fund in 70-90 companies with a diversified representation of sectors. In selecting securities for the International Equity Fund, Northern Cross gives careful consideration to currency, political stability and other effects of international investing. The Fund allows investments in emerging or developing markets. As of December 31, 2008, the Fund had 15.77% of total net assets invested in emerging markets.

Describe the relevant market environment as it relates to the Fund for the reporting period.

International equity markets, as represented by the MSCI ACWI ex-U.S. Index, had a total return of –45.53% for the reporting period, underperforming U.S. equity markets. Several factors, including deteriorating global economic growth, a decline in global housing prices that contributed to credit concerns across all geographic regions, financial company failures across the globe related to the housing crisis, government interventions in various countries to help stabilize the financial markets, declining exports to the U.S., and decreasing commodity prices which particularly hurt emerging markets (whose economies have greater economic sensitivity to commodity prices), coupled with an appreciating U.S. dollar, helped to push the returns of overseas markets below the returns of the U.S. markets. All performance information included in this discussion is quoted in U.S. dollars.

Oil prices, the global credit crisis, interest rates, and the rise of the U.S. dollar continued to generate headlines during the year. Oil prices began the period at around $96/barrel and touched highs of over $145/barrel in mid-July before falling sharply to approximately $45/barrel by the end of December 2008, for a decline of over –53% for the 12-month period.

Meanwhile, with rising concerns of credit defaults and the general tightening of credit, the Federal Reserve lowered the Fed Funds Rate in the U.S. seven times during the year from 4.25% in January to a range of 0.00% to 0.25% by December 31, 2008. In Europe and Japan, short-term interest rates were reduced during the year to help improve liquidity in their economies. The European Central Bank lowered its benchmark interest rate three times from 4.25% in October 2008 to 2.50% by the end of December 2008. The Bank of Japan decreased its short-term rate twice from 0.5% in January 2008 to 0.1% by the end of December 2008. Similarly, the Bank of England decreased short-term rates five times from 5.50% in January 2008 to 2.00% by the end of December 2008.

For the 1-year ended December 31, 2008, the International Equity Fund had a total return of –47.03% compared to a

–45.53% total return for the MSCI ACWI ex-U.S. Index and a –43.38% total return for the MSCI EAFE Index. The line graph and table below provide additional perspective on the Fund’s long term results.

Under the former sub-adviser, Capital Guardian, the Fund’s performance declined during the time period of January 1, 2008, through August 31, 2008, with a total return of –19.16% compared to a total return of –17.31% for the MSCI EAFE Index over the same time period.

For most of the reporting period and under the guidance of Capital Guardian, the primary reasons for the Fund’s underperformance relative to the MSCI EAFE Index were due to the Fund’s negative stock selection in Japan and France and in the Consumer Discretionary sector.

From an individual security perspective, the Japanese telecommunication services company, Softbank Corp. (2.22% of total assets as of August 31, 2008), was the largest detractor to performance, declining –19% during the January 1, 2008, through August 31, 2008, timeframe. The next two largest detractors to performance were the French industrial company, Bouygues (1.63% of total assets as of August 31, 2008), and the U.K. financial company, Royal Bank of Scotland (0.77% of total assets as of August 31, 2008), which declined –25% and –40%, respectively, during the January 1, 2008, through August 31, 2008, period. Within the Consumer Discretionary sector, Daimler AG (0.74% of total assets as of August 31, 2008), was the largest detractor to returns, declining –37% during the January 1, 2008, through August 31, 2008, timeframe.

From a country perspective and for the January 1, 2008, through August 31, 2008, timeframe, the Fund achieved the largest positive contribution from Canadian securities, which posted a gain of 3%. Positive stock selection in Canadian securities was the primary factor. As of August 31, 2008, Canadian securities represented 9.74% of total assets compared to the MSCI EAFE Index which did not contain any Canadian securities. Two of the Fund’s top five contributors to performance were Canadian companies: Potash Corp. of Saskatchewan (3.14% of total assets as of August 31, 2008) and Research In Motion Ltd. (0.24% of total assets as of August 31, 2008), which gained 20% and 12%, respectively, during the January 1, 2008, through August 31, 2008, timeframe.

Effective September 2, 2008, Marsico and Northern Cross began serving as co-investment sub-advisers to the Fund. Under the guidance of Marsico and Northern Cross, the composition of the Fund’s portfolio changed dramatically. Beginning September 2, 2008, securities within the portfolio (except for securities amounting to approximately 20% of the market value of the Fund at the time of transition) were liquidated and the proceeds were re-invested in equity securities issued primarily by foreign companies chosen by Marsico and Northern Cross. The reconstitution of the Fund’s portfolio contributed to a higher than normal turnover rate of 157% for 2008. Effective with the change in sub-advisers on September 2, 2008, the benchmark for the Fund was changed from the MSCI EAFE Index to the MSCI All Country World Index (ACWI) ex-U.S. at that time.

For the period September 2, 2008, through December 31, 2008, Marsico and Northern Cross generated portfolio returns (before fees and expenses) of –33.35% and –26.98%, respectively, compared to a –32.64% return for the MSCI ACWI ex-U.S. Index over the same time period. The discussions below concerning the performance of individual investments made by Marsico and Northern Cross, reflect the performance of the individual security in U.S. dollars while held in the Fund’s portfolio, although a security may have been purchased at any time during the period September 2, 2008, through December 31, 2008.

During the time period of September 2, 2008, through December 31, 2008, the largest detractor to Marsico’s performance came from Las Vegas Sands Corp. (0.92% of Marsico’s total assets), which declined –86% during the period. The next two largest detractors were All America Latina Logistica and Deutsche Bank, which declined –72% and –66%, respectively, before being sold by Marsico during the period. Among the remaining top 5 detractors to Marsico’s performance, Gafisa SA (0.69% of Marsico’s total assets) and Compagnie Generale de Geophysique Veritas (0.76% of Marsico’s total assets) declined –66% and –58%, respectively, during the September 2, 2008, through December 31, 2008, timeframe.

During the time period of September 2, 2008, through December 31, 2008, the largest positive contributor to Marsico’s performance came from Vodafone Group PLC (2.09% of Marsico’s total assets), which gained 18%. Hitachi Construction Machinery Co. Ltd gained 17% before being sold by Marsico during the period. Among the remaining top 5 contributors to Marsico’s performance, Industrial and Commercial Bank of China (0.90% of Marsico’s total assets), BMW AG (0.96% of Marsico’s total assets), and Telefonica SA (2.17% of Marsico’s total assets), rose 15%, 14%, and 12%, respectively, during the September 2, 2008, through December 31, 2008, timeframe.

During the time period of September 2, 2008, through December 31, 2008, the largest positive contributor to Northern Cross’ performance came from Veolia Environnement (0.84% of Northern Cross’ total assets), which gained 29%. AngloGold Ashanti Ltd. (0.76% of Northern Cross’ total assets), Sumitomo Trust & Banking Co. Ltd. (1.84% of Northern Cross’ total assets) and France Telecom SA (1.42% of Northern Cross’ total assets) increased 15%, 3%, and 1%, respectively, during the September 2, 2008, through December 31, 2008, timeframe. Among the remaining top 5 contributors to Northern Cross’ performance, Novartis AG (0.94% of Northern Cross’ total assets) declined –6% during the period.

During the time period of September 2, 2008, through December 31, 2008, the largest detractor to Northern Cross’ performance came from Petroleo Brasileiro SA Preferred (2.57% of Northern Cross’ total assets), which declined –47% during the period. The next two largest detractors were Commerzbank AG (0.90% of Northern Cross’ total assets) and Banco Bradesco SA Preferred (1.64% of Northern Cross’ total assets), which declined –61% and –45%, respectively, during the same period. Among the remaining top 5 detractors to Northern Cross’ performance, ABB Ltd (2.40% of Northern Cross’ total assets) and BNP Paribas (1.15% of Northern Cross’ total assets) declined –34% and –51%, respectively, during the September 2, 2008, through December 31, 2008, timeframe.

The Large Cap Equity Index Fund (the “Fund”) seeks to approximate as closely as possible, before fees and expenses, the capitalization-weighted total rate of return of the Standard & Poor’s 500 Stock Index¹ (the “Index”). The Index is composed of 500 selected common stocks, most of which are listed on the New York Stock Exchange. The weightings of stocks in the Index are based on each stock’s relative total float-adjusted market capitalization (stock price multiplied by the number of investable shares outstanding). The percentage of the Fund’s assets invested in a given stock is approximately the same as the percentage such stock represents in the Index.

Describe the relevant market environment as it related to the Fund for the reporting period.

For the 1-year period ended December 31, 2008, the Large Cap Equity Index Fund had a total return of –37.14% compared to the S&P 500 Index return of –37.00%. The line graph and table below provide additional perspective on the Fund’s long term results.

The Fund satisfactorily tracked the total return of the Index in 2008, before fees and expenses that are not found within the Index.

The Index finished the year with a total return of –37.00%. All ten of the Index’s sectors posted losses for the year.

Of the Fund’s top ten holdings, only number eight holding Wal-Mart Stores, Inc. (1.56% of total net assets) finished the year with a gain, up 18%.

The biggest detractors among the top ten holdings were number three General Electric Co. (2.12% of total net assets) and number seven Microsoft Corp. (1.85% of total net assets), with price declines of –56% and –45%, respectively. While Financials was the hardest hit sector in 2008, number ten holding JPMorgan Chase & Co. (1.46% of total net assets) held up relatively better than its sector peers, finishing 2008 with a price decline of –28% versus a decline of –57% for the Financials sector of the S&P 500 Index.

The Fund’s number one and number six holdings, Exxon Mobil Corp. (5.05% of total net assets) and Chevron Corp. (1.87% of total net assets), were part of the Energy sector and in particular the Oil and Gas industry. The volatility of crude oil prices in 2008, as discussed earlier, was partially responsible for the price declines of –15% and –21%, respectively, of the two holdings.

Performance of the Fund’s remaining top ten holdings include number two Procter & Gamble Co. (2.30% of total net assets), number four AT&T, Inc. (2.09% of total net assets), number five Johnson & Johnson (2.07% of total net assets), and number nine Pfizer, Inc. (1.49% of total net assets) with price declines of –16%, –31%, –10%, and –22%, respectively.

The Small Cap Equity Index Fund (the “Fund”) seeks to approximate as closely as possible, before fees and expenses, the capitalization-weighted total rate of return of the Russell 2000^® Index¹ (the “Index”). The Index measures the performance of the small-capitalization sector of the U.S. equity market and consists of the smallest 2,000 companies in the Russell 3000^® Index. The weightings of stocks in the Index are based on each stock’s relative total market capitalization (stock price multiplied by the number of shares outstanding).

Describe the relevant market environment as it related to the Fund for the reporting period.

Major U.S. equity market indexes struggled during 2008 as small capitalization stocks, as represented by the Index, finished the reporting period with a total return of –33.79%. In comparison, large capitalization stocks, as represented by the Russell 1000^® Index, had a total return of –37.60% for the year.

The market environment was influenced by numerous factors, including: continued deterioration in the housing market, a broad decline in corporate earnings, rising concerns of credit defaults and a subsequent tightening of credit markets, volatile commodity prices, and significant failures in the U.S. financial system that caused the U.S. government to initiate a number of wide-ranging programs in an effort to help stabilize the financial markets. In addition to these programs, the Federal Reserve acted seven times throughout the year, lowering the Fed Funds Rate from 4.25% in January to a target range of 0.00 to 0.25% by December 2008.

For the 1-year ended December 31, 2008, the Small Cap Equity Index Fund had a total return of –34.05% compared to a –33.79% total return for the Russell 2000 Index. The line graph and table below provide additional perspective on the Fund’s long term results.

The Fund’s return satisfactorily tracked the return of the Index for the year ended December 31, 2008, before fees and expenses that are not found within the Index.

Within the Russell 2000 Index, every major sector delivered negative performance results for the reporting period. Information Technology (15.81% Index weighting) endured the steepest sector decline within the Index, with a loss of
–42.41%. The Consumer Discretionary sector (10.97% Index weighting) also experienced a meaningful decline of
–40.69%. The Health Care sector (15.30% Index weighting) declined –27.75%, as did the Industrials sector (16.88% Index weighting) with a loss of –39.09%. The Financials sector (23.45% Index weighting), which represented the largest sector in the Index as of December 31, 2008, declined –25.12%.

Among the Fund’s ten largest holdings as of December 31, 2008, performance was mixed for the year. Number two holding Myriad Genetics Inc. (0.38% of total net assets) experienced a gain of 43% for the reporting period. Energy companies held the number six and nine spots in the top ten as Piedmont Natural Gas Co. (0.30% of total net assets) and Comstock Resources Inc. (0.27% of total net assets) also posted gains of 21% and 39%, respectively. Number four holding Waste Connections Inc. (0.32% of total net assets) was the only other top holding with a gain for the year, finishing up 2%.

Number eight holding ITC Holdings Corp. (0.28% of total net assets) declined the most among the Fund’s top ten holdings for the year with a price decline of –23%, followed by number ten holding Westar Energy Inc. (0.27% of total net assets) with a price decline of –21%. Number five holding Realty Income Corp. (0.30% of total net assets) and number seven holding OSI Pharmaceuticals Inc. (0.29% of total net assets) also finished the year with double-digit price declines of –14% and –20%, respectively. Number one holding Ralcorp Holdings Inc. (0.42% of total net assets) and number three holding Alexion Pharmaceuticals Inc. (0.36% of total net assets) finished the year with price declines of –4% and –4%, respectively.

The annual reconstitution of holdings within the Russell indices occurred on June 27, 2008. For the Index, the one-time 2008 reconstitution resulted in 236 companies being added to the Index while 187 companies were removed from the Index, a turnover of 17%.

The International Equity Index Fund (the “Fund”) seeks investment results that approximate as closely as possible the price and yield performance, before fees and expenses, of the Morgan Stanley Capital International EAFE^® Free Index¹ (the “Index”). The Index is a capitalization-weighted index that currently includes stocks of companies located in 16 European countries, Australia, New Zealand, Hong Kong, Japan and Singapore. The Fund invests primarily in a representative sample of the stocks found in the Index.

Describe the relevant market environment as it related to the Fund for the reporting period.

International equity markets, as represented by the Index, finished the reporting period down with a total return of
–43.38%, underperforming U.S. equity markets. Several factors, including deteriorating global economic growth, a decline in global housing prices that contributed to credit concerns across all geographic regions, financial company failures across the globe related to the housing crisis, government interventions in various countries to help stabilize the financial markets, declining exports to the U.S., and decreasing commodity prices which particularly hurt emerging markets (whose economies have greater economic sensitivity to commodity prices), coupled with an appreciating U.S. dollar, helped to push the returns of overseas markets below the returns of the U.S. markets. All performance information included in this discussion is quoted in U.S. dollars.

The U.S. market environment was influenced by numerous factors, including: continued deterioration in the housing market, a broad decline in corporate earnings, rising concerns of credit defaults and a subsequent tightening of credit markets, volatile commodity prices, and significant failures in the U.S. financial system that caused the U.S. government to initiate a number of wide-ranging programs in an effort to help stabilize the financial markets. In addition to these programs, the Federal Reserve lowered the Fed Funds Rate from 4.25% in January to a target range of 0.00% to 0.25% by December 2008.

The economic slowdown in the United States spread to other economies around the world.

As economic growth and consumer spending declined in the United Kingdom, the Bank of England lowered short-term interest rates from its 5.50% rate at the beginning of 2008 to 2.00% as of December 31, 2008. The Bank of Japan cut its short-term rate from 0.50% at the beginning of the year to stand at 0.10% as of the end of December.

For the 1-year period ended December 31, 2008, the International Equity Index Fund had a total return of –42.13% compared to a –43.38% total return for the MSCI EAFE Free Index. The line graph and table below provide additional perspective on the Fund’s long term results.

Within the Index, every major industry sector declined during the reporting period. The Financials sector (22.63% Index weighting) endured a decline of –47.85% as the credit crisis deepened. Slower infrastructure demand across Europe and Japan contributed to negative performance within the Materials sector (7.85% Index weighting) and the Industrials sector (11.55% Index weighting), with losses of –50.20% and –39.62%, respectively. The Consumer Discretionary sector (9.60% Index weighting) also declined –38.73%. The Health Care sector (9.76% Index weighting) experienced the smallest relative sector decline of –17.47% among the market sectors.

In addition, all regions and countries within the Index declined during 2008. The European region of the Index had a relatively weaker year when compared to the Index’s Pacific region, suffering losses of –48.20% compared to –37.91%. Of the top ten countries within the Index, the largest-weighted country Japan (24.80% Index weighting) had the smallest loss of –30.52% for the year.

The remaining top ten countries by Index weighting also suffered losses during 2008:

Among the Fund’s ten largest holdings as of December 31, 2008, performance was negative for the reporting period. Number six holding Vodafone Group PLC (1.37% of total net assets) experienced the steepest price decline of –44%. Within the Financials sector, number three holding HSBC Holdings PLC (1.49% of total net assets) also logged a double-digit price decline of –42%. Within the Energy sector, the Fund’s number two holding BP PLC (1.84% of total net assets), number five holding Total SA (1.48% of total net assets), and number ten holding Royal Dutch Shell PLC (1.19% of total net assets), experienced price declines of –36%, –33%, and –37%, respectively. Number four holding Novartis AG (1.48% of total net assets) posted the smallest price decline among the ten largest holdings for the reporting period at
–8%.

Rounding out the rest of the top ten holdings are number one holding Nestle SA (1.89% of total net assets), number seven holding Roche Holding AG (1.36% of total net assets), number eight holding GlaxoSmithKline PLC (1.24% of total net assets), and number nine holding Telefonica SA (1.20% of total net assets) with price declines of –11%, –11%, –26%, and –31%, respectively.

The Stock and Bond Balanced Fund (the “Fund”) is managed with a combination of stocks and bonds in the pursuit of long-term growth of principal while providing some current income.

The Fund invests all of its assets in the Variable Product Trust Large Cap Equity Index Fund (the “Large Cap Equity Index Fund”) and the Variable Product Trust Bond Fund (the “Bond Fund”, and together with the Large Cap Equity Index Fund, an “Underlying Fund”). We strive to maintain an investment mix of approximately 60% of assets in the Large Cap Equity Index Fund and 40% of assets in the Bond Fund. The Stock and Bond Balanced Fund never invests more than 75% of its net assets in either Underlying Fund. Although the Fund is not an asset allocation or market timing portfolio, we do, from time to time, adjust the amount of its assets invested in each Underlying Fund as economic, market, and financial conditions warrant.

Describe the relevant market environment as it related to the Fund for the reporting period.

Because the Fund does not invest directly in individual stocks and bonds, the merits of the individual investments are evaluated separately by each Underlying Fund’s managers. You may wish to refer to the Management’s Discussion of Fund Performance for the Large Cap Equity Index Fund and the Bond Fund in addition to the commentary provided here.

The market environment was influenced by numerous factors including: continued deterioration in the housing market, a broad decline in corporate earnings, rising concerns of credit defaults and a subsequent tightening of credit markets, volatile commodity prices, and significant failures in the U.S. financial system that caused the U.S. government to initiate a number of wide-ranging programs in an effort to help stabilize the financial markets. These events and the uncertainty surrounding the financial markets helped cause a flight to relative safety, driving prices on U.S. Treasuries higher and yields lower. In addition, the Federal Reserve acted to lower the Fed Funds Rate seven times throughout the year.

The Federal Reserve lowered the Fed Funds Rate seven times during the year from 4.25% in January to a range of 0.00% to 0.25% by December 31, 2008. During the 1-year period, interest rates across the entire maturity spectrum declined, with the short-end of the maturity curve experiencing a greater decline than the long-end of the maturity curve. For example, the yield on 3-month U.S. Treasuries declined 316 basis points from a peak of 3.27% on January 7, 2008, to only 0.11% on December 31, 2008. Comparably, the yield on 10-year U.S. Treasuries declined 202 basis points from a peak of 4.27% on June 13, 2008, to 2.25% on December 31, 2008.

Overall, for the year ended December 31, 2008, longer-maturity U.S. Treasuries outperformed relative to both short- and intermediate-maturity U.S. Treasuries. For the 1-year period, the total return on Long U.S. Treasuries was 8.44% compared to a total return of 4.97% and 5.08% for 1-3 year U.S. Treasuries and Intermediate-maturity U.S. Treasuries, respectively. Among corporate bonds within the Index, industrial and utility bonds outperformed relative to financial institution bonds during the year. The total return on industrial and utility bonds was –1.98% and –3.68%, respectively, compared to a total return of –8.37% for financial institution bonds.¹ From a credit standpoint within the Index, higher credit quality bonds outperformed relative to lower credit quality bonds during the year.

For the 1-year period ended December 31, 2008, the Stock and Bond Balanced Fund had a total return of –23.14%. Because of the nature of the Fund (it invests solely in shares of two Underlying Funds), a blended benchmark is used for comparison purposes. The blended benchmark is a combination of 60% S&P 500 Index and 40% Barclays Capital Government/Credit Intermediate Index (rebalanced on a monthly basis). The total return of the blended benchmark was
–22.07% for the 1-year period ended December 31, 2008. The line graph and table below provide additional perspective on the Fund’s long term results.

As discussed above, the Stock and Bond Balanced Fund invests solely in shares of the Underlying Funds - the Large Cap Equity Index Fund and the Bond Fund. Generally, the Stock and Bond Balanced Fund attempts to maintain approximately 60% of its net assets in shares of the Large Cap Equity Index Fund and approximately 40% of its net assets in shares of the Bond Fund. For the 1-year period ended December 31, 2008, the Large Cap Equity Index Fund and the Bond Fund returned –37.14% and 0.95% (after expenses), respectively.

The S&P 500 Index finished the year with a total return of –37.00%. All ten of the S&P 500 Index’s sectors posted losses for the year.

Of the Large Cap Equity Index Fund’s top ten holdings, only number eight holding Wal-Mart Stores, Inc. (1.56% of the Large Cap Equity Index Fund’s total net assets) finished the year with a gain, up 18%.

The biggest detractors among the top ten holdings were number three General Electric Co. (2.12% of the Large Cap Equity Index Fund’s total net assets) and number seven Microsoft Corp. (1.85% of the Large Cap Equity Index Fund’s total net assets), with price declines of –56% and –45%, respectively. While Financials was the hardest hit sector in 2008, number ten holding JPMorgan Chase & Co. (1.46% of the Large Cap Equity Index Fund’s total net assets) held up relatively better than its sector peers, finishing 2008 with a price decline of –28% versus a decline of –57% for the Financials sector of the S&P 500 Index.

The Large Cap Equity Index Fund’s number one and number six holdings, Exxon Mobil Corp. (5.05% of the Large Cap Equity Index Fund’s total net assets) and Chevron Corp. (1.87% of the Large Cap Equity Index Fund’s total net assets), were part of the Energy sector and in particular the Oil and Gas industry. The volatility of crude oil prices in 2008, as discussed earlier, was partially responsible for the price declines of –15% and –21%, respectively, of the two holdings.

Performance of the Large Cap Equity Index Fund’s remaining top ten holdings include number two Procter & Gamble Co. (2.30% of the Large Cap Equity Index Fund’s total net assets), number four AT&T, Inc. (2.09% of the Large Cap Equity Index Fund’s total net assets), number five Johnson & Johnson (2.07% of the Large Cap Equity Index Fund’s total net assets), and number nine Pfizer, Inc. (1.49% of the Large Cap Equity Index Fund’s total net assets) with price declines of –16%, –31%, –10%, and –22%, respectively.

Fixed Income portion of the Fund (approximately 40% throughout the period)

The Bond Fund’s high credit quality orientation as well as positive returns in corporate bonds held by the Bond Fund helped performance during the year. As of December 31, 2008, 71.50% of the Bond Fund’s total investments were invested in securities rated A1 or higher. Meanwhile, corporate bonds totaled 89.10% of the Bond Fund’s total investments at the end of the period.

The Bond Fund’s underweight position in U.S. Treasuries compared to the Barclays Capital Government/Credit Intermediate Index hurt relative performance as total returns among U.S. Treasuries were the highest among all sectors within the Index. As of December 31, 2008, 1.34% of the Bond Fund’s total investments were in U.S. Treasury securities versus 44.46% for the Barclays Capital Government/Credit Intermediate Index.

The primary reasons that the Bond Fund underperformed the Barclays Capital Government/Credit Intermediate Index by 4.13% for the 1-year reporting period were the Bond Fund’s underweight position in U.S. Treasuries relative to the Index and the expenses associated with the Bond Fund, which expenses are not within the Index.

The option-adjusted duration of the Bond Fund stood at approximately 3.72 years at the end of 2008, down from 4.04 years at the beginning of the year. Duration is a statistical calculation that measures a bond’s (or in this case, a bond fund’s) price sensitivity relative to general movements in interest rates. Option-adjusted duration attempts to incorporate prepayment possibilities into the duration statistic. As interest rates decline, prepayments typically increase as companies seek to refinance their bonds at lower rates, which results in downward pressure on duration.

We manage the State Farm Bond Fund (the “Fund”) in a manner that seeks to achieve over a period of years the highest yield possible that is consistent with investing in high quality, investment grade bonds. In managing the Fund, we generally are buy-and-hold investors who focus primarily on U.S. Government obligations, government agencies, and high quality corporate bonds. While the Fund invests in bonds of varying maturities, it is structured with a maturity and interest rate risk (duration) profile that is consistent with its benchmark, the Barclays Capital Government/Credit Intermediate Index (the “Index”).

Describe the relevant market environment as it related to the Fund for the reporting period.

Throughout the 1-year period, investors were confronted with numerous economic events including continued deterioration in the housing market, a broad decline in corporate earnings, rising concerns of credit defaults and a subsequent tightening of credit markets, volatile commodity prices, and significant failures in the U.S. financial system that caused the U.S. government to initiate a number of wide-ranging programs in an effort to help stabilize the financial markets. These events and the uncertainty surrounding the financial markets helped cause a flight to relative safety, driving prices on U.S. Treasuries higher and yields lower.

Overall, for the year ended December 31, 2008, longer-maturity U.S. Treasuries outperformed relative to both short- and intermediate-maturity U.S. Treasuries. For the 1-year period, the total return on Long U.S. Treasuries in the Index was 8.44% compared to a total return of 4.97% and 5.08% for 1-3 year U.S. Treasuries and Intermediate-maturity U.S. Treasuries in the Index, respectively. Among corporate bonds within the Index, industrial and utility bonds outperformed relative to financial institution bonds during the year. The total return on industrial and utility bonds was –1.98% and
–3.68%, respectively, compared to a total return of –8.37% for financial institution bonds¹. From a credit standpoint within the Index, higher credit quality bonds outperformed relative to lower credit quality bonds during the year.

For the 1-year period ended December 31, 2008, the Bond Fund had a total return of 0.95% compared to a return of 5.08% for the Barclays Capital Government/Credit Intermediate Index. The line graph and table below provide additional perspective on the Fund’s long term results.

The Fund’s high credit quality orientation as well as positive returns in corporate bonds the Fund held helped performance during the year. As of December 31, 2008, 71.50% of the Fund’s total investments were invested in securities rated A1 or higher. Meanwhile, corporate bonds totaled 89.10% of the Fund’s total investments at the end of the period.

The Fund’s underweight position in U.S. Treasuries compared to the Index hurt relative performance as total returns among U.S. Treasuries were the highest among all sectors within the Index. As of December 31, 2008, 1.34% of the Fund’s total investments were in U.S. Treasury securities versus 44.46% for the Index.

The primary reasons that the Fund underperformed the Index by 4.13% for the 1-year reporting period were the Fund’s underweight position in U.S. Treasuries relative to the Index and the expenses associated with the Fund, which expenses are not within the Index.

The option-adjusted duration of the Fund stood at approximately 3.72 years at the end of 2008, down from 4.04 years at the beginning of the year. Duration is a statistical calculation that measures a bond’s (or in this case, a bond fund’s) price sensitivity relative to general movements in interest rates. Option-adjusted duration attempts to incorporate prepayment possibilities into the duration statistic. As interest rates decline, prepayments typically increase as companies seek to refinance their bonds at lower rates, which results in downward pressure on duration.

The State Farm Money Market Fund (the “Fund”) seeks to maximize current income to the extent consistent with the preservation of capital and maintenance of liquidity. The Fund pursues this objective by investing in high quality commercial paper and other short-term debt securities. It is managed by State Farm Investment Management Corp. (SFIMC). An investment in the Fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in the Fund.

The performance figures for the Funds on the preceding pages reflect the reinvestment of all dividends and capital gains, and the deduction of investment management fees and fund-level expenses, but not contract-level charges. If contract-level charges were reflected, the performance quoted would be significantly lower than shown. The Policy Total Returns on pages 31 and 32 reflect contract-level charges for the State Farm Variable Deferred Annuity and State Farm Variable Universal Life Insurance policies.

As a shareholder of a Fund, you incur ongoing costs, including management fees and other Fund expenses. The Example in the following table is intended to help you understand your ongoing costs (in dollars) of investing in a Fund and to compare these costs with the ongoing costs of investing in other funds.

The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period as stated in the table for each Fund.

The first line under each Fund name in the table below provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value for a Fund by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading entitled “Expenses Paid During Period” for the applicable Fund to estimate the expenses you paid on your account for that Fund during this period. If your account has multiple Fund positions, add up the results calculated for each Fund position within your account to estimate the expenses you paid on your total account value.

The second line under each Fund name in the table below provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only. Therefore, the second line under each Fund name in the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds, including those that have transactional costs, such as sales charges (loads), redemptions fees, or exchange fees.

Standardized returns reflect all contract-level and underlying fund fees and expenses (including the daily Mortality and Expense Risk Charge at a current annual rate of 1.15% of net assets, the investment advisory fees and other expenses incurred by the funds), including the $30 annual administrative fee (waived if total premiums of at least $50,000 have been paid) and surrender charges (7% in year 1, declining by 1% each following year until it reaches 0% in year 8). The fees and expenses are based on an assumed average account size of $10,300 as of 12/31/2008. The since inception standardized return period begins on the Fund Inception Date (as noted).

The State Farm Variable Universal Life policy total returns reflect all contract-level and underlying fund fees and expenses (including the 5% Premium Charge, the daily Mortality and Expense Risk Charge at a current annual rate of 0.8% of net assets, the current monthly expense charge of $8, and the investment advisory fees and other expenses incurred by the funds), except for surrender charges and the cost of insurance. If the surrender charges (if applicable) or the cost of insurance were reflected, the performance quoted would be significantly lower than shown. We encourage you to obtain from your State Farm registered representative agent a personalized illustration that will reflect all applicable fees and charges, including the cost of insurance. For policies purchased prior to July 1, 2004, the monthly expense charge is $6. The monthly expense charge reflected above is $8, which is the monthly expense charge for policies purchased on or after July 1, 2004. The fees and expenses reflected in this calculation are based on an assumed average account size of $4,000 as of 12/31/2008. The total returns since inception period begins on the Fund Inception Date (as noted).

The returns on this page apply only to the State Farm Life Insurance Company products. This performance data represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that your account value, when redeemed, may be worth more or less than the premiums you paid. Recent performance may be less than the figures shown. Obtain total returns current to the most recent month-end at the following pages on statefarm.com^®: “http://www.statefarm.com/insurance/life_annuity/annuity/variable/vdapandr.asp” and “http://www.statefarm.com/insurance/life_annuity/life/vari_univ/vulpandr.asp”.

Standardized returns reflect all contract-level and underlying fund fees and expenses (including the daily Mortality and Expense Risk Charge at a current annual rate of 1.15% of net assets, the investment advisory fees and other expenses incurred by the funds), including the $30 annual administrative fee (waived if total premiums of at least $50,000 have been paid) and surrender charges (7% in year 1, declining by 1% each following year until it reaches 0% in year 8). The fees and expenses are based on an assumed average account size of $9,300 as of 12/31/2008. The since inception standardized return period begins on the Fund Inception Date (as noted).

The State Farm Variable Universal Life policy total returns reflect all contract-level and underlying fund fees and expenses (including the 5% Premium Charge, the daily Mortality and Expense Risk Charge at a current annual rate of 0.8% of net assets, the current monthly expense charge of $8, and the investment advisory fees and other expenses incurred by the funds), except for surrender charges and the cost of insurance. If surrender charges (if applicable) and the cost of insurance were reflected, the performance quoted would be significantly lower than shown. We encourage you to obtain from your State Farm registered representative agent a personalized illustration that will reflect all applicable fees and charges, including the cost of insurance. For policies purchased prior to July 1, 2004, the monthly expense charge is $6. The monthly expense charge reflected above is $8, which is the monthly expense charge for policies purchased on or after July 1, 2004. The fees and expenses reflected in this calculation are based on an assumed average account size of $3,100 as of 12/31/2008. The total returns since inception period begins on the Fund Inception Date (as noted).

The returns on this page apply only to the State Farm Life and Accident Assurance Company products. This performance data represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that your account value, when redeemed, may be worth more or less than the premiums you paid. Recent performance may be less than the figures shown. Obtain total returns current to the most recent month-end at the following pages on statefarm.com^®: “http://www.statefarm.com/insurance/life_annuity/annuity/variable/vdapandr.asp” and “http://www.statefarm.com/insurance/life_annuity/life/vari_univ/vulpandr.asp”.


	Shares	Value
Common Stocks (98.94%)
Consumer Discretionary (8.28%)
Amazon.com Inc. (a)	1,900	$	97,432
Comcast Corp. Class A	8,900		150,232
Family Dollar Stores Inc.	4,500		117,315
GameStop Corp. Class A (a)	4,900		106,134
McDonald’s Corp.	11,000		684,090
NIKE Inc. Class B	9,700		494,700
The Walt Disney Co.	14,200		322,198
Urban Outfitters Inc. (a)	7,100		106,358

			2,078,459

Consumer Staples (10.84%)
Avon Products Inc.	6,000		144,180
Campbell Soup Co.	3,700		111,037
Colgate-Palmolive Co.	4,800		328,992
CVS Caremark Corp.	16,900		485,706
General Mills Inc.	6,500		394,875
Kraft Foods Inc. Class A	5,600		150,360
PepsiCo Inc.	2,200		120,494
Philip Morris International Inc.	8,100		352,431
The Coca-Cola Co.	3,200		144,864
Wal-Mart Stores Inc.	8,700		487,722

			2,720,661

Energy (11.93%)
Apache Corp.	2,300		171,419
Baker Hughes Inc.	2,800		89,796
Cameron International Corp. (a)	4,300		88,150
Chevron Corp.	4,600		340,262
ConocoPhillips	6,800		352,240
Devon Energy Corp.	2,700		177,417
Diamond Offshore Drilling Inc.	2,600		153,244
Exxon Mobil Corp.	4,600		367,218
Massey Energy Co.	6,600		91,014
Murphy Oil Corp.	3,600		159,660
National-Oilwell Varco Inc. (a)	3,300		80,652
Occidental Petroleum Corp.	6,100		365,939
Plains Exploration & Production Co. (a)	3,200		74,368
Smith International Inc.	2,800		64,092
Southwestern Energy Co. (a)	5,700		165,129
Transocean Ltd. (a)	2,600		122,850
XTO Energy Inc.	3,700		130,499

			2,993,949

Financials (12.98%)
ACE Ltd.	6,700		354,564
Bank of America Corp.	23,000		323,840
Charles Schwab Corp.	7,200		116,424
Franklin Resources Inc.	2,500		159,450
Hudson City Bancorp Inc.	18,300		292,068
JPMorgan Chase & Co.	10,200		321,606
Marsh & McLennan Companies Inc.	5,000		121,350
MetLife Inc.	4,900		170,814


	Shares	Value
Common Stocks (Cont.)
Financials (Cont.)
PNC Financial Services Group Inc.	7,100	$	347,900
State Street Corp.	10,900		428,697
Travelers Companies Inc.	3,900		176,280
Wells Fargo & Co.	15,100		445,148

			3,258,141

Health Care (14.71%)
Amgen Inc. (a)	6,700		386,925
Biogen Idec Inc. (a)	3,700		176,231
Bristol-Myers Squibb Co.	15,800		367,350
Celgene Corp. (a)	2,700		149,256
Cerner Corp. (a)	2,900		111,505
Covidien Ltd.	9,000		326,160
CR Bard Inc.	1,600		134,816
Express Scripts Inc. (a)	3,500		192,430
Gilead Sciences Inc. (a)	3,600		184,104
Intuitive Surgical Inc. (a)	500		63,495
Johnson & Johnson	9,900		592,317
Medtronic Inc.	2,900		91,118
Schering-Plough Corp.	11,300		192,439
St. Jude Medical Inc. (a)	8,000		263,680
Stryker Corp.	2,700		107,865
Wyeth	9,400		352,594

			3,692,285

Industrials (11.15%)
3M Co.	1,700		97,818
Bucyrus International Inc.	2,900		53,708
Burlington Northern Santa Fe Corp.	1,400		105,994
CH Robinson Worldwide Inc.	2,300		126,569
CSX Corp.	2,500		81,175
Cummins Inc.	3,200		85,536
Dun & Bradstreet Corp.	1,500		115,800
Emerson Electric Co.	8,000		292,880
Expeditors International of Washington Inc.	2,800		93,156
Fastenal Co.	3,300		115,005
First Solar Inc. (a)	1,600		220,736
Flowserve Corp.	2,000		103,000
ITT Corp.	5,200		239,148
Norfolk Southern Corp.	3,500		164,675
Raytheon Co.	3,300		168,432
Union Pacific Corp.	4,700		224,660
United Technologies Corp.	7,200		385,920
WW Grainger Inc.	1,600		126,144

			2,800,356

Materials & Processes (2.76%)
CF Industries Holdings Inc.	2,900		142,564
Cliffs Natural Resources Inc.	3,700		94,757
Monsanto Co.	2,800		196,980
Mosaic Co.	2,800		96,880


	Shares	Value
Common Stocks (Cont.)
Materials & Processes (Cont.)
Potash Corp of Saskatchewan Inc.	2,200	$	161,084

			692,265

Technology (19.12%)
Accenture Ltd. Class A	10,500		344,295
Amphenol Corp. Class A	3,900		93,522
Apple Inc. (a)	2,200		187,770
Automatic Data Processing Inc.	9,800		385,532
CA Inc.	7,200		133,416
Cisco Systems Inc. (a)	17,700		288,510
eBay Inc. (a)	7,200		100,512
EMC Corp. (a)	40,700		426,129
FLIR Systems Inc. (a)	6,700		205,556
Google Inc. Class A (a)	400		123,060
Hewlett-Packard Co.	3,800		137,902
Intel Corp.	7,900		115,814
International Business Machines Corp.	7,300		614,368
Intuit Inc. (a)	4,900		116,571
Juniper Networks Inc. (a)	6,900		120,819
MasterCard Inc. Class A	800		114,344
Microsoft Corp.	16,900		328,536
Oracle Corp. (a)	30,700		544,311
Symantec Corp. (a)	16,600		224,432
Visa Inc. Class A	3,700		194,065

			4,799,464

Telecommunication Services (3.07%)
AT&T Inc.	12,000		342,000
NII Holdings Inc. (a)	3,600		65,448
Verizon Communications Inc.	10,700		362,730

			770,178

Utilities (4.10%)
Dominion Resources Inc.	9,700		347,648
Exelon Corp.	6,300		350,343
PG&E Corp.	8,600		332,906

			1,030,897

Total Common Stocks
(cost $32,759,896)			24,836,655


	Shares	Value
Common Stocks (98.93%)
Consumer Discretionary (10.49%)
99 Cents Only Stores (a)	3,700	$	40,441
Apollo Group Inc. Class A (a)	975		74,705
Bally Technologies Inc. (a)	3,625		87,109
Big Lots Inc. (a)	7,000		101,430
Burger King Holdings Inc.	7,625		182,085
CEC Entertainment Inc. (a)	5,800		140,650
Coach Inc. (a)	2,000		41,540
Einstein Noah Restaurant Group Inc. (a)	40,800		234,600
Federal-Mogul Corp. (a)	5,900		24,957
FTI Consulting Inc. (a)	2,350		104,998
GameStop Corp. Class A (a)	7,250		157,035
Gildan Activewear Inc. (a)	6,250		73,500
Guess? Inc.	1,900		29,165
Hasbro Inc.	5,900		172,103
ITT Educational Services Inc. (a)	1,125		106,852
LKQ Corp. (a)	4,450		51,887
NIKE Inc. Class B	2,300		117,300
O’Reilly Automotive Inc. (a)	2,925		89,914
Omnicom Group Inc.	2,150		57,878
The Finish Line Inc. Class A	18,600		104,160
TJX Companies Inc.	2,675		55,025
Unifi Inc. (a)	27,200		76,704
Urban Outfitters Inc. (a)	4,400		65,912
VF Corp.	1,775		97,217
Warnaco Group Inc. (a)	11,800		231,634

			2,518,801

Consumer Staples (5.69%)
Avon Products Inc.	8,050		193,442
Cal-Maine Foods Inc.	4,400		126,280
Casey’s General Stores Inc.	3,300		75,141
Church & Dwight Co. Inc.	1,750		98,210
ConAgra Foods Inc.	5,700		94,050
Corn Products International Inc.	7,250		209,162
Energizer Holdings Inc. (a)	1,750		94,745
Fomento Economico Mexicano S.A.B. de C.V. ADR	1,475		44,442
H.J. Heinz Co.	1,825		68,620
J.M. Smucker Co.	1,475		63,956
Kroger Co.	5,900		155,819
Spartan Stores Inc.	6,100		141,825

			1,365,692

Energy (8.82%)
Arch Coal Inc.	5,600		91,224
ATP Oil & Gas Corp. (a)	6,500		38,025
CONSOL Energy Inc.	3,900		111,462
GulfMark Offshore Inc. (a)	4,600		109,434
Hornbeck Offshore Services Inc. (a)	8,900		145,426
Mariner Energy Inc. (a)	19,250		196,350
McMoRan Exploration Co. (a)	12,200		119,560
Natural Gas Services Group (a)	11,600		117,508


	Shares	Value
Common Stocks (Cont.)
Energy (Cont.)
Oil States International Inc. (a)	6,300	$	117,747
Overseas Shipholding Group Inc.	2,700		113,697
Pioneer Natural Resources Co.	9,200		148,856
Rosetta Resources Inc. (a)	9,100		64,428
Swift Energy Co. (a)	3,800		63,878
Tidewater Inc.	3,000		120,810
Transocean Ltd. (a)	5,075		239,794
Whiting Petroleum Corp. (a)	5,950		199,087
World Fuel Services Corp.	3,200		118,400

			2,115,686

Financials (14.74%)
ACE Ltd.	2,525		133,623
Affiliated Managers Group Inc. (a)	2,825		118,424
Aflac Inc.	1,475		67,614
Alliance Data Systems Corp. (a)	1,675		77,938
American Physicians Capital Inc.	5,700		274,170
Amerisafe Inc. (a)	19,000		390,070
AmTrust Financial Services Inc.	11,300		131,080
Annaly Capital Management Inc.	11,125		176,554
Assurant Inc.	3,500		105,000
Charles Schwab Corp.	7,375		119,254
Digital Realty Trust Inc.	10,475		344,104
IntercontinentalExchange Inc. (a)	1,050		86,562
Knight Capital Group Inc. Class A (a)	11,300		182,495
LaBranche & Co. Inc. (a)	44,600		213,634
Lazard Ltd. Class A	5,075		150,930
MasterCard Inc. Class A	625		89,331
Nelnet Inc. Class A	9,400		134,702
Northern Trust Corp.	1,925		100,370
Raymond James Financial Inc.	10,950		187,573
StanCorp Financial Group Inc.	2,125		88,761
State Street Corp.	3,800		149,454
Tower Group Inc.	5,300		149,513
Willis Group Holdings Ltd.	2,650		65,932

			3,537,088

Health Care (13.73%)
Allergan Inc.	1,300		52,416
AMERIGROUP Corp. (a)	6,400		188,928
BioMarin Pharmaceutical Inc. (a)	3,600		64,080
Celera Corp. (a)	21,600		240,408
Celgene Corp. (a)	1,825		100,886
Cephalon Inc. (a)	2,875		221,490
Cyberonics Inc. (a)	10,000		165,700
Emergency Medical Services Corp.
Class A (a)	3,800		139,118
Endo Pharmaceuticals Holdings Inc. (a)	5,500		142,340
Express Scripts Inc. (a)	1,950		107,211
Gentiva Health Services Inc. (a)	4,200		122,892
Genzyme Corp. (a)	1,350		89,600
Healthspring Inc. (a)	12,700		253,619


	Shares	Value
Common Stocks (Cont.)
Health Care (Cont.)
Hologic Inc. (a)	8,179	$	106,900
Immucor Inc. (a)	3,975		105,655
Intuitive Surgical Inc. (a)	675		85,718
Inverness Medical Innovations Inc. (a)	3,475		65,712
Life Technologies Corp. (a)	11,400		265,734
Pediatrix Medical Group Inc. (a)	1,100		34,870
Perrigo Co.	9,200		297,252
Psychiatric Solutions Inc. (a)	2,725		75,891
QIAGEN NV (a)	9,550		167,698
ResMed Inc. (a)	2,350		88,078
Triple-S Management Corp. Class B (a)	9,800		112,700

			3,294,896

Industrials (17.62%)
Alaska Air Group Inc. (a)	4,900		143,325
Ampco-Pittsburgh Corp.	5,100		110,670
BE Aerospace Inc. (a)	13,475		103,623
Briggs & Stratton Corp.	8,100		142,479
Bucyrus International Inc.	6,075		112,509
Capstone Turbine Corp. (a)	52,100		43,764
Columbus McKinnon Corp. (a)	6,400		87,360
Delta Air Lines Inc. (a)	7,000		80,220
EMCOR Group Inc. (a)	10,925		245,048
EnPro Industries Inc. (a)	4,600		99,084
Flowserve Corp.	1,950		100,425
Foster Wheeler Ltd. (a)	6,525		152,555
Gardner Denver Inc. (a)	5,000		116,700
GrafTech International Ltd. (a)	15,300		127,296
Hawaiian Holdings Inc. (a)	24,400		155,672
ICF International Inc. (a)	11,200		275,184
ITT Corp.	2,575		118,424
Kansas City Southern (a)	4,525		86,201
Kirby Corp. (a)	3,200		87,552
Knoll Inc.	9,200		82,984
Layne Christensen Co. (a)	4,700		112,847
MasTec Inc. (a)	11,800		136,644
McDermott International Inc. (a)	11,550		114,114
NCI Building Systems Inc. (a)	5,300		86,390
Norfolk Southern Corp.	1,775		83,514
Pacer International Inc.	3,400		35,462
Perini Corp. (a)	5,400		126,252
Precision Castparts Corp.	3,975		236,433
Raytheon Co.	2,650		135,256
Rockwell Collins Inc.	4,050		158,314
Ryder System Inc.	2,800		108,584
Standex International Corp.	4,800		95,232
TAL International Group Inc.	9,600		135,360
VSE Corp.	3,700		145,151
Wabtec Corp.	1,200		47,700

			4,228,328


	Shares	Value
Common Stocks (Cont.)
Materials & Processes (7.39%)
A. Schulman Inc.	6,700	$	113,900
Airgas Inc.	3,200		124,768
Alpha Natural Resources Inc. (a)	4,300		69,617
CF Industries Holdings Inc.	1,325		65,137
Crown Holdings Inc. (a)	5,675		108,960
Glatfelter	13,200		122,760
Greif Inc.	3,400		113,662
Innophos Holdings Inc.	7,900		156,499
Koppers Holdings Inc.	6,900		149,178
LSB Industries Inc. (a)	10,300		85,696
Rock-Tenn Co. Class A	7,000		239,260
SPX Corp.	3,350		135,842
Terra Industries Inc.	10,300		171,701
Worthington Industries Inc.	10,700		117,914

			1,774,894

Technology (11.64%)
Activision Blizzard Inc. (a)	4,525		39,096
Amphenol Corp. Class A	2,425		58,152
Anixter International Inc. (a)	3,000		90,360
Autodesk Inc. (a)	3,575		70,249
Broadcom Corp. Class A (a)	7,975		135,336
Cognizant Technology Solutions Corp. (a)	6,000		108,360
CommScope Inc. (a)	4,050		62,937
Compuware Corp. (a)	18,600		125,550
CSG Systems International Inc. (a)	7,600		132,772
CTS Corp.	14,400		79,344
EarthLink Inc. (a)	21,800		147,368
F5 Networks Inc. (a)	3,350		76,581
Fiserv Inc. (a)	3,100		112,747
FLIR Systems Inc. (a)	2,975		91,273
GSI Technology Inc. (a)	29,400		80,556
Hewitt Associates Inc. Class A (a)	4,300		122,034
Intersil Corp.	8,750		80,412
McAfee Inc. (a)	4,450		153,836
MICROS Systems Inc. (a)	3,550		57,936
Multi-Fineline Electronix Inc. (a)	8,200		95,858
Nuance Communications Inc. (a)	19,500		202,020
Paychex Inc.	1,250		32,850
Silicon Laboratories Inc. (a)	3,050		75,579
Standard Microsystems Corp. (a)	4,990		81,537
SunPower Corp. Class B (a)	2,000		60,880
Supertex Inc. (a)	1,000		24,010
SYNNEX Corp. (a)	9,500		107,635
TransAct Technologies Inc. (a)	26,900		123,471
Trimble Navigation Ltd. (a)	4,600		99,406
United Online Inc.	1		6
UTStarcom Inc. (a)	35,000		64,750

			2,792,901

Telecommunications (1.42%)
American Tower Corp. Class A (a)	4,900		143,668


	Shares	Value
Common Stocks (Cont.)
Telecommunications (Cont.)
NII Holdings Inc. (a)	1,850	$	33,633
Telephone and Data Systems Inc.	3,500		111,125
tw telecom inc. (a)	6,075		51,455

			339,881

Utilities (7.39%)
Allegheny Energy Inc.	5,975		202,313
Central Vermont Public Service Corp.	4,900		116,914
Covanta Holding Corp. (a)	5,900		129,564
Entergy Corp.	1,225		101,834
Hawaiian Electric Industries Inc.	3,900		86,346
ITC Holdings Corp.	4,925		215,124
Laclede Group Inc.	4,900		229,516
MGE Energy Inc.	6,000		198,000
Nicor Inc.	2,000		69,480
NorthWestern Corp.	6,300		147,861
Piedmont Natural Gas Company Inc.	3,800		120,346
Wisconsin Energy Corp.	1,350		56,673
Xcel Energy Inc.	5,425		100,635

			1,774,606

Total Common Stocks
(cost $33,350,191)			23,742,773

Short-term Investments (2.05%)
JPMorgan U.S. Government Money Market Fund	492,569		492,569

Total Short-term Investments
(cost $492,569)			492,569

TOTAL INVESTMENTS (100.98%)
(cost $33,842,760)			24,235,342
LIABILITIES, NET OF OTHER ASSETS (-0.98%)			(235,959	)

NET ASSETS (100.00%)		$	23,999,383

(a)	Non-income producing security.

ADR - American Depository Receipt


	Shares	Value
Common Stocks (89.65%) (a)
Australia (2.54%)
BHP Billiton PLC	12,700	$	249,981
CSL Ltd.	16,179		389,247

			639,228

Austria (0.38%)
Erste Group Bank AG	4,100		95,948

Brazil (3.23%)
Banco Itau Holding Financeira SA ADR	14,800		171,680
Gafisa SA	18,900		85,661
Petroleo Brasileiro SA	10,413		255,014
Unibanco - Uniao de Bancos Brasileiros SA ADR	4,622		298,674

			811,029

Canada (2.07%)
Cameco Corp.	6,200		106,950
Research In Motion Ltd. (b)	1,078		43,745
Rogers Communications Inc. Class B	12,306		370,080

			520,775

China (0.45%)
Industrial and Commercial Bank of China Ltd. Class H	212,000		112,552

Denmark (3.94%)
A P Moller-Maersk A/S Class B	20		105,502
Novo Nordisk A/S Class B	7,000		362,968
Vestas Wind Systems A/S (b)	8,800		520,550

			989,020

Finland (0.75%)
Nokia OYJ	11,893		187,576

France (11.61%)
Accor SA	8,876		439,446
Alstom SA	3,164		185,569
AXA	9,100		205,291
BNP Paribas	7,442		322,860
Compagnie de Saint-Gobain	4,400		208,956
Compagnie Generale de Geophysique-Veritas (b)	6,359		94,172
Compagnie Generale des Etablissements Michelin Class B	2,300		120,725
France Telecom SA	6,500		182,091
JC Decaux SA	11,563		198,622
L’Oreal SA	2,200		192,970
Pernod Ricard SA	2,300		171,729
Schneider Electric SA	2,400		179,596
Total SA	4,200		232,084
Unibail-Rodamco	500		74,395


	Shares	Value
Common Stocks (Cont.)
France (Cont.)
Veolia Environnement	3,400	$	107,790

			2,916,296

Germany (3.92%)
Allianz SE Reg.	1,400		149,716
Bayerische Motoren Werke (BMW) AG	3,879		119,710
Commerzbank AG	12,100		115,547
Linde AG	7,110		599,759

			984,732

Hong Kong (4.52%)
Cathay Pacific Airways Ltd.	82,000		92,259
Cheung Kong Holdings Ltd.	37,000		352,957
China Life Insurance Co. Ltd. H	25,000		76,810
China Mobile Ltd.	19,500		197,844
China Petroleum and Chemical Corp. (Sinopec) H	218,000		133,993
CNOOC Ltd.	129,000		122,698
Esprit Holdings Ltd.	27,800		158,412

			1,134,973

India (0.49%)
ICICI Bank Ltd. Sponsored ADR	6,405		123,296

Israel (1.77%)
Teva Pharmaceutical Industries Ltd. Sponsored ADR	10,479		446,091

Italy (0.67%)
Eni SpA	7,000		169,300

Japan (10.10%)
Daikin Industries Ltd.	5,300		139,275
Daiwa Securities Group Inc.	25,000		149,967
Fanuc Ltd.	3,800		272,143
Honda Motor Co. Ltd.	5,900		125,565
Japan Tobacco Inc.	80		264,783
Marubeni Corp.	53,000		202,757
Mizuho Financial Group Inc.	49		139,538
Nintendo Co. Ltd.	1,200		458,228
Nomura Holdings Inc.	20,800		173,054
Orix Corp.	1,900		108,408
Panasonic Corp.	3,000		36,806
Shiseido Co. Ltd.	10,000		201,168
Sumitomo Realty & Development Co. Ltd.	2,000		30,041
Sumitomo Trust & Banking Co. Ltd.	40,000		236,267

			2,538,000

Malaysia (1.34%)
Genting Berhad	98,400		105,794
Resorts World Berhad	126,300		82,852


	Shares	Value
Common Stocks (Cont.)
Malaysia (Cont.)
Sime Darby Berhad	98,000	$	147,283

			335,929

Mexico (1.00%)
Cemex SAB de C.V. Participant Certificate Sponsored ADR (b)	27,433		250,738

Netherlands (2.29%)
Heineken NV	10,830		333,261
ING Groep NV	4,900		54,203
Royal Dutch Shell PLC Class A	7,100		188,673

			576,137

Norway (0.62%)
Norsk Hydro ASA	17,900		73,501
StatoilHydro ASA	4,900		82,591

			156,092

Singapore (1.78%)
Capitaland Ltd.	14,000		30,721
DBS Group Holdings Ltd.	16,784		99,426
DBS Group Holdings Ltd. Rights (b) (c)	8,392		17,574
Keppel Corp. Ltd.	38,000		116,028
Singapore Airlines Ltd.	7,000		55,368
United Overseas Bank Ltd.	14,000		127,238

			446,355

South Africa (0.39%)
AngloGold Ashanti Ltd. Sponsored ADR	3,500		96,985

Spain (4.17%)
Banco Santander SA	23,875		231,819
Gamesa Corp Tecnologica SA	14,570		267,005
Telefonica SA	24,204		549,097

			1,047,921

Sweden (2.05%)
ASSA ABLOY AB Class B	12,900		151,536
Atlas Copco AB Class A	18,900		161,150
Hennes & Mauritz AB (H&M) B Shares	1,610		64,687
Investor AB B Shares	9,000		138,668

			516,041

Switzerland (14.63%)
ABB Ltd. Reg. (b)	29,773		452,915
Actelion Ltd. Reg. (b)	2,316		130,694
Compagnie Financiere Richemont SA
Class A	7,827		148,764
Credit Suisse Group AG Reg.	14,337		400,790
Holcim Ltd.	3,500		202,077
Julius Baer Holding AG Reg.	5,008		193,615


	Shares	Value
Common Stocks (Cont.)
Switzerland (Cont.)
Lonza Group AG Reg.	4,374	$	399,891
Nestle SA	16,986		670,944
Novartis AG	2,400		119,897
Roche Holding AG	3,423		528,623
Syngenta AG Reg.	700		135,648
Transocean Ltd. (b)	3,914		184,936
UBS AG Reg. (Virt-x) (b)	7,300		105,947

			3,674,741

Taiwan (2.22%)
Taiwan Semiconductor Manufacturing Co. Ltd. Sponsored ADR	70,624		557,930

United Kingdom (12.26%)
Anglo American PLC	6,100		144,470
BG Group PLC	30,296		425,571
BP PLC	60,499		473,952
British American Tobacco PLC	9,611		254,443
Cadbury PLC	21,929		196,652
Diageo PLC	17,203		245,306
HSBC Holdings PLC	12,722		126,361
Imperial Tobacco Group PLC	5,800		157,224
Lloyds TSB Group PLC	40,400		77,604
Lloyds TSB Group PLC Sub Shares (b) (c)	17,561		0
Reckitt Benckiser Group PLC	4,605		175,116
Standard Chartered PLC	13,066		169,676
Tesco PLC	70,864		374,470
Vodafone Group PLC	125,238		260,252

			3,081,097

United States (0.46%)
Las Vegas Sands Corp. (b)	19,396		115,018

Total Common Stocks
(cost $32,624,018)			22,523,800

Preferred Stocks (3.10%) (a)
Brazil (3.10%)
Banco Bradesco SA Pfd.	21,600		210,820
Companhia Vale do Rio Doce Pfd. A	12,000		123,863
Petroleo Brasileiro SA Pfd.	33,400		329,599
Suzano Papel e Celulose SA (b)	21,800		113,874
			778,156

Total Preferred Stocks
(cost $1,706,571)			778,156


	Principal amount		Value
Repurchase Agreement (7.83%)
State Street Repurchase Agreement, (d) 0.010%, agreement date 12/31/2008, to be repurchased at $1,966,819 on 01/02/2009	$	1,966,818	$	1,966,818

Total Repurchase Agreement
(cost $1,966,818)				1,966,818

TOTAL INVESTMENTS (100.58%)
(cost $36,297,407)				25,268,774
LIABILITIES, NET OF CASH AND OTHER ASSETS, (-0.58%)				(144,347	)

NET ASSETS (100.0%)			$	25,124,427

(a)

The Fund used values provided by an independent statistical fair value service (the “Service Provider”) to fair value the securities primarily traded on exchanges that closed before the regular close of trading of the New York Stock Exchange. However, for certain of these securities, although the Fund intended to utilize values provided by the Service Provider, the Fund did not receive the Service Provider’s fair value information, and, accordingly, such securities were valued with a market price. The Fund’s normal method of fair valuing foreign securities was established in the Valuation Procedures adopted by the Board of Trustees.

(b)	Non-income producing security.

(c)	In accordance with the Trust’s Valuation Procedures, SFIMC determined the fair value for the security considering the facts and circumstances related to the particular security. The fair value for this security was not determined using the Trust’s independent statistical fair value service.

(d)	Repurchase agreement is fully collateralized by a U.S. Government Agency security with a coupon rate of 6.00%, a maturity date of January 1, 2037 and a market value of $2,008,698 as of December 31, 2008.

ADR - American Depository Receipt

INTERNATIONAL EQUITY FUND FOREIGN CURRENCY DENOMINATIONS


Currency	Value		%
Euro	$	5,977,911	23.66
United States Dollar		4,617,876	18.28
Swiss Franc		3,489,805	13.81
British Pound		3,331,078	13.18
Japanese Yen		2,538,000	10.04
Hong Kong Dollar		1,247,525	4.94
Danish Krone		989,020	3.91
Brazilian Real		863,816	3.42
Swedish Krona		516,040	2.04
Singapore Dollar		446,355	1.77
Australian Dollar		389,247	1.54
Canadian Dollar		370,080	1.46
Malaysian Ringgit		335,929	1.33
Norwegian Krone		156,092	0.62

Total Investments	$	25,268,774	100.00	%

INTERNATIONAL EQUITY FUND SECTOR CLASSIFICATIONS


Sector	Value			%
Financials	$	4,921,464		19.59
Industrials		3,257,889		12.97
Consumer Staples		3,238,066		12.89
Energy		2,799,535		11.14
Health Care		2,377,411		9.46
Materials		1,990,897		7.92
Consumer Discretionary		1,802,061		7.17
Telecommunication Services		1,559,364		6.21
Information Technology		1,247,479		4.97
Utilities		107,790		0.43

Total Stocks		23,301,956		92.75
Repurchase Agreement		1,966,818		7.83
Liabilities, Net of Cash and Other Assets		(144,347	)	(0.58	)

Net Assets	$	25,124,427		100.00	%


	Shares	Value
Common Stocks (97.83%)
Aerospace/Defense (1.54%)
Boeing Co.	33,651	$	1,435,888
General Dynamics Corp.	17,919		1,031,955
Lockheed Martin Corp.	15,255		1,282,640
Northrop Grumman Corp.	15,060		678,302
Raytheon Co.	19,015		970,526
Rockwell Collins Inc.	7,206		281,683

			5,680,994

Agriculture, Foods, & Beverage (4.70%)
Archer-Daniels-Midland Co.	29,363		846,535
Campbell Soup Co.	9,299		279,063
CF Industries Holdings Inc.	2,612		128,406
Coca-Cola Enterprises Inc.	14,364		172,799
ConAgra Foods Inc.	20,635		340,478
Constellation Brands Inc. (a)	8,802		138,808
Dean Foods Co. (a)	7,122		127,982
Dr. Pepper Snapple Group Inc. (a)	11,560		187,850
General Mills Inc.	15,335		931,601
H.J. Heinz Co.	14,399		541,402
J.M. Smucker Co.	5,380		233,277
Kellogg Co.	11,536		505,854
Kraft Foods Inc. Class A	67,418		1,810,173
McCormick & Co. Inc.	6,017		191,702
Molson Coors Brewing Co. Class B	6,857		335,444
Pepsi Bottling Group Inc.	6,191		139,359
PepsiCo Inc.	71,198		3,899,515
Reynolds American Inc.	7,742		312,080
Sara Lee Corp.	32,179		315,032
Sysco Corp.	27,453		629,772
The Coca-Cola Co.	91,124		4,125,184
The Hershey Co.	7,597		263,920
Tyson Foods Inc.	14,075		123,297
Whole Foods Market Inc.	6,485		61,218
Yum! Brands Inc.	21,068		663,642

			17,304,393

Airlines (0.08%)
Southwest Airlines Co.	34,042		293,442

Automotive (0.47%)
Ford Motor Co. (a)	109,381		250,482
General Motors Corp.	27,939		89,405
Genuine Parts Co.	7,208		272,895
Goodyear Tire & Rubber Co. (a)	10,751		64,184
Harley-Davidson Inc.	10,686		181,341
ITT Corp.	8,280		380,797
Paccar Inc.	16,560		473,616

			1,712,720

Banks (5.86%)
Bank of America Corp.	229,797		3,235,542
Bank of New York Mellon Corp.	52,555		1,488,883


	Shares	Value
Common Stocks (Cont.)
Banks (Cont.)
BB&T Corp.	25,301	$	694,765
Comerica Inc.	6,815		135,278
Fifth Third Bancorp	26,297		217,213
Hudson City Bancorp Inc.	23,987		382,833
Huntington Bancshares Inc.	17,080		130,833
JPMorgan Chase & Co.	170,938		5,389,675
M&T Bank Corp.	3,511		201,566
Northern Trust Corp.	10,214		532,558
PNC Financial Services Group Inc.	15,943		781,207
State Street Corp.	19,818		779,442
Suntrust Banks Inc.	16,300		481,502
US Bancorp	80,356		2,009,704
Wells Fargo & Co.	173,565		5,116,696

			21,577,697

Building Materials & Construction (0.41%)
Centex Corp.	5,650		60,116
DR Horton Inc.	12,481		88,241
Fluor Corp.	8,312		372,959
KB Home	3,601		49,046
Leggett & Platt Inc.	7,272		110,462
Lennar Corp.	6,433		55,774
Masco Corp.	16,380		182,309
Pulte Homes Inc.	9,834		107,486
Stanley Works	3,565		121,566
Vulcan Materials Co.	5,075		353,118

			1,501,077

Chemicals (1.67%)
Air Products & Chemicals Inc.	9,657		485,457
E.I. du Pont de Nemours & Co.	41,347		1,046,079
Eastman Chemical Co.	3,208		101,726
International Flavors & Fragrances Inc.	3,518		104,555
Monsanto Co.	25,098		1,765,644
Pall Corp.	5,435		154,517
PPG Industries Inc.	7,476		317,207
Praxair Inc.	14,185		842,022
Rohm & Haas Co.	5,721		353,501
Sealed Air Corp.	7,175		107,194
Sigma-Aldrich Corp.	5,769		243,682
The Dow Chemical Co.	42,197		636,753

			6,158,337

Commercial Service/Supply (1.57%)
Apollo Group Inc. Class A (a)	4,900		375,438
Ball Corp.	4,389		182,538
Cintas Corp.	6,074		141,099
Convergys Corp. (a)	5,349		34,287
Dun & Bradstreet Corp.	2,457		189,680
Eastman Kodak Co.	11,724		77,144
Ecolab Inc.	7,779		273,432
Equifax Inc.	5,826		154,506


	Shares	Value
Common Stocks (Cont.)
Commercial Service/Supply (Cont.)
Fastenal Co.	5,858	$	204,151
Interpublic Group of Companies Inc. (a)	21,302		84,356
Jacobs Engineering Group Inc. (a)	5,668		272,631
Monster Worldwide Inc. (a)	5,557		67,184
Moody’s Corp.	8,981		180,428
Omnicom Group Inc.	14,105		379,707
Owens-Illinois Inc. (a)	7,636		208,692
Pactiv Corp. (a)	5,936		147,688
Paychex Inc.	14,618		384,161
Pitney Bowes Inc.	9,458		240,990
Republic Services Inc.	14,623		362,504
Robert Half International Inc.	7,064		147,072
RR Donnelley & Sons Co.	9,573		130,001
Ryder System Inc.	2,542		98,579
Snap-On Inc.	2,599		102,349
Waste Management Inc.	22,522		746,379
WW Grainger Inc.	2,946		232,263
Wyndham Worldwide Corp.	7,949		52,066
Xerox Corp.	39,735		316,688

			5,786,013

Computer Software & Services (4.52%)
Adobe Systems Inc. (a)	24,422		519,944
Affiliated Computer Services Inc. Class A (a)	4,501		206,821
Autodesk Inc. (a)	10,321		202,808
Automatic Data Processing Inc.	23,209		913,042
BMC Software Inc. (a)	8,642		232,556
CA Inc.	17,934		332,317
Computer Sciences Corp. (a)	6,885		241,939
Compuware Corp. (a)	11,536		77,868
eBay Inc. (a)	49,365		689,135
Electronic Arts Inc. (a)	14,819		237,697
EMC Corp. (a)	93,793		982,013
Intuit Inc. (a)	14,608		347,524
Juniper Networks Inc. (a)	24,387		427,016
McAfee Inc. (a)	6,993		241,748
Microsoft Corp.	350,558		6,814,848
NetApp Inc. (a)	15,250		213,043
Oracle Corp. (a)	179,410		3,180,939
Yahoo! Inc. (a)	63,588		775,774

			16,637,032

Computers (3.71%)
Apple Inc. (a)	40,712		3,474,769
Dell Inc. (a)	79,511		814,193
Hewlett-Packard Co.	112,166		4,070,504
International Business Machines Corp.	61,571		5,181,815
Sun Microsystems Inc. (a)	34,241		130,801

			13,672,082


	Shares	Value
Common Stocks (Cont.)
Consumer & Marketing (5.72%)
Altria Group Inc.	94,360	$	1,421,062
Avery Dennison Corp.	4,807		157,333
Avon Products Inc.	19,631		471,733
Black & Decker Corp.	2,722		113,807
Brown-Forman Corp. Class B	4,461		229,697
Clorox Co.	6,385		354,751
Colgate-Palmolive Co.	23,076		1,581,629
Danaher Corp.	11,727		663,865
Darden Restaurants Inc.	6,380		179,788
Fortune Brands Inc.	6,827		281,819
Harman International Industries Inc.	2,641		44,184
Hasbro Inc.	5,704		166,386
Kimberly-Clark Corp.	18,942		999,001
Lorillard Inc.	7,762		437,389
Mattel Inc.	16,407		262,512
Newell Rubbermaid Inc.	12,557		122,807
Philip Morris International Inc.	92,739		4,035,074
Starbucks Corp. (a)	33,798		319,729
The Estee Lauder Companies	5,223		161,704
The Procter & Gamble Co.	136,743		8,453,452
UST Inc.	6,796		471,506
Whirlpool Corp.	3,386		140,011

			21,069,239

Electronic/Electrical Mfg. (4.41%)
Advanced Micro Devices Inc. (a)	27,981		60,439
Agilent Technologies Inc. (a)	15,810		247,110
Applied Materials Inc.	61,655		624,565
Emerson Electric Co.	35,230		1,289,770
General Electric Co.	481,040		7,792,848
Intel Corp.	254,972		3,737,889
KLA-Tencor Corp.	7,877		171,640
Linear Technology Corp.	10,081		222,992
LSI Corp. (a)	29,117		95,795
Micron Technology Inc. (a)	34,621		91,399
Molex Inc.	6,542		94,794
National Semiconductor Corp.	8,841		89,029
PerkinElmer Inc.	5,315		73,932
Rockwell Automation Inc.	6,366		205,240
Texas Instruments Inc.	59,155		918,086
Tyco Electronics Ltd.	21,175		343,247
Waters Corp. (a)	4,502		164,998

			16,223,773

Financial Services (4.85%)
American Capital Ltd.	9,338		30,255
American Express Co.	53,153		985,988
Ameriprise Financial Inc.	9,876		230,703
Apartment Investment and
Management Co.	4,757		54,943
AvalonBay Communities Inc.	3,507		212,454
Boston Properties Inc.	5,541		304,755


	Shares	Value
Common Stocks (Cont.)
Financial Services (Cont.)
Capital One Financial Corp.	17,935	$	571,947
CB Richard Ellis Group Inc. Class A (a)	10,194		44,038
Charles Schwab Corp.	42,851		692,901
CIT Group Inc.	13,076		59,365
Citigroup Inc.	249,576		1,674,655
CME Group Inc.	3,061		637,025
Developers Diversified Realty Corp.	5,414		26,420
Discover Financial Services	21,812		207,869
E*Trade Financial Corp. (a)	24,561		28,245
Equity Residential	12,497		372,661
Federated Investors Inc. Class B	4,162		70,588
Fidelity National Information Services	8,770		142,688
First Horizon National Corp.	9,448		99,865
Franklin Resources Inc.	6,941		442,697
Goldman Sachs Group Inc.	20,252		1,709,066
H&R Block Inc.	15,520		352,614
HCP Inc.	11,647		323,437
Host Hotels & Resorts Inc.	23,639		178,947
IntercontinentalExchange Inc. (a)	3,352		276,339
Invesco Ltd.	17,612		254,317
Janus Capital Group Inc.	7,136		57,302
KeyCorp	22,513		191,811
Kimco Realty Corp.	10,606		193,878
Legg Mason Inc.	6,410		140,443
Leucadia National Corp. (a)	8,055		159,489
Marshall & Ilsley Corp.	11,730		159,997
MasterCard Inc. Class A	3,331		476,100
MBIA Inc. (a)	8,949		36,423
Merrill Lynch & Co. Inc.	73,326		853,515
Morgan Stanley	48,856		783,650
NASDAQ OMX Group Inc. (a)	6,196		153,103
National City Corp.	95,256		172,413
NYSE Euronext	12,119		331,818
People’s United Financial Inc.	15,808		281,857
Principal Financial Group Inc.	11,802		266,371
ProLogis	11,958		166,097
Public Storage	5,773		458,954
Regions Financial Corp.	31,642		251,870
Simon Property Group Inc.	10,352		550,002
SLM Corp. (a)	21,132		188,075
Sovereign Bancorp Inc. (a)	24,163		72,006
T Rowe Price Group Inc.	11,794		417,979
Vornado Realty Trust	6,321		381,472
Wachovia Corp.	99,173		549,419
Western Union Co.	32,517		466,294
Zions Bancorporation	5,189		127,182

			17,872,302

Forest Products & Paper (0.24%)
International Paper Co.	19,483		229,899
MeadWestvaco Corp.	7,757		86,801
Plum Creek Timber Co. Inc.	7,540		261,940


	Shares	Value
Common Stocks (Cont.)
Forest Products & Paper (Cont.)
Weyerhaeuser Co.	9,630	$	294,774

			873,414

Health Care (14.17%)
Abbott Laboratories	71,060		3,792,472
Aetna Inc.	21,265		606,053
Allergan Inc.	14,020		565,286
AmerisourceBergen Corp.	7,249		258,499
Amgen Inc. (a)	48,525		2,802,319
Baxter International Inc.	28,472		1,525,815
Becton Dickinson & Co.	11,108		759,676
Biogen Idec Inc. (a)	13,361		636,385
Boston Scientific Corp. (a)	69,072		534,617
Bristol-Myers Squibb Co.	90,662		2,107,892
Cardinal Health Inc.	16,530		569,789
Celgene Corp. (a)	20,984		1,159,996
Cephalon Inc. (a)	3,164		243,755
Coventry Health Care Inc. (a)	6,733		100,187
Covidien Ltd.	23,062		835,767
CR Bard Inc.	4,526		381,361
DaVita Inc. (a)	4,749		235,408
DENTSPLY International Inc.	6,775		191,326
Eli Lilly & Co.	45,821		1,845,212
Express Scripts Inc. (a)	11,333		623,088
Forest Laboratories Inc. (a)	13,822		352,046
Genzyme Corp. (a)	12,389		822,258
Gilead Sciences Inc. (a)	42,130		2,154,528
Hospira Inc. (a)	7,249		194,418
Humana Inc. (a)	7,673		286,050
IMS Health Inc.	8,252		125,100
Intuitive Surgical Inc. (a)	1,807		229,471
Johnson & Johnson	127,135		7,606,487
King Pharmaceuticals Inc. (a)	11,171		118,636
Laboratory Corp. of America Holdings (a)	4,890		314,965
Life Technologies Corp. (a)	7,867		183,380
McKesson Corp.	12,578		487,146
Medco Health Solutions Inc. (a)	22,896		959,571
Medtronic Inc.	51,328		1,612,726
Merck & Co. Inc.	96,961		2,947,614
Mylan Inc. (a)	14,045		138,905
Patterson Companies Inc. (a)	4,127		77,381
Pfizer Inc.	308,818		5,469,167
Quest Diagnostics Inc.	7,300		378,943
Schering-Plough Corp.	74,447		1,267,832
St. Jude Medical Inc. (a)	15,761		519,483
Stericycle Inc. (a)	3,892		202,695
Stryker Corp.	11,004		439,610
Tenet Healthcare Corp. (a)	18,754		21,567
UnitedHealth Group Inc.	55,167		1,467,442
Varian Medical Systems Inc. (a)	5,683		199,132
Watson Pharmaceuticals Inc. (a)	4,867		129,316


	Shares	Value
Common Stocks (Cont.)
Health Care (Cont.)
WellPoint Inc. (a)	23,324	$	982,640
Wyeth	60,985		2,287,547
Zimmer Holdings Inc. (a)	10,267		414,992

			52,165,951

Insurance (2.59%)
Aflac Inc.	21,425		982,122
American International Group Inc.	122,523		192,361
Aon Corp.	12,440		568,259
Assurant Inc.	5,388		161,640
Chubb Corp.	16,218		827,118
Cigna Corp.	12,501		210,642
Cincinnati Financial Corp.	7,499		217,996
Genworth Financial Inc.	19,419		54,956
Hartford Financial Services Group Inc.	13,719		225,266
Lincoln National Corp.	11,702		220,466
Loews Corp.	16,505		466,266
Marsh & McLennan Companies Inc.	23,603		572,845
MetLife Inc.	36,344		1,266,952
Progressive Corp.	30,785		455,926
Prudential Financial Inc.	19,478		589,404
The Allstate Corp.	24,427		800,228
Torchmark Corp.	3,977		177,772
Travelers Companies Inc.	26,687		1,206,252
Unum Group	15,370		285,882
XL Capital Ltd. Class A	15,527		57,450

			9,539,803

Leisure, Lodging & Gaming (0.28%)
Carnival Corp.	19,922		484,503
Marriott International Inc. Class A	13,360		259,852
Starwood Hotels & Resorts Worldwide Inc.	8,488		151,935
Wynn Resorts Ltd. (a)	2,820		119,173

			1,015,463

Machinery & Manufacturing (3.41%)
3M Co.	31,798		1,829,657
Bemis Co. Inc.	4,644		109,970
Cameron International Corp. (a)	10,140		207,870
Caterpillar Inc.	27,548		1,230,569
Cooper Industries Ltd. Class A	7,982		233,314
Cummins Inc.	9,230		246,718
Deere & Co.	19,595		750,880
Dover Corp.	8,491		279,524
Eaton Corp.	7,570		376,305
Flowserve Corp.	2,597		133,745
Goodrich Corp.	5,655		209,348
Honeywell International Inc.	33,373		1,095,636
Illinois Tool Works Inc.	17,918		628,026
Ingersoll-Rand Co. Ltd. Class A	14,508		251,714
Johnson Controls Inc.	27,073		491,646


	Shares	Value
Common Stocks (Cont.)
Machinery & Manufacturing (Cont.)
Manitowoc Co. Inc.	5,883	$	50,947
Millipore Corp. (a)	2,506		129,109
Parker Hannifin Corp.	7,474		317,944
Precision Castparts Corp.	6,349		377,638
Textron Inc.	10,809		149,921
Thermo Fisher Scientific Inc. (a)	19,262		656,256
Tyco International Ltd.	21,649		467,618
United Technologies Corp.	43,608		2,337,389

			12,561,744

Media & Broadcasting (2.39%)
CBS Corp. Class B	30,973		253,669
Comcast Corp. Class A	132,112		2,230,050
Gannett Co. Inc.	10,358		82,864
Meredith Corp.	1,577		26,399
New York Times Co.	5,251		38,490
News Corp. Class A (a)	105,326		957,413
Scripps Networks Interactive Class A	4,009		88,198
The DIRECTV Group Inc. (a)	25,103		575,110
The McGraw-Hill Companies Inc.	14,469		335,536
The Walt Disney Co.	84,928		1,927,016
The Washington Post Co.	280		109,270
Time Warner Inc.	164,296		1,652,818
Viacom Inc. Class B (a)	27,893		531,641

			8,808,474

Mining & Metals (0.75%)
AK Steel Holding Corp.	5,183		48,306
Alcoa Inc.	36,307		408,817
Allegheny Technologies Inc.	4,503		114,962
Freeport-McMoRan Copper & Gold Inc.	17,158		419,341
Newmont Mining Corp.	20,822		847,455
Nucor Corp.	14,426		666,481
Titanium Metals Corp.	4,133		36,412
United States Steel Corp.	5,349		198,983

			2,740,757

Oil & Gas (12.68%)
Anadarko Petroleum Corp.	21,115		813,983
Apache Corp.	15,327		1,142,321
Baker Hughes Inc.	14,054		450,712
BJ Services Co.	13,315		155,386
Cabot Oil & Gas Corp.	4,789		124,514
Chesapeake Energy Corp.	24,766		400,466
Chevron Corp.	93,101		6,886,681
ConocoPhillips	68,346		3,540,323
Devon Energy Corp.	20,233		1,329,510
El Paso Corp.	31,927		249,988
ENSCO International Inc.	6,524		185,216
EOG Resources Inc.	11,430		761,009
Exxon Mobil Corp.	233,010		18,601,188
Halliburton Co.	40,929		744,089


	Shares	Value
Common Stocks (Cont.)
Oil & Gas (Cont.)
Hess Corp.	13,004	$	697,535
Marathon Oil Corp.	32,371		885,671
Murphy Oil Corp.	8,677		384,825
Nabors Industries Ltd. (a)	13,133		157,202
National-Oilwell Varco Inc. (a)	19,032		465,142
Noble Corp.	11,946		263,529
Noble Energy Inc.	7,865		387,115
Occidental Petroleum Corp.	37,154		2,228,868
Pioneer Natural Resources Co.	5,443		88,068
Questar Corp.	7,889		257,891
Range Resources Corp.	7,045		242,278
Rowan Companies Inc.	5,214		82,903
SCANA Corp.	5,373		191,279
Schlumberger Ltd.	54,752		2,317,652
Smith International Inc.	10,039		229,793
Southwestern Energy Co. (a)	15,634		452,917
Spectra Energy Corp.	28,028		441,161
Sunoco Inc.	5,293		230,034
Tesoro Corp.	6,130		80,732
Valero Energy Corp.	23,473		507,956
Weatherford International Ltd. (a)	31,024		335,680
Williams Companies Inc.	26,612		385,342

			46,698,959

Retailers (6.61%)
Abercrombie & Fitch Co. Class A	3,883		89,581
Amazon.com Inc. (a)	14,729		755,303
AutoNation Inc. (a)	4,834		47,760
Autozone Inc. (a)	1,745		243,375
Bed Bath & Beyond Inc. (a)	11,858		301,430
Best Buy Co. Inc.	15,394		432,725
Big Lots Inc. (a)	3,662		53,062
Coach Inc. (a)	14,810		307,604
Costco Wholesale Corp.	19,834		1,041,285
CVS Caremark Corp.	65,776		1,890,402
Family Dollar Stores Inc.	6,340		165,284
GameStop Corp. Class A (a)	7,432		160,977
GAP Inc.	21,382		286,305
Home Depot Inc.	77,705		1,788,769
J.C. Penney Co Inc.	10,111		199,187
Kohl’s Corp. (a)	14,016		507,379
Kroger Co.	29,865		788,735
Limited Brands Inc.	12,008		120,560
Lowe’s Companies Inc.	67,124		1,444,509
Macy’s Inc.	19,142		198,120
McDonald’s Corp.	51,103		3,178,096
Nordstrom Inc.	7,244		96,418
Office Depot Inc. (a)	12,754		38,007
RadioShack Corp.	5,919		70,673
Safeway Inc.	19,482		463,087
Sears Holdings Corp. (a)	2,587		100,557
Staples Inc.	32,686		585,733
Supervalu Inc.	9,710		141,766


	Shares	Value
Common Stocks (Cont.)
Retailers (Cont.)
Target Corp.	34,432	$	1,188,937
The Sherwin-Williams Co.	4,512		269,592
Tiffany & Co.	5,642		133,320
TJX Companies Inc.	19,116		393,216
Wal-Mart Stores Inc.	102,445		5,743,067
Walgreen Co.	45,354		1,118,883

			24,343,704

Technology (3.00%)
Akamai Technologies Inc. (a)	7,789		117,536
Altera Corp.	13,769		230,080
Amphenol Corp. Class A	8,045		192,919
Analog Devices Inc.	13,223		251,501
Broadcom Corp. Class A (a)	20,359		345,492
Citrix Systems Inc. (a)	8,285		195,277
Cognizant Technology Solutions Corp. (a)	13,265		239,566
Expedia Inc. (a)	9,313		76,739
Fiserv Inc. (a)	7,235		263,137
FLIR Systems Inc. (a)	6,352		194,879
Google Inc. Class A (a)	10,956		3,370,613
International Game Technology	13,198		156,924
Jabil Circuit Inc.	9,645		65,104
L-3 Communications Holdings Inc.	5,418		399,740
Lexmark International Inc. (a)	3,720		100,068
MEMC Electronic Materials Inc. (a)	10,276		146,741
Microchip Technology Inc.	8,407		164,189
Novell Inc. (a)	15,330		59,634
Novellus Systems Inc. (a)	4,476		55,234
NVIDIA Corp. (a)	24,211		195,383
QLogic Corp. (a)	5,925		79,632
QUALCOMM Inc.	75,818		2,716,559
Salesforce.com Inc. (a)	4,849		155,217
SanDisk Corp. (a)	10,228		98,189
Symantec Corp. (a)	38,256		517,221
Teradata Corp. (a)	8,083		119,871
Teradyne Inc. (a)	7,565		31,924
Total System Services Inc.	8,965		125,510
VeriSign Inc. (a)	8,782		167,561
Xilinx Inc.	12,579		224,158

			11,056,598

Telecom & Telecom Equipment (5.29%)
American Tower Corp. (a)	18,166		532,627
AT&T Inc.	269,894		7,691,980
CenturyTel Inc.	4,634		126,647
Ciena Corp. (a)	3,843		25,748
Cisco Systems Inc. (a)	268,373		4,374,480
Corning Inc.	70,796		674,686
Embarq Corp.	6,483		233,129
Frontier Communications Corp.	14,285		124,851
Harris Corp.	6,098		232,029


	Shares	Value
Common Stocks (Cont.)
Telecom & Telecom Equipment (Cont.)
JDS Uniphase Corp. (a)	9,653	$	35,233
Motorola Inc.	103,285		457,552
Qwest Communications International Inc.	67,718		246,494
Sprint Nextel Corp. (a)	130,149		238,172
Tellabs Inc. (a)	17,918		73,822
Verizon Communications Inc.	130,124		4,411,204

			19,478,654
Textiles & Clothing (0.35%)
Jones Apparel Group Inc.	3,627		21,254
NIKE Inc. Class B	17,995		917,745
Polo Ralph Lauren Corp.	2,576		116,976
VF Corp.	4,054		222,038

			1,278,013
Transportation (2.08%)
Burlington Northern Santa Fe Corp.	12,882		975,296
CH Robinson Worldwide Inc.	7,742		426,042
CSX Corp.	18,168		589,915
Expeditors International of Washington Inc.	9,699		322,686
FedEx Corp.	14,274		915,677
Norfolk Southern Corp.	16,884		794,392
Union Pacific Corp.	23,230		1,110,394
United Parcel Service Inc. Class B	45,647		2,517,889

			7,652,291
Utilities & Energy (4.48%)
Allegheny Energy Inc.	7,754		262,550
Ameren Corp.	9,722		323,354
American Electric Power Co. Inc.	18,505		615,846
CenterPoint Energy Inc.	15,843		199,939
CMS Energy Corp.	10,200		103,020
CONSOL Energy Inc.	8,319		237,757
Consolidated Edison Inc.	12,581		489,778
Constellation Energy Group Inc.	8,062		202,276
Dominion Resources Inc.	26,623		954,168
DTE Energy Co.	7,423		264,778
Duke Energy Corp.	58,036		871,120
Dynegy Inc. (a)	23,131		46,262
Edison International	14,851		477,014
Entergy Corp.	8,627		717,163
Equitable Resources Inc.	5,881		197,308
Exelon Corp.	30,131		1,675,585
FirstEnergy Corp.	13,998		680,023
FPL Group Inc.	18,736		942,983
Integrys Energy Group Inc.	3,498		150,344
Massey Energy Co.	3,896		53,726
Nicor Inc.	2,047		71,113
NiSource Inc.	12,575		137,948
Peabody Energy Corp.	12,071		274,615


	Shares or principal amount	Value
Common Stocks (Cont.)
Utilities & Energy (Cont.)
Pepco Holdings Inc.	9,898	$	175,789
PG&E Corp.	16,531		639,915
Pinnacle West Capital Corp.	4,549		146,159
PPL Corp.	17,242		529,157
Progress Energy Inc.	12,068		480,910
Public Service Enterprise Group Inc.	23,185		676,307
Sempra Energy	11,229		478,692
TECO Energy Inc.	9,592		118,461
The AES Corp. (a)	30,625		252,350
The Southern Co.	35,473		1,312,501
Windstream Corp.	20,030		184,276
Wisconsin Energy Corp.	5,329		223,711
Xcel Energy Inc.	20,592		381,982
XTO Energy Inc.	26,416		931,692

			16,480,572
Total Common Stocks
(cost $500,096,652)			360,183,498

Short-term Investments (2.09%)
U.S. Treasury Bill, 0.010%, 04/23/2009 (b)	7,702,000	$	7,700,460

Total Short-term Investments
(cost $7,701,544)			7,700,460
TOTAL INVESTMENTS (99.92%)
(cost $507,798,196)			367,883,958
CASH AND OTHER ASSETS, NET OF LIABILITIES (0.08%)			284,648

NET ASSETS (100.00%)		$	368,168,606

(a)	Non-income producing security.

(b)	At December 31, 2008, this security has been pledged to cover, in whole or in part, initial margin requirements for open futures contracts.


	Shares	Value
Common Stocks (95.34%)
Automotive & Transportation (3.51%)
AAR Corp. (a)	8,506	$	156,595
Airtran Holdings Inc. (a)	25,650		113,886
Alaska Air Group Inc. (a)	7,994		233,824
Allegiant Travel Co. (a)	2,995		145,467
Amerco Inc. (a)	2,104		72,651
American Axle & Manufacturing Holdings Inc.	10,110		29,218
American Commercial Lines Inc. (a)	7,850		38,465
American Railcar Industries Inc.	2,027		21,344
Amerigon Inc. (a)	4,985		16,251
Arkansas Best Corp.	4,973		149,737
ArvinMeritor Inc.	16,187		46,133
ATC Technology Corp. (a)	4,557		66,669
Atlas Air Worldwide Holdings Inc. (a)	2,919		55,169
Bristow Group Inc. (a)	5,269		141,157
CAI International Inc. (a)	1,609		5,101
Celadon Group Inc. (a)	4,880		41,626
Commercial Vehicle Group Inc. (a)	4,770		4,436
Cooper Tire & Rubber Co.	13,076		80,548
Dana Holding Corp. (a)	21,736		16,085
DHT Maritime Inc.	8,610		47,699
Dorman Products Inc. (a)	2,397		31,640
Dynamex Inc. (a)	2,021		29,810
Eagle Bulk Shipping Inc.	10,273		70,062
Fleetwood Enterprises Inc. (a)	17,300		1,730
Force Protection Inc. (a)	13,743		82,183
Forward Air Corp.	6,333		153,702
Freightcar America Inc.	2,628		48,014
Fuel Systems Solutions Inc. (a)	2,653		86,912
Genco Shipping & Trading Ltd.	5,330		78,884
General Maritime Corp.	10,708		115,646
Genesee & Wyoming Inc. (a)	6,822		208,071
Golar LNG Ltd.	7,756		52,431
Greenbrier Companies Inc.	3,591		24,670
GulfMark Offshore Inc. (a)	4,915		116,928
Hawaiian Holdings Inc. (a)	8,715		55,602
Hayes Lemmerz International Inc. (a)	21,627		9,732
Heartland Express Inc.	12,471		196,543
Horizon Lines Inc.	6,887		24,036
Hub Group Inc. (a)	8,120		215,424
International Shipholding Corp.	1,325		33,562
Jetblue Airways Corp. (a)	38,009		269,864
Knight Transportation Inc.	12,575		202,709
Knightsbridge Tankers Ltd.	3,754		54,996
Lear Corp. (a)	14,087		19,863
Marine Products Corp.	2,326		13,072
Marten Transport Ltd. (a)	3,359		63,687
Modine Manufacturing Co.	7,083		34,494
Nordic American Tanker Shipping Ltd.	7,552		254,880
Odyssey Marine Exploration Inc. (a)	10,539		33,936
Old Dominion Freight Line Inc. (a)	6,013		171,130
Pacer International Inc.	7,619		79,466
Patriot Transportation Holding Inc. (a)	349		24,454


	Shares	Value
Common Stocks (Cont.)
Automotive & Transportation (Cont.)
PHI Inc. (a)	2,963	$	41,512
Polaris Industries Inc.	7,249		207,684
Quantum Fuel Systems Technologies Worldwide Inc. (a)	15,191		12,912
Republic Airways Holdings Inc. (a)	7,666		81,796
Saia Inc. (a)	2,858		31,038
Ship Finance International Ltd.	9,270		102,434
SkyWest Inc.	12,694		236,108
Spartan Motors Inc.	7,181		33,966
Stoneridge Inc. (a)	3,207		14,624
Superior Industries International Inc.	5,059		53,221
TBS International Ltd. Class A (a)	2,300		23,069
Tenneco Inc. (a)	10,235		30,193
UAL Corp.	27,622		304,394
Ultrapetrol Bahamas Ltd. (a)	5,484		17,494
Universal Truckload Services Inc. (a)	1,364		19,314
US Airways Group Inc. (a)	25,012		193,343
Visteon Corp. (a)	28,715		10,050
Wabash National Corp.	6,735		30,308
Werner Enterprises Inc.	9,441		163,707
Winnebago Industries Inc.	6,470		39,014
Wonder Auto Technology Inc. (a)	3,213		12,595
YRC Worldwide Inc. (a)	12,541		35,993

			6,034,963

Consumer Discretionary (14.62%)
1-800-FLOWERS.COM Inc. (a)	5,927		22,641
99 Cents Only Stores (a)	10,363		113,268
Aaron Rents Inc.	9,986		265,827
ABM Industries Inc.	9,605		182,975
Administaff Inc.	4,737		102,509
Advisory Board Co. (a)	3,803		84,807
Aeropostale Inc. (a)	14,698		236,638
AFC Enterprises (a)	5,950		27,905
AH Belo Corp. Class A	4,479		9,764
Ambassadors Group Inc.	4,188		38,530
America’s Car-Mart Inc. (a)	2,197		30,341
American Apparel Inc. (a)	7,425		14,776
American Greetings Corp.	9,964		75,427
American Public Education Inc. (a)	2,418		89,925
American Woodmark Corp.	2,358		42,986
Ameristar Casinos Inc.	5,683		49,101
AMN Healthcare Services Inc. (a)	7,429		62,849
Arbitron Inc.	6,105		81,074
Aristotle Corp. (a)	264		958
Asbury Automotive Group Inc.	7,007		32,022
Bally Technologies Inc. (a)	12,021		288,865
bebe stores inc.	8,424		62,927
Belo Corp.	19,572		30,532
Bidz.com Inc. (a)	1,260		5,796
Big 5 Sporting Goods Corp.	5,067		26,399
BJ’s Restaurants Inc. (a)	3,960		42,649


	Shares	Value
Common Stocks (Cont.)
Consumer Discretionary (Cont.)
Blockbuster Inc. (a)	40,469	$	49,777
Blue Nile Inc. (a)	2,950		72,245
Blyth Inc.	5,503		43,144
Bob Evans Farms Inc.	6,763		138,168
Borders Group Inc. (a)	13,278		5,311
Bowne & Co. Inc.	5,852		34,410
Brightpoint Inc. (a)	11,001		47,854
Brown Shoe Co. Inc.	9,296		78,737
Brunswick Corp.	19,240		81,000
Buckle Inc.	5,094		111,151
Buffalo Wild Wings Inc. (a)	3,908		100,240
Build-A-Bear Workshop Inc. (a)	3,308		16,077
Cabela’s Inc. (a)	8,437		49,188
Cache Inc. (a)	2,706		5,466
California Pizza Kitchen Inc. (a)	4,628		49,612
Callaway Golf Co.	14,557		135,235
Capella Education Co. (a)	3,127		183,743
Carter’s Inc. (a)	12,586		242,406
Casella Waste Systems Inc. (a)	5,123		20,902
Casual Male Retail Group Inc. (a)	8,585		4,464
Cato Corp. Class A	6,080		91,808
CBIZ Inc. (a)	9,569		82,772
CDI Corp.	2,940		38,044
CEC Entertainment Inc. (a)	4,415		107,064
Central Garden & Pet Co. (a)	14,270		84,193
Cenveo Inc. (a)	10,556		46,974
Charlotte Russe Holding Inc. (a)	4,583		29,744
Charming Shoppes Inc. (a)	24,897		60,749
Charter Communications Inc. (a)	89,542		7,325
Chattem Inc. (a)	3,775		270,026
Cheesecake Factory Inc. (a)	13,102		132,330
Chemed Corp.	4,908		195,191
Cherokee Inc.	1,879		32,601
Chico’s FAS Inc. (a)	38,762		162,025
Children’s Place Retail Stores Inc. (a)	5,129		111,197
Chindex International Inc. (a)	2,419		19,231
Christopher & Banks Corp.	7,821		43,798
Churchill Downs Inc.	2,112		85,367
Cinemark Holdings Inc.	6,550		48,666
Citadel Broadcasting Corp. (a)	41,261		6,602
Citi Trends Inc. (a)	3,131		46,088
CKE Restaurants Inc.	11,869		103,023
CKX Inc. (a)	11,551		42,392
Coinstar Inc. (a)	6,135		119,694
Coldwater Creek Inc. (a)	12,485		35,582
Collective Brands Inc. (a)	14,182		166,213
Columbia Sportswear Co.	2,720		96,206
Compass Diversified Holdings	5,227		58,804
Conn’s Inc. (a)	2,383		20,208
Consolidated Graphics Inc. (a)	2,187		49,514
Core-Mark Holding Co. Inc. (a)	2,063		44,396
Corinthian Colleges Inc. (a)	18,705		306,201
Cornell Companies Inc. (a)	2,436		45,285


	Shares	Value
Common Stocks (Cont.)
Consumer Discretionary (Cont.)
CoStar Group Inc. (a)	4,290	$	141,313
Courier Corp.	2,394		42,853
Cox Radio Inc. (a)	5,635		33,866
CRA International Inc. (a)	2,428		65,386
Cracker Barrel Old Country Store Inc.	4,999		102,929
Crocs Inc. (a)	18,277		22,663
Cross Country Healthcare Inc. (a)	6,774		59,543
Crown Media Holdings Inc. (a)	3,483		9,927
CSS Industries Inc.	1,725		30,601
Cumulus Media Inc. (a)	6,002		14,945
Deckers Outdoor Corp. (a)	2,865		228,828
Denny’s Corp. (a)	20,836		41,464
DG FastChannel Inc. (a)	3,447		43,019
Dice Holdings Inc. (a)	3,184		12,991
Dillard’s Inc. Class A	12,529		49,740
DineEquity Inc.	3,821		44,171
Dolan Media Co. (a)	4,812		31,711
Dollar Thrifty Automotive Group Inc. (a)	4,874		5,313
Domino’s Pizza Inc. (a)	8,991		42,348
Dover Downs Gaming & Entertainment Inc.	3,524		11,206
Dover Motorsports Inc.	3,309		4,302
Dress Barn Inc. (a)	10,270		110,300
drugstore.com Inc. (a)	18,300		22,692
DSW Inc. (a)	3,258		40,595
DTS Inc. (a)	3,911		71,767
DynCorp International Inc. Class A (a)	5,429		82,358
EarthLink Inc. (a)	24,108		162,970
Einstein Noah Restaurant Group Inc. (a)	955		5,491
Elixir Gaming Technologies Inc. (a)	14,794		1,923
Elizabeth Arden Inc. (a)	5,393		68,006
Ennis Inc.	5,646		68,373
Entercom Communications Corp.	5,644		6,942
Entravision Communications Corp. (a)	14,124		22,033
Ethan Allen Interiors Inc.	5,426		77,972
Exponent Inc. (a)	3,170		95,354
EZCORP Inc. (a)	8,435		128,296
FGX International Holdings Ltd. (a)	3,090		42,457
First Advantage Corp. Class A (a)	2,252		31,866
Fisher Communications Inc.	1,600		33,024
Forrester Research Inc. (a)	3,410		96,196
Fossil Inc. (a)	9,966		166,432
Fred’s Inc.	8,764		94,301
Fuqi International Inc. (a)	2,130		13,334
Furniture Brands International Inc.	9,133		20,184
G&K Services Inc. Class A	4,372		88,402
G-III Apparel Group Ltd. (a)	2,905		18,563
Gaiam Inc. (a)	3,939		18,198
Gaylord Entertainment Co. (a)	8,973		97,267
Genesco Inc. (a)	4,217		71,352
Geo Group Inc. (a)	11,202		201,972
Gevity HR Inc.	4,940		7,459
Global Sources Ltd. (a)	3,641		19,843


	Shares	Value
Common Stocks (Cont.)
Consumer Discretionary (Cont.)
Global Traffic Network Inc. (a)	2,589	$	15,120
Grand Canyon Education Inc. (a)	1,367		25,672
Gray Television Inc.	8,547		3,419
Great Wolf Resorts Inc. (a)	6,249		9,623
Group 1 Automotive Inc.	5,106		54,992
GSI Commerce Inc. (a)	5,153		54,210
Gymboree Corp. (a)	6,299		164,341
Harte-Hanks Inc.	8,056		50,269
Haverty Furniture Companies Inc.	4,011		37,423
Heidrick & Struggles International Inc.	3,844		82,800
Helen of Troy Ltd. (a)	6,630		115,097
Hibbett Sports Inc. (a)	6,347		99,711
Hooker Furniture Corp.	2,155		16,507
Hot Topic Inc. (a)	9,743		90,318
Houston Wire & Cable Co.	3,904		36,346
HSW International Inc. (a)	6,087		2,313
Hudson Highland Group Inc. (a)	5,491		18,395
ICF International Inc. (a)	1,453		35,700
Iconix Brand Group Inc. (a)	12,662		123,834
ICT Group Inc. (a)	2,157		9,879
infoGROUP Inc.	7,228		34,261
Infospace Inc.	7,544		56,957
Insight Enterprises Inc. (a)	10,209		70,442
Inter Parfums Inc.	3,080		23,654
Internap Network Services Corp. (a)	11,056		27,640
inVentiv Health Inc. (a)	7,259		83,769
Isle of Capri Casinos Inc. (a)	3,230		10,336
J. Crew Group Inc. (a)	9,309		113,570
Jack in the Box Inc. (a)	12,910		285,182
Jackson Hewitt Tax Service Inc.	6,606		103,648
JAKKS Pacific Inc. (a)	5,946		122,666
Jo-Ann Stores Inc. (a)	5,568		86,248
Jos. A. Bank Clothiers Inc. (a)	3,992		104,391
Journal Communications Inc. Class A	9,883		24,213
K-Swiss Inc. Class A	5,676		64,706
K12 Inc. (a)	1,289		24,169
Kelly Services Inc. Class A	5,761		74,951
Kenexa Corp. (a)	5,103		40,722
Kenneth Cole Productions Inc.	1,851		13,105
Kforce Inc. (a)	7,368		56,586
Kimball International Inc. Class B	7,002		60,287
Knology Inc. (a)	6,226		32,126
Korn/Ferry International (a)	10,254		117,101
Krispy Kreme Doughnuts Inc. (a)	13,280		22,310
La-Z-Boy Inc.	11,284		24,486
Lancaster Colony Corp.	4,431		151,983
Landry’s Restaurants Inc.	2,833		32,863
Lawson Products Inc.	834		19,057
Leapfrog Enterprises Inc. (a)	7,131		24,958
Learning Tree International Inc. (a)	1,957		16,674
LECG Corp. (a)	5,801		38,925
Lee Enterprises Inc. Class A	10,047		4,119
Libbey Inc.	2,945		3,681


	Shares	Value
Common Stocks (Cont.)
Consumer Discretionary (Cont.)
Life Time Fitness Inc. (a)	7,650	$	99,067
Lin TV Corp. (a)	5,603		6,107
Lincoln Educational Services (a)	1,095		14,509
Liquidity Services Inc. (a)	3,203		26,681
Live Nation Inc. (a)	16,643		95,531
Lodgian Inc. (a)	3,822		8,141
LoopNet Inc. (a)	6,420		43,784
Luby’s Inc. (a)	4,719		19,773
Maidenform Brands Inc. (a)	4,933		50,070
Mannatech Inc.	3,189		7,813
Marchex Inc. Class B	5,610		32,706
Marcus Corp.	4,404		71,477
MarineMax Inc. (a)	3,499		11,862
Martha Stewart Living Omnimedia Inc. (a)	5,601		14,563
Marvel Entertainment Inc. (a)	10,750		330,562
Matthews International Corp.	6,852		251,331
MAXIMUS Inc.	4,066		142,757
McClatchy Co. Class A	12,486		9,989
Media General Inc.	5,138		8,992
Mediacom Communications Corp. Class A (a)	8,650		37,195
Midas Inc. (a)	3,045		31,942
Midway Games Inc. (a)	4,758		904
Monarch Casino & Resort Inc. (a)	2,838		33,063
Monro Muffler Brake Inc.	3,835		97,792
Morgans Hotel Group Co. (a)	5,920		27,587
Movado Group Inc.	3,484		32,715
MPS Group Inc. (a)	20,683		155,743
MWI Veterinary Supply Inc. (a)	2,250		60,660
National CineMedia Inc.	9,236		93,653
National Presto Industries Inc.	985		75,845
Nautilus Inc. (a)	6,062		13,397
Navigant Consulting Inc. (a)	10,610		168,381
Net 1 UEPS Technologies Inc. (a)	9,879		135,342
Netflix Inc. (a)	8,940		267,217
New York & Co. Inc. (a)	5,088		11,804
NIC Inc.	8,750		40,250
Nu Skin Enterprises Inc.	10,876		113,437
NutriSystem Inc.	6,706		97,841
O’Charley’s Inc.	3,981		7,962
On Assignment Inc. (a)	7,768		44,045
Orbitz Worldwide Inc. (a)	8,023		31,129
Outdoor Channel Holdings Inc. (a)	3,518		26,350
Overstock.com Inc. (a)	3,311		35,693
Oxford Industries Inc.	3,029		26,564
Pacific Sunwear of California Inc. (a)	15,583		24,777
Pantry Inc. (a)	4,605		98,777
Papa John’s International Inc. (a)	4,799		88,446
ParkerVision Inc. (a)	5,039		12,446
PC Connection Inc. (a)	2,174		11,131
PC Mall Inc. (a)	2,421		9,708
PEP Boys-Manny Moe & Jack	9,260		38,244


	Shares	Value
Common Stocks (Cont.)
Consumer Discretionary (Cont.)
Perficient Inc. (a)	7,015	$	33,532
Perry Ellis International Inc. (a)	2,507		15,894
PetMed Express Inc. (a)	5,206		91,782
PF Chang’s China Bistro Inc. (a)	5,259		110,123
PHH Corp. (a)	11,892		151,385
Pier 1 Imports Inc. (a)	19,613		7,257
Pinnacle Entertainment Inc. (a)	13,166		101,115
Playboy Enterprises Inc. (a)	4,731		10,219
Pool Corp.	10,504		188,757
Pre-Paid Legal Services Inc. (a)	1,833		68,353
Prestige Brands Holdings Inc. (a)	7,407		78,144
PRG-Schultz International Inc. (a)	3,281		13,386
PriceSmart Inc.	3,165		65,389
Primedia Inc.	5,537		12,015
Princeton Review Inc. (a)	2,918		14,386
Protection One Inc. (a)	1,393		6,659
Quiksilver Inc. (a)	27,686		50,942
R.H. Donnelley Corp. (a)	15,080		5,580
RC2 Corp. (a)	3,911		41,730
Red Robin Gourmet Burgers Inc. (a)	3,697		62,221
Regis Corp.	9,370		136,146
Renaissance Learning Inc.	2,122		19,077
Rent-A-Center Inc. (a)	14,660		258,749
Resources Connection Inc. (a)	9,908		162,293
Retail Ventures Inc. (a)	6,777		23,516
REX Stores Corp. (a)	1,944		15,688
RHI Entertainment Inc. (a)	2,961		24,043
Rick’s Cabaret International Inc. (a)	1,320		5,267
Riviera Holdings Corp. (a)	2,014		6,042
Rollins Inc.	9,143		165,305
RSC Holdings Inc. (a)	10,445		88,991
Ruby Tuesday Inc. (a)	11,129		17,361
Rush Enterprises Inc. Class A (a)	7,374		63,195
Russ Berrie & Co. Inc. (a)	3,797		11,277
Ruth’s Hospitality Group Inc. (a)	4,036		5,570
Sally Beauty Holdings Inc. (a)	20,711		117,846
Schawk Inc.	3,174		36,374
Scholastic Corp.	5,288		71,811
School Specialty Inc. (a)	4,122		78,813
Sealy Corp.	10,019		25,148
Shoe Carnival Inc. (a)	1,823		17,410
Shuffle Master Inc. (a)	11,116		55,135
Shutterfly Inc. (a)	4,314		30,155
Sinclair Broadcast Group Inc.	11,499		35,647
Six Flags Inc. (a)	14,575		4,518
Skechers U.S.A. Inc. (a)	7,209		92,419
Sonic Automotive Inc.	5,731		22,809
Sonic Corp. (a)	13,162		160,182
Sotheby’s	14,798		131,554
Speedway Motorsports Inc.	2,987		48,121
Spherion Corp. (a)	12,355		27,305
Stage Stores Inc.	8,860		73,095
Stamps.com Inc. (a)	3,413		33,550


	Shares	Value
Common Stocks (Cont.)
Consumer Discretionary (Cont.)
Standard Parking Corp. (a)	2,124	$	41,078
Standard Register Co.	3,255		29,067
Stein Mart Inc. (a)	5,275		5,961
Steiner Leisure Ltd. (a)	3,597		106,183
Steinway Musical Instruments Inc. (a)	1,507		26,388
Steven Madden Ltd. (a)	3,880		82,722
Stewart Enterprises Inc.	18,382		55,330
Syms Corp. (a)	1,450		12,876
Systemax Inc.	2,362		25,439
Take-Two Interactive Software Inc. (a)	16,891		127,696
Talbots Inc.	5,360		12,810
TeleTech Holdings Inc. (a)	8,806		73,530
Tempur-Pedic International Inc.	16,399		116,269
Texas Roadhouse Inc. Class A (a)	11,495		89,086
The Finish Line Inc. Class A	9,369		52,466
The Knot Inc. (a)	6,203		51,609
The Men’s Wearhouse Inc.	11,280		152,731
The Providence Service Corp. (a)	2,574		3,732
The Steak n Shake Co. (a)	6,447		38,360
thinkorswim Group Inc. (a)	11,074		62,236
THQ Inc. (a)	14,645		61,363
Timberland Co. (a)	10,498		121,252
TiVo Inc. (a)	22,379		160,234
Town Sports International Holdings Inc. (a)	3,831		12,221
Tractor Supply Co. (a)	7,319		264,509
True Religion Apparel Inc. (a)	3,744		46,575
TrueBlue Inc. (a)	9,755		93,355
Tuesday Morning Corp. (a)	7,227		11,780
Tupperware Brands Corp.	13,621		309,197
Tween Brands Inc. (a)	5,444		23,518
Ulta Salon Cosmetics & Fragrance Inc. (a)	4,449		36,838
Under Armour Inc. Class A (a)	7,237		172,530
UniFirst Corp.	3,154		93,642
United Online Inc.	16,933		102,783
United Stationers Inc. (a)	5,249		175,789
Universal Electronics Inc. (a)	3,113		50,493
Universal Technical Institute Inc. (a)	5,150		88,425
USANA Health Sciences Inc. (a)	1,697		58,105
Vail Resorts Inc. (a)	6,874		182,848
Valassis Communications Inc. (a)	10,551		13,927
Value Line Inc.	444		15,327
ValueClick Inc. (a)	19,000		129,960
Viad Corp.	4,547		112,493
VistaPrint Ltd. (a)	9,699		180,498
Volcom Inc. (a)	3,988		43,469
Volt Information Sciences Inc. (a)	2,876		20,793
Warnaco Group Inc. (a)	10,000		196,300
Waste Connections Inc. (a)	17,480		551,844
Waste Services Inc. (a)	5,201		34,223
Watson Wyatt Worldwide Inc.	9,376		448,360
WD-40 Co.	3,611		102,155


	Shares	Value
Common Stocks (Cont.)
Consumer Discretionary (Cont.)
Wendy’s/Arby’s Group Inc. Class A	87,002	$	429,790
Wet Seal Inc. Class A (a)	20,207		60,015
Weyco Group Inc.	1,588		52,483
WMS Industries Inc. (a)	9,641		259,343
Wolverine World Wide Inc.	10,933		230,030
World Fuel Services Corp.	6,400		236,800
World Wrestling Entertainment Inc.	4,664		51,677
Zale Corp. (a)	7,018		23,370
Zumiez Inc. (a)	4,309		32,102

			25,165,751

Consumer Staples (3.18%)
Alliance One International Inc. (a)	21,262		62,510
American Dairy Inc. (a)	1,558		23,432
Arden Group Inc. Class A	240		30,240
B&G Foods Inc. Class A	4,404		23,782
Boston Beer Co. Inc. (a)	1,853		52,625
Cal-Maine Foods Inc.	2,771		79,528
Casey’s General Stores Inc.	11,141		253,681
Chiquita Brands International Inc. (a)	9,508		140,528
Coca-Cola Bottling Co. Consolidated	896		41,180
Diamond Foods Inc.	3,522		70,968
Farmer Brothers Co.	1,392		34,716
Flowers Foods Inc.	16,989		413,852
Fresh Del Monte Produce Inc. (a)	9,213		206,555
Green Mountain Coffee Roasters Inc. (a)	3,779		146,247
Hain Celestial Group Inc. (a)	8,901		169,920
Imperial Sugar Co.	2,561		36,725
Ingles Markets Inc.	2,759		48,531
J&J Snack Foods Corp.	3,107		111,479
Lance Inc.	6,161		141,333
Lifeway Foods Inc. (a)	1,050		9,429
Lululemon Athletica Inc. (a)	3,954		31,355
M & F Worldwide Corp. (a)	2,796		43,198
Maui Land & Pineapple Company Inc. (a)	1,089		14,625
Nash Finch Co.	2,841		127,533
National Beverage Corp. (a)	2,198		19,782
Omega Protein Corp. (a)	4,026		16,144
Peet’s Coffee & Tea Inc. (a)	2,997		69,680
Ralcorp Holdings Inc. (a)	12,334		720,306
Reddy Ice Holdings Inc.	3,927		5,655
Ruddick Corp.	9,248		255,707
Sanderson Farms Inc.	4,453		153,896
Schiff Nutrition International Inc. (a)	2,028		12,107
Seaboard Corp.	73		87,162
Sensient Technologies Corp.	10,559		252,149
Smart Balance Inc. (a)	13,750		93,500
Spartan Stores Inc.	4,803		111,670
Star Scientific Inc. (a)	14,390		55,114
Susser Holdings Corp. (a)	1,698		22,566
Synutra International Inc. (a)	2,275		25,071


	Shares	Value
Common Stocks (Cont.)
Consumer Staples (Cont.)
The Great Atlantic & Pacific Tea
Company Inc. (a)	7,747	$	48,574
Tootsie Roll Industries Inc.	5,229		133,915
TreeHouse Foods Inc. (a)	6,854		186,703
United Natural Foods Inc. (a)	9,418		167,829
Universal Corp.	5,575		166,525
Vector Group Ltd.	7,288		99,263
Village Super Market Inc. Class A	717		41,149
Weis Markets Inc.	2,424		81,519
Winn-Dixie Stores Inc. (a)	11,877		191,220
Zep Inc.	4,690		90,564
Zhongpin Inc. (a)	4,043		48,516

			5,470,258


Durable Products (7.31%)
ACCO Brands Corp. (a)	11,895		41,038
Actuant Corp. Class A	12,275		233,470
Advanced Energy Industries Inc. (a)	7,170		71,341
Aerovironment Inc. (a)	2,248		82,749
Alamo Group Inc.	1,355		20,257
Albany International Corp. Class A	6,520		83,456
Altra Holdings Inc. (a)	5,797		45,854
American Ecology Corp.	3,573		72,282
American Superconductor Corp. (a)	9,229		150,525
AO Smith Corp.	4,383		129,386
Applied Industrial Technologies Inc.	9,292		175,805
ARGON ST Inc. (a)	2,876		54,241
Arris Group Inc. (a)	27,217		216,375
Ascent Solar Technologies Inc. (a)	1,628		6,121
Astec Industries Inc. (a)	4,045		126,730
Asyst Technologies Inc. (a)	11,167		2,792
ATMI Inc. (a)	7,055		108,859
Audiovox Corp. (a)	3,821		19,143
Axcelis Technologies Inc. (a)	22,494		11,472
Axsys Technologies Inc. (a)	1,917		105,167
AZZ Inc. (a)	2,662		66,816
Badger Meter Inc.	3,202		92,922
Baldor Electric Co.	10,133		180,874
Beacon Power Corp. (a)	19,421		10,293
Beazer Homes USA Inc. (a)	8,686		13,724
Belden Inc.	9,613		200,719
Blount International Inc. (a)	8,487		80,457
Brady Corp.	11,035		264,288
Briggs & Stratton Corp.	10,884		191,450
Brooks Automation Inc. (a)	14,541		84,483
Cascade Corp.	1,993		59,511
Cavco Industries Inc. (a)	1,418		38,130
Champion Enterprises Inc. (a)	17,052		9,549
Chart Industries Inc. (a)	6,222		66,140
Cognex Corp.	9,385		138,898
Cohu Inc.	5,061		61,491
Colfax Corp. (a)	4,734		49,186


	Shares	Value
Common Stocks (Cont.)
Durable Products (Cont.)
Columbus McKinnon Corp. (a)	4,169	$	56,907
CTS Corp.	7,224		39,804
Curtiss-Wright Corp.	9,833		328,324
Cymer Inc. (a)	6,638		145,439
Darling International Inc. (a)	17,903		98,287
Dionex Corp. (a)	4,025		180,521
Ducommun Inc.	2,316		38,677
DXP Enterprises Inc. (a)	1,570		22,938
Electro Scientific Industries Inc. (a)	5,857		39,769
EMCORE Corp. (a)	16,110		20,943
Energy Recovery Inc. (a)	3,257		24,688
EnPro Industries Inc. (a)	4,385		94,453
Entegris Inc. (a)	25,086		54,938
ESCO Technologies Inc. (a)	5,700		233,415
Esterline Technologies Corp. (a)	6,462		244,845
FARO Technologies Inc. (a)	3,661		61,724
Federal Signal Corp.	10,541		86,542
FEI Co. (a)	8,010		151,069
Flanders Corp. (a)	3,514		16,481
Flow International Corp. (a)	8,247		19,958
Franklin Electric Co. Inc.	5,023		141,197
Fuel Tech Inc. (a)	3,883		41,121
Fushi Copperweld Inc. (a)	3,163		16,669
GenCorp Inc. (a)	12,693		46,710
GenTek Inc. (a)	1,972		29,679
Graham Corp.	2,178		23,566
Harbin Electric Inc. (a)	1,368		10,930
Heico Corp.	4,871		189,141
Herman Miller Inc.	12,329		160,647
hhgregg Inc. (a)	2,731		23,705
HNI Corp.	9,762		154,630
Hovnanian Enterprises Inc. (a)	10,174		17,499
Hurco Companies Inc. (a)	1,407		16,884
InterDigital Inc. (a)	9,982		274,505
Interface Inc.	11,625		53,940
Intevac Inc. (a)	4,909		24,889
K-Tron International Inc. (a)	532		42,507
Kadant Inc. (a)	3,056		41,195
Kaman Corp.	5,567		100,930
Key Technology Inc. (a)	1,233		23,291
Knoll Inc.	10,631		95,892
Kulicke & Soffa Industries Inc. (a)	11,745		19,966
Lindsay Corp.	2,618		83,226
Littelfuse Inc. (a)	4,760		79,016
LMI Aerospace Inc. (a)	1,901		21,614
LTX-Credence Corp. (a)	27,507		7,427
M/I Homes Inc.	3,073		32,389
MasTec Inc. (a)	9,428		109,176
Mattson Technology Inc. (a)	10,971		15,469
Measurement Specialties Inc. (a)	3,091		21,482
Meritage Homes Corp. (a)	6,737		81,989
Met-Pro Corp.	3,296		43,903
Metalico Inc. (a)	5,308		8,227


	Shares	Value
Common Stocks (Cont.)
Durable Products (Cont.)
Middleby Corp. (a)	3,725	$	101,581
Mine Safety Appliances Co.	6,812		162,875
MKS Instruments Inc. (a)	10,946		161,891
Mobile Mini Inc. (a)	7,605		109,664
Moog Inc. Class A	9,365		342,478
NACCO Industries Inc. Class A	1,318		49,306
Nordson Corp.	7,404		239,075
OpNext Inc. (a)	4,528		7,924
Orbital Sciences Corp. (a)	12,859		251,136
Orion Energy Systems Inc. (a)	1,833		9,917
OYO Geospace Corp. (a)	826		14,430
Palm Harbor Homes Inc. (a)	1,838		9,153
Park-Ohio Holdings Corp. (a)	1,844		11,377
Photronics Inc. (a)	9,189		17,919
Plantronics Inc.	10,751		141,913
PMFG Inc. (a)	2,844		27,189
Powell Industries Inc. (a)	1,722		49,972
Power-One Inc. (a)	17,668		21,025
Powerwave Technologies Inc. (a)	28,851		14,426
Preformed Line Products Co.	591		27,210
Presstek Inc. (a)	6,039		19,385
Raser Technologies Inc. (a)	9,887		36,879
Regal-Beloit Corp.	7,068		268,513
Robbins & Myers Inc.	6,161		99,623
Rofin-Sinar Technologies Inc. (a)	6,484		133,441
Rudolph Technologies Inc. (a)	6,771		23,902
Ryland Group Inc.	9,308		164,472
Sauer-Danfoss Inc.	2,436		21,315
Semitool Inc. (a)	5,123		15,625
Skyline Corp.	1,501		30,005
Smith & Wesson Holding Corp. (a)	8,229		18,680
Sonic Solutions (a)	5,168		9,096
Standard Pacific Corp. (a)	27,253		48,510
Standex International Corp.	2,808		55,711
Sun Hydraulics Corp.	2,559		48,212
Symmetricom Inc. (a)	9,478		37,438
Synthesis Energy Systems Inc. (a)	5,471		3,720
TAL International Group Inc.	3,230		45,543
Taser International Inc. (a)	12,934		68,292
Team Inc. (a)	4,053		112,268
Technitrol Inc.	8,988		31,278
Tecumseh Products Co. Class A (a)	3,579		34,287
Teledyne Technologies Inc. (a)	7,788		346,955
Tennant Co.	3,644		56,118
Textainer Group Holdings Ltd.	2,096		22,218
The Gormann-Rupp Co.	3,103		96,565
Thermadyne Holdings Corp. (a)	2,931		20,136
Titan International Inc.	7,535		62,164
Titan Machinery Inc. (a)	1,604		22,552
TransDigm Group Inc. (a)	7,301		245,095
Triumph Group Inc.	3,630		154,130
TurboChef Technologies Inc. (a)	5,161		25,341
Twin Disc Inc.	1,842		12,691


	Shares	Value
Common Stocks (Cont.)
Durable Products (Cont.)
Ultra Clean Holdings Inc. (a)	4,366	$	8,776
Ultratech Inc. (a)	5,186		62,025
Veeco Instruments Inc. (a)	7,033		44,589
Vicor Corp.	4,252		28,106
Wabtec Corp.	10,637		422,821
Watts Water Technologies Inc.	6,366		158,959
Woodward Governor Co.	12,902		297,004
Zygo Corp. (a)	3,302		22,817

			12,584,845


Financial Services (23.05%)
1st Source Corp.	3,385		79,988
Abington Bancorp Inc.	5,360		49,580
Acadia Realty Trust	7,086		101,117
Advance America Cash Advance Centers Inc.	9,722		18,375
Advanta Corp. Class B	8,398		17,552
Advent Software Inc. (a)	3,667		73,230
Agree Realty Corp.	1,730		31,365
Aircastle Ltd.	10,241		48,952
Alexander’s Inc.	449		114,450
Ambac Financial Group Inc.	62,982		81,877
Amcore Financial Inc.	4,891		17,705
American Campus Communities Inc.	9,282		190,095
American Capital Agency Corp.	2,189		46,757
American Equity Investment Life Holding Co.	11,990		83,930
American Physicians Capital Inc.	1,844		88,696
American Safety Insurance Holdings Ltd. (a)	2,322		30,674
Ameris Bancorp	2,760		32,706
Amerisafe Inc. (a)	4,129		84,768
Ames National Corp.	1,410		37,421
Ampal-American Israel Corp. (a)	4,533		2,629
AmTrust Financial Services Inc.	3,481		40,380
Anchor Bancorp Wisconsin Inc.	3,898		10,758
Anthracite Capital Inc.	12,047		26,865
Anworth Mortgage Asset Corp.	18,109		116,441
Apollo Investment Corp.	31,254		290,975
Arbor Realty Trust Inc.	3,036		8,956
Ares Capital Corp.	21,343		135,101
Argo Group International Holdings Ltd. (a)	6,745		228,790
Arrow Financial Corp.	2,001		50,305
Ashford Hospitality Trust Inc.	26,290		30,234
Aspen Insurance Holdings Ltd.	18,766		455,075
Asset Acceptance Capital Corp. (a)	3,279		16,756
Assured Guaranty Ltd.	12,260		139,764
Avatar Holdings Inc. (a)	1,336		35,431
Baldwin & Lyons Inc.	1,878		34,161
BancFirst Corp.	1,654		87,530


	Shares	Value
Common Stocks (Cont.)
Financial Services (Cont.)
Banco Latinoamericano de
Exportaciones SA	5,988	$	85,988
BancTrust Financial Group Inc.	3,839		56,664
Bank Mutual Corp.	11,083		127,898
Bank of the Ozarks Inc.	2,710		80,324
BankFinancial Corp.	4,326		44,082
Bankrate Inc. (a)	2,795		106,210
Banner Corp.	3,073		28,917
Beneficial Mutual Bancorp Inc. (a)	7,546		84,893
Berkshire Hills Bancorp Inc.	2,631		81,193
BGC Partners Inc. Class A	7,035		19,417
BioMed Realty Trust Inc.	17,628		206,600
BlackRock Kelso Capital Corp.	2,843		28,032
Boston Private Financial Holdings Inc.	11,704		80,055
Broadpoint Securities Group Inc. (a)	5,255		15,607
Brookline Bancorp Inc.	13,097		139,483
Brooklyn Federal Bancorp Inc.	733		10,299
Bryn Mawr Bank Corp.	1,505		30,251
Calamos Asset Management Inc. Class A	4,572		33,833
Camden National Corp.	1,686		45,488
Capital City Bank Group Inc.	2,640		71,914
Capital Southwest Corp.	669		72,359
Capital Trust Inc.	3,648		13,133
Capitol Bancorp Ltd.	3,354		26,161
CapLease Inc.	10,014		17,324
Capstead Mortgage Corp.	11,771		126,774
Cardinal Financial Corp.	5,292		30,111
Cardtronics Inc. (a)	2,497		3,221
Care Investment Trust Inc.	2,905		22,630
Cascade Bancorp	4,571		30,854
Cash America International Inc.	6,399		175,013
Cass Information Systems Inc.	1,559		47,487
Castlepoint Holdings Ltd.	7,337		99,490
Cathay General Bancorp	10,663		253,246
Cedar Shopping Centers Inc.	8,414		59,571
Centerstate Banks of Florida Inc.	2,020		34,320
Central Pacific Financial Corp.	6,221		62,459
Chemical Financial Corp.	5,342		148,935
Chimera Investment Corp.	24,825		85,646
China Direct Inc. (a)	1,483		2,150
Citizens & Northern Corp.	1,964		38,789
Citizens Inc. (a)	8,189		79,433
Citizens Republic Bancorp Inc.	27,649		82,394
City Bank	3,020		15,704
City Holding Co.	3,538		123,052
Clifton Savings Bancorp Inc.	2,287		27,124
CNA Surety Corp. (a)	3,537		67,910
CoBiz Financial Inc.	4,130		40,226
Cohen & Steers Inc.	3,684		40,487
Colonial BancGroup Inc.	44,337		91,778
Colonial Properties Trust	10,424		86,832
Columbia Banking Systems Inc.	3,985		47,541


	Shares	Value
Common Stocks (Cont.)
Financial Services (Cont.)
Community Bank System Inc.	7,159	$	174,608
Community Trust Bancorp Inc.	3,207		117,857
CompuCredit Corp. (a)	4,225		23,364
Consolidated-Tomoka Land Co.	1,176		44,911
Corporate Office Properties Trust	9,210		282,747
Corus Bankshares Inc.	7,973		8,850
Cousins Properties Inc.	8,317		115,190
Crawford & Co. Class B (a)	5,610		81,569
Credit Acceptance Corp. (a)	1,302		17,837
CVB Financial Corp.	14,526		172,859
CyberSource Corp. (a)	15,156		181,720
Danvers Bancorp Inc.	3,911		52,290
DCT Industrial Trust Inc.	37,726		190,894
Delphi Financial Group Inc.	9,073		167,306
Deluxe Corp.	11,313		169,242
Diamond Hill Investment Group	451		29,315
DiamondRock Hospitality Co.	20,821		105,562
Dime Community Bancshares	5,147		68,455
Dollar Financial Corp. (a)	5,319		54,786
Donegal Group Inc.	2,812		47,157
Doral Financial Corp. (a)	1,174		8,805
Duff & Phelps Corp. Class A (a)	2,322		44,397
DuPont Fabros Technology Inc.	2,619		5,421
East West Bancorp Inc.	13,926		222,398
EastGroup Properties Inc.	5,468		194,551
Education Realty Trust Inc.	6,267		32,714
eHealth Inc. (a)	5,471		72,655
Electro Rent Corp.	4,724		52,720
EMC Insurance Group Inc.	1,379		35,371
Employers Holdings Inc.	10,857		179,140
Encore Bancshares Inc. (a)	1,407		15,477
Encore Capital Group Inc. (a)	3,198		23,026
Enstar Group Ltd. (a)	1,208		71,441
Enterprise Financial Services Corp.	2,423		36,927
Entertainment Properties Trust	7,210		214,858
Epoch Holding Corp.	2,217		16,827
Equity Lifestyle Properties Inc.	4,469		171,431
Equity One Inc.	7,077		125,263
ESSA Bancorp Inc.	3,722		52,592
Euronet Worldwide Inc. (a)	10,351		120,175
Evercore Partners Inc.	2,131		26,616
Exlservice Holdings Inc. (a)	3,119		26,730
Extra Space Storage Inc.	17,453		180,115
Fair Isaac Corp.	10,682		180,099
Farmers Capital Bank Corp.	1,358		33,162
FBL Financial Group Inc.	2,889		44,635
FBR Capital Markets Corp. (a)	6,434		31,269
FCStone Group Inc. (a)	4,985		22,084
Federal Agricultural Mortgage Corp. Class C	2,121		7,424
FelCor Lodging Trust Inc.	13,814		25,418
Fifth Street Finance Corp.	2,192		16,550
Financial Federal Corp.	5,527		128,613


	Shares	Value
Common Stocks (Cont.)
Financial Services (Cont.)
Financial Institutions Inc.	2,403	$	34,483
First Acceptance Corp. (a)	3,296		9,558
First Bancorp (North Carolina)	3,147		57,747
First BanCorp (Puerto Rico)	15,637		174,196
First Bancorp Inc.	1,896		37,711
First Busey Corp.	5,401		98,514
First Cash Financial Services Inc. (a)	4,362		83,140
First Commonwealth Financial Corp.	17,340		214,669
First Community Bancshares Inc.	2,044		71,274
First Financial Bancorp	8,226		101,920
First Financial Bankshares Inc.	4,566		252,089
First Financial Corp. Indiana	2,591		106,205
First Financial Holdings Inc.	2,655		53,737
First Financial Northwest Inc.	5,010		46,793
First Industrial Realty Trust Inc.	9,734		73,492
First Marblehead Corp. (a)	15,151		19,545
First Merchants Corp.	3,995		88,729
First Mercury Financial Corp. (a)	3,186		45,432
First Midwest Bancorp Inc.	10,668		213,040
First Niagara Financial Group Inc.	26,000		420,420
First Place Financial Corp. Ohio	3,970		15,205
First Potomac Realty Trust	5,414		50,350
First South Bancorp Inc.	1,918		24,090
FirstFed Financial Corp. (a)	2,963		5,185
FirstMerit Corp.	17,765		365,781
Flagstar Bancorp Inc. (a)	10,193		7,237
Flagstone Reinsurance Holdings Ltd.	6,609		64,570
Flushing Financial Corp.	4,784		57,217
FNB Corp. (PA)	18,894		249,401
Fox Chase Bancorp Inc. (a)	1,345		14,795
FPIC Insurance Group Inc. (a)	1,936		84,758
Franklin Street Properties Corp.	12,972		191,337
Friedman Billings Ramsey Group Inc. (a)	33,762		5,740
Frontier Financial Corp.	10,318		44,986
FX Real Estate and Entertainment Inc. (a)	1,540		231
GAMCO Investors Inc.	1,663		45,433
Getty Realty Corp.	3,991		84,050
GFI Group Inc.	14,513		51,376
Glacier Bancorp Inc.	12,462		237,027
Gladstone Capital Corp.	4,627		37,432
Gladstone Investment Corp.	4,835		23,740
Glimcher Realty Trust	8,307		23,343
Global Cash Access Holdings Inc. (a)	9,023		20,031
Gramercy Capital Corp.	9,141		11,700
Green Bankshares Inc.	2,875		38,928
Greenhill & Co. Inc.	3,806		265,545
Greenlight Capital Re Ltd. Class A (a)	6,326		82,175
Grubb & Ellis Co.	8,158		10,116
Guaranty Bancorp (a)	12,018		24,036
Guaranty Financial Group Inc. (a)	8,161		21,300
H&E Equipment Services Inc. (a)	3,553		27,394
Hallmark Financial Services Inc. (a)	1,482		12,997


	Shares	Value
Common Stocks (Cont.)
Financial Services (Cont.)
Hancock Holding Co.	5,653	$	256,985
Hanmi Financial Corp.	9,069		18,682
Harleysville Group Inc.	2,869		99,640
Harleysville National Corp.	9,408		135,852
Harris & Harris Group Inc. (a)	5,103		20,157
Hatteras Financial Corp.	2,921		77,699
Healthcare Realty Trust Inc.	12,913		303,197
Heartland Financial USA Inc.	2,871		59,114
Heartland Payment Systems Inc.	5,359		93,783
Hercules Technology Growth Capital Inc.	7,299		57,808
Heritage Commerce Corp.	2,529		28,426
Hersha Hospitality Trust	9,181		27,543
Highwoods Properties Inc.	13,937		381,316
Home Bancshares Inc.	2,854		76,915
Home Federal Bancorp Inc.	1,432		15,351
Home Properties Inc.	6,941		281,805
Horace Mann Educators Corp.	8,790		80,780
Huron Consulting Group Inc. (a)	4,552		260,693
IBERIABANK Corp.	3,153		151,344
Independence Holding Co.	1,268		4,577
Independent Bank Corp. (MA)	3,571		93,417
Infinity Property & Casualty Corp.	3,144		146,919
Inland Real Estate Corp.	12,593		163,457
Integra Bank Corp.	4,759		6,520
Interactive Brokers Group Inc. Class A (a)	8,921		159,597
Interactive Data Corp.	8,037		198,192
International Assets Holding Corp. (a)	923		7,919
International Bancshares Corp.	11,206		244,627
Investors Bancorp Inc. (a)	9,685		130,070
Investors Real Estate Trust	12,705		136,071
IPC Holdings Ltd.	10,259		306,744
Jer Investors Trust Inc.	5,288		4,918
Kansas City Life Insurance Co.	1,005		43,567
Kayne Anderson Energy Development Co.	2,444		18,354
KBW Inc. (a)	5,749		132,227
Kearny Financial Corp.	4,186		53,581
Kite Realty Group Trust	4,317		24,003
Knight Capital Group Inc. Class A (a)	20,646		333,433
Kohlberg Capital Corp.	3,792		13,803
LaBranche & Co. Inc. (a)	11,242		53,849
Ladenburg Thalmann Financial Services Inc. (a)	22,474		16,181
Lakeland Bancorp Inc.	4,500		50,670
Lakeland Financial Corp.	2,682		63,885
LaSalle Hotel Properties	8,812		97,373
Lexington Realty Trust	13,623		68,115
Life Partners Holdings Inc.	1,297		56,601
LTC Properties Inc.	5,063		102,678
Maguire Properties Inc. (a)	8,407		12,274


	Shares	Value
Common Stocks (Cont.)
Financial Services (Cont.)
Maiden Holdings Ltd.	10,780	$	33,741
MainSource Financial Group Inc.	4,158		64,449
MarketAxess Holdings Inc. (a)	6,795		55,447
Max Capital Group Ltd.	12,403		219,533
MB Financial Inc.	7,630		213,259
MCG Capital Corp.	16,590		11,779
McGrath Rentcorp	5,099		108,915
Meadowbrook Insurance Group Inc.	12,479		80,365
Medallion Financial Corp.	3,251		24,805
Medical Properties Trust Inc.	14,576		91,975
Meridian Interstate Bancorp Inc. (a)	2,297		21,247
Meruelo Maddux Properties Inc. (a)	9,002		11,162
MFA Mortgage Investments Inc.	43,393		255,585
Mid-America Apartment
Communities Inc.	5,769		214,376
Midwest Banc Holdings Inc.	4,781		6,693
Mission West Properties Inc.	4,317		33,025
Monmouth Real Estate Investment Corp. Class A	4,326		30,282
Montpelier Re Holdings Ltd.	20,549		345,018
Move Inc. (a)	28,154		45,046
MVC Capital Inc.	5,331		58,481
Nara Bancorp Inc.	4,776		46,948
NASB Financial Inc.	797		21,519
National Financial Partners Corp.	8,677		26,378
National Health Investors Inc.	4,891		134,160
National Interstate Corp.	1,344		24,017
National Penn Bancshares Inc.	17,461		253,359
National Retail Properties Inc.	17,181		295,341
National Western Life Insurance Co.	508		85,938
Navigators Group Inc. (a)	2,893		158,855
NBT Bancorp Inc.	6,977		195,077
Nelnet Inc.	3,948		56,575
NewAlliance Bancshares Inc.	24,038		316,580
Newcastle Investment Corp.	11,583		9,730
NewStar Financial Inc. (a)	5,235		20,888
NGP Capital Resources Co.	4,746		39,724
Northfield Bancorp Inc.	4,198		47,228
NorthStar Realty Finance Corp.	12,578		49,180
Northwest Bancorp Inc.	3,850		82,313
NYMAGIC Inc.	1,234		23,508
OceanFirst Financial Corp.	1,936		32,138
Ocwen Financial Corp. (a)	8,003		73,468
Odyssey Re Holdings Corp.	4,829		250,190
Old National Bancorp	14,544		264,119
Old Second Bancorp Inc.	3,093		35,879
Omega Healthcare Investors Inc.	17,982		287,173
One Liberty Properties Inc.	1,747		15,374
Online Resources Corp. (a)	6,193		29,355
optionsXpress Holdings Inc.	9,300		124,248
Oriental Financial Group Inc.	5,331		32,253
Oritani Financial Corp. (a)	2,844		47,921
Pacific Capital Bancorp	10,180		171,838


	Shares	Value
Common Stocks (Cont.)
Financial Services (Cont.)
Pacific Continental Corp.	2,334	$	34,940
PacWest Bancorp	5,292		142,355
Park National Corp.	2,513		180,308
Parkway Properties Inc.	3,289		59,202
Patriot Capital Funding Inc.	4,554		16,577
Peapack-Gladstone Financial Corp.	1,819		48,458
PennantPark Investment Corp.	4,727		17,064
Pennsylvania Commerce Bancorp Inc. (a)	1,134		30,232
Pennsylvania Real Estate Investment Trust	7,732		57,603
Penson Worldwide Inc. (a)	3,684		28,072
Peoples Bancorp Inc.	2,164		41,397
Phoenix Companies Inc.	25,131		82,178
PICO Holdings Inc. (a)	3,553		94,439
Pinnacle Financial Partners Inc. (a)	4,961		147,887
Piper Jaffray Co. (a)	4,113		163,533
Platinum Underwriters Holdings Ltd.	10,750		387,860
PMA Capital Corp. (a)	7,092		50,211
PMI Group Inc.	17,810		34,730
Portfolio Recovery Associates Inc. (a)	3,281		111,029
Post Properties Inc.	9,692		159,918
Potlatch Corp.	8,656		225,143
PremierWest Bancorp	4,235		28,332
Presidential Life Corp.	4,808		47,551
Primus Guaranty Ltd. (a)	5,119		5,836
PrivateBancorp Inc.	4,649		150,907
ProAssurance Corp. (a)	7,093		374,369
Prospect Capital Corp.	5,765		69,007
Prosperity Bancshares Inc.	8,610		254,770
Provident Bankshares Corp.	7,391		71,397
Provident Financial Services Inc.	13,261		202,893
Provident New York Bancorp	8,711		108,016
PS Business Parks Inc.	3,300		147,378
Pzena Investment Management Inc. Class A	1,311		5,532
Radian Group Inc.	17,615		64,823
RAIT Financial Trust	13,604		35,370
Ramco-Gershenson Properties Trust	3,737		23,095
Realty Income Corp.	22,261		515,342
Redwood Trust Inc.	7,216		107,591
Renasant Corp.	4,597		78,287
Republic Bancorp Inc. (Kentucky)	2,036		55,379
Resource America Inc.	2,649		10,596
Riskmetrics Group Inc. (a)	4,716		70,221
RLI Corp.	4,109		251,306
Rockville Financial Inc.	1,779		24,853
Roma Financial Corp.	2,179		27,434
S&T Bancorp Inc.	5,162		183,251
Safety Insurance Group Inc.	3,571		135,912
Sanders Morris Harris Group Inc.	4,259		25,511
Sandy Spring Bancorp Inc.	3,602		78,632


	Shares	Value
Common Stocks (Cont.)
Financial Services (Cont.)
Santander BanCorp	864	$	10,791
Saul Centers Inc.	2,145		84,728
SCBT Financial Corp.	2,236		77,142
Seabright Insurance Holdings (a)	4,651		54,603
Seacoast Banking Corp. of Florida	2,970		19,602
Selective Insurance Group Inc.	11,784		270,207
Senior Housing Properties Trust	25,064		449,147
Shore Bancshares Inc.	1,840		44,142
Sierra Bancorp	1,626		34,146
Signature Bank (a)	7,719		221,458
Simmons First National Corp.	3,107		91,563
Smithtown Bancorp Inc.	2,154		34,529
South Financial Group Inc.	15,498		66,951
Southside Bancshares Inc.	2,688		63,168
Southwest Bancorp Inc.	3,244		42,042
Sovran Self Storage Inc.	4,800		172,800
State Auto Financial Corp.	3,126		93,968
State Bancorp Inc.	3,136		30,545
StellarOne Corp.	4,955		83,740
Sterling Bancorp NY	3,935		55,208
Sterling Bancshares Inc. TX	16,060		97,645
Sterling Financial Corp. WA	11,875		104,500
Stewart Information Services Corp.	3,746		87,994
Stifel Financial Corp. (a)	5,625		257,906
Strategic Hotels & Resorts Inc.	16,341		27,453
Suffolk Bancorp	2,063		74,124
Sun Bancorp Inc. (New Jersey) (a)	3,097		23,197
Sun Communities Inc.	3,611		50,554
Sunstone Hotel Investors Inc.	11,288		69,873
Susquehanna Bancshares Inc.	18,891		300,556
SVB Financial Group (a)	6,579		172,567
SWS Group Inc.	5,343		101,250
SY Bancorp Inc.	2,941		80,878
Tanger Factory Outlet Centers Inc.	6,929		260,669
Texas Capital Bancshares Inc. (a)	6,065		81,028
TheStreet.com Inc.	4,712		13,665
Thomas Weisel Partners Group Inc. (a)	4,908		23,166
TNS Inc. (a)	5,371		50,434
Tompkins Financial Corp.	1,328		76,958
Tower Group Inc.	4,435		125,111
TowneBank	4,554		112,894
TradeStation Group Inc. (a)	7,051		45,479
Trico Bancshares	3,216		80,304
Trustco Bank Corp. NY	16,617		158,028
Trustmark Corp.	10,874		234,770
U-Store-It Trust	10,873		48,385
U.S. Global Investors Inc. Class A	2,775		13,570
UCBH Holdings Inc.	24,222		166,647
UMB Financial Corp.	6,827		335,479
Umpqua Holdings Corp.	13,196		190,946
Union Bankshares Corp.	2,955		73,284
United America Indemnity Ltd. Class A (a)	4,436		56,825


	Shares	Value
Common Stocks (Cont.)
Financial Services (Cont.)
United Bankshares Inc.	8,316	$	276,258
United Capital Corp. (a)	386		7,002
United Community Banks Inc.	8,850		120,183
United Community Financial Corp.	5,572		5,015
United Financial Bancorp Inc.	3,893		58,940
United Fire & Casualty Co.	4,998		155,288
United Security Bancshares	2,017		23,357
Universal American Corp. (a)	8,645		76,249
Universal Health Realty Income Trust	2,529		83,229
Univest Corp. of Pennsylvania	2,807		90,217
Urstadt Biddle Properties Inc.	4,525		72,083
Validus Holdings Ltd.	14,156		370,321
ViewPoint Financial Group	2,260		36,273
W Holding Company Inc.	457		4,707
Washington Real Estate Investment Trust	11,487		325,082
Washington Trust Bancorp Inc.	2,589		51,133
Waterstone Financial Inc. (a)	1,525		5,109
WesBanco Inc.	5,828		158,580
West Bancorporation	3,812		46,697
West Coast Bancorp (Oregon)	3,639		23,981
Westamerica Bancorporation	6,376		326,132
Western Alliance Bancorp (a)	3,980		40,158
Westfield Financial Inc.	6,950		71,724
Westwood Holdings Group Inc.	1,176		33,410
Wilshire Bancorp Inc.	4,217		38,290
Winthrop Realty Trust	2,300		24,932
Wintrust Financial Corp.	5,183		106,614
World Acceptance Corp. (a)	3,638		71,887
Wright Express Corp. (a)	8,524		107,402
WSFS Financial Corp.	1,364		65,458
Yadkin Valley Financial Corp.	2,508		35,739
Zenith National Insurance Corp.	8,173		258,022

			39,674,301

Health Care (14.26%)
Abaxis Inc. (a)	4,760		76,303
Abiomed Inc. (a)	7,460		122,493
Acadia Pharmaceuticals Inc. (a)	7,514		6,763
Accelrys Inc. (a)	5,864		25,567
Accuray Inc. (a)	7,915		40,841
Acorda Therapeutics Inc. (a)	8,126		166,664
Acura Pharmaceuticals Inc. (a)	1,778		13,051
Adolor Corp. (a)	10,092		16,753
Affymax Inc. (a)	2,296		22,937
Affymetrix Inc. (a)	15,246		45,586
Air Methods Corp. (a)	2,354		37,640
Akorn Inc. (a)	12,611		29,005
Albany Molecular Research Inc. (a)	5,087		49,547
Alexion Pharmaceuticals Inc. (a)	16,888		611,177
Alexza Pharmaceuticals Inc. (a)	5,289		16,766
Align Technology Inc. (a)	13,613		119,114


	Shares	Value
Common Stocks (Cont.)
Health Care (Cont.)
Alkermes Inc. (a)	20,840	$	221,946
Alliance Imaging Inc. (a)	5,809		46,298
Allos Therapeutics Inc. (a)	11,622		71,127
Allscripts-Misys Healthcare Solutions Inc.	30,206		299,644
Almost Family Inc. (a)	1,394		62,702
Alnylam Pharmaceuticals Inc. (a)	7,813		193,216
Alphatec Holdings Inc. (a)	5,450		12,808
AMAG Pharmaceuticals Inc. (a)	3,732		133,792
Amedisys Inc. (a)	5,822		240,682
American Medical Systems Holdings Inc. (a)	15,984		143,696
American Oriental Bioengineering Inc. (a)	13,552		92,018
AMERIGROUP Corp. (a)	11,763		347,244
Amicus Therapeutics Inc. (a)	1,078		8,602
Amsurg Corp. (a)	6,913		161,349
Analogic Corp.	2,943		80,285
Angiodynamics Inc. (a)	5,306		72,639
Ardea Biosciences Inc. (a)	2,363		28,285
Arena Pharmaceuticals Inc. (a)	16,548		69,005
Ariad Pharmaceuticals Inc. (a)	15,844		13,467
ArQule Inc. (a)	9,294		39,221
Array Biopharma Inc. (a)	10,688		43,286
Arthrocare Corp. (a)	5,875		28,024
Assisted Living Concepts Inc. Class A (a)	12,036		49,949
athenahealth Inc. (a)	4,534		170,569
Atrion Corp.	329		31,946
Auxilium Pharmaceuticals Inc. (a)	9,041		257,126
Bio-Rad Laboratories Inc. (a)	4,161		313,365
Bio-Reference Labs Inc. (a)	2,601		68,224
Biodel Inc. (a)	2,352		11,337
BioForm Medical Inc. (a)	4,777		4,347
BioMimetic Therapeutics Inc. (a)	2,903		26,766
BMP Sunstone Corp. (a)	5,087		28,335
Bruker Corp. (a)	11,096		44,828
Cadence Pharmaceuticals Inc. (a)	4,871		35,217
Caliper Life Sciences Inc. (a)	10,458		10,144
Cambrex Corp. (a)	6,570		30,353
Cantel Medical Corp. (a)	2,732		40,078
Capital Senior Living Corp. (a)	4,614		13,750
Caraco Pharmaceutical Laboratories Ltd. (a)	2,208		13,071
Cardiac Science Corp. (a)	4,258		31,935
CardioNet Inc. (a)	984		24,256
Catalyst Health Solutions Inc. (a)	7,241		176,318
Celera Corp. (a)	17,570		195,554
Cell Genesys Inc. (a)	18,697		4,113
Celldex Therapeutics Inc. (a)	3,272		25,914
Centene Corp. (a)	9,532		187,876
Cepheid Inc. (a)	12,508		129,833


	Shares	Value
Common Stocks (Cont.)
Health Care (Cont.)
China Sky One Medical Inc. (a)	1,622	$	25,936
Clinical Data Inc. (a)	2,270		20,203
Columbia Laboratories Inc. (a)	10,253		13,021
Computer Programs & Systems Inc.	2,152		57,674
Conceptus Inc. (a)	6,632		100,939
Conmed Corp. (a)	6,293		150,654
Corvel Corp. (a)	1,758		38,641
Cougar Biotechnology Inc. (a)	3,273		85,098
CryoLife Inc. (a)	6,105		59,280
Cubist Pharmaceuticals Inc. (a)	12,387		299,270
CV Therapeutics Inc. (a)	13,333		122,797
Cyberonics Inc. (a)	5,286		87,589
Cynosure Inc. Class A (a)	2,094		19,118
Cypress Bioscience Inc. (a)	8,234		56,321
Cytokinetics Inc. (a)	8,077		23,019
Cytori Therapeutics Inc. (a)	4,358		15,732
Datascope Corp.	2,888		150,869
Dendreon Corp. (a)	20,457		93,693
DepoMed Inc. (a)	10,518		17,355
Dexcom Inc. (a)	5,748		15,864
Discovery Laboratories Inc. (a)	21,188		23,731
Durect Corp. (a)	18,266		61,922
Dyax Corp. (a)	12,182		44,342
Eclipsys Corp. (a)	11,943		169,471
Emergency Medical Services Corp. Class A (a)	2,062		75,490
Emergent Biosolutions Inc. (a)	2,962		77,338
Emeritus Corp. (a)	4,320		43,330
Ensign Group Inc.	1,816		30,400
Enzo Biochem Inc. (a)	7,253		35,467
Enzon Pharmaceuticals Inc. (a)	9,816		57,227
eResearch Technology Inc. (a)	9,493		62,939
ev3 Inc. (a)	15,437		94,166
Exactech Inc. (a)	1,542		25,967
Exelixis Inc. (a)	23,080		115,862
Facet Biotech Corp. (a)	5,242		50,271
Five Star Quality Care Inc. (a)	6,970		10,664
Genomic Health Inc. (a)	2,995		58,343
Genoptix Inc. (a)	1,824		62,162
Gentiva Health Services Inc. (a)	5,589		163,534
Geron Corp. (a)	17,088		79,801
Greatbatch Inc. (a)	5,018		132,776
GTx Inc. (a)	4,085		68,791
Haemonetics Corp. (a)	5,652		319,338
Halozyme Therapeutics Inc. (a)	13,012		72,867
Hanger Orthopedic Group Inc. (a)	6,755		98,015
Hansen Medical Inc. (a)	3,740		27,003
Healthcare Services Group Inc.	9,449		150,523
Healthsouth Corp. (a)	19,203		210,465
Healthspring Inc. (a)	10,853		216,734
Healthways Inc. (a)	7,720		88,626
HMS Holdings Corp. (a)	5,487		172,950
Human Genome Sciences Inc. (a)	29,747		63,064


	Shares	Value
Common Stocks (Cont.)
Health Care (Cont.)
I-Flow Corp. (a)	4,736	$	22,733
ICU Medical Inc. (a)	2,610		86,495
Idenix Pharmaceuticals Inc. (a)	5,477		31,712
Idera Pharmaceuticals Inc. (a)	4,508		34,621
Immucor Inc. (a)	15,390		409,066
ImmunoGen Inc. (a)	11,414		48,966
Immunomedics Inc. (a)	14,307		24,322
Incyte Corp. (a)	16,717		63,357
Indevus Pharmaceuticals Inc. (a)	16,960		53,254
Inspire Pharmaceuticals Inc. (a)	9,249		33,296
Insulet Corp. (a)	4,023		31,058
Integra LifeSciences Holdings Corp. (a)	3,911		139,114
InterMune Inc. (a)	6,935		73,372
Invacare Corp.	7,044		109,323
IPC The Hospitalist Co. (a)	1,231		20,718
IRIS International Inc. (a)	4,038		56,290
Isis Pharmaceuticals Inc. (a)	19,906		282,267
Javelin Pharmaceuticals Inc. (a)	10,759		13,449
Jazz Pharmaceuticals Inc. (a)	1,269		2,449
Kendle International Inc. (a)	2,851		73,328
Kensey Nash Corp. (a)	1,587		30,804
Kindred Healthcare Inc. (a)	6,098		79,396
KV Pharmaceutical Co. Class A (a)	7,460		21,485
Landauer Inc.	2,040		149,532
Lexicon Pharmaceuticals Inc. (a)	17,580		24,612
LHC Group Inc. (a)	3,211		115,596
Life Sciences Research Inc. (a)	1,915		18,001
Ligand Pharmaceuticals Inc. Class B (a)	18,029		49,399
Luminex Corp. (a)	8,952		191,215
Magellan Health Services Inc. (a)	8,896		348,367
MannKind Corp. (a)	11,448		39,267
MAP Pharmaceuticals Inc. (a)	1,706		11,908
Marshall Edwards Inc. (a)	4,186		2,930
Martek Biosciences Corp. (a)	7,220		218,838
Masimo Corp. (a)	10,122		301,939
Maxygen Inc. (a)	4,923		43,913
Medarex Inc. (a)	28,035		156,435
MedAssets Inc. (a)	3,348		48,881
Medcath Corp. (a)	3,490		36,436
Medical Action Industries Inc. (a)	3,253		32,530
Medicines Co. (a)	11,425		168,290
Medicis Pharmaceutical Corp.	12,399		172,346
Medivation Inc. (a)	5,592		81,475
Mentor Corp.	7,433		229,903
Meridian Bioscience Inc.	8,822		224,696
Merit Medical Systems Inc. (a)	6,164		110,521
Metabolix Inc. (a)	4,159		52,902
Micrus Endovascular Corp. (a)	3,408		39,567
MiddleBrook Pharmaceuticals Inc. (a)	7,842		11,763
Molecular Insight Pharmaceuticals Inc. (a)	3,868		16,632
Molina Healthcare Inc. (a)	3,187		56,123
Momenta Pharmaceuticals Inc. (a)	5,713		66,271


	Shares	Value
Common Stocks (Cont.)
Health Care (Cont.)
Myriad Genetics Inc. (a)	9,809	$	649,944
Nabi Biopharmaceuticals (a)	11,390		38,157
Nanosphere Inc. (a)	2,818		13,414
National Healthcare Corp.	1,863		94,342
National Research Corp.	371		10,744
Natus Medical Inc. (a)	6,053		78,386
Nektar Therapeutics (a)	20,275		112,729
Neogen Corp. (a)	3,162		78,987
Neurocrine Biosciences Inc. (a)	8,635		27,632
Nighthawk Radiology Holdings Inc. (a)	5,496		26,711
Novavax Inc. (a)	11,410		21,565
Noven Pharmaceuticals Inc. (a)	5,444		59,884
NPS Pharmaceuticals Inc. (a)	10,344		64,236
NuVasive Inc. (a)	7,815		270,790
NxStage Medical Inc. (a)	4,142		11,059
Obagi Medical Products Inc. (a)	3,884		28,975
Odyssey HealthCare Inc. (a)	7,191		66,517
Omnicell Inc. (a)	7,276		88,840
Onyx Pharmaceuticals Inc. (a)	12,213		417,196
Opko Health Inc. (a)	10,460		16,945
Optimer Pharmaceuticals Inc. (a)	5,301		64,195
OraSure Technologies Inc. (a)	10,350		38,088
Orexigen Therapeutics Inc. (a)	4,388		24,485
Orthofix International NV (a)	3,752		57,518
Orthovita Inc. (a)	14,487		49,111
OSI Pharmaceuticals Inc. (a)	12,569		490,819
Osiris Therapeutics Inc. (a)	3,287		62,979
Owens & Minor Inc.	9,035		340,168
Pain Therapeutics Inc. (a)	7,727		45,744
Palomar Medical Technologies Inc. (a)	4,226		48,726
Par Pharmaceutical Companies Inc. (a)	7,583		101,688
Parexel International Corp. (a)	12,439		120,783
PDL BioPharma Inc.	26,214		162,003
Pharmanet Development Group Inc. (a)	4,240		3,858
Pharmasset Inc. (a)	3,433		45,007
PharMerica Corp. (a)	6,680		104,676
Phase Forward Inc. (a)	9,397		117,650
Pozen Inc. (a)	5,665		28,552
Progenics Pharmaceuticals Inc. (a)	5,845		60,262
Protalix BioTherapeutics Inc. (a)	2,332		4,291
PSS World Medical Inc. (a)	13,614		256,215
Psychiatric Solutions Inc. (a)	12,179		339,185
Quality Systems Inc.	3,843		167,632
Questcor Pharmaceuticals Inc. (a)	11,843		110,258
Quidel Corp. (a)	6,319		82,589
Radnet Inc. (a)	4,669		15,641
Regeneron Pharmaceuticals Inc. (a)	13,624		250,137
RehabCare Group Inc. (a)	4,003		60,685
Repligen Corp. (a)	6,799		25,700
Res-Care Inc. (a)	5,445		81,784
Rexahn Pharmaceuticals Inc. (a)	6,378		5,676
Rigel Pharmaceuticals Inc. (a)	8,013		64,104
RTI Biologics Inc. (a)	11,797		32,560


	Shares	Value
Common Stocks (Cont.)
Health Care (Cont.)
Salix Pharmaceuticals Ltd. (a)	10,477	$	92,512
Sangamo BioSciences Inc. (a)	8,033		27,955
Savient Pharmaceuticals Inc. (a)	11,914		68,982
Seattle Genetics Inc. (a)	13,298		118,884
Sequenom Inc. (a)	12,833		254,607
Sirona Dental Systems Inc. (a)	3,705		38,903
Skilled Healthcare Group Inc. Class A (a)	3,845		32,452
Somanetics Corp. (a)	2,819		46,542
SonoSite Inc. (a)	3,689		70,386
Spectranetics Corp. (a)	7,119		18,581
Stereotaxis Inc. (a)	6,177		27,179
STERIS Corp.	12,869		307,440
Sucampo Pharmaceuticals Inc. (a)	1,995		11,471
Sun Healthcare Group Inc. (a)	9,521		84,261
Sunrise Senior Living Inc. (a)	9,860		16,565
SurModics Inc. (a)	3,384		85,514
Symmetry Medical Inc. (a)	7,788		62,070
Synovis Life Technologies Inc. (a)	2,731		51,179
Synta Pharmaceuticals Corp. (a)	3,657		22,381
Targacept Inc. (a)	3,967		14,123
Theravance Inc. (a)	11,364		140,800
Thoratec Corp. (a)	11,966		388,775
TomoTherapy Inc. (a)	8,980		21,372
TranS1 Inc. (a)	2,672		19,265
Triple-S Management Corp. Class B (a)	3,110		35,765
U.S. Physical Therapy Inc. (a)	2,600		34,658
United Therapeutics Corp. (a)	4,948		309,497
Valeant Pharmaceuticals International (a)	13,975		320,028
ViroPharma Inc. (a)	16,001		208,333
Virtual Radiologic Corp. (a)	1,526		12,940
Vision-Sciences Inc. (a)	3,669		5,614
Vital Images Inc. (a)	3,822		53,164
VIVUS Inc. (a)	15,147		80,582
Vnus Medical Technologies (a)	2,852		46,259
Volcano Corp. (a)	10,363		155,445
West Pharmaceutical Services Inc.	7,103		268,280
Wright Medical Group Inc. (a)	8,165		166,811
Xenoport Inc. (a)	5,521		138,467
XOMA Ltd. (a)	29,153		18,075
Zoll Medical Corp. (a)	4,589		86,686
ZymoGenetics Inc. (a)	8,495		25,485

			24,540,672

Materials & Processes (7.78%)
A. Schulman Inc.	5,950		101,150
Aaon Inc.	2,941		61,408
AbitibiBowater Inc. (a)	11,248		5,287
Aceto Corp.	5,355		53,604
Acuity Brands Inc.	8,923		311,502
AEP Industries Inc. (a)	1,269		22,309
AgFeed Industries Inc. (a)	4,353		7,008


	Shares	Value
Common Stocks (Cont.)
Materials & Processes (Cont.)
Alico Inc.	831	$	34,063
Allied Nevada Gold Corp. (a)	9,874		49,962
AM Castle & Co.	3,623		39,237
AMCOL International Corp.	5,665		118,682
American Vanguard Corp.	3,937		46,063
Ameron International Corp.	2,014		126,721
Ampco-Pittsburgh Corp.	1,816		39,407
AMREP Corp. (a)	461		14,420
Apex Silver Mines Ltd. (a)	12,927		12,668
Apogee Enterprises Inc.	6,351		65,796
Arch Chemicals Inc.	5,461		142,368
Balchem Corp.	3,977		99,067
Barnes Group Inc.	10,508		152,366
Beacon Roofing Supply Inc. (a)	9,721		134,927
Bluegreen Corp. (a)	2,821		8,830
Boise Inc. (a)	8,573		3,686
Brookfield Homes Corp.	2,200		9,504
Brush Engineered Materials Inc. (a)	4,477		56,947
Buckeye Technologies Inc. (a)	8,600		31,304
Builders Firstsource Inc. (a)	3,994		6,111
Bway Holding Co. (a)	1,629		12,967
Cabot Microelectronics Corp. (a)	5,154		134,365
Cadiz Inc. (a)	2,725		34,090
Cal Dive International Inc. (a)	9,713		63,232
Calavo Growers Inc.	2,269		26,094
Calgon Carbon Corp. (a)	10,862		166,840
Ceradyne Inc. (a)	5,840		118,610
China Architectural Engineering Inc. (a)	4,082		10,042
China BAK Battery Inc. (a)	6,616		10,718
China Precision Steel Inc. (a)	3,747		4,684
CIRCOR International Inc.	3,697		101,668
Clarcor Inc.	11,095		368,132
Clean Harbors Inc. (a)	4,342		275,456
Clearwater Paper Corp. (a)	2,473		20,748
Coeur d’Alene Mines Corp. (a)	121,044		106,519
Cogdell Spencer Inc.	2,311		21,631
Comfort Systems USA Inc.	8,807		93,354
Compass Minerals International Inc.	7,120		417,659
Deltic Timber Corp.	2,310		105,682
Drew Industries Inc. (a)	4,323		51,876
Dycom Industries Inc. (a)	8,883		73,018
Dynamic Materials Corp.	2,766		53,411
EMCOR Group Inc. (a)	14,912		334,476
Encore Wire Corp.	4,008		75,992
Energy Conversion Devices Inc. (a)	9,870		248,823
EnerSys (a)	6,038		66,418
ENGlobal Corp. (a)	5,939		19,302
Exide Technologies (a)	16,531		87,449
Ferro Corp.	9,601		67,687
Forestar Group Inc. (a)	7,823		74,475
Furmanite Corp. (a)	7,989		43,061
General Moly Inc. (a)	13,772		16,251
General Steel Holdings Inc. (a)	2,356		9,283


	Shares	Value
Common Stocks (Cont.)
Materials & Processes (Cont.)
Gibraltar Industries Inc.	5,901	$	70,458
Glatfelter	9,933		92,377
GrafTech International Ltd. (a)	26,224		218,184
Granite Construction Inc.	7,334		322,183
Graphic Packaging Holding Co. (a)	31,708		36,147
Great Lakes Dredge & Dock Co.	8,729		36,225
Griffin Land & Nurseries Inc.	730		26,908
Griffon Corp. (a)	9,573		89,316
Haynes International Inc. (a)	2,616		64,406
HB Fuller Co.	10,649		171,555
Hecla Mining Co. (a)	32,467		90,908
Hexcel Corp. (a)	21,082		155,796
Hill International Inc. (a)	5,140		36,186
Hilltop Holdings Inc. (a)	9,918		96,601
Horsehead Holding Corp. (a)	7,664		36,021
HQ Sustainable Maritime Industries Inc. (a)	1,456		11,400
ICO Inc. (a)	6,068		19,175
Innerworkings Inc. (a)	6,938		45,444
Innophos Holdings Inc.	2,296		45,484
Innospec Inc.	5,134		30,239
Insituform Technologies Inc. (a)	6,095		120,011
Insteel Industries Inc.	3,948		44,573
Integrated Electrical Services Inc. (a)	1,701		14,901
Interline Brands Inc. (a)	7,110		75,579
Kaiser Aluminum Corp.	3,463		77,987
Kapstone Paper and Packaging Corp. (a)	3,921		9,332
Kaydon Corp.	7,047		242,064
Koppers Holdings Inc.	4,576		98,933
L.B. Foster Co. (a)	2,480		77,574
Ladish Co. Inc. (a)	2,978		41,245
Landec Corp. (a)	5,095		33,525
Layne Christensen Co. (a)	4,213		101,154
Louisiana-Pacific Corp.	22,688		35,393
LSB Industries Inc. (a)	3,811		31,708
LSI Industries Inc.	4,226		29,033
Lumber Liquidators Inc. (a)	2,054		21,690
Lydall Inc. (a)	3,636		20,907
Medis Technologies Ltd. (a)	6,322		2,845
Mercer International Inc.-SBI (a)	6,736		12,933
Michael Baker Corp. (a)	1,663		61,381
Minerals Technologies Inc.	4,151		169,776
Mueller Industries Inc.	8,152		204,452
Mueller Water Products Inc.	25,291		212,444
Multi-Color Corp.	2,151		34,029
Myers Industries Inc.	6,295		50,360
NCI Building Systems Inc. (a)	4,334		70,644
Neenah Paper Inc.	3,284		29,031
NewMarket Corp.	2,961		103,369
NL Industries Inc.	1,462		19,591
NN Inc.	3,475		7,958
Northwest Pipe Co. (a)	2,008		85,561
Olin Corp.	16,425		296,964


	Shares	Value
Common Stocks (Cont.)
Materials & Processes (Cont.)
Olympic Steel Inc.	1,978	$	40,292
OM Group Inc. (a)	6,709		141,627
Omega Flex Inc.	677		14,176
Orion Marine Group Inc. (a)	4,731		45,701
Penford Corp.	2,461		24,905
Perini Corp. (a)	11,035		257,998
PolyOne Corp. (a)	20,715		65,252
Polypore International Inc. (a)	3,497		26,437
Quaker Chemical Corp.	2,253		37,062
Quanex Building Products Corp.	8,146		76,328
Raven Industries Inc.	3,514		84,687
RBC Bearings Inc. (a)	4,784		97,020
Resource Capital Corp.	4,351		16,664
Rock-Tenn Co. Class A	8,374		286,223
Rockwood Holdings Inc. (a)	9,160		98,928
Royal Gold Inc.	6,423		316,076
RTI International Metals Inc. (a)	5,050		72,266
Schweitzer-Mauduit International Inc.	3,506		70,190
ShengdaTech Inc. (a)	6,863		24,158
Silgan Holdings Inc.	5,540		264,867
Simpson Manufacturing Co. Inc.	8,175		226,938
Solutia Inc. (a)	20,709		93,191
Spartech Corp.	6,477		40,546
Stepan Co.	1,373		64,517
Sterling Construction Company Inc. (a)	2,528		46,869
Stillwater Mining Co. (a)	8,958		44,253
Stratus Properties Inc. (a)	1,357		16,908
Sutor Technology Group Ltd. (a)	1,659		3,832
Symyx Technologies Inc. (a)	7,428		44,122
Tejon Ranch Co. (a)	2,443		60,440
Texas Industries Inc.	5,135		177,157
The Andersons Inc.	3,975		65,508
Thomas Properties Group Inc.	5,229		13,543
Tredegar Corp.	5,292		96,209
Trex Co. Inc. (a)	3,325		54,730
TriMas Corp. (a)	2,706		3,734
U.S. Concrete Inc. (a)	8,711		29,269
Ultralife Corp. (a)	2,749		36,864
Unifi Inc. (a)	9,869		27,831
United States Lime & Minerals Inc. (a)	389		9,317
Universal Forest Products Inc.	3,647		98,141
Universal Stainless & Alloy Products Inc. (a)	1,469		21,286
Uranium Resources Inc. (a)	10,501		8,086
USEC Inc. (a)	24,413		109,614
Valence Technology Inc. (a)	11,109		20,218
Verso Paper Corp.	3,062		3,154
VSE Corp.	876		34,365
Watsco Inc.	5,132		197,069
Wausau Paper Corp.	9,677		110,705
Westlake Chemical Corp.	4,205		68,499
Worthington Industries Inc.	14,138		155,801
WR Grace & Co. (a)	15,845		94,595


	Shares	Value
Common Stocks (Cont.)
Materials & Processes (Cont.)
Xerium Technologies Inc. (a)	4,525	$	2,987
Zoltek Companies Inc. (a)	6,044		54,336

			13,395,861

Oil & Gas (3.61%)
Abraxas Petroleum Corp. (a)	9,202		6,625
Akeena Solar Inc. (a)	4,569		7,859
Allis-Chalmers Energy Inc. (a)	6,151		33,831
Alon USA Energy Inc.	2,813		25,739
American Oil & Gas Inc. (a)	8,032		6,426
APCO Argentina Inc.	841		22,396
Approach Resources Inc. (a)	2,016		14,737
Arena Resources Inc. (a)	8,317		233,625
ATP Oil & Gas Corp. (a)	6,104		35,708
Aventine Renewable Energy Holdings Inc. (a)	6,323		4,110
Basic Energy Services Inc. (a)	9,064		118,195
Berry Petroleum Co.	9,381		70,920
Bill Barrett Corp. (a)	8,049		170,075
BMB Munai Inc. (a)	8,181		11,372
Bolt Technology Corp. (a)	1,889		13,147
BPZ Resources Inc. (a)	13,167		84,269
Brigham Exploration Co. (a)	10,107		32,342
Bronco Drilling Co. Inc. (a)	5,767		37,255
Callon Petroleum Co. (a)	4,552		11,835
Cano Petroleum Inc. (a)	8,489		3,735
Capstone Turbine Corp. (a)	31,970		26,855
CARBO Ceramics Inc.	4,511		160,276
Carrizo Oil & Gas Inc. (a)	6,005		96,681
Cheniere Energy Inc. (a)	10,644		30,335
Clayton Williams Energy Inc. (a)	1,187		53,937
Clean Energy Fuels Corp. (a)	4,779		28,865
Complete Production Services Inc. (a)	10,548		85,966
Comstock Resources Inc. (a)	10,011		473,020
Concho Resources Inc. (a)	12,133		276,875
Contango Oil & Gas Co. (a)	2,887		162,538
CVR Energy Inc. (a)	5,049		20,196
Dawson Geophysical Co. (a)	1,697		30,224
Delek US Holdings Inc.	2,909		15,389
Delta Petroleum Corp. (a)	13,658		65,012
Double Eagle Petroleum Co. (a)	1,787		12,545
Dril-Quip Inc. (a)	6,797		139,406
Endeavour International Corp. (a)	24,933		12,467
Energy Partners Ltd. (a)	7,006		9,458
Energy XXI Bermuda Ltd.	25,855		20,425
Evergreen Solar Inc. (a)	31,471		100,392
EXCO Resources Inc. (a)	32,734		296,570
Flotek Industries Inc. (a)	4,793		12,078
FuelCell Energy Inc. (a)	15,057		58,421
FX Energy Inc. (a)	9,399		26,223
Gasco Energy Inc. (a)	20,567		8,021
GeoGlobal Resources Inc. (a)	8,298		13,277


	Shares	Value
Common Stocks (Cont.)
Oil & Gas (Cont.)
Geokinetics Inc. (a)	1,051	$	2,596
Geomet Inc. (a)	3,972		6,832
GeoResources Inc. (a)	1,202		10,445
GMX Resources Inc. (a)	3,662		92,722
Goodrich Petroleum Corp. (a)	4,906		146,935
Gran Tierra Energy Inc. (a)	44,963		125,896
Gulf Island Fabrication Inc.	2,673		38,518
Gulfport Energy Corp. (a)	5,755		22,732
Harvest Natural Resources Inc. (a)	7,698		33,101
Hornbeck Offshore Services Inc. (a)	5,093		83,220
Houston American Energy Corp.	3,263		11,029
ION Geophysical Corp. (a)	18,581		63,733
James River Coal Co. (a)	5,565		85,311
Lufkin Industries Inc.	3,249		112,091
Matrix Service Co. (a)	5,709		43,788
McMoRan Exploration Co. (a)	13,173		129,095
Meridian Resource Corp. (a)	17,737		10,110
Mitcham Industries Inc. (a)	2,146		8,520
NATCO Group Inc. (a)	4,393		66,686
National Coal Corp. (a)	5,629		7,149
Natural Gas Services Group (a)	2,653		26,875
Newpark Resources Inc. (a)	19,731		73,005
Northern Oil and Gas Inc. (a)	4,301		11,183
Oilsands Quest Inc. (a)	38,479		28,090
Pacific Ethanol Inc. (a)	9,909		4,360
Panhandle Oil & Gas Inc.	1,605		28,890
Parallel Petroleum Corp. (a)	9,089		18,269
Parker Drilling Co. (a)	24,814		71,961
Penn Virginia Corp.	9,140		237,457
PetroCorp Inc. (a) (b)	745		0
Petroleum Development Corp. (a)	3,263		78,540
Petroquest Energy Inc. (a)	9,529		64,416
Pioneer Drilling Co. (a)	10,938		60,925
Plug Power Inc. (a)	17,557		17,908
PowerSecure International Inc. (a)	3,699		12,170
Precision Drilling Trust	6,683		56,070
PrimeEnergy Corp. (a)	201		10,442
Quest Resource Corp. (a)	5,793		2,549
RAM Energy Resources Inc. (a)	7,900		6,952
Rex Energy Corp. (a)	3,679		10,816
Rosetta Resources Inc. (a)	11,300		80,004
RPC Inc.	6,496		63,401
Stone Energy Corp. (a)	6,958		76,677
SulphCo Inc. (a)	11,658		10,959
Superior Well Services Inc. (a)	3,625		36,250
Swift Energy Co. (a)	6,711		112,812
T-3 Energy Services Inc. (a)	2,741		25,875
Teekay Tankers Ltd. Class A	3,042		38,633
Tetra Tech Inc. (a)	12,930		312,260
Toreador Resources Corp. (a)	3,701		20,318
Tri-Valley Corp. (a)	4,911		8,840
Trico Marine Services Inc. (a)	2,784		12,444
TXCO Resources Inc. (a)	7,692		11,461


	Shares	Value
Common Stocks (Cont.)
Oil & Gas (Cont.)
U.S. Geothermal Inc. (a)	13,576	$	11,268
Union Drilling Inc. (a)	3,080		15,985
VAALCO Energy Inc. (a)	13,284		98,833
Venoco Inc. (a)	4,444		12,043
Warren Resources Inc. (a)	12,801		25,474
Western Refining Inc.	6,553		50,851
Westmoreland Coal Co. (a)	2,081		23,099
Willbros Group Inc. (a)	8,534		72,283

			6,220,810

Technology (12.37%)
3Com Corp (a)	88,568		201,935
3D Systems Corp. (a)	3,684		29,251
3PAR Inc. (a)	5,969		45,543
ACI Worldwide Inc. (a)	7,497		119,202
Acme Packet Inc. (a)	5,956		31,329
Actel Corp. (a)	5,550		65,046
Actuate Corp. (a)	13,267		39,270
Acxiom Corp.	13,417		108,812
Adaptec Inc. (a)	26,539		87,579
Adtran Inc.	12,342		183,649
Advanced Analogic Technologies Inc. (a)	10,005		30,215
Advanced Battery Technologies Inc. (a)	9,103		24,214
Agilysys Inc.	4,990		21,407
American Reprographics Co. (a)	7,995		55,165
American Science & Engineering Inc.	1,994		147,476
American Software Inc. Class A	4,929		23,166
Amkor Technology Inc. (a)	23,948		52,207
ANADIGICS Inc. (a)	13,989		20,704
Anaren Inc. (a)	3,472		41,490
Anixter International Inc. (a)	6,563		197,678
Applied Micro Circuits Corp. (a)	14,723		57,861
Applied Signal Technology Inc.	2,758		49,479
ArcSight Inc. (a)	1,430		11,454
Ariba Inc. (a)	18,782		135,418
Art Technology Group Inc. (a)	28,418		54,847
Aruba Networks Inc. (a)	11,470		29,248
AsiaInfo Holdings Inc. (a)	7,602		90,008
Atheros Communications (a)	13,037		186,559
AuthenTec Inc. (a)	5,493		9,173
Avanex Corp. (a)	2,946		3,093
Avid Technology Inc. (a)	6,630		72,333
Avocent Corp. (a)	9,956		178,312
Bel Fuse Inc.	2,600		55,120
Benchmark Electronics Inc. (a)	14,828		189,354
BigBand Networks Inc. (a)	7,200		39,744
Black Box Corp.	3,846		100,458
Blackbaud Inc.	9,824		132,624
Blackboard Inc. (a)	6,796		178,259
Blue Coat Systems Inc. (a)	7,272		61,085
Bookham Inc. (a)	22,078		9,935
Bottomline Technologies Inc. (a)	4,908		34,847


	Shares	Value
Common Stocks (Cont.)
Technology (Cont.)
CACI International Inc. (a)	6,617	$	298,361
Callidus Software Inc. (a)	6,597		19,725
Cavium Networks Inc. (a)	6,650		69,891
Cbeyond Inc. (a)	5,256		83,991
CEVA Inc. (a)	4,410		30,870
Checkpoint Systems Inc. (a)	8,712		85,726
China Fire & Security Group Inc. (a)	3,062		20,852
China Information Security Technology Inc. (a)	5,014		18,050
China Security & Surveillance Technology Inc. (a)	5,897		26,124
Chordiant Software Inc. (a)	6,542		17,402
Ciber Inc. (a)	11,765		56,590
Cirrus Logic Inc. (a)	14,264		38,228
Cogent Communications Group Inc. (a)	10,511		68,637
Cogent Inc. (a)	8,911		120,922
Cogo Group Inc. (a)	5,648		27,449
Coherent Inc. (a)	5,188		111,334
Coleman Cable Inc. (a)	1,615		7,316
Commvault Systems Inc. (a)	9,390		125,920
Compellent Technologies Inc. (a)	3,093		30,095
comScore Inc. (a)	3,945		50,299
COMSYS IT Partners Inc. (a)	3,725		8,344
Comtech Telecommunications Corp. (a)	5,320		243,762
Comverge Inc. (a)	4,786		23,451
Concur Technologies Inc. (a)	9,468		310,740
Constant Contact Inc. (a)	4,460		59,095
CPI International Inc. (a)	2,080		18,013
Cray Inc. (a)	7,541		15,685
CSG Systems International Inc. (a)	7,866		137,419
Cubic Corp.	3,419		92,997
Daktronics Inc.	7,201		67,401
Data Domain Inc. (a)	7,256		136,413
DealerTrack Holdings Inc. (a)	9,362		111,314
Deltek Inc. (a)	2,751		12,765
DemandTec Inc. (a)	4,299		34,693
Digi International Inc. (a)	5,725		46,430
Digimarc Corp. (a)	1,267		12,695
Digital River Inc. (a)	8,157		202,294
Diodes Inc. (a)	6,434		38,990
DivX Inc. (a)	5,905		30,883
Double-Take Software Inc. (a)	3,787		33,969
DSP Group Inc. (a)	5,341		42,835
Ebix Inc. (a)	1,332		31,835
Echelon Corp. (a)	6,506		53,024
Electronics for Imaging Inc. (a)	11,999		114,710
EMS Technologies Inc. (a)	3,468		89,717
Emulex Corp. (a)	18,539		129,402
Ener1 Inc. (a)	7,877		56,321
EnergySolutions Inc.	7,293		41,205
Entropic Communications Inc. (a)	1,996		998
Entrust Inc. (a)	13,426		21,213
Epicor Software Corp. (a)	13,021		62,501


	Shares	Value
Common Stocks (Cont.)
Technology (Cont.)
EPIQ Systems Inc. (a)	7,762	$	129,703
Exar Corp. (a)	8,208		54,747
Extreme Networks Inc. (a)	19,384		45,359
FalconStor Software Inc. (a)	8,374		23,280
Finisar Corp. (a)	87,130		33,109
Formfactor Inc. (a)	10,725		156,585
Gartner Inc. (a)	13,012		232,004
GeoEye Inc. (a)	3,948		75,920
Gerber Scientific Inc. (a)	5,396		27,574
Globecomm Systems Inc. (a)	4,418		24,255
Guidance Software Inc. (a)	2,035		8,303
Hackett Group Inc. (a)	9,027		26,359
Harmonic Inc. (a)	20,675		115,987
Harris Stratex Networks Inc. Class A (a)	5,618		28,989
Herley Industries Inc. (a)	2,959		36,337
Hittite Microwave Corp. (a)	4,291		126,413
Hughes Communications Inc. (a)	1,575		25,105
Hutchinson Technology Inc. (a)	5,357		18,642
Hypercom Corp. (a)	11,708		12,645
i2 Technologies Inc. (a)	3,492		22,314
ICx Technologies Inc. (a)	2,993		23,675
iGate Corp. (a)	4,500		29,295
II-VI Inc. (a)	5,363		102,380
Imation Corp.	6,564		89,073
Immersion Corp. (a)	6,848		40,335
Informatica Corp. (a)	19,447		267,007
Integral Systems Inc. (a)	3,724		44,874
Interactive Intelligence Inc. (a)	3,042		19,499
Intermec Inc. (a)	13,524		179,599
Internet Brands Inc. (a)	4,853		28,244
Internet Capital Group Inc. (a)	8,492		46,281
Interwoven Inc. (a)	9,999		125,987
IPG Photonics Corp. (a)	4,217		55,580
iRobot Corp. (a)	3,923		35,425
Isilon Systems Inc. (a)	5,384		17,713
Ixia (a)	9,657		55,817
IXYS Corp.	5,453		45,042
j2 Global Communications Inc. (a)	9,980		199,999
Jack Henry & Associates Inc.	16,511		320,478
JDA Software Group Inc. (a)	5,649		74,171
Kemet Corp. (a)	18,425		4,975
Keynote Systems Inc. (a)	3,178		24,502
Kopin Corp. (a)	15,119		30,843
L-1 Identity Solutions Inc. (a)	14,299		96,375
LaBarge Inc. (a)	2,670		38,314
Lantronix Inc. Warrants (a) (b)	73		0
Lattice Semiconductor Corp. (a)	25,275		38,165
Lawson Software Inc. (a)	25,886		122,700
Limelight Networks Inc. (a)	6,300		15,435
Loral Space & Communications Inc. (a)	2,658		38,621
Macrovision Solutions Corp. (a)	18,115		229,155
Magma Design Automation Inc. (a)	9,274		9,459
Manhattan Associates Inc. (a)	5,471		86,497


	Shares	Value
Common Stocks (Cont.)
Technology (Cont.)
ManTech International Corp. (a)	4,509	$	244,343
Maxwell Technologies Inc. (a)	3,998		20,270
Mentor Graphics Corp. (a)	19,942		103,100
Mercadolibre Inc. (a)	5,596		91,830
Mercury Computer Systems Inc. (a)	4,775		30,130
Methode Electronics Inc.	8,339		56,205
Micrel Inc.	11,154		81,536
MICROS Systems Inc. (a)	17,897		292,079
Microsemi Corp. (a)	17,279		218,407
MicroStrategy Inc. (a)	2,013		74,743
Microtune Inc. (a)	12,142		24,770
Microvision Inc. (a)	12,432		20,886
MIPS Technologies Inc. (a)	9,823		10,904
ModusLink Global Solutions Inc. (a)	10,924		31,570
Monolithic Power Systems Inc. (a)	5,730		72,255
Monotype Imaging Holdings Inc. (a)	3,300		19,140
MRV Communications Inc. (a)	35,334		27,207
MSC.Software Corp. (a)	9,866		65,905
MTS Systems Corp.	3,851		102,591
Multi-Fineline Electronix Inc. (a)	2,048		23,941
NCI Inc. (a)	1,424		42,905
Ness Technologies Inc. (a)	8,607		36,838
Netezza Corp. (a)	8,657		57,482
Netgear Inc. (a)	7,760		88,542
Netlogic Microsystems Inc. (a)	3,754		82,626
NetScout Systems Inc. (a)	6,464		55,720
NetSuite Inc. (a)	1,482		12,508
Newport Corp. (a)	7,901		53,569
Nextwave Wireless Inc. (a)	10,619		956
Novatel Wireless Inc. (a)	7,111		32,995
NVE Corp. (a)	1,016		26,548
Omniture Inc. (a)	13,706		145,832
Omnivision Technologies Inc. (a)	11,645		61,136
OpenTV Corp. Class A (a)	18,441		22,682
Oplink Communications Inc. (a)	4,561		39,225
OPNET Technologies Inc. (a)	2,883		28,426
OSI Systems Inc. (a)	3,479		48,184
PAETEC Holding Corp. (a)	27,142		39,084
Palm Inc. (a)	23,545		72,283
Parametric Technology Corp. (a)	25,303		320,083
Park Electrochemical Corp.	4,468		84,713
PC-Tel Inc.	4,573		30,045
Pegasystems Inc.	3,160		39,058
Pericom Semiconductor Corp. (a)	4,849		26,573
Perot Systems Corp. (a)	19,000		259,730
Phoenix Technologies Ltd. (a)	6,035		21,122
Plexus Corp. (a)	8,756		148,414
PLX Technology Inc. (a)	6,334		10,894
PMC-Sierra Inc. (a)	48,056		233,552
Polycom Inc. (a)	19,238		259,905
Power Integrations Inc.	6,678		132,759
Progress Software Corp. (a)	9,123		175,709
PROS Holdings Inc. (a)	2,817		16,198


	Shares	Value
Common Stocks (Cont.)
Technology (Cont.)
QAD Inc.	2,688	$	11,263
Quantum Corp. (a)	45,082		16,230
Quest Software Inc. (a)	15,893		200,093
Rackable Systems Inc. (a)	6,504		25,626
Rackspace Hosting Inc. (a)	3,798		20,433
Radiant Systems Inc. (a)	6,065		20,439
Radisys Corp. (a)	5,036		27,849
RealNetworks Inc. (a)	20,392		71,984
RF Micro Devices Inc. (a)	57,781		45,069
RightNow Technologies Inc. (a)	6,101		47,161
Rimage Corp. (a)	2,095		28,094
Riverbed Technology Inc. (a)	12,317		140,291
Rogers Corp. (a)	3,938		109,358
Rubicon Technology Inc. (a)	2,906		12,380
S1 Corp. (a)	11,074		87,374
Safeguard Scientifics Inc. (a)	27,888		19,243
Sanmina-SCI Corp. (a)	116,602		54,803
Sapient Corp. (a)	19,278		85,594
SAVVIS Inc. (a)	8,250		56,842
ScanSource Inc. (a)	5,771		111,207
SeaChange International Inc. (a)	6,767		48,790
Semtech Corp. (a)	13,560		152,821
Sigma Designs Inc. (a)	5,833		55,413
Silicon Image Inc. (a)	16,114		67,679
Silicon Storage Technology Inc. (a)	19,095		43,728
SiRF Technology Holdings Inc. (a)	13,448		17,213
Skyworks Solutions Inc. (a)	35,815		198,415
Smart Modular Technologies (WWH) Inc. (a)	10,040		15,462
Smith Micro Software Inc. (a)	6,799		37,802
Solera Holdings Inc. (a)	11,336		273,198
SonicWALL Inc. (a)	13,461		53,575
Sonus Networks Inc. (a)	44,819		70,814
Sourcefire Inc. (a)	4,382		24,539
Spansion Inc. Class A (a)	27,983		5,297
SPSS Inc. (a)	3,920		105,683
SRA International Inc. (a)	9,341		161,132
Standard Microsystems Corp. (a)	4,997		81,651
Stanley Inc. (a)	1,937		70,158
Starent Networks Corp. (a)	6,528		77,879
STEC Inc. (a)	6,899		29,390
Stratasys Inc. (a)	4,529		48,687
SuccessFactors Inc. (a)	5,013		28,775
Super Micro Computer Inc. (a)	4,843		30,656
Supertex Inc. (a)	2,456		58,969
SupportSoft Inc. (a)	10,133		22,597
Switch & Data Facilities Co. (a)	4,503		33,277
Sybase Inc. (a)	17,422		431,543
Sycamore Networks Inc. (a)	41,989		112,950
Sykes Enterprises Inc. (a)	7,308		139,729
Synaptics Inc. (a)	7,494		124,101
Synchronoss Technologies Inc. (a)	4,810		51,275
Syniverse Holdings Inc. (a)	11,271		134,576


	Shares	Value
Common Stocks (Cont.)
Technology (Cont.)
SYNNEX Corp. (a)	3,819	$	43,269
Syntel Inc.	2,831		65,453
Taleo Corp. (a)	5,708		44,694
TechTarget (a)	3,046		13,159
Techwell Inc. (a)	3,392		22,048
Tekelec (a)	14,326		191,109
TeleCommunication Systems Inc. Class A (a)	7,369		63,300
Terremark Worldwide Inc. (a)	11,595		45,105
TerreStar Corp. (a)	12,747		5,099
Tessera Technologies Inc. (a)	10,622		126,189
TIBCO Software Inc. (a)	40,965		212,608
Transmeta Corp. (a)	2,662		48,448
Trident Microsystems Inc. (a)	13,375		25,279
TriQuint Semiconductor Inc. (a)	31,487		108,315
TTM Technologies Inc. (a)	9,372		48,828
Tyler Technologies Inc. (a)	8,346		99,985
Ultimate Software Group Inc. (a)	5,412		79,015
Unica Corp. (a)	3,054		16,736
Universal Display Corp. (a)	6,346		59,970
UTStarcom Inc. (a)	24,256		44,874
Varian Inc. (a)	6,489		217,446
VASCO Data Security International Inc. (a)	5,668		58,550
VeriFone Holdings Inc. (a)	15,006		73,529
ViaSat Inc. (a)	5,562		133,933
Vignette Corp. (a)	5,805		54,625
Virtusa Corp. (a)	1,924		10,851
Vocus Inc. (a)	3,527		64,227
Volterra Semiconductor Corp. (a)	5,564		39,783
Vonage Holdings Corp. (a)	12,878		8,499
Web.com Group Inc. (a)	6,057		22,169
Websense Inc. (a)	9,913		148,398
Wind River Systems Inc. (a)	15,815		142,809
Zoran Corp. (a)	11,375		77,691

			21,285,798

Telecommunications (0.97%)
Airvana Inc. (a)	5,273		32,271
Alaska Communications Systems Group Inc.	9,509		89,194
Atlantic Tele-Network Inc.	2,074		55,065
Centennial Communications Corp. (a)	14,785		119,167
Cincinnati Bell Inc. (a)	53,607		103,461
Consolidated Communications Holdings Inc.	5,131		60,956
FairPoint Communications Inc.	19,550		64,124
FiberTower Corp. (a)	26,354		4,217
General Communication Inc. Class A (a)	9,939		80,407
Global Crossing Ltd. (a)	5,749		45,647
Globalstar Inc. (a)	9,174		1,835
Hungarian Telephone & Cable Corp. (a)	1,050		9,030


	Shares	Value
Common Stocks (Cont.)
Telecommunications (Cont.)
iBasis Inc. (a)	6,638	$	9,360
ICO Global Communications Holdings Ltd. (a)	22,719		25,672
IDT Corp. Class B (a)	10,343		4,137
Infinera Corp. (a)	20,381		182,614
Iowa Telecommunications Services Inc.	7,019		100,231
iPCS Inc. (a)	3,864		26,507
Neutral Tandem Inc. (a)	3,653		59,252
NTELOS Holdings Corp.	6,565		161,893
Orbcomm Inc. (a)	6,927		14,962
Premiere Global Services Inc. (a)	13,587		116,984
RCN Corp. (a)	8,263		48,752
Shenandoah Telecommunications Co.	5,164		144,850
ShoreTel Inc. (a)	9,491		42,615
USA Mobility Inc. (a)	5,405		62,536
Virgin Mobile USA Inc. (a)	7,410		6,224

			1,671,963

Utilities & Energy (4.68%)
Allete Inc.	5,753		185,649
American States Water Co.	3,787		124,895
Atlas America Inc.	7,581		112,578
Avista Corp.	11,655		225,874
Black Hills Corp.	8,438		227,488
California Water Service Group	4,309		200,067
Central Vermont Public Service Corp.	2,381		56,811
CH Energy Group Inc.	3,409		175,189
Chesapeake Utilities Corp.	1,492		46,968
Cleco Corp.	13,226		301,950
Connecticut Water Service Inc.	1,843		43,513
Consolidated Water Co. Ltd.	3,263		40,788
Crosstex Energy Inc.	8,836		34,460
El Paso Electric Co. (a)	9,835		177,915
Empire District Electric Co.	7,414		130,486
EnerNOC Inc. (a)	2,118		15,758
Evergreen Energy Inc. (a)	19,975		5,793
GreenHunter Energy Inc. (a)	937		4,610
GreenHunter Energy Inc. Warrants (a) (b)	94		0
GT Solar International Inc. (a)	6,652		19,224
Headwaters Inc. (a)	9,220		62,235
Idacorp Inc.	9,939		292,704
International Coal Group Inc. (a)	27,945		64,274
ITC Holdings Corp.	10,861		474,408
Laclede Group Inc.	4,794		224,551
MGE Energy Inc.	4,851		160,083
Middlesex Water Co.	2,909		50,122
New Jersey Resources Corp.	9,212		362,492
Nicor Inc.	9,919		344,586
Northwest Natural Gas Co.	5,804		256,711
NorthWestern Corp.	7,884		185,037
Ormat Technologies Inc.	3,933		125,345


	Shares or principal amount		Value
Common Stocks (Cont.)
Utilities & Energy (Cont.)
Otter Tail Corp.		7,751	$	180,831
Piedmont Natural Gas Co. Inc.		16,131		510,869
Pike Electric Corp. (a)		3,597		44,243
PNM Resources Inc.		18,970		191,218
Portland General Electric Co.		13,740		267,518
Rentech Inc. (a)		36,366		24,729
SJW Corp.		2,885		86,377
South Jersey Industries Inc.		6,531		260,260
Southwest Gas Corp.		9,508		239,792
Southwest Water Co.		5,522		17,781
tw telecom inc. (a)		32,327		273,810
UIL Holdings Corp.		5,576		167,447
Unisource Energy Corp.		7,584		222,666
Westar Energy Inc.		23,038		472,509
WGL Holdings Inc.		10,870		355,340

				8,047,954

Total Common Stocks
(cost $237,013,282)				164,093,176

Short-term Investments (4.23%)
U.S. Treasury Bill, 0.010%, 04/23/2009 (c)	$	7,279,000		7,277,544

Total Short-term Investments
(cost $7,278,606)				7,277,544

TOTAL INVESTMENTS (99.57%)
(cost $244,291,888)				171,370,720
CASH AND OTHER ASSETS, NET OF LIABILITIES (0.43%)				747,428

NET ASSETS (100.00%)			$	172,118,148

(a)	Non-income producing security.

(b)	In accordance with the Trust’s Valuation Procedures, SFIMC determined the fair value for the security considering the facts and circumstances related to the particular security.

(c)	At December 31, 2008, this security has been pledged to cover, in whole or in part, initial margin requirements for open futures contracts.


	Shares	Value
Common Stocks (98.71%) (a)
Australia (5.89%)
AGL Energy Ltd.	12,033	$	130,886
Alumina Ltd.	31,914		31,554
Amcor Ltd.	22,102		91,635
AMP Ltd.	52,910		203,981
Aristocrat Leisure Ltd.	9,841		27,160
Asciano Group	15,292		16,425
Australia & New Zealand Banking Group Ltd.	55,597		604,661
Australian Stock Exchange	4,863		115,186
AXA Asia Pacific Holdings Ltd.	24,556		86,285
Bendigo and Adelaide Bank Ltd.	7,285		57,000
BHP Billiton Ltd.	92,500		2,004,829
Billabong International Ltd.	4,906		27,487
BlueScope Steel Ltd.	21,227		53,207
Boral Ltd.	17,910		59,178
Brambles Ltd.	39,941		211,712
Caltex Australia Ltd.	3,766		19,260
CFS Retail Property Trust	42,893		57,523
Coca-Cola Amatil Ltd.	16,779		109,682
Cochlear Ltd.	1,570		61,867
Commonwealth Bank of Australia	40,467		831,863
Computershare Ltd.	13,269		73,970
Crown Ltd.	12,695		53,909
CSL Ltd.	15,845		381,211
CSR Ltd.	34,978		44,139
Dexus Property Group	78,947		46,047
Fairfax Media Ltd.	42,167		49,039
Fortescue Metals Group Ltd. (b)	36,110		49,572
Foster’s Group Ltd.	51,750		203,060
Goodman Fielder Ltd.	35,178		33,279
Goodman Group	66,625		35,069
GPT Group	114,226		75,990
Harvey Norman Holdings Ltd.	13,901		26,203
Incitec Pivot Ltd.	41,898		74,927
Insurance Australia Group Ltd.	55,012		152,216
James Hardie Industries NV CDI	14,248		47,329
Leighton Holdings Ltd.	3,950		77,686
Lend Lease Corp. Ltd.	10,206		52,269
Lion Nathan Ltd.	7,514		43,933
Macquarie Airports	20,130		34,364
Macquarie Group Ltd.	7,765		160,781
Macquarie Infrastructure Group	63,594		77,351
Macquarie Office Trust	54,067		9,230
Metcash Ltd.	19,717		61,428
Mirvac Group	41,037		37,363
National Australia Bank Ltd.	51,298		769,418
Newcrest Mining Ltd.	12,650		304,940
Nufarm Ltd.	3,003		22,407
Onesteel Ltd.	20,804		36,703
Orica Ltd.	9,687		96,327
Origin Energy Ltd.	24,277		279,346
OZ Minerals Ltd. (c)	81,467		31,871
Perpetual Ltd.	1,149		30,313


	Shares	Value
Common Stocks (Cont.)
Australia (Cont.)
Qantas Airways Ltd.	27,618	$	51,910
QBE Insurance Group Ltd.	26,003		479,465
Rio Tinto Ltd.	7,787		212,895
Santos Ltd.	16,384		173,294
Sims Group Ltd.	3,988		49,188
Sonic Healthcare Ltd.	9,500		98,387
Stockland	39,989		114,914
Suncorp-Metway Ltd.	26,671		160,387
Tabcorp Holding Ltd.	15,578		77,454
Tatts Group Ltd.	30,108		59,750
Telstra Corp. Ltd.	119,462		326,272
Toll Holdings Ltd.	15,292		67,406
Transurban Group	32,275		123,969
Wesfarmers Ltd.	17,730		228,311
Wesfarmers Ltd. PPS	4,287		54,888
Westfield Group	49,103		452,304
Westpac Banking Corp.	75,036		918,161
Woodside Petroleum Ltd.	13,515		356,805
Woolworths Ltd.	34,126		649,190
WorleyParsons Ltd.	4,140		42,136

			12,970,157

Austria (0.32%)
Erste Group Bank AG	5,376		125,809
Oesterreichische Elektrizitaetswirtschafts AG (Verbund) Class A	2,180		101,309
OMV AG	4,310		115,104
Raiffeisen International Bank Holding AG	1,512		42,246
Strabag SE	1,301		29,446
Telekom Austria AG	10,053		144,664
Vienna Insurance Group	960		32,350
VoestAlpine AG	3,319		72,070
Wienerberger AG	2,174		36,144

			699,142

Belgium (0.73%)
Anheuser-Busch InBev NV	13,483		314,707
Belgacom SA	4,835		184,614
Colruyt SA	450		97,190
Compagnie Nationale a Portefeuille	1,139		55,385
Delhaize Group	2,798		173,840
Dexia SA	14,903		67,910
Fortis	62,198		82,443
Fortis Rights (b) (c)	62,198		0
Groupe Bruxelles Lambert SA	2,303		182,948
KBC Ancora	861		14,711
KBC GROEP NV	4,322		130,545
Mobistar SA	468		33,930
Solvay SA	1,512		112,064
UCB SA	2,743		89,926


	Shares	Value
Common Stocks (Cont.)
Belgium (Cont.)
Umicore	3,495	$	68,702

			1,608,915

Denmark (0.85%)
A P Moller-Maersk A/S Class A	15		79,971
A P Moller-Maersk A/S Class B	31		163,529
Carlsberg A/S Class B	1,798		59,082
Coloplast A/S Class B	708		48,446
Danisco A/S	1,331		54,642
Danske Bank A/S	12,714		128,748
DSV A/S	5,800		61,518
FLSmidth & Co. A/S Class B (b)	1,512		51,375
Jyske Bank A/S (b)	1,190		27,366
Novo Nordisk A/S Class B	12,603		653,498
Novozymes A/S Class B	1,332		104,522
Topdanmark A/S (b)	514		66,290
Trygvesta A/S	461		29,203
Vestas Wind Systems A/S (b)	5,203		307,775
William DeMant Holding (b)	658		26,990

			1,862,955

Finland (1.38%)
Elisa OYJ	3,099		54,224
Fortum OYJ	12,443		271,825
Kesko OYJ	1,815		45,136
Kone Corp. OYJ Class B	4,112		89,218
Metso OYJ	3,640		44,835
Neste Oil OYJ	3,730		55,134
Nokia OYJ	103,870		1,638,236
Nokian Renkaat OYJ	3,017		34,452
Orion OYJ Class B	2,451		41,331
Outokumpu OYJ	3,375		40,363
Pohjola Bank PLC	2,696		36,724
Rautaruukki OYJ	2,314		40,620
Sampo OYJ A Shares	12,454		230,369
Sanoma OYJ	2,121		27,292
Stora Enso OYJ R Shares	16,305		125,744
UPM-Kymmene OYJ	14,893		187,263
Wartsila OYJ Class B	2,362		69,332

			3,032,098

France (10.73%)
Accor SA	5,528		273,688
Aeroports de Paris (ADP)	673		46,049
Air France-KLM	3,523		45,664
Air Liquide SA	6,844		625,817
Alcatel-Lucent (b)	65,933		143,443
Alstom SA	5,828		341,814
ArcelorMittal	23,422		570,615
Atos Origin SA	1,969		49,282
AXA	42,642		961,981
BNP Paribas	22,553		978,427


	Shares	Value
Common Stocks (Cont.)
France (Cont.)
Bouygues	6,476	$	276,128
Bureau Veritas SA	1,126		45,212
Cap Gemini SA	3,892		151,255
Carrefour SA	17,651		685,750
Casino Guichard Perrachon SA	1,199		91,845
Christian Dior SA	1,442		81,943
CNP Assurances	992		72,443
Compagnie de Saint-Gobain	7,890		374,696
Compagnie Generale de Geophysique- Veritas (b)	3,660		54,202
Compagnie Generale des Etablissements Michelin Class B	3,816		200,298
Credit Agricole SA	24,058		271,593
Dassault Systemes SA	1,552		70,720
Eiffage SA	1,005		52,471
Electricite de France	5,573		323,121
Eramet (b)	143		27,570
Essilor International SA	5,449		257,265
Eurazeo	712		33,655
European Aeronautic Defence and Space Co.	9,317		158,587
Eutelsat Communications	2,380		56,194
France Telecom SA	50,651		1,418,942
GDF Suez	30,065		1,499,909
Gecina SA	342		23,718
Groupe DANONE	12,003		728,898
Hermes International SCA	1,949		272,295
ICADE	551		45,803
Iliad SA	446		38,917
Imerys SA	657		29,827
JC Decaux SA	1,816		31,194
Klepierre	2,296		56,750
L’Oreal SA	6,645		582,857
Lafarge SA	3,725		228,982
Lagardere SCA	3,553		145,084
Legrand SA	2,615		49,906
LVMH Moet Hennessy Louis Vuitton SA	6,583		443,421
M6 Metropole Television	1,858		36,204
Natixis	27,310		48,692
Neopost SA	924		84,268
PagesJaunes Groupe	3,355		32,952
Pernod Ricard SA	4,553		339,949
Peugeot SA	4,351		74,765
PPR SA	2,189		144,053
Publicis Groupe SA	3,275		84,950
Renault SA	4,559		119,575
Safran SA	4,878		65,656
Sanofi-Aventis	28,721		1,846,406
Schneider Electric SA	6,000		448,989
SCOR SE	5,075		117,845
SES FDR	8,403		163,680


	Shares	Value
Common Stocks (Cont.)
France (Cont.)
Societe BIC SA	720	$	41,635
Societe des Autoroutes Paris-Rhin-Rhone	483		33,859
Societe Generale	12,885		657,010
Societe Television Francaise 1	3,413		50,259
Sodexo	2,693		148,897
STMicroelectronics NV	17,483		117,847
Suez Environnement SA Rights (b)	7,304		122,963
Technip SA	2,907		88,578
Thales SA	2,430		101,271
Total SA	58,828		3,250,722
Unibail-Rodamco	2,272		338,053
Valeo SA	1,979		29,631
Vallourec SA	1,473		168,330
Veolia Environnement	10,479		332,215
Vinci SA	11,624		493,017
Vivendi	32,088		1,051,183
Wendel	740		36,598
Zodiac SA	1,102		40,030

			23,628,313

Germany (8.30%)
Adidas AG	5,652		216,545
Allianz SE Reg.	12,312		1,316,651
BASF SE	25,626		1,000,715
Bayer AG	21,238		1,243,783
Bayerische Motoren Werke (BMW) AG	9,183		283,396
Beiersdorf AG	2,512		149,542
Celesio AG	2,376		64,399
Commerzbank AG	18,442		176,108
Daimler AG	23,836		912,803
Deutsche Bank AG Reg.	14,568		579,032
Deutsche Boerse AG	5,451		396,375
Deutsche Lufthansa AG Reg.	6,177		102,089
Deutsche Post AG	23,606		401,289
Deutsche Postbank AG	2,343		50,738
Deutsche Telekom AG	78,584		1,194,163
E.On AG	52,357		2,066,342
Fraport AG	1,039		44,869
Fresenius Medical Care AG & Co. KGaA	5,352		247,289
Fresenius SE	745		37,710
GEA Group AG	3,637		61,737
Hamburger Hafen und Logistik AG	703		23,081
Hannover Rueckversicherung AG Reg.	1,223		39,090
HeidelbergCement AG	682		30,204
Henkel AG & Co. KGaA	3,668		96,093
Hochtief AG	1,190		61,675
Hypo Real Estate Holding AG	3,849		17,092
Infineon Technologies AG (b)	21,306		28,821
K+S Group AG	4,140		231,186
Linde AG	3,667		309,327
MAN AG	2,909		164,005


	Shares	Value
Common Stocks (Cont.)
Germany (Cont.)
Merck KGaA	1,830	$	164,543
Metro AG	3,177		126,986
Muenchener Rueckversicherungs Gesellschaft AG Reg.	5,616		876,294
Puma AG	182		35,674
Q-Cells AG (b)	1,688		63,422
RWE AG	12,258		1,094,242
Salzgitter AG	1,164		90,919
SAP AG	23,998		875,234
Siemens AG	23,831		1,803,180
Solarworld AG	2,412		54,254
ThyssenKrupp AG	10,130		283,430
TUI AG (b)	6,201		69,697
United Internet AG Reg.	3,537		31,082
Volkswagen AG	3,211		1,122,492
Wacker Chemie AG	429		46,172

			18,283,770

Greece (0.47%)
Alpha Bank AE	10,159		95,526
Coca-Cola Hellenic Bottling Co. SA	4,455		65,107
EFG Eurobank Ergasias	8,697		69,616
Hellenic Petroleum SA	3,019		22,776
Hellenic Telecommunications Organization SA	7,019		116,694
Marfin Investment Group SA (b)	18,276		74,260
National Bank of Greece SA	13,460		251,229
OPAP SA	6,370		184,042
Piraeus Bank SA	8,846		79,364
Public Power Corp. SA	2,789		45,050
Titan Cement Co. SA	1,660		32,292

			1,035,956

Hong Kong (1.96%)
ASM Pacific Technology	4,500		14,831
Bank of East Asia Ltd.	40,205		84,037
BOC Hong Kong Holdings Ltd.	105,000		120,179
Cathay Pacific Airways Ltd.	21,000		23,627
Cheung Kong Holdings Ltd.	39,000		372,036
Cheung Kong Infrastructure Holdings Ltd.	12,000		45,133
Chinese Estates Holdings Ltd.	16,000		18,305
CLP Holdings Ltd.	57,283		389,441
Esprit Holdings Ltd.	29,500		168,099
Foxconn International Holdings Ltd. (b)	61,000		20,227
Hang Lung Group Ltd.	24,000		72,616
Hang Lung Properties Ltd.	58,000		127,340
Hang Seng Bank Ltd.	21,774		287,466
Henderson Land Development Co. Ltd.	29,926		111,926
Hong Kong & China Gas Co. Ltd.	103,605		156,402
Hong Kong Aircraft Engineering Co. Ltd.	2,000		16,520
Hong Kong Exchanges & Clearing Ltd.	28,500		273,620


	Shares	Value
Common Stocks (Cont.)
Hong Kong (Cont.)
Hongkong Electric Holdings Ltd.	38,500	$	216,086
Hopewell Holdings	16,000		53,081
Hutchison Telecommunications International Ltd.	46,000		12,345
Hutchison Whampoa Ltd.	57,210		288,801
Hysan Development Co. Ltd.	17,000		27,640
Kerry Properties Ltd.	18,000		48,421
Kingboard Chemicals Holdings Ltd.	16,000		29,002
Li & Fung Ltd.	63,000		108,874
Lifestyle International Holdings Ltd.	19,000		19,244
Link REIT	60,000		99,092
Mongolia Energy Corporation Ltd. (b)	50,000		15,354
MTR Corp.	40,000		93,155
New World Development Co. Ltd.	67,800		69,420
NWS Holdings Ltd.	23,000		34,454
Orient Overseas International Ltd.	6,600		14,799
Pacific Basin Shipping Ltd.	35,000		16,111
PCCW Ltd.	76,000		36,282
Shangri-La Asia Ltd.	38,271		43,997
Sino Land Co. Ltd.	42,000		43,983
Sun Hung Kai Properties Ltd.	39,000		328,158
Swire Pacific Ltd. Class A	23,000		159,322
Television Broadcasts Ltd.	8,000		26,063
Wharf Holdings Ltd.	39,503		109,348
Wheelock and Co. Ltd.	26,000		57,295
Wing Hang Bank Ltd.	5,500		31,993
Yue Yuen Industrial Holdings Ltd.	15,500		30,638

			4,314,763

Ireland (0.31%)
Allied Irish Banks PLC	24,395		58,650
Anglo Irish Bank Corp. PLC	20,760		5,023
Bank of Ireland	27,794		32,228
CRH PLC	14,154		360,463
Elan Corp. PLC (b)	13,286		77,310
Kerry Group PLC Class A	3,471		63,600
Ryanair Holdings PLC (b)	18,704		77,610

			674,884

Italy (3.66%)
A2A SpA	31,700		56,290
Alleanza Assicurazioni SpA	12,056		97,439
Assicurazioni Generali SpA	29,019		805,264
Atlantia SpA	7,280		133,239
Autogrill SpA	3,167		23,760
Banca Carige SpA	15,801		37,528
Banca Monte Dei Paschi di Siena SpA	64,209		136,892
Banca Popolare di Milano Scarl	11,828		69,115
Banco Popolare Societa Cooperativa	18,436		131,379
Bulgari SpA	4,232		27,105
Enel SpA	121,121		784,170
Eni SpA	71,915		1,739,317


	Shares	Value
Common Stocks (Cont.)
Italy (Cont.)
Fiat SpA	20,177	$	135,753
Finmeccanica SpA	11,527		179,447
Fondiaria Sai SpA	2,180		38,985
IFIL Investments SpA	9,234		23,312
Intesa Sanpaolo	216,550		790,649
Intesa Sanpaolo RNC (b)	26,794		67,568
Italcementi SpA	2,020		26,382
Italcementi SpA RNC	1,680		11,501
Lottomatica SpA	1,829		44,973
Luxottica Group SpA	3,880		71,335
Mediaset SpA	21,311		123,417
Mediobanca SpA	13,878		139,891
Mediolanum SpA	5,139		21,754
Parmalat SpA	44,332		72,156
Pirelli & Co. SpA	48,856		18,545
Prysmian SpA	2,396		37,157
Saipem SpA	7,262		124,486
Saras SpA (b)	7,133		24,454
Snam Rete Gas SpA	18,381		103,197
Telecom Italia RNC SpA	157,866		180,652
Telecom Italia SpA	277,256		458,448
Tenaris SA	12,683		128,732
Terna - Rete Elettrica Nationale SpA	34,180		113,366
UniCredit SpA	313,725		801,700
Unione di Banche Italiane Scpa	17,199		247,256
Unipol Gruppo Finanziario SpA	14,383		22,656

			8,049,270

Japan (24.90%)
77 Bank Ltd.	10,000		54,389
ABC-Mart Inc.	600		21,759
Acom Co. Ltd.	1,310		55,324
Advantest Corp.	3,280		53,426
Aeon Co. Ltd.	18,200		183,146
Aeon Credit Service Co. Ltd.	2,100		21,713
Aeon Mall Co. Ltd.	1,900		36,702
Aioi Insurance Co. Ltd.	10,000		50,705
Aisin Seiki Co. Ltd.	5,500		78,714
Ajinomoto Co. Inc.	18,000		192,659
Alfresa Holdings Corp.	800		37,743
All Nippon Airways Co. Ltd.	16,000		62,434
Alps Electric Co. Ltd.	5,000		24,641
Amada Co. Ltd.	10,000		48,599
Aozora Bank Ltd.	24,000		22,531
Asahi Breweries Ltd.	9,700		164,554
Asahi Glass Co. Ltd.	27,000		153,790
Asahi Kasei Corp.	33,000		145,551
ASICS Corp.	5,000		39,627
Astellas Pharma Inc.	13,351		546,065
Bank of Kyoto Ltd.	8,000		87,831
Bank of Yokohama Ltd.	34,000		195,260
Benesse Corp.	1,900		82,308


	Shares	Value
Common Stocks (Cont.)
Japan (Cont.)
Bridgestone Corp.	16,400	$	239,890
Brother Industries Ltd.	6,200		36,959
Canon Inc.	29,300		927,642
Canon Marketing Japan Inc.	2,000		32,181
Casio Computer Co. Ltd.	7,000		44,138
Central Japan Railway Co.	44		381,302
Chiba Bank Ltd.	21,000		131,229
Chubu Electric Power Co. Inc.	18,600		560,747
Chugai Pharmaceutical Co. Ltd.	6,400		124,312
Chugoku Bank Ltd.	4,000		60,847
Chugoku Electric Power Co. Inc.	6,800		177,645
Chuo Mitsui Trust Holdings Inc.	25,000		122,823
Citizen Holdings Co. Ltd.	9,300		32,804
Coca-Cola West Co. Ltd.	1,700		36,447
Cosmo Oil Co. Ltd.	15,000		46,661
Credit Saison Co. Ltd.	4,600		63,809
Dai Nippon Printing Co. Ltd.	17,000		187,783
Daicel Chemical Industries Ltd.	8,000		37,302
Daido Steel Co. Ltd.	10,000		30,311
Daihatsu Motor Co. Ltd.	5,000		43,155
Daiichi Sanyko Co. Ltd.	19,713		465,821
Daikin Industries Ltd.	7,300		191,831
Dainippon Sumitomo Pharma Co. Ltd.	5,000		45,855
Daito Trust Construction Co. Ltd.	2,300		120,644
Daiwa House Industry Co. Ltd.	14,000		137,158
Daiwa Securities Group Inc.	37,000		221,951
DeNa Co. Ltd.	8		25,891
Denki Kagaku Kogyo KK	14,000		33,488
Denso Corp.	13,600		230,266
Dentsu Inc.	57		111,210
DIC Corp.	18,000		37,103
Dowa Holdings Co. Ltd.	7,000		25,077
East Japan Railway Co.	92		698,721
Eisai Co. Ltd.	7,200		300,221
Electric Power Development Co. Ltd.	3,380		130,774
Elpida Memory Inc. (b)	2,700		16,012
Familymart Co. Ltd.	1,500		65,092
Fanuc Ltd.	5,400		386,729
Fast Retailing Co. Ltd.	1,200		175,944
Fuji Electric Holdings Co. Ltd.	15,000		21,991
Fuji Heavy Industries Ltd.	16,000		43,936
Fuji Media Holdings Inc.	9		12,708
FUJIFILM Holdings Corp.	13,600		303,374
Fujitsu Ltd.	52,000		252,629
Fukuoka Financial Group Inc.	21,000		91,720
Furukawa Electric Co. Ltd.	18,000		87,774
Gunma Bank Ltd.	11,000		70,364
Hakuhodo DY Holdings Inc.	590		32,163
Hankyu Hanshin Holdings Inc.	34,000		196,207
HASEKO Corp.	36,000		37,302
Hikari Tsushin Inc.	700		13,009
Hino Motors Ltd.	8,000		16,049
Hirose Electric Co. Ltd.	900		89,484


	Shares	Value
Common Stocks (Cont.)
Japan (Cont.)
Hisamitsu Pharmaceutical Co. Inc.	1,700	$	68,585
Hitachi Chemical Co. Ltd.	3,100		32,179
Hitachi Construction Machinery Co. Ltd.	3,000		34,325
Hitachi High-Technologies Corp.	2,000		31,327
Hitachi Ltd.	92,000		356,769
Hitachi Metals Ltd.	5,000		22,652
Hokkaido Electric Power Co. Inc.	5,700		144,000
Hokuhoku Financial Group Inc.	32,000		75,693
Hokuriku Electric Power Co.	4,500		126,488
Honda Motor Co. Ltd.	45,600		970,471
Hoya Corp.	11,700		204,197
Ibiden Co. Ltd.	3,600		74,584
Idemitsu Kosan Co. Ltd.	600		38,611
IHI Corp.	39,000		48,578
INPEX Corp.	23		176,962
Isetan Mitsukoshi Holdings Ltd. (b)	9,080		76,768
Isuzu Motors Ltd.	35,000		45,191
Ito En Ltd.	1,600		23,316
Itochu Corp.	43,000		216,772
Itochu Techno-Solutions Corp.	800		19,136
Iyo Bank Ltd.	7,000		85,494
J. Front Retailing Co. Ltd.	11,400		47,137
JAFCO Co. Ltd.	1,000		24,857
Japan Airlines Corp. (b)	23,000		53,748
Japan Petroleum Exploration Co.	900		38,690
Japan Prime Realty Investment Corp.	16		37,072
Japan Real Estate Investment Corp.	11		98,189
Japan Retail Fund Investment Corp.	10		43,160
Japan Steel Works Ltd.	10,000		139,900
Japan Tobacco Inc.	122		403,794
JFE Holdings Inc.	14,400		382,396
JGC Corp.	6,000		89,726
Joyo Bank Ltd.	19,000		106,184
JS Group Corp.	7,500		115,806
JSR Corp.	5,000		54,839
JTEKT Corp.	5,100		38,621
Jupiter Telecommunications Co. Ltd.	64		66,562
Kajima Corp.	25,000		85,428
Kamigumi Co. Ltd.	7,000		61,574
Kaneka Corp.	8,000		51,062
Kansai Electric Power Co. Inc.	21,200		607,584
Kansai Paint Co. Ltd.	7,000		35,108
Kao Corp.	14,000		424,927
Kawasaki Heavy Industries Ltd.	40,000		80,682
Kawasaki Kisen Kaisha Ltd.	16,000		74,983
KDDI Corp.	81		577,918
Keihin Electric Express Railway Co. Ltd.	12,000		105,159
Keio Corp.	15,000		90,186
Keisei Electric Railway Co. Ltd.	8,000		48,942
Keyence Corp.	968		198,782
Kikkoman Corp.	4,000		46,340
Kinden Corp.	4,000		35,670
Kintetsu Corp.	45,000		206,865


	Shares	Value
Common Stocks (Cont.)
Japan (Cont.)
Kirin Holdings Co. Ltd.	22,000	$	292,273
Kobe Steel Ltd.	74,000		132,143
Komatsu Ltd.	25,200		321,216
Konami Corp.	2,600		67,353
Konica Minolta Holdings Inc.	14,000		108,848
Kubota Corp.	31,000		224,279
Kuraray Co. Ltd.	10,000		78,289
Kurita Water Industries Ltd.	3,000		81,038
Kyocera Corp.	4,600		332,773
Kyowa Hakko Kirin Co. Ltd.	6,000		61,442
Kyushu Electric Power Co. Ltd.	10,600		281,188
Lawson Inc.	1,600		91,534
Leopalace21 Corp.	3,600		36,449
Mabuchi Motor Co. Ltd.	800		33,138
Makita Corp.	3,300		71,551
Marubeni Corp.	46,000		175,978
Marui Group Co. Ltd.	8,100		45,982
Maruichi Steel Tube Ltd.	1,100		30,010
Matsui Securities Co. Ltd.	2,700		22,113
Mazda Motor Corp.	24,000		40,675
Mediceo Paltac Holdings Co. Ltd.	4,200		49,630
Meiji Dairies Corp.	7,000		36,883
Minebea Co. Ltd.	10,000		34,580
Mitsubishi Chemical Holdings Corp.	33,500		148,327
Mitsubishi Corp.	37,000		523,666
Mitsubishi Electric Corp.	54,000		338,144
Mitsubishi Estate Co. Ltd.	32,000		528,196
Mitsubishi Gas Chemical Co. Inc.	11,000		45,100
Mitsubishi Heavy Industries Ltd.	90,000		391,865
Mitsubishi Logistics Corp.	3,000		37,004
Mitsubishi Materials Corp.	32,000		80,932
Mitsubishi Motors Corp. (b)	99,000		133,135
Mitsubishi Rayon Co. Ltd.	15,000		44,312
Mitsubishi Tanabe Pharma Corp.	6,000		90,493
Mitsubishi UFJ Financial Group Inc.	298,860		1,876,930
Mitsubishi UFJ Lease & Finance Co. Ltd.	1,920		47,513
Mitsui & Co. Ltd.	47,000		466,788
Mitsui Chemicals Inc.	19,000		68,695
Mitsui Engineering & Shipbuilding Co. Ltd.	21,000		35,348
Mitsui Fudosan Co. Ltd.	22,000		366,506
Mitsui Mining & Smelting Co. Ltd.	17,000		36,036
Mitsui OSK Lines Ltd.	30,000		185,266
Mitsui Sumitomo Insurance Group Holdings Inc.	10,500		333,655
Mitsumi Electric Co. Ltd.	2,300		40,244
Mizuho Financial Group Inc.	269		766,033
Mizuho Trust & Banking Co. Ltd.	40,000		49,383
Murata Manufacturing Co. Ltd.	6,100		234,667
Namco Bandai Holdings Inc.	6,000		64,484
NEC Corp.	51,000		172,408
NEC Electronics Corp. (b)	1,000		9,226
NGK Insulators Ltd.	6,000		67,938


	Shares	Value
Common Stocks (Cont.)
Japan (Cont.)
NGK Spark Plug Co. Ltd.	5,000	$	39,517
NHK Spring Co. Ltd.	4,000		14,374
Nidec Corp.	3,000		113,757
Nikon Corp.	9,000		104,960
Nintendo Co. Ltd.	2,700		1,031,013
Nippon Building Fund Inc.	14		153,766
Nippon Electric Glass Co. Ltd.	10,000		52,745
Nippon Express Co. Ltd.	22,000		92,661
Nippon Meat Packers Inc.	5,000		76,051
Nippon Mining Holdings Inc.	25,000		108,395
Nippon Oil Corp.	35,000		177,326
Nippon Paper Group Inc.	25		98,655
Nippon Sheet Glass Co. Ltd.	17,000		54,530
Nippon Steel Corp.	141,000		450,728
Nippon Telegraph & Telephone Corp.	143		737,698
Nippon Yusen Kabushiki Kaish	32,000		192,240
NIPPONKOA Insurance Co. Ltd.	18,000		135,913
Nishi-Nippon City Bank Ltd.	19,000		53,825
Nissan Chemical Industries Ltd.	4,000		37,698
Nissan Motor Co. Ltd.	63,200		227,195
Nissay Dowa General Insurance Company Ltd.	3,000		18,188
Nisshin Seifun Group Inc.	4,500		59,382
Nisshin Steel Co. Ltd.	23,000		47,366
Nisshinbo Industries Inc.	4,000		30,469
Nissin Foods Holdings Co. Ltd.	2,600		90,536
Nitori Co. Ltd.	1,150		89,425
Nitto Denko Corp.	4,700		89,906
NOK Corp.	3,100		21,425
Nomura Holdings Inc.	47,700		396,859
Nomura Real Estate Holdings Inc.	1,500		29,903
Nomura Real Estate Office Fund Inc.	7		44,599
Nomura Research Institute Ltd.	3,000		57,184
NSK Ltd.	13,000		49,058
NTN Corp.	12,000		36,234
NTT Data Corp.	35		140,909
NTT DoCoMo Inc.	436		857,524
NTT Urban Development Corp.	35		36,651
Obayashi Corp.	18,000		107,501
OBIC Co. Ltd.	170		27,741
Odakyu Electric Railway Co. Ltd.	18,000		155,754
Oji Paper Co. Ltd.	24,000		140,991
Olympus Corp.	6,000		120,019
Omron Corp.	6,000		80,553
Ono Pharmaceutical Co. Ltd.	2,500		130,060
Onward Holdings Co. Ltd.	4,000		31,858
Oracle Corp. Japan	1,200		51,936
Oriental Land Co. Ltd.	1,400		114,198
Orix Corp.	2,580		147,207
Osaka Gas Co. Ltd.	57,000		260,119
OSAKA Titanium technologies Co.	600		14,683
OTSUKA Corp.	400		17,901
Panasonic Corp.	51,000		625,694


	Shares	Value
Common Stocks (Cont.)
Japan (Cont.)
Panasonic Electric Works Co. Ltd.	11,114	$	96,537
Promise Co. Ltd.	1,600		40,553
Rakuten Inc. (b)	185		116,237
Resona Holdings Inc.	140		206,944
Ricoh Co. Ltd.	19,000		243,330
Rohm Co. Ltd.	2,900		146,299
Sankyo Co. Ltd.	1,600		80,655
Santen Pharmaceutical Co. Ltd.	2,100		63,408
Sanyo Electric Co. Ltd. (b)	44,000		80,512
Sapporo Hokuyo Holdings Inc.	8		30,776
Sapporo Holdings Ltd.	7,000		44,303
SBI Holdings Inc.	406		62,630
Secom Co. Ltd.	5,800		299,063
Sega Sammy Holdings Inc.	5,768		67,208
Seiko Epson Corp.	3,700		58,829
Sekisui Chemical Co. Ltd.	12,000		73,545
Sekisui House Ltd.	11,000		94,334
Seven & I Holdings Co. Ltd.	22,740		781,007
Seven Bank Ltd.	10		37,919
Sharp Corp.	28,000		201,682
Shikoku Electric Power Co. Inc.	4,500		151,601
Shimadzu Corp.	6,000		36,839
Shimamura Co. Ltd.	600		45,701
Shimano Inc.	1,900		73,512
Shimizu Corp.	17,000		97,443
Shin-Etsu Chemical Co. Ltd.	11,100		511,887
Shinko Electric Industries Co. Ltd.	1,900		15,503
Shinko Securities Co. Ltd.	16,000		35,079
Shinsei Bank Ltd.	39,000		61,678
Shionogi & Co. Ltd.	8,000		206,441
Shiseido Co. Ltd.	9,000		181,052
Shizuoka Bank Ltd.	16,000		181,305
Showa Denko K.K.	31,000		44,865
Showa Shell Sekiyu K.K.	5,200		51,492
SMC Corp.	1,600		164,700
Softbank Corp.	20,200		366,573
Sojitz Corp.	33,000		55,107
Sompo Japan Insurance Inc.	24,000		170,635
Sony Corp.	27,600		603,199
Sony Financial Holdings Inc.	25		93,144
Square Enix Holdings Co. Ltd.	1,400		45,140
Stanley Electric Co. Ltd.	4,400		45,251
SUMCO Corp.	3,300		41,892
Sumitomo Chemical Co. Ltd.	45,000		154,143
Sumitomo Corp.	30,000		265,873
Sumitomo Electric Industries Ltd.	20,600		154,863
Sumitomo Heavy Industries Ltd.	16,000		63,956
Sumitomo Metal Industries Ltd.	106,000		253,549
Sumitomo Metal Mining Co. Ltd.	16,000		166,138
Sumitomo Mitsui Financial Group Inc.	182		754,321
Sumitomo Realty & Development
Co. Ltd.	10,000		150,205
Sumitomo Rubber Industries Ltd.	4,900		42,618


	Shares	Value
Common Stocks (Cont.)
Japan (Cont.)
Sumitomo Trust & Banking Co. Ltd.	41,000	$	242,174
Suruga Bank Ltd.	6,000		59,562
Suzuken Co. Ltd.	1,940		57,097
Suzuki Motor Corp.	9,500		128,593
T&D Holdings Inc.	5,300		216,160
Taiheiyo Cement Corp.	26,000		50,084
Taisei Corp.	28,000		75,309
Taisho Pharmaceutical Co. Ltd.	4,000		85,143
Taiyo Nippon Sanso Corp.	8,000		61,704
Takashimaya Co. Ltd.	8,000		59,436
Takeda Pharmaceutical Co. Ltd.	22,500		1,171,847
Takefuji Corp.	3,100		25,414
TDK Corp.	3,500		129,213
Teijin Ltd.	26,000		71,936
Terumo Corp.	4,700		220,004
The Hachijuni Bank Ltd.	11,000		63,206
The Hiroshima Bank Ltd.	14,000		61,218
THK Co. Ltd.	3,500		35,880
Tobu Railway Co. Ltd.	24,000		143,280
Toho Co. Ltd.	3,300		69,332
Toho Gas Co. Ltd.	11,000		71,781
Tohoku Electric Power Co. Inc.	12,300		330,142
Tokio Marine Holdings Inc.	18,900		559,564
Tokuyama Corp.	6,000		49,339
Tokyo Broadcasting System Inc.	1,000		15,035
Tokyo Electric Power Co. Inc.	33,600		1,120,761
Tokyo Electron Ltd.	4,900		172,365
Tokyo Gas Co. Ltd.	64,000		324,158
Tokyo Steel Manufacturing Co. Ltd.	3,000		31,453
Tokyo Tatemono Co. Ltd.	8,000		36,635
Tokyu Corp.	31,000		153,428
Tokyu Land Corp.	12,000		45,961
TonenGeneral Sekiyu KK	7,000		70,087
Toppan Printing Co. Ltd.	16,000		123,510
Toray Industries Inc.	38,000		193,239
Toshiba Corp.	82,000		337,153
Tosoh Corp.	14,000		34,527
Toto Ltd.	7,000		43,056
Toyo Seikan Kaisha Ltd.	4,600		79,674
Toyo Suisan Kaisha Ltd.	2,000		57,588
Toyoda Gosei Co. Ltd.	2,000		22,928
Toyota Boshoku Corp.	1,900		15,469
Toyota Industries Corp.	5,000		107,622
Toyota Motor Corp.	75,600		2,497,281
Toyota Tsusho Corp.	6,000		62,500
Trend Micro Inc. (b)	3,000		105,288
Tsumura & Co.	1,500		55,634
UBE Industries Ltd.	28,000		76,235
Unicharm Corp.	1,200		90,208
UNY Co. Ltd.	5,000		55,288
Ushio Inc.	3,000		38,922
USS Co. Ltd.	710		37,646
West Japan Railway Co.	48		216,402


	Shares	Value
Common Stocks (Cont.)
Japan (Cont.)
Yahoo! Japan Corp.	400	$	163,999
Yakult Honsha Co. Ltd.	2,700		56,815
Yamada Denki Co. Ltd.	2,390		166,936
Yamaguchi Financial Group Inc.	6,000		67,426
Yamaha Corp.	5,100		46,154
Yamaha Motor Co. Ltd.	5,100		53,622
Yamato Holdings Co. Ltd.	11,000		143,734
Yamato Kogyo Co. Ltd.	1,200		31,481
Yamazaki Baking Co. Ltd.	3,000		45,602
Yaskawa Electric Corp.	6,000		24,216
Yokogawa Electric Corp.	6,000		38,492

			54,823,908

Netherlands (2.43%)
Aegon NV	39,176		248,558
Akzo Nobel NV	6,598		273,533
ASML Holding NV	11,531		208,926
Corio NV	1,172		53,854
Fugro NV	1,585		45,789
Heineken Holding NV	3,048		87,507
Heineken NV	6,931		213,281
ING Groep NV	52,218		577,623
Koninklijke Ahold NV	33,280		412,187
Koninklijke Boskalis Westminster NV CVA	1,547		35,878
Koninklijke DSM NV	3,859		99,529
Koninklijke KPN NV	49,656		725,583
Koninklijke Philips Electronics NV	28,556		569,044
Randstad Holding NV (b)	2,418		49,596
Reed Elsevier NV	17,640		210,793
SBM Offshore NV	3,900		50,940
SNS Reaal	3,712		20,506
TNT NV	10,189		198,929
Unilever NV CVA	45,396		1,105,889
Wolters Kluwer - CVA	8,109		154,531

			5,342,476

New Zealand (0.09%)
Auckland International Airport Ltd.	27,245		25,944
Contact Energy Ltd.	8,708		37,652
Fletcher Building Ltd.	13,804		46,574
Sky City Entertainment Group Ltd.	12,471		22,871
Telecom Corp. of New Zealand Ltd.	52,099		70,430

			203,471

Norway (0.62%)
Aker Solutions ASA	4,381		28,375
DnB NOR ASA	20,896		83,554
Frontline Ltd.	1,447		41,653
Norsk Hydro ASA	19,238		78,995
Orkla ASA	23,721		155,172
Renewable Energy Corp. AS (b)	3,763		36,326


	Shares	Value
Common Stocks (Cont.)
Norway (Cont.)
SeaDrill Ltd.	7,117	$	58,456
StatoilHydro ASA	35,383		596,390
Telenor ASA	23,876		162,333
Yara International ASA	5,244		116,251

			1,357,505

Portugal (0.32%)
Banco Comercial Portugues SA - R (b)	63,318		72,096
Banco Espirito Santo SA Reg.	6,117		57,261
Brisa	8,564		64,024
CIMPOR-Cimentos de Portugal SGPS SA	5,105		24,820
Energias de Portugal SA	50,625		191,416
EDP Renovaveis SA (b)	4,787		33,460
Galp Energia SGPS SA B Shares	3,744		37,557
Jeronimo Martins SGPS SA	6,111		33,895
Portugal Telecom SGPS SA	20,493		176,265
Zon Multimedia Servicos de Telecomunicacoes e Multimedia SGPS SA	3,572		18,515

			709,309

Singapore (1.03%)
Ascendas Real Estate Investment Trust	28,000		27,090
Capitaland Ltd.	49,128		107,804
Capitamall Trust	30,000		33,296
City Developments Ltd.	15,031		66,835
Comfortdelgro Corp. Ltd.	54,000		54,656
Cosco Corp. Singapore Ltd.	22,000		14,791
DBS Group Holdings Ltd.	32,445		192,201
DBS Group Holdings Ltd. Rights (b) (c)	16,223		33,971
Fraser and Neave Ltd.	23,500		48,865
Genting International PLC (b)	69,000		21,674
Golden Agri-Resources Ltd.	137,000		22,473
Jardine Cycle & Carriage Ltd.	4,015		26,854
Keppel Corp. Ltd.	37,002		112,981
Neptune Orient Lines Ltd.	13,000		10,274
Noble Group Ltd.	33,600		23,923
Olam International Ltd.	38,900		31,537
Oversea-Chinese Banking Corp.	70,000		243,822
Parkway Holdings Ltd.	28,013		24,247
Sembcorp Industries Ltd.	25,200		40,810
Sembcorp Marine Ltd.	21,200		25,129
Singapore Airlines Ltd.	15,000		118,645
Singapore Exchange Ltd.	23,000		82,396
Singapore Press Holdings Ltd.	40,200		87,662
Singapore Technologies Engineering Ltd.	34,381		57,259
Singapore Telecommunications Ltd.	204,150		365,876
United Overseas Bank Ltd.	34,616		314,606
UOL Group Ltd.	16,461		25,766


	Shares	Value
Common Stocks (Cont.)
Singapore (Cont.)
Wilmar International Ltd.	23,000	$	44,793

			2,260,236

Spain (4.52%)
Abertis Infraestructuras SA	7,400		130,266
Acciona SA	801		102,365
Acerinox SA	3,066		48,703
ACS Actividades de Construccion y Servicios SA	5,141		234,508
Banco Bilbao Vizcaya Argentaria SA	97,648		1,216,033
Banco de Sabadell SA	25,514		172,881
Banco de Valencia SA	5,523		58,103
Banco Popular Espanol SA	21,761		184,846
Banco Santander SA (Madrid)	216,140		2,098,655
Banco Santander SA (London)	4,542		41,787
Bankinter SA	7,277		64,152
Cintra Concesiones de Infraestructuras de Transporte SA	6,357		47,249
Criteria Caixacorp SA	23,532		91,397
Enagas	5,274		114,651
Fomento de Construcciones y
Contratas SA	1,258		41,004
Gamesa Corp Tecnologica SA	4,872		89,283
Gas Natural SDG SA	3,224		88,168
Gestevision Telecinco SA	2,804		30,357
Grifols SA	3,546		62,447
Grupo Ferrovial SA	1,726		47,215
Iberdrola Renovables (b)	23,780		101,330
Iberdrola SA	96,893		885,315
Iberia Lineas Aereas de Espana SA	12,205		33,762
Inditex SA	6,134		274,538
Indra Sistemas SA	2,184		49,400
Mapfre SA	17,325		59,385
Red Electrica Corporacion SA	3,016		151,692
Repsol YPF SA	20,259		434,728
Sacyr Vallehermoso SA	2,515		22,382
Telefonica SA	116,671		2,646,820
Union Fenosa SA	10,572		266,229
Zardoya Otis SA	3,602		63,861

			9,953,512

Sweden (2.02%)
Alfa Laval AB	10,984		94,707
ASSA ABLOY AB Class B	8,948		105,112
Atlas Copco AB Class A	18,918		161,303
Atlas Copco AB Class B	10,840		85,734
Electrolux AB Series B	7,310		64,611
Ericsson LM Class B	82,668		651,002
Getinge AB Class B	4,888		58,379
Getinge AB New (b) (c)	543		6,329
Hennes & Mauritz AB Class B	14,129		567,679
Holmen AB Class B	1,472		37,209


	Shares	Value
Common Stocks (Cont.)
Sweden (Cont.)
Husqvarna AB Class B	7,753	$	40,901
Investor AB B Shares	12,258		188,866
Lundin Petroleum AB (b)	6,800		35,613
Millicom International Cellular SA	1,961		90,052
Modern Times Group MTG AB Class B	1,492		32,113
Nordea Bank AB	58,349		420,109
Sandvik AB	26,616		172,696
Scania AB Class B	8,452		86,874
Securitas AB Class B	8,524		72,490
Skandinaviska Enskilda Banken AB Class A	13,093		106,761
Skanska AB Class B	10,525		104,193
SKF AB B Shares	9,578		98,455
SSAB Svenskt Stal AB Series A	5,196		45,133
SSAB Svenskt Stal AB Series B	2,163		17,545
Svenska Cellulosa AB B Shares	15,114		128,868
Svenska Handelsbanken AB A Shares	12,655		211,387
Swedbank AB - A Shares	9,866		58,866
Swedish Match AB	7,726		112,670
Tele2 AB Class B	8,629		78,879
TeliaSonera AB	60,735		308,963
Volvo AB A Shares	7,582		42,323
Volvo AB B Shares	27,844		152,583

			4,438,405

Switzerland (8.29%)
ABB Ltd. Reg. (b)	60,600		921,863
Actelion Ltd. Reg. (b)	2,690		151,799
Adecco SA Reg.	3,203		109,379
Aryzta AG (b)	1,823		58,432
Baloise Holding AG Reg.	1,448		106,530
BKW FMB Energie AG	296		28,296
Compagnie Financiere Richemont SA Class A	14,316		272,098
Credit Suisse Group AG Reg.	28,772		804,320
EFG International Reg.	1,215		21,658
Geberit AG Reg. (b)	1,120		120,828
Givaudan SA Reg.	178		138,546
Holcim Ltd.	5,715		329,963
Julius Baer Holding AG Reg.	5,884		227,482
Kuehne & Nagel International AG Reg.	1,535		99,172
Lindt & Spruengli AG	22		40,412
Lindt & Spruengli AG Reg.	2		42,362
Logitech International SA (b)	4,888		74,992
Lonza Group AG Reg.	1,290		117,938
Loomis AB B (b)	1		6
Nestle SA	105,526		4,168,256
Nobel Biocare Holding AG Reg.	3,330		68,593
Novartis AG	65,212		3,257,801
OC Oerlikon Corp. AG Reg. (b)	184		11,899
Pargesa Holding SA	741		48,613
Roche Holding AG	19,323		2,984,101


	Shares	Value
Common Stocks (Cont.)
Switzerland (Cont.)
Schindler Holding AG	1,400	$	64,072
SGS SA	133		138,753
Sonova Holding AG Reg.	1,309		77,902
Straumann Holding AG	224		38,943
Sulzer AG Reg. (b)	830		46,673
Swiss Life Holding AG Reg. (b)	1,000		67,854
Swiss Reinsurance	9,464		462,260
Swisscom AG	645		208,709
Syngenta AG Reg.	2,721		527,284
Synthes Inc.	1,686		213,264
The Swatch Group AG Class B	800		112,550
The Swatch Group AG Reg. (b)	1,495		39,932
UBS AG Reg. (b)	81,231		1,178,924
Zurich Financial Services AG Reg.	3,957		862,382

			18,244,841

United Kingdom (19.89%)
3i Group PLC	11,205		44,531
Admiral Group PLC	4,779		64,019
AMEC PLC	8,104		58,265
Anglo American PLC	36,199		857,324
Antofagasta PLC	11,041		70,189
Associated British Foods PLC	8,335		88,780
AstraZeneca PLC	40,186		1,668,437
Aviva PLC	74,591		428,945
BAE Systems PLC	97,010		535,781
Balfour Beatty PLC	11,946		57,390
Barclays PLC	223,371		515,236
BG Group PLC	91,977		1,292,010
BHP Billiton PLC	60,567		1,192,176
BP PLC	518,240		4,059,921
British Airways PLC	16,505		43,276
British American Tobacco PLC	51,511		1,363,712
British Energy Group PLC	28,659		325,919
British Land Co. PLC	12,795		104,039
British Sky Broadcasting Group PLC	32,449		232,555
BT Group PLC	214,905		438,614
Bunzl PLC	9,724		83,711
Burberry Group PLC	9,600		31,544
Cable & Wireless PLC	69,125		158,649
Cadbury PLC	37,990		340,681
Cairn Energy PLC (b)	3,643		108,281
Capita Group PLC	17,359		188,974
Carnival PLC	4,845		106,676
Carphone Warehouse Group PLC	12,090		16,079
Centrica PLC	139,328		544,351
Cobham PLC	31,040		93,072
Compass Group PLC	49,520		250,657
Daily Mail & General Trust Class A NV	9,036		36,190
Diageo PLC	69,358		989,009
Drax Group PLC	9,417		77,580
Eurasian Natural Resources Corp.	8,954		43,114


	Shares	Value
Common Stocks (Cont.)
United Kingdom (Cont.)
Experian PLC	25,789	$	165,013
FirstGroup PLC	12,742		80,689
Friends Provident PLC	69,012		89,523
G4S PLC	32,318		97,670
GKN PLC	20,220		28,571
GlaxoSmithKline PLC	144,150		2,720,671
Hammerson PLC	8,306		65,298
Hays PLC	40,164		40,876
HBOS PLC	146,873		154,327
HBOS PLC Subline Shares (b) (c)	203,257		0
Home Retail Group PLC	24,878		77,924
HSBC Holdings PLC	330,531		3,283,004
ICAP PLC	14,880		62,420
IMI PLC	6,479		26,117
Imperial Tobacco Group PLC	28,773		779,967
InterContinental Hotels Group PLC	6,335		51,948
International Power PLC	42,445		148,790
Invensys PLC (b)	22,863		57,879
Investec PLC	11,241		47,104
ITV PLC	97,022		56,811
J Sainsbury PLC	29,498		142,855
Johnson Matthey PLC	5,081		81,180
Kazakhmys PLC	5,697		19,202
Kingfisher PLC	66,462		132,869
Ladbrokes PLC	18,919		51,069
Land Securities Group PLC	13,452		183,539
Legal & General Group PLC	170,590		191,161
Liberty International PLC	7,551		52,664
Lloyds TSB Group PLC	159,559		306,495
Lloyds TSB Group PLC Subline Shares (b) (c)	69,360		0
Logica PLC	41,525		41,806
London Stock Exchange Group PLC	4,510		33,561
Lonmin PLC	3,245		43,134
Man Group PLC	48,230		168,382
Marks & Spencer Group PLC	43,231		137,521
Meggitt PLC	13,197		30,761
National Express Group PLC	3,755		27,107
National Grid PLC	69,313		695,083
Next PLC	5,130		81,810
Old Mutual PLC	136,986		111,736
Pearson PLC	20,597		197,016
Prudential PLC	67,934		418,498
Reckitt Benckiser Group PLC	16,825		639,810
Reed Elsevier PLC	28,768		214,346
Rexam PLC	18,909		98,219
Rio Tinto PLC	27,466		619,540
Rolls-Royce Group PLC (b)	51,188		254,125
Royal Bank of Scotland Group PLC	463,608		346,342
Royal Dutch Shell PLC Class A	97,853		2,609,074
Royal Dutch Shell PLC Class B	74,817		1,924,654
RSA Insurance Group PLC	84,492		170,869
SABMiller PLC	24,829		421,332


	Shares	Value
Common Stocks (Cont.)
United Kingdom (Cont.)
Sage Group PLC	37,679	$	93,462
Schroders PLC	3,398		43,380
Scottish & Southern Energy PLC	24,660		441,245
Segro PLC	12,296		44,314
Serco Group PLC	14,001		93,012
Severn Trent PLC	5,916		104,048
Shire Ltd.	15,627		233,603
Smith & Nephew PLC	24,406		158,184
Smiths Group PLC	11,182		144,394
Stagecoach Group PLC	15,398		31,510
Standard Chartered PLC	52,488		681,611
Standard Life PLC	62,004		183,690
Tate & Lyle PLC	13,440		79,473
Tesco PLC	214,684		1,134,464
The Berkeley Group Holdings PLC (b)	2,624		33,367
Thomas Cook Group PLC	13,915		36,111
Thomson Reuters PLC	5,206		117,733
Tomkins PLC	15,360		28,066
Tui Travel PLC	16,950		57,749
Tullow Oil PLC	20,332		197,553
Unilever PLC	35,900		836,860
United Business Media Ltd.	4,721		35,028
United Utilities Group PLC	17,044		157,058
Vedanta Resources PLC	4,008		36,525
Vodafone Group PLC	1,455,902		3,025,446
Whitbread PLC	4,390		58,738
William Morrison Supermarkets PLC	67,716		278,552
Wolseley PLC	18,802		106,292
WPP PLC	28,653		168,276
Xstrata PLC	17,358		164,837

			43,794,630

Total Common Stocks
(cost $263,366,347)			217,288,516

Preferred Stocks (0.35%) (a)
Germany (0.34%)
Bayerische Moteren Werke (BMW)
AG PFD	1,396		27,032
Fresenius SE PFD	2,150		124,927
Henkel AG & Co. KGaA PFD	5,109		160,870
Porsche Automobil Holding SE PFD	2,490		195,893
RWE AG-Non Voting PFD	1,105		82,763
Volkswagen AG PFD	2,983		158,450

			749,935

Italy (0.01%)
Unipol Gruppo Finanziario SpA	25,462		28,212

Total Preferred Stocks
(cost $731,165)			778,147


	Principal
	amount		Value
Repurchase Agreement (0.01%)
State Street Repurchase Agreement, (d) 0.01%, agreement date 12/31/2008, to be repurchased at $20,929 on 01/02/2009	$	20,929	$	20,929

Total Repurchase Agreement
(cost $20,929)				20,929

TOTAL INVESTMENTS (99.07%)
(cost $264,118,441)				218,087,592
CASH (e) AND OTHER ASSETS, NET OF LIABILITIES (0.93%)				2,057,014

NET ASSETS (100.0%)			$	220,144,606

FDR - Fiduciary Depository Receipt

(a)

(b)	Non-income producing security.

(c)	In accordance with the Trust’s Valuation Procedures, SFIMC determined the fair value for the security considering the facts and circumstances related to the particular security. The fair value for this security was not determined using the Trust’s independent statistical fair value service.

(d)	Repurchase agreement is fully collateralized by a U.S. Government Agency security with a coupon rate of 6.00%, a maturity date of January 1, 2037, and a market value of $22,319 as of December 31, 2008.

(e)	At December 31, 2008, cash has been pledged to cover, in whole or in part, initial margin requirements for open futures contracts.

INTERNATIONAL EQUITY INDEX FUND FOREIGN CURRENCY DENOMINATIONS


Currency	Value		%
Euro	$	73,754,005	33.82
Japanese Yen		54,823,908	25.14
British Pound		43,836,417	20.10
Swiss Franc		18,244,835	8.36
Australian Dollar		12,970,157	5.95
Swedish Krona		4,438,411	2.04
Hong Kong Dollar		4,314,763	1.98
Singapore Dollar		2,260,236	1.04
Danish Krone		1,862,955	0.85
Norwegian Krone		1,357,505	0.62
New Zealand Dollar		203,471	0.09
United States Dollar		20,929	0.01

Total Investments	$	218,087,592	100.00	%

INTERNATIONAL EQUITY INDEX FUND SECTOR CLASSIFICATIONS


Sector	Value		%
Financials	$	49,579,071	22.52
Industrials		25,143,962	11.42
Consumer Staples		22,113,562	10.05
Health Care		21,207,745	9.63
Consumer Discretionary		20,928,891	9.51
Energy		18,777,183	8.53
Materials		17,202,899	7.81
Utilities		16,716,346	7.60
Telecommunication Services		15,196,479	6.90
Information Technology		11,200,525	5.09

Total Stocks		218,066,663	99.06
Repurchase Agreement		20,929	0.01
Cash and Other Assets, Net of Liabilities		2,057,014	0.93

Net Assets	$	220,144,606	100.00	%


	Shares	Value
Registered Investment Companies (99.66%)
State Farm Variable Product Trust Bond Fund (40.98%) (a)	2,884,758	$	28,010,996
State Farm Variable Product Trust Large Cap Equity Index Fund (58.68%) (a)	4,436,239		40,103,598

Total Registered Investment Companies
(cost $83,782,952)			68,114,594

TOTAL INVESTMENTS (99.66%)
(cost $83,782,952)			68,114,594
CASH AND OTHER ASSETS, NET OF LIABILITIES (0.34%)			232,189

NET ASSETS (100.00%)		$	68,346,783

(a)	The Stock and Bond Balanced Fund’s investment adviser is an affiliate of the issuer.


	Principal amount		Value
Corporate Bonds (89.10%)
Agriculture, Foods, & Beverage (8.59%)
Kraft Foods Inc.
4.125%, 11/12/2009	$	1,000,000	$	1,001,529
Campbell Soup Co.
6.750%, 02/15/2011		1,000,000		1,056,107
PepsiAmericas Inc.
5.625%, 05/31/2011		1,000,000		986,506
HJ Heinz Co.
6.625%, 07/15/2011		1,000,000		1,025,563
Hershey Co.
5.300%, 09/01/2011		500,000		512,590
ConAgra Foods Inc.
6.750%, 09/15/2011		1,000,000		1,010,855
Kraft Foods Inc.
5.625%, 11/01/2011		1,000,000		1,021,787
Pepsico Inc.
5.150%, 05/15/2012		1,000,000		1,032,358
PepsiAmericas Inc.
5.750%, 07/31/2012		500,000		491,163
General Mills Inc.
5.650%, 09/10/2012		500,000		510,367
HJ Heinz Co.
5.350%, 07/15/2013		500,000		496,038
Coca-Cola Enterprises Inc.
5.000%, 08/15/2013		500,000		483,011
Hershey Co.
5.450%, 09/01/2016		500,000		495,105
General Mills Inc.
5.700%, 02/15/2017		1,000,000		1,005,086
Coca-Cola Co.
5.350%, 11/15/2017		2,000,000		2,157,818
Pepsico Inc.
5.000%, 06/01/2018		1,000,000		1,036,526

				14,322,409

Automotive (0.30%)
Toyota Motor Credit Corp.
5.450%, 05/18/2011		500,000		507,691

Banks (8.33%)
Bank of New York
5.050%, 03/03/2009		500,000		502,338
Wells Fargo & Co.
4.200%, 01/15/2010		1,000,000		1,003,104
Bank of America Corp.
4.250%, 10/01/2010		1,500,000		1,490,886
Wells Fargo & Co.
4.875%, 01/12/2011		500,000		500,019
Bank of New York Mellon Corp.
4.950%, 01/14/2011		1,000,000		1,014,163
Wachovia Corp.
5.350%, 03/15/2011		500,000		477,098
Charter One Bank FSB
5.500%, 04/26/2011		1,000,000		981,415


	Principal amount		Value
Corporate Bonds (Cont.)
Banks (Cont.)
Royal Bank of Canada
5.650%, 07/20/2011	$	500,000	$	526,799
Bank of America Corp.
5.375%, 08/15/2011		500,000		509,125
Barclays Bank PLC
5.450%, 09/12/2012		1,000,000		1,012,711
Wachovia Corp.
5.700%, 08/01/2013		500,000		485,030
Mellon Funding Corp.
5.200%, 05/15/2014		500,000		467,092
US Bank NA
4.950%, 10/30/2014		500,000		505,777
Fifth Third Bank
4.750%, 02/01/2015		500,000		411,320
SunTrust Banks Inc.
5.000%, 09/01/2015		500,000		462,510
Wachovia Bank NA
5.600%, 03/15/2016		500,000		464,753
Wells Fargo Bank NA
5.750%, 05/16/2016		500,000		527,887
Bank of America NA
6.000%, 06/15/2016		500,000		499,699
Wachovia Corp.
5.750%, 06/15/2017		500,000		497,671
Deutsche Bank AG London
6.000%, 09/01/2017		1,000,000		1,061,053
Suntrust Banks Inc.
6.000%, 09/11/2017		500,000		480,360

				13,880,810

Building Materials & Construction (2.11%)
Lafarge SA
6.150%, 07/15/2011		500,000		435,340
CRH America Inc.
5.625%, 09/30/2011		500,000		390,191
Hanson Australia Funding
5.250%, 03/15/2013		1,000,000		340,016
Leggett & Platt Inc.
4.700%, 04/01/2013		1,000,000		898,436
Masco Corp.
4.800%, 06/15/2015		500,000		337,995
Hanson PLC
6.125%, 08/15/2016		500,000		174,123
CRH America Inc.
6.000%, 09/30/2016		1,000,000		622,794
Masco Corp.
5.850%, 03/15/2017		500,000		323,423

				3,522,318

Chemicals (2.64%)
Air Products & Chemicals Inc.
4.125%, 12/01/2010		1,000,000		989,435


	Principal amount		Value
Corporate Bonds (Cont.)
Chemicals (Cont.)
E.I. du Pont de Nemours and Co.
4.125%, 03/06/2013	$	1,000,000	$	963,756
Rohm & Haas Co.
5.600%, 03/15/2013		500,000		482,779
Praxair Inc.
5.375%, 11/01/2016		1,000,000		988,641
Rohm & Haas Co.
6.000%, 09/15/2017		500,000		455,045
E.I. du Pont de Nemours and Co.
6.000%, 07/15/2018		500,000		525,142

				4,404,798

Commercial Service/Supply (2.00%)
RR Donnelley & Sons Co.
3.750%, 04/01/2009		1,000,000		981,066
4.950%, 05/15/2010		500,000		449,696
Dun & Bradstreet Corp.
5.500%, 03/15/2011		500,000		487,509
RR Donnelley & Sons Co.
5.625%, 01/15/2012		500,000		444,671
Pitney Bowes Inc.
5.750%, 09/15/2017		1,000,000		971,966

				3,334,908

Computers (0.64%)
International Business Machines Corp.
5.700%, 09/14/2017		1,000,000		1,069,115
Consumer & Marketing (5.29%)
Newell Rubbermaid Inc.
4.625%, 12/15/2009		1,000,000		972,647
Unilever Capital Corp.
7.125%, 11/01/2010		1,000,000		1,069,436
Avon Products Inc.
5.125%, 01/15/2011		500,000		493,106
Clorox Co.
6.125%, 02/01/2011		1,000,000		1,001,357
Whirlpool Corp.
6.125%, 06/15/2011		1,000,000		890,471
Reed Elsevier Capital
4.625%, 06/15/2012		500,000		439,907
Kimberly-Clark Corp.
5.000%, 08/15/2013		1,000,000		1,026,834
The Procter & Gamble Co.
4.950%, 08/15/2014		1,000,000		1,054,261
Black & Decker Corp.
5.750%, 11/15/2016		500,000		419,719
Estee Lauder Co. Inc.
5.550%, 05/15/2017		1,000,000		922,997
Kimberly-Clark Corp.
6.125%, 08/01/2017		500,000		532,699

				8,823,434


	Principal amount		Value
Corporate Bonds (Cont.)
Electronic/Electrical Mfg. (1.53%)
Emerson Electric Co.
5.750%, 11/01/2011	$	1,000,000	$	1,039,209
General Electric Co.
5.000%, 02/01/2013		1,000,000		1,011,291
Emerson Electric Co.
5.125%, 12/01/2016		500,000		506,463

				2,556,963

Financial Services (7.28%)
Household Finance Corp.
4.125%, 11/16/2009		1,000,000		990,795
Citigroup Inc.
4.125%, 02/22/2010		500,000		492,712
SLM Corp.
4.500%, 07/26/2010		1,000,000		867,867
John Deere Capital Corp.
4.875%, 10/15/2010		1,000,000		1,009,291
American Express Credit
5.000%, 12/02/2010		1,000,000		971,289
SLM Corp.
5.450%, 04/25/2011		500,000		394,683
HSBC Finance Corp.
5.700%, 06/01/2011		500,000		487,594
John Deere Capital Corp.
5.650%, 07/25/2011		500,000		499,599
American Express Co.
5.250%, 09/12/2011		500,000		492,530
AMB Property L.P.
6.300%, 06/01/2013		1,000,000		629,684
HSBC Finance Corp.
5.250%, 01/15/2014		500,000		473,894
JPMorgan Chase & Co.
5.375%, 01/15/2014		500,000		505,033
General Electric Capital Corp.
4.875%, 03/04/2015		500,000		487,019
Citigroup Inc.
5.300%, 01/07/2016		500,000		461,139
General Electric Capital Corp.
5.375%, 10/20/2016		500,000		494,249
5.400%, 02/15/2017		500,000		497,653
John Deere Capital Corp.
5.500%, 04/13/2017		500,000		477,042
Citigroup Inc.
6.000%, 08/15/2017		500,000		497,705
Caterpillar Financial Services Corp.
5.850%, 09/01/2017		500,000		489,448
ProLogis
6.625%, 05/15/2018		500,000		239,162
Simon Property Group Inc.
6.125%, 05/30/2018		1,000,000		675,702

				12,134,090


	Principal amount		Value
Corporate Bonds (Cont.)
Forest Products & Paper (0.29%)
International Paper Co.
4.000%, 04/01/2010	$	500,000	$	481,154

Health Care (9.17%)
Abbott Laboratories
3.500%, 02/17/2009		500,000		500,917
Amgen Inc.
4.000%, 11/18/2009		1,000,000		999,175
Baxter FinCo BV
4.750%, 10/15/2010		1,000,000		997,173
Abbott Laboratories
5.600%, 05/15/2011		500,000		527,924
Johnson & Johnson
5.150%, 08/15/2012		500,000		544,162
AstraZeneca PLC
5.400%, 09/15/2012		500,000		528,043
Merck & Co. Inc.
4.375%, 02/15/2013		1,000,000		1,035,216
Becton Dickinson & Co.
4.550%, 04/15/2013		1,000,000		973,431
Schering-Plough Corp.
5.550%, 12/01/2013		500,000		503,656
AstraZeneca PLC
5.400%, 06/01/2014		1,000,000		1,045,280
Boston Scientific Corp.
5.450%, 06/15/2014		1,000,000		850,000
Merck & Co. Inc.
4.750%, 03/01/2015		500,000		494,277
Abbott Laboratories
5.875%, 05/15/2016		500,000		541,533
Baxter International Inc.
5.900%, 09/01/2016		500,000		540,786
Eli Lilly & Co.
5.200%, 03/15/2017		1,000,000		1,015,512
Wyeth
5.450%, 04/01/2017		500,000		509,251
Amgen Inc.
5.850%, 06/01/2017		500,000		516,372
Johnson & Johnson
5.550%, 08/15/2017		500,000		570,807
AstraZeneca PLC
5.900%, 09/15/2017		500,000		531,366
Schering-Plough Corp.
6.000%, 09/15/2017		500,000		494,955
Bristol-Myers Squibb Co.
5.450%, 05/01/2018		500,000		517,691
GlaxoSmithKline Capital Inc.
5.650%, 05/15/2018		1,000,000		1,050,328

				15,287,855

Machinery & Manufacturing (6.91%)
BF Goodrich Co.
6.600%, 05/15/2009		1,000,000		999,787


	Principal amount		Value
Corporate Bonds (Cont.)
Machinery & Manufacturing (Cont.)
3M Co.
5.125%, 11/06/2009	$	2,000,000	$	2,069,940
Honeywell International Inc.
7.500%, 03/01/2010		1,000,000		1,043,050
United Technologies Corp.
4.375%, 05/01/2010		1,500,000		1,511,991
Johnson Controls Inc.
5.250%, 01/15/2011		1,000,000		918,944
Caterpillar Inc.
6.550%, 05/01/2011		1,000,000		1,017,534
Bemis Co. Inc.
4.875%, 04/01/2012		500,000		451,477
Johnson Controls Inc.
4.875%, 09/15/2013		750,000		590,791
Caterpillar Inc.
5.700%, 08/15/2016		500,000		486,093
Eaton Corp.
5.300%, 03/15/2017		1,000,000		926,403
Honeywell International Inc.
5.300%, 03/15/2017		500,000		509,270
Cooper U.S. Inc.
6.100%, 07/01/2017		1,000,000		995,417

				11,520,697

Media & Broadcasting (2.84%)
New York Times Co.
4.500%, 03/15/2010		500,000		404,756
Gannett Co.
5.750%, 06/01/2011		1,000,000		722,016
Knight-Ridder Inc.
7.125%, 06/01/2011		1,000,000		280,000
The Walt Disney Co.
5.700%, 07/15/2011		1,000,000		1,060,979
Thomson Reuters Corp.
5.950%, 07/15/2013		1,000,000		931,028
New York Times Co.
5.000%, 03/15/2015		500,000		289,763
The Walt Disney Co.
5.625%, 09/15/2016		1,000,000		1,037,589

				4,726,131

Mining & Metals (2.82%)
Alcan Inc.
6.450%, 03/15/2011		500,000		440,482
BHP Billiton Finance USA Ltd.
5.125%, 03/29/2012		500,000		470,284
BHP Finance USA
4.800%, 04/15/2013		1,000,000		928,215
Barrick Gold Finance Inc.
4.875%, 11/15/2014		1,000,000		892,548
Alcan Inc.
5.000%, 06/01/2015		500,000		370,236


	Principal amount		Value
Corporate Bonds (Cont.)
Mining & Metals (Cont.)
Alcoa Inc.
5.550%, 02/01/2017	$	1,000,000	$	786,960
BHP Billiton Finance USA Ltd.
5.400%, 03/29/2017		500,000		444,146
Rio Tinto Finance USA Ltd.
6.500%, 07/15/2018		500,000		366,586

				4,699,457

Oil & Gas (5.60%)
BP Capital Markets PLC
4.875%, 03/15/2010		1,000,000		1,019,504
Shell International Finance
5.625%, 06/27/2011		1,500,000		1,593,715
Conoco Funding Co.
6.350%, 10/15/2011		1,000,000		1,052,034
National Fuel Gas Co.
5.250%, 03/01/2013		1,000,000		953,304
Anadarko Petroleum Corp.
5.950%, 09/15/2016		1,000,000		883,309
ConocoPhillips Canada
5.625%, 10/15/2016		500,000		510,070
Apache Corp.
5.625%, 01/15/2017		500,000		503,358
Shell International Finance
5.200%, 03/22/2017		500,000		511,699
Canadian National Resources
5.700%, 05/15/2017		500,000		436,064
Weatherford International Inc.
6.350%, 06/15/2017		500,000		426,718
EOG Resources Inc.
5.875%, 09/15/2017		500,000		507,595
Husky Energy Inc.
6.200%, 09/15/2017		500,000		446,914
ConocoPhillips
5.200%, 05/15/2018		500,000		486,613

				9,330,897

Retailers (7.78%)
May Department Stores Co.
4.800%, 07/15/2009		1,000,000		947,837
CVS Corp.
4.000%, 09/15/2009		1,000,000		987,874
Home Depot Inc.
3.750%, 09/15/2009		1,000,000		990,524
Wal-Mart Stores Inc.
4.000%, 01/15/2010		500,000		507,249
Home Depot Inc.
4.625%, 08/15/2010		500,000		495,120
5.200%, 03/01/2011		500,000		486,179
CVS Corp.
5.750%, 08/15/2011		500,000		501,729


	Principal amount		Value
Corporate Bonds (Cont.)
Retailers (Cont.)
Costco Wholesale Corp.
5.300%, 03/15/2012	$	1,000,000	$	1,043,661
Lowe’s Companies Inc.
5.600%, 09/15/2012		500,000		507,520
Walgreen Co.
4.875%, 08/01/2013		500,000		514,930
Lowe’s Companies Inc.
5.000%, 10/15/2015		1,000,000		975,954
Target Corp.
5.875%, 07/15/2016		1,000,000		954,704
Lowe’s Companies Inc.
5.400%, 10/15/2016		500,000		483,575
McDonald’s Corp.
5.300%, 03/15/2017		1,000,000		1,025,291
Wal-Mart Stores Inc.
5.375%, 04/05/2017		1,000,000		1,069,739
Target Corp.
5.375%, 05/01/2017		500,000		454,845
CVS Caremark Corp.
5.750%, 06/01/2017		500,000		470,735
Wal-Mart Stores Inc.
5.800%, 02/15/2018		500,000		553,275

				12,970,741

Telecom & Telecom Equipment (4.48%)
SBC Communications Inc.
5.300%, 11/15/2010		1,000,000		1,016,477
Verizon Communications
5.350%, 02/15/2011		1,000,000		1,005,932
Cisco Systems Inc.
5.250%, 02/22/2011		1,000,000		1,038,132
Deutsche Telekom International Finance
5.375%, 03/23/2011		500,000		494,608
Vodafone Group PLC
5.500%, 06/15/2011		1,000,000		996,651
Telefonica Emisiones SAU
5.855%, 02/04/2013		1,000,000		972,049
BellSouth Corp.
5.200%, 09/15/2014		1,000,000		973,534
Verizon Communications
5.500%, 04/01/2017		1,000,000		967,776

				7,465,159

Utilities & Energy (10.50%)
Atmos Energy Corp.
4.000%, 10/15/2009		1,000,000		979,385
Commonwealth Edison Co.
4.740%, 08/15/2010		1,000,000		984,426
Southern California Gas
4.375%, 01/15/2011		1,000,000		1,009,850
Appalachian Power Co.
5.550%, 04/01/2011		500,000		495,336


	Principal amount		Value
Corporate Bonds (Cont.)
Utilities & Energy (Cont.)
Duke Energy Corp.
6.250%, 01/15/2012	$	500,000	$	518,088
MidAmerican Energy Co.
5.650%, 07/15/2012		500,000		500,828
Appalachian Power Co.
5.650%, 08/15/2012		500,000		474,240
Vectren Utility Holdings
5.250%, 08/01/2013		500,000		477,559
Union Electric Co.
5.500%, 05/15/2014		1,000,000		938,071
Carolina Power & Light
5.250%, 12/15/2015		1,000,000		1,014,478
Ohio Power Co.
6.000%, 06/01/2016		1,000,000		956,783
Commonwealth Edison Co.
5.950%, 08/15/2016		500,000		466,600
Baltimore Gas & Electric Co.
5.900%, 10/01/2016		500,000		453,613
Consolidated Edison Co. NY
5.300%, 12/01/2016		1,000,000		977,879
Georgia Power Co.
5.700%, 06/01/2017		1,000,000		999,937
Jersey Central Power & Light
5.650%, 06/01/2017		1,000,000		918,226
Atmos Energy Corp.
6.350%, 06/15/2017		500,000		443,010
Kansas City Power & Light Co.
5.850%, 06/15/2017		1,000,000		915,646
Union Electric Co.
6.400%, 06/15/2017		500,000		455,827
MidAmerican Energy Co.
5.950%, 07/15/2017		500,000		515,140
Commonwealth Edison Co.
6.150%, 09/15/2017		500,000		464,924
Florida Power Corp.
5.800%, 09/15/2017		500,000		522,499
Virginia Electric & Power
5.950%, 09/15/2017		500,000		503,319
Public Service Electric and Gas Co.
5.300%, 05/01/2018		500,000		485,651
Florida Power Corp.
5.650%, 06/15/2018		500,000		518,490
Pacificorp
5.650%, 07/15/2018		500,000		509,203

				17,499,008

Total Corporate Bonds
(cost $154,496,785)				148,537,635


	Shares or principal amount		Value
Government Agency Securities (7.73%) (a)
Federal Home Loan Mortgage Corp.
6.625%, 09/15/2009	$	2,000,000	$	2,082,798
4.500%, 07/15/2013		1,500,000		1,631,931
5.200%, 03/05/2019		2,000,000		2,012,930
5.300%, 05/12/2020		2,000,000		1,960,840
Federal National Mortgage Association
6.625%, 09/15/2009		2,000,000		2,081,768
5.550%, 02/16/2017		3,000,000		3,119,178

Total Government Agency Securities
(cost $12,427,537)				12,889,445

U.S. Treasury Obligations (1.34%)
U.S. Treasury Notes
3.875%, 02/15/2013		2,000,000		2,228,124

Total U.S. Treasury Obligations
(cost $1,980,833)				2,228,124

Short-term Investments (0.49%)
JPMorgan U.S. Government Money Market Fund		814,804		814,804

Total Short-term Investments
(cost $814,804)				814,804

TOTAL INVESTMENTS (98.66%)
(cost $169,719,959)				164,470,008
OTHER ASSETS, NET OF LIABILITIES (1.34%)				2,230,318

NET ASSETS (100.00%)			$	166,700,326

(a)	The obligations of these U.S. Government-sponsored entities are neither issued nor guaranteed by the United States Treasury.


	Principal amount		Value
Short-term Investments (99.98%)
Automotive (9.81%)
Toyota Motor Credit Corp.
2.050%, 01/21/2009	$	2,500,000	$	2,497,153
American Honda Finance Corp.
2.600%, 02/06/2009		2,500,000		2,493,500

				4,990,653

Financial Services (19.65%)
HSBC Finance Corp.
2.000%, 01/09/2009		2,500,000		2,498,889
Chevron Funding Corp.
0.250%, 01/22/2009		2,500,000		2,499,636
Citigroup Funding (a)
0.600%, 01/23/2009		2,500,000		2,499,083
Caterpillar Financial Services Corp.
0.250%, 02/26/2009		2,500,000		2,499,028

				9,996,636

Government Agency Securities (57.95%) (b)
Federal Home Loan Bank
1.650%, 01/05/2009		3,000,000		2,999,450
2.400%, 01/16/2009		2,000,000		1,998,000
1.150%, 01/29/2009		3,000,000		2,997,317
0.700%, 02/18/2009		5,000,000		4,995,333
0.650%, 03/02/2009		2,500,000		2,497,292
0.140%, 03/16/2009		1,000,000		999,712
0.100%, 03/30/2009		2,000,000		1,999,511
0.070%, 03/31/2009		2,500,000		2,499,567
0.200%, 03/04/2009		2,500,000		2,499,139
Federal National Mortgage Association
2.850%, 01/14/2009		3,000,000		2,996,913
Federal Home Loan Mortgage Corp.
0.180%, 02/13/2009		2,000,000		1,999,570
0.200%, 03/09/2009		1,000,000		999,628

				29,481,432

Health Care (4.90%)
Pfizer Inc.
2.220%, 02/11/2009		2,500,000		2,493,679

Media & Broadcasting (4.91%)
The Walt Disney Co.
1.050%, 02/10/2009		2,500,000		2,497,083


	Shares	Value
Registered Investment Companies (2.76%)
JPMorgan U.S. Government Money Market Fund	1,407,100	$	1,407,100

Total Short-term Investments
(cost $50,866,583)			50,866,583

TOTAL INVESTMENTS (99.98%)
(cost $50,866,583)			50,866,583
OTHER ASSETS, NET OF LIABILITIES (0.02%)			8,728

NET ASSETS (100.00%)		$	50,875,311

(a)	Insured under the FDIC’s Temporary Liquidity Guarantee Program.

(b)	The obligations of these U.S. Government-sponsored entities are neither issued nor guaranteed by the United States Treasury.

State Farm Variable Product Trust (the “Trust”) has nine separate investment portfolios (each a “Fund” and together, the “Funds”) as of December 31, 2008. Shares of each Fund are offered exclusively in connection with variable deferred annuity and variable universal life insurance policies issued by State Farm Life Insurance Company and State Farm Life and Accident Assurance Company. Each Fund is a separate investment portfolio with its own investment objective, investment policies, restrictions and attendant risks.

The Large Cap Equity Fund seeks long-term growth of capital. The Fund invests under normal circumstances at least 80% of its net assets plus any borrowing in common stocks and other equity securities of U.S. large capitalization companies.

The Small/Mid Cap Equity Fund seeks long-term growth of capital. The Fund primarily invests in a diversified portfolio of small and mid-capitalization stocks issued by U.S. companies.

The International Equity Fund seeks long-term growth of capital. The International Equity Fund invests its assets primarily in securities issued by foreign companies. There is no restriction on the size of the companies in which the Fund invests.

The Large Cap Equity Index Fund (the “Large Cap Index Fund”) seeks to match the performance of the Standard and Poor’s Composite Index of 500 Stocks^® (the “S&P 500”) by investing in the securities that make up the S&P 500. The S&P 500 tracks the common stock performance of 500 large U.S. companies.

The Small Cap Equity Index Fund (the “Small Cap Index Fund”) seeks to match the performance of the Russell 2000^® Index (the “Russell 2000”). The Small Cap Index Fund invests primarily in some of the stocks found in the Russell 2000. The Russell 2000 tracks the common stock performance of about 2,000 small U.S. companies.

The International Equity Index Fund (the “International Index Fund”) seeks to match the performance of the Morgan Stanley Capital International Europe, Australasia and Far East Free Index^® (the “EAFE Free”). The International Index Fund invests primarily in some of the stocks found in the EAFE Free. The EAFE Free is a capitalization-weighted index that currently includes stocks of companies in 16 European countries, Australia, New Zealand, Hong Kong, Japan and Singapore.

The Stock and Bond Balanced Fund (the “Balanced Fund”) seeks long-term growth of capital, balanced with current income. The Balanced Fund invests in the Large Cap Index and Bond Funds of the Trust.

The Bond Fund seeks to realize over a period of years the highest yield consistent with prudent investment management through current income and capital gains. The Fund invests primarily in bonds issued by U.S. companies.

The Money Market Fund seeks to maximize current income to the extent consistent with the preservation of capital and maintenance of liquidity.

The following is a summary of significant accounting policies followed by the Funds in the preparation of their financial statements in accordance with U.S. generally accepted accounting principles (“GAAP”).

Investments are stated at market value. Stocks traded on securities exchanges, or in an over-the-counter market in which transaction prices are reported, are valued at the last sales price on the day of valuation or, if there are no reported sales on that day, at the last reported bid price for the day. Stocks traded on NASDAQ are valued at the NASDAQ Official Closing Price. Long-term debt securities and U.S. Treasury bills are generally valued using quotations provided by an independent pricing service. All of the securities and assets of the Money Market Fund and short-term debt securities with remaining maturities of 60 days or less (other than U.S. Treasury bills) held by any of the other Funds are generally valued on an amortized cost basis, which approximates market value. Investments in open-end investment companies are valued each day based on the closing net asset value of the respective fund. Futures contracts are valued at the settlement price established each day on the exchange on which they are traded. Forward foreign currency contracts are valued daily using quoted forward exchange rates. Short sales are valued at market value.

Portfolio securities that are primarily traded on foreign securities exchanges (“foreign securities”) are valued at the closing values of such securities on the respective exchange where each security is primarily traded. In the event that State Farm Investment Management Corp. (“SFIMC”), the Trust’s investment adviser, determines that a market quotation for a foreign security held by a Fund is not reliable because of events or circumstances that have occurred between the time of the market quotation and the time the net asset value of the Fund is calculated (“subsequent event”), the security is valued at fair value in accordance with procedures established by the Trust’s Board of Trustees. A subsequent event might include company-specific developments, a development that might affect an entire market or region, a potentially global development or a significant change in one or more U.S. securities indexes. The Trust has retained an independent statistical fair value service to assist in the

fair valuation process for foreign securities in order to adjust for possible changes in value resulting from subsequent events. If a security is valued at “fair value,” that value may be different from the last quoted market price.

Securities not valued as described above, and securities for which market prices are not readily available or are considered unreliable, are fair valued pursuant to procedures established by the Trust’s Board of Trustees. Fair value, as a general principle, means the value the Fund might reasonably expect to receive upon sale of that security. These fair value procedures require SFIMC to obtain bid price quotations from brokers or dealers in the securities. If SFIMC cannot obtain a quotation for the security or if SFIMC believes the quotation does not represent the security’s fair value, then SFIMC will determine the security’s fair value in its reasonable judgment.

In making a fair value judgment, SFIMC may use different methodologies, including multiple of earnings, multiple of book value, discount from market of a similar freely traded security or, for debt securities, yield to maturity. Other factors SFIMC may consider in determining fair value for a security include, but are not limited to, fundamental analytical data relating to the security, the nature and duration of any restrictions on disposition of the security, the last traded price of the security, significant global or regional events such as political unrest, natural disasters, and war, and significant movements in major market indices, exchange traded funds, index futures or other financial instruments in the U.S. or other markets.

The Funds implemented Financial Accounting Standards Board Statement of Financial Accounting Standards No. 157, “Fair Value Measurements” (“FAS 157”), effective January 1, 2008. In accordance with FAS 157, fair value is defined as the price that the Funds would receive upon selling an investment in a timely transaction to an independent buyer in the principal or most advantageous market of the investment. FAS 157 establishes a three-tier hierarchy to classify fair value measurements for disclosure purposes. The three-tier hierarchy of inputs is summarized in the three broad levels listed below.

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the Funds’ assets as of December 31, 2008:

Other financial instruments are derivative instruments not reflected in the Schedules of Investments, such as futures and foreign currency contracts, which are valued at the unrealized appreciation (depreciation) on the instrument.

The Small Cap Index Fund and International Index Fund did not hold any Level 3 securities valued at other than zero as of December 31, 2007 and December 31, 2008. The remaining Funds did not hold any Level 3 securities as of December 31, 2007, or December 31, 2008.

The Funds may enter into repurchase agreements with banks, brokers, dealers, and other financial institutions in accordance with a Fund’s investment restrictions. Repurchase agreements involve the purchase of securities with a simultaneous commitment to resell the securities to the seller at an agreed-upon price and date. A Fund will invest only in repurchase agreements collateralized in an amount at least equal to the

repurchase price plus accrued interest. To the extent that the proceeds from any sale of such collateral upon a default in the obligation to repurchase were less than the repurchase price, the Fund would suffer a loss. If the financial institution which is the party to the repurchase agreement petitions for bankruptcy or otherwise becomes subject to bankruptcy or other liquidation proceedings, there may be restrictions on the ability to sell the collateral and the Fund could suffer a loss. Each Fund’s Schedule of Investments reflects the repurchase agreements, if any, entered into as of December 31, 2008.

For financial reporting purposes, security transactions are accounted for on trade date (date the order to buy or sell is executed). Dividend income is recorded on the ex-dividend date, except that certain dividends from foreign securities are recorded as soon as the information is available to the Funds. Interest income is recorded on the accrual basis and includes amortization of discounts and premiums on money market instruments and long-term debt instruments. Realized gains and losses from security transactions are reported on an identified cost basis.

Fund shares are sold and redeemed on a continuous basis at net asset value. Net asset value per share is determined daily on each day the New York Stock Exchange is open, except that a Fund need not compute a net asset value on any day when no purchase or redemption order has been received by the Fund. The net asset values are determined as of the close of regular session trading on the New York Stock Exchange (usually 3:00 p.m., Central Standard time). The net asset value per share is computed by dividing the total value of the Fund’s investments and other assets, less liabilities, by the number of Fund shares outstanding.

It is the Funds’ policy to comply with the special provisions of Subchapter M of the Internal Revenue Code applicable to regulated investment companies and, in the manner provided therein, to distribute substantially all of their taxable income, including any net realized gain on sales of investments, reportable for federal income tax purposes. The Funds intend to comply with this policy and, accordingly, no provision for federal income taxes has been made.

The Trust’s management has completed a review of tax positions taken by the Funds in accordance with the criteria in the Financial Accounting Standards Board Interpretation No. 48, “Accounting for Uncertainty in Income Taxes,” and has determined that no tax liability is required for unrecognized tax benefits, and no additional disclosures are needed, as of December 31, 2008. Generally, the tax authorities can initiate examinations of tax returns within the three year period beginning on the date such returns are filed. As a result, some tax returns are still open and subject to examination.

As of December 31, 2008, the Funds’ aggregate unrealized gains and losses on securities based on cost for federal income tax purposes were as follows:

The differences between the cost of investments for Federal tax purposes and the cost of investments reflected on the Schedules of Investments are primarily related to the timing of recognition of gains and losses and investment income.

At December 31, 2008, the following Funds had unused capital loss carryforwards available for federal income tax purposes to be applied against future capital gains, if any. If not applied, the carryforwards will expire as follows:

The Bond Fund utilized $88,987 of capital loss carryforwards to offset realized capital gains in 2008.

As of December 31, 2008, in accordance with federal tax regulations, the components of distributable earnings on a tax basis were as follows:

Differences between these amounts and the undistributed net investment income reported on the Statements of Assets and Liabilities as of December 31, 2008 relate to current year estimates for return of capital from Real Estate Investment Trusts (“REITs”), accumulated capital losses, post-October loss deferrals, short term capital gains and mark-to-market of Passive Foreign Investment Companies (“PFICs”), and/or forward foreign currency and futures contract adjustments.

The timing and characterization of certain income and capital gain distributions are determined annually in accordance with federal income tax regulations which may differ from GAAP. These differences are primarily due to differing treatment for futures contracts, the recognition of net realized losses, the timing of fund distributions, and foreign currency transactions. As a result, net investment income and net realized gain or loss on investment transactions for a reporting period may differ from distributions during such period. Accordingly, each Fund may periodically make reclassifications among certain of its capital accounts without impacting its net asset value.

The Large Cap Equity, Small/Mid Cap Equity, International Equity, Large Cap Index, Small Cap Index, International Index, and Balanced Funds declare and pay dividend and capital gain distributions, if any, at least annually.

The Bond and Money Market Funds declare dividends daily and distribute dividends monthly on the last business day of the month. Capital gain distributions on these Funds, if any, are paid at least annually.

The tax character of distributions for certain Funds was as follows for the years ended December 31, 2008 and 2007 respectively:

For the remaining Funds, the tax distributions of ordinary income were the same as the distributions from net investment income reflected in the Statements of Changes in Net Assets for the year ended December 31, 2008.

The International Equity Fund and International Index Fund have elected to mark-to-market their investments in PFICs for federal income tax purposes. In accordance with this election, the International Equity Fund recognized unrealized appreciation (depreciation) of $(200,514) and ($148,522) during 2008 and 2007, respectively, and realized gains of $128,154 and $149,107 during 2008 and 2007 respectively, as ordinary income for federal income tax purposes. The International Index Fund recognized unrealized appreciation (depreciation) of ($3,114,830) and

(231,915) during 2008 and 2007, respectively, and realized gains of $232,836 and $122,193 during 2008 and 2007, respectively, as ordinary income for federal income tax purposes. The cumulative amount of mark-to-market adjustments recognized on PFICs at December 31, 2008, was $2,765 for the International Equity Fund and $1,038,280 for the International Index Fund.

From November 1, 2008 through December 31, 2008, the Large Cap Equity Fund incurred $1,901,194 in net realized losses, the Small/Mid Cap Equity Fund incurred $2,206,447 in net realized losses, the International Equity Fund incurred $952,664 in net realized losses, the Large Cap Index Fund incurred $1,354,748 in net realized losses, the Small Cap Index Fund incurred $1,377,389 in net realized losses, and the International Index Fund incurred $105,539 in PFIC losses and $2,790,118 in net realized losses. As permitted by tax regulation, the Funds intend to elect to defer these losses and treat them as arising on January 1, 2009.

Investment securities and other assets and liabilities denominated in a foreign currency are translated into U.S. dollars at the prevailing foreign exchange rates at December 31, 2008. Purchases and sales of investment securities and income and expense items denominated in foreign currencies are translated into U.S. dollars at the prevailing foreign exchange rates on the respective dates of transactions. That portion of realized and unrealized gains and losses on investments that results from fluctuations in foreign currency exchange rates is not separately disclosed, but is included with realized and unrealized gains and losses on investment securities.

Expenses arising in connection with a specific Fund are allocated to that Fund. Common Trust expenses are generally allocated between the Funds in proportion to each Fund’s relative net assets.

On October 3, 2008, the Board of Trustees of the Trust approved the participation by the Trust’s Money Market Fund (the “Fund”) in the U.S. Department of Treasury’s Temporary Money Market Fund Guarantee Program (“the Program”) for the initial coverage period of September 19, 2008, through December 18, 2008. The Treasury extended the Program from December 18, 2008, through April 30, 2009. The Board of Trustees of the Trust elected to participate in this Program extension. If the U.S. Treasury decides to extend the Program beyond April 30, 2009, the Board of Trustees of the Trust will again need to consider whether the Fund should continue to participate in the Program’s extension.

Under the Program, if the Fund’s net asset value per share drops below $0.995 on any day while the Program is in effect, shareholders of record on that date who also held Fund shares on September 19, 2008, may be eligible to receive a payment from the Treasury upon liquidation of the Fund. The Program covers the lesser of the number of shares owned by the shareholder as of September 19, 2008, or the number of shares owned by the shareholder as of the date of liquidation. The Fund pays fees to participate in the Program and any Program extension; however, SFIMC’s voluntary agreement to reimburse excess expenses incurred by the Fund remains in effect.

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates.

In the normal course of business, the Trust enters into contracts on behalf of the Funds that may contain provisions for general indemnifications. Each Fund’s maximum exposure under these indemnification provisions is unknown, as this would involve future claims that may be made against each Fund that are not known at this time. However, based on past experience, the Funds believe the risk of loss from these indemnification provisions is improbable.

The Large Cap Index, Small Cap Index, and International Index Funds, and, indirectly, the Balanced Fund, may enter into stock index futures contracts to gain exposure to market changes as this may be more efficient or cost effective than actually buying the securities. These contracts obligate a Fund to make or take delivery of a financial instrument or the cash value of a securities index at a specified future date at a specified price. Additionally, the International Equity and International Index Funds may enter into forward foreign currency contracts to purchase or sell foreign currencies. The Funds bear the market risk that arises from changes in the value of financial instruments and securities indices (futures contracts) or from changes in foreign currency rates (forward foreign currency contracts) and the credit risk should a counterparty fail to perform under such contracts.

The Large Cap Index, Small Cap Index, and International Index Funds and, indirectly, the Balanced Fund, may enter into short sale transactions to dispose of non-index securities received as a result of corporate actions such as mergers or spinoffs.

In March 2008, Statement of Financial Accounting Standards No. 161 “Disclosures about Derivative Instruments and Hedging Activities” (SFAS 161) was issued and is effective for fiscal years and interim periods beginning after November 15, 2008. SFAS 161 requires qualitative disclosures about objectives and strategies for using derivatives, quantitative disclosures about fair value amounts of and gains and losses on derivative instruments, and disclosures about credit-risk-related contingent features in derivative agreements. At this time, the Trust’s management is evaluating the implications of SFAS 161, and its impact on the Funds’ financial statements, if any, has not yet been determined.

The Trust has entered into an investment advisory and management services agreement with SFIMC pursuant to which each Fund pays SFIMC an annual fee (computed on a daily basis and paid monthly) at the following annual rates:

SFIMC has agreed not to be paid an investment advisory and management services fee for performing its services for the Balanced Fund and has agreed to reimburse any other expenses incurred by that Fund. However, SFIMC receives investment advisory fees from managing the underlying Funds in which the Balanced Fund invests.

With respect to each Fund, other than the Balanced, International Equity and International Index Funds, SFIMC has agreed to reimburse the expenses incurred by each Fund, (other than the investment advisory and management services fee, acquired fund fees and expenses and custody fees in the case of the Large Cap Index Fund and the Small Cap Index Fund) that exceed 0.10% of such Fund’s average daily net assets. With respect to the International Equity and International Index Funds, SFIMC has agreed to reimburse the expenses incurred by these Funds, other than the investment advisory and management services fee and acquired fund fees and expenses, that exceed 0.20% of the Fund’s average daily net assets. With respect to the Large Cap Index Fund and the Small Cap Index Fund, SFIMC has agreed to reimburse all custody fees.

Beginning in early February 2009, the daily net investment income on securities held by the Money Market Fund fell to a level below the amount of operating expenses incurred by the Money Market Fund. Since that time, SFIMC has been voluntarily waiving portions of its fees in amounts necessary to keep the daily net investment income of the Money Market Fund from falling below zero.

These expense reductions are voluntary and may be eliminated by SFIMC at any time.

The Funds do not pay any direct or indirect discount, commission or other compensation for transfer agent services provided by SFIMC or for distribution and underwriting services provided by State Farm VP Management Corp.

SFIMC has engaged Bridgeway Capital Management, Inc. (“Bridgeway”) and Westwood Management Corp. (“Westwood”) as the investment sub-adviser to provide day-to-day portfolio management for the Large Cap Equity Fund effective September 2, 2008; Bridgeway and Rainier Investment Management, Inc. (“Rainier”) as the investment sub-advisers to provide day-to-day portfolio management for the Small/Mid Cap Equity Fund; Marsico Capital Management, LLC (“Marsico”) and Northern Cross, LLC (“Northern Cross”) as the investment sub-advisers to provide day-to-day portfolio management for the International Equity Fund effective September 2, 2008; and Barclays Global Fund Advisors (“Barclays”) as the investment sub-adviser to provide day-to-day portfolio management for the Large Cap Index, Small Cap Index and International Index Funds. Up to September 2, 2008, SFIMC had engaged Capital Guardian Trust Company (“Capital Guardian”) as the investment sub-adviser for the Large Cap Equity Fund and International Equity Fund.

In accordance with the overall investment objectives of each respective Fund, Bridgeway, Westwood, Marsico, Northern Cross, Barclays, and Rainier determine which securities to buy and sell for each of these Funds, select the brokers and dealers to effect the transactions, and negotiate

commissions. Bridgeway’s, Westwood’s, Rainier’s, Marsico’s, Northern Cross’s, and Barclays’s sub-advisory fees for managing the respective portfolios are paid by SFIMC. No additional advisory fees are charged to the Funds.

For the year ended December 31, 2008, the following fees were earned by Capital Guardian, Barclays, Bridgeway, Rainier, Westwood, Marisco, and Northern Cross for sub-advisory services (not all amounts earned were paid during the period):

Certain officers and/or trustees of the Trust are also officers and/or directors of SFIMC. The Trust made no payments to its officers or trustees except for trustees’ fees paid to or accrued for the Trust’s independent trustees.

The International Equity Fund had the following open forward foreign currency contracts at December 31, 2008:

The International Index Fund had the following open forward foreign currency contract at December 31, 2008:

The Large Cap Index, Small Cap Index and International Index Funds had the following open futures contracts at December 31, 2008:

The financial highlights table is intended to help you understand the financial performance of each Fund for the past five years, or if performance information is not available for these periods, since the Fund’s inception. Certain information reflects financial results for a single Fund share. The total returns in the table represent the rate that an investor would have earned (or lost) on an investment in the Fund (assuming reinvestment of all dividends and distributions).

We have audited the accompanying statements of assets and liabilities, including the schedules of investments, of the Large Cap Equity Fund, Small/Mid Cap Equity Fund, International Equity Fund, Large Cap Equity Index Fund, Small Cap Equity Index Fund, International Equity Index Fund, Stock and Bond Balanced Fund, Bond Fund and Money Market Fund, comprising the State Farm Variable Product Trust (collectively, the “Funds”), as of December 31, 2008, and the related statements of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, and the financial highlights for each of the periods indicated therein. These financial statements and financial highlights are the responsibility of the Funds’ management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits.

We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement. We were not engaged to perform an audit of the Funds’ internal control over financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Funds’ internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements and financial highlights, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. Our procedures included confirmation of securities owned as of December 31, 2008, by correspondence with the custodian and brokers or by other appropriate auditing procedures where replies from brokers were not received. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the financial statements and financial highlights referred to above present fairly, in all material respects, the financial position of each of the Funds of the State Farm Variable Product Trust at December 31, 2008, the results of their operations for the year then ended, the changes in their net assets for each of the two years in the period then ended, and the financial highlights for each of the periods indicated therein, in conformity with U.S. generally accepted accounting principles.

I. Information about Non-Interested (Independent) Trustees of State Farm Variable Product Trust

II. Information about Interested Trustees/Officers of State Farm Variable Product Trust

The Trust’s Statement of Additional Information (“SAI”) includes additional information about the Trustees of the Trust, and the SAI is available without charge upon request. Call toll-free 1-888-702-2307 to request a copy of the SAI.

As of the end of the period covered by this report, the registrant has adopted a code of ethics that applies to the registrants’ principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions (each a “covered person”). During the period covered by this Form N-CSR, registrant did not make any amendment to any provisions of such code of ethics that applies to a covered person and that relates to any element of such code set forth in paragraph (b) of Item 2 of Form N-CSR, and registrant did not grant any waiver from such code of ethics provisions. Registrant hereby undertakes to provide a copy of such code of ethics to any person upon request, without charge. To request a copy of the code of ethics, contact the registrant at 1-888-702-2307.

Registrant’s board of trustees has determined that Alan Latshaw and Anita Nagler, members of the registrant’s Committee of Independent Trustees, each have all of the attributes to be deemed an “audit committee financial expert,” as such term is defined in Instruction 2(b) to Item 3 of Form N-CSR. Mr. Latshaw and Ms. Nagler are “independent” as such term is defined in paragraph (a)(2) of Item 3 of Form N-CSR.

As indicated in Instruction 2(d) to Item 3 of Form N-CSR, a person who is determined to be an audit committee financial expert will not be deemed an “expert” for any purpose, including without limitation for the purposes of Section 11 of the Securities Act of 1933, as a result of being designated or identified as an audit committee financial expert pursuant to this Item 3 of Form N-CSR. The designation or identification of a person as an audit committee financial expert pursuant to this Item 3 of Form N-CSR does not impose on such person any duties, obligations, or liability that are greater than the duties, obligations, and liability imposed on such person as a member of the Committee of Independent Trustees and board of trustees in the absence of such designation or identification. The designation or identification of a person as an audit committee financial expert pursuant to this Item 3 of Form N-CSR does not affect the duties, obligations, or liability of any other member of the Committee of Independent Trustees or board of trustees.

The audit fees for December 31, 2008 are based on amounts billed and expected to be billed to registrant by the registrant’s independent registered public accountant and include an estimated amount from the registrant’s independent registered public accountant for the out-of-pocket expenses it expects to bill to registrant for that time period.

The nature of the services comprising the fees disclosed under this category: not applicable

Fees required to be approved pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Reg. S-X:

The nature of the services comprising the fees disclosed under this category: not applicable

Includes fees for reviewing the registrant’s compliance with tax qualification tests relating to asset diversification, gross income, and distribution requirements to maintain the registrant’s status as a Regulated Investment Company under current provisions of the Internal Revenue Code. Also includes fees for reviewing the registrant’s tax returns (federal, state, and excise) and for the period ending December 31, 2007, a review of income tax and excise tax positions, issues and tax accounting methods with respect to the registrant.

Fees required to be approved pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Reg. S-X:

The nature of the services comprising the fees disclosed under this category: not applicable

The nature of the services comprising the fees disclosed under this category include: not applicable

Fees required to be approved pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Reg. S-X:

The fees approved pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Reg. S-X were billed to registrant’s transfer agent, State Farm Investment Management Corp., by the registrant’s independent registered public accountant. These fees relate to the performance of an internal control review of the internal controls of the registrant’s transfer agent and issuance of a report in accordance with Rule 17Ad-13 under the Securities Exchange Act of 1934 by the registrant’s independent registered public accountant.

The Committee of Independent Trustees (the “Committee”) will approve and recommend to the Board, the selection, retention or termination of the independent registered public accountants of the Trust, and review the independent registered public accountant’s fees to determine whether those fees appear to be appropriate for the services rendered.

- the Committee shall be directly responsible for the appointment, compensation and oversight of the independent registered public accountants; and

- the independent registered public accountants shall report directly to the Committee.

The percentage of services described in each of paragraphs (b) through (d) of this Item that were approved by the Committee pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X:

Aggregate non-audit fees billed by the registrant’s accountant for services rendered to registrant’s investment adviser (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser):

Aggregate non-audit fees billed by the registrant’s accountant for services rendered to an entity controlling, controlled by, or under common control with the adviser that provides ongoing services to the registrant:

There were no material changes to the procedures by which shareholders may recommend nominees to the State Farm Variable Product Trust Board of Trustees.

(a) The registrant’s principal executive officer and principal financial officer evaluated the effectiveness of the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940 (the “Act”) (17 CFR 270.30a-3(c))) as of a date within 90 days of the filing date of this report (the “Evaluation Date”), and based on their evaluation as of the Evaluation Date of these controls and procedures as required by Rule 30a-3(b) under the Act (17 CFR 270.30a-3(b)) and Rules 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934 (17 CFR 240.13a-15(b) or 240.15d-15(b)) (as applicable), concluded that the registrant's disclosure controls and procedures are effective.

(b) No change in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the Act (17 CFR 270.30a-3(d))) occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

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.

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.


Michael L. Tipsord		Alan Goldberg
One State Farm Plaza		Bell, Boyd & Lloyd LLP
Bloomington, Illinois 61710-0001		Three First National Plaza
		70 West Madison St., Suite 3100
		Chicago, Illinois 60602


	Beginning Account Value July 1, 2008	Ending Account Value December 31, 2008	Annualized Expense Ratio Based on the Period July 1, 2008 to December 31, 2008		Expenses Paid During Period July 1, 2008 to December 31, 2008²
Large Cap Equity Fund
Actual	1,000.00	720.08	0.70	%	3.03
Hypothetical (5% return before expenses)	1,000.00	1,021.62	0.70	%	3.56
Small/Mid Cap Equity Fund
Actual	1,000.00	585.86	0.90	%	3.59
Hypothetical (5% return before expenses)	1,000.00	1,020.61	0.90	%	4.57
International Equity Fund
Actual	1,000.00	592.98	1.00	%	4.00
Hypothetical (5% return before expenses)	1,000.00	1,020.11	1.00	%	5.08
Large Cap Equity Index Fund
Actual	1,000.00	714.83	0.34	%	1.47
Hypothetical (5% return before expenses)	1,000.00	1,023.43	0.34	%	1.73
Small Cap Equity Index Fund
Actual	1,000.00	728.81	0.53	%	2.30
Hypothetical (5% return before expenses)	1,000.00	1,022.47	0.53	%	2.69
International Equity Index Fund
Actual	1,000.00	649.67	0.80	%	3.32
Hypothetical (5% return before expenses)	1,000.00	1,021.11	0.80	%	4.06


	Beginning Account Value July 1, 2008	Ending Account Value December 31, 2008	Annualized Expense Ratio Based on the Period July 1, 2008 to December 31, 2008		Expenses Paid During Period July 1, 2008 to December 31, 2008²
Stock and Bond Balanced Fund³
Actual	1,000.00	824.88	0.44	%	2.02
Hypothetical (5% return before expenses)	1,000.00	1,022.92	0.44	%	2.24
Bond Fund
Actual	1,000.00	994.85	0.60	%	3.01
Hypothetical (5% return before expenses)	1,000.00	1,022.12	0.60	%	3.05
Money Market Fund
Actual	1,000.00	1,008.16	0.51	%	2.57
Hypothetical (5% return before expenses)	1,000.00	1,022.57	0.51	%	2.59


		Average Annual Returns
Fund	Inception Date	1-Year	5-Year	10-Year	Since Inception
Large Cap Equity Index Fund	1/22/1998	–41.77%	–4.26%	–3.16%	–0.61%
Small Cap Equity Index Fund	1/29/1998	–38.90%	–3.16%	1.08%	0.70%
International Equity Index Fund	1/22/1998	–46.45%	–0.24%	–0.98%	0.55%
Stock and Bond Balanced Fund	1/29/1998	–28.69%	–1.85%	–0.38%	0.84%
Bond Fund	1/22/1998	–6.16%	1.12%	3.08%	3.31%
Large Cap Equity Fund	8/1/2005	–45.48%	-	-	–13.79%
Small/Mid Cap Equity Fund	8/1/2005	–49.47%	-	-	–12.21%
International Equity Fund	8/1/2005	–51.03%	-	-	–8.46%


		Average Annual Returns
Fund	Inception Date	1-Year	5-Year	10-Year	Since Inception
Large Cap Equity Index Fund	1/22/1998	–42.52%	–6.44%	–5.80%	–2.74%
Small Cap Equity Index Fund	1/29/1998	–39.69%	–5.27%	–1.03%	–1.54%
International Equity Index Fund	1/22/1998	–47.17%	–2.24%	–3.55%	–1.72%
Stock and Bond Balanced Fund	1/29/1998	–29.61%	–4.17%	–2.82%	–1.38%
Bond Fund	1/22/1998	–7.21%	–1.43%	0.81%	1.09%
Large Cap Equity Fund	8/1/2005	–46.25%	-	-	–15.70%
Small/Mid Cap Equity Fund	8/1/2005	–50.14%	-	-	–14.12%
International Equity Fund	8/1/2005	–51.74%	-	-	–10.17%



Table of Contents
Message to Variable Product Customers		1

Management’s Discussions
Large Cap Equity Fund		3
Small/Mid Cap Equity Fund		7
International Equity Fund		10
Large Cap Equity Index Fund		14
Small Cap Equity Index Fund		17
International Equity Index Fund		19
Stock and Bond Balanced Fund		22
Bond Fund		26
Money Market Fund		28

Expense Example (unaudited)		29

Policy Total Returns		31

Schedule of Investments
Large Cap Equity Fund		33
Small/Mid Cap Equity Fund		35
International Equity Fund		38
Large Cap Equity Index Fund		41
Small Cap Equity Index Fund		47
International Equity Index Fund		67
Stock and Bond Balanced Fund		79
Bond Fund		80
Money Market Fund		85

Financial Statements
Statements of Assets and Liabilities		86
Statements of Operations		88
Statements of Changes in Net Assets		90
Notes to Financial Statements		94

Financial Highlights		103

Report of Independent Registered Public Accounting Firm		112

Management Information		113


Holding	Fund Weighting (% of total assets as of August 31, 2008)	% Loss (as of August 31, 2008)
American International Group Inc.	2.14%	–63%
Wachovia Corp.	1.86%	–57%
Lehman Brothers Holdings Inc.	0.90%	–75%
Washington Mutual Inc.	1.18%	–70%
XL Capital Ltd.	1.04%	–59%
Federal Home Loan Mortgage Co.	0.56%	–83%
American Capital Ltd.	1.85%	–30%


Sector	Index Weighting (as of December 31, 2008)		Loss for Year
Information Technology	15.30	%	–44	%
Health Care	14.76		–24	%
Energy	13.31		–36	%
Financials	13.29		–57	%
Consumer Staples	12.85		–18	%
Industrials	11.06		–42	%
Consumer Discretionary	8.38		–35	%
Utilities	4.23		–32	%
Telecommunication Services	3.83		–34	%
Materials	2.99		–47	%


Country	2008 Index Weighting		2008 Loss
United Kingdom	21.70	%	–50.56	%
France	10.70	%	–44.92	%
Germany	8.20	%	–47.24	%
Switzerland	8.20	%	–31.57	%
Australia	5.90	%	–52.30	%
Spain	4.30	%	–42.97	%
Italy	3.60	%	–52.10	%
Netherlands	2.40	%	–50.09	%
Sweden	2.00	%	–51.44	%


Sector	S&P 500 Index Weighting (as of December 31, 2008)		Loss for Year
Information Technology	15.30	%	–44	%
Health Care	14.76		–24
Energy	13.31		–36
Financials	13.29		–57
Consumer Staples	12.85		–18
Industrials	11.06		–42
Consumer Discretionary	8.38		–35
Utilities	4.23		–32
Telecommunication Services	3.83		–34
Materials	2.99		–47


	Shares	Value
Short-term Investments (2.18%)
JPMorgan U.S. Government Money Market Fund	547,479	$	547,479

Total Short-term Investments
(cost $547,479)			547,479

TOTAL INVESTMENTS (101.12%)
(cost $33,307,375)			25,384,134

LIABILITIES, NET OF OTHER ASSETS (-1.12%)			(281,926	)

NET ASSETS (100.00%)		$	25,102,208


	Large Cap Equity Fund			Small/Mid Cap Equity Fund		International Equity Fund
Assets
Investments in securities at identified cost	$	33,307,375		33,842,760		36,297,407

Investments in securities at market value	$	25,384,134		24,235,342		25,268,774
Cash		—		—		—
Foreign currencies at value (cost $1,551,732)		—		—		—
Receivable for:
Dividends and interest		40,517		27,840		90,520
Shares of the Fund sold		16,378		18,028		10,772
Securities sold		199,008		166,180		3,784
SFIMC		3,360		4,315		19,410
Unrealized gain on forward foreign currency contracts		—		—		376
Variation margin		—		—		—
Prepaid expenses		871		889		2,113

Total assets		25,644,268		24,452,594		25,395,749

Liabilities and Net Assets
Payable for:
Shares of the Fund redeemed		28		4		—
Securities purchased		506,073		407,852		167,975
Unrealized loss on forward foreign currency contracts		—		—		907
Due to affiliates		15,804		18,987		20,132
Accrued liabilities		20,155		26,368		82,308

Total liabilities		542,060		453,211		271,322

Net assets applicable to shares outstanding of common stock	$	25,102,208		23,999,383		25,124,427

Fund shares outstanding (no par value, unlimited number of shares authorized)		4,489,282		4,000,951		3,837,469
Net asset value, offering price and redemption price per share	$	5.59		6.00		6.55

Analysis of Net Assets
Paid-in-capital	$	45,569,610		40,884,216		41,525,283
Accumulated net realized gain (loss)		(12,788,668	)	(7,306,011	)	(6,063,115	)
Net unrealized appreciation (depreciation)		(7,923,241	)	(9,607,418	)	(11,027,860	)
Undistributed (distributions in excess of) net investment income		244,507		28,596		690,119

Net assets applicable to shares outstanding	$	25,102,208		23,999,383		25,124,427


Large Cap Equity Index Fund		Small Cap Equity Index Fund		International Equity Index Fund		Stock and Bond Balanced Fund		Bond Fund		Money Market Fund
507,798,196		244,291,888		264,118,441		83,782,952		169,719,959		50,866,583

367,883,958		171,370,720		218,087,592		68,114,594		164,470,008		50,866,583
508		212,362		—		203,381		—		—
—		—		1,574,232		—		—		—
817,473		257,650		720,926		—		2,376,006		1,265
219,860		137,005		123,848		28,916		26,335		50,722
15		78,362		4,272		—		—		—
—		5,454		—		21,091		—		8,096
—		—		—		—		—		—
111,347		228,099		27,342		—		—		—
12,833		23,070		7,997		1,441		4,622		8,187

369,045,994		172,312,722		220,546,209		68,369,423		166,876,971		50,934,853

73,577		14,953		14,919		107		40,995		92
594,728		—		42,607		—		—		—
—		—		2,117		—		—		—
99,115		87,018		110,177		—		80,642		28,833
109,968		92,603		231,783		22,533		55,008		30,617

877,388		194,574		401,603		22,640		176,645		59,542

368,168,606		172,118,148		220,144,606		68,346,783		166,700,326		50,875,311

40,746,816		24,979,242		23,551,236		6,999,760		17,176,130		50,876,413
9.04		6.89		9.35		9.76		9.71		1.00

509,876,849		246,168,451		269,824,484		81,336,837		172,483,560		50,876,413
(1,878,413	)	(1,761,860	)	(2,917,729	)	(10,262	)	(533,283	)	(1,102	)
(139,923,365	)	(72,527,053	)	(45,972,959	)	(15,668,358	)	(5,249,951	)	—
93,535		238,610		(789,190	)	2,688,566		—		—

368,168,606		172,118,148		220,144,606		68,346,783		166,700,326		50,875,311


	Large Cap Equity Fund			Small/Mid Cap Equity Fund		International Equity Fund
Investment Income:
Dividends	$	982,944		331,243		1,273,307
Interest		42,782		17,800		13,267

		1,025,726		349,043		1,286,574
Less: foreign withholding taxes		(7,598	)	(69	)	(113,431	)

Total investment income		1,018,128		348,974		1,173,143
Expenses:
Investment advisory and management fees		203,699		279,875		304,546
Professional fees		28,703		31,895		35,731
Reports to shareholders		6,011		8,702		6,926
Custodian fees		5,010		11,722		146,595
Errors and omissions insurance		2,243		2,220		2,580
Securities valuation fees		1,703		2,774		25,840
Trustees’ fees and expenses		1,551		1,526		1,793
Regulatory fees		380		380		380
ICI dues		255		351		505
Fidelity bond expense		225		219		261
Money market guarantee program fee		—		—		—
License index fees		—		—		—

Total expenses		249,780		339,664		525,157
Less: expense reimbursement from SFIMC		(12,131	)	(24,805	)	(144,474	)

Net expenses		237,649		314,859		380,683

Net investment income		780,479		34,115		792,460
Realized and unrealized gain (loss):
Net realized gain (loss) on sales of investments		(12,742,041	)	(7,296,823	)	(5,934,078	)
Net realized gain (loss) on pass through investments		—		—		—
Net realized gain (loss) on forward foreign currency contracts		37		—		16,332
Net realized gain (loss) on foreign currency transactions		—		—		114,163
Net realized gain (loss) on futures contracts		—		—		—
Change in unrealized gain (loss) on open futures contracts		—		—		—
Change in net unrealized appreciation (depreciation) on investments and foreign currency transactions		(5,305,625	)	(12,119,895	)	(17,429,833	)

Net realized and unrealized gain (loss) on investments		(18,047,629	)	(19,416,718	)	(23,233,416	)

Net change in net assets resulting from operations	$	(17,267,150	)	(19,382,603	)	(22,440,956	)


	Large Cap Equity Fund
Years ended December 31,	2008			2007
From operations:
Net investment income	$	780,479		924,958
Net realized gain (loss)		(12,742,004	)	2,438,509
Change in net unrealized appreciation or depreciation		(5,305,625	)	(6,374,511	)

Net change in net assets resulting from operations		(17,267,150	)	(3,011,044	)
Distributions to shareholders from:
Net investment income		(553,071	)	(912,622	)
Net realized gain		(263,669	)	(2,348,580	)

Total distributions to shareholders		(816,740	)	(3,261,202	)
From Fund share transactions:
Proceeds from shares sold		3,632,136		7,416,738
Reinvestment of distributions		816,740		3,261,202

		4,448,876		10,677,940
Less payments for shares redeemed		(1,422,233	)	(822,795	)

Net increase (decrease) in net assets from Fund share transactions		3,026,643		9,855,145

Total increase (decrease) in net assets		(15,057,247	)	3,582,899

Net assets:
Beginning of year		40,159,455		36,576,556

End of year*	$	25,102,208		40,159,455

*Including undistributed (distribution in excess of) net investment income	$	244,507		19,403

Share Information
Sold		443,914		634,379
Issued in reinvestment of distributions		148,769		328,750
Redeemed		(194,305	)	(70,963	)

Net increase (decrease)		398,378		892,166


Small/Mid Cap Equity Fund				International Equity Fund				Large Cap Equity Index Fund				Small Cap Equity Index Fund
2008		2007		2008		2007		2008		2007		2008		2007
34,115		15,134		792,460		540,375		10,038,307		10,256,505		2,303,519		3,368,699
(7,296,823	)	2,439,556		(5,803,583	)	5,216,948		(1,703,776	)	10,045,529		10,104,483		19,606,437
(12,119,895	)	2,536,059		(17,429,833	)	(1,195,101	)	(229,608,164	)	10,932,480		(102,978,652	)	(29,008,437	)

(19,382,603	)	4,990,749		(22,440,956	)	4,562,222		(221,273,633	)	31,234,514		(90,570,650	)	(6,033,301	)
(273	)	(13,791	)	(15,102	)	(721,392	)	(9,856,567	)	(10,158,680	)	(2,121,979	)	(3,108,129	)
(596,211	)	(4,007,124	)	(889,664	)	(4,378,703	)	(1,273,300	)	(1,531,749	)	(13,604,016	)	(20,758,388	)

(596,484	)	(4,020,915	)	(904,766	)	(5,100,095	)	(11,129,867	)	(11,690,429	)	(15,725,995	)	(23,866,517	)
3,511,222		6,453,934		1,972,205		4,500,642		13,982,750		13,487,749		5,200,961		6,476,216
596,484		4,020,915		904,766		5,100,095		11,129,867		11,690,429		15,725,995		23,866,517

4,107,706		10,474,849		2,876,971		9,600,737		25,112,617		25,178,178		20,926,956		30,342,733
(1,290,607	)	(652,161	)	(1,573,945	)	(762,715	)	(37,611,643	)	(30,865,285	)	(18,703,212	)	(16,408,240	)

2,817,099		9,822,688		1,303,026		8,838,022		(12,499,026	)	(5,687,107	)	2,223,744		13,934,493

(17,161,988	)	10,792,522		(22,042,696	)	8,300,149		(244,902,526	)	13,856,978		(104,072,901	)	(15,965,325	)

41,161,371		30,368,849		47,167,123		38,866,974		613,071,132		599,214,154		276,191,049		292,156,374

23,999,383		41,161,371		25,124,427		47,167,123		368,168,606		613,071,132		172,118,148		276,191,049

28,596		1,343		690,119		(345,888	)	93,535		114,235		238,610		314,855

391,122		531,277		195,271		325,624		1,254,074		898,338		559,082		491,453
105,572		354,891		141,813		394,744		1,231,180		797,437		2,423,112		2,041,618
(144,028	)	(53,338	)	(172,638	)	(54,454	)	(3,089,016	)	(2,042,576	)	(1,868,702	)	(1,238,902	)

352,666		832,830		164,446		665,914		(603,762	)	(346,801	)	1,113,492		1,294,169


Stock and Bond Balanced Fund				Bond Fund				Money Market Fund
2008		2007		2008		2007		2008		2007
2,688,600		2,685,578		8,572,240		8,418,959		1,066,034		2,289,293
(7,247	)	564,480		88,987		(160,986	)	—		—
(24,376,410	)	2,206,371		(7,311,556	)	3,217,565		—		—

(21,695,057	)	5,456,429		1,349,671		11,475,538		1,066,034		2,289,293
(2,685,583	)	(2,453,997	)	(8,572,240	)	(8,418,959	)	(1,066,034	)	(2,289,293	)
(567,495	)	(297,964	)	—		—		—		—

(3,253,078	)	(2,751,961	)	(8,572,240	)	(8,418,959	)	(1,066,034	)	(2,289,293	)
2,661,602		3,445,933		4,857,095		7,929,259		10,114,142		8,990,377
3,253,078		2,751,961		8,572,240		8,418,959		1,066,034		2,289,293

5,914,680		6,197,894		13,429,335		16,348,218		11,180,176		11,279,670
(11,155,577	)	(6,874,135	)	(29,764,238	)	(7,603,070	)	(10,133,631	)	(9,543,832	)

(5,240,897	)	(676,241	)	(16,334,903	)	8,745,148		1,046,545		1,735,838

(30,189,032	)	2,028,227		(23,557,472	)	11,801,727		1,046,545		1,735,838

98,535,815		96,507,588		190,257,798		178,456,071		49,828,766		48,092,928

68,346,783		98,535,815		166,700,326		190,257,798		50,875,311		49,828,766

2,688,566		2,685,549		—		—		—		—

221,145		257,161		483,112		798,723		10,114,142		8,990,377
340,280		202,350		865,499		846,025		1,066,034		2,289,293
(953,762	)	(511,629	)	(3,043,172	)	(764,753	)	(10,133,631	)	(9,543,832	)

(392,337	)	(52,118	)	(1,694,561	)	879,995		1,046,545		1,735,838


	Investments in Securities								Other Financial Instruments
Fund	Level 1		Level 2		Level 3		Total		Level 1			Level 2		Level 3		Total
Large Cap Equity Fund	$	25,384,134	$	—	$	—	$	25,384,134	$	—		$	—	$	—	$	—
Small/Mid Cap Equity Fund		24,235,342		—		—		24,235,342		—			—		—		—
International Equity Fund		—		25,268,774		—		25,268,774		(531	)		—		—		(531	)
Large Cap Index Fund		360,183,498		7,700,460		—		367,883,958		(9,127	)		—		—		(9,127	)
Small Cap Index Fund		164,093,176		7,277,544		0		171,370.720		394,115			—		—		394,115
International Index Fund		—		218,087,592		0		218,087,592		25,225			—		—		25,225
Balanced Fund		68,114,594		—		—		68,114,594		—			—		—		—
Bond Fund		814,804		163,655,204		—		164,470,008		—			—		—		—
Money Market Fund		1,407,100		49,459,483		—		50,866,583		—			—		—		—


Fund	Cost of Investments for Federal Tax Purposes		Gross Unrealized Appreciation		Gross Unrealized (Depreciation)			Net Unrealized Appreciation (Depreciation)
Large Cap Equity Fund	$	33,462,064	$	291,947	$	(8,369,877	)	$	(8,077,930	)
Small/Mid Cap Equity Fund		33,990,230		707,270		(10,462,158	)		(9,754,888	)
International Equity Fund		36,496,205		103,156		(11,330,587	)		(11,227,431	)
Large Cap Index Fund		508,262,152		52,002,183		(192,380,377	)		(140,378,194	)
Small Cap Index Fund		244,207,189		22,545,399		(95,381,868	)		(72,836,469	)
International Index Fund		265,284,332		35,288,775		(82,485,515	)		(47,196,740	)
Balanced Fund		83,814,718		—		(15,700,124	)		(15,700,124	)
Bond Fund		169,719,959		3,042,455		(8,292,406	)		(5,249,951	)
Money Market Fund		50,866,583		—		—			—


Expiration year	Large Cap Equity Fund		Small/Mid Cap Equity Fund		International Equity Fund		Large Cap Index Fund		Bond Fund		Money Market Fund
2011	$	—	$	—	$	—	$	—	$	205,753	$	—
2013		—		—		—		—		166,544		1,102
2015		—		—		—		—		160,986		—
2016		10,732,785		4,949,683		4,914,418		61,975		—		—

Total:	$	10,732,785	$	4,949,683	$	4,914,418	$	61,975	$	533,283	$	1,102


Fund	Undistributed Ordinary Income		Undistributed Long-term Gain		Unrealized Appreciation (Depreciation)			Accumulated Capital and Other Losses			Total
Large Cap Equity Fund	$	244,507	$	—	$	(8,077,930	)	$	(12,633,979	)	$	(20,467,402	)
Small/Mid Cap Equity Fund		26,185		—		(9,754,888	)		(7,156,130	)		(16,884,833	)
International Equity Fund		692,564		—		(11,226,338	)		(5,867,082	)		(16,400,856	)
Large Cap Index Fund		86,674		—		(140,378,194	)		(1,416,723	)		(141,708,243	)
Small Cap Index Fund		29,198		134,357		(72,836,469	)		(1,377,389	)		(74,050,303	)
International Index Fund		352,512		—		(47,136,733	)		(2,895,657	)		(49,679,878	)
Balanced Fund		2,688,566		21,504		(15,700,124	)		—			(12,990,054	)
Bond Fund		—		—		(5,249,951	)		(533,283	)		(5,783,234	)
Money Market Fund		—		—		—			(1,102	)		(1,102	)


Fund	Paid in Capital		Accumulated Net Realized Gain (Loss)			Net Unrealized Gain (Loss)	Undistributed (Accumulated) Net Investment Income (Loss)
Large Cap Equity Fund	$	—	$	2,304		—	$	(2,304	)
Small/Mid Cap Equity Fund		—		6,589		—		(6,589	)
International Equity Fund		—		(258,649	)	—		258,649
Large Cap Index Fund		—		202,440		—		(202,440	)
Small Cap Index Fund		—		257,785		—		(257,785	)
International Index Fund		—		(254,184	)	—		254,184


2008	Ordinary Income		Long-term Capital Gain		Total
Large Cap Equity Fund	$	561,345	$	255,395	$	816,740
Small/Mid Cap Equity Fund		596,259		225		596,484
International Equity Fund		116,319		788,447		904,766
Small Cap Index Fund		2,148,675		13,577,320		15,725,995
International Index Fund		5,541,887		6,365,438		11,907,325


Large Cap Equity Fund		0.60% of average daily net assets
Small/Mid Cap Equity Fund		0.80% of average daily net assets
International Equity Fund		0.80% of average daily net assets
Large Cap Index Fund		0.26% of average daily net assets
Small Cap Index Fund		0.40% of average daily net assets
International Index Fund		0.55% of average daily net assets
Balanced Fund		None
Bond Fund		0.50% of average daily net assets
Money Market Fund		0.40% of average daily net assets


	Capital Guardian			Barclays		Bridgeway			Rainier		Westwood			Marsico			Northern Cross
Large Cap Equity Fund	$	61,835	(a)	$	—	$	20,367	(b)	$	—	$	18,196	(b)	$	—		$	—
Small/Mid Cap Equity Fund		—			—		104,029			104,929		—			—			—
International Equity Fund		98,431	(a)		—		—			—		—			22,236	(c)		27,194	(c)
Large Cap Index Fund		—			250,838		—			—		—			—			—
Small Cap Index Fund		—			230,856		—			—		—			—			—
International Index Fund		—			313,887		—			—		—			—			—

Total Sub-Advisory Fees	$	160,266		$	795,581	$	124,396		$	104,929	$	18,196		$	22,236		$	27,194


	Year ended December 31, 2008
	Purchases		Sales
Large Cap Equity Fund	$	51,374,981	$	48,276,169
Small/Mid Cap Equity Fund		37,816,626		35,075,985
International Equity Fund		57,944,579		57,873,760
Large Cap Index Fund		23,628,626		42,225,842
Small Cap Index Fund		44,120,906		54,096,676
International Index Fund		16,749,858		18,512,106
Balanced Fund		6,327,178		12,194,000
Bond Fund		10,464,094		25,742,369


Foreign amount Purchase (Sold)	Currency	Contracts	Settlement Date	U.S. Dollar Purchase (Sold)		Unrealized Gain		Unrealized (Loss)
23,215	British Pound	1	01/05/2009	33,874		$	369	$	—
1,421	Canadian Dollar	1	01/05/2009	1,166			3		—
121,578	Danish Krone	1	01/06/2009	22,818			—		(211	)
18,300	Euro	2	01/05/2009-01/06/2009	25,564			—		(279	)
(176)	Euro	1	01/02/2009	(245	)		4		—
27,045	Swedish Krona	1	01/07/2009	3,452			—		(28	)
39,485	Swiss Franc	1	01/06/2009	37,005			—		(389	)

				Total		$	376	$	(907	)


Fund	Type	Number of contracts	Notional Value		Market Value		Position	Expiration Month	Unrealized Gain (Loss)
Large Cap Index Fund	S&P 500 Index Mini	173	$	7,794,991	$	7,785,864	Long	March ‘09	$	(9,127	)

Small Cap Index Fund	Russell 2000 Index Mini	160		7,572,285		7,966,400	Long	March ‘09	$	394,115

International Index Fund	TOPIX Index	6		548,593		570,546	Long	March ‘09		21,953
International Index Fund	DJ Euro Stoxx 50	24		821,478		817,349	Long	March ‘09		(4,129	)
International Index Fund	FTSE 100 Index	7		432,303		441,821	Long	March ‘09		9,518

Total									$	27,342


	Year ended December 31,							From commencement of investment operations July 26, 2005 to December 31, 2005
	2008			2007		2006
Net asset value, beginning of period	$	9.82		11.43		10.33		10.00
Income from Investment Operations
Net investment income (a)		0.18		0.26		0.20		0.07
Net gain (loss) on investments (both realized and unrealized)		(4.22	)	(1.00	)	1.45		0.34

Total from investment operations		(4.04	)	(0.74	)	1.65		0.41

Less Distributions
Net investment income		(0.13	)	(0.24	)	(0.18	)	(0.07	)
Net realized gain		(0.06	)	(0.63	)	(0.37	)	(0.01	)

Total distributions		(0.19	)	(0.87	)	(0.55	)	(0.08	)

Net asset value, end of period	$	5.59		9.82		11.43		10.33

Total Return (b)		(41.12	)%	(6.55	)%	15.91	%	4.14	%
Net assets, end of period (millions)	$	25.1		40.2		36.6		26.9
Ratios to average net assets assuming expense reductions
Expenses		0.70	%	0.70	%	0.70	%	0.70	%(c)
Net investment income		2.30	%	2.24	%	1.83	%	1.71	%(c)
Ratios to average net assets absent expense reductions
Expenses		0.74	%	0.70	%	0.71	%	0.85	%(c)
Net investment income		2.26	%	2.24	%	1.82	%	1.56	%(c)
Portfolio turnover rate		144	%	40	%	34	%	15	%


	Year ended December 31,							From commencement of investment operations July 26, 2005 to December 31, 2005
	2008			2007		2006
Net asset value, beginning of period	$	11.28		10.79		9.64		10.00
Income from Investment Operations
Net investment income (a) (b)		0.01		—		—		0.01
Net gain (loss) on investments (both realized and unrealized)		(5.14	)	1.71		1.41		(0.32	)

Total from investment operations		(5.13	)	1.71		1.41		(0.31	)

Less Distributions
Net investment income (c)		—		—		—		(0.01	)
Net realized gain		(0.15	)	(1.22	)	(0.26	)	(0.04	)

Total distributions		(0.15	)	(1.22	)	(0.26	)	(0.05	)

Net asset value, end of period	$	6.00		11.28		10.79		9.64

Total Return (d)		(45.36	)%	15.81	%	14.58	%	(3.14	)%
Net assets, end of period (millions)	$	24.0		41.2		30.4		24.6
Ratios to average net assets assuming expense reductions
Expenses		0.90	%	0.90	%	0.90	%	0.90	%(e)
Net investment income		0.10	%	0.04	%	0.00	%	0.21	%(e)
Ratios to average net assets absent expense reductions
Expenses		0.97	%	0.97	%	0.95	%	1.11	%(e)
Net investment income		0.03	%	(0.03	)%	(0.05	)%	0.00	%(e)
Portfolio turnover rate		101	%	96	%	161	%	22	%


Name, Address, and Age	Position(s) Held with Fund	Length of Time Served and Term of Office	Principal Occupation(s) During the Past 5 Years	Number of Portfolios in Fund Complex Overseen by Trustee	Other Directorships Held by Trustee
Thomas M. Mengler One State Farm Plaza Bloomington, Illinois 61710 Age 55	Trustee	Began service in 1997 and serves until successor is elected or appointed.	DEAN and PROFESSOR OF LAW – University of St. Thomas School of Law (since 6/2002); TRUSTEE –State Farm Mutual Fund Trust, State Farm Associates’ Funds Trust.	29	None
James A. Shirk One State Farm Plaza Bloomington, Illinois 61710 Age 64	Trustee	Began service in 1997 and serves until successor is elected or appointed.	DIRECTOR and PRESIDENT (since 6/1981) – Beer Nuts, Inc. (manufacturer of snack foods); TRUSTEE – State Farm Mutual Fund Trust, State Farm Associates’ Funds Trust.	29	None
Victor J. Boschini One State Farm Plaza Bloomington, Illinois 61710 Age 52	Trustee	Began service in 2001 and serves until successor is elected or appointed.	CHANCELLOR (since 2003) – Texas Christian University; PRESIDENT (1999-2003) – Illinois State University; TRUSTEE – State Farm Mutual Fund Trust, State Farm Associates’ Funds Trust.	29	None
David L. Vance One State Farm Plaza Bloomington, Illinois 61710 Age 56	Trustee	Began service in 2001 and serves until successor is elected or appointed.	CONSULTANT/PRESIDENT (since 2/2007) –Manage Learning LLC (consults with organizations on learning strategy, governance, measurement, and evaluation); RETIRED (1/2007-2/2007); PRESIDENT (1/2000-1/2007) – Caterpillar University; CHIEF ECONOMIST AND MANAGER of the Business Intelligence Group (1/1994-1/2007) – Caterpillar, Inc. (manufacturer of heavy equipment and earth-moving machinery); TRUSTEE – State Farm Mutual Fund Trust, State Farm Associates’ Funds Trust.	29	None
Donald A. Altorfer One State Farm Plaza Bloomington, Illinois 61710 Age 65	Trustee	Began service in 2001 and serves until successor is elected or appointed.	CHAIRMAN (since 1/1998) – Altorfer, Inc. (dealer in heavy machinery and equipment); TRUSTEE – State Farm Mutual Fund Trust, State Farm Associates’ Funds Trust.	29	None
Alan R. Latshaw One State Farm Plaza Bloomington, Illinois 61710 Age 57	Trustee	Began service in 2005 and serves until successor is elected or appointed.	RETIRED (since 12/2003); PARTNER – Ernst & Young LLP (public accounting firm) (6/2002-12/2003); TRUSTEE – State Farm Mutual Fund Trust, State Farm Associates’ Funds Trust.	29	TRUSTEE – MainStay Funds (72 portfolios)
Anita M. Nagler One State Farm Plaza Bloomington, Illinois 61710 Age 52	Trustee	Began service effective 12/1/2006, and serves until successor is elected or appointed.	PRIVATE INVESTOR; CHIEF EXECUTIVE OFFICER and CHAIRMAN (until 2005) – Harris Alternatives, L.L.C. (investment adviser to funds of hedge funds); MANAGING DIRECTOR, INTERNATIONAL AND ALTERNATIVE INVESTING GROUP (2001-2003) – Harris Associates, L.P. (registered investment adviser); EXECUTIVE VICE PRESIDENT (until 2003) – Harris Associates Investment Trust – The Oakmark Family of Funds (mutual funds); and TRUSTEE – State Farm Mutual Fund Trust, State Farm Associates’ Funds Trust.	29	None


	Paragraph (b)	Paragraph (c)	Paragraph (d)
Fiscal year ending December 31, 2008:	not applicable	not applicable	not applicable
Fiscal year ending December 31, 2007:	not applicable	not applicable	not applicable



By		/S/ MICHAEL L. TIPSORD
		Michael L. Tipsord Senior Vice President and Treasurer