nvcsrs

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES

Investment Company Act file number 811-02753

SBL FUND

(Exact name of registrant as specified in charter)

ONE SECURITY BENEFIT PLACE, TOPEKA, KANSAS 66636-0001
(Address of principal executive offices) (Zip code)

RICHARD M. GOLDMAN, PRESIDENT
SBL FUND
ONE SECURITY BENEFIT PLACE
TOPEKA, KANSAS 66636-0001
(Name and address of agent for service)

Registrant’s telephone number, including area code: (785) 438-3000

Date of fiscal year end: December 31

Date of reporting period: June 30, 2011

Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles.

A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget (“OMB”) control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. §3507.

LETTER TO OUR SHAREHOLDERS

DEAR SHAREHOLDER:

The major stock indices were all up between 4% and 7% for the six months ending June 30, 2011, masking flat or slightly negative returns in the April-June period. Market sentiment has swung sharply this year, from optimism over the improving global expansion, to concern that a U.S. economic soft patch was developing due to a jump in oil prices, the impact of poor weather earlier in the year and supply-chain disruptions in the aftermath of the Japanese tsunami.

Estimates of U.S. GDP growth for the first half fell from over 3% to closer to 2%, which, although not positive for employment, did help pull down bond yields and oil prices. Some data late in the half suggested the labor market was improving, helping spur a rally that carried equities up about 5% in the last trading week of June, the biggest weekly gain in two years. But the June jobs report, released on July 8, confirmed that job creation is stalling, renewing concerns about a double-dip recession and need for a new monetary policy response.

The U.S. Federal Reserve, (the “Fed”) said that it has done all it plans to do, for now, to foster growth, ending its purchase of $600 billion worth of Treasury securities in late June. Critics contend the Fed must consider a third round of quantitative easing to keep long-term rates low, while others say easy-money policies have not helped the economy’s underlying structural problems and may be setting the stage for inflation. Meanwhile, investor confidence eroded over the course of the first half, as consumers are spending at the weakest level in 20 months.

Tailwinds for the U.S. economy at mid-year include gas prices that have eased from their recent peak in early May, and the return to normal operations for Japanese factories that should help U.S. manufacturing improve through the rest of 2011. Many companies were expected to report healthy second-quarter profits, based on fulfilling demand from emerging markets, and strong productivity. Some analysts said profits could fall later in 2011, as material prices rise and economic worries persist.

In fixed income, the combination of Europe’s debt problems, the U.S.’s weak economic data and an accommodative Fed provided incentives for bond buyers as the first half unfolded, raising bond prices while holding down yields. Most bond segments were strong absolute performers in the second quarter, handily beating equities, and also turned in competitive returns for the six months. With the end of the Fed’s quantitative easing, some question whether the bond market can carry its second quarter momentum forward. The market is also anticipating a showdown in setting the U.S. debt ceiling, headlines which could roil markets in July.

Globally, the economic recovery remains uneven, with weak growth in the advanced economies and strong growth in emerging and developing countries. Greater-than-expected weakness in the U.S. market, continuing fiscal challenges in Europe and signs of overheating in many emerging and developing countries, some believe, are increasing downside risks.

the RYDEX|SGI sbl fund semi-annual report | 1

LETTER TO OUR SHAREHOLDERS (concluded)

Others, including the Fed, view any economic weakness as transitory, along with the surge in commodity prices and inflation. They believe a supportive central bank policy, continued solid corporate earnings and attractive valuations will benefit performance of both stocks and bonds in the second half of the year.

Thank you for investing in the SBL Funds.

Sincerely

Richard M. Goldman
President and Chairman, SBL Fund

The opinions and forecasts expressed are those of Richard M. Goldman as of 07/27/2011, and may not actually come to pass. This information is subject to change at any time, based on market and other conditions, and should not be construed as a recommendation of any specific security or strategy.

Performance displayed represents past performance which is no guarantee of future results. Of course, fund performance is subject to daily market volatility and may be better or worse since the end of the last quarter. For up-to-date fund performance, call us at 800.820.0888 or visit www.rydex-sgi.com.

Read each fund’s prospectus and summary prospectus (if available) carefully before investing. It contains the fund’s investment objectives, risks, charges, expenses and other information, which should be considered carefully before investing. Obtain a prospectus and summary prospectus (if available) at www.rydex-sgi.com or call 800.820.0888

Rydex|SGI funds are distributed by Rydex Distributors, LLC (RDL). Security Investors, LLC (SI) is a registered investment advisor, and does business as Security Global Investors^® and Rydex Investments. SI and RDL are affiliates and are subsidiaries of Security Benefit Corporation, which is wholly owned by Guggenheim SBC Holdings, LLC, a special purpose entity managed by an affiliate of Guggenheim Partners, LLC, a diversified financial services firm with more than $100 billion in assets under supervision.

2 | the RYDEX|SGI sbl fund semi-annual report

ABOUT SHAREHOLDERS’ FUND EXPENSES (Unaudited)

All mutual funds have operating expenses and it is important for our shareholders to understand the impact of costs on their investments. Shareholders of a Fund incur two types of costs: (i) transaction costs, including sales charges (loads) on purchase payments, reinvested dividends, or other distributions; redemption fees; and exchange fees; and (ii) ongoing costs, including management fees, administrative services, and shareholder reports, among others. These ongoing costs, or operating expenses, are deducted from a fund’s gross income and reduce the investment return of the fund.

A fund’s expenses are expressed as a percentage of its average net assets, which is known as the expense ratio. The following examples are intended to help investors understand the ongoing costs (in dollars) of investing in a Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The examples are based on an investment of $1,000 made at the beginning of the period and held for the entire six-month period beginning December 31, 2010 and ending June 30, 2011.

The following tables illustrate a Fund’s costs in two ways:

Table 1. Based on actual Fund return. This section helps investors estimate the actual expenses paid over the period. The “Ending Account Value” shown is derived from the Fund’s actual return, and the fourth column shows the dollar amount that would have been paid by an investor who started with $1,000 in the Fund. Investors may use the information here, together with the amount invested, to estimate the expenses paid over the period. Simply divide the Fund’s account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number provided under the heading “Expenses Paid During Period.”

Table 2. Based on hypothetical 5% return. This section is intended to help investors compare a Fund’s cost with those of other mutual funds. The table 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 paid during the period. The example is useful in making comparisons because the U.S. Securities and Exchange Commission (the “SEC”) requires all mutual funds to calculate expenses based on the 5% return. Investors can assess a Fund’s costs by comparing this hypothetical example with the hypothetical examples that appear in shareholder reports of other funds.

The calculations illustrated above assume no shares were bought or sold during the period. Actual costs may have been higher or lower, depending on the amount of investment and the timing of any purchases or redemptions.

Note that the expenses shown in the table are meant to highlight and help compare ongoing costs only and do not reflect any transactional costs which may be incurred by a Fund.

More information about a Fund’s expenses, including annual expense ratios for the past five years, can be found in the Financial Highlights section of this report. For additional information on operating expenses and other shareholder costs, please refer to the appropriate Fund prospectus.

the RYDEX|SGI sbl fund semi-annual report | 3

ABOUT SHAREHOLDERS’ FUND EXPENSES (Unaudited) (concluded)


							Beginning		Ending		Expenses
	Expense			Fund			Account Value		Account Value		Paid During
	Ratio^1,4			Return			December 31, 2010		June 30, 2011		Period²

Table 1. Based on actual Fund return³
Series A (Large Cap Core Series)		0.91	%		4.09	%	$	1,000.00	$	1,040.88	$	4.60
Series B (Large Cap Value Series)		0.80	%		4.69	%		1,000.00		1,046.92		4.06
Series C (Money Market Series)		0.74	%		(0.22	)%		1,000.00		997.78		3.67
Series D (MSCI EAFE Equal Weight Series)		1.21	%		2.44	%		1,000.00		1,024.39		6.07
Series E (U.S. Intermediate Bond Series)		0.81	%		3.00	%		1,000.00		1,030.05		4.08
Series J (Mid Cap Growth Series)		0.91	%		5.12	%		1,000.00		1,051.25		4.63
Series N (Managed Asset Allocation Series)		1.71	%		4.32	%		1,000.00		1,043.24		8.66
Series O (All Cap Value Series)		0.87	%		4.48	%		1,000.00		1,044.80		4.41
Series P (High Yield Series)		0.95	%		3.32	%		1,000.00		1,033.23		4.79
Series Q (Small Cap Value Series)		1.13	%		4.34	%		1,000.00		1,043.40		5.73
Series V (Mid Cap Value Series)		0.91	%		4.74	%		1,000.00		1,047.42		4.62
Series X (Small Cap Growth Series)		1.07	%		10.06	%		1,000.00		1,100.58		5.57
Series Y (Large Cap Concentrated Growth Series)		0.98	%		3.52	%		1,000.00		1,035.18		4.95
Series Z (Alpha Opportunity Series)		2.33	%		7.08	%		1,000.00		1,070.84		11.96


Table 2. Based on hypothetical 5% return (before expenses)
Series A (Large Cap Core Series)		0.91	%		5.00	%	$	1,000.00	$	1,020.28	$	4.56
Series B (Large Cap Value Series)		0.80	%		5.00	%		1,000.00		1,020.83		4.01
Series C (Money Market Series)		0.74	%		5.00	%		1,000.00		1,021.12		3.71
Series D (MSCI EAFE Equal Weight Series)		1.21	%		5.00	%		1,000.00		1,018.79		6.06
Series E (U.S. Intermediate Bond Series)		0.81	%		5.00	%		1,000.00		1,020.78		4.06
Series J (Mid Cap Growth Series)		0.91	%		5.00	%		1,000.00		1,020.28		4.56
Series N (Managed Asset Allocation Series)		1.71	%		5.00	%		1,000.00		1,016.31		8.55
Series O (All Cap Value Series)		0.87	%		5.00	%		1,000.00		1,020.48		4.36
Series P (High Yield Series)		0.95	%		5.00	%		1,000.00		1,020.08		4.76
Series Q (Small Cap Value Series)		1.13	%		5.00	%		1,000.00		1,019.19		5.66
Series V (Mid Cap Value Series)		0.91	%		5.00	%		1,000.00		1,020.28		4.56
Series X (Small Cap Growth Series)		1.07	%		5.00	%		1,000.00		1,019.49		5.36
Series Y (Large Cap Concentrated Growth Series)		0.98	%		5.00	%		1,000.00		1,019.93		4.91
Series Z (Alpha Opportunity Series)		2.33	%		5.00	%		1,000.00		1,013.24		11.63


¹		Annualized

²		Expenses are equal to the Fund’s annualized expense ratio, net of any applicable fee waivers, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period). Expenses shown do not include fees charged by insurance companies.

³		Actual cumulative return at net asset value for the period December 31, 2010 to June 30, 2011.

⁴		This ratio represents annualized net expenses which includes dividends on short sales and prime broker interest expense. Excluding these expenses, the operating expense ratio would be 0.02% lower in Series Z (Alpha Opportunity Series).

4 | the RYDEX|SGI sbl fund semi-annual report



SCHEDULE OF INVESTMENTS (Unaudited) June 30, 2011		Rydex\|SGI SBL Fund Series A (Large Cap Core Series)


	Shares		Value

COMMON STOCKS^†- 95.6%

Information Technology - 19.4%
Apple, Inc.*		19,600	$	6,579,132
Google, Inc. — Class A*		12,690		6,425,962
Qualcomm, Inc.		91,700		5,207,643
Dell, Inc.*		242,750		4,046,642
Cognizant Technology Solutions Corp. — Class A*		54,600		4,004,364
EMC Corp.*		144,910		3,992,271
Western Union Co.		187,100		3,747,613
TE Connectivity Ltd.		93,400		3,433,384
Computer Sciences Corp.		76,100		2,888,756
Avago Technologies Ltd.		75,750		2,878,500
Hewlett-Packard Co.		62,214		2,264,590
Visa, Inc. — Class A		14,700		1,238,622

Total Information Technology				46,707,479


Industrials - 14.5%
Equifax, Inc.		130,300		4,524,016
Eaton Corp.		79,850		4,108,283
United Parcel Service, Inc. — Class B		54,950		4,007,503
CSX Corp.		152,610		4,001,434
Honeywell International, Inc.		67,050		3,995,510
Precision Castparts Corp.		23,900		3,935,135
United Technologies Corp.		28,700		2,540,237
Republic Services, Inc. — Class A		65,100		2,008,335
Babcock & Wilcox Co.*		60,064		1,664,373
Parker Hannifin Corp.		13,600		1,220,464
USG Corp.*		81,600		1,170,144
FedEx Corp.		12,300		1,166,655
URS Corp.*		14,690		657,231

Total Industrials				34,999,320


Consumer Discretionary - 14.1%
Time Warner, Inc.		192,900		7,015,773
Nordstrom, Inc.		84,200		3,952,348
Priceline.com, Inc.*		7,500		3,839,475
Starbucks Corp.		93,320		3,685,207
Ford Motor Co.*		267,200		3,684,688
McDonald’s Corp.		43,300		3,651,056
Walt Disney Co.		91,300		3,564,352
Lowe’s Companies, Inc.		151,100		3,522,141
Best Buy Company, Inc.		31,200		979,992

Total Consumer Discretionary				33,895,032


Energy - 12.8%
Halliburton Co.		121,000		6,171,000
Baker Hughes, Inc.		60,300		4,375,368
Chevron Corp.		39,500		4,062,180
Williams Companies, Inc.		124,100		3,754,025
McDermott International, Inc.*		155,500		3,080,455
Peabody Energy Corp.		45,700		2,692,187
Apache Corp.		18,600		2,295,054
Exxon Mobil Corp.		21,200		1,725,256
ConocoPhillips		19,000		1,428,610
Chesapeake Energy Corp.		42,300		1,255,887

Total Energy				30,840,022


Financials - 11.1%
JPMorgan Chase & Co.		139,586		5,714,651
MetLife, Inc.		87,450		3,836,432
AON Corp.		72,800		3,734,640
Wells Fargo & Co.		109,404		3,069,876
U.S. Bancorp		116,848		2,980,792
Berkshire Hathaway, Inc. — Class A*		19		2,205,995
Bank of New York Mellon Corp.		83,200		2,131,584
BB&T Corp.		60,717		1,629,644
Allstate Corp.		36,900		1,126,557
First Marblehead Corp.*		128,952		228,245

Total Financials				26,658,416


Health Care - 10.5%
Covidien plc		124,520		6,628,200
Teva Pharmaceutical Industries Ltd. ADR		84,800		4,089,056
HCA Holdings, Inc.*		120,300		3,969,900
Aetna, Inc.		86,500		3,813,785
Hospira, Inc.*		54,600		3,093,636
Forest Laboratories, Inc.*		41,400		1,628,676
Medco Health Solutions, Inc.*		18,400		1,039,968
UnitedHealth Group, Inc.		19,300		995,494

Total Health Care				25,258,715


Consumer Staples - 6.5%
General Mills, Inc.		102,300		3,807,606
CVS Caremark Corp.		80,900		3,040,222
Wal-Mart Stores, Inc.		51,000		2,710,140
Costco Wholesale Corp.		27,900		2,266,596
Kraft Foods, Inc. — Class A		51,200		1,803,776
Bunge Ltd.		20,900		1,441,055
Altria Group, Inc.		20,200		533,482

Total Consumer Staples				15,602,877


Materials - 4.7%
Dow Chemical Co.		180,895		6,512,220
CF Industries Holdings, Inc.		21,550		3,052,988
Bemis Company, Inc.		54,700		1,847,766

Total Materials				11,412,974


Utilities - 1.3%
Edison International		79,600		3,084,500


Telecommunication Services - 0.7%
Windstream Corp.		122,400		1,586,304

Total Common Stocks (Cost $205,591,453)				230,045,639



6 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.

STATEMENT OF ASSETS AND LIABILITIES (Unaudited)

June 30, 2011

Rydex|SGI SBL Fund
Series A (Large Cap Core Series)


Assets:
Investments, at value (cost $206,785,844)	$	231,318,307
Cash		8,733,766
Prepaid expenses		7,443
Receivables:
Securities sold		4,083,026
Fund shares sold		96,270
Dividends		190,451

Total assets		244,429,263


Liabilities:
Payable for:
Fund shares redeemed		27,094
Securities purchased		3,535,642
Management fees		144,727
Transfer agent/maintenance fees		2,094
Fund Accounting/Administration fees		18,332
Other		92,644

Total liabilities		3,820,533

Net assets	$	240,608,730


Net assets consist of:
Paid in capital	$	266,151,444
Undistributed net investment income		487,859
Accumulated net realized loss on investments		(50,563,036	)
Net unrealized appreciation on investments		24,532,463

Net assets	$	240,608,730


Capital shares outstanding		9,947,774
Net asset value per share	$	24.19

STATEMENT OF OPERATIONS (Unaudited)

For the Period Ended June 30, 2011


Investment Income:
Dividends	$	1,597,929
Interest		697

Total investment income		1,598,626


Expenses:
Management fees		913,289
Transfer agent/maintenance fees		12,593
Fund Accounting/Administration fees		115,682
Directors’ fees*		8,771
Miscellaneous		60,432

Total expenses		1,110,767

Net investment income		487,859


Net Realized and UnrealizedGain (Loss):
Net realized gain (loss) on:
Investments		11,827,035

Net realized gain		11,827,035

Net change in unrealized appreciation (depreciation) on:
Investments		(2,365,219	)

Net change in unrealized appreciation (depreciation)		(2,365,219	)

Net realized and unrealized gain		9,461,816

Net increase in net assets resulting from operations	$	9,949,675


*		Relates to Directors not deemed “interested persons” within the meaning of Section 2(a)(19) of the 1940 Act.



8 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.



STATEMENTS OF CHANGES IN NET ASSETS		Rydex\|SGI SBL Fund Series A (Large Cap Core Series)


	Period Ended			Year
	June 30,			Ended
	2011			December 31,
	(Unaudited)			2010

Increase (Decrease) In Net Assets From Operations:
Net investment income	$	487,859		$	1,927,935
Net realized gain on investments		11,827,035			13,313,691
Net change in unrealized appreciation (depreciation) on investments		(2,365,219	)		15,198,690

Net increase in net assets resulting from operations		9,949,675			30,440,316

Distributions to shareholders		—			—

Capital share transactions:
Proceeds from sale of shares		7,641,252			23,255,839
Issuance of shares in connection with the acquisition of SBL Fund Series H (Note 12)		—			47,882,828
Cost of shares redeemed		(20,802,159	)		(43,766,466	)

Net increase (decrease) from capital share transactions		(13,160,907	)		27,372,201

Net increase (decrease) in net assets		(3,211,232	)		57,812,517

Net assets:
Beginning of period		243,819,962			186,007,445

End of period	$	240,608,730		$	243,819,962

Undistributed net investment income at end of period	$	487,859		$	1,927,935

Capital share activity:
Shares sold		317,463			1,122,748
Issuance of shares in connection with the acquisition of SBL Fund Series H (Note 12)		—			2,188,429
Shares redeemed		(859,819	)		(2,135,059	)

Net increase (decrease) in shares		(542,356	)		1,176,118



See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 9



FINANCIAL HIGHLIGHTS		Rydex\|SGI SBL Fund Series A (Large Cap Core Series)

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.


	Period			Year			Year			Year			Year			Year
	Ended			Ended			Ended			Ended			Ended			Ended
	June 30,			December 31,			December 31,			December 31,			December 31,			December 31,
	2011^a			2010			2009			2008			2007			2006

Per Share Data
Net asset value, beginning of period	$	23.24		$	19.97		$	15.38		$	24.57		$	25.83		$	22.88

Income (loss) from investment operations:
Net investment income^b		.05			.18			.11			.14			.14			.11
Net gain (loss) on investments (realized and unrealized)		.90			3.09			4.48			(9.33	)		(1.40	)		2.84

Total from investment operations		.95			3.27			4.59			(9.19	)		(1.26	)		2.95

Net asset value, end of period	$	24.19		$	23.24		$	19.97		$	15.38		$	24.57		$	25.83

Total Return^c		4.09	%		16.37	%		29.84	%		(37.40	%)		(4.88	%)		12.89	%

Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	240,609		$	243,820		$	186,007		$	165,109		$	328,995		$	441,788

Ratios to average net assets:
Net investment income		0.40	%		0.89	%		0.68	%		0.66	%		0.52	%		0.33	%
Total expenses^d		0.91	%		0.92	%		0.92	%		0.90	%		0.89	%		0.90	%

Portfolio turnover rate		41	%		111	%		78	%		142	%		14	%		26	%


^a		Unaudited figures for the period ended June 30, 2011. Percentage amounts for the period, except total return and portfolio turnover rate, have been annualized.

^b		Net investment income (loss) per share was computed using average shares outstanding throughout the period.

^c		Total return does not take into account any of the expenses associated with an investment in variable insurance products offered by Security Benefit Life Insurance Company. If total return had taken into account these expenses, performance would have been lower. Shares of a Series of SBL Fund are available only through the purchase of such products.

^d		Does not include expenses of the underlying funds in which the Fund invests.



10 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.


SCHEDULE OF INVESTMENTS (Unaudited)		Rydex\|SGI SBL Fund
June 30, 2011		Series B (Large Cap Value Series)


	Shares		Value

COMMON STOCKS^†- 97.5%

Financials - 17.2%
AON Corp.		190,600	$	9,777,780
U.S. Bancorp		306,746		7,825,090
Wells Fargo & Co.		272,825		7,655,470
Berkshire Hathaway, Inc. — Class A*		50		5,805,250
Bank of New York Mellon Corp.		219,800		5,631,276
JPMorgan Chase & Co.		135,369		5,542,007
BB&T Corp.		161,463		4,333,667
Allstate Corp.		95,650		2,920,195
First Marblehead Corp.*		317,112		561,288

Total Financials				50,052,023


Energy - 16.9%
Chevron Corp.		98,600		10,140,024
Williams Companies, Inc.		300,700		9,096,175
McDermott International, Inc.*		399,500		7,914,095
Apache Corp.		48,700		6,009,093
Halliburton Co.		101,600		5,181,600
Exxon Mobil Corp.		54,800		4,459,624
Chesapeake Energy Corp.		111,800		3,319,342
ConocoPhillips		41,200		3,097,828

Total Energy				49,217,781


Industrials - 13.4%
Equifax, Inc.		344,600		11,964,512
United Technologies Corp.		74,400		6,585,144
Republic Services, Inc. — Class A		168,700		5,204,395
Babcock & Wilcox Co.*		155,357		4,304,942
Parker Hannifin Corp.		35,400		3,176,796
FedEx Corp.		32,443		3,077,219
USG Corp.*		212,400		3,045,816
URS Corp.*		38,106		1,704,862

Total Industrials				39,063,686


Information Technology - 12.2%
Western Union Co.		493,700		9,888,811
TE Connectivity Ltd.		238,850		8,780,126
Computer Sciences Corp.		200,600		7,614,776
Hewlett-Packard Co.		162,651		5,920,496
Visa, Inc. — Class A		38,800		3,269,288

Total Information Technology				35,473,497


Health Care - 11.7%
Aetna, Inc.		222,200		9,796,798
Hospira, Inc.*		139,600		7,909,736
Covidien plc		126,850		6,752,226
Forest Laboratories, Inc.*		107,800		4,240,852
Medco Health Solutions, Inc.*		47,000		2,656,440
UnitedHealth Group, Inc.		51,200		2,640,896

Total Health Care				33,996,948


Consumer Staples - 10.7%
CVS Caremark Corp.		213,700		8,030,846
Wal-Mart Stores, Inc.		132,200		7,025,108
Costco Wholesale Corp.		73,700		5,987,388
Kraft Foods, Inc. — Class A		136,300		4,801,849
Bunge Ltd.		54,400		3,750,880
Altria Group, Inc.		53,100		1,402,371

Total Consumer Staples				30,998,442


Consumer Discretionary - 7.1%
Lowe’s Companies, Inc.		399,000		9,300,690
Time Warner, Inc.		237,533		8,639,075
Best Buy Company, Inc.		82,300		2,585,043

Total Consumer Discretionary				20,524,808


Materials - 4.0%
Dow Chemical Co.		190,500		6,858,000
Bemis Company, Inc.		144,400		4,877,832

Total Materials				11,735,832


Utilities - 2.8%
Edison International		210,600		8,160,750


Telecommunication Services - 1.5%
Windstream Corp.		331,932		4,301,839


Total Common Stocks (Cost $240,329,044)				283,525,606


EXCHANGE TRADED FUNDS^† - 0.6%
iShares Russell 1000 Value Index Fund		25,500		1,741,140

Total Exchange Traded Funds (Cost $1,532,000)				1,741,140

Total Investments - 98.1% (Cost $241,861,044)			$	285,266,746

Cash & Other Assets, Less Liabilities - 1.9%				5,625,556

Total Net Assets - 100.0%			$	290,892,302


^*		Non-income producing security.

^†		Value determined based on Level 1 inputs — See Note 4.

plc — Public Limited Company



12 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.

Rydex|SGI SBL Fund
Series B (Large Cap Value Series)

STATEMENT OF ASSETS AND LIABILITIES (Unaudited)
June 30, 2011


Assets:
Investments, at value (cost $241,861,044)	$	285,266,746
Cash		1,823,670
Prepaid expenses		2,944
Receivables:
Securities sold		3,817,262
Fund shares sold		52,267
Dividends		430,272

Total assets		291,393,161


Liabilities:
Payable for:
Fund shares redeemed		25,650
Securities purchased		235,542
Management fees		152,499
Transfer agent/maintenance fees		2,092
Fund Accounting/Administration fees		22,288
Directors’ fees		4,231
Direct shareholders expense		28,602
Other		29,955

Total liabilities		500,859

Net assets	$	290,892,302


Net assets consist of:
Paid in capital	$	304,185,363
Undistributed net investment income		1,289,573
Accumulated net realized loss on investments		(57,988,336	)
Net unrealized appreciation on investments		43,405,702

Net assets	$	290,892,302


Capital shares outstanding		10,774,872
Net asset value per share	$	27.00

STATEMENT OF OPERATIONS (Unaudited) For the Period Ended June 30, 2011

Investment Income:
Dividends	$	2,491,318
Interest		1,966

Total investment income		2,493,284


Expenses:
Management fees		976,660
Transfer agent/maintenance fees		12,611
Fund Accounting/Administration fees		142,741
Directors’ fees*		15,436
Miscellaneous		56,263

Total expenses		1,203,711

Net investment income		1,289,573


Net Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investments		10,776,466

Net realized gain		10,776,466

Net change in unrealized appreciation (depreciation) on:
Investments		2,167,824

Net change in unrealized appreciation (depreciation)		2,167,824

Net realized and unrealized gain		12,944,290

Net increase in net assets resulting from operations	$	14,233,863


*		Relates to Directors not deemed “interested persons” within the meaning of Section 2(a)(19) of the 1940 Act.



See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 13


FINANCIAL HIGHLIGHTS		Rydex\|SGI SBL Fund
		Series B (Large Cap Value Series)

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.


	Period			Year			Year			Year			Year			Year
	Ended			Ended			Ended			Ended			Ended			Ended
	June 30,			December 31,			December 31,			December 31,			December 31,			December 31,
	2011^a			2010			2009			2008			2007			2006

Per Share Data
Net asset value, beginning of period	$	25.79		$	22.20		$	17.55		$	27.94		$	26.40		$	21.64

Income (loss) from investment operations:
Net investment income^b		.12			.19			.19			.29			.25			.20
Net gain (loss) on investments (realized and unrealized)		1.09			3.40			4.46			(10.68	)		1.29			4.56

Total from investment operations		1.21			3.59			4.65			(10.39	)		1.54			4.76

Net asset value, end of period	$	27.00		$	25.79		$	22.20		$	17.55		$	27.94		$	26.40

Total Return^c		4.69	%		16.17	%		26.50	%		(37.19	%)		5.83	%		22.00	%

Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	290,892		$	298,181		$	280,473		$	250,972		$	479,972		$	480,683

Ratios to average net assets:
Net investment income		0.86	%		0.81	%		1.03	%		1.21	%		0.90	%		0.80	%
Total expenses^d		0.80	%		0.80	%		0.81	%		0.80	%		0.79	%		0.79	%

Portfolio turnover rate		10	%		17	%		16	%		32	%		29	%		20	%


^a		Unaudited figures for the period ended June 30, 2011. Percentage amounts for the period, except total return andportfolio turnover rate, have been annualized.

^b		Net investment income (loss) per share was computed using average shares outstanding throughout the period.

^c		Total return does not take into account any of the expenses associated with an investment in variable insurance products offered by Security Benefit Life Insurance Company. If total return had taken into account these expenses, performance would have been lower. Shares of a Series of SBL Fund are available only through the purchase of such products.

^d		Does not include expenses of the underlying funds in which the Fund invests.


See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 15


SCHEDULE OF INVESTMENTS (Unaudited)		Rydex\|SGI SBL Fund
June 30, 2011		Series C (Money Market Series)


	Face
	Amount		Value

ASSET BACKED SECURITIES^†- 0.2%
Small Business Administration Pools
#503303, 0.75% due
07/01/11^1,2	$	107,740	$	107,865
#503343, 0.88% due
07/01/11^1,2		81,201		81,201
#503295, 0.75% due
07/01/11^1,2		59,237		59,306
#502353, 1.00% due
07/01/11^1,2		26,201		26,201

Total Asset Backed Securities (Cost $274,420)				274,573


COMMERCIAL PAPER^†- 59.6%
John Deere Capital Corp.
0.11% due 07/14/11		2,000,000		1,999,925
0.10% due 07/14/11		2,000,000		1,999,924
0.10% due 07/20/11		800,000		799,957
0.08% due 08/05/11		600,000		599,953
0.10% due 07/08/11		350,000		349,993
0.10% due 07/25/11		250,000		249,983
General Re Corp.
0.10% due 07/15/11		5,000,000		4,999,806
UBS Finance Delaware LLC
0.37% due 07/29/11		5,000,000		4,999,440
Societe Generale
0.24% due 08/01/11		2,000,000		1,999,690
0.32% due 08/03/11		2,000,000		1,999,664
0.18% due 08/01/11		1,000,000		999,845
Toyota Motor Credit Co.
0.27% due 08/23/11		5,000,000		4,998,980
0.25% due 11/28/11		1,000,000		999,161
Procter & Gamble Co.
0.08% due 07/18/11		3,000,000		2,999,887
0.07% due 07/07/11		1,000,000		999,988
Nestle Capital Corp.
0.21% due 07/08/11		2,000,000		1,999,973
0.11% due 08/15/11		2,000,000		1,999,796
American Honda Finance
0.19% due 08/16/11		2,000,000		1,999,475
0.14% due 09/21/11		2,000,000		1,998,889
0.15% due 09/21/11		1,000,000		999,444
0.12% due 08/19/11		1,000,000		999,837
Westpac Banking Corp.
0.27% due 11/04/11		4,000,000		3,997,564
0.15% due 09/06/11		700,000		699,854
ING U.S. Funding LLC
0.28% due 08/05/11		2,000,000		1,999,636
0.24% due 07/06/11		1,500,000		1,499,970
0.17% due 07/18/11		848,000		847,932
0.16% due 08/05/11		300,000		299,953
Coca-Cola Co.
0.07% due 07/06/11		2,000,000		1,999,981
0.14% due 09/23/11		1,500,000		1,499,550
0.23% due 07/18/11		1,000,000		999,955
0.13% due 09/14/11		975,000		974,751
Sheffield Receivables Corp
0.15% due 07/20/11		3,000,000		2,999,763
0.15% due 07/22/11		900,000		899,921
Jupiter Securitization Company LLC
0.13% due 07/27/11		3,000,000		2,999,718
Abbot Laboratories
0.08% due 07/27/11		2,900,000		2,899,833
Danske Corp.
0.20% due 08/05/11		1,200,000		1,199,767
0.25% due 07/13/11		1,000,000		999,951
0.19% due 07/28/11		402,000		401,943
BNP Paribas Finance, Inc.
0.27% due 07/05/11		2,000,000		1,999,975
0.25% due 08/26/11		180,000		179,949
General Electric Co.
0.09% due 07/01/11		2,000,000		2,000,000
Barclays plc
0.18% due 07/13/11		2,000,000		1,999,924
Royal Bank of Canada
0.23% due 09/07/11		2,000,000		1,999,670
Bank of America
0.16% due 07/25/11		1,500,000		1,499,840

Total Commercial Paper (Cost $77,888,843)				77,893,010

Total Investments -59.8% (Cost $78,163,263)			$	78,167,583

Cash & Other Assets, Less Liabilities -40.2%				52,655,487

Total Net Assets -100.0%			$	130,823,070


^†		Value determined based on Level 2 inputs — See Note 4.

¹		Variable rate security. Rate indicated is rate effective at June 30, 2011.

²		Maturity date indicated is next interest reset date.

plc — Public Limited Company


See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 17

Rydex|SGI SBL Fund
Series C (Money Market Series)

STATEMENT OF ASSETS AND LIABILITIES (Unaudited)
June 30, 2011


Assets:
Investments, at value (cost $78,163,263)	$	78,167,583
Cash		52,922,386
Prepaid expenses		9,763
Receivables:
Securities sold		2,328
Fund shares sold		99,149
Interest		373

Total assets		131,201,582


Liabilities:
Payable for:
Fund shares redeemed		263,228
Management fees		47,678
Transfer agent/maintenance fees		2,090
Fund Accounting/Administration fees		9,059
Directors’ fees		9,730
Direct shareholders expense		25,783
Other		20,944

Total liabilities		378,512

Net assets	$	130,823,070


Net assets consist of:
Paid in capital	$	131,124,035
Accumulated net investment loss		(305,283	)
Accumulated net realized loss on investments		(2	)
Net unrealized appreciation on investments		4,320

Net assets	$	130,823,070


Capital shares outstanding		9,714,853
Net asset value per share	$	13.47

STATEMENT OF OPERATIONS (Unaudited)
For the Period Ended June 30, 2011


Investment Income:
Interest	$	93,063

Total investment income		93,063


Expenses:
Management fees		267,362
Transfer agent/maintenance fees		12,608
Fund Accounting/Administration fees		50,798
Directors’ fees*		10,253
Miscellaneous		57,325

Total expenses		398,346

Net investment loss		(305,283	)


Net Unrealized Gain (Loss):
Net realized gain (loss) on:
Investments		(2	)

Net realized loss		(2	)

Net change in unrealized appreciation (depreciation) on:
Investments		4,857

Net change in unrealized appreciation (depreciation)		4,857

Net realized and unrealized gain		4,855

Net decrease in net assets resulting from operations	$	(300,428	)


*		Relates to Directors not deemed “interested persons” within the meaning of Section 2(a)(19) of the 1940 Act.


18 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.


FINANCIAL HIGHLIGHTS		Rydex\|SGI SBL Fund
		Series C (Money Market Series)

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.


	Period			Year			Year			Year			Year			Year
	Ended			Ended			Ended			Ended			Ended			Ended
	June 30,			December 31,			December 31,			December 31,			December 31,			December 31,
	2011^a			2010			2009			2008			2007			2006

Per Share Data
Net asset value, beginning of period	$	13.50		$	13.56		$	13.61		$	13.33		$	12.73		$	12.19

Income (loss) from investment operations:
Net investment income (loss)^b		(.04	)		(.06	)		(.03	)		.26			.60			.45
Net gain (loss) on investments (realized and unrealized)		.01			(—	)^d		(.02	)		.02			—	d		.09

Total from investment operations		(.03	)		(.06	)		(.05	)		.28			.60			.54

Net asset value, end of period	$	13.47		$	13.50		$	13.56		$	13.61		$	13.33		$	12.73


Total Return^c		(0.22	%)		(0.44	%)		(0.37	%)		2.10	%		4.71	%		4.43	%

Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	130,823		$	106,191		$	153,262		$	268,318		$	168,661		$	99,044

Ratios to average net assets:
Net investment income (loss)		(0.57	%)		(0.46	%)		(0.23	%)		1.94	%		4.59	%		4.43	%
Total expenses		0.74	%		0.70	%		0.67	%		0.65	%		0.66	%		0.68	%


^a		Unaudited figures for the period ended June 30, 2011. Percentage amounts for the period, except total return, have been annualized.

^b		Net investment income (loss) per share was computed using average shares outstanding throughout the period.

^c		Total return does not take into account any of the expenses associated with an investment in variable insurance products offered by Security Benefit Life Insurance Company. If total return had taken into account these expenses, performance would have been lower. Shares of a Series of SBL Fund are available only through the purchase of such products.

^d		Less than $0.01 per share


20 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.



SCHEDULE OF INVESTMENTS (Unaudited)		Rydex\|SGI SBL Fund
June 30, 2011		Series D (MSCI EAFE Equal Weight Series)


	Shares		Value

COMMON STOCKS† - 97.0%

Financials - 21.6%
Sumitomo Realty & Development Company Ltd.		14,000	$	311,111
Japan Real Estate Investment Corp.		30		294,764
Alpha Bank AE		58,540		294,589
Credit Saison Company Ltd.		17,510		292,975
Nippon Building Fund, Inc.		30		292,901
Mitsui Fudosan Company Ltd.		17,000		290,988
Daiwa House Industry Company Ltd.		23,000		288,839
Suruga Bank Ltd.		33,000		286,529
CNP Assurances		13,100		285,633
Nomura Real Estate Holdings, Inc.		17,210		285,390
Bank of Kyoto Ltd.		31,000		284,566
Iyo Bank Ltd.		31,000		284,566
Aozora Bank Ltd.		123,000		284,181
Aeon Credit Service Company Ltd.		20,810		283,826
Chugoku Bank Ltd.		23,000		283,697
Resona Holdings, Inc.		60,420		283,694
AXA S.A.		12,460		283,153
London Stock Exchange Group plc		16,500		280,671
Daiwa Securities Group, Inc.		64,000		280,628
Mitsubishi UFJ Financial Group, Inc.		57,920		280,589
Hokuhoku Financial Group, Inc.		142,040		280,534
Erste Group Bank AG		5,340		279,952
Seven Bank Ltd.		140		279,461
Daito Trust Construction Company Ltd.		3,300		279,150
Yamaguchi Financial Group, Inc.		30,000		279,113
Sumitomo Mitsui Financial Group, Inc.		9,100		278,974
Mizuho Financial Group, Inc.		169,350		277,675
Nishi-Nippon City Bank Ltd.		94,000		276,728
Commonwealth Bank of Australia ADR		4,930		276,518
Joyo Bank Ltd.		66,000		276,281
Singapore Exchange Ltd.		45,000		275,869
Global Logistic Properties Ltd.*		164,330		275,600
Delta Lloyd N.V.		11,570		275,009
Fukuoka Financial Group, Inc.		66,000		274,641
Chiba Bank Ltd.		44,000		274,368
Bank of Yokohama Ltd.		55,000		273,958
Wing Hang Bank Ltd.		25,010		273,668
Mizuho Securities Company Ltd.		114,040		273,396
Unibail-Rodamco SE		1,180		272,860
Westfield Retail Trust		93,800		272,613
Mizuho Trust & Banking Company Ltd.		309,100		272,605
EFG Eurobank Ergasias S.A.		58,170		272,481
ING Groep N.V.*		22,080		271,825
SCOR SE		9,562		271,793
UOL Group Ltd.		66,850		271,036
Government Properties Trust, Inc.		79,970		271,012
Tokio Marine Holdings, Inc.		9,700		270,499
Mitsubishi UFJ Lease & Finance Company Ltd.		7,020		270,319
Sumitomo Mitsui Trust Holdings, Inc.		77,990		270,284
ORIX Corp.		2,790		269,972
National Bank of Greece S.A.		37,750		269,897
NKSJ Holdings, Inc.		41,000		269,412
Westpac Banking Corp.		11,270		269,044
Allianz AG		1,920		268,224
Lend Lease Group		27,880		268,200
Aeon Mall Company Ltd.		11,100		267,762
United Overseas Bank Ltd.		16,710		267,730
Hopewell Holdings Ltd.		84,500		267,670
Banco Bilbao Vizcaya Argentaria S.A.		22,800		267,496
Fonciere Des Regions		2,520		266,965
Hang Seng Bank Ltd.		16,710		266,915
Link REIT		77,990		266,090
Dexus Property Group		281,920		266,062
Land Securities Group plc		19,450		265,929
DBS Group Holdings Ltd.		22,280		265,916
Australia & New Zealand Banking Group Ltd.		11,270		265,902
Societe Generale S.A.		4,480		265,857
MS&AD Insurance Group Holdings		11,400		265,653
Hiroshima Bank Ltd.		61,000		265,201
NTT Urban Development Corp.		310		264,928
Bendigo and Adelaide Bank Ltd.		27,880		264,912
Hang Lung Group Ltd.		41,780		264,692
Sony Financial Holdings, Inc.		14,700		264,583
Muenchener Rueckversicherungs AG		1,730		264,562
British Land Company plc		27,080		264,434
Nomura Real Estate Office Fund, Inc. — Class A		40		264,331
Bankinter S.A.		38,920		264,321
Deutsche Bank AG		4,470		264,161
Mizrahi Tefahot Bank Ltd.		24,930		263,852
Old Mutual plc		123,320		263,798
Ascendas Real Estate Investment Trust		158,760		263,674
Gunma Bank Ltd.		50,000		263,338
Hachijuni Bank Ltd.		47,000		263,300
BNP Paribas S.A.		3,410		263,236
T&D Holdings, Inc.		11,100		262,661
Hang Lung Properties Ltd.		64,060		262,605
Sampo Oyj — Class A		8,130		262,570
Swiss Life Holding AG		1,600		262,417
Mirvac Group — Class REIT		195,690		262,333
Credit Agricole S.A.		17,420		261,976
Legal & General Group plc		138,170		261,861



22 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.



SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series D (MSCI EAFE Equal Weight Series)


	Shares		Value

Israel Discount Bank Ltd. — Class A*		133,300	$	261,710
Nomura Holdings, Inc.		53,200		261,688
Ageas		96,390		261,541
Groupe Bruxelles Lambert S.A.		2,940		261,490
Hysan Development Company Ltd.		52,920		261,482
Standard Chartered plc		9,940		261,281
QBE Insurance Group Ltd.		14,110		261,030
Aviva plc		37,030		260,811
Hannover Rueckversicherung AG		5,000		260,786
Hammerson plc		33,740		260,596
Suncorp Group Ltd.		29,840		260,494
AIA Group Ltd.*		75,200		260,437
Pargesa Holding S.A.		2,810		260,346
Standard Life plc		77,080		260,252
Baloise Holding AG		2,520		260,002
Aegon N.V.*		38,040		259,503
Investec plc		32,040		259,138
CFS Retail Property Trust		133,070		259,019
National Australia Bank Ltd. ADR		9,420		258,824
Stockland		70,680		258,479
Banco Santander S.A.		22,380		258,447
Bank Leumi Le-Israel BM		54,810		257,747
ICADE		2,090		257,723
Banco Popular Espanol S.A.		45,780		257,664
Mapfre S.A.		69,330		257,392
Klepierre		6,230		257,178
Gjensidige Forsikring ASA		20,860		257,168
Bank Hapoalim BM*		51,710		257,152
Corio N.V.		3,880		257,147
IMMOFINANZ AG*		60,310		257,141
Wheelock & Company, Ltd.		64,060		256,843
Goodman Group		339,460		256,656
Vienna Insurance Group AG Wiener Versicherung Gruppe		4,669		256,624
Assicurazioni Generali SpA		12,160		256,585
Banco de Sabadell S.A.		62,010		256,295
Insurance Australia Group Ltd.		70,280		256,262
Deutsche Boerse AG		3,360		255,332
CaixaBank		36,580		255,325
Shizuoka Bank Ltd.		27,850		255,305
Westfield Group		27,450		254,938
SBI Holdings, Inc.		2,760		254,727
Oversea-Chinese Banking Corporation Ltd.		33,420		254,670
Investor AB — Class B		11,110		254,663
Shinsei Bank Ltd.		256,250		254,642
RSA Insurance Group plc		117,670		254,544
Gecina S.A.		1,820		254,359
Capital Shopping Centres Group plc		39,600		253,811
ICAP plc		33,410		253,544
Prudential plc		21,940		253,499
Banco Espirito Santo S.A.		68,010		253,478
UBS AG		13,890		253,251
Tryg A		4,390		253,235
3i Group plc¹		56,140		253,155
HSBC Holdings plc		25,490		252,916
ASX Ltd.		7,720		252,104
Commerzbank AG		58,520		251,970
Wharf Holdings Ltd.		36,210		251,507
Henderson Land Development Company Ltd.		38,990		251,275
AMP Ltd.		47,890		251,147
CapitaLand Ltd.		106,000		251,128
Hong Kong Exchanges and Clearing Ltd.		11,980		251,094
Dai-ichi Life Insurance Company Ltd.		180		251,090
Raiffeisen Bank International AG		4,870		250,969
Ratos AB — Class B		13,060		250,844
BOC Hong Kong Holdings Ltd.		86,340		250,753
Julius Baer Group Ltd.		6,070		250,727
Zurich Financial Services AG		990		250,326
CapitaMall Trust		164,330		250,181
Admiral Group plc		9,390		250,139
Swiss Reinsurance Company Ltd.		4,470		249,710
Segro plc		49,830		249,650
Industrivarden AB — Class C		15,070		249,428
Bank of East Asia Ltd.		60,720		249,303
Randstad Holding N.V.		5,390		249,157
Pohjola Bank plc — Class A		19,240		248,888
Dexia S.A.*		79,821		248,533
Kerry Properties Ltd.		51,530		248,323
UniCredit SpA		117,150		248,044
KBC Groep N.V.		6,290		247,203
Exor SpA		7,900		246,893
CapitaMalls Asia Ltd.		206,060		246,608
DnB NOR ASA		17,670		246,340
Japan Retail Fund Investment Corp. — Class A		160		246,047
Macquarie Group Ltd.		7,340		245,992
Swire Pacific Ltd. — Class A		16,710		245,442
Schroders plc		9,880		245,117
Resolution Ltd.		51,920		244,957
Tokyu Land Corp.		58,000		244,954
Eurazeo		3,351		244,806
Lloyds Banking Group plc*		311,140		244,658
Mitsubishi Estate Company Ltd.		14,000		244,506
Cheung Kong Holdings Ltd.		16,710		244,368
Svenska Handelsbanken AB — Class A		7,920		244,268
Nordea Bank AB		22,690		243,909
Sun Hung Kai Properties Ltd.		16,710		243,294
Skandinaviska Enskilda Banken AB — Class A		29,745		243,102
Mediobanca SpA		23,960		242,710
Kinnevik Investment AB — Class B		10,880		241,652
Credit Suisse Group AG		6,200		241,127
Sino Land Company Ltd.		150,410		240,835
Swedbank AB — Class A		14,320		240,636
Barclays plc		58,480		240,621


See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 23



SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series D (MSCI EAFE Equal Weight Series)


	Shares		Value

Banca Carige SpA		105,700	$	239,590
Man Group plc		62,980		239,428
Japan Prime Realty Investment Corp.		90		238,122
Keppel Land Ltd.		80,770		238,042
Natixis		47,330		237,491
Bank of Cyprus plc		80,430		236,782
City Developments Ltd.		27,850		235,806
New World Development Ltd.		156,000		235,753
Banco Popolare SC		102,200		235,510
Royal Bank of Scotland Group plc ADR*		379,800		234,347
Danske Bank A		12,650		234,259
GAM Holding AG		13,960		229,125
Banco Comercial Portugues S.A. — Class R*		384,570		228,662
Unione di Banche Italiane SCPA		33,910		190,905
Banca Monte dei Paschi di Siena SpA		210,800		159,732
Intesa Sanpaolo SpA		51,300		136,592
Intesa Sanpaolo SpA-RSP		61,050		131,830

Total Financials				54,312,592


Industrials - 18.8%
NGK Insulators Ltd.		17,000		315,061
JGC Corp.		11,140		303,736
Furukawa Electric Company Ltd.		72,000		298,714
Kawasaki Heavy Industries Ltd.		75,000		297,187
Makita Corp.		6,400		296,528
JTEKT Corp.		20,010		293,048
Tobu Railway Company Ltd.		69,000		289,696
All Nippon Airways Company Ltd.		89,000		289,647
MAp Group		80,740		289,208
Kamigumi Company Ltd.		31,000		289,187
Mitsubishi Electric Corp.		25,000		288,802
Kintetsu Corp.		90,000		288,429
Chiyoda Corp.		25,070		287,431
SMC Corp.		1,600		286,988
GEA Group AG		7,930		283,884
NTN Corp.		50,000		283,212
Daikin Industries Ltd.		8,000		282,020
Nabtesco Corp.		11,700		281,655
Kinden Corp.		33,000		281,610
Keikyu Corp.		39,000		280,976
Toyota Tsusho Corp.		16,410		279,870
Mitsubishi Logistics Corp.		25,000		279,796
Safran S.A.		6,550		279,744
GS Yuasa Corp.		42,000		279,113
JS Group Corp.		10,860		278,970
TOTO Ltd.		36,000		278,591
Nippon Express Company Ltd.		69,000		278,554
Hitachi Construction Machinery Company Ltd.		12,500		278,554
Hino Motors Ltd.		48,000		278,442
Kawasaki Kisen Kaisha Ltd.		80,020		278,313
Obayashi Corp.		64,000		278,244
Toppan Printing Company Ltd.		36,000		278,144
International Consolidated Airlines Group S.A.*		68,540		278,116
NSK Ltd.		28,000		277,896
Asciano Ltd.		157,910		277,733
IHI Corp.		108,000		277,697
FANUC Corp.		1,670		277,555
Keisei Electric Railway Company Ltd.		47,000		277,312
Nidec Corp.		3,000		277,250
Weir Group plc		8,110		276,689
Komatsu Ltd.		8,900		276,049
Minebea Company Ltd.		52,000		275,809
Amada Company Ltd.		36,000		275,461
Keio Corp.		50,000		275,138
Koninklijke Boskalis Westminster N.V.		5,815		274,959
Koninklijke Vopak N.V.		5,600		274,417
Edenred		8,990		274,309
Yamato Holdings Company Ltd.		17,510		274,270
Thales S.A.		6,360		274,258
THK Company Ltd.		10,800		273,672
Groupe Eurotunnel S.A.		24,450		273,380
Siemens AG		1,990		273,299
Kurita Water Industries Ltd.		9,190		273,057
West Japan Railway Co.		7,000		273,027
Societe BIC S.A. ADR		2,820		272,533
Deutsche Post AG		14,160		272,091
Singapore Technologies Engineering Ltd.		111,000		272,010
Taisei Corp.		119,000		271,983
Orkla ASA		28,480		270,856
European Aeronautic Defence and Space Company N.V.		8,090		270,781
Sumitomo Corp.		20,010		270,677
Schneider Electric S.A.		1,620		270,646
Kajima Corp.		94,700		270,555
Sumitomo Heavy Industries Ltd.		39,000		270,319
Sumitomo Electric Industries Ltd.		18,610		269,770
Invensys plc		52,220		269,669
Wendel S.A.		2,190		269,292
Aggreko plc		8,670		268,246
Mitsui & Company Ltd.		15,600		268,187
ITOCHU Corp.		25,900		267,992
Babcock International Group plc		23,470		267,976
Sojitz Corp.		143,700		267,747
Bureau Veritas S.A.		3,170		267,741
Mitsui OSK Lines Ltd.		50,000		267,685
Ushio, Inc.		13,600		267,422
Asahi Glass Company Ltd.		23,000		267,412
Fuji Electric Company Ltd.		86,000		267,064
Cosco Corporation Singapore Ltd.		168,000		266,710
Deutsche Lufthansa AG		12,240		266,704
Mabuchi Motor Company Ltd.		5,300		266,629
Eiffage S.A.		4,020		266,018
Shimizu Corp.		64,060		265,773
Tokyu Corp.		64,000		265,524
Legrand S.A.		6,300		265,367


24 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.



SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series D (MSCI EAFE Equal Weight Series)


	Shares		Value

Mitsui Engineering & Shipbuilding Company Ltd.		122,040	$	265,288
Kone Oyj — Class B		4,220		265,177
Alstom S.A.		4,300		265,153
Ferrovial S.A.		20,970		265,063
ComfortDelGro Corporation Ltd.		222,830		264,863
Fomento de Construcciones y Contratas S.A.		8,680		264,661
Vinci S.A.		4,130		264,552
SembCorp Marine Ltd.		61,280		264,418
Kubota Corp.		30,000		264,207
Bunzl plc		21,110		264,066
Hochtief AG		3,160		263,963
Rolls-Royce Holdings plc		25,440		263,320
Secom Company Ltd.		5,500		262,686
Brambles Ltd.		33,900		262,489
Metso Oyj		4,620		262,440
QR National Ltd.*		72,320		262,150
Odakyu Electric Railway Company Ltd.		33,000		261,524
ACS Actividades de Construccion y Servicios S.A.		5,540		261,273
Fiat Industrial SpA*		20,240		261,237
Alfa Laval AB		12,120		261,146
Cie de St.-Gobain		4,030		260,981
Mitsubishi Heavy Industries Ltd.		55,710		260,887
Mitsubishi Corp.		10,500		260,853
Geberit AG		1,100		260,609
Aeroports de Paris		2,770		260,590
Fraport AG Frankfurt Airport Services Worldwide		3,240		260,544
Brenntag AG		2,240		260,399
SembCorp Industries Ltd.		64,060		260,245
Securitas AB — Class B		24,520		259,511
Vallourec S.A.		2,130		259,443
Auckland International Airport Ltd.		140,520		259,026
Finmeccanica SpA		21,370		258,622
SKF AB — Class B		8,920		258,048
Cathay Pacific Airways Ltd.		111,410		257,991
Abertis Infraestructuras S.A.		11,540		257,811
Marubeni Corp.		39,000		257,723
Experian plc		20,220		257,475
Assa Abloy AB — Class B		9,580		257,454
Volvo AB — Class B		14,730		257,306
Singapore Airlines Ltd.		22,280		257,209
Skanska AB — Class B		14,360		256,972
ABB Ltd.		9,910		256,943
MTR Corp.		72,420		256,858
Kuehne + Nagel International AG		1,690		256,475
Transurban Group		45,700		256,326
Wolseley plc		7,860		256,303
Nippon Yusen KK		69,000		255,413
DSV A		10,640		255,062
MAN SE		1,910		254,722
G4S plc		56,590		254,003
Prysmian SpA		12,590		253,242
Bouygues S.A.		5,760		253,230
Capita Group plc		21,980		252,198
Smiths Group plc		13,090		252,074
Atlantia SpA		11,823		251,703
East Japan Railway Co.		4,400		251,413
Keppel Corporation Ltd.		27,850		251,224
Adecco S.A.		3,910		250,653
Scania AB — Class B		10,800		250,460
BAE Systems plc		49,000		250,367
Intertek Group plc		7,910		250,317
Noble Group Ltd.		155,980		250,167
Nippon Sheet Glass Company Ltd.		80,770		249,820
Fraser and Neave Ltd.		52,920		249,456
Balfour Beatty plc		50,260		248,739
Serco Group plc		28,040		248,385
Wartsila Oyj		7,340		247,913
Toll Holdings Ltd.		47,620		247,688
Sandvik AB		14,082		246,877
Dai Nippon Printing Company Ltd.		22,000		246,767
SGS S.A.		130		246,765
Koninklijke Philips Electronics N.V.		9,600		246,561
Delek Group Ltd.		1,100		246,162
Japan Steel Works Ltd.		36,000		245,500
NWS Holdings Ltd.		183,000		245,044
Elbit Systems Ltd.		5,170		244,946
Yangzijiang Shipbuilding Holdings Ltd.		206,060		244,930
Air France-KLM		15,850		243,307
Cobham plc		71,400		242,335
Hexagon AB — Class B		9,830		242,106
Hutchison Whampoa Ltd.		22,280		240,503
Leighton Holdings Ltd.		10,750		240,375
Hutchison Port Holdings Trust — Class U*		284,000		239,980
Sulzer AG		1,470		239,172
Central Japan Railway Co.		30		235,513
Qantas Airways Ltd.		118,810		234,447
Zardoya Otis S.A.		15,880		233,980
Orient Overseas International Ltd.		34,510		222,182
Neptune Orient Lines Ltd.		178,000		221,721
PostNL N.V. ADR		25,370		215,307
Vestas Wind Systems A*		8,830		205,149
Bekaert S.A.		2,510		191,103
Atlas Copco AB — Class A		5,060		133,183
Atlas Copco AB — Class B		5,650		132,993
Schindler Holding AG-PART CERT		1,060		128,844
Schindler Holding AG		1,060		128,718
AP Moller — Maersk A/S — Class B		10		86,245
AP Moller — Maersk A/S — Class A		10		82,745

Total Industrials				47,150,075


Consumer Discretionary - 13.9%
Fast Retailing Company Ltd.		1,900		306,105
Porsche Automobil Holding SE		3,820		303,030
Koito Manufacturing Company Ltd.		17,000		295,845
Dentsu, Inc.		10,000		294,392
Jardine Cycle & Carriage Ltd.		8,360		292,665
ProSiebenSat.1 Media AG		10,260		290,890
Shimano, Inc.		5,300		290,659


See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 25



SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series D (MSCI EAFE Equal Weight Series)


	Shares		Value

Nitori Holdings Company Ltd.		3,050	$	289,069
Pirelli & C SpA		26,710		288,579
Daihatsu Motor Company Ltd.		17,000		288,032
Burberry Group plc		12,270		285,312
NHK Spring Company Ltd.		28,000		284,852
Sekisui Chemical Company Ltd.		33,420		284,364
Marui Group Company Ltd.		37,600		283,967
Daimler AG		3,760		283,002
Toyota Industries Corp.		8,600		282,554
Isetan Mitsukoshi Holdings Ltd.		28,910		281,900
Takashimaya Company Ltd.		41,000		281,635
Peugeot S.A.		6,290		281,593
J Front Retailing Company Ltd.		64,000		281,424
Stanley Electric Company Ltd.		16,100		280,983
Rinnai Corp.		3,900		280,976
Adidas AG		3,530		280,025
Toyota Boshoku Corp.		16,910		279,575
Jupiter Telecommunications Company Ltd.		250		279,486
Nissan Motor Company Ltd.		26,710		279,359
Tatts Group Ltd.		108,480		279,213
Sumitomo Rubber Industries Ltd.		23,120		278,572
Yamada Denki Company Ltd.		3,430		278,217
Fuji Heavy Industries Ltd.		36,000		278,144
Renault S.A.		4,690		278,081
Denso Corp.		7,500		277,809
Cie Generale des Etablissements Michelin — Class B		2,840		277,760
Panasonic Corp.		22,810		277,670
SES S.A.		9,890		277,603
Namco Bandai Holdings, Inc.		23,120		277,423
Aisin Seiki Company Ltd.		7,200		277,250
Hakuhodo DY Holdings, Inc.		5,210		276,987
Sands China Ltd.*		102,500		276,611
Toyoda Gosei Company Ltd.		12,200		275,960
Lagardere SCA		6,520		275,484
LVMH Moet Hennessy Louis Vuitton S.A.		1,530		275,358
Mazda Motor Corp.		105,000		275,200
NGK Spark Plug Company Ltd.		20,000		275,014
Fiat SpA		25,050		275,003
Yamaha Motor Company Ltd.		15,000		274,269
Singapore Press Holdings Ltd.		86,340		274,140
Mitsubishi Motors Corp.*		225,070		273,981
Nokian Renkaat Oyj		5,460		273,970
Autogrill SpA		20,850		273,646
Isuzu Motors Ltd.		58,000		273,051
Crown Ltd.		28,480		272,751
PPR		1,530		272,473
Continental AG		2,590		272,127
USS Company Ltd.		3,510		271,627
Toho Company Ltd.		16,400		271,551
ABC-Mart, Inc.		6,700		271,312
Sodexo		3,460		271,260
Christian Dior S.A.		1,720		270,640
Societe Television Francaise 1		14,860		270,241
Eutelsat Communications S.A.		6,010		270,191
Publicis Groupe S.A.		4,840		269,883
Rakuten, Inc.		260		268,381
Bridgestone Corp.		11,700		268,284
Yamaha Corp.		23,610		267,759
Nikon Corp.		11,400		267,494
WPP plc		21,370		267,489
Luxottica Group SpA		8,330		267,217
Pearson plc		14,170		267,187
Cie Financiere Richemont S.A.		4,080		267,131
Inditex S.A.		2,930		267,016
Suzuki Motor Corp.		11,900		266,810
Reed Elsevier plc		29,360		266,438
Shimamura Company Ltd.		2,800		266,418
NOK Corp.		15,600		266,056
Next plc		7,130		265,909
Reed Elsevier N.V.		19,800		265,752
Harvey Norman Holdings Ltd.		99,400		265,436
JCDecaux S.A.		8,280		265,433
Vivendi S.A.		9,540		265,288
Honda Motor Company Ltd.		6,900		264,412
British Sky Broadcasting Group plc ADR		19,450		264,213
Sky City Entertainment Group Ltd.		88,070		264,126
Compass Group plc		27,380		264,068
Lifestyle International Holdings Ltd.		90,520		264,056
Axel Springer AG		5,340		263,767
Sony Corp.		10,000		262,965
Metropole Television S.A.		11,340		262,388
Toyota Motor Corp.		6,400		262,344
McDonald’s Holdings Company Japan Ltd.		10,310		262,280
Benesse Holdings, Inc.		6,100		261,791
Sega Sammy Holdings, Inc.		13,600		261,678
ITV plc*		227,720		261,102
Wolters Kluwer N.V.		11,780		261,037
TUI AG		24,020		260,561
Sanoma Oyj		14,020		259,844
Accor S.A.		5,810		259,809
Sekisui House Ltd.		28,000		259,462
Genting Singapore plc*		164,330		258,208
Sankyo Company Ltd.		5,000		257,437
SJM Holdings Ltd.		108,630		257,137
Whitbread plc		9,920		256,935
Carnival plc		6,630		256,625
Mediaset Espana Comunicacion S.A.		29,520		256,478
Galaxy Entertainment Group Ltd.*		119,770		256,110
Casio Computer Co. Ltd.		36,410		255,533
Intercontinental Hotels Group plc		12,490		255,352
Sharp Corp.		28,000		254,245
Oriental Land Company Ltd.		3,000		254,146
Modern Times Group AB — Class B		3,840		253,560
Asics Corp.		16,710		248,455
TUI Travel plc		68,850		247,822
Hennes & Mauritz AB — Class B		7,160		246,861
Wynn Macau Ltd.		75,760		246,799
Pandora A		7,840		246,319
Shangri-La Asia Ltd.		100,270		245,337
Fairfax Media Ltd.		232,100		243,936


26 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.



SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series D (MSCI EAFE Equal Weight Series)


	Shares		Value

Yue Yuen Industrial Holdings Ltd.		76,600	$	243,137
Kingfisher plc		56,360		241,666
Kabel Deutschland Holding AG*		3,900		239,809
Mediaset SpA		50,870		239,171
Li & Fung Ltd.		120,040		239,102
Marks & Spencer Group plc		40,560		235,165
Electrolux AB		9,800		233,776
OPAP S.A.		14,510		226,209
Husqvarna AB — Class B		33,540		222,105
Esprit Holdings Ltd.		70,720		219,929
Home Retail Group plc		75,250		197,559
Bayerische Motoren Werke AG		1,500		149,685
Volkswagen AG		790		145,157
Echo Entertainment Group Ltd.*		31,950		140,827
Swatch Group AG-BR		270		136,092
Swatch Group AG		1,490		133,795
TABCORP Holdings Ltd.		31,950		112,730

Total Consumer Discretionary				35,015,355


Materials - 11.1%
Voestalpine AG		5,320		293,678
Daido Steel Company Ltd.		44,000		292,951
OJI Paper Company Ltd.		61,000		291,721
ThyssenKrupp AG		5,610		291,544
Sumitomo Metal Industries Ltd.		130,040		290,755
Mitsui Chemicals, Inc.		80,000		290,168
Toyo Seikan Kaisha Ltd.		17,210		287,956
JFE Holdings, Inc.		10,500		287,460
Nippon Steel Corp.		89,000		287,436
Iluka Resources Ltd.		15,900		286,130
Asahi Kasei Corp.		42,000		281,722
Kansai Paint Company Ltd.		31,000		281,486
Hitachi Metals Ltd.		20,000		281,473
Makhteshim-Agan Industries Ltd.		50,370		281,281
BASF SE		2,860		280,256
ArcelorMittal		7,980		277,689
Sumitomo Metal Mining Company Ltd.		17,000		277,685
Sims Metal Management Ltd.		14,660		277,494
Nippon Paper Group, Inc.		12,500		276,691
Daicel Chemical Industries Ltd.		42,000		276,505
Orica Ltd.		9,560		276,204
Kobe Steel Ltd.		122,040		275,899
Linde AG		1,570		275,271
Air Liquide S.A.		1,920		275,213
Solvay S.A.		1,780		275,047
Salzgitter AG		3,600		274,562
Rio Tinto plc		3,810		274,523
Kazakhmys plc		12,310		272,414
Randgold Resources Ltd.		3,230		272,385
Rio Tinto Ltd.		3,060		272,346
Toray Industries, Inc.		37,000		272,082
Antofagasta plc		12,170		272,050
Israel Corporation Ltd.		250		271,867
Mitsubishi Chemical Holdings Corp.		38,510		271,706
CRH plc ADR		12,220		270,610
Taiyo Nippon Sanso Corp.		34,000		269,871
Mitsubishi Materials Corp.		86,000		269,201
Incitec Pivot Ltd.		64,970		268,952
Showa Denko KK		130,000		268,058
James Hardie Industries SE*		42,650		268,035
Tosoh Corp.		66,850		267,383
Shin-Etsu Chemical Company Ltd.		5,000		266,754
Amcor Ltd.		34,510		266,472
Cimpor Cimentos de Portugal SGPS S.A.		34,870		266,449
BHP Billiton plc		6,730		264,761
Anglo American plc		5,340		264,536
Air Water, Inc.		22,000		264,257
Nisshin Steel Company Ltd.		139,000		264,170
BHP Billiton Ltd.		5,620		263,988
Umicore S.A.		4,830		263,442
Sumitomo Chemical Company Ltd.		53,000		263,338
OneSteel Ltd.		132,360		262,605
Mitsubishi Gas Chemical Company, Inc.		36,000		262,493
Eramet		790		261,672
Maruichi Steel Tube Ltd.		10,580		261,527
Fortescue Metals Group Ltd.		38,270		260,619
Kuraray Company Ltd.		17,830		260,235
Syngenta AG		770		259,902
Israel Chemicals Ltd.		16,320		259,017
Fletcher Building Ltd.		36,190		258,446
UPM-Kymmene Oyj		14,120		258,217
Koninklijke DSM N.V.		3,970		257,671
K+S AG		3,350		257,487
Ube Industries Ltd.		86,000		257,450
Wacker Chemie AG		1,190		257,311
Novozymes A — Class B		1,580		257,113
Hitachi Chemical Company Ltd.		13,000		256,916
Imerys S.A.		3,640		256,524
JSR Corp.		13,300		256,401
Boral Ltd.		54,120		255,379
Kaneka Corp.		39,000		255,301
Rautaruukki Oyj		11,270		254,639
Norsk Hydro ASA		33,220		254,411
Teijin Ltd.		58,000		254,320
Acerinox S.A.		13,930		254,136
Denki Kagaku Kogyo KK		53,000		254,121
Newcrest Mining Ltd.		6,280		253,975
Givaudan S.A.		240		253,901
Lanxess AG		3,090		253,635
Vedanta Resources plc		7,520		252,577
Nitto Denko Corp.		5,000		252,469
Holcim Ltd.		3,340		252,049
Boliden AB		13,610		251,296
Yamato Kogyo Company Ltd.		8,080		250,314
Arkema S.A.		2,430		250,171
OZ Minerals Ltd.		17,660		249,999
Stora Enso Oyj		23,810		249,823
Xstrata plc		11,350		249,804
Fresnillo plc		11,100		249,734
Yara International ASA		4,430		249,419
Rexam plc		40,450		248,419
MacArthur Coal Ltd.		20,970		246,256


See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 27



SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series D (MSCI EAFE Equal Weight Series)


	Shares		Value

Lafarge S.A.		3,860	$	245,998
HeidelbergCement AG		3,840		245,169
Alumina Ltd.		108,010		244,411
Sika AG		100		241,080
Svenska Cellulosa AB — Class B		17,120		241,003
Johnson Matthey plc		7,630		240,599
Eurasian Natural Resources Corp. plc		19,140		240,037
Outokumpu Oyj		18,070		239,387
SSAB AB — Class A		15,930		238,101
Holmen AB — Class B		7,630		237,857
Lonmin plc		10,110		235,573
Akzo Nobel N.V.		3,690		232,782
Lynas Corporation Ltd.*		105,270		223,534
BlueScope Steel Ltd.		170,890		220,840

Total Materials				27,838,052


Information Technology - 6.7%
Dena Company Ltd.		7,500		321,874
Keyence Corp.		1,100		310,714
Konami Corp.		12,810		301,693
Square Enix Holdings Company Ltd.		16,410		294,342
United Internet AG		13,760		289,248
Yokogawa Electric Corp.		33,980		288,284
Hamamatsu Photonics KK		6,680		287,513
Omron Corp.		10,300		285,056
Fujitsu Ltd.		50,000		284,454
Hoya Corp.		12,800		282,059
Citizen Holdings Company Ltd.		47,310		281,492
Shimadzu Corp.		30,640		279,359
Hitachi High-Technologies Corp.		12,800		279,198
Nomura Research Institute Ltd.		12,800		279,039
Yaskawa Electric Corp.		25,000		278,865
Brother Industries Ltd.		18,910		278,347
Yahoo Japan Corp.		810		277,697
FUJIFILM Holdings Corp.		8,900		276,270
Hitachi Ltd.		47,000		276,144
Ricoh Company Ltd.		25,000		276,070
Itochu Techno-Solutions Corp.		7,800		275,841
Trend Micro, Inc.		8,900		275,164
TDK Corp.		5,000		273,896
Seiko Epson Corp.		15,880		273,790
Capital Gemini S.A.		4,660		273,024
Otsuka Corp.		4,400		273,002
Alcatel-Lucent*		47,150		272,691
Murata Manufacturing Company Ltd.		4,100		272,468
Amadeus IT Holding S.A. — Class A*		12,970		269,162
Rohm Company Ltd.		4,700		268,263
NICE Systems Ltd.*		7,450		268,230
ASM Pacific Technology Ltd.		19,500		267,127
Dassault Systemes S.A.		3,130		266,496
ARM Holdings plc		28,260		266,433
Konica Minolta Holdings, Inc.		32,010		266,004
Oracle Corporation Japan		6,100		265,201
NTT Data Corp.		80		264,431
Indra Sistemas S.A.		12,720		262,498
Toshiba Corp.		50,000		262,096
Gree, Inc.		11,980		260,567
Canon, Inc.		5,500		260,294
SAP AG		4,290		259,745
Advantest Corp.		14,200		259,641
Telefonaktiebolaget LM Ericsson — Class B		17,990		259,364
Infineon Technologies AG ADR		23,050		259,131
Sage Group plc		55,750		258,464
Ibiden Company Ltd.		8,300		258,263
AtoS		4,550		257,078
Neopost S.A.		2,978		255,843
Hirose Electric Company Ltd.		2,500		255,264
Tokyo Electron Ltd.		4,700		255,127
Nippon Electric Glass Company Ltd.		20,000		254,891
Kyocera Corp.		2,510		254,102
Computershare Ltd.		26,540		252,464
Nokia Oyj		38,940		252,428
ASML Holding N.V.		6,850		252,324
Sumco Corp.		14,760		247,879
Autonomy Corp. plc*		9,000		246,538
STMicroelectronics N.V.		23,830		237,453
Elpida Memory, Inc.*		19,500		227,688
Foxconn International Holdings Ltd.*		470,150		206,627
Nintendo Company Ltd.		1,100		205,913
NEC Corp.		90,000		204,584
Renewable Energy Corp. ASA*		112,740		193,853

Total Information Technology				16,979,060


Consumer Staples - 6.7%
Foster’s Group Ltd.		57,360		316,806
Suedzucker AG		8,450		300,293
Yamazaki Baking Company Ltd.		22,280		297,786
Unicharm Corp.		6,680		291,247
Shiseido Company Ltd.		15,600		290,471
Nippon Meat Packers, Inc.		20,000		285,697
Metcash Ltd.		63,855		284,196
Yakult Honsha Company Ltd.		9,700		279,776
Kirin Holdings Company Ltd.		20,000		277,995
Aeon Company Ltd.		23,110		277,877
Lawson, Inc.		5,300		277,492
L’Oreal S.A.		2,120		275,349
FamilyMart Company Ltd.		7,500		274,828
Coca Cola Hellenic Bottling Company S.A.		10,220		274,490
Nisshin Seifun Group, Inc.		22,010		273,946
Asahi Group Holdings Ltd.		13,650		273,831
Jeronimo Martins SGPS S.A.		14,230		273,229
Coca-Cola West Company Ltd.		14,200		271,635
Danone		3,630		270,848
Woolworths Ltd.		9,100		270,819
Wilmar International Ltd.		61,280		270,404
Kao Corp.		10,300		269,958
Parmalat SpA		71,750		269,914
Japan Tobacco, Inc.		70		269,114
MEIJI Holdings Company Ltd.		6,400		269,101


28 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.



SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series D (MSCI EAFE Equal Weight Series)


	Shares		Value

Seven & I Holdings Company Ltd.		10,000	$	267,934
Unilever N.V.		8,160		267,503
Heineken N.V.		4,420		265,822
Unilever plc		8,210		264,290
Ajinomoto Company, Inc.		22,280		263,746
Golden Agri-Resources Ltd.		476,290		263,679
Nissin Foods Holdings Company Ltd.		7,240		263,232
Toyo Suisan Kaisha Ltd.		11,140		262,915
Kikkoman Corp.		25,000		262,406
SABMiller plc		7,190		262,031
Beiersdorf AG		4,020		260,888
Associated British Foods plc		15,020		260,798
British American Tobacco plc		5,940		260,277
Pernod-Ricard S.A.		2,640		260,229
Reckitt Benckiser Group plc		4,710		259,932
Heineken Holding N.V.		5,070		259,401
Coca-Cola Amatil Ltd.		21,180		259,398
Nestle S.A.		4,140		257,273
Kerry Group plc — Class A		6,210		256,802
Aryzta AG		4,790		256,648
Anheuser-Busch InBev N.V. — Class 2		4,410		255,819
Diageo plc		12,500		255,356
WM Morrison Supermarkets plc		53,290		254,499
Swedish Match AB		7,530		252,476
Koninklijke Ahold N.V.		18,670		250,883
Carlsberg A — Class B		2,300		250,190
Tesco plc		38,610		249,077
Kesko Oyj — Class B		5,350		248,899
J Sainsbury plc		46,820		247,418
Carrefour S.A.		6,010		246,832
Imperial Tobacco Group plc		7,430		246,812
Olam International Ltd.		111,410		246,711
Metro AG		3,990		241,813
Delhaize Group S.A.		3,220		241,424
Casino Guichard Perrachon S.A.		2,550		240,374
Colruyt S.A.		4,630		231,651
Lindt & Spruengli AG		60		186,965
Wesfarmers Ltd.-PPS		3,720		128,661
Wesfarmers Ltd.		3,760		128,432
Henkel AG & Company KGaA		2,230		127,824

Total Consumer Staples				16,754,422


Health Care - 5.6%
Elan Corporation plc*		27,000		313,169
Alfresa Holdings Corp.		7,500		290,665
Olympus Corp.		8,630		289,543
Sysmex Corp.		7,520		282,099
Sonic Healthcare Ltd.		20,290		280,050
Fresenius Medical Care AG & Co. KGaA		3,680		275,113
Coloplast A — Class B		1,810		274,834
Tsumura & Company		8,600		274,542
Eisai Company Ltd.		6,960		271,034
Santen Pharmaceutical Company Ltd.		6,680		270,502
Sanofi		3,360		270,145
Miraca Holdings, Inc.		6,680		270,088
Dainippon Sumitomo Pharma Company Ltd.		28,410		269,261
Synthes, Inc.²		1,530		269,133
Ono Pharmaceutical Company Ltd.		5,010		267,598
Astellas Pharma, Inc.		6,900		266,983
Cie Generale d’Optique Essilor International S.A.		3,290		266,855
Kyowa Hakko Kirin Company Ltd.		28,000		266,070
Novo Nordisk A — Class B		2,120		266,056
Medipal Holdings Corp.		30,010		265,414
Otsuka Holdings Company Ltd.		10,030		265,374
Daiichi Sankyo Company Ltd.		13,600		265,057
Orion Oyj — Class B		10,250		264,147
Fresenius SE & Company KGaA		2,530		264,099
Ramsay Health Care Ltd.		13,540		263,990
Mitsubishi Tanabe Pharma Corp.		15,800		263,971
Shire plc		8,440		263,297
Chugai Pharmaceutical Company Ltd.		16,100		263,184
Merck KGaA		2,420		263,005
GlaxoSmithKline plc ADR		12,260		262,454
Suzuken Company Ltd.		11,400		262,396
Grifols S.A.		13,040		261,727
Bayer AG		3,250		261,301
CSL Ltd.		7,360		260,949
Hisamitsu Pharmaceutical Company, Inc.		6,130		260,794
QIAGEN N.V.*		13,500		258,821
Shionogi & Company Ltd.		15,800		258,083
Getinge AB — Class B		9,540		256,077
Terumo Corp.		4,740		255,237
Smith & Nephew plc		23,900		255,051
AstraZeneca plc		5,090		253,867
Takeda Pharmaceutical Company Ltd.		5,500		253,804
William Demant Holding A*		2,810		253,602
Novartis AG		4,130		252,967
Roche Holding AG		1,510		252,684
UCB S.A.		5,580		250,738
Taisho Pharmaceutical Company Ltd.		11,140		250,461
Teva Pharmaceutical Industries Ltd.		5,200		250,035
Cochlear Ltd.		3,130		241,686
Lonza Group AG		3,080		241,037
Actelion Ltd.		4,890		240,836
Sonova Holding AG		2,530		236,210
Straumann Holding AG		970		233,617
Celesio AG		11,100		221,340

Total Health Care				14,161,052


Utilities - 5.2%
Chubu Electric Power Company, Inc.		16,910		329,777
Tohoku Electric Power Company, Inc.		22,810		328,954
Chugoku Electric Power Company, Inc.		18,910		326,970


See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 29



SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series D (MSCI EAFE Equal Weight Series)


	Shares		Value

Kyushu Electric Power Company, Inc.		17,510	$	314,725
Kansai Electric Power Company, Inc.		15,600		310,043
Electric Power Development Company Ltd.		11,400		307,993
Hokkaido Electric Power Company, Inc.		18,100		300,599
Hokuriku Electric Power Co.		15,600		297,254
Toho Gas Company Ltd.		55,000		297,187
Shikoku Electric Power Company, Inc.		13,000		294,702
Gas Natural SDG S.A.		14,010		293,488
Cheung Kong Infrastructure Holdings Ltd.		56,000		290,733
Osaka Gas Company Ltd.		76,000		287,932
Public Power Corp. S.A.		20,080		287,710
Power Assets Holdings Ltd.		37,600		284,596
Tokyo Gas Company Ltd.		62,000		279,560
Tokyo Electric Power Company, Inc.		68,520		277,468
Enagas S.A.		11,290		273,593
AGL Energy Ltd.		17,360		272,748
SP AusNet — Class Miscellaneous		268,280		271,891
CLP Holdings Ltd.		30,640		271,487
Iberdrola S.A.		30,080		267,712
Snam Rete Gas SpA		45,140		267,351
Red Electrica Corp. S.A.		4,410		266,212
E.ON AG		9,370		266,132
Iberdrola Renovables S.A.		60,080		265,396
GDF Suez		7,240		264,957
Centrica plc		50,860		263,788
Enel Green Power SpA		95,300		262,868
Scottish & Southern Energy plc		11,740		262,438
International Power plc ADR		50,730		261,893
Acciona S.A.		2,450		260,047
Hong Kong & China Gas Company Ltd.		114,200		259,462
Verbund AG		5,930		257,994
EDF S.A.		6,560		257,862
EDP Renovaveis S.A.*		38,980		257,153
EDP — Energias de Portugal S.A. ADR		71,560		254,152
National Grid plc		25,840		253,776
Terna Rete Elettrica Nazionale SpA		54,500		253,393
Suez Environnement Co.		12,690		253,137
Enel SpA		38,750		253,107
Severn Trent plc		10,690		252,347
United Utilities Group plc		26,010		249,811
Veolia Environnement S.A.		8,810		248,502
A2A SpA		157,300		245,001
Contact Energy Ltd.*		53,870		239,214
Fortum Oyj		7,950		230,239
RWE AG		2,230		123,652

Total Utilities				12,997,006


Energy - 4.0%
Galp Energia SGPS S.A. — Class B		12,580		300,110
Inpex Corp.		40		294,143
OMV AG		6,410		280,039
Tonen General Sekiyu KK		22,280		273,432
JX Holdings, Inc.		40,610		271,894
Repsol YPF S.A.		7,810		271,150
SBM Offshore N.V.		10,110		267,430
John Wood Group plc		25,740		267,252
Total S.A.		4,620		267,197
Technip S.A.		2,480		265,893
Idemitsu Kosan Company Ltd.		2,500		265,822
ENI SpA		11,100		262,549
Cie Generale de Geophysique — Veritas*		7,110		261,901
BG Group plc		11,500		260,948
Japan Petroleum Exploration Co.		5,570		260,494
Saipem SpA		5,040		260,204
Seadrill Ltd.		7,380		259,814
Origin Energy Ltd.		15,220		257,734
Subsea 7 S.A.		10,030		256,417
Statoil ASA		10,100		255,772
BP plc		34,550		254,267
Showa Shell Sekiyu KK		27,300		252,297
Cosmo Oil Company Ltd.		89,000		252,059
WorleyParsons Ltd.		8,320		251,978
Tenaris S.A.		10,990		251,022
Transocean Ltd.		3,840		249,819
Fugro N.V.		3,440		248,041
Santos Ltd.		16,900		245,403
Petrofac Ltd.		10,090		244,984
Cairn Energy plc*		36,670		244,094
AMEC plc		13,970		243,688
Aker Solutions ASA		12,050		241,264
Neste Oil Oyj		15,380		241,111
Tullow Oil plc		12,002		238,634
Woodside Petroleum Ltd.		5,350		235,240
Essar Energy plc*		35,490		232,993
Caltex Australia Ltd.		17,670		222,853
Paladin Energy Ltd.*		79,210		214,070
Royal Dutch Shell plc — Class B		3,620		129,196
Royal Dutch Shell plc — Class A		3,620		128,848

Total Energy				9,982,056


Telecommunication Services - 3.4%
PCCW Ltd.		690,210		297,133
KDDI Corp.		40		286,690
Mobistar S.A.		3,720		282,581
Deutsche Telekom AG		17,870		280,276
Iliad S.A.		2,080		279,113
Belgacom S.A.		7,640		272,505
Telecom Corporation of New Zealand Ltd.		133,550		271,625
Tele2 AB — Class B		13,610		268,938
Nippon Telegraph & Telephone Corp.		5,600		268,853


30 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.



SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series D (MSCI EAFE Equal Weight Series)


	Shares		Value

Telefonica S.A.		10,960	$	267,980
TDC A/S		29,270		267,120
Swisscom AG		580		265,925
StarHub Ltd.		116,980		265,712
Singapore Telecommunications Ltd.		103,060		265,139
Bezeq The Israeli Telecommunication Corporation Ltd.		104,730		263,918
Koninklijke KPN N.V.		18,130		263,714
Telekom Austria AG ADR		20,550		262,258
BT Group plc		80,570		260,529
Elisa Oyj*		12,060		259,722
Softbank Corp.		6,900		259,698
Telenor ASA		15,740		257,806
Telstra Corporation Ltd.		82,620		256,069
Vodafone Group plc		95,760		254,018
TeliaSonera AB ADR		34,180		250,712
NTT DoCoMo, Inc.		140		248,680
France Telecom S.A.		11,630		247,341
Cellcom Israel Ltd.		8,790		244,112
Hellenic Telecommunications Organization S.A.		26,050		242,914
Portugal Telecom SGPS S.A.		24,370		241,633
Millicom International Cellular S.A.		2,300		239,970
Inmarsat plc		26,830		239,173
Partner Communications Company Ltd.		15,560		234,607
Telecom Italia SpA		93,850		130,591
Telecom Italia SpA-RSP		108,810		126,633

Total Telecommunication Services				8,623,688


Total Common Stocks (Cost $243,567,706)				243,813,358


PREFERRED STOCKS† - 0.2%
Volkswagen AG		750		154,829
Bayerische Motoren Werke AG		2,230		141,762
Henkel AG & Company KGaA		1,880		130,514
RWE AG		2,420		123,518

Total Preferred Stocks (Cost $504,919)				550,623


RIGHTS†† - 0.0%
Banca Monte dei Paschi di Siena SpA Expires 07/11/11		210,800		16,202
Eurazeo Expires 12/30/11		3,653		6,251
Rolls-Royce Group plc Expires 07/06/11²		2,508,576		4,026
Banco Popular Espanol S.A. Expires 07/20/11		45,780		3,320
Criteria Caixacorp S.A. Expires 08/01/11		36,580		2,759
Zardoya Otis S.A. Expires 07/04/11		80		61
Olam International Ltd. Expires 12/30/11²		5,063		—
Newton Resources Ltd Expires 07/22/11²		3,088		—

Total Rights (Cost $52,223)				32,619


EXCHANGE TRADED FUNDS† - 2.5%
iShares MSCI EAFE Index Fund		86,100		5,178,054
iShares MSCI Japan Index Fund		94,200		982,506
iShares MSCI Singapore Index Fund		7,400		101,602
iShares MSCI Hong Kong Index Fund		5,200		96,304

Total Exchange Traded Funds (Cost $6,434,526)				6,358,466


SHORT TERM INVESTMENTS†† - 0.2%
State Street General Account U.S. Government Fund		345,926		345,926

Total Short Term Investments (Cost $345,926)				345,926

Total Investments - 99.9% (Cost $250,905,300)			$	251,100,992

Cash & Other Assets, Less Liabilities - 0.1%				250,088

Total Net Assets - 100.0%			$	251,351,080


*		Non-income producing security.

†		Value determined based on Level 1 inputs — See Note 4.

††		Value determined based on Level 2 inputs — See Note 4.

1		Security is a 144A or Section 4(2) security. The total market value of 144A or Section 4(2) securities is $269,133 (cost $255,495), or 0.1% of total net assets.

2		All or a portion of this security was fair valued by the Valuation Committee at June 30, 2011. The total market value of fair valued securities amounts to $4,026 (cost $20,032), or 0.0% of total net assets.

ADR — American Depositary Receipt

plc — Public Limited Company

REIT Real Estate Investment Trust


See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 31

STATEMENT OF ASSETS AND LIABILITIES (Unaudited)

June 30, 2011

Rydex|SGI SBL Fund
Series D (MSCI EAFE Equal Weight Series)


Assets:
Investments, at value (cost $250,905,300)	$	251,100,992
Foreign currency, at value (cost 266,029)		267,322
Prepaid expenses		33,769
Receivables:
Securities sold		341,801
Fund shares sold		1,207
Dividends		486,759
Foreign taxes reclaim		142,718
Interest		1,652

Total assets		252,376,220


Liabilities:
Payable for:
Fund shares redeemed		759,185
Management fees		143,857
Transfer agent/maintenance fees		2,091
Fund Accounting/Administration fees		30,826
Directors’ fees		7,506
Foreign taxes		900
Other		80,775

Total liabilities		1,025,140

Net assets	$	251,351,080


Net assets consist of:
Paid in capital	$	274,528,502
Undistributed net investment income		601,442
Accumulated net realized loss on investments		(23,991,022	)
Net unrealized appreciation on investments		212,158

Net assets	$	251,351,080


Capital shares outstanding		23,940,437
Net asset value per share	$	10.50

STATEMENT OF OPERATIONS (Unaudited)

For the Period Ended June 30, 2011


Investment Income:
Dividends (net of foreign withholding tax of $324,885)	$	3,588,881
Interest		34

Total investment income		3,588,915


Expenses:
Management fees		1,187,699
Transfer agent/maintenance fees		12,609
Fund Accounting/Administration fees		197,107
Directors’ fees*		14,692
Miscellaneous		179,500

Total expenses		1,591,607

Net investment income		1,997,308


Net Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investments		44,132,972
Futures contracts		1,465,729
Foreign currency		(446,009	)

Net realized gain		45,152,692

Net change in unrealized appreciation (depreciation) on:
Investments		(40,876,834	)
Foreign currency		56,419

Net change in unrealized appreciation (depreciation)		(40,820,415	)

Net realized and unrealized gain		4,332,277

Net increase in net assets resulting from operations	$	6,329,585


*		Relates to Directors not deemed “interested persons” within the meaning of Section 2(a)(19) of the 1940 Act.



See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 33


FINANCIAL HIGH LIGHTS		Rydex\|SGI SBL Fund
		Series D (MSCI EAFE Equal Weight Series)

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.


	Period			Year			Year			Year			Year			Year
	Ended			Ended			Ended			Ended			Ended			Ended
	June 30,			December 31,			December 31,			December 31,			December 31,			December 31,
	2011^a			2010			2009			2008^f			2007^g			2006

Per Share Data
Net asset value, beginning of period	$	10.25		$	8.86		$	7.40		$	12.01		$	11.03		$	9.40

Income (loss) from investment operations:
Net investment income^b		.08			.04			.09			.11			.08			.03
Net gain (loss) on investments (realized and unrealized)		.17			1.35			1.37			(4.72	)		.90			1.60

Total from investment operations		.25			1.39			1.46			(4.61	)		.98			1.63

Net asset value, end of period	$	10.50		$	10.25		$	8.86		$	7.40		$	12.01		$	11.03

Total Return^c		2.44	%		15.69	%		19.73	%		(38.38	%)		8.88	%		17.34	%

Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	251,351		$	269,645		$	270,081		$	275,965		$	550,177		$	571,006

Ratios to average net assets:
Net investment income		1.52	%		0.49	%		1.12	%		1.09	%		0.67	%		0.32	%
Total expenses^d,h		1.21	%		1.26	%		1.27	%		1.26	%		1.26	%		1.24	%
Net expenses^e		1.21	%		1.26	%		1.27	%		1.25	%		1.26	%		1.24	%

Portfolio turnover rate		141	%		283	%		317	%		302	%		115	%		23	%


^a		Unaudited figures for the period ended June 30, 2011. Percentage amounts for the period, except total return and portfolio turnover rate, have been annualized.

^b		Net investment income (loss) per share was computed using average shares outstanding throughout the period.

^c		Total return does not take into account any of the expenses associated with an investment in variable insurance products offered by Security Benefit Life Insurance Company. If total return had taken into account these expenses, performance would have been lower. Shares of a Series of SBL Fund are available only through the purchase of such products.

^d		Does not include expenses of the underlying funds in which the Fund invests.

^e		Net expense information reflects the expense ratios after voluntary expense waivers and reimbursements, as applicable.

^f		Security Global Investors, LLC (SGI) became the sub-advisor of Series D effective May 1, 2008. Prior to May 1, 2008, Oppenheimer sub-advised 50% of Series D and SGI sub-advised 50%.

^g		Security Global Investors, LLC (SGI) became sub-advisor of 50% of Series D effective August 1, 2007. Oppenheimer sub-advised the remaining 50%. Prior to August 1, 2007, Oppenheimer sub-advised the Series.

^h		Total expense information reflects the expense ratios absent expense reductions by the Investment Manager, as applicable.



See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 35



SCHEDULE OF INVESTMENTS (Unaudited)		Rydex\|SGI SBL Fund
June 30, 2011		Series E (U.S. Intermediate Bond Series)


	Shares		Value

PREFERRED STOCKS^†† - 1.7%
JPMorgan Chase Capital XXIX
6.70% due 04/02/40		80,000	$	2,033,600
Woodbourne Capital
Trust III*^{,†††,1,2,3,4,5,6}		300,000		58,167
Woodbourne Capital
Trust IV *^{,†††,1,2,3,4,5,6}		300,000		58,167
Woodbourne Capital Trust I
Trust I *^{,†††,1,2,3,4,5,6}		300,000		58,166
Woodbourne Capital Trust II
Trust II *^{,†††,1,2,3,4,5,6}		300,000		58,166

Total Preferred Stocks (Cost $1,205,796)				2,266,266


	Face
	Amount
CORPORATE BONDS^†† - 59.8%

Financials - 20.8%
General Electric Capital Corp.
6.00% due 06/15/12	$	2,000,000	$	2,102,892
2.80% due 01/08/13		2,000,000		2,050,780
JPMorgan Chase & Co.
4.65% due 06/01/14		2,000,000		2,148,710
6.30% due 04/23/19		1,000,000		1,127,136
Ford Motor Credit Company LLC
5.00% due 05/15/18		2,000,000		1,993,162
7.00% due 04/15/15		500,000		540,079
Raymond James Financial, Inc.
8.60% due 08/15/19		2,000,000		2,442,386
Citigroup, Inc.
8.50% due 05/22/19		1,000,000		1,239,655
6.38% due 08/12/14		500,000		552,862
4.75% due 05/19/15		500,000		528,781
Wells Fargo & Co.
4.38% due 01/31/13		2,000,000		2,099,046
American Express Bank FSB
3.15% due 12/09/11		2,000,000		2,025,524
Berkshire Hathaway Finance Corp.
4.75% due 05/15/12		1,800,000		1,867,259
Standard Chartered plc
6.41% due 12/29/49^3,4,5,6		1,750,000		1,666,795
RenaissanceRe Holdings Ltd.
5.88% due 02/15/13		1,000,000		1,052,935
Residential Capital LLC
8.50% due 06/01/12		650,000		649,187
New York Life Global Funding
3.00% due 05/04/15^5,6		500,000		517,119
Morgan Stanley
3.80% due 04/29/16		500,000		494,194

				25,098,502

Consumer Discretionary - 9.3%
Omnicom Group, Inc.
6.25% due 07/15/19		4,500,000		4,981,410
Rensselaer Polytechnic Institute
5.60% due 09/01/20		3,000,000		3,201,120
Starbucks Corp.
6.25% due 08/15/17		2,000,000		2,321,858
Johns Hopkins University
5.25% due 07/01/19		1,500,000		1,671,600

				12,175,988

Materials - 5.8%
Praxair, Inc.
4.63% due 03/30/15		1,500,000		1,653,867
5.20% due 03/15/17		1,000,000		1,133,697
4.38% due 03/31/14		1,000,000		1,080,288
Sherwin-Williams Co.
3.13% due 12/15/14		2,500,000		2,640,082
Airgas, Inc.
4.50% due 09/15/14		1,000,000		1,070,744

				7,578,678

Health Care - 4.8%
Wyeth
5.50% due 03/15/13		2,000,000		2,157,606
AstraZeneca plc
5.90% due 09/15/17		1,750,000		2,039,362
Novartis Securities
Investment Ltd.
5.13% due 02/10/19		1,000,000		1,110,474
GlaxoSmithKline Capital, Inc.
4.85% due 05/15/13		500,000		537,628
Medtronic, Inc.
3.00% due 03/15/15		500,000		522,281

				6,367,351

Information Technology - 4.4%
Google, Inc.
1.25% due 05/19/14		2,500,000		2,511,968
Amphenol Corp.
4.75% due 11/15/14		2,000,000		2,179,098
Microsoft Corp.
2.95% due 06/01/14		1,000,000		1,056,828

				5,747,894

Utilities - 4.1%
American Water Capital Corp.
6.09% due 10/15/17		3,000,000		3,457,587
Oncor Electric Delivery Company LLC
6.38% due 01/15/15		600,000		682,608
Duke Energy Ohio, Inc.
5.70% due 09/15/12		600,000		635,201
Arizona Public Service Co.
6.38% due 10/15/11		600,000		609,395
East Coast Power LLC
7.07% due 03/31/12		28,249		28,514

				5,413,305



See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 37



SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series E (U.S. Intermediate Bond Series)


	Face
	Amount		Value

Consumer Staples - 3.6%
General Mills, Inc.
5.70% due 02/15/17	$	1,200,000	$	1,375,250
5.25% due 08/15/13		1,000,000		1,086,516
Brown-Forman Corp.
5.00% due 02/01/14		2,000,000		2,186,378

				4,648,144

Telecommunication Services - 3.4%
Verizon Communications, Inc.
1.95% due 03/28/14		3,000,000		3,048,831
AT&T, Inc.
4.85% due 02/15/14		1,300,000		1,412,018

				4,460,849

Industrials - 2.7%
United Parcel Service, Inc.
3.13% due 01/15/21		2,000,000		1,899,394
ITT Corp.
4.90% due 05/01/14		1,500,000		1,636,331

				3,535,725

Energy - 2.4%
Devon Financing Corporation ULC
6.88% due 09/30/11		1,600,000		1,624,053
Statoil ASA
2.90% due 10/15/14		1,500,000		1,573,730
Express Pipeline, LP
6.47% due 12/31/13^5,6		38,000		38,068

				3,235,851

Total Corporate Bonds (Cost $75,102,056)				78,262,287


U.S. GOVERNMENT SECURITIES^† - 39.1%
U.S. Treasury Notes
1.25% due 03/15/14		6,000,000		6,087,180
2.13% due 05/31/15		5,000,000		5,168,750
2.13% due 02/29/16		5,000,000		5,118,750
0.50% due 11/15/13		5,000,000		4,987,890
1.38% due 04/15/12		4,500,000		4,542,187
2.25% due 05/31/14		4,000,000		4,169,688
2.25% due 03/31/16		4,000,000		4,114,080
2.75% due 02/15/19		3,250,000		3,281,229
1.75% due 07/31/15		3,000,000		3,050,850
3.63% due 12/31/12		2,000,000		2,097,578
2.00% due 01/31/16		2,000,000		2,038,906
1.50% due 07/15/12		2,000,000		2,026,094
3.13% due 05/15/19		1,500,000		1,548,750
2.63% due 08/15/20		1,500,000		1,451,954
1.75% due 05/31/16		1,000,000		1,001,560
0.75% due 08/15/13		500,000		502,656

Total U.S. Government Securities (Cost $50,357,097)				51,188,102


MORTGAGE BACKED SECURITIES^†† - 0.9%
Homebanc Mortgage Trust 2006-1, 2.55% due 04/25/37³		1,079,811		702,772
Chase Mortgage Finance Corp. 2005-A1 2A2, 2.94% due 12/25/35³		332,430		321,259
JP Morgan Mortgage Trust 2006-A3, 2.90% due 04/25/36³		115,374		81,308
Ginnie Mae #518436, 7.25% due 09/15/29		17,703		20,698
Fannie Mae⁷
FNR 1990-68 J, 6.95% due 07/25/20		1,737		1,931
FNR 1990-103 K, 7.50% due 09/25/20		648		710
Freddie Mac⁷
FHR 188 H, 7.00% due 09/15/21		805		899
Total Mortgage Backed Securities (Cost $1,549,925)				1,129,577


ASSET BACKED SECURITIES^†† - 0.1%
Credit-Based Asset Servicing and Securitization LLC
0.45% due 08/25/35³		211,234		197,757

Total Asset Backed Securities (Cost $211,235)				197,757

Total Investments - 101.6% (Cost $128,426,109)			$	133,043,989

Liabilities, Less Cash & Other Assets - (1.6)%				(2,102,808	)

Total Net Assets - 100.0%			$	130,941,181



38 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.



SCHEDULE OF INVESTMENTS (Unaudited) (concluded)		Rydex\|SGI SBL Fund
June 30, 2011		Series E (U.S. Intermediate Bond Series)


^*		Non-income producing security.

^†		Value determined based on Level 1 inputs — See Note 4.

^††		Value determined based on Level 2 inputs, except otherwise noted — See Note 4.

^†††		Value determined based on Level 3 inputs — See Note 4.

¹		All or a portion of this security was fair valued by the Valuation Committee at June 30, 2011. The total market value of fair valued securities amounts to $232,666 (cost $1,205,796), or 0.2% of total net assets.

²		Illiquid security.

³		Variable rate security. Rate indicated is rate effective at June 30, 2011.

⁴		Perpetual maturity.

⁵		Security was acquired through a private placement.

⁶		Security is a 144A or Section 4(2) security. The total market value of 144A or Section 4(2) securities is $2,454,648 (cost $3,480,984), or 1.9% of total net assets.

⁷		On September 7, 2008, the issuer was placed in conservatorship by the Federal Housing Finance Agency (FHFA). As conservator, the FHFA has full powers to control the assets and operations of the firm.

plc — Public Limited Company



See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 39

Rydex|SGI SBL Fund
Series E (U.S. Intermediate Bond Series)

STATEMENT OF ASSETS AND LIABILITIES (Unaudited)
June 30, 2011


Assets:
Investments, at value (cost $128,426,109)	$	133,043,989
Cash		4,141,183
Prepaid expenses		8,583
Receivables:
Securities sold		1,006,961
Fund shares sold		1,305
Interest		1,249,044

Total assets		139,451,065


Liabilities:
Payable for:
Fund shares redeemed		8,373,597
Management fees		85,437
Transfer agent/maintenance fees		2,094
Fund Accounting/Administration fees		10,822
Directors’ fees		3,269
Other		34,665

Total liabilities		8,509,884

Net assets	$	130,941,181


Net assets consist of:
Paid in capital	$	142,193,662
Undistributed net investment income		479,020
Accumulated net realized loss on investments		(16,349,381	)
Net unrealized appreciation on investments		4,617,880

Net assets	$	130,941,181


Capital shares outstanding		9,795,269
Net asset value per share	$	13.37

STATEMENT OF OPERATIONS (Unaudited)
For the Period Ended June 30, 2011


Investment Income:
Dividends	$	17,910
Interest		2,201,958

Total investment income		2,219,868


Expenses:
Management fees		488,666
Transfer agent/maintenance fees		12,597
Fund Accounting/Administration fees		61,897
Directors’ fees*		7,345
Miscellaneous		44,881

Total expenses		615,386
Less:
Reimbursement of expenses		(85,589	)

Net expenses		529,797

Net investment income		1,690,071


Net Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investments		1,231,519

Net realized gain		1,231,519

Net change in unrealized appreciation (depreciation) on:
Investments		1,032,059

Net change in unrealized appreciation (depreciation)		1,032,059

Net realized and unrealized gain		2,263,578

Net increase in net assets resulting from operations	$	3,953,649


*		Relates to Directors not deemed “interested persons” within the meaning of Section 2(a)(19) of the 1940 Act.



40 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.



FINANCIAL HIGHLIGHTS		Rydex\|SGI SBL Fund
		Series E (U.S. Intermediate Bond Series)

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.


	Period			Year			Year			Year			Year			Year
	Ended			Ended			Ended			Ended			Ended			Ended
	June 30,			December 31,			December 31,			December 31,			December 31,			December 31,
	2011^a			2010			2009			2008			2007			2006

Per Share Data
Net asset value, beginning of period	$	12.98		$	12.24		$	11.29		$	12.36		$	12.01		$	11.57

Income (loss) from investment operations:
Net investment income^b		.17			.35			.37			.58			.60			.63
Net gain (loss) on investments (realized and unrealized)		.22			.39			.58			(1.65	)		(.25	)		(.19	)

Total from investment operations		.39			.74			.95			(1.07	)		.35			.44

Net asset value, end of period	$	13.37		$	12.98		$	12.24		$	11.29		$	12.36		$	12.01

Total Return^c		3.00	%		6.05	%		8.41	%		(8.66	%)		2.91	%		3.80	%

Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	130,941		$	127,091		$	130,569		$	99,070		$	121,652		$	151,311

Ratios to average net assets:
Net investment income		2.59	%		2.72	%		3.08	%		4.80	%		4.90	%		4.67	%
Total expenses^e		0.94	%		0.92	%		0.92	%		0.93	%		0.91	%		0.93	%
Net expenses^d		0.81	%		0.79	%		0.77	%		0.78	%		0.76	%		0.78	%

Portfolio turnover rate		17	%		38	%		76	%		34	%		31	%		64	%


^a		Unaudited figures for the period ended June 30, 2011. Percentage amounts for the period, except total return and portfolio turnover rate, have been annualized.

^b		Net investment income (loss) per share was computed using average shares outstanding throughout the period.

^c		Total return does not take into account any of the expenses associated with an investment in variable insurance products offered by Security Benefit Life Insurance Company. If total return had taken into account these expenses, performance would have been lower. Shares of a Series of SBL Fund are available only through the purchase of such products.

^d		Net expense information reflects the expense ratios after voluntary expense waivers.

^e		Total expense information reflects the expense ratios absent expense reduction by Investment Manager, as applicable.



42 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.



SCHEDULE OF INVESTMENTS (Unaudited) June 30, 2011		Rydex\|SGI SBL Fund Series J (Mid Cap Growth Series)


	Shares		Value

COMMON STOCKS^†- 91.3%

Information Technology - 21.4%
Cognizant Technology Solutions Corp. — Class A*		44,420	$	3,257,763
Alliance Data Systems Corp.*		33,350		3,137,235
Cadence Design Systems, Inc.*		273,620		2,889,427
Nuance Communications, Inc.*		132,370		2,841,984
Salesforce.com, Inc.*		18,200		2,711,436
Autodesk, Inc.*		69,500		2,682,700
Check Point Software Technologies Ltd.*		45,275		2,573,884
Teradata Corp.*		42,700		2,570,540
Rovi Corp.*		44,000		2,523,840
F5 Networks, Inc.*		20,750		2,287,687
Avago Technologies Ltd.		59,600		2,264,800
NetApp, Inc.*		36,300		1,915,914
TIBCO Software, Inc.*		57,000		1,654,140
Netgear, Inc.*		35,500		1,552,060

Total Information Technology				34,863,410


Consumer Discretionary - 20.8%
Wyndham Worldwide Corp.		102,000		3,432,300
Macy’s, Inc.		114,200		3,339,208
Johnson Controls, Inc.		73,950		3,080,757
Priceline.com, Inc.*		5,690		2,912,882
Phillips-Van Heusen Corp.		43,000		2,815,210
Jarden Corp.		81,175		2,801,349
Wynn Resorts Ltd.		18,050		2,590,897
Penn National Gaming, Inc.*		63,440		2,559,170
Stanley Black & Decker, Inc.		33,300		2,399,265
Life Time Fitness, Inc.*		57,200		2,282,852
Tempur-Pedic International, Inc.*		33,000		2,238,060
Darden Restaurants, Inc.		38,850		1,933,176
Bed Bath & Beyond, Inc.*		25,150		1,468,005

Total Consumer Discretionary				33,853,131


Industrials - 15.2%
AMETEK, Inc.		86,825		3,898,442
Goodrich Corp.		32,290		3,083,695
Dover Corp.		41,830		2,836,074
SPX Corp.		32,800		2,711,248
Polypore International, Inc.*		39,800		2,700,032
Cummins, Inc.		24,000		2,483,760
Cooper Industries plc — Class A		39,400		2,350,998
Roper Industries, Inc.		22,040		1,835,932
Union Pacific Corp.		17,040		1,778,976
Joy Global, Inc.		10,700		1,019,068

Total Industrials				24,698,225


Health Care - 12.8%
Agilent Technologies, Inc.*		77,640		3,968,180
Covidien plc		66,400		3,534,472
Thermo Fisher Scientific, Inc.*		47,725		3,073,013
Teva Pharmaceutical Industries Ltd. ADR		63,305		3,052,567
Hospira, Inc.*		48,100		2,725,346
Watson Pharmaceuticals, Inc.*		37,200		2,556,756
CareFusion Corp.*		74,700		2,029,599

Total Health Care				20,939,933


Energy - 7.9%
Oil States International, Inc.*		52,700		4,211,257
CARBO Ceramics, Inc.		18,600		3,030,870
Petrohawk Energy Corp.*		94,050		2,320,214
Ensco plc ADR		43,350		2,310,555
Alpha Natural Resources, Inc.*		22,500		1,022,400

Total Energy				12,895,296


Materials - 6.8%
Ball Corp.		135,362		5,206,023
Albemarle Corp.		57,950		4,010,140
Airgas, Inc.		27,900		1,954,116

Total Materials				11,170,279


Financials - 6.4%
Discover Financial Services		128,000		3,424,000
HCC Insurance Holdings, Inc.		81,075		2,553,862
KKR & Company, LP		139,450		2,275,824
T. Rowe Price Group, Inc.		35,150		2,120,951

Total Financials				10,374,637


Total Common Stocks (Cost $126,946,783)				148,794,911


WARRANTS^††- 0.0%

Energy - 0.0%
Nova Biosource Fuels, Inc.
$2.40, 07/05/11¹		358,100		—


Total Warrants (Cost $369,900)				—


EXCHANGE TRADED FUNDS^†- 3.5%
iShares Russell Midcap Growth Index Fund		91,565		5,661,464


Total Exchange Traded Funds (Cost $5,396,907)				5,661,464


Total Investments - 94.8% (Cost $132,713,590)			$	154,456,375

Cash & Other Assets, Less Liabilities - 5.2%				8,449,495

Total Net Assets - 100.0%			$	162,905,870



44 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.



STATEMENT OF ASSETS AND LIABILITIES (Unaudited) June 30, 2011		Rydex\|SGI SBL Fund Series J (Mid Cap Growth Series)


Assets:
Investments, at value (cost $132,713,590)	$	154,456,375
Cash		8,351,694
Prepaid expenses		2,198
Receivables:
Securities sold		2,724,811
Fund shares sold		103,236
Dividends		70,814

Total assets		165,709,128


Liabilities:
Payable for:
Fund shares redeemed		147,486
Securities purchased		2,508,727
Management fees		97,682
Transfer agent/maintenance fees		2,099
Fund Accounting/Administration fees		12,373
Directors’ fees		3,146
Other		31,745

Total liabilities		2,803,258

Net assets	$	162,905,870


Net assets consist of:
Paid in capital	$	172,842,570
Accumulated net investment loss		(153,719	)
Accumulated net realized loss on investments		(31,525,766	)
Net unrealized appreciation on investments		21,742,785

Net assets	$	162,905,870


Capital shares outstanding		5,156,092
Net asset value per share	$	31.59

STATEMENT OF OPERATIONS (Unaudited)

For the Period Ended June 30, 2011


Investment Income:
Dividends	$	605,177
Interest		480

Total investment income		605,657


Expenses:
Management fees		625,035
Transfer agent/maintenance fees		12,592
Fund Accounting/Administration fees		79,170
Directors’ fees*		8,023
Miscellaneous		34,556

Total expenses		759,376

Net investment loss		(153,719	)


Net Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investments		15,719,252

Net realized gain		15,719,252

Net change in unrealized appreciation (depreciation) on:
Investments		(7,233,562	)

Net change in unrealized appreciation (depreciation)		(7,233,562	)

Net realized and unrealized gain		8,485,690

Net increase in net assets resulting from operations	$	8,331,971


^*		Relates to Directors not deemed “interested persons” within the meaning of Section 2(a)(19) of the 1940 Act.



46 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.



FINANCIAL HIGHLIGHTS		Rydex\|SGI SBL Fund Series J (Mid Cap Growth Series)

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.


	Period			Year			Year			Year			Year			Year
	Ended			Ended			Ended			Ended			Ended			Ended
	June 30,			December 31,			December 31,			December 31,			December 31,			December 31,
	2011^a			2010			2009			2008			2007			2006

Per Share Data
Net asset value, beginning of period	$	30.05		$	24.20		$	16.81		$	28.00		$	31.26		$	29.79

Income (loss) from investment operations:
Net investment loss^b		(.03	)		(.02	)		(.03	)		(.01	)		(.04	)		(.16	)
Net gain (loss) on investments (realized and unrealized)		1.57			5.87			7.42			(11.18	)		(3.22	)		1.63

Total from investment operations		1.54			5.85			7.39			(11.19	)		(3.26	)		1.47

Net asset value, end of period	$	31.59		$	30.05		$	24.20		$	16.81		$	28.00		$	31.26

Total Return^c		5.12	%		24.17	%		43.96	%		(39.96	%)		(10.43	%)		4.93	%

Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	162,906		$	169,388		$	154,273		$	122,030		$	252,066		$	380,664

Ratios to average net assets:
Net investment loss		(0.18	%)		(0.10	%)		(0.13	%)		(0.06	%)		(0.14	%)		(0.48	%)
Total expenses^d		0.91	%		0.91	%		0.92	%		0.91	%		0.90	%		0.90	%

Portfolio turnover rate		80	%		130	%		136	%		203	%		34	%		29	%


^a		Unaudited figures for the period ended June 30, 2011. Percentage amounts for the period, except total return and portfolio turnover rate, have been annualized.

^b		Net investment income (loss) per share was computed using average shares outstanding throughout the period.

^c		Total return does not take into account any of the expenses associated with an investment in variable insurance products offered by Security Benefit Life Insurance Company. If total return had taken into account these expenses, performance would have been lower. Shares of a Series of SBL Fund are available only through the purchase of such products.

^d		Does not include expenses of the underlying funds in which the Fund invests.



48 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.


FUND PROFILE (Unaudited)		June 30, 2011

SERIES N (MANAGED ASSET ALLOCATION SERIES)

OBJECTIVE: Seeks a high level of total return.

Inception Date: June 1, 1995

“Holdings Diversification (Market Exposure as % of Net Assets)” excludes any temporary cash investments.


Ten Largest Holdings
(% of Total Net Assets)

Fannie Mae	7.9	%
U.S. Treasury Notes	4.2	%
Freddie Mac	2.5	%
Exxon Mobil Corp.	1.7	%
Apple, Inc.	1.3	%
AT&T, Inc.	1.3	%
Microsoft Corp.	1.2	%
Chevron Corp.	0.9	%
JPMorgan Chase & Co.	0.9	%
Procter & Gamble Co.	0.9	%

Top Ten Total	22.8	%

“Ten Largest Holdings” exclude any temporary cash or derivative investments.

Portfolio Composition by Sector

(Ratings Based on Standard and Poor’s)


Sector	Investments

Common Stocks
Financials		11.0	%
Information Technology		9.7	%
Consumer Discretionary		8.5	%
Industrials		7.6	%
Energy		7.6	%
Health Care		7.2	%
Consumer Staples		6.0	%
Other		7.4	%
Fixed Income Instruments
AAA		18.4	%
BBB-		2.2	%
BBB		2.1	%
A		1.3	%
A-		1.2	%
BBB+		1.1	%
B		0.8	%
Other		5.5	%
Other Instruments
Short Term Investments		2.3	%
Preferred Stocks		0.1	%

Total Investments		100.0	%

The chart above reflects percentages of the value of total investments.



See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 49


SCHEDULE OF INVESTMENTS (Unaudited)		Rydex\|SGI SBL Fund
June 30, 2011		Series N (Managed Asset Allocation Series)


	Shares		Value

COMMON STOCKS^†- 65.0%
Financials - 11.0%
JPMorgan Chase & Co.		13,636	$	558,258
Wells Fargo & Co.		15,991		448,707
Citigroup, Inc.		8,290		345,196
Berkshire Hathaway, Inc. — Class B*		4,000		309,560
Bank of America Corp.		24,578		269,375
Goldman Sachs Group, Inc.		1,700		226,253
MetLife, Inc.		4,600		201,802
U.S. Bancorp		7,300		186,223
American Express Co.		3,500		180,950
AON Corp.		3,000		153,900
Simon Property Group, Inc.		1,298		150,867
AXA S.A.		6,388		145,167
Moody’s Corp.		3,300		126,555
BNP Paribas S.A.		1,624		125,365
Allstate Corp.		4,100		125,173
Australia & New Zealand Banking Group Ltd.		5,285		124,693
Morgan Stanley		5,300		121,953
PNC Financial Services Group, Inc.		2,000		119,220
DnB NOR ASA		8,314		115,907
Chubb Corp.		1,800		112,698
Standard Chartered plc		4,202		110,453
Marsh & McLennan Companies, Inc.		3,400		106,046
Barclays plc ADR		6,300		103,509
Sun Life Financial, Inc.		3,100		93,379
Muenchener Rueckversicherungs AG		609		93,132
Franklin Resources, Inc.		700		91,903
Swedbank AB — Class A		5,435		91,331
State Street Corp.		2,000		90,180
CME Group, Inc. — Class A		300		87,477
Unibail-Rodamco SE		343		79,315
Nordea Bank AB		7,322		78,709
Credit Suisse Group AG		1,932		75,138
Vornado Realty Trust		800		74,544
Sony Financial Holdings, Inc.		3,800		68,396
Fifth Third Bancorp		4,900		62,475
Legg Mason, Inc.		1,900		62,244
SLM Corp.		3,700		62,197
Discover Financial Services		2,300		61,525
Aflac, Inc.		1,300		60,684
Deutsche Bank AG		1,024		60,515
Societe Generale S.A.		1,013		60,115
Northern Trust Corp.		1,300		59,748
Loews Corp.		1,400		58,926
Invesco Ltd.		2,500		58,500
Banco Santander Brasil S.A. ADR		4,900		57,379
Weyerhaeuser Co.		2,620		57,273
Bank of New York Mellon Corp.		2,200		56,364
AIA Group Ltd.*		16,000		55,412
Westfield Retail Trust		18,651		54,206
QBE Insurance Group Ltd.		2,916		53,945
Sumitomo Mitsui Trust Holdings, Inc.		15,410		53,405
Kerry Properties Ltd.		11,000		53,009
China Citic Bank Corporation Ltd. — Class H		85,000		52,977
Macquarie Group Ltd.		1,575		52,784
Swiss Life Holding AG		321		52,647
Soho China Ltd.		58,500		52,248
CB Richard Ellis Group, Inc. — Class A*		2,000		50,220
Intesa Sanpaolo SpA		18,490		49,232
Mitsubishi UFJ Financial Group, Inc.		9,700		46,991
BM&FBovespa S.A.		7,100		46,969
ACE Ltd.		700		46,074
ProLogis, Inc.		1,282		45,947
NYSE Euronext		1,300		44,551
M&T Bank Corp.		500		43,975
Erste Group Bank AG		836		43,828
Mitsubishi UFJ Lease & Finance Company Ltd.		1,100		42,358
Prudential plc		3,582		41,387
Ameriprise Financial, Inc.		700		40,376
Banco Santander S.A.		3,428		39,587
Prudential Financial, Inc.		600		38,154
Principal Financial Group, Inc.		1,200		36,504
Challenger Ltd.		6,900		36,185
DBS Group Holdings Ltd.		3,000		35,806
Charles Schwab Corp.		2,100		34,545
Mitsui Fudosan Company Ltd.		2,000		34,234
Public Storage		300		34,203
First Horizon National Corp.		3,400		32,436
Zions Bancorporation		1,300		31,213
ING Groep N.V.*		2,521		31,036
Deutsche Boerse AG		373		28,345
Hartford Financial Services Group, Inc.		1,000		26,370
Close Brothers Group plc		2,052		25,422
IntercontinentalExchange, Inc.*		200		24,942
Bank of Yokohama Ltd.		5,000		24,905
SL Green Realty Corp.		261		21,629
Boston Properties, Inc.		200		21,232
LaSalle Hotel Properties		790		20,809
Camden Property Trust		320		20,358
Weingarten Realty Investors		780		19,625
Duke Realty Corp.		1,350		18,913
Signature Bank*		330		18,876
Infinity Property & Casualty Corp.		330		18,038
Commerce Bancshares, Inc.		418		17,974
Raymond James Financial, Inc.		550		17,682
City National Corp.		320		17,360
Markel Corp.*		40		15,872
SunTrust Banks, Inc.		600		15,480



50 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.


SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series N (Managed Asset Allocation Series)


	Shares		Value

Waddell & Reed Financial, Inc. — Class A		410	$	14,903
Westamerica Bancorporation		300		14,775
ESSA Bancorp, Inc.		1,110		13,786
Stifel Financial Corp.*		382		13,699
Goldcrest Company Ltd.		650		13,435
Potlatch Corp.		375		13,226
Regency Centers Corp.		300		13,191
EastGroup Properties, Inc.		300		12,753
StanCorp Financial Group, Inc.		300		12,657
Louisiana Bancorp, Inc.*		800		12,616
St. Joe Co.*		580		12,087
Eaton Vance Corp.		380		11,487
General Growth Properties, Inc.		680		11,349
Popular, Inc.*		3,840		10,598
Western Alliance Bancorporation*		1,490		10,579
TCF Financial Corp.		700		9,660
Home Bancshares, Inc.		384		9,078
East West Bancorp, Inc.		440		8,892
Radian Group, Inc.		2,080		8,798
CIT Group, Inc.*		190		8,409
Sandy Spring Bancorp, Inc.		460		8,275
Citizens Republic Bancorp, Inc.*		11,970		8,260
W.R. Berkley Corp.		240		7,786
ProAssurance Corp.*		100		7,000
SeaBright Holdings, Inc.		700		6,930
Employers Holdings, Inc.		380		6,373
Selective Insurance Group, Inc.		380		6,183
TD Ameritrade Holding Corp.		260		5,073
White Mountains Insurance Group Ltd.		10		4,202
Glacier Bancorp, Inc.		300		4,044
First Defiance Financial Corp.		270		3,966
Interactive Brokers Group, Inc. — Class A		170		2,660
Kentucky First Federal Bancorp		240		2,160
Synovus Financial Corp.		850		1,768

Total Financials				8,260,213


Information Technology - 9.7%
Apple, Inc.*		2,800		939,876
Microsoft Corp.		32,900		855,400
International Business Machines Corp.		3,320		569,546
Google, Inc. — Class A*		900		455,742
Qualcomm, Inc.		5,300		300,987
Hewlett-Packard Co.		8,200		298,480
Intel Corp.		10,800		239,328
Cisco Systems, Inc.		13,800		215,418
Dell, Inc.*		9,100		151,697
EMC Corp.*		4,700		129,485
Adobe Systems, Inc.*		4,100		128,945
TE Connectivity Ltd.		3,375		124,065
Mastercard, Inc. — Class A		400		120,536
CA, Inc.		5,100		116,484
Broadcom Corp. — Class A		3,400		114,376
Corning, Inc.		5,600		101,640
Visa, Inc. — Class A		1,200		101,112
Texas Instruments, Inc.		3,000		98,490
Marvell Technology Group Ltd.*		6,600		97,449
Autodesk, Inc.*		2,400		92,640
Canon, Inc.		1,900		89,920
Automatic Data Processing, Inc.		1,700		89,556
Red Hat, Inc.*		1,850		84,915
Accenture plc — Class A		1,300		78,546
Lam Research Corp.*		1,760		77,933
Juniper Networks, Inc.*		2,400		75,600
SanDisk Corp.*		1,800		74,700
Western Union Co.		3,700		74,111
ASML Holding N.V.		1,937		71,351
Alcatel-Lucent*		11,316		65,446
Hamamatsu Photonics KK		1,500		64,561
Applied Materials, Inc.		4,700		61,147
Sumsung Electronics Company Ltd.		72		55,732
Micron Technology, Inc.*		7,300		54,604
Taiwan Semiconductor Manufacturing Company Ltd.		21,129		52,953
Nippon Electric Glass Company Ltd.		4,000		50,978
Sumco Corp.*		3,000		50,382
Autonomy Corp. plc*		1,835		50,266
Motorola Mobility Holdings, Inc.*		2,237		49,303
Xerox Corp.		4,400		45,804
Kakaku.com, Inc.		6		42,109
Computer Sciences Corp.		1,100		41,756
Oracle Corp.		1,200		39,492
eBay, Inc.*		1,100		35,497
Venture Corporation Ltd.		4,000		27,811
Fidelity National Information Services, Inc.		900		27,711
Ariba, Inc.*		700		24,129
Electronic Arts, Inc.*		1,000		23,600
Riverbed Technology, Inc.*		580		22,962
Logica plc		10,362		22,282
Cielo S.A.		840		20,838
Factset Research Systems, Inc.		200		20,464
Semtech Corp.*		720		19,685
Cymer, Inc.*		380		18,814
Nintendo Company Ltd.		100		18,719
Activision Blizzard, Inc.		1,596		18,641
Ixia*		1,430		18,304
NVIDIA Corp.*		1,100		17,529
Hosiden Corp.		1,900		17,229
Jack Henry & Associates, Inc.		560		16,806
NS Solutions Corp.		800		15,572
Paychex, Inc.		500		15,360
Global Payments, Inc.		300		15,300
ON Semiconductor Corp.*		1,450		15,182
Heartland Payment Systems, Inc.		700		14,420



See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 51


SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series N (Managed Asset Allocation Series)


	Shares		Value

Advanced Energy Industries, Inc.*		970	$	14,346
Blackboard, Inc.*		310		13,451
Websense, Inc.*		470		12,206
Advanced Micro Devices, Inc.*		1,700		11,883
Zoran Corp.*		1,269		10,660
Plexus Corp.*		300		10,443
Taleo Corp. — Class A*		280		10,368
AVX Corp.		560		8,534
Intersil Corp. — Class A		650		8,353
SYNNEX Corp.*		260		8,242
Digital River, Inc.*		240		7,718
CommVault Systems, Inc.*		160		7,112
Finisar Corp.*		393		7,077
Tech Data Corp.*		140		6,845
Blue Coat Systems, Inc.*		300		6,558
RightNow Technologies, Inc.*		200		6,480
BTU International, Inc.*		870		6,125
Cyberoptics Corp.*		550		5,330
Rovi Corp.*		90		5,162
Avid Technology, Inc.*		260		4,898
Aruba Networks, Inc.*		160		4,728
Harris Corp.		100		4,506
Cadence Design Systems, Inc.*		350		3,696
Atmel Corp.*		230		3,236
Supertex, Inc.*		140		3,136
Cree, Inc.*		90		3,023
Accelrys, Inc.*		403		2,865

Total Information Technology				7,336,697


Consumer Discretionary - 8.5%
Amazon.com, Inc.*		1,700		347,633
Walt Disney Co.		6,400		249,856
McDonald’s Corp.		2,900		244,528
Comcast Corp. — Class A		8,800		222,992
Time Warner, Inc.		5,300		192,761
Kohl’s Corp.		3,270		163,533
Toyota Motor Corp.		3,900		159,866
Home Depot, Inc.		4,250		153,935
Bed Bath & Beyond, Inc.*		2,600		151,762
Starbucks Corp.		3,800		150,062
Cie Financiere Richemont S.A.		2,166		141,815
Volkswagen AG		676		139,553
Las Vegas Sands Corp.*		3,180		134,228
Time Warner Cable, Inc. — Class A		1,639		127,908
DIRECTV — Class A*		2,500		127,050
AutoZone, Inc.*		400		117,940
CarMax, Inc.*		3,400		112,438
General Motors Co.*		3,480		105,653
Macy’s, Inc.		3,600		105,264
Priceline.com, Inc.*		200		102,386
NIKE, Inc. — Class B		1,080		97,178
Carnival Corp.		2,500		94,075
WPP plc		7,339		91,863
Dollar General Corp.*		2,700		91,503
Honda Motor Company Ltd.		2,300		88,137
Ross Stores, Inc.		1,100		88,132
Johnson Controls, Inc.		2,100		87,486
Ford Motor Co.*		6,200		85,498
Coach, Inc.		1,300		83,109
Discovery Communications, Inc. — Class C*		2,073		75,768
PPR		419		74,618
International Game Technology		4,200		73,836
Compass Group plc		7,578		73,086
Persimmon plc		9,438		73,047
Kingfisher plc		16,637		71,338
Bayerische Motoren Werke AG		713		71,150
Omnicom Group, Inc.		1,400		67,424
Liberty Media Corporation — Interactive*		3,800		63,726
Chipotle Mexican Grill, Inc. —
Class A*		200		61,638
Inditex S.A.		671		61,149
Jupiter Telecommunications Company Ltd.		54		60,369
Marriott International, Inc. — Class A		1,638		58,133
Harley-Davidson, Inc.		1,400		57,358
Starwood Hotels & Resorts Worldwide, Inc.		1,000		56,040
Netflix, Inc.*		200		52,538
Nikon Corp.		2,200		51,622
Nissan Motor Company Ltd.		4,800		50,203
Harman International Industries, Inc.		1,100		50,127
GKN plc		12,526		46,594
Lowe’s Companies, Inc.		1,900		44,289
Benesse Holdings, Inc.		1,000		42,917
Mattel, Inc.		1,500		41,235
Accor S.A.		920		41,140
PDG Realty S.A. Empreendimentos e Participacoes		6,900		38,879
Aisin Seiki Company Ltd.		1,000		38,507
Autoliv, Inc.		475		37,537
H&R Block, Inc.		2,200		35,288
Parkson Retail Group Ltd.		23,500		34,367
Mitchells & Butlers plc*		6,773		34,237
Tim Hortons, Inc.		700		34,167
Liberty Global, Inc. — Class A*		685		30,852
Stanley Black & Decker, Inc.		400		28,820
Fossil, Inc.*		240		28,253
Gentex Corp.		920		27,812
Aegis Group plc		10,822		27,787
Hasbro, Inc.		600		26,358
Lennar Corp. — Class A		1,400		25,410
The Gap, Inc.		1,400		25,340
Dollar Tree, Inc.*		380		25,316
Informa plc		3,199		22,182
Lamar Advertising Co. — Class A*		780		21,349
Television Broadcasts Ltd.		3,000		19,816



52 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.


SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series N (Managed Asset Allocation Series)


	Shares		Value

Pool Corp.		632	$	18,840
Koito Manufacturing Company Ltd.		1,000		17,403
Esprit Holdings Ltd.		5,555		17,275
Cablevision Systems Corp. — Class A		460		16,657
Dick’s Sporting Goods, Inc.*		430		16,533
Genuine Parts Co.		300		16,320
Toll Brothers, Inc.*		700		14,518
Wynn Resorts Ltd.		100		14,354
DISH Network Corp. — Class A*		460		14,108
N Brown Group plc		3,203		13,518
Hibbett Sports, Inc.*		320		13,027
BorgWarner, Inc.*		160		12,926
Mohawk Industries, Inc.*		210		12,598
TRW Automotive Holdings Corp.*		200		11,806
Rent-A-Center, Inc. — Class A		370		11,307
Choice Hotels International, Inc.		300		10,008
Gaylord Entertainment Co.*		320		9,600
Williams-Sonoma, Inc.		260		9,487
Advance Auto Parts, Inc.		160		9,358
MGM Resorts International*		672		8,877
Sonic Corp.*		780		8,291
Madison Square Garden Co.— Class A*		295		8,121
Scholastic Corp.		300		7,980
American Eagle Outfitters, Inc.		620		7,905
Thor Industries, Inc.		240		6,922
Education Management Corp.*		240		5,746
Winnebago Industries, Inc.*		580		5,603
Culp, Inc.*		540		5,071
Ascena Retail Group, Inc.*		148		5,039
Royal Caribbean Cruises Ltd.*		130		4,893
Ameristar Casinos, Inc.		175		4,149
Chico’s FAS, Inc.		260		3,960
Corinthian Colleges, Inc.*		570		2,428
Ascent Media Corp. — Class A*		43		2,278
Anvil Holdings, Inc.*,^††		30		150

Total Consumer Discretionary				6,386,822


Industrials -7.6%
General Electric Co.		30,500		575,230
United Technologies Corp.		3,610		319,521
Emerson Electric Co.		5,600		315,000
3M Co.		3,300		313,005
Boeing Co.		3,490		258,016
Union Pacific Corp.		2,300		240,120
United Parcel Service, Inc.— Class B		2,800		204,204
Danaher Corp.		3,800		201,362
Caterpillar, Inc.		1,800		191,628
Honeywell International, Inc.		3,100		184,729
FedEx Corp.		1,400		132,790
Cummins, Inc.		1,200		124,188
Precision Castparts Corp.		700		115,255
Mitsui & Company Ltd.		6,700		115,183
Mitsubishi Electric Corp.		9,000		103,969
SembCorp Industries Ltd.		22,900		93,032
Mitsubishi Corp.		3,700		91,920
Joy Global, Inc.		950		90,478
Cooper Industries plc — Class A		1,400		83,538
Siemens AG		563		77,320
Koninklijke Philips Electronics N.V.		3,010		77,307
ABB Ltd.		2,885		74,801
Rolls-Royce Holdings plc		6,412		66,368
DCC plc		2,259		64,358
Bouygues S.A.		1,460		64,187
Central Japan Railway Co.		8		62,804
Republic Services, Inc. — Class A		2,000		61,700
Ingersoll-Rand plc		1,300		59,033
Legrand S.A.		1,320		55,601
Norfolk Southern Corp.		700		52,451
AP Moller — Maersk A — Class B		6		51,747
Finmeccanica SpA		4,241		51,325
Hutchison Whampoa Ltd.		4,700		50,734
Lockheed Martin Corp.		600		48,582
Cookson Group plc		4,200		45,326
Fluor Corp.		700		45,262
Textron, Inc.		1,900		44,859
Southwest Airlines Co.		3,600		41,112
Ryder System, Inc.		700		39,795
Goodrich Corp.		400		38,200
Fastenal Co.		1,000		35,990
Carillion plc		5,937		35,833
Charter International plc		2,651		33,693
Cintas Corp.		1,000		33,030
China Railway Construction Corporation Ltd.		38,000		31,790
CH Robinson Worldwide, Inc.		400		31,536
Cargotec Oyj — Class B		612		31,365
Makita Corp.		600		27,800
General Dynamics Corp.		300		22,356
Triumph Group, Inc.		200		19,916
Nordson Corp.		350		19,198
AO Smith Corp.		450		19,035
Robert Half International, Inc.		700		18,921
Applied Industrial Technologies, Inc.		530		18,873
Advisory Board Co.*		320		18,522
UTI Worldwide, Inc.		870		17,130
Toshiba Machine Company Ltd.		3,000		16,285
Waste Connections, Inc.		500		15,865
Expeditors International of Washington, Inc.		300		15,357
Foster Wheeler AG*		500		15,190
Nippon Yusen KK		4,000		14,807
Knight Transportation, Inc.		860		14,611
Greenbrier Companies, Inc.*		700		13,832
John Bean Technologies Corp.		698		13,485
Manpower, Inc.		250		13,413
First Solar, Inc.*		100		13,227
Corporate Executive Board Co.		300		13,095
General Cable Corp.*		290		12,348



See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 53


SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series N (Managed Asset Allocation Series)


	Shares		Value

Middleby Corp.*		130	$	12,225
FTI Consulting, Inc.*		320		12,141
Covanta Holding Corp.		700		11,543
Consolidated Graphics, Inc.*		210		11,539
Insituform Technologies, Inc. — Class A*		530		11,114
Actuant Corp. — Class A		400		10,732
Harsco Corp.		310		10,106
American Reprographics Co.*		1,290		9,120
Verisk Analytics, Inc. — Class A*		250		8,655
Bucyrus International, Inc. — Class A		90		8,249
Herman Miller, Inc.		300		8,166
Belden, Inc.		220		7,669
Oshkosh Corp.*		260		7,524
Babcock & Wilcox Co.*		265		7,343
Navigant Consulting, Inc.*		680		7,133
AMR Corp.*		1,290		6,966
HEICO Corp. — Class A		175		6,958
RailAmerica, Inc.*		400		6,000
RSC Holdings, Inc.*		500		5,980
Skywest, Inc.		360		5,422
CLARCOR, Inc.		110		5,201
H&E Equipment Services, Inc.*		320		4,477
USG Corp.*		300		4,302
Hubbell, Inc. — Class B		60		3,897
United Continental Holdings, Inc.*		170		3,847
American Science & Engineering, Inc.		30		2,400
A123 Systems, Inc.*		180		958

Total Industrials				5,712,210


Energy - 7.6%
Exxon Mobil Corp.		15,707		1,278,236
Chevron Corp.		6,750		694,170
Schlumberger Ltd.		5,414		467,770
Royal Dutch Shell plc ADR — Class B		3,700		265,475
ConocoPhillips		2,800		210,532
Occidental Petroleum Corp.		2,000		208,080
Baker Hughes, Inc.		2,540		184,303
El Paso Corp.		6,200		125,240
Murphy Oil Corp.		1,900		124,754
FMC Technologies, Inc.*		2,684		120,216
Statoil ASA		4,699		118,997
Spectra Energy Corp.		4,300		117,863
BP plc ADR		2,600		115,154
Devon Energy Corp.		1,400		110,334
Hess Corp.		1,400		104,664
EOG Resources, Inc.		900		94,095
Halliburton Co.		1,700		86,700
Williams Companies, Inc.		2,800		84,700
Peabody Energy Corp.		1,400		82,474
Suncor Energy, Inc.		2,000		78,200
Newfield Exploration Co.*		1,100		74,822
BG Group plc		3,234		73,383
Noble Corp.		1,700		66,997
Valero Energy Corp.		2,300		58,811
Southwestern Energy Co.*		1,300		55,744
Range Resources Corp.		1,000		55,500
Beach Energy Ltd.		55,875		54,829
Concho Resources, Inc.*		560		51,436
ENI SpA		2,136		50,523
Apache Corp.		400		49,356
Saipem SpA		854		44,090
EQT Corp.		800		42,016
Cimarex Energy Co.		450		40,464
Petroleo Brasileiro S.A. ADR		1,200		36,816
McDermott International, Inc.*		1,720		34,073
China Oilfield Services Ltd.		18,000		32,754
Arch Coal, Inc.		1,050		27,993
Whiting Petroleum Corp.*		460		26,179
WorleyParsons Ltd.		859		26,016
Fugro N.V.		345		24,876
Complete Production Services, Inc.*		670		22,351
HollyFrontier Corp.		290		20,126
Modec, Inc.		900		15,349
Ultra Petroleum Corp.*		280		12,824
Westmoreland Coal Co.*		720		12,780
Forest Oil Corp.*		320		8,547
Comstock Resources, Inc.*		290		8,349
GeoMet, Inc.*		2,550		3,009

Total Energy				5,701,970


Health Care - 7.2%
Johnson & Johnson		8,158		542,670
Pfizer, Inc.		26,272		541,203
Merck & Company, Inc.		9,636		340,054
Sanofi		2,835		227,935
Amgen, Inc.*		3,810		222,314
UnitedHealth Group, Inc.		4,300		221,794
GlaxoSmithKline plc ADR		5,000		214,500
Abbott Laboratories		3,200		168,384
Gilead Sciences, Inc.*		3,500		144,935
Roche Holding AG		855		143,076
WellPoint, Inc.		1,800		141,786
Stryker Corp.		2,400		140,856
Covidien plc		2,375		126,421
Bristol-Myers Squibb Co.		4,300		124,528
Celgene Corp.*		2,000		120,640
McKesson Corp.		1,400		117,110
Thermo Fisher Scientific, Inc.*		1,700		109,463
Express Scripts, Inc. — Class A*		1,900		102,562
Baxter International, Inc.		1,700		101,473
Fresenius SE & Company KGaA		898		93,739
Zimmer Holdings, Inc.*		1,400		88,480
Allergan, Inc.		1,000		83,250
Medtronic, Inc.		2,100		80,913
Elekta AB — Class B		1,705		80,752
Medco Health Solutions, Inc.*		1,300		73,476
Biogen Idec, Inc.*		600		64,152



54 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.


SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series N (Managed Asset Allocation Series)


	Shares		Value

Agilent Technologies, Inc.*		1,200	$	61,332
Edwards Lifesciences Corp.*		700		61,026
Quest Diagnostics, Inc.		900		53,190
CSL Ltd.		1,467		52,012
DaVita, Inc.*		600		51,966
CIGNA Corp.		900		46,287
AmerisourceBergen Corp. — Class A		1,100		45,540
CR Bard, Inc.		400		43,944
Waters Corp.*		400		38,296
DENTSPLY International, Inc.		900		34,272
Terumo Corp.		600		32,309
Astellas Pharma, Inc.		800		30,955
HCA Holdings, Inc.*		900		29,700
Human Genome Sciences, Inc.*		1,010		24,785
Illumina, Inc.*		310		23,297
Hospira, Inc.*		400		22,664
Henry Schein, Inc.*		300		21,477
Boston Scientific Corp.*		3,100		21,421
Gen-Probe, Inc.*		280		19,362
AMERIGROUP Corp.*		260		18,322
Covance, Inc.*		300		17,811
Humana, Inc.		200		16,108
Alkermes, Inc.*		850		15,810
Computer Programs & Systems, Inc.		240		15,235
Chugai Pharmaceutical Company Ltd.		900		14,712
Medicines Co.*		830		13,703
Hologic, Inc.*		648		13,070
Techne Corp.		150		12,506
Omnicare, Inc.		390		12,437
LifePoint Hospitals, Inc.*		290		11,333
Alexion Pharmaceuticals, Inc.*		240		11,287
Thoratec Corp.*		340		11,159
STERIS Corp.		300		10,494
Vertex Pharmaceuticals, Inc.*		180		9,358
Theravance, Inc.*		400		8,884
Incyte Corporation Ltd.*		460		8,712
Pharmacyclics, Inc.*		800		8,352
Allscripts Healthcare Solutions, Inc.*		400		7,768
Community Health Systems, Inc.*		300		7,704
Neurocrine Biosciences, Inc.*		750		6,038
Maxygen, Inc.		1,010		5,525
Charles River Laboratories International, Inc.*		130		5,285
BioMarin Pharmaceutical, Inc.*		180		4,898
Medicis Pharmaceutical Corp. — Class A		110		4,199
Health Management Associates, Inc. — Class A*		340		3,665
Cubist Pharmaceuticals, Inc.*		100		3,599
Exelixis, Inc.*		400		3,584
Dendreon Corp.*		90		3,550
Idenix Pharmaceuticals, Inc.*		650		3,250
Codexis, Inc.*		326		3,139
Acorda Therapeutics, Inc.*		90		2,908

Total Health Care				5,424,706


Consumer Staples - 6.0%
Procter & Gamble Co.		10,373		659,412
PepsiCo, Inc.		6,997		492,799
Coca-Cola Co.		5,600		376,824
Philip Morris International, Inc.		4,230		282,437
Nestle S.A.		4,418		274,549
Colgate-Palmolive Co.		2,500		218,525
Tesco plc		30,049		193,849
General Mills, Inc.		4,400		163,768
CVS Caremark Corp.		4,168		156,633
Kraft Foods, Inc. — Class A		4,025		141,801
Walgreen Co.		3,200		135,872
Kellogg Co.		2,400		132,768
Kimberly-Clark Corp.		1,900		126,464
Avon Products, Inc.		4,000		112,000
Wal-Mart Stores, Inc.		2,100		111,594
Pernod-Ricard S.A.		1,026		101,134
Unilever plc		3,091		99,503
Altria Group, Inc.		3,500		92,435
Kroger Co.		3,500		86,800
Kirin Holdings Company Ltd.		5,000		69,499
L’Oreal S.A.		518		67,279
Whole Foods Market, Inc.		1,000		63,450
Molson Coors Brewing Co. — Class B		1,300		58,162
FamilyMart Company Ltd.		1,500		54,965
Energizer Holdings, Inc.*		640		46,310
Archer-Daniels-Midland Co.		1,200		36,180
ConAgra Foods, Inc.		1,300		33,553
Boston Beer Company, Inc. — Class A*		180		16,128
BJ’s Wholesale Club, Inc.*		300		15,105
Kobayashi Pharmaceutical Company Ltd.		300		15,055
House Foods Corp.		800		13,495
Tootsie Roll Industries, Inc.		410		11,997
Alliance One International, Inc.*		3,160		10,207
Dairy Crest Group plc		1,590		9,441
Casey’s General Stores, Inc.		190		8,360
Pantry, Inc.*		370		6,952
Church & Dwight Company, Inc.		80		3,243
Reed’s, Inc.*		1,410		2,820
Bunge Ltd.		30		2,068

Total Consumer Staples				4,503,436


Materials - 3.0%
Freeport-McMoRan Copper & Gold, Inc. — Class B		3,338		176,580
Monsanto Co.		2,400		174,096
Rio Tinto Ltd.		1,677		149,256
BHP Billiton Ltd.		2,818		132,370
Praxair, Inc.		1,200		130,068
BASF SE		1,137		111,416
Dow Chemical Co.		2,400		86,400
Wacker Chemie AG		361		78,058
Umicore S.A.		1,398		76,251
International Paper Co.		2,400		71,568



See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 55


SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series N (Managed Asset Allocation Series)


	Shares		Value

Vulcan Materials Co.		1,800	$	69,354
Asahi Kasei Corp.		10,000		67,077
Cliffs Natural Resources, Inc.		700		64,715
Rio Tinto plc		877		63,191
E. I. du Pont de Nemours & Co.		1,151		62,212
Sherwin-Williams Co.		700		58,709
Nucor Corp.		1,200		49,464
United States Steel Corp.		1,000		46,040
PPG Industries, Inc.		500		45,395
Eastman Chemical Co.		400		40,828
Barrick Gold Corp.		900		40,761
Eldorado Gold Corp.		2,600		38,324
Potash Corporation of Saskatchewan, Inc.		600		34,194
SSAB AB — Class A		2,148		32,106
Hitachi Chemical Company Ltd.		1,600		31,620
Air Products & Chemicals, Inc.		300		28,674
Kobe Steel Ltd.		12,000		27,129
Air Water, Inc.		2,000		24,023
Albemarle Corp.		310		21,452
Tosoh Corp.		5,000		19,999
Allied Nevada Gold Corp.*		550		19,453
Carpenter Technology Corp.		320		18,458
Domtar Corp.		193		18,281
The Mosaic Co.		260		17,610
Koppers Holdings, Inc.		460		17,448
Clearwater Paper Corp.*		250		17,070
Showa Denko KK		8,000		16,496
Cabot Corp.		400		15,948
Arch Chemicals, Inc.		420		14,465
American Vanguard Corp.		930		12,062
Senomyx, Inc.*		2,310		11,873
Myers Industries, Inc.		1,000		10,280
LyondellBasell Industries N.V.— Class A		260		10,015
Haynes International, Inc.		150		9,289
Martin Marietta Materials, Inc.		110		8,797
Steel Dynamics, Inc.		520		8,450

Total Materials				2,277,325


Telecommunication Services - 2.5%
AT&T, Inc.		25,892		813,268
Vodafone Group plc ADR		7,300		195,056
Telefonica S.A.		5,864		143,379
Crown Castle International Corp.*		3,260		132,975
Sprint Nextel Corp.*		22,100		119,119
America Movil SAB de CV ADR		1,800		96,984
American Tower Corp. — Class A*		1,430		74,789
Telecom Italia SpA		63,686		74,118
KDDI Corp.		10		71,672
Telstra Corporation Ltd.		15,568		48,251
Softbank Corp.		1,000		37,637
Hutchison Telecommunications Hong Kong Holdings Ltd.		60,000		18,505
NTELOS Holdings Corp.		530		10,823
NII Holdings, Inc.*		250		10,595
SBA Communications Corp.— Class A*		240		9,166
Leap Wireless International, Inc.*		240		3,895

Total Telecommunication Services				1,860,232


Utilities - 1.9%
Exelon Corp.		4,100		175,644
FirstEnergy Corp.		3,434		151,611
AES Corp.*		11,600		147,784
Scottish & Southern Energy plc		5,646		126,212
Entergy Corp.		1,700		116,076
Constellation Energy Group, Inc.		2,900		110,084
GDF Suez		2,487		91,015
CenterPoint Energy, Inc.		4,600		89,010
E.ON AG		2,734		77,653
Calpine Corp.*		3,400		54,842
Sempra Energy		900		47,592
TECO Energy, Inc.		2,300		43,447
PPL Corp.		1,400		38,962
Edison International		700		27,125
OGE Energy Corp.		410		20,631
Alliant Energy Corp.		490		19,923
National Fuel Gas Co.		270		19,656
Dominion Resources, Inc.		400		19,308
Great Plains Energy, Inc.		930		19,279
Southwest Gas Corp.		490		18,919
GenOn Energy, Inc.*		3,574		13,796

Total Utilities				1,428,569


Total Common Stocks (Cost $40,600,761)				48,892,180

PREFERRED STOCKS - 0.1%
Ally Financial, Inc.
8.50% ^†,1,2		750		18,773
General Motors Co.
4.75% due 12/01/13^†,*		250		12,185
GMAC Capital Trust I
8.13% due 02/15/40^†,1,*		200		5,120

Total Preferred Stocks (Cost $36,608)				36,078


WARRANTS^†† - 0.0%

Consumer Discretionary - 0.0%
Anvil Holdings, Inc. — Class A
$1.00, 02/28/12³,*		333		6
Anvil Holdings, Inc. — Class B
$1.00, 02/28/12³,*		370		4

Total Warrants (Cost $3,850)				10



56 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.


SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series N (Managed Asset Allocation Series)


	Shares		Value

RIGHTS^†† - 0.0%
China CITIC Bank Corporation Ltd. Expires 08/04/11³,*		17,000	$	1,835

Total Rights (Cost $1,698)				1,835


SHORT TERM INVESTMENTS^†† - 2.3%
T. Rowe Price Reserve Investment Fund		1,498,998		1,498,998
State Street General Account Money Market Fund		200,129		200,129

Total Short Term Investments (Cost $1,699,127)				1,699,127


	Face
	Amount
MORTGAGE BACKED SECURITIES^†† - 13.0%
Fannie Mae⁴
#AH8935, 4.50% due 04/01/41	$	338,044	350,268
#AE7966, 4.50% due 12/01/40		291,153	302,023
#AE0548, 4.50% due 11/01/40		252,059	261,154
#889829, 5.00% due 07/01/35		228,626	244,449
#745554, 6.50% due 03/01/36		205,123	233,693
#725946, 5.50% due 11/01/34		209,822	228,353
#AA5588, 4.50% due 06/01/39		179,008	186,026
#AH1111, 4.00% due 12/01/40		174,148	174,394
#808951, 6.00% due 01/01/35		157,082	173,365
#725704, 6.00% due 08/01/34		149,775	166,143
#AE1761, 4.00% due 09/01/40		157,954	158,177
#AE0392, 5.50% due 12/01/39		139,267	150,923
#933890, 5.00% due 04/01/23		113,504	121,911
#AA0774, 4.50% due 04/01/24		103,862	110,359
#888884, 5.50% due 12/01/35		99,123	108,218
#AD6061, 5.00% due 07/01/40		100,795	107,300
#888268, 6.00% due 03/01/37		85,698	94,448
#AH1059, 4.00% due 12/01/25		86,408	90,194
#AH0774, 4.00% due 12/01/25		85,251	88,985
#AE1611, 4.50% due 10/01/40		84,100	87,134
#AD6374, 5.00% due 05/01/40		79,556	84,691
#AD1886, 4.50% due 02/01/41		81,564	84,507
#833174, 5.15% due 09/01/35¹		78,724	83,967
#932633, 4.50% due 03/01/40		79,370	82,482
#AE4680, 4.00% due 11/01/40		80,236	80,349
#AE3716, 4.50% due 12/01/40		75,739	78,472
#938883, 5.00% due 06/01/37		66,929	71,248
#AD6437, 5.00% due 06/01/40		59,565	63,670
#AE0098, 5.50% due 02/01/38		56,955	61,884
#545759, 6.50% due 07/01/32		49,782	56,405
#889543, 5.50% due 08/01/37		50,718	55,086
#AE6135, 4.00% due 10/01/25		52,126	54,409
#804395, 5.50% due 12/01/34		46,868	51,019
#AD5995, 5.00% due 06/01/40		46,937	49,966
#AE3385, 4.50% due 11/01/40		45,810	47,463
#AE9254, 4.50% due 11/01/40		44,724	46,338
#AD0441, 6.00% due 10/01/39		41,637	45,810
#AH0798, 4.00% due 12/01/25		43,438	45,341
#842123, 5.50% due 10/01/35		39,918	43,406
#AD7136, 5.00% due 07/01/40		38,780	41,283
#AH3526, 4.50% due 02/01/41		39,751	41,186
#983288, 6.00% due 05/01/38		37,023	40,699
#190379, 5.50% due 05/01/37		36,680	39,736
#745406, 6.00% due 03/01/21		33,638	36,821
#AE7537, 5.00% due 10/01/40		34,100	36,300
#AD7156, 4.50% due 07/01/25		30,735	32,639
#AB1424, 5.00% due 09/01/40		30,338	32,295
#745412, 5.50% due 12/01/35		29,158	31,733
#AH0258, 4.50% due 12/01/40		30,282	31,374
#AE0549, 5.50% due 05/01/40		28,321	30,711
#AA9346, 4.50% due 08/01/39		29,538	30,696
#964926, 6.00% due 08/01/38		27,731	30,484
#AH0943, 4.00% due 12/01/40		29,512	29,581
#995564, 5.00% due 12/01/19		27,000	29,186
#685202, 5.50% due 04/01/18		25,970	28,253
#900362, 6.00% due 09/01/36		24,746	27,273
#555417, 6.00% due 05/01/33		24,084	26,716
#AE1592, 5.50% due 09/01/40		23,657	25,606
#893353, 6.00% due 09/01/36		22,684	25,064
#AE4834, 5.00% due 10/01/40		22,949	24,430
#790788, 6.00% due 09/01/34		22,007	24,379
#745216, 2.56% due 11/01/35¹		22,100	23,263
FNR 2006-35 GK, 6.00% due 08/25/32		21,802	22,347
#896329, 6.50% due 09/01/36		19,563	22,190
#AE8283, 4.00% due 11/01/40		21,723	21,774
#791574, 6.00% due 08/01/34		19,601	21,743
#255459, 6.00% due 11/01/34		18,718	20,681
#AB1479, 5.00% due 09/01/40		19,337	20,585
#AE0105, 5.50% due 02/01/38		18,762	20,387
#790629, 6.00% due 09/01/34		17,877	19,798
#796104, 5.50% due 10/01/34		18,180	19,791
#AE9739, 4.00% due 12/01/40		19,663	19,709
#735502, 6.00% due 04/01/35		17,677	19,531
#790237, 6.00% due 08/01/34		17,590	19,493
#905196, 5.88% due 12/01/36¹		18,162	19,266
#AE7996, 4.50% due 11/01/40		17,471	18,102
#888010, 5.99% due 09/01/36¹		16,213	17,558
#AE4438, 4.00% due 10/01/40		17,468	17,509
#745418, 5.50% due 04/01/36		15,809	17,190
#850863, 5.25% due 12/01/35¹		14,674	15,711
#AB1461, 4.00% due 09/01/40		15,526	15,563
#AD7406, 5.00% due 07/01/40		14,250	15,170
#AD5001, 5.00% due 08/01/40		13,376	14,240
#AB1963, 4.00% due 12/01/40		13,760	13,792
#AE7909, 4.50% due 11/01/40		12,803	13,265
#254550, 6.50% due 12/01/32		10,517	11,969
#AE8031, 4.50% due 11/01/40		9,902	10,259
#AE8002, 4.50% due 11/01/40		8,915	9,237
#AE8655, 4.50% due 11/01/40		8,914	9,236



See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 57


SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series N (Managed Asset Allocation Series)


	Face
	Amount		Value

#1B3203, 6.02% due 01/01/37¹	$	8,620	$	9,129
#745946, 5.50% due 11/01/36		8,405		9,115
#AE3480, 4.50% due 11/01/40		8,669		8,982
#357280, 6.50% due 05/01/17		8,012		8,774
#790217, 6.00% due 08/01/34		7,284		8,078
#650075, 6.50% due 07/01/32		6,974		7,936
#AE8081, 4.50% due 12/01/40		7,619		7,894
#725098, 5.50% due 12/01/18		6,789		7,386
#357748, 5.50% due 04/01/35		6,641		7,221
#923129, 5.50% due 08/01/34		6,562		7,142
#789885, 5.50% due 07/01/19		6,310		6,865
#AE4889, 4.00% due 10/01/40		6,840		6,850
#868728, 6.50% due 04/01/36		5,971		6,765
#995023, 5.50% due 08/01/37		5,278		5,739
#725528, 5.50% due 04/01/19		4,854		5,280
#848522, 5.46% due 12/01/35¹		4,447		4,752
#981614, 5.00% due 06/01/23		3,448		3,703
#889565, 5.50% due 08/01/37		2,489		2,709
#254234, 5.50% due 03/01/17		1,782		1,934
#254140, 5.50% due 01/01/17		1,660		1,802
#555345, 5.50% due 02/01/18		1,652		1,793
#625931, 5.50% due 01/01/17		1,259		1,366
FNS 319 2, 6.50% due 02/01/32⁵		5,565		1,281

				5,942,330

Freddie Mac⁴
#G04814, 5.50% due 10/01/38		259,041		280,462
#G05958, 5.00% due 08/01/40		198,765		211,435
#G03156, 5.50% due 08/01/37		150,294		162,722
#G01805, 4.50% due 04/01/35		154,913		162,058
#A93948, 4.50% due 09/01/40		152,553		157,819
#A93748, 4.00% due 09/01/40		99,375		99,436
#A21263, 4.50% due 04/01/34		86,033		89,708
#G05955, 5.00% due 08/01/40		81,334		86,518
#A91160, 4.50% due 02/01/40		79,831		82,836
#A97059, 4.00% due 02/01/41		72,874		72,919
#J03615, 6.00% due 10/01/21		46,470		51,158
#A91703, 4.50% due 04/01/40		48,963		50,653
#A93101, 5.00% due 07/01/40		39,186		41,684
#A94605, 4.00% due 10/01/40		38,733		38,757
#J03640, 6.00% due 10/01/21		34,784		38,292
#J02272, 5.50% due 07/01/20		32,459		35,317
#A90052, 4.50% due 12/01/39		31,644		32,835
#1G1353, 5.92% due 12/01/36¹		28,205		30,593
#D86309, 5.00% due 11/01/33		18,422		19,680
#A12118, 5.00% due 08/01/33		16,255		17,364
#A15907, 5.00% due 11/01/33		16,083		17,181
#J03203, 6.00% due 08/01/21		15,402		16,869
#J03672, 6.00% due 11/01/21		13,928		15,333
#1G1762, 4.99% due 11/01/35¹		13,763		14,625
#A15852, 5.00% due 11/01/33		13,002		13,889
#E99966, 5.00% due 10/01/18		10,038		10,847
#C03531, 4.00% due 10/01/40		10,575		10,581
#A91947, 5.00% due 04/01/40		7,589		8,072
#1G0661, 5.39% due 01/01/36¹		5,749		6,154
#J03254, 6.00% due 08/01/21		5,500		6,035
#G08421, 4.00% due 10/01/40		3,908		3,910
#E01341, 5.50% due 03/01/18		2,911		3,155
#A94184, 4.00% due 10/01/40		2,957		2,959
#B10343, 5.00% due 11/01/18		2,515		2,717
#E99933, 5.00% due 10/01/18		1,875		2,026
#A94251, 4.00% due 10/01/40		1,976		1,977
#A94381, 4.00% due 10/01/40		1,954		1,955
#A94185, 4.00% due 10/01/40		1,681		1,682
#C68205, 7.00% due 06/01/32		1,301		1,511
#A94576, 4.00% due 10/01/40		989		989
#A94617, 4.00% due 10/01/40		982		982
#A94250, 4.00% due 10/01/40		965		966
#1B0527, 2.94% due 09/01/32¹		763		774
FHR 2614 IH, 4.50% due 05/15/16⁵		3,338		11

				1,907,446

Ginnie Mae
G2 4854, 4.50% due 11/20/40		218,754		230,707
G2 4748, 5.50% due 07/20/40		159,217		175,189
#615278, 5.00% due 07/15/33		50,903		55,511
#605561, 5.50% due 11/15/34		23,862		26,405
G2 3517, 6.00% due 02/20/34		16,276		18,083
G2 3530, 5.50% due 03/20/34		12,384		13,703
G2 3529, 5.00% due 03/20/34		7,386		8,074
G2 3295, 5.50% due 10/20/32		5,241		5,802
G2 3490, 6.50% due 12/20/33		4,519		5,118
#781312, 7.00% due 12/15/13		3,132		3,241
G2 2102, 8.00% due 10/20/25		502		594

				542,427

JP Morgan Chase Commercial Mortgage Securities Corp.
5.55% due 05/12/45		110,000		119,526
2006-CB15, 5.81% due 05/12/16¹		65,000		71,255
2004-LDP4, 4.82% due 10/15/42¹		57,726		60,455

				251,236

Morgan Stanley Dean Witter Capital I
2002-TOP7, 5.98% due 01/15/39		185,227		190,327
Commercial Mortgage Loan Trust
2008-LS1, 6.21% due 03/10/17¹		175,000		181,637
Banc of America Merrill Lynch Commercial Mortgage, Inc.
2005-3, 4.50% due 07/10/43		97,028		97,017
2003-1, 4.65% due 09/11/36		75,000		78,216

				175,233

Citigroup
2005-CD1, 5.40% due 07/15/44¹		153,830		163,537
Bear Stearns Commercial Mortgage Securities
2006-PW13, 5.54% due 09/11/41		61,000		66,476



58 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.


SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series N (Managed Asset Allocation Series)


	Face
	Amount		Value

5.69% due 06/11/50¹	$	45,000	$	48,873
2005-PWR9, 4.87% due 09/11/42		43,000		46,150

				161,499


Merrill Lynch Mortgage Trust
6.02% due 06/12/50¹		70,000		76,357
Credit Suisse Mortgage Capital Certificates
2006-C4, 5.47% due 09/15/39		50,000		53,923
Bank of America Mortgage Securities, Inc.
2005-J, 5.24% due 11/25/35¹		22,712		20,969
2004-A, 2.86% due 02/25/34¹		16,098		14,016
2004-H, 3.17% due 09/25/34¹		10,008		9,073
2004-I, 4.81% due 10/25/34¹		5,565		5,311
2004-D, 2.88% due 05/25/34¹		1,638		1,523

				50,892

American Tower Trust
2007-1A, 5.96% due 04/15/37^6,7		45,000		47,918
JP Morgan Mortgage Trust
2.97% due 07/25/35¹		42,209		39,959
GMAC Commercial Mortgage Securities, Inc.
2001-C2, 6.70% due 04/15/34		17,886		17,863
WaMu Mortgage Pass Trough Certificates
4.97% due 09/25/35¹		10,349		9,406

Total Mortgage Backed Securities (Cost $9,492,655)				9,811,990


CORPORATE BONDS^†† - 12.7%

Financials - 4.0%
Morgan Stanley
4.10% due 01/26/15		110,000		113,013
6.00% due 04/28/15		100,000		108,407
4.20% due 11/20/14		10,000		10,385
General Electric Capital Corp.
2.10% due 01/07/14		155,000		157,200
5.30% due 02/11/21		30,000		31,216
Merrill Lynch & Company, Inc.
6.88% due 04/25/18		85,000		94,045
7.75% due 05/14/38		35,000		38,799
5.45% due 02/05/13		35,000		37,128
Citigroup, Inc.
6.50% due 08/19/13		80,000		87,005
4.59% due 12/15/15		40,000		42,064
5.38% due 08/09/20		25,000		26,089
6.13% due 05/15/18		10,000		11,012
Goldman Sachs Group, Inc.
6.15% due 04/01/18		85,000		92,509
3.63% due 02/07/16		50,000		50,543
6.25% due 02/01/41		20,000		20,163
JPMorgan Chase & Co.
6.00% due 01/15/18		120,000		133,458
SLM Corp.
8.45% due 06/15/18		25,000		27,441
5.38% due 05/15/14		25,000		26,028
5.05% due 11/14/14		25,000		24,998
5.13% due 08/27/12		15,000		15,391
Svensk Exportkredit AB
5.13% due 03/01/17		70,000		79,245
Wells Fargo & Co.
4.60% due 04/01/21		75,000		75,416
HSBC Holdings plc
5.10% due 04/05/21		70,000		71,735
Fifth Third Bancorp
8.25% due 03/01/38		25,000		29,892
6.25% due 05/01/13		20,000		21,653
3.63% due 01/25/16		20,000		20,174
Berkshire Hathaway Finance Corp.
2.45% due 12/15/15		35,000		35,436
4.25% due 01/15/21		25,000		25,455
PNC Funding Corp.
5.63% due 02/01/17		35,000		38,539
4.38% due 08/11/20		20,000		20,234
Bank of America Corp.
5.65% due 05/01/18		25,000		26,358
6.50% due 08/01/16		20,000		22,305
Nuveen Investments, Inc.
10.50% due 11/15/15		25,000		25,562
5.50% due 09/15/15		25,000		21,938
Reinsurance Group of America, Inc.
5.00% due 06/01/21		20,000		19,786
6.45% due 11/15/19		15,000		16,291
5.63% due 03/15/17		10,000		10,784
Kinder Morgan Finance Company ULC
5.70% due 01/05/16		45,000		46,856
ProLogis, LP
4.50% due 08/15/17		25,000		25,016
6.63% due 12/01/19		20,000		21,780
Kilroy Realty, LP
6.63% due 06/01/20		25,000		26,851
4.80% due 07/15/18		20,000		19,662
Sun Life Financial Global Funding, LP
0.55% due 10/06/13^1,6,7		45,000		44,649
KeyCorp
3.75% due 08/13/15		30,000		30,971
5.10% due 03/24/21		10,000		10,185
Banque PSA Finance
4.38% due 04/04/16^6,7		40,000		40,819
E*Trade Financial Corp.
12.50% due 11/30/17		32,000		37,440
Aflac, Inc.
8.50% due 05/15/19		30,000		36,690
ERAC USA Finance LLC
5.25% due 10/01/20^6,7		20,000		21,214
4.50% due 08/16/21^6,7		15,000		14,909



See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 59


SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series N (Managed Asset Allocation Series)


	Face
	Amount		Value

WEA Finance LLC
7.50% due 06/02/14^6,7	$	20,000	$	23,053
4.63% due 05/10/21^6,7		10,000		9,704
Jefferies Group, Inc.
6.25% due 01/15/36		35,000		32,643
Discover Financial Services
10.25% due 07/15/19		25,000		32,304
Prudential Financial, Inc.
4.75% due 09/17/15		30,000		32,276
Hospitality Properties Trust
5.63% due 03/15/17		30,000		31,020
Ford Motor Credit Company LLC
12.00% due 05/15/15		25,000		31,003
Royal Bank of Scotland plc
3.40% due 08/23/13		30,000		30,698
RCI Banque S.A.
4.60% due 04/12/16^6,7		30,000		30,646
HBOS plc
6.00% due 11/01/33^6,7		40,000		30,488
US Bancorp
3.44% due 02/01/16		30,000		30,478
PartnerRe Finance B LLC
5.50% due 06/01/20		30,000		30,297
JPMorgan Chase Capital XXVII
7.00% due 11/01/39		30,000		29,963
Goldman Sachs Capital I
6.35% due 02/15/34		30,000		28,370
Regency Centers, LP
5.88% due 06/15/17		15,000		16,627
6.00% due 06/15/20		10,000		11,011
Principal Life Global Funding I
5.13% due 10/15/13^6,7		25,000		26,725
CIT Group, Inc.
6.63% due 04/01/18^6,7		25,000		26,062
Pinnacle Foods Finance LLC
9.25% due 04/01/15		25,000		25,938
Seminole Indian Tribe of Florida
7.75% due 10/01/17^6,7		25,000		25,875
Host Hotels & Resorts, LP
6.75% due 06/01/16		25,000		25,812
Rouse Company, LP
6.75% due 11/09/15		25,000		25,781
HUB International Holdings, Inc.
10.25% due 06/15/15^6,7		25,000		25,437
Realogy Corp.
11.50% due 04/15/17		25,000		25,375
Provident Funding
Associates, LP
10.13% due 02/15/19^6,7		25,000		25,375
Capital One Capital IV
6.75% due 02/17/37¹		25,000		25,344
Ameriprise Financial, Inc.
7.30% due 06/28/19		20,000		24,124
Allstate Corp.
7.45% due 05/16/19		20,000		23,799
Reckson Operating Partnership, LP
6.00% due 03/31/16		20,000		21,428
Federal Realty Investment Trust
6.00% due 07/15/12		20,000		20,917
CNA Financial Corp.
5.88% due 08/15/20		20,000		20,795
BB&T Capital Trust II
6.75% due 06/07/36		20,000		20,316
SunTrust Banks, Inc.
3.60% due 04/15/16		20,000		20,194
Provident Companies, Inc.
7.00% due 07/15/18		15,000		16,912
USB Capital XIII Trust
6.63% due 12/15/39		15,000		15,419
Unum Group
5.63% due 09/15/20		10,000		10,472
Raymond James Financial, Inc.
4.25% due 04/15/16		10,000		10,324
Ventas Realty, LP
3.13% due 11/30/15		10,000		9,902
Regions Financial Corp.
5.75% due 06/15/15		10,000		9,850
Travelers Companies, Inc.
3.90% due 11/01/20		10,000		9,667
UnumProvident Finance Co. plc
6.85% due 11/15/15^6,7		5,000		5,597

				3,012,760

Energy - 1.8%
Pemex Project Funding Master Trust
5.75% due 03/01/18		80,000		87,720
Petrobras International Finance Co.
5.88% due 03/01/18		35,000		37,659
7.88% due 03/15/19		15,000		18,164
5.75% due 01/20/20		10,000		10,667
Valero Energy Corp.
6.13% due 06/15/17		55,000		62,252
Williams Partners, LP
6.30% due 04/15/40		25,000		25,917
4.13% due 11/15/20		20,000		19,198
Buckeye Partners, LP
5.50% due 08/15/19		25,000		27,054
6.05% due 01/15/18		15,000		16,868
Enterprise Products Operating LLC
7.55% due 04/15/38		15,000		18,079
3.20% due 02/01/16		15,000		15,238
5.95% due 02/01/41		10,000		9,932
Hess Corp.
7.88% due 10/01/29		20,000		25,112
6.00% due 01/15/40		15,000		15,525
Plains All American Pipeline, LP
5.75% due 01/15/20		20,000		21,682
6.50% due 05/01/18		15,000		16,990
EOG Resources, Inc.
5.88% due 09/15/17		25,000		28,627
2.50% due 02/01/16		10,000		10,001



60 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.


SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series N (Managed Asset Allocation Series)


	Face
	Amount		Value

Apache Corp.
5.10% due 09/01/40	$	40,000	$	38,421
Canadian Natural Resources Ltd.
6.25% due 03/15/38		35,000		38,083
Weatherford International Ltd.
6.75% due 09/15/40		35,000		37,484
Ensco plc
3.25% due 03/15/16		35,000		35,537
Talisman Energy, Inc.
3.75% due 02/01/21		35,000		33,085
Southwestern Energy Co.
7.50% due 02/01/18		25,000		28,437
Diamond Offshore Drilling, Inc.
5.15% due 09/01/14		25,000		27,484
Cie Generale de Geophysique - Veritas
9.50% due 05/15/16		25,000		27,312
Quicksilver Resources, Inc.
9.13% due 08/15/19		25,000		27,250
Antero Resources Finance Corp.
9.38% due 12/01/17		25,000		26,875
Energy Transfer Equity, LP
7.50% due 10/15/20		25,000		26,500
Kinder Morgan, Inc.
6.50% due 09/01/12		25,000		26,250
Concho Resources, Inc.
7.00% due 01/15/21		25,000		25,875
Regency Energy Partners, LP
6.88% due 12/01/18		25,000		25,875
Petrohawk Energy Corp.
7.25% due 08/15/18		25,000		25,656
Anadarko Petroleum Corp.
8.70% due 03/15/19		20,000		25,486
Exterran Holdings, Inc.
7.25% due 12/01/18^6,7		25,000		25,250
MEG Energy Corp.
6.50% due 03/15/21^6,7		25,000		25,125
Berry Petroleum Co.
6.75% due 11/01/20		25,000		25,125
Petroplus Finance Ltd.
9.38% due 09/15/19^6,7		25,000		25,125
SM Energy Co.
6.63% due 02/15/19^6,7		25,000		25,062
Texas Gas Transmission LLC
5.50% due 04/01/13^6,7		23,000		24,800
Penn Virginia Corp.
7.25% due 04/15/19		25,000		24,187
Magellan Midstream Partners, LP
6.55% due 07/15/19		20,000		23,236
Noble Energy, Inc.
6.00% due 03/01/41		20,000		20,621
BP Capital Markets plc
3.13% due 10/01/15		20,000		20,534
ONEOK Partners, LP
3.25% due 02/01/16		20,000		20,343
NuStar Logistics, LP
4.80% due 09/01/20		20,000		20,164
Enbridge Energy Partners, LP
5.20% due 03/15/20		10,000		10,603
5.50% due 09/15/40		10,000		9,487
Marathon Oil Corp.
6.00% due 10/01/17		15,000		17,231
Noble Holding International Ltd.
6.05% due 03/01/41		15,000		15,377
El Paso Natural Gas Co.
5.95% due 04/15/17		13,000		14,712
Nabors Industries, Inc.
6.15% due 02/15/18		10,000		11,055
Enogex LLC
6.25% due 03/15/20^6,7		10,000		11,014

				1,311,346

Telecommunication Services - 1.7%
AT&T, Inc.
5.63% due 06/15/16		50,000		56,680
6.45% due 06/15/34		50,000		53,372
NBCUniversal Media LLC
5.15% due 04/30/20^6,7		60,000		63,354
5.95% due 04/01/41^6,7		20,000		20,338
Telefonica Emisiones SAU
6.22% due 07/03/17		35,000		38,582
3.99% due 02/16/16		25,000		25,288
5.88% due 07/15/19		15,000		15,752
Telecom Italia Capital S.A.
6.18% due 06/18/14		30,000		32,283
5.25% due 11/15/13		30,000		31,493
Historic TW, Inc.
6.88% due 06/15/18		50,000		58,511
Sprint Nextel Corp.
8.38% due 08/15/17		50,000		54,937
Intelsat Luxembourg S.A.
11.50% due 02/04/17^6,7		25,000		26,875
11.25% due 02/04/17		25,000		26,844
Intelsat Jackson Holdings S.A.
8.50% due 11/01/19		50,000		53,000
Univision Communications, Inc.
7.88% due 11/01/20^6,7		25,000		25,625
8.50% due 05/15/21^6,7		25,000		24,938
Crown Castle Towers LLC
6.11% due 01/15/20^6,7		38,000		41,463
News America, Inc.
6.40% due 12/15/35		30,000		31,373
6.15% due 03/01/37		5,000		5,065
America Movil S.A. de CV
6.38% due 03/01/35		30,000		32,246
American Tower Corp.
7.25% due 05/15/19		28,000		31,589
NII Capital Corp.
10.00% due 08/15/16		25,000		29,000
Digicel Ltd.
12.00% due 04/01/14^6,7		25,000		28,937



See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 61


SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series N (Managed Asset Allocation Series)


	Face
	Amount		Value

Videotron Ltee
9.13% due 04/15/18	$	25,000	$	27,906
UPC Holding BV
9.88% due 04/15/18^6,7		25,000		27,750
CSC Holdings LLC
8.50% due 04/15/14		25,000		27,687
Sprint Capital Corp.
8.75% due 03/15/32		25,000		27,062
CC Holdings GS V LLC
7.75% due 05/01/17^6,7		25,000		27,062
Clearwire Communications LLC
12.00% due 12/01/15^6,7		25,000		26,781
SBA Telecommunications, Inc.
8.25% due 08/15/19		25,000		26,750
TCM Sub LLC
3.55% due 01/15/15^6,7		25,000		26,124
Windstream Corp.
8.63% due 08/01/16		25,000		26,031
Cequel Communications Holdings I LLC and Cequel Capital Corp.
8.63% due 11/15/17^6,7		25,000		26,000
CCO Holdings LLC
7.25% due 10/30/17		25,000		25,906
CommScope, Inc.
8.25% due 01/15/19^6,7		25,000		25,750
Level 3 Financing, Inc.
9.38% due 04/01/19^6,7		25,000		25,750
Avaya, Inc.
10.13% due 11/01/15		25,000		25,688
EH Holding Corp.
7.63% due 06/15/21^6,7		25,000		25,500
COX Communications, Inc.
8.38% due 03/01/39^6,7		10,000		13,076
6.25% due 06/01/18^6,7		10,000		11,453
West Corp.
7.88% due 01/15/19^6,7		25,000		24,250
Nielsen Finance LLC
11.63% due 02/01/14		16,000		18,680
DIRECTV Holdings LLC
5.88% due 10/01/19		15,000		16,636

				1,289,387

Industrials - 1.0%
International Lease Finance Corp.
8.25% due 12/15/20		50,000		54,000
6.63% due 11/15/13		25,000		25,875
Valmont Industries, Inc.
6.63% due 04/20/20		40,000		43,802
Burlington Northern Santa Fe LLC
5.05% due 03/01/41		25,000		23,297
5.40% due 06/01/41		20,000		19,651
Delta Air Lines, Inc.
12.25% due 03/15/15^6,7		25,000		27,687
7.75% due 12/17/19		9,348		10,190
Continental Airlines, Inc.
6.75% due 09/15/15^6,7		25,000		25,125
7.25% due 11/10/19		9,519		10,257
GATX Corp.
4.85% due 06/01/21		20,000		19,845
3.50% due 07/15/16		15,000		15,371
Republic Services, Inc.
5.70% due 05/15/41		35,000		34,168
Waste Management, Inc.
6.10% due 03/15/18		25,000		28,355
Case New Holland, Inc.
7.75% due 09/01/13		25,000		27,062
Kratos Defense & Security Solutions, Inc.
10.00% due 06/01/17^6,7		25,000		26,375
Spirit Aerosystems, Inc.
7.50% due 10/01/17		25,000		26,312
TransDigm, Inc.
7.75% due 12/15/18^6,7		25,000		26,250
Florida East Coast Railway Corp.
8.13% due 02/01/17^6,7		25,000		25,813
ARAMARK Holdings Corp.
8.63% due 05/01/16^6,7		25,000		25,438
Russel Metals, Inc.
6.38% due 03/01/14		25,000		25,219
Building Materials Corporation of America
6.75% due 05/01/21^6,7		25,000		25,125
Associated Materials LLC
9.13% due 11/01/17^6,7		25,000		24,938
L-3 Communications Corp.
4.75% due 07/15/20		25,000		24,750
Ply Gem Industries, Inc.
8.25% due 02/15/18^6,7		25,000		23,688
Nortek, Inc.
8.50% due 04/15/21^6,7		25,000		23,125
Roper Industries, Inc.
6.25% due 09/01/19		20,000		22,645
Southwest Airlines Co.
5.13% due 03/01/17		20,000		21,425
Holcim US Finance Sarl & Cie SCS
6.00% due 12/30/19^6,7		20,000		21,372
Verisk Analytics, Inc.
5.80% due 05/01/21		15,000		15,910
Cooper US, Inc.
2.38% due 01/15/16		15,000		15,069
Delta Air Lines 2010-2 Class A Pass Through Trust
4.95% due 05/23/19		9,857		9,857
Continental Airlines 2010-1 Class A Pass Through Trust
4.75% due 01/12/21		10,000		9,750
Delta Air Lines 2011-1 Class A Pass Through Trust
5.30% due 04/15/19		5,000		5,000

				762,746



62 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.


SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series N (Managed Asset Allocation Series)


	Face
	Amount		Value

Utilities - 1.0%
Public Service Electric & Gas Co.
5.70% due 12/01/36	$	50,000	$	52,996
Tampa Electric Co.
6.15% due 05/15/37		40,000		44,337
FirstEnergy Corp.
7.38% due 11/15/31		35,000		39,852
Nevada Power Co.
7.13% due 03/15/19		25,000		29,838
5.45% due 05/15/41		10,000		9,942
PPL WEM Holdings plc
3.90% due 05/01/16^6,7		35,000		35,916
Constellation Energy Group, Inc.
5.15% due 12/01/20		35,000		35,869
Nisource Finance Corp.
5.95% due 06/15/41		25,000		24,489
6.25% due 12/15/40		10,000		10,246
Black Hills Corp.
6.50% due 05/15/13		30,000		32,424
Allegheny Energy Supply Company LLC
6.75% due 10/15/39^6,7		30,000		30,690
Consumers Energy Co.
6.00% due 02/15/14		25,000		27,805
Georgia Power Co.
4.75% due 09/01/40		30,000		27,483
GenOn Energy, Inc.
9.50% due 10/15/18		25,000		26,000
Massachusetts Electric Co.
5.90% due 11/15/39^6,7		25,000		25,988
Calpine Corp.
7.50% due 02/15/21^6,7		25,000		25,500
AES Corp.
7.38% due 07/01/21^6,7		25,000		25,375
Texas Competitive Electric Holdings Company LLC
11.50% due 10/01/20^6,7		25,000		24,562
TECO Finance, Inc.
5.15% due 03/15/20		20,000		21,209
DCP Midstream Operating, LP
3.25% due 10/01/15		20,000		20,127
LG&E and KU Energy LLC
2.13% due 11/15/15^6,7		20,000		19,516
West Penn Power Co.
5.95% due 12/15/17^6,7		15,000		17,087
Westar Energy, Inc.
5.10% due 07/15/20		15,000		16,113
Public Service Company of Oklahoma
5.15% due 12/01/19		15,000		15,936
Exelon Generation Company LLC
6.25% due 10/01/39		15,000		15,160
Dominion Resources, Inc.
2.25% due 09/01/15		15,000		14,960
Northern States Power Co.
5.35% due 11/01/39	$	14,000	$	14,437
CenterPoint Energy Resources Corp.
5.85% due 01/15/41^6,7		10,000		10,186
AGL Capital Corp.
5.25% due 08/15/19		5,000		5,364

				699,407

Materials - 0.9%
Freeport-McMoRan Copper & Gold, Inc.
8.38% due 04/01/17		70,000		76,475
Dow Chemical Co.
8.55% due 05/15/19		30,000		38,683
2.50% due 02/15/16		15,000		14,892
Celulosa Arauco y Constitucion S.A.
5.13% due 07/09/13		40,000		42,105
5.00% due 01/21/21		10,000		9,919
ArcelorMittal
3.75% due 08/05/15		45,000		46,013
Allegheny Technologies, Inc.
5.95% due 01/15/21		40,000		42,577
Rio Tinto Finance USA Ltd.
4.13% due 05/20/21		40,000		39,732
Barrick North America Finance LLC
5.70% due 05/30/41^6,7		40,000		38,831
Teck Resources Ltd.
10.25% due 05/15/16		15,000		17,925
9.75% due 05/15/14		10,000		12,105
Ashland, Inc.
9.13% due 06/01/17		25,000		28,125
Lyondell Chemical Co.
8.00% due 11/01/17^6,7		25,000		27,813
Ball Corp.
7.13% due 09/01/16		25,000		27,250
Huntsman International LLC
8.63% due 03/15/21		25,000		27,188
Solutia, Inc.
8.75% due 11/01/17		25,000		27,125
Momentive Performance Materials, Inc.
11.50% due 12/01/16		25,000		26,625
Steel Dynamics, Inc.
7.38% due 11/01/12		25,000		26,375
Georgia-Pacific LLC
7.13% due 01/15/17^6,7		25,000		26,356
FMG Resources August 2006 Pty Ltd.
7.00% due 11/01/15^6,7		25,000		25,500
JMC Steel Group
8.25% due 03/15/18^6,7		25,000		25,375
Cliffs Natural Resources, Inc.
4.88% due 04/01/21		25,000		25,069

				672,058



See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 63



SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series N (Managed Asset Allocation Series)


	Face
	Amount		Value

Consumer Discretionary - 0.8%
Sirius XM Radio, Inc.
8.75% due 04/01/15^6,7	$	50,000	$	55,125
Comcast Corp.
5.70% due 05/15/18		40,000		44,630
Home Depot, Inc.
5.40% due 03/01/16		35,000		39,109
Omnicom Group, Inc.
4.45% due 08/15/20		35,000		34,719
O’Reilly Automotive, Inc.
4.88% due 01/14/21		30,000		30,145
MGM Resorts International
10.38% due 05/15/14		25,000		28,375
British Sky Broadcasting Group plc
6.10% due 02/15/18^6,7		25,000		27,963
Caesars Entertainment Operating Company, Inc.
11.25% due 06/01/17		25,000		27,594
Ticketmaster Entertainment LLC
10.75% due 08/01/16		25,000		27,250
DineEquity, Inc.
9.50% due 10/30/18^6,7		25,000		27,125
McClatchy Co.
11.50% due 02/15/17		25,000		26,563
QVC, Inc.
7.50% due 10/01/19^6,7		25,000		26,500
DIRECTV Holdings LLC
3.55% due 03/15/15		25,000		26,120
Ameristar Casinos, Inc.
7.50% due 04/15/21^6,7		25,000		25,781
Inergy, LP
6.88% due 08/01/21^6,7		25,000		25,000
Shea Homes, LP
8.63% due 05/15/19^6,7		25,000		24,625
Hanesbrands, Inc.
6.38% due 12/15/20		25,000		24,250
Time Warner, Inc.
7.70% due 05/01/32		20,000		24,147
RadioShack Corp.
6.75% due 05/15/19^6,7		25,000		24,063
Claire’s Stores, Inc.
8.88% due 03/15/19^6,7		25,000		23,375
MDC Holdings, Inc.
5.50% due 05/15/13		20,000		21,047
Macy’s Retail Holdings, Inc.
5.35% due 03/15/12		20,000		20,507
Grupo Televisa S.A.
6.63% due 01/15/40		15,000		15,787
Dunkin’ Brands, Inc.
9.63% due 12/01/18^6,7		15,000		15,131

				664,931


Information Technology - 0.5%
Xerox Corp.
6.75% due 02/01/17		100,000		116,770
6.35% due 05/15/18		25,000		28,657
5.50% due 05/15/12		15,000		15,596
First Data Corp.
12.63% due 01/15/21^6,7		50,000		53,500
11.25% due 03/31/16		25,000		24,625
CDW LLC
12.54% due 10/12/17		25,000		26,938
8.00% due 12/15/18^6,7		25,000		26,437
Seagate Technology HDD Holdings
6.80% due 10/01/16		25,000		26,312
iGate Corp.
9.00% due 05/01/16^6,7		25,000		25,250
MEMC Electronic Materials, Inc.
7.75% due 04/01/19^6,7		25,000		24,687
Fiserv, Inc.
3.13% due 06/15/16		10,000		9,947
Broadcom Corp.
2.38% due 11/01/15^6,7		10,000		9,901

				388,620


Health Care - 0.5%
HCA, Inc.
9.25% due 11/15/16		50,000		53,062
Life Technologies Corp.
4.40% due 03/01/15		20,000		21,198
3.50% due 01/15/16		20,000		20,456
Express Scripts, Inc.
3.13% due 05/15/16		25,000		25,154
6.25% due 06/15/14		10,000		11,261
Bausch & Lomb, Inc.
9.88% due 11/01/15		25,000		26,500
Giant Funding Corp.
8.25% due 02/01/18^6,7		25,000		26,063
CHS
8.88% due 07/15/15		25,000		25,750
Cardinal Health, Inc.
4.63% due 12/15/20		25,000		25,376
DaVita, Inc.
6.38% due 11/01/18		25,000		25,313
Kindred Healthcare, Inc.
8.25% due 06/01/19^6,7		25,000		24,875
Valeant Pharmaceuticals International
7.00% due 10/01/20^6,7		25,000		24,188
Inventiv Health, Inc.
10.00% due 8/15/18^6,7		25,000		23,750
UnitedHealth Group, Inc.
4.70% due 02/15/21		10,000		10,425
3.88% due 10/15/20		10,000		9,784
Agilent Technologies, Inc.
5.00% due 07/15/20		10,000		10,497
Medco Health Solutions, Inc.
2.75% due 09/15/15		10,000		10,088
WellPoint, Inc.
4.35% due 08/15/20		5,000		5,049

				378,789



64 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.



SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series N (Managed Asset Allocation Series)


	Face
	Amount		Value

Consumer Staples - 0.4%
Altria Group, Inc.
4.75% due 05/05/21	$	45,000	$	44,969
4.13% due 09/11/15		35,000		37,089
9.25% due 08/06/19		5,000		6,520
Coca-Cola Co.
1.50% due 11/15/15		40,000		39,271
Reynolds American, Inc.
7.25% due 06/01/13		30,000		33,166
Rite Aid Corp.
10.25% due 10/15/19		25,000		27,500
Del Monte Foods Co.
7.63% due 02/15/19^6,7		25,000		25,250
Reynolds Group Issuer, Inc.
7.13% due 04/15/19^6,7		25,000		24,813
Bunge North America Finance, LP
5.90% due 04/01/17		20,000		21,860
Wesfarmers Ltd.
2.98% due 05/18/16^6,7		20,000		20,059
Bunge Ltd. Finance Corp.
4.10% due 03/15/16		10,000		10,417

				290,914


Industrial - 0.1%
Vanguard Health Holding Co. II LLC
7.75% due 02/01/19		25,000		25,313
Accellent, Inc.
10.00% due 11/01/17		25,000		24,500
Nabors Industries, Inc.
9.25% due 01/15/19		15,000		19,013
GTP Acquisition Partners I LLC
4.35% due 06/15/16^6,7		5,000		5,018

				73,844

Total Corporate Bonds (Cost $9,119,807)				9,544,802


U.S. GOVERNMENT SECURITIES^†- 4.5%
U.S. Treasury Notes
1.75% due 08/15/12		1,355,000		1,377,654
1.13% due 01/15/12		725,000		728,909
2.25% due 05/31/14		405,000		422,181
2.63% due 07/31/14		325,000		342,596
2.63% due 04/30/16		250,000		261,074
U.S. Treasury Bonds
4.63% due 02/15/40		260,000		271,090

Total U.S. Government Securities (Cost $3,367,491)				3,403,504


ASSET BACKED SECURITIES^††- 0.9%
GE Capital Credit Card Master Note Trust
3.69% due 07/15/15		114,000		117,243
CNH Wholesale Master Note Trust
1.90% due 07/15/15^1,6,7		100,000		101,258
GE Equipment Midticket LLC
1.47% due 07/14/15^6,7		100,000		100,377
World Financial Network Credit Card Master Trust
4.66% due 05/15/17		55,000		58,692
3.96% due 04/15/19		30,000		31,732

				90,424

Ally Auto Receivables Trust
4.06% due 05/16/16^6,7		60,000		63,293
Navistar Financial Corporation Owner Trust
4.17% due 10/20/14^6,7		50,000		51,387
WF-RBS Commercial Mortgage Trust
5.17% due 02/15/44^1,6,7		50,000		50,051
Marriott Vacation Club Owner Trust
5.74% due 04/20/28^6,7		28,608		29,569
5.36% due 10/20/28^6,7		8,258		8,526

				38,095

AmeriCredit Automobile Receivables Trust
2.73% due 03/09/15		34,000		34,769
CarMax Auto Owner Trust
5.18% due 12/15/16		25,000		26,856
Merrill Lynch Mortgage Investors Trust
0.69% due 09/25/31¹		16,429		14,941
Countrywide Asset-Backed Certificates
1.79% due 01/25/34¹		19,570		13,133
Chase Funding Mortgage Loan Asset-Backed Certificates
5.60% due 09/25/31		5,846		4,178

Total Asset Backed Securities (Cost $694,338)				706,005


MUNICIPAL BONDS^††- 0.9%

California - 0.1%
East Bay Municipal Utility District Revenue Bonds
5.87% due 06/01/40		40,000		41,820
Bay Area Toll Authority Revenue Bonds
6.26% due 04/01/49		25,000		26,899
Los Angeles Department of Airports Revenue Bonds
7.05% due 05/15/40		20,000		21,218
District of Columbia Revenue Bonds
5.25% due 12/01/34		20,000		21,053
Tompkins County Industrial Development Agency Revenue Bonds
5.00% due 07/01/37		20,000		20,628



See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 65



SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series N (Managed Asset Allocation Series)


	Face
	Amount		Value

Regional Transportation District Revenue Bonds
5.00% due 11/01/38	$	20,000	$	20,478
San Diego County Water Authority Revenue Bonds
6.14% due 05/01/49		15,000		15,941

				168,037


Illinois - 0.2%
Greater Chicago Metropolitan Water Reclamation District General Obligation Limited
5.72% due 12/01/38		40,000		41,541
Chicago Transit Authority Revenue Bonds
6.90% due 12/01/40		30,000		31,956
City of Chicago Illinois Revenue Bonds
6.40% due 01/01/40		20,000		20,789

				94,286


New York - 0.1%
New York City Transitional Finance Authority Revenue Bonds
5.51% due 08/01/37		45,000		45,471
Housing Development Corp. Revenue Bonds
6.42% due 11/01/27		25,000		25,512
Metropolitan Transportation Authority Revenue Bonds
7.34% due 11/15/39		10,000		12,258
City of New York NY
5.85% due 06/01/40		10,000		10,356

				93,597


Virginia - 0.2%
University of Virginia Revenue Bonds
5.00% due 09/01/40		45,000		43,740
Virginia Public Building Authority Revenue Bonds
5.90% due 08/01/30		35,000		37,641
Virginia Commonwealth Transportation Board Revenue Bonds
5.35% due 05/15/35		5,000		5,116

				86,497


Maryland - 0.1%
Maryland State Transportation Authority Revenue Bonds
5.75% due 07/01/41		40,000		42,486
5.89% due 07/01/43		20,000		21,220

				63,706


Florida - 0.1%
State of Florida Revenue Bonds
5.00% due 07/01/20		50,000		56,191


Utah - 0.1%
Utah Transit Authority Revenue Bonds
5.94% due 06/15/39		40,000		43,689


Kansas - 0.0%
Kansas Development Finance Authority Revenue Bonds
5.50% due 05/01/34		30,000		29,617


Oregon - 0.0%
State of Oregon General Obligation Unlimited
5.89% due 06/01/27		15,000		16,241


District Of Columbia - 0.0%
District of Columbia Revenue Bonds
5.59% due 12/01/34		10,000		10,462


Texas - 0.0%
Texas Transportation Commission Revenue Bonds
5.18% due 04/01/30		10,000		10,242

Total Municipal Bonds (Cost $668,434)				672,565


FOREIGN GOVERNMENT BONDS^††- 0.2%
South Africa Government International Bond
6.50% due 06/02/14		65,000		72,897
Mexico Government International Bond
6.38% due 01/16/13		45,000		48,488
Brazilian Government International Bond
11.00% due 08/17/40		35,000		47,723
Poland Government International Bond
3.88% due 07/16/15		20,000		20,680

Total Foreign Government Bonds (Cost $169,806)				189,788

Total Investments - 99.7% (Cost $65,854,575)			$	74,957,884

Cash & Other Assets, Less Liabilities - 0.3%				236,445

Total Net Assets - 100.0%			$	75,194,329



66 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.



SCHEDULE OF INVESTMENTS (Unaudited) (concluded)		Rydex\|SGI SBL Fund
June 30, 2011		Series N (Managed Asset Allocation Series)

INVESTMENT CONCENTRATION

At June 30, 2011, the investment diversification of the Fund was as follows:


	% of
Country	Net Assets			Value

United States		81.3	%	$	61,125,242
United Kingdom		3.5			2,602,423
Japan		2.8			2,116,978
France		1.7			1,297,094
Switzerland		1.3			1,014,352
Australia		1.2			869,838
Germany		1.1			830,881
Canada		0.7			540,228
Netherlands Antilles		0.6			467,770
Ireland		0.5			411,896
Sweden		0.5			399,680
Bermuda		0.4			324,049
Spain		0.4			323,737
Italy		0.4			269,288
Brazil		0.3			248,604
Netherlands		0.3			242,335
Luxembourg		0.3			237,880
Norway		0.3			234,904
China		0.3			205,971
Mexico		0.3			193,505
Singapore		0.2			156,649
Hong Kong		0.2			144,467
Panama		0.2			128,148
Cayman Islands		0.1			81,867
Belgium		0.1			76,251
South Africa		0.1			72,897
Republic of Korea		0.1			55,732
Taiwan, Province of China		0.1			52,953
Chile		0.1			52,024
Denmark		0.1			51,747
Austria		0.1			43,828
Finland		0.0			31,365
Poland		0.0			20,680
Virgin Islands (UK)		0.0			17,130
Puerto Rico		0.0			10,598
Liberia		0.0			4,893

Total Investments		99.7	%	$	74,957,884


^*		Non-income producing security.

^†		Value determined based on Level 1 inputs unless otherwise noted — See Note 4.

^††		Value determined based on Level 2 inputs — See Note 4.

¹		Variable rate security. Rate indicated is rate effective at June 30, 2011.

²		Perpetual maturity.

³		All or a portion of this security was fair valued by the Valuation Committee at June 30, 2011. The total market value of fair valued securities amounts to $1,845 (cost $5,548), or 0.0% of total net assets.

⁴		On September 7, 2008, the issuer was placed in conservatorship by the Federal Housing Finance Agency (FHFA). As conservator, the FHFA has full powers to control the assets and operations of the firm.

⁵		Security is an interest-only strip. Rate indicated is effective yield at June 30, 2011.

⁶		Security was acquired through a private placement.

⁷		Security is a 144A or Section 4(2) security. The total market value of 144A or Section 4(2) securities is $2,652,444 (cost $2,593,432), or 3.5% of total net assets.

ADR — American Depositary Receipt

plc — Public Limited Company



See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 67

Rydex|SGI SBL Fund
Series N (Managed Asset Allocation Series)

STATEMENT OF ASSETS AND LIABILITIES (Unaudited)

June 30, 2011


Assets:
Investments, at value (cost $65,854,575)	$	74,957,884
Foreign currency, at value (cost 14,746)		14,776
Prepaid expenses		757
Receivables:
Securities sold		656,198
Fund shares sold		15,278
Dividends		78,514
Foreign taxes reclaim		13,845
Interest		223,268
Currency		2,652

Total assets		75,963,172


Liabilities:
Overdraft due to custodian bank		7,581
Payable for:
Fund shares redeemed		105,909
Securities purchased		479,127
Management fees		61,317
Transfer agent/maintenance fees		2,101
Fund Accounting/Administration fees		9,198
Directors’ fees		2,203
Pricing fees		68,784
Currency		2,585
Other		30,038

Total liabilities		768,843

Net assets	$	75,194,329


Net assets consist of:
Paid in capital	$	75,639,796
Undistributed net investment income		185,541
Accumulated net realized loss on investments		(9,735,191	)
Net unrealized appreciation on investments		9,104,183

Net assets	$	75,194,329


Capital shares outstanding		3,624,562
Net asset value per share	$	20.75

STATEMENT OF OPERATIONS (Unaudited)

For the Period Ended June 30, 2011


Investment Income:
Dividends (net of foreign withholding tax of $32,335)	$	567,282
Interest (net of foreign withholding tax of $90)		604,184

Total investment income		1,171,466


Expenses:
Management fees		384,548
Transfer agent/maintenance fees		12,581
Fund Accounting/Administration fees		57,682
Directors’ fees*		4,421
Custodian fees		50,264
Pricing fees		125,192
Miscellaneous		22,796

Total expenses		657,484

Net investment income		513,982


Net Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investments		2,122,106
Foreign currency		(871	)

Net realized gain		2,121,235

Net change in unrealized appreciation (depreciation) on:
Investments		674,215
Foreign currency		83

Net change in unrealized appreciation (depreciation)		674,298

Net realized and unrealized gain		2,795,533

Net increase in net assets resulting from operations	$	3,309,515


*		Relates to Directors not deemed “interested persons” within the meaning of Section 2(a)(19) of the 1940 Act.



68 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.



FINANCIAL HIGHLIGHTS		Rydex\|SGI SBL Fund Series N (Managed Asset Allocation Series)

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.


	Period			Year			Year			Year			Year			Year
	Ended			Ended			Ended			Ended			Ended			Ended
	June 30,			December 31,			December 31,			December 31,			December 31,			December 31,
	2011^a			2010			2009			2008			2007			2006

Per Share Data
Net asset value, beginning of period	$	19.89		$	17.99		$	14.31		$	19.67		$	18.55		$	16.55

Income (loss) from investment operations:
Net investment income^b		.14			.26			.27			.34			.32			.30
Net gain (loss) on investments (realized and unrealized)		.72			1.64			3.41			(5.70	)		.80			1.70

Total from investment operations		.86			1.90			3.68			(5.36	)		1.12			2.00

Net asset value, end of period	$	20.75		$	19.89		$	17.99		$	14.31		$	19.67		$	18.55

Total Return^c		4.32	%		10.56	%		25.63	%		(27.25	%)		6.04	%		12.08	%

Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	75,194		$	78,734		$	79,432		$	76,421		$	117,423		$	105,300

Ratios to average net assets:
Net investment income		1.34	%		1.40	%		1.71	%		1.94	%		1.63	%		1.63	%
Total expenses		1.71	%		1.50	%		1.66	%		1.52	%		1.41	%		1.41	%

Portfolio turnover rate		20	%		52	%		46	%		82	%		75	%		63	%


^a		Unaudited figures for the period ended June 30, 2011. Percentage amounts for the period, except total return and portfolio turnover rate, have been annualized.

^b		Net investment income (loss) per share was computed using average shares outstanding throughout the period.

^c		Total return does not take into account any of the expenses associated with an investment in variable insurance products offered by Security Benefit Life Insurance Company. If total return had taken into account these expenses, performance would have been lower. Shares of a Series of SBL Fund are available only through the purchase of such products.



70 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.



SCHEDULE OF INVESTMENTS (Unaudited)		Rydex\|SGI SBL Fund
June 30, 2011		Series O (All Cap Value Series)


	Shares		Value

COMMON STOCKS^†- 95.6%

Financials - 16.8%
AON Corp.		63,300	$	3,247,290
Wells Fargo & Co.		102,633		2,879,882
Berkshire Hathaway, Inc. — Class B*		35,900		2,778,301
JPMorgan Chase & Co.		56,000		2,292,640
Bank of New York Mellon Corp.		86,200		2,208,444
U.S. Bancorp		82,317		2,099,907
BB&T Corp.		68,200		1,830,488
American Financial Group, Inc.		47,800		1,705,982
W.R. Berkley Corp.		49,000		1,589,560
Hanover Insurance Group, Inc.		42,150		1,589,476
Allstate Corp.		36,650		1,118,925
Alleghany Corp.*		2,513		837,105
Reinsurance Group of America, Inc. — Class A		13,420		816,741
Employers Holdings, Inc.		33,000		553,410
RenaissanceRe Holdings Ltd.		6,450		451,178
Transatlantic Holdings, Inc.		9,000		441,090
Associated Banc-Corp.		27,846		387,059
Ocwen Financial Corp.*		21,510		274,468
First Marblehead Corp.*		153,005		270,819
Endurance Specialty Holdings Ltd.		6,530		269,885
Old National Bancorp		19,545		211,086

Total Financials				27,853,736


Industrials - 16.1%
Equifax, Inc.		153,600		5,332,992
United Technologies Corp.		29,100		2,575,641
Republic Services, Inc. — Class A		62,500		1,928,125
Babcock & Wilcox Co.*		58,261		1,614,412
Quanta Services, Inc.*		73,000		1,474,600
GeoEye, Inc.*		33,900		1,267,860
Parker Hannifin Corp.		14,000		1,256,360
FedEx Corp.		12,600		1,195,110
General Cable Corp.*		28,000		1,192,240
USG Corp.*		79,100		1,134,294
Covanta Holding Corp.		67,000		1,104,830
URS Corp.*		23,200		1,037,968
Trex Company, Inc.*		34,800		851,904
Orbital Sciences Corp.*		48,821		822,634
Insituform Technologies, Inc. — Class A*		37,300		782,181
FTI Consulting, Inc.*		17,740		673,056
Saia, Inc.*		39,000		661,050
Navigant Consulting, Inc.*		58,500		613,665
Force Protection, Inc.*		103,589		514,319
ICF International, Inc.*		11,100		281,718
United Stationers, Inc.		4,990		176,796
Insperity, Inc.		4,095		121,253

Total Industrials				26,613,008


Energy - 15.4%
Chevron Corp.		41,200		4,237,008
Williams Companies, Inc.		121,300		3,669,325
ConocoPhillips		45,900		3,451,221
Apache Corp.		19,300		2,381,427
McDermott International, Inc.*		119,800		2,373,238
Halliburton Co.		39,400		2,009,400
Chesapeake Energy Corp.		42,000		1,246,980
Global Industries Ltd.*		203,002		1,112,451
Plains Exploration & Production Co.*		26,960		1,027,715
Gulfport Energy Corp.*		31,900		947,111
SandRidge Energy, Inc.*		87,511		932,867
Exxon Mobil Corp.		9,800		797,524
Resolute Energy Corp.*		33,700		544,592
Goodrich Petroleum Corp.*		24,046		442,687
USEC, Inc.*		94,070		314,194

Total Energy				25,487,740


Information Technology - 12.6%
TE Connectivity Ltd.		115,600		4,249,456
Western Union Co.		210,500		4,216,315
Computer Sciences Corp.		106,600		4,046,536
IXYS Corp.*		176,300		2,640,974
Hewlett-Packard Co.		63,352		2,306,013
Maxwell Technologies, Inc.*		68,700		1,112,253
Power-One, Inc.*		111,315		901,651
Symmetricom, Inc.*		129,300		753,819
Satyam Computer Services Ltd. ADR*		164,036		606,933

Total Information Technology				20,833,950


Consumer Discretionary - 10.2%
Lowe’s Companies, Inc.		188,000		4,382,280
Time Warner, Inc.		98,466		3,581,208
Cabela’s, Inc.*		79,237		2,151,285
Chico’s FAS, Inc.		70,000		1,066,100
Best Buy Company, Inc.		32,300		1,014,543
Penn National Gaming, Inc.*		23,500		947,990
Maidenform Brands, Inc.*		24,850		687,351
Apollo Group, Inc. — Class A*		13,290		580,507
Brown Shoe Company, Inc.		52,392		557,975
Jack in the Box, Inc.*		20,000		455,600
Hanesbrands, Inc.*		15,120		431,676
DeVry, Inc.		7,270		429,875
Scholastic Corp.		14,500		385,700
Fred’s, Inc. — Class A		12,550		181,097

Total Consumer Discretionary				16,853,187


Consumer Staples - 8.4%
Wal-Mart Stores, Inc.¹		62,500		3,321,250
CVS Caremark Corp.		78,600		2,953,788
Kraft Foods, Inc. — Class A		53,700		1,891,851
Hormel Foods Corp.		62,110		1,851,499



72 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.



SCHEDULE OF INVESTMENTS (Unaudited) (concluded)		Rydex\|SGI SBL Fund
June 30, 2011		Series O (All Cap Value Series)


	Shares		Value

JM Smucker Co.		17,970	$	1,373,627
Bunge Ltd.		19,600		1,351,420
Ralcorp Holdings, Inc.*		13,400		1,160,172

Total Consumer Staples				13,903,607


Health Care - 6.4%
Covidien plc		49,500		2,634,885
Hospira, Inc.*		31,900		1,807,454
Aetna, Inc.		39,900		1,759,191
Mednax, Inc.*		17,500		1,263,325
UnitedHealth Group, Inc.		19,000		980,020
Forest Laboratories, Inc.*		24,550		965,797
Hologic, Inc.*		24,443		493,015
Medco Health Solutions, Inc.*		7,200		406,944
Kindred Healthcare, Inc.*		12,764		274,043

Total Health Care				10,584,674


Materials - 5.1%
Dow Chemical Co.		72,700		2,617,200
Bemis Company, Inc.		58,700		1,982,886
Louisiana-Pacific Corp.*		164,000		1,334,960
Sonoco Products Co.		29,900		1,062,646
Owens-Illinois, Inc.*		28,280		729,907
HB Fuller Co.		15,518		378,949
Zoltek Companies, Inc.*		30,900		325,377

Total Materials				8,431,925


Utilities - 3.5%
Edison International		81,300		3,150,375
Black Hills Corp.		22,000		661,980
Allete, Inc.		15,618		640,963
Great Plains Energy, Inc.		23,922		495,903
American Water Works Company, Inc.		15,000		441,750
MDU Resources Group, Inc.		13,819		310,927

Total Utilities				5,701,898


Telecommunication Services - 1.1%
Windstream Corp.		136,300		1,766,448

Total Common Stocks (Cost $140,893,185)				158,030,173

Total Long Investments - 95.6% (Cost $140,893,185)			$	158,030,173


OPTIONS WRITTEN^†- (0.1)%
Put Options on:
Arch Coal, Inc. Expiring July 2011 with strike price of $30.00		285	$	(96,900	)

Total Options Written (Premiums received $64,478)				(96,900	)

Total Securities Sold Short — (0.1)% (Proceeds $64,478)			$	(96,900	)

Cash & Other Assets, Less Liabilities - 4.5%				7,435,134

Total Net Assets - 100.0%			$	165,368,407


^*		Non-income producing security.

^†		Value determined based on Level 1 inputs — See Note 4.

¹		All or a portion of this security is pledged as collateral for open written option contracts at June 30, 2011.

ADR — American Depositary Receipt

plc — Public Limited Company



See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 73

Rydex|SGI SBL Fund
Series O (All Cap Value Series)

STATEMENT OF ASSETS AND LIABILITIES (Unaudited)

June 30, 2011


Assets:
Investments, at value (cost $140,893,185)	$	158,030,173
Cash		1,328,134
Prepaid expenses		2,198
Receivables:
Securities sold		488,393
Fund shares sold		5,648,855
Dividends		175,377

Total assets		165,673,130


Liabilities:
Options written, at value (proceeds $64,478)		96,900
Payable for:
Fund shares redeemed		57,862
Management fees		90,721
Transfer agent/maintenance fees		2,099
Fund Accounting/Administration fees		12,312
Directors’ fees		4,895
Direct shareholders expense		16,989
Professional fees		16,268
Other		6,677

Total liabilities		304,723

Net Assets	$	165,368,407


Net assets consist of:
Paid in capital	$	173,490,647
Undistributed net investment income		482,778
Accumulated net realized loss on investments		(25,709,584	)
Net unrealized appreciation on investments		17,104,566

Net assets	$	165,368,407


Capital shares outstanding		7,092,455
Net asset value per share	$	23.32

STATEMENT OF OPERATIONS (Unaudited)

For the Period Ended June 30, 2011


Investment Income:
Dividends	$	1,205,888
Interest		368

Total investment income		1,206,256


Expenses:
Management fees		584,503
Transfer agent/maintenance fees		12,589
Fund Accounting/Administration fees		79,324
Directors’ fees*		7,679
Miscellaneous		39,383

Total expenses		723,478

Net investment income		482,778


Net Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investments		3,333,991
Options written		84,119

Net realized gain		3,418,110

Net change in unrealized appreciation (depreciation) on:
Investments		3,177,383
Options written		180,743

Net change in unrealized appreciation (depreciation)		3,358,126

Net realized and unrealized gain		6,776,236

Net increase in net assets resulting from operations	$	7,259,014


*		Relates to Directors not deemed “interested persons” within the meaning of Section 2(a)(19) of the 1940 Act.



74 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.



FINANCIAL HIGHLIGHTS		Rydex\|SGI SBL Fund
		Series O (All Cap Value Series)

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.


	Period			Year			Year			Year			Year			Year
	Ended			Ended			Ended			Ended			Ended			Ended
	June 30,			December 31,			December 31,			December 31,			December 31,			December 31,
	2011^a			2010			2009			2008^e			2007			2006

Per Share Data
Net asset value, beginning of period	$	22.32		$	19.14		$	14.39		$	23.37		$	22.73		$	19.13

Income (loss) from investment operations:
Net investment income^b		.07			.14			.16			.34			.34			.31
Net gain (loss) on investments (realized and unrealized)		.93			3.04			4.59			(9.32	)		.30			3.29

Total from investment operations		1.00			3.18			4.75			(8.98	)		.64			3.60

Net asset value, end of period	$	23.32		$	22.32		$	19.14		$	14.39		$	23.37		$	22.73

Total Return^c		4.48	%		16.61	%		33.01	%		(38.43	%)		2.82	%		18.82	%

Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	165,368		$	165,722		$	161,918		$	156,634		$	288,233		$	295,049

Ratios to average net assets:
Net investment income		0.58	%		0.68	%		1.00	%		1.72	%		1.42	%		1.41	%
Total expenses^f		0.87	%		0.86	%		0.87	%		1.09	%		1.14	%		1.15	%
Net expenses^d		0.87	%		0.86	%		0.85	%		1.07	%		1.14	%		1.15	%

Portfolio turnover rate		10	%		11	%		19	%		124	%		25	%		18	%


^a		Unaudited figures for the period ended June 30, 2011. Percentage amounts for the period, except total return and portfolio turnover rate, have been annualized.

^b		Net investment income (loss) per share was computed using average shares outstanding throughout the period.

^c		Total return does not take into account any of the expenses associated with an investment in variable insurance products offered by Security Benefit Life Insurance Company. If total return had taken into account these expenses, performance would have been lower. Shares of a Series of SBL Fund are available only through the purchase of such products.

^d		Net expense information reflects the expense ratios after expense waivers and reimbursements, as applicable.

^e		Security Global Investors, LLC (SGI) became the advisor of Series O effective August 15, 2008. Prior to August 15, 2008, T.Rowe Price sub-advised the Series.

^f		Total expense information reflects the expense ratios absent expense reductions by the Investment Manager, as applicable.



76 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.



SCHEDULE OF INVESTMENTS (Unaudited)		Rydex\|SGI SBL Fund
June 30, 2011		Series P (High Yield Series)


	Shares		Value

COMMON STOCKS^†- 1.1%

Energy - 0.7%
Stallion Oilfield Holdings Ltd.*^{,†††,1,2,3}		19,265		717,621
SemGroup Corp. — Class A*		4,398		112,897

Total Energy				830,518


Financials - 0.4%
CIT Group, Inc.*		7,613		336,951
Capitol Federal Financial, Inc.		10,000		117,600
Bimini Capital Management, Inc. — Class A		10,740		7,840
Fannie Mae*		12,727		4,213

Total Financials				466,604


Consumer Discretionary - 0.0%
Adelphia Recovery Trust		5,270		198

Health Care - 0.0%
MEDIQ, Inc.*^,1		92		1

Total Common Stocks (Cost $1,612,424)				1,297,321


PREFERRED STOCKS - 0.8%
Citigroup Capital XIII
7.88% due 10/30/40^†,4		25,000		694,500
Freddie Mac⁵
8.38% due 12/31/12*^,†		28,000		82,600
Fannie Mae⁵
8.25%*^,†		28,000		60,200
U.S. Shipping Corp.*^{,†††,1,2}		24,529		24,529

Total Preferred Stocks (Cost $2,660,500)				861,829


WARRANTS^†††- 0.0%

Energy - 0.0%
SemGroup Corp.
2014^1,2		4,630		26,622


Consumer Discretionary - 0.0%
Reader’s Digest Association, Inc.^1,2		478		1,434

Total Warrants (Cost $23,150)				28,056


	Face
	Amount
CORPORATE BONDS^††- 86.8%

Financials - 22.0%
Nelnet, Inc.
7.40% due 09/29/36⁴	$	4,250,000		3,907,187
CIT Group, Inc.
7.00% due 05/01/17		2,559,568		2,553,169
7.00% due 05/01/16		221,119		220,290
7.00% due 05/01/15		132,672		132,838
7.00% due 05/01/14		73,987		74,912
Ford Motor Credit Company LLC
8.00% due 12/15/16		1,000,000		1,124,486
7.00% due 04/15/15		1,000,000		1,080,159
8.13% due 01/15/20		400,000		463,365
Nuveen Investments, Inc.
10.50% due 11/15/15		2,350,000		2,402,875
10.50% due 11/15/15^3,6		250,000		253,125
Ally Financial, Inc.
8.00% due 11/01/31		1,600,000		1,708,765
6.75% due 12/01/14		650,000		681,215
E*Trade Financial Corp.
7.88% due 12/01/15		2,150,000		2,160,750
Forest City Enterprises, Inc.
7.63% due 06/01/15		1,750,000		1,715,000
CNL Income Properties, Inc.
7.25% due 04/15/19^3,6		1,700,000		1,538,500
Pinnacle Foods Finance LLC
9.25% due 04/01/15		900,000		933,750
8.25% due 09/01/17		500,000		518,750
Rabobank Capital Funding Trust II
5.26% due 12/31/49^3,4,6,7		1,400,000		1,387,582
Icahn Enterprises LP
8.00% due 01/15/18		750,000		761,250
Progress Capital Trust I
10.50% due 06/01/27		700,000		720,318
UPCB Finance III Ltd.
6.63% due 07/01/20^3,6		500,000		493,750
USI Holdings Corp.
9.75% due 05/15/15^3,6		100,000		100,250
FCB Capital Trust I
8.05% due 03/01/28		75,000		75,625

				25,007,911


Consumer Discretionary - 11.5%
Penske Automotive Group, Inc.
7.75% due 12/15/16		2,500,000		2,550,000
Pinnacle Entertainment, Inc.
7.50% due 06/15/15		1,930,000		1,963,775
Snoqualmie Entertainment Authority
9.13% due 02/01/15^3,6		1,500,000		1,466,250
Easton-Bell Sports, Inc.
9.75% due 12/01/16		1,125,000		1,240,313
American Axle & Manufacturing Holdings, Inc.
9.25% due 01/15/17^3,6		1,124,000		1,225,160
Travelport LLC
9.88% due 09/01/14		1,325,000		1,219,000



78 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.



SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series P (High Yield Series)


	Face
	Amount		Value

Mohegan Tribal Gaming Authority
7.13% due 08/15/14	$	1,750,000	$	1,207,500
AMC Entertainment, Inc.
8.00% due 03/01/14		1,000,000		1,002,500
Hanesbrands, Inc.
8.00% due 12/15/16		750,000		800,625
Fisher Communications, Inc.
8.63% due 09/15/14		193,000		195,413
Baker & Taylor, Inc.
11.50% due 07/01/13^3,6		150,000		126,750
Metaldyne Corp.
11.00% due 06/15/12^{†††,1,2,8}		1,000,000		—

				12,997,286


Health Care - 10.7%
Catalent Pharma Solutions, Inc.
9.50% due 04/15/15		2,805,984		2,805,984
Fresenius US Finance II, Inc.
9.00% due 07/15/15^3,6		2,250,000		2,545,312
HCA, Inc.
9.25% due 11/15/16		2,000,000		2,122,500
Tenet Healthcare Corp.
8.88% due 07/01/19		1,000,000		1,103,750
Healthsouth Corp.
8.13% due 02/15/20		1,000,000		1,073,750
Apria Healthcare Group, Inc.
11.25% due 11/01/14		600,000		621,000
Fresenius Medical Care US Finance, Inc.
5.75% due 02/15/21^3,6		500,000		490,000
Radnet Management, Inc.
10.38% due 04/01/18		400,000		409,000
Aviv Healthcare Properties, LP
7.75% due 02/15/19^3,6		250,000		255,625
DJO Finance LLC
9.75% due 10/15/17^3,6		250,000		253,750
STHI Holding Corp.
8.00% due 03/15/18^3,6		200,000		203,000
Symbion, Inc.
11.00% due 08/23/15		200,000		201,000
Valeant Pharmaceuticals International
7.00% due 10/01/20^3,6		100,000		96,750

				12,181,421


Industrials - 9.4%
GeoEye, Inc.
8.63% due 10/01/16		3,000,000		3,157,500
Air Canada
12.00% due 02/01/16^3,6		1,650,000		1,703,625
UAL 2009-2B Pass Through Trust
12.00% due 01/15/16^3,6		1,373,708		1,511,079
International Lease Finance Corp.
8.75% due 03/15/17		1,000,000		1,093,750
6.25% due 05/15/19		250,000		244,267
Alion Science and Technology Corp.
10.25% due 02/01/15		1,500,000		1,239,375
ARAMARK Holdings Corp.
8.63% due 05/01/16^3,6		1,000,000		1,017,500
Kansas City Southern Railway
13.00% due 12/15/13		500,000		581,250
Triumph Group, Inc.
8.00% due 11/15/17		100,000		105,250

				10,653,596


Telecommunication Services - 7.2%
Charter Communications Operating LLC
10.88% due 09/15/14^3,6		2,000,000		2,200,000
Sprint Capital Corp.
6.90% due 05/01/19		1,600,000		1,648,000
West Corp.
11.00% due 10/15/16		1,250,000		1,325,000
CMP Susquehanna Corp.
9.88% due 05/15/14¹		1,300,000		1,319,500
Block Communications, Inc.
8.25% due 12/15/15^3,6		1,125,000		1,146,094
Clearwire Communications LLC
12.00% due 12/01/15^3,6		300,000		321,375
Bonten Media Acquisition Co.
9.00% due 06/01/15^3,6		126,868		97,688
CSC Holdings LLC
6.75% due 04/15/12		42,000		43,207

				8,100,864


Utilities - 6.9%
NRG Energy, Inc.
8.50% due 06/15/19		2,250,000		2,328,750
8.25% due 09/01/20		500,000		510,000
AES Red Oak LLC
8.54% due 11/30/19		1,773,612		1,826,820
Elwood Energy LLC
8.16% due 07/05/26		1,147,060		1,135,589
Edison Mission Energy
7.63% due 05/15/27		1,250,000		918,750
Calpine Corp.
7.88% due 01/15/23^3,6		500,000		515,000
Inergy, LP
7.00% due 10/01/18		300,000		303,000
MarkWest Energy Partners, LP
6.75% due 11/01/20		250,000		255,000
East Coast Power LLC
7.07% due 03/31/12		16,949		17,108

				7,810,017



See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 79



SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series P (High Yield Series)


	Face
	Amount		Value

Energy - 5.1%
Tesoro Corp.
6.50% due 06/01/17	$	1,900,000		$	1,938,000
Chesapeake Energy Corp.
9.50% due 02/15/15		1,500,000			1,740,000
Targa Resources Partners, LP
7.88% due 10/15/18^3,6		500,000			527,500
Petroquest Energy, Inc.
10.00% due 09/01/17		500,000			527,500
Plains Exploration & Production Co.
7.00% due 03/15/17		500,000			515,000
BreitBurn Energy Partners, LP
8.63% due 10/15/20		250,000			263,750
Hilcorp Energy I, LP
7.75% due 11/01/15^3,6		250,000			257,500
SemGroup, LP
8.75% due 11/15/15^{†††,1,2,8}		1,700,000			—

					5,769,250


Consumer Staples - 5.2%
Constellation Brands, Inc.
7.25% due 05/15/17		1,000,000			1,087,500
8.38% due 12/15/14		500,000			568,750
Armored Autogroup, Inc.
9.25% due 11/01/18^3,6		1,100,000			1,089,000
Reynolds Group Issuer, Inc.
8.75% due 05/15/18^3,6		750,000			736,875
9.00% due 04/15/19^3,6		250,000			246,875
American Achievement Corp.
10.88% due 04/15/16^3,6		1,050,000			945,000
Bumble Bee Holdco SCA
9.63% due 03/15/18^3,6		600,000			546,000
Simmons Foods, Inc.
10.50% due 11/01/17^3,6		500,000			530,000

					5,750,000


Materials - 4.5%
Ineos Group Holdings Ltd.
8.50% due 02/15/16^3,6		2,500,000			2,468,750
Sino-Forest Corp.
10.25% due 07/28/14^3,6		2,275,000			1,114,750
Berry Plastics Corp.
9.50% due 05/15/18		1,000,000			992,500
Westmoreland Coal Co.
10.75% due 02/01/18^3,6		250,000			257,500
Huntsman International LLC
8.63% due 03/15/21		200,000			217,500
Methanex Corp.
8.75% due 08/15/12		5,000			5,312

					5,056,312


Information Technology - 3.7%
Seagate Technology HDD Holdings
6.80% due 10/01/16		1,400,000			1,473,500
IMS Health, Inc.
12.50% due 03/01/18^3,6		1,000,000			1,192,500
Seagate HDD Cayman
6.88% due 05/01/20^3,6		900,000			893,250
SunGard Data Systems, Inc.
10.63% due 05/15/15		600,000			649,500

					4,208,750


Industrial - 0.6%
Bumble Bee Acquisition Corp.
9.00% due 12/15/17^3,6		700,000			703,500
US Oncology, Inc.
due 08/15/17^1,8		1,100,000			19,250

					722,750

Total Corporate Bonds (Cost $92,999,794)					98,258,157


CONVERTIBLE BONDS^††- 5.0%

Financials - 2.3%
Forest City Enterprises, Inc.
5.00% due 10/15/16		1,000,000			1,577,500
E*Trade Financial Corp.
due 08/31/19		750,000			1,001,250

					2,578,750


Energy - 1.3%
USEC, Inc.
3.00% due 10/01/14		2,050,000			1,470,875


Consumer Discretionary - 0.9%
Sonic Automotive, Inc.
5.00% due 10/01/29		800,000			1,056,000


Health Care - 0.5%
Invacare Corp.
4.13% due 02/01/27		350,000			499,188

Total Convertible Bonds (Cost $4,815,047)					5,604,813


SENIOR FLOATING RATE INTERESTS^††- 0.9%

Information Technology - 0.9%
Attachmate Corp.
6.50% due 04/27/17		1,000,000			1,002,500

Total Senior Floating Rate Interests (Cost $990,236)					1,002,500



80 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.



SCHEDULE OF INVESTMENTS (Unaudited) (concluded)		Rydex\|SGI SBL Fund
June 30, 2011		Series P (High Yield Series)


	Face
	Amount		Value

FOREIGN GOVERNMENT BONDS^††- 0.2%
Mexico Government International Bond
7.50% due 01/14/12	$	116,000	$	119,886
Banque Centrale de Tunisie S.A.
7.38% due 04/25/12		80,000		83,000
South Africa Government International Bond
7.38% due 04/25/12		35,000		36,796
Chile Government International Bond
7.13% due 01/11/12		25,000		25,795

Total Foreign Government Bonds (Cost $255,618)				265,477

Total Investments - 94.8% (Cost $103,356,769)			$	107,318,153

Cash & Other Assets, Less Liabilities - 5.2%				5,829,668

Total Net Assets - 100.0%			$	113,147,821


^*		Non-income producing security.

^†		Value determined based on Level 1 inputs, unless otherwise noted — See Note 4.

^††		Value determined based on Level 2 inputs, unless otherwise noted — See Note 4.

^†††		Value determined based on Level 3 inputs — See Note 4.

¹		All or a portion of this security was fair valued by the Valuation Committee at June 30, 2011. The total market value of fair valued securities amounts to $2,108,957 (cost $3,327,535), or 1.9% of total net assets.

²		Illiquid security.

³		Security was acquired through a private placement.

⁴		Variable rate security. Rate indicated is rate effective at June 30, 2011.

⁵		On September 7, 2008, the issuer was placed in conservatorship by the Federal Housing Finance Agency (FHFA). As conservator, the FHFA has full powers to control the assets and operations of the firm.

⁶		Security is a 144A or Section 4(2) security. The total market value of 144A or Section 4(2) securities is $30,457,165 (cost $30,994,715), or 26.9% of total net assets.

⁷		Perpetual maturity.

⁸		Security is in default of interest and/or principal obligations.

REIT — Real Estate Investment Trust



See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 81

Rydex|SGI SBL Fund
Series P (High Yield Series)

STATEMENT OF ASSETS AND LIABILITIES (Unaudited)

June 30, 2011


Assets:
Investments, at value (cost $103,356,769)	$	107,318,153
Cash		5,697,786
Prepaid expenses		7,150
Receivables:
Fund shares sold		39,103
Interest		1,997,984

Total assets		115,060,176


Liabilities:
Payable for:
Fund shares redeemed		33,486
Securities purchased		1,731,250
Management fees		78,008
Transfer agent/maintenance fees		2,102
Fund Accounting/Administration fees		9,881
Directors’ fees		2,269
Other		55,359

Total liabilities		1,912,355

Net assets	$	113,147,821


Net assets consist of:
Paid in capital	$	97,130,499
Undistributed net investment income		7,394,465
Accumulated net realized gain on investments		4,661,473
Net unrealized appreciation on investments		3,961,384

Net assets	$	113,147,821


Capital shares outstanding		4,089,716
Net asset value per share	$	27.67

STATEMENT OF OPERATIONS (Unaudited)

For the Period Ended June 30, 2011


Investment Income:
Dividends	$	50,598
Interest		5,435,830

Total investment income		5,486,428


Expenses:
Management fees		514,569
Transfer agent/maintenance fees		12,571
Fund Accounting/Administration fees		65,178
Directors’ fees*		6,930
Miscellaneous		54,077

Total expenses		653,325

Net investment income		4,833,103


Net Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investments		4,853,543

Net realized gain		4,853,543

Net change in unrealized appreciation (depreciation) on:
Investments		(5,105,038	)

Net change in unrealized appreciation (depreciation)		(5,105,038	)

Net realized and unrealized loss		(251,495	)

Net increase in net assets resulting from operations	$	4,581,608


*		Relates to Directors not deemed “interested persons” within the meaning of Section 2(a)(19) of the 1940 Act.



82 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.


FINANCIAL HIGHLIGHTS		Rydex\|SGI SBL Fund
		Series P (High Yield Series)

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.


	Period			Year			Year			Year			Year			Year
	Ended			Ended			Ended			Ended			Ended			Ended
	June 30,			December 31,			December 31,			December 31,			December 31,			December 31,
	2011^a			2010			2009			2008			2007			2006

Per Share Data
Net asset value, beginning of period	$	26.78		$	23.20		$	13.37		$	19.18		$	18.79		$	16.90

Income (loss) from investment operations:
Net investment income^b		.97			2.02			1.89			1.57			1.38			.90
Net gain (loss) on investments (realized and unrealized)		(.08	)		1.56			7.94			(7.38	)		(.99	)		.99
Total from investment operations		.89			3.58			9.83			(5.81	)		.39			1.89

Net asset value, end of period	$	27.67		$	26.78		$	23.20		$	13.37		$	19.18		$	18.79
Total Return^c		3.32	%		15.43	%		73.52	%		(30.29	%)		2.08	%		11.18	%

Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	113,148		$	138,449		$	139,132		$	83,219		$	115,301		$	106,144

Ratios to average net assets:
Net investment income		7.04	%		8.16	%		10.24	%		9.02	%		7.19	%		7.24	%
Total expenses		0.95	%		0.94	%		0.94	%		0.94	%		0.92	%		0.93	%

Portfolio turnover rate		23	%		56	%		48	%		33	%		50	%		52	%


^a		Unaudited figures for the period ended June 30, 2011. Percentage amounts for the period, except total return and portfolio turnover rate, have been annualized.

^b		Net investment income (loss) per share was computed using average shares outstanding throughout the period.

^c		Total return does not take into account any of the expenses associated with an investment in variable insurance products offered by Security Benefit Life Insurance Company. If total return had taken into account these expenses, performance would have been lower. Shares of a Series of SBL Fund are available only through the purchase of such products.



84 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.


SCHEDULE OF INVESTMENTS (Unaudited)		Rydex\|SGI SBL Fund
June 30, 2011		Series Q (Small Cap Value Series)


	Shares		Value

COMMON STOCKS^† - 94.9%

Industrials - 18.4%
GeoEye, Inc.*		80,600	$	3,014,440
Ameron International Corp.		30,950		2,032,796
General Cable Corp.*		47,700		2,031,066
Force Protection, Inc.*		403,300		2,002,385
ICF International, Inc.*		74,600		1,893,348
Great Lakes Dredge & Dock Corp.		317,480		1,771,539
Insituform Technologies, Inc. — Class A*		82,900		1,738,413
EnergySolutions, Inc.		342,677		1,692,824
Saia, Inc.*		96,800		1,640,760
Orbital Sciences Corp.*		92,421		1,557,294
Navigant Consulting, Inc.*		136,380		1,430,626
FTI Consulting, Inc.*		35,830		1,359,390
Celadon Group, Inc.*		84,479		1,179,327
United Stationers, Inc.		7,982		282,802
Insperity, Inc.		9,351		276,883

Total Industrials				23,903,893


Financials - 16.4%
Hanover Insurance Group, Inc.		98,440		3,712,173
Horace Mann Educators Corp.		147,100		2,296,231
Cedar Shopping Centers, Inc.		380,040		1,957,206
Transatlantic Holdings, Inc.		39,900		1,955,499
1st Source Corp.		81,700		1,694,458
Reinsurance Group of America, Inc. — Class A		26,433		1,608,712
SeaBright Holdings, Inc.		157,300		1,557,270
Employers Holdings, Inc.		61,490		1,031,187
Lexington Realty Trust		100,900		921,217
Heritage Financial Corp.		68,400		884,412
Solar Senior Capital Ltd.		48,299		866,967
Ocwen Financial Corp.*		55,550		708,818
Endurance Specialty Holdings, Ltd.		14,880		614,990
Bancfirst Corp.		14,437		557,268
First Marblehead Corp.*		287,566		508,992
Redwood Trust, Inc.		27,600		417,312

Total Financials				21,292,712


Information Technology - 16.2%
Standard Microsystems Corp.*		111,879		3,019,614
IXYS Corp.*		186,200		2,789,276
Maxwell Technologies, Inc.*		136,000		2,201,840
Insight Enterprises, Inc.*		122,300		2,165,933
Global Cash Access Holdings, Inc.*		536,140		1,704,925
Digi International, Inc.*		113,949		1,481,337
Power-One, Inc.*		181,525		1,470,352
Satyam Computer Services Ltd. ADR*		397,262		1,469,869
Intermec, Inc.*		113,850		1,256,904
Harmonic, Inc.*		159,400		1,152,462
Perficient, Inc.*		86,890		891,491
Symmetricom, Inc.*		108,549		632,841
Methode Electronics, Inc.		42,891		497,965
Euronet Worldwide, Inc.*		22,194		342,010

Total Information Technology				21,076,819


Consumer Discretionary - 15.0%
Cabela’s, Inc.*		123,507		3,353,215
Chico’s FAS, Inc.		182,500		2,779,475
International Speedway Corp. — Class A		75,800		2,153,478
DeVry, Inc.		35,240		2,083,741
Penn National Gaming, Inc.*		44,300		1,787,062
MDC Partners, Inc. — Class A		83,582		1,509,491
Smith & Wesson Holding Corp.*		501,520		1,504,560
Maidenform Brands, Inc.*		43,800		1,211,508
Brown Shoe Company, Inc.		109,210		1,163,087
Scholastic Corp.		31,800		845,880
Hanesbrands, Inc.*		27,620		788,551
Fred’s, Inc. — Class A		23,900		344,877

Total Consumer Discretionary				19,524,925


Energy - 13.7%
Global Industries Ltd.*		510,450		2,797,266
Tesco Corp.*		127,820		2,480,986
Parker Drilling Co.*		422,360		2,470,806
Gulfport Energy Corp.*		77,455		2,299,639
Abraxas Petroleum Corp.*		484,100		1,854,103
Kodiak Oil & Gas Corp.*		286,279		1,651,830
Resolute Energy Corp.*		75,600		1,221,696
Goodrich Petroleum Corp.*		61,776		1,137,296
Petroleum Development Corp.*		31,250		934,688
USEC, Inc.*		271,330		906,242

Total Energy				17,754,552


Materials - 6.6%
Myers Industries, Inc.		208,800		2,146,464
A. Schulman, Inc.		58,850		1,482,432
Zoltek Companies, Inc.*		138,200		1,455,246
Landec Corp.*		182,244		1,202,810
TPC Group, Inc.*		21,900		858,918
HB Fuller Co.		32,703		798,607
Louisiana-Pacific Corp.*		76,097		619,430

Total Materials				8,563,907


Consumer Staples - 4.2%
Spartan Stores, Inc.		87,180		1,702,625
Winn-Dixie Stores, Inc.*		164,500		1,390,025
Orchids Paper Products Co.		98,258		1,242,964
Smart Balance, Inc.*		217,200		1,125,096

Total Consumer Staples				5,460,710



86 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.


SCHEDULE OF INVESTMENTS (Unaudited) (concluded)		Rydex\|SGI SBL Fund
June 30, 2011		Series Q (Small Cap Value Series)


	Shares		Value

Health Care - 2.5%
ICU Medical, Inc.*		45,300	$	1,979,610
Mednax, Inc.*		17,080		1,233,005

Total Health Care				3,212,615


Utilities - 1.9%
Black Hills Corp.		61,310		1,844,818
MDU Resources Group, Inc.		25,615		576,337

Total Utilities				2,421,155

Total Common Stocks (Cost $102,100,381)				123,211,288

CONVERTIBLE PREFERRED STOCKS -0.0%
Thermoenergy Corp.*^,1,2		116,667		74,947

Total Convertible Preferred Stocks (Cost $111,410)				74,947


WARRANTS^†^† - 0.1%
Industrials - 0.1%
Thermoenergy Corp. $0.30, 07/31/151		1,866,672	$	94,827

Total Warrants (Cost $168,592)			$	94,827

Total Investments - 95.0% (Cost $102,380,383)			$	123,381,062

Cash & Other Assets, Less Liabilities - 5.0%				6,505,915

Total Net Assets - 100.0%			$	129,886,977


*		Non-income producing security.

^†		Value determined based on Level 1 inputs — See Note 4.

^††		Value determined based on Level 2 inputs — See Note 4.

¹		All or a portion of this security was fair valued by the Valuation Committee at June 30, 2011. The total market value of fair valued securities amounts to $169,774 (cost $280,001), or 0.13% of total net assets.

²		PIPE (Private Investment in Public Equity) — Stock issued by a company in the secondary market as a means of raising capital more quickly and less expensively than through registration of a secondary public offering.

ADR — American Depositary Receipt



See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 87

Rydex|SGI SBL Fund
Series Q (Small Cap Value Series)

STATEMENT OF ASSETS AND LIABILITIES (Unaudited)
June 30, 2011


Assets:
Investments, at value (cost $102,380,383)	$	123,381,062
Cash		1,729,572
Prepaid expenses		644
Receivables:
Securities sold		62,322
Fund shares sold		4,885,525
Dividends		62,074

Total assets		130,121,199


Liabilities:
Payable for:
Fund shares redeemed		72,824
Securities purchased		28,582
Management fees		95,426
Transfer agent/maintenance fees		2,101
Fund Accounting/Administration fees		9,542
Directors’ fees		2,123
Other		23,624

Total liabilities		234,222

Net assets	$	129,886,977


Net assets consist of:
Paid in capital	$	105,604,264
Accumulated net investment loss		(262,852	)
Accumulated net realized gain on investments		3,544,886
Net unrealized appreciation on investments		21,000,679

Net assets	$	129,886,977


Capital shares outstanding		3,700,703
Net asset value per share	$	35.10

STATEMENT OF OPERATIONS (Unaudited)
For the Period Ended June 30, 2011


Investment Income:
Dividends (net of foreign withholding tax of $3,510)	$	472,503
Interest		224

Total investment income		472,727


Expenses:
Management fees		621,143
Transfer agent/maintenance fees		12,582
Fund Accounting/Administration fees		62,113
Directors’ fees*		6,028
Miscellaneous		33,713

Total expenses		735,579

Net investment loss		(262,852	)


Net Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investments		17,982,773
Options written		195,379

Net realized gain		18,178,152

Net change in unrealized appreciation (depreciation) on:
Investments		(12,737,033	)
Options written		(28,837	)

Net change in unrealized appreciation (depreciation)		(12,765,870	)

Net realized and unrealized gain		5,412,282

Net increase in net assets resulting from operations	$	5,149,430


*		Relates to Directors not deemed “interested persons” within the meaning of Section 2(a)(19) of the 1940 Act.



88 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.



FINANCIAL HIGHLIGHTS		Rydex\|SGI SBL Fund Series Q (Small Cap Value Series)

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.


	Period			Year			Year			Year			Year			Year
	Ended			Ended			Ended			Ended			Ended			Ended
	June 30,			December 31,			December 31,			December 31,			December 31,			December 31,
	2011^a			2010			2009^d			2008			2007			2006

Per Share Data
Net asset value, beginning of period	$	33.64		$	27.60		$	17.70		$	28.82		$	26.14		$	23.05

Income (loss) from investment operations:
Net investment income (loss)^b		(.07	)		(.06	)		(.01	)		.06			(.12	)		(.09	)
Net gain (loss) on investments (realized and unrealized)		1.53			6.10			9.91			(11.18	)		2.80			3.18

Total from investment operations		1.46			6.04			9.90			(11.12	)		2.68			3.09

Net asset value, end of period	$	35.10		$	33.64		$	27.60		$	17.70		$	28.82		$	26.14

Total Return^c		4.34	%		21.88	%		55.93	%		(38.58	%)		10.25	%		13.41	%

Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	129,887		$	126,827		$	125,460		$	85,944		$	166,871		$	159,852

Ratios to average net assets:
Net investment income (loss)		(0.40	%)		(0.22	%)		(0.02	%)		0.24	%		(0.42	%)		(0.36	%)
Total expenses		1.13	%		1.12	%		1.14	%		1.19	%		1.18	%		1.25	%

Portfolio turnover rate		28	%		38	%		126	%		25	%		42	%		46	%


^a		Unaudited figures for the period ended June 30, 2011. Percentage amounts for the period, except total return and portfolio turnover rate, have been annualized.

^b		Net investment income (loss) per share was computed using average shares outstanding throughout the period.

^c		Total return does not take into account any of the expenses associated with an investment in variable insurance products offered by Security Benefit Life Insurance Company. If total return had taken into account these expenses, performance would have been lower. Shares of a Series of SBL Fund are available only through the purchase of such products.

^d		Security Global Investors, LLC (SGI) became the advisor of Series Q effective February 9, 2009. Prior to February 9, 2009, Wells Capital Management, Inc. sub-advised the Series.



90 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.


SCHEDULE OF INVESTMENTS (Unaudited)		Rydex\|SGI SBL Fund
June 30, 2011		Series V (Mid Cap Value Series)


	Shares		Value

COMMON STOCKS^†- 97.8%

Industrials - 18.5%
GeoEye, Inc.*		177,000	$	6,619,800
Covanta Holding Corp.		379,910		6,264,716
General Cable Corp.*		130,000		5,535,400
Quanta Services, Inc.*		224,000		4,524,800
FTI Consulting, Inc.*		111,820		4,242,451
Insituform Technologies, Inc. — Class A*		194,000		4,068,180
Navigant Consulting, Inc.*		355,170		3,725,733
Orbital Sciences Corp.*		209,012		3,521,852
URS Corp.*		76,820		3,436,927
Babcock & Wilcox Co.*		98,950		2,741,905
ICF International, Inc.*		94,400		2,395,872
Force Protection, Inc.*		465,000		2,308,725
Trex Company, Inc.*		80,300		1,965,744
Saia, Inc.*		106,900		1,811,955
United Stationers, Inc.		49,880		1,767,248
Equifax, Inc.		33,906		1,177,216
Insperity, Inc.		22,119		654,944
Thermoenergy Corp.*		905,961		199,311
UQM Technologies, Inc.*		49,212		110,727

Total Industrials				57,073,506


Financials - 17.4%
Hanover Insurance Group, Inc.		243,680		9,189,173
W.R. Berkley Corp.		203,800		6,611,272
American Financial Group, Inc.¹		176,400		6,295,716
Alleghany Corp.*		14,317		4,769,136
Reinsurance Group of America, Inc. — Class A		66,748		4,062,283
Fifth Street Finance Corp.		247,194		2,867,450
RenaissanceRe Holdings Ltd.		37,400		2,616,130
Transatlantic Holdings, Inc.		52,100		2,553,421
Lexington Realty Trust		268,900		2,455,057
Associated Banc-Corp.		159,585		2,218,231
Old National Bancorp		201,184		2,172,787
Employers Holdings, Inc.		112,800		1,891,656
Ocwen Financial Corp.*		137,310		1,752,076
Endurance Specialty Holdings, Ltd.		36,960		1,527,557
Investors Real Estate Trust		133,340		1,154,724
Redwood Trust, Inc.		64,371		973,290
First Marblehead Corp.*		303,741		537,622
Bimini Capital Management, Inc. — Class A		246,603		180,020

Total Financials				53,827,601


Consumer Discretionary - 13.6%
Cabela’s, Inc.*		333,431		9,052,652
Chico’s FAS, Inc.		407,500		6,206,225
Penn National Gaming, Inc.*		104,000		4,195,360
Maidenform Brands, Inc.*		126,000		3,485,160
Apollo Group, Inc. — Class A*		77,340		3,378,211
Brown Shoe Company, Inc.		299,221		3,186,704
Scholastic Corp.		83,700		2,226,420
Jack in the Box, Inc.*		96,700		2,202,826
Hanesbrands, Inc.*		72,770		2,077,583
DeVry, Inc.		35,130		2,077,237
Fortune Brands, Inc.		26,300		1,677,151
Smith & Wesson Holding Corp.*		436,296		1,308,888
Fred’s, Inc. — Class A		59,350		856,420
HydroGen Corp.*,⁴		672,346		11,430

Total Consumer Discretionary				41,942,267


Energy - 11.2%
SandRidge Energy, Inc.*		580,574		6,188,919
Gulfport Energy Corp.*		197,387		5,860,420
Plains Exploration & Production Co.*		153,700		5,859,044
Global Industries Ltd.*		1,015,949		5,567,400
Resolute Energy Corp.*		190,200		3,073,632
McDermott International, Inc.*		152,000		3,011,120
Goodrich Petroleum Corp.*		154,697		2,847,972
USEC, Inc.*		598,070		1,997,554

Total Energy				34,406,061


Information Technology - 10.4%
Computer Sciences Corp.		231,310		8,780,528
IXYS Corp.*		493,800		7,397,124
Maxwell Technologies, Inc.*		314,800		5,096,612
Power-One, Inc.*		536,591		4,346,387
Satyam Computer Services Ltd. ADR*		959,510		3,550,187
Symmetricom, Inc.*		377,280		2,199,542
Euronet Worldwide, Inc.*		53,317		821,615

Total Information Technology				32,191,995


Utilities - 8.8%
NorthWestern Corp.		131,000		4,337,410
Great Plains Energy, Inc.		208,305		4,318,163
Allete, Inc.		95,251		3,909,101
Black Hills Corp.		101,800		3,063,162
UGI Corp.		86,429		2,756,221
American Water Works Company, Inc.		72,900		2,146,905
Pepco Holdings, Inc.		95,300		1,870,739
Westar Energy, Inc.		62,850		1,691,293
Atmos Energy Corp.		48,310		1,606,307
MDU Resources Group, Inc.		66,898		1,505,205

Total Utilities				27,204,506


Materials - 8.2%
Bemis Company, Inc.		225,200		7,607,256
Owens-Illinois, Inc.*		202,520		5,227,041
Louisiana-Pacific Corp.*		426,020		3,467,803
Sonoco Products Co.		95,950		3,410,063



92 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.


SCHEDULE OF INVESTMENTS (Unaudited) (concluded)		Rydex\|SGI SBL Fund
June 30, 2011		Series V (Mid Cap Value Series)


	Shares		Value

HB Fuller Co.		83,541	$	2,040,071
Zoltek Companies, Inc.*		170,000		1,790,100
Landec Corp.*		251,145		1,657,557

Total Materials				25,199,891


Consumer Staples - 6.6%
JM Smucker Co.		81,700		6,245,148
Ralcorp Holdings, Inc.*		70,400		6,095,232
Hormel Foods Corp.		197,800		5,896,418
Bunge Ltd.		32,510		2,241,565

Total Consumer Staples				20,478,363


Health Care - 3.1%
Hologic, Inc.*		174,044		3,510,468
Mednax, Inc.*		43,115		3,112,472
Forest Laboratories, Inc.*		76,380		3,004,789

Total Health Care				9,627,729

Total Common Stocks (Cost $255,231,669)				301,951,919


CONVERTIBLE PREFERRED STOCKS^†† - 0.1%
Thermoenergy Corp.^*,2,3		308,333		198,073

Total Convertible Preferred Stocks (Cost $294,438)				198,073


WARRANTS^†^† - 0.1%

Industrials - 0.1%
Thermoenergy Corp.
$0.30, 07/31/15²		4,933,328		250,613

Energy - 0.0%
Nova Biosource Fuels, Inc.
$2.40, 07/05/11²		369,350		1

Total Warrants (Cost $827,081)				250,614


	Face
	Amount
CONVERTIBLE BONDS^††- 0.8%

Energy - 0.8%
USEC, Inc.
3.00% due 10/01/14	$	3,500,000		2,511,250

Total Convertible Bonds (Cost $3,500,000)			$	2,511,250

Total Long Investments - 98.8% (Cost $259,853,188)			$	304,911,856


	Contracts

OPTIONS WRITTEN^†- (0.1)%
Put Options on:
Computer Sciences Corp. Expiring August 2011 with strike price of $35.00		400		(30,000	)
Arch Coal, Inc. Expiring July 2011 with strike price of $30.00		550		(187,000	)

Total Options Written (Premiums received $165,623)				(217,000	)

Total Securities Sold Short - (0.1)% (Proceeds $165,623)			$	(217,000	)

Cash & Other Assets, Less Liabilities - 1.2%				3,850,601

Total Net Assets - 100.0%			$	308,545,457


*		Non-income producing security.

^†		Value determined based on Level 1 inputs — See Note 4.

^††		Value determined based on Level 2 inputs — See Note 4.

¹		All or a portion of this security is pledged as collateral for open written option contracts at June 30, 2011.

²		All or a portion of this security was fair valued by the Valuation Committee based on non-observable market inputs at June 30, 2011. The total market value of fair valued securities amounts to $448,687 (cost $1,121,519), or 0.15% of total net assets.

³		PIPE (Private Investment in Public Equity) — Stock issued by a company in the secondary market as a means of raising capital more quickly and less expensively than through registration of a secondary public offering.

⁴		Investment in an affiliated issuer. See Note 9 in the Notes to Financial Statements.

ADR American Depositary Receipt



See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 93

Rydex|SGI SBL Fund
Series V (Mid Cap Value Series)

STATEMENT OF ASSETS AND LIABILITIES (Unaudited)
June 30, 2011


Assets:
Investments, at value (cost $259,853,188)	$	304,911,856
Cash		3,491,665
Prepaid expenses		2,131
Receivables:
Securities sold		1,801,119
Fund shares sold		74,871
Dividends		267,101
Interest		26,107

Total assets		310,574,850


Liabilities:
Options written, at value (proceeds $165,623)		217,000
Payable for:
Fund shares redeemed		183,292
Securities purchased		1,157,752
Management fees		186,040
Transfer agent/maintenance fees		2,103
Fund Accounting/Administration fees		23,565
Directors’ fees		4,785
Other		254,856

Total liabilities		2,029,393

Net assets	$	308,545,457


Net assets consist of:
Paid in capital	$	263,941,135
Undistributed net investment income		373,161
Accumulated net realized loss on investments		(776,130	)
Net unrealized appreciation on investments		45,007,291

Net assets	$	308,545,457


Capital shares outstanding		5,097,920
Net asset value per share	$	60.52

STATEMENT OF OPERATIONS (Unaudited)
For the Period Ended June 30, 2011


Investment Income:
Dividends	$	1,777,368
Interest		53,871

Total investment income		1,831,239


Expenses:
Management fees		1,203,491
Transfer agent/maintenance fees		12,579
Fund Accounting/Administration fees		152,440
Directors’ fees*		15,570
Miscellaneous		73,998

Total expenses		1,458,078

Net investment income		373,161


Net Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investments		18,665,888
Options written		266,340

Net realized gain		18,932,228

Net change in unrealized appreciation (depreciation) on:
Investments		(4,699,768	)
Options written		334,616

Net change in unrealized appreciation (depreciation)		(4,365,152	)

Net realized and unrealized gain		14,567,076

Net increase in net assets resulting from operations	$	14,940,237


*		Relates to Directors not deemed “interested persons” within the meaning of Section 2(a)(19) of the 1940 Act.



94 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.



FINANCIAL HIGHLIGHTS		Rydex\|SGI SBL Fund Series V (Mid Cap Value Series)

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.


	Period			Year			Year			Year			Year			Year
	Ended			Ended			Ended			Ended			Ended			Ended
	June 30,			December 31,			December 31,			December 31,			December 31,			December 31,
	2011^a			2010			2009			2008			2007			2006

Per Share Data
Net asset value, beginning of period	$	57.78		$	49.05		$	34.08		$	47.64		$	46.78		$	40.79

Income (loss) from investment operations:
Net investment income^b		.07			.39			.38			.49			.36			.44
Net gain (loss) on investments (realized and unrealized)		2.67			8.34			14.59			(14.05	)		.50			5.55

Total from investment operations		2.74			8.73			14.97			(13.56	)		.86			5.99

Net asset value, end of period	$	60.52		$	57.78		$	49.05		$	34.08		$	47.64		$	46.78

Total Return^c		4.74	%		17.80	%		43.93	%		(28.46	%)		1.84	%		14.66	%

Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	308,545		$	316,418		$	304,730		$	244,884		$	409,211		$	447,271

Ratios to average net assets:
Net investment income		0.23	%		0.75	%		0.97	%		1.15	%		0.73	%		1.01	%
Total expenses		0.91	%		0.90	%		0.91	%		0.91	%		0.89	%		0.89	%

Portfolio turnover rate		14	%		25	%		29	%		56	%		45	%		42	%


^a		Unaudited figures for the period ended June 30, 2011. Percentage amounts for the period, except total return and portfolio turnover rate, have been annualized.

^b		Net investment income (loss) per share was computed using average shares outstanding throughout the period.

^c		Total return does not take into account any of the expenses associated with an investment in variable insurance products offered by Security Benefit Life Insurance Company. If total return had taken into account these expenses, performance would have been lower. Shares of a Series of SBL Fund are available only through the purchase of such products.



96 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.


SCHEDULE OF INVESTMENTS (Unaudited)		Rydex\|SGI SBL Fund
June 30, 2011		Series X (Small Cap Growth Series)


	Shares		Value

COMMON STOCKS^†- 90.8%

Information Technology - 22.8%
Alliance Data Systems Corp.*		9,650	$	907,775
Solera Holdings, Inc.		14,470		856,045
Cadence Design Systems, Inc.*		79,020		834,451
TIBCO Software, Inc.*		22,000		638,440
SYNNEX Corp.*		18,960		601,032
Nuance Communications, Inc.*		26,680		572,820
Sourcefire, Inc.*		19,250		572,110
Nanometrics, Inc.*		29,590		561,914
Opnet Technologies, Inc.		12,740		521,576
Netgear, Inc.*		11,750		513,710
Informatica Corp.*		8,600		502,498
FLIR Systems, Inc.		13,160		443,624
Ciena Corp.*		23,000		422,740
Rofin-Sinar Technologies, Inc.*		11,810		403,311
Riverbed Technology, Inc.*		9,600		380,064
Newport Corp.*		20,800		377,936
Harmonic, Inc.*		51,700		373,791
Lattice Semiconductor Corp.*		55,400		361,208
VanceInfo Technologies, Inc. ADR*		15,050		347,805
MEMC Electronic Materials, Inc.*		39,200		334,376
SolarWinds, Inc.*		11,070		289,370
Acme Packet, Inc.*		3,620		253,871
Meru Networks, Inc.*		14,220		170,782
Oclaro, Inc.*		18,100		121,632

Total Information Technology				11,362,881


Consumer Discretionary - 17.3%
Tempur-Pedic International, Inc.*		14,190		962,366
Jarden Corp.		24,890		858,954
Life Time Fitness, Inc.*		17,855		712,593
Penn National Gaming, Inc.*		16,215		654,113
Select Comfort Corp.*		32,200		578,956
Gentex Corp.		18,300		553,209
Phillips-Van Heusen Corp.		8,140		532,926
Lamar Advertising Co. — Class A*		16,340		447,226
Hanesbrands, Inc.*		14,130		403,411
Monro Muffler Brake, Inc.		10,360		386,324
MDC Partners, Inc. — Class A		19,700		355,782
Vail Resorts, Inc.		7,485		345,957
Lennar Corp. — Class A		18,780		340,857
ANN, Inc.*		12,900		336,690
Gaylord Entertainment Co.*		11,200		336,000
Jos A. Bank Clothiers, Inc.*		6,030		301,560
Cost Plus, Inc.*		29,300		293,000
Harman International Industries, Inc.		4,980		226,939

Total Consumer Discretionary				8,626,863


Industrials - 16.9%
WABCO Holdings, Inc.*		14,400		994,464
Interface, Inc. — Class A		49,070		950,486
Navistar International Corp.*		15,200		858,192
IDEX Corp.		17,290		792,746
BE Aerospace, Inc.*		17,450		712,135
Regal-Beloit Corp.		9,230		616,287
Wabtec Corp.		8,650		568,478
Roper Industries, Inc.		6,080		506,464
Kansas City Southern*		7,865		466,630
Aecom Technology Corp.*		16,870		461,226
Pall Corp.		8,085		454,620
Towers Watson & Co. — Class A		6,550		430,400
Pentair, Inc.		8,930		360,415
A123 Systems, Inc.*		41,900		222,908

Total Industrials				8,395,451


Health Care - 15.6%
Health Management Associates, Inc. — Class A*		65,480		705,874
Hill-Rom Holdings, Inc.		14,970		689,219
Endo Pharmaceuticals Holdings, Inc.*		16,910		679,275
Endologix, Inc.*		72,800		677,040
Hologic, Inc.*		31,330		631,926
Mednax, Inc.*		8,350		602,786
Integra LifeSciences Holdings Corp.*		11,900		568,939
Natus Medical, Inc.*		32,350		490,102
Halozyme Therapeutics, Inc.*		62,190		429,733
Perrigo Co.		4,770		419,140
SonoSite, Inc.*		11,690		411,137
Haemonetics Corp.*		5,645		363,369
BioMarin Pharmaceutical, Inc.*		12,520		340,669
Teleflex, Inc.		4,510		275,381
CardioNet, Inc.*		30,915		164,159
Momenta Pharmaceuticals, Inc.*		8,400		163,464
Angiodynamics, Inc.*		10,710		152,403

Total Health Care				7,764,616


Energy - 5.9%
Oil States International, Inc.*		14,410		1,151,503
Superior Energy Services, Inc.*		17,520		650,693
Plains Exploration & Production Co.*		15,850		604,202
CARBO Ceramics, Inc.		3,250		529,587

Total Energy				2,935,985


Materials - 4.9%
Solutia, Inc.*		24,700		564,395
CF Industries Holdings, Inc.		3,500		495,845
Kaiser Aluminum Corp.		8,680		474,102
Silgan Holdings, Inc.		11,550		473,203
Cliffs Natural Resources, Inc.		4,510		416,950

Total Materials				2,424,495



98 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.

Rydex|SGI SBL Fund
Series X (Small Cap Growth Series)

STATEMENT OF ASSETS AND LIABILITIES (Unaudited)
June 30, 2011


Assets:
Investments, at value (cost $37,572,928)	$	48,006,861
Cash		1,605,816
Prepaid expenses		2,986
Receivables:
Securities sold		219,281
Fund shares sold		47,213
Dividends		5,371

Total assets		49,887,528


Liabilities:
Payable for:
Fund shares redeemed		71,494
Management fees		33,283
Transfer agent/maintenance fees		2,100
Fund Accounting/Administration fees		3,720
Directors’ fees		185
Direct shareholders expense		6,865
Professional fees		7,334
Other		2,632

Total liabilities		127,613

Net assets	$	49,759,915


Net assets consist of:
Paid in capital	$	44,980,488
Accumulated net investment loss		(160,931	)
Accumulated net realized gain on investments		(5,493,575	)
Net unrealized appreciation on investments		10,433,933

Net assets	$	49,759,915


Capital shares outstanding		2,392,977
Net asset value per share	$	20.79

STATEMENT OF OPERATIONS (Unaudited)
For the Period Ended June 30, 2011


Investment Income:
Dividends (net of foreign withholding tax of $491)	$	94,879
Interest		76

Total investment income		94,955


Expenses:
Management fees		204,187
Transfer agent/maintenance fees		12,580
Fund Accounting/Administration fees		22,820
Directors’ fees*		2,013
Miscellaneous		14,286

Total expenses		255,886

Net investment loss		(160,931	)


Net Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investments		4,695,092

Net realized gain		4,695,092

Net change in unrealized appreciation (depreciation) on:
Investments		(95,679	)

Net change in unrealized appreciation (depreciation)		(95,679	)

Net realized and unrealized gain		4,599,413

Net increase in net assets resulting from operations	$	4,438,482


*		Relates to Directors not deemed “interested persons” within the meaning of Section 2(a)(19) of the 1940 Act.



100 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.



FINANCIAL HIGHLIGHTS		Rydex\|SGI SBL Fund
		Series X (Small Cap Growth Series)

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.


	Period			Year			Year			Year			Year			Year
	Ended			Ended			Ended			Ended			Ended			Ended
	June 30,			December 31,			December 31,			December 31,			December 31,			December 31,
	2011^a			2010			2009			2008^e			2007			2006

Per Share Data
Net asset value, beginning of period	$	18.89		$	14.52		$	10.74		$	20.35		$	19.27		$	18.33

Income (loss) from investment operations:
Net investment loss^b		(.07	)		(.10	)		(.04	)		(.12	)		(.17	)		(.13	)
Net gain (loss) on investments (realized and unrealized)		1.97			4.47			3.82			(9.49	)		1.25			1.07

Total from investment operations		1.90			4.37			3.78			(9.61	)		1.08			.94

Net asset value, end of period	$	20.79		$	18.89		$	14.52		$	10.74		$	20.35		$	19.27

Total Return^c		10.06	%		30.10	%		35.20	%		(47.22	%)		5.60	%		5.13	%

Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	49,760		$	46,149		$	35,396		$	30,284		$	81,833		$	92,789

Ratios to average net assets:
Net investment loss		(0.67	%)		(0.65	%)		(0.30	%)		(0.80	%)		(0.82	%)		(0.66	%)
Total expenses^d		1.07	%		1.09	%		1.10	%		1.24	%		1.20	%		1.20	%

Portfolio turnover rate		51	%		88	%		100	%		209	%		137	%		149	%


^a		Unaudited figures for the period ended June 30, 2011. Percentage amounts for the period, except total return and portfolio turnover rate, have been annualized.

^b		Net investment income (loss) per share was computed using average shares outstanding throughout the period.

^c		Total return does not take into account any of the expenses associated with an investment in variable insurance products offered by Security Benefit Life Insurance Company. If total return had taken into account these expenses, performance would have been lower. Shares of a Series of SBL Fund are available only through the purchase of such products.

^d		Does not include expenses of the underlying funds in which the Fund invests.

^e		Security Global Investors, LLC (SGI) became the advisor of Series X effective December 1, 2008. Prior to December 1, 2008, RS Investments, Inc sub-advised the Series.



102 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.



SCHEDULE OF INVESTMENTS (Unaudited)		Rydex\|SGI SBL Fund
June 30, 2011		Series Y (Large Cap Concentrated Growth Series)


	Shares		Value
COMMON STOCKS^†- 94.7%

Information Technology - 25.8%
Apple, Inc.*		6,155	$	2,066,049
Google, Inc. — Class A*		4,025		2,038,179
Qualcomm, Inc.		29,500		1,675,305
Dell, Inc.*		77,700		1,295,259
Cognizant Technology
Solutions Corp. — Class A*		17,550		1,287,117
EMC Corp.*		46,360		1,277,218
Avago Technologies, Ltd.		23,950		910,100

Total Information Technology				10,549,227


Consumer Discretionary - 20.7%
Time Warner, Inc.		35,300		1,283,861
Nordstrom, Inc.		26,600		1,248,604
Priceline.com, Inc.*		2,430		1,243,990
Ford Motor Co.*		85,500		1,179,045
Starbucks Corp.		29,690		1,172,458
McDonald’s Corp.		13,900		1,172,048
Walt Disney Co.		29,270		1,142,701

Total Consumer Discretionary				8,442,707


Industrials - 15.6%
Eaton Corp.		25,400		1,306,830
Honeywell International, Inc.		21,500		1,281,185
United Parcel Service,
Inc. — Class B		17,350		1,265,336
Precision Castparts Corp.		7,650		1,259,572
CSX Corp.		47,910		1,256,200

Total Industrials				6,369,123


Health Care - 9.6%
Covidien plc		25,470		1,355,768
Teva Pharmaceutical
Industries Ltd. ADR		27,100		1,306,762
HCA Holdings, Inc.*		38,400		1,267,200

Total Health Care				3,929,730


Energy - 8.9%
Baker Hughes, Inc.		19,000		1,378,640
Halliburton Co.		26,630		1,358,130
Peabody Energy Corp.		14,970		881,883

Total Energy				3,618,653


Financials - 5.7%
MetLife, Inc.		27,500		1,206,425
JPMorgan Chase & Co.		27,850		1,140,179

Total Financials				2,346,604


Materials - 5.5%
Dow Chemical Co.		35,475		1,277,100
CF Industries Holdings, Inc.		6,850		970,440

Total Materials				2,247,540


Consumer Staples - 2.9%
General Mills, Inc.		32,400		1,205,928


Total Common Stocks (Cost $35,228,447)				38,709,512

Total Investments - 94.7% (Cost $35,228,447)			$	38,709,512

Cash & Other Assets, Less Liabilities - 5.3%				2,173,427

Total Net Assets - 100.0%			$	40,882,939


*		Non-income producing security.

^†		Value determined based on Level 1 inputs — See Note 4.

ADR — American Depositary Receipt

plc — Public Limited Company



104 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.

Rydex|SGI SBL Fund
Series Y (Large Cap Concentrated Growth Series)

STATEMENT OF ASSETS AND LIABILITIES (Unaudited)
June 30, 2011


Assets:
Investments, at value (cost $35,228,447)	$	38,709,512
Cash		2,136,771
Prepaid expenses		400
Receivables:
Securities sold		1,083,047
Fund shares sold		35,982
Dividends		9,131

Total assets		41,974,843


Liabilities:
Payable for:
Fund shares redeemed		21,791
Securities purchased		1,026,254
Management fees		24,788
Transfer agent/maintenance fees		2,098
Fund Accounting/Administration fees		3,139
Directors’ fees		513
Other		13,321

Total liabilities		1,091,904

Net assets	$	40,882,939


Net assets consist of:
Paid in capital	$	45,211,047
Undistributed net investment income		3,820
Accumulated net realized loss on investments		(7,812,993	)
Net unrealized appreciation on investments		3,481,065

Net assets	$	40,882,939


Capital shares outstanding		3,970,596
Net asset value per share	$	10.30

STATEMENT OF OPERATIONS (Unaudited)
For the Period Ended June 30, 2011


Investment Income:
Dividends	$	213,620
Interest		69

Total investment income		213,689


Expenses:
Management fees		160,116
Transfer agent/maintenance fees		12,583
Fund Accounting/Administration fees		20,281
Directors’ fees*		1,945
Miscellaneous		14,944

Total expenses		209,869

Net investment income		3,820


Net Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investments		3,486,838

Net realized gain		3,486,838

Net change in unrealized appreciation (depreciation) on:
Investments		(1,949,068	)

Net change in unrealized appreciation (depreciation)		(1,949,068	)

Net realized and unrealized gain		1,537,770

Net increase in net assets resulting from operations	$	1,541,590


*		Relates to Directors not deemed “interested persons” within the meaning of Section 2(a)(19) of the 1940 Act.



See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 105



FINANCIAL HIGHLIGHTS		Rydex\|SGL SBL Fund Series Y (Large Cap Concentrated Growth Series)

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.


	Period			Year			Year			Year			Year			Year
	Ended			Ended			Ended			Ended			Ended			Ended
	June 30,			December 31,			December 31,			December 31,			December 31,			December 31,
	2011^a			2010			2009			2008			2007			2006

Per Share Data
Net asset value, beginning of period	$	9.95		$	8.53		$	6.40		$	10.17		$	10.84		$	10.08

Income (loss) from investment operations:
Net investment income^b		—^c			.08			.03			.01			.06			.02
Net gain (loss) on investments (realized and unrealized)		.35			1.34			2.10			(3.78	)		(.73	)		.74

Total from investment operations		.35			1.42			2.13			(3.77	)		(.67	)		.76

Net asset value, end of period	$	10.30		$	9.95		$	8.53		$	6.40		$	10.17		$	10.84

Total Return^d		3.52	%		16.65	%		33.28	%		(37.07	%)		(6.18	%)		75.40	%

Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	40,883		$	43,571		$	41,338		$	33,584		$	66,323		$	85,695

Ratios to average net assets:
Net investment income		0.02	%		0.96	%		0.37	%		0.14	%		0.51	%		0.21	%
Total expenses		0.98	%		0.96	%		1.00	%		0.97	%		0.93	%		0.95	%

Portfolio turnover rate		68	%		182	%		151	%		214	%		16	%		40	%


^a		Unaudited figures for the period ended June 30, 2011. Percentage amounts for the period, except total return and portfolio turnover rate, have been annualized.

^b		Net investment income (loss) per share was computed using average shares outstanding throughout the period.

^c		Net investment income is less than $0.01 per share.

^d		Total return does not take into account any of the expenses associated with an investment in variable insurance products offered by Security Benefit Life Insurance Company. If total return had taken into account these expenses, performance would have been lower. Shares of a Series of SBL Fund are available only through the purchase of such products.



See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 107


SCHEDULE OF INVESTMENTS (Unaudited)		Rydex\|SGI SBL Fund
June 30, 2011		Series Z (Alpha Opportunity Series)


	Shares		Value
COMMON STOCKS^†- 76.9%

Industrials - 16.9%
Joy Global, Inc.^1,2		4,800	$	457,152
Trinity Industries, Inc.^1,2		10,800		376,704
3M Co.		3,885		368,492
Boeing Co.		4,403		325,514
Lockheed Martin Corp.^1,2		3,993		323,313
Danaher Corp.		3,626		192,142
AO Smith Corp.^1,2		4,500		190,350
Tyco International, Ltd.		3,624		179,134
Alaska Air Group, Inc.*		2,590		177,312
General Electric Co.^1,2		9,162		172,795
Towers Watson & Co. — Class A^1,2		2,400		157,704
Illinois Tool Works, Inc.		2,072		117,047
Watts Water Technologies, Inc. — Class A^1,2		3,000		106,230
Northrop Grumman Corp.^1,2		1,100		76,285
Alamo Group, Inc.		3,042		72,095
Con-way, Inc.^1,2		1,800		69,858
Thermon Group Holdings, Inc.*		956		11,472
Huntington Ingalls Industries, Inc.*^,1,2		183		6,314

Total Industrials				3,379,913


Consumer Staples - 15.3%
Philip Morris International, Inc.^1,2		10,500		701,085
Altria Group, Inc.^1,2		17,800		470,098
Costco Wholesale Corp.		4,921		399,782
Herbalife, Ltd.^1,2		5,200		299,728
Procter & Gamble Co.		3,885		246,969
Corn Products International, Inc.		3,367		186,128
Diageo plc ADR		1,874		153,424
CVS Caremark Corp.		3,626		136,265
Wal-Mart Stores, Inc.^1,2		2,300		122,222
Walgreen Co.		2,331		98,974
Safeway, Inc.^1,2		4,200		98,154
Kellogg Co.		1,036		57,312
Darling International, Inc.*		3,108		55,012
Hormel Foods Corp.		1,036		30,883

Total Consumer Staples				3,056,036


Health Care - 12.2%
Johnson & Johnson^1,2		9,444		628,215
Baxter International, Inc.^1,2		3,713		221,629
Viropharma, Inc.*^,1,2		10,500		194,250
Life Technologies Corp.*^,1,2		3,000		156,210
Forest Laboratories, Inc.*^,1,2		3,600		141,624
AstraZeneca plc^1,2		2,800		139,652
WellCare Health Plans, Inc.*^,1,2		2,400		123,384
Lincare Holdings, Inc.^1,2		4,100		120,007
GlaxoSmithKline plc ADR^1,2		5,500		117,740
Amgen, Inc.*^,1,2		1,900		110,865
Owens & Minor, Inc.^1,2		2,800		96,572
Agilent Technologies, Inc.*		1,813		92,662
Kindred Healthcare, Inc.*^,1,2		4,100		88,027
Charles River Laboratories
International, Inc.*^,1,2		2,100		85,365
Novartis AG ADR		952		58,177
AmerisourceBergen
Corp. — Class A		1,295		53,613

Total Health Care				2,427,992


Information Technology - 11.3%
Shanda Interactive
Entertainment Ltd. ADR*^,1,2		16,000		620,960
CA, Inc.^1,2		14,900		340,316
Apple, Inc.*		633		212,479
Qualcomm, Inc.		3,626		205,921
Salesforce.com, Inc.*		1,036		154,343
Symantec Corp.*^,1,2		6,300		124,236
Arrow Electronics, Inc.*^,1,2		2,800		116,200
Avnet, Inc.*^,1,2		3,200		102,016
Harmonic, Inc.*^,1,2		11,700		84,591
EMC Corp.*		2,738		75,432
Amkor Technology, Inc.*^,1,2		9,800		60,466
Omnivision Technologies, Inc.*		1,460		50,823
Travelzoo, Inc.*		518		33,484
TriQuint Semiconductor, Inc.*		3,185		32,455
LTX-Credence Corp.*		2,013		17,996
Clicksoftware Technologies Ltd.		1,071		10,581
Fairchild Semiconductor International, Inc. — Class A*		505		8,439
Axcelis Technologies, Inc.*		1,036		1,699

Total Information Technology				2,252,437


Consumer Discretionary - 8.5%
Limited Brands, Inc.^1,2		5,400		207,630
Family Dollar Stores, Inc.^1,2		3,900		204,984
TJX Companies, Inc.^1,2		3,800		199,614
NVR, Inc.*		259		187,899
Ross Stores, Inc.^1,2		2,300		184,276
Walt Disney Co.^1,2		4,322		168,731
Netflix, Inc.*		518		136,073
The Gap, Inc.^1,2		6,300		114,030
Jack in the Box, Inc.*^,1,2		4,200		95,676
RadioShack Corp.^1,2		5,500		73,205
Phillips-Van Heusen Corp.^1,2		900		58,923
Apollo Group, Inc. — Class A*		1,295		56,566
Perfumania Holdings, Inc.*		890		13,617

Total Consumer Discretionary				1,701,224


Financials - 6.2%
Simon Property Group, Inc.		2,849		331,139
Berkshire Hathaway, Inc. — Class B*		1,959		151,607
Amtrust Financial Services, Inc.^1,2		6,300		143,514
Endurance Specialty
Holdings, Ltd.^1,2		3,200		132,256
M&T Bank Corp.		1,295		113,895
Chubb Corp.		1,813		113,512
RenaissanceRe Holdings Ltd.		1,036		72,468
Evercore Partners, Inc. — Class A		2,072		69,039


See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 109


SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series Z (Alpha Opportunity Series)


	Shares		Value
ACE Ltd.		1,036	$	68,190
Genworth Financial, Inc. — Class A*^,1,2		4,200		43,176
Anglo Irish Bank Corporation Ltd.*^,†††,3		16,638		—

Total Financials				1,238,796


Energy - 3.7%
Anadarko Petroleum Corp.^1,2		2,930		224,907
Southwestern Energy Co.*		4,662		199,907
Exxon Mobil Corp.		2,072		168,619
ConocoPhillips^1,2		1,500		112,785
Tsakos Energy Navigation Ltd.		3,287		32,870

Total Energy				739,088


Telecommunication Services - 1.8%
AT&T, Inc.^1,2		11,300		354,933

Utilities - 1.0%
Constellation Energy Group, Inc.^1,2		5,400		204,984


Total Common Stocks (Cost $14,466,748)				15,355,403


EXCHANGE TRADED FUNDS^†- 6.6%
Teucrium Corn Fund		8,861		358,870
Health Care Select Sector SPDR Fund		5,698		202,393
Consumer Staples Select Sector SPDR Fund		5,957		186,037
Utilities Select Sector SPDR Fund		5,180		173,426
iShares Barclays 7-10 Year Treasury Bond Fund		1,491		142,927
Market Vectors Junior Gold Miners		2,693		92,855
Market Vectors Gold Miners		983		53,662
iShares Barclays 20+ Year Treasury Bond Fund		522		49,120
iPATH S&P 500 VIX Short-Term Futures ETN		1,826		38,602
United States Natural Gas Fund, LP		2,088		23,031

Total Exchange Traded Funds (Cost $1,360,143)				1,320,923


SHORT TERM INVESTMENTS^††- 0.1%
State Street General Account U.S. Government Fund		15,656		15,656

Total Short Term Investments (Cost $15,656)				15,656


	Face
	Amount
FEDERAL AGENCY DISCOUNT NOTES^††- 10.0%
Fannie Mae⁴ 0.11% due 01/17/12	$	2,000,000		1,998,779

Total Federal Agency Discount Notes (Cost $1,998,778)				1,998,779


REPURCHASE AGREEMENT^††,5- 15.4%
State Street issued 06/30/11 at 0.01% due 07/01/11		3,065,136		3,065,136

Total Repurchase Agreement (Cost $3,065,136)				3,065,136

Total Long Investments - 109.0% (Cost $20,906,461)				21,755,897


	Shares
COMMON STOCKS SOLD SHORT^†- (39.5)%

Consumer Staples - (0.5)%
Bridgford Foods Corp.		409		(4,389	)
Limoneira Co.		204		(4,608	)
Hansen Natural Corp.*^{,†††,3,6}		3,270		(96,825	)

Total Consumer Staples				(105,822	)


Telecommunication Services - (1.1)%
Clearwire Corp. — Class A*^{,†††,3,6}		2,660		(30,138	)
Global Crossing, Ltd.*^{,†††,3,6}		2,520		(40,244	)
Leap Wireless International, Inc.*^{,†††,3,6}		1,600		(69,440	)
SBA Communications Corp. — Class A*^{,†††,3,6}		2,600		(74,854	)

Total Telecommunication Services				(214,676	)


Utilities - (1.3)%
Korea Electric Power Corp. ADR^{†††,3,6}		19,460		(263,294	)


Energy - (1.8)%
Aquila Resources Ltd.*^{,†††,3,6}		2,860		(22,783	)
Arrow Energy Ltd.*^{,†††,3,6}		9,500		(24,514	)
Modec, Inc.^{†††,3,6}		1,000		(25,772	)
Sevan Marine ASA*^{,†††,3,6}		6,300		(33,049	)
Trican Well Service Ltd.^{†††,3,6}		2,200		(37,447	)
Queensland Gas Company Ltd.*^{,†††,3,6}		13,600		(52,899	)
Riversdale Mining Ltd.*^{,†††,3,6}		7,100		(54,029	)
BPZ Resources, Inc.*^{,†††,3,6}		6,000		(112,800	)

Total Energy				(363,293	)


Materials - (2.5)%
Cemex SAB de CV ADR*		1,431		(12,307	)
China National Building Material Company Ltd. — Class H^{†††,3,6}		17,300		(23,432	)
Anhui Conch Cement Company Ltd. — Class H^{†††,3,6}		5,500		(24,761	)
Shougang Fushan Resources Group Ltd.^{†††,3,6}		70,000		(25,165	)
Schweitzer-Mauduit International, Inc.		613		(34,420	)
Sino Gold Mining Ltd.*^{,†††,3,6}		9,100		(37,424	)
Ivanhoe Mines Ltd.*^{,†††,3,6}		4,780		(39,865	)
Western Areas NL^{†††,3,6}		6,600		(47,324	)
Zoltek Companies, Inc.*^{,†††,3,6}		2,900		(52,867	)


110 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.


SCHEDULE OF INVESTMENTS (Unaudited) (continued)		Rydex\|SGI SBL Fund
June 30, 2011		Series Z (Alpha Opportunity Series)


	Shares		Value
Silver Wheaton Corp.^{†††,3,6}		6,500	$	(68,246	)
Agnico-Eagle Mines Ltd.^{†††,3,6,7}		1,900		(125,613	)

Total Materials				(491,424	)


Information Technology - (4.3)%
Varian Semiconductor Equipment Associates, Inc.*^{,†††,3,6}		1,270		(33,299	)
VeriSign, Inc.^{†††,3,6}		1,300		(33,319	)
Access Company Ltd.^{†††,3,6}		18		(34,682	)
Electronic Arts, Inc.*^{,†††,3,6}		900		(36,720	)
Intermec, Inc.*^{,†††,3,6}		2,570		(50,938	)
Baidu, Inc. ADR*^{,†††,3,6}		200		(53,726	)
Riverbed Technology, Inc.*^{,†††,3,6}		4,100		(54,530	)
Rambus, Inc.*^{,†††,3,6}		3,680		(56,451	)
Red Hat, Inc.*^{,†††,3,6}		3,300		(58,905	)
VMware, Inc. — Class A*^{,†††,3,6}		2,500		(71,450	)
Equinix, Inc.*^{,†††,3,6}		1,000		(79,940	)
Imperial Energy Corporation plc*^{,†††,3,6}		4,200		(83,657	)
SAVVIS, Inc.*^{,†††,3,6}		5,900		(86,966	)
Cree, Inc.*^{,†††,3,6}		4,200		(115,332	)

Total Information Technology				(849,915	)


Industrials - (5.4)%
China Communications Construction Company Ltd. — Class H^{†††,3,6}		16,000		(16,571	)
China Merchants Holdings International Company Ltd.^{†††,3,6}		4,900		(17,461	)
China National Materials Company Ltd.^{†††,3,6}		37,600		(19,168	)
Japan Steel Works Ltd.^{†††,3,6}		1,600		(22,196	)
Ausenco Ltd.^{†††,3,6}		2,300		(24,816	)
Toyo Tanso Company Ltd.^{†††,3,6}		600		(32,408	)
Ryanair Holdings plc^{†††,3,6}		10,200		(38,219	)
Meyer Burger Technology AG*^{,†††,3,6}		200		(49,879	)
USG Corp.*^{,†††,3,6}		5,580		(160,258	)
Beijing Capital International Airport Company Ltd. — Class H^{†††,3,6}		232,000		(200,659	)
Brisa Auto-Estradas de Portugal S.A.^{†††,3,6}		47,200		(490,927	)

Total Industrials				(1,072,562	)


Financials - (6.2)%
Dime Community Bancshares, Inc.		613		(8,913	)
C C Land Holdings Ltd.^{†††,3,6}		53,000		(14,782	)
Franshion Properties China Ltd.^{†††,3,6}		84,600		(23,552	)
Mizuho Trust & Banking Company Ltd.^{†††,3,6}		18,800		(26,216	)
Aozora Bank Ltd.^{†††,3,6}		17,300		(27,861	)
Monex Group, Inc.^{†††,3,6}		83		(29,140	)
Mizuho Financial Group, Inc.^{†††,3,6}		12,000		(49,593	)
Aeon Mall Company Ltd.^{†††,3,6}		1,900		(58,221	)
PrivateBancorp, Inc. — Class A^{†††,3,6}		2,400		(103,200	)
Erste Group Bank AG^{†††,3,6}		5,500		(337,970	)
Wells Fargo & Co.^{†††,3,6}		12,937		(565,622	)

Total Financials				(1,245,070	)


Health Care - (7.1)%
Sepracor, Inc.*^{,†††,3,6}		1,350		(23,625	)
Exelixis, Inc.*^{,†††,3,6}		4,700		(30,127	)
Intuitive Surgical, Inc.*^{,†††,3,6}		200		(56,100	)
Zeltia S.A.^{†††,3,6}		8,500		(57,969	)
Savient Pharmaceuticals, Inc.*^{,†††,3,6}		3,240		(64,282	)
Sequenom, Inc.*^{,†††,3,6}		3,140		(64,715	)
Luminex Corp.*^{,†††,3,6}		2,700		(68,823	)
Auxilium Pharmaceuticals, Inc.*^{,†††,3,6}		1,960		(72,167	)
Vertex Pharmaceuticals, Inc.*^{,†††,3,6}		2,700		(74,709	)
Align Technology, Inc.*^{,†††,3,6}		6,300		(76,860	)
Acorda Therapeutics, Inc.*^{,†††,3,6}		2,900		(77,575	)
Intercell AG*^{,†††,3,6}		2,000		(78,778	)
Rigel Pharmaceuticals, Inc.*^{,†††,3,6}		3,070		(78,838	)
XenoPort, Inc.*^{,†††,3,6}		1,790		(82,036	)
Regeneron Pharmaceuticals, Inc.*^{,†††,3,6}		3,810		(82,715	)
AMAG Pharmaceuticals, Inc.*^{,†††,3,6}		1,900		(82,954	)
Basilea Pharmaceutica*^{,†††,3,6}		500		(83,365	)
Cepheid, Inc.*^{,†††,3,6}		5,500		(84,700	)
Alnylam Pharmaceuticals, Inc.*^{,†††,3,6}		3,000		(88,230	)
athenahealth, Inc.*^{,†††,3,6}		2,700		(96,795	)

Total Health Care				(1,425,363	)


Consumer Discretionary - (9.3)%
EW Scripps Co. — Class A*		409		(3,955	)
Tokyo Broadcasting System Holdings, Inc.^{†††,3,6}		1,300		(21,836	)
Life Time Fitness, Inc.*		613		(24,465	)
Genting Singapore plc*^{,†††,3,6}		132,800		(43,724	)
bwin Interactive Entertainment AG*^{,†††,3,6}		1,700		(48,431	)
Bwin.Party Digital Entertainment plc*^{,†††,3,6}		16,200		(60,974	)
Sky Deutschland AG*^{,†††,3,6}		4,200		(68,951	)
Focus Media Holding Ltd. ADR*^{,†††,3,6}		2,500		(75,000	)
Marui Group Company Ltd.^{†††,3,6}		31,000		(233,860	)
Pool Corp.^{†††,3,6}		12,350		(305,663	)
Electrolux AB^{†††,3,6}		32,100		(422,058	)
Volkswagen AG^{†††,3,6}		1,300		(539,374	)

Total Consumer Discretionary				(1,848,219	)


Total Common Stocks Sold Short (Proceeds $7,709,048)				(7,879,710	)


See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 111


SCHEDULE OF INVESTMENTS (Unaudited) (concluded)		Rydex\|SGI SBL Fund
June 30, 2011		Series Z (Alpha Opportunity Series)


	Shares		Value
EXCHANGE TRADED FUNDS SOLD SHORT^†- (0.7)%
Financial Select Sector SPDR Fund		2,920	$	(44,764	)
CurrencyShares Euro Trust		730		(105,470	)

Total Exchange Traded Funds Sold Short (Proceeds $149,231)				(150,234	)

Total Securities Sold Short - (40.2)% (Proceeds $7,858,279)			$	(8,029,944	)

Cash & Other Assets, Less Liabilities - 31.2%				6,237,666

Total Net Assets - 100.0%			$	19,963,619


			Unrealized
	Contracts		Gain
FUTURES CONTRACTS PURCHASED^†
September 2011 S&P 500 Index Mini Futures Contracts (Aggregate Value of Contracts $4,998,900)		76	$	187,208


^*		Non-income producing security.

^†		Value determined based on Level 1 inputs unless otherwise noted — See Note 4.

^††		Value determined based on Level 2 inputs — See Note 4.

^†††		Value determined based on Level 3 inputs — See Note 4.

¹		All or a portion of this security is pledged as short security collateral at June 30, 2011.

²		All or a portion of the security is deemed illiquid due to the Fund’s exposure to Lehman Brothers International Europe (“LBIE”) prime brokerage services. The total market value of illiquid securities is $9,352,139 (cost $8,362,915), or 46.8% of total net assets. The security was deemed liquid at the time of purchase.

³		Illiquid security.

⁴		On September 7, 2008, the issuer was placed in conservatorship by the Federal Housing Finance Agency (FHFA). As conservator, the FHFA has full powers to control the assets and operations of the firm.

⁵		Repurchase Agreement — See Note 5.

⁶		All or a portion of this security was fair valued by the Valuation Committee based on non-observable market inputs at June 30, 2011. The total market value of fair valued securities amounts to $(7,786,654) (proceeds $7,620,061), or (39.0%) of total net assets.

⁷		Security was acquired through a private placement.

ADR — American Depositary Receipt

plc — Public Limited Company


112 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.

Rydex|SGI SBL Fund
Series Z (Alpha Opportunity Series)

STATEMENT OF ASSETS AND LIABILITIES (Unaudited)

June 30, 2011


Assets:
Investments, at value^† (cost $17,841,325)	$	18,690,761
Repurchase agreements, at value (cost 3,065,136)		3,065,136
Restricted foreign currency, at value^† (cost 3,623,721)		4,012,995
Restricted cash^†		1,895,998
Cash		3,068,341
Prepaid expenses		5,758
Receivables:
Variation margin		42,560
Securities sold		1,482,632
Dividends		29,559
Foreign taxes reclaim		744

Total assets		32,294,484


Liabilities:
Securities sold short, at value^† (proceeds $7,858,279)		8,029,944
Payable for:
Fund shares redeemed		5,321
Securities purchased		4,224,963
Management fees		20,209
Transfer agent/maintenance fees		2,107
Fund Accounting/Administration fees		2,426
Directors’ fees		641
Other		45,254

Total liabilities		12,330,865

Net assets	$	19,963,619


Net assets consist of:
Paid in capital	$	23,989,399
Accumulated net investment loss		(113,783	)
Accumulated net realized loss on investments		(5,166,292	)
Net unrealized appreciation on investments		1,254,295

Net assets	$	19,963,619

Capital shares outstanding		1,100,508
Net asset value per share	$	18.14


^†		All or portion of this amount represents values related to Lehman Brothers International Europe prime brokerage services – See Note 11.

STATEMENT OF OPERATIONS (Unaudited)

For the Period Ended June 30, 2011


Investment Income:
Dividends (net of foreign withholding tax of $1,261)	$	123,848
Interest		1,772

Total investment income		125,620


Expenses:
Management fees		128,659
Transfer agent/maintenance fees		12,553
Fund Accounting/Administration fees		15,439
Directors’ fees*		1,220
Pricing fees		14,954
Short sales dividend expense		758
Legal fees expense		33,180
Professional fees		13,389
Prime broker interest expense		1,113
Miscellaneous		18,108

Total expenses		239,373

Net investment loss		(113,753	)


Net Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investments		238,103
Futures contracts		109,696
Foreign currency		(222	)
Securities sold short		15,041
Net realized gain		362,618
Net change in unrealized appreciation (depreciation) on: Investments		805,807
Securities sold short		(3,529	)
Futures contracts		126,804
Foreign currency		196,198

Net change in unrealized appreciation (depreciation)		1,125,280

Net realized and unrealized gain		1,487,898


Net increase in net assets resulting from operations	$	1,374,145


^*		Relates to Directors not deemed “interested persons” within the meaning of Section 2(a)(19) of the 1940 Act.


See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 113


FINANCIAL HIGHLIGHTS		Rydex\|SGI SBL Fund
		Series Z (Alpha Opportunity Series)

This table is presented to show selected data for a share outstanding throughout each period, and to assist shareholders in evaluating a Fund’s performance for the periods presented.


	Period			Year			Year			Year			Year			Year
	Ended			Ended			Ended			Ended			Ended			Ended
	June 30,			December 31,			December 31,			December 31,			December 31,			December 31,
	2011^a			2010			2009			2008^h			2007			2006

Per Share Data
Net asset value, beginning of period	$	16.98		$	14.03		$	10.76		$	16.50		$	13.96		$	2.34

Income (loss) from investment operations:
Net investment income (loss)^b		(.10	)		(.10	)		(.06	)		(.16	)		.01			(—	)^c
Net gain (loss) on investments (realized and unrealized)		1.26			3.05			3.33			(5.58	)		2.53			1.62

Total from investment operations		1.16			2.95			3.27			(5.74	)		2.54			1.62

Net asset value, end of period	$	18.14		$	16.98		$	14.03		$	10.76		$	16.50		$	13.96

Total Return^d		7.08	%		20.74	%		30.39	%		(34.79	%)		18.19	%		13.13	%

Ratios/Supplemental Data
Net assets, end of period (in thousands)	$	19,964		$	21,149		$	22,633		$	26,977		$	48,869		$	36,442

Ratios to average net assets:
Net investment income (loss)		(1.11	%)		(0.89	%)		(0.52	%)		(1.09	%)		0.10	%		(0.03	%)
Total expenses^e,i		2.33	%		2.27	%		2.85	%		2.79	%		2.50	%		2.78	%
Net expenses^f		2.33	%		2.07	%		1.74	%		2.79	%		2.50	%		2.78	%
Operating expenses^g		2.31	%		1.90	%		1.69	%		2.70	%		2.44	%		2.68	%

Portfolio turnover rate		449	%		768	%		555	%		990	%		1,770	%		1,285	%


^a		Unaudited figures for the period ended June 30, 2011. Percentage amounts for the period, except total return and portfolio turnover rate, have been annualized.

^b		Net investment income (loss) per share was computed using average shares outstanding throughout the period.

^c		Net investment income is less than $0.01 per share.

^d		Total return does not take into account any of the expenses associated with an investment in variable insurance products offered by Security Benefit Life Insurance Company. If total return had taken into account these expenses, performance would have been lower. Shares of a Series of SBL Fund are available only through the purchase of such products.

^e		Does not include expenses of the underlying funds in which the Fund invests.

^f		Net expense information reflects the expense ratios after voluntary expense waivers,and reimbursements, as applicable.

^g		Operating expenses exclude interest and dividend expense from securities sold short.

^h		Security Global Investors, LLC (SGI) became the sub-advisor of 37.5% of the assets of Series Z effective August 18, 2008. Also effective August 18, 2008, Mainstream Investment Advisers, LLC (Mainstream) sub-advised 37.5% of the assets and Security Investors, LLC (SI) managed 25%. Prior to August 18, 2008, Mainstream sub-advised 60% of the assets and SI managed the remaining 40% of the assets.

ⁱ		Total expense information reflects the expense ratios absent expense reductions by SI, as applicable.


See Notes to Financial Statements.		the RYDEX\|SGI sbl fund semi-annual report \| 115

NOTES TO FINANCIALS TATEMENTS (Unaudited)

1. Organization and Significant Accounting Policies Organization

SBL Fund (the “Trust”), a Kansas business trust, is registered with the SEC under the Investment Company Act of 1940 (the “1940 Act”), as a non-diversified, open-ended investment company of the Series type. The Trust is authorized to issue an unlimited number of no par value shares. Each Series, in effect, represents a separate Fund (the “Fund”, or collectively the “Funds”). Security Benefit Life Insurance Company (“SBL”) and SBL’s affiliated life insurance company as well as unaffiliated life insurance companies purchase shares of the Funds for their variable annuity and variable life insurance separate accounts. At June 30, 2011, the Trust consisted of fourteen separate Funds.

The Trust is required to account for the assets of each Fund separately and to allocate general liabilities of the Trust to each Fund based on the net asset value of each Fund.

Security Investors, LLC (“SI”) provides advisory, administrative and accounting services to the Trust and Rydex Fund Services, LLC (“RFS”) provides transfer agent services to the Trust. Rydex Distributors, LLC (“RDL”) acts as principal underwriter for the Trust. SI, RFS and RDL are affiliated entities.

T. Rowe Price serves as investment sub-advisor on behalf of Series N (Managed Asset Allocation Series) and Mainstream serves as investment sub-advisor on behalf of Series Z (Alpha Opportunity Series). The sub-advisors furnish investment advisory services, supervise and arrange for the purchase and sale of securities and provide for the compilation and maintenance of records pertaining to such investment advisory services, subject to the control and supervision of the Board of Directors of the Trust and SI. Prior to January 14, 2011 Security Global Investors, LLC (“SGI”) acted as a sub-advisor to the Series D (MSCI EAFE Equal Weight Series) and a portion of the total assets of Series Z (Alpha Opportunity Series). Effective January 14, 2011, SGI was merged with and into SI.

Significant Accounting Policies

The following significant accounting policies and the preparation of financial statements are in conformity with U.S. generally accepted accounting principles and are consistently followed by the Trust. This requires management to make estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates. The information contained in these notes may not apply to every Series in the Trust. All time references are based on Eastern Time.

A. Security Valuation – Valuations of the Funds’ securities are supplied by pricing services approved by the Board of Directors. The Trust’s officers, through the Valuation Committee under the general supervision of the Board of Directors, regularly review procedures used by, and valuations provided by, the pricing services.

Equity securities listed on an exchange (New York Stock Exchange (“NYSE”) or American Stock Exchange) are valued at the last quoted sales price as of the close of business on the NYSE, usually 4:00 p.m. on the valuation date. Equity securities listed on the NASDAQ market system are valued at the NASDAQ Official Closing Price on the valuation date, which may not necessarily represent the last sale price. If there has been no sale on such exchange or NASDAQ on such day, the security is valued at the closing bid price on such day.

Investments for which market quotations are not readily available are fair valued in good faith by SI under the direction of the Board of Directors, by such methods deemed by the Board of Directors to reflect the fair value considering investments with similar yields, quality, type of issue, coupon, duration and rating. If events occur that will affect the value of a Fund’s portfolio securities before the NAV has been calculated (a “significant event”), the security will generally be priced using a fair value procedure. If the Valuation Committee determines a significant event has occurred, it will evaluate the impact of that event on an affected security or securities, to determine whether a fair value adjustment would materially affect the Fund’s NAV per share. Some of the factors which may be considered by the Board of Directors in determining fair value are fundamental analytical data relating to the investment; the nature and duration of any restrictions on disposition; trading in similar securities of the same issuer or comparable companies; information from broker-dealers; and an evaluation of the forces that influence the market in which the securities are purchased and sold.

Debt securities in a non 2a-7 money market fund with a maturity greater than 60 days at the time of purchase are valued at prices based on market quotations for such securities or securities of similar type, yield, quality and duration. Short-term debt securities with a maturity of 60 days or less at acquisition and repurchase agreements are valued at amortized cost, which approximates market value.

Listed options held by the Trust are valued at the Official Settlement Price listed by the exchange, usually as of 4:00 p.m. Long options are valued using the bid price and short options are valued using the ask price. In the event that a settlement price is not available, fair valuation is enacted. Over-the-counter options held by the Trust are valued using the average bid price (for long options), or average ask price (for short options) obtained from one or more security dealers.

Generally, trading in foreign securities markets is substantially completed each day at various times prior to the close of the NYSE. The values of foreign securities are determined as of the close of such foreign markets or the close of the NYSE, if earlier. All investments quoted in foreign currency are valued in U.S. dollars on the basis of the foreign currency exchange

116 | the RYDEX|SGI sbl fund semi-annual report

NOTES TO FINANCIAL STATEMENTS (Unaudited) (continued)

rates prevailing at the close of business. Investments in foreign securities may involve risks not present in domestic investments. The Valuation Committee will determine the current value of such foreign securities by taking into consideration certain factors which may include those discussed above, as well as the following factors, among others: the value of the securities traded on other foreign markets, ADR trading, closed-end fund trading, foreign currency exchange activity, and the trading prices of financial products that are tied to foreign securities such as WEBS^®. In addition, the Board of Directors has authorized the Valuation Committee and SI to use prices and other information supplied by a third party pricing vendor in valuing foreign securities.

B. Foreign Currency Transactions – The accounting records of the Trust are maintained in U.S. dollars. All assets and liabilities initially expressed in foreign currencies are converted into U.S. dollars at prevailing exchange rates. Purchases and sales of investment securities, dividend and interest income, and certain expenses are translated at the rates of exchange prevailing on the respective dates of such transactions. Changes in the relationship of these foreign currencies to the U.S. dollar can significantly affect the value of the investments and earnings of the Funds. Foreign investments may also subject the Funds to foreign government exchange restrictions, expropriation, taxation or other political, social or economic developments, all of which could affect the market and/or credit risk of the investments.

The Trust does not isolate that portion of the results of operations resulting from changes in the foreign exchange rates on investments from the fluctuations arising from changes in the market prices of securities held. Such fluctuations are included with the net realized and unrealized gain or loss on investments.

Reported net realized foreign exchange gains or losses arise from sales of foreign currencies and currency gains or losses realized between the trade and settlement dates on investment transactions. Net unrealized exchange gains and losses arise from changes in the fair values of assets and liabilities other than investments insecurities at the fiscal period end, resulting from changes in exchange rates.

C. Futures – Series Z utilized futures contracts to obtain broad index exposure. Returns may be enhanced by purchasing futures contracts instead of the underlying securities when futures are believed to be priced more attractively than the underlying securities. There are several risks in connection with the use of futures contracts. Risks may be caused by an imperfect correlation between movements in the price of the instruments and the price of the underlying securities. In addition, there is the risk that the Fund may not be able to enter into a closing transaction because of an illiquid secondary market. Futures contracts are contracts for delayed delivery of securities at a specified future delivery date and at a specific price. Upon entering into a contract, the Fund deposits and maintains as collateral such initial margin as required by the exchange on which the transaction is effected. Pursuant to the contract, the Fund agrees to receive from or pay to the broker an amount of cash equal to the daily fluctuation in value of the contract. Such receipts or payments are known as variation margin and are recorded by the Fund as unrealized gains or losses. When the contract is closed, the Fund records a realized gain or loss equal to the difference between the value of the contract at the time it was opened and the value at the time it was closed. Cash deposits are shown as restricted cash on the Statement of Assets and Liabilities; securities held as collateral are noted on the Schedule of Investments.

D. Options Written – Series O (All Cap Value Series), Series Q (Small Cap Value Series) and Series V (Mid Cap Value Series) wrote call options on a covered basis and put options on securities that are traded on recognized securities exchanges and over-the-counter markets (See Note 10). Call and put options on securities give the writer the obligation to sell or purchase a security at a specified price, until a certain date. Options were used minimally to hedge the Funds’ portfolio, to increase returns, to maintain exposure to the equity markets, and create liquidity. The risk in writing a covered call option is that a Fund may forego the opportunity for profit if the market price of the underlying security increases and the option is exercised. The risk in writing a covered put option is that a Fund may incur a loss if the market price of the underlying security decreases and the option is exercised. In addition, there is the risk that a Fund may not be able to enter into a closing transaction because of an illiquid secondary market or, for over-the-counter options, because of the counterparty’s inability to perform. An amount equal to the premium received is entered in the Fund’s accounting records as an asset and equivalent liability. The amount of the liability is subsequently marked-to-market to reflect the current value of the option written. When a written option expires, or if a Fund enters into a closing purchase transaction, it realizes a gain (or loss if the cost of a closing purchase transaction exceeds the premium received when the option was sold).

E. Securities Sold Short – Certain Funds may make short sales “against the box,” in which the Fund enters into a short sale of a security it owns. At no time will more than 15% of the value of the Funds’ net assets be in deposits on short sales against the box. When a Fund makes a short sale, the Fund does not immediately deliver the securities sold from its own account, or receive the proceeds from the sale. To complete the sale, the Fund must borrow the security (generally from the broker through which the short sale is made) in order to make delivery to the buyer. The Fund must replace the security borrowed by purchasing it at the market price at the time of replacement or delivering the security from its own portfolio. The Fund is said to have a “short position” in securities sold until it delivers them to the broker, at which time it receives the proceeds of the sale. Certain Funds may make short sales that are not “against the box,” which create opportunities to increase the Funds’ return but, at the same time, involve specific risk considerations and may be considered a speculative

the RYDEX|SGI sbl fund semi-annual report | 117

NOTES TO FINANCIAL STATEMENTS (Unaudited) (continued)

technique. Such short sales theoretically involve unlimited loss potential, as the market price of securities sold short may continually increase, although a Fund may mitigate such losses by replacing the securities sold short before the market price has increased significantly. For financial statement purposes, an amount equal to the settlement amount is included in the Statement of Assets and Liabilities as an asset and an equivalent liability. The amount of the liability is subsequently marked-to-market to reflect the current value of the short position. Subsequent fluctuations in the market prices of securities sold, but not yet purchased, may require purchasing the securities at prices which differ from the market value reflected on the Statements of Assets and Liabilities. The Funds are liable for any dividends or interest payable on securities while those securities are in a short position. As collateral for its short positions, the Fund is required under the 1940 Act to maintain segregated assets consisting of cash, cash equivalents or liquid securities. These segregated assets are valued consistent with Note 1A and are required to be adjusted daily to reflect changes in the market value of the securities sold short.

F. Security Transactions and Investment Income – Securities transactions are recorded on the trade date for financial reporting purposes. Realized gains and losses from securities transactions are recorded using the identified cost basis. Dividend income is recorded on the ex-dividend date, net of applicable taxes withheld by foreign countries. Taxable non-cash dividends are recorded as dividend income. Interest income, including amortization of premiums and accretion of discount, is accrued on a daily basis. Distributions received from investments in REITs are recorded as dividend income on the ex-dividend date, subject to reclassification upon notice of the character of such distribution by the issuer.

G. Expenses – Expenses that are related to a specific Fund are charged directly to that Fund. Other operating expenses are allocated to the Funds on the basis of relative net assets within the Trust.

H. Distributions to Shareholders – The Funds are required by the Internal Revenue Code to distribute substantially all of its income and capital gains to its shareholders. Each year the determines whether to declare and pay actual dividends or whether to secure consent of its shareholders to report and deduct a consent dividend. A consent dividend is treated for tax purposes as a distribution to shareholders occurring on the last day of the Fund’s taxable year and a shareholder contribution to capital occurring on the same day. It is the Trust’s current practice to utilize the consent dividend procedures. The character of any distributions made from net investment income and net realized gains may differ from their ultimate characterization for income tax purposes.

I. Earnings Credits – Under the fee arrangement with the custodian, the Funds may earn credits based on overnight custody cash balances. These credits are utilized to reduce related custodial expenses. The custodian fees disclosed in the Statements of Operations are before the reduction in expense from the related earnings credits, if any.

J. Indemnifications – Under the Funds’ organizational documents, its Officers and Directors are indemnified against certain liabilities arising out of the performance of their duties to the Trust. In addition, throughout the normal course of business, the Funds enter into contracts that contain a variety of representations and warranties which provide general indemnifications. The Funds’ maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against the Funds and/or their affiliates that have not yet occurred. However, based on experience, the Funds expect the risk of loss to be remote.

2. Fees and other transactions with affiliates

SI pays the Sub-Advisor out of the investment advisory fees it receives. Under the terms of an
investment advisory contract, the Trust pays SI investment advisory fees calculated at the
annualized rates below, based on the average daily net assets of the Funds for the period ended
June 30, 2011:


	Management
	Fees (as a % of
	net assets)
Series A (Large Cap Core Series)		0.75	%
Series B (Large Cap Value Series)		0.65	%
Series C (Money Market Series)		0.50	%
Series D (MSCI EAFE Equal Weight Series)		0.70	%¹
Series E (U.S. Intermediate Bond Series)		0.75	%
Series J (Mid Cap Growth Series)		0.75	%
Series N (Managed Asset Allocation Series)		1.00	%
Series O (All Cap Value Series)		0.70	%
Series P(High Yield Series)		0.75	%
Series Q (Small Cap Value Series)		0.95	%
Series V (Mid Cap Value Series)		0.75	%
Series X (Small Cap Growth Series)		0.85	%
Series Y (Large Cap Concentrated Growth Series)		0.75	%
Series Z (Alpha Opportunity Series)		1.25	%

¹ Effective May 1, 2011 the management fee of Series D (MSCI EAFE Equal Weight Series) changed to 0.70% of the average daily net assets. Prior to May 1, 2011, Series D (MSCI EAFE Equal Weight Series) had a management fee of 1.00%.

SI also acts as the administrative agent for the Funds, and as such performs administrative functions and the bookkeeping, accounting and pricing functions for each Fund. For these services, SI receives the following:


	Fund Accounting/Administration Fees
	(as a % of net assets)^*
Series A (Large Cap Core Series)		0.095	%
Series B (Large Cap Value Series)		0.095	%
Series C (Money Market Series)		0.095	%
Series D (MSCI EAFE Equal Weight Series)		0.150	%
Series E (U.S. Intermediate Bond Series)		0.095	%
Series J (Mid Cap Growth Series)		0.095	%
Series N (Managed Asset Allocation Series)		0.150	%
Series O (All Cap Value Series)		0.095	%
Series P(High Yield Series)		0.095	%
Series Q (Small Cap Value Series)		0.095	%
Series V (Mid Cap Value Series)		0.095	%
Series X (Small Cap Growth Series)		0.095	%
Series Y (Large Cap Concentrated Growth Series)		0.095	%
Series Z (Alpha Opportunity Series)		0.150	%


^*		The minimum annual charge for administrative fees is $25,000 for Series A, B, C, E, J, O, P, Q, V, X, Y and Z and $60,000 for Series D and N.

118 | the RYDEX|SGI sbl fund semi-annual report

NOTES TO FINANCIAL STATEMENTS (Unaudited) (continued)

RFS is paid the following for providing transfer agent services to the Funds:


Annual charge per account		$5.00 – $8.00
Transaction fee		$0.60 – $1.10
Minimum annual charge per Fund		$25,000
Certain out-of-pocket charges		Varies

Prior to February 11, 2011, SI served as the Trust’s transfer agent.

Effective May 1, 2010, the investment advisory contract for Series E, Series O, and Series Z provides that the total expenses be limited to 0.81%, 1.00%, and 2.35%, respectively, of average daily net assets, exclusive of brokerage costs, dividends on securities sold short, expenses of other investment companies in which a fund invests, interest, taxes, litigation, indemnification, and extraordinary expenses (as determined under generally accepted accounting principles). These contracts are in effect through April 30, 2012. SI is entitled to reimbursement by the Series E, Series O, and Series Z of fees waived or expenses reimbursed during any of the previous 36 months, beginning on the date of the expense limitation agreement, if on any day the estimated operating expenses are less than the indicated percentages. As of June 30, 2011, the amount of fees reimbursed that are subject to recoupment in the Series E, Series O, and Series Z were $181,665, $79,226, and $285,696, respectively. For the period ended June 30, 2011, the amounts of fees recouped by SI in the Series E, Series O, and Series Z were $—, $—, and $—, respectively. Prior to May 1, 2010, Series E had a 0.15% fee waiver of $(66,467) which is not available to be recouped and had no expense limit. Prior to May 1, 2010 the expense limit for Series O was 0.85% and Series Z was 1.70%.

At June 30, 2011, Security Benefit Life Insurance Company, through their insurance company separate accounts, owned 100% of the outstanding shares of each Series of the Trust, except for Series O, Q and V, in which it owns 99% of each Series.

3. Federal Income Tax Information

The Funds intend to comply with the provisions of Subchapter M of the Internal Revenue Code applicable to regulated investment companies and distribute substantially all taxable net investment income and capital gains sufficient to relieve them from all, or substantially all, federal income, excise and state income taxes. Distributions may be made via consent dividends, as previously described in the paragraph 1H. Therefore, no provision for federal or state income tax is required.

Tax positions taken or expected to be taken in the course of preparing the Funds’ tax returns are evaluated to determine whether the tax positions are “more-likely-than-not” of being sustained by the applicable tax authority. Tax positions not deemed to meet the more-likely-than-not threshold would be recorded as a tax benefit or expense in the current year. Management has analyzed the Funds’ tax positions taken on federal income tax returns for all open tax years (fiscal years 2007 — 2011), and has concluded that no provision for income tax is required in the Funds’ financial statements.

Income and capital gain distributions are determined in accordance with Federal income tax regulations, which may differ from U.S. generally accepted accounting principles. These differences are primarily due to differing treatments for derivatives, foreign currency transactions, losses deferred due to wash sales, losses deferred due to post-October losses, and excise tax regulations.

The Fund declared ordinary and long-term capital gain consent dividends for the year ended December 31, 2010, as shown below.


	Ordinary Consent		Long-term Capital Gain
	Dividends		Consent Dividend

RydexSGI SBL Fund:
Series A (Large Cap Core Series)	$	4,030,354	$	1,730,063
Series B (Large Cap Value Series)		2,285,314		2,252,176
Series D (MSCI EAFE Equal Weight Series)		13,587,873		7,698,733
Series E (U.S. Intermediate Series)		3,811,519		—
Series J (Mid Cap Growth Series)		4,484,278		10,710,842
Series N (Managed Asset Allocation Series)		1,147,178		687,148
Series O (All Cap Value Series)		1,084,849		—
Series P(High Yield Series)		10,938,114		—
Series Q (Small Cap Value Series)		—		9,636,649
Series V (Mid Cap Value Series)		2,289,761		—
Series X (Small Cap Growth Series)		2,051,653		4,187,547
Series Y (Large Cap Concentrated Growth Series)		3,222,696		648,630
Series Z (Alpha Opportunity Series)		1,228,159		2,731,086

Short term distributions are treated as ordinary distributions for federal income tax purposes.

Permanent book and tax basis differences, if any, will result in reclassifications. This may include net operating losses not utilized during the current period and the expiration of capital loss carryforward. These reclassifications have no effect on net assets or net asset values per share. Any undistributed ordinary income or long-term capital gain remaining at fiscal year-end is distributed in the following year.

the RYDEX|SGI sbl fund semi-annual report | 119

NOTES TO FINANCIAL STATEMENTS (Unaudited) (continued)

The RIC Modernization Act of 2010 was signed into law on December 22, 2010 and seeks to simplify some of the tax provisions applicable to regulated investment companies and the tax reporting to their shareholders, and to improve the tax efficiency of certain fund structure. The greatest impact to the disclosure in the financial reports for the Funds will be seen on the treatment of net capital losses, effective for tax years beginning after December 22, 2010.

At June 30, 2011, the cost of securities for Federal income tax purposes, the aggregate gross unrealized gain for all securities for which there was an excess of value over tax cost and the aggregate gross unrealized loss for all securities for which there was an excess of tax cost over value were as follows:


	Investment		Tax Unrealized		Tax Unrealized			Net Unrealized
Fund Name	Tax Cost		Gain		Loss			Gain (Loss)

Series A (Large Cap Core Series)	$	207,392,802	$	30,651,345	$	(6,725,840	)	$	23,925,505
Series B (Large Cap Value Series)		242,250,518		56,087,170		(13,070,942	)		43,016,228
Series C (Money Market Series)		78,163,263		5,050		(730	)		4,320
Series D (MSCI EAFE Equal Weight Series)		252,576,593		7,326,937		(8,802,538	)		(1,475,601	)
Series E (U.S. Intermediate Bond Series)		129,637,159		4,955,032		(1,548,202	)		3,406,830
Series J (Mid Cap Growth Series)		133,170,606		22,505,672		(1,219,903	)		21,285,769
Series N (Managed Asset Allocation Series)		67,565,179		8,605,908		(1,213,203	)		7,392,705
Series O (All Cap Value Series)		140,916,835		23,400,884		(6,287,546	)		17,113,338
Series P(High Yield Series)		100,987,478		12,599,185		(6,268,510	)		6,330,675
Series Q (Small Cap Value Series)		102,432,278		26,052,639		(5,103,855	)		20,948,784
Series V (Mid Cap Value Series)		260,941,818		69,169,290		(25,199,252	)		43,970,038
Series X (Small Cap Growth Series)		37,573,105		11,654,608		(1,220,852	)		10,433,756
Series Y (Large Cap Concentrated Growth Series)		35,340,358		3,860,205		(491,051	)		3,369,154
Series Z (Alpha Opportunity Series)		17,844,679		1,744,572		(898,490	)		846,082

At December 31, 2010, the following Series had capital loss carryovers and deferred post-October losses to offset future realized capital gains as follows:

Capital Loss Carryovers:


	Capital Loss		Capital Loss		Remaining						Deferred
	Carryovers		Carryovers		Capital Loss		Annual				Post-October
Rydex SGI SBL Fund:	Utilized		Expired		Carryovers		Limitations*		Expires in		Losses

Series A (Large Cap Core Series)	$	5,092,463	$	—	$	—	$	8,855,698		2015	$	—
		1,189,537		—		32,695,308				2016		—
		—		—		29,087,804				2017		—

	$	6,282,000	$	—	$	61,783,112	$	8,855,698			$	—

Series B (Large Cap Value Series)	$	4,641,062	$	82,531,658	$	—	$	10,999,919		2010	$	—
		—		15,620,935		10,999,919				2011		—
		—		—		29,474,335				2016		—
		—		—		27,901,075				2017		—

	$	4,641,062	$	98,152,593	$	68,375,329	$	10,999,919

Series D (MSCI EAFE Equal Weight Series)	$	4,143,398	$	—	$	52,891,987	$	9,820,391		2016	$	125,549
		—		37,080,853		15,850,751				2017		—

	$	4,143,398	$	37,080,853	$	68,742,738	$	9,820,391			$	125,549

Series E (U.S. Intermediate Bond Series)	$	—	$	719,015	$	—	$	5,322,700		2010	$	—
		—		—		350,320				2012		—
		—		—		2,731,334				2014		—
		—		—		838,194				2015		—
		—		—		937,378				2016		—
		—		—		12,363,518				2017		—
		—		—		360,156				2018		—

	$	—	$	719,015	$	17,580,900	$	5,322,700			$	—

Series J (Mid Cap Growth Series)	$	10,513,898	$	3,604,529	$	34,773,082	$	5,795,514		2016	$	—
		—		17,847,585		12,014,918				2017		—

	$	10,513,898	$	21,452,114	$	46,788,000	$	5,795,514			$	—

Series N (Managed Asset Allocation Series)	$	1,241,429	$	—	$	1,407,273	$	2,942,348		2016	$	—
		—		—		9,066,990				2017		—

	$	1,241,429	$	—	$	10,474,263	$	2,942,348			$	—

Series O (All Cap Value Series)	$	1,512,399	$	—	$	16,305,897	$	6,099,793		2016	$	—
		—		—		12,798,147				2017		—

	$	1,512,399	$	—	$	29,104,044	$	6,099,793			$	—

120 | the RYDEX|SGI sbl fund semi-annual report

NOTES TO FINANCIAL STATEMENTS (Unaudited) (continued)


	Capital Loss		Capital Loss		Remaining						Deferred
	Carryovers		Carryovers		Capital Loss		Annual				Post-October
Rydex SGI SBL Fund:	Utilized		Expired		Carryovers		Limitations*		Expires in		Losses

Series P(High Yield Series)	$	1,117,474	$	—	$	—			$	2017	$	—

Series Q (Small Cap Value Series)	$	7,067,511	$	—	$	14,581,372	$	4,607,148		2017	$	—

Series V (Mid Cap Value Series)	$	9,162,184	$	—	$	18,619,728	$	12,009,881		2017	$	—

Series X (Small Cap Growth Series)	$	614,101	$	6,570,527	$	—	$	1,455,499		2010	$	—
		—		2,921,243		8,732,992				2016		—
		—		9,876,882		1,455,499				2017		—

	$	614,101	$	19,368,652	$	10,188,491	$	1,455,499			$	—

Series Y (Large Cap Concentrated Growth Series)	$	674,340	$	8,610,051	$	—	$	1,598,274		2010	$	—
		—		4,494,036		1,598,274				2011		—
		—		—		338,147				2012		—
		—		1,359,560		7,653,224				2016		—
		—		4,772,212		1,598,274				2017		—

	$	674,340	$	19,235,859	$	11,187,919	$	1,598,274			$	—

Series Z (Alpha Opportunity Series)	$	329,407	$	5,760,760	$	4,684,418	$	780,736		2016	$	30
		—		1,348,656		780,736				2017		—

	$	329,407	$	7,109,416	$	5,465,154	$	780,736			$	30


*		In accordance with Section 382 of the Internal Revenue Code, a portion of certain Series losses are subject to an annual limitation. Note, this annual limitation is generally applicable to all of the capital loss carryovers shown with respect to each series. The limitation does not relate only to the loss shown on the first row of each Series.

As of December 31, 2010, the components of distributable earnings/(deficit) on a tax basis were as follows:


	Undistributed		Undistributed		Accumulated			Unrealized			Total
	Ordinary		Long-Term		Capital and			Appreciation			Accumulated
Rydex SGI SBL Fund:	Income		Capital Gain		Other Losses			(Depreciation)*			Earnings/(Deficit)**

Series A (Large Cap Core Series)	$	4,030,354	$	1,730,063	$	(61,783,112	)	$	26,290,723		$	(29,731,972	)
Series B (Large Cap Value Series)		2,285,314		2,252,176		(68,375,328	)		40,848,404			(22,989,434	)
Series C (Money Market Series)		—		—		—			(537	)		(537	)
Series D (MSCI EAFE Equal Weight Series)		13,587,873		7,698,733		(68,868,287	)		39,361,280			(8,220,401	)
Series E (U.S. Intermediate Bond Series)		3,811,519		—		(17,580,900	)		2,374,770			(11,394,611	)
Series J (Mid Cap Growth Series)		4,484,278		10,710,842		(46,788,000	)		28,519,329			(3,073,551	)
Series N (Managed Asset Allocation Series)		1,147,178		667,148		(10,474,263	)		6,719,281			(1,940,656	)
Series O (All Cap Value Series)		1,084,849		—		(29,104,044	)		13,722,790			(14,296,405	)
Series P(High Yield Series)		10,938,114		—		—			11,435,714			22,373,828
Series Q (Small Cap Value Series)		—		9,636,619		(14,581,372	)		33,714,655			28,769,902
Series V (Mid Cap Value Series)		2,289,761		—		(18,619,728	)		48,283,813			31,953,846
Series X (Small Cap Growth Series)		2,051,653		4,187,547		(10,188,491	)		10,529,436			6,580,145
Series Y (Large Cap Concentrated Growth Series)		3,222,696		648,630		(11,187,920	)		5,318,222			(1,998,372	)
Series Z (Alpha Opportunity Series)		1,228,159		2,731,086		(5,465,184	)		65,259			(1,440,680	)


*		The difference between book basis and tax basis unrealized appreciation (depreciation) is attributable primarily to the tax deferral of losses on wash sales, the realization of unrealized gains for tax purposes on futures contracts, differing book and tax methods for bond discount/premium amortization, and passive foreign investment companies.

**		The difference between total distributable earnings/(deficit) for book and tax purposes is related to the interest accrued on defaulted bonds for tax purposes.

4. Fair Value Measurement

In accordance with U.S. generally accepted accounting principles, fair value is defined as the price that the Fund would receive to sell an investment or pay to transfer a liability in an orderly transaction with an independent buyer in the principal market, or in the absence of a principal market the most advantageous market for the investment or liability. A three-tier hierarchy is utilized to distinguish between (1) inputs that reflect the assumptions market participants would use in pricing an asset or liability developed based on market data obtained from sources independent of the reporting entity (observable inputs) and (2) inputs that reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing an asset or liability developed based on the best information available in the circumstances (unobservable inputs) and to establish classification of fair value

the RYDEX|SGI sbl fund semi-annual report | 121

NOTES TO FINANCIAL STATEMENTS (Unaudited) (continued)

measurements for disclosure purposes. Various inputs are used in determining the value of the Funds’ investments. The inputs are summarized in the three broad levels listed below:

Level 1 — quoted prices in active markets for identical securities.

Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.).

Level 3 — significant unobservable inputs (including the fund’s own assumptions used to determine the fair value of investments). The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

The following table summarizes the inputs used to value the Funds’ net assets at June 30, 2011:


	Level 1		Level 1		Level 2		Level 3
	Investments		Other Financial		Investments		Investments
Fund	In Securities		Instruments*		In Securities		In Securities		Total

Assets
Series A (Large Cap Core Series)	$	231,318,307	$	—	$	—	$	—	$	231,318,307
Series B (Large Cap Value Series)		285,266,746		—		—		—		285,266,746
Series C (Money Market Series)		—		—		78,167,583		—		78,167,583
Series D (MSCI EAFE Equal Weight Series)		250,722,447		—		378,545		—		251,100,992
Series E (U.S. Intermediate Bond Series)		51,188,102		—		81,623,221		232,666		133,043,989
Series J (Mid Cap Growth Series)		154,456,375		—		—		—		154,456,375
Series N (Managed Asset Allocation Series)		52,331,612		—		22,626,272		—		74,957,884
Series O (All Cap Value Series)		158,030,173		—		—		—		158,030,173
Series P(High Yield Series)		1,417,000		—		105,130,947		770,206		107,318,153
Series Q (Small Cap Value Series)		123,211,288		—		169,774		—		123,381,062
Series V (Mid Cap Value Series)		301,951,919		—		2,959,937		—		304,911,856
Series X (Small Cap Growth Series)		48,006,861		—		—		—		48,006,861
Series Y (Large Cap Concentrated Growth)		38,709,512		—		—		—		38,709,512
Series Z (Alpha Opportunity Series)		16,676,326		187,208		5,079,571		—		21,943,105

Liabilities
Series O (All Cap Value Series)		96,900		—		—		—		96,900
Series V (Mid Cap Value Series)		217,000		—		—		—		217,000
Series Z (Alpha Opportunity Series)		243,290		—		—		7,786,654		8,029,944


*		Other financial instruments include futures, which are reported as unrealized gain/loss at period end.

The Funds adopted updated provisions surrounding fair value measurements and disclosures which apply to the Funds’ disclosures about transfers in and out of all levels of the fair value hierarchy and the reasons for the transfers as well as to disclosures about the valuation techniques and inputs used to measure fair value for investments that fall in either Level 2 or Level 3 of the fair value hierarchy. Effective for interim and annual periods beginning after December 15, 2010, purchases, sales, issuances and settlements must be shown on a gross basis in the Level 3 roll forward rather than as one net number.

Transfers between investment Levels may occur as the markets fluctuate and/or the availability of data used in an investment’s valuation changes. The Funds recognize transfers between the Levels as of the beginning of the period. For the period ended June 30, 2011, there were no transfers between levels.

Summary of Fair Value Level 3 Activity

Following is a reconciliation of Level 3 assets for which significant unobservable inputs were used to determine fair value for the period ended June 30, 2011:

122 | the RYDEX|SGI sbl fund semi-annual report

NOTES TO FINANCIAL STATEMENTS (Unaudited) (continued)

LEVEL 3 — Fair value measurement using significant unobservable inputs


	Total

Series E (U.S. Intermediate Bond Series)
Assets:
Beginning Balance	$	233,592
Total realized gains or losses included in earnings		—
Total change in unrealized gains or losses included in earnings		(926	)
Purchases, sales, issuances, and settlements (net)		—
Transfers in and/or out of Level 3		—

Ending Balance	$	232,666


Series P(High Yield Series)
Assets:
Beginning Balance	$	630,259
Total realized gains or losses included in earnings		—
Total change in unrealized gains or losses included in earnings		139,947
Purchases, sales, issuances, and settlements (net)		—
Transfers in and/or out of Level 3		—

Ending Balance	$	770,206


Series Z (Alpha Opportunity Series)
Liabilities:
Beginning Balance	$	7,786,654
Total realized gains or losses included in earnings		—
Total change in unrealized gains or losses included in earnings		—
Purchases, sales, issuances, and settlements (net)		—
Transfers in and/or out of Level 3		—

Ending Balance	$	7,786,654

The total change in unrealized gains or losses included on the Statements of Operations attributable to Level 3 investments still held at June 30, 2011 was $(926) for Series E, $139,947 for Series P and $0 for Series Z.

5. Repurchase Agreements

In connection with transactions in repurchase agreements, it is the Funds’ policy that their custodian takes possession of the underlying collateral. The collateral is in the possession of the Funds’ custodian and is evaluated to ensure that its market value exceeds, at a minimum,102% of the original face amount of the repurchase agreements.

At June 30, 2011, the collateral for the repurchase agreements in the joint account was as follows:

Terms of

Repurchase

Collateral

Fund

Counterparty

Agreement

Face Value

Price

Type

Rate

Maturity

Value

Series Z (Alpha Opportunity Series)

State Street

0.01% due 07/01/11

3,065,136

U.S. Treasury Note

3.13

4/30/17

2,192,317

U.S. Treasury Note

0.00

8/11/11

939,978

3,132,295

In the event of counterparty default, the Funds have the right to collect the collateral to offset losses incurred. There is potential loss to the Funds in the event the Funds are delayed or prevented from exercising their rights to dispose of the collateral securities, including the risk of a possible decline in the value of the underlying securities during the period while the Funds seek to assert their rights. The Funds’ investment advisor, acting under the supervision of the Board of Trustees, reviews the value of the collateral and the creditworthiness of those banks and dealers with which the Funds enter into repurchase agreements to evaluate potential risks.

6. Derivative Investment Holdings Categorized by Risk Exposure

U.S. generally accepted accounting principles requires disclosures to enable investors to better understand how and why the Funds use derivative instruments, how these derivatives instruments are accounted for and their effects on the Funds’ financial position and results of operations. None of the derivatives currently held by the Funds are being used as hedging instruments.

During the period ended June 30, 2011, certain Funds sought to gain exposure to their respective benchmarks by investing in financial-linked derivative instruments, including options and futures. The following table represents the notional amount of derivative instruments outstanding, as an approximate percentage of the Funds’ net assets on a daily basis, while the risk to the Funds is limited to the profit earned on such derivatives.

the RYDEX|SGI sbl fund semi-annual report | 123

NOTES TO FINANCIAL STATEMENTS (Unaudited) (continued)


	Approximate percentage
	of Fund’s net assets
Fund	on a daily basis

Series O (All Cap Value Series)		1	%
Series V (Mid Cap Value Series)		1	%
Series Z (Alpha Opportunity Series)		25	%

The following is a summary of the location of derivative investments on the Funds’ Statements of Assets and Liabilities as of June 30, 2011:


Derivative Investments Type	Asset Derivatives	Liability Derivatives

Equity contracts	Variation margin	Variation margin
		Options written, at value

The following table sets forth the fair value of the Funds’ derivative investments categorized by primary risk exposure at June 30, 2011:

Asset Derivative Investments Value

Futures

Options Written

Equity

Total Value at

Fund

Contracts*

Contracts

June 30, 2011

Series Z (Alpha Opportunity Series)

187,208

—

187,208

Liability Derivative Investments Value


	Futures		Options Written
	Equity		Equity		Total Value at
Fund	Contracts*		Contracts		June 30, 2011

Series O (All Cap Value Series)	$	—	$	96,900	$	96,900
Series V (Mid Cap Value Series)		—		217,000		217,000


*		Includes cumulative appreciation (depreciation) of futures contracts as reported on the Schedules of Investments. Only current day’s variation margin is reported within the Statements of Assets and Liabilities.

The following is a summary of the location of derivative investments on the Funds’ Statements of Operations for the period ended June 30, 2011:


Derivative Investment Type		Location of Gain (Loss) on Derivatives
Equity contracts		Net realized gain (loss) on futures
		Net realized gain (loss) on written options
		Net change in unrealized appreciation (depreciation) on futures
		Net change in unrealized appreciation (depreciation) on options written

The following is a summary of the Funds’ realized gain (loss) and change in unrealized appreciation (depreciation) on derivative investments recognized on the Statements of Operations categorized by primary risk exposure for the period ended June 30, 2011:

Realized Gain (Loss) on Derivative Investments Recognized on the Statements of Operations


	Futures		Options Written
	Equity		Equity
Fund	Contracts		Contracts		Total

Series D (MSCI EAFE Equal Weight Series)	$	1,465,729	$	—	$	1,465,729
Series O (All Cap Value Series)		—		84,119		84,119
Series Q (Small Cap Value Series)		—		195,379		195,379
Series V (Mid Cap Value Series)		—		266,340		266,340
Series Z (Alpha Opportunity Series)		109,696		—		109,696

Change in Unrealized Appreciation (Depreciation) on Derivative Investments Recognized on the Statements of Operations


	Futures		Options Written
	Equity		Equity
Fund	Contracts		Contracts			Total

Series O (All Cap Value Series)	$	—	$	180,743		$	180,743
Series Q (Small Cap Value Series)		—		(28,837	)		(28,837	)
Series V (Mid Cap Value Series)		—		334,616			334,616
Series Z (Alpha Opportunity Series)		126,804		—			126,804

124 | the RYDEX|SGI sbl fund semi-annual report

NOTES TO FINANCIAL STATEMENTS (Unaudited) (continued)

7. Other Liabilities

Series A (Large Cap Core Series) and Series V (Mid Cap Value Series) each wrote put option contracts through Lehman Brothers, Inc. (“Lehman”) that were exercised prior to the option contracts expiration and prior to the bankruptcy filing by Lehman, during September 2008. However, these transactions have not settled and the securities have not been delivered to the Funds as of June 30, 2011.

Although the ultimate resolution of these transactions is uncertain, the Funds have recorded a liability on their respective books equal to the difference between the strike price on the put options and the market prices of the underlying security on the exercise date. The amount of liability recorded by the Funds as of June 30, 2011 was $18,615 for Series A and $205,716 for Series V.

8. Investment Transactions

For the period ended June 30, 2011, the cost of purchases and proceeds from sales of investment securities, excluding short-term and temporary cash investments, and government securities, were:


	Purchases		Sales

Series A (Large Cap Core Series)	$	98,437,908	$	113,373,808
Series B (Large Cap Value Series)		29,591,557		44,557,212
Series C (Money Market Series)		—		—
Series D (MSCI EAFE Equal Weight Series)		372,563,879		394,798,834
Series E (U.S. Intermediate Bond Series)		11,925,106		14,198,715
Series J (Mid Cap Growth Series)		130,782,975		149,990,839
Series N (Managed Asset Allocation Series)		9,412,656		14,279,008
Series O (All Cap Value Series)		16,245,482		26,191,649
Series P(High Yield Series)		28,940,109		51,321,216
Series Q (Small Cap Value Series)		36,897,219		41,325,271
Series V (Mid Cap Value Series)		45,891,149		71,030,178
Series X (Small Cap Growth Series)		23,982,748		25,890,474
Series Y (Large Cap Concentrated Growth)		28,454,623		33,829,814
Series Z (Alpha Opportunity Series)		38,194,381		37,779,688

During the period ended June 30, 2011, purchases and sales of government securities, excluding short-term investments, were:


	Purchases		Sales

Series E (U.S. Intermediate Bond Series)	$	22,428,789	$	7,692,656
Series N (Managed Asset Allocation Series)		5,258,139		6,115,404

9. Affiliated Transactions

Investments representing 5% or more of the outstanding voting shares of a portfolio company of a fund, or control of or by, or common control under Guggenheim Partners, LLC, result in that portfolio company being considered an affiliated company of such fund, as defined in the 1940 Act. Transactions for the period ended June 30, 2011 in which the portfolio company is an “affiliated person” are as follows:


								Value		Shares
		Value						June 30,		June 30,		Investment
Fund	Security	12/31/10		Additions		Reductions		2011		2011		Income

Series V (Mid Cap Value Series)	Common Stock: Hydrogen Corp.	$	14,792	$	—	$	—	$	11,430		672,346	$	—

10. Options Written

Information as to options written by the Funds during the period ended June 30, 2011 and options outstanding at period end are provided below.

Series O Written Call Options


	Contracts			Amount

Balance at December 31, 2010		1,146		$	124,440
Options written		406			41,153
Options terminated in closing purchase transactions		—			—
Options expired		(603	)		(57,332	)
Options exercised		(949	)		(108,261	)

Balance at June 30, 2011		—		$	—

the RYDEX|SGI sbl fund semi-annual report | 125

NOTES TO FINANCIAL STATEMENTS (Unaudited) (continued)

Series O Written Put Options


	Number of			Premium
	Contracts			Amount

Balance at December 31, 2010		206		$	26,787
Options written		453			121,262
Options terminated in closing purchase transactions		—			—
Options expired		(206	)		(26,788	)
Options exercised		(168	)		(56,783	)

Balance at June 30, 2011		285		$	64,478

Series Q Written Call Options


	Number of			Premium
	Contracts			Amount

Balance at December 31, 2010		1,382		$	113,798
Options written		502			60,559
Options terminated in closing purchase transactions		—			—
Options expired		(1,858	)		(171,119	)
Options exercised		(26	)		(3,238	)

Balance at June 30, 2011		—		$	—

Series Q Written Put Options


	Number of			Premium
	Contracts			Amount

Balance at December 31, 2010		130		$	23,140
Options written		—			—
Options terminated in closing purchase transactions		—			—
Options expired		(130	)		(23,140	)
Options exercised		—			—

Balance at June 30, 2011		—		$	—

Series V Written Call Options


	Number of			Premium
	Contracts			Amount

Balance at December 31, 2010		3,231		$	332,827
Options written		914			84,010
Options terminated in closing purchase transactions		—			—
Options expired		(1,980	)		(171,254	)
Options exercised		(2,165	)		(245,583	)

Balance at June 30, 2011		—		$	—

Series V Written Put Options


	Number of			Premium
	Contracts			Amount

Balance at December 31, 2010		639		$	95,086
Options written		1,250			267,021
Options terminated in closing purchase transactions		—			—
Options expired		(639	)		(95,086	)
Options exercised		(300	)		(101,398	)

Balance at June 30, 2011		950		$	165,623

11. Series Z

The Fund contracted with Lehman Brothers International Europe (“LBIE”) to provide prime brokerage services related to the Fund’s short selling. On September 15, 2008, LBIE was placed into administration and a third party administrator was named (the “Administrator”). The Fund’s exposure to LBIE consists of short sale proceeds held by LBIE, and restricted long positions held at the Fund’s custodian, as collateral for said short sales. The Fund has delivered a Notice of Termination of Loans to LBIE and the Administrator. The Fund is working to resolve these issues with LBIE and the Administrator. As of June 30, 2011, included in the Statement of Assets and Liabilities are the value of restricted long positions of $9,352,139, cash collateral of $586,580, restricted cash representing the value of short sale proceeds of $4,722,413 and liabilities for short sales of $7,786,654, representing the value of securities sold short at the date the short sales were deemed by the Fund to have been terminated. If these short sales had not been terminated, the value of the liability related to these securities sold short would have been $8,455,465 as of June 30, 2011 resulting in a decrease in net assets of $668,811 (or 3.4%). Until such time as the liability for short

126 | the RYDEX|SGI sbl fund semi-annual report

NOTES TO FINANCIAL STATEMENTS (Unaudited) (concluded)

sales is settled and all restrictions are removed by LBIE and LBI, the Fund cannot sell such restricted long positions and/or utilize the restricted cash balances to achieve the Fund’s investment objectives and/or meet Fund redemption or other Fund obligations. Based on the ultimate terms of such settlement, the value assigned to these positions may ultimately differ from the fair valuations assigned to them by the Fund and there is no guaranty that the Fund will ultimately recover the full value of the assets that are subject to restrictions. Accordingly, a settlement could ultimately result in the Fund realizing values that are materially different from those indicated herein, which would materially impact the Fund’s net asset value (either positively or negatively). As of the close of business on October 3, 2008, and until further notice, the Fund is not accepting subscriptions for shares from either new or existing shareholders.

12. Fund Merger

On April 30, 2010, Series A (Large Cap Core Series) acquired all of the net assets of Series H (Enhanced Index Series), a separate series of the Fund, in exchange for shares of the Series A (Large Cap Core Series), pursuant to an agreement and plan of reorganization approved by the Board of Directors and approved by the shareholders of the Series H (Enhanced Index Series). The acquisition was accomplished through a combination of a tax-free exchange of the outstanding shares of the Series H (Enhanced Index Series) 5,066,966 valued at $47,882,828 for respective shares of the Series A (Large Cap Core Series) 2,188,429. For financial reporting purposes, the net assets received and shares issued by Series A (Large Cap Core Series) were recorded at fair value; however, the Series H (Enhanced Index Series)’s cost of the investments was carried forward to align ongoing reporting of Series A (Large Cap Core Series) realized and unrealized gains and losses with amounts distributable to shareholders for tax purposes.

Series H (Enhanced Index Series)’s net assets on April 30, 2010 were $47,882,828, including $1,097,678 of unrealized appreciation. Series H (Enhanced Index Series)’s net assets were primarily comprised of investments with a fair value of $45,146,242. The aggregate net assets of Series A (Large Cap Core Series) immediately before and after the acquisition were $204,742,194 and $252,625,022, respectively.

The financial statements reflect the operations of the Series A (Large Cap Core Series) for the period prior to the acquisition and the combined fund for the period subsequent to the fund merger. Because the combined investment portfolios have been managed as a single integrated portfolio since the acquisition was completed, it is not practicable to separate the amounts of revenue and earnings of the Series H (Enhanced Index Series) that have been included in the combined fund’s Statement of Operations since the acquisition was completed. Assuming the acquisition had been completed January 1, 2010, Series A (Large Cap Core Series) pro-forma net investment income, net realized and unrealized gain on investments and net increase in net assets from operations for the period January 1, 2010 to December 31, 2010 would have been $2,093,242, $34,973,609 and $37,066,851, respectively. Security Investors, LLC and Series H (Enhanced Index Series) bore one-half of the expenses related to the reorganization.

13. Series D Name and Objective Change

At a meeting held on February 16, 2011 the Board of Directors (the “Board”) approved the following changes with respect to Series D, each effective on April 29, 2011:

	•		The change of the Fund’s name to “MSCI EAFE Equal Weight Series;”

	•		The change of the Fund’s’ investment objective to “performance that corresponds, before fees and expenses, to the price and yield performance of the MSCI EAFE Equal Weighted Index;”

	•		The change of the Fund’s investment strategies to reflect the new name and investment objective;

	•		The change of the Fund’s benchmark index in light of the foregoing changes to the Fund’s investment objective and strategies; and

	•		A new lower investment advisory fee of 0.70% of average daily net assets on an annual basis (instead of 1.00% prior to April 29, 2011).

14. New Accounting Pronouncements

In April 2011, the Financial Accounting Standards Board issued an Accounting Standards Update, Improving Disclosures about Fair Value Measurements, which introduces new disclosure requirements and clarifies certain existing disclosure requirements around fair value measurements currently presented in Note 4 related primarily to Level 3 measurement. The new disclosures and clarifications of existing disclosures are effective for the Funds’ year ending December 31, 2011. Management is evaluating the impact of this update on its current disclosures.

the RYDEX|SGI sbl fund semi-annual report | 127

INFORMATION ON BOARD OF DIRECTORS AND OFFICERS (Unaudited)

DIRECTORS

The business address of each Director is One Security Benefit Place, Topeka, KS 66636-0001


Name
(Date of Birth)		Principal Occupations
Year Elected***		During Past Five Years
Donald A. Chubb, Jr.** (12-14-46) 1994		Business Broker — Griffith & Blair Realtors

Harry W. Craig, Jr.** (05-11-39) 2004		Chairman, CEO, Secretary & Director — The Martin Tractor Company, Inc.

Jerry B. Farley** (09-20-46) 2005		President — Washburn University

Penny A. Lumpkin** (08-20-39) 1993		Partner — Vivian’s Gift Shop (Corporate Retail) Vice President — Palmer Companies, Inc. (Small Business and Shopping Center Development) Vice President — PLB (Real Estate Equipment Leasing)

Maynard F. Oliverius** (12-18-43) 1998		President & Chief Executive Officer — Stormont-Vail HealthCare

Richard M. Goldman* (03-04-61) 2008 (President, Director & Chairman of the Board)		Senior Vice President — Security Benefit Corporation Director — First Security Benefit Life Insurance and Annuity Company of New York President — Security Investors, LLC President & Director — Security Global Investors, LLC CEO, President, & Director — Rydex Distributors, LLC President & CEO — Rydex Holdings, LLC CEO & Director — Padco Advisors, Inc. CEO & Director — Padco Advisors II, Inc. Director — Rydex Fund Services, Inc. Director — Security Distributors, Inc. (2007-2009) Managing Member — Goldman Partners, LLC (2006-2007)


*		This Director is deemed to be an “interested person” of the Funds under the 1940 Act, as amended, by reason of his position with the Funds’ Investment Manager and/or the parent of the Investment Manager. This Director is also an Officer of the funds.

**		These Directors serve on the Fund’s joint audit committee, the purpose of which is to meet with the independent registered public accounting firm, to review the work of the independent registered public accounting firm, and to oversee the handling by Security Investors of the accounting and financial reporting functions for the Funds.

***		Each Director oversees 28 Security Funds portfolios and serves until the next annual meeting, or until a successor has been duly elected and qualified.

128 | the RYDEX|SGI sbl fund semi-annual report

INFORMATION ON BOARD OF DIRECTORS AND OFFICERS (Unaudited) (continued)

OFFICERS*

The business address of each Officer is One Security Benefit Place, Topeka, KS 66636-0001


Name
(Date of Birth)		Principal Occupations
Title — Year Elected		During Past Five Years
Mark P. Bronzo (11-01-60) Vice President — 2008		Current: Portfolio Manager, Security Investors, LLC Managing Director and Chief Compliance Officer, Nationwide Separate Accounts LLC (2003-2008)

Keith A. Fletcher (02-18-58) Vice President — 2010		Current: Senior Vice President, Security Investors, LLC; Vice President, Rydex Holdings, LLC; Vice President, Rydex Specialized Products, LLC; Vice President, Rydex Distributors, LLC; Vice President, Rydex Fund Services, LLC; Vice President and Director, Advisor Research Center, Inc.; and Vice President, Rydex Series Funds, Rydex ETF Trust, Rydex Dynamic Funds and Rydex Variable Trust Vice President, Security Global Investors, LLC (2010-2011); Vice President, Rydex Advisors, LLC (2010); and Vice President, Rydex Advisors II, LLC (2010)

Joanna Haigney (10-10-66) Chief Compliance Officer — 2010		Current: Chief Compliance Officer & Secretary, Rydex Series Funds, Rydex ETF Trust, Rydex Dynamic Funds, and Rydex Variable Trust; Vice President, Rydex Holdings, LLC; Vice President, Security Benefit Asset Management Holdings, LLC; and Senior Vice President & Chief Compliance Officer, Security Investors, LLC Senior Vice President, Security Global Investors, LLC (2010-2011); Chief Compliance Officer and Senior Vice President, Rydex Advisors, LLC & Rydex Advisors II, LLC (2010)

Nikolaos Bonos (05-30-63) Treasurer — 2010		Current: Senior Vice President, Security Investors, LLC; Chief Executive Officer & Manager, Rydex Specialized Products, LLC; Chief Executive Officer & President, Rydex Fund Services, LLC; Vice President, Rydex Holdings, LLC; Vice President & Treasurer, Rydex Series Funds; Rydex ETF Trust; Rydex Dynamic Funds; and Rydex Variable Trust; and Vice President, Security Benefit Asset Management Holdings, LLC Senior Vice President, Security Global Investors, LLC (2010-2011); and Senior Vice President, Rydex Advisors, LLC and Rydex Advisors II, LLC (2010)

Joseph M. Arruda (09-05-66) Assistant Treasurer — 2010		Current: Vice President, Security Investors, LLC; Chief Financial Officer & Manager, Rydex Specialized Products, LLC; and Assistant Treasurer, Rydex Series Funds; Rydex Dynamic Funds; Rydex ETF Trust; and Rydex Variable Trust Vice President, Security Global Investors, LLC (2010-2011); and Vice President, Rydex Advisors, LLC and Rydex Advisors II, LLC (2010)


*		Officers serve until the next annual meeting or until a successor has been duly elected and qualified.

the RYDEX|SGI sbl fund semi-annual report | 129

INFORMATION ON BOARD OF DIRECTORS AND OFFICERS (Unaudited) (concluded)

OFFICERS* (concluded)

The business address of each officer is One Security Benefit Place, Topeka, KS 66636-0001


Name (Date of Birth)		Principal Occupations
Title — Year Elected		During Past Five Years
Amy J. Lee (06-05-61) Vice President — 2007 Secretary — 1987		Current: Senior Vice President & Secretary, Security Investors, LLC; Secretary & Chief Compliance Officer, Security Distributors, Inc.; Vice President, Associate General Counsel & Assistant Secretary, Security Benefit Life Insurance Company and Security Benefit Corporation; Associate General Counsel, First Security Benefit Life Insurance and Annuity of New York; Vice President & Assistant Secretary, Rydex Series Funds, Rydex ETF Trust, Rydex Dynamic Funds, and Rydex Variable Trust; Vice President & Secretary, Rydex Holdings, LLC Secretary, Advisor Research Center, Inc., Rydex Specialized Products, LLC, Rydex Distributors, LLC and Rydex Fund Services, LLC; and Assistant Secretary, Security Benefit Clinic and Hospital Senior Vice President & Secretary, Security Global Investors, LLC (2007-2011); Senior Vice President & Secretary, Rydex Advisors, LLC and Rydex Advisors II, LLC (2010); and Director, Brecek & Young Advisors, Inc. (2004-2008)

Mark A. Mitchell (08-24-64) Vice President — 2003		Current: Portfolio Manager, Security Investors, LLC Vice President and Portfolio Manager, Security Benefit Life Insurance Company (2003-2010)

Joseph C. O’Connor (07-15-60) Vice President — 2008		Current: Portfolio Manager, Security Investors, LLC Managing Director, Nationwide Separate Accounts LLC (2003-2008)

Daniel W. Portanova (10-02-60) Vice President — 2008		Current: Portfolio Manager, Security Investors, LLC Managing Director, Nationwide Separate Accounts LLC (2003-2008)

James P. Schier (12-28-57) Vice President — 1998		Current: Senior Portfolio Manager, Security Investors, LLC Vice President & Senior Portfolio Manager, Security Benefit Life Insurance Company (1998-2010)

David G. Toussaint (10-10-66) Vice President — 2005		Current: Portfolio Manager, Security Investors, LLC Assistant Vice President and Portfolio Manager, Security Benefit Life Insurance Company. (2005-2009)


*		Officers serve until the next annual meeting or until a successor has been duly elected and qualified.

130 | the RYDEX|SGI sbl fund semi-annual report

OTHER INFORMATION (Unaudited)

Each of the Rydex|SGI Funds files a complete schedule of portfolio holdings with the U.S. Securities and Exchange Commission for the first and third quarters of each fiscal year on Form N-Q. The Forms N-Q of each such Fund are available on the Commission’s website at www.sec.gov. The Forms N-Q may be reviewed and copied at the Commission’s Public Reference Room in Washington, DC. Information on the operation of the Public Reference Room may be obtained by calling 1.800.SEC.0330. The portfolio holdings of each of the Rydex|SGI Funds are available on their website, www.securitybenefit.com or by calling 1.800.888.2461.

A description of the policies and procedures that the Rydex|SGI Funds use to determine how to vote proxies relating to portfolio securities is available upon request, free of charge by calling 1.800.888.2461, or accessing the U.S. Securities and Exchange Commission website at www.sec.gov. Information regarding how the Rydex|SGI Funds voted proxies relating to portfolio securities during the 12 month period ended June 30 is available upon request, free of charge by calling 1.800.888.2461, or accessing the U.S. Securities and Exchange Commission website at www.sec.gov.

The statement of additional information (“SAI”) includes additional information about the Funds’ Directors and is available upon request without charge by calling 1.800.888.2461.

Office Locations

The offices of Security Global Investors, LLC can be found in the following locations:

40 East 52nd Street
16th Floor
New York, NY 10022
(Headquarters)

Four Irvington Centre
805 King Farm Boulevard
Suite 600
Rockville, MD 20850

9401 Indian Creek Parkway
40 Corporate Woods
Suite 850
Overland Park, KS 66210

the RYDEX|SGI sbl fund semi-annual report | 131

RYDEX|SGI PRIVACY POLICIES

Rydex Funds, Rydex|SGI Funds, Rydex Investments, Rydex Distributors, Inc., Security Investors, LLC, Security Global Investors, LLC, Security Distributors, Inc. and Rydex Advisory Services (Collectively “Rydex|SGI”)

Our Commitment to You

When you become a Rydex|SGI investor, you entrust us with not only your hard-earned money but also with personal and financial information about you. We recognize that your relationship with us is based on trust and that you expect us to act responsibly and in your best interests. Because we have access to this private information about you, we hold ourselves to the highest standards in its safekeeping and use. This means, most importantly, that we do not sell client information to anyone—whether it is your personal information or if you are a current or former Rydex|SGI client.

The Information We Collect About You

In the course of doing business with shareholders and investors, we collect nonpublic personal information about you. You typically provide personal information when you complete a Rydex|SGI account application or when you request a transaction that involves Rydex and Rydex|SGI funds or one of the Rydex|SGI affiliated companies. “Nonpublic personal information” is personally identifiable private information about you. For example, it includes information regarding your name and address, Social Security or taxpayer identification number, assets, income, account balance, bank account information and investment activity (e.g., purchase and redemption history).

How We Handle Your Personal Information

As emphasized above, we do not sell information about current or former clients or their accounts to third parties. Nor do we share such information, except when necessary to complete transactions at your request or to make you aware of related investment products and services that we offer. Additional details about how we handle your personal information are provided below. To complete certain transactions or account changes that you direct, it may be necessary to provide identifying information to companies, individuals or groups that are not affiliated with Rydex|SGI. For example, if you ask to transfer assets from another financial institution to Rydex|SGI, we will need to provide certain information about you to that company to complete the transaction. To alert you to other Rydex|SGI investment products and services, we may share your information within the Rydex|SGI family of affiliated companies. This would include, for example, sharing your information within Rydex|SGI so we can make you aware of new Rydex and Rydex|SGI funds or the services offered through another Rydex|SGI affiliated company. In certain instances, we may contract with nonaffiliated companies to perform services for us. Where necessary, we will disclose information we have about you to these third parties. In all such cases, we provide the third party with only the information necessary to carry out its assigned responsibilities and only for that purpose. And we require these third parties to treat your private information with the same high degree of confidentiality that we do. In certain instances, we may share information with other financial institutions regarding individuals and entities in response to the U.S.A. Patriot Act. Finally, we will release information about you if you direct us to do so, if we are compelled by law to do so or in other circumstances permitted by law.

Opt Out Provisions

We do not sell your personal information to anyone. The law allows you to “opt out” of only certain kinds of information sharing with third parties. The firm does not share personal information about you with any third parties that triggers this opt-out right. This means YOU ARE ALREADY OPTED OUT.

How We Protect Privacy Online

Our concern for the privacy of our shareholders also extends to those who use our web site, www.rydex-sgi.com. Our web site uses some of the most secure forms of online communication available, including encryption technology, Secure Socket Layer (SSL) protocol, firewalls and user names and passwords. These technologies provide a high level of security and privacy when you access your account information or initiate online transactions. The Rydex|SGI web site offers customized features that require our use of “http cookies”—tiny pieces of information that we ask your browser to store. However, we make very limited use of these cookies. We only use cookies for session management and security features on the Rydex|SGI web site. We do not use them to pull data from your hard drive, to learn your email address, or to view data in cookies created by other web sites. We will not share the information in our cookies or give others access to it. See the legal information area on our web site for more details about web site security and privacy features.

How We Safeguard Your Personal Information

We restrict access to nonpublic personal information about shareholders to our employees and in some cases to third parties (for example, the service providers described above) as permitted by law. We maintain strict physical, electronic and procedural safeguards that comply with federal standards to guard your nonpublic personal information.

We’ll Keep You Informed

As required by federal law, we will notify shareholders of our privacy policy annually. We reserve the right to modify this policy at any time, but rest assured that if we do change it, we will tell you promptly. You will also be able to access our privacy policy from our web site at www.rydex-sgi.com. Should you have any questions regarding our privacy policy, contact us at 800.820.0888 or 301.296.5100.

132 | the RYDEX|SGI sbl fund semi-annual report

Board of Directors Approval of Investment Advisory Agreement

At an in-person meeting of the Fund’s Board of Directors held February 17, 2011, called for the purpose of, among other things, voting on the approval of an amendment to the Fund’s investment advisory agreement, the Fund’s Board of Directors, including Directors who are not interested persons of the Fund (the “Independent Directors”), unanimously approved an amendment to the investment advisory agreement between the Fund and Security Investors, LLC (“SI”) with respect to the Fund’s Series D (Global). The Directors requested and obtained from SI such information as the Directors deemed reasonably necessary to evaluate the proposed amendment to the investment advisory agreement.

In considering the approval of the amendment to the investment advisory agreement, the Directors evaluated a number of factors, including, among others, (1) the nature, extent, and quality of the advisory services to be provided by SI; (2) the investment performance of the Series D; (3) the costs of services provided by SI and the profits derived by SI from its relationship with the Fund; (4) a comparison of Series D’s expense ratio and those of similarly situated funds; (5) benefits (such as soft dollars) to SI and its affiliates from their relationship with the Fund (and any corresponding benefits to the Fund); (6) the expense limitation/fee waiver agreement between SI and the Fund; and (7) other factors of the Board deemed to be relevant. The Independent Directors also took into account other considerations believed, in light of the legal advice furnished to the Independent Directors by their independent legal counsel and the Directors’ own business judgment, to be relevant. Following its review, the Board of Directors determined that the investment advisory agreement would enable Fund shareholders to obtain high quality services at a cost that is appropriate, reasonable and in the best interests of shareholders. Accordingly, the Directors, including the Independent Directors, unanimously approved the amendment to the investment advisory agreement based upon the following considerations, among others:

•		The nature, extent and quality of the advisory services to be provided. The Board of Directors concluded that SI is capable of providing high quality services to the Fund, as indicated by the nature and quality of services provided in the past, SI’s management capabilities demonstrated with respect to the Fund and other mutual funds managed by SI, the professional qualifications and experience of SI’s portfolio managers and SI’s investment and management oversight processes. The Directors noted the experience of key investment and management personnel of SI who would be managing the funds and that there would be no diminution in the quantity or quality of services provided by Security Investors in connection with the reduction in the advisory fee and that these services were appropriate in scope and extent in light of the funds’ operations, the competitive landscape of the investment company business and investor needs.

•		The investment performance of the Fund. The Board of Directors concluded that SI had achieved investment performance that was acceptable, and competitive or superior relative to comparable funds over trailing periods.

•		The cost of advisory services provided and the level of profitability. On the basis of the Board’s review of the fees to be charged by SI for investment advisory and other services, and the estimated profitability of SI’s relationship with the Fund, the Board concluded that the level of investment advisory fees and SI’s profitability were appropriate in light of the management fees and overall expense ratios of comparable investment companies and the anticipated profitability of the relationship between the Fund and SI and its affiliates. On the basis of comparative information compiled by Morningstar, the Directors determined that the advisory fees and estimated overall expense ratio of the Fund were competitive.

•		Whether the advisory fees reflect economies of scale. The directors concluded that the Funds’ investment advisory fees appropriately reflected the current economic environment for SI and the competitive nature of the mutual fund market.

•		The extent to which economies of scale will be realized as the Fund grows. While the Funds’ investment advisory fees do not reduce should Fund assets grow meaningfully, the Directors determined that Series D’s fees would be lower under the amended agreement and the Board would have the opportunity to reexamine whether the Fund had achieved economies of scale, and the appropriateness of the fees payable to SI under the amended agreement, at the contract renewal meeting to be held later in 2011.


Item 2.		Code of Ethics.

Not required at this time.


Item 3.		Audit Committee Financial Expert.

Not required at this time.


Item 4.		Principal Accountant Fees and Services.

Not required at this time.


Item 5.		Audit Committee of Listed Registrants.

Not applicable.


Item 6.		Schedule of Investments.

The Schedule of Investments is included under Item 1 of this form.


Item 7.		Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.

Not applicable.


Item 8.		Portfolio Mangers of Closed-end Management Investment Companies

Not applicable


Item 9.		Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.

Not applicable.


Item 10.		Submission of Matters to a Vote of Security Holders.

The registrant does not currently have in place procedures by which shareholders may recommend nominees to the registrant’s board.

There have been no changes to the procedures by which shareholders may recommend nominees to the registrant’s board.


Item 11.		Controls and Procedures.

(a)

The registrant’s President (principal executive officer) and Treasurer (principal financial officer) have evaluated the registrant’s disclosure controls and procedures within 90 days of this filing and have concluded that the registrant’s disclosure controls and procedures were effective as of that date in ensuring that information required to be disclosed by the registrant in this Form N-CSR was recorded, processed, summarized, and reported timely.


	Shares		Value
EXCHANGE TRADED FUNDS^†- 0.5%
iShares Russell 1000 Value Index Fund		13,100	$	894,468
iShares S&P 500 Value Index Fund		6,100		378,200

Total Exchange Traded Funds (Cost $1,194,391)				1,272,668

Total Investments - 96.1% (Cost $206,785,844)			$	231,318,307

Cash & Other Assets, Less Liabilities - 3.9%				9,290,423

Total Net Assets - 100.0%			$	240,608,730


LETTER TO OUR SHAREHOLDERS			1

ABOUT SHAREHOLDERS’ FUND EXPENSES			3

SERIES A (LARGE CAP CORE SERIES)			5

SERIES B (LARGE CAP VALUE SERIES)			11

SERIES C (MONEY MARKET SERIES)			16

SERIES D (MSCI EAFE EQUAL WEIGHT SERIES)			21

SERIES E (U.S. INTERMEDIATE BOND SERIES)			36

SERIES J (MID CAP GROWTH SERIES)			43

SERIES N (MANAGED ASSET ALLOCATION SERIES)			49

SERIES O (ALL CAP VALUE SERIES)			71

SERIES P (HIGH YIELD SERIES)			77

SERIES Q (SMALL CAP VALUE SERIES)			85

SERIES V (MID CAP VALUE SERIES)			91

SERIES X (SMALL CAP GROWTH SERIES)			97

SERIES Y (LARGE CAP CONCENTRATED GROWTH SERIES)			103

SERIES Z (ALPHA OPPORTUNITY SERIES)			108

NOTES TO FINANCIAL STATEMENTS			116

INFORMATION ON BOARD OF DIRECTORS AND OFFICERS			128

OTHER INFORMATION			131

RYDEX\|SGI PRIVACY POLICIES			132


STATEMENTS OF CHANGES IN NET ASSETS		Rydex\|SGI SBL Fund
		Series B (Large Cap Value Series)


14 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.



16 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.


	% Of
Country	Net Assets			Value

Japan		34.4	%	$	87,323,147
United Kingdom		10.1			25,701,399
France		7.1			18,806,952
Australia		7.1			17,661,491
Germany		5.3			12,568,412
Hong Kong		3.5			9,004,007
Switzerland		3.6			8,499,444
Sweden		3.2			7,736,684
Singapore		3.0			7,503,797
United States		2.7			6,973,525
Spain		2.6			6,842,462
Italy		2.9			6,804,624
Netherlands		2.5			6,312,148
Finland		1 ·7			4,319,414
Israel		1 ·4			3,604,636
Belgium		1.3			3,283,077
Denmark		1 ·3			2,931,929
Norway		0.9			2,226,889
Austria		0.9			2,138,655
Portugal		0.8			2,074,867
Greece		0.8			1,868,290
New Zealand		0.5			1,292,437
Luxembourg		0.4			1,046,284
Ireland		0.3			795,447
Bermuda		0 ·3			711,389
Jersey		0.2			529,860
Macau		0.2			523,410
Mauritius		0.2			496,672
China		0.2			451,671
Iran (Islamic Republic of)		0.2			313,169
Bangladesh		0.1			259,814
Isle Of Man		0.1			258,208
Cyprus		0.1			236,782

Total Investments		99.9	%	$	251,100,992


32 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.



34 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.


	% of Total
Rating	Investments

Fixed Income Instruments
AAA		41.4	%
BBB+		12.4	%
A		11.9	%
AA-		8.8	%
BBB		6.0	%
AA+		4.5	%
A-		4.4	%
Other		8.9	%
Other Instruments
Preferred Stocks		1.7	%

Total Investments		100.0	%



U.S. Treasury Notes	39.1	%
Omnicom Group, Inc.	3.8	%
General Electric Capital Corp.	3.2	%
Praxair, Inc.	3.0	%
American Water Capital Corp.	2.6	%
JPMorgan Chase & Co.	2.5	%
Rensselaer Polytechnic Institute	2.4	%
Verizon Communications, Inc.	2.3	%
Sherwin-Williams Co.	2.0	%
Ford Motor Credit Company LLC	1.9	%

Top Ten Total	62.8	%



36 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.


Ten Largest Holdings
(% of Total Net Assets)

iShares Russell 2000 Growth Index Fund	5.7	%
Oil States International, Inc.	2.3	%
WABCO Holdings, Inc.	2.0	%
Tempur-Pedic International, Inc.	1.9	%
Interface, Inc. — Class A	1.9	%
Alliance Data Systems Corp.	1.8	%
Jarden Corp.	1.7	%
Navistar International Corp.	1.7	%
Solera Holdings, Inc.	1.7	%
Cadence Design Systems, Inc.	1.7	%

Top Ten Total	22.4	%


	Shares		Value

Financials - 4.1%
Discover Financial Services		23,450	$	627,288
Commerce Bancshares, Inc.		12,637		543,391
HCC Insurance Holdings, Inc.		14,450		455,175
Stifel Financial Corp.*		10,800		387,288

Total Financials				2,013,142


Utilities - 1.6%
ITC Holdings Corp.		5,670		406,936
NorthWestern Corp.		12,210		404,273

Total Utilities				811,209


Telecommunication Services - 1.0%
SBA Communications Corp. — Class A*		12,750		486,923


Consumer Staples - 0.7%
Sodastream International*		5,775		351,178


Total Common Stocks (Cost $34,749,249)				45,172,743


EXCHANGE TRADED FUND^†- 5.7%
iShares Russell 2000 Growth Index Fund		29,880		2,834,118

Total Exchange Traded Fund (Cost $2,823,679)				2,834,118

Total Investments - 96.5% (Cost $37,572,928)			$	48,006,861

Cash & Other Assets, Less Liabilities - 3.5%				1,753,054

Total Net Assets - 100.0%			$	49,759,915



STATEMENTS OF CHANGES IN NET ASSETS		Rydex\|SGI SBL Fund Series Y (Large Cap Concentrated Growth Series)



106 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.



108 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.


114 \| the RYDEX\|SGI sbl fund semi-annual report		See Notes to Financial Statements.


	(b)		The registrant’s principal executive officer and principal financial officer are aware of no change in the registrant’s internal control over financial reporting that occurred during the registrant’s second fiscal quarter covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

	(a)(2)		Separate certifications by the President (principal executive officer) and Treasurer (principal financial officer) of the registrant as required by Rule 30a-2(a) under the Act (17 CFR 270.30a-2(a)) are attached.

	(b)		A certification by the registrant’s President (principal executive officer) and Treasurer (principal financial officer) as required by Rule 30a-2(b) under the Act (17 CFR 270.30a-2(b)) is attached.


By (Signature and Title)*		/s/ Richard M. Goldman Richard M. Goldman, President


By (Signature and Title)*		/s/ Nikolaos Bonos Nikolaos Bonos, Treasurer


^*		Print the name and title of each signing officer under his or her signature.