-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, LhxR6VDHdfYn6elZtM5Mrc9t5wJ4xl/h8nCzim3vobYy50eZgn7TkbQiLCDTjBO5 tAtt8LpXkFxF2tZmzlsYgA== 0000912057-96-020670.txt : 19960921 0000912057-96-020670.hdr.sgml : 19960921 ACCESSION NUMBER: 0000912057-96-020670 CONFORMED SUBMISSION TYPE: N-30D PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19960630 FILED AS OF DATE: 19960919 SROS: NONE FILER: COMPANY DATA: COMPANY CONFORMED NAME: ROBERTSON STEPHENS INVESTMENT TRUST CENTRAL INDEX KEY: 0000814232 STANDARD INDUSTRIAL CLASSIFICATION: [] IRS NUMBER: 946649069 STATE OF INCORPORATION: MA FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: N-30D SEC ACT: 1940 Act SEC FILE NUMBER: 811-05159 FILM NUMBER: 96632017 BUSINESS ADDRESS: STREET 1: 555 CALIFORNIA ST STE 2600 CITY: SAN FRANCISCO STATE: CA ZIP: 94104 BUSINESS PHONE: 8007663863 MAIL ADDRESS: STREET 1: 555 CALIFORNIA ST. STREET 2: SUITE 2600 CITY: SAN FRANCISCO STATE: CA ZIP: 94104 FORMER COMPANY: FORMER CONFORMED NAME: ROBERTSON STEPHENS EMERGING GROWTH FD DATE OF NAME CHANGE: 19920315 FORMER COMPANY: FORMER CONFORMED NAME: ROBERTSON STEPHENS EMERGING GROWTH FUND DATE OF NAME CHANGE: 19920312 FORMER COMPANY: FORMER CONFORMED NAME: RCS EMERGING GROWTH FUND DATE OF NAME CHANGE: 19910502 N-30D 1 FORM N-30D EMERGING GROWTH ROBERTSON STEPHENS MUTUAL FUNDS The Emerging Growth Fund Second-Quarter Report June 30, 1996 [Graphic] 2 THE EMERGING GROWTH FUND SECOND-QUARTER RESULTS FUND PHILOSOPHY The Robertson Stephens Emerging Growth Fund seeks capital appreciation by investing in small, rapidly growing companies. The Fund is actively managed, involving hands-on fundamental research that includes extensive travel and visits with company managements. The Fund seeks to invest in companies that are growing at least 20% annually, are market share leaders, and are managed by executives who can leverage a competitive advantage and consistently execute in today's business environment. The Fund is intended for investors with long-term investment goals. CONTENTS Fund Highlights 1 Report to Shareholders 2 Fund Performance 8 Portfolio Summary 9 Schedule of Net Assets 10 Statement of Net Assets 14 Statement of Operations 15 Statement of Changes in Net Assets 16 Financial Highlights 17 Notes to Financial Statements 18 Administration IBC ROBERTSON, STEPHENS & COMPANY FUND HIGHLIGHTS NEW PORTFOLIO MANAGER Jim Callinan has joined the investment professionals at Robertson Stephens Mutual Funds as the Emerging Growth Fund's new portfolio manager. COMPUTER SERVICES AND OUTSOURCING Computer service firms are enjoying accelerating demand and declining costs primarily due to the rapid advancement of new technology. TELECOMMUNICATIONS Emerging telecommunications industry subsegments will likely come to the fore over the next few years, taking advantage of deregulation and Bell operating company stasis and providing a rich mine of opportunity for the Fund. CONSUMER AND BUSINESS SERVICES The service economy is large and growing -- and a ripe ground for launching new business ideas. 1 THE EMERGING GROWTH FUND SECOND-QUARTER RESULTS FUND MANAGER [Photograph] JIM CALLINAN Portfolio Manager The Robertson Stephens Emerging Growth Fund DEAR SHAREHOLDER: I am very pleased to join the outstanding team of investment professionals at Robertson Stephens Mutual Funds. The firm's focus on emerging growth companies and the depth and breadth of investment resources available are tremendous assets to The Robertson Stephens Emerging Growth Fund. In addition to the investment parameters detailed in the prospectus, I would like to describe in more detail my investment philosophy and strategy. I look for leading companies in emerging growth industries. These firms most likely have projected revenue and earnings growth rates of 20% or higher over a three- to five-year horizon. Leading companies usually possess at least one, if not several, proprietary advantages (such as dominant market share in a niche, a barrier to competi- "LEADING companies usually possess at least one, if not several, PROPRIETARY ADVANTAGES." 2 ROBERTSON, STEPHENS & COMPANY tors' entry into the business, a unique operating strategy, or patents) that enable them to distance themselves from their peers. Firms of this nature sustain high margins and/or above-average returns on total capital, which confirm their proprietary advantage. Finally and most importantly, I thoroughly evaluate management teams to ensure that they possess integrity and work hard to protect or enhance the firm's established competitive lead. Presently I am exploring new fields of emerging growth investing. Other emerging growth managers seem to be looking for new ideas in established and discovered industries, such as software, networking, semiconductors, retailing, restaurants, and health care services. While these industries are still growing at a faster pace than the overall economy, larger companies are capturing the major portions of the market growth in many of these industries. Of course, these traditional areas will still yield some new investment ideas, which I will do my best to uncover, but in my opinion they are not likely to be the rich mine that they were over the last five years. My primary focus is searching for newly created or fragmented industries where technology investments, legislative changes, or consumer/buyer behaviors are markedly changing the competitive landscape. Companies in these industries are relatively underfollowed by Wall Street analysts and underowned by institutional investors. Although this process is continuous and ongoing, I believe that the following are prime examples of truly emerging industries today: computer services; outsourcing; telecommunications services and equipment; health care information systems and databases; consumer services; media; and employee leasing industries. 3 THE EMERGING GROWTH FUND SECOND-QUARTER RESULTS COMPUTER SERVICES COMPUTER SERVICES AND OUTSOURCING Computer service firms include system integration consulting, data center outsourcing, health care claims, automated teller machine, and credit-card processing firms. These businesses are characterized by high levels of recurring revenues, long-term contracts, and large, open-ended markets. These firms are benefiting from the significant deployment and increased complexity of new technologies that have occurred over the past six years. The increasing complexity of such technologies is forcing corporate information managers to seek outside help to run data centers or implement new systems. New technologies are also making computer service firms markedly more efficient and lowering costs. Thus, we believe computer service firms are enjoying accelerating demand and declining costs primarily due to the rapid advancement of new technology. [Photograph] INVESTMENT MANAGEMENT G. RANDY HECHT President Robertson Stephens Investment Trust INVESTMENT TEAM RESEARCH Rod Berry Stephen Bishop Emeric McDonald Susan Richardson Rob Zidar SENIOR TRADER Catherine O'Neill ADMINISTRATION Nancy Mayer 4 ROBERTSON, STEPHENS & COMPANY TELECOMMUNICATIONS Congress took another major step toward dismantling the monopolistic position of the local Bell operating companies this year. I believe this legislation will open up the local telephone network for competition and reduce telephone charges drastically over the next few years. Price cuts of this nature will create a profit windfall for many industries that must pay for this monopoly subsidy. Lower prices may also stimulate the creation of new industries that will fully exploit lower telephone charges as a major cost input. I believe the local telephone business will provide a significant new market for long-distance resellers, competitive access providers, and facilities-based carriers. We believe these firms, in turn, will likely seek to invest in more switching and transmission equipment so that additional revenue capture will produce higher incremental margins. Telecommunications equipment manufacturers, in our opinion, will also likely benefit, but only to the extent that they provide either revolutionary new technology or that end users drive demand for the equipment. It will take many years and aggressive new competitors to change local Bell company culture and focus them on customer service and new revenue generation. Thus, we believe emerging industry subsegments will come to the fore over the next few years, taking advantage of deregulation and Bell operating company stasis and providing a rich mine of opportunity for the Fund. CONSUMER AND BUSINESS SERVICES The service economy is large, growing and, we believe, a ripe ground for launching new business ideas. In the past, service industry investments centered around restaurants and retailers. These performed well when real estate prices and rents were low. However, as rents and land prices have risen during the 1990s, entrepreneurs have found it less attractive to create fresh retail and restaurant ventures which later become the exciting initial public offerings. New emerging service industries present in the Fund include employee leasing, media consolidations, home maintenance services, and Internet services. 5 THE EMERGING GROWTH FUND SECOND-QUARTER RESULTS OUTSOURCING Employee leasing firms offer small business owners the ability to outsource the human resources function and to add more benefits at more attractive group rates. Older media industries, such as radio and outdoor signs, are rapidly consolidating. Legislative reform has stimulated mergers of the former and new printing technology and lower costs have combined to consolidate the latter medium. These are examples of sectors where other emerging growth funds have not traditionally invested. We are searching for such groups because we believe they offer accelerating revenue growth prospects, remain relatively undiscovered by Wall Street, and have attractive business models. I am optimistic about the future of emerging growth stock investing, and I believe strongly that I have identified several new and relatively underowned emerging growth industries that will produce the winning stocks of tomorrow. I hope that you will continue to place "We are searching for industry sectors that offer ATTRACTIVE revenue growth PROSPECTS." 6 ROBERTSON, STEPHENS & COMPANY your trust in the fine and talented people of Robertson Stephens Investment Management. Specifically, I am impressed with our recently formed Growth Group of analysts who are focusing solely on covering the fastest growth sectors of the economy. I also encourage you to listen to my Portfolio Manager Hotline updates, which will include thoughts about both the stock market and the Fund's performance. I am pleased to serve as the new portfolio manager of the Emerging Growth Fund. Sincerely, /s/ James L. Callinan JAMES L. CALLINAN Portfolio Manager August 22, 1996 TO HEAR MY ONGOING THOUGHTS ON THE FUND, CALL OUR 24-HOUR HOTLINE AT 1-800-766-3863. "WE REMAIN OPTIMISTIC ABOUT EMERGING GROWTH INVESTING." 7 THE EMERGING GROWTH FUND SECOND-QUARTER RESULTS FUND PERFORMANCE Results of a hypothetical $10,000 investment in The Robertson Stephens Emerging Growth Fund, the S&P 500 Index(1), and the Russell 2000 Growth Index(2) IF INVESTED ON NOVEMBER 30, 1987(3) [Graph] CUMULATIVE TOTAL RETURNS EMERGING GROWTH S&P 500 RUSSELL 2000 FOR THE PERIODS ENDED 6/30/96 FUND INDEX(1) GROWTH INDEX(2) - -------------------------------------------------------------------------------- One year 34.61% 26.03% 26.49% - -------------------------------------------------------------------------------- Since inception (11/30/87)(3) 470.62% 278.97% 248.66% - -------------------------------------------------------------------------------- AVERAGE ANNUAL TOTAL RETURNS EMERGING GROWTH S&P 500 RUSSELL 2000 FOR THE PERIODS ENDED 6/30/96 FUND INDEX(1) GROWTH INDEX(2) - -------------------------------------------------------------------------------- Three years 22.92% 17.19% 17.10% - -------------------------------------------------------------------------------- Five years 16.26% 15.70% 15.97% - -------------------------------------------------------------------------------- Since inception (11/30/87)(3) 22.49% 16.78% 15.65% - -------------------------------------------------------------------------------- (1) The Standard & Poor's Composite Index of 500 Stocks ("S&P 500 Index") is a widely recognized, unmanaged index of market activity based on the aggregate performance of a selected portfolio of publicly traded stocks. It is widely recognized as representative of the stock market in general. Investment results assume the reinvestment of dividends paid on the stocks constituting the index. (2) The Russell 2000 Growth Index is a market capitalization-weighted index composed of 2,000 U.S. companies with a greater-than-average growth orientation and market capitalizations ranging from $40 million to $450 million. Investment results assume the reinvestment of dividends paid on the stocks constituting the index. (3) Date that the Fund's shares were first offered to the public. Investors should realize that all performance data presented is based upon past performance during limited periods of time, and that past performance is no guarantee of future performance. Investors should also realize that both investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. The correlation of performance between an unmanaged index and this Fund is not usually exact. Investing in smaller companies may involve risks such as less publicly available information than larger companies, volatility, and illiquidity. 8 ROBERTSON, STEPHENS & COMPANY PORTFOLIO SUMMARY AS OF JUNE 30, 1996 [Pie Chart] Media 2.0% Health Care 22.7% Consumer 24.0% Business Services 7.8% Cash and Cash Equivalents 11.1% Technology 20.9% Other 11.5% TOP TEN HOLDINGS 1. HBO & COMPANY Designs and sells computerized information systems to the health care industry. 2. PETSMART, INC. Operates superstores specializing in pet food, supplies, and services in the United States. 3. UNITED WASTE SYSTEMS, INC. Provides residential, commercial, and industrial customers with integrated, nonhazardous solid waste management services that include landfill disposal and waste collection. 4. SITEL CORPORATION Provides outsourced, telephone-based customer service and sales programs on behalf of large corporations in the United States and Canada. 5. DURA PHARMACEUTICALS, INC. Develops and markets prescription pharmaceutical products for the treatment of allergies, asthma, and related respiratory conditions. 6. CASCADE COMMUNICATIONS CORPORATION Designs, develops, and maintains a line of multi-service wide area network (WAN) switches. 7. EXPRESS SCRIPTS, INC. Provides pharmacy benefits management to health maintenance organizations. 8. CREDIT ACCEPTANCE CORPORATION Provides funding, receivables management, collection sales training, and related services to automobile dealers. 9. PMT SERVICES, INC. Markets and services electronic credit card authorization and payment systems to retail merchants located throughout the United States. 10. PAREXEL INTERNATIONAL CORPORATION Provides clinical research and development services to the worldwide pharmaceutical and biotechnology industries. 9 THE EMERGING GROWTH FUND SECOND-QUARTER RESULTS SCHEDULE OF NET ASSETS JUNE 30, 1996 SHARES VALUE - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- COMMON STOCKS - ------------------------------------------------------------------------------- BIOTECHNOLOGY - 6.7% Alteon, Inc. 115,000 $ 1,265,000 Biotransplant, Inc. 64,400 523,250 Cephalon, Inc. 96,800 1,911,800 Dura Pharmaceuticals, Inc. 65,900 3,690,400 Gensia, Inc. 1,175 5,948 Parexel International Corporation 63,300 3,054,225 Vertex Pharmaceuticals, Inc. 80,600 2,448,225 - ------------------------------------------------------------------------------- 12,898,848 - ------------------------------------------------------------------------------- COMMERCIAL SERVICES - 1.0% Employee Solutions, Inc. 35,400 1,115,100 NOVA Corporation 18,000 607,500 Whittman-Hart, Inc. 5,000 180,000 - ------------------------------------------------------------------------------- 1,902,600 - ------------------------------------------------------------------------------- COMPUTER HARDWARE/COMPONENTS - 2.4% Cerion Technologies, Inc. 50,000 487,500 Scientific Games Holdings Corporation 70,000 2,030,000 Tessco Technologies, Inc. 60,000 2,190,000 - ------------------------------------------------------------------------------- 4,707,500 - ------------------------------------------------------------------------------- COMPUTER SOFTWARE/SERVICES - 11.7% Atria Software, Inc. 37,100 1,855,000 Citrix Systems, Inc. 18,000 684,000 Clarify, Inc. 27,400 1,356,300 Harbinger Corporation 52,600 1,459,650 Imnet Systems, Inc. 40,000 1,220,000 Netscape Communications Corporation 35,000 2,178,750 Premenos Technology Corporation 26,700 487,275 Remedy Corporation 33,600 2,452,800 SQA, Inc. 51,100 1,430,800 Security Dynamics Technologies, Inc., Class A 20,000 1,645,000 Silicon Valley Research, Inc. 90,200 529,925 Smith Micro Software, Inc. 135,000 1,620,000 Transaction Systems Architects, Inc. 15,000 1,005,000 Transition Systems, Inc. 37,100 1,057,350 Vantive Corporation 10,000 335,000 Viasoft, Inc. 38,200 2,468,675 Workgroup Technology Corporation 33,300 836,662 - ------------------------------------------------------------------------------- 22,622,187 - ------------------------------------------------------------------------------- CONSUMER/SPECIALTY RETAIL - 16.2% Barnett, Inc. 68,200 1,960,750 Blyth Industries, Inc. 47,500 2,155,313 Books-A-Million, Inc. 190,500 1,595,438 Cannondale Corporation 91,600 1,854,900 The accompanying notes are an integral part of these financial statements. 10 ROBERTSON, STEPHENS & COMPANY JUNE 30, 1996 SHARES VALUE - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- CONSUMER/SPECIALTY RETAIL - 16.2% (CONTINUED) Cost Plus, Inc. 85,600 $ 2,375,400 Garden Botanika, Inc. 10,000 220,000 Garden Ridge Corporation 43,400 2,191,700 Henry Schein, Inc. 32,500 1,243,125 Just For Feet, Inc. 37,600 1,988,100 MSC Industrial Direct Co., Inc., Class A 10,000 322,500 Opta Food Ingredients, Inc. 140,000 1,417,500 Orchard Supply Hardware Stores Corporation 100,200 3,018,525 PETsMART, Inc. 102,150 4,877,662 Regal Cinemas, Inc. 62,100 2,841,075 Renter's Choice, Inc. 77,100 1,966,050 Sport-Haley, Inc. 85,800 1,254,825 - ------------------------------------------------------------------------------- 31,282,863 - ------------------------------------------------------------------------------- DATA COMMUNICATIONS/TELECOMMUNICATIONS - 5.7% Aspect Telecommunications Corporation 5,000 247,500 Ascend Communications, Inc. 40,000 2,250,000 Cascade Communications Corporation 54,000 3,672,000 Colonial Data Technologies Corporation 40,000 595,000 Intermedia Communications, Inc. 10,000 322,500 Midcom Communications, Inc. 20,000 287,500 P-COM, Inc. 75,000 2,362,500 Premiere Technologies, Inc. 41,000 1,291,500 - ------------------------------------------------------------------------------- 11,028,500 - ------------------------------------------------------------------------------- DATA PROCESSING SERVICES - 2.7% Affiliated Computer Services, Inc. 30,000 1,410,000 Computer Management Sciences, Inc. 20,000 600,000 PMT Services, Inc. 112,500 3,220,313 - ------------------------------------------------------------------------------- 5,230,313 - ------------------------------------------------------------------------------- ELECTRONICS - 1.1% BMC Industries, Inc.(1) 75,000 2,156,250 - ------------------------------------------------------------------------------- 2,156,250 - ------------------------------------------------------------------------------- ENTERTAINMENT - 1.0% Lodgenet Entertainment Corporation 137,700 1,893,375 - ------------------------------------------------------------------------------- 1,893,375 - ------------------------------------------------------------------------------- ENVIRONMENTAL SERVICES - 2.4% United Waste Systems, Inc. 141,600 4,566,600 - ------------------------------------------------------------------------------- 4,566,600 - ------------------------------------------------------------------------------- FINANCIAL SERVICES - 2.3% Concord EFS, Inc. 15,000 532,500 Credit Acceptance Corporation 156,400 3,284,400 First USA Paymentech, Inc. 15,000 600,000 - ------------------------------------------------------------------------------- 4,416,900 - ------------------------------------------------------------------------------- The accompanying notes are an integral part of these financial statements. 11 THE EMERGING GROWTH FUND SECOND-QUARTER RESULTS SCHEDULE OF NET ASSETS (CONTINUED) JUNE 30, 1996 SHARES VALUE - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- HEALTH CARE SERVICES - 6.1% American HomePatient, Inc. 54,500 $ 2,411,625 American Oncology Resources, Inc. 94,000 2,044,500 Emeritus Corporation 100,000 1,762,500 Express Scripts, Inc., Class A 76,000 3,496,000 Foundation Health Corporation(3) 73 0 Renal Care Group, Inc. 62,800 2,025,300 - ------------------------------------------------------------------------------- 11,739,925 - ------------------------------------------------------------------------------- HEALTH MAINTENANCE ORGANIZATIONS - 4.2% Endosonics Corporation 100,000 1,787,500 Oxford Health Plans, Inc. 49,600 2,039,800 Quintiles Transnational Corporation 37,600 2,472,200 Vitalcom, Inc. 108,800 1,876,800 - ------------------------------------------------------------------------------- 8,176,300 - ------------------------------------------------------------------------------- LODGING - 2.3% Bristol Hotel Company 65,000 2,112,500 Prime Hospitality Corporation 140,000 2,310,000 - ------------------------------------------------------------------------------- 4,422,500 - ------------------------------------------------------------------------------- MANUFACTURING - 1.1% Bacou USA, Inc. 73,900 1,311,725 NCI Building Systems, Inc. 23,700 799,875 - ------------------------------------------------------------------------------- 2,111,600 - ------------------------------------------------------------------------------- MEDIA - 1.3% American Radio Systems Corporation 57,400 2,468,200 - ------------------------------------------------------------------------------- 2,468,200 - ------------------------------------------------------------------------------- MEDICAL SERVICES - 5.7% Cardiac Pathways Corporation 500 7,250 CompDent Corporation 51,000 2,371,500 Exogen, Inc. 132,600 1,127,100 HBO & Company(1) 75,000 5,081,250 Physician Sales & Services, Inc. 98,300 2,383,775 - ------------------------------------------------------------------------------- 10,970,875 - ------------------------------------------------------------------------------- NETWORK SYSTEMS - 1.0% Shiva Corporation 20,000 1,600,000 Transaction Network Services, Inc. 15,000 322,500 - ------------------------------------------------------------------------------- 1,922,500 - ------------------------------------------------------------------------------- OTHER SERVICES - 3.1% Sitel Corporation 100,000 4,200,000 Sylvan Learning Systems, Inc. 47,000 1,774,250 - ------------------------------------------------------------------------------- 5,974,250 - ------------------------------------------------------------------------------- R.E.I.T - 0.9% Redwood Trust, Inc.(1) 58,900 1,649,200 - ------------------------------------------------------------------------------- 1,649,200 - ------------------------------------------------------------------------------- The accompanying notes are an integral part of these financial statements. 12 ROBERTSON, STEPHENS & COMPANY JUNE 30, 1996 SHARES VALUE - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- RESTAURANTS - 4.5% Cooker Restaurant Corporation(1) 78,600 $ 1,051,275 Daka International, Inc. 85,900 2,018,650 Landry's Seafood Restaurants, Inc. 81,600 2,019,600 Lone Star Steakhouse & Saloon, Inc. 55,000 2,076,250 Rock Bottom Restaurants, Inc. 82,400 988,800 Taco Cabana, Inc., Class A 60,000 435,000 - ------------------------------------------------------------------------------- 8,589,575 - ------------------------------------------------------------------------------- SEMICONDUCTORS - 0.7% Level One Communications, Inc. 42,800 845,300 S3, Inc. 40,000 492,500 - ------------------------------------------------------------------------------- 1,337,800 - ------------------------------------------------------------------------------- TELECOMMUNICATIONS EQUIPMENT - 0.3% Natural Microsystems Corporation 18,000 630,000 - ------------------------------------------------------------------------------- 630,000 - ------------------------------------------------------------------------------- TRANSPORTATION - 1.0% Atlantic Southeast Airlines, Inc.(1) 70,000 1,977,500 - ------------------------------------------------------------------------------- 1,977,500 - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- TOTAL COMMON STOCKS - 85.4% (COST: $125,807,078) 164,676,161 - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- CONVERTIBLE PREFERRED STOCKS Applied Micro Circuits Corporation, Series 3 - Restricted(2), (3) 2,381 43,953 - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- TOTAL CONVERTIBLE PREFERRED STOCKS - 0.0% (COST: $50,001) 43,953 - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- TOTAL INVESTMENTS - 85.4% (COST: $125,857,079) 164,720,114 - -------------------------------------------------------------------------------- - -------------------------------------------------------------------------------- - -------------------------------------------------------------------------------- CASH AND CASH EQUIVALENTS - ------------------------------------------------------------------------------- Cash 173 Repurchase Agreement State Street Bank & Trust Company, 4.85%, dated 6/28/96, due 7/1/96, maturity value $21,482,679 (collateralized by $22,430,000 par value U.S. Treasury Bills, 5.09%, due 10/3/96) 21,474,000 - ------------------------------------------------------------------------------- TOTAL CASH AND CASH EQUIVALENTS - 11.1% 21,474,173 - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- OTHER ASSETS, NET - 3.5% 6,782,842 - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- TOTAL NET ASSETS - 100.0% $ 192,977,129 - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- (1) Income-producing security. (2) See 4.d. in Notes to Financial Statements. (3) Fair-value security. See 1.a. in Notes to Financial Statements. The accompanying notes are an integral part of these financial statements. 13 THE EMERGING GROWTH FUND SECOND-QUARTER RESULTS STATEMENT OF NET ASSETS JUNE 30, 1996 - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- ASSETS - ------------------------------------------------------------------------------- Investments, at value (Cost: $125,857,079) $ 164,720,114 Cash and cash equivalents 21,474,173 Receivable for investments sold 10,129,644 Receivable for fund shares subscribed 551,186 Dividends/interest receivable 34,677 - ------------------------------------------------------------------------------- TOTAL ASSETS 196,909,794 - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- LIABILITIES - ------------------------------------------------------------------------------- Payable for investments purchased 3,186,350 Payable for fund shares redeemed 437,498 Payable to adviser 189,000 Payable to distributor 46,585 Accrued expenses 73,232 - -------------------------------------------------------------------------------- TOTAL LIABILITIES 3,932,665 - -------------------------------------------------------------------------------- - -------------------------------------------------------------------------------- TOTAL NET ASSETS $ 192,977,129 - -------------------------------------------------------------------------------- - -------------------------------------------------------------------------------- - -------------------------------------------------------------------------------- NET ASSETS CONSIST OF: - ------------------------------------------------------------------------------- Paid-in capital 140,302,450 Accumulated net investment loss (929,248) Accumulated net realized gain from investments 14,740,892 Net unrealized appreciation on investments 38,863,035 - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- TOTAL NET ASSETS $ 192,977,129 - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- PRICING OF SHARES: $ 22.35 Net Asset Value, offering and redemption price per share (net assets of $192,977,129 applicable to 8,635,315 shares of beneficial interest outstanding with no par value) - ------------------------------------------------------------------------------- The accompanying notes are an integral part of these financial statements. 14 ROBERTSON, STEPHENS & COMPANY STATEMENT OF OPERATIONS FOR THE SIX MONTHS ENDED JUNE 30, 1996 - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- INVESTMENT INCOME - ------------------------------------------------------------------------------- Interest $ 375,153 Dividends 57,247 Other 50,305 - ------------------------------------------------------------------------------- TOTAL INVESTMENT INCOME 482,705 - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- EXPENSES - ------------------------------------------------------------------------------- Investment advisory fees 854,090 Distribution fees 213,523 Custodian and transfer agent fees 149,520 Professional fees 83,108 Shareholder reports 73,310 Registration and filing fees 27,300 Trustees' fees and expenses 11,102 - ------------------------------------------------------------------------------- TOTAL EXPENSES 1,411,953 - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- NET INVESTMENT LOSS (929,248) - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- REALIZED GAIN/(LOSS) AND UNREALIZED APPRECIATION/(DEPRECIATION) ON INVESTMENTS - ------------------------------------------------------------------------------- Net realized gain from investments 3,506,283 Net change in unrealized appreciation on investments 20,164,482 - ------------------------------------------------------------------------------- TOTAL NET REALIZED GAIN AND UNREALIZED APPRECIATION ON INVESTMENTS 23,670,765 - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS $ 22,741,517 - ------------------------------------------------------------------------------- The accompanying notes are an integral part of these financial statements. 15 THE EMERGING GROWTH FUND SECOND-QUARTER RESULTS STATEMENT OF CHANGES IN NET ASSETS FOR THE FOR THE SIX MONTHS ENDED NINE MONTHS ENDED 6/30/96 12/31/95 - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- OPERATIONS - ------------------------------------------------------------------------------- Net investment loss $ (929,248) $ (1,275,816) Net realized gain from investments 3,506,283 22,504,993 Net change in unrealized appreciation/ (depreciation) on investments 20,164,482 (731,214) - ------------------------------------------------------------------------------- NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS 22,741,517 20,497,963 - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- DISTRIBUTIONS TO SHAREHOLDERS - ------------------------------------------------------------------------------- Net investment income - - Realized gains on investments - (13,460,981) - ------------------------------------------------------------------------------- TOTAL DISTRIBUTIONS - (13,460,981) - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- CAPITAL SHARE TRANSACTIONS - ------------------------------------------------------------------------------- Net increase/(decrease) in net assets resulting from capital shares transactions 2,507,125 (21,583,831) - ------------------------------------------------------------------------------- TOTAL CAPITAL SHARE TRANSACTIONS 2,507,125 (21,583,831) - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- TOTAL INCREASE/(DECREASE) IN NET ASSETS 25,248,642 (14,546,849) - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- NET ASSETS - ------------------------------------------------------------------------------- Beginning of period 167,728,487 182,275,336 End of period $ 192,977,129 $ 167,728,487 - ------------------------------------------------------------------------------- The accompanying notes are an integral part of these financial statements. 16 ROBERTSON, STEPHENS & COMPANY FINANCIAL HIGHLIGHTS
FOR THE FOR THE FOR THE SIX MONTHS NINE MONTHS FOR THE FOR THE THREE MONTHS FOR THE FOR THE FOR A SHARE OUTSTANDING ENDED ENDED YEAR ENDED YEAR ENDED ENDED YEAR ENDED YEAR ENDED THROUGHOUT EACH PERIOD: 6/30/96 12/31/95 3/31/95 3/31/94 3/31/93 12/31/92 12/31/91 - ----------------------------------------------------------------------------------------------------------------------------------- - ----------------------------------------------------------------------------------------------------------------------------------- Net Asset Value, beginning of period $ 19.21 $ 18.36 $ 18.37 $ 14.71 $ 16.77 $ 17.50 $ 11.67 - ----------------------------------------------------------------------------------------------------------------------------------- - ----------------------------------------------------------------------------------------------------------------------------------- - ----------------------------------------------------------------------------------------------------------------------------------- Net investment loss (0.11) (0.15) (0.17) (0.40) (0.02) (0.15) (0.09) Net realized gain/(loss) and net change in unrealized appreciation/(depreciation) on investments 3.25 2.58 2.26 4.06 (2.04) (0.31) 6.82 - ----------------------------------------------------------------------------------------------------------------------------------- Total Increase/(Decrease) in Net Assets Resulting From Operations 3.14 2.43 2.09 3.66 (2.06) (0.46) 6.73 - ----------------------------------------------------------------------------------------------------------------------------------- - ----------------------------------------------------------------------------------------------------------------------------------- Distributions from net investment income - - - - - - - Distributions from realized gains on investments - (1.58) (2.10) - - (0.27) (0.90) - ----------------------------------------------------------------------------------------------------------------------------------- - ----------------------------------------------------------------------------------------------------------------------------------- - ----------------------------------------------------------------------------------------------------------------------------------- NET ASSET VALUE, END OF PERIOD $ 22.35 $ 19.21 $ 18.36 $ 18.37 $ 14.71 $ 16.77 $ 17.50 - ----------------------------------------------------------------------------------------------------------------------------------- - ----------------------------------------------------------------------------------------------------------------------------------- - ----------------------------------------------------------------------------------------------------------------------------------- TOTAL RETURN 16.35% 13.50% 12.01% 24.88% (12.28)% (2.55)% 58.70% - ----------------------------------------------------------------------------------------------------------------------------------- - ----------------------------------------------------------------------------------------------------------------------------------- - ----------------------------------------------------------------------------------------------------------------------------------- RATIOS/SUPPLEMENTAL DATA Net Assets, end of period (000s) $ 192,977 $ 167,728 $ 182,275 $ 168,192 $ 228,893 $ 277,531 $ 141,929 Ratio of Expenses to Average Net Assets 1.65% 1.64% 1.56% 1.60% 1.54% 1.49% 1.59% Ratio of Net Investment Loss to Average Net Assets (1.09)% (0.99)% (0.96)% (1.27)% (0.61)% (0.92)% (0.68)% Portfolio Turnover Rate 86% 147% 280% 274% 43% 124% 147% - -----------------------------------------------------------------------------------------------------------------------------------
Per-share data for each of the periods has been determined by using the average number of shares outstanding throughout each period. Ratios, except for total return and portfolio turnover rate, have been annualized. The accompanying notes are an integral part of these financial statements. 17 THE EMERGING GROWTH FUND SECOND-QUARTER RESULTS NOTES TO FINANCIAL STATEMENTS The Robertson Stephens Emerging Growth Fund (the "Fund") is a series of the Robertson Stephens Investment Trust (the "Trust"), a Massachusetts business trust organized on May 11, 1987. The Fund is registered under the Investment Company Act of 1940, as amended (the "1940 Act"), as a diversified, open-end management investment company. The Fund became effective to offer shares to the public on November 30, 1987. The Trust offers eleven series of shares -- The Robertson Stephens Emerging Growth Fund, The Robertson Stephens Value + Growth Fund, The Robertson Stephens Contrarian Fund, The Robertson Stephens Developing Countries Fund, The Robertson Stephens Growth & Income Fund, The Robertson Stephens Partners Fund, The Robertson Stephens Information Age Fund, The Robertson Stephens Global Natural Resources Fund, The Robertson Stephens Global Low-Priced Stock Fund, The Robertson Stephens Diversified Growth Fund (effective August 1, 1996), and The Robertson Stephens MicroCap Growth Fund (effective August 15, 1996). The assets for each series are segregated and accounted for separately. NOTE 1 SIGNIFICANT ACCOUNTING POLICIES: The following policies are in conformity with generally accepted accounting principles. The preparation of financial statements in accordance with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts and disclosures in the financial statements. Actual results could differ from those estimates. a. INVESTMENT VALUATIONS: Marketable securities are valued at the last sale price on the principal exchange or market on which they are traded; or, if there were no sales that day, at the mean between the closing bid and asked prices. At June 30, 1996, 99.0% of the Fund's portfolio was valued in this manner. Securities for which market quotations are not readily available are valued at their fair value as determined in accordance with the guidelines and procedures adopted by the Fund's Board of Trustees. The guidelines and procedures use fundamental valuation methods which include, but are not limited to, the analysis of: the effect of any restrictions on the sale of the security, product development and trends of the security's issuer, changes in the industry and other competing companies, significant changes in the issuer's financial position, and any other event which could have a significant impact on the value of the security. At June 30, 1996, approximately 1.0% of the Fund's positions were valued using these guidelines and procedures. b. REPURCHASE AGREEMENTS: Repurchase agreements are fully collateralized by U.S. government securities. All collateral is held by the Fund's custodian and is monitored daily to ensure that the collateral's market value equals at least 100% of the repurchase price under the agreement. However, in the event of default or bankruptcy, realization and/or retention of the collateral may be subject to legal proceedings. The Fund's policy is to limit repurchase agreement transactions to those parties deemed by the Fund's Investment Adviser to have satisfactory creditworthiness. c. FEDERAL INCOME TAXES: The Fund has made no provision for federal income tax for the six months ended June 30, 1996. The Fund complied with requirements of the Internal Revenue Code for qualifying as a regulated investment company so as not to be subject to federal income tax. d. SECURITIES TRANSACTIONS: Securities transactions are accounted for on the date the securities are purchased and sold (trade date). Realized gains and losses on securities transactions are determined on the basis of specific identification. e. INVESTMENT INCOME: Dividend income is recorded on the ex-dividend date. Interest income is accrued and recorded daily. f. CAPITAL ACCOUNTS: The Fund follows the provisions of the AICPA's Statement of Position 93-2 "Determination, Disclosure and Financial Statement Presentation of Income, Capital Gain and Return of Capital Distributions by Investment Companies" ("SOP"). The purpose of this SOP is to 18 ROBERTSON, STEPHENS & COMPANY report undistributed net investment income or loss and accumulated net realized gain or loss accounts in such a manner as to approximate amounts available for future distributions to shareholders, if any. NOTE 2 CAPITAL SHARES: a. TRANSACTIONS: The Fund has authorized an unlimited number of shares of beneficial interest with no par value. Transactions in capital shares for the six months ended June 30, 1996, and for the nine months ended December 31, 1995, were as follows: 1/1/96 - 6/30/96 SHARES AMOUNT - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- Shares sold 3,935,707 $ 85,677,577 Shares reinvested 5,511 105,978 - ------------------------------------------------------------------------------- 3,941,218 85,783,555 - ------------------------------------------------------------------------------- Shares redeemed (4,038,423) (83,276,430) - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- Net (decrease)/increase (97,205) $ 2,507,125 - ------------------------------------------------------------------------------- 4/1/95 - 12/31/95 SHARES AMOUNT - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- Shares sold 2,181,298 $ 41,669,243 Shares reinvested 686,387 13,000,659 - ------------------------------------------------------------------------------- 2,867,685 54,669,902 - ------------------------------------------------------------------------------- Shares redeemed (4,060,471) (76,253,733) - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- - ------------------------------------------------------------------------------- Net decrease (1,192,786) $ (21,583,831) - ------------------------------------------------------------------------------- NOTE 3 TRANSACTIONS WITH AFFILIATES: a. ADVISORY FEES AND EXPENSE LIMITATION: Under the terms of an advisory agreement, which is reviewed and approved annually by the Board of Trustees, the Fund pays Robertson Stephens Investment Management, Inc. ("RSIM Inc.") an investment advisory fee calculated at an annual rate of 1.00% of the average daily net assets of the Fund. For the six months ended June 30, 1996, the Fund incurred investment advisory fees of $854,090. RSIM Inc. has agreed to reimburse the Fund for any annual operating expenses, including investment advisory fees, but excluding distribution fees that exceed the most stringent limits prescribed by any state in which the Fund's shares are offered for sale. For the six months ended June 30, 1996, there was no expected reimbursement of advisory fees and other expenses. b. AFFILIATED PERSONS: Certain officers and Trustees of the Fund are also members and/or officers of Robertson, Stephens & Company Group, L.L.C. ("RS Group"), the managing member of Robertson, Stephens & Company LLC ("RS & Co."), the Fund's Distributor, and RSIM Inc., the Fund's Adviser. G. Randy Hecht, President, Chief Executive Officer, and a Trustee of the Fund, is also a Director of RSIM Inc., a Member of RS Group, and Chief Operating Officer of RS & Co. Terry R. Otton, Chief Financial Officer of the Fund, is a Member of RS Group and Chief Financial Officer of RS & Co. John P. Rohal, a Trustee of the Fund, is a Member of RS Group and Director of Research for RS & Co. All affiliated and access persons, as defined in the 1940 Act, follow strict guidelines and policies on personal trading as outlined in the Fund's Code of Ethics. c. COMPENSATION OF TRUSTEES AND OFFICERS: Trustees and officers of the Fund who are affiliated persons receive no compensation from the Fund. Trustees of the Fund who are not interested persons of the Trust, as defined in the 1940 Act, collectively received compensation and reimbursement of expenses of $11,102 for the six months ended June 30, 1996. d. DISTRIBUTION FEES: The Fund has entered into an agreement with RS & Co. for distribution services and has adopted a Plan of Distribution pursuant to Rule 12b-1 under the 1940 Act, which is approved annually by the Fund's Board of Trustees. Under this Plan, RS & Co. is compensated for services in such capacity, including its expenses in connection with the promotion and distribution of the Fund's shares. The distribution fee is calculated at an annual rate of 0.25% of the average daily net assets of the Fund. For the six months ended June 30, 1996, the Fund incurred distribution fees of $213,523. 19 THE EMERGING GROWTH FUND SECOND-QUARTER RESULTS NOTES TO FINANCIAL STATEMENTS (CONTINUED) e. BROKERAGE COMMISSIONS: RSIM Inc. may direct orders for investment transactions to RS & Co. as broker- dealer, subject to Fund policies as stated in the prospectus, regulatory constraints, and the ability of RS & Co. to provide competitive prices and commission rates. All investment transactions in which RS & Co. acts as a broker may only be executed on an agency basis. Subject to certain constraints, the Fund may make purchases of securities from offerings or underwritings in which RS & Co. has been retained by the issuer. For the six months ended June 30, 1996, the Fund paid brokerage commissions of $750 to RS & Co., which represented 0.8% of the total commissions paid for the period. NOTE 4 INVESTMENTS: a. PORTFOLIO TURNOVER RATE: The portfolio turnover rate, which is calculated based on the lesser of the cost of investments purchased or the proceeds from investments sold (excluding short- term investments) measured as a percentage of the Fund's average monthly investment portfolio for the six months ended June 30, 1996, was 86%. b. TAX BASIS OF INVESTMENTS: At June 30, 1996, the cost of investments for federal income tax purposes was $125,857,079. Accumulated net unrealized appreciation on investments was $38,863,035, consisting of gross unrealized appreciation and depreciation of $43,389,002 and ($4,525,967), respectively. c. INVESTMENT PURCHASES AND SALES: For the six months ended June 30, 1996, the cost of investments purchased and the proceeds from investments sold (excluding short-term investments) were $143,133,909 and $135,860,771, respectively. d. RESTRICTED SECURITIES: A restricted security is a security which has been purchased through a private offering and cannot be resold to the general public without prior registration under the Securities Act of 1933. If the security is subsequently registered and resold, the issuers would bear the expense of all registrations at no cost to the Fund. At June 30, 1996, the Fund held restricted securities with an aggregate value of $43,953, which represented 0.0% of the Fund's total assets. Restricted securities are valued according to the guidelines and procedures adopted by the Fund's Board of Trustees as outlined in Note 1.a., paragraph 2. ACQUISITION SECURITY SHARES COST VALUE DATE - -------------------------------------------------------------------------------- - -------------------------------------------------------------------------------- Applied Micro Circuits Corporation Convertible Preferred Stock, Series 3 2,381 $50,001 $43,953 9/14/87 - -------------------------------------------------------------------------------- 20 ADMINISTRATION OFFICERS AND TRUSTEES G. Randy Hecht President, Chief Executive Officer Terry R. Otton Chief Financial Officer Dana K. Welch Secretary Leonard B. Auerbach, Trustee President and Chairman of Auerbach Associates, Inc. Daniel R. Cooney, Trustee Former Portfolio Manager of the Lord Abbett Developing Growth Fund James K. Peterson, Trustee Director of the IBM Retirement Funds John P. Rohal, Trustee Managing Director and Director of Research, Robertson, Stephens & Co. INVESTMENT ADVISER Robertson Stephens Investment Management, Inc. 555 California Street, Suite 2600 San Francisco, CA 94104 DISTRIBUTOR Robertson, Stephens & Company LLC 555 California Street, Suite 2600 San Francisco, CA 94104 1-800-766-3863 TRANSFER AGENT AND DISBURSING AGENT State Street Bank & Trust Company c/o National Financial Data Services Kansas City, MO 1-800-272-6944 CUSTODIAN State Street Bank & Trust Company Boston, MA AUDITORS Price Waterhouse LLP San Francisco, CA LEGAL COUNSEL Ropes & Gray Boston, MA This report is submitted for the information of shareholders of The Robertson Stephens Emerging Growth Fund. It is not authorized for distribution to prospective investors unless preceded or accompanied by an effective prospectus. Published August 29, 1996 THE ROBERTSON STEPHENS MUTUAL FUNDS PIn addition to THE EMERGING GROWTH FUND, Robertson Stephens offers the following mutual funds: THE CONTRARIAN FUND-TM- A DEFENSIVE POSITION IN TODAY'S VOLATILE MARKET - Invests in attractively priced, growing companies worldwide that are out of favor or have not been discovered by institutional investors. Adheres to an independent, aggressive, and flexible investment strategy. The Fund may engage in short sales and invests in companies of all sizes. Managed by Paul Stephens. THE DEVELOPING COUNTRIES FUND A PORTFOLIO OF GROWING COMPANIES IN EMERGING MARKETS - Invests in publicly traded equities of developing countries. The Fund may engage in short sales and/or invest in private placement emerging market equity securities. No load. Managed by Michael Hoffman. THE DIVERSIFIED GROWTH FUND FOCUSING ON SMALL- AND MID-CAP COMPANIES - Invests primarily in equity securities to create a portfolio broadly diversified over industries and companies. THE GLOBAL LOW-PRICED STOCK FUND SEEKING OVERLOOKED AND UNDERVALUED COMPANIES - Invests in companies worldwide that are low-priced (stock prices no greater than $10 per share), have future growth potential, but are underappreciated or overlooked by other investors. No load. Managed by Hannah Sullivan. THE GLOBAL NATURAL RESOURCES FUND PRIMARILY FOCUSING ON ATTRACTIVE HARD ASSET COMPANIES - Invests in equities of companies engaged in the discovery, development, production, or distribution of natural resources, such as energy, metals, and forest products. No load. Managed by Andy Pilara, Jr. THE GROWTH & INCOME FUND SEEKING HIGH GROWTH WHILE MODERATING RISK - Invests primarily in small- and mid- cap company stocks, as well as convertible bonds and preferred stocks. No load. Managed by John Wallace. THE INFORMATION AGE FUND-TM- FOCUSING ON INVESTMENTS IN THE INFORMATION TECHNOLOGY SECTOR - Invests in a wide range of technology companies with strong fundamentals, market advantage, and growth potential, including computer hardware and software, telecommunications, and multimedia. No load. Managed by Ron Elijah. THE MICROCAP GROWTH FUND FOCUSING ON COMPANIES WITH MARKET CAPS OF LESS THAN $250 MILLION - Invests primarily in "micro-cap" companies with the potential for long-term capital appreciation. THE PARTNERS FUND A SMALL-CAP FUND USING A VALUE METHODOLOGY - This methodology combines traditional Graham & Dodd balance sheet analysis and cash flow analysis. No load. Managed by Andy Pilara, Jr. THE VALUE + GROWTH FUND A GROWTH FUND FOR THE LONG-TERM INVESTOR - Invests primarily in growth companies with favorable price/earnings ratios in sectors with the potential for above-average growth. Ability to short sell. No load. Managed by Ron Elijah. For a discussion of the risks associated with using options, investing in small companies, international investing, investing in a few sectors, allocating a large percentage of a portfolio to one security, and short selling, please read the prospectus. Design: Broom & Broom, Inc., San Francisco Photography: Anne Hamersky, Jerry Orabona, Bill Zemanek 555 California Street, Suite 2600 San Francisco, California 94104 FUND NEWS & INFORMATION ROBERTSON STEPHENS INVESTOR SERVICES - - Knowledgeable mutual fund representatives. - - Automated access to daily net asset values. - - Portfolio managers' hotline, 24 hours a day. 1-800-766-3863 ROBERTSON STEPHENS MUTUAL FUND E-MAIL funds@rsco.com ROBERTSON STEPHENS ON THE WEB http://www.rsim.com ROBERTSON STEPHENS ACCOUNTLINK - - Automated account information, 24 hours a day. l-800-624-8025 FUND LISTINGS The Fund is listed in THE WALL STREET JOURNAL, USA TODAY, INVESTOR'S BUSINESS DAILY, and most local newspapers as EmGr under the heading Robertson Stephens. Its computer quotation symbol is RSEGX. The views expressed in this report were those of the Fund's portfolio manager as of the date specified, and may not reflect the views of the portfolio manager on the date they are first published or at any other time thereafter. RSIM and its affiliates may buy or sell investments at any time for the Fund, their other clients or for their own accounts, and may not necessarily do so in a manner consistent with the views expressed in this report. The prices at which they buy or sell investments may be affected favorably by the contents of this report or the timing of its publication. THE VIEWS EXPRESSED IN THIS REPORT ARE INTENDED TO ASSIST SHAREHOLDERS OF THE FUND IN UNDERSTANDING THEIR INVESTMENT IN THE FUND AND DO NOT CONSTITUTE INVESTMENT ADVICE; INVESTORS SHOULD CONSULT THEIR OWN INVESTMENT PROFESSIONALS AS TO THEIR INDIVIDUAL INVESTMENT PROGRAMS. EX-27 2 FDS
6 01 EMERGING GROWTH 1,000 6-MOS DEC-31-1996 JAN-01-1996 JUN-30-1996 125,857 164,720 10,716 21,474 0 196,910 3,859 0 73 3,933 0 130,302 8,635 8,733 (929) 0 14,741 0 38,863 192,977 57 375 51 1,412 (929) 3,506 20,165 22,742 0 0 0 0 85,687 83,277 106 25,249 0 11,235 0 0 854 0 1,412 172,042 19.21 (.11) 3.25 0 0 0 22.35 1.65 0 0
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