N-CSRS

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      811-06312

The Lazard Funds, Inc.
(Exact name of registrant as specified in charter)

30 Rockefeller Plaza

New York, New York 10112
(Address of principal executive offices)           (Zip code)

Nathan A. Paul, Esq.

Lazard Asset Management LLC

30 Rockefeller Plaza

New York, New York 10112
(Name and address of agent for service)

Registrant’s telephone number, including area code:      (212) 632-6000

Date of fiscal year end:        12/31

Date of reporting period:      6/30/12

ITEM 1. REPORTS TO STOCKHOLDERS.

June 30, 2012

Lazard Funds Semi-Annual Report

U.S. Equity

Lazard U.S. Equity Concentrated Portfolio

Lazard U.S. Strategic Equity Portfolio

Lazard U.S. Mid Cap Equity Portfolio

Lazard U.S. Small-Mid Cap Equity Portfolio

Global Equity

Lazard Global Listed Infrastructure Portfolio

International Equity

Lazard International Equity Portfolio

Lazard International Equity Select Portfolio

Lazard International Strategic Equity Portfolio

Lazard International Small Cap Equity Portfolio

Emerging Markets

Lazard Emerging Markets Equity Portfolio

Lazard Developing Markets Equity Portfolio

Lazard Emerging Markets Equity Blend Portfolio

Lazard Emerging Markets Multi-Strategy Portfolio

Lazard Emerging Markets Debt Portfolio

Real Estate

Lazard U.S. Realty Income Portfolio

Lazard U.S. Realty Equity Portfolio

Lazard International Realty Equity Portfolio

U.S. Fixed Income

Lazard U.S. High Yield Portfolio

Lazard U.S. Municipal Portfolio

Global Fixed Income

Lazard Global Fixed Income Portfolio

Tactical Asset Allocation

Lazard Capital Allocator Opportunistic Strategies Portfolio

Lazard Funds

  The Lazard Funds, Inc. Table of Contents

2	Investment Overviews
15	Performance Overviews
35	Information About Your Portfolio’s Expenses
39	Portfolio Holdings Presented by Sector
41	Portfolio Holdings Presented by Region and Credit Rating
42	Portfolios of Investments
42	Lazard U.S. Equity Concentrated Portfolio
43	Lazard U.S. Strategic Equity Portfolio
45	Lazard U.S. Mid Cap Equity Portfolio
47	Lazard U.S. Small-Mid Cap Equity Portfolio
49	Lazard Global Listed Infrastructure Portfolio
51	Lazard International Equity Portfolio
53	Lazard International Equity Select Portfolio
55	Lazard International Strategic Equity Portfolio
57	Lazard International Small Cap Equity Portfolio
59	Lazard Emerging Markets Equity Portfolio
61	Lazard Developing Markets Equity Portfolio
63	Lazard Emerging Markets Equity Blend Portfolio
65	Lazard Emerging Markets Multi-Strategy Portfolio
76	Lazard Emerging Markets Debt Portfolio
83	Lazard U.S. Realty Income Portfolio
85	Lazard U.S. Realty Equity Portfolio
86	Lazard International Realty Equity Portfolio
88	Lazard U.S. High Yield Portfolio
93	Lazard U.S. Municipal Portfolio
97	Lazard Global Fixed Income Portfolio
102	Lazard Capital Allocator Opportunistic Strategies Portfolio
104	Notes to Portfolios of Investments
108	Statements of Assets and Liabilities
114	Statements of Operations
120	Statements of Changes in Net Assets
129	Financial Highlights
150	Notes to Financial Statements
169	Proxy Voting Results
170	Board of Directors and Officers Information
172	Other Information

Please consider a Portfolio’s investment objectives, risks, charges and expenses carefully before investing. For more complete information about The Lazard Funds, Inc. (the “Fund”), you may obtain a prospectus or summary prospectus by calling 800-823-6300, or online, at www.LazardNet.com. Read the prospectus or each Portfolio’s summary prospectus carefully before you invest. The prospectus and summary prospectus contain investment objectives, risks, charges, expenses and other information about Portfolios of the Fund, which may not be detailed in this report.

Distributed by Lazard Asset Management Securities LLC.

Semi-Annual Report  1

  The Lazard Funds, Inc. Investment Overviews

U.S. Equities
The U.S. equity market rose robustly during the first quarter of 2012, and modestly declined during the second quarter. During the first three months of the year, the market rallied due to heightened global growth prospects, continued easing of monetary policy, and positive developments in the European debt crisis. In the United States, economic indicators such as manufacturing, vehicle sales, and housing data all improved. The market also benefited from upbeat sentiment from the Eurozone, as the European Union (E.U.) continued to make progress toward restructuring Greece’s debt and the European Central Bank (ECB) implemented the second round of its Long Term Refinancing Operation (LTRO), which provides low cost funds to European banks in order to bolster their liquidity. In the second quarter, the market’s decline was primarily due to concerns about Europe, particularly the prospect that Greece may exit the Eurozone and cause subsequent contagion in the financial markets. Investors were also disappointed that U.S. employment and economic indicators were lower than expected. In response to concerns about the U.S. economic recovery, the U.S. Federal Reserve indicated that it would extend Operation Twist through year end. On the last day of the quarter, the U.S. market rallied on the news that Eurozone leaders agreed to substantial policy changes which move the Eurozone closer toward fiscal integration, including the creation of a central bank regulator.

International Equities
The six-month period ended June 30, 2012 was volatile and international equity markets concluded the period higher. A number of macroeconomic events moved markets up and down. The LTRO conducted by the ECB in December 2011 and February 2012 provided over a trillion dollars of three-year financing at 1% interest rates. This substantially eased financing issues for European banks and, to some extent, Spanish and Italian sovereigns during the initial months of 2012. However, despite monetary easing measures, conditions in the Eurozone’s peripheral economies began to deteriorate in March. Investors feared a potential Greek exit from the Eurozone following the country’s inability to form a coalition government in early May. Subsequent elections in June led to the victory of a pro-bailout party, and stabilized Greece’s position in the Eurozone, at least in the short term. In Spain, conditions within the financial sector weakened, leading investors to question the ability of the Spanish government to contain the banking crisis amid rising borrowing costs and a weak economic environment. In June, Spain

requested a $125 billion rescue aid package from the E.U. in order to bolster its financial sector. However, investor sentiment improved in June following an E.U. summit at the end of the month, which called for the establishment of a single banking supervisor, as well as the ability of the European Stability Mechanism to directly inject capital into troubled banks. Japan performed strongly in the first quarter of 2012, but later reported larger-than-expected trade deficits due to diminished exports to Europe and higher energy imports. In the emerging markets, China announced further monetary easing by reducing interest rates and decreasing bank reserve requirements as Chinese exports and manufacturing activity declined. From a sector perspective, market leadership was mixed, as neither traditionally defensive nor cyclical sectors prevailed. Outperforming sectors included consumer discretionary, financials, and consumer staples. In contrast, energy, materials, and information technology were among the worst-performing sectors.

Emerging Markets Equities and Debt
After delivering strong performance in late 2011, equities in the developing world extended their strength into the first quarter of 2012, due to improving growth in the world economy, as well as the ECB’s introduction of its LTRO to address European sovereign debt issues. Subsequently, emerging market stocks fell in the second quarter (particularly in May), primarily due to concerns over European sovereign debt sustainability and global growth. However, a rebound in June helped to curtail losses for the second quarter. The Morgan Stanley Capital International (MSCI^®) Emerging Markets Index (the EM Index) gained almost 4% during the six-month period ended June 30, 2012, in U.S. dollar terms, with Latin American equities faring worse than their counterparts in Asia and Eastern Europe.

Latin American markets had slight losses year to date, with Brazil declining amid worries about corporate earnings and government economic policy, while Argentina, which is not a constituent of the EM Index, plunged dramatically following government expropriation of the majority of oil company YPF. Peruvian and Colombian equities, however, rose as a result of stable commodity prices, and Mexican equities also outperformed.

Most Asian markets finished higher year to date. Shares in the Philippines and Thailand performed particularly well, aided by robust growth. Indian shares rebounded after performing poorly at the end of 2011. Indonesian equities, which have

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been among the strongest performers over the last two years, declined modestly as a result of government indecision over whether or not to reduce subsidies for fuel prices.

Eastern European markets were bolstered by the introduction of the LTRO. This helped support shares in Hungary and Poland. Meanwhile, stronger oil prices early in the year helped stocks in Russian oil companies, but these gains were reversed when oil prices fell sharply in the second quarter. Both Egyptian and Turkish equities rebounded strongly from weak performance late last year.

In terms of sector performance, materials, energy, and consumer discretionary stocks performed relatively poorly. The health care, information technology, and consumer staples sectors were the strongest performers.

In emerging market debt, markets rallied extensively through most of the first four months of the year, and then sharply sold off in May. While external and local debt markets returned nearly the same amount for the first half of 2012, the return patterns differed. Local markets had significant foreign exchange gains in January and February, which were then eliminated through losses in May. Though external markets sold off in May as well, the returns were much more consistent for the asset class. Asset prices rallied in June as a result of potential easing from the United States and the better-than-expected E.U. summit, at which European leaders outlined the long-run collectivization of liabilities and short-run debt purchasing program to give much-needed relief to sovereign debt spreads.

Real Estate Securities
The global and domestic outlook for commercial real estate and listed property shares continues to be positive, even when faced with an ample collection of fiscal, political, macroeconomic, capital market, and competitive challenges. In general, during the first half of 2012, the global commercial real estate market benefited from economic growth, strong demographics in emerging markets, and little new supply due to constrained bank lending. Furthermore, from a capital demand perspective, the asset class benefited from attractive relative yields in a persistently low yield environment.

More specifically, demand for commercial real estate continued to outstrip supply, particularly in the more rapidly growing economies of China or in demographically favorable Brazil. Hong Kong and Singapore have posted strong per-

formance in the first half of the year, and remain stable markets, although higher relative and absolute valuations in these markets warrant investing with more caution. Europe continued to struggle under the weight of political instability, fiscal failures, capital markets weakness, high unemployment, and tepid economic growth. However, recent property and equity market underperformance in Europe is beginning to reveal high-quality bargains in European commercial properties and listed property shares.

In the United States, the capital markets recovery that began in March 2009, and the commercial real estate market recovery that followed, continues at a pace that varies depending on property sector and region. At the end of the first half of the year, all core sectors in all regions have shown occupancy improvements while approximately one-half of the markets have seen positive rent gains. Strong REIT (real estate investment trust) share price outperformance through the first half of the year was supported by healthy earnings growth driven through improvement in property-level fundamentals and a continued ability to enhance balance sheets with lower cost of capital due to low interest rates. Price support for the REIT sector has also been driven by the sector’s competitive (and growing) yield among lower yielding alternatives.

Domestically, demand continues to outpace supply in all property sectors (apartments, retail, industrial, office, and lodging) creating a favorable pricing environment for landlords. Prospects for rent growth at the property level are highly dependent on geographic submarkets, where the growing and high-barrier-to-entry markets of San Francisco, New York, Seattle, and West Los Angeles are showing the strongest property-level growth. While U.S. REIT share prices reflect a premium to underlying property values, we believe public market valuations should continue to be supported by high relative dividend yields, growth rates, and conservative leverage.

High Yield Fixed Income
For the first half of 2012, the U.S. high yield market posted strong absolute and relative returns, outperforming most fixed-income sectors, yet lagging domestic equities. Lower-quality and CCC-rated credits materially outperformed in the first quarter, but lagged in the second quarter as economic growth appeared to lose momentum and Western European sovereign and systemic issues moved to the forefront.

Semi-Annual Report  3

High yield credit spreads tightened by approximately 80 basis points over the first half of 2012 to 645 basis points over Treasuries. Intermediate Treasury yields declined about 20 basis points during the first half. Default rates started to rise modestly from last year. The Moody’s trailing twelve-month issuer default rate was 3.1% as of June 2012, up from 1.9% in December of 2011. Approximately $140 billion in new issues were sold in the first half of 2012, although volume slowed by late June. High yield mutual fund flows were generally robust over the first half of 2012, and totaled about $20 billion. High yield exchange traded funds (ETFs) have gained in popularity, and as of June 30, 2012 total about $26 billion in assets.

U.S. Municipal Fixed Income
For many U.S. states, fiscal conditions are continuing to improve, but the recovery is sluggish and many states’ budgets are still below their pre-2008 levels. According to the recent Fiscal Survey of States, a report issued by the National Governors Association, state budgets in fiscal year 2012 (FY12) continue to be squeezed by constrained revenues, increased expenditure pressures, reductions in federal funding, and the need to replenish reserves and provide resources for critical areas that were cut during the recession. States have actively cut expenditures across the board. The projected budget gaps are significantly lower this year: 11 states are projecting, in aggregate, $23.2 billion in budget gaps for FY14.

Despite the challenging macroeconomic environment and negative headline risk from struggling municipalities, the municipal sector’s impressive relative performance continued, with notable returns in April and May. Year-to-date through June 30, 2012, the municipal sector has posted returns of 3.66%, significantly outperforming Treasuries, which returned 1.51%.

Municipal bonds continued to benefit from strong investor demand, as measured by municipal bond mutual fund net inflows. In fact, these inflows, coupled with reinvestment (maturities, calls, and coupon), were strong enough to absorb a significant increase in the level of tax-exempt issuance. Second-quarter new-issue supply was up approximately 45% over the first quarter and is up 69% for the year-to-date through June 30, 2012 versus the same period last year. The bulk of this activity was due to the large number of refunding issues, which were up approximately 126% from the pre-

vious year. New financings increased by a modest 11% in comparison, highlighting issuers’ tentativeness to dramatically increase their overall debt.¹ Finally, issuers considered to be higher risk posted the highest returns, as investors sought to capture additional yield in order improve income as well as to protect asset values from rising interest rate expectations.

Global Fixed Income
Two themes captured financial market behavior during the first quarter of 2012: reversion to the mean and European crisis fatigue. Despite lingering uncertainty regarding Greece, Spain, and the rest of peripheral Europe, and negative credit rating actions on European sovereigns and banks, risk appetite resurfaced—inciting a vigorous equity rally, tightening of credit spreads, and a generally weaker U.S. dollar. Abundant liquidity provided by the LTRO, in addition to an accommodative U.S. Federal Reserve, added fuel to the fire, to the benefit of growth-sensitive investments. The mood was quickly reversed, as the second quarter of 2012 brought heightened volatility with rates generally rallying around the world as euro-related risk aversion increased, and global growth expectations weakened. Lower inflationary pressures in many countries also reinforced the downward movement in rates. Ten-year U.S. government bond yields dropped from 2.4% (the recent high in mid-March) to a historical low of 1.4% on June 1 on the heels of surprisingly weak employment data—only to rebound to 1.7% by the end of June. Other markets followed suit, including German 10-year maturity bunds, whose yield reached a new low near 1.2% at the beginning of June, but ended the quarter at 1.6%. In contrast, Italian and Spanish bonds underper-formed and were not able to sustain yield levels below 5%, and their 10-year maturity bonds backed up to 6.2% and 7.1%, respectively, by early June. Fear of bank runs in Spain introduced an additional layer of urgency to the European saga as investor confidence has eroded and will likely prove a delicate matter to repair. Recent price action highlights the sensitivity (and market addiction) to central bank liquidity, and the short-lived benefits of the LTRO initiative in Europe. The eagerly anticipated E.U. summit in late June exceeded expectations, and on the last trading day of June, these Italian and Spanish bonds staged an impressive rally back down to 5.8% and 6.3%, respectively.

The Reserve Bank of Australia has engineered a substantially looser monetary policy to offset tighter fiscal policy as

4  Semi-Annual Report

their recent budget included measures to create a surplus, which resulted in rates declining by more than 100 basis points across the yield curve during the second quarter. Brazil also cut rates by 50 basis points during May to 8.50%, in an effort to counteract slowing growth (and possibly weaken the real). In contrast, Poland unexpectedly raised interest rates by 25 basis points during May, citing inflationary pressures related to currency weakness, but its central bank also suggested that this may be the only rate hike. Canada also signaled a more hawkish stance due to buoyant domestic conditions and a strong housing market.

Global corporate bond sales slowed from the record pace of the first quarter as companies cut borrowing, even with yields at historic lows. In contrast to being stable in the first quarter of 2012, spreads widened in many credit sectors in the second quarter, lagging the flattening of government yield curves. Returns for the first half were still positive for most sectors, however, and with many government bonds trading at such low yields, the break-even points for non-government sectors appear even more compelling. High-yield bonds held up well, possibly supported by supply-demand dynamics; nevertheless, this posed a rare break in the historical linkage with equity performance. Emerging market debt (and equities) sold off in May, but began to recover in June.

Currencies were mixed, and extremely volatile from quarter to quarter, bearing the brunt of European events but also driven by local domestic events. The U.S. dollar rallied against many currencies, but not to the extent seen in September 2011.

Lazard U.S. Equity Concentrated Portfolio²
For the six months ended June 30, 2012, the Lazard U.S. Equity Concentrated Portfolio’s Institutional Shares posted a total return of 6.70%, while Open Shares posted a total return of 6.67%, as compared with the 7.51% return for the Russell 1000 Value/S&P 500 Linked Index, and the 8.68% return for the Russell 1000^® Value Index.³

Stock selection in the information technology sector contributed to performance. Shares of Apple rose due to strong quarterly earnings and we exited this position during the reporting period. Stock selection in the consumer staples sector also helped returns, as shares of retailer Wal-Mart Stores rebounded after the company posted strong earnings.

In contrast, stock selection and an underweight position in the energy sector detracted from performance. Shares of global integrated energy company Hess declined after the company lowered production guidance and reported higher capital expenditures than expected. We exited this position during the reporting period. Stock selection and an overweight position in the consumer discretionary sector also hurt returns. Shares of auto parts manufacturer Lear declined largely due to fears about Europe.

Please note, effective May 31, 2012, the Portfolio changed its investment strategy and its name to Lazard U.S. Equity Concentrated Portfolio. The Portfolio invests primarily in equity securities, principally common stocks, of U.S. companies of any market capitalization and has a concentrated portfolio of investments, typically investing in 15 to 35 companies with market capitalizations generally greater than $350 million. The Portfolio’s benchmark was also changed from the Russell 1000 Value Index to the S&P 500^® Index.

Lazard U.S. Strategic Equity Portfolio
For the six months ended June 30, 2012, the Lazard U.S. Strategic Equity Portfolio’s Institutional Shares posted a total return of 5.65%, while Open Shares posted a total return of 5.42%, as compared with the 9.49% return for the S&P 500 Index.

A lack of exposure to utilities contributed to performance, as the sector was one of the worst performers over the last six months. Stock selection and an underweight position in the energy sector also helped returns. Shares of Marathon Petroleum rose after the company reported earnings which exceeded expectations. During the first six months of this year, the company also nearly completed an $850 million accelerated share buyback, part of a recently announced $2 billion share repurchase program.

In contrast, stock selection in the information technology sector detracted from performance. Although a strong contributor to absolute performance, the Portfolio’s underweight position in Apple relative to the index detracted from relative returns, as the company rose due to strong quarterly earnings. Stock selection and an overweight position in the materials sector also hurt returns. Shares of Newmont Mining, which we exited during the period, declined roughly in line with other gold stocks, which weakened as the U.S. dollar strengthened.

Semi-Annual Report  5

Lazard U.S. Mid Cap Equity Portfolio
For the six months ended June 30, 2012, the Lazard U.S. Mid Cap Equity Portfolio’s Institutional Shares posted a total return of 3.12%, while Open Shares posted a total return of 2.99%, as compared with the 7.97% return for the Russell Midcap^® Index.

Stock selection and an underweight position in the energy sector contributed to performance. Shares of Marathon Petroleum rose after the company reported quarterly earnings which exceeded expectations, primarily due to retail fuel and merchandise margins, as well as corporate expense. During the first six months of the year, the company nearly completed an $850 million accelerated share buyback, a portion of a recently announced $2 billion share repurchase program. Stock selection in the industrials sector also helped returns. Shares of private correctional facilities operator Corrections Corporation of America rose as the company announced the initiation of a quarterly cash dividend of $0.20 per share, beginning in June 2012. In addition, shares of Thomas & Betts rose as the company was offered a buy-out from a competitor. The position was subsequently sold from the Portfolio.

In contrast, stock selection and an overweight position in the information technology sector detracted from performance. Shares of NetApp, a storage and data management solutions provider, declined after the company reported quarterly results. Although earnings exceeded expectations, the market was disappointed by the company’s guidance, which was lower than estimated due to the macroeconomic environment. Stock selection in the consumer staples sector also hurt returns. Shares of consumer products company Energizer Holdings declined. Although the company reported quarterly earnings that were above expectations, investors were disappointed as management lowered guidance for the year due to economic uncertainty in Europe and foreign exchange headwinds. Stock selection in the consumer discretionary sector also detracted from performance. Shares of casino game manufacturer International Game Technology declined after the company reported disappointing quarterly results. The expectations shortfall was driven by a significant decline in new units due to a lack of casino openings, as well as lower margins in the company’s game operations business stemming from lower interest rates. We sold the position during the first quarter.

Lazard U.S. Small-Mid Cap Equity Portfolio
For the six months ended June 30, 2012, the Lazard U.S. Small-Mid Cap Equity Portfolio’s Institutional Shares posted a total return of 7.11%, while Open Shares posted a total return of 6.94%, as compared with the 8.31% return for the Russell 2500^® Index.

For the six-month period, stock selection in the consumer discretionary and energy sectors detracted from performance, while stock selection in the financials and industrials sectors helped returns.

Performance in the consumer discretionary sector was hurt by Modine Manufacturing, a manufacturer of heat-transfer and heat-storage technology products for the automotive market. Shares of the company declined after it reduced its full-year earnings target during the period amid slowing sales in Europe. Tempur-Pedic International, a mattress manufacturer, also detracted from returns due to lower-than-anticipated earnings guidance. We exited the position in Tempur-Pedic during the period. Vera Bradley, a producer and retailer of fashion accessories for women, detracted from returns in the sector as well. Investors were skeptical that the company would be able to meet its earnings projections following a weak 2011 earnings announcement.

The main detractor in the energy sector was Rosetta Resources, an oil and gas exploration and production company. Shares of the company declined following a disappointing earnings announcement, which was due mainly to lower oil and natural gas prices. GulfMark Offshore, a provider of marine support services to the energy industry, also hurt returns in the sector after a weaker-than-expected earnings announcement.

Kilroy Realty, an office and industrial property REIT, outperformed in the financials sector. Investors were optimistic about the company’s growth prospects due to well-timed property acquisitions. Another REIT position, Extra Space Storage, also added to performance in the sector. Shares of Wintrust Financial, a provider of community-based banking services, rose following an earnings announcement that was much better than forecast.

In the industrials sector, Regal-Beloit, a manufacturer of solutions to control motion, torque, and electrical products, added to performance after providing better-than-expected

6  Semi-Annual Report

earnings guidance early in the period. Timken, a manufacturer of roller and ball bearings, also added to returns in the sector. Shares of the company rose after it announced stronger-than-expected earnings and raised its full-year guidance. We exited the position in Timken during the period as it reached our valuation expectations.

Lazard Global Listed Infrastructure Portfolio
For the six months ended June 30, 2012, the Lazard Global Listed Infrastructure Portfolio’s Institutional Shares posted a total return of 5.75%, while Open Shares posted a total return of 5.57%, as compared with the 5.55% return for the UBS Global 50/50 Infrastructure & Utilities^® Index and 5.91% return for the MSCI World^® Index.

Tokyo Gas and Osaka Gas contributed to performance as these companies benefited from the decline in oil prices.

Fraport was among the largest contributors to returns over the six-month period. The Fraport share price advanced in line with improving sentiment about the European economic outlook during the first quarter and increasing passenger traffic at Frankfurt Airport.

Eurozone concerns weighed on the European positions in the Portfolio over the second quarter. Sovereign concerns along with a first-quarter 8.5% drop in Italian toll traffic resulted in negative performance from Atlantia, although the reduction in traffic was largely due to severe weather conditions in January and February, along with a truck drivers’ strike. Spanish toll road operator Abertis Infraestructuras was also negatively impacted by European contagion and detracted from returns.

Lazard International Equity Portfolio
For the six months ended June 30, 2012, the Lazard International Equity Portfolio’s Institutional Shares posted a total return of 7.13%, while Open Shares posted a total return of 6.99%, as compared with the 2.96% return of the MSCI EAFE^® Index (Europe, Australasia, Far East).

The Portfolio’s outperformance over the first six months of this year was primarily due to stock selection. In the materials sector, stock selection was led by positions in Rexam, James Hardie Industries, and Xstrata. U.K. beverage can producer Rexam performed well as the company reported a robust pricing environment in Europe and faster-than-expected volume growth in the United States. Australian building materials

company James Hardie benefited the Portfolio after reporting favorable results, while U.K. mining company Xstrata had a positive impact on performance due to anticipation of a potential merger with Glencore (Xstrata was sold during the period). Stock selection in the information technology sector also benefited the Portfolio, led by a position in Spanish travel information systems provider Amadeus, which performed well due to strong results, including market share gains. Emerging market positioning benefited the Portfolio as Brazilian credit card payment processor Cielo continued to perform well. In addition, South Korean electronics producer Samsung had a positive impact on performance following strong smartphone sales. Stock selection in emerging markets was also additive, led by the aforementioned Cielo and Samsung, as well as a position in South Africa’s Mr. Price Group, which we exited during the period.

In contrast, the Portfolio was negatively affected by stock selection in the consumer discretionary sector as a position in Yamada Denki weighed on returns after strong performance in 2011. We eliminated our position in this stock during the period. Stock selection in the health care sector also detracted from returns as Switzerland’s Novartis underperformed, due to increased competition from generics following the company’s loss of patent protection for its high blood pressure drug Diovan. Germany’s Merck also underperformed following a decline in first-quarter profits. Stock selection in the financials sector slightly detracted from returns. Positions in Swiss financial services firms Credit Suisse Group and Julius Baer had a negative impact on performance due to renewed concerns over the European debt crisis. We exited positions in both of these stocks during the period. Meanwhile, Brazil’s Banco do Brasil also detracted from returns, as the bank underperformed amid concerns over the Brazilian government’s focus on lowering interest rates.

We would also like to note that, during the second quarter of 2012, the Lazard International Equity Portfolio changed the maximum allocation to emerging market securities from 30% to 15%.

Lazard International Equity Select Portfolio
For the six months ended June 30, 2012, the Lazard International Equity Select Portfolio’s Institutional Shares posted a total return of 6.12%, while Open Shares posted a total return of 5.82%, as compared with the 2.77% return of the MSCI ACWI^® ex-U.S. Index (All Country World ex-U.S. Index).

Semi-Annual Report  7

The Portfolio’s outperformance over the first six months of the year was primarily due to stock selection. In the materials sector, stock selection was led by positions in Rexam and Xstrata. U.K. beverage can producer Rexam performed well as the company reported a robust pricing environment in Europe and faster-than-expected volume growth in the United States. U.K. mining company Xstrata had a positive impact on the Portfolio due to anticipation of a potential merger with Glencore (Xstrata was sold during the period). Stock selection in the telecom services sector also benefited the Portfolio, led by a position in Telekomunikasi Indonesia, as the company performed well, driven by strong operating results. A position in Australian telecommunications provider Telstra performed well as the company reported earnings in line with consensus, reiterated guidance for fiscal year 2012, and announced a gradual dividend increase over time. Exposure to emerging markets also benefited the Portfolio, as positions in Brazilian credit card processor Cielo, Thailand’s Kasikornbank, and South Africa’s Mr. Price Group, as well as the aforementioned position in Telekomunikasi Indonesia, performed well.

In contrast, the Portfolio was negatively affected by stock selection in the consumer discretionary sector, as a position in Yamada Denki weighed on relative returns following strong performance in 2011. We eliminated our position in this stock during the period. Stock selection in the health care sector also detracted from relative returns, as Switzer-land’s Novartis underperformed due to increased competition from generics following the company’s loss of patent protection for its high blood pressure drug Diovan. U.K’s GlaxoSmithKline also underperformed as the company reported revenue declines in Europe.

We would also like to note that, during the second quarter of 2012, the Lazard International Equity Select Portfolio changed the maximum allocation to emerging market (EM) securities from 30% to the EM component of the MSCI ACWI ex-U.S. Index plus 15%.

Lazard International Strategic Equity Portfolio
For the six months ended June 30, 2012, the Lazard International Strategic Equity Portfolio’s Institutional Shares posted a total return of 8.03%, while Open Shares posted a total return of 7.97%, as compared with the 2.96% return for the MSCI EAFE Index.

The Portfolio outperformed the MSCI EAFE Index by a comfortable margin in the first half of 2012, primarily driven by stock selection. In the energy sector, oil services companies such as AMEC rose after reporting solid profits. In the materials sector, the Portfolio was helped by encouraging results from Symrise, a global flavors and fragrances manufacturer; James Hardie Industries, an Australian building materials company; and Rexam, a global beverage packaging company. The Portfolio also benefited from its low exposure to mining companies.

In the consumer discretionary sector, Sky Deutschland continued to make good progress towards its operational targets while securing key financing and content transactions, while Indonesian integrated media company Media Nusantara Citra again saw very strong demand for advertising on its channels. These positives offset a decline in the share price of cruise operator Carnival after the tragic accident involving its Costa vessel in Italy, and weak results from Japanese electrical appliances retailer Yamada Denki. We eliminated positions in both these stocks during the period. Among the Portfolio’s consumer staples holdings, beer company Anheuser-Busch InBev reported strong results, as did Associated British Foods in both its sugar and discount retail divisions. Performance in the health care sector was driven by profit growth at South African companies Aspen Pharmacare Holdings and Life Healthcare Group Holdings.

We would also like to note that, during the second quarter of 2012, the Lazard International Strategic Equity Portfolio changed the maximum allocation to emerging market securities from 30% to 15%.

Lazard International Small Cap Equity Portfolio
For the six months ended June 30, 2012, the Lazard International Small Cap Equity Portfolio’s Institutional Shares posted a total return of 8.33%, while Open Shares posted a total return of 8.02%, as compared with the 4.92% return for the MSCI EAFE Small Cap Index.

The Portfolio benefited from stock selection in the financials and consumer discretionary sectors, and in continental Europe and Asia ex-Japan. An underweight position in the materials sector also added to performance. Negative contributions resulted from stock selection in the United Kingdom and in the utilities and consumer staples sectors.

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U.K.-listed GlobeOp Financial Services contributed positively in the financials sector for the period. GlobeOp provides financial and accounting services to money managers. The company’s share price rose sharply in January and February due to a bidding war. We sold our position shortly before the deal was completed.

Ain Pharmaciez operates dispensing pharmacies in Japan and contributed positively to the Portfolio in the period. The company is the largest player in a highly fragmented market and benefits from its scale by having lower costs and pricing power.

Dr.Ci:Labo, a Japanese pharmaceutical cosmetics company, detracted from performance in the first half of the year. The share price weakened in May after the company revised down its earnings outlook for the year ending in July.

Yule Catto, a manufacturer of specialty chemicals and pharmaceuticals, also detracted in the period. In late June, the company issued a profit warning reflecting a sudden and significant deterioration in outlook, only six weeks after a trading statement indicated that operations were in line with market expectations.

Lazard Emerging Markets Equity Portfolio
For the six months ended June 30, 2012, the Lazard Emerging Markets Equity Portfolio’s Institutional Shares posted a total return of 8.27%, while the Open Shares posted a total return of 8.14%, as compared with the 3.93% return for the EM Index.

Stock selection within Brazil helped performance, as shares of Cielo, a Brazilian credit card processor, re-rated due to better-than-expected fourth-quarter results, as well as Itaú’s tender offer to the minority shareholders of Cielo’s competitor, Redecard. Companhia Energetica de Minas Gerais (CEMIG), a Brazilian electric utility, also performed well due to strong results and speculation that the company would negotiate a settlement with Minas Gerais regarding the debt the state owed to the company. Turkiye Is Bankasi, a Turkish bank, rebounded from prior weakness due to reduced concerns over a market regulator’s potential investigation into claims of opposition party influence on Isbank’s policies, and amid positive economic data in Turkey. Additionally, stock selection in the telecom services sector also added to returns.

In contrast, stock selection in the energy sector detracted from performance, as shares of YPF, an Argentine energy company, were weak after the government announced its plans to expropriate the company from its majority owner, Repsol. Banco do Brasil, a Brazilian bank, performed poorly amid market concerns that the government would pressure banks to lower domestic interest rates. Shares of HTC, a Taiwanese smartphone manufacturer, fell due to weak first-quarter results and concerns about new products from competitors.

Lazard Developing Markets Equity Portfolio
For the six months ended June 30, 2012, the Lazard Developing Markets Equity Portfolio’s Institutional Shares posted a total return of 6.18%, while the Open Shares posted a total return of 5.99%, as compared with the 3.93% return for the EM Index.

The Portfolio’s outperformance during the six-month period was primarily attributed to positive stock selection. Top contributors to returns included Globaltrans Investment, a Russian rail freight transportation services company, which rose on strong results in its business and a continued optimistic outlook. Shares of Grupo Financiero Banorte, a Mexican bank, outperformed as a result of accelerating credit trends in Mexico. China State Construction International Holdings, a building construction and civil engineering firm, did well as the Chinese government continues to support social housing construction.

Stock selection was particularly strong in the financials and industrials sectors, where overweight positions in both of these sectors added modestly to performance. Zoomlion Heavy Industry Science and Technology, a Chinese manufacturer of construction machinery, rebounded early in the year as concerns eased about economic growth in the country. Shares of India-based ICICI Bank also did well after the bank reported strong top-line growth and better-than-expected asset quality relative to its peers.

The Portfolio ended the period with overweight exposures to China and Russia. Stock selection in Russia was particularly strong, despite a position in Alliance Oil, a small Russian integrated oil and gas company, which declined due to difficulties with the development of an important oil field in the West Siberian region of Timan-Pechora. Stock selection was also strong in Brazil, where performance was helped by

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the avoidance of Itaú Unibanco, a Brazilian bank, which declined on concerns of rising losses from bad loans and lower profits following interest rate cuts.

Stock selection and underweight exposures to the consumer staples and telecom services sectors detracted from returns as the market continued to gravitate toward the traditionally defensive nature of these sectors. Our position in NII Holdings, a Latin American mobile communications provider, detracted from returns as the company reported weaker operating trends and delayed the launch of its 3G service.

At a country level, the combination of stock selection in South Korea and underweight exposure to the country created the single largest drag on performance during the six-month period.

Lazard Emerging Markets Equity Blend Portfolio
For the six months ended June 30, 2012, the Lazard Emerging Markets Equity Blend Portfolio’s Institutional Shares posted a total return of 7.36%, while Open Shares posted a total return of 7.27%, as compared with the 3.93% return of the EM Index.

The Investment Manager allocates the Portfolio’s assets between the Investment Manager’s emerging markets relative value and relative growth investment strategies. The Investment Manager considers four broad economic contexts pertinent to allocation decisions between the relative value and growth strategies: Panic, Differentiation, Expansion, and Mania.

Changes made to the weighting of these economic contexts in the first six months of 2012 reflected a consideration of many factors, including Eurozone sovereign debt concerns; global macro data readings, particularly the Purchasing Managers’ Index (a measure of economic activity) in China, the United States, and the Eurozone; monetary policy in the United States and emerging markets; and other data.

We began the period with an overweight exposure to relative growth. In mid-January, we increased our overweight exposure to relative growth, as we found that a reduction of Eurozone sovereign debt concerns following the ECB’s LTRO and an increase in the probability of further policy easing in the emerging markets, along with the increased probability of duration lengthening in accommodative U.S.

monetary policy, would favor growth companies versus their value counterparts. At the beginning of April, we reduced our overweight exposure to growth as we believed that a reversion to more fundamental factors and an increase in returns dispersion within asset classes would provide the underlying strategies with a greater opportunity to add value from security selection. In mid-May, we were overweight exposure to value, as we believed that growing uncertainty in the macroeconomic landscape, in the form of Eurozone turmoil and weakening growth in China, would favor value versus growth.

For the first six months of 2012, stock selection in the industrials and financials sectors added value, as did stock selection in Brazil, and an underweight exposure to China. In contrast, stock selection in the energy sector and an underweight exposure to the consumer staples sector detracted from performance, as did stock selection in Thailand and an out-of-index exposure to Argentina.

Lazard Emerging Markets Multi-Strategy Portfolio
For the six months ended June 30, 2012, the Lazard Emerging Markets Multi-Strategy Portfolio’s Institutional Shares posted a total return of 5.83%, while Open Shares posted a total return of 5.34%, as compared with the 3.93% return of the EM Index.

The Investment Manager allocates the Portfolio’s assets among various emerging markets equity, debt and currency investment strategies managed by the Investment Manager. The Investment Manager considers four broad economic contexts pertinent to allocation decisions among the strategies: Panic, Differentiation, Expansion, and Mania.

Changes made to the weighting of these economic contexts in the first six months of 2012 reflected a consideration of many factors, including Eurozone sovereign debt concerns; global macro data readings, particularly the Purchasing Managers’ Index (which measures economic activity) in China, the United States, and the Eurozone; monetary policy in the United States and the emerging markets; and other data.

In the middle of January, we increased our exposure to equity and increased our exposure to the growth strategy in the equity allocation. We believed that a reduction of Euro-zone sovereign debt concerns following the ECB’s LTRO and an increase in the probability of further policy easing in

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the emerging markets, along with greater probability of duration lengthening of accommodative U.S. monetary policy, would favor equity versus fixed income and, within equity, growth companies versus their value counterparts. At the beginning of April, we reduced our exposure to equities and reduced our exposure to growth as we believed that a reversion to more fundamental factors and an increase in returns dispersion within asset classes would give the underlying strategies the opportunity to add value from security selection. In mid-May, we added exposure to fixed income, debt within fixed income, and value and added an allocation to small-cap equities. We felt that growing uncertainty in the macroeconomic landscape in the form of Eurozone turmoil and weakening growth in China would favor our debt and value strategies.

For the first six months of 2012, stock selection in the industrials and financials sectors added value, as did stock selection in Brazil, an overweight exposure to Turkey, long positions in the Mexican peso, and positions in external debt. In contrast, stock selection in the energy sector and an underweight exposure to the consumer staples sector detracted from performance, as did stock selection in Thailand, an out-of-index exposure to Argentina, and long positions in the Romanian leu.

Lazard Emerging Markets Debt Portfolio
For the six months ended June 30, 2012, the Lazard Emerging Markets Debt Portfolio’s Institutional Shares posted a total return of 7.52%, while Open Shares posted a total return of 7.45%, as compared with the 7.15% blended index return of the 50% JPMorgan EMBI Global Diversified^® Index/50% JPMorgan GBI-EM Global Diversified^® Index (the Global Diversified Index). The Portfolio ended the period approximately 52% invested in local currency debt versus 48% in external debt.

The Portfolio outperformed its benchmark, the Global Diversified Index, in the first half of 2012, even as markets experienced bouts of volatility. Tactical allocation to external and local debt contributed the most in the period, though specific sovereign and corporate credit positions helped as well. Key sovereign countries included the Ivory Coast, Venezuela, and Iraq, while the primary corporate bond positions were in Russia. Emerging market foreign exchange positions also helped, as overweight exposures to Latin America and underweight exposures to eastern Europe were

key drivers. An underweight duration position in local markets detracted the most, as yields rallied. The key market was Brazil, as the Portfolio’s long-standing avoidance of local Brazilian fixed-income assets was a costly decision.

Lazard U.S. Realty Income Portfolio
For the six months ended June 30, 2012, the Lazard U.S. Realty Income Portfolio’s Institutional Shares posted a total return of 13.84%, while Open Shares posted a total return of 13.69%, as compared with the 11.29% blended index return of the 50% FTSE NAREIT All Equity REITs^® Index/50% Wells Fargo Hybrid and Preferred Securities REIT^® Index (the Hybrid Index).

The Portfolio outperformed its benchmark, the Hybrid Index, during the first half of the year, primarily due to stock selection. For the period under review, the Portfolio was, on average, 51% invested in common stocks, 38% investing in preferred stocks, and 2% invested in bonds. The Portfolio had a higher than normal cash balance due to portfolio repositioning.

Positive contributors to relative performance during the first half of the year included an overweight position in CBRE Group, a real estate services company, which outperformed on better-than-expected earnings results driven by unexpectedly high transaction volumes. We exited this position during the period. An overweight position in commercial finance REITs helped, namely via Apollo Commercial Real Estate Finance, which benefited from the narrowing of risk premiums for senior, non-equity commercial real estate investments. An overweight position in STAG Industrial, an industrial REIT, also helped as it performed strongly due to the company’s continued ability to make accretive acquisitions.

On the other hand, detractors included an underweight in Simon Property Group, a mall REIT and the largest position in the Portfolio’s benchmark, detracted most from relative performance as the company’s shares meaningfully outperformed the benchmark on strong earnings and acquisition activity. An overweight in Agree Realty detracted as this triple net REIT underperformed due to the impact of book retailer Borders leaving the company’s portfolio. An overweight in Entertainment Properties Trust, a triple net REIT, also detracted as it underperformed due to concerns about the health of the company’s charter school portfolio.

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Lazard U.S. Realty Equity Portfolio
For the six months ended June 30, 2012, the Lazard U.S. Realty Equity Portfolio’s Institutional Shares posted a total return of 14.91%, while Open Shares posted a total return of 14.81%, as compared with the 14.91% return of the FTSE NAREIT All Equity REITs Index.

Stock selection contributed positively to relative returns while subsector allocation detracted.

During the period under review, contributors to relative returns included meaningful overweight positions in real estate service companies CBRE Group and Jones Lang LaSalle, which benefited from better-than-expected transaction volumes driving stronger earnings growth. A timely establishment of an overweight position in American Tower Corporation, an infrastructure REIT, helped as it benefited from unique revenue drivers in the wireless tower sector and a solid growth outlook from both increased global demand and market share gain opportunities. An overweight position in office REITs added to returns, most notably via Southern California office company Douglas Emmett, which benefited from strong demand in the high-barrier-to-entry West Los Angeles submarket.

Detractors from relative performance during the first half of the year included an overweight position in Associated Estates, an apartment REIT, which underperformed due to a dilutive equity offering and investor concerns over the company’s entrance into new geographic markets. An overweight position in Retail Opportunity Investments, a shopping center REIT, detracted as its performance was affected by the potential overhang and dilution from warrants on the company’s shares. An overweight position in Medical Properties Trust, a health care REIT, underperformed after the company executed a substantial acquisition with minimal net asset value accretion and the need for equity issuance to fund the purchase.

Lazard International Realty Equity Portfolio
For the six months ended June 30, 2012, the Lazard International Realty Equity Portfolio’s Institutional Shares posted a total return of 19.46%, while Open Shares posted a total return of 19.31%, as compared with the 15.45% return of the FTSE EPRA/NAREIT Global ex-U.S.^® Index.

The Portfolio posted strong relative performance through the first half of 2012, and outperformed its benchmark. Relative to country allocation, stock selection had the bigger contribution to relative returns.

Contributors to relative returns included an overweight in Shimao, a Chinese residential developer, which benefited from better-than-expected progress towards its full year sales target. A modest overweight in the outperforming region of Australia combined with favorable selection in the country, most notably a position in Goodman Group, helped returns, as did an overweight in GAGFAH SA, a German apartment owner that benefited from strong operating fundamentals driven by the relatively strong German economy and a revaluation following the resolution of a lawsuit.

On the other hand, detractors from relative returns included an overweight to Brazilian homebuilders, which underperformed due to worse-than-expected earnings and continuing resolution of operating difficulties and inventory management. An overweight in Beni Stabili, an Italian office landlord, detracted from performance as European macroeconomic concerns overshadowed still-strong operating fundamentals. An overweight position in Sun Hung Kai Properties, Hong Kong’s largest property company, also underperformed due to allegations of unfair acquisition practices, which have yet to be settled.

Lazard U.S. High Yield Portfolio
For the six months ended June 30, 2012, the Lazard U.S. High Yield Portfolio’s Institutional Shares posted a total return of 5.66%, while Open Shares posted a total return of 5.70%, as compared with the 7.08% return for the Bank of America Merrill Lynch High Yield Master II^® Index.

The Portfolio underperformed over the first six months of 2012, as lower-quality and bank/finance securities continued to outperform. The Bank of America Merrill Lynch High Yield Master II Index’s CCC-rated sector returned 10.2%, the bank sector returned 14.6%, and the finance sector 8.3%. The Portfolio was very underweight these particular sectors, as we believe they are generally more volatile than better-quality industrial/utility sectors. Performance was helped by overweight positions in the automotive and gaming sectors, and by underweight positions in energy. Performance was also hurt by very limited exposure to the technology sector.

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Overweight positions in the cable and metals sectors also detracted from performance.

While the Portfolio’s higher-quality focus and minimal exposure to financial sector securities has held back returns relative to the index, we have maintained our credit discipline throughout the market volatility of the past several years. As of June 30, 2012, approximately 50% of the holdings by market value were rated BB- or better by Standard & Poor’s, and 75% were rated B+ or better.

Lazard U.S. Municipal Portfolio
For the six months ended June 30, 2012, the Lazard U.S. Municipal Portfolio’s Institutional Shares posted a total return of 1.46%, while Open Shares posted a total return of 1.31%, as compared with the 1.54% return for the Bank of America Merrill Lynch 1-10 Year Municipal Bond^® Index.

The Portfolio’s underperformance was primarily attributed to a defensive interest rate risk profile and a higher quality bias. Year to date, longer duration allocations as well as higher risk sectors posted considerable returns. Sectors such as industrial development, tobacco, and hospitals outperformed. From a ratings perspective, BBB-rated bonds outpaced AAA-rated ones by a factor of three, with BBB returning 6.71% and AAA returning 2.21%. Additionally, longer duration strategies benefited greatly from a benign interest rate backdrop with long duration securities posting sizeable returns versus shorter securities for the year to date.

Lazard Global Fixed Income Portfolio
For the period from March 30, 2012 (the Portfolio’s inception) through June 30, 2012, the Lazard Global Fixed Income Portfolio’s Institutional Shares posted a total return of 0.08%, while Open Shares posted a total return of 0.01%, as compared with the 0.62% return of the Barclays Capital Global Aggregate Bond^® Index.

The Portfolio’s relative performance was helped by country allocations, primarily through overweight positions in Australia, New Zealand, Peru, China, and the United Kingdom, and underweight positions in Italy and Spain. Underweight allocations to financial corporate bonds and mortgage bonds, in addition to overweight positions in sovereign external

debt and select global corporates also added to returns. Other positive contributors included security selection in Europe and tactical currency exposure. On the other hand, the Portfolio’s performance was negatively affected by underweight duration in the United States and Europe, as well as an underweight position in Japanese bonds and a modest underweight position in yen. Modest currency exposure in May detracted from returns.

Lazard Capital Allocator Opportunistic Strategies Portfolio
For the six months ended June 30, 2012, the Lazard Capital Allocator Opportunistic Strategies Portfolio’s Institutional Shares posted a total return of 3.78%, while Open Shares posted a total return of 3.56%. The benchmark returns for the six months ended June 30, 2012 were 5.91% for the MSCI World Index and 4.69% for the Global Asset Allocation Blended Index⁴.

Three of the Portfolio’s four sectors—thematic, contrarian, and diversifying—underperformed for the period, while discounted investments contributed positively to performance.

The thematic sector, which represented 33% of the Portfolio as of June 30, 2012, contributed positively to returns but lagged the benchmarks. The main detractor for the period was exposure to energy.

The diversifying sector, which represented 46% of the Port -folio at the end of the period, also contributed positively to returns but underperformed the benchmarks. The investment in gold was the main detractor for the period, but was somewhat offset by positive performance in a REIT investment.

Contrarian investments, which represented 11% of the Portfolio as of the end of the period, also detracted from returns, as exposure to Italy, European financials, and financial companies engaged in the private equity sector underperformed. These positions were sold during the period.

Investments in the discounted sector, which represented 10% of the Portfolio as of June 30, 2012, added to performance. Discount tightening in U.S. large-cap and China closed-end funds held by the Portfolio drove performance in the sector.

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Notes to Investment Overviews:

All returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolios may have been waived or reimbursed by Lazard Asset Management LLC, the Fund’s Investment Manager (the “Investment Manager”), State Street Bank and Trust Company, the Fund’s Administrator (“State Street”), or Boston Financial Data Services, Inc., the Fund’s transfer and dividend disbursing agent (“BFDS”); without such waiver/reimbursement of expenses, the Portfolios’ returns would have been lower. Past performance is not indicative, or a guarantee, of future results.

The performance data of the indices and other market data have been prepared from sources and data that the Investment Manager believes to be reliable, but no representation is made as to their accuracy. These indices are unmanaged, have no fees or costs and are not available for investment.

The views of the Investment Manager and the securities described in this report are as of June 30, 2012; these views and portfolio holdings may have changed subsequent to this date. Nothing herein should be construed as a recommendation to buy, sell, or hold a particular security. There is no assurance that the securities discussed herein will remain in each Portfolio at the time you receive this report, or that securities sold will not have been repurchased. The specific securities discussed may, in aggregate, represent only a small percentage of each Portfolio’s holdings. It should not be assumed that securities identified and discussed were, or will be, profitable, or that the investment decisions made in the future will be profitable, or equal the investment performance of the securities discussed herein.

The views and opinions expressed are provided for general information only, and do not constitute specific tax, legal, or investment advice to, or recommendations for, any person. There can be no guarantee as to the accuracy of the outlooks for markets, sectors and securities as discussed herein. You should read the Fund’s prospectus or each Portfolio’s summary prospectus for a more detailed discussion of each Portfolio’s investment objective, strategies, risks and fees.

1	Securities Industry and Financial Markets Association. As of June 30, 2012.
2	As of May 31, 2012, the Portfolio changed its name from “Lazard U.S. Equity Value Portfolio” to “Lazard U.S. Equity Concentrated Portfolio,” and adopted its new investment strategy.
3	The Russell 1000 Value/S&P 500 Linked Index is an index created by the Portfolio’s Investment Manager which links the performance of the Russell 1000 Value Index for all periods through May 30, 2012, and the S&P 500 Index for all periods thereafter.
4	The Global Asset Allocation Blended Index is rebalanced quarterly, and is a blended index constructed by the Portfolio’s Investment Manager, composed of 60% MSCI World (Net) Index and 40% Barclays Capital U.S. Aggregate Bond® Index.

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   The Lazard Funds, Inc. Performance Overviews (unaudited)

Lazard U.S. Equity Concentrated Portfolio

Comparison of Changes in Value of $10,000 Investment in the Institutional Shares of Lazard U.S. Equity Concentrated Portfolio, S&P 500^® Index, Russell 1000 Value/S&P 500 Linked Index and Russell 1000^® Value Index*

Average Annual Total Returns*
Periods Ended June 30, 2012
	One Year		Five Years		Since Inception		†
Institutional Shares**		0.61%		–2.41%		2.73%
Open Shares**		0.39%		–2.65%		2.46%
S&P 500 Index		5.45%		0.22%		3.70%
Russell 1000 Value/S&P 500 Linked Index		1.89%		–2.40%		2.28%
Russell 1000 Value Index		3.01%		–2.19%		2.45%

*	All returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager or State Street; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower.
	The performance quoted represents past performance. Current performance may be lower or higher than the performance quoted. Past performance is not indicative, or a guarantee, of future results; the investment return and principal value of the Portfolio will fluctuate, so that an investor’s shares in the Portfolio, when redeemed, may be worth more or less than their original cost. Within the longer periods illustrated there may have been short-term fluctuations, counter to the overall trend of investment results, and no single period of any length may be taken as typical of what may be expected in future periods. The graph and table above do not reflect the deduction of taxes that a shareholder would pay on the Portfolio’s distributions or the redemption of Portfolio shares.
	The Portfolio was previously known as Lazard U.S. Equity Value Portfolio. As of May 31, 2012, the Portfolio changed its name to Lazard U.S. Equity Concentrated Portfolio and changed its investment strategy to invest in primarily equity securities, principally common stocks, of U.S. companies of any market capitalization. The Portfolio has a concentrated portfolio of investments, typically investing in 15 to 35 companies with market capitalizations generally greater than $350 million.
	The performance data of the indices have been prepared from sources and data that the Investment Manager believes to be reliable, but no representation is made as to their accuracy. The S&P 500 Index is a market capitalization-weighted index of 500 common stocks, designed to measure performance of the broad domestic economy through changes in the aggregate market value of these stocks, which represent all major industries. The Russell 1000 Value/S&P 500 Linked Index is an index created by the Portfolio’s Investment Manager, which links the performance of the Russell 1000 Value Index for all periods through May 30, 2012 and the S&P 500 Index for all periods thereafter. The Russell 1000 Value Index measures the performance of those Russell 1000 companies (the 1,000 largest companies in the Russell 3000® Index, which consists of the 3,000 largest U.S. companies by capitalization) with lower price-to-book ratios and lower forecasted growth values. The indices are unmanaged, have no fees or costs and are not available for investment.
**	The performance of Institutional Shares may be greater than or less than the performance of Open Shares, primarily based on the differences in fees borne by shareholders investing in different classes.
†	The inception date for the Portfolio was September 30, 2005.

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Lazard U.S. Strategic Equity Portfolio

Comparison of Changes in Value of $10,000 Investment in the Institutional Shares of Lazard U.S. Strategic Equity Portfolio and S&P 500 Index*

Average Annual Total Returns*
Periods Ended June 30, 2012
	One Year		Five Years		Since Inception		†
Institutional Shares**		1.93%		–1.33%		2.94%
Open Shares**		1.59%		–1.64%		2.65%
S&P 500 Index		5.45%		0.22%		3.68%

*	All returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager or State Street; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower.
	The performance quoted represents past performance. Current performance may be lower or higher than the performance quoted. Past performance is not indicative, or a guarantee, of future results; the investment return and principal value of the Portfolio will fluctuate, so that an investor’s shares in the Portfolio, when redeemed, may be worth more or less than their original cost. Within the longer periods illustrated there may have been short-term fluctuations, counter to the overall trend of investment results, and no single period of any length may be taken as typical of what may be expected in future periods. The graph and table above do not reflect the deduction of taxes that a shareholder would pay on the Portfolio’s distributions or the redemption of Portfolio shares.
	The performance data of the index has been prepared from sources and data that the Investment Manager believes to be reliable, but no representation is made as to its accuracy. The S&P 500 Index is a market capitalization-weighted index of 500 common stocks, designed to measure performance of the broad domestic economy through changes in the aggregate market value of these stocks, which represent all major industries. The index is unmanaged, has no fees or costs and is not available for investment.
**	The performance of Institutional Shares may be greater than or less than the performance of Open Shares, primarily based on the differences in fees borne by shareholders investing in different classes.
†	The inception date for the Portfolio was December 30, 2004.

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Lazard U.S. Mid Cap Equity Portfolio

Comparison of Changes in Value of $10,000 Investment in the Institutional Shares of Lazard U.S. Mid Cap Equity Portfolio and Russell Midcap^® Index*

Average Annual Total Returns*
Periods Ended June 30, 2012
	One Year		Five Years		Ten Years
Institutional Shares**		–6.85%		–2.34%		6.04%
Open Shares**		–7.06%		–2.58%		5.75%
Russell Midcap Index		–1.65%		1.06%		8.45%

*	All returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower.
	The performance quoted represents past performance. Current performance may be lower or higher than the performance quoted. Past performance is not indicative, or a guarantee, of future results; the investment return and principal value of the Portfolio will fluctuate, so that an investor’s shares in the Portfolio, when redeemed, may be worth more or less than their original cost. Within the longer periods illustrated there may have been short-term fluctuations, counter to the overall trend of investment results, and no single period of any length may be taken as typical of what may be expected in future periods. The graph and table above do not reflect the deduction of taxes that a shareholder would pay on the Portfolio’s distributions or the redemption of Portfolio shares.
	The performance data of the index has been prepared from sources and data that the Investment Manager believes to be reliable, but no representation is made as to its accuracy. The Russell Midcap Index measures the performance of the 800 smallest companies in the Russell 1000 Index (which consists of the 1,000 largest U.S. companies by capitalization). The index is unmanaged, has no fees or costs and is not available for investment.
**	The performance of Institutional Shares may be greater than or less than the performance of Open Shares, primarily based on the differences in fees borne by shareholders investing in different classes.

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Lazard U.S. Small-Mid Cap Equity Portfolio

Comparison of Changes in Value of $10,000 Investment in the Institutional Shares of Lazard U.S. Small-Mid Cap Equity Portfolio, Russell 2500^® Index and Russell 2000/2500 Linked Index*

Average Annual Total Returns*
Periods Ended June 30, 2012
	One Year		Five Years		Ten Years
Institutional Shares**		–9.04%		1.44%		6.54%
Open Shares**		–9.26%		1.14%		6.26%
Russell 2500 Index		–2.29%		1.18%		8.01%
Russell 2000/2500 Linked Index		–2.29%		1.42%		7.47%

*	All returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower.
	The performance quoted represents past performance. Current performance may be lower or higher than the performance quoted. Past performance is not indicative, or a guarantee, of future results; the investment return and principal value of the Portfolio will fluctuate, so that an investor’s shares in the Portfolio, when redeemed, may be worth more or less than their original cost. Within the longer periods illustrated there may have been short-term fluctuations, counter to the overall trend of investment results, and no single period of any length may be taken as typical of what may be expected in future periods. The graph and table above do not reflect the deduction of taxes that a shareholder would pay on the Portfolio’s distributions or the redemption of Portfolio shares.
	The Portfolio was previously known as Lazard U.S. Small Cap Equity Portfolio. As of August 25, 2008, the Portfolio changed its name to Lazard U.S. Small-Mid Cap Equity Portfolio and changed its investment strategy to invest in equity securities of small-mid cap U.S. companies.
	The performance data of the indices have been prepared from sources and data that the Investment Manager believes to be reliable, but no representation is made as to their accuracy. The Russell 2500 Index is comprised of the 2,500 smallest U.S. companies included in the Russell 3000 Index (which consists of the 3,000 largest U.S. companies by capitalization). The Russell 2000/2500 Linked Index is an index created by the Portfolio’s Investment Manager, which links the performance of the Russell 2000® Index for all periods through August 24, 2008 and the Russell 2500 Index for all periods thereafter. The Russell 2000 Index is comprised of the 2,000 smallest U.S. companies included in the Russell 3000 Index. The indices are unmanaged, have no fees or costs and are not available for investment.
**	The performance of Institutional Shares may be greater than or less than the performance of Open Shares, primarily based on the differences in fees borne by shareholders investing in different classes.

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Lazard Global Listed Infrastructure Portfolio

Comparison of Changes in Value of $10,000 Investment in the Institutional Shares of Lazard Global Listed Infrastructure Portfolio, UBS Global 50/50 Infrastructure & Utilities^® Index and MSCI World^® Index*

Average Annual Total Returns*
Periods Ended June 30, 2012
	One Year		Since Inception		†
Institutional Shares**		–1.99%		4.26%
Open Shares**		–2.32%		3.89%
UBS Global 50/50 Infrastructure & Utilities Index		3.06%		3.52%
MSCI World Index		–4.98%		4.57%

*	All returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager or BFDS; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower.
	The performance quoted represents past performance. Current performance may be lower or higher than the performance quoted. Past performance is not indicative, or a guarantee, of future results; the investment return and principal value of the Portfolio will fluctuate, so that an investor’s shares in the Portfolio, when redeemed, may be worth more or less than their original cost. Within the longer periods illustrated there may have been short-term fluctuations, counter to the overall trend of investment results, and no single period of any length may be taken as typical of what may be expected in future periods. The graph and table above do not reflect the deduction of taxes that a shareholder would pay on the Portfolio’s distributions or the redemption of Portfolio shares.
	The performance data of the indices have been prepared from sources and data that the Investment Manager believes to be reliable, but no representation is made as to their accuracy. The UBS Global 50/50 Infrastructure & Utilities Index tracks a 50% exposure to the global developed-market utilities sector and a 50% exposure to the global developed-market infrastructure sector. The MSCI World Index is a market capitalization-weighted index of companies representative of the market structure of 24 developed market countries in North America, Europe, and the Asia/Pacific region. The indices are unmanaged, have no fees or costs and are not available for investment.
**	The performance of Institutional Shares may be greater than or less than the performance of Open Shares, primarily based on the differences in fees borne by shareholders investing in different classes.
†	The inception date for the Portfolio was December 31, 2009.

Semi-Annual Report  19

Lazard International Equity Portfolio

Comparison of Changes in Value of $10,000 Investment in the Institutional Shares of Lazard International Equity Portfolio and MSCI EAFE^® Index*

Average Annual Total Returns*
Periods Ended June 30, 2012
	One Year		Five Years		Ten Years
Institutional Shares**		–6.76%		–2.80%		5.41%
Open Shares**		–7.03%		–3.10%		5.10%
MSCI EAFE Index		–13.83%		–6.10%		5.14%

*	All returns reflect reinvestment of all dividends and distributions, if any.
	The performance quoted represents past performance. Current performance may be lower or higher than the performance quoted. Past performance is not indicative, or a guarantee, of future results; the investment return and principal value of the Portfolio will fluctuate, so that an investor’s shares in the Portfolio, when redeemed, may be worth more or less than their original cost. Within the longer periods illustrated there may have been short-term fluctuations, counter to the overall trend of investment results, and no single period of any length may be taken as typical of what may be expected in future periods. The graph and table above do not reflect the deduction of taxes that a shareholder would pay on the Portfolio’s distributions or the redemption of Portfolio shares.
	The performance data of the index has been prepared from sources and data that the Investment Manager believes to be reliable, but no representation is made as to its accuracy. The MSCI EAFE Index is a broadly diversified international index comprised of equity securities of approximately 1,000 companies located in developed countries outside the United States. The index is unmanaged, has no fees or costs and is not available for investment.
**	The performance of Institutional Shares may be greater than or less than the performance of Open Shares, primarily based on the differences in fees borne by shareholders investing in different classes.

20  Semi-Annual Report

Lazard International Equity Select Portfolio

Comparison of Changes in Value of $10,000 Investment in the Institutional Shares of Lazard International Equity Select Portfolio, MSCI ACWI^® ex-U.S. Index and MSCI EAFE/ACWI ex-U.S. Linked Index*

Average Annual Total Returns*
Periods Ended June 30, 2012
	One Year		Five Years		Ten Years
Institutional Shares**		–7.37%		–4.40%		4.08%
Open Shares**		–7.67%		–4.70%		3.77%
MSCI ACWI ex-U.S. Index		–14.57%		–4.62%		6.74%
MSCI EAFE/ACWI ex-U.S. Linked Index		–14.57%		–6.35%		5.00%

*	All returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager or State Street; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower.
	The performance quoted represents past performance. Current performance may be lower or higher than the performance quoted. Past performance is not indicative, or a guarantee, of future results; the investment return and principal value of the Portfolio will fluctuate, so that an investor’s shares in the Portfolio, when redeemed, may be worth more or less than their original cost. Within the longer periods illustrated there may have been short-term fluctuations, counter to the overall trend of investment results, and no single period of any length may be taken as typical of what may be expected in future periods. The graph and table above do not reflect the deduction of taxes that a shareholder would pay on the Portfolio’s distributions or the redemption of Portfolio shares.
	The performance data of the indices have been prepared from sources and data that the Investment Manager believes to be reliable, but no representation is made as to their accuracy. The MSCI ACWI ex-U.S. Index is a free floated-adjusted market capitalization-weighted index that is designed to measure the equity market performance of developed and emerging markets, excluding the United States. The MSCI EAFE/ACWI ex-U.S. Linked Index is an index created by the Portfolio’s Investment Manager, which links the performance of the MSCI EAFE Index for all periods through June 30, 2010 and the MSCI ACWI ex-U.S. Index for all periods thereafter. The MSCI EAFE Index is a broadly diversified international index comprised of equity securities of approximately 1,000 companies located in developed countries outside the United States. The indices are unmanaged, have no fees or costs and are not available for investment.
**	The performance of Institutional Shares may be greater than or less than the performance of Open Shares, primarily based on the differences in fees borne by shareholders investing in different classes.

Semi-Annual Report  21

Lazard International Strategic Equity Portfolio

Comparison of Changes in Value of $10,000 Investment in the Institutional Shares of Lazard International Strategic Equity Portfolio and MSCI EAFE Index*

Average Annual Total Returns*

Periods Ended June 30, 2012

Institutional Shares

Open Shares

One Year

Five Years

Since Inception

†

One Year

Five Years

Since Inception

†

International Strategic Equity Portfolio**

–8.15%

–2.20%

4.21%

–8.41%

–2.50%

1.77%

MSCI EAFE Index

–13.83%

–6.10%

1.37%

–13.83%

–6.10%

–0.60%

*	All returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower.
	The performance quoted represents past performance. Current performance may be lower or higher than the performance quoted. Past performance is not indicative, or a guarantee, of future results; the investment return and principal value of the Portfolio will fluctuate, so that an investor’s shares in the Portfolio, when redeemed, may be worth more or less than their original cost. Within the longer periods illustrated there may have been short-term fluctuations, counter to the overall trend of investment results, and no single period of any length may be taken as typical of what may be expected in future periods. The graph and table above do not reflect the deduction of taxes that a shareholder would pay on the Portfolio’s distributions or the redemption of Portfolio shares.
	The performance data of the index has been prepared from sources and data that the Investment Manager believes to be reliable, but no representation is made as to its accuracy. The MSCI EAFE Index is a broadly diversified international index comprised of equity securities of approximately 1,000 companies located in developed countries outside the United States. The index is unmanaged, has no fees or costs and is not available for investment.
**	The performance of Institutional Shares may be greater than or less than the performance of Open Shares, primarily based on the differences in fees borne by shareholders investing in different classes.
†	The inception date for the Institutional Shares was October 31, 2005 and for Open Shares was February 3, 2006.

22  Semi-Annual Report

Lazard International Small Cap Equity Portfolio

Comparison of Changes in Value of $10,000 Investment in the Institutional Shares of Lazard International Small Cap Equity Portfolio and MSCI EAFE Small Cap Index*

Average Annual Total Returns*
Periods Ended June 30, 2012
	One Year		Five Years		Ten Years
Institutional Shares**		–9.40%		–6.07%		6.17%
Open Shares**		–9.82%		–6.35%		5.84%
MSCI EAFE Small Cap Index		–15.06%		–5.32%		8.49%

*	All returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower.
	The performance quoted represents past performance. Current performance may be lower or higher than the performance quoted. Past performance is not indicative, or a guarantee, of future results; the investment return and principal value of the Portfolio will fluctuate, so that an investor’s shares in the Portfolio, when redeemed, may be worth more or less than their original cost. Within the longer periods illustrated there may have been short-term fluctuations, counter to the overall trend of investment results, and no single period of any length may be taken as typical of what may be expected in future periods. The graph and table above do not reflect the deduction of taxes that a shareholder would pay on the Portfolio’s distributions or the redemption of Portfolio shares.
	The performance data of the index has been prepared from sources and data that the Investment Manager believes to be reliable, but no representation is made as to its accuracy. The MSCI EAFE Small Cap Index is an arithmetic, market value-weighted average of the performance of securities of small cap companies listed on the stock exchanges of MSCI EAFE Index countries. The index is unmanaged, has no fees or costs and is not available for investment.
**	The performance of Institutional Shares may be greater than or less than the performance of Open Shares, primarily based on the differences in fees borne by shareholders investing in different classes.

Semi-Annual Report  23

Lazard Emerging Markets Equity Portfolio

Comparison of Changes in Value of $10,000 Investment in the Institutional Shares of Lazard Emerging Markets Equity Portfolio and the EM Index*

Average Annual Total Returns*
Periods Ended June 30, 2012
	One Year		Five Years		Ten Years
Institutional Shares**		–10.70%		1.86%		16.22%
Open Shares**		–10.95%		1.52%		15.92%
EM Index		–15.95%		–0.09%		14.08%

*	All returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower.
	The performance quoted represents past performance. Current performance may be lower or higher than the performance quoted. Past performance is not indicative, or a guarantee, of future results; the investment return and principal value of the Portfolio will fluctuate, so that an investor’s shares in the Portfolio, when redeemed, may be worth more or less than their original cost. Within the longer periods illustrated there may have been short-term fluctuations, counter to the overall trend of investment results, and no single period of any length may be taken as typical of what may be expected in future periods. The graph and table above do not reflect the deduction of taxes that a shareholder would pay on the Portfolio’s distributions or the redemption of Portfolio shares.
	The performance data of the index has been prepared from sources and data that the Investment Manager believes to be reliable, but no representation is made as to its accuracy. The EM Index is comprised of emerging market securities in countries open to non-local investors. The index is unmanaged, has no fees or costs and is not available for investment.
**	The performance of Institutional Shares may be greater than or less than the performance of Open Shares, primarily based on the differences in fees borne by shareholders investing in different classes.

24  Semi-Annual Report

Lazard Developing Markets Equity Portfolio

Comparison of Changes in Value of $10,000 Investment in the Institutional Shares of Lazard Developing Markets Equity Portfolio and the EM Index*

Average Annual Total Returns*
Periods Ended June 30, 2012
	One Year		Since Inception		†
Institutional Shares**		–20.43%		8.90%
Open Shares**		–20.73%		8.59%
EM Index		–15.95%		7.30%

*	All returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager or State Street; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower.
	The performance quoted represents past performance. Current performance may be lower or higher than the performance quoted. Past performance is not indicative, or a guarantee, of future results; the investment return and principal value of the Portfolio will fluctuate, so that an investor’s shares in the Portfolio, when redeemed, may be worth more or less than their original cost. Within the longer periods illustrated there may have been short-term fluctuations, counter to the overall trend of investment results, and no single period of any length may be taken as typical of what may be expected in future periods. The graph and table above do not reflect the deduction of taxes that a shareholder would pay on the Portfolio’s distributions or the redemption of Portfolio shares.
	The performance data of the index has been prepared from sources and data that the Investment Manager believes to be reliable, but no representation is made as to its accuracy. The EM Index is comprised of emerging market securities in countries open to non-local investors. The index is unmanaged, has no fees or costs and is not available for investment.
**	The performance of Institutional Shares may be greater than or less than the performance of Open Shares, primarily based on the differences in fees borne by shareholders investing in different classes.
†	The inception date for the Portfolio was September 30, 2008.

Semi-Annual Report  25

Lazard Emerging Markets Equity Blend Portfolio

Comparison of Changes in Value of $10,000 Investment in the Institutional Shares of Lazard Emerging Markets Equity Blend Portfolio and the EM Index*

Average Annual Total Returns*
Periods Ended June 30, 2012
	One Year		Since Inception		†
Institutional Shares**		–15.25%		3.06%
Open Shares**		–15.52%		2.74%
EM Index		–15.95%		3.13%

*	All returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager, State Street or BFDS; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower.
	The performance quoted represents past performance. Current performance may be lower or higher than the performance quoted. Past performance is not indicative, or a guarantee, of future results; the investment return and principal value of the Portfolio will fluctuate, so that an investor’s shares in the Portfolio, when redeemed, may be worth more or less than their original cost. Within the longer periods illustrated there may have been short-term fluctuations, counter to the overall trend of investment results, and no single period of any length may be taken as typical of what may be expected in future periods. The graph and table above do not reflect the deduction of taxes that a shareholder would pay on the Portfolio’s distributions or the redemption of Portfolio shares.
	The performance data of the index has been prepared from sources and data that the Investment Manager believes to be reliable, but no representation is made as to its accuracy. The EM Index is comprised of emerging market securities in countries open to non-local investors. The index is unmanaged, has no fees or costs and is not available for investment.
**	The performance of Institutional Shares may be greater than or less than the performance of Open Shares, primarily based on the differences in fees borne by shareholders investing in different classes.
†	The inception date for the Portfolio was May 28, 2010.

26  Semi-Annual Report

Lazard Emerging Markets Multi-Strategy Portfolio

Comparison of Changes in Value of $10,000 Investment in the Institutional Shares of Lazard Emerging Markets Multi-Strategy Portfolio and the EM Index*

Average Annual Total Returns*
Periods Ended June 30, 2012
	One Year		Since Inception		†
Institutional Shares**		–8.21%		–7.06%
Open Shares**		–8.51%		–7.30%
EM Index		–15.95%		–13.78%

*	All returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager, State Street or BFDS; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower.
	The performance quoted represents past performance. Current performance may be lower or higher than the performance quoted. Past performance is not indicative, or a guarantee, of future results; the investment return and principal value of the Portfolio will fluctuate, so that an investor’s shares in the Portfolio, when redeemed, may be worth more or less than their original cost. The graph and table above do not reflect the deduction of taxes that a shareholder would pay on the Portfolio’s distributions or the redemption of Portfolio shares.
	The performance data of the index has been prepared from sources and data that the Investment Manager believes to be reliable, but no representation is made as to its accuracy. The EM Index is comprised of emerging market securities in countries open to non-local investors. The index is unmanaged, has no fees or costs and is not available for investment.
**	The performance of Institutional Shares may be greater than or less than the performance of Open Shares, primarily based on the differences in fees borne by shareholders investing in different classes.
†	The inception date for the Portfolio was March 31, 2011.

Semi-Annual Report  27

Lazard Emerging Markets Debt Portfolio

Comparison of Changes in Value of $10,000 Investment in the Institutional Shares of Lazard Emerging Markets Debt Portfolio and the Global Diversified Index*

Average Annual Total Returns*
Periods Ended June 30, 2012
	One Year		Since Inception		†
Institutional Shares**		4.53%		6.85%
Open Shares**		4.26%		6.57%
Global Diversified Index		4.03%		7.67%

*	All returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager, State Street or BFDS; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower.
	The performance quoted represents past performance. Current performance may be lower or higher than the performance quoted. Past performance is not indicative, or a guarantee, of future results; the investment return and principal value of the Portfolio will fluctuate, so that an investor’s shares in the Portfolio, when redeemed, may be worth more or less than their original cost. The graph and table above do not reflect the deduction of taxes that a shareholder would pay on the Portfolio’s distributions or the redemption of Portfolio shares.
	The performance data of the indices have been prepared from sources and data that the Investment Manager believes to be reliable, but no representation is made as to their accuracy. The JPMorgan EMBI Global Diversified Index is a uniquely-weighted version of the EMBI Global. The JPMorgan GBI-EM Global Diversified Index is a uniquely-weighted version of the GBI-EM Global. They limit the weights of those index countries with larger debt stocks by only including specified portions of these countries’ eligible current face amounts of debt outstanding. The indices are unmanaged, have no fees or costs and are not available for investment.
**	The performance of Institutional Shares may be greater than or less than the performance of Open Shares, primarily based on the differences in fees borne by shareholders investing in different classes.
†	The inception date for the Portfolio was February 28, 2011.

28  Semi-Annual Report

Lazard U.S. Realty Income Portfolio

Comparison of Changes in Value of $10,000 Investment in the Open Shares of Lazard U.S. Realty Income Portfolio, the Hybrid Index, Dow Jones U.S. Select Real Estate Securities^® Index, BofA Merrill Lynch Fixed Rate Preferred Securities^® Index and S&P 500 Index*

Average Annual Total Returns*
Periods Ended June 30, 2012
	Institutional Shares				Open Shares
	Since Inception		†	One Year		Since Inception		†
U.S. Realty Income Portfolio**		24.89%			8.35%		13.57%
Hybrid Index		21.28%			11.86%		12.24%
Dow Jones U.S. Select Real Estate Securities Index		N/A			12.77%		2.58%
BofA Merrill Lynch Fixed Rate Preferred Securities Index		N/A			7.89%		4.78%
S&P 500 Index		21.92%			5.45%		3.82%

*	All returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager, State Street or BFDS; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower. A period of less than one year is not annualized.
	The performance quoted represents past performance. Current performance may be lower or higher than the performance quoted. Past performance is not indicative, or a guarantee, of future results; the investment return and principal value of the Portfolio will fluctuate, so that an investor’s shares in the Portfolio, when redeemed, may be worth more or less than their original cost. Within the longer periods illustrated there may have been short-term fluctuations, counter to the overall trend of investment results, and no single period of any length may be taken as typical of what may be expected in future periods. The graph and table above do not reflect the deduction of taxes that a shareholder would pay on the Portfolio’s distributions or the redemption of Portfolio shares.
	The performance data of the indices have been prepared from sources and data that the Investment Manager believes to be reliable, but no representation is made as to their accuracy. The FTSE NAREIT All Equity REITs® Index is a free-float adjusted market capitalization index that is designed to measure the performance of equity REITs across all industries. The Wells Fargo Hybrid and Preferred Securities REIT® Index tracks the performance of fixed-rate U.S. dollar-denominated preferred securities issued in the U.S. domestic market. The Dow Jones U.S. Select Real Estate Securities Index measures the performance of publicly traded real estate securities. The BofA Merrill Lynch Fixed Rate Preferred Securities Index tracks the performance of fixed-rate U.S. dollar-denominated preferred securities issued in the U.S. domestic market. The S&P 500 Index is a market capitalization-weighted index of 500 common stocks, designed to measure performance of the broad domestic economy through changes in the aggregate market value of these stocks, which represent all major industries. The Portfolio’s Open Shares previously compared performance to the Dow Jones U.S. Select Real Estate Securities Index and BofA Merrill Lynch Fixed Rate Preferred Securities Index. The Investment Manager believes that the Hybrid Index is a more appropriate comparison for the Portfolio’s investment strategies. The indices are unmanaged, have no fees or costs and are not available for investment.
**	The performance of Institutional Shares may be greater than or less than the performance of Open Shares, primarily based on the differences in fees borne by shareholders investing in different classes.
†	The inception date for the Institutional Shares was September 26, 2011 and for Open Shares was July 30, 2008.

Semi-Annual Report  29

Lazard U.S. Realty Equity Portfolio

Comparison of Changes in Value of $10,000 Investment in the Open Shares of Lazard U.S. Realty Equity Portfolio, FTSE NAREIT All Equity REITs Index, Dow Jones U.S. Select Real Estate Securities Index and S&P 500 Index*

Average Annual Total Returns*
Periods Ended June 30, 2012
	Institutional Shares				Open Shares
	Since Inception		†	One Year		Since Inception		†
U.S. Realty Equity Portfolio**		38.85%			15.21%		33.21%
FTSE NAREIT All Equity REITs Index		30.49%			12.48%		22.55%
Dow Jones U.S. Select Real Estate Securities Index		N/A			12.77%		23.17%
S&P 500 Index		21.92%			5.45%		14.92%

*	All returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager, State Street or BFDS; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower. A period of less than one year is not annualized.
	The performance quoted represents past performance. Current performance may be lower or higher than the performance quoted. Past performance is not indicative, or a guarantee, of future results; the investment return and principal value of the Portfolio will fluctuate, so that an investor’s shares in the Portfolio, when redeemed, may be worth more or less than their original cost. Within the longer periods illustrated there may have been short-term fluctuations, counter to the overall trend of investment results, and no single period of any length may be taken as typical of what may be expected in future periods. The graph and table above do not reflect the deduction of taxes that a shareholder would pay on the Portfolio’s distributions or the redemption of Portfolio shares.
	The performance data of the indices have been prepared from sources and data that the Investment Manager believes to be reliable, but no representation is made as to their accuracy. The FTSE NAREIT All Equity REITs Index is a free-float adjusted market capitalization index that is designed to measure the performance of equity REITs across all industries. The Dow Jones U.S. Select Real Estate Securities Index measures the performance of publicly traded real estate securities. The S&P 500 Index is a market capitalization-weighted Index of 500 common stocks, designed to measure performance of the broad domestic economy through changes in the aggregate market value of these stocks, which represent all major industries. The Portfolio’s Open Shares previously compared performance to the Dow Jones U.S. Select Real Estate Securities Index. The Investment Manager believes that FTSE NAREIT All Equity REITs Index is a more appropriate comparison for the Portfolio’s investment strategies. The indices are unmanaged, have no fees or costs and are not available for investment.
**	The performance of Institutional Shares may be greater than or less than the performance of Open Shares, primarily based on the differences in fees borne by shareholders investing in different classes.
†	The inception date for the Institutional Shares was September 26, 2011 and for Open Shares was December 31, 2008.

30  Semi-Annual Report

Lazard International Realty Equity Portfolio

Comparison of Changes in Value of $10,000 Investment in the Open Shares of Lazard International Realty Equity Portfolio, FTSE EPRA/NAREIT Global ex-U.S.^® Index and S&P Developed ex-U.S. Property^® Index*

Average Annual Total Returns*
Periods Ended June 30, 2012
	Institutional Shares				Open Shares
	Since Inception		†	One Year		Since Inception		†
International Realty Equity Portfolio**		19.57%			–6.23%		21.94%
FTSE EPRA/NAREIT Global ex-U.S. Index		18.31%			–5.16%		15.24%
S&P Developed ex-U.S. Property Index		N/A			–5.06%		15.45%

*	All returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager, State Street or BFDS; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower. A period of less than one year is not annualized.
	The performance quoted represents past performance. Current performance may be lower or higher than the performance quoted. Past performance is not indicative, or a guarantee, of future results; the investment return and principal value of the Portfolio will fluctuate, so that an investor’s shares in the Portfolio, when redeemed, may be worth more or less than their original cost. Within the longer periods illustrated there may have been short-term fluctuations, counter to the overall trend of investment results, and no single period of any length may be taken as typical of what may be expected in future periods. The graph and table above do not reflect the deduction of taxes that a shareholder would pay on the Portfolio’s distributions or the redemption of Portfolio shares.
	The performance data of the indices have been prepared from sources and data that the Investment Manager believes to be reliable, but no representation is made as to their accuracy. The FTSE EPRA/NAREIT Global ex-U.S. Index is a free-float adjusted market capitalization index that is designed to measure the performance of REITs in both developed and emerging markets while excluding those listed or incorporated in the United States. There are currently 46 countries eligible for inclusion in the index with 24 classified as developed and 22 as emerging. S&P Developed ex-U.S. Property Index includes all developed market property companies with an available market capitalization of at least $100 million and derive more than 60 percent of their revenue from property-related activities. The Portfolio’s Open Shares previously compared performance to the S&P Developed ex-U.S. Property Index. The Investment Manager believes that the FTSE EPRA/NAREIT Global ex-U.S. Index is a more appropriate comparison for the Portfolio’s investment strategies. The indices are unmanaged, have no fees or costs and are not available for investment.
**	The performance of Institutional Shares may be greater than or less than the performance of Open Shares, primarily based on the differences in fees borne by shareholders investing in different classes.
†	The inception date for the Institutional Shares was September 26, 2011 and for Open Shares was December 31, 2008.

Semi-Annual Report  31

Lazard U.S. High Yield Portfolio

Comparison of Changes in Value of $10,000 Investment in the Institutional Shares of Lazard U.S. High Yield Portfolio and Bank of America Merrill Lynch High Yield Master II^® Index*

Average Annual Total Returns*
Periods Ended June 30, 2012
	One Year		Five Years		Ten Years
Institutional Shares**		7.06%		6.09%		7.62%
Open Shares**		6.77%		5.84%		7.34%
Bank of America Merrill Lynch High Yield Master II Index		6.51%		8.16%		9.94%

*	All returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower.
	The performance quoted represents past performance. Current performance may be lower or higher than the performance quoted. Past performance is not indicative, or a guarantee, of future results; the investment return and principal value of the Portfolio will fluctuate, so that an investor’s shares in the Portfolio, when redeemed, may be worth more or less than their original cost. Within the longer periods illustrated there may have been short-term fluctuations, counter to the overall trend of investment results, and no single period of any length may be taken as typical of what may be expected in future periods. The graph and table above do not reflect the deduction of taxes that a shareholder would pay on the Portfolio’s distributions or the redemption of Portfolio shares.
	The performance data of the index has been prepared from sources and data that the Investment Manager believes to be reliable, but no representation is made as to its accuracy. The Bank of America Merrill Lynch High Yield Master II Index provides a broad-based measure of the performance of the non-investment grade U.S. domestic bond market. The index is unmanaged, has no fees or costs and is not available for investment.
**	The performance of Institutional Shares may be greater than or less than the performance of Open Shares, primarily based on the differences in fees borne by shareholders investing in different classes.

32  Semi-Annual Report

Lazard U.S. Municipal Portfolio

Comparison of Changes in Value of $10,000 Investment in the Institutional Shares of Lazard U.S. Municipal Portfolio and Bank of America Merrill Lynch 1-10 Year Municipal Bond^® Index*

Average Annual Total Returns*
Periods Ended June 30, 2012
	One Year		Since Inception		†
Institutional Shares**		4.27%		4.44%
Open Shares**		3.97%		4.13%
Bank of America Merrill Lynch 1-10 year Municipal Bond Index		5.08%		5.71%

*	All returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager, State Street or BFDS; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower.
	The performance quoted represents past performance. Current performance may be lower or higher than the performance quoted. Past performance is not indicative, or a guarantee, of future results; the investment return and principal value of the Portfolio will fluctuate, so that an investor’s shares in the Portfolio, when redeemed, may be worth more or less than their original cost. The graph and table above do not reflect the deduction of taxes that a shareholder would pay on the Portfolio’s distributions or the redemption of Portfolio shares.
	The performance data of the index has been prepared from sources and data that the Investment Manager believes to be reliable, but no representation is made as to its accuracy. The Bank of America Merrill Lynch 1-10 Year Municipal Bond Index is a subset of the Bank of America Merrill Lynch U.S. Municipal Securities Index including all securities with a remaining term to final maturity less than 10 years. The Bank of America Merrill Lynch U.S. Municipal Securities Index tracks the performance of U.S. dollar denominated investment grade tax-exempt debt publicly issued by U.S. states and territories, and their political subdivisions. The indices are unmanaged, have no fees or costs and are not available for investment.
**	The performance of Institutional Shares may be greater than or less than the performance of Open Shares, primarily based on the differences in fees borne by shareholders investing in different classes.
†	The inception date for the Portfolio was February 28, 2011.

Semi-Annual Report  33

Lazard Capital Allocator Opportunistic Strategies Portfolio

Comparison of Changes in Value of $10,000 Investment in the Institutional Shares of Lazard Capital Allocator Opportunistic Strategies Portfolio, MSCI World Index and Global Asset Allocation Blended Index*

Average Annual Total Returns*
Periods Ended June 30, 2012
	Institutional Shares					Open Shares
	One Year		Since Inception		†	One Year		Since Inception		†
Capital Allocator Opportunistic Strategies Portfolio**		–2.08%		1.48%		–2.45%			1.24%
MSCI World Index		–4.98%		–1.35%		–4.98%			–1.26%
Global Asset Allocation Blended Index		0.65%		2.40%			0.65%		2.44%

*	All returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower.
	The performance quoted represents past performance. Current performance may be lower or higher than the performance quoted. Past performance is not indicative, or a guarantee, of future results; the investment return and principal value of the Portfolio will fluctuate, so that an investor’s shares in the Portfolio, when redeemed, may be worth more or less than their original cost. Within the longer periods illustrated there may have been short-term fluctuations, counter to the overall trend of investment results, and no single period of any length may be taken as typical of what may be expected in future periods. The graph and table above do not reflect the deduction of taxes that a shareholder would pay on the Portfolio’s distributions or the redemption of Portfolio shares.
	The performance data of the indices have been prepared from sources and data that the Investment Manager believes to be reliable, but no representation is made as to their accuracy. The MSCI World Index is a market capitalization-weighted index of companies representative of the market structure of 24 developed market countries in North America, Europe, and the Asia/Pacific region. The Global Asset Allocation Blended Index is rebalanced quarterly and is a blended index constructed by the Portfolio’s Investment Manager that is comprised of 60% MSCI World (Net) Index and 40% Barclays Capital U.S. Aggregate Bond® Index. The Barclays Capital U.S. Aggregate Bond Index covers the investment grade, U.S. dollar-denominated, fixed-rate taxable bond market, including Treasuries, government-related and corporate securities, MBS, ABS, and CMBS, with maturities of no less than one year. The indices are unmanaged, have no fees or costs and are not available for investment.
**	The performance of Institutional Shares may be greater than or less than the performance of Open Shares, primarily based on the differences in fees borne by shareholders investing in different classes.
†	The inception date for the Institutional Shares was March 26, 2008 and for Open Shares was March 31, 2008.

34  Semi-Annual Report

   The Lazard Funds, Inc. Information About Your Portfolio’s Expenses (unaudited)

Expense Example

As a shareholder in a Portfolio of the Fund, you incur two types of costs: (1) transaction costs, including redemption fees, and (2) ongoing costs, including management fees, distribution and service (12b-1) fees (Open Shares only), and other expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in a Portfolio and to compare these costs with the ongoing costs of investing in other mutual funds. The Example is based on an investment of $1,000 invested at the beginning of the six month period from January 1, 2012 through June 30, 2012 and held for the entire period.

Actual Expenses

For each Share class of the Portfolios, the first line of the table below provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000=8.6), then multiply the result by the number in the first line under the heading entitled “Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

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

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs, such as redemption fees. Therefore, the second line of the table is useful in comparing ongoing costs only, and will not help you determine the relative total cost of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

Portfolio	Beginning Account Value 1/1/12			Ending Account Value 6/30/12			Expenses Paid During Period* 1/1/12 - 6/30/12			Annualized Expense Ratio During Period 1/1/12 - 6/30/12
U.S. Equity Concentrated Portfolio
Institutional Shares
Actual		$	1,000.00		$	1,067.00		$	4.26		0.83	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,020.74		$	4.16		0.83	%
Open Shares
Actual		$	1,000.00		$	1,066.70		$	5.55		1.08	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,019.49		$	5.42		1.08	%
U.S. Strategic Equity Portfolio
Institutional Shares
Actual		$	1,000.00		$	1,056.50		$	3.83		0.75	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,021.13		$	3.77		0.75	%
Open Shares
Actual		$	1,000.00		$	1,054.20		$	5.36		1.05	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,019.64		$	5.27		1.05	%
U.S. Mid Cap Equity Portfolio
Institutional Shares
Actual		$	1,000.00		$	1,031.20		$	4.81		0.95	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,020.13		$	4.78		0.95	%
Open Shares
Actual		$	1,000.00		$	1,029.90		$	6.13		1.21	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,018.83		$	6.09		1.21	%

Semi-Annual Report  35

Portfolio	Beginning Account Value 1/1/12			Ending Account Value 6/30/12			Expenses Paid During Period* 1/1/12 - 6/30/12			Annualized Expense Ratio During Period 1/1/12 - 6/30/12
U.S. Small-Mid Cap Equity Portfolio
Institutional Shares
Actual		$	1,000.00		$	1,071.10		$	4.58		0.89	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,020.44		$	4.46		0.89	%
Open Shares
Actual		$	1,000.00		$	1,069.40		$	6.22		1.21	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,018.85		$	6.07		1.21	%
Global Listed Infrastructure Portfolio
Institutional Shares
Actual		$	1,000.00		$	1,057.50		$	5.89		1.15	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,019.14		$	5.78		1.15	%
Open Shares
Actual		$	1,000.00		$	1,055.70		$	7.75		1.52	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,017.32		$	7.61		1.52	%
International Equity Portfolio
Institutional Shares
Actual		$	1,000.00		$	1,071.30		$	5.25		1.02	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,019.80		$	5.12		1.02	%
Open Shares
Actual		$	1,000.00		$	1,069.90		$	6.82		1.33	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,018.27		$	6.65		1.33	%
International Equity Select Portfolio
Institutional Shares
Actual		$	1,000.00		$	1,061.20		$	5.89		1.15	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,019.14		$	5.77		1.15	%
Open Shares
Actual		$	1,000.00		$	1,058.20		$	7.42		1.45	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,017.65		$	7.27		1.45	%
International Strategic Equity Portfolio
Institutional Shares
Actual		$	1,000.00		$	1,080.30		$	4.36		0.84	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,020.67		$	4.24		0.84	%
Open Shares
Actual		$	1,000.00		$	1,079.70		$	5.73		1.11	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,019.35		$	5.57		1.11	%
International Small Cap Equity Portfolio
Institutional Shares
Actual		$	1,000.00		$	1,083.30		$	5.85		1.13	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,019.24		$	5.67		1.13	%
Open Shares
Actual		$	1,000.00		$	1,080.20		$	7.40		1.43	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,017.75		$	7.17		1.43	%

36  Semi-Annual Report

Portfolio	Beginning Account Value 1/1/12			Ending Account Value 6/30/12			Expenses Paid During Period* 1/1/12 - 6/30/12			Annualized Expense Ratio During Period 1/1/12 - 6/30/12
Emerging Markets Equity Portfolio
Institutional Shares
Actual		$	1,000.00		$	1,082.70		$	5.74		1.11	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,019.35		$	5.56		1.11	%
Open Shares
Actual		$	1,000.00		$	1,081.40		$	7.34		1.42	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,017.81		$	7.12		1.42	%
Developing Markets Equity Portfolio
Institutional Shares
Actual		$	1,000.00		$	1,061.80		$	6.04		1.18	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,019.00		$	5.91		1.18	%
Open Shares
Actual		$	1,000.00		$	1,059.90		$	7.64		1.49	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,017.45		$	7.48		1.49	%
Emerging Markets Equity Blend Portfolio
Institutional Shares
Actual		$	1,000.00		$	1,073.60		$	6.99		1.34	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,018.19		$	6.81		1.34	%
Open Shares
Actual		$	1,000.00		$	1,072.70		$	8.60		1.65	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,016.66		$	8.36		1.65	%
Emerging Markets Multi-Strategy Portfolio
Institutional Shares
Actual		$	1,000.00		$	1,058.30		$	6.65		1.30	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,018.40		$	6.52		1.30	%
Open Shares
Actual		$	1,000.00		$	1,053.40		$	8.17		1.60	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,016.91		$	8.02		1.60	%
Emerging Markets Debt Portfolio
Institutional Shares
Actual		$	1,000.00		$	1,075.20		$	5.16		1.00	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,019.90		$	5.02		1.00	%
Open Shares
Actual		$	1,000.00		$	1,074.50		$	6.71		1.30	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,018.40		$	6.52		1.30	%
U.S. Realty Income Portfolio
Institutional Shares
Actual		$	1,000.00		$	1,138.40		$	3.26		1.15	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,010.20		$	3.06		1.15	%
Open Shares
Actual		$	1,000.00		$	1,136.90		$	7.70		1.45	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,017.66		$	7.27		1.45	%

Semi-Annual Report  37

Portfolio	Beginning Account Value 1/1/12			Ending Account Value 6/30/12			Expenses Paid During Period* 1/1/12 - 6/30/12			Annualized Expense Ratio During Period 1/1/12 - 6/30/12
U.S. Realty Equity Portfolio
Institutional Shares
Actual		$	1,000.00		$	1,149.10		$	3.42		1.20	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,010.07		$	3.20		1.20	%
Open Shares
Actual		$	1,000.00		$	1,148.10		$	8.01		1.50	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,017.40		$	7.52		1.50	%
International Realty Equity Portfolio
Institutional Shares
Actual		$	1,000.00		$	1,194.60		$	3.78		1.30	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,009.81		$	3.46		1.30	%
Open Shares
Actual		$	1,000.00		$	1,193.10		$	8.72		1.60	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,016.91		$	8.02		1.60	%
U.S. High Yield Portfolio
Institutional Shares
Actual		$	1,000.00		$	1,056.60		$	2.81		0.55	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,022.13		$	2.77		0.55	%
Open Shares
Actual		$	1,000.00		$	1,057.00		$	4.35		0.85	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,020.64		$	4.27		0.85	%
U.S. Municipal Portfolio
Institutional Shares
Actual		$	1,000.00		$	1,014.60		$	2.00		0.40	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,022.87		$	2.01		0.40	%
Open Shares
Actual		$	1,000.00		$	1,013.10		$	3.50		0.70	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,021.38		$	3.52		0.70	%
Lazard Global Fixed Income Portfolio**
Institutional Shares
Actual		$	1,000.00		$	1,000.80		$	2.12		0.80	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,011.14		$	2.13		0.80	%
Open Shares
Actual		$	1,000.00		$	1,000.10		$	5.46		1.10	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,019.41		$	5.51		1.10	%
Capital Allocator Opportunistic Strategies Portfolio
Institutional Shares
Actual		$	1,000.00		$	1,037.80		$	5.17		1.02	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,019.79		$	5.12		1.02	%
Open Shares
Actual		$	1,000.00		$	1,035.60		$	6.68		1.32	%
Hypothetical (5% Return Before Expenses)		$	1,000.00		$	1,018.30		$	6.62		1.32	%

*	Expenses are equal to the annualized expense ratio of each Share class multiplied by the average account value over the period, multiplied by 182/366 (to reflect one-half year period).
**	Global Fixed Income Portfolio commenced investment operations on March 30, 2012.

38  Semi-Annual Report

   The Lazard Funds, Inc. Portfolio Holdings Presented by Sector June 30, 2012 (unaudited)

Sector*	Lazard U.S. Equity Concentrated Portfolio			Lazard U.S. Strategic Equity Portfolio			Lazard U.S. Mid Cap Equity Portfolio			Lazard U.S. Small-Mid Cap Equity Portfolio			Lazard Global Listed Infrastructure Portfolio
Consumer Discretionary		23.6	%		15.7	%		18.5	%		14.1	%		—	%
Consumer Staples		18.8			14.8			8.0			4.0			—
Energy		3.4			10.1			6.4			3.4			—
Financials		2.6			10.9			16.0			22.3			—
Health Care		21.9			16.5			12.7			9.7			—
Industrials		3.4			9.0			10.3			14.4			56.5
Information Technology		14.2			18.9			22.2			19.8			—
Materials		2.6			3.0			5.6			6.6			—
Utilities		—			—			—			4.0			42.4
Short-Term Investments		9.5			1.1			0.3			1.7			1.1
Total Investments		100.0	%		100.0	%		100.0	%		100.0	%		100.0	%

Sector*	Lazard International Equity Portfolio			Lazard International Equity Select Portfolio			Lazard International Strategic Equity Portfolio			Lazard International Small Cap Equity Portfolio			Lazard Emerging Markets Equity Portfolio
Consumer Discretionary		10.3	%		8.8	%		20.0	%		19.8	%		6.1	%
Consumer Staples		10.7			13.2			13.0			6.3			13.7
Energy		8.5			9.1			8.6			4.5			5.4
Financials		17.8			19.2			18.9			11.2			23.0
Health Care		12.9			11.5			13.7			11.4			—
Industrials		11.4			11.9			7.6			20.9			7.9
Information Technology		7.8			9.1			0.7			14.6			17.5
Materials		9.5			7.5			11.8			7.5			10.8
Telecommunication Services		4.3			6.5			—			1.7			12.1
Utilities		1.4			—			—			0.8			1.2
Short-Term Investments		5.4			3.2			5.7			1.3			2.3
Total Investments		100.0	%		100.0	%		100.0	%		100.0	%		100.0	%

Sector*	Lazard Developing Markets Equity Portfolio			Lazard Emerging Markets Equity Blend Portfolio			Lazard Emerging Markets Multi-Strategy Portfolio			Lazard U.S. Realty Income Portfolio			Lazard U.S. Realty Equity Portfolio
Consumer Discretionary		14.9	%		10.4	%		6.6	%		—	%		4.8	%
Consumer Staples		2.6			7.6			4.2			—			—
Energy		13.6			10.5			7.1			—			—
Financials		28.5			23.9			14.1			97.8			89.1
Health Care		1.7			1.5			0.8			—			—
Industrials		15.3			11.1			8.1			—			—
Information Technology		9.4			13.8			6.2			—			—
Materials		7.7			6.4			3.4			—			—
Telecommunication Services		1.1			7.9			4.6			—			—
Utilities		1.0			1.2			1.0			—			—
Sovereign Debt		—			—			19.2			—			—
Short-Term Investments		4.2			5.7			24.7			2.2			6.1
Total Investments		100.0	%		100.0	%		100.0	%		100.0	%		100.0	%

* Represents percentage of total investments.

Semi-Annual Report   39

Sector*	Lazard International Realty Equity Portfolio		Lazard Capital Allocator Opportunistic Strategies Portfolio
Consumer Discretionary	6.4	%	3.5	%
Consumer Staples	—		3.9
Energy	—		12.2
Financials	89.9		13.9
Health Care	—		2.7
Industrials	—		7.4
Information Technology	—		3.7
Materials	—		3.1
Telecommunication Services	—		0.4
Utilities	—		0.6
Other	—		9.4
Fixed Income	—		32.6
Short-Term Investments	3.7		6.6
Total Investments	100.0	%	100.0	%

* Represents percentage of total investments.

40  Semi-Annual Report

  The Lazard Funds, Inc. Portfolio Holdings Presented by Region and Credit Rating June 30, 2012 (unaudited)

Region*	Lazard Emerging Markets Debt Portfolio
Africa
Asia	13.2	%
Europe	35.1
North America	23.2
South America	10.7
Short-Term Investment	12.6
Total Investments	5.2
	100.0	%
S&P Credit Rating*	Lazard U.S. High Yield Portfolio		Lazard U.S. Municipal Portfolio		Lazard Global Fixed Income Portfolio
AAA	—	%	30.4	%	23.6	%
AA+	—		13.6		5.4
AA	—		8.8		3.0
AA-	—		13.2		11.4
A+	—		4.8		8.0
A	—		8.0		12.9
A-	0.7		8.5		7.5
BBB+	—		3.0		7.2
BBB	0.6		0.7		8.7
BBB-	4.9		—		2.5
BB+	5.9		—		0.3
BB	13.2		—		—
BB-	22.0		—		1.1
B+	23.0		—		—
B	13.2		—		—
B-	9.8		—		—
CCC+	2.1		—		—
CCC-	0.3		—		—
NR	—		2.3		4.4
NA	—		4.6		3.1
Short-Term Investments	4.3		2.1		0.9
Total Investments	100.0	%	100.0	%	100.0	%

* Represents percentage of total investments.

Semi-Annual Report  41

  The Lazard Funds, Inc. Portfolios of Investments June 30, 2012 (unaudited)

Description	Shares		Value
Lazard U.S. Equity Concentrated Portfolio
Common Stocks | 86.6%
Alcohol & Tobacco | 2.9%
Molson Coors Brewing Co., Class B		34,270	$	1,425,975
Automotive | 4.2%
Lear Corp.		55,405		2,090,431
Cable Television | 6.4%
Comcast Corp., Class A		100,300		3,149,420
Commercial Services | 3.2%
Corrections Corp. of America		54,625		1,608,706
Consumer Products | 2.9%
Newell Rubbermaid, Inc.		79,145		1,435,690
Energy Integrated | 3.3%
ConocoPhillips		28,940		1,617,167
Financial Services | 2.4%
Janus Capital Group, Inc.		155,210		1,213,742
Health Services | 3.1%
Quest Diagnostics, Inc.		25,335		1,517,567
Leisure & Entertainment | 3.8%
Viacom, Inc., Class B		40,060		1,883,621
Medical Products | 4.9%
CareFusion Corp. (a)		94,265		2,420,725
Metals & Mining | 2.5%
Silver Wheaton Corp.		46,385		1,244,973

Description	Shares		Value
Pharmaceutical & Biotechnology | 13.0%
Gilead Sciences, Inc. (a)		29,175	$	1,496,094
Pfizer, Inc.		213,789		4,917,147
				6,413,241
Retail | 20.4%
American Eagle Outfitters, Inc.		83,915		1,655,643
AutoZone, Inc. (a)		2,580		947,299
CVS Caremark Corp.		55,205		2,579,730
Wal-Mart Stores, Inc.		70,070		4,885,280
				10,067,952
Semiconductors & Components | 2.9%
Intel Corp.		53,890		1,436,169
Technology Hardware | 10.7%
Cisco Systems, Inc.		245,415		4,213,775
Lexmark International, Inc., Class A		40,460		1,075,427
				5,289,202
Total Common Stocks
(Identified cost $40,990,862)				42,814,581
Short-Term Investment | 9.0%
State Street Institutional Treasury
Money Market Fund
(Identified cost $4,474,222)		4,474,222		4,474,222
Total Investments | 95.6%
(Identified cost $45,465,084) (b)			$	47,288,803
Cash and Other Assets in Excess
of Liabilities | 4.4%				2,155,451
Net Assets | 100.0%			$	49,444,254

The accompanying notes are an integral part of these financial statements.

42  Semi-Annual Report

Description	Shares		Value
Lazard U.S. Strategic Equity Portfolio
Common Stocks | 97.0%
Aerospace & Defense | 3.4%
Raytheon Co.		27,200	$	1,539,248
The Boeing Co.		17,000		1,263,100
				2,802,348
Agriculture | 1.2%
The Mosaic Co.		18,100		991,156
Alcohol & Tobacco | 2.1%
Molson Coors Brewing Co., Class B		41,400		1,722,654
Automotive | 1.5%
Lear Corp.		32,200		1,214,906
Banking | 2.0%
Wells Fargo & Co.		49,400		1,651,936
Cable Television | 5.3%
Comcast Corp., Class A		138,400		4,345,760
Chemicals | 1.4%
E.l. du Pont de Nemours & Co.		21,800		1,102,426
Commercial Services | 1.0%
Corrections Corp. of America		27,200		801,040
Computer Software | 1.2%
Oracle Corp.		32,150		954,855
Consumer Products | 3.0%
Energizer Holdings, Inc.		19,200		1,444,800
Newell Rubbermaid, Inc.		55,400		1,004,956
				2,449,756
Energy Exploration & Production | 1.7%
Devon Energy Corp.		24,400		1,414,956
Energy Integrated | 7.4%
Chevron Corp.		20,200		2,131,100
ConocoPhillips		29,500		1,648,460
Consol Energy, Inc.		36,700		1,109,808
Marathon Petroleum Corp.		25,000		1,123,000
				6,012,368

Description	Shares		Value
Energy Services | 0.9%
Halliburton Co.		24,500	$	695,555
Financial Services | 6.3%
American Express Co.		20,100		1,170,021
Ameriprise Financial, Inc.		22,500		1,175,850
Capital One Financial Corp.		11,200		612,192
Citigroup, Inc.		57,100		1,565,111
Janus Capital Group, Inc.		73,000		570,860
				5,094,034
Food & Beverages | 2.6%
Ralcorp Holdings, Inc. (a)		13,550		904,327
Sysco Corp.		41,400		1,234,134
				2,138,461
Health Services | 1.0%
Quest Diagnostics, Inc.		14,200		850,580
Insurance | 2.5%
Prudential Financial, Inc.		19,600		949,228
The Travelers Cos., Inc.		17,000		1,085,280
				2,034,508
Leisure & Entertainment | 2.0%
Viacom, Inc., Class B		35,100		1,650,402
Manufacturing | 4.5%
Caterpillar, Inc.		8,300		704,753
Honeywell International, Inc.		20,093		1,121,993
Parker Hannifin Corp.		14,000		1,076,320
Tyco International, Ltd.		15,200		803,320
				3,706,386
Medical Products | 6.2%
Baxter International, Inc.		28,200		1,498,830
CareFusion Corp. (a)		48,400		1,242,912
McKesson Corp.		16,500		1,546,875
Medtronic, Inc.		19,000		735,870
				5,024,487
Metals & Mining | 0.4%
Walter Energy, Inc.		8,400		370,944
Pharmaceutical & Biotechnology | 9.1%
Amgen, Inc.		11,000		803,440
Gilead Sciences, Inc. (a)		22,500		1,153,800
Johnson & Johnson		12,160		821,530
Merck & Co., Inc.		21,700		905,975
Pfizer, Inc.		162,000		3,726,000
				7,410,745

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  43

Description	Shares		Value
Lazard U.S. Strategic Equity Portfolio (concluded)
Retail | 12.7%
American Eagle Outfitters, Inc.		42,600	$	840,498
AutoZone, Inc. (a)		2,686		986,219
CVS Caremark Corp.		56,200		2,626,226
Lowe’s Cos., Inc.		34,200		972,648
Macy’s, Inc.		26,600		913,710
Wal-Mart Stores, Inc.		57,655		4,019,706
				10,359,007
Semiconductors & Components | 3.0%
Intel Corp.		53,400		1,423,110
Texas Instruments, Inc.		36,500		1,047,185
				2,470,295
Technology | 2.7%
eBay, Inc. (a)		20,900		878,009
Google, Inc., Class A (a)		2,250		1,305,157
				2,183,166
Technology Hardware | 11.9%
Apple, Inc.		3,334		1,947,056
Cisco Systems, Inc.		191,955		3,295,868
EMC Corp. (a)		49,200		1,260,996
International Business Machines Corp.		8,390		1,640,916
Lexmark International, Inc., Class A		15,900		422,622
Qualcomm, Inc.		20,000		1,113,600
				9,681,058
Total Common Stocks
(Identified cost $71,540,677)				79,133,789

Description	Shares		Value
Preferred Stock | 0.9%
Automotive | 0.9%
Better Place, Inc., Series B
(Identified cost $453,501) (a), (c)		181,401	$	732,860
Short-Term Investment | 1.1%
State Street Institutional Treasury
Money Market Fund
(Identified cost $912,955)		912,955		912,955
Total Investments | 99.0%
(Identified cost $72,907,133) (b)			$	80,779,604
Cash and Other Assets in Excess
of Liabilities | 1.0%				789,393
Net Assets | 100.0%			$	81,568,997

The accompanying notes are an integral part of these financial statements.

44  Semi-Annual Report

Description	Shares		Value
Lazard U.S. Mid Cap Equity Portfolio
Common Stocks | 96.3%
Aerospace & Defense | 1.4%
Rockwell Collins, Inc.	27,400	$	1,352,190
Alcohol & Tobacco | 1.5%
Molson Coors Brewing Co., Class B	36,400		1,514,604
Automotive | 1.3%
Lear Corp.	34,000		1,282,820
Banking | 4.3%
East West Bancorp, Inc.	45,000		1,055,700
Fifth Third Bancorp	74,100		992,940
Regions Financial Corp.	116,100		783,675
Signature Bank (a)	22,100		1,347,437
			4,179,752
Chemicals | 2.3%
Eastman Chemical Co.	45,000		2,266,650
Commercial Services | 3.2%
Corrections Corp. of America	32,500		957,125
The Interpublic Group of Cos., Inc.	130,800		1,419,180
Vantiv, Inc., Class A	32,800		763,912
			3,140,217
Computer Software | 8.0%
Autodesk, Inc. (a)	61,200		2,141,388
BMC Software, Inc. (a)	58,300		2,488,244
Intuit, Inc.	37,600		2,231,560
Symantec Corp. (a)	62,700		916,047
			7,777,239
Consumer Products | 3.4%
Energizer Holdings, Inc.	20,400		1,535,100
Newell Rubbermaid, Inc.	98,300		1,783,162
			3,318,262
Diversified | 1.4%
SPX Corp.	20,300		1,325,996
Energy Exploration & Production | 2.3%
EQT Corp.	8,700		466,581
Noble Energy, Inc.	13,500		1,145,070
Rosetta Resources, Inc. (a)	16,300		597,232
			2,208,883

Description	Shares		Value
Energy Integrated | 0.7%
Marathon Petroleum Corp.	15,000	$	673,800
Energy Services | 3.4%
Cameron International Corp. (a)	31,300		1,336,823
Rowan Cos. PLC (a)	59,900		1,936,567
			3,273,390
Financial Services | 3.6%
Ameriprise Financial, Inc.	34,300		1,792,518
Invesco, Ltd.	75,000		1,695,000
			3,487,518
Food & Beverages | 4.8%
H.J. Heinz Co.	32,300		1,756,474
Ralcorp Holdings, Inc. (a)	21,200		1,414,888
Sysco Corp.	49,100		1,463,671
			4,635,033
Health Services | 5.0%
Aetna, Inc.	23,200		899,464
Agilent Technologies, Inc.	42,700		1,675,548
AmerisourceBergen Corp.	59,600		2,345,260
			4,920,272
Insurance | 2.4%
PartnerRe, Ltd.	17,400		1,316,658
Willis Group Holdings PLC	27,500		1,003,475
			2,320,133
Leisure & Entertainment | 3.2%
Darden Restaurants, Inc.	22,300		1,129,049
Marriott International, Inc., Class A	51,500		2,018,800
			3,147,849
Manufacturing | 6.4%
BE Aerospace, Inc. (a)	26,700		1,165,722
Dover Corp.	37,900		2,031,819
Parker Hannifin Corp.	26,100		2,006,568
WESCO International, Inc. (a)	18,400		1,058,920
			6,263,029
Medical Products | 5.0%
CareFusion Corp. (a)	53,800		1,381,584
Henry Schein, Inc. (a)	15,600		1,224,444
Zimmer Holdings, Inc.	35,900		2,310,524
			4,916,552
Metal & Glass Containers | 1.9%
Ball Corp.	44,900		1,843,145
Metals & Mining | 1.3%
Cliffs Natural Resources, Inc.	16,000		788,640
Walter Energy, Inc.	10,700		472,512
			1,261,152

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  45

Description	Shares		Value
Lazard U.S. Mid Cap Equity Portfolio (concluded)
Pharmaceutical & Biotechnology | 2.4%
Medicis Pharmaceutical Corp., Class A	35,300	$	1,205,495
Vertex Pharmaceuticals, Inc. (a)	21,000		1,174,320
			2,379,815
Real Estate | 5.6%
CBRE Group, Inc., Class A (a)	49,600		811,456
Duke Realty Corp. REIT	47,900		701,256
Kilroy Realty Corp. REIT	34,000		1,645,940
PS Business Parks, Inc. REIT	11,000		744,920
The Macerich Co. REIT	25,900		1,529,395
			5,432,967
Retail | 8.3%
AutoZone, Inc. (a)	7,920		2,907,986
Macy’s, Inc.	81,800		2,809,830
Ross Stores, Inc.	38,400		2,398,848
			8,116,664
Semiconductors & Components | 5.1%
Marvell Technology Group, Ltd.	112,700		1,271,256
Microsemi Corp. (a)	42,700		789,523
TE Connectivity, Ltd.	28,300		903,053
Xilinx, Inc.	60,400		2,027,628
			4,991,460
Technology | 3.7%
Amdocs, Ltd.	43,900		1,304,708
Fidelity National Information Services, Inc.	59,200		2,017,536
Gartner, Inc. (a)	5,900		253,995
			3,576,239

Description	Shares		Value
Technology Hardware | 4.4%
F5 Networks, Inc. (a)	11,800	$	1,174,808
Lexmark International, Inc., Class A	31,300		831,954
NetApp, Inc. (a)	54,800		1,743,736
Polycom, Inc. (a)	49,300		518,636
			4,269,134
Total Common Stocks
(Identified cost $96,005,552)			93,874,765
Preferred Stock | 2.2%
Automotive | 2.2%
Better Place, Inc., Series B
(Identified cost $1,307,499) (a), (c)	523,000		2,112,920
Short-Term Investment | 0.4%
State Street Institutional Treasury
Money Market Fund
(Identified cost $341,364)	341,364		341,364
Total Investments | 98.9%
(Identified cost $97,654,415) (b)		$	96,329,049
Cash and Other Assets in Excess
of Liabilities | 1.1%			1,116,091
Net Assets | 100.0%		$	97,445,140

The accompanying notes are an integral part of these financial statements.

46  Semi-Annual Report

Description	Shares		Value
Lazard U.S. Small-Mid Cap Equity Portfolio
Common Stocks | 98.5%
Automotive | 1.7%
Modine Manufacturing Co. (a)	281,700	$	1,952,181
Tenneco, Inc. (a)	57,950		1,554,219
			3,506,400
Banking | 8.4%
Associated Banc-Corp	223,800		2,951,922
East West Bancorp, Inc.	129,500		3,038,070
PacWest Bancorp	150,101		3,552,891
Signature Bank (a)	61,900		3,774,043
Wintrust Financial Corp.	119,493		4,242,001
			17,558,927
Chemicals | 1.7%
Cytec Industries, Inc.	37,700		2,210,728
Rockwood Holdings, Inc.	31,200		1,383,720
			3,594,448
Commercial Services | 2.6%
American Reprographics Co. (a)	283,023		1,423,606
Team, Inc. (a)	74,600		2,326,028
Vantiv, Inc., Class A	73,000		1,700,170
			5,449,804
Computer Software | 6.9%
Autodesk, Inc. (a)	85,400		2,988,146
BMC Software, Inc. (a)	68,600		2,927,848
Compuware Corp. (a)	288,200		2,677,378
j2 Global, Inc.	110,160		2,910,427
Red Hat, Inc. (a)	50,950		2,877,656
			14,381,455
Construction & Engineering | 2.4%
MasTec, Inc. (a)	153,800		2,313,152
Quanta Services, Inc. (a)	108,800		2,618,816
			4,931,968
Consumer Products | 6.3%
Central Garden & Pet Co., Class A (a)	291,600		3,175,524
Energizer Holdings, Inc.	36,200		2,724,050
Matthews International Corp., Class A	83,550		2,714,539
Newell Rubbermaid, Inc.	162,300		2,944,122
The Middleby Corp. (a)	14,550		1,449,326
			13,007,561
Diversified | 1.1%
SPX Corp.	35,000		2,286,200

Description	Shares		Value
Energy Exploration & Production | 1.5%
Bill Barrett Corp. (a)	61,400	$	1,315,188
Rosetta Resources, Inc. (a)	51,400		1,883,296
			3,198,484
Energy Services | 1.9%
GulfMark Offshore, Inc., Class A (a)	35,000		1,191,400
Rowan Cos. PLC (a)	84,300		2,725,419
			3,916,819
Food & Beverages | 1.2%
Ralcorp Holdings, Inc. (a)	37,100		2,476,054
Forest & Paper Products | 2.1%
Rock-Tenn Co., Class A	30,100		1,641,955
Schweitzer-Mauduit International, Inc.	39,000		2,657,460
			4,299,415
Gas Utilities | 2.9%
New Jersey Resources Corp.	73,350		3,198,794
Northwest Natural Gas Co.	60,300		2,870,280
			6,069,074
Health Services | 2.2%
AMERIGROUP Corp. (a)	17,000		1,120,470
VCA Antech, Inc. (a)	154,400		3,393,712
			4,514,182
Housing | 0.7%
Owens Corning, Inc. (a)	51,500		1,469,810
Insurance | 3.1%
Arch Capital Group, Ltd. (a)	79,000		3,135,510
Validus Holdings, Ltd.	101,800		3,260,654
			6,396,164
Leisure & Entertainment | 2.3%
Bally Technologies, Inc. (a)	50,205		2,342,565
Texas Roadhouse, Inc.	133,400		2,458,562
			4,801,127
Manufacturing | 8.0%
BE Aerospace, Inc. (a)	66,100		2,885,926
Carpenter Technology Corp.	52,500		2,511,600
FLIR Systems, Inc.	144,300		2,813,850
Harsco Corp.	101,500		2,068,570
Regal-Beloit Corp.	56,635		3,526,095
TriMas Corp. (a)	145,800		2,930,580
			16,736,621

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  47

Description	Shares		Value
Lazard U.S. Small-Mid Cap Equity Portfolio (concluded)
Medical Products | 4.7%
CareFusion Corp. (a)	128,500	$	3,299,880
Haemonetics Corp. (a)	51,600		3,824,076
Henry Schein, Inc. (a)	33,100		2,598,019
			9,721,975
Metals & Mining | 1.6%
US Silica Holdings, Inc.	166,300		1,872,538
Walter Energy, Inc.	32,200		1,421,952
			3,294,490
Pharmaceutical & Biotechnology | 2.9%
Medicis Pharmaceutical Corp., Class A	101,600		3,469,640
Vertex Pharmaceuticals, Inc. (a)	44,335		2,479,213
			5,948,853
Real Estate | 10.9%
CBRE Group, Inc., Class A (a)	183,500		3,002,060
Essex Property Trust, Inc. REIT	22,500		3,463,200
Extra Space Storage, Inc. REIT	121,500		3,717,900
Kilroy Realty Corp. REIT	75,850		3,671,898
LaSalle Hotel Properties REIT	59,500		1,733,830
PS Business Parks, Inc. REIT	53,000		3,589,160
The Macerich Co. REIT	60,377		3,565,262
			22,743,310
Retail | 7.1%
American Eagle Outfitters, Inc.	160,850		3,173,570
ANN, Inc. (a)	127,500		3,249,975
Brown Shoe Co., Inc.	240,536		3,105,320
Iconix Brand Group, Inc. (a)	161,900		2,828,393
Vera Bradley, Inc. (a)	113,700		2,396,796
			14,754,054
Semiconductors & Components | 4.3%
Microsemi Corp. (a)	111,200		2,056,088
ON Semiconductor Corp. (a)	418,000		2,967,800
Xilinx, Inc.	117,300		3,937,761
			8,961,649
Technology | 2.8%
NetScout Systems, Inc. (a)	165,400		3,570,986
SS&C Technologies Holdings, Inc. (a)	87,739		2,193,475
			5,764,461

Description		Shares		Value
Technology Hardware | 2.7%
Lexmark International, Inc., Class A		68,400	$	1,818,072
NCR Corp. (a)		102,200		2,323,006
Polycom, Inc. (a)		136,300		1,433,876
				5,574,954
Transportation | 3.4%
Alaska Air Group, Inc. (a)		64,400		2,311,960
Echo Global Logistics, Inc. (a)		114,676		2,185,725
Hub Group, Inc., Class A (a)		68,900		2,494,180
				6,991,865
Water | 1.1%
California Water Service Group		119,500		2,207,165
Total Common Stocks
(Identified cost $202,441,382)				204,557,289
Preferred Stock | 0.4%
Automotive | 0.4%
Better Place, Inc., Series B
(Identified cost $452,901) (a), (c)		181,161		731,891
		Principal
		Amount
Description		(000)		Value
Repurchase Agreement | 1.7%
State Street Bank and Trust Co.,
0.01%, 07/02/12
(Dated 06/29/12, collateralized
by $3,410,000 United States
Treasury Note, 2.375%, 05/31/18,
with a value of $3,699,850)
Proceeds of $3,625,003
(Identified cost $3,625,000)	$	3,625	$	3,625,000
Total Investments | 100.6%
(Identified cost $206,519,283) (b)			$	208,914,180
Liabilities in Excess of Cash and
Other Assets | (0.6)%				(1,150,289	)
Net Assets | 100.0%			$	207,763,891

The accompanying notes are an integral part of these financial statements.

48  Semi-Annual Report

Description	Shares		Value
Lazard Global Listed Infrastructure Portfolio
Common Stocks | 96.7%
Australia | 17.0%
DUET Group	2,827,379	$	5,335,891
Macquarie Atlas Roads Group (a)	2,355,170		3,635,829
SP AusNet	1,205,857		1,258,947
Spark Infrastructure Group	3,356,059		5,246,824
Sydney Airport	436,694		1,301,108
Transurban Group	801,676		4,674,262
			21,452,861
Austria | 2.1%
Flughafen Wien AG	66,570		2,632,054
France | 3.7%
Aeroports de Paris	61,295		4,631,652
Germany | 6.5%
Fraport AG	151,269		8,144,553
Italy | 20.0%
Atlantia SpA	640,064		8,175,004
Autostrada Torino-Milano SpA	478,637		2,971,759
Hera SpA	1,775,078		2,499,994
Snam SpA	596,747		2,660,301
Societa Iniziative Autostradali e Servizi SpA	825,606		5,824,494
Terna SpA	850,550		3,064,622
			25,196,174
Japan | 14.7%
Osaka Gas Co., Ltd.	1,700,300		7,126,940
Toho Gas Co., Ltd.	588,350		3,654,080
Tokyo Gas Co., Ltd.	1,503,700		7,679,493
			18,460,513
Mexico | 2.4%
Grupo Aeroportuario del Centro Norte
SAB de CV	1,177,847		2,428,150
Grupo Aeroportuario del Pacifico
SAB de CV, B Shares	156,700		621,293
			3,049,443

Description	Shares		Value
South Korea | 2.8%
Macquarie Korea Infrastructure Fund	677,217	$	3,573,337
Spain | 9.0%
Abertis Infraestructuras SA	338,438		4,581,306
Enagas SA	133,200		2,430,648
Red Electrica Corporacion SA	99,817		4,352,986
			11,364,940
Switzerland | 3.2%
Flughafen Zuerich AG	11,455		4,022,560
United Kingdom | 0.5%
United Utilities Group PLC	63,000		666,576
United States | 14.8%
American States Water Co.	33,600		1,329,888
California Water Service Group	134,534		2,484,843
CSX Corp.	258,700		5,784,532
Genesee & Wyoming, Inc., Class A (a)	11,400		602,376
Norfolk Southern Corp.	54,337		3,899,767
PG&E Corp.	27,879		1,262,082
SJW Corp.	25,600		614,656
Union Pacific Corp.	16,906		2,017,055
Wisconsin Energy Corp.	15,200		601,464
			18,596,663
Total Common Stocks
(Identified cost $128,028,624)			121,791,326
Short-Term Investment | 1.1%
State Street Institutional Treasury
Money Market Fund
(Identified cost $1,336,241)	1,336,241		1,336,241
Total Investments | 97.8%
(Identified cost $129,364,865) (b)		$	123,127,567
Cash and Other Assets in Excess
of Liabilities | 2.2%			2,763,256
Net Assets | 100.0%		$	125,890,823

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  49

Lazard Global Listed Infrastructure Portfolio (concluded)

Forward Currency Contracts open at June 30, 2012:

Forward Currency Contracts	Counterparty	Expiration Date	Foreign Currency Amount		U.S. $ Cost on Origination Date			U.S. $ Current Value			Unrealized Appreciation			Unrealized Depreciation
Forward Currency Purchase Contracts
AUD	HSB	08/16/12		626,120		$	605,408		$	638,191		$	32,783		$	—
AUD	HSB	08/16/12		1,124,765			1,122,718			1,146,449			23,731			—
EUR	BRC	08/16/12		1,917,983			2,440,733			2,428,135			—			12,598
GBP	CAN	08/16/12		20,069			31,302			31,427			125			—
GBP	CAN	08/16/12		419,936			653,957			657,608			3,651			—
JPY	MEL	08/16/12		58,825,953			753,763			736,373			—			17,390
KRW	MEL	08/23/12		1,327,309,223			1,130,202			1,154,916			24,714			—
MXN	SSB	08/16/12		1,405,319			101,152			104,901			3,749			—
MXN	SSB	08/16/12		1,721,998			126,046			128,539			2,493			—
MXN	SSB	08/16/12		1,802,013			128,464			134,512			6,048			—
Total Forward Currency Purchase Contracts						$	7,093,745		$	7,161,051		$	97,294		$	29,988
Forward Currency Sale Contracts
AUD	HSB	08/16/12		22,309,926		$	22,512,277		$	22,740,032		$	—		$	227,755
CHF	CSF	08/16/12		3,820,282			4,186,959			4,029,192			157,767			—
EUR	BRC	08/16/12		30,754,385			40,159,076			38,934,555			1,224,521			—
EUR	CAN	08/16/12		1,415,810			1,765,615			1,792,393			—			26,778
EUR	CAN	08/16/12		4,251,764			5,383,881			5,382,664			1,217			—
EUR	CAN	08/16/12		5,083,447			6,632,475			6,435,562			196,913			—
GBP	CAN	08/16/12		80,542			124,007			126,127			—			2,120
GBP	CAN	08/16/12		766,515			1,236,811			1,200,343			36,468			—
JPY	HSB	08/16/12		1,011,752,851			12,669,082			12,664,949			4,133			—
JPY	MEL	08/16/12		385,707,105			4,831,727			4,828,215			3,512			—
KRW	MEL	08/23/12		5,351,515,123			4,563,803			4,656,452			—			92,649
MXN	SSB	08/16/12		4,050,411			290,119			302,345			—			12,226
MXN	SSB	08/16/12		41,416,228			3,096,320			3,091,535			4,785			—
Total Forward Currency Sale Contracts						$	107,452,152		$	106,184,364			1,629,316			361,528
Gross unrealized appreciation/depreciation on Forward Currency Purchase and Sale Contracts												$	1,726,610		$	391,516

The accompanying notes are an integral part of these financial statements.

50  Semi-Annual Report

Description	Shares	Value
Lazard International Equity Portfolio
Common Stocks | 94.5%
Australia | 6.3%
James Hardie Industries SE	201,070	$	1,646,920
Orica, Ltd.	54,831		1,395,615
QBE Insurance Group, Ltd.	69,064		952,198
Telstra Corp., Ltd.	747,036		2,830,792
			6,825,525
Belgium | 3.5%
Anheuser-Busch InBev NV	48,745		3,789,570
Brazil | 1.8%
Banco do Brasil SA	90,365		878,680
Cielo SA	36,526		1,074,412
			1,953,092
Canada | 2.3%
Potash Corp. of Saskatchewan, Inc.	35,730		1,561,718
Rogers Communications, Inc., Class B	26,000		942,599
			2,504,317
China | 0.7%
Weichai Power Co., Ltd., Class H	180,000		719,892
Denmark | 1.1%
AP Moeller - Maersk A/S Class B	175		1,151,652
Finland | 1.2%
Sampo Oyj, A Shares	48,961		1,272,723
France | 10.9%
AXA SA	73,764		987,273
BNP Paribas SA	41,190		1,590,090
Cie Generale de Geophysique - Veritas (a)	36,818		951,294
Danone SA	14,177		880,141
Sanofi SA	41,435		3,142,059
Technip SA	10,490		1,094,684
Total SA	40,073		1,808,460
Valeo SA	34,074		1,411,845
			11,865,846

Description	Shares		Value
Germany | 8.3%
Bayer AG	29,869	$	2,153,812
Bayerische Motoren Werke AG	12,425		900,289
Merck KGaA	20,042		2,000,028
RWE AG	37,961		1,551,805
SAP AG	28,080		1,658,223
ThyssenKrupp AG	46,181		752,349
			9,016,506
Indonesia | 0.8%
PT Bank Mandiri (Persero) Tbk ADR	116,300		916,444
Ireland | 0.8%
Ryanair Holdings PLC Sponsored ADR (a)	28,300		860,320
Italy | 0.8%
Atlantia SpA	72,235		922,597
Japan | 13.7%
Asics Corp.	88,590		1,125,579
Canon, Inc.	36,100		1,445,544
Daito Trust Construction Co., Ltd.	20,800		1,973,113
Don Quijote Co., Ltd.	49,700		1,709,834
Fanuc Corp.	5,600		920,064
JS Group Corp.	86,400		1,827,832
Komatsu, Ltd.	60,900		1,459,649
Mitsubishi Corp.	54,400		1,098,532
Sumitomo Mitsui Financial Group, Inc.	70,400		2,322,417
Yahoo Japan Corp.	3,206		1,037,548
			14,920,112
Mexico | 0.2%
Genomma Lab Internacional
SAB de CV (a)	99,700		197,449
Netherlands | 1.6%
ING Groep NV (a)	257,161		1,735,021
New Zealand | 0.8%
Telecom Corp. of New Zealand, Ltd.	454,906		873,567
Russia | 1.5%
Sberbank of Russia	593,093		1,582,070

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  51

Description	Shares	Value
Lazard International Equity Portfolio (concluded)
South Korea | 2.8%
Duksan Hi-Metal Co., Ltd. (a)	23,601	$	508,494
Hyundai Mobis	5,500		1,331,414
Samsung Electronics Co., Ltd. GDR	2,311		1,240,075
			3,079,983
Spain | 2.5%
Amadeus IT Holding SA, A Shares	72,189		1,528,753
Mediaset Espana Comunicacion SA	232,840		1,133,956
			2,662,709
Sweden | 3.8%
Assa Abloy AB, Class B	51,761		1,447,391
Sandvik AB	114,203		1,470,278
Swedbank AB, A Shares	77,968		1,232,964
			4,150,633
Switzerland | 3.5%
Novartis AG	68,107		3,799,005
Turkey | 0.5%
Koc Holding AS	147,721		564,409
United Kingdom | 25.1%
BG Group PLC	61,039		1,249,336
BHP Billiton PLC	82,993		2,369,985
British American Tobacco PLC	47,669		2,426,272
British Sky Broadcasting Group PLC	135,485		1,478,692
GlaxoSmithKline PLC	118,009		2,675,954
Informa PLC	346,536		2,072,113
Petrofac, Ltd.	40,501		885,417
Prudential PLC	171,202		1,983,612
Rexam PLC	385,157		2,547,998
Royal Dutch Shell PLC, A Shares	95,440		3,215,017
Standard Chartered PLC	85,119		1,855,666
Unilever PLC	98,249		3,302,068
Wm Morrison Supermarkets PLC	292,202		1,219,507
			27,281,637
Total Common Stocks
(Identified cost $97,969,810)			102,645,079

Description	Principal Amount (000)		Value
Repurchase Agreement | 5.3%
State Street Bank and Trust Co.,
0.01%, 07/02/12
(Dated 06/29/12, collateralized
by $5,470,000 United States
Treasury Note, 2.375%, 05/31/18,
with a value of $5,934,950)
Proceeds of $5,816,005
(Identified cost $5,816,000)	$	5,816	$	5,816,000
Total Investments | 99.8%
(Identified cost $103,785,810) (b)			$	108,461,079
Cash and Other Assets in Excess
of Liabilities | 0.2%				187,101
Net Assets | 100.0%			$	108,648,180

The accompanying notes are an integral part of these financial statements.

52  Semi-Annual Report

Description	Shares	Value
Lazard International Equity Select Portfolio
Common Stocks | 96.6%
Australia | 5.2%
BHP Billiton, Ltd.	3,436	$	112,002
Orica, Ltd.	3,127		79,591
Telstra Corp., Ltd.	35,516		134,583
			326,176
Belgium | 3.7%
Anheuser-Busch InBev NV	2,962		230,274
Brazil | 4.8%
Banco do Brasil SA	8,858		86,132
Cielo SA	3,236		95,187
MRV Engenharia e Participacoes SA	7,685		35,584
Vale SA Sponsored ADR	4,301		85,375
			302,278
Canada | 1.3%
Potash Corp. of Saskatchewan, Inc.	1,885		82,391
China | 1.9%
China Construction Bank Corp., Class H	87,000		59,984
Weichai Power Co., Ltd., Class H	14,957		59,819
			119,803
Finland | 1.1%
Sampo Oyj, A Shares	2,684		69,770
France | 9.4%
AXA SA	2,717		36,365
BNP Paribas SA	1,854		71,571
Danone SA	898		55,750
LVMH Moet Hennessy Louis Vuitton SA	390		59,443
Sanofi SA	2,233		169,331
Technip SA	651		67,935
Total SA	1,670		75,366
Valeo SA	1,340		55,522
			591,283
Germany | 6.9%
Bayer AG	1,168		84,223
Bayerische Motoren Werke AG	810		58,691
Merck KGaA	1,039		103,684
SAP AG	3,108		183,538
			430,136

Description	Shares	Value
Hong Kong | 2.0%
China Mobile, Ltd. Sponsored ADR	2,300	$	125,741
Indonesia | 2.7%
PT Bank Mandiri (Persero) Tbk	93,000		71,987
PT Telekomunikasi Indonesia (Persero)
Tbk Sponsored ADR	2,714		94,529
			166,516
Ireland | 1.1%
Ryanair Holdings PLC Sponsored ADR (a)	2,257		68,613
Italy | 0.9%
Atlantia SpA	4,479		57,207
Japan | 9.8%
Canon, Inc.	2,192		87,774
Daito Trust Construction Co., Ltd.	1,065		101,027
Fanuc Corp.	386		63,419
JS Group Corp.	4,500		95,199
Komatsu, Ltd.	3,400		81,491
Sumitomo Mitsui Financial Group, Inc.	3,676		121,267
Yahoo Japan Corp.	210		67,962
			618,139
Mexico | 0.2%
Genomma Lab Internacional SAB de CV (a)	5,800		11,486
Netherlands | 1.0%
ING Groep NV (a)	9,275		62,577
Norway | 0.7%
Petroleum Geo-Services ASA	3,564		43,695
Russia | 3.0%
Mobile TeleSystems OJSC Sponsored ADR	2,989		51,411
Sberbank of Russia	51,606		137,658
			189,069
South Africa | 1.7%
Mr Price Group, Ltd.	3,756		51,458
Standard Bank Group, Ltd.	4,276		58,009
			109,467
South Korea | 2.7%
Hyundai Mobis	428		103,608
KT&G Corp.	950		67,379
			170,987

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  53

Description	Shares	Value
Lazard International Equity Select Portfolio (concluded)
Sweden | 3.6%
Assa Abloy AB, Class B	4,034	$	112,803
Sandvik AB	4,816		62,002
Swedbank AB, A Shares	3,410		53,925
			228,730
Switzerland | 3.3%
Novartis AG	3,660		204,155
Taiwan | 2.2%
Taiwan Semiconductor
Manufacturing Co., Ltd.	49,341		135,053
Thailand | 1.6%
Kasikornbank Public Co. Ltd.	18,900		98,727
Turkey | 1.0%
Koc Holding AS	17,169		65,599
United Kingdom | 24.8%
BG Group PLC	4,292		87,848
British American Tobacco PLC	3,643		185,423
British Sky Broadcasting Group PLC	8,839		96,470
GlaxoSmithKline PLC	6,556		148,663
Informa PLC	15,596		93,256
Petrofac, Ltd.	3,799		83,052
Prudential PLC	10,177		117,915
Rexam PLC	16,820		111,272
Royal Dutch Shell PLC, A Shares	3,941		133,174
Standard Chartered PLC	2,730		59,516
Tullow Oil PLC	3,398		78,440
Unilever PLC	5,988		201,252
Wm Morrison Supermarkets PLC	20,565		85,828
Wolseley PLC	2,053		76,705
			1,558,814
Total Common Stocks
(Identified cost $5,964,858)			6,066,686

Description	Shares	Value
Short-Term Investment | 3.2%
State Street Institutional Treasury
Money Market Fund
(Identified cost $203,166)	203,166	$	203,166
Total Investments | 99.8%
(Identified cost $6,168,024) (b)		$	6,269,852
Cash and Other Assets in Excess
of Liabilities | 0.2%			12,944
Net Assets | 100.0%		$	6,282,796

The accompanying notes are an integral part of these financial statements.

54  Semi-Annual Report

Description	Shares	Value
Lazard International Strategic Equity Portfolio
Common Stocks | 93.4%
Australia | 7.7%
Amcor, Ltd.	1,803,891	$	13,145,926
Ansell, Ltd.	1,070,169		14,526,693
Caltex Australia, Ltd.	548,678		7,665,063
James Hardie Industries SE	1,852,057		15,169,794
Orica, Ltd.	464,622		11,826,040
			62,333,516
Belgium | 2.3%
Anheuser-Busch InBev NV	245,926		19,118,961
Bermuda | 0.9%
Signet Jewelers, Ltd.	160,865		7,083,050
Brazil | 0.6%
LPS Brasil Consultoria de Imoveis SA	304,100		5,072,119
Canada | 1.9%
Potash Corp. of Saskatchewan, Inc.	354,840		15,509,655
China | 0.5%
Shenguan Holdings Group, Ltd.	6,638,000		3,817,780
Egypt | 0.3%
Eastern Tobacco SAE	176,458		2,330,055
Finland | 2.8%
Sampo Oyj, A Shares	878,800		22,844,080
France | 9.2%
BNP Paribas SA	253,785		9,797,060
Christian Dior SA	75,945		10,459,179
Cie Generale de Geophysique - Veritas (a)	547,530		14,146,938
Sanofi SA	268,867		20,388,467
Technip SA	80,139		8,362,906
Valeo SA	276,668		11,463,649
			74,618,199
Germany | 5.9%
Bayerische Motoren Werke AG	100,757		7,300,641
Merck KGaA	124,323		12,406,421
Sky Deutschland AG (a)	3,408,080		12,375,741
Symrise AG	529,130		16,073,540
			48,156,343

Description	Shares	Value
Indonesia | 3.3%
PT Bank Mandiri (Persero) Tbk	16,206,000	$	12,544,304
PT Media Nusantara Citra Tbk	68,837,000		14,645,554
			27,189,858
Ireland | 3.3%
Kerry Group PLC Class A	345,451		15,117,509
Ryanair Holdings PLC Sponsored ADR (a)	392,150		11,921,360
			27,038,869
Japan | 9.3%
Asics Corp.	1,309,950		16,643,549
Daito Trust Construction Co., Ltd.	118,500		11,241,051
Don Quijote Co., Ltd.	663,600		22,829,902
JS Group Corp.	585,700		12,390,752
Nabtesco Corp.	562,300		12,502,077
			75,607,331
Netherlands | 1.5%
ING Groep NV (a)	1,857,061		12,529,269
Philippines | 0.8%
GT Capital Holdings, Inc. (a)	545,400		6,547,737
Russia | 1.5%
Sberbank of Russia	4,528,236		12,079,024
South Africa | 3.2%
Aspen Pharmacare Holdings, Ltd.	769,470		11,875,514
Life Healthcare Group Holdings Pte, Ltd.	3,705,493		14,122,811
			25,998,325
South Korea | 2.3%
Duksan Hi-Metal Co., Ltd. (a)	276,954		5,967,095
Hyundai Mobis	52,269		12,653,033
			18,620,128
Spain | 0.8%
Mediaset Espana Comunicacion SA	1,342,954		6,540,331
Sweden | 1.5%
Sandvik AB	973,612		12,534,524
Switzerland | 4.2%
Julius Baer Group, Ltd.	354,065		12,819,384
Novartis AG	381,854		21,299,796
			34,119,180
Thailand | 1.8%
Kasikornbank Public Co. Ltd.	2,772,500		14,482,592

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  55

Description	Shares	Value
Lazard International Strategic Equity Portfolio (concluded)
United Kingdom | 27.8%
AMEC PLC	777,397	$	12,269,770
Associated British Foods PLC	1,133,059		22,797,852
BBA Aviation PLC	3,621,942		11,583,336
BG Group PLC	605,904		12,401,541
British American Tobacco PLC	504,750		25,690,929
British Sky Broadcasting Group PLC	1,408,925		15,377,102
GlaxoSmithKline PLC	704,489		15,974,885
IG Group Holdings PLC	1,489,657		11,215,701
Informa PLC	4,058,762		24,269,376
Prudential PLC	1,829,138		21,193,096
Rexam PLC	3,498,348		23,143,246
Rockhopper Exploration PLC (a)	1,724,377		6,973,066
Tullow Oil PLC	342,196		7,899,341
Unilever PLC	475,293		15,974,203
			226,763,444
Total Common Stocks
(Identified cost $713,013,593)			760,934,370

Description	Shares	Value
Short-Term Investment | 5.7%
State Street Institutional Treasury
Money Market Fund
(Identified cost $46,197,221)	46,197,221	$	46,197,221
Total Investments | 99.1%
(Identified cost $759,210,814) (b)		$	807,131,591
Cash and Other Assets in Excess
of Liabilities | 0.9%			7,510,568
Net Assets | 100.0%		$	814,642,159

The accompanying notes are an integral part of these financial statements.

56  Semi-Annual Report

Description	Shares		Value
Lazard International Small Cap Equity Portfolio
Common Stocks | 99.0%
Australia | 6.9%
Ansell, Ltd.		39,770	$	539,846
Aristocrat Leisure, Ltd.		232,452		661,274
Cabcharge Australia, Ltd.		132,503		679,896
Echo Entertainment Group, Ltd.		102,670		450,386
James Hardie Industries SE		100,275		821,330
Macquarie Atlas Roads Group (a)		532,568		822,160
				3,974,892
Austria | 2.8%
Andritz AG		16,122		829,995
Kapsch TrafficCom AG		10,179		761,392
				1,591,387
Belgium | 5.7%
Arseus NV		56,896		1,001,381
EVS Broadcast Equipment SA		11,311		532,626
Kinepolis Group NV		8,623		735,454
Telenet Group Holding NV		22,946		1,002,326
				3,271,787
China | 2.7%
AAC Technologies Holdings, Inc.		348,000		1,007,702
Prince Frog International Holdings, Ltd.		1,526,000		549,554
				1,557,256
France | 2.1%
Cie Generale de Geophysique - Veritas (a)		19,506		503,991
Valeo SA		17,777		736,584
				1,240,575
Germany | 7.7%
CompuGroup Medical AG		71,382		962,247
CTS Eventim AG		23,841		718,283
Deutsche Wohnen AG		20,312		342,298
Dialog Semiconductor PLC (a)		25,852		469,206
NORMA Group		24,553		539,315
STRATEC Biomedical AG		14,695		652,866
Wirecard AG		41,092		796,174
				4,480,389
Ireland | 0.9%
Kenmare Resources PLC (a)		788,861		489,147
Italy | 2.1%
Azimut Holding SpA		73,184		753,842
MARR SpA		51,630		483,042
				1,236,884

Description	Shares	Value
Japan | 26.6%
Ain Pharmaciez, Inc.	24,000	$	1,444,090
Asahi Co., Ltd.	37,700		621,683
Asahi Holdings, Inc.	43,501		882,068
Benesse Holdings, Inc.	15,400		688,503
Daiseki Co., Ltd.	35,100		610,050
Don Quijote Co., Ltd.	32,900		1,131,862
Dr. Ci:Labo Co., Ltd.	174		593,749
JAFCO Co., Ltd.	32,900		639,489
JSR Corp.	36,200		628,002
Konami Corp.	24,050		546,233
Kurita Water Industries, Ltd.	22,100		510,990
Misumi Group, Inc.	36,200		852,579
OSG Corp.	40,700		585,344
Rinnai Corp.	10,200		702,756
Santen Pharmaceutical Co., Ltd.	18,890		774,723
Suruga Bank, Ltd.	98,300		1,006,799
Sysmex Corp.	19,700		778,553
Tamron Co., Ltd.	20,500		680,279
USS Co., Ltd.	10,820		1,168,749
Valor Co., Ltd.	34,600		571,369
			15,417,870
Netherlands | 4.6%
Aalberts Industries NV	39,790		619,564
ASM International NV	19,668		747,365
Gemalto NV	10,994		790,647
Royal Imtech NV	21,715		518,128
			2,675,704
Norway | 5.2%
Atea ASA	66,526		585,224
Kongsberg Gruppen ASA	50,164		949,230
Petroleum Geo-Services ASA	39,825		488,262
TGS Nopec Geophysical Co. ASA	37,027		998,001
			3,020,717
Singapore | 2.2%
Ezra Holdings, Ltd. (a)	740,000		629,879
XP Power, Ltd.	34,266		619,632
			1,249,511
Sweden | 7.4%
Elekta AB, B Shares	21,485		979,799
Getinge AB, B Shares	27,090		671,312
Indutrade AB	18,271		500,654
Intrum Justitia AB	54,982		800,783
Loomis AB, B Shares	57,071		704,700
Mekonomen AB	21,061		644,921
			4,302,169

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  57

Description	Shares	Value
Lazard International Small Cap Equity Portfolio (concluded)
Switzerland | 1.8%
Dufry AG (a)	8,699	$	1,055,265
United Kingdom | 20.3%
Abcam PLC	94,606		618,507
Aberdeen Asset Management PLC	145,603		592,984
APR Energy PLC	42,883		456,911
Ashtead Group PLC	184,098		754,320
Dignity PLC	58,075		734,652
Diploma PLC	91,142		636,709
Elementis PLC	157,510		491,921
Hansteen Holdings PLC REIT	517,282		583,637
IG Group Holdings PLC	154,735		1,165,007
Intertek Group PLC	18,417		774,021
Melrose PLC	94,760		554,400
Morgan Crucible Co. PLC	141,417		617,993
Provident Financial PLC	38,357		731,042
Rightmove PLC	30,136		752,349
RPC Group PLC	99,311		604,056
Spectris PLC	26,659		641,179
Synergy Health PLC	44,042		622,735
Yule Catto & Co. PLC	182,845		417,353
			11,749,776
Total Common Stocks
(Identified cost $49,065,017)			57,313,329

Description	Shares	Value
Right | 0.1%
Australia | 0.1%
Echo Entertainment Group, Ltd.,
Expires 07/09/12
(Identified cost $0) (f)	20,534	$	20,596
Short-Term Investment | 1.3%
State Street Institutional Treasury
Money Market Fund
(Identified cost $761,104)	761,104		761,104
Total Investments | 100.4%
(Identified cost $49,826,121) (b)		$	58,095,029
Liabilities in Excess of Cash and
Other Assets | (0.4)%			(222,805	)
Net Assets | 100.0%		$	57,872,224

The accompanying notes are an integral part of these financial statements.

58  Semi-Annual Report

Description	Shares	Value
Lazard Emerging Markets Equity Portfolio
Common Stocks | 95.7%
Argentina | 0.5%
YPF Sociedad Anonima
Sponsored ADR	5,574,797	$	68,848,743
Brazil | 16.3%
Banco do Brasil SA	40,019,610		389,137,657
CCR SA	19,021,400		154,652,458
Cielo SA	16,204,984		476,669,382
Companhia Siderurgica Nacional SA
Sponsored ADR	19,836,024		112,470,256
Natura Cosmeticos SA	9,826,400		229,943,142
Redecard SA	28,946,720		473,437,765
Souza Cruz SA	12,649,825		185,669,326
Vale SA Sponsored ADR	18,816,500		373,507,525
			2,395,487,511
Canada | 0.7%
First Quantum Minerals, Ltd.	5,961,312		105,395,949
China | 4.0%
China Construction Bank Corp.,
Class H	458,085,220		315,837,801
CNOOC, Ltd.	15,844,000		31,961,941
NetEase, Inc. Sponsored ADR (a)	2,359,356		138,848,100
Weichai Power Co., Ltd., Class H	23,707,500		94,815,821
			581,463,663
Colombia | 0.0%
Pacific Rubiales Energy Corp.	261,500		5,537,707
Egypt | 2.4%
Commercial International Bank
Egypt SAE	29,075,818		124,762,696
Eastern Tobacco SAE	3,075,281		40,607,820
Orascom Construction Industries	4,318,112		180,322,248
			345,692,764
France | 0.8%
CFAO SA	2,605,951		123,487,741
Hong Kong | 2.4%
China Mobile, Ltd. Sponsored ADR	4,653,804		254,423,465
Huabao International Holdings, Ltd.	211,907,000		104,303,248
			358,726,713

Description	Shares	Value
Hungary | 1.3%
OTP Bank PLC	12,167,069	$	193,576,136
India | 5.4%
Bank of India	16,569,757		103,579,646
Bharat Heavy Electricals, Ltd.	33,372,660		139,807,044
Infosys, Ltd. Sponsored ADR	1,662,308		74,903,598
Jindal Steel & Power, Ltd.	14,555,576		122,966,279
Punjab National Bank, Ltd.	13,801,369		201,391,107
Tata Consultancy Services, Ltd.	6,801,111		156,513,209
			799,160,883
Indonesia | 5.9%
PT Bank Mandiri (Persero) Tbk	285,016,430		220,617,847
PT Perusahaan Gas Negara
(Persero) Tbk	152,635,000		57,654,628
PT Semen Gresik (Persero) Tbk	84,955,800		102,605,430
PT Tambang Batubara Bukit Asam Tbk	36,156,200		57,131,560
PT Telekomunikasi Indonesia (Persero)
Tbk Sponsored ADR	9,440,449		328,810,839
PT United Tractors Tbk	45,007,984		103,615,411
			870,435,715
Malaysia | 0.8%
British American Tobacco
Malaysia Berhad	6,325,900		111,984,626
Mexico | 5.0%
America Movil SAB de CV ADR,
Series L	8,637,570		225,095,074
Desarrolladora Homex SAB
de CV ADR (a)	46,185		711,249
Grupo Mexico SAB de CV, Series B	87,170,747		259,100,289
Grupo Televisa SA Sponsored ADR	6,764,100		145,292,868
Kimberly-Clark de Mexico SAB de CV,
Series A	52,660,095		103,151,366
			733,350,846
Pakistan | 1.3%
Oil & Gas Development Co., Ltd.	52,154,549		88,699,328
Pakistan Petroleum, Ltd.	51,296,768		101,757,766
			190,457,094
Philippines | 2.2%
Philippine Long Distance Telephone Co.
Sponsored ADR	5,154,150		327,803,940

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  59

Description	Shares	Value
Lazard Emerging Markets Equity Portfolio (concluded)
Russia | 8.5%
Gazprom OAO Sponsored ADR	16,657,131	$	157,678,334
Lukoil OAO Sponsored ADR	2,019,750		113,267,580
Magnit OJSC Sponsored GDR (d), (f)	4,177,365		125,655,139
Mobile TeleSystems OJSC
Sponsored ADR	15,671,843		269,555,700
Oriflame Cosmetics SA SDR	2,598,429		86,957,009
Sberbank of Russia (f)	99,381,105		265,098,104
TNK-BP Holding (f)	39,192,194		90,555,445
Uralkali OJSC Sponsored GDR	3,511,389		135,465,894
			1,244,233,205
South Africa | 11.6%
Bidvest Group, Ltd.	9,797,015		218,924,499
Massmart Holdings, Ltd.	1,735,033		35,925,779
Murray & Roberts Holdings, Ltd. (a)	36,859,722		111,435,705
Nedbank Group, Ltd.	7,330,646		156,287,357
Pretoria Portland Cement Co., Ltd.	31,726,033		104,136,716
Sanlam, Ltd.	30,616,367		134,307,711
Shoprite Holdings, Ltd.	17,009,786		314,290,615
Standard Bank Group, Ltd.	9,388,429		127,365,439
Tiger Brands, Ltd.	4,634,808		139,220,342
Truworths International, Ltd.	17,716,281		194,306,590
Vodacom Group, Ltd.	9,684,437		110,421,585
Woolworths Holdings, Ltd.	10,754,243		66,243,652
			1,712,865,990
South Korea | 13.8%
Hite Jinro Co., Ltd.	1,984,468		37,544,684
Hyundai Mobis	899,105		217,651,094
KB Financial Group, Inc.	6,078,730		197,994,253
Korea Life Insurance Co., Ltd.	31,200,643		175,296,473
KT&G Corp.	4,553,670		322,968,048
NHN Corp.	975,121		213,844,883
Samsung Electronics Co., Ltd.	356,329		377,788,165
Shinhan Financial Group Co., Ltd.	9,601,714		334,185,448
Woongjin Coway Co., Ltd.	4,936,084		153,839,526
			2,031,112,574
Taiwan | 4.5%
Hon Hai Precision Industry Co., Ltd.	44,169,199		133,185,645
HTC Corp.	13,176,935		173,253,780
MediaTek, Inc.	11,543,421		106,976,155
Taiwan Semiconductor Manufacturing
Co., Ltd.	92,576,284		253,393,736
			666,809,316

Description	Shares	Value
Thailand | 2.2%
Banpu Public Co. Ltd.	1,912,300	$	26,733,665
CP All Public Co. Ltd. (f)	94,131,400		105,216,143
PTT Exploration & Production
Public Co. Ltd. (f)	9,807,450		51,878,199
The Siam Cement Public Co. Ltd.	12,065,200		138,033,838
			321,861,845
Turkey | 5.9%
Akbank TAS	40,962,007		150,402,456
Koc Holding AS	41,286,123		157,745,019
Turkcell Iletisim Hizmetleri AS (a)	51,437,359		259,925,077
Turkiye Is Bankasi AS, C Shares	112,294,808		299,423,845
			867,496,397
United Kingdom | 0.2%
Anglo American PLC	904,331		30,205,470
Total Common Stocks
(Identified cost $14,151,312,927)			14,085,994,828
Preferred Stocks | 2.0%
Brazil | 2.0%
CEMIG SA Sponsored ADR	6,821,803		125,657,611
Companhia de Bebidas das Americas
SA Sponsored ADR	4,416,248		169,274,786
Total Preferred Stocks
(Identified cost $203,877,170)			294,932,397
Short-Term Investment | 2.3%
State Street Institutional Treasury
Money Market Fund
(Identified cost $343,246,345)	343,246,345		343,246,345
Total Investments | 100.0%
(Identified cost $14,698,436,442) (b)		$	14,724,173,570
Liabilities in Excess of Cash and
Other Assets | 0.0%			(3,741,508	)
Net Assets | 100.0%		$	14,720,432,062

The accompanying notes are an integral part of these financial statements.

60  Semi-Annual Report

Description	Shares		Value
Lazard Developing Markets Equity Portfolio
Common Stocks | 89.3%
Brazil | 9.1%
Cia Hering	196,734	$	3,731,922
Cyrela Brazil Realty SA
Empreendimentos e Participacoes	666,660		4,912,406
Localiza Rent a Car SA	161,381		2,438,593
MRV Engenharia e Participacoes SA	1,246,795		5,773,061
Petroleo Brasileiro SA Sponsored ADR	318,600		5,779,404
Totvs SA	182,163		3,509,937
Vale SA Sponsored ADR	205,415		4,077,488
			30,222,811
China | 22.8%
AAC Technologies Holdings, Inc.	1,993,700		5,773,149
Agricultural Bank of China, Ltd., Class H	16,644,500		6,720,062
China Construction Bank Corp., Class H	3,598,184		2,480,854
China Merchants Bank Co., Ltd.,
Class H	3,456,406		6,546,324
China National Materials Co., Ltd.,
Class H	17,332,890		5,394,245
China State Construction International
Holdings, Ltd.	7,464,940		7,095,915
Daphne International Holdings, Ltd.	4,862,000		4,963,915
First Tractor Co., Ltd., Class H (a)	3,742,000		3,011,123
Hengdeli Holdings, Ltd.	15,188,000		4,868,036
Hidili Industry International
Development, Ltd.	9,398,900		2,633,423
NetEase, Inc. Sponsored ADR (a)	63,485		3,736,092
Ping An Insurance (Group) Co. of
China, Ltd., Class H	865,500		6,978,646
Sands China, Ltd.	2,307,800		7,392,691
Vinda International Holdings, Ltd.	1,940,000		2,897,518
Zoomlion Heavy Industry Science and
Technology Co., Ltd., Class H	4,388,600		5,639,675
			76,131,668
Colombia | 1.6%
Pacific Rubiales Energy Corp.	255,523		5,411,134

Description	Shares	Value
India | 5.9%
Cairn India, Ltd. (a)	700,768	$	3,883,676
HDFC Bank, Ltd. Sponsored ADR	97,000		3,162,200
ICICI Bank, Ltd. Sponsored ADR	265,230		8,596,105
Shriram Transport Finance Co., Ltd.	436,096		4,141,935
			19,783,916
Indonesia | 2.8%
PT Bank Rakyat Indonesia (Persero) Tbk	11,496,600		7,868,023
PT XL Axiata Tbk	2,510,500		1,640,025
			9,508,048
Kazakhstan | 1.3%
Halyk Savings Bank of Kazakhstan
JSC GDR (a)	461,670		2,300,626
Zhaikmunai LP GDR (a)	248,798		2,118,013
			4,418,639
Mexico | 5.3%
Corporacion Geo SAB de CV,
Series B (a)	5,737,706		6,456,140
Genomma Lab Internacional
SAB de CV (a)	2,779,900		5,491,155
Grupo Financiero Banorte SAB de CV,
Class O	1,105,457		5,713,038
			17,660,333
Peru | 2.0%
Credicorp, Ltd.	52,600		6,621,814
Philippines | 1.1%
SM Investments Corp.	201,721		3,506,284
Qatar | 1.0%
Qatar Electricity & Water Co.	91,300		3,325,073
Russia | 17.7%
Alliance Oil Co., Ltd. SDR (a)	395,885		3,624,002
Eurasia Drilling Co., Ltd. GDR	219,482		5,598,432
Globaltrans Investment PLC
Sponsored GDR	559,141		10,063,809
Novatek OAO Sponsored GDR	32,594		3,470,145
Rosneft Oil Co. OJSC GDR	942,232		5,907,097
Sberbank of Russia (f)	3,672,541		9,796,466
TMK OAO GDR	447,562		5,386,432
Uralkali OJSC Sponsored GDR	121,932		4,704,015
VTB Bank OJSC GDR	1,395,683		4,950,641
X5 Retail Group NV GDR (a)	248,555		5,678,137
			59,179,176

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  61

Description	Shares	Value
Lazard Developing Markets Equity Portfolio (concluded)
South Africa | 5.9%
Barloworld, Ltd.	510,669	$	5,067,410
Exxaro Resources, Ltd. Sponsored ADR	428,380		10,062,218
Standard Bank Group, Ltd.	345,556		4,687,886
			19,817,514
South Korea | 5.5%
Kia Motors Corp.	100,388		6,612,285
Mando Corp.	33,557		4,998,351
Samsung Electronics Co., Ltd.	6,274		6,651,838
			18,262,474
Taiwan | 4.2%
Catcher Technology Co., Ltd.	513,000		3,472,214
Synnex Technology International Corp.	1,782,989		4,360,817
Tripod Technology Corp.	1,340,140		3,816,207
Yuanta Financial Holding Co., Ltd.	5,260,159		2,413,608
			14,062,846
Thailand | 1.2%
PTT Exploration & Production
Public Co. Ltd. (f)	776,849		4,109,277
Turkey | 1.3%
Aselsan Elektronik Sanayi Ve Ticaret AS	690,999		4,294,062
United States | 0.6%
NII Holdings, Inc. (a)	201,777		2,064,179
Total Common Stocks
(Identified cost $341,866,815)			298,379,248

Description	Shares	Value
Preferred Stocks | 6.2%
Brazil | 4.6%
Banco Bradesco SA Sponsored ADR	449,708	$	6,687,158
Gerdau SA Sponsored ADR	481,450		4,217,502
Marcopolo SA	977,900		4,406,271
			15,310,931
Colombia | 1.6%
Bancolombia SA Sponsored ADR	86,600		5,355,344
Total Preferred Stocks
(Identified cost $22,126,305)			20,666,275
Short-Term Investment | 4.2%
State Street Institutional Treasury
Money Market Fund
(Identified cost $13,967,845)	13,967,845		13,967,845
Total Investments | 99.7%
(Identified cost $377,960,965) (b)		$	333,013,368
Cash and Other Assets in Excess
of Liabilities | 0.3%			1,013,993
Net Assets | 100.0%		$	334,027,361

The accompanying notes are an integral part of these financial statements.

62  Semi-Annual Report

Description	Shares	Value
Lazard Emerging Markets Equity Blend Portfolio
Common Stocks | 88.1%
Argentina | 0.3%
YPF Sociedad Anonima Sponsored ADR	39,775	$	491,221
Brazil | 10.7%
Banco do Brasil SA	205,107		1,994,394
Cia Hering	39,727		753,597
Cielo SA Sponsored ADR	94,192		2,789,967
Companhia Siderurgica Nacional SA
Sponsored ADR	124,545		706,170
Localiza Rent a Car SA	96,500		1,458,190
MRV Engenharia e Participacoes SA	390,800		1,809,529
Natura Cosmeticos SA	65,250		1,526,886
Petroleo Brasileiro SA Sponsored ADR	110,300		2,000,842
Redecard SA	128,700		2,104,951
Souza Cruz SA	111,295		1,633,546
			16,778,072
Canada | 0.8%
First Quantum Minerals, Ltd.	68,805		1,216,472
China | 12.5%
AAC Technologies Holdings, Inc.	649,640		1,881,160
Agricultural Bank of China, Ltd., Class H	6,077,000		2,453,532
China Construction Bank Corp., Class H	3,298,461		2,274,203
China National Materials Co., Ltd.,
Class H	4,083,000		1,270,688
China State Construction International
Holdings, Ltd.	3,144,504		2,989,057
CNOOC, Ltd.	19,000		37,345
Daphne International Holdings, Ltd.	1,536,000		1,568,197
Hidili Industry International
Development, Ltd.	2,993,360		838,692
Ping An Insurance (Group) Co. of
China, Ltd., Class H	324,000		2,612,457
Sands China, Ltd.	562,800		1,802,845
Zoomlion Heavy Industry Science and
Technology Co., Ltd., Class H	1,510,840		1,941,541
			19,669,717
Colombia | 1.1%
Pacific Rubiales Energy Corp.	84,300		1,785,196

Description	Shares	Value
Egypt | 2.3%
Commercial International Bank Egypt SAE	467,073	$	2,004,184
Orascom Construction Industries	37,682		1,573,582
			3,577,766
Hong Kong | 0.8%
China Mobile, Ltd. Sponsored ADR	24,800		1,355,816
Hungary | 0.9%
OTP Bank PLC	93,059		1,480,554
India | 1.7%
ICICI Bank, Ltd. Sponsored ADR	82,090		2,660,537
Indonesia | 3.9%
PT Bank Rakyat Indonesia (Persero) Tbk	3,547,618		2,427,912
PT Telekomunikasi Indonesia (Persero)
Tbk Sponsored ADR	64,250		2,237,828
PT United Tractors Tbk	656,015		1,510,249
			6,175,989
Kazakhstan | 0.5%
Halyk Savings Bank of Kazakhstan
JSC GDR (a)	157,002		780,457
Mexico | 8.3%
America Movil SAB de CV ADR, Series L	63,708		1,660,230
Corporacion Geo SAB de CV, Series B (a)	954,900		1,074,466
Genomma Lab Internacional
SAB de CV (a)	1,205,500		2,381,232
Grupo Financiero Banorte SAB de CV,
Class O	541,800		2,800,040
Grupo Mexico SAB de CV, Series B	601,001		1,786,374
Grupo Televisa SA Sponsored ADR	82,373		1,769,372
Kimberly-Clark de Mexico SAB de CV,
Series A	837,200		1,639,920
			13,111,634
Philippines | 1.6%
Philippine Long Distance Telephone Co.
Sponsored ADR	38,692		2,460,811

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  63

Description	Shares	Value
Lazard Emerging Markets Equity Blend Portfolio (concluded)
Russia | 15.0%
Alliance Oil Co., Ltd. SDR (a)	170,036	$	1,556,540
Eurasia Drilling Co., Ltd. GDR	87,978		2,245,590
Gazprom OAO Sponsored ADR	136,839		1,295,334
Globaltrans Investment PLC
Sponsored GDR	154,023		2,771,887
Lukoil OAO Sponsored ADR	28,068		1,574,053
Mobile TeleSystems OJSC
Sponsored ADR	130,820		2,250,104
Oriflame Cosmetics SA SDR	35,967		1,203,644
Sberbank of Russia (f)	806,256		2,150,680
Sberbank of Russia Sponsored ADR	174,072		1,883,459
TMK OAO GDR	137,450		1,654,218
Uralkali OJSC Sponsored GDR	82,809		3,194,689
X5 Retail Group NV GDR (a)	77,200		1,768,905
			23,549,103
South Africa | 5.9%
Exxaro Resources, Ltd.	107,966		2,521,457
Standard Bank Group, Ltd.	270,274		3,666,595
Tiger Brands, Ltd.	50,565		1,518,871
Truworths International, Ltd.	146,371		1,605,351
			9,312,274
South Korea | 11.8%
Hyundai Mobis	6,623		1,603,264
Kia Motors Corp.	30,978		2,040,437
Korea Life Insurance Co., Ltd.	242,372		1,361,733
KT&G Corp.	35,473		2,515,915
Mando Corp.	14,236		2,120,467
NHN Corp.	9,309		2,041,472
Samsung Electronics Co., Ltd.	4,383		4,646,957
Shinhan Financial Group Co., Ltd.	64,080		2,230,290
			18,560,535
Taiwan | 5.1%
Hon Hai Precision Industry Co., Ltd.	482,281		1,454,246
HTC Corp. GDR	27,227		1,423,700
Synnex Technology International Corp.	863,190		2,111,182
Taiwan Semiconductor
Manufacturing Co., Ltd.	628,000		1,718,920
Tripod Technology Corp.	461,146		1,313,168
			8,021,216

Description	Shares	Value
Thailand | 0.7%
Banpu Public Co. Ltd.	84,630	$	1,183,115
Turkey | 3.8%
Koc Holding AS ADR	109,212		2,095,778
Turkcell Iletisim Hizmetleri AS ADR (a)	135,155		1,696,195
Turkiye Is Bankasi AS, C Shares	804,908		2,146,214
			5,938,187
United States | 0.4%
NII Holdings, Inc. (a)	64,900		663,927
Total Common Stocks
(Identified cost $149,034,161)			138,772,599
Preferred Stocks | 5.0%
Brazil | 3.6%
CEMIG SA Sponsored ADR	101,868		1,876,408
Marcopolo SA	359,800		1,621,205
Vale SA Sponsored ADR	114,200		2,228,042
			5,725,655
Colombia | 1.4%
Bancolombia SA Sponsored ADR	34,820		2,153,269
Total Preferred Stocks
(Identified cost $8,253,405)			7,878,924
Short-Term Investment | 5.6%
State Street Institutional Treasury
Money Market Fund
(Identified cost $8,829,225)	8,829,225		8,829,225
Total Investments | 98.7%
(Identified cost $166,116,791) (b)		$	155,480,748
Cash and Other Assets in Excess
of Liabilities | 1.3%			2,016,500
Net Assets | 100.0%		$	157,497,248

The accompanying notes are an integral part of these financial statements.

64  Semi-Annual Report

Description	Shares	Value
Lazard Emerging Markets Multi-Strategy Portfolio
Common Stocks | 43.2%
Argentina | 0.2%
YPF Sociedad Anonima
Sponsored ADR (e)	9,387	$	115,929
Brazil | 5.4%
Banco do Brasil SA	26,290		255,635
Banco do Brasil SA Sponsored ADR (e)	13,960		136,948
Brasil Brokers Participacoes SA	28,800		93,634
Brasil Insurance Participacoes e
Administracao SA	11,400		101,314
Cia Hering	7,390		140,184
Cielo SA Sponsored ADR (e)	18,148		537,544
Companhia Siderurgica Nacional SA
Sponsored ADR	22,930		130,013
Localiza Rent a Car SA	18,000		271,994
M Dias Branco SA	3,400		99,876
MRV Engenharia e Participacoes SA	72,170		334,170
Natura Cosmeticos SA	12,540		293,443
Petroleo Brasileiro SA Sponsored ADR (e)	20,200		366,428
Redecard SA	11,548		188,873
Redecard SA Sponsored GDR (d), (e)	6,573		213,949
Souza Cruz SA	21,380		313,808
T4F Entretenimento SA	10,800		89,529
UNICASA Industria de Moveis SA (a)	8,400		67,039
			3,634,381
Cambodia | 0.1%
NagaCorp, Ltd.	190,000		85,064
Canada | 0.4%
First Quantum Minerals, Ltd.	12,980		229,486
China | 6.1%
AAC Technologies Holdings, Inc.	118,000		341,692
Agricultural Bank of China, Ltd., Class H	1,140,000		460,264
Biostime International Holdings, Ltd.	25,500		65,243
China Construction Bank Corp., Class H	635,000		437,816
China National Materials Co., Ltd., Class H	741,000		230,610
China Outfitters Holdings, Ltd.	490,000		98,472
China State Construction International
Holdings, Ltd.	565,600		537,640
China ZhengTong Auto Services
Holdings, Ltd. (a)	73,500		39,460

Description	Shares	Value
CNOOC, Ltd.	3,000	$	5,908
Daphne International Holdings, Ltd.	292,000		298,121
Hengdeli Holdings, Ltd.	288,000		92,309
Hidili Industry International
Development, Ltd.	571,000		159,985
Ping An Insurance (Group) Co. of
China, Ltd., Class H	61,000		491,851
Prince Frog International Holdings, Ltd.	257,000		92,553
Sands China, Ltd.	107,600		344,680
Shenguan Holdings Group, Ltd.	184,000		105,826
Zoomlion Heavy Industry Science and
Technology Co., Ltd., Class H	266,180		342,061
			4,144,491
Colombia | 0.5%
Pacific Rubiales Energy Corp.	15,800		334,592
Egypt | 1.1%
Commercial International Bank Egypt SAE	71,153		305,314
Commercial International Bank Egypt
SAE GDR	18,460		78,750
Orascom Construction Industries	6,777		283,004
Orascom Construction Industries
Sponsored ADR	1,750		70,385
			737,453
Hong Kong | 0.9%
China Metal Recycling Holdings, Ltd.	87,600		65,100
China Mobile, Ltd. Sponsored ADR	4,800		262,416
REXLot Holdings, Ltd.	1,300,000		93,182
Sitoy Group Holdings, Ltd. (a)	223,000		99,801
Stella International Holdings, Ltd.	37,500		93,053
			613,552
Hungary | 0.4%
OTP Bank PLC	17,903		284,834
India | 0.7%
ICICI Bank, Ltd. Sponsored ADR (e)	15,100		489,391
Indonesia | 1.9%
PT Bank Pembangunan Daerah Jawa
Barat dan Banten Tbk	922,500		91,151
PT Bank Rakyat Indonesia (Persero) Tbk	691,000		472,905
PT Telekomunikasi Indonesia (Persero)
Tbk Sponsored ADR (e)	12,350		430,151
PT United Tractors Tbk	126,015		290,106
			1,284,313

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  65

Description	Shares	Value
Lazard Emerging Markets Multi-Strategy Portfolio (continued)
Kazakhstan | 0.2%
Halyk Savings Bank of Kazakhstan
JSC GDR (a), (e)	30,771	$	152,963
Mexico | 3.8%
America Movil SAB de CV ADR, Series L	12,190		317,672
Corporacion Geo SAB de CV, Series B (a)	173,500		195,225
Genomma Lab Internacional SAB de CV (a)	275,900		544,987
Grupo Financiero Banorte SAB de CV,
Class O	98,900		511,118
Grupo Mexico SAB de CV, Series B	115,509		343,331
Grupo Televisa SA Sponsored ADR (e)	15,892		341,360
Kimberly-Clark de Mexico SAB de CV,
Series A	161,125		315,614
			2,569,307
Pakistan | 0.1%
Fauji Fertilizer Co., Ltd.	78,328		91,571
Philippines | 0.7%
Philippine Long Distance Telephone Co.
Sponsored ADR (e)	7,433		472,739
Russia | 6.8%
Alliance Oil Co., Ltd. SDR (a)	32,045		293,346
Eurasia Drilling Co., Ltd. GDR (e)	16,669		425,467
Gazprom OAO Sponsored ADR	26,247		248,457
Globaltrans Investment PLC
Sponsored GDR (e)	34,032		612,460
Lukoil OAO Sponsored ADR	5,385		301,991
Mobile TeleSystems OJSC
Sponsored ADR (e)	25,160		432,752
NOMOS-BANK GDR (a)	6,458		77,501
Oriflame Cosmetics SA SDR	6,567		219,766
Sberbank of Russia (e), (f)	152,150		405,859
Sberbank of Russia Sponsored ADR (e)	33,552		363,033
TMK OAO GDR (e)	26,762		322,082
Uralkali OJSC Sponsored GDR (e)	15,505		598,167
X5 Retail Group NV GDR (a)	14,200		325,368
			4,626,249

Description	Shares	Value
South Africa | 2.9%
AVI, Ltd.	15,949	$	97,872
Exxaro Resources, Ltd.	20,321		474,580
Lewis Group, Ltd.	11,665		100,533
Standard Bank Group, Ltd.	51,372		696,924
Tiger Brands, Ltd.	9,738		292,510
Truworths International, Ltd.	27,806		304,967
			1,967,386
South Korea | 5.7%
BS Financial Group, Inc.	6,100		64,503
Grand Korea Leisure Co., Ltd.	3,320		69,086
Hy-Lok Corp.	3,787		69,823
Hyundai Marine & Fire Insurance Co., Ltd.	3,910		101,753
Hyundai Mobis	1,277		309,130
Kia Motors Corp.	6,035		397,509
Korea Life Insurance Co., Ltd.	46,580		261,703
KT&G Corp.	2,678		189,937
KT&G Corp. GDR (d), (e)	8,225		291,557
Mando Corp.	2,671		397,848
NHN Corp.	1,787		391,891
Samsung Electronics Co., Ltd.	589		624,471
Samsung Electronics Co., Ltd. GDR	493		262,029
Shinhan Financial Group Co., Ltd.	5,440		189,338
Shinhan Financial Group Co., Ltd. ADR	3,446		244,597
			3,865,175
Taiwan | 2.4%
Hon Hai Precision Industry Co., Ltd. GDR	43,983		266,132
HTC Corp. GDR	5,076		265,424
Lumax International Corp., Ltd.	29,000		63,231
Makalot Industrial Co., Ltd.	28,000		81,171
Synnex Technology International Corp.	162,000		396,218
Taiwan Semiconductor Manufacturing Co.,
Ltd. Sponsored ADR (e)	23,856		333,030
Tripod Technology Corp.	86,060		245,066
			1,650,272
Thailand | 0.5%
Banpu Public Co. Ltd.	15,500		216,688
Thai Tap Water Supply Co., Ltd.	469,100		96,744
			313,432
Turkey | 2.1%
Koc Holding AS ADR (e)	20,724		397,694
TAV Havalimanlari Holding AS	18,868		101,524
Tofas Turk Otomobil Fabrikasi AS	22,476		96,494
Turkcell Iletisim Hizmetleri AS ADR (a), (e)	25,990		326,174
Turkiye Is Bankasi AS, C Shares	154,873		412,955
Turkiye Sinai Kalkinma Bankasi AS	96,545		98,480
			1,433,321

The accompanying notes are an integral part of these financial statements.

66  Semi-Annual Report

Description		Shares		Value
Lazard Emerging Markets Multi-Strategy Portfolio (continued)
United Kingdom | 0.1%
Bank of Georgia Holdings PLC		5,733	$	96,667
United States | 0.2%
NII Holdings, Inc. (a)		12,000		122,760
Total Common Stocks
(Identified cost $30,132,991)				29,315,328
Preferred Stocks | 2.5%
Brazil | 1.9%
Banco ABC Brasil SA		21,300		101,277
CEMIG SA Sponsored ADR (e)		19,413		357,588
Marcopolo SA		66,300		298,738
Randon Participacoes SA		18,800		84,242
Vale SA Sponsored ADR (e)		22,000		429,220
				1,271,065
Colombia | 0.6%
Bancolombia SA Sponsored ADR (e)		6,380		394,539
Total Preferred Stocks
(Identified cost $1,719,674)				1,665,604
		Principal
	Security	Amount
Description	Currency	(000)		Value
Corporate Bonds | 6.9%
Brazil | 0.9%
Banco do Brasil SA,
9.250%, 04/15/23	USD	200	$	221,380
Odebrecht Finance, Ltd.,
7.125%, 06/26/42 (d)	USD	200		199,000
Oi SA,
5.750%, 02/10/22 (d)	USD	200		203,800
				624,180

		Principal
	Security	Amount
Description	Currency	(000)		Value
Chile | 0.2%
Automotores Gildemeister SA,
8.250%, 05/24/21 (d)	USD	125	$	129,688
China | 0.3%
Yancoal International Resources
Development Co., Ltd.,
5.730%, 05/16/22	USD	225		222,814
Colombia | 0.7%
Pacific Rubiales Energy Corp.,
7.250%, 12/12/21 (d)	USD	215		233,275
Transportadora de Gas del
Internacional SA,
5.700%, 03/20/22	USD	200		207,500
				440,775
Indonesia | 1.3%
Export-Import Bank of Korea:
8.300%, 03/15/14	IDR	430,000		46,170
8.400%, 07/06/16	IDR	850,000		92,180
Listrindo Capital BV,
6.950%, 02/21/19 (d)	USD	200		204,632
PT Adaro Indonesia,
7.625%, 10/22/19	USD	125		132,500
PT Berau Coal Energy Tbk,
7.250%, 03/13/17	USD	200		194,500
PT Pertamina (Persero) Tbk,
6.500%, 05/27/41	USD	200		210,000
				879,982
Kazakhstan | 0.5%
Halyk Savings Bank of
Kazakhstan JSC,
7.250%, 05/03/17	USD	225		223,875
Kazkommertsbank JSC,
8.000%, 11/03/15	USD	125		116,250
				340,125
Peru | 0.2%
Volcan Cia Minera SAA,
5.375%, 02/02/22 (d)	USD	150		155,566

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  67

		Principal
	Security	Amount
Description	Currency	(000)		Value
Lazard Emerging Markets Multi-Strategy Portfolio (continued)
Russia | 2.4%
Alfa-Bank,
7.875%, 09/25/17	USD	200	$	201,300
ALROSA Finance SA,
7.750%, 11/03/20	USD	200		209,454
Evraz Group SA,
6.750%, 04/27/18	USD	225		214,042
Lukoil International Finance BV,
6.125%, 11/09/20	USD	200		209,740
MTS International Funding, Ltd.,
8.625%, 06/22/20	USD	225		257,555
Russian Standard Bank,
7.730%, 12/16/15	USD	200		188,000
Severstal OAO Via Steel
Capital SA,
6.700%, 10/25/17	USD	200		201,812
Vimpel Communications,
9.125%, 04/30/18	USD	150		159,375
				1,641,278
United Arab Emirates | 0.4%
DP World, Ltd.,
6.850%, 07/02/37	USD	250		245,625
Total Corporate Bonds
(Identified cost $4,612,440)				4,680,033
Foreign Government Obligations | 18.4%
Argentina | 0.2%
Republic of Argentina,
8.280%, 12/31/33	USD	200		131,047
Belarus | 0.1%
Republic of Belarus,
8.950%, 01/26/18	USD	100		92,500

		Principal
	Security	Amount
Description	Currency	(000)		Value
Dominican Republic | 0.5%
Dominican Republic:
11.700%, 06/06/14	DOP	2,500	$	63,012
9.040%, 01/23/18	USD	109		121,867
7.500%, 05/06/21	USD	125		133,125
				318,004
Ghana | 0.1%
Ghana Government Bond,
26.000%, 06/05/17	GHS	105		57,062
Guatemala | 0.4%
Republic of Guatemala,
5.750%, 06/06/22 (d)	USD	275		285,656
Hungary | 1.4%
Hungary Government Bonds:
7.750%, 08/24/15	HUF	43,870		195,096
5.500%, 02/12/16	HUF	18,000		74,728
6.750%, 02/24/17	HUF	54,000		230,018
Hungary Treasury Bills:
0.000%, 09/12/12	HUF	24,700		107,852
0.000%, 10/03/12	HUF	35,000		152,247
0.000%, 04/17/13	HUF	17,400		72,773
Republic of Hungary:
6.250%, 01/29/20	USD	75		73,087
7.625%, 03/29/41	USD	50		48,875
				954,676
Iraq | 0.9%
Republic of Iraq,
5.800%, 01/15/28	USD	750		611,250
Ivory Coast | 1.2%
Ivory Coast,
3.750%, 12/31/32 (g)	USD	1,125		832,500
Lithuania | 0.2%
Republic of Lithuania,
6.125%, 03/09/21	USD	150		165,000

The accompanying notes are an integral part of these financial statements.

68  Semi-Annual Report

		Principal
	Security	Amount
Description	Currency	(000)		Value
Lazard Emerging Markets Multi-Strategy Portfolio (continued)
Malaysia | 1.8%
Bank Negara Monetary Notes:
0.000%, 07/26/12	MYR	1,025	$	322,187
0.000%, 08/09/12	MYR	500		156,960
0.000%, 08/14/12	MYR	635		199,297
0.000%, 09/13/12	MYR	240		75,113
0.000%, 10/09/12	MYR	915		285,846
0.000%, 10/11/12	MYR	470		146,759
				1,186,162
Mexico | 4.7%
Mexican Bonos,
9.000%, 12/20/12	MXN	8,230		629,549
Mexican Cetes:
0.000%, 07/26/12	MXN	8,500		63,517
0.000%, 08/23/12	MXN	208,100		1,549,584
0.000%, 09/20/12	MXN	37,000		274,589
0.000%, 10/18/12	MXN	52,000		384,559
0.000%, 11/01/12	MXN	33,000		243,617
				3,145,415
Namibia | 0.3%
Namibia International Bond,
5.500%, 11/03/21 (d)	USD	200		208,000
Nigeria | 1.1%
Nigeria Treasury Bills:
0.000%, 11/08/12	NGN	7,000		40,719
0.000%, 03/07/13	NGN	8,000		44,127
0.000%, 05/09/13	NGN	7,000		37,809
0.000%, 06/06/13	NGN	8,000		42,745
Republic of Nigeria,
6.750%, 01/28/21	USD	525		565,687
				731,087
Romania | 1.0%
Romania Bond,
6.750%, 02/07/22	USD	220		229,350
Romania Treasury Bills:
0.000%, 07/25/12	RON	250		70,890
0.000%, 08/08/12	RON	740		209,360
0.000%, 11/07/12	RON	210		58,576
0.000%, 11/12/12	RON	500		139,356
				707,532
Senegal | 0.3%
Republic of Senegal,
8.750%, 05/13/21	USD	200		220,000

		Principal
	Security	Amount
Description	Currency	(000)		Value
Serbia | 0.4%
Republic of Serbia,
6.750%, 11/01/24	USD	271	$	260,000
South Africa | 0.6%
Republic of South Africa:
8.250%, 09/15/17	ZAR	1,811		237,481
7.250%, 01/15/20	ZAR	1,200		147,509
				384,990
Sri Lanka | 0.3%
Republic of Sri Lanka,
6.250%, 10/04/20	USD	200		205,000
Turkey | 2.7%
Republic of Turkey:
5.125%, 03/25/22	USD	200		208,250
6.875%, 03/17/36	USD	200		234,800
6.000%, 01/14/41	USD	200		210,500
Turkey Government Bonds:
0.000%, 03/20/13	TRY	373		193,564
0.000%, 07/17/13	TRY	875		442,077
4.000%, 04/29/15	TRY	468		265,869
3.000%, 07/21/21	TRY	364		196,543
3.000%, 02/23/22	TRY	103		55,611
				1,807,214
Venezuela | 0.2%
Republic of Venezuela:
9.250%, 05/07/28	USD	100		76,000
7.000%, 03/31/38	USD	60		39,300
				115,300
Total Foreign Government Obligations
(Identified cost $12,181,738)				12,418,395
Quasi Government Bonds | 1.6%
Azerbaijan | 0.3%
State Oil Co. of the
Azerbaijan Republic,
5.450%, 02/09/17	USD	200		205,250
Colombia | 0.1%
Empresas Publicas de
Medellin ESP,
8.375%, 02/01/21	COP	100,000		60,696

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  69

		Principal
	Security	Amount
Description	Currency	(000)		Value
Lazard Emerging Markets Multi-Strategy Portfolio (continued)
Kazakhstan | 0.2%
KazMunayGas National Co.,
9.125%, 07/02/18	USD	125	$	154,687
Mexico | 0.5%
Petroleos Mexicanos,
5.500%, 06/27/44 (d)	USD	350		357,875
Russia | 0.3%
Russian Agricultural Bank OJSC,
5.298%, 12/27/17 (d)	USD	200		201,631
Venezuela | 0.2%
Petroleos de Venezuela SA:
5.250%, 04/12/17	USD	20		14,200
8.500%, 11/02/17	USD	135		109,688
				123,888
Total Quasi Government Bonds
(Identified cost $1,095,910)				1,104,027
Supranationals | 0.2%
Brazil | 0.1%
Inter-American Development Bank,
0.000%, 08/20/15	IDR	900,000		78,540
Indonesia | 0.1%
European Bank for Reconstruction
& Development,
7.200%, 06/08/16	IDR	560,000		61,074
Total Supranationals
(Identified cost $151,559)				139,614

Description	Shares		Value
Short-Term Investment | 23.9%
State Street Institutional Treasury
Money Market Fund
(Identified cost $16,198,359)	16,198,359	$	16,198,359
Total Investments | 96.7%
(Identified cost $66,092,671) (b)			65,521,360
	Number of
Description	Contracts		Value
Purchased Options | 0.2%
JPY vs KRW July 12 14.50 Put,
Expires 07/26/12	2,120,000	$	50,921
USD vs INR August 12 56.50 Put,
Expires 08/31/12	6,000		13,320
USD vs MXN August 12 13.00 Put,
Expires 08/08/12	9,000		5,670
USD vs MXN July 12 14.00 Put,
Expires 07/05/12	5,000		23,450
USD vs MYR July 12 3.20 Put,
Expires 07/31/12	10,000		8,600
USD vs RUB August 12 33.00 Put,
Expires 08/31/12	5,000		9,575
Total Purchased Options
(Identified cost $63,352)			111,536
Total Investments and Purchased
Options | 96.9%
(Identified cost $66,156,023)		$	65,632,896
Cash and Other Assets in Excess
of Liabilities | 3.1%			2,114,882
Net Assets | 100.0%		$	67,747,778

The accompanying notes are an integral part of these financial statements.

70  Semi-Annual Report

Lazard Emerging Markets Multi-Strategy Portfolio (continued)

Forward Currency Contracts open at June 30, 2012:

Forward Currency Contracts	Counterparty	Expiration Date	Foreign Currency Amount		U.S. $ Cost on Origination Date			U.S. $ Current Value		Unrealized Appreciation			Unrealized Depreciation
Forward Currency Purchase Contracts
BRL	BRC	07/03/12		60,073		$	29,720	$	29,909		$	189		$	—
BRL	BRC	07/03/12		91,097			44,429		45,356			927			—
BRL	BRC	07/03/12		1,232,891			615,000		613,836			—			1,164
BRL	BRC	08/02/12		713,195			350,000		352,810			2,810			—
BRL	BRC	08/02/12		1,346,534			645,000		666,117			21,117			—
BRL	CIT	07/03/12		22,121			10,944		11,014			70			—
BRL	CIT	07/03/12		91,097			45,340		45,356			16			—
BRL	HSB	07/03/12		91,097			44,462		45,356			894			—
BRL	JPM	07/03/12		8,903			4,405		4,433			28			—
BRL	JPM	07/03/12		91,097			44,429		45,356			927			—
CLP	BNP	07/11/12		19,346,000			38,317		38,601			284			—
CLP	BRC	07/09/12		53,392,500			105,000		106,564			1,564			—
CLP	HSB	07/05/12		108,885,000			210,000		217,444			7,444			—
CLP	UBS	07/11/12		57,874,050			117,000		115,475			—			1,525
CNH	JPM	09/04/12		758,940			119,650		118,896			—			754
CNY	BRC	08/13/12		1,080,924			169,000		169,784			784			—
CNY	HSB	07/13/12		2,505,367			394,000		394,077			77			—
CNY	JPM	09/24/12		1,350,420			213,000		211,901			—			1,099
COP	BNP	07/13/12		77,272,000			43,058		43,266			208			—
COP	BNP	07/13/12		256,381,000			142,000		143,552			1,552			—
COP	HSB	09/24/12		268,815,000			150,000		148,823			—			1,177
COP	JPM	07/06/12		56,500,000			31,372		31,682			310			—
COP	SSB	07/06/12		56,500,000			31,365		31,682			317			—
CRC	CIT	03/27/13		27,523,000			50,000		51,857			1,857			—
CZK	BNP	09/27/12		3,289,237			158,796		163,083			4,287			—
CZK	JPM	08/28/12		3,342,455			161,548		165,720			4,172			—
DOP	CIT	08/02/12		1,627,600			40,000		41,248			1,248			—
DOP	CIT	08/02/12		2,200,500			54,000		55,768			1,768			—
EUR	BNP	09/28/12		242,294			302,310		306,880			4,570			—
EUR	BRC	07/30/12		101,000			124,887		127,843			2,956			—
EUR	BRC	07/31/12		47,470			61,000		60,086			—			914
EUR	BRC	08/31/12		38,439			47,939		48,670			731			—
EUR	CIT	07/13/12		302,889			396,565		383,336			—			13,229
HUF	CIT	07/02/12		16,232,182			70,787		71,881			1,094			—
HUF	UBS	07/06/12		48,466,450			199,000		214,537			15,537			—
IDR	BRC	07/16/12		1,300,815,000			137,000		138,264			1,264			—
IDR	CIT	07/09/12		1,636,064,000			172,000		174,054			2,054			—
IDR	JPM	10/03/12		856,350,000			90,000		90,057			57			—
ILS	BNP	07/05/12		699,468			180,011		178,865			—			1,146
ILS	BNP	07/31/12		698,307			177,000		178,370			1,370			—
ILS	BRC	07/27/12		551,485			142,000		140,891			—			1,109

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  71

Lazard Emerging Markets Multi-Strategy Portfolio (continued)

Forward Currency Contracts open at June 30, 2012 (continued):

Forward Currency Contracts	Counterparty	Expiration Date	Foreign Currency Amount		U.S. $ Cost on Origination Date			U.S. $ Current Value		Unrealized Appreciation			Unrealized Depreciation
Forward Currency Purchase Contracts (continued)
ILS	CIT	08/03/12		640,166		$	163,000	$	163,497		$	497		$	—
INR	BRC	11/15/12		11,479,620			222,000		200,625			—			21,375
INR	UBS	07/05/12		15,646,320			279,000		280,106			1,106			—
JPY	HSB	07/02/12		14,546,446			182,480		181,978			—			502
KRW	JPM	07/13/12		438,841,400			383,000		382,886			—			114
KRW	SCB	08/27/12		26,700,700			23,000		23,227			227			—
MXN	JPM	07/03/12		3,303,482			246,786		247,643			857			—
MYR	BRC	07/05/12		712,398			222,000		224,311			2,311			—
MYR	BRC	07/09/12		297,322			94,000		93,592			—			408
MYR	BRC	07/09/12		1,465,921			458,000		461,446			3,446			—
MYR	BRC	08/03/12		284,400			90,000		89,372			—			628
NGN	BRC	10/03/12		19,515,500			115,000		115,645			645			—
PEN	HSB	07/30/12		429,129			161,000		160,640			—			360
PHP	JPM	07/31/12		6,784,800			160,000		160,676			676			—
PLN	BRC	07/03/12		391,736			115,000		117,580			2,580			—
PLN	BRC	07/20/12		468,314			140,000		140,272			272			—
PLN	BRC	07/20/12		799,705			235,000		239,531			4,531			—
PLN	BRC	07/30/12		607,722			174,645		181,804			7,159			—
PLN	CIT	07/11/12		8,209			2,438		2,461			23			—
PLN	CIT	07/20/12		391,736			116,559		117,335			776			—
PLN	CIT	09/25/12		760,581			224,000		226,033			2,033			—
PLN	JPM	07/11/12		486,024			140,000		145,737			5,737			—
PLN	JPM	07/20/12		403,356			120,000		120,815			815			—
PLN	JPM	08/31/12		712,589			202,803		212,362			9,559			—
PLN	SSB	07/20/12		775,237			223,843		232,202			8,359			—
RON	BRC	08/23/12		117,395			33,127		33,184			57			—
RON	ING	08/23/12		260,000			73,604		73,493			—			111
RON	JPM	08/02/12		360,150			102,026		102,035			9			—
RUB	BRC	07/05/12		3,506,120			103,000		108,221			5,221			—
RUB	BRC	07/18/12		3,757,338			115,000		115,706			706			—
RUB	CIT	07/13/12		3,695,100			113,000		113,891			891			—
RUB	JPM	07/05/12		3,550,050			105,000		109,577			4,577			—
RUB	JPM	07/06/12		4,915,080			148,000		151,683			3,683			—
RUB	JPM	07/18/12		4,056,250			125,000		124,911			—			89
RUB	UBS	07/02/12		7,852,100			233,000		242,452			9,452			—
RUB	UBS	08/02/12		3,527,000			105,995		108,323			2,328			—
RUB	UBS	06/25/13		4,853,160			135,601		141,074			5,473			—
RUB	UBS	07/01/13		5,138,483			143,573		149,222			5,649			—
SGD	HSB	07/11/12		420,442			329,000		331,906			2,906			—
SGD	SCB	07/23/12		187,402			148,000		147,938			—			62
THB	SCB	07/27/12		7,387,273			232,104		232,212			108			—
TRY	BRC	09/28/12		141,703			77,000		76,950			—			50

The accompanying notes are an integral part of these financial statements.

72  Semi-Annual Report

Lazard Emerging Markets Multi-Strategy Portfolio (continued)

Forward Currency Contracts open at June 30, 2012 (continued):

Forward Currency Contracts	Counterparty	Expiration Date	Foreign Currency Amount		U.S. $ Cost on Origination Date			U.S. $ Current Value		Unrealized Appreciation			Unrealized Depreciation
Forward Currency Purchase Contracts (concluded)
TRY	BRC	09/28/12		246,675		$	122,895	$	133,954		$	11,059		$	—
TRY	JPM	09/28/12		245,640			130,500		133,392			2,892			—
TRY	JPM	09/28/12		1,006,357			533,000		546,490			13,490			—
ZAR	BNP	07/05/12		1,248,308			150,000		152,653			2,653			—
ZAR	BRC	07/31/12		692,930			88,000		84,407			—			3,593
ZAR	BRC	07/31/12		1,284,243			162,334		156,436			—			5,898
ZAR	CIT	10/29/12		1,166,506			140,882		140,287			—			595
ZAR	CIT	10/29/12		1,510,808			182,741		181,694			—			1,047
ZAR	CIT	11/08/12		112,955			13,643		13,566			—			77
ZAR	CIT	11/08/12		936,777			112,885		112,501			—			384
ZAR	HSB	07/05/12		656,885			79,000		80,329			1,329			—
ZAR	HSB	07/05/12		1,678,197			214,496		205,223			—			9,273
ZAR	JPM	10/29/12		756,469			91,582		90,975			—			607
ZAR	JPM	10/29/12		3,076,225			357,140		369,955			12,815			—
ZAR	SSB	07/06/12		101,931			12,448		12,463			15			—
Total Forward Currency Purchase Contracts						$	15,369,464	$	15,521,579		$	219,405		$	67,290
Forward Currency Sale Contracts
BRL	BRC	07/03/12		151,170		$	73,401	$	75,265		$	—		$	1,864
BRL	BRC	07/03/12		1,232,891			594,164		613,836			—			19,672
BRL	CIT	07/03/12		113,218			55,000		56,369			—			1,369
BRL	HSB	07/03/12		91,097			45,068		45,355			—			287
BRL	JPM	07/03/12		100,000			49,788		49,788			—			—
CLP	BRC	07/09/12		53,392,500			105,415		106,564			—			1,149
CLP	HSB	07/05/12		53,885,000			106,440		107,609			—			1,169
CLP	HSB	07/05/12		55,000,000			109,040		109,835			—			795
CNH	JPM	09/04/12		758,940			120,000		118,896			1,104			—
COP	CIT	07/06/12		56,500,000			30,950		31,682			—			732
COP	JPM	08/10/12		56,500,000			31,155		31,459			—			304
COP	SSB	07/06/12		56,500,000			31,006		31,681			—			675
COP	SSB	08/10/12		56,500,000			31,141		31,459			—			318
CRC	CIT	03/27/13		27,523,000			51,218		51,857			—			639
EUR	BNP	09/27/12		127,000			158,797		160,852			—			2,055
EUR	BRC	07/30/12		138,213			174,645		174,945			—			300
EUR	BRC	07/31/12		62,042			82,158		78,531			3,627			—
EUR	BRC	08/23/12		26,000			33,127		32,918			209			—
EUR	CIT	07/27/12		117,905			155,562		149,237			6,325			—
EUR	CIT	08/03/12		64,798			81,500		82,022			—			522
EUR	HSB	09/04/12		408,334			504,782		517,048			—			12,266
EUR	ING	08/20/12		355,469			447,425		450,037			—			2,612
EUR	ING	08/23/12		57,726			73,604		73,086			518			—
EUR	JPM	08/13/12		128,288			159,842		162,406			—			2,564

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  73

Lazard Emerging Markets Multi-Strategy Portfolio (continued)

Forward Currency Contracts open at June 30, 2012 (concluded):

Forward Currency Contracts	Counterparty	Expiration Date	Foreign Currency Amount		U.S. $ Cost on Origination Date			U.S. $ Current Value		Unrealized Appreciation			Unrealized Depreciation
Forward Currency Sale Contracts (concluded)
EUR	JPM	08/28/12		129,000		$	161,548	$	163,333		$	—		$	1,785
EUR	JPM	08/31/12		192,352			240,000		243,553			—			3,553
EUR	UBS	09/27/12		31,000			38,746		39,263			—			517
EUR	UBS	09/28/12		112,249			140,160		142,171			—			2,011
HUF	BRC	08/08/12		11,605,758			50,322		51,143			—			821
HUF	CIT	07/02/12		16,232,182			67,086		71,881			—			4,795
HUF	CIT	09/14/12		16,232,182			70,078		71,162			—			1,084
HUF	CIT	09/14/12		24,270,986			100,637		106,403			—			5,766
HUF	JPM	08/08/12		21,552,671			89,438		94,976			—			5,538
ILS	BNP	07/05/12		699,468			177,528		178,865			—			1,337
INR	RBC	07/05/12		4,178,780			74,000		74,810			—			810
JPY	HSB	07/02/12		14,546,446			174,543		181,978			—			7,435
JPY	HSB	09/04/12		14,546,446			182,629		182,135			494			—
JPY	SCB	09/25/12		19,797,250			250,000		247,952			2,048			—
MXN	CIT	07/12/12		1,200,000			85,356		89,877			—			4,521
MXN	HSB	07/12/12		1,565,166			112,000		117,228			—			5,228
MXN	JPM	07/03/12		1,232,291			87,798		92,378			—			4,580
MXN	JPM	07/03/12		2,071,192			151,000		155,265			—			4,265
MXN	JPM	09/04/12		3,447,808			256,000		256,902			—			902
PLN	BRC	07/30/12		449,187			124,887		134,378			—			9,491
PLN	CIT	07/03/12		391,736			116,796		117,580			—			784
PLN	JPM	07/11/12		494,233			145,000		148,199			—			3,199
RON	BRC	07/02/12		360,150			100,000		102,443			—			2,443
RON	ING	08/23/12		201,992			56,000		57,096			—			1,096
RON	JPM	08/02/12		360,150			100,309		102,035			—			1,726
RUB	UBS	07/02/12		3,527,000			106,588		108,904			—			2,316
RUB	UBS	07/02/12		4,325,100			130,000		133,547			—			3,547
TRY	BRC	09/28/12		115,289			62,000		62,606			—			606
TRY	CIT	09/28/12		177,318			91,552		96,290			—			4,738
TRY	JPM	09/28/12		150,099			77,319		81,510			—			4,191
TRY	JPM	09/28/12		163,608			84,295		88,845			—			4,550
TRY	JPM	09/28/12		483,330			262,786		262,466			320			—
TRY	JPM	12/19/12		704,283			346,000		376,653			—			30,653
ZAR	BNP	07/05/12		418,080			48,000		51,126			—			3,126
ZAR	CIT	10/29/12		1,054,724			128,382		126,844			1,538			—
ZAR	CIT	10/29/12		1,287,919			153,461		154,889			—			1,428
ZAR	CIT	10/29/12		4,126,683			479,317		496,285			—			16,968
ZAR	CIT	11/08/12		1,049,732			127,199		126,067			1,132			—
ZAR	HSB	07/05/12		2,397,067			296,000		293,133			2,867			—
ZAR	SSB	07/06/12		561,023			68,513		68,596			—			83
Total Forward Currency Sale Contracts						$	8,918,501	$	9,093,504			20,182			195,185
Gross unrealized appreciation/depreciation on Forward Currency Purchase and Sale Contracts											$	239,587		$	262,475

The accompanying notes are an integral part of these financial statements.

74  Semi-Annual Report

Lazard Emerging Markets Multi-Strategy Portfolio (concluded)

Written Option open at June 30, 2012:

Description	Number of Contracts	Strike Price	Expiration Date	Premium		Value
USD vs RUB 32.00 Put	5,000	32.00	08/31/12		$3,625		$3,625

Credit Default Swap Agreements open at June 30, 2012:

Referenced Obligation	Counterparty	Notional Amount	Expiration Date	Receive (Pay) Rate	Value		Upfront Premiums Paid (Received)				Unrealized Appreciation (Depreciation)
Federative Republic of Brazil	JPM	1,000,000	12/20/16	(1.00%)	17,253			$	27,128			$	(9,875	)
People’s Republic of China	JPM	1,000,000	12/20/16	1.00%	(1,225	)			(22,555	)			21,330
Republic of Poland	BRC	1,100,000	09/20/17	(1.00%)	62,739				68,581				(5,842	)
								$	73,154			$	5,613

Interest Rate Swap Agreements open at June 30, 2012:

Currency	Counterparty	Notional Amount	Expiration Date	Receive (Pay) Rate		Variable Rate	Unrealized Depreciation
HUF	JPM	90,000,000	11/03/21	(7.36	%)	6 Month Budapest Interbank Offered Rate		$	(29,936	)
KRW	JPM	500,000,000	03/09/22	(3.68	%)	3 Month South Korean Won LIBOR			(9,652	)
KRW	JPM	180,000,000	03/14/22	(3.69	%)	3 Month South Korean Won LIBOR			(3,540	)
MXN	BRC	5,100,000	03/08/17	(5.64	%)	Mexico Interbank TIIE 28 Day			(7,522	)
MXN	BRC	2,000,000	03/29/17	(5.61	%)	Mexico Interbank TIIE 28 Day			(2,735	)
								$	(53,385	)

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  75

Description	Security Currency		Principal Amount (000)		Value
Lazard Emerging Markets Debt Portfolio
Corporate Bonds | 8.7%
Brazil | 2.7%
Arcos Dorados Holdings, Inc.:
10.250%, 07/13/16 (d)		BRL		250	$	130,695
10.250%, 07/13/16		BRL		1,250		653,473
Cia Energetica de Sao Paulo,
9.750%, 01/15/15		BRL		539		401,824
Odebrecht Finance, Ltd.,
7.125%, 06/26/42 (d)		USD		750		746,250
Oi SA,
5.750%, 02/10/22 (d)		USD		775		789,725
Petrobras International Finance Co.,
5.375%, 01/27/21 (e)		USD		2,405		2,592,039
						5,314,006
China | 0.3%
Yancoal International Resources
Development Co., Ltd.,
5.730%, 05/16/22 (d)		USD		575		573,654
Colombia | 1.2%
Pacific Rubiales Energy Corp.,
7.250%, 12/12/21 (d)		USD		1,206		1,308,510
Transportadora de Gas del
Internacional SA,
5.700%, 03/20/22 (d)		USD		1,050		1,089,375
						2,397,885
Indonesia | 1.5%
Export-Import Bank of Korea,
6.600%, 11/04/13		IDR		6,700,000		698,721
Listrindo Capital BV,
6.950%, 02/21/19 (d)		USD		300		306,948
PT Pertamina (Persero) Tbk:
5.250%, 05/23/21		USD		900		936,000
6.500%, 05/27/41		USD		1,050		1,102,500
						3,044,169
Kazakhstan | 0.2%
Halyk Savings Bank of
Kazakhstan JSC,
7.250%, 05/03/17		USD		450		447,750

Description	Security Currency		Principal Amount (000)		Value
Mexico | 0.4%
TV Azteca SAB de CV,
7.500%, 05/25/18		USD		750	$	757,500
Peru | 0.5%
Volcan Cia Minera SAA,
5.375%, 02/02/22 (d)		USD		900		933,394
Russia | 1.3%
Alfa-Bank,
7.875%, 09/25/17		USD		450		452,925
Evraz Group SA,
6.750%, 04/27/18		USD		425		404,303
MTS International Funding, Ltd.,
8.625%, 06/22/20		USD		1,050		1,201,924
Russian Standard Bank,
7.730%, 12/16/15		USD		625		587,500
						2,646,652
Sri Lanka | 0.1%
Bank of Ceylon,
6.875%, 05/03/17 (d)		USD		225		224,787
United Arab Emirates | 0.5%
DP World, Ltd.,
6.850%, 07/02/37		USD		950		933,375
Total Corporate Bonds
(Identified cost $17,203,044)						17,273,172
Foreign Government Obligations | 76.6%
Argentina | 1.3%
Republic of Argentina:
8.750%, 06/02/17		USD		205		176,300
8.280%, 12/31/33 (e)		USD		2,934		1,922,020
2.500%, 12/31/38 (g)		USD		1,310		422,475
						2,520,795
Belarus | 0.5%
Republic of Belarus:
8.750%, 08/03/15		USD		725		708,688
8.950%, 01/26/18		USD		325		300,625
						1,009,313

The accompanying notes are an integral part of these financial statements.

76  Semi-Annual Report

Description	Security Currency		Principal Amount (000)		Value
Lazard Emerging Markets Debt Portfolio (continued)
Colombia | 0.3%
Republic of Colombia:
12.000%, 10/22/15		COP		550,000	$	382,105
7.750%, 04/14/21		COP		85,000		59,277
9.850%, 06/28/27		COP		160,000		135,504
						576,886
Croatia | 1.0%
Croatia:
6.250%, 04/27/17 (d)		USD		1,675		1,670,489
6.750%, 11/05/19		USD		250		250,930
						1,921,419
Dominican Republic | 1.2%
Dominican Republic:
11.700%, 06/06/14		DOP		24,500		617,520
9.040%, 01/23/18		USD		492		548,401
7.500%, 05/06/21		USD		1,050		1,118,250
						2,284,171
El Salvador | 0.7%
Republic of El Salvador:
7.375%, 12/01/19		USD		600		662,100
7.650%, 06/15/35		USD		675		711,450
						1,373,550
Georgia | 0.1%
Republic of Georgia,
6.875%, 04/12/21		USD		225		243,281
Ghana | 0.2%
Ghana Government Bond,
26.000%, 06/05/17		GHS		875		475,519
Guatemala | 0.6%
Republic of Guatemala,
5.750%, 06/06/22 (d)		USD		1,210		1,256,888

Description	Security Currency		Principal Amount (000)		Value
Hungary | 4.9%
Hungary Government Bonds:
6.000%, 10/24/12		HUF		37,500	$	165,195
5.500%, 02/12/14		HUF		295,000		1,269,407
6.750%, 08/22/14		HUF		24,000		105,242
7.750%, 08/24/15		HUF		203,000		902,767
6.750%, 02/24/17		HUF		557,000		2,372,591
6.500%, 06/24/19		HUF		134,000		554,229
7.000%, 06/24/22		HUF		60,000		251,590
6.750%, 10/22/28		HUF		205,000		800,592
Republic of Hungary:
4.750%, 02/03/15		USD		725		696,000
6.250%, 01/29/20		USD		1,200		1,169,388
6.375%, 03/29/21		USD		500		487,000
7.625%, 03/29/41		USD		914		893,435
						9,667,436
Indonesia | 4.0%
Indonesia Government:
7.000%, 05/15/22		IDR		7,340,000		831,296
8.375%, 09/15/26		IDR		6,405,000		788,147
7.000%, 05/15/27		IDR		10,000,000		1,111,707
8.250%, 06/15/32		IDR		11,500,000		1,401,618
Republic of Indonesia:
6.875%, 01/17/18 (e)		USD		1,425		1,685,062
4.875%, 05/05/21		USD		975		1,062,750
6.625%, 02/17/37		USD		350		431,375
5.250%, 01/17/42		USD		575		601,594
						7,913,549
Iraq | 2.2%
Republic of Iraq,
5.800%, 01/15/28		USD		5,375		4,380,625
Ivory Coast | 3.2%
Ivory Coast,
3.750%, 12/31/32 (g)		USD		8,475		6,271,500
Lithuania | 1.7%
Republic of Lithuania:
5.125%, 09/14/17		USD		450		474,750
6.125%, 03/09/21		USD		200		220,000
6.625%, 02/01/22 (d), (e)		USD		2,325		2,662,125
						3,356,875

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  77

Description	Security Currency		Principal Amount (000)		Value
Lazard Emerging Markets Debt Portfolio (continued)
Malaysia | 5.6%
Bank Negara Monetary Notes:
0.000%, 07/26/12		MYR		4,275	$	1,343,757
0.000%, 08/16/12		MYR		2,060		646,386
0.000%, 09/13/12		MYR		2,900		907,614
0.000%, 09/20/12		MYR		800		250,322
0.000%, 10/09/12		MYR		1,550		484,220
Malaysia Government:
3.702%, 02/25/13		MYR		300		94,905
3.434%, 08/15/14		MYR		760		241,418
3.835%, 08/12/15		MYR		6,500		2,092,980
4.262%, 09/15/16		MYR		8,000		2,629,406
3.580%, 09/28/18		MYR		6,700		2,136,655
4.378%, 11/29/19		MYR		600		200,527
						11,028,190
Mexico | 6.3%
Mexican Bonos:
9.000%, 12/20/12		MXN		31,387		2,400,931
8.500%, 12/13/18		MXN		6,000		534,255
8.500%, 05/31/29		MXN		5,800		530,815
7.750%, 05/29/31		MXN		20,400		1,733,917
10.000%, 11/20/36		MXN		7,620		793,424
8.500%, 11/18/38		MXN		14,000		1,269,733
Mexican Cetes:
0.000%, 08/23/12		MXN		56,500		420,719
0.000%, 09/20/12		MXN		205,000		1,521,368
0.000%, 10/18/12		MXN		160,000		1,183,259
Mexican Udibonos,
2.500%, 12/10/20		MXN		26,076		2,105,926
						12,494,347
Namibia | 0.6%
Namibia International Bonds:
5.500%, 11/03/21 (d)		USD		600		624,000
5.500%, 11/03/21		USD		450		468,000
						1,092,000
Nigeria | 1.9%
Nigeria Treasury Bills:
0.000%, 08/23/12		NGN		48,000		288,355
0.000%, 10/11/12		NGN		130,000		766,996
0.000%, 11/08/12		NGN		79,000		459,541
0.000%, 02/07/13		NGN		124,000		695,444
0.000%, 03/07/13		NGN		37,000		204,085
0.000%, 05/09/13		NGN		37,000		199,846

Description	Security Currency		Principal Amount (000)		Value
Republic of Nigeria,
6.750%, 01/28/21		USD		1,000	$	1,077,500
						3,691,767
Pakistan | 0.2%
Islamic Republic of Pakistan,
6.875%, 06/01/17		USD		450		351,000
Peru | 2.8%
Republic of Peru:
7.125%, 03/30/19		USD		890		1,143,650
7.840%, 08/12/20		PEN		3,045		1,354,514
8.200%, 08/12/26		PEN		270		129,302
6.950%, 08/12/31 (d)		PEN		1,077		468,296
6.550%, 03/14/37		USD		1,825		2,483,825
						5,579,587
Philippines | 3.4%
Republic of Philippines:
4.000%, 01/15/21		USD		125		134,531
7.500%, 09/25/24		USD		1,650		2,190,375
7.750%, 01/14/31		USD		325		462,313
6.375%, 01/15/32		USD		1,625		2,051,562
6.250%, 01/14/36		PHP		30,000		759,167
5.000%, 01/13/37		USD		975		1,062,750
						6,660,698
Poland | 3.7%
Poland Government Bonds:
0.000%, 10/25/12		PLN		1,950		576,926
0.000%, 01/25/14		PLN		7,250		2,027,689
5.500%, 04/25/15		PLN		400		122,858
5.250%, 10/25/17		PLN		4,125		1,264,992
5.500%, 10/25/19		PLN		10,727		3,329,197
						7,321,662
Romania | 0.9%
Romania Bonds:
6.750%, 02/07/22 (d)		USD		1,500		1,563,750
6.750%, 02/07/22		USD		200		208,500
						1,772,250
Russia | 4.8%
Russia Federation:
3.250%, 04/04/17 (d)		USD		1,800		1,802,250
5.625%, 04/04/42 (d), (e)		USD		800		855,840
Russia Foreign Bonds:
7.850%, 03/10/18 (d)		RUB		5,000		162,338
7.850%, 03/10/18		RUB		100,000		3,246,748
5.000%, 04/29/20		USD		500		543,750
7.500%, 03/31/30 (e)		USD		2,363		2,836,604
						9,447,530

The accompanying notes are an integral part of these financial statements.

78  Semi-Annual Report

Description	Security Currency		Principal Amount (000)		Value
Lazard Emerging Markets Debt Portfolio (continued)
Senegal | 0.6%
Republic of Senegal,
8.750%, 05/13/21		USD		1,150	$	1,265,000
Serbia | 0.3%
Republic of Serbia,
6.750%, 11/01/24		USD		596		572,000
South Africa | 6.1%
Republic of South Africa:
13.500%, 09/15/15		ZAR		11,450		1,699,653
8.250%, 09/15/17		ZAR		26,440		3,467,138
8.000%, 12/21/18		ZAR		6,500		840,990
7.250%, 01/15/20		ZAR		14,400		1,770,110
4.665%, 01/17/24		USD		1,425		1,542,562
10.500%, 12/21/26		ZAR		10,185		1,512,622
7.000%, 02/28/31		ZAR		11,400		1,216,983
						12,050,058
Sri Lanka | 0.9%
Republic of Sri Lanka:
7.400%, 01/22/15		USD		150		160,500
6.250%, 10/04/20		USD		1,200		1,230,000
6.250%, 07/27/21		USD		300		301,754
						1,692,254
Thailand | 3.8%
Bank of Thailand:
0.000%, 08/03/12		THB		65,500		2,057,471
2.480%, 08/19/12		THB		137		4,310
2.350%, 10/21/12		THB		11,700		367,554
0.000%, 10/25/12		THB		27,500		857,314
Thailand Government:
4.250%, 03/13/13		THB		4,000		126,902
3.625%, 05/22/15		THB		26,400		838,914
3.125%, 12/11/15		THB		40,000		1,251,260
1.200%, 07/14/21		THB		60,152		1,895,301
						7,399,026
Turkey | 9.0%
Republic of Turkey:
7.000%, 09/26/16		USD		1,225		1,385,475
7.500%, 07/14/17		USD		700		816,375
5.625%, 03/30/21		USD		275		300,094
5.125%, 03/25/22		USD		2,175		2,264,719
6.875%, 03/17/36		USD		1,475		1,731,650
6.000%, 01/14/41		USD		825		868,312

Description	Security Currency		Principal Amount (000)		Value
Turkey Government Bonds:
0.000%, 02/20/13		TRY		3,645	$	1,906,384
0.000%, 05/15/13		TRY		3,200		1,639,352
0.000%, 07/17/13		TRY		2,480		1,252,973
4.500%, 02/11/15		TRY		2,567		1,471,779
4.000%, 04/29/15		TRY		937		531,739
9.000%, 01/27/16		TRY		3,485		1,955,916
4.000%, 04/01/20		TRY		354		205,294
3.000%, 07/21/21		TRY		2,584		1,396,332
						17,726,394
Ukraine | 1.3%
Ukraine Government:
6.875%, 09/23/15		USD		700		647,500
6.580%, 11/21/16		USD		1,175		1,051,625
7.750%, 09/23/20		USD		525		475,650
7.950%, 02/23/21		USD		350		319,200
						2,493,975
Uruguay | 0.3%
Uruguay Monetary Regulation Bill,
0.000%, 11/05/12		UYU		12,800		573,609
Venezuela | 1.9%
Republic of Venezuela:
7.000%, 12/01/18		USD		225		172,688
6.000%, 12/09/20		USD		350		235,375
12.750%, 08/23/22		USD		230		220,800
9.000%, 05/07/23		USD		1,055		812,350
8.250%, 10/13/24		USD		760		549,100
7.650%, 04/21/25		USD		925		638,250
9.250%, 05/07/28		USD		850		646,000
7.000%, 03/31/38		USD		730		478,150
						3,752,713
Vietnam | 0.3%
Republic of Vietnam,
6.750%, 01/29/20		USD		550		587,125
Total Foreign Government Obligations
(Identified cost $147,616,604)						150,802,992
Quasi Government Bonds | 6.8%
Azerbaijan | 0.3%
State Oil Co. of the Azerbaijan
Republic,
5.450%, 02/09/17		USD		600		615,750

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  79

Description	Security Currency		Principal Amount (000)		Value
Lazard Emerging Markets Debt Portfolio (continued)
Colombia | 0.8%
Emgesa SA:
8.750%, 01/25/21 (d)		COP		150,000	$	93,030
8.750%, 01/25/21		COP		1,000,000		620,199
Empresas Publicas de Medellin ESP:
8.375%, 02/01/21 (d)		COP		150,000		91,044
8.375%, 02/01/21		COP		1,260,000		764,774
						1,569,047
Kazakhstan | 1.9%
Development Bank of
Kazakhstan JSC,
5.500%, 12/20/15 (e)		USD		3,600		3,748,500
Malaysia | 0.3%
Petronas Capital Ltd., Co.,
5.250%, 08/12/19		USD		425		488,388
Mexico | 1.0%
Petroleos Mexicanos:
5.500%, 01/21/21		USD		550		621,500
4.875%, 01/24/22 (d)		USD		1,225		1,323,000
						1,944,500
Mongolia | 0.1%
Development Bank of Mongolia LLC,
5.750%, 03/21/17		USD		200		198,397
Russia | 0.9%
Russian Agricultural Bank OJSC:
7.500%, 03/25/13		RUB		44,500		1,377,475
8.700%, 03/17/16		RUB		15,000		464,850
						1,842,325
South Africa | 0.2%
Transnet, Ltd.,
10.500%, 09/17/20		ZAR		3,000		413,094
Turkey | 0.2%
Export Credit Bank of Turkey,
5.875%, 04/24/19		USD		425		437,219
Venezuela | 1.1%
Petroleos de Venezuela SA:
5.250%, 04/12/17		USD		2,290		1,625,900
8.500%, 11/02/17		USD		650		528,125
						2,154,025
Total Quasi Government Bonds
(Identified cost $13,282,525)						13,411,245

Description	Security Currency		Principal Amount (000)		Value
Supranationals | 0.7%
Brazil | 0.3%
Inter-American Development Bank,
0.000%, 08/20/15		IDR		7,000,000	$	610,862
Indonesia | 0.4%
European Bank for Reconstruction
& Development:
6.750%, 02/19/13		IDR		5,100,000		542,552
7.200%, 06/08/16		IDR		1,500,000		163,591
						706,143
Total Supranationals
(Identified cost $1,429,347)						1,317,005

Description	Shares		Value
Short-Term Investment | 5.1%
State Street Institutional Treasury
Money Market Fund
(Identified cost $10,100,871)		10,100,871	$	10,100,871
Total Investments | 97.9%
(Identified cost $189,632,391) (b)				192,905,285

Description	Number of Contracts		Value
Purchased Option | 0.0%
USD vs MXN August 12 13.00 Put,
Expires 08/08/12
(Identified cost $18,693)		18,000	$	11,340
Total Investments and Purchased
Option | 97.9%
(Identified cost $189,651,084)			$	192,916,625
Cash and Other Assets in Excess
of Liabilities | 2.1%				4,068,251
Net Assets | 100.0%			$	196,984,876

The accompanying notes are an integral part of these financial statements.

80  Semi-Annual Report

Lazard Emerging Markets Debt Portfolio (continued)

Forward Currency Contracts open at June 30, 2012:

Forward Currency Contracts	Counterparty	Expiration Date	Foreign Currency Amount		U.S. $ Cost on Origination Date			U.S. $ Current Value			Unrealized Appreciation			Unrealized Depreciation
Forward Currency Purchase Contracts
BRL	BRC	07/03/12		1,297,421		$	641,874		$	645,965		$	4,091		$	—
BRL	BRC	07/03/12		3,892,262			1,898,294			1,937,895			39,601			—
BRL	BRC	08/02/12		2,094,570			1,020,000			1,036,163			16,163			—
BRL	BRC	08/02/12		2,594,842			1,242,056			1,283,642			41,586			—
BRL	BRC	08/02/12		2,594,842			1,239,771			1,283,642			43,871			—
BRL	BRC	08/02/12		3,142,625			1,550,000			1,554,625			4,625			—
BRL	CIT	07/03/12		3,892,262			1,937,220			1,937,895			675			—
BRL	HSB	07/03/12		1,297,421			641,874			645,965			4,091			—
BRL	HSB	07/03/12		3,892,262			1,899,684			1,937,895			38,211			—
BRL	HSB	08/02/12		2,594,842			1,241,759			1,283,642			41,883			—
BRL	HSB	08/02/12		2,594,842			1,239,505			1,283,642			44,137			—
BRL	JPM	07/03/12		1,297,421			641,874			645,965			4,091			—
BRL	JPM	07/03/12		3,892,262			1,898,294			1,937,895			39,601			—
BRL	JPM	08/02/12		2,594,842			1,241,759			1,283,642			41,883			—
BRL	JPM	08/02/12		2,594,842			1,239,268			1,283,642			44,374			—
CLP	BRC	07/09/12		457,650,000			900,000			913,405			13,405			—
CLP	JPM	07/03/12		442,425,000			850,000			883,525			33,525			—
CLP	JPM	07/05/12		596,275,000			1,150,000			1,190,764			40,764			—
COP	BRC	07/23/12		1,838,000,000			1,032,149			1,026,973			—			5,176
COP	JPM	07/23/12		550,500,000			309,270			307,590			—			1,680
COP	JPM	07/23/12		1,255,870,000			700,000			701,711			1,711			—
CRC	CIT	03/27/13		264,220,800			480,000			497,823			17,823			—
DOP	CIT	08/02/12		15,869,100			390,000			402,172			12,172			—
DOP	CIT	08/02/12		21,597,500			530,000			547,348			17,348			—
IDR	JPM	07/26/12		5,652,200,000			590,000			600,001			10,001			—
MYR	BRC	07/05/12		2,112,000			660,000			665,002			5,002			—
MYR	JPM	07/05/12		636,600			200,000			200,445			445			—
PLN	SSB	07/20/12		1,716,250			495,553			514,059			18,506			—
PLN	SSB	07/20/12		2,239,334			646,487			670,735			24,248			—
RUB	BRC	07/16/12		1,756,500			52,609			54,111			1,502			—
RUB	BRC	08/01/12		52,009,600			1,600,000			1,597,633			—			2,367
RUB	JPM	07/30/12		39,930,000			1,200,000			1,227,007			27,007			—
Total Forward Currency Purchase Contracts						$	31,359,300		$	31,982,419		$	632,342		$	9,223

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  81

Lazard Emerging Markets Debt Portfolio (concluded)

Forward Currency Contracts open at June 30, 2012 (concluded):

Forward Currency Contracts	Counterparty	Expiration Date	Foreign Currency Amount		U.S. $ Cost on Origination Date			U.S. $ Current Value			Unrealized Appreciation			Unrealized Depreciation
Forward Currency Sale Contracts
BRL	BRC	07/03/12		2,594,842		$	1,249,322		$	1,291,930		$	—		$	42,608
BRL	BRC	07/03/12		2,594,842			1,247,520			1,291,930			—			44,410
BRL	CIT	07/03/12		3,892,262			1,925,623			1,937,895			—			12,272
BRL	HSB	07/03/12		2,594,842			1,249,021			1,291,930			—			42,909
BRL	HSB	07/03/12		2,594,842			1,247,220			1,291,930			—			44,710
BRL	JPM	07/03/12		2,594,842			1,249,021			1,291,930			—			42,909
BRL	JPM	07/03/12		2,594,842			1,246,920			1,291,930			—			45,010
CLP	BRC	07/09/12		457,650,000			903,554			913,405			—			9,851
CLP	JPM	07/03/12		442,425,000			878,699			883,525			—			4,826
CLP	JPM	07/05/12		596,275,000			1,177,827			1,190,764			—			12,937
COP	HSB	08/06/12		1,504,440,000			840,000			838,140			1,860			—
COP	JPM	07/23/12		1,710,233,100			955,000			955,584			—			584
CRC	CIT	03/27/13		264,220,800			491,693			497,823			—			6,130
HUF	BRC	07/20/12		399,431,670			1,662,705			1,764,735			—			102,030
HUF	JPM	07/20/12		34,515,000			150,349			152,491			—			2,142
ZAR	BRC	07/09/12		14,659,809			1,726,633			1,791,642			—			65,009
Total Forward Currency Sale Contracts						$	18,201,107		$	18,677,584			1,860			478,337
Gross unrealized appreciation/depreciation on Forward Currency Purchase and Sale Contracts												$	634,202		$	487,560

The accompanying notes are an integral part of these financial statements.

82  Semi-Annual Report

Description	Shares	Value
Lazard U.S. Realty Income Portfolio
Closed-End Management Investment
Company | 0.4%
Ares Capital Corp.
(Identified cost $217,884)	14,800	$	236,208
Common Stock | 4.1%
Real Estate | 4.1%
Colony Financial, Inc.
(Identified cost $2,073,745)	134,500		2,326,850
Preferred Stocks | 35.5%
Real Estate | 35.5%
Ashford Hospitality Trust, Inc.,
Series A, 8.550%	35,163		878,723
Ashford Hospitality Trust, Inc.,
Series D, 8.450%	61,782		1,542,697
CapLease, Inc.,
Series A, 8.125%	34,755		868,180
Cedar Realty Trust, Inc.,
Series A, 8.875%	46,664		1,187,599
Cousins Properties, Inc.,
Series A, 7.750%	7,989		202,521
DDR Corp.,
Series H, 7.375%	9,090		227,886
DDR Corp.,
Series I, 7.500%	8,920		224,160
DuPont Fabros Technology, Inc.,
Series B, 7.625%	13,060		339,299
First Industrial Realty Trust, Inc.,
Series K, 7.250%	58,630		1,420,605
First Potomac Realty Trust,
Series A, 7.750%	8,710		220,276
Glimcher Realty Trust,
Series G, 8.125%	83,355		2,103,880
Hersha Hospitality Trust,
Series A, 8.000%	37,471		942,770
Hersha Hospitality Trust,
Series B, 8.000%	43,018		1,094,808
Kite Realty Group Trust,
Series A, 8.250%	40,530		1,033,515
NorthStar Realty Finance Corp.,
Series A, 8.750%	72,886		1,759,468

Description	Shares		Value
Parkway Properties, Inc.,
Series D, 8.000%	32,606	$	817,433
Pennsylvania Real Estate Investment Trust,
Series A, 8.250%	60,000		1,545,000
Prologis, Inc.,
Series S, 6.750%	9,250		235,690
Ramco-Gershenson Properties Trust,
Series D, 7.250%	8,500		425,000
STAG Industrial, Inc.,
Series A, 9.000%	3,800		98,306
Sunstone Hotel Investors, Inc.,
Series A, 8.000%	91,406		2,276,009
Winthrop Realty Trust,
Series D, 9.250%	20,000		516,600
Total Preferred Stocks
(Identified cost $19,118,517)			19,960,425
Real Estate Investment Trusts | 54.5%
Agree Realty Corp.	65,211		1,443,120
Apollo Commercial Real Estate
Finance, Inc.	151,730		2,438,301
Associated Estates Realty Corp.	112,912		1,688,034
Cedar Realty Trust, Inc.	273,817		1,382,776
CommonWealth REIT	137,552		2,629,994
Corporate Office Properties Trust	14,300		336,193
Dynex Capital, Inc.	174,906		1,815,524
Entertainment Properties Trust	48,960		2,012,746
First Potomac Realty Trust	67,110		789,885
Kite Realty Group Trust	45,200		225,548
Medical Properties Trust, Inc.	285,141		2,743,056
Mission West Properties, Inc.	64,500		555,990
Ramco-Gershenson Properties Trust	87,000		1,093,590
Sabra Health Care REIT, Inc.	171,691		2,937,633
Select Income REIT	24,500		582,120
STAG Industrial, Inc.	131,980		1,924,268
Starwood Property Trust, Inc.	119,436		2,545,181
Sun Communities, Inc.	22,657		1,002,345
Washington Real Estate Investment Trust	30,162		858,109
Whitestone REIT	112,996		1,560,475
Total Real Estate Investment Trusts
(Identified cost $28,426,246)			30,564,888

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  83

	Principal
	Amount
Description	(000)		Value
Lazard U.S. Realty Income Portfolio (concluded)
Corporate Bond | 1.4%
Real Estate | 1.4%
Shimao Property Holdings, Ltd.,
11.000%, 03/08/18
(Identified cost $636,630)	$	800	$	782,402

Description	Shares	Value
Short-Term Investment | 2.2%
State Street Institutional Treasury
Money Market Fund
(Identified cost $1,240,114)	1,240,114	$	1,240,114
Total Investments | 98.1%
(Identified cost $51,713,136) (b)		$	55,110,887
Cash and Other Assets in Excess
of Liabilities | 1.9%			1,050,050
Net Assets | 100.0%		$	56,160,937

The accompanying notes are an integral part of these financial statements.

84  Semi-Annual Report

Description	Shares	Value
Lazard U.S. Realty Equity Portfolio
Common Stocks | 10.6%
Leisure & Entertainment | 4.9%
Marriott International, Inc., Class A	12,814	$	502,309
Starwood Hotels & Resorts
Worldwide, Inc.	25,913		1,374,425
			1,876,734
Real Estate | 5.7%
CBRE Group, Inc., Class A (a)	33,914		554,833
Colony Financial, Inc.	60,936		1,054,193
Jones Lang LaSalle, Inc.	8,330		586,182
			2,195,208
Total Common Stocks
(Identified cost $4,051,348)			4,071,942
Real Estate Investment Trusts | 84.5%
American Assets Trust, Inc.	28,554		692,435
American Tower Corp.	39,994		2,795,981
Apartment Investment & Management Co.,
Class A	34,811		940,941
Associated Estates Realty Corp.	88,530		1,323,524
AvalonBay Communities, Inc.	6,603		934,192
Boston Properties, Inc.	13,271		1,438,178
Cedar Realty Trust, Inc.	207,563		1,048,193
CubeSmart	43,107		503,059
DDR Corp.	52,134		763,242
Digital Realty Trust, Inc.	13,122		974,238
Douglas Emmett, Inc.	16,529		381,820
Equity Lifestyle Properties, Inc.	4,861		334,215
Equity Residential	16,895		1,053,572
Essex Property Trust, Inc.	5,685		875,035
First Potomac Realty Trust	45,761		538,607

Description	Shares		Value
General Growth Properties, Inc.	89,770	$	1,623,939
Glimcher Realty Trust	67,885		693,785
Kilroy Realty Corp.	8,801		426,056
Kite Realty Group Trust	47,450		236,776
Medical Properties Trust, Inc.	120,718		1,161,307
MPG Office Trust, Inc. (a)	246,613		495,692
Pebblebrook Hotel Trust	50,143		1,168,833
Prologis, Inc.	36,044		1,197,742
PS Business Parks, Inc.	7,309		494,965
Public Storage	12,326		1,779,998
Retail Opportunity Investments Corp.	94,298		1,137,234
Simon Property Group, Inc.	24,396		3,797,481
SL Green Realty Corp.	16,168		1,297,320
Sunstone Hotel Investors, Inc. (a)	31,701		348,394
Tanger Factory Outlet Centers, Inc.	10,411		333,673
Ventas, Inc.	26,755		1,688,776
Total Real Estate Investment Trusts
(Identified cost $31,283,104)			32,479,203
Short-Term Investment | 6.1%
State Street Institutional Treasury
Money Market Fund
(Identified cost $2,363,092)	2,363,092		2,363,092
Total Investments | 101.2%
(Identified cost $37,697,544) (b)		$	38,914,237
Liabilities in Excess of Cash and
Other Assets | (1.2)%			(451,572	)
Net Assets | 100.0%		$	38,462,665

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  85

Description	Shares	Value
Lazard International Realty Equity Portfolio
Common Stocks | 65.8%
Australia | 3.8%
Goodman Group	40,087	$	151,947
Brazil | 9.4%
Aliansce Shopping Centers SA	13,500		116,281
BR Properties SA	6,900		81,419
Gafisa SA	20,400		26,712
Multiplan Empreendimentos Imobiliarios SA	3,300		80,771
PDG Realty SA Empreendimentos
e Participacoes	25,500		44,563
Rossi Residencial SA	9,300		22,828
			372,574
China | 9.9%
China Overseas Land & Investment, Ltd.	56,000		131,369
Longfor Properties Co., Ltd.	35,500		55,673
Shimao Property Holdings, Ltd.	82,500		127,973
Shui On Land, Ltd.	67,500		27,574
Soho China, Ltd.	65,000		49,947
			392,536
Hong Kong | 14.4%
Cheung Kong Holdings, Ltd.	6,000		74,144
Great Eagle Holdings, Ltd.	23,373		60,312
Sun Hung Kai Properties, Ltd.	19,000		225,336
The Wharf Holdings, Ltd.	38,000		211,512
			571,304
Japan | 16.4%
Daito Trust Construction Co., Ltd.	400		37,944
Mitsubishi Estate Co., Ltd.	13,000		233,209
Mitsui Fudosan Co., Ltd.	12,000		232,785
Sumitomo Realty & Development Co., Ltd.	6,000		147,629
			651,567
Luxembourg | 2.7%
GAGFAH SA (a)	11,533		110,038
Norway | 2.3%
Norwegian Property ASA	66,100		90,801
Singapore | 2.2%
CapitaLand, Ltd.	40,000		86,349

Description	Shares	Value
United States | 4.7%
Brookfield Office Properties, Inc.	6,200	$	108,520
Starwood Hotels & Resorts Worldwide, Inc.	1,480		78,499
			187,019
Total Common Stocks
(Identified cost $2,484,256)			2,614,135
Real Estate Investment Trusts | 31.4%
Australia | 11.0%
CFS Retail Property Trust	53,470		106,341
Investa Office Fund	26,503		74,002
Westfield Group REIT	26,160		254,869
			435,212
Brazil | 0.7%
Cyrela Commercial Properties SA
Empreendimentos e Participacoes	2,400		28,678
Canada | 0.9%
Boardwalk Real Estate Investment Trust	600		34,541
France | 7.0%
Fonciere des Regions	1,351		97,334
Unibail-Rodamco SE	978		180,437
			277,771
Italy | 2.6%
Beni Stabili SpA	239,182		103,642
Japan | 2.6%
Japan Logistics Fund, Inc.	5		44,328
Japan Retail Fund Investment Corp.	20		31,713
Nippon Building Fund, Inc.	3		29,049
			105,090
Singapore | 2.3%
Frasers Centrepoint Trust	68,000		89,766
United Kingdom | 4.3%
British Land Co. PLC	6,724		53,864
Derwent London PLC	2,621		76,153
Hammerson PLC	5,837		40,688
			170,705
Total Real Estate Investment Trusts
(Identified cost $1,190,681)			1,245,405

The accompanying notes are an integral part of these financial statements.

86  Semi-Annual Report

Description	Shares	Value
Lazard International Realty Equity Portfolio (concluded)
Short-Term Investment | 3.7%
State Street Institutional Treasury
Money Market Fund
(Identified cost $148,143)	148,143	$	148,143

Description	Value
Total Investments | 100.9%
(Identified cost $3,823,080) (b)	$	4,007,683
Liabilities in Excess of Cash and
Other Assets | (0.9)%		(37,656	)
Net Assets | 100.0%	$	3,970,027

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  87

	Principal
	Amount
Description	(000)		Value
Lazard U.S. High Yield Portfolio
Corporate Bonds | 94.2%
Aerospace & Defense | 1.2%
BE Aerospace, Inc.,
8.500%, 07/01/18	$	525	$	574,219
Huntington Ingalls Industries, Inc.,
6.875%, 03/15/18		1,500		1,563,750
				2,137,969
Apparel & Textiles | 1.6%
Jones Group,
6.875%, 03/15/19		1,500		1,440,000
Levi Strauss & Co.,
7.625%, 05/15/20		1,300		1,381,250
				2,821,250
Automotive | 5.4%
ArvinMeritor, Inc.,
8.125%, 09/15/15		215		226,556
Chrysler Group LLC,
8.250%, 06/15/21		1,400		1,438,500
Dana Holding Corp.,
6.500%, 02/15/19		1,500		1,593,750
Navistar International Corp.,
8.250%, 11/01/21		1,693		1,623,164
Schaeffler Finance BV:
7.750%, 02/15/17 (d)		250		260,625
8.500%, 02/15/19 (d)		250		266,875
The Goodyear Tire & Rubber Co.,
8.250%, 08/15/20		1,775		1,879,281
Tomkins LLC,
9.000%, 10/01/18		1,305		1,451,813
TRW Automotive, Inc.,
8.875%, 12/01/17 (d)		1,000		1,102,500
				9,843,064
Building Materials | 5.1%
Griffon Corp.,
7.125%, 04/01/18		1,705		1,730,575
HD Supply, Inc.,
8.125%, 04/15/19 (d)		1,400		1,512,000
Legrand France SA,
8.500%, 02/15/25		925		1,173,949
Masco Corp.,
6.125%, 10/03/16		1,500		1,600,800

	Principal
	Amount
Description	(000)		Value
Owens Corning, Inc.,
9.000%, 06/15/19	$	725	$	903,965
USG Corp.,
9.750%, 01/15/18		675		708,750
Vulcan Materials Co.,
6.500%, 12/01/16		1,600		1,684,000
				9,314,039
Cable Television | 5.9%
Cablevision Systems Corp.,
7.750%, 04/15/18		1,500		1,597,500
CCO Holdings LLC,
7.875%, 04/30/18		1,500		1,631,250
Cequel Communications Holdings I LLC,
8.625%, 11/15/17 (d)		1,550		1,670,125
EchoStar DBS Corp.,
7.125%, 02/01/16		775		850,562
Mediacom Broadband LLC,
8.500%, 10/15/15		875		899,062
Mediacom LLC,
9.125%, 08/15/19		175		192,063
Nara Cable Funding, Ltd.,
8.875%, 12/01/18 (d)		1,075		924,500
Unitymedia Hessen GmbH & Co. KG:
8.125%, 12/01/17 (d)		1,325		1,424,375
7.500%, 03/15/19 (d)		1,400		1,484,000
				10,673,437
Chemicals | 0.5%
Mosaic Global Holdings, Inc.,
7.300%, 01/15/28		775		970,040
Computer Services | 2.0%
First Data Corp.,
8.875%, 08/15/20 (d)		850		920,125
iGATE Corp.,
9.000%, 05/01/16		1,200		1,284,000
SunGard Data Systems, Inc.:
10.250%, 08/15/15		564		579,510
7.375%, 11/15/18		750		804,375
				3,588,010
Diversified | 0.9%
Amsted Industries, Inc.,
8.125%, 03/15/18 (d)		1,100		1,163,250
General Cable Corp.,
7.125%, 04/01/17		489		501,225
				1,664,475

The accompanying notes are an integral part of these financial statements.

88  Semi-Annual Report

	Principal
	Amount
Description	(000)		Value
Lazard U.S. High Yield Portfolio (continued)
Electric Generation | 2.7%
AES Corp.,
8.000%, 10/15/17	$	1,472	$	1,674,400
Calpine Corp.,
7.875%, 07/31/20 (d)		1,150		1,267,875
GenOn Energy, Inc.:
9.500%, 10/15/18		225		222,469
9.875%, 10/15/20		475		463,125
NRG Energy, Inc.:
7.375%, 01/15/17		600		624,000
8.250%, 09/01/20		525		543,375
				4,795,244
Electronics | 0.6%
Freescale Semiconductor, Inc.:
8.875%, 12/15/14		75		77,063
9.250%, 04/15/18 (d)		900		963,000
				1,040,063
Energy Exploration & Production | 2.1%
ATP Oil & Gas Corp.,
11.875%, 05/01/15		1,225		569,625
Chesapeake Energy Corp.,
9.500%, 02/15/15		1,400		1,508,500
Denbury Resources, Inc.,
9.750%, 03/01/16		590		648,263
Samson Investment Co.,
9.750%, 02/15/20 (d)		1,000		995,000
				3,721,388
Energy Services | 4.4%
Cie Generale de Geophysique - Veritas,
7.750%, 05/15/17		1,765		1,826,775
Citgo Petroleum Corp.,
11.500%, 07/01/17 (d)		1,250		1,403,125
Expro Finance Luxembourg SCA,
8.500%, 12/15/16 (d)		429		410,767
Frac Tech Services, Inc.,
8.125%, 11/15/18 (d)		1,000		1,007,500
Offshore Group Investments, Ltd.,
11.500%, 08/01/15		1,000		1,085,000
PBF Holding Co., LLC,
8.250%, 02/15/20 (d)		900		897,750
Tesoro Corp.,
6.500%, 06/01/17		1,300		1,335,750
				7,966,667

	Principal
	Amount
Description	(000)		Value
Financial Services | 1.8%
Icahn Enterprises LP:
7.750%, 01/15/16	$	500	$	525,625
8.000%, 01/15/18		1,100		1,168,750
International Lease Finance Corp.:
8.625%, 09/15/15		500		552,500
5.750%, 05/15/16		500		507,291
8.750%, 03/15/17		500		561,250
				3,315,416
Food & Beverages | 2.4%
Constellation Brands, Inc.,
7.250%, 05/15/17		950		1,086,562
Del Monte Corp.,
7.625%, 02/15/19		1,500		1,513,125
Post Holdings, Inc.,
7.375%, 02/15/22 (d)		1,650		1,740,750
				4,340,437
Forest & Paper Products | 0.8%
ABI Escrow Corp.,
10.250%, 10/15/18		690		765,900
Smurfit Kappa Treasury Funding, Ltd.,
7.500%, 11/20/25		750		750,000
				1,515,900
Gaming | 5.4%
Boyd Gaming Corp.,
9.125%, 12/01/18		1,350		1,390,500
Marina District Finance Co., Inc.:
9.500%, 10/15/15		500		485,000
9.875%, 08/15/18		500		471,250
MGM Resorts International:
10.375%, 05/15/14		900		1,014,750
7.625%, 01/15/17		750		774,375
Peninsula Gaming LLC:
8.375%, 08/15/15		625		657,813
10.750%, 08/15/17		225		256,500
Penn National Gaming, Inc.,
8.750%, 08/15/19		825		913,687
Pinnacle Entertainment, Inc.,
8.625%, 08/01/17		800		870,000
Scientific Games Corp.,
8.125%, 09/15/18		350		375,375
Scientific Games International, Inc.:
7.875%, 06/15/16 (d)		525		546,000
9.250%, 06/15/19		250		273,750
Wynn Las Vegas LLC:
7.875%, 11/01/17		500		550,000
7.750%, 08/15/20		1,050		1,162,875
				9,741,875

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  89

Description	Principal Amount (000)		Value
Lazard U.S. High Yield Portfolio (continued)
Gas Distribution | 5.5%
Copano Energy LLC,
7.750%, 06/01/18	$	1,600	$	1,656,000
El Paso Corp.,
7.000%, 06/15/17		650		737,331
Energy Transfer Equity LP,
7.500%, 10/15/20		1,250		1,371,875
Ferrellgas Partners LP:
8.625%, 06/15/20		520		462,800
6.500%, 05/01/21		500		456,250
Inergy LP,
7.000%, 10/01/18		1,575		1,622,250
NGPL PipeCo LLC,
7.119%, 12/15/17 (d)		1,430		1,430,000
Niska Gas Storage Partners LLC,
8.875%, 03/15/18		750		731,250
Rockies Express Pipeline LLC,
6.850%, 07/15/18 (d)		1,450		1,421,000
				9,888,756
Health Services | 6.2%
Apria Healthcare Group, Inc.,
11.250%, 11/01/14		550		569,250
Biomet, Inc.,
10.000%, 10/15/17		925		988,016
Fresenius US Finance II, Inc.,
9.000%, 07/15/15 (d)		525		603,094
Grifols, Inc.,
8.250%, 02/01/18		1,525		1,635,562
HCA, Inc.,
8.000%, 10/01/18		1,600		1,796,000
Health Management Associates, Inc.,
6.125%, 04/15/16		1,000		1,060,000
Kinetics Concepts, Inc.,
10.500%, 11/01/18 (d)		750		787,500
Lantheus Medical Imaging, Inc.,
9.750%, 05/15/17		375		333,750
Service Corp. International,
6.750%, 04/01/16		750		817,500
Tenet Healthcare Corp.,
8.875%, 07/01/19		1,000		1,122,500
Vanguard Health Holding Co., LLC,
8.000%, 02/01/18		1,500		1,533,750
				11,246,922

Description	Principal Amount (000)		Value
Leisure & Entertainment | 2.0%
AMC Entertainment, Inc.,
8.750%, 06/01/19	$	950	$	1,018,875
Cedar Fair LP,
9.125%, 08/01/18		225		249,750
Live Nation Entertainment, Inc.,
8.125%, 05/15/18 (d)		135		137,869
Royal Caribbean Cruises, Ltd.,
7.250%, 06/15/16		330		356,400
Speedway Motorsports, Inc.,
8.750%, 06/01/16		826		898,275
Ticketmaster Entertainment LLC,
10.750%, 08/01/16		850		901,000
				3,562,169
Machinery | 1.7%
Case New Holland, Inc.,
7.750%, 09/01/13		200		212,500
Terex Corp.:
10.875%, 06/01/16		550		616,688
6.500%, 04/01/20		1,200		1,215,000
The Manitowoc Co., Inc.,
8.500%, 11/01/20		1,000		1,080,000
				3,124,188
Media | 2.9%
Clear Channel Worldwide Holdings, Inc.,
9.250%, 12/15/17		1,475		1,607,750
Lamar Media Corp.,
7.875%, 04/15/18		1,000		1,100,000
LIN Television Corp.,
8.375%, 04/15/18		1,400		1,431,500
WMG Acquisition Corp.,
9.500%, 06/15/16		945		1,030,050
				5,169,300
Metals & Mining | 4.0%
Aleris International, Inc.,
7.625%, 02/15/18		1,175		1,192,625
Arch Coal, Inc.,
7.000%, 06/15/19		1,651		1,395,095
Calcipar SA,
6.875%, 05/01/18 (d)		1,350		1,329,750
FMG Resources (August 2006) Property, Ltd.,
7.000%, 11/01/15 (d)		1,800		1,836,000
Inmet Mining Corp.,
8.750%, 06/01/20 (d)		1,500		1,485,000
				7,238,470

The accompanying notes are an integral part of these financial statements.

90  Semi-Annual Report

Description	Principal Amount (000)		Value
Lazard U.S. High Yield Portfolio (continued)
Packaging | 2.0%
Reynolds Group Issuer, Inc.,
7.750%, 10/15/16 (d)	$	1,500	$	1,578,750
Sealed Air Corp.,
8.125%, 09/15/19 (d)		1,775		1,979,125
				3,557,875
Pharmaceutical & Biotechnology | 2.4%
Mylan, Inc.:
7.625%, 07/15/17 (d)		400		440,000
7.875%, 07/15/20 (d)		650		728,813
Valeant Pharmaceuticals International, Inc.,
6.500%, 07/15/16 (d)		1,500		1,567,500
Warner Chilcott Co., LLC,
7.750%, 09/15/18		1,575		1,689,187
				4,425,500
Printing & Publishing | 3.1%
Deluxe Corp.,
7.375%, 06/01/15		1,005		1,020,075
Gannett Co., Inc.,
7.125%, 09/01/18		1,676		1,793,320
R.R. Donnelley & Sons Co.,
7.250%, 05/15/18		1,600		1,524,000
The McClatchy Co.,
11.500%, 02/15/17		1,200		1,245,000
				5,582,395
Real Estate | 2.3%
CB Richard Ellis Services, Inc.,
11.625%, 06/15/17		975		1,106,625
CNL Lifestyle Properties, Inc.,
7.250%, 04/15/19		1,600		1,472,000
DuPont Fabros Technology LP,
8.500%, 12/15/17		1,000		1,100,000
Forest City Enterprises, Inc.,
7.625%, 06/01/15		475		471,437
				4,150,062
Retail | 3.6%
Ingles Markets, Inc.,
8.875%, 05/15/17		1,238		1,347,872
Mead Products LLC,
6.750%, 04/30/20 (d)		1,750		1,846,250
QVC, Inc.,
7.500%, 10/01/19 (d)		1,000		1,110,000

Description	Principal Amount (000)		Value
Sears Holdings Corp.,
6.625%, 10/15/18	$	675	$	602,438
SuperValu, Inc.,
8.000%, 05/01/16		1,550		1,569,375
				6,475,935
Steel-Producers | 1.6%
AK Steel Corp.,
7.625%, 05/15/20		1,400		1,183,000
Steel Dynamics, Inc.,
7.750%, 04/15/16		264		271,920
United States Steel Corp.,
6.050%, 06/01/17		1,475		1,434,438
				2,889,358
Support Services | 4.6%
Avis Budget Car Rental LLC:
7.750%, 05/15/16		410		421,787
9.625%, 03/15/18		835		914,325
Hertz Corp.,
7.500%, 10/15/18		1,000		1,072,500
Iron Mountain, Inc.,
8.000%, 06/15/20		1,600		1,694,000
The GEO Group, Inc.,
7.750%, 10/15/17		1,375		1,471,250
UR Merger Sub Corp.:
9.250%, 12/15/19		1,000		1,110,000
7.375%, 05/15/20 (d)		750		783,750
West Corp.,
11.000%, 10/15/16		850		896,750
				8,364,362
Technology Hardware | 0.7%
Seagate HDD Cayman,
7.750%, 12/15/18		1,175		1,299,844
Telecommunications | 6.3%
Cincinnati Bell, Inc.,
8.250%, 10/15/17		1,350		1,404,000
Cricket Communications, Inc.,
7.750%, 05/15/16		750		795,937
Equinix, Inc.,
8.125%, 03/01/18		1,182		1,309,065
Frontier Communications Corp.,
8.125%, 10/01/18		1,500		1,593,750
GCI, Inc.,
8.625%, 11/15/19		1,000		1,047,500

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  91

Description	Principal Amount (000)		Value
Lazard U.S. High Yield Portfolio (concluded)
Intelsat Jackson Holdings, Ltd.:
11.250%, 06/15/16	$	203	$	212,643
7.250%, 04/01/19		1,300		1,365,000
Sprint Capital Corp.,
6.900%, 05/01/19		1,475		1,386,500
Wind Acquisition Finance SA,
11.750%, 07/15/17 (d)		800		646,000
Windstream Corp.,
8.125%, 09/01/18		1,575		1,693,125
				11,453,520
Transportation | 2.5%
Florida East Coast Railway Corp.,
8.125%, 02/01/17		1,200		1,254,000
Hapag-Lloyd AG,
9.750%, 10/15/17 (d)		1,075		978,250
Overseas Shipholding Group, Inc.,
8.125%, 03/30/18		1,300		880,750
Teekay Corp.,
8.500%, 01/15/20		1,300		1,319,500
				4,432,500
Total Corporate Bonds
(Identified cost $165,093,479)				170,310,430

Description	Shares	Value
Short-Term Investment | 4.2%
State Street Institutional Treasury
Money Market Fund
(Identified cost $7,603,056)	7,603,056	$	7,603,056
Total Investments | 98.4%
(Identified cost $172,696,535) (b)		$	177,913,486
Cash and Other Assets in Excess
of Liabilities | 1.6%			2,875,656
Net Assets | 100.0%		$	180,789,142

The accompanying notes are an integral part of these financial statements.

92  Semi-Annual Report

Description	Principal Amount (000)		Value
Lazard U.S. Municipal Portfolio
Municipal Bonds | 96.8%
California | 3.6%
California State,
5.000%, 02/01/22	$	500	$	597,825
California State Department of Water
Resources Center Valley Project Water
System Series Y Pre-refunded,
5.250%, 12/01/12 (Escrowed to Maturity) (h)		5		5,104
Los Angeles California Unified School
District Election of 1997 Series E,
5.125%, 07/01/21 (Pre-refunded to
07/01/12 @ $100) (h)		50		50,000
Val Verde California Unified School District
School Construction,
5.000%, 01/01/22 (Pre-refunded to
01/01/15 @ $100) (h)		50		55,492
				708,421
Colorado | 3.0%
Colorado State Water Resources & Power
Development Authority Wastewater
Revenue Revolving Fund Series A,
5.250%, 09/01/14		500		551,310
Denver Colorado City & County Airport
Revenue Series B,
5.500%, 11/15/33 (Pre-refunded to
11/15/13 @ $100) (h)		50		53,565
				604,875
Connecticut | 0.4%
Connecticut State Health & Educational
Facilities Authority Revenue Connecticut
State University System Series E,
5.000%, 11/01/15 (Pre-refunded to
11/01/12 @ $100) (h)		50		50,777
Stamford Connecticut,
5.000%, 08/15/18 (Pre-refunded to
08/15/12 @ $100) (h)		25		25,136
				75,913
Delaware | 2.5%
Delaware State Series 2009C,
5.000%, 10/01/18		410		505,874

Description	Principal Amount (000)		Value
Florida | 8.3%
Collier County Florida Industrial Development
Authority NCH Healthcare System Project,
3.000%, 10/01/12	$	500	$	502,300
Florida State Board of Education Public
Education Capital Outlay 2011 Series A,
5.000%, 06/01/14		535		581,668
Orlando Florida Utilities Commission Utility
System Revenue,
5.000%, 10/01/19		500		579,185
				1,663,153
Georgia | 3.3%
Georgia State Series I,
5.000%, 07/01/18		300		367,827
Valdosta & Lowndes County Georgia
Hospital Authority South Medical
Center Project Series B,
5.000%, 10/01/21		250		297,405
				665,232
Illinois | 9.8%
Illinois State Toll Highway Authority
Senior Priority Series A,
5.000%, 01/01/16		600		677,322
Railsplitter Illinois Tobacco Settlement
Authority:
4.000%, 06/01/13		300		308,808
4.125%, 06/01/16		500		547,410
Will County Illinois Community Unit
School District No. 209-U Wilmington,
9.000%, 01/01/24 (Pre-refunded to
01/01/16 @ $100) (h)		320		411,514
				1,945,054
Maine | 2.4%
Maine State Turnpike Authority Series B,
5.000%, 07/01/22		385		473,438
Maryland | 2.6%
Carroll County Maryland Construction Public
Improvement,
5.000%, 11/01/17		100		121,491
Maryland State & Local Facilities Loan
Series C,
5.000%, 03/01/16		350		406,011
				527,502

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  93

Description	Principal Amount (000)		Value
Lazard U.S. Municipal Portfolio (continued)
Massachusetts | 4.4%
Lowell Massachusetts State Qualified,
5.000%, 10/15/15	$	300	$	314,604
Massachusetts Bay Transportation
Authority Revenue Assessment Series A,
5.000%, 07/01/21 (Pre-refunded to
07/01/15 @ $100) (h)		300		340,287
Massachusetts State:
Construction Loan Series E,
5.000%, 11/01/24 (Pre-refunded to
11/01/16 @ $100) (h)		50		59,326
Series A,
5.000%, 09/01/14		150		164,760
				878,977
Michigan | 5.7%
Imlay City Michigan Community School
District,
5.000%, 05/01/18		500		565,360
Michigan State Hospital Finance Authority
Trinity Health Series A,
5.250%, 12/01/15		500		572,055
				1,137,415
Minnesota | 2.4%
Minnesota State,
5.000%, 11/01/16		400		473,100
New Jersey | 3.2%
Essex County New Jersey Improvement
Authority Guaranteed Lease County
Correctional Series A,
5.000%, 10/01/28 (Pre-refunded to
10/01/13 @ $100) (h)		50		52,936
New Jersey State Educational Facilities
Authority Revenue:
Princeton University Series E,
5.000%, 07/01/20 (Pre-refunded to
07/01/13 @ $100) (h)		50		52,370
Rowan University Series C,
5.125%, 07/01/28 (Pre-refunded to
07/01/14 @ $100) (h)		50		54,707

Description	Principal Amount (000)		Value
New Jersey State Transportation Trust
Funding Authority Transportation System:
Series A,
5.625%, 06/15/14 (Escrowed to Maturity) (h)	$	75	$	82,706
Series C,
5.250%, 06/15/14 (Escrowed to Maturity) (h)		50		54,774
5.500%, 06/15/24 (Pre-refunded to
06/15/13 @ $100) (h)		50		52,499
Series D,
5.000%, 06/15/16 (Pre-refunded to
06/15/15 @ $100) (h)		25		28,308
New Jersey State Turnpike Authority Series A:
Pre-refunded,
6.000%, 01/01/14 (Escrowed to Maturity) (h)		50		54,199
Refunded,
6.000%, 01/01/14 (Escrowed to Maturity) (h)		50		54,199
New Jersey State Various Purposes,
5.000%, 08/01/22 (Pre-refunded to
08/01/12 @ $100) (h)		50		50,175
New Jersey Tobacco Settlement Financing Corp.:
5.000%, 06/01/13 (Escrowed to Maturity) (h)		25		26,085
6.250%, 06/01/43 (Pre-refunded to
06/01/13 @ $100) (h)		50		52,736
Newark New Jersey Housing and
Port Authority Newark Marine Terminal
Rental Revenue,
5.000%, 01/01/37 (Pre-refunded to
01/01/14 @ $100) (h)		25		26,729
				642,423
New York | 13.0%
Metropolitan Transportation Authority
New York State Transportation Revenue
Series C,
5.000%, 11/15/13		685		725,888
Metropolitan Transportation Authority
New York Dedicated Tax Funding Series A,
4.750%, 04/01/28 (Pre-refunded to
10/01/15 @ $100) (h)		50		56,835
New York State Dormitory Authority Revenues:
Columbia University Series B,
5.000%, 07/01/16		145		170,487
Insured Student Housing Corp.,
5.000%, 07/01/23 (Pre-refunded to
07/01/14 @ $100) (h)		50		54,614

The accompanying notes are an integral part of these financial statements.

94Semi-Annual Report

Description	Principal Amount (000)		Value
Lazard U.S. Municipal Portfolio (continued)
Lease Revenue State University
Dormitory Facilities MBIA-IBC,
5.000%, 07/01/32 (Pre-refunded to
07/01/12 @ $100) (h)	$	50	$	50,000
Non State Supported Debt New York
University Hospital Center Series A,
5.000%, 07/01/17		500		589,085
State Personal Income Tax
Revenue Education Series A,
5.000%, 03/15/17		100		115,417
State Personal Income Tax Revenue
General Purpose Bonds Series A,
5.000%, 12/15/21		500		618,795
New York State Thruway Authority 2nd
General Highway & Bridge Trust Fund
Series A,
5.000%, 04/01/15		135		150,798
TSASC, Inc. New York Tobacco Settlement
Asset-Backed Series 1,
5.750%, 07/15/32 (Pre-refunded to
07/15/12 @ $100) (h)		50		50,076
				2,581,995
North Carolina | 7.3%
Durham North Carolina,
5.000%, 04/01/17		450		537,944
North Carolina State Eastern Municipal
Power Agency Power System Series A,
5.250%, 01/01/20		595		677,532
Wake County North Carolina Public
Improvement,
5.000%, 04/01/17		200		238,468
				1,453,944
Pennsylvania | 2.2%
Pennsylvania State Higher Educational
Facilities Authority Revenue Temple University,
5.000%, 04/01/15		400		443,460

Description	Principal Amount (000)		Value
South Carolina | 3.2%
Charleston County South Carolina Sales Tax,
5.000%, 11/01/21	$	500	$	634,280
Tennessee | 4.9%
Metropolitan Government Nashville &
Davidson County Tennessee Health &
Educational Facilities Board Vanderbilt
University Series B,
5.000%, 10/01/18		315		383,566
Tennessee State Series C,
5.000%, 05/01/17		500		598,615
				982,181
Texas | 9.0%
Dallas Texas Refunded & Improvement
Series A,
5.000%, 02/15/20		350		429,884
Decatur Texas Independent School
District School Building,
5.250%, 08/15/25		100		113,610
North Texas Tollway Authority Revenue
System First Tier Series A MBIA-IBC,
6.000%, 01/01/23		340		400,489
Plano Texas Independent School District
School Building,
5.000%, 02/15/14 (Pre-refunded to
02/15/13 @ $100) (h)		20		20,590
Texas State Transportation Commission
Revenue First Tier,
5.000%, 04/01/20		200		235,818
University of Texas Financing System
Series C,
5.000%, 08/15/17		500		601,345
				1,801,736
Washington | 4.1%
Energy Northwest Washington Electric
Revenue Project No. 3 Series A,
5.500%, 07/01/17 (Pre-refunded to
07/01/13 @ $100) (h)		350		368,137
Washington State Various Purposes
Series R-A,
5.000%, 01/01/15		400		443,940
				812,077

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  95

Description	Principal Amount (000)		Value
Lazard U.S. Municipal Portfolio (concluded)
Wisconsin | 1.5%
Wisconsin State Health & Educational
Facilities Authority Revenue Gundersen
Lutheran Series A,
5.000%, 10/15/17	$	250	$	289,418
Total Municipal Bonds
(Identified cost $18,916,845)				19,300,468

Description	Shares	Value
Short-Term Investment | 2.1%
State Street Institutional Treasury
Money Market Fund
(Identified cost $410,869)	410,869	$	410,869
Total Investments | 98.9%
(Identified cost $19,327,714) (b)		$	19,711,337
Cash and Other Assets in Excess
of Liabilities | 1.1%			226,318
Net Assets | 100.0%		$	19,937,655

The accompanying notes are an integral part of these financial statements.

96  Semi-Annual Report

Description	Security Currency		Principal Amount (000)		Value
Lazard Global Fixed Income Portfolio
Corporate Bonds | 35.7%
Australia | 1.0%
Telstra Corp., Ltd.,
6.250%, 04/15/15		AUD		35	$	37,551
Brazil | 1.3%
Petrobras International
Finance Co.,
6.125%, 10/06/16 (e)		USD		45		50,327
Canada | 2.1%
Canadian Natural Resources, Ltd.,
4.500%, 01/23/13		CAD		30		29,931
Shaw Communications, Inc.,
5.650%, 10/01/19		CAD		20		21,779
Suncor Energy, Inc.,
6.100%, 06/01/18		CAD		25		29,609
						81,319
Chile | 2.7%
Codelco, Inc.,
3.750%, 11/04/20 (e)		USD		100		104,288
France | 1.9%
Electricite de France SA,
5.000%, 02/05/18		EUR		50		72,225
Netherlands | 1.9%
BMW Finance NV,
3.375%, 12/14/18		GBP		20		32,538
RWE Finance BV,
5.000%, 02/10/15		EUR		30		41,592
						74,130
Norway | 2.9%
Statoil ASA,
6.875%, 03/11/31		GBP		50		112,062
Singapore | 4.2%
Temasek Financial I, Ltd.,
4.500%, 09/21/15 (e)		USD		150		164,732

Description	Security Currency		Principal Amount (000)		Value
Sweden | 2.8%
Kommuninvest I Sverige AB,
2.750%, 08/12/15		SEK		370	$	54,873
Svensk Exportkredit AB,
7.625%, 06/30/14		NZD		65		55,900
						110,773
United Kingdom | 8.6%
BG Energy Capital PLC,
5.125%, 12/01/25		GBP		50		91,007
National Grid PLC,
6.125%, 04/15/14		GBP		50		84,216
Network Rail Infrastructure
Finance PLC,
4.400%, 03/06/16 (e)		CAD		150		158,628
						333,851
United States | 6.3%
AES Corp.,
7.750%, 10/15/15		USD		20		22,450
Credit Suisse USA, Inc.,
4.875%, 01/15/15		USD		20		21,460
EchoStar DBS Corp.,
7.125%, 02/01/16		USD		20		21,950
Fresenius US Finance II, Inc.,
9.000%, 07/15/15 (e)		USD		10		11,487
General Electric Capital Corp.,
5.500%, 02/01/17		USD		45		37,577
Goldman Sachs Group, Inc.,
6.250%, 09/01/17		USD		25		27,182
JPMorgan Chase & Co.,
3.875%, 09/23/20		EUR		50		67,210
Microsoft Corp.,
5.200%, 06/01/39		USD		30		37,289
						246,605
Total Corporate Bonds
(Identified cost $1,401,890)						1,387,863
Foreign Government Obligations | 47.7%
Australia | 4.6%
New South Wales Treasury Corp.,
5.000%, 02/25/39		AUD		50		99,591
Queensland Treasury Corp.,
6.250%, 02/21/20		AUD		70		80,389
						179,980

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  97

Description	Security Currency		Principal Amount (000)		Value
Lazard Global Fixed Income Portfolio (continued)
Austria | 0.9%
Republic of Austria,
3.900%, 07/15/20		EUR		25	$	35,594
Bahamas | 1.8%
Commonwealth of the Bahamas,
6.950%, 11/20/29		USD		60		69,600
Bermuda | 2.9%
Government of Bermuda,
5.603%, 07/20/20 (e)		USD		100		114,400
Brazil | 1.4%
Federal Republic of Brazil,
11.000%, 06/26/17		EUR		30		53,313
Canada | 2.8%
Province of British Columbia,
3.700%, 12/18/20		CAD		40		43,097
Province of Ontario,
6.250%, 06/16/15		NZD		75		64,336
						107,433
Chile | 2.7%
Republic of Chile,
5.500%, 08/05/20 (e)		CLP		50,000		106,201
Colombia | 1.9%
Republic of Colombia:
12.000%, 10/22/15		COP		53,000		36,821
7.750%, 04/14/21		COP		54,000		37,658
						74,479
Czech Republic | 2.7%
Czech Republic:
4.500%, 11/05/14		EUR		25		33,985
5.000%, 06/11/18		EUR		50		72,924
						106,909
France | 2.5%
Government of France:
4.250%, 10/25/23		EUR		40		57,393
5.500%, 04/25/29		EUR		25		40,151
						97,544

Description	Security Currency		Principal Amount (000)		Value
Mexico | 3.0%
Mexican Bonos,
9.500%, 12/18/14		MXN		500	$	41,625
United Mexican States:
4.250%, 06/16/15		EUR		15		20,501
6.750%, 02/06/24		GBP		30		53,915
						116,041
Netherlands | 1.9%
Netherlands Government Bond,
3.750%, 01/15/23		EUR		50		72,559
Peru | 3.9%
Peru Bono Soberano,
7.840%, 08/12/20		PEN		150		66,725
Republic of Peru,
7.500%, 10/14/14		EUR		60		85,592
						152,317
Poland | 6.0%
Poland Government Bonds:
5.250%, 10/25/17		PLN		325		99,666
5.750%, 09/23/22		PLN		205		64,177
Republic of Poland:
3.000%, 09/23/14		CHF		30		32,944
6.375%, 07/15/19		USD		32		37,691
						234,478
Qatar | 3.0%
State of Qatar,
5.250%, 01/20/20 (e)		USD		100		115,300
Slovenia | 0.9%
Republika of Slovenija,
4.125%, 01/26/20		EUR		30		33,549
South Africa | 4.8%
Republic of South Africa:
4.500%, 04/05/16		EUR		50		68,116
8.250%, 09/15/17		ZAR		305		39,995
6.250%, 03/31/36		ZAR		835		78,108
						186,219
Total Foreign Government
Obligations
(Identified cost $1,875,646)						1,855,916

The accompanying notes are an integral part of these financial statements.

98  Semi-Annual Report

Description	Security Currency		Principal Amount (000)		Value
Lazard Global Fixed Income Portfolio (continued)
Quasi Government Bonds | 7.1%
Canada | 1.0%
Ontario Electricity Financial Corp.,
10.125%, 10/15/21		CAD		25	$	39,427
Germany | 3.4%
KfW:
2.875%, 10/12/16		NOK		560		95,463
3.375%, 01/18/21		EUR		25		35,466
						130,929
Malaysia | 2.7%
1Malaysia Sukuk Global Berhad,
3.928%, 06/04/15 (e)		USD		100		105,683
Total Quasi Government Bonds
(Identified cost $279,225)						276,039
Supranationals | 7.5%
Brazil | 0.2%
Inter-American Development Bank,
6.000%, 12/15/17		NZD		10		8,895
Philippines | 3.1%
Asian Development Bank:
3.375%, 05/20/14		NOK		250		43,181
2.850%, 10/21/20		CNY		500		78,452
						121,633

Description	Security Currency		Principal Amount (000)		Value
United States | 2.3%
International Bank for
Reconstruction & Development,
2.300%, 02/26/13		KRW		100,000	$	86,697
Venezuela | 1.9%
Corporacion Andina de Fomento,
3.750%, 01/15/16 (e)		USD		72		74,825
Total Supranationals
(Identified cost $296,699)						292,050

Description	Shares		Value
Short-Term Investment | 0.9%
State Street Institutional Treasury
Money Market Fund
(Identified cost $35,117)		35,117	$	35,117
Total Investments | 98.9%
(Identified cost $3,888,577) (b)			$	3,846,985
Cash and Other Assets in Excess
of Liabilities | 1.1%				42,588
Net Assets | 100.0%			$	3,889,573

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  99

Lazard Global Fixed Income Portfolio (continued)

Forward Currency Contracts open at June 30, 2012:

Forward Currency Contracts	Counterparty	Expiration Date	Foreign Currency Amount		U.S. $ Cost on Origination Date			U.S. $ Current Value		Unrealized Appreciation			Unrealized Depreciation
Forward Currency Purchase Contracts
AUD	CIT	08/16/12		21,341		$	21,000	$	21,753		$	753		$	—
AUD	CIT	08/16/12		44,895			44,793		45,760			967			—
AUD	CIT	08/16/12		76,868			76,887		78,350			1,463			—
CAD	HSB	08/16/12		5,126			4,995		5,029			34			—
DKK	CSF	08/16/12		934,491			162,986		159,253			—			3,733
EUR	CIT	08/16/12		29,221			36,259		36,993			734			—
EUR	HSB	08/16/12		24,300			30,122		30,763			641			—
GBP	CIT	08/16/12		30,266			47,000		47,396			396			—
HKD	CIT	08/16/12		529,869			68,278		68,310			32			—
IDR	SCB	07/09/12		339,557,770			34,720		36,125			1,405			—
JPY	HSB	08/16/12		2,930,585			37,000		36,685			—			315
JPY	HSB	08/16/12		4,373,325			55,000		54,745			—			255
JPY	HSB	08/16/12		48,842,449			614,239		611,401			—			2,838
MXN	CIT	08/16/12		78,901			5,797		5,890			93			—
MYR	CIT	09/10/12		85,663			27,000		26,861			—			139
NZD	SCB	08/16/12		41,446			31,203		33,078			1,875			—
PLN	HSB	08/16/12		129,667			38,000		38,712			712			—
SGD	SCB	08/16/12		52,034			41,646		41,077			—			569
Total Forward Currency Purchase Contracts						$	1,376,925	$	1,378,181		$	9,105		$	7,849

The accompanying notes are an integral part of these financial statements.

100  Semi-Annual Report

Lazard Global Fixed Income Portfolio (concluded)

Forward Currency Contracts open at June 30, 2012 (concluded):

Forward Currency Contracts	Counterparty	Expiration Date	Foreign Currency Amount		U.S. $ Cost on Origination Date			U.S. $ Current Value		Unrealized Appreciation			Unrealized Depreciation
Forward Currency Sale Contracts
AUD	CIT	08/16/12		37,052		$	37,199	$	37,766		$	—		$	567
AUD	CIT	08/16/12		134,248			133,763		136,836			—			3,073
CAD	HSB	08/16/12		31,032			30,496		30,451			45			—
CAD	HSB	08/16/12		170,983			170,176		167,780			2,396			—
CLP	CIT	07/25/12		53,698,313			105,064		106,929			—			1,865
COP	CIT	08/17/12		137,587,169			76,247		76,534			—			287
EUR	CIT	08/16/12		28,378			36,000		35,926			74			—
EUR	CIT	08/16/12		31,791			40,000		40,247			—			247
EUR	CIT	08/16/12		58,106			72,424		73,562			—			1,138
EUR	HSB	08/16/12		13,313			17,000		16,854			146			—
EUR	HSB	08/16/12		32,129			40,485		40,675			—			190
EUR	HSB	08/16/12		45,166			58,001		57,180			821			—
EUR	HSB	08/16/12		64,397			80,000		81,525			—			1,525
EUR	HSB	08/16/12		96,233			124,555		121,830			2,725			—
GBP	CIT	08/16/12		20,914			32,862		32,750			112			—
GBP	CIT	08/16/12		58,757			94,473		92,012			2,461			—
GBP	CIT	08/16/12		81,046			130,642		126,916			3,726			—
IDR	SCB	07/09/12		339,557,770			36,433		36,124			309			—
NOK	HSB	08/16/12		834,535			141,928		140,069			1,859			—
NZD	SCB	08/16/12		10,752			8,174		8,581			—			407
NZD	SCB	08/16/12		11,534			8,684		9,206			—			522
NZD	SCB	08/16/12		27,834			20,956		22,215			—			1,259
NZD	SCB	08/16/12		61,576			47,949		49,144			—			1,195
NZD	SCB	08/16/12		93,575			73,155		74,683			—			1,528
PLN	CAN	08/16/12		141,331			42,867		42,194			673			—
PLN	HSB	08/16/12		138,460			38,755		41,337			—			2,582
PLN	HSB	08/16/12		383,313			116,085		114,437			1,648			—
SEK	CAN	08/16/12		235,045			33,800		33,924			—			124
ZAR	SCB	08/16/12		128,363			15,500		15,600			—			100
ZAR	SCB	08/16/12		621,122			75,664		75,483			181			—
Total Forward Currency Sale Contracts						$	1,939,337	$	1,938,770			17,176			16,609
Gross unrealized appreciation/depreciation on Forward Currency Purchase and Sale Contracts											$	26,281		$	24,458

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  101

Description	Shares		Value
Lazard Capital Allocator Opportunistic Strategies Portfolio
Exchange-Traded Funds | 82.3%
Energy Select Sector SPDR Fund	407,000	$	27,012,590
Financial Select Sector SPDR Fund	915,800		13,388,996
First Trust ISE-Revere Natural Gas
Index Fund	401,700		6,595,914
Industrial Select Sector SPDR Fund	348,300		12,423,861
iShares MSCI South Korea Index Fund	144,400		7,914,564
Market Vectors Agribusiness ETF	268,700		13,322,146
PowerShares Financial Preferred Portfolio	590,100		10,621,800
SPDR Barclays Capital High Yield
Bond ETF	978,100		38,595,826
SPDR Gold Trust (a)	185,500		28,787,745
SPDR Russell/Nomura Small Cap
Japan ETF	243,700		10,128,172
Vanguard REIT ETF	164,600		10,769,778
Vanguard Short-Term Corporate
Bond ETF	461,500		36,527,725
Total Exchange-Traded Funds
(Identified cost $217,161,755)			216,089,117
Closed-End Management Investment
Companies | 10.1%
Eaton Vance Limited Duration Income
Fund	333,000		5,427,900
The China Fund, Inc.	310,500		6,809,265
Tri-Continental Corp.	919,825		14,229,693
Total Closed-End Management
Investment Companies
(Identified cost $27,004,478)			26,466,858

Description	Shares		Value
Short-Term Investment | 6.5%
State Street Institutional Treasury
Money Market Fund
(Identified cost $17,143,661)	17,143,661	$	17,143,661
Total Investments | 98.9%
(Identified cost $261,309,894) (b)			259,699,636
	Number of
Description	Contracts		Value
Purchased Option | 0.1%
Energy Select Sector SPRD
July 12 65.00 Put,
Expires 07/21/12
(Identified cost $443,890)	2,000	$	156,000
Total Investments and Purchased
Option | 99.0%
(Identified cost $261,753,784)		$	259,855,636
Cash and Other Assets in Excess
of Liabilities | 1.0%			2,700,007
Net Assets | 100.0%		$	262,555,643

The accompanying notes are an integral part of these financial statements.

102  Semi-Annual Report

Lazard Capital Allocator Opportunistic Strategies Portfolio (concluded)

Forward Currency Contracts open at June 30, 2012:

Forward Currency Contracts	Counterparty	Expiration Date	Foreign Currency Amount		U.S. $ Cost on Origination Date			U.S. $ Current Value			Unrealized Appreciation
Forward Currency Purchase Contract
EUR	SSB	08/16/12		10,532,654		$	13,272,197		$	13,334,170		$	61,973
Forward Currency Sale Contracts
EUR	SSB	08/16/12		4,239,883		$	5,400,001		$	5,367,624		$	32,377
EUR	SSB	08/16/12		6,292,771			8,000,000			7,966,547			33,453
JPY	SSB	08/16/12		1,323,566,355			16,652,823			16,568,177			84,646
Total Forward Currency Sale Contracts						$	30,052,824		$	29,902,348			150,476
Gross unrealized appreciation on Forward Currency Purchase and Sale Contracts												$	212,449

Total Return Swap Agreements open at June 30, 2012:

Currency	Counterparty	Notional Amount	Expiration Date		Pay	Receive	Net Unrealized Appreciation
USD	GSC	11,904,516		07/08/13	1 Month USD LIBOR plus 0.40%	Appreciation, and dividends paid, on securities in the Equity Basket		$	155,844
USD	GSC	12,407,000		06/13/13	1 Month USD LIBOR plus 0.40%	Appreciation, and dividends paid, on securities in the Equity Basket			306,000
								$	461,844

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  103

  The Lazard Funds, Inc. Notes to Portfolios of Investments June 30, 2012 (unaudited)

(a)	Non-income producing security.
(b)	For federal tax purposes, the aggregate cost, aggregate gross unrealized appreciation, aggregate gross unrealized depreciation and the net unrealized appreciation (depreciation) are as follows:

Portfolio	Aggregate Cost		Aggregate Gross Unrealized Appreciation		Aggregate Gross Unrealized Depreciation		Net Unrealized Appreciation (Depreciation)
U.S. Equity Concentrated Portfolio	$	45,465,084	$	1,930,457	$	106,738	$	1,823,719
U.S. Strategic Equity Portfolio		72,907,133		10,953,918		3,081,447		7,872,471
U.S. Mid Cap Equity Portfolio		97,654,415		5,367,881		6,693,247		(1,325,366	)
U.S. Small-Mid Cap Equity Portfolio		206,519,283		14,823,311		12,428,414		2,394,897
Global Listed Infrastructure Portfolio		129,364,865		6,006,422		12,243,720		(6,237,298	)
International Equity Portfolio		103,785,810		9,705,654		5,030,385		4,675,269
International Equity Select Portfolio		6,168,024		503,865		402,037		101,828
International Strategic Equity Portfolio		759,210,814		61,575,725		13,654,948		47,920,777
International Small Cap Equity Portfolio		49,826,121		11,256,854		2,987,946		8,268,908
Emerging Markets Equity Portfolio		14,698,436,442		2,023,993,415		1,998,256,287		25,737,128
Developing Markets Equity Portfolio		377,960,965		6,838,580		51,786,177		(44,947,597	)
Emerging Markets Equity Blend Portfolio		166,116,791		5,158,501		15,794,544		(10,636,043	)
Emerging Markets Multi-Strategy Portfolio		66,092,671		2,081,491		2,652,802		(571,311	)
Emerging Markets Debt Portfolio		189,632,391		5,065,023		1,792,129		3,272,894
U.S. Realty Income Portfolio		51,713,136		3,683,416		285,665		3,397,751
U.S. Realty Equity Portfolio		37,697,544		1,450,502		233,809		1,216,693
International Realty Equity Portfolio		3,823,080		346,709		162,106		184,603
U.S. High Yield Portfolio		172,696,535		7,965,094		2,748,143		5,216,951
U.S. Municipal Portfolio		19,327,714		400,843		17,220		383,623
Global Fixed Income Portfolio		3,888,577		24,511		66,103		(41,592	)
Capital Allocator Opportunistic Strategies Portfolio		261,309,894		4,333,060		5,943,318		(1,610,258	)

(c)	Private placements.
(d)	Pursuant to Rule 144A under the Securities Act of 1933, these securities may only be traded among “qualified institutional buyers”, and are considered to be liquid at June 30, 2012. The percentage of net assets are as follows:

Portfolio	Percentage of Net Assets
Emerging Markets Equity Portfolio	0.9	%
Emerging Markets Multi-Strategy Portfolio	4.0
Emerging Markets Debt Portfolio	9.5
U.S. High Yield Portfolio	22.5

(e)	Segregated security for forward currency contracts.
(f)	Security valued using Level 2 inputs under accounting principles generally accepted in the United States of America (“GAAP”) hierarchy - see Note 9. Securities were valued based on reference to similar securities from the same issuers which were trading on active markets.
(g)	Step up bonds are securities which increase the interest payment rate at a specified point in time. Rate shown reflects rate in effect at June 30, 2012 which may step up at a future date.
(h)	Security collateralized by an amount sufficient to pay principal and interest.

The accompanying notes are an integral part of these financial statements.

104  Semi-Annual Report

Security Abbreviations:
ADR	—	American Depositary Receipt
ETF	—	Exchange-Traded Fund
GDR	—	Global Depositary Receipt
REIT	—	Real Estate Investment Trust
SDR	—	Swedish Depositary Receipt
Currency Abbreviations:
AUD	—	Australian Dollar	JPY	—	Japanese Yen
BRL	—	Brazilian Real	KRW	—	South Korean Won
CAD	—	Canadian Dollar	MXN	—	Mexican New Peso
CHF	—	Swiss Franc	MYR	—	Malaysian Ringgit
CLP	—	Chilean Peso	NGN	—	Nigerian Naira
CNH	—	Chinese Offshore Renminbi	NOK	—	Norwegian Krone
CNY	—	Chinese Renminbi	NZD	—	New Zealand Dollar
COP	—	Colombian Peso	PEN	—	Peruvian Nuevo Sol
CRC	—	Costa Rican Colon	PHP	—	Philippine Peso
CZK	—	Czech Koruna	PLN	—	Polish Zloty
DKK	—	Danish Krone	RON	—	New Romanian Leu
DOP	—	Dominican Republic Peso	RUB	—	Russian Ruble
EUR	—	Euro	SEK	—	Swedish Krona
GBP	—	British Pound Sterling	SGD	—	Singapore Dollar
GHS	—	Ghanaian Cedi	THB	—	Thai Baht
HKD	—	Hong Kong Dollar	TRY	—	New Turkish Lira
HUF	—	Hungarian Forint	TWD	—	New Taiwan Dollar
IDR	—	Indonesian Rupiah	USD	—	United States Dollar
ILS	—	Israeli Shekel	UYU	—	Uruguayan Peso
INR	—	Indian Rupee	ZAR	—	South African Rand
Counterparty Abbreviations:
BNP	—	BNP Paribas SA	ING	—	ING Bank NV
BRC	—	Barclays Bank PLC	JPM	—	JPMorgan Chase Bank
CAN	—	Canadian Imperial Bank of Commerce	MEL	—	Mellon Bank NA
CIT	—	Citibank NA	RBC	—	Royal Bank of Canada
CSF	—	Credit Suisse Group AG	SCB	—	Standard Chartered Bank
GSC	—	Goldman Sachs Group, Inc.	SSB	—	State Street Bank and Trust Co.
HSB	—	HSBC Bank USA	UBS	—	UBS AG

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  105

Portfolio holdings by industry (as a percentage of net assets), for those Portfolios previously presented by country:

Industry	Lazard Global Listed Infrastructure Portfolio		Lazard International Equity Portfolio		Lazard International Equity Select Portfolio		Lazard International Strategic Equity Portfolio		Lazard International Small Cap Equity Portfolio		Lazard Emerging Markets Equity Portfolio
Agriculture	—	%	1.4	%	1.3	%	1.9	%	—	%	0.9	%
Airport Development & Maintenance	18.9		—		—		—		—		—
Alcohol & Tobacco	—		5.7		7.7		5.8		—		5.9
Automotive	—		2.1		1.8		2.3		2.4		—
Banking	—		9.6		13.0		7.6		1.8		18.6
Building Materials	—		—		—		—		—		0.7
Cable Television	—		1.4		1.5		3.4		—		—
Chemicals	—		1.3		1.3		3.4		4.9		—
Commercial Services	—		3.4		2.7		2.0		15.1		4.3
Computer Software	—		1.5		2.9		—		—		2.4
Construction & Engineering	—		—		—		—		0.9		2.0
Consumer Products	—		—		—		1.3		4.1		3.9
Diversified	—		0.5		1.0		—		—		2.6
Electric	18.8		1.4		—		—		—		0.9
Energy Exploration & Production	—		—		1.3		1.8		—		1.9
Energy Integrated	—		5.8		4.7		2.5		—		3.5
Energy Services	4.0		2.7		3.1		4.3		5.3		0.4
Financial Services	—		1.6		1.0		2.9		8.0		6.4
Food & Beverages	—		3.8		4.1		7.1		0.8		0.9
Forest & Paper Products	—		2.3		1.8		4.4		1.1		0.7
Gas Utilities	14.7		—		—		—		—		—
Health Services	—		—		—		1.7		4.0		—
Housing	—		5.0		3.1		4.8		1.4		1.6
Insurance	—		4.8		3.6		5.4		—		1.2
Leisure & Entertainment	—		3.0		1.5		5.6		4.4		1.0
Manufacturing	—		7.5		7.7		7.2		12.8		3.8
Medical Products	—		—		—		1.5		5.9		—
Metals & Mining	—		2.2		3.1		—		0.9		6.8
Pharmaceutical & Biotechnology	—		12.9		11.5		8.6		3.5		—
Real Estate	—		—		0.6		—		1.6		—
Retail	—		3.7		3.1		5.7		8.4		5.5
Semiconductors & Components	—		2.9		3.6		0.7		3.9		5.0
Technology	—		1.0		1.1		—		1.0		1.6
Technology Hardware	—		—		—		—		2.4		2.1
Telecommunications	—		4.3		6.5		—		1.7		12.1
Transportation	36.3		2.7		2.0		1.5		2.8		1.0
Water	4.0		—		—		—		—		—
Subtotal	96.7		94.5		96.6		93.4		99.1		97.7
Short-Term Investments	1.1		—		3.2		5.7		1.3		2.3
Repurchase Agreement	—		5.3		—		—		—		—
Total Investments	97.8	%	99.8	%	99.8	%	99.1	%	100.4	%	100.0	%

The accompanying notes are an integral part of these financial statements.

106  Semi-Annual Report

Industry	Lazard Developing Markets Equity Portfolio		Lazard Emerging Markets Equity Blend Portfolio		Lazard Emerging Markets Multi-Strategy Portfolio		Lazard Emerging Markets Debt Portfolio		Lazard International Realty Equity Portfolio		Lazard Global Fixed Income Portfolio
Agriculture	1.4	%	2.0	%	1.0	%	—	%	—	%	—	%
Alcohol & Tobacco	—		2.6		1.2		—		—		—
Apparel & Textiles	1.1		0.5		0.2		—		—		—
Automotive	4.2		3.6		1.9		—		—		0.8
Banking	24.4		19.6		11.0		4.3		—		2.3
Cable Television	—		—		—		—		—		1.1
Commercial Services	—		1.8		0.8		—		—		—
Computer Software	2.2		1.3		0.6		—		—		1.0
Construction & Engineering	2.1		2.9		1.6		0.4		—		—
Consumer Products	—		1.7		1.0		—		—		—
Diamonds & Precious Stones	—		—		0.3		—		—		—
Diversified	—		1.3		0.6		—		—		—
Electric	1.0		1.2		0.6		1.0		—		6.1
Electric Generation	—		—		—		—		—		0.6
Energy	—		—		0.3		0.3		—		2.3
Energy Exploration & Production	5.7		2.1		2.6		2.8		—		—
Energy Integrated	4.5		4.2		3.2		2.0		—		2.9
Energy Services	3.3		2.5		1.4		1.5		—		2.8
Financial Services	2.0		2.8		1.7		—		—		14.8
Food & Beverages	—		1.0		0.8		—		—		—
Forest & Paper Products	0.9		1.0		0.5		—		—		—
Health Services	—		—		—		—		—		0.3
Housing	—		—		—		—		1.5		—
Insurance	2.1		2.5		1.4		—		—		—
Leisure & Entertainment	2.2		2.3		1.4		0.4		2.0		—
Manufacturing	9.4		5.0		2.5		—		—		—
Metals & Mining	6.3		5.9		3.2		0.5		—		2.7
Pharmaceutical & Biotechnology	1.6		1.5		0.8		—		—		—
Real Estate	5.1		1.8		0.9		—		93.7		—
Restaurants	—		—		—		0.4		—		—
Retail	5.7		3.1		2.3		—		—		—
Semiconductors & Components	4.9		6.1		2.7		—		—		—
Steel-Producers	—		—		0.3		0.2		—		—
Technology Hardware	1.3		3.2		1.5		—		—		—
Telecommunications	1.1		7.8		4.4		1.0		—		1.0
Transportation	3.0		1.8		1.4		0.7		—		4.1
Water	—		—		0.1		—		—		—
Subtotal	95.5		93.1		54.2		15.5		97.2		42.8
Foreign Government Obligations	—		—		18.4		76.6		—		47.7
Supranationals	—		—		0.2		0.7		—		7.5
Short-Term Investments	4.2		5.6		23.9		5.1		3.7		0.9
Total Investments	99.7	%	98.7	%	96.7	%	97.9	%	100.9	%	98.9	%

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  107

The Lazard Funds, Inc. Statements of Assets and Liabilities (unaudited)

June 30, 2012	Lazard U.S. Equity Concentrated Portfolio				Lazard U.S. Strategic Equity Portfolio
ASSETS
Investments in securities, at value		$	47,288,803			$	80,779,604
Cash			—				—
Foreign currency			—				—
Receivables for:
Dividends and interest			42,227				66,423
Capital stock sold			158,755				15,820
Investments sold			1,988,111				863,327
Amount due from Investment Manager (Note 3)			—				—
Prepaid expenses			52,818				—
Gross unrealized appreciation on forward currency contracts			—				—
Total assets			49,530,714				81,725,174
LIABILITIES
Payables for:
Management fees			15,058				29,890
Accrued distribution fees			56				1,753
Accrued directors’ fees			—				722
Investments purchased			—				—
Capital stock redeemed			35,415				85,122
Gross unrealized depreciation on forward currency contracts			—				—
Other accrued expenses and payables			35,931				38,690
Total liabilities			86,460				156,177
Net assets		$	49,444,254			$	81,568,997
NET ASSETS
Paid in capital		$	49,987,096			$	87,125,153
Undistributed net investment income			108,060				1,412,381
Accumulated net realized gain (loss)			(2,474,621	)			(14,841,008	)
Net unrealized appreciation (depreciation) on:
Investments			1,823,719				7,872,471
Foreign currency and forward currency contracts			—				—
Net assets		$	49,444,254			$	81,568,997
Institutional Shares
Net assets		$	49,167,594			$	72,889,295
Shares of capital stock outstanding*			4,979,950				7,639,118
Net asset value, offering and redemption price per share		$	9.87			$	9.54
Open Shares
Net assets		$	276,660			$	8,679,702
Shares of capital stock outstanding*			27,900				910,351
Net asset value, offering and redemption price per share		$	9.92			$	9.53
Cost of investments in securities		$	45,465,084			$	72,907,133
Cost of foreign currency		$	—			$	—

* $0.001 par value, 3,400,000,000 shares authorized for the Portfolios in total.

The accompanying notes are an integral part of these financial statements.

108  Semi-Annual Report

Lazard U.S. Mid Cap Equity Portfolio				Lazard U.S. Small-Mid Cap Equity Portfolio			Lazard Global Listed Infrastructure Portfolio				Lazard International Equity Portfolio				Lazard International Equity Select Portfolio
	$	96,329,049			$	208,914,180		$	123,127,567			$	108,461,079			$	6,269,852
		—				708			—				537				—
		—				—			198,297				29,910				6,852
		96,995				180,643			506,244				374,406				26,804
		86,439				20,041			927,800				193,078				3,168
		2,346,389				2,176,930			59				—				91
		—				—			—				—				14,682
		—				—			—				—				—
		—				—			1,726,610				—				—
		98,858,872				211,292,502			126,486,577				109,059,010				6,321,449
		59,516				123,686			87,743				63,324				—
		9,083				3,666			2,090				3,956				497
		1,419				2,308			1,084				1,090				58
		1,271,811				3,323,231			8,433				197,498				11,487
		14,221				16,338			54,894				94,118				—
		—				—			391,516				—				—
		57,682				59,382			49,994				50,844				26,611
		1,413,732				3,528,611			595,754				410,830				38,653
	$	97,445,140			$	207,763,891		$	125,890,823			$	108,648,180			$	6,282,796
	$	158,498,147			$	201,035,761		$	133,147,187			$	132,726,676			$	10,324,032
		214,642				396,653			1,010,677				3,967,364				159,412
		(59,942,283	)			3,936,580			(3,364,993	)			(32,719,922	)			(4,302,490	)
		(1,325,366	)			2,394,897			(6,237,298	)			4,675,269				101,828
		—				—			1,335,250				(1,207	)			14
	$	97,445,140			$	207,763,891		$	125,890,823			$	108,648,180			$	6,282,796
	$	53,078,695			$	189,519,663		$	114,926,129			$	88,655,584			$	3,767,426
		4,337,623				14,968,857			11,244,260				6,626,609				493,640
	$	12.24			$	12.66		$	10.22			$	13.38			$	7.63
	$	44,366,445			$	18,244,228		$	10,964,694			$	19,992,596			$	2,515,370
		3,676,557				1,481,376			1,072,240				1,484,694				329,046
	$	12.07			$	12.32		$	10.23			$	13.47			$	7.64
	$	97,654,415			$	206,519,283		$	129,364,865			$	103,785,810			$	6,168,024
	$	—			$	—		$	199,271			$	30,094			$	6,910

Semi-Annual Report  109

June 30, 2012	Lazard International Strategic Equity Portfolio				Lazard International Small Cap Equity Portfolio
ASSETS
Investments in securities and purchased options, at value		$	807,131,591			$	58,095,029
Cash			—				—
Foreign currency			14,320				46,998
Receivables for:
Dividends and interest			2,421,815				175,054
Capital stock sold			8,512,892				32,390
Investments sold			15,647				1,186,559
Gross unrealized appreciation on:
Forward currency contracts			—				—
Swap agreements			—				—
Premium for swap agreements purchased			—				—
Total assets			818,096,265				59,536,030
LIABILITIES
Payables for:
Management fees			434,110				32,434
Accrued distribution fees			27,234				3,390
Accrued directors’ fees			5,074				564
Investments purchased			2,703,156				1,280,216
Capital stock redeemed			215,818				296,701
Dividends			—				—
Gross unrealized depreciation on:
Forward currency contracts			—				—
Swap agreements			—				—
Premium for written swap agreements			—				—
Written options, at value			—				—
Other accrued expenses and payables			68,714				50,501
Total liabilities			3,454,106				1,663,806
Net assets		$	814,642,159			$	57,872,224
NET ASSETS
Paid in capital		$	837,072,370			$	131,271,389
Undistributed (distributions in excess of) net investment income			9,809,961				1,424,905
Accumulated net realized gain (loss)			(80,161,812	)			(83,089,435	)
Net unrealized appreciation (depreciation) on:
Investments			47,920,777				8,268,908
Foreign currency and forward currency contracts			863				(3,543	)
Swap agreements			—				—
Net assets		$	814,642,159			$	57,872,224
Institutional Shares
Net assets		$	624,628,290			$	41,220,605
Shares of capital stock outstanding*			61,122,511				5,566,326
Net asset value, offering and redemption price per share		$	10.22			$	7.41
Open Shares
Net assets		$	190,013,869			$	16,651,619
Shares of capital stock outstanding*			18,469,802				2,246,376
Net asset value, offering and redemption price per share		$	10.29			$	7.41
Cost of investments in securities		$	759,210,814			$	49,826,121
Cost of foreign currency		$	14,330			$	47,113

* $0.001 par value, 3,400,000,000 shares authorized for the Portfolios in total.

The accompanying notes are an integral part of these financial statements.

110  Semi-Annual Report

Lazard Emerging Markets Equity Portfolio				Lazard Developing Markets Equity Portfolio				Lazard Emerging Markets Equity Blend Portfolio				Lazard Emerging Markets Multi-Strategy Portfolio				Lazard Emerging Markets Debt Portfolio
	$	14,724,173,570			$	333,013,368			$	155,480,748			$	65,632,896			$	192,916,625
		—				—				—				—				758,536
		4,449,300				25,042				471,329				2,059,852				4,130,293
		81,582,324				1,181,952				721,521				386,827				2,806,769
		22,885,064				1,529,438				400,263				40,379				133,505
		19,878,328				971,972				1,456,869				603,585				1,818,414
		—				—				—				239,587				634,202
		—				—				—				21,330				—
		—				—				—				73,154				—
		14,852,968,586				336,721,772				158,530,730				69,057,610				203,198,344
		11,540,721				265,335				123,917				41,694				123,571
		521,511				15,255				5,647				113				123
		147,939				2,684				1,123				414				801
		90,932,596				1,564,590				708,202				783,570				5,543,590
		26,367,398				762,904				153,660				6,078				26,402
		—				—				—				—				20,575
		—				—				—				262,475				487,560
		—				—				—				69,102				—
		—				—				—				83,792				—
		—				—				—				3,625				—
		3,026,359				83,643				40,933				58,969				10,846
		132,536,524				2,694,411				1,033,482				1,309,832				6,213,468
	$	14,720,432,062			$	334,027,361			$	157,497,248			$	67,747,778			$	196,984,876
	$	14,184,149,212			$	396,413,058			$	174,395,718			$	70,448,793			$	191,830,074
		180,663,598				2,146,505				1,243,078				169,306				(677,710	)
		330,390,450				(19,583,503	)			(7,502,963	)			(2,282,796	)			2,394,386
		25,737,128				(44,947,597	)			(10,636,043	)			(523,127	)			3,265,541
		(508,326	)			(1,102	)			(2,542	)			(16,626	)			172,585
		—				—				—				(47,772	)			—
	$	14,720,432,062			$	334,027,361			$	157,497,248			$	67,747,778			$	196,984,876
	$	12,105,477,571			$	256,547,855			$	127,368,778			$	67,098,459			$	196,330,683
		665,325,407				22,627,791				12,137,609				7,400,547				19,146,317
	$	18.19			$	11.34			$	10.49			$	9.07			$	10.25
	$	2,614,954,491			$	77,479,506			$	30,128,470			$	649,319			$	654,193
		140,593,286				6,843,308				2,879,115				71,611				63,625
	$	18.60			$	11.32			$	10.46			$	9.07			$	10.28
	$	14,698,436,442			$	377,960,965			$	166,116,791			$	66,156,023			$	189,651,084
	$	4,455,948			$	24,483			$	474,906			$	2,049,619			$	4,081,091

Semi-Annual Report  111

June 30, 2012	Lazard U.S. Realty Income Portfolio				Lazard U.S. Realty Equity Portfolio
ASSETS
Investments in securities and purchased options, at value		$	55,110,887			$	38,914,237
Cash			—				—
Foreign currency			—				—
Receivables for:
Dividends and interest			642,990				111,461
Capital stock sold			482,461				459,015
Investments sold			—				1,090,603
Amount due from Investment Manager (Note 3)			—				—
Gross unrealized appreciation on:
Forward currency contracts			—				—
Swap Agreements			—				—
Premium for swap agreements purchased			—				—
Deferred offering costs (Note 2(i))			—				—
Total assets			56,236,338				40,575,316
LIABILITIES
Payables for:
Management fees			35,014				20,592
Accrued distribution fees			3,183				6,285
Accrued directors’ fees			739				244
Investments purchased			—				2,001,526
Capital stock redeemed			1,075				63,826
Dividends			—				—
Gross unrealized depreciation on forward currency contracts			—				—
Other accrued expenses and payables			35,390				20,178
Total liabilities			75,401				2,112,651
Net assets		$	56,160,937			$	38,462,665
NET ASSETS
Paid in capital		$	51,442,059			$	36,427,387
Undistributed (distributions in excess of) net investment income			(6,203	)			204,823
Accumulated net realized gain (loss)			1,327,330				613,762
Net unrealized appreciation (depreciation) on:
Investments			3,397,751				1,216,693
Foreign currency and forward currency contracts			—				—
Swap agreements			—				—
Net assets		$	56,160,937			$	38,462,665
Institutional Shares
Net assets		$	38,312,229			$	1,831,087
Shares of capital stock outstanding*			4,638,703				107,028
Net asset value, offering and redemption price per share		$	8.26			$	17.11
Open Shares
Net assets		$	17,848,708			$	36,631,578
Shares of capital stock outstanding*			2,163,885				2,138,330
Net asset value, offering and redemption price per share		$	8.25			$	17.13
Cost of investments in securities		$	51,713,136			$	37,697,544
Cost of foreign currency		$	—			$	—

* $0.001 par value, 3,400,000,000 shares authorized for the Portfolios in total.

The accompanying notes are an integral part of these financial statements.

112  Semi-Annual Report

Lazard International Realty Equity Portfolio				Lazard U.S. High Yield Portfolio				Lazard U.S. Municipal Portfolio				Lazard Global Fixed Income Portfolio				Lazard Capital Allocator Opportunistic Strategies Portfolio
	$	4,007,683			$	177,913,486			$	19,711,337			$	3,846,985			$	259,855,636
		—				—				—				—				2,190,000
		1,830				—				—				14,225				—
		15,037				3,166,249				247,822				67,943				68,302
		—				9,059				—				—				19,521
		—				—				—				—				5,334,437
		10,550				—				10,247				28,221				—
		—				—				—				26,281				212,449
		—				—				—				—				461,844
		—				—				—				—				9,518
		—				—				—				93,994				—
		4,035,100				181,088,794				19,969,406				4,077,649				268,151,707
		—				55,849				—				—				188,583
		875				920				4				5				858
		125				1,660				83				331				2,724
		2				—				—				—				4,837,085
		—				35,627				2,773				—				536,167
		—				155,367				5,365				2				—
		—				—				—				24,458				—
		64,071				50,229				23,526				163,280				30,647
		65,073				299,652				31,751				188,076				5,596,064
	$	3,970,027			$	180,789,142			$	19,937,655			$	3,889,573			$	262,555,643
	$	3,789,772			$	183,799,306			$	19,584,288			$	3,906,485			$	267,292,966
		16,003				(128,289	)			(300	)			(66	)			(1,036,410	)
		(20,435	)			(8,098,826	)			(29,956	)			23,982				(2,477,058	)
		184,603				5,216,951				383,623				(41,592	)			(1,898,148	)
		84				—				—				764				212,449
		—				—				—				—				461,844
	$	3,970,027			$	180,789,142			$	19,937,655			$	3,889,573			$	262,555,643
	$	2,304,473			$	176,531,816			$	19,933,520			$	3,863,375			$	258,484,306
		158,365				36,139,557				1,935,083				387,973				26,910,368
	$	14.55			$	4.88			$	10.30			$	9.96			$	9.61
	$	1,665,554			$	4,257,326			$	4,135			$	26,198			$	4,071,337
		114,693				866,715				401				2,632				424,512
	$	14.52			$	4.91			$	10.31			$	9.95			$	9.59
	$	3,823,080			$	172,696,535			$	19,327,714			$	3,888,577			$	261,753,784
	$	1,846			$	—			$	—			$	14,307			$	—

Semi-Annual Report  113

The Lazard Funds, Inc. Statements of Operations (unaudited)

For the Six Months Ended June 30, 2012	Lazard U.S. Equity Concentrated Portfolio				Lazard U.S. Strategic Equity Portfolio
Investment Income
Income
Dividends		$	205,547			$	765,308
Interest			—				2
Total investment income*			205,547				765,310
Expenses
Management fees (Note 3)			69,227				274,535
Custodian fees			28,576				27,706
Distribution fees (Open Shares)			376				10,882
Shareholders’ services			12,526				13,530
Shareholders’ reports			1,495				2,457
Administration fees			25,331				32,708
Directors’ fees and expenses			4,682				1,420
Professional services			23,481				24,143
Registration fees			12,432				11,437
Shareholders’ meetings			6,217				—
Other†			1,821				2,521
Total gross expenses			186,164				401,339
Management fees waived and expenses reimbursed			(95,994	)			(94,117	)
Administration fees waived			(7,813	)			—
Expense reductions (Note 2(k))			—				(19	)
Total net expenses			82,357				307,203
Net investment income			123,190				458,107
Net Realized and Unrealized Gain (Loss) on Investments, Foreign Currency and Forward Currency Contracts
Net realized gain (loss) on:
Investments**			(22,364	)			3,992,515
Foreign currency and forward currency contracts			—				—
Net change in unrealized appreciation (depreciation) on:
Investments			1,515,802				(594,639	)
Foreign currency and forward currency contracts			—				—
Net realized and unrealized gain on investments, foreign currency and forward currency contracts			1,493,438				3,397,876
Net increase in net assets resulting from operations		$	1,616,628			$	3,855,983
* Net of foreign withholding taxes of		$	44			$	—
** Net of foreign capital gains taxes of		$	—			$	—
† Includes interest on line of credit of		$	3			$	24

The accompanying notes are an integral part of these financial statements.

114  Semi-Annual Report

Lazard U.S. Mid Cap Equity Portfolio				Lazard U.S. Small-Mid Cap Equity Portfolio				Lazard Global Listed Infrastructure Portfolio				Lazard International Equity Portfolio				Lazard International Equity Select Portfolio
	$	830,218			$	1,229,943			$	2,893,894			$	2,319,721			$	134,387
		13				243				271				193				25
		830,231				1,230,186				2,894,165				2,319,914				134,412
		477,254				850,003				534,125				406,991				27,797
		32,631				43,728				46,873				51,001				41,767
		61,651				24,074				12,343				24,100				3,232
		14,288				15,226				16,785				14,479				16,004
		7,710				7,839				5,776				6,322				2,016
		37,591				47,531				36,734				35,717				25,518
		2,746				4,352				2,234				2,100				120
		25,077				25,988				24,712				24,636				23,418
		7,798				14,919				18,195				13,923				11,935
		—				—				—				—				—
		3,514				4,259				3,270				3,087				1,788
		670,260				1,037,919				701,047				582,356				153,595
		—				—				—				—				(112,109	)
		—				—				—				—				—
		(2	)			(3	)			(1	)			(7	)			—
		670,258				1,037,916				701,046				582,349				41,486
		159,973				192,270				2,193,119				1,737,565				92,926
		8,652,809				7,698,112				1,085,668				4,382,236				132,886
		—				—				1,159,314				(49,224	)			(1,599	)
		(1,605,368	)			3,761,027				2,468,805				1,628,256				195,620
		—				—				(172,141	)			2,045				179
		7,047,441				11,459,139				4,541,646				5,963,313				327,086
	$	7,207,414			$	11,651,409			$	6,734,765			$	7,700,878			$	420,012
	$	—			$	—			$	318,627			$	234,916			$	13,909
	$	—			$	—			$	—			$	11			$	—
	$	1,002			$	2,083			$	127			$	367			$	112

Semi-Annual Report  115

For the Six Months Ended June 30, 2012	Lazard International Strategic Equity Portfolio				Lazard International Small Cap Equity Portfolio
Investment Income
Income
Dividends		$	11,121,299			$	961,357
Interest			1,899				2
Total investment income*			11,123,198				961,359
Expenses
Management fees (Note 3)			2,263,206				224,147
Custodian fees			104,255				39,456
Distribution fees (Open Shares)			112,261				22,583
Shareholders’ services			15,881				13,985
Shareholders’ reports			16,063				6,512
Administration fees			85,217				30,841
Directors’ fees and expenses			10,227				1,115
Professional services			29,561				24,032
Registration fees			21,383				13,426
Amortization of offering costs (Note 2(i))			—				—
Other†			7,409				2,392
Total gross expenses			2,665,463				378,489
Management fees waived and expenses reimbursed			—				(13,675	)
Expense reductions (Note 2(k))			(127	)			—
Total net expenses			2,665,336				364,814
Net investment income			8,457,862				596,545
Net Realized and Unrealized Gain (Loss) on Investments, Foreign Currency, Forward Currency Contracts, Options and Swap Agreements
Net realized gain (loss) on:
Investments**			(2,100,640	)			537,181
Foreign currency and forward currency contracts			(182,453	)			(6,219	)
Options			—				—
Swap agreements			—				—
Net change in unrealized appreciation (depreciation) on:
Investments			42,659,448				3,519,975
Foreign currency and forward currency contracts			(3,759	)			(477	)
Options			—				—
Swap agreements			—				—
Net realized and unrealized gain on investments, foreign currency, forward currency contracts, options and swap agreements			40,372,596				4,050,460
Net increase in net assets resulting from operations		$	48,830,458			$	4,647,005
* Net of foreign withholding taxes of		$	938,512			$	111,510
** Net of foreign capital gains taxes of		$	4,105			$	—
† Includes interest on line of credit of		$	—			$	25

The accompanying notes are an integral part of these financial statements.

116  Semi-Annual Report

Lazard Emerging Markets Equity Portfolio			Lazard Developing Markets Equity Portfolio				Lazard Emerging Markets Equity Blend Portfolio				Lazard Emerging Markets Multi-Strategy Portfolio				Lazard Emerging Markets Debt Portfolio
$	294,984,769			$	4,165,266			$	2,186,089			$	555,018			$	—
	42,275				—				307				363,990				4,764,152
	295,027,044				4,165,266				2,186,396				919,008				4,764,152
	75,244,957				1,553,543				721,347				320,851				663,351
	4,778,116				109,955				93,606				100,839				60,520
	3,452,121				90,031				34,622				719				702
	1,476,058				36,107				24,498				12,906				12,785
	1,144,243				41,782				8,797				1,777				2,051
	827,040				55,935				38,604				31,266				41,300
	287,750				5,323				2,299				985				2,143
	199,471				26,482				24,741				29,242				29,695
	74,590				19,891				19,891				14,608				13,054
	—				—				—				12,599				7,152
	193,092				4,431				2,817				2,156				2,560
	87,677,438				1,943,480				971,222				527,948				835,313
	—				—				(6,816	)			(109,979	)			(6,018	)
	—				(173	)			—				—				—
	87,677,438				1,943,307				964,406				417,969				829,295
	207,349,606				2,221,959				1,221,990				501,039				3,934,857
	424,558,574				(11,619,096	)			(2,558,114	)			(1,307,985	)			2,201,698
	(4,540,914	)			(181,063	)			(44,570	)			185,901				248,022
	—				—				—				20,081				48,858
	—				—				—				(89,608	)			14,663
	499,177,520				13,666,312				7,933,119				3,948,698				4,070,819
	(306,618	)			874				828				(25,145	)			292,243
	—				—				—				(20,988	)			(67,775	)
	—				—				—				(57,080	)			(15,984	)
	918,888,562				1,867,027				5,331,263				2,653,874				6,792,544
$	1,126,238,168			$	4,088,986			$	6,553,253			$	3,154,913			$	10,727,401
$	33,527,143			$	292,154			$	212,838			$	54,999			$	37,188
$	32,562			$	—			$	—			$	—			$	—
$	3,554			$	—			$	—			$	—			$	—

Semi-Annual Report  117

For the Period Ended June 30, 2012	Lazard U.S. Realty Income Portfolio				Lazard U.S. Realty Equity Portfolio
Investment Income
Income
Dividends		$	1,571,435			$	362,459
Interest			55,640				—
Total investment income*			1,627,075				362,459
Expenses
Management fees (Note 3)			162,318				85,440
Custodian fees			26,096				25,646
Distribution fees (Open Shares)			15,031				24,563
Shareholders’ services			15,163				14,345
Shareholders’ reports			2,561				2,491
Administration fees			26,556				24,680
Directors’ fees and expenses			1,078				354
Professional services			23,526				22,990
Registration fees			9,870				9,909
Amortization of offering costs (Note 2(i))			—				—
Other†			2,124				1,812
Total gross expenses			284,323				212,230
Management fees waived and expenses reimbursed			(13,794	)			(46,368	)
Administration fees and shareholders’ services fees waived			(3,580	)			(8,226	)
Expense reductions (Note 2(k))			(24	)			—
Total net expenses			266,925				157,636
Net investment income			1,360,150				204,823
Net Realized and Unrealized Gain (Loss) on Investments, Foreign Currency, Forward Currency Contracts, Options and Swap Agreements
Net realized gain (loss) on:
Investments			1,241,487				671,081
Foreign currency and forward currency contracts			—				—
Options			—				—
Swap agreements			—				—
Net change in unrealized appreciation (depreciation) on:
Investments			2,310,000				1,084,561
Foreign currency and forward currency contracts			—				—
Swap agreements			—				—
Net realized and unrealized gain (loss) on investments, foreign currency, forward currency contracts, options and swap agreements			3,551,487				1,755,642
Net increase in net assets resulting from operations		$	4,911,637			$	1,960,465
* Net of foreign withholding taxes of		$	—			$	—
† Includes interest on line of credit of		$	—			$	—
(a) From Portfolio’s commencement of operations on March 30, 2012.

The accompanying notes are an integral part of these financial statements.

118  Semi-Annual Report

Lazard International Realty Equity Portfolio				Lazard U.S. High Yield Portfolio				Lazard U.S. Municipal Portfolio				Lazard Global Fixed Income Portfolio (a)				Lazard Capital Allocator Opportunistic Strategies Portfolio
	$	67,711			$	—			$	—			$	—			$	2,585,523
		—				6,519,975				146,249				25,304				—
		67,711				6,519,975				146,249				25,304				2,585,523
		15,798				478,916				19,347				4,601				1,372,771
		33,416				38,470				26,198				29,782				39,464
		1,648				6,358				88				14				6,835
		19,673				13,754				12,568				9,765				17,397
		1,511				3,402				1,512				1,909				5,613
		26,227				42,279				29,254				12,132				52,320
		159				3,214				198				331				5,259
		22,987				25,335				23,488				16,205				29,379
		9,917				14,919				13,054				662				15,415
		—				—				6,998				31,217				—
		1,735				3,432				1,783				1,324				4,596
		133,071				630,079				134,488				107,942				1,549,049
		(92,943	)			(143,495	)			(94,050	)			(90,150	)			(140,152	)
		(15,330	)			—				(9,375	)			(10,413	)			—
		(1	)			(39	)			(2	)			—				(468	)
		24,797				486,545				31,061				7,379				1,408,429
		42,914				6,033,430				115,188				17,925				1,177,094
		62,425				(771,196	)			53,618				(11,564	)			1,634,116
		(947	)			—				—				35,546				507,118
		—				—				—				—				(4,258,831	)
		—				—				—				—				2,101,315
		420,477				4,317,435				53,147				(41,592	)			9,046,918
		142				—				—				764				44,875
		—				—				—				—				(727,604	)
		482,097				3,546,239				106,765				(16,846	)			8,347,907
	$	525,011			$	9,579,669			$	221,953			$	1,079			$	9,525,001
	$	5,607			$	—			$	—			$	—			$	—
	$	3			$	—			$	—			$	—			$	—

Semi-Annual Report  119

The Lazard Funds, Inc. Statements of Changes in Net Assets

	Lazard U.S. Equity Concentrated Portfolio								Lazard U.S. Strategic Equity Portfolio
	Six Months Ended June 30, 2012 (unaudited)				Year Ended December 31, 2011				Six Months Ended June 30, 2012 (unaudited)				Year Ended December 31, 2011
Increase (Decrease) in Net Assets
Operations
Net investment income		$	123,190			$	204,617			$	458,107			$	954,276
Net realized gain (loss) on investments			(22,364	)			364,274				3,992,515				5,688,163
Net change in unrealized appreciation (depreciation) on investments, foreign currency and forward currency contracts			1,515,802				(1,023,366	)			(594,639	)			(4,935,431	)
Net increase (decrease) in net assets resulting from operations			1,616,628				(454,475	)			3,855,983				1,707,008
Distributions to shareholders
From net investment income
Institutional Shares			—				(198,163	)			—				(576,867	)
Open Shares			—				(4,595	)			—				(58,180	)
From net realized gains
Institutional Shares			—				—				—				—
Open Shares			—				—				—				—
Net decrease in net assets resulting from distributions			—				(202,758	)			—				(635,047	)
Capital stock transactions
Net proceeds from sales
Institutional Shares			39,174,363				1,193,666				11,245,479				6,937,102
Open Shares			4,021				89,277				1,213,135				4,340,833
Net proceeds from reinvestment of distributions
Institutional Shares			—				185,473				—				567,917
Open Shares			—				4,156				—				52,247
Cost of shares redeemed
Institutional Shares			(2,711,338	)			(2,693,580	)			(5,982,526	)			(15,409,162	)
Open Shares			(60,893	)			(62,855	)			(1,480,556	)			(6,074,788	)
Net increase (decrease) in net assets from capital stock transactions			36,406,153				(1,283,863	)			4,995,532				(9,585,851	)
Redemption fees (Note 2(l))
Institutional Shares			1,498				792				433				3
Open Shares			—				27				—				—
Net increase in net assets from redemption fees			1,498				819				433				3
Total increase (decrease) in net assets			38,024,279				(1,940,277	)			8,851,948				(8,513,887	)
Net assets at beginning of period			11,419,975				13,360,252				72,717,049				81,230,936
Net assets at end of period*		$	49,444,254			$	11,419,975			$	81,568,997			$	72,717,049
* Includes undistributed (distributions in excess of) net investment income of		$	108,060			$	(15,130	)		$	1,412,381			$	954,274
Shares issued and redeemed
Institutional Shares
Shares outstanding at beginning of period			1,201,733				1,367,217				7,111,530				7,940,671
Shares sold			4,055,380				125,073				1,152,165				747,369
Shares issued to shareholders from reinvestment of distributions			—				20,226				—				68,341
Shares redeemed			(277,163	)			(310,783	)			(624,577	)			(1,644,851	)
Net increase (decrease)			3,778,217				(165,484	)			527,588				(829,141	)
Shares outstanding at end of period			4,979,950				1,201,733				7,639,118				7,111,530
Open Shares
Shares outstanding at beginning of period			33,507				30,610				937,896				1,117,356
Shares sold			397				9,117				127,753				493,469
Shares issued to shareholders from reinvestment of distributions			—				450				—				6,273
Shares redeemed			(6,004	)			(6,670	)			(155,298	)			(679,202	)
Net increase (decrease)			(5,607	)			2,897				(27,545	)			(179,460	)
Shares outstanding at end of period			27,900				33,507				910,351				937,896

The accompanying notes are an integral part of these financial statements.

120  Semi-Annual Report

Lazard U.S. Mid Cap Equity Portfolio							Lazard U.S. Small-Mid Cap Equity Portfolio								Lazard Global Listed Infrastructure Portfolio
Six Months Ended June 30, 2012 (unaudited)				Year Ended December 31, 2011			Six Months Ended June 30, 2012 (unaudited)				Year Ended December 31, 2011				Six Months Ended June 30, 2012 (unaudited)				Year Ended December 31, 2011
	$	159,973		$	496,207			$	192,270			$	99,519			$	2,193,119			$	5,612,784
		8,652,809			20,582,485				7,698,112				15,518,519				2,244,982				(4,444,075	)
		(1,605,368	)		(29,275,062	)			3,761,027				(35,330,896	)			2,296,664				(10,010,289	)
		7,207,414			(8,196,370	)			11,651,409				(19,712,858	)			6,734,765				(8,841,580	)
		—			(289,121	)			—				—				(1,321,941	)			(2,943,345	)
		—			(10,886	)			—				—				(107,613	)			(44,386	)
		—			—				—				(16,582,657	)			—				(2,415,101	)
		—			—				—				(2,011,539	)			—				(194,462	)
		—			(300,007	)			—				(18,594,196	)			(1,429,554	)			(5,597,294	)
		9,667,700			36,120,152				49,444,703				61,357,231				21,671,126				213,298,092
		5,377,319			16,367,559				1,832,419				11,124,812				3,104,678				10,292,625
		—			217,196				—				16,247,181				1,164,999				5,050,814
		—			10,017				—				1,937,041				106,084				234,195
		(53,434,564	)		(66,277,487	)			(37,299,150	)			(115,744,067	)			(17,229,024	)			(215,684,733	)
		(15,160,649	)		(30,331,603	)			(4,947,107	)			(10,055,892	)			(1,031,340	)			(1,762,415	)
		(53,550,194	)		(43,894,166	)			9,030,865				(35,133,694	)			7,786,523				11,428,578
		13			1,396				4				662				620				10,079
		89			861				79				701				193				237
		102			2,257				83				1,363				813				10,316
		(46,342,678	)		(52,388,286	)			20,682,357				(73,439,385	)			13,092,547				(2,999,980	)
		143,787,818			196,176,104				187,081,534				260,520,919				112,798,276				115,798,256
	$	97,445,140		$	143,787,818			$	207,763,891			$	187,081,534			$	125,890,823			$	112,798,276
	$	214,642		$	54,669			$	396,653			$	204,383			$	1,010,677			$	247,112
		7,726,268			10,039,112				14,128,698				16,413,981				10,683,008				11,214,996
		756,897			2,844,927				3,836,711				4,644,003				2,158,286				20,313,345
		—			18,360				—				1,387,462				115,713				504,434
		(4,145,542	)		(5,176,131	)			(2,996,552	)			(8,316,748	)			(1,712,747	)			(21,349,767	)
		(3,388,645	)		(2,312,844	)			840,159				(2,285,283	)			561,252				(531,988	)
		4,337,623			7,726,268				14,968,857				14,128,698				11,244,260				10,683,008
		4,439,926			5,586,393				1,739,728				1,516,112				854,515				11,448
		432,218			1,319,630				146,002				781,245				310,173				998,492
		—			858				—				169,767				10,538				23,929
		(1,195,587	)		(2,466,955	)			(404,354	)			(727,396	)			(102,986	)			(179,354	)
		(763,369	)		(1,146,467	)			(258,352	)			223,616				217,725				843,067
		3,676,557			4,439,926				1,481,376				1,739,728				1,072,240				854,515

Semi-Annual Report  121

	Lazard International Equity Portfolio								Lazard International Equity Select Portfolio
	Six Months Ended June 30, 2012 (unaudited)				Year Ended December 31, 2011				Six Months Ended June 30, 2012 (unaudited)				Year Ended December 31, 2011
Increase (Decrease) in Net Assets
Operations
Net investment income		$	1,737,565			$	2,318,637			$	92,926			$	105,122
Net realized gain (loss) on investments and foreign currency			4,333,012				11,733,922				131,287				432,033
Net change in unrealized appreciation (depreciation) on investments and foreign currency			1,630,301				(21,019,680	)			195,799				(981,115	)
Net increase (decrease) in net assets resulting from operations			7,700,878				(6,967,121	)			420,012				(443,960	)
Distributions to shareholders
From net investment income
Institutional Shares			—				(2,126,498	)			—				(107,555	)
Open Shares			—				(635,263	)			—				(74,627	)
From net realized gains
Institutional Shares			—				—				—				—
Open Shares			—				—				—				—
Net decrease in net assets resulting from distributions			—				(2,761,761	)			—				(182,182	)
Capital stock transactions
Net proceeds from sales
Institutional Shares			17,481,532				12,560,444				119,558				2,016,281
Open Shares			4,887,480				9,794,122				155,327				506,572
Net proceeds from reinvestment of distributions
Institutional Shares			—				1,828,974				—				68,756
Open Shares			—				500,209				—				71,302
Cost of shares redeemed
Institutional Shares			(22,172,342	)			(48,236,742	)			(1,149,029	)			(842,321	)
Open Shares			(4,830,556	)			(17,295,953	)			(245,707	)			(882,749	)
Net increase (decrease) in net assets from capital stock transactions			(4,633,886	)			(40,848,946	)			(1,119,851	)			937,841
Redemption fees (Note 2(l))
Institutional Shares			1,770				2,419				335				434
Open Shares			53				505				48				—
Net increase in net assets from redemption fees			1,823				2,924				383				434
Total increase (decrease) in net assets			3,068,815				(50,574,904	)			(699,456	)			312,133
Net assets at beginning of period			105,579,365				156,154,269				6,982,252				6,670,119
Net assets at end of period*		$	108,648,180			$	105,579,365			$	6,282,796			$	6,982,252
* Includes undistributed (distributions in excess of) net investment income of		$	3,967,364			$	2,229,799			$	159,412			$	66,486
Shares issued and redeemed
Institutional Shares
Shares outstanding at beginning of period			6,956,141				9,233,358				629,470				452,165
Shares sold			1,284,763				997,694				15,535				272,980
Shares issued to shareholders from reinvestment of distributions			—				141,891				—				9,279
Shares redeemed			(1,614,295	)			(3,416,802	)			(151,365	)			(104,954	)
Net increase (decrease)			(329,532	)			(2,277,217	)			(135,830	)			177,305
Shares outstanding at end of period			6,626,609				6,956,141				493,640				629,470
Open Shares
Shares outstanding at beginning of period			1,485,123				2,060,873				341,991				381,274
Shares sold			353,216				724,217				19,250				62,633
Shares issued to shareholders from reinvestment of distributions			—				38,448				—				9,583
Shares redeemed			(353,645	)			(1,338,415	)			(32,195	)			(111,499	)
Net increase (decrease)			(429	)			(575,750	)			(12,945	)			(39,283	)
Shares outstanding at end of period			1,484,694				1,485,123				329,046				341,991

The accompanying notes are an integral part of these financial statements.

122  Semi-Annual Report

Lazard International Strategic Equity Portfolio								Lazard International Small Cap Equity Portfolio								Lazard Emerging Markets Equity Portfolio
Six Months Ended June 30, 2012 (unaudited)				Year Ended December 31, 2011				Six Months Ended June 30, 2012 (unaudited)				Year Ended December 31, 2011				Six Months Ended June 30, 2012 (unaudited)				Year Ended December 31, 2011
	$	8,457,862			$	6,554,430			$	596,545			$	1,014,484			$	207,349,606			$	394,340,222
		(2,283,093	)			9,841,271				530,962				1,709,635				420,017,660				1,028,913,203
		42,655,689				(61,915,373	)			3,519,498				(12,142,804	)			498,870,902				(4,571,764,271	)
		48,830,458				(45,519,672	)			4,647,005				(9,418,685	)			1,126,238,168				(3,148,510,846	)
		—				(5,917,381	)			—				(782,430	)			—				(393,452,725	)
		—				(521,056	)			—				(325,694	)			—				(76,508,524	)
		—				—				—				—				—				(299,768,775	)
		—				—				—				—				—				(72,975,928	)
		—				(6,438,437	)			—				(1,108,124	)			—				(842,705,952	)
		173,893,364				133,146,494				1,151,782				2,712,178				1,486,439,335				2,535,357,071
		127,726,173				41,859,596				1,539,280				2,913,697				248,919,169				604,504,647
		—				4,887,709				—				314,338				32,733				562,336,863
		—				516,732				—				310,678				—				136,437,018
		(23,822,159	)			(13,586,712	)			(1,996,819	)			(4,218,322	)			(1,190,727,363	)			(3,596,569,693	)
		(10,677,840	)			(18,325,098	)			(4,092,538	)			(7,000,181	)			(584,736,858	)			(1,365,191,505	)
		267,119,538				148,498,721				(3,398,295	)			(4,967,612	)			(40,072,984	)			(1,123,125,599	)
		757				194				—				31				50,450				176,642
		539				870				4				273				14,303				75,956
		1,296				1,064				4				304				64,753				252,598
		315,951,292				96,541,676				1,248,714				(15,494,117	)			1,086,229,937				(5,114,089,799	)
		498,690,867				402,149,191				56,623,510				72,117,627				13,634,202,125				18,748,291,924
	$	814,642,159			$	498,690,867			$	57,872,224			$	56,623,510			$	14,720,432,062			$	13,634,202,125
	$	9,809,961			$	1,352,099			$	1,424,905			$	828,360			$	180,663,598			$	(26,686,008	)
		46,042,276				33,503,311				5,682,315				5,804,978				648,784,125				668,512,736
		17,427,723				13,344,912				150,993				372,258				80,020,580				126,686,682
		—				517,072				—				43,719				1,967				33,468,597
		(2,347,488	)			(1,323,019	)			(266,982	)			(538,640	)			(63,481,265	)			(179,883,890	)
		15,080,235				12,538,965				(115,989	)			(122,663	)			16,541,282				(19,728,611	)
		61,122,511				46,042,276				5,566,326				5,682,315				665,325,407				648,784,125
		6,637,650				4,312,256				2,586,982				3,070,770				158,774,554				188,734,763
		12,876,276				4,052,901				216,430				370,715				12,969,710				29,261,660
		—				54,762				—				43,090				—				7,994,866
		(1,044,124	)			(1,782,269	)			(557,036	)			(897,593	)			(31,150,978	)			(67,216,735	)
		11,832,152				2,325,394				(340,606	)			(483,788	)			(18,181,268	)			(29,960,209	)
		18,469,802				6,637,650				2,246,376				2,586,982				140,593,286				158,774,554

Semi-Annual Report  123

	Lazard Developing Markets Equity Portfolio								Lazard Emerging Markets Equity Blend Portfolio
	Six Months Ended June 30, 2012 (unaudited)				Year Ended December 31, 2011				Six Months Ended June 30, 2012 (unaudited)				Year Ended December 31, 2011
Increase (Decrease) in Net Assets
Operations
Net investment income		$	2,221,959			$	768,811			$	1,221,990			$	1,302,934
Net realized gain (loss) on investments, foreign currency, forward currency contracts, options and swap agreements			(11,800,159	)			218,300				(2,602,684	)			(5,213,592	)
Net change in unrealized appreciation (depreciation) on investments, foreign currency, forward currency contracts, options and swap agreements			13,667,186				(75,233,479	)			7,933,947				(20,917,779	)
Net increase (decrease) in net assets resulting from operations			4,088,986				(74,246,368	)			6,553,253				(24,828,437	)
Distributions to shareholders
From net investment income
Institutional Shares			—				—				—				(696,096	)
Open Shares			—				—				—				(103,924	)
From net realized gains
Institutional Shares			—				(7,111,703	)			—				(434,860	)
Open Shares			—				(2,840,044	)			—				(76,627	)
Net decrease in net assets resulting from distributions			—				(9,951,747	)			—				(1,311,507	)
Capital stock transactions
Net proceeds from sales
Institutional Shares			130,230,064				217,433,902				50,661,451				94,705,788
Open Shares			44,017,247				82,229,202				9,353,944				21,900,003
Net proceeds from reinvestment of distributions
Institutional Shares			—				6,399,337				—				1,011,504
Open Shares			—				2,738,730				—				154,425
Cost of shares redeemed
Institutional Shares			(36,440,511	)			(78,772,507	)			(13,690,610	)			(43,724,613	)
Open Shares			(31,735,606	)			(96,382,546	)			(3,043,951	)			(4,197,007	)
Net increase in net assets from capital stock transactions			106,071,194				133,646,118				43,280,834				69,850,100
Redemption fees (Note 2(l))
Institutional Shares			2,249				10,653				701				2,295
Open Shares			8,501				15,749				421				2,633
Net increase in net assets from redemption fees			10,750				26,402				1,122				4,928
Total increase in net assets			110,170,930				49,474,405				49,835,209				43,715,084
Net assets at beginning of period			223,856,431				174,382,026				107,662,039				63,946,955
Net assets at end of period*		$	334,027,361			$	223,856,431			$	157,497,248			$	107,662,039
* Includes undistributed (distributions in excess of)
net investment income of		$	2,146,505			$	(75,454	)		$	1,243,078			$	21,088
(a) Portfolio commenced operations on March 31, 2011.
(b) Portfolio commenced operations on February 28, 2011.
(c) For the period June 1, 2011 to December 31, 2011. The Portfolio has changed its fiscal year end to December 31.
Shares issued and redeemed
Institutional Shares
Shares outstanding at beginning of period			15,019,710				4,815,473				8,706,504				4,402,117
Shares sold			10,660,513				15,748,244				4,660,929				8,327,731
Shares issued to shareholders from reinvestment of distributions			—				585,174				—				99,892
Shares redeemed			(3,052,432	)			(6,129,181	)			(1,229,824	)			(4,123,236	)
Net increase			7,608,081				10,204,237				3,431,105				4,304,387
Shares outstanding at end of period			22,627,791				15,019,710				12,137,609				8,706,504
Open Shares
Shares outstanding at beginning of period			5,935,969				6,698,626				2,312,343				733,742
Shares sold			3,579,804				5,937,465				850,831				1,948,997
Shares issued to shareholders from reinvestment of distributions			—				250,052				—				15,256
Shares redeemed			(2,672,465	)			(6,950,174	)			(284,059	)			(385,652	)
Net increase (decrease)			907,339				(762,657	)			566,772				1,578,601
Shares outstanding at end of period			6,843,308				5,935,969				2,879,115				2,312,343
(d) The inception date for Institutional Shares was September 26, 2011.

The accompanying notes are an integral part of these financial statements.

124  Semi-Annual Report

Lazard Emerging Markets Multi-Strategy Portfolio								Lazard Emerging Markets Debt Portfolio								Lazard U.S. Realty Income Portfolio
Six Months Ended June 30, 2012 (unaudited)				Period Ended December 31, 2011 (a)				Six Months Ended June 30, 2012 (unaudited)				Period Ended December 31, 2011 (b)				Six Months Ended June 30, 2012 (unaudited)				Period Ended December 31, 2011 (c)
	$	501,039			$	423,369			$	3,934,857			$	1,547,264			$	1,360,150			$	692,682
		(1,191,611	)			(1,559,379	)			2,513,241				(163,912	)			1,241,487				(322,300	)
		3,845,485				(4,433,010	)			4,279,303				(841,177	)			2,310,000				(702,514	)
		3,154,913				(5,569,020	)			10,727,401				542,175				4,911,637				(332,132	)
		—				(334,780	)			(3,923,044	)			(2,116,437	)			(972,551	)			(246,537	)
		—				(695	)			(12,424	)			(4,138	)			(393,802	)			(330,886	)
		—				—				—				(60,732	)			—				(165,398	)
		—				—				—				(73	)			—				(1,148,069	)
		—				(335,475	)			(3,935,468	)			(2,181,380	)			(1,366,353	)			(1,890,890	)
		9,716,998				69,298,619				95,211,124				112,425,717				17,164,104				18,654,084
		614,674				311,534				692,966				127,708				12,947,912				3,511,632
		—				216,928				3,722,958				2,052,208				956,960				405,885
		—				600				11,279				4,211				352,740				1,041,199
		(2,308,563	)			(7,101,793	)			(16,202,379	)			(6,029,330	)			(2,282,962	)			(3,045	)
		(219,412	)			(32,386	)			(184,963	)			—				(2,380,340	)			(11,361,563	)
		7,803,697				62,693,502				83,250,985				108,580,514				26,758,414				12,248,192
		8				144				503				—				3				—
		—				9				146				—				1,062				1,188
		8				153				649				—				1,065				1,188
		10,958,618				56,789,160				90,043,567				106,941,309				30,304,763				10,026,358
		56,789,160				—				106,941,309				—				25,856,174				15,829,816
	$	67,747,778			$	56,789,160			$	196,984,876			$	106,941,309			$	56,160,937			$	25,856,174
	$	169,306			$	(331,733	)		$	(677,710	)		$	(677,099	)		$	(6,203	)		$	—
		6,594,816				—				10,949,189				—				2,660,028				—	(d)
		1,051,865				7,349,497				9,449,607				11,336,962				2,141,507				2,605,512
		—				25,461				363,261				207,193				118,003				54,927
		(246,134	)			(780,142	)			(1,615,740	)			(594,966	)			(280,835	)			(411	)
		805,731				6,594,816				8,197,128				10,949,189				1,978,675				2,660,028
		7,400,547				6,594,816				19,146,317				10,949,189				4,638,703				2,660,028
		30,517				—				13,123				—				805,878				1,395,477
		66,044				33,957				67,559				12,706				1,609,781				437,397
		—				70				1,097				417				43,543				138,495
		(24,950	)			(3,510	)			(18,154	)			—				(295,317	)			(1,165,491	)
		41,094				30,517				50,502				13,123				1,358,007				(589,599	)
		71,611				30,517				63,625				13,123				2,163,885				805,878

Semi-Annual Report  125

	Lazard U.S. Realty Equity Portfolio								Lazard International Realty Equity Portfolio
	Six Months Ended June 30, 2012 (unaudited)				Period Ended December 31, 2011 (a)				Six Months Ended June 30, 2012 (unaudited)				Period Ended December 31, 2011 (a)
Increase (Decrease) in Net Assets
Operations
Net investment income		$	204,823			$	29,627			$	42,914			$	8,105
Net realized gain (loss) on investments, foreign currency and forward currency contracts			671,081				233,648				61,478				(63,550	)
Net change in unrealized appreciation (depreciation) on investments, foreign currency and foreign currency contracts			1,084,561				(661,411	)			420,619				(404,282	)
Net increase (decrease) in net assets resulting from operations			1,960,465				(398,136	)			525,011				(459,727	)
Distributions to shareholders
From net investment income
Institutional Shares			—				(10,686	)			—				(34,441	)
Open Shares			—				(4,322	)			—				(38,933	)
From net realized gains
Institutional Shares			—				(319,969	)			—				(15,206	)
Open Shares			—				(270,611	)			—				(11,959	)
Net decrease in net assets resulting from distributions			—				(605,588	)			—				(100,539	)
Capital stock transactions
Net proceeds from sales
Institutional Shares			72,469				1,305,500				15,908				2,000,000
Open Shares			38,572,063				263,978				1,038,722				71,663
Net proceeds from reinvestment of distributions
Institutional Shares			—				330,655				—				49,648
Open Shares			—				272,510				—				44,345
Cost of shares redeemed
Institutional Shares			(69	)			—				(75	)			—
Open Shares			(4,819,491	)			(3,359,846	)			(190,708	)			(740,648	)
Net increase (decrease) in net assets from capital stock transactions			33,824,972				(1,187,203	)			863,847				1,425,008
Redemption fees (Note 2(l))
Institutional Shares			1				—				1				—
Open Shares			14,657				1,457				49				—
Net increase in net assets from redemption fees			14,658				1,457				50				—
Total increase (decrease) in net assets			35,800,095				(2,189,470	)			1,388,908				864,742
Net assets at beginning of period			2,662,570				4,852,040				2,581,119				1,716,377
Net assets at end of period*		$	38,462,665			$	2,662,570			$	3,970,027			$	2,581,119
* Includes undistributed (distributions in excess of) net investment income of		$	204,823			$	—			$	16,003			$	(26,911	)
(a) For the period June 1, 2011 to December 31, 2011. The Portfolio has changed its fiscal year end to December 31.
(b) Portfolio commenced operations on February 28, 2011.
(c) Portfolio commenced operations on March 30, 2012.
Shares issued and redeemed
Institutional Shares
Shares outstanding at beginning of period			102,426				—	(d)			157,229				—	(d)
Shares sold			4,606				80,121				1,141				153,406
Shares issued to shareholders from reinvestment of distributions			—				22,305				—				3,823
Shares redeemed			(4	)			—				(5	)			—
Net increase			4,602				102,426				1,136				157,229
Shares outstanding at end of period			107,028				102,426				158,365				157,229
Open Shares
Shares outstanding at beginning of period			76,246				248,909				54,805				101,112
Shares sold			2,356,568				15,910				73,450				4,906
Shares issued to shareholders from reinvestment of distributions			—				18,351				—				3,382
Shares redeemed			(294,484	)			(206,924	)			(13,562	)			(54,595	)
Net increase (decrease)			2,062,084				(172,663	)			59,888				(46,307	)
Shares outstanding at end of period			2,138,330				76,246				114,693				54,805

(d) The inception date for Institutional Shares was September 26, 2011.

The accompanying notes are an integral part of these financial statements.

126  Semi-Annual Report

Lazard U.S. High Yield Portfolio								Lazard U.S. Municipal Portfolio								Lazard Global Fixed Income Portfolio
Six Months Ended June 30, 2012 (unaudited)				Year Ended December 31, 2011				Six Months Ended June 30, 2012 (unaudited)				Period Ended December 31, 2011 (b)				Period Ended June 30, 2012 (unaudited) (c)
	$	6,033,430			$	10,726,159			$	115,188			$	174,858			$	17,925
		(771,196	)			2,052,076				53,618				(34,936	)			23,982
		4,317,435				(5,269,974	)			53,147				330,476				(40,828	)
		9,579,669				7,508,261				221,953				470,398				1,079
		(5,866,533	)			(9,400,123	)			(114,719	)			(173,726	)			(17,888	)
		(166,897	)			(1,330,150	)			(469	)			(1,432	)			(103	)
		—				—				—				(48,209	)			—
		—				—				—				(429	)			—
		(6,033,430	)			(10,730,273	)			(115,188	)			(223,796	)			(17,991	)
		36,253,817				57,646,994				8,886,099				11,938,179				6,895,754
		2,228,183				14,541,009				—				99,000				36,137
		5,013,845				7,284,236				98,288				209,652				17,218
		139,006				1,235,788				469				1,860				100
		(19,395,415	)			(23,312,985	)			(750,557	)			(798,710	)			(3,032,754	)
		(9,877,237	)			(29,989,819	)			(100,000	)			—				(9,970	)
		14,362,199				27,405,223				8,134,299				11,449,981				3,906,485
		19				3,520				5				3				—
		320				445				—				—				—
		339				3,965				5				3				—
		17,908,777				24,187,176				8,241,069				11,696,586				3,889,573
		162,880,365				138,693,189				11,696,586				—				—
	$	180,789,142			$	162,880,365			$	19,937,655			$	11,696,586			$	3,889,573
	$	(128,289	)		$	(128,289	)		$	(300	)		$	(300	)		$	(66	)
		31,644,633				23,045,185				1,132,905				—				—
		7,476,968				11,937,663				866,001				1,190,953				690,382
		1,025,340				1,505,072				9,559				20,653				1,731
		(4,007,384	)			(4,843,287	)			(73,382	)			(78,701	)			(304,140	)
		4,494,924				8,599,448				802,178				1,132,905				387,973
		36,139,557				31,644,633				1,935,083				1,132,905				387,973
		2,416,907				5,357,420				10,083				—				—
		459,465				2,973,657				—				9,900				3,622
		28,277				251,073				46				183				10
		(2,037,934	)			(6,165,243	)			(9,728	)			—				(1,000	)
		(1,550,192	)			(2,940,513	)			(9,682	)			10,083				2,632
		866,715				2,416,907				401				10,083				2,632

Semi-Annual Report  127

	Lazard Capital Allocator Opportunistic Strategies Portfolio
	Six Months Ended June 30, 2012 (unaudited)				Year Ended December 31, 2011
Increase (Decrease) in Net Assets
Operations
Net investment income		$	1,177,094			$	3,161,113
Net realized gain (loss) on investments, foreign currency, forward currency contracts, options and swap agreements			(16,282	)			28,152,296
Net change in unrealized appreciation (depreciation) on investments, foreign currency, forward currency contracts, options and swap agreements			8,364,189				(37,418,891	)
Net increase (decrease) in net assets resulting from operations			9,525,001				(6,105,482	)
Distributions to shareholders
From net investment income
Institutional Shares			—				(3,523,669	)
Open Shares			—				(59,701	)
From net realized gains
Institutional Shares			—				(6,713,946	)
Open Shares			—				(154,961	)
Net decrease in net assets resulting from distributions			—				(10,452,277	)
Capital stock transactions
Net proceeds from sales
Institutional Shares			32,917,913				113,697,161
Open Shares			241,368				3,431,907
Net proceeds from reinvestment of distributions
Institutional Shares			—				4,208,402
Open Shares			—				200,236
Cost of shares redeemed
Institutional Shares			(42,545,211	)			(82,327,061	)
Open Shares			(2,533,450	)			(4,278,584	)
Net increase (decrease) in net assets from capital stock transactions			(11,919,380	)			34,932,061
Redemption fees (Note 2(l))
Institutional Shares			7,302				2,220
Open Shares			—				395
Net increase in net assets from redemption fees			7,302				2,615
Total increase (decrease) in net assets			(2,387,077	)			18,376,917
Net assets at beginning of period			264,942,720				246,565,803
Net assets at end of period*		$	262,555,643			$	264,942,720
* Includes distributions in excess of net investment income of		$	(1,036,410	)		$	(2,213,504	)
Shares issued and redeemed
Institutional Shares
Shares outstanding at beginning of period			27,954,774				24,035,924
Shares sold			3,364,116				11,657,534
Shares issued to shareholders from reinvestment of distributions			—				457,708
Shares redeemed			(4,408,522	)			(8,196,392	)
Net increase (decrease)			(1,044,406	)			3,918,850
Shares outstanding at end of period			26,910,368				27,954,774
Open Shares
Shares outstanding at beginning of period			660,085				718,711
Shares sold			24,420				341,942
Shares issued to shareholders from reinvestment of distributions			—				21,789
Shares redeemed			(259,993	)			(422,357	)
Net decrease			(235,573	)			(58,626	)
Shares outstanding at end of period			424,512				660,085

The accompanying notes are an integral part of these financial statements.

128  Semi-Annual Report

   The Lazard Funds, Inc. Financial Highlights

LAZARD U.S. EQUITY CONCENTRATED PORTFOLIO
Selected data for a share of capital stock outstanding throughout each period	Six Months Ended 6/30/12†
					Year Ended
					12/31/11			12/31/10			12/31/09			12/31/08			12/31/07
Institutional Shares
Net asset value, beginning of period		$	9.24		$	9.56		$	8.62		$	7.00		$	11.25		$	11.73
Income (loss) from investment operations:
Net investment income (a)			0.06			0.15			0.10			0.12			0.18			0.17
Net realized and unrealized gain (loss)			0.57			(0.30	)		0.93			1.62			(4.26	)		0.05
Total from investment operations			0.63			(0.15	)		1.03			1.74			(4.08	)		0.22
Less distributions from:
Net investment income			—			(0.17	)		(0.09	)		(0.12	)		(0.17	)		(0.15	)
Net realized gains			—			—			—			—			—			(0.55	)
Total distributions			—			(0.17	)		(0.09	)		(0.12	)		(0.17	)		(0.70	)
Redemption fees			—	(c)		—	(c)		—	(c)		—			—			—	(c)
Net asset value, end of period		$	9.87		$	9.24		$	9.56		$	8.62		$	7.00		$	11.25
Total Return (b)			6.70	%		–1.47	%		12.00	%		24.81	%	–36.18		%		1.65	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	49,168		$	11,108		$	13,066		$	8,464		$	6,554		$	8,488
Ratios to average net assets:
Net expenses (d)			0.83	%		0.75	%		0.97	%		1.00	%		1.00	%		1.00	%
Gross expenses (d)			1.81	%		2.27	%		2.76	%		3.44	%		3.21	%		3.56	%
Net investment income (d)			1.25	%		1.59	%		1.19	%		1.60	%		1.90	%		1.40	%
Portfolio turnover rate			173	%		53	%		53	%		62	%		97	%		83	%
Selected data for a share of capital stock outstanding throughout each period	Six Months Ended 6/30/12†
					Year Ended
					12/31/11			12/31/10			12/31/09			12/31/08			12/31/07
Open Shares
Net asset value, beginning of period		$	9.30		$	9.61		$	8.67		$	7.04		$	11.31		$	11.77
Income (loss) from investment operations:
Net investment income (a)			0.06			0.12			0.08			0.09			0.15			0.13
Net realized and unrealized gain (loss)			0.56			(0.29	)		0.93			1.64			(4.28	)		0.06
Total from investment operations			0.62			(0.17	)		1.01			1.73			(4.13	)		0.19
Less distributions from:
Net investment income			—			(0.14	)		(0.07	)		(0.10	)		(0.14	)		(0.11	)
Net realized gains			—			—			—			—			—			(0.55	)
Total distributions			—			(0.14	)		(0.07	)		(0.10	)		(0.14	)		(0.66	)
Redemption fees			—			—	(c)		—			—	(c)		—			0.01
Net asset value, end of period		$	9.92		$	9.30		$	9.61		$	8.67		$	7.04		$	11.31
Total Return (b)			6.67	%		–1.77	%		11.62	%		24.49	%	–36.43		%		1.59	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	277		$	312		$	294		$	300		$	134		$	341
Ratios to average net assets:
Net expenses (d)			1.08	%		1.05	%		1.27	%		1.30	%		1.30	%		1.30	%
Gross expenses (d)			6.39	%		6.49	%		7.28	%		5.52	%		12.10	%		9.40	%
Net investment income (d)			1.20	%		1.30	%		0.88	%		1.15	%		1.56	%		1.02	%
Portfolio turnover rate			173	%		53	%		53	%		62	%		97	%		83	%

†	Unaudited.
(a)	Net investment income has been computed using the average shares method.
(b)	Total returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager or State Street; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower. A period of less than one year is not annualized.
(c)	Amount is less than $0.01 per share.
(d)	Annualized for a period of less than one year.

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  129

LAZARD U.S. STRATEGIC EQUITY PORTFOLIO
Selected data for a share of capital stock outstanding throughout each period	Six Months Ended 6/30/12†
					Year Ended
					12/31/11			12/31/10			12/31/09			12/31/08			12/31/07
Institutional Shares
Net asset value, beginning of period		$	9.03		$	8.97		$	8.02		$	6.26		$	10.03		$	11.81
Income (loss) from investment operations:
Net investment income (a)			0.06			0.12			0.07			0.08			0.12			0.11
Net realized and unrealized gain (loss)			0.45			0.02			0.97			1.68			(3.65	)		(0.04	)
Total from investment operations			0.51			0.14			1.04			1.76			(3.53	)		0.07
Less distributions from:
Net investment income			—			(0.08	)		(0.09	)		—			(0.12	)		(0.12	)
Net realized gains			—			—			—			—			(0.12	)		(1.73	)
Total distributions			—			(0.08	)		(0.09	)		—			(0.24	)		(1.85	)
Redemption fees			—	(c)		—	(c)		—	(c)		—			—			—
Net asset value, end of period		$	9.54		$	9.03		$	8.97		$	8.02		$	6.26		$	10.03
Total Return (b)			5.65	%		1.65	%		13.13	%		28.12	%		–35.43	%		0.33	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	72,889		$	64,239		$	71,207		$	66,153		$	54,749		$	88,242
Ratios to average net assets:
Net expenses (d)			0.75	%		0.75	%		1.01	%		1.05	%		1.05	%		0.98	%
Gross expenses (d)			0.98	%		1.00	%		1.06	%		1.09	%		1.06	%		0.98	%
Net investment income (d)			1.20	%		1.29	%		0.88	%		1.26	%		1.45	%		0.86	%
Portfolio turnover rate			33	%		48	%		49	%		76	%		82	%		58	%
Selected data for a share of capital stock outstanding throughout each period	Six Months Ended 6/30/12†
					Year Ended
					12/31/11			12/31/10			12/31/09			12/31/08			12/31/07
Open Shares
Net asset value, beginning of period		$	9.04		$	8.97		$	8.02		$	6.28		$	10.05		$	11.83
Income (loss) from investment operations:
Net investment income (a)			0.04			0.09			0.05			0.07			0.10			0.06
Net realized and unrealized gain (loss)			0.45			0.03			0.97			1.67			(3.65	)		(0.03	)
Total from investment operations			0.49			0.12			1.02			1.74			(3.55	)		0.03
Less distributions from:
Net investment income			—			(0.05	)		(0.07	)		—			(0.10	)		(0.08	)
Net realized gains			—			—			—			—			(0.12	)		(1.73	)
Total distributions			—			(0.05	)		(0.07	)		—			(0.22	)		(1.81	)
Redemption fees			—			—			—	(c)		—			—			—	(c)
Net asset value, end of period		$	9.53		$	9.04		$	8.97		$	8.02		$	6.28		$	10.05
Total Return (b)			5.42	%		1.42	%		12.79	%		27.71	%		–35.63	%		–0.07	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	8,680		$	8,478		$	10,024		$	8,945		$	7,218		$	11,558
Ratios to average net assets:
Net expense (d)			1.05	%		1.05	%		1.31	%		1.35	%		1.35	%		1.35	%
Gross expenses (d)			1.36	%		1.36	%		1.44	%		1.39	%		1.51	%		1.40	%
Net investment income (d)			0.90	%		0.99	%		0.59	%		0.96	%		1.15	%		0.50	%
Portfolio turnover rate			33	%		48	%		49	%		76	%		82	%		58	%

†	Unaudited.
(a)	Net investment income has been computed using the average shares method.
(b)	Total returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower. A period of less than one year is not annualized.
(c)	Amount is less than $0.01 per share.
(d)	Annualized for a period of less than one year.

The accompanying notes are an integral part of these financial statements.

130  Semi-Annual Report

LAZARD U.S. MID CAP EQUITY PORTFOLIO
Selected data for a share of capital stock outstanding throughout each period	Six Months Ended 6/30/12†
					Year Ended
					12/31/11			12/31/10			12/31/09			12/31/08			12/31/07
Institutional Shares
Net asset value, beginning of period		$	11.87		$	12.61		$	10.31		$	7.50		$	12.46		$	14.41
Income (loss) from investment operations:
Net investment income (a)			0.02			0.05			0.10			0.08			0.15			0.12
Net realized and unrealized gain (loss)			0.35			(0.75	)		2.31			2.81			(4.93	)		(0.51	)
Total from investment operations			0.37			(0.70	)		2.41			2.89			(4.78	)		(0.39	)
Less distributions from:
Net investment income			—			(0.04	)		(0.11	)		(0.08	)		(0.18	)		(0.11	)
Net realized gains			—			—			—			—			—			(1.45	)
Total distributions			—			(0.04	)		(0.11	)		(0.08	)		(0.18	)		(1.56	)
Redemption fees			—	(c)		—	(c)		—	(c)		—	(c)		—	(c)		—	(c)
Net asset value, end of period		$	12.24		$	11.87		$	12.61		$	10.31		$	7.50		$	12.46
Total Return (b)			3.12	%		–5.58	%		23.43	%		38.49	%		–38.33	%		–2.93	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	53,079		$	91,470		$	126,626		$	143,267		$	103,650		$	277,953
Ratios to average net assets:
Net expenses (d)			0.95	%		0.93	%		0.91	%		0.91	%		0.89	%		0.87	%
Gross expenses (d)			0.95	%		0.93	%		0.91	%		0.91	%		0.89	%		0.87	%
Net investment income (d)			0.33	%		0.37	%		0.90	%		0.90	%		1.41	%		0.81	%
Portfolio turnover rate			61	%		83	%		75	%		77	%		81	%		100	%
Selected data for a share of capital stock outstanding throughout each period	Six Months Ended 6/30/12†
					Year Ended
					12/31/11			12/31/10			12/31/09			12/31/08			12/31/07
Open Shares
Net asset value, beginning of period		$	11.72		$	12.45		$	10.18		$	7.40		$	12.29		$	14.23
Income (loss) from investment operations:
Net investment income (a)			0.01			0.01			0.07			0.05			0.13			0.09
Net realized and unrealized gain (loss)			0.34			(0.74	)		2.28			2.78			(4.87	)		(0.51	)
Total from investment operations			0.35			(0.73	)		2.35			2.83			(4.74	)		(0.42	)
Less distributions from:
Net investment income			—			—	(c)		(0.08	)		(0.05	)		(0.15	)		(0.07	)
Net realized gains			—			—			—			—			—			(1.45	)
Total distributions			—			—			(0.08	)		(0.05	)		(0.15	)		(1.52	)
Redemption fees			—	(c)		—	(c)		—	(c)		—	(c)		—	(c)		—	(c)
Net asset value, end of period		$	12.07		$	11.72		$	12.45		$	10.18		$	7.40		$	12.29
Total Return (b)			2.99	%		–5.84	%		23.09	%		38.26	%		–38.53	%		–3.17	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	44,366		$	52,048		$	69,551		$	69,737		$	64,372		$	158,062
Ratios to average net assets:
Net expenses (d)			1.21	%		1.19	%		1.17	%		1.17	%		1.15	%		1.13	%
Gross expenses (d)			1.21	%		1.19	%		1.17	%		1.17	%		1.15	%		1.13	%
Net investment income (d)			0.13	%		0.11	%		0.66	%		0.64	%		1.17	%		0.58	%
Portfolio turnover rate			61	%		83	%		75	%		77	%		81	%		100	%

†	Unaudited.
(a)	Net investment income has been computed using the average shares method.
(b)	Total returns reflect reinvestment of all dividends and distributions, if any. A period of less than one year is not annualized.
(c)	Amount is less than $0.01 per share.
(d)	Annualized for a period of less than one year.

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  131

LAZARD U.S. SMALL-MID CAP EQUITY PORTFOLIO
Selected data for a share of capital stock outstanding throughout each period	Six Months Ended 6/30/12†
					Year Ended
					12/31/11			12/31/10			12/31/09			12/31/08			12/31/07
Institutional Shares
Net asset value, beginning of period		$	11.82		$	14.55		$	11.80		$	7.59		$	11.58		$	14.44
Income (loss) from investment operations:
Net investment income (loss) (a)			0.01			0.01			0.09			(0.01	)		0.01			0.04
Net realized and unrealized gain (loss)			0.83			(1.45	)		2.70			4.22			(4.00	)		(0.87	)
Total from investment operations			0.84			(1.44	)		2.79			4.21			(3.99	)		(0.83	)
Less distributions from:
Net investment income			—			—			(0.04	)		—			—			(0.04	)
Net realized gains			—			(1.29	)		—			—			—			(1.99	)
Total distributions			—			(1.29	)		(0.04	)		—			—			(2.03	)
Redemption fees			—	(c)		—	(c)		—	(c)		—			—	(c)		—	(c)
Net asset value, end of period		$	12.66		$	11.82		$	14.55		$	11.80		$	7.59		$	11.58
Total Return (b)			7.11	%		–9.83	%		23.67	%		55.47	%		–34.46	%		–6.38	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	189,520		$	167,042		$	238,901		$	56,042		$	36,934		$	109,853
Ratios to average net assets:
Net expenses (d)			0.89	%		0.90	%		1.00	%		1.22	%		1.13	%		0.93	%
Gross expenses (d)			0.89	%		0.90	%		1.00	%		1.23	%		1.13	%		0.93	%
Net investment income (loss) (d)			0.20	%		0.08	%		0.68	%		–0.12	%		0.08	%		0.24	%
Portfolio turnover rate			55	%		110	%		114	%		195	%		138	%		98	%
Selected data for a share of capital stock outstanding throughout each period	Six Months Ended 6/30/12†
					Year Ended
					12/31/11			12/31/10			12/31/09			12/31/08			12/31/07
Open Shares
Net asset value, beginning of period		$	11.52		$	14.26		$	11.56		$	7.46		$	11.43		$	14.27
Income (loss) from investment operations:
Net investment income (loss) (a)			(0.01	)		(0.03	)		0.03			(0.04	)		(0.03	)		(0.01	)
Net realized and unrealized gain (loss)			0.81			(1.42	)		2.67			4.14			(3.94	)		(0.84	)
Total from investment operations			0.80			(1.45	)		2.70			4.10			(3.97	)		(0.85	)
Less distributions from:
Net realized gains			—			(1.29	)		—			—			—			(1.99	)
Total distributions			—			(1.29	)		—			—			—			(1.99	)
Redemption fees			—	(c)		—	(c)		—	(c)		—	(c)		—	(c)		—	(c)
Net asset value, end of period		$	12.32		$	11.52		$	14.26		$	11.56		$	7.46		$	11.43
Total Return (b)			6.94	%		–10.09	%		23.36	%		54.96	%		–34.73	%		–6.60	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	18,244		$	20,039		$	21,620		$	19,531		$	10,500		$	25,203
Ratios to average net assets:
Net expenses (d)			1.21	%		1.21	%		1.34	%		1.51	%		1.49	%		1.25	%
Gross expenses (d)			1.21	%		1.21	%		1.34	%		1.52	%		1.49	%		1.25	%
Net investment income (loss) (d)			–0.15	%		–0.23	%		0.21	%		–0.40	%		–0.26	%		–0.07	%
Portfolio turnover rate			55	%		110	%		114	%		195	%		138	%		98	%

†	Unaudited.
(a)	Net investment income (loss) has been computed using the average shares method.
(b)	Total returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower. A period of less than one year is not annualized.
(c)	Amount is less than $0.01 per share.
(d)	Annualized for a period of less than one year.

The accompanying notes are an integral part of these financial statements.

132  Semi-Annual Report

LAZARD GLOBAL LISTED INFRASTRUCTURE PORTFOLIO
Selected data for a share of capital stock outstanding throughout each period	Six Months Ended 6/30/12†										Period ended 12/31/09*
					Year Ended
					12/31/11			12/31/10
Institutional Shares
Net asset value, beginning of period		$	9.78		$	10.31		$	10.00			$	10.00
Income (loss) from investment operations:
Net investment income (loss) (a)			0.18			0.33			0.30				—	(c)
Net realized and unrealized gain (loss)			0.38			(0.48	)		0.34				—
Total from investment operations			0.56			(0.15	)		0.64				—	(c)
Less distributions from:
Net investment income			(0.12	)		(0.15	)		(0.23	)			—
Net realized gains			—			(0.23	)		(0.10	)			—
Total distributions			(0.12	)		(0.38	)		(0.33	)			—
Redemption fees			—	(c)		—	(c)		—	(c)			—
Net asset value, end of period		$	10.22		$	9.78		$	10.31			$	10.00
Total Return (b)			5.75	%		–1.55	%		6.63	%			0.00	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	114,926		$	104,439		$	115,680			$	74
Ratios to average net assets:
Net expenses (d)			1.15	%		1.09	%		1.30	%			1.30	%
Gross expenses (d)			1.15	%		1.09	%		1.35	%		1,825.00		%(e)
Net investment income (loss) (d)			3.72	%		3.15	%		3.01	%			–1.30	%
Portfolio turnover rate			10	%		135	%		46	%			0	%
Selected data for a share of capital stock outstanding throughout each period	Six Months Ended 6/30/12†										Period ended 12/31/09*
					Year Ended
					12/31/11			12/31/10
Open Shares
Net asset value, beginning of period		$	9.78		$	10.34		$	10.00			$	10.00
Income (loss) from investment operations:
Net investment income (loss) (a)			0.17			0.28			0.24				—	(c)
Net realized and unrealized gain (loss)			0.38			(0.49	)		0.38				—
Total from investment operations			0.55			(0.21	)		0.62				—	(c)
Less distributions from:
Net investment income			(0.10	)		(0.12	)		(0.18	)			—
Net realized gains			—			(0.23	)		(0.10	)			—
Total distributions			(0.10	)		(0.35	)		(0.28	)			—
Redemption fees			—	(c)		—	(c)		—				—
Net asset value, end of period		$	10.23		$	9.78		$	10.34			$	10.00
Total Return (b)			5.57	%		–1.95	%		6.28	%			0.00	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	10,965		$	8,359		$	118			$	50
Ratios to average net assets:
Net expenses (d)			1.52	%		1.60	%		1.60	%			1.60	%
Gross expenses (d)			1.52	%		1.67	%		18.06	%		1,825.00		%(e)
Net investment income (loss) (d)			3.47	%		2.81	%		2.37	%			–1.60	%
Portfolio turnover rate			10	%		135	%		46	%			0	%

†	Unaudited.
*	Portfolio commenced operations on December 31, 2009.
(a)	Net investment income (loss) has been computed using the average shares method.
(b)	Total returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager or BFDS; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower. A period of less than one year is not annualized.
(c)	Amount is less than $0.01 per share.
(d)	Annualized for a period of less than one year.
(e)	Gross expense ratio was the result of the Portfolio being in existence for one day during the period ended 12/31/09.

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  133

LAZARD INTERNATIONAL EQUITY PORTFOLIO

	Six Months Ended 6/30/12†
Selected data for a share of capital stock outstanding throughout each period
					Year Ended
					12/31/11			12/31/10			12/31/09			12/31/08			12/31/07
Institutional Shares
Net asset value, beginning of period		$	12.49		$	13.81		$	13.14		$	10.50		$	17.55		$	16.31
Income (loss) from investment operations:
Net investment income (a)			0.22			0.27			0.21			0.26			0.36			0.36
Net realized and unrealized gain (loss)			0.67			(1.25	)		0.82			2.38			(7.00	)		1.42
Total from investment operations			0.89			(0.98	)		1.03			2.64			(6.64	)		1.78
Less distributions from:
Net investment income			—			(0.34	)		(0.36	)		—	(c)		(0.41	)		(0.54	)
Total distributions			—			(0.34	)		(0.36	)		—	(c)		(0.41	)		(0.54	)
Redemption fees			—	(c)		—	(c)		—	(c)		—	(c)		—	(c)		—	(c)
Net asset value, end of period		$	13.38		$	12.49		$	13.81		$	13.14		$	10.50		$	17.55
Total Return (b)			7.13	%		–7.17	%		8.04	%		25.19	%		–37.75	%		10.96	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	88,656		$	86,880		$	127,485		$	139,070		$	119,870		$	335,323
Ratios to average net assets:
Net expenses (d)			1.02	%		1.03	%		0.98	%		0.99	%		0.93	%		0.89	%
Gross expenses (d)			1.02	%		1.03	%		0.98	%		0.99	%		0.93	%		0.89	%
Net investment income (d)			3.26	%		1.99	%		1.63	%		2.33	%		2.47	%		2.08	%
Portfolio turnover rate			28	%		39	%		53	%		66	%		44	%		50	%
Selected data for a share of capital stock outstanding throughout each period	Six Months Ended 6/30/12†
					Year Ended
					12/31/11			12/31/10			12/31/09			12/31/08			12/31/07
Open Shares
Net asset value, beginning of period		$	12.59		$	13.91		$	13.24		$	10.60		$	17.69		$	16.40
Income (loss) from investment operations:
Net investment income (a)			0.20			0.24			0.16			0.22			0.31			0.32
Net realized and unrealized gain (loss)			0.68			(1.26	)		0.83			2.42			(7.04	)		1.41
Total from investment operations			0.88			(1.02	)		0.99			2.64			(6.73	)		1.73
Less distributions from:
Net investment income			—			(0.30	)		(0.32	)		—			(0.36	)		(0.44	)
Total distributions			—			(0.30	)		(0.32	)		—			(0.36	)		(0.44	)
Redemption fees			—	(c)		—	(c)		—	(c)		—			—	(c)		—	(c)
Net asset value, end of period		$	13.47		$	12.59		$	13.91		$	13.24		$	10.60		$	17.69
Total Return (b)			6.99	%		–7.42	%		7.65	%		24.91	%		–37.98	%		10.57	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	19,993		$	18,699		$	28,670		$	19,520		$	14,829		$	32,449
Ratios to average net assets:
Net expenses (d)			1.33	%		1.33	%		1.29	%		1.27	%		1.28	%		1.19	%
Gross expenses (d)			1.33	%		1.33	%		1.29	%		1.27	%		1.28	%		1.19	%
Net investment income (d)			2.95	%		1.78	%		1.25	%		1.98	%		2.16	%		1.89	%
Portfolio turnover rate			28	%		39	%		53	%		66	%		44	%		50	%

†	Unaudited.
(a)	Net investment income has been computed using the average shares method.
(b)	Total returns reflect reinvestment of all dividends and distributions, if any. A period of less than one year is not annualized.
(c)	Amount is less than $0.01 per share.
(d)	Annualized for a period of less than one year.

The accompanying notes are an integral part of these financial statements.

134 Semi-Annual Report

LAZARD INTERNATIONAL EQUITY SELECT PORTFOLIO

	Six Months Ended 6/30/12†
Selected data for a share of capital stock outstanding throughout each period
					Year Ended
					12/31/11			12/31/10			12/31/09			12/31/08			12/31/07
Institutional Shares
Net asset value, beginning of period		$	7.18		$	7.99		$	7.70		$	6.39		$	11.78		$	13.07
Income (loss) from investment operations:
Net investment income (a)			0.11			0.13			0.14			0.17			0.30			0.22
Net realized and unrealized gain (loss)			0.34			(0.70	)		0.49			1.16			(4.73	)		0.97
Total from investment operations			0.45			(0.57	)		0.63			1.33			(4.43	)		1.19
Less distributions from:
Net investment income			—			(0.24	)		(0.34	)		(0.02	)		(0.33	)		(0.25	)
Net realized gains			—			—			—			—			(0.63	)		(2.23	)
Total distributions			—			(0.24	)		(0.34	)		(0.02	)		(0.96	)		(2.48	)
Redemption fees			—	(c)		—	(c)		—			—	(c)		—	(c)		—	(c)
Net asset value, end of period		$	7.63		$	7.18		$	7.99		$	7.70		$	6.39		$	11.78
Total Return (b)			6.12	%		–7.14	%		8.49	%		20.86	%	–38.74		%		9.25	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	3,768		$	4,519		$	3,614		$	3,925		$	3,860		$	12,103
Ratios to average net assets:
Net expenses (d)			1.15	%		1.15	%		1.15	%		1.15	%		1.15	%		1.15	%
Gross expenses (d)			4.42	%		4.66	%		5.08	%		3.46	%		2.24	%		1.67	%
Net investment income (d)			2.91	%		1.72	%		1.80	%		2.52	%		3.06	%		1.58	%
Portfolio turnover rate			19	%		55	%		75	%		67	%		52	%		50	%
Selected data for a share of capital stock outstanding throughout each period	Six Months Ended 6/30/12†
					Year Ended
					12/31/11			12/31/10			12/31/09			12/31/08			12/31/07
Open Shares
Net asset value, beginning of period		$	7.20		$	8.02		$	7.72		$	6.41		$	11.81		$	13.10
Income (loss) from investment operations:
Net investment income (a)			0.11			0.11			0.12			0.14			0.26			0.16
Net realized and unrealized gain (loss)			0.33			(0.72	)		0.49			1.17			(4.73	)		0.99
Total from investment operations			0.44			(0.61	)		0.61			1.31			(4.47	)		1.15
Less distributions from:
Net investment income			—			(0.21	)		(0.31	)		—	(c)		(0.30	)		(0.21	)
Net realized gains			—			—			—			—			(0.63	)		(2.23	)
Total distributions			—			(0.21	)		(0.31	)		—	(c)		(0.93	)		(2.44	)
Redemption fees			—	(c)		—			—	(c)		—	(c)		—	(c)		—	(c)
Net asset value, end of period		$	7.64		$	7.20		$	8.02		$	7.72		$	6.41		$	11.81
Total Return (b)			5.82	%		–7.41	%		8.29	%		20.49	%	–39.00		%		8.92	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	2,515		$	2,463		$	3,056		$	4,530		$	5,853		$	13,916
Ratios to average net assets:
Net expenses (d)			1.45	%		1.45	%		1.45	%		1.45	%		1.45	%		1.45	%
Gross expenses (d)			5.11	%		5.12	%		5.31	%		3.62	%		2.47	%		1.95	%
Net investment income (d)			2.74	%		1.43	%		1.56	%		2.11	%		2.67	%		1.21	%
Portfolio turnover rate			19	%		55	%		75	%		67	%		52	%		50	%

†	Unaudited.
(a)	Net investment income has been computed using the average shares method.
(b)	Total returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower. A period of less than one year is not annualized.
(c)	Amount is less than $0.01 per share.
(d)	Annualized for a period of less than one year.

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report 135

LAZARD INTERNATIONAL STRATEGIC EQUITY PORTFOLIO

	Six Months Ended 6/30/12†
Selected data for a share of capital stock outstanding throughout each period
					Year Ended
					12/31/11			12/31/10			12/31/09			12/31/08			12/31/07
Institutional Shares
Net asset value, beginning of period		$	9.46		$	10.63		$	9.41		$	7.51		$	12.92		$	12.66
Income (loss) from investment operations:
Net investment income (a)			0.14			0.16			0.13			0.20			0.26			0.23
Net realized and unrealized gain (loss)			0.62			(1.19	)		1.22			1.88			(5.43	)		1.36
Total from investment operations			0.76			(1.03	)		1.35			2.08			(5.17	)		1.59
Less distributions from:
Net investment income			—			(0.14	)		(0.13	)		(0.18	)		(0.22	)		(0.25	)
Net realized gains			—			—			—			—			(0.02	)		(1.08	)
Total distributions			—			(0.14	)		(0.13	)		(0.18	)		(0.24	)		(1.33	)
Redemption fees			—	(c)		—	(c)		—	(c)		—	(c)		—	(c)		—	(c)
Net asset value, end of period		$	10.22		$	9.46		$	10.63		$	9.41		$	7.51		$	12.92
Total Return (b)			8.03	%		–9.70	%		14.43	%		27.76	%		–39.98	%		12.88	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	624,628		$	435,411		$	356,098		$	311,570		$	245,604		$	418,584
Ratios to average net assets:
Net expenses (d)			0.84	%		0.88	%		0.90	%		0.91	%		0.90	%		0.88	%
Gross expenses (d)			0.84	%		0.88	%		0.90	%		0.91	%		0.90	%		0.88	%
Net investment income (d)			2.83	%		1.53	%		1.30	%		2.42	%		2.48	%		1.70	%
Portfolio turnover rate			27	%		53	%		55	%		129	%		72	%		84	%
	Six Months Ended 6/30/12†
Selected data for a share of capital stock outstanding throughout each period					Year Ended
					12/31/11			12/31/10			12/31/09			12/31/08			12/31/07
Open Shares
Net asset value, beginning of period		$	9.53		$	10.68		$	9.43		$	7.51		$	12.90		$	12.64
Income (loss) from investment operations:
Net investment income (a)			0.13			0.13			0.09			0.16			0.23			0.17
Net realized and unrealized gain (loss)			0.63			(1.20	)		1.24			1.90			(5.42	)		1.37
Total from investment operations			0.76			(1.07	)		1.33			2.06			(5.19	)		1.54
Less distributions from:
Net investment income			—			(0.08	)		(0.08	)		(0.14	)		(0.18	)		(0.20	)
Net realized gains			—			—			—			—			(0.02	)		(1.08	)
Total distributions			—			(0.08	)		(0.08	)		(0.14	)		(0.20	)		(1.28	)
Redemption fees			—	(c)		—	(c)		—	(c)		—	(c)		—	(c)		—
Net asset value, end of period		$	10.29		$	9.53		$	10.68		$	9.43		$	7.51		$	12.90
Total Return (b)			7.97	%		–10.01	%		14.09	%		27.38	%		–40.18	%		12.37	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	190,014		$	63,280		$	46,051		$	19,446		$	13,627		$	16,342
Ratios to average net assets:
Net expenses (d)			1.11	%		1.16	%		1.20	%		1.21	%		1.24	%		1.28	%
Gross expenses (d)			1.11	%		1.16	%		1.20	%		1.21	%		1.24	%		1.28	%
Net investment income (d)			2.67	%		1.26	%		0.89	%		1.98	%		2.23	%		1.29	%
Portfolio turnover rate			27	%		53	%		55	%		129	%		72	%		84	%

†	Unaudited.
(a)	Net investment income has been computed using the average shares method.
(b)	Total returns reflect reinvestment of all dividends and distributions, if any. A period of less than one year is not annualized.
(c)	Amount is less than $0.01 per share.
(d)	Annualized for a period of less than one year.

The accompanying notes are an integral part of these financial statements.

136  Semi-Annual Report

LAZARD INTERNATIONAL SMALL CAP EQUITY PORTFOLIO

	Six Months Ended 6/30/12†
Selected data for a share of capital stock outstanding throughout each period
					Year Ended
					12/31/11			12/31/10			12/31/09			12/31/08			12/31/07
Institutional Shares
Net asset value, beginning of period		$	6.84		$	8.12		$	6.68		$	4.80		$	10.49		$	17.80
Income (loss) from investment operations:
Net investment income (a)			0.08			0.13			0.10			0.08			0.15			0.27
Net realized and unrealized gain (loss)			0.49			(1.27	)		1.45			1.80			(5.19	)		(1.20	)
Total from investment operations			0.57			(1.14	)		1.55			1.88			(5.04	)		(0.93	)
Less distributions from:
Net investment income			—			(0.14	)		(0.11	)		—			(0.14	)		(0.63	)
Net realized gains			—			—			—			—			(0.51	)		(5.75	)
Total distributions			—			(0.14	)		(0.11	)		—			(0.65	)		(6.38	)
Redemption fees			—			—	(c)		—	(c)		—	(c)		—	(c)		—	(c)
Net asset value, end of period		$	7.41		$	6.84		$	8.12		$	6.68		$	4.80		$	10.49
Total Return (b)			8.33	%		–14.11	%		23.55	%		39.17	%		–49.84	%		–4.61	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	41,221		$	38,879		$	47,134		$	40,243		$	74,640		$	129,725
Ratios to average net assets:
Net expenses (d)			1.13	%		1.13	%		1.13	%		1.17	%		0.98	%		0.91	%
Gross expenses (d)			1.18	%		1.17	%		1.21	%		1.21	%		0.98	%		0.91	%
Net investment income (d)			2.11	%		1.65	%		1.39	%		1.55	%		1.81	%		1.48	%
Portfolio turnover rate			28	%		28	%		41	%		51	%		61	%		59	%
	Six Months Ended 6/30/12†
Selected data for a share of capital stock outstanding throughout each period
					Year Ended
					12/31/11			12/31/10			12/31/09			12/31/08			12/31/07
Open Shares
Net asset value, beginning of period		$	6.86		$	8.14		$	6.70		$	4.82		$	10.51		$	17.77
Income (loss) from investment operations:
Net investment income (a)			0.06			0.10			0.08			0.07			0.13			0.21
Net realized and unrealized gain (loss)			0.49			(1.26	)		1.45			1.81			(5.20	)		(1.17	)
Total from investment operations			0.55			(1.16	)		1.53			1.88			(5.07	)		(0.96	)
Less distributions from:
Net investment income			—			(0.12	)		(0.09	)		—			(0.11	)		(0.55	)
Net realized gains			—			—			—			—			(0.51	)		(5.75	)
Total distributions			—			(0.12	)		(0.09	)		—			(0.62	)		(6.30	)
Redemption fees			—	(c)		—	(c)		—	(c)		—	(c)		—	(c)		—	(c)
Net asset value, end of period		$	7.41		$	6.86		$	8.14		$	6.70		$	4.82		$	10.51
Total Return (b)			8.02	%		–14.36	%		23.13	%		39.00	%		–50.02	%		–4.79	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	16,652		$	17,744		$	24,984		$	27,920		$	30,052		$	89,779
Ratios to average net assets:
Net expenses (d)			1.43	%		1.43	%		1.43	%		1.43	%		1.31	%		1.20	%
Gross expenses (d)			1.47	%		1.46	%		1.49	%		1.48	%		1.31	%		1.20	%
Net investment income (d)			1.73	%		1.34	%		1.09	%		1.28	%		1.56	%		1.17	%
Portfolio turnover rate			28	%		28	%		41	%		51	%		61	%		59	%

†	Unaudited.
(a)	Net investment income has been computed using the average shares method.
(b)	Total returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower. A period of less than one year is not annualized.
(c)	Amount is less than $0.01 per share.
(d)	Annualized for a period of less than one year.

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  137

LAZARD EMERGING MARKETS EQUITY PORTFOLIO

Selected data for a share of capital stock outstanding throughout each period	Six Months Ended 6/30/12†
					Year Ended
					12/31/11				12/31/10				12/31/09				12/31/08				12/31/07
Institutional Shares
Net asset value, beginning of period		$	16.80			$	21.78			$	18.01			$	10.88			$	23.88			$	20.60
Income (loss) from investment operations:
Net investment income (a)			0.26				0.49				0.38				0.35				0.61				0.36
Net realized and unrealized gain (loss)			1.13				(4.36	)			3.71				7.24				(11.78	)			6.41
Total from investment operations			1.39				(3.87	)			4.09				7.59				(11.17	)			6.77
Less distributions from:
Net investment income			—				(0.63	)			(0.32	)			(0.46	)			(0.49	)			(0.29	)
Net realized gains			—				(0.48	)			—				—				(1.34	)			(3.20	)
Total distributions			—				(1.11	)			(0.32	)			(0.46	)			(1.83	)			(3.49	)
Redemption fees			—	(c)			—	(c)			—	(c)			—	(c)			—	(c)			—	(c)
Net asset value, end of period		$	18.19			$	16.80			$	21.78			$	18.01			$	10.88			$	23.88
Total Return (b)			8.27	%			–17.75	%			22.81	%			69.82	%			–47.88	%			33.05	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	12,105,478			$	10,902,557			$	14,561,085			$	8,497,341			$	3,295,983			$	5,270,497
Ratios to average net assets:
Net expenses (d)			1.11	%			1.12	%			1.14	%			1.15	%			1.17	%			1.20	%
Gross expenses (d)			1.11	%			1.12	%			1.14	%			1.15	%			1.17	%			1.20	%
Net investment income (d)			2.82	%			2.44	%			1.96	%			2.40	%			3.16	%			1.51	%
Portfolio turnover rate			10	%			23	%			23	%			49	%			43	%			53	%
Selected data for a share of capital stock outstanding throughout each period	Six Months Ended 6/30/12†
					Year Ended
					12/31/11				12/31/10				12/31/09				12/31/08				12/31/07
Open Shares
Net asset value, beginning of period		$	17.20			$	22.19			$	18.28			$	11.05			$	24.17			$	20.82
Income (loss) from investment operations:
Net investment income (a)			0.23				0.49				0.34				0.29				0.52				0.29
Net realized and unrealized gain (loss)			1.17				(4.50	)			3.76				7.35				(11.87	)			6.47
Total from investment operations			1.40				(4.01	)			4.10				7.64				(11.35	)			6.76
Less distributions from:
Net investment income			—				(0.50	)			(0.19	)			(0.41	)			(0.43	)			(0.22	)
Net realized gains			—				(0.48	)			—				—				(1.34	)			(3.20	)
Total distributions			—				(0.98	)			(0.19	)			(0.41	)			(1.77	)			(3.42	)
Redemption fees			—	(c)			—	(c)			—	(c)			—	(c)			—	(c)			0.01
Net asset value, end of period		$	18.60			$	17.20			$	22.19			$	18.28			$	11.05			$	24.17
Total Return (b)			8.14	%			–18.02	%			22.43	%			69.14	%			–48.09	%			32.71	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	2,614,954			$	2,731,646			$	4,187,207			$	3,478,654			$	1,135,042			$	1,467,458
Ratios to average net assets:
Net expenses (d)			1.42	%			1.42	%			1.49	%			1.55	%			1.53	%(e)			1.47	%(e)
Gross expenses (d)			1.42	%			1.42	%			1.49	%			1.55	%			1.54	%			1.48	%
Net investment income (d)			2.46	%			2.18	%			1.73	%			1.94	%			2.72	%			1.19	%
Portfolio turnover rate			10	%			23	%			23	%			49	%			43	%			53	%

†	Unaudited.
(a)	Net investment income has been computed using the average shares method.
(b)	Total returns reflect reinvestment of all dividends and distributions, if any. A period of less than one year is not annualized.
(c)	Amount is less than $0.01 per share.
(d)	Annualized for a period of less than one year.
(e)	The Portfolio’s excess cash in demand deposit accounts may receive credits that are available to offset custody expenses. As a result of these credits, the net expenses were reduced by 0.01%.

The accompanying notes are an integral part of these financial statements.

138  Semi-Annual Report

LAZARD DEVELOPING MARKETS EQUITY PORTFOLIO

Selected data for a share of capital stock outstanding throughout each period	Six Months Ended 6/30/12†																For the Period 9/30/08* to 12/31/08
					Year Ended
					12/31/11				12/31/10				12/31/09
Institutional Shares
Net asset value, beginning of period		$	10.68			$	15.12			$	13.18			$	6.54			$	10.00
Income (loss) from investment operations:
Net investment income (a)			0.09				0.06				0.02				0.01				0.01
Net realized and unrealized gain (loss)			0.57				(4.00	)			3.63				7.09				(3.46	)
Total from investment operations			0.66				(3.94	)			3.65				7.10				(3.45	)
Less distributions from:
Net investment income			—				—				(0.09	)			(0.04	)			(0.01	)
Net realized gains			—				(0.50	)			(1.62	)			(0.42	)			—
Total distributions			—				(0.50	)			(1.71	)			(0.46	)			(0.01	)
Redemption fees			—	(c)			—	(c)			—	(c)			—	(c)			—
Net asset value, end of period		$	11.34			$	10.68			$	15.12			$	13.18			$	6.54
Total Return (b)			6.18	%		–26.15		%			28.62	%			108.53	%		–34.54		%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	256,548			$	160,441			$	72,798			$	20,002			$	6,539
Ratios to average net assets:
Net expenses (d)			1.18	%			1.30	%			1.30	%			1.30	%			1.30	%
Gross expenses (d)			1.18	%			1.30	%			1.67	%			2.81	%			11.98	%
Net investment income (d)			1.50	%			0.45	%			0.15	%			0.07	%			0.34	%
Portfolio turnover rate			40	%			68	%			112	%			96	%			72	%
Selected data for a share of capital stock outstanding throughout each period	Six Months Ended 6/30/12†																For the Period 9/30/08* to 12/31/08
					Year Ended
					12/31/11				12/31/10				12/31/09
Open Shares
Net asset value, beginning of period		$	10.68			$	15.16			$	13.19			$	6.55			$	10.00
Income (loss) from investment operations:
Net investment income (loss) (a)			0.07				0.01				(0.05	)			(0.08	)			—	(c)
Net realized and unrealized gain (loss)			0.57				(3.99	)			3.65				7.13				(3.45	)
Total from investment operations			0.64				(3.98	)			3.60				7.05				(3.45	)
Less distributions from:
Net investment income			—				—				(0.01	)			—	(c)			—
Net realized gains			—				(0.50	)			(1.62	)			(0.42	)			—
Total distributions			—				(0.50	)			(1.63	)			(0.42	)			—
Redemption fees			—	(c)			—	(c)			—	(c)			0.01				—
Net asset value, end of period		$	11.32			$	10.68			$	15.16			$	13.19			$	6.55
Total Return (b)			5.99	%		–26.34		%			28.13	%			108.17	%		–34.60		%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	77,480			$	63,415			$	101,584			$	42,975			$	357
Ratios to average net assets:
Net expenses (d)			1.49	%			1.60	%			1.60	%			1.60	%			1.60	%
Gross expenses (d)			1.49	%			1.62	%			1.85	%			2.54	%			28.95	%
Net investment income (loss) (d)			1.18	%			0.10	%			–0.33	%			–0.63	%			–0.09	%
Portfolio turnover rate			40	%			68	%			112	%			96	%			72	%

†	Unaudited.
*	Portfolio commenced operations on September 30, 2008.
(a)	Net investment income (loss) has been computed using the average shares method.
(b)	Total returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager or State Street; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower. A period of less than one year is not annualized.
(c)	Amount is less than $0.01 per share.
(d)	Annualized for a period of less than one year.

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  139

LAZARD EMERGING MARKETS EQUITY BLEND PORTFOLIO

Selected data for a share of capital stock outstanding throughout each period	Six Months Ended 6/30/12†				Year Ended 12/31/11				For the Period 5/28/10* to 12/31/10
Institutional Shares
Net asset value, beginning of period		$	9.77			$	12.45			$	10.00
Income (loss) from investment operations:
Net investment income (loss) (a)			0.10				0.15				(0.01	)
Net realized and unrealized gain (loss)			0.62				(2.70	)			2.48
Total from investment operations			0.72				(2.55	)			2.47
Less distributions from:
Net investment income			—				(0.08	)			—
Net realized gains			—				(0.05	)			(0.02	)
Total distributions			—				(0.13	)			(0.02	)
Redemption fees			—	(c)			—	(c)			—	(c)
Net asset value, end of period		$	10.49			$	9.77			$	12.45
Total Return (b)			7.36	%			–20.43	%			24.66	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	127,369			$	85,091			$	54,826
Ratios to average net assets:
Net expenses (d)			1.34	%			1.35	%			1.35	%
Gross expenses (d)			1.34	%			1.54	%			6.24	%
Net investment income (loss) (d)			1.84	%			1.34	%			–0.16	%
Portfolio turnover rate			24	%			62	%			62	%
Selected data for a share of capital stock outstanding throughout each period	Six Months Ended 6/30/12†				Year Ended 12/31/11				For the Period 5/28/10* to 12/31/10
Open Shares
Net asset value, beginning of period		$	9.76			$	12.43			$	10.00
Income (loss) from investment operations:
Net investment income (loss) (a)			0.08				0.11				(0.05	)
Net realized and unrealized gain (loss)			0.62				(2.68	)			2.50
Total from investment operations			0.70				(2.57	)			2.45
Less distributions from:
Net investment income			—				(0.05	)			—
Net realized gains			—				(0.05	)			(0.02	)
Total distributions			—				(0.10	)			(0.02	)
Redemption fees			—	(c)			—	(c)			—	(c)
Net asset value, end of period		$	10.46			$	9.76			$	12.43
Total Return (b)			7.27	%			–20.74	%			24.46	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	30,128			$	22,571			$	9,121
Ratios to average net assets:
Net expenses (d)			1.65	%			1.65	%			1.65	%
Gross expenses (d)			1.70	%			1.92	%			6.06	%
Net investment income (loss) (d)			1.53	%			0.94	%			–0.70	%
Portfolio turnover rate			24	%			62	%			62	%

†	Unaudited.
*	Portfolio commenced operations on May 28, 2010.
(a)	Net investment income (loss) has been computed using the average shares method.
(b)	Total returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager, State Street or BFDS; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower. A period of less than one year is not annualized.
(c)	Amount is less than $0.01 per share.
(d)	Annualized for a period of less than one year.

The accompanying notes are an integral part of these financial statements.

140  Semi-Annual Report

LAZARD EMERGING MARKETS MULTI-STRATEGY PORTFOLIO

Selected data for a share of capital stock outstanding throughout each period	Six Months Ended 6/30/12†				For the Period 3/31/11* to 12/31/11
Institutional Shares
Net asset value, beginning of period		$	8.57			$	10.00
Income (loss) from investment operations:
Net investment income (a)			0.07				0.09
Net realized and unrealized gain (loss)			0.43				(1.47	)
Total from investment operations			0.50				(1.38	)
Less distributions from:
Net investment income			—				(0.05	)
Total distributions			—				(0.05	)
Redemption fees			—	(c)			—	(c)
Net asset value, end of period		$	9.07			$	8.57
Total Return (b)			5.83	%			–13.79	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	67,098			$	56,527
Ratios to average net assets:
Net expenses (d)			1.30	%			1.30	%
Gross expenses (d)			1.62	%			2.23	%
Net investment income (d)			1.56	%			1.34	%
Portfolio turnover rate			71	%			98	%
Selected data for a share of capital stock outstanding throughout each period	Six Months Ended 6/30/12†				For the Period 3/31/11* to 12/31/11
Open Shares
Net asset value, beginning of period		$	8.59			$	10.00
Income (loss) from investment operations:
Net investment income (a)			0.06				0.07
Net realized and unrealized gain (loss)			0.42				(1.46	)
Total from investment operations			0.48				(1.39	)
Less distributions from:
Net investment income			—				(0.02	)
Total distributions			—				(0.02	)
Redemption fees			—				—	(c)
Net asset value, end of period		$	9.07			$	8.59
Total Return (b)			5.34	%			–13.67	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	649			$	262
Ratios to average net assets:
Net expenses (d)			1.60	%			1.60	%
Gross expenses (d)			4.01	%			16.96	%
Net investment income (d)			1.36	%			1.00	%
Portfolio turnover rate			71	%			98	%

†	Unaudited.
*	Portfolio commenced operations on March 31, 2011.
(a)	Net investment income has been computed using the average shares method.
(b)	Total returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager, State Street or BFDS; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower. A period of less than one year is not annualized.
(c)	Amount is less than $0.01 per share.
(d)	Annualized for a period of less than one year.

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  141

LAZARD EMERGING MARKETS DEBT PORTFOLIO

Selected data for a share of capital stock outstanding throughout each period	Six Months Ended 6/30/12†				For the Period 2/28/11* to 12/31/11
Institutional Shares
Net asset value, beginning of period		$	9.76			$	10.00
Income (loss) from investment operations:
Net investment income (a)			0.24				0.34
Net realized and unrealized gain (loss)			0.49				(0.17	)
Total from investment operations			0.73				0.17
Less distributions from:
Net investment income			(0.24	)			(0.40	)
Net realized gains			—				(0.01	)
Total distributions			(0.24	)			(0.41	)
Redemption fees			—	(c)			—
Net asset value, end of period		$	10.25			$	9.76
Total Return (b)			7.52	%			1.64	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	196,331			$	106,813
Ratios to average net assets:
Net expenses (d)			1.00	%			1.04	%
Gross expenses (d)			1.00	%			1.67	%
Net investment income (d)			4.75	%			4.14	%
Portfolio turnover rate			75	%			108	%
Selected data for a share of capital stock outstanding throughout each period	Six Months Ended 6/30/12†				For the Period 2/28/11* to 12/31/11
Open Shares
Net asset value, beginning of period		$	9.77			$	10.00
Income (loss) from investment operations:
Net investment income (a)			0.22				0.33
Net realized and unrealized gain (loss)			0.52				(0.20	)
Total from investment operations			0.74				0.13
Less distributions from:
Net investment income			(0.23	)			(0.35	)
Net realized gains			—				(0.01	)
Total distributions			(0.23	)			(0.36	)
Redemption fees			—	(c)			—
Net asset value, end of period		$	10.28			$	9.77
Total Return (b)			7.45	%			1.34	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	654			$	128
Ratios to average net assets:
Net expenses (d)			1.30	%			1.39	%
Gross expenses (d)			3.44	%			16.28	%
Net investment income (d)			4.43	%			3.84	%
Portfolio turnover rate			75	%			108	%

†	Unaudited.
*	Portfolio commenced operations on February 28, 2011.
(a)	Net investment income has been computed using the average shares method.
(b)	Total returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager, State Street or BFDS; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower. A period of less than one year is not annualized.
(c)	Amount is less than $0.01 per share.
(d)	Annualized for a period of less than one year.

The accompanying notes are an integral part of these financial statements.

142  Semi-Annual Report

LAZARD U.S. REALTY INCOME PORTFOLIO

	Six Months				For the Period
Selected data for a share of capital	Ended				9/26/11* to
stock outstanding throughout each period	6/30/12†				12/31/11
Institutional Shares
Net asset value, beginning of period		$	7.46			$	9.73
Income from investment operations:
Net investment income (a)			0.25				0.16
Net realized and unrealized gain			0.78				0.55
Total from investment operations			1.03				0.71
Less distributions from:
Net investment income			(0.23	)			(0.24	)
Net realized gains			—				(2.74	)
Total distributions			(0.23	)			(2.98	)
Redemption fees			—	(c)			—
Net asset value, end of period		$	8.26			$	7.46
Total Return (b)			13.84	%			9.71	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	38,312			$	19,849
Ratios to average net assets:
Net expenses (d)			1.15	%			1.15	%
Gross expenses (d)			1.23	%			2.31	%
Net investment income (d)			6.25	%			8.26	%
Portfolio turnover rate			19	%			89	%

	Six Months				For the Period												For the Period
Selected data for a share of capital	Ended				6/1/11 to				Year Ended								7/30/08** to
stock outstanding throughout each period	6/30/12†				12/31/11				5/31/11				5/31/10				5/31/09
Open Shares
Net asset value, beginning of period		$	7.45			$	11.34			$	10.78			$	6.79			$	10.00
Income (loss) from investment operations:
Net investment income (a)			0.25				0.44				0.32				0.48				0.41
Net realized and unrealized gain (loss)			0.76				(1.21	)			2.05				4.10				(3.26	)
Total from investment operations			1.01				(0.77	)			2.37				4.58				(2.85	)
Less distributions from:
Net investment income			(0.21	)			(0.38	)			(0.64	)			(0.59	)			(0.36	)
Net realized gains			—				(2.74	)			(1.17	)			—				—
Total distributions			(0.21	)			(3.12	)			(1.81	)			(0.59	)			(0.36	)
Redemption fees			—	(c)			—	(c)			—	(c)			—	(c)			—	(c)
Net asset value, end of period		$	8.25			$	7.45			$	11.34			$	10.78			$	6.79
Total Return (b)			13.69	%			–4.82	%			23.27	%			69.50	%		–27.15		%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	17,849			$	6,007			$	15,830			$	9,864			$	3,817
Ratios to average net assets:
Net expenses (d)			1.45	%			1.47	%			1.48	%			1.48	%			1.48	%
Gross expenses (d)			1.53	%			3.05	%			2.42	%			4.20	%			19.67	%
Net investment income (d)			6.36	%			7.49	%			2.81	%			5.14	%			8.19	%
Portfolio turnover rate			19	%			89	%			77	%			116	%			71	%

†	Unaudited.
*	The inception date for Institutional Shares was September 26, 2011.
**	Portfolio commenced operations on July 30, 2008.
(a)	Net investment income has been computed using the average shares method.
(b)	Total returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager, State Street or BFDS; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower. A period of less than one year is not annualized.
(c)	Amount is less than $0.01 per share.
(d)	Annualized for a period of less than one year.

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  143

LAZARD U.S. REALTY EQUITY PORTFOLIO

	Six Months				For the Period
Selected data for a share of capital	Ended				9/26/11* to
stock outstanding throughout each period	6/30/12†				12/31/11
Institutional Shares
Net asset value, beginning of period		$	14.89			$	15.76
Income from investment operations:
Net investment income (a)			0.14				0.10
Net realized and unrealized gain			2.08				2.91
Total from investment operations			2.22				3.01
Less distributions from:
Net investment income			—				(0.12	)
Net realized gains			—				(3.76	)
Total distributions			—				(3.88	)
Redemption fees			—	(c)			—
Net asset value, end of period		$	17.11			$	14.89
Total Return (b)			14.91	%			20.84	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	1,831			$	1,525
Ratios to average net assets:
Net expenses (d)			1.20	%			1.20	%
Gross expenses (d)			3.11	%			13.07	%
Net investment income (d)			1.76	%			2.32	%
Portfolio turnover rate			43	%			63	%

	Six Months				For the Period												For the Period
Selected data for a share of capital	Ended				6/1/11 to				Year Ended								12/31/08** to
stock outstanding throughout each period	6/30/12†				12/31/11				5/31/11				5/31/10				5/31/09
Open Shares
Net asset value, beginning of period		$	14.92			$	19.49			$	16.66			$	10.76			$	10.00
Income (loss) from investment operations:
Net investment income (loss) (a)			0.16				0.14				(0.07	)			0.05				0.14
Net realized and unrealized gain (loss)			2.04				(0.90	)			5.17				7.26				0.62
Total from investment operations			2.20				(0.76	)			5.10				7.31				0.76
Less distributions from:
Net investment income			—				(0.06	)			(0.04	)			(0.17	)			—
Net realized gains			—				(3.76	)			(2.23	)			(1.24	)			—
Total distributions			—				(3.82	)			(2.27	)			(1.41	)			—
Redemption fees			0.01				0.01				—	(c)			—				—
Net asset value, end of period		$	17.13			$	14.92			$	19.49			$	16.66			$	10.76
Total Return (b)			14.81	%			–2.44	%			33.01	%			70.16	%			7.60	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	36,632			$	1,138			$	4,852			$	2,463			$	110
Ratios to average net assets:
Net expenses (d)			1.50	%			1.80	%			1.93	%			2.00	%			2.00	%
Gross expenses (d)			1.89	%			7.48	%			5.66	%			17.23	%		214.80		%
Net investment income (loss) (d)			1.93	%			1.36	%			–0.41	%			0.32	%			3.52	%
Portfolio turnover rate			43	%			63	%			91	%			138	%			37	%

†	Unaudited.
*	The inception date for Institutional Shares was September 26, 2011.
**	Portfolio commenced operations on December 31, 2008.
(a)	Net investment income (loss) has been computed using the average shares method.
(b)	Total returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager, State Street or BFDS; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower. A period of less than one year is not annualized.
(c)	Amount is less than $0.01 per share.
(d)	Annualized for a period of less than one year.

The accompanying notes are an integral part of these financial statements.

144  Semi-Annual Report

LAZARD INTERNATIONAL REALTY EQUITY PORTFOLIO

	Six Months				For the Period
Selected data for a share of capital	Ended				9/26/11* to
stock outstanding throughout each period	6/30/12†				12/31/11
Institutional Shares
Net asset value, beginning of period		$	12.18			$	13.08
Income (loss) from investment operations:
Net investment income (a)			0.17				0.03
Net realized and unrealized gain (loss)			2.20				0.05
Total from investment operations			2.37				0.08
Less distributions from:
Net investment income			—				(0.75	)
Net realized gains			—				(0.23	)
Total distributions			—				(0.98	)
Redemption fees			—	(c)			—
Net asset value, end of period		$	14.55			$	12.18
Total Return (b)			19.46	%			0.09	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	2,304			$	1,914
Ratios to average net assets:
Net expenses (d)			1.30	%			1.30	%
Gross expenses (d)			7.21	%			17.38	%
Net investment income (d)			2.41	%			0.83	%
Portfolio turnover rate			29	%			41	%

	Six Months				For the Period												For the Period
Selected data for a share of capital	Ended				6/1/11 to				Year Ended								12/31/08** to
stock outstanding throughout each period	6/30/12†				12/31/11				5/31/11				5/31/10				5/31/09
Open Shares
Net asset value, beginning of period		$	12.17			$	16.98			$	14.54			$	15.39			$	10.00
Income (loss) from investment operations:
Net investment income (a)			0.17				0.05				0.16				0.28				0.10
Net realized and unrealized gain (loss)			2.18				(3.89	)			3.99				1.40				5.29
Total from investment operations			2.35				(3.83	)			4.15				1.68				5.39
Less distributions from:
Net investment income			—				(0.75	)			(0.55	)			(1.51	)			—
Net realized gains			—				(0.23	)			(1.16	)			(1.05	)			—
Total distributions			—				(0.98	)			(1.71	)			(2.56	)			—
Redemption fees			—	(c)			—				—	(c)			—				—
Net asset value, end of period		$	14.52			$	12.17			$	16.98			$	14.54			$	15.39
Total Return (b)			19.31	%		–22.98		%			29.13	%			9.65	%			53.90	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	1,666			$	667			$	1,716			$	1,427			$	424
Ratios to average net assets:
Net expenses (d)			1.60	%			1.84	%			1.96	%			2.00	%			2.00	%
Gross expenses (d)			8.20	%			16.46	%			14.35	%			25.27	%		116.23		%
Net investment income (d)			2.50	%			0.66	%			0.98	%			1.71	%			1.90	%
Portfolio turnover rate			29	%			41	%			54	%			81	%			5	%

†	Unaudited.
*	The inception date for Institutional Shares was September 26, 2011.
**	Portfolio commenced operations on December 31, 2008.
(a)	Net investment income has been computed using the average shares method.
(b)	Total returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager, State Street or BFDS; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower. A period of less than one year is not annualized.
(c)	Amount is less than $0.01 per share.
(d)	Annualized for a period of less than one year.

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  145

LAZARD U.S. HIGH YIELD PORTFOLIO

	Six Months
Selected data for a share of capital	Ended				Year Ended
stock outstanding throughout each period	6/30/12†				12/31/11				12/31/10				12/31/09				12/31/08				12/31/07
Institutional Shares
Net asset value, beginning of period		$	4.78			$	4.88			$	4.70			$	3.78			$	5.15			$	5.36
Income (loss) from investment operations:
Net investment income (a)			0.17				0.35				0.35				0.34				0.38				0.40
Net realized and unrealized gain (loss)			0.10				(0.10	)			0.18				0.92				(1.37	)			(0.21	)
Total from investment operations			0.27				0.25				0.53				1.26				(0.99	)			0.19
Less distributions from:
Net investment income			(0.17	)			(0.35	)			(0.35	)			(0.34	)			(0.38	)			(0.40	)
Total distributions			(0.17	)			(0.35	)			(0.35	)			(0.34	)			(0.38	)			(0.40	)
Redemption fees			—	(c)			—	(c)			—	(c)			—	(c)			—	(c)			—	(c)
Net asset value, end of period		$	4.88			$	4.78			$	4.88			$	4.70			$	3.78			$	5.15
Total Return (b)			5.66	%			5.17	%			11.78	%			34.66	%			–20.24	%			3.63	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	176,532			$	151,278			$	112,427			$	87,568			$	34,262			$	56,278
Ratios to average net assets:
Net expenses (d)			0.55	%			0.55	%			0.55	%			0.55	%			0.55	%			0.55	%
Gross expenses (d)			0.71	%			0.73	%			0.80	%			0.89	%			1.00	%			0.90	%
Net investment income (d)			6.94	%			7.13	%			7.38	%			7.96	%			8.10	%			7.56	%
Portfolio turnover rate			7	%			27	%			25	%			17	%			33	%			20	%

	Six Months
Selected data for a share of capital	Ended				Year Ended
stock outstanding throughout each period	6/30/12†				12/31/11				12/31/10				12/31/09				12/31/08				12/31/07
Open Shares
Net asset value, beginning of period		$	4.80			$	4.90			$	4.73			$	3.79			$	5.17			$	5.37
Income (loss) from investment operations:
Net investment income (a)			0.16				0.33				0.34				0.33				0.37				0.39
Net realized and unrealized gain (loss)			0.11				(0.10	)			0.17				0.94				(1.38	)			(0.21	)
Total from investment operations			0.27				0.23				0.51				1.27				(1.01	)			0.18
Less distributions from:
Net investment income			(0.16	)			(0.33	)			(0.34	)			(0.33	)			(0.37	)			(0.39	)
Total distributions			(0.16	)			(0.33	)			(0.34	)			(0.33	)			(0.37	)			(0.39	)
Redemption fees			—	(c)			—	(c)			—	(c)			—	(c)			—	(c)			0.01
Net asset value, end of period		$	4.91			$	4.80			$	4.90			$	4.73			$	3.79			$	5.17
Total Return (b)			5.70	%			4.89	%			11.19	%			34.40	%		–20.35		%			3.53	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	4,257			$	11,602			$	26,266			$	6,126			$	5,220			$	1,776
Ratios to average net assets:
Net expenses (d)			0.85	%			0.85	%			0.85	%			0.85	%			0.85	%			0.85	%
Gross expenses (d)			1.21	%			1.08	%			1.13	%			1.21	%			1.74	%			2.14	%
Net investment income (d)			6.56	%			6.72	%			7.05	%			7.74	%			7.89	%			7.24	%
Portfolio turnover rate			7	%			27	%			25	%			17	%			33	%			20	%

†	Unaudited.
(a)	Net investment income has been computed using the average shares method.
(b)	Total returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower. A period of less than one year is not annualized.
(c)	Amount is less than $0.01 per share.
(d)	Annualized for a period of less than one year.

The accompanying notes are an integral part of these financial statements.

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LAZARD U.S. MUNICIPAL PORTFOLIO

Selected data for a share of capital stock outstanding throughout each period	Six Months Ended 6/30/12†				For the Period 2/28/11* to 12/31/11
Institutional Shares
Net asset value, beginning of period		$	10.23			$	10.00
Income from investment operations:
Net investment income (a)			0.08				0.17
Net realized and unrealized gain			0.07				0.27
Total from investment operations			0.15				0.44
Less distributions from:
Net investment income			(0.08	)			(0.17	)
Net realized gains			—				(0.04	)
Total distributions			(0.08	)			(0.21	)
Redemption fees			—	(c)			—	(c)
Net asset value, end of period		$	10.30			$	10.23
Total Return (b)			1.46	%			4.46	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	19,934			$	11,594
Ratios to average net assets:
Net expenses (d)			0.40	%			0.40	%
Gross expenses (d)			1.66	%			3.09	%
Net investment income (d)			1.49	%			1.97	%
Portfolio turnover rate			14	%			60	%

Selected data for a share of capital stock outstanding throughout each period	Six Months Ended 6/30/12†				For the Period 2/28/11* to 12/31/11
Open Shares
Net asset value, beginning of period		$	10.23			$	10.00
Income from investment operations:
Net investment income (a)			0.07				0.14
Net realized and unrealized gain			0.07				0.28
Total from investment operations			0.14				0.42
Less distributions from:
Net investment income			(0.06	)			(0.15	)
Net realized gains			—				(0.04	)
Total distributions			(0.06	)			(0.19	)
Net asset value, end of period		$	10.31			$	10.23
Total Return (b)			1.31	%			4.20	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	4			$	103
Ratios to average net assets:
Net expenses (d)			0.70	%			0.70	%
Gross expenses (d)			19.73	%			18.49	%
Net investment income (d)			1.34	%			1.69	%
Portfolio turnover rate			14	%			60	%

†	Unaudited.
*	Portfolio commenced operations on February 28, 2011.
(a)	Net investment income has been computed using the average shares method.
(b)	Total returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager, State Street or BFDS; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower. A period of less than one year is not annualized.
(c)	Amount is less than $0.01 per share.
(d)	Annualized for a period of less than one year.

The accompanying notes are an integral part of these financial statements.

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LAZARD GLOBAL FIXED INCOME PORTFOLIO

Selected data for a share of capital stock outstanding throughout the period	For the Period 3/30/12* to 6/30/12†
Institutional Shares
Net asset value, beginning of period		$	10.00
Income (loss) from investment operations:
Net investment income (a)			0.05
Net realized and unrealized loss			(0.04	)
Total from investment operations			0.01
Less distributions from:
Net investment income			(0.05	)
Total distributions			(0.05	)
Net asset value, end of period		$	9.96
Total Return (b)			0.08	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	3,863
Ratios to average net assets:
Net expenses (c)			0.80	%
Gross expenses (c)			11.18	%
Net investment income (c)			1.95	%
Portfolio turnover rate			13	%

Selected data for a share of capital stock outstanding throughout the period	For the Period 3/30/12* to 6/30/12†
Open Shares
Net asset value, beginning of period		$	10.00
Income (loss) from investment operations:
Net investment income (a)			0.04
Net realized and unrealized loss			(0.05	)
Total from investment operations			(0.01	)
Less distributions from:
Net investment income			(0.04	)
Total distributions			(0.04	)
Net asset value, end of period		$	9.95
Total Return (b)			0.01	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	26
Ratios to average net assets:
Net expenses (c)			1.10	%
Gross expenses (c)			99.65	%
Net investment income (c)			1.78	%
Portfolio turnover rate			13	%

*	Portfolio commenced operations on March 30, 2012.
†	Unaudited.
(a)	Net investment income has been computed using the average shares method.
(b)	Total returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager, State Street or BFDS; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower. A period of less than one year is not annualized.
(c)	Annualized for a period of less than one year.

The accompanying notes are an integral part of these financial statements.

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LAZARD CAPITAL ALLOCATOR OPPORTUNISTIC STRATEGIES PORTFOLIO

	Six Months Ended 6/30/12†
Selected data for a share of capital stock outstanding throughout each period														For the Period 3/26/08* to 12/31/08
					Year Ended
					12/31/11			12/31/10			12/31/09
Institutional Shares
Net asset value, beginning of period		$	9.26		$	9.96		$	8.80		$	7.36			$	10.00
Income (loss) from investment operations:
Net investment income (a)			0.04			0.12			0.12			0.14				0.21
Net realized and unrealized gain (loss)			0.31			(0.45	)		1.16			1.42				(2.59	)
Total from investment operations			0.35			(0.33	)		1.28			1.56				(2.38	)
Less distributions from:
Net investment income			—			(0.13	)		(0.12	)		(0.12	)			(0.26	)
Net realized gains			—			(0.24	)		—			—				—
Total distributions			—			(0.37	)		(0.12	)		(0.12	)			(0.26	)
Redemption fees			—	(c)		—	(c)		—	(c)		—	(c)			—	(c)
Net asset value, end of period		$	9.61		$	9.26		$	9.96		$	8.80			$	7.36
Total Return (b)			3.78	%		–3.28	%		14.58	%		21.21	%			–23.64	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	258,484		$	258,832		$	239,403		$	195,939			$	110,757
Ratios to average net assets:
Net expenses (d)			1.02	%		1.02	%		1.02	%		1.02	%			1.02	%
Gross expenses (d)			1.12	%		1.13	%		1.13	%		1.16	%			1.27	%
Net investment income (d)			0.87	%		1.25	%		1.36	%		1.72	%			3.01	%
Portfolio turnover rate			60	%		155	%		117	%		113	%			94	%

	Six Months Ended 6/30/12†
Selected data for a share of capital stock outstanding throughout each period														For the Period 3/31/08* to 12/31/08
					Year Ended
					12/31/11			12/31/10			12/31/09
Open Shares
Net asset value, beginning of period		$	9.26		$	9.97		$	8.80		$	7.37			$	9.95
Income (loss) from investment operations:
Net investment income (a)			0.02			0.08			0.06			0.12				0.30
Net realized and unrealized gain (loss)			0.31			(0.45	)		1.20			1.41				(2.64	)
Total from investment operations			0.33			(0.37	)		1.26			1.53				(2.34	)
Less distributions from:
Net investment income			—			(0.10	)		(0.09	)		(0.10	)			(0.24	)
Net realized gains			—			(0.24	)		—			—				—
Total distributions			—			(0.34	)		(0.09	)		(0.10	)			(0.24	)
Redemption fees			—			—	(c)		—	(c)		—	(c)			—	(c)
Net asset value, end of period		$	9.59		$	9.26		$	9.97		$	8.80			$	7.37
Total Return (b)			3.56	%		–3.72	%		14.35	%		20.71	%			–23.44	%
Ratios and Supplemental Data:
Net assets, end of period (in thousands)		$	4,071		$	6,111		$	7,163		$	16,856			$	9,319
Ratios to average net assets:
Net expenses (d)			1.32	%		1.32	%		1.32	%		1.32	%			1.32	%
Gross expenses (d)			1.60	%		1.57	%		1.52	%		1.44	%			1.93	%
Net investment income (d)			0.43	%		0.77	%		0.66	%		1.44	%			4.68	%
Portfolio turnover rate			60	%		155	%		117	%		113	%			94	%

†	Unaudited.
*	Institutional Shares and Open Shares commenced operations on March 26, 2008 and March 31, 2008, respectively.
(a)	Net investment income has been computed using the average shares method.
(b)	Total returns reflect reinvestment of all dividends and distributions, if any. Certain expenses of the Portfolio have been waived or reimbursed by the Portfolio’s Investment Manager; without such waiver/reimbursement of expenses, the Portfolio’s returns would have been lower. A period of less than one year is not annualized.
(c)	Amount is less than $0.01 per share.
(d)	Annualized for a period of less than one year.

The accompanying notes are an integral part of these financial statements.

Semi-Annual Report  149

   The Lazard Funds, Inc. Notes to Financial Statements June 30, 2012 (unaudited)

1. Organization

The Lazard Funds, Inc. (the “Fund”) was incorporated in Maryland on May 17, 1991 and is registered under the Investment Company Act of 1940, as amended (the “Act”), as an open-end management investment company. The Fund is comprised of twenty-two no-load portfolios (each referred to as a “Portfolio”), as follows: Lazard U.S. Equity Concentrated Portfolio (formerly, Lazard U.S. Equity Value Portfolio), Lazard U.S. Strategic Equity Portfolio, Lazard U.S. Mid Cap Equity Portfolio, Lazard U.S. Small-Mid Cap Equity Portfolio, Lazard Global Listed Infrastructure Portfolio, Lazard International Equity Portfolio, Lazard International Equity Select Portfolio, Lazard International Strategic Equity Portfolio, Lazard International Small Cap Equity Portfolio, Lazard Emerging Markets Equity Portfolio, Lazard Developing Markets Equity Portfolio, Lazard Emerging Markets Equity Blend Portfolio, Lazard Emerging Markets Multi-Strategy Portfolio, Lazard Emerging Markets Debt Portfolio, Lazard U.S. Realty Income Portfolio, Lazard U.S. Realty Equity Portfolio, Lazard International Realty Equity Portfolio, Lazard U.S. High Yield Portfolio, Lazard U.S. Municipal Portfolio, Lazard Global Fixed Income Portfolio (commenced investment operations on March 30, 2012), Lazard Multi-Asset Targeted Volatility Portfolio, and Lazard Capital Allocator Opportunistic Strategies Portfolio. The Fund offers two different classes of shares of the Portfolios—Institutional Shares and Open Shares. Institutional Shares and Open Shares are identical, except as to minimum investment requirements and the services offered to and expenses borne by each class of shares. All Portfolios, other than the U.S. Equity Concentrated Portfolio, the Emerging Markets Debt Portfolio, the U.S. Realty Equity Portfolio and the International Realty Equity Portfolio, are operated as “diversified” funds, as defined in the Act. Multi-Asset Targeted Volatility Portfolio had not commenced operations as of June 30, 2012.

Pursuant to an Agreement and Plan of reorganization dated as of June 29, 2011 (the “Plan”), between Trust for Professional Managers, on behalf of each of Grubb & Ellis AGA Realty Income Fund, Grubb & Ellis AGA U.S. Realty Fund, and Grubb & Ellis AGA International Realty Fund (collectively, the “G&E Portfolios”), and the Fund, on behalf of Lazard U.S. Realty Income Portfolio, Lazard U.S. Realty Equity Portfolio and Lazard International Realty Equity Portfolio (collectively, the “Realty Portfolios”), the Fund acquired, in a tax-free reorganization, the assets and liabilities of the G&E Portfolios. The effective date of the reorganization, at

which time shareholders of the respective G&E Portfolios became shareholders of the Open Share class of the respective Realty Portfolios, was the close of business on September 23, 2011. The Institutional Share class for each Realty Portfolio, which was not part of the Plan, commenced on September 26, 2011.

2. Significant Accounting Policies

The accompanying financial statements are presented in conformity with GAAP. The following is a summary of significant accounting policies:

(a) Valuation of Investments—Market values for securities listed on the New York Stock Exchange (“NYSE”), NASDAQ national market or other U.S. or foreign exchanges or markets are generally based on the last reported sales price on the exchange or market on which the security is principally traded, generally as of the close of regular trading on the NYSE (normally 4:00 p.m. Eastern time) on each valuation date; securities not traded on the valuation date are valued at the most recent quoted bid price. The Fund values NASDAQ-traded securities at the NASDAQ Official Closing Price, which may not be the last reported sales price in certain instances. Exchange-traded options are valued at the last sales prices at the close of business on the exchanges on which they trade (which is normally 4:10 p.m. Eastern time). Swap agreements, such as credit default and interest rate swap agreements and swap agreements with respect to equity securities, are valued by an independent pricing service. Forward currency contracts are valued using quotations from an independent pricing service. Investments in money market funds are valued at the fund’s net asset value. Repurchase agreements are valued at the principal amounts plus accrued interest.

Bonds and other fixed-income securities that are not exchange-traded are valued on the basis of prices provided by independent pricing services which are based primarily on institutional trading in similar groups of securities, or by using brokers’ quotations or a matrix system which considers such factors as other security prices, yields and maturities. Debt securities maturing in 60 days or less are valued at amortized cost, except where to do so would not accurately reflect their fair value, in which case such securities are valued at fair value as determined by, or in accordance with procedures approved by, the Board of Directors (the “Board”).

The Valuation Committee of the Investment Manager may evaluate a variety of factors to determine the fair value of

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securities for which market quotations are determined not to be readily available or reliable. These factors include, but are not limited to, the type of security, the value of comparable securities, observations from financial institutions and relevant news events. Input from the Investment Manager’s analysts also will be considered.

If a significant event materially affecting the value of securities occurs between the close of the exchange or market on which the security is principally traded and the time when a Portfolio’s net asset value is calculated, or when current market quotations otherwise are determined not to be readily available or reliable (including restricted or other illiquid securities such as certain derivative instruments), such securities will be valued at their fair value as determined by, or in accordance with procedures approved by, the Board. The fair value of foreign securities may be determined with the assistance of an independent pricing service, using correlations between the movement of prices of such securities and indices of domestic securities and other appropriate indicators, such as closing market prices or relevant ADRs or future contracts. The effect of using fair value pricing is that the net asset value of a Portfolio will reflect the affected securities’ values as determined in the judgment of the Board or its designee instead of being determined by the market. Using a fair value pricing methodology to price securities may result in a value that is different from the most recent closing price of a security and from the prices used by other investment companies to calculate their portfolio’s net asset values. Foreign securities may trade on days when a Portfolio is not open for business, thus affecting the value of the Portfolio’s assets on days when Portfolio shareholders may not be able to buy or sell Portfolio shares.

(b) Portfolio Securities Transactions and Investment Income—Portfolio securities transactions are accounted for on trade date. Realized gain (loss) on sales of investments are recorded on a specific identification basis. Dividend income is recorded on the ex-dividend date and interest income is accrued daily. The Portfolios amortize premiums and accrete discounts on fixed-income securities using the effective yield method. For the period ended June 30, 2012, Emerging Markets Multi-Strategy Portfolio, Emerging Markets Debt Portfolio, U.S. High Yield Portfolio, U.S. Municipal Portfolio and Global Fixed Income Portfolio traded in fixed-income securities.

The Portfolios may be subject to taxes imposed by foreign countries in which they invest. Such taxes are generally based

upon income earned or capital gains (realized or unrealized). The Portfolios accrue and apply such taxes to net investment income, net realized gains and net unrealized gains concurrent with the recognition of income or capital gains (realized and unrealized) from the applicable portfolio securities.

(c) Repurchase Agreements—In connection with transactions in repurchase agreements, the Fund’s custodian takes possession of the underlying collateral securities, the fair value of which, at all times, is required to be at least equal to the principal amount, plus accrued interest, of the repurchase transaction. If the seller defaults, and the fair value of the collateral declines, realization of the collateral by a Portfolio may be delayed or limited.

(d) Foreign Currency Translation and Forward Currency Contracts—The accounting records of the Portfolios are maintained in U.S. dollars. Portfolio securities and other assets and liabilities denominated in a foreign currency are translated daily into U.S. dollars at the prevailing rates of exchange. Purchases and sales of securities, income receipts and expense payments are translated into U.S. dollars at the prevailing exchange rates on the respective transaction dates.

The Portfolios do not isolate the portion of operations resulting from changes in foreign exchange rates on investments from the fluctuations arising from changes in their market prices. Such fluctuations are included in net realized and unrealized gain (loss) on investments. Net realized gain (loss) on foreign currency and forward currency contracts represents net foreign currency gain (loss) from forward currency contracts, disposition of foreign currencies, currency gain (loss) realized between the trade and settlement dates on securities transactions, and the difference between the amount of dividends, interest and foreign withholding taxes recorded on a Portfolio’s accounting records and the U.S. dollar equivalent amounts actually received or paid. Net change in unrealized appreciation (depreciation) on foreign currency reflects the impact of changes in exchange rates on the value of assets and liabilities, other than investments in securities, during the period.

A forward currency contract is an agreement between two parties to buy or sell currency at a set price on a future date. Upon entering into these contracts, risks may arise from the potential inability of counterparties to meet the terms of their contracts and from unanticipated movements in the value of the foreign currency relative to the U.S. dollar.

Semi-Annual Report  151

The U.S. dollar value of forward currency contracts is determined using quotations provided by an independent pricing service. Daily fluctuations in the value of such contracts are recorded as unrealized appreciation (depreciation) on forward currency contracts. When the contract is closed, the Portfolios records a realized gain (loss) equal to the difference between the value at the time it was opened and the value at the time it was closed.

For the period ended June 30, 2012, Global Listed Infrastructure Portfolio, Emerging Markets Multi-Strategy Portfolio, Emerging Markets Debt Portfolio, Global Fixed Income Portfolio and Capital Allocator Opportunistic Strategies Portfolio traded in forward currency contracts.

(e) Options Transactions—For hedging and investment purposes, certain Portfolios may purchase and write (sell) put and call options that are traded on U.S. and foreign securities exchanges and over-the-counter markets.

The risk associated with purchasing an option is that the Portfolios pay a premium whether or not the option is exercised. Additionally, the Portfolios bear the risk of loss of any change in market value should the counterparty not perform under the contract. The risk involved in writing an option is that, if the option is exercised, the underlying security or other assets could then be purchased or sold by the Portfolios at a disadvantageous price. Put and call options purchased are accounted for in the same manner as portfolio securities and other assets. When the Portfolios write an option, the premium received by the Portfolios is recorded as a liability and is subsequently adjusted to the current market value of the option written.

During the period ended June 30, 2012, transactions in options purchased and written were as follows:

Emerging Markets Multi-Strategy Portfolio
Purchased Options	Number of Contracts			Amount
Options outstanding at
beginning of period		26,700		$	65,019
Options purchased		3,463,000			158,322
Options sold		(1,268,500	)		(52,084	)
Options exercised		(31,400	)		(69,631	)
Options expired		(34,800	)		(38,274	)
Options outstanding at
end of period		2,155,000		$	63,352

Written Options	Number of Contracts			Premiums
Options outstanding at
beginning of period		23,000		$	22,458
Options written		62,300			64,299
Options repurchased		(29,800	)		(35,026	)
Options exercised		(9,200	)		(10,047	)
Options expired		(41,300	)		(38,059	)
Options outstanding at
end of period		5,000		$	3,625
Emerging Markets Debt Portfolio
Purchased Options	Number of Contracts			Amount
Options outstanding at
beginning of period		97,800		$	244,081
Options purchased		6,066,900			496,205
Options sold		(5,875,000	)		(191,108	)
Options exercised		(74,000	)		(176,615	)
Options expired		(197,700	)		(353,870	)
Options outstanding at
end of period		18,000		$	18,693
Written Options	Number of Contracts			Premiums
Options outstanding at
beginning of period		74,000		$	72,635
Options written		323,800			333,716
Options repurchased		(95,000	)		(251,760	)
Options exercised		(45,500	)		(39,730	)
Options expired		(257,300	)		(114,861	)
Options outstanding at
end of period		—		$	—
Capital Allocator Opportunistic Strategies Portfolio
Purchased Options	Number of Contracts			Amount
Options outstanding at
beginning of period		7,084		$	4,317,455
Options purchased		2,000			443,890
Options expired		(7,084	)		(4,317,455	)
Options outstanding at
end of period		2,000		$	443,890

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Written Options	Number of Contracts			Premiums
Options outstanding at
beginning of period		—		$	—
Options written		500			58,624
Options expired		(500	)		(58,624	)
Options outstanding at
end of period		—		$	—

None of the other Portfolios in the fund traded in options during the period ended June 30, 2012.

(f) Swap Agreements—Swap agreements on equity assets involve commitments to pay interest in exchange for an equity basket return. The counterparty pays out the total return of the basket of equity securities and, in return, receives a regular stream of payments, based on an agreed-upon interest rate. To the extent the total return of the equity basket underlying the transaction exceeds (or falls short of) the offsetting interest rate obligation, the Portfolios will receive a payment from (or make a payment to) the counterparty.

Credit default swap agreements involve one party making a stream of payments (referred to as the buyer of protection) to another party (the seller of protection) in exchange for the right to receive a specified return in the event of a default or other credit event for the referenced entity, obligation or index. As a seller of protection, a portfolio generally receives an upfront payment or a fixed rate of income throughout the term of the swap provided there is no credit event. As the seller, a portfolio would effectively add leverage to its portfolio because, in addition to its total net assets, a portfolio would be subject to investment exposure on the notional amount of the swap.

Interest rate swap agreements involve the exchange by a portfolio with another party of their respective commitments to pay or receive interest with respect to the notional amount of principal. Certain forms of interest rate swap agreements may include: (i) interest rate caps, under which, in return for a premium, one party agrees to make payments to the other to the extent that interest rates exceed a specified rate, or “cap”, (ii) interest rate floors, under which, in return for a premium, one party agrees to make payments to the other to the extent that interest rates fall below a specified rate, or “floor”, (iii) interest rate collars, under which a

party sells a cap and purchases a floor or vice versa in an attempt to protect itself against interest rate movements exceeding given minimum or maximum levels, (iv) callable interest rate swaps, under which the counterparty may terminate the swap transaction in whole at zero cost by a predetermined date and time prior to the maturity date, (v) spreadlocks, which allow the interest rate swap users to lock in the forward differential (or spread) between the interest rate swap rate and specified benchmark, or (vi) basis swaps, under which two parties can exchange variable interest rates based on different money markets.

Swap agreements are valued by an independent pricing service, and the change in value, if any, is recorded as an unrealized appreciation (depreciation) on swap agreements in the Portfolios’ accompanying Statements of Assets and Liabilities.

For the period ended June 30, 2012, Emerging Markets Multi-Strategy Portfolio, Emerging Markets Debt Portfolio and Capital Allocator Opportunistic Strategies Portfolio traded in swap agreements.

(g) Federal Income Taxes—The Fund’s policy is to continue to have each Portfolio qualify as a regulated investment company under Subchapter M of the Internal Revenue Code and to distribute all of its taxable income, including any net realized capital gains, to shareholders. Therefore, no federal income tax provision is required.

At December 31, 2011, the following Portfolios had available, for federal income tax purposes, unused realized capital losses which can be used to offset future realized capital gains as follows:

Portfolio	Expiring 2016		Expiring 2017
U.S. Equity Concentrated		$      572,109		$   1,691,984
U.S. Strategic Equity		4,080,017		14,362,392
U.S. Mid Cap Equity		28,014,052		40,427,588
International Equity		1,140,249		30,343,230
International Equity Select		530,749		2,653,216
International Strategic Equity		15,180,835		60,710,573
International Small Cap Equity		26,319,540		50,821,243
U.S. High Yield		1,590,717		5,346,242

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Portfolio		Expiring 2018
International Equity		$  5,103,235
International Equity Select		1,173,332
International Small Cap Equity		4,306,477
U.S. High Yield		378,664
Portfolio	Unlimited Short-Term Capital Losses	Unlimited Long-Term Capital Losses
Emerging Markets Equity Blend	$  94,103	$  174,675
Emerging Markets Multi-Strategy	365,947	—

Under current tax law, certain capital and net foreign currency losses realized after October 31 within the taxable year may be deferred and treated as occurring on the first day of the following tax year. For the tax year ended De-cember 31, 2011, the following Portfolios elected to defer net capital and foreign currency losses arising between November 1, 2011 and December 31, 2011 as follows:

Portfolio	Amount
U.S. Small-Mid Cap Equity	$	2,807,165
International Equity Select		3,652
Emerging Markets Equity		11,328,173
Developing Markets Equity		5,213,577
Emerging Markets Equity Blend		1,092,258
Emerging Markets Multi-Strategy		501,303
Emerging Markets Debt		729,354
International Realty Equity		91,345
U.S. Municipal		83,574
Capital Allocator Opportunistic Strategies		824,195

On December 22, 2010, the Regulated Investment Company Modernization Act of 2010 (the “RIC Modernization Act”) was signed into law. The RIC Modernization Act includes numerous provisions that generally become effective for taxable years beginning after the date of enactment. Among the new provisions, net capital losses may be carried forward indefinitely, and their character is retained as short-term or long-term losses. Previously, net capital losses were carried forward for eight years and treated as short-term losses. The RIC Modernization Act also requires that post-enactment net capital losses be used before pre-enactment net capital losses. As a result, pre-enactment capital loss carryforwards may expire unused.

Management has analyzed the Portfolios’ tax positions, and has concluded that no liability for unrecognized tax benefits should be recorded related to uncertain tax positions taken

on returns filed for open tax years (2008-2010), or expected to be taken in the Portfolios’ 2011 tax returns.

(h) Dividends and Distributions—The Fund intends to declare dividends from net investment income daily on shares of Emerging Markets Debt, U.S. High Yield, U.S. Municipal and Global Fixed Income Portfolios and to pay such dividends monthly. Dividends from net investment income, if any, on shares of the other Portfolios will be declared and paid annually, except that Global Listed Infrastructure and U.S. Realty Income Portfolios’ dividends from net investment income (if any), will be declared and paid quarterly. During any particular year, net realized gains from investment transactions in excess of available capital loss carryforwards would be taxable to the Portfolios, if not distributed. The Portfolios intend to declare and distribute these amounts, at least annually, to shareholders; however, to avoid taxation, a second distribution may be required.

Income dividends and capital gains distributions are determined in accordance with federal income tax regulations which may differ from GAAP. These book/tax differences, which may result in distribution reclassifications, are primarily due to differing treatments of foreign currency transactions, wash sales, and distributions from real estate investment trusts and partnerships. The book/tax differences relating to shareholder distributions may result in reclassifications among certain capital accounts.

(i) Offering Costs—Cost incurred by the Fund in connection with the offering of shares of a new Portfolio are deferred and amortized on a straight line basis over a twelve-month period from the date of commencement of operations of the Portfolio.

(j) Allocation of Expenses—Expenses not directly chargeable to a specific Portfolio are allocated among the Portfolios primarily on the basis of relative net assets. A Portfolio accrues distribution and service (12b-1) fees to its Open Shares. Each Portfolio’s income, expenses (other than class specific expenses) and realized and unrealized gains and losses are allocated proportionally each day between the classes based upon the relative net assets of each class.

(k) Expense Reductions—The Portfolios’ excess cash in demand deposit accounts, if any, may receive credits that are available to offset custody expenses. The Statements of Operations report gross custody expenses, and report the amount of any credits separately as an expense reduction.

154  Semi-Annual Report

(l) Redemption Fee—Each Portfolio may impose a 1.00% redemption fee (short-term trading fee) on Portfolio shares redeemed less than 30 days after such shares were acquired. The fees are retained by each Portfolio and are included as paid in capital on its Statement of Assets and Liabilities. The fees are also shown on its Statement of Changes in Net Assets.

(m) Estimates—The preparation of financial statements in conformity with GAAP requires the Fund to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates.

3. Investment Management, Administration, Distribution and Transfer Agency Agreements

The Fund, on behalf of the Portfolios, has entered into an investment management agreement (the “Management Agreement”) with the Investment Manager. Pursuant to the Management Agreement, the Investment Manager regularly provides each Portfolio with investment research, advice and supervision and furnishes continuously an investment program for each Portfolio consistent with its investment objective and policies, including the purchase, retention and disposition of securities. For its services provided to the Fund, the Investment Manager earns a management fee, accrued daily and payable by each Portfolio monthly, at the annual rate set forth below as a percentage of its average daily net assets:

Portfolio	Annual Rate
U.S. Equity Concentrated	0.70	%
U.S. Strategic Equity	0.70
U.S. Mid Cap Equity	0.75
U.S. Small-Mid Cap Equity	0.75
Global Listed Infrastructure	0.90
International Equity	0.75
International Equity Select	0.85
International Strategic Equity	0.75
International Small Cap Equity	0.75
Emerging Markets Equity	1.00
Developing Markets Equity	1.00
Emerging Markets Equity Blend	1.05
Emerging Markets Multi-Strategy	1.00
Emerging Markets Debt	0.80
U.S. Realty Income	0.75
U.S. Realty Equity	0.80

Portfolio	Annual Rate
International Realty Equity	0.90	%
U.S. High Yield	0.55
U.S. Municipal	0.25
Global Fixed Income	0.50
Capital Allocator Opportunistic Strategies	1.00

The Investment Manager has voluntarily agreed to reduce its fees and, if necessary, reimburse the Portfolios if annualized operating expenses exceed the following percentages of average daily net assets for the respective Shares:

Portfolio	Institutional Shares		Open Shares
U.S. Equity Concentrated*	0.95	%	1.25	%
U.S. Strategic Equity	0.75		1.05
U.S. Mid Cap Equity	1.05		1.35
U.S. Small-Mid Cap Equity	1.15		1.45
Global Listed Infrastructure	1.30		1.60
International Equity	1.05		1.35
International Equity Select	1.15		1.45
International Strategic Equity	1.15		1.45
International Small Cap Equity	1.13		1.43
Emerging Markets Equity	1.30		1.60
Developing Markets Equity	1.30		1.60
Emerging Markets Equity Blend	1.35		1.65
Emerging Markets Multi-Strategy	1.30		1.60
Emerging Markets Debt	1.00		1.30
U.S. Realty Income	1.15		1.45
U.S. Realty Equity	1.20		1.50
International Realty Equity	1.30		1.60
U.S. High Yield	0.55		0.85
U.S. Municipal	0.40		0.70
Global Fixed Income	0.80		1.10
Capital Allocator Opportunistic Strategies	1.02		1.32

* From January 1, 2012 to May 30, 2012, the expense caps were 0.75% and 1.05% for Institutional shares and Open shares, respectively.

During the period ended June 30, 2012, the Investment Manager waived its management fees and reimbursed the following Portfolios for other expenses as follows:

	Institutional Shares						Open Shares
Portfolio	Management Fees Waived			Expenses Reimbursed			Management Fees Waived			Expenses Reimbursed
U.S. Equity
Concentrated		$	68,174		$	19,957		$	1,053		$	6,810
U.S. Strategic Equity			80,725			—			13,392			—
International Equity Select			16,807			47,939			10,990			36,373
International Small Cap Equity			9,843			—			3,832			—

Semi-Annual Report  155

	Institutional Shares				Open Shares
Portfolio	Management Fees Waived		Expenses Reimbursed		Management Fees Waived		Expenses Reimbursed
Emerging Markets Equity Blend	$	—	$	—	$	6,816	$	—
Emerging Markets Multi-Strategy		103,057		—		2,877		4,045
Emerging Markets Debt		—		—		2,246		3,772
U.S. Realty Income		9,327		—		4,467		—
U.S. Realty Equity		6,838		6,113		33,417		—
International Realty Equity		9,864		46,008		5,934		31,137
U.S. High Yield		134,345		—		9,150		—
U.S. Municipal		19,260		68,182		87		6,521
Global Fixed Income		4,572		83,031		29		2,518
Capital Allocator Opportunistic Strategies		132,537		—		7,615		—

The Fund has entered into an administration agreement with State Street to provide certain administrative services to the Portfolios. Each Portfolio bears the cost of such services at a fixed annual rate of $42,500, plus $7,500 per additional class, and 0.02% of average daily net assets up to $1 billion and 0.01% of average daily net assets over $1 billion. State Street has agreed to waive $18,750 of the $42,500 annual fee for the following Portfolios until each respective Portfolio’s net assets reach $25 million. During the period ended June 30, 2012, State Street waived its fees as follows:

Portfolio	Amount
U.S. Equity Concentrated	$	7,813
U.S. Realty Equity		4,688
International Realty Equity		9,375
U.S. Municipal		9,375
Global Fixed Income		4,688

The Fund has a distribution agreement with Lazard Asset Management Securities LLC (the “Distributor”), a wholly-owned subsidiary of the Investment Manager, to serve as the distributor for shares of each Portfolio. The Distributor bears the cost of printing and mailing prospectuses to potential investors and certain expenses in connection with the offering of Portfolio shares.

Under a Distribution and Servicing Plan in accordance with Rule 12b-1 under the Act, each Portfolio pays a monthly fee to the Distributor, at an annual rate of 0.25% of the average

daily net assets of its Open Shares, for distribution and servicing of accounts. The Distributor may make payments to certain financial institutions, securities dealers and other industry professionals for providing these services.

BFDS is the Fund’s transfer and dividend disbursing agent. For its services, BFDS receives a monthly fee computed on the basis of the number of shareholder accounts it maintains for the Fund during the month, subject to a minimum fee amount per share class in each Portfolio, and is reimbursed for certain out-of-pocket expenses. BFDS has agreed to waive the monthly minimum fee for six months after a new Portfolio has commenced operations. During the period ended June 30, 2012, BFDS waived its fees as follows:

Portfolio	Amount
U.S. Realty Income	$	3,580
U.S. Realty Equity		3,538
International Realty Equity		5,955
Global Fixed Income		5,725

4. Directors’ Compensation
Certain Directors of the Fund are officers of the Investment Manager. Each Director who is not an affiliated person of the Investment Manager or any of its affiliates is paid by the Fund, Lazard Retirement Series, Inc., Lazard Global Total Return and Income Fund, Inc. and Lazard World Dividend & Income Fund, Inc. (collectively with the Fund, the “Lazard Funds”), each a registered management investment company advised by the Investment Manager: (1) an annual retainer of $100,000, (2) a per meeting in person regular or special meeting fee of $5,000 ($1,500 for telephonic participation), including Board, committee, subcommittee or other special meetings specifically authorized by the Board and held in connection with delegated Fund business, and (3) a telephone Audit Committee or special Board meeting fee of $1,500, with an additional annual fee for the Audit Committee Chairman of $5,000. Such Directors are also reimbursed for travel and other out-of-pocket expenses for attending Board and committee meetings. No additional compensation is provided in respect of committee meetings held in conjunction with a meeting of the Board. Compensation is divided among the Lazard Funds based on relative net assets. The Directors do not receive benefits from the Fund pursuant to any pension, retirement or similar arrangement.

156  Semi-Annual Report

5. Securities Transactions and Transactions with Affiliates
Purchases and sales of portfolio securities (excluding short-term investments) for the period ended June 30, 2012 were as follows:

Portfolio	Purchases		Sales
U.S. Equity Concentrated	$	64,566,783	$	34,367,319
U.S. Strategic Equity		30,787,518		25,890,355
U.S. Mid Cap Equity		75,795,912		128,634,838
U.S. Small-Mid Cap Equity		129,532,370		118,848,905
Global Listed Infrastructure		22,711,770		11,708,744
International Equity		28,667,742		31,996,287
International Equity Select		1,195,510		2,243,833
International Strategic Equity		406,170,733		159,869,514
International Small Cap Equity		16,393,465		17,310,275
Emerging Markets Equity		1,500,824,308		1,598,688,024
Developing Markets Equity		214,429,046		117,676,699
Emerging Markets Equity Blend		69,647,452		31,716,580
Emerging Markets Multi-Strategy		36,620,315		33,462,797
Emerging Markets Debt		194,206,706		113,463,834
U.S. Realty Income		33,736,459		7,551,689
U.S. Realty Equity		40,912,493		8,729,642
International Realty Equity		1,770,820		983,090
U.S. High Yield		23,080,934		12,094,039
U.S. Municipal		10,018,359		2,115,250
Global Fixed Income		4,321,511		445,068
Capital Allocator Opportunistic Strategies		143,682,796		139,574,343

For the period ended June 30, 2012, no brokerage commissions were paid to affiliates of the Investment Manager or other affiliates of the Fund for portfolio transactions executed on behalf of the Fund.

6. Line of Credit
The Fund has a $50 million Line of Credit Agreement (the “Agreement”) with State Street, primarily for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities. Interest on borrowings was payable at the higher of the Federal Funds rate or Overnight LIBOR rate plus 1.00% from January 1, 2012 to June 30, 2012, on an annualized basis. Under the Agreement, the Fund has also agreed to pay a 0.10% per annum fee from January 1, 2012 to June 30, 2012 on the unused portion of the commitment, payable quarterly in arrears. For the six months ended June 30, 2012, the Fund had borrowings under the Agreement as follows:

Portfolio	Average Daily Loan Balance*		Maximum Daily Loan Outstanding		Weighted Average Interest Rate			Number of Days Borrowings Were Outstanding
U.S. Equity Concentrated	$	100,000	$	100,000		1.17	%	1
U.S. Strategic Equity		720,000		720,000		1.18		1
U.S. Mid Cap Equity		3,890,625		25,800,000		1.16		8
U.S. Small-Mid Cap Equity		21,000,000		21,000,000		1.19		3
Global Listed Infrastructure		568,571		1,060,000		1.15		7
International Equity		3,800,000		4,200,000		1.16		3
International Equity Select		506,714		654,000		1.14		7
International Small Cap Equity		158,000		470,000		1.15		5
Emerging Markets Equity		27,770,000		45,570,000		1.15		4
International Realty Equity		10,200		14,300		1.15		9
U.S. Municipal		4,000		4,000		1.17		1

* For days borrowings were outstanding.

7. Foreign Securities Investment Risks
Certain Portfolios invest in securities of foreign entities and in instruments denominated in foreign currencies which involve risks not typically associated with investments in domestic securities. Non-domestic securities carry special risks, such as exposure to currency fluctuations, less developed or less efficient trading markets, political instability, a lack of company information, differing auditing and legal standards, and, potentially, less liquidity. A Portfolio’s investments in emerging market countries are exposed to additional risks. A Portfolio’s performance will be influenced by political, social and economic factors affecting companies in emerging market countries. Emerging market countries generally have economic structures that are less diverse and mature, and political systems that are less stable, than those of developed countries.

8. Contractual Obligations
The Fund enters into contracts in the normal course of business that contain a variety of indemnifications. A Portfolio’s maximum exposure under these arrangements is unknown. Management has reviewed the Fund’s existing contracts and expects the risk of loss to be remote.

Semi-Annual Report  157

9. Fair Value Measurements
Fair value is defined as the price that a Portfolio would receive to sell an asset, or would pay to transfer a liability, in an orderly transaction between market participants at the date of measurement. The Fair Value Measurements and Disclosures provisions of GAAP also establish a framework for measuring fair value, and a three-level hierarchy for fair value measurement that is based upon the transparency of inputs to the valuation of an asset or liability. Inputs may be observable or unobservable and refer, broadly, to the assumptions that market participants would use in pricing the asset or liability. Observable inputs reflect the assumptions that market participants would use in pricing the asset or liability based on market data obtained from sources independent of the Fund. Unobservable inputs reflect the Fund’s own assumptions about the assumptions that market participants would use in pricing the asset or liability, developed based on the best information available in the circumstances. Each invest

ment’s fair value measurement level within the fair value hierarchy is based on the lowest level of any input that is significant to the overall fair value measurement. The three-level hierarchy of inputs is summarized below.

• Level 1 – unadjusted quoted prices in active markets for identical investments

• Level 2 – other significant observable inputs (including unadjusted quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.)

• Level 3 – significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)

The inputs or methodology used for valuing securities are not necessarily an indication of the risks associated with investing in these securities.

The following tables summarize the valuation of the Portfolios’ investments by each fair value hierarchy level as of June 30, 2012:

Description	Unadjusted Quoted Prices in Active Markets for Identical Investments (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Balance as of June 30, 2012
U.S. Equity Concentrated Portfolio
Common Stocks	$	42,814,581	$	—	$	—	$	42,814,581
Short-Term Investment		—		4,474,222		—		4,474,222
Total	$	42,814,581	$	4,474,222	$	—	$	47,288,803
U.S. Strategic Equity Portfolio
Common Stocks	$	79,133,789	$	—	$	—	$	79,133,789
Preferred Stock		—		—		732,860		732,860
Short-Term Investment		—		912,955		—		912,955
Total	$	79,133,789	$	912,955	$	732,860	$	80,779,604
U.S. Mid Cap Equity Portfolio
Common Stocks	$	93,874,765	$	—	$	—	$	93,874,765
Preferred Stock		—		—		2,112,920		2,112,920
Short-Term Investment		—		341,364		—		341,364
Total	$	93,874,765	$	341,364	$	2,112,920	$	96,329,049
U.S. Small-Mid Cap Equity Portfolio
Common Stocks	$	204,557,289	$	—	$	—	$	204,557,289
Preferred Stock		—		—		731,891		731,891
Repurchase Agreement		—		3,625,000		—		3,625,000
Total	$	204,557,289	$	3,625,000	$	731,891	$	208,914,180

158  Semi-Annual Report

Description	Unadjusted Quoted Prices in Active Markets for Identical Investments (Level 1)		Significant Other Observable Inputs (Level 2)			Significant Unobservable Inputs (Level 3)		Balance as of June 30, 2012
Global Listed Infrastructure Portfolio
Assets:
Common Stocks
Australia	$	—	$	21,452,861		$	—	$	21,452,861
Austria		—		2,632,054			—		2,632,054
France		—		4,631,652			—		4,631,652
Germany		—		8,144,553			—		8,144,553
Italy		—		25,196,174			—		25,196,174
Japan		—		18,460,513			—		18,460,513
Mexico		3,049,443		—			—		3,049,443
South Korea		—		3,573,337			—		3,573,337
Spain		217,102		11,147,838			—		11,364,940
Switzerland		—		4,022,560			—		4,022,560
United Kingdom		—		666,576			—		666,576
United States		18,596,663		—			—		18,596,663
Short-Term Investment		—		1,336,241			—		1,336,241
Other Financial Instruments*
Forward Currency Contracts		—		1,726,610			—		1,726,610
Total	$	21,863,208	$	102,990,969		$	—	$	124,854,177
Liabilities:
Other Financial Instruments*
Forward Currency Contracts	$	—	$	(391,516	)	$	—	$	(391,516	)
International Equity Portfolio
Common Stocks
Australia	$	—	$	6,825,525		$	—	$	6,825,525
Belgium		—		3,789,570			—		3,789,570
Brazil		1,953,092		—			—		1,953,092
Canada		2,504,317		—			—		2,504,317
China		—		719,892			—		719,892
Denmark		—		1,151,652			—		1,151,652
Finland		—		1,272,723			—		1,272,723
France		—		11,865,846			—		11,865,846
Germany		—		9,016,506			—		9,016,506
Indonesia		916,444		—			—		916,444
Ireland		860,320		—			—		860,320
Italy		—		922,597			—		922,597
Japan		—		14,920,112			—		14,920,112
Mexico		197,449		—			—		197,449
Netherlands		—		1,735,021			—		1,735,021
New Zealand		—		873,567			—		873,567
Russia		—		1,582,070			—		1,582,070
South Korea		—		3,079,983			—		3,079,983
Spain		—		2,662,709			—		2,662,709
Sweden		—		4,150,633			—		4,150,633
Switzerland		—		3,799,005			—		3,799,005
Turkey		—		564,409			—		564,409
United Kingdom		—		27,281,637			—		27,281,637
Repurchase Agreement		—		5,816,000			—		5,816,000
Total	$	6,431,622	$	102,029,457		$	—	$	108,461,079

Semi-Annual Report  159

Description	Unadjusted Quoted Prices in Active Markets for Identical Investments (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Balance as of June 30, 2012
International Equity Select Portfolio
Common Stocks
Australia	$	—	$	326,176	$	—	$	326,176
Belgium		—		230,274		—		230,274
Brazil		302,278		—		—		302,278
Canada		82,391		—		—		82,391
China		—		119,803		—		119,803
Finland		—		69,770		—		69,770
France		—		591,283		—		591,283
Germany		—		430,136		—		430,136
Hong Kong		125,741		—		—		125,741
Indonesia		94,529		71,987		—		166,516
Ireland		68,613		—		—		68,613
Italy		—		57,207		—		57,207
Japan		—		618,139		—		618,139
Mexico		11,486		—		—		11,486
Netherlands		—		62,577		—		62,577
Norway		—		43,695		—		43,695
Russia		51,411		137,658		—		189,069
South Africa		—		109,467		—		109,467
South Korea		—		170,987		—		170,987
Sweden		—		228,730		—		228,730
Switzerland		—		204,155		—		204,155
Taiwan		—		135,053		—		135,053
Thailand		—		98,727		—		98,727
Turkey		—		65,599		—		65,599
United Kingdom		—		1,558,814		—		1,558,814
Short-Term Investment		—		203,166		—		203,166
Total	$	736,449	$	5,533,403	$	—	$	6,269,852
International Strategic Equity Portfolio
Common Stocks
Australia	$	—	$	62,333,516	$	—	$	62,333,516
Belgium		—		19,118,961		—		19,118,961
Bermuda		—		7,083,050		—		7,083,050
Brazil		5,072,119		—		—		5,072,119
Canada		15,509,655		—		—		15,509,655
China		—		3,817,780		—		3,817,780
Egypt		—		2,330,055		—		2,330,055
Finland		—		22,844,080		—		22,844,080
France		—		74,618,199		—		74,618,199
Germany		—		48,156,343		—		48,156,343
Indonesia		—		27,189,858		—		27,189,858
Ireland		11,921,360		15,117,509		—		27,038,869
Japan		—		75,607,331		—		75,607,331
Netherlands		—		12,529,269		—		12,529,269
Philippines		—		6,547,737		—		6,547,737
Russia		—		12,079,024		—		12,079,024
South Africa		—		25,998,325		—		25,998,325
South Korea		—		18,620,128		—		18,620,128
Spain		—		6,540,331		—		6,540,331
Sweden		—		12,534,524		—		12,534,524
Switzerland		—		34,119,180		—		34,119,180
Thailand		—		14,482,592		—		14,482,592
United Kingdom		—		226,763,444		—		226,763,444
Short-Term Investment		—		46,197,221		—		46,197,221
Total	$	32,503,134	$	774,628,457	$	—	$	807,131,591

160  Semi-Annual Report

Description	Unadjusted Quoted Prices in Active Markets for Identical Investments (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Balance as of June 30, 2012
International Small Cap Equity Portfolio
Common Stocks	$	—	$	57,313,329	$	—	$	57,313,329
Right		—		20,596		—		20,596
Short-Term Investment		—		761,104		—		761,104
Total	$	—	$	58,095,029	$	—	$	58,095,029
Emerging Markets Equity Portfolio
Common Stocks
Argentina	$	68,848,743	$	—	$	—	$	68,848,743
Brazil		2,395,487,511		—		—		2,395,487,511
Canada		105,395,949		—		—		105,395,949
China		138,848,100		442,615,563		—		581,463,663
Colombia		5,537,707		—		—		5,537,707
Egypt		—		345,692,764		—		345,692,764
France		—		123,487,741		—		123,487,741
Hong Kong		254,423,465		104,303,248		—		358,726,713
Hungary		—		193,576,136		—		193,576,136
India		74,903,598		724,257,285		—		799,160,883
Indonesia		328,810,839		541,624,876		—		870,435,715
Malaysia		—		111,984,626		—		111,984,626
Mexico		733,350,846		—		—		733,350,846
Pakistan		—		190,457,094		—		190,457,094
Philippines		327,803,940		—		—		327,803,940
Russia		382,823,280		861,409,925		—		1,244,233,205
South Africa		—		1,712,865,990		—		1,712,865,990
South Korea		—		2,031,112,574		—		2,031,112,574
Taiwan		—		666,809,316		—		666,809,316
Thailand		26,733,665		295,128,180		—		321,861,845
Turkey		—		867,496,397		—		867,496,397
United Kingdom		—		30,205,470		—		30,205,470
Preferred Stocks		294,932,397		—		—		294,932,397
Short-Term Investment		—		343,246,345		—		343,246,345
Total	$	5,137,900,040	$	9,586,273,530	$	—	$	14,724,173,570
Developing Markets Equity Portfolio
Common Stocks
Brazil	$	30,222,811	$	—	$	—	$	30,222,811
China		3,736,092		72,395,576		—		76,131,668
Colombia		5,411,134		—		—		5,411,134
India		11,758,305		8,025,611		—		19,783,916
Indonesia		—		9,508,048		—		9,508,048
Kazakhstan		1,155,710		3,262,929		—		4,418,639
Mexico		17,660,333		—		—		17,660,333
Peru		6,621,814		—		—		6,621,814
Philippines		—		3,506,284		—		3,506,284
Qatar		—		3,325,073		—		3,325,073
Russia		15,303,210		43,875,966		—		59,179,176
South Africa		10,062,218		9,755,296		—		19,817,514
South Korea		—		18,262,474		—		18,262,474
Taiwan		—		14,062,846		—		14,062,846
Thailand		—		4,109,277		—		4,109,277
Turkey		—		4,294,062		—		4,294,062
United States		2,064,179		—		—		2,064,179
Preferred Stocks		20,666,275		—		—		20,666,275
Short-Term Investment		—		13,967,845		—		13,967,845
Total	$	124,662,081	$	208,351,287	$	—	$	333,013,368

Semi-Annual Report  161

Description	Unadjusted Quoted Prices in Active Markets for Identical Investments (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Balance as of June 30, 2012
Emerging Markets Equity Blend Portfolio
Common Stocks
Argentina	$	491,221	$	—	$	—	$	491,221
Brazil		16,778,072		—		—		16,778,072
Canada		1,216,472		—		—		1,216,472
China		37,345		19,632,372		—		19,669,717
Colombia		1,785,196		—		—		1,785,196
Egypt		—		3,577,766		—		3,577,766
Hong Kong		1,355,816		—		—		1,355,816
Hungary		—		1,480,554		—		1,480,554
India		2,660,537		—		—		2,660,537
Indonesia		2,237,828		3,938,161		—		6,175,989
Kazakhstan		780,457		—		—		780,457
Mexico		13,111,634		—		—		13,111,634
Philippines		2,460,811		—		—		2,460,811
Russia		5,707,616		17,841,487		—		23,549,103
South Africa		—		9,312,274		—		9,312,274
South Korea		—		18,560,535		—		18,560,535
Taiwan		1,423,700		6,597,516		—		8,021,216
Thailand		1,183,115		—		—		1,183,115
Turkey		3,791,973		2,146,214		—		5,938,187
United States		663,927		—		—		663,927
Preferred Stocks		7,878,924		—		—		7,878,924
Short-Term Investment		—		8,829,225		—		8,829,225
Total	$	63,564,644	$	91,916,104	$	—	$	155,480,748
Emerging Markets Multi-Strategy Portfolio
Assets:
Common Stocks
Argentina	$	115,929	$	—	$	—	$	115,929
Brazil		3,634,381		—		—		3,634,381
Cambodia		—		85,064		—		85,064
Canada		229,486		—		—		229,486
China		71,151		4,073,340		—		4,144,491
Colombia		334,592		—		—		334,592
Egypt		149,135		588,318		—		737,453
Hong Kong		262,416		351,136		—		613,552
Hungary		—		284,834		—		284,834
India		489,391		—		—		489,391
Indonesia		430,151		854,162		—		1,284,313
Kazakhstan		152,963		—		—		152,963
Mexico		2,569,307		—		—		2,569,307
Pakistan		—		91,571		—		91,571
Philippines		472,739		—		—		472,739
Russia		1,097,776		3,528,473		—		4,626,249
South Africa		—		1,967,386		—		1,967,386
South Korea		862,686		3,002,489		—		3,865,175
Taiwan		598,454		1,051,818		—		1,650,272
Thailand		216,688		96,744		—		313,432
Turkey		723,868		709,453		—		1,433,321
United Kingdom		—		96,667		—		96,667
United States		122,760		—		—		122,760
Preferred Stocks		1,665,604		—		—		1,665,604
Corporate Bonds		—		4,680,033		—		4,680,033
Foreign Government Obligations		—		12,418,395		—		12,418,395

162  Semi-Annual Report

Description	Unadjusted Quoted Prices in Active Markets for Identical Investments (Level 1)		Significant Other Observable Inputs (Level 2)			Significant Unobservable Inputs (Level 3)		Balance as of June 30, 2012
Emerging Markets Multi-Strategy Portfolio (continued)
Assets:
Quasi Government Bonds	$	—	$	1,104,027		$	—	$	1,104,027
Supranationals		—		139,614			—		139,614
Short-Term Investment		—		16,198,359			—		16,198,359
Other Financial Instruments*
Credit Default Swap Agreements		—		21,330			—		21,330
Forward Currency Contracts		—		239,587			—		239,587
Purchased Options		—		111,536			—		111,536
Total	$	14,199,477	$	51,694,336		$	—	$	65,893,813
Liabilities:
Other Financial Instruments*
Credit Default Swap Agreements	$	—	$	(15,717	)	$	—	$	(15,717	)
Forward Currency Contracts		—		(262,475	)		—		(262,475	)
Interest Rate Swap Agreements		—		(53,385	)		—		(53,385	)
Written Option		—		(3,625	)		—		(3,625	)
Total	$	—	$	(335,202	)	$	—	$	(335,202	)
Emerging Markets Debt Portfolio
Assets:
Corporate Bonds	$	—	$	17,273,172		$	—	$	17,273,172
Foreign Government Obligations		—		150,802,992			—		150,802,992
Quasi Government Bonds		—		13,411,245			—		13,411,245
Supranationals		—		1,317,005			—		1,317,005
Short-Term Investment		—		10,100,871			—		10,100,871
Other Financial Instruments*
Forward Currency Contracts		—		634,202			—		634,202
Purchased Option		—		11,340			—		11,340
Total	$	—	$	193,550,827		$	—	$	193,550,827
Liabilities:
Other Financial Instruments*
Forward Currency Contracts	$	—	$	(487,560	)	$	—	$	(487,560	)
U.S. Realty Income Portfolio
Closed-End Management Investment Company	$	236,208	$	—		$	—	$	236,208
Common Stock		2,326,850		—			—		2,326,850
Preferred Stocks		19,960,425		—			—		19,960,425
Real Estate Investment Trusts		30,564,888		—			—		30,564,888
Coporate Bond		—		782,402			—		782,402
Short-Term Investment		—		1,240,114			—		1,240,114
Total	$	53,088,371	$	2,022,516		$	—	$	55,110,887
U.S. Realty Equity Portfolio
Common Stocks	$	4,071,942	$	—		$	—	$	4,071,942
Real Estate Investment Trusts		32,479,203		—			—		32,479,203
Short-Term Investment		—		2,363,092			—		2,363,092
Total	$	36,551,145	$	2,363,092		$	—	$	38,914,237

Semi-Annual Report  163

Description	Unadjusted Quoted Prices in Active Markets for Identical Investments (Level 1)		Significant Other Observable Inputs (Level 2)			Significant Unobservable Inputs (Level 3)		Balance as of June 30, 2012
International Realty Equity Portfolio
Common Stocks
Australia	$	—	$	151,947		$	—	$	151,947
Brazil		372,574		—			—		372,574
China		—		392,536			—		392,536
Hong Kong		—		571,304			—		571,304
Japan		—		651,567			—		651,567
Luxembourg		—		110,038			—		110,038
Norway		—		90,801			—		90,801
Singapore		—		86,349			—		86,349
United States		187,019		—			—		187,019
Real Estate Investment Trusts
Australia		—		435,212			—		435,212
Brazil		28,678		—			—		28,678
Canada		34,541		—			—		34,541
France		—		277,771			—		277,771
Italy		—		103,642			—		103,642
Japan		—		105,090			—		105,090
Singapore		—		89,766			—		89,766
United Kingdom		—		170,705			—		170,705
Short-Term Investment		—		148,143			—		148,143
Total	$	622,812	$	3,384,871		$	—	$	4,007,683
U.S. High Yield Portfolio
Corporate Bonds	$	—	$	170,310,430		$	—	$	170,310,430
Short-Term Investment		—		7,603,056			—		7,603,056
Total	$	—	$	177,913,486		$	—	$	177,913,486
U.S. Municipal Portfolio
Municipal Bonds	$	—	$	19,300,468		$	—	$	19,300,468
Short-Term Investment		—		410,869			—		410,869
Total	$	—	$	19,711,337		$	—	$	19,711,337
Global Fixed Income Portfolio
Assets:
Corporate Bonds	$	—	$	1,387,863		$	—	$	1,387,863
Foreign Government Obligations		—		1,855,916			—		1,855,916
Quasi Government Bonds		—		276,039			—		276,039
Supranationals		—		292,050			—		292,050
Short-Term Investment		—		35,117			—		35,117
Other Financial Instruments*
Forward Currency Contracts		—		26,281			—		26,281
Total	$	—	$	3,873,266		$	—	$	3,873,266
Liabilities:
Other Financial Instruments*
Forward Currency Contracts	$	—	$	(24,458	)	$	—	$	(24,458	)
Capital Allocator Opportunistic Strategies Portfolio
Assets:
Exchange-Traded Funds	$	216,089,117	$	—		$	—	$	216,089,117
Closed-End Management Investment Companies		26,466,858		—			—		26,466,858
Short-Term Investment		—		17,143,661			—		17,143,661
Other Financial Instruments*
Forward Currency Contracts		—		212,449			—		212,449
Purchased Option		156,000		—			—		156,000
Total Return Swap Agreements		—		461,844			—		461,844
Total	$	242,711,975	$	17,817,954		$	—	$	260,529,929

* Other financial instruments are derivative instruments which are valued at their respective unrealized appreciation/depreciation.

164  Semi-Annual Report

Certain common stocks (see footnote (f) in the Notes to Portfolios of Investments) included in Level 2 were valued based on reference to similar securities from the same issuers which were trading on active markets. The fixed-income securities included in Level 2 were valued on the basis of prices provided by independent pricing services. The forward currency contracts included in Level 2 were valued using quotations provided by an independent pricing service. The options included in Level 2 were valued at the last sales prices at the close of business of the exchanges on which they trade. The swap agreements included in Level 2 were valued by an independent pricing service. The short-term investment included in Level 2 (a pooled investment fund) was valued at the fund’s net asset value. The repurchase agreements included in Level 2 were valued at the principal amounts plus accrued interest.

The fair value measurement process for the Level 3 preferred stock of Better Place, Inc., a company that is working to build the infrastructure to deliver a range of services relating to the use of electric vehicles, including battery charging and swap stations, includes consideration of the price paid in previous transactions in the stock and other significant unobservable inputs, including the continued monitoring of the implementation of the company’s business plan, the

application and timeliness of financing activities, the number and timing of scheduled openings of charging stations, and the production and availability of vehicles that would make use of the company’s services. Significant increases (decreases) in any of these inputs, in isolation or in combination, could result in a significantly higher (lower) fair value measurement.

In connection with the periodic implementation of fair value pricing procedures with respect to foreign securities (see Note 2(a)), certain securities in the Global Listed Infrastructure, International Equity, International Equity Select, International Strategic Equity, International Small Cap Equity, Emerging Market Equity, Developing Markets Equity, Emerging Markets Equity Blend, Emerging Markets Multi-Strategy, and International Realty Equity Portfolios are transferred from Level 1 to Level 2 and revert to Level 1 when the fair value pricing procedure triggers are no longer met (other than those securities described in footnote (f) in the Notes to Portfolios of Investments). There were no significant transfers into or out of Levels 1, 2, or 3 during the period ended June 30, 2012.

For further information regarding security characteristics see Portfolios of Investments.

Following is a reconciliation of investments in which significant unobservable inputs (Level 3) were used in determining fair value during the period ended June 30, 2012:

Description	Balance as of December 31, 2011			Accrued Discounts (Premiums)			Realized Gain (Loss)				Change in Unrealized Appreciation (Depreciation)				Purchases			Sales			Transfers Into Level 3			Transfers Out of Level 3			Balance as of June 30, 2012			Net Change in Unrealized Depreciation from Investments Still Held at June 30, 2012
U.S. Strategic Equity
Preferred Stock		$	823,560		$	—		$	—			$	(99,700	)		$	—		$	—		$	—		$	—		$	723,860		$	(99,700	)
U.S. Mid Cap Equity
Preferred Stock		$	2,374,420		$	—		$	—			$	(261,500	)		$	—		$	—		$	—		$	—		$	2,112,920		$	(261,500	)
U.S. Small-Mid Cap Equity
Preferred Stock		$	822,471		$	—		$	—			$	(90,580	)		$	—		$	—		$	—		$	—		$	731,891		$	(90,580	)
U.S. High Yield*
Corporate Bonds		$	—		$	—		$	(780,270	)		$	780,270			$	—		$	—		$	—		$	—		$	—		$	—

* The realized loss shown for the Portfolio reflects the write-off of securities that had previously been reported in the Portfolio of Investments at zero market value.

Semi-Annual Report  165

10. Derivative Instruments

Certain Portfolios may use derivative instruments, including forward currency contracts, options or swap agreements.

Forward currency contracts may be used for hedging purposes or to seek to increase returns.

The principal reason for a Portfolio’s writing or purchasing of covered call and put options is to realize, through the receipt of premiums and changes in market value, a greater return than would be realized on the underlying securities alone.

A Portfolio enters into swap agreements in an attempt to obtain a particular return when it is considered desirable to do so, possibly at a lower cost to the Portfolio than if the Portfolio had invested directly in the asset that yielded the desired return.

Global Listed Infrastructure Portfolio

During the period ended June 30, 2012, the cost of purchases and the proceeds from sales of forward currency contracts were $208,763,821 and $215,151,882, respectively.

The following table summarizes the fair value of derivative instruments on its Statement of Assets and Liabilities as of June 30, 2012:

	Fair Value
Asset Derivatives
Foreign Exchange Risk:
Gross unrealized appreciation on forward currency contracts	$	1,726,610
Liability Derivatives
Foreign Exchange Risk:
Gross unrealized depreciation on forward currency contracts	$	(391,516	)

The effect of derivative instruments on its Statement of Operations for the period ended June 30, 2012 was:

	Amount
Realized Gain (Loss) on Derivatives Recognized in Income
Foreign Exchange Risk:
Net realized gain on forward currency contracts	$	1,152,044
Net Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized in Income
Foreign Exchange Risk:
Net change in unrealized depreciation on forward currency contracts	$	(174,414	)

Emerging Markets Multi-Strategy Portfolio

During the period ended June 30, 2012, the cost of purchases and the proceeds from sales of forward currency contracts were $76,882,278 and $75,452,346, respectively.

The following table summarizes the fair value of derivative instruments on its Statement of Assets and Liabilities as of June 30, 2012:

	Fair Value
Asset Derivatives
Credit Risk:
Gross unrealized appreciation on credit default swap agreements	$	21,330
Foreign Exchange Risk:
Gross unrealized appreciation on forward currency contracts	$	239,587
Gross unrealized appreciation on purchased options	$	48,184
Liability Derivatives
Credit Risk:
Gross unrealized depreciation on credit default swap agreements	$	(15,717	)
Foreign Exchange Risk:
Gross unrealized depreciation on forward currency contracts	$	(262,475	)
Interest Rate Risk:
Gross unrealized depreciation on interest rate swap agreements	$	(53,385	)

The effect of derivative instruments on its Statement of Operations for the period ended June 30, 2012 was:

	Amount
Realized Gain (Loss) on Derivatives Recognized in Income
Credit Risk:
Net realized loss on credit default swap agreements	$	(27,850	)
Foreign Exchange Risk:
Net realized gain on forward currency contracts	$	95,576
Net realized gain on options	$	20,081
Interest Rate Risk:
Net realized loss on interest rate swap agreements	$	(61,758	)

166  Semi-Annual Report

	Amount
Net Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized in Income
Credit Risk:
Net change in unrealized appreciation on credit default swap agreements	$	5,653
Foreign Exchange Risk:
Net change in unrealized depreciation on forward currency contracts	$	(33,358	)
Net change in unrealized appreciation on options	$	81,853
Interest Rate Risk:
Net change in unrealized depreciation on interest rate swap agreements	$	(62,733	)

Emerging Markets Debt Portfolio

During the period ended June 30, 2012, the cost of purchases and the proceeds from sales of forward currency contracts were $129,248,586 and $127,449,026, respectively.

The following table summarizes the fair value of derivative instruments on its Statement of Assets and Liabilities as of June 30, 2012:

	Fair Value
Asset Derivatives
Foreign Exchange Risk:
Gross unrealized appreciation on forward currency contracts	$	634,202
Gross unrealized depreciation on purchased options	$	(7,353	)
Liability Derivatives
Foreign Exchange Risk:
Gross unrealized depreciation on forward currency contracts	$	(487,560	)

The effect of derivative instruments on its Statement of Operations for the period ended June 30, 2012 was:

	Amount
Realized Gain (Loss) on Derivatives Recognized in Income
Credit Risk:
Net realized gain on credit default swap agreement	$	14,663
Foreign Exchange Risk:
Net realized loss on forward currency contracts	$	(230,692	)
Net realized gain on options	$	48,858
Net Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized in Income
Credit Risk:
Net change in unrealized depreciation on credit default swap agreement	$	(15,984	)
Foreign Exchange Risk:
Net change in unrealized appreciation on forward currency contracts	$	245,244
Net change in unrealized appreciation on options	$	127,154

Global Fixed Income Portfolio

During the period ended June 30, 2012, the cost of purchases and the proceeds from sales of forward currency contracts were $4,859,891 and $5,458,100, respectively.

The following table summarizes the fair value of derivative instruments on its Statement of Assets and Liabilities as of June 30, 2012:

	Fair Value
Asset Derivatives
Foreign Exchange Risk:
Gross unrealized appreciation on forward currency contracts	$	26,281
Liability Derivatives
Foreign Exchange Risk:
Gross unrealized depreciation on forward currency contracts	$	(24,458	)

Semi-Annual Report  167

The effect of derivative instruments on its Statement of Operations for the period ended June 30, 2012 was:

	Amount
Realized Gain (Loss) on Derivatives Recognized in Income
Foreign Exchange Risk:
Net realized loss on forward currency contracts	$	(35,799	)
Net Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized in Income
Foreign Exchange Risk:
Net change in unrealized appreciation on forward currency contracts	$	1,823

Capital Allocator Opportunistic Strategies Portfolio

During the period ended June 30, 2012, the cost of purchases and the proceeds from sales of forward currency contracts were $42,643,005 and $46,786,530, respectively.

The following table summarizes the fair value of derivative instruments on its Statement of Assets and Liabilities as of June 30, 2012:

	Fair Value
Asset Derivatives
Equity Risk:
Gross unrealized depreciation on purchased option	$	(287,890	)
Gross unrealized appreciation on total return swap agreements	$	461,844
Foreign Exchange Risk:
Gross unrealized appreciation on forward currency contracts	$	212,449

The effect of derivative instruments on its Statement of Operations for the period ended June 30, 2012 was:

		Amount
Realized Gain (Loss) on Derivatives Recognized in Income
Equity Risk:
Net realized loss on options	$	(4,258,831	)
Net realized gain on total return swap agreements	$	2,101,315
Foreign Exchange Risk:
Net realized loss on forward currency contracts	$	(507,118	)
Net Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized in Income
Equity Risk:
Net change in unrealized appreciation on options	$	4,022,481
Net change in unrealized depreciation on total return swap agreements	$	(727,604	)
Foreign Exchange Risk:
Net change in unrealized appreciation on forward currency contracts	$	44,875

None of the other Portfolios in the Fund traded in derivatives during the period ended June 30, 2012.

See Notes 2(d), 2(e) and 2(f) and the Portfolios of Investments for additional disclosures about derivative instruments.

11. Subsequent Events

Management has evaluated the possibility of subsequent events affecting the Fund’s financial statements and has determined that there are no such subsequent events that require disclosure.

168  Semi-Annual Report

   The Lazard Funds, Inc. Proxy Voting Results (unaudited)

A special meeting of shareholders of the U.S. Equity Value Portfolio (subsequently renamed the U.S. Equity Concentrated Portfolio) was held on May 15, 2012, to vote on the following proposal. The proposal received the required number of votes of shareholders and was adopted.

Proposal 1:
To approve changing the sub-classification of the Portfolio from a “diversified” fund to a “non-diversified” fund, as such terms are defined in the Act.

For	Against	Abstain
1,100,407	0	0

Semi-Annual Report  169

   The Lazard Funds, Inc. Board of Directors and Officers Information (unaudited)

Name (Age) Address(1)	Position(s) with the Fund (Since) and Term(2)	Principal Occupation(s) and Other Public Company Directorships Held During the Past Five Years(2)
Independent Directors (3):
Kenneth S. Davidson (67)	Director (August 1995)	Davidson Capital Management Corporation, an investment manager, President (1978 – present)
		Balestra Capital, Ltd., an investment manager and adviser, Senior Advisor (July 2012 – present)
		Aquiline Holdings LLC, an investment manager, Partner (2006 – June 2012)
Nancy A. Eckl (49)	Director (April 2007)	College Retirement Equities Fund (eight accounts), Trustee (2007 – present)
		TIAA-CREF Funds (57 funds) and TIAA-CREF Life Funds (10 funds), Trustee (2007 – present)
		TIAA Separate Account VA-1, Member of the Management Committee (2007 – present)
		American Beacon Advisors, Inc. (“American Beacon”) and certain funds advised by American Beacon, Vice President (1990 – 2006)
Lester Z. Lieberman (82)	Director (October 1991)	Private Investor
Leon M. Pollack (71)	Director (August 2006)	Private Investor
Richard Reiss, Jr. (68)	Director (May 1991)	Georgica Advisors LLC, an investment manager, Chairman(1997 – present)
		O’Charley’s, Inc., a restaurant chain, Director (1984 – present)
Robert M. Solmson (64)	Director (September 2004)	Fairwood Capital, LLC, a private investment corporation engaged primarily in real estate and hotel investments, President (2008 – present)
Interested Directors (4):
Charles L. Carroll (51)	Chief Executive Officer, President and Director (June 2004)	Investment Manager, Deputy Chairman and Head of Global Marketing (2004 – present)
Ashish Bhutani (52)	Director (July 2005)	Investment Manager, Chief Executive Officer (2004 – present)
		Lazard Ltd, Vice Chairman and Director (2010 – present)

(1)	The address of each Director is Lazard Asset Management LLC, 30 Rockefeller Plaza, New York, New York 10112-6300.
(2)	Each Director serves as a Director for each of the Lazard Funds (comprised of, as of July 31, 2012, 28 active investment portfolios). Each Director serves an indefinite term, until his or her successor is elected, and each Director serves in the same capacity for the other Lazard Funds. All of the Independent Directors (as defined below), except Mr. Lieberman, are also board members of Lazard Alternative Strategies Fund, L.L.C. and Lazard Alternative Strategies 1099 Fund, closed-end registered management investment companies advised by an affiliate of the Investment Manager.
(3)	“Independent Directors” are not “interested persons” (as defined in the Act) of the Fund.
(4)	Messrs. Bhutani and Carroll are “interested persons” (as defined in the Act) of the Fund because of their positions with the Investment Manager.

The Fund’s Statement of Additional Information contains further information about the Directors and is available without charge by calling 800-823-6300.

170  Semi-Annual Report

Name (Age) Address(1)	Position(s) with the Fund (Since) and Term(2)	Principal Occupation(s) During the Past Five Years
Officers (3):
Nathan A. Paul (39)	Vice President and Secretary (April 2002)	Managing Director and General Counsel of the Investment Manager
Stephen St. Clair (53)	Treasurer (May 2003)	Vice President of the Investment Manager
Brian D. Simon (50)	Chief Compliance Officer (January 2009) and Assistant Secretary (November 2002)	Managing Director (since February 2011, previously Director) of the Investment Manager and Chief Compliance Officer (since January 2009) of the Investment Manager and the Fund
Tamar Goldstein (37)	Assistant Secretary (February 2009)	Senior Vice President (since February 2012, previously Vice President and Counsel) of the Investment Manager
Cesar A. Trelles (37)	Assistant Treasurer (December 2004)	Vice President (since February 2011, previously Fund Administration Manager) of the Investment Manager

(1)	The address of each officer is Lazard Asset Management LLC, 30 Rockefeller Plaza, New York, New York 10112-6300.
(2)	Each officer serves for an indefinite term, until his or her successor is elected and qualifies or until his or her earlier resignation or removal. Each officer serves in the same capacity for the other Lazard Funds.
(3)	In addition to Charles L. Carroll, President, whose information is included in the Interested Directors section.

Semi-Annual Report  171

   The Lazard Funds, Inc. Other Information (unaudited)

Proxy Voting
A description of the policies and procedures used to determine how proxies relating to Fund portfolio securities are voted is available (1) without charge, upon request, by calling (800) 823-6300 or (2) on the Securities and Exchange Commission (the “SEC”) website at http://www.sec.gov.

The Fund’s proxy voting record for the most recent 12-month period ended June 30 is available (1) without charge, upon request, by calling (800) 823-6300 or (2) on the SEC’s website at http://www.sec.gov. Information as of June 30 each year will generally be available by the following August 31.

Form N-Q
The Fund files a complete schedule of each Portfolio’s holdings for the first and third quarters of its fiscal year with the SEC on Form N-Q. The Fund’s Forms N-Q are available on the SEC’s website at http://www.sec.gov and may be reviewed and copied at the SEC’s Public Reference Room in Washington, D.C. Information on the operation of the SEC’s Public Reference Room may be obtained by calling 1-800-SEC-0330.

Board Considerations of Management Agreements

Multi-Asset Targeted Volatility Portfolio
At the meeting of the Board held on March 15, 2012, the Board considered the approval of the Management Agreement between the Fund, on behalf of the Multi-Asset Targeted Volatility Portfolio (the “New Portfolio”), and the Investment Manager. The Independent Directors were assisted in their review by independent legal counsel and met with counsel in executive session separate from representatives of the Investment Manager.

Services Provided

Representatives of the Investment Manager referenced the Investment Manager’s written presentation and discussions in connection with the June 1, 2011, August 3, 2011 and November 17, 2011 meetings (the “Previous Meetings”) for the existing Portfolios relevant to, among other matters, the nature, extent and quality of services provided to the Fund by the Investment Manager, including a discussion of the Investment Manager and its clients (of which the existing Lazard funds complex of 26 active investment portfolios comprised approximately $18 billion of the $141 billion of total assets under the management of the Investment

Manager and its global affiliates as of December 31, 2011); the Investment Manager’s global investment management platform, technology, operational and legal and compliance support and significant marketing infrastructure across broad distribution channels; and the Investment Manager’s personnel, resources, financial condition and experience. The Investment Manager’s representatives confirmed that there had been no material changes to the information provided to the Board in connection with the Previous Meetings. The Board received a presentation on the New Portfolio from the portfolio manager, including the strategies to be employed for the New Portfolio and the New Portfolio’s portfolio management team, including professional biographies.

The Directors considered the various services to be provided by the Investment Manager including the Investment Manager’s research and portfolio management capabilities and oversight of day-to-day operations, including supervision of fund accounting and administration-related services and assistance in meeting legal and regulatory requirements. The Directors also considered the Investment Manager’s infrastructure and agreed that the New Portfolio was expected to benefit from the services and infrastructure provided by the Investment Manager. The Directors accepted management’s assertion that such services and infrastructure would be greater than those typically provided to an $18 billion fund complex not managed by a large, global firm such as the Investment Manager.

Comparative Management Fee, Expense Ratio and Performance Information

The Directors reviewed comparative management fee and expense ratio information prepared by Lipper, Inc. (“Lipper”) noting the limitations of the two Lipper comparison groups for the New Portfolio (each, a “Group”). Lipper’s materials stated that Lipper’s reports are specifically designed to provide boards of directors the necessary fee, expense and investment performance information to help fulfill their advisory contract renewal responsibilities under Section 15(c) of the Act.

Management Fee and Expense Ratios. Representatives of the Investment Manager reviewed the proposed management fee and anticipated expense ratios for the New Portfolio and the comparisons provided by Lipper, which compared contractual management fees and expense ratios for the New Portfolio to the Groups, and the Directors noted the

172  Semi-Annual Report

methodology and assumptions used in the comparison, including that Lipper’s management fee comparisons and the rankings used therein did not include fixed dollar amounts paid to administrators (which, for the New Portfolio, would be paid to the Fund’s third party administrator which is not an affiliate of the Investment Manager). It was noted that such fixed fees could affect rankings if included in Lipper’s analysis. The proposed management fee for the New Portfolio was higher than each Group median, and the projected net expense ratios for the New Portfolio were at, or approximately at, each Group median. The Directors also reviewed a supplemental fee analysis of a group of comparison funds prepared by the Investment Manager showing that the management fee average and median of the comparison group were higher than the proposed management fee for the New Portfolio, and the representatives of the Investment Manager explained the relevance of the supplemental fee analysis. There were no funds, or other accounts advised or sub-advised by the Investment Manager or separately managed accounts or other clients of the Investment Manager with investment objectives, policies and strategies similar to those of the New Portfolio (“Similar Accounts”).

Performance. Since the New Portfolio had not yet commenced operations, there was no performance for the Directors to consider. The Directors were provided with performance composite information for the underlying strategies in which it was anticipated that the New Portfolio’s assets would initially be invested.

Investment Manager Profitability and Economies of Scale

Representatives of the Investment Manager referred to recent discussions regarding considerations of profitability and economies of scale in respect of the Fund’s existing Portfolios and noted that because the New Portfolio is newly formed, has not commenced operations and the eventual aggregate amount of the New Portfolio’s assets was uncertain, specific information concerning the cost of services to be provided to the New Portfolio and the expected profits to be realized by the Investment Manager and its affiliates from their relationships with the New Portfolio and economies of scale would be subject to a number of assumptions and would be speculative and not meaningful. The Investment Manager representatives stated that they did not expect the Investment Manager to realize any current profits on the New Portfolio until assets grew well beyond the initial assets, noting the Investment Manager’s agreement to waive its fees and/or reimburse the New Portfolio for at least one

year following the New Portfolio’s commencement of operations to maintain the expense ratios reflected in the Lipper materials. The Board determined to revisit this issue no later than when it next reviewed the investment management fee in connection with renewal of the Management Agreement. The Investment Manager representatives noted that neither the Investment Manager nor its affiliates were expected to receive any significant indirect benefits from the Investment Manager acting as investment adviser to the New Portfolio. The Investment Manager’s representatives referred to information previously provided on the Investment Manager’s brokerage and soft dollar practices. The representatives of the Investment Manager stated that the Investment Manager intends to support distribution relationships through direct payments from its or its affiliates’ own resources to third parties in connection with distribution and shareholder servicing and/or administrative and recordkeep-ing services, and noted that the New Portfolio would not bear any related costs other than the 0.25% 12b-1 fee pursuant to the Distribution and Servicing Plan adopted for the New Portfolio’s Open Shares.

At the conclusion of these discussions, each of the Directors expressed the opinion that he or she had been furnished with sufficient information to make an informed business decision with respect to the approval of the Management Agreement with respect to the New Portfolio. Based on its discussions and considerations as described above, the Board made the following conclusions and determinations.

• The Board concluded that the nature, extent and quality of the services to be provided by the Investment Manager are adequate and appropriate, noting the benefits of advisory and research and other services and infrastructure (as discussed above) associated with a $141 billion global asset management business.

• The Board was satisfied with the resources the Investment Manager was to devote to management of the New Portfolio.

• The Board concluded that the New Portfolio’s fees to be paid to the Investment Manager were reasonable in light of the considerations discussed above.

• The Board recognized that economies of scale may be realized as the assets of the New Portfolio increase. The Board determined it would seek to have the Investment Manager share any material economies of scale with the New Portfolio.

Semi-Annual Report  173

The Board considered these conclusions and determinations in their totality and, without any one factor being dispositive, determined that approval of the Management Agreement for the New Portfolio was in the best interests of the New Portfolio.

All Other Portfolios
At the meeting of the Board held on May 30, 2012, the Board considered the approval, for an additional annual period, of the Management Agreement between the Fund, on behalf of its Portfolios (except the U.S. Realty Income, U.S. Realty Equity, International Realty Equity and Global Fixed Income Portfolios, which had recently commenced operations and for which the Management Agreement was not up for approval until 2013), and the Investment Manager. The Independent Directors were assisted in their review by independent legal counsel and met with counsel in executive session separate from representatives of the Investment Manager.

Services Provided

Representatives of the Investment Manager discussed with the Board the Investment Manager’s written presentation provided in advance of the meeting addressing, among other matters, the nature, extent and quality of services that the Investment Manager provides the Fund, including a discussion of the Investment Manager and its clients (of which the Lazard funds complex of 28 active investment portfolios funds comprised approximately $20 billion of the nearly $141 billion of total assets under the management of the Investment Manager and its global affiliates as of March 31, 2012). The representatives of the Investment Manager noted that the Investment Manager believes that the Fund continues to benefit significantly from the infrastructure and services provided by the Investment Manager’s global investment management platform, technology, operational and legal and compliance support and significant marketing infrastructure across broad distribution channels. The Directors also considered information provided by the Investment Manager regarding its personnel, resources, financial condition and experience; the Fund’s distribution channels and the relationships with various intermediaries; marketing activities on behalf of the Portfolios; and Portfolio asset flows and the growth or decline in asset levels.

The Directors considered the various services provided by the Investment Manager including the Investment Manager’s research and portfolio management capabilities and oversight of day-to-day operations, including supervision of fund accounting and administration-related services and assistance in meeting legal and regulatory requirements. The Directors also considered the Investment Manager’s infrastructure and agreed that the Fund benefits from the services and infrastructure provided by the Investment Manager. The Directors accepted management’s assertion that such services and infrastructure are greater than those typically provided to a $20 billion fund complex not managed by a large, global firm such as the Investment Manager.

Comparative Management Fee, Expense Ratio and Performance Information

The Directors reviewed comparative management fee, expense ratio and performance (through March 31, 2012) information prepared by Lipper, noting the limitations of certain Groups and broader universes (each, a “Universe”). For the Global Listed Infrastructure, Emerging Markets Debt and Capital Allocator Opportunistic Strategies Portfolios, it was noted that the relevant Group and/or Universe may not provide the most appropriate comparison given the specialty nature of the Portfolios’ investment strategies. Lipper’s materials stated that Lipper’s reports are specifically designed to provide boards of directors the necessary fee, expense and investment performance information to help fulfill their advisory contract renewal responsibilities under Section 15(c) of the Act.

Management Fees and Expense Ratios. The Directors discussed the actual and contractual management fees and expense ratios for each Portfolio. They noted the methodology and assumptions used by Lipper, including that management fee comparisons and the rankings used therein include administrative fees (which, for the Portfolios, are paid to the Fund’s third party administrator that is not affiliated with the Investment Manager).

In reviewing Lipper’s analysis,¹ it was noted that, for at least one share class of each Portfolio, contractual management fees are at or below the median of the relevant Group, except for the International Equity Select, Emerging Markets

1 For the U.S. Equity Concentrated Portfolio (formerly known as Lazard U.S. Equity Value Portfolio), the primary Lipper comparisons (described herein) were based on the Portfolio’s investment strategies and expense limitations in effect during the relevant period of the comparisons. The Directors also were provided with supplemental comparisons of the Portfolio’s Institutional Shares based on the Portfolio’s anticipated investment strategies and higher expense limitation to take effect May 31, 2012, and the results of these comparisons were substantially similar to those of the primary comparisons.

174  Semi-Annual Report

Equity Blend and Emerging Markets Multi-Strategy Portfolios (for which, for each Portfolio except the Emerging Markets Debt and Capital Allocator Opportunistic Strategies Portfolios, for at least one share class the contractual management fee was generally near the median), and that, for at least one share class of each Portfolio, the actual management fee was approximately at or below the median of the relevant Group. It also was noted that, except for the Emerging Markets Debt Portfolio, for at least one share class of all Portfolios, expense ratios were within the range of those of the funds in the relevant Group. The Directors considered that the Investment Manager continues to voluntarily enter into fee waiver and expense reimbursement agreements for all of the Portfolios and that for certain of the Portfolios the Investment Manager was waiving management fees and/or reimbursing expenses.

The Directors also considered, with respect to each Portfolio, management fees paid to the Investment Manager by Similar Accounts. Representatives of the Investment Manager discussed the nature of the Similar Accounts and the extensive differences, from the Investment Manager’s perspective, in services provided to the different types of Similar Accounts as compared to the services provided to the Portfolios. The Directors considered the relevance of the fee information provided for Similar Accounts managed by the Investment Manager, in light of the significant differences in services provided, to evaluate the appropriateness and reasonableness of the Portfolios’ management fees.

Performance. Lipper’s performance analyses compared each Portfolio’s investment returns to those of the funds in the relevant Group and/or Universe over measurement periods up to ten years through March 31, 2012.

For the Portfolios’ performance, both share classes of the U.S. Equity Concentrated, U.S. Strategic Equity, International Equity, International Equity Select, International Strategic Equity, Emerging Markets Equity, Developing Markets Equity, Emerging Markets Equity Blend, Emerging Markets Multi-Strategy and Capital Allocator Opportunistic Strategies Portfolios were above the median of the Group and/or Universe for most periods; one share class of the U.S. Small-Mid Cap Equity and Emerging Markets Debt Portfolios was at or above the Group and/or Universe medians for most periods; both share classes of the International Small Cap Equity and High Yield Portfolios were vari-

ously above, at and/or below the Group and Universe medians for all periods; and both share classes of the U.S. Mid Cap Equity, Global Listed Infrastructure and U.S. Municipal Portfolios were approximately at or below the Group and Universe medians for all periods.

The Directors had received and would continue to receive regular updates on the Investment Manager’s efforts in respect of underperforming Portfolios.

Investment Manager Profitability and Economies of Scale

The Directors reviewed information prepared by the Investment Manager for each Portfolio concerning profits realized by the Investment Manager and its affiliates resulting from the Management Agreement, calculated using the actual revenues received for the calendar year ended December 31, 2011 and the Investment Manager’s cost allocation methodology to compute an estimate of each Portfolio’s expenses. The representatives of the Investment Manager stated that neither the Investment Manager nor its affiliates receive any significant indirect benefits from the Investment Manager acting as investment adviser to the Portfolios. The Investment Manager’s representatives stated that the broker-dealer that is treated as an affiliate of the Investment Manager did not effect trades for the Portfolios in the period under review, and the Investment Manager did not benefit from money flow (float) in connection with transactions in the Portfolios’ shares. The Investment Manager’s representatives reviewed with the Board information provided on the Investment Manager’s brokerage practices and the Portfolios’ brokerage allocation, commission payments and soft dollar commissions and benefits. The representatives of the Investment Manager reminded the Board that the Investment Manager is continuing to support distribution relationships through direct payments from its or its affiliates’ own resources to third parties in connection with distribution and shareholder servicing and/or administrative and recordkeeping services, and noted that the Fund does not bear any related costs other than the 0.25% 12b-1 fee pursuant to the Distribution and Servicing Plan adopted for the Portfolios’ Open Shares.

The profitability percentages were within ranges determined by relevant court cases not to be so disproportionately large that they bore no reasonable relationship to the services rendered. Representatives of the Investment Manager stated that the Investment Manager believed the profits are not unreasonable in light of the services provided and

Semi-Annual Report  175

other factors. The Directors considered the Investment Manager’s estimated profitability with respect to each Portfolio as part of their evaluation of whether the Portfolio’s fee under the Management Agreement bears a reasonable relationship to the mix of services provided by the Investment Manager, including the nature, extent and quality of such services, and evaluated profitability in light of the relevant circumstances for each Portfolio, including the size of each Portfolio and the trend in asset growth or decline. Representatives of the Investment Manager and the Directors discussed ways economies of scale could be realized and how they could be shared, including the Investment Manager’s reinvestment of money back into its business, waiving or reimbursing Portfolio expenses, adding discounts to a Portfolio’s management fee schedule as a Portfolio’s assets increase or by instituting relatively low management fees from inception. It was noted that, for Portfolios with declining or stable assets or a low level of assets, the extent to which the Investment Manager may have realized any economies of scale would be reduced.

At the conclusion of these discussions, each of the Directors expressed the opinion that he or she had been furnished with sufficient information to make an informed business decision with respect to the renewal of the Management Agreement. Based on its discussions and considerations as described above, the Board made the following conclusions and determinations.

• The Board concluded that the nature, extent and quality of the services provided by the Investment Manager are adequate and appropriate, noting the benefits of advisory and research services and other services and infrastructure (as discussed above) associated with a nearly $141 billion global asset management business.

• The Board was generally satisfied with the overall performance of most of the Portfolios, but would continue to monitor performance of the Portfolios that was not generally above or competitive with Group or Universe medians.

• The Board concluded that each Portfolio’s fee paid to the Investment Manager was reasonable in light of the considerations discussed above.

• The Board recognized that economies of scale may be realized as the assets of the Portfolios increase and determined that they would continue to consider potential material economies of scale.

The Board considered these conclusions and determinations in their totality and, without any one factor being dispositive, determined that approval of the Management Agreement for the Fund, on behalf of each Portfolio, was in the best interests of the Portfolio and its shareholders.

176  Semi-Annual Report

The Lazard Funds, Inc.

30 Rockefeller Plaza

New York, New York 10112-6300

Telephone: 800-823-6300

http://www.LazardNet.com

Investment Manager

Lazard Asset Management LLC

30 Rockefeller Plaza

New York, New York 10112-6300

Telephone: 800-823-6300

Distributor

Lazard Asset Management Securities LLC

30 Rockefeller Plaza

New York, New York 10112-6300

Custodian

State Street Bank and Trust Company

One Lincoln Street

Boston, Massachusetts 02111

Transfer Agent and Dividend Disbursing Agent

Boston Financial Data Services, Inc.

P.O. Box 8514

Boston, Massachusetts 02266-8514

Telephone: 800-986-3455

Independent Registered Public Accounting Firm

Anchin, Block & Anchin LLP

1375 Broadway

New York, New York 10018

http://www.anchin.com

Legal Counsel

Stroock & Stroock & Lavan LLP

180 Maiden Lane

New York, New York 10038-4982

http://www.stroock.com

Performance information as of the most recent month end is available online at www.LazardNet.com.

Lazard Asset Management LLC

30 Rockefeller Plaza

New York, NY 10112-6300

800-823-6300

www.LazardNet.com

© 2012 Lazard Asset Management LLC

6/12 LZDPS013

Lazard Funds

ITEM 2.  CODE OF ETHICS.

Not applicable.

ITEM 3.  AUDIT COMMITTEE FINANCIAL EXPERT.

Not applicable.

ITEM 4.  PRINCIPAL ACCOUNTANT FEES AND SERVICES.

Not applicable.

ITEM 5.  AUDIT COMMITTEE OF LISTED REGISTRANTS.

Not applicable.

ITEM 6.  INVESTMENTS

Not applicable.

ITEM 7.  DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED END MANAGEMENT INVESTMENTCOMPANIES.

Not applicable.

ITEM 8.  PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.

Not applicable.

ITEM 9.  PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT COMPANY AND AFFILIATED PURCHASERS.

Not applicable.

ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.

There were no material changes to the procedures by which shareholders may recommend nominees to the Registrant’s Board of Directors during the period covered by this report.

ITEM 11. CONTROLS AND PROCEDURES.

(a)      The Registrant’s principal executive and principal financial officers have concluded, based on their evaluation of the Registrant’s disclosure controls and procedures as of a date within 90 days of the filing date of this report, that the Registrant’s disclosure controls and procedures are reasonably designed to ensure that information required to be disclosed by the Registrant on Form N-CSR is recorded, processed, summarized and reported within the required time periods and that information required to be disclosed by the Registrant in the reports that it files or submits on Form N-CSR is accumulated and communicated to the Registrant’s management, including its principal executive and principal financial officers, as appropriate to allow timely decisions regarding required disclosure.

(b)      There were no changes to the Registrant’s internal control over financial reporting that occurred during the second fiscal quarter of the period covered by this report that have materially affected, or are reasonably likely to materially affect, the Registrant’s internal control over financial reporting.

ITEM 12. EXHIBITS.

(a)(1)  Not applicable.

(a)(2)  Certifications of principal executive and principal financial officers as required by Rule 30a-2(a) under the Investment Company Act of 1940.

(a)(3)  Not applicable.

(b)      Certifications of principal executive and principal financial officers as required by Rule 30a-2(b) under the Investment Company Act of 1940.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

The Lazard Funds, Inc.

By	/s/ Charles L. Carroll
	Charles L. Carroll
	Chief Executive Officer
Date	September 10, 2012

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

By	/s/ Charles L. Carroll
	Charles L. Carroll
	Chief Executive Officer
Date	September 10, 2012
By	/s/ Stephen St. Clair
	Stephen St. Clair
	Chief Financial Officer
Date	September 10, 2012

EX-99.CERT

[EX-99.CERT]
Exhibit (a)(2)

Rule 30a-2(a) CERTIFICATIONS

I, Charles L. Carroll, certify that:

1. I have reviewed this report on Form N-CSR of The Lazard Funds, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the Registrant as of, and for, the periods presented in this report;

4. The Registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the Registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the Registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the Registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and

(d) Disclosed in this report any change in the Registrant’s internal control over financial reporting that occurred during the second fiscal quarter of the periodcovered by this report that has materially affected, or is reasonably likely to materially affect, the Registrant’s internal control over financial reporting; and

5. The Registrant’s other certifying officer(s) and I have disclosed to the Registrant’s auditors and the audit committee of the Registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the Registrant’s ability to record, process, summarize, and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the Registrant’s internal control over financial reporting.

Date: September 10, 2012

/s/ Charles L. Carroll
Charles L. Carroll
Chief Executive Officer

Rule 30a-2(a) CERTIFICATIONS

I, Stephen St. Clair, certify that:

1. I have reviewed this report on Form N-CSR of The Lazard Funds, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the Registrant as of, and for, the periods presented in this report;

4. The Registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the Registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the Registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the Registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and

(d) Disclosed in this report any change in the Registrant’s internal control over financial reporting that occurred during the second fiscal quarter of the periodcovered by this report that has materially affected, or is reasonably likely to materially affect, the Registrant’s internal control over financial reporting; and

5. The Registrant’s other certifying officer(s) and I have disclosed to the Registrant’s auditors and the audit committee of the Registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the Registrant’s ability to record, process, summarize, and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the Registrant’s internal control over financial reporting.

Date: September 10, 2012

/s/ Stephen St. Clair
Stephen St. Clair
Chief Financial Officer

EX-99.906 CERT

[EX-99.906CERT]
Exhibit (b)

SECTION 906 CERTIFICATIONS

In connection with this report on Form N-CSR for the Registrant as furnished to the Securities and Exchange Commission on the date hereof (the “Report”), the undersigned hereby certify, pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

(1) the Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as applicable; and

(2) the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Registrant.

By:        /s/ Charles L. Carroll

             Charles L. Carroll

             Chief Executive Officer

Date:    September 10, 2012

By:        /s/ Stephen St. Clair

             Stephen St. Clair

             Chief Financial Officer

Date:    September 10, 2012

This certificate is furnished pursuant to the requirements of Form N-CSR and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, or otherwise subject to the liability of that section, and shall not be deemed to be incorporated by reference into any filing under the Securities Act of 1933 or the Securities Exchange Act of 1934.