LMP Equity Trust -- LM Target Retirement Series

N-Q 1 dnq.htm LMP EQUITY TRUST -- LM TARGET RETIREMENT SERIES LMP Equity Trust -- LM Target Retirement Series

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED

MANAGEMENT INVESTMENT COMPANY

Investment Company Act file number 811-06444

Legg Mason Partners Equity Trust

(Exact name of registrant as specified in charter)

55 Water Street, New York, NY 10041

(Address of principal executive offices) (Zip code)

Robert I. Frenkel, Esq.

Legg Mason & Co., LLC

100 First Stamford Place

Stamford, CT 06902

(Name and address of agent for service)

Registrant’s telephone number, including area code: 1-877-721-1926

Date of fiscal year end: January 31

Date of reporting period: October 31, 2010

ITEM 1.

SCHEDULES OF INVESTMENTS

LEGG MASON PARTNERS EQUITY TRUST

LEGG MASON TARGET

RETIREMENT SERIES

LEGG MASON TARGET RETIREMENT SERIES 2015

LEGG MASON TARGET RETIREMENT SERIES 2020

LEGG MASON TARGET RETIREMENT SERIES 2025

LEGG MASON TARGET RETIREMENT SERIES 2030

LEGG MASON TARGET RETIREMENT SERIES 2035

LEGG MASON TARGET RETIREMENT SERIES 2040

LEGG MASON TARGET RETIREMENT SERIES 2045

LEGG MASON TARGET RETIREMENT SERIES 2050

LEGG MASON TARGET RETIREMENT FUND

FORM N-Q

OCTOBER 31, 2010

LEGG MASON TARGET RETIREMENT 2015


Schedules of investments (unaudited)		October 31, 2010


DESCRIPTION	SHARES		VALUE
INVESTMENTS IN UNDERLYING FUNDS - 98.6%
iShares Trust:
iShares MSCI EAFE Index Fund		4,861	$	277,126
iShares Russell 1000 Growth Index Fund		1,620		87,302
iShares Russell 1000 Value Index Fund		3,350		203,713
iShares Russell 2000 Index Fund		940		66,091
Legg Mason Capital Management Growth Trust, Inc., Class I Shares		3,451		72,636	^*^(a)
Legg Mason Capital Management Value Trust, Inc., Class I Shares		1,564		68,795	^(a)
Legg Mason Charles Street Trust, Inc. - Legg Mason BW Global Opportunities Bond Fund, Class IS Shares		38,463		429,248	^(a)
Legg Mason Global Trust, Inc.:
Legg Mason Batterymarch Emerging Markets Trust, Class IS Shares		4,343		102,809	^(a)
Legg Mason Batterymarch International Equity Trust, Class IS Shares		17,273		226,099	^(a)
Legg Mason Partners Equity Trust:
Legg Mason Batterymarch U.S. Large Cap Equity Fund, Class IS Shares		10,823		107,583	^(a)
Legg Mason ClearBridge Aggressive Growth Fund, Class IS Shares		657		70,552	^*^(a)
Legg Mason ClearBridge Appreciation Fund, Class IS Shares		8,115		107,198	^(a)
Legg Mason Global Currents International All Cap Opportunity Fund, Class IS Shares		25,419		214,031	^(a)
Legg Mason Global Asset Management Trust - Legg Mason Strategic Real Return Fund, Class I Shares		12,437		161,304	^*^(a)
The Royce Fund - Royce Value Fund, Institutional Class Shares		9,268		105,838	^*^(a)
Vanguard International Equity Index Funds - Vanguard Emerging Markets Stock Index Fund, ETF Shares		1,170		54,791
Vanguard Specialized Funds - Vanguard REIT Index Fund, ETF Shares		2,695		147,012
Western Asset Funds, Inc.:
Western Asset Core Bond Portfolio, Class IS Shares		59,598		692,525	^(a)(b)
Western Asset High Yield Portfolio, Class IS Shares		6,378		56,704	^(a)(b)

TOTAL INVESTMENTS IN UNDERLYING FUNDS - 98.6% (Cost - $2,793,638#)				3,251,357
Other Assets in Excess of Liabilities - 1.4%				47,651

TOTAL NET ASSETS - 100.0%			$	3,299,008

*	Non-income producing security.

(a)	Underlying Fund is affiliated with Legg Mason, Inc.

(b)	Prior to April 23, 2010, Class IS Shares were known as Institutional Select Class Shares.

#	Aggregate cost for federal income tax purposes is substantially the same.

See Notes to Schedules of Investments.

LEGG MASON TARGET RETIREMENT 2020


Schedules of investments (unaudited) (cont’d)		October 31, 2010


DESCRIPTION	SHARES		VALUE
INVESTMENTS IN UNDERLYING FUNDS - 98.6%
iShares Trust:
iShares MSCI EAFE Index Fund		6,476	$	369,197
iShares Russell 1000 Growth Index Fund		2,148		115,756
iShares Russell 1000 Value Index Fund		4,572		278,023
iShares Russell 2000 Index Fund		1,037		72,911
Legg Mason Capital Management Growth Trust, Inc., Class I Shares		4,757		100,128	^*(a)
Legg Mason Capital Management Value Trust, Inc., Class I Shares		2,379		104,660	^(a)
Legg Mason Charles Street Trust, Inc. - Legg Mason BW Global Opportunities Bond Fund, Class IS Shares		45,582		508,690	^(a)
Legg Mason Global Trust, Inc.:
Legg Mason Batterymarch Emerging Markets Trust, Class IS Shares		5,305		125,558	^(a)
Legg Mason Batterymarch International Equity Trust, Class IS Shares		22,619		296,081	^(a)
Legg Mason Partners Equity Trust:
Legg Mason Batterymarch U.S. Large Cap Equity Fund, Class IS Shares		15,769		156,743	^(a)
Legg Mason ClearBridge Aggressive Growth Fund, Class IS Shares		905		97,126	^*(a)
Legg Mason ClearBridge Appreciation Fund, Class IS Shares		11,231		148,365	^(a)
Legg Mason Global Currents International All Cap Opportunity Fund, Class IS Shares		33,158		279,193	^(a)
Legg Mason Partners Income Trust - Western Asset Emerging Markets Debt Portfolio, Class I Shares		2,129		11,941	^(a)
Legg Mason Global Asset Management Trust - Legg Mason Strategic Real Return Fund, Class I Shares		14,634		189,802	^*(a)
The Royce Fund - Royce Value Fund, Institutional Class Shares		10,714		122,353	^*(a)
Vanguard International Equity Index Funds - Vanguard Emerging Markets Stock Index Fund, ETF Shares		1,430		66,967
Vanguard Specialized Funds - Vanguard REIT Index Fund, ETF Shares		3,325		181,379
Western Asset Funds, Inc.:
Western Asset Core Bond Portfolio, Class IS Shares		56,827		660,330	^(a)(b)
Western Asset High Yield Portfolio, Class IS Shares		2,401		21,344	^(a)(b)

TOTAL INVESTMENTS IN UNDERLYING FUNDS - 98.6% (Cost - $3,337,663#)				3,906,547
Other Assets in Excess of Liabilities - 1.4%				53,877

TOTAL NET ASSETS - 100.0%			$	3,960,424

*	Non-income producing security.

(a)	Underlying Fund is affiliated with Legg Mason, Inc.

(b)	Prior to April 23, 2010, Class IS Shares were known as Institutional Select Class Shares.

#	Aggregate cost for federal income tax purposes is substantially the same.

See Notes to Schedules of Investments.

LEGG MASON TARGET RETIREMENT 2025


Schedules of investments (unaudited) (cont’d)		October 31, 2010


DESCRIPTION	SHARES		VALUE
INVESTMENTS IN UNDERLYING FUNDS - 98.4%
iShares Trust:
iShares MSCI EAFE Index Fund		7,101	$	404,828
iShares Russell 1000 Growth Index Fund		2,802		151,000
iShares Russell 1000 Value Index Fund		5,976		363,401
iShares Russell 2000 Index Fund		1,198		84,231
Legg Mason Capital Management Growth Trust, Inc., Class I Shares		6,147		129,399	^*(a)
Legg Mason Capital Management Value Trust, Inc., Class I Shares		3,034		133,453	^(a)
Legg Mason Charles Street Trust, Inc. - Legg Mason BW Global Opportunities Bond Fund, Class IS Shares		44,981		501,988	^(a)
Legg Mason Global Trust, Inc.:
Legg Mason Batterymarch Emerging Markets Trust, Class IS Shares		3,899		92,294	^(a)
Legg Mason Batterymarch International Equity Trust, Class IS Shares		24,365		318,939	^(a)
Legg Mason Partners Equity Trust:
Legg Mason Batterymarch U.S. Large Cap Equity Fund, Class IS Shares		19,123		190,079	^(a)
Legg Mason ClearBridge Aggressive Growth Fund, Class IS Shares		1,315		141,192	^*(a)
Legg Mason ClearBridge Appreciation Fund, Class IS Shares		14,495		191,477	^(a)
Legg Mason Global Currents International All Cap Opportunity Fund, Class IS Shares		35,629		299,995	^(a)
Legg Mason Partners Income Trust - Western Asset Emerging Markets Debt Portfolio, Class I Shares		14,100		79,099	^(a)
Legg Mason Global Asset Management Trust - Legg Mason Strategic Real Return Fund, Class I Shares		15,888		206,066	^*(a)
The Royce Fund - Royce Value Fund, Institutional Class Shares		12,094		138,108	^*(a)
Vanguard International Equity Index Funds - Vanguard Emerging Markets Stock Index Fund, ETF Shares		1,300		60,879
Vanguard Specialized Funds - Vanguard REIT Index Fund, ETF Shares		3,437		187,488
Western Asset Funds, Inc.:
Western Asset Core Bond Portfolio, Class IS Shares		34,600		402,051	^(a)(b)
Western Asset High Yield Portfolio, Class IS Shares		2,891		25,705	^(a)(b)

TOTAL INVESTMENTS IN UNDERLYING FUNDS - 98.4% (Cost - $3,526,491#)				4,101,672
Other Assets in Excess of Liabilities - 1.6%				65,135

TOTAL NET ASSETS - 100.0%			$	4,166,807

*	Non-income producing security.

(a)	Underlying Fund is affiliated with Legg Mason, Inc.

(b)	Prior to April 23, 2010, Class IS Shares were known as Institutional Select Class Shares.

#	Aggregate cost for federal income tax purposes is substantially the same.

See Notes to Schedules of Investments.

LEGG MASON TARGET RETIREMENT 2030


Schedules of investments (unaudited) (cont’d)		October 31, 2010


DESCRIPTION	SHARES		VALUE
INVESTMENTS IN UNDERLYING FUNDS - 98.2%
iShares Trust:
iShares MSCI EAFE Index Fund		5,735	$	326,952
iShares Russell 1000 Growth Index Fund		2,807		151,269
iShares Russell 1000 Value Index Fund		5,757		350,083
iShares Russell 2000 Index Fund		1,016		71,435
Legg Mason Capital Management Growth Trust, Inc., Class I Shares		5,772		121,501	^*(a)
Legg Mason Capital Management Value Trust, Inc., Class I Shares		2,835		124,713	^(a)
Legg Mason Charles Street Trust, Inc. - Legg Mason BW Global Opportunities Bond Fund, Class IS Shares		19,530		217,954	^(a)
Legg Mason Global Trust, Inc.:
Legg Mason Batterymarch Emerging Markets Trust, Class IS Shares		2,291		54,221	^(a)
Legg Mason Batterymarch International Equity Trust, Class IS Shares		20,039		262,309	^(a)
Legg Mason Partners Equity Trust:
Legg Mason Batterymarch U.S. Large Cap Equity Fund, Class IS Shares		19,054		189,397	^(a)
Legg Mason ClearBridge Aggressive Growth Fund, Class IS Shares		1,219		130,883	^*(a)
Legg Mason ClearBridge Appreciation Fund, Class IS Shares		14,416		190,429	^(a)
Legg Mason Global Currents International All Cap Opportunity Fund, Class IS Shares		30,292		255,061	^(a)
Legg Mason Partners Income Trust - Western Asset Emerging Markets Debt Portfolio, Class I Shares		22,115		124,067	^(a)
The Royce Fund - Royce Value Fund, Institutional Class Shares		9,341		106,680	^*(a)
Vanguard International Equity Index Funds - Vanguard Emerging Markets Stock Index Fund, ETF Shares		668		31,283
Vanguard Specialized Funds - Vanguard REIT Index Fund, ETF Shares		2,787		152,031
Western Asset Funds, Inc.:
Western Asset Core Bond Portfolio, Class IS Shares		18,932		219,995	^(a)(b)
Western Asset High Yield Portfolio, Class IS Shares		4,307		38,290	^(a)(b)

TOTAL INVESTMENTS IN UNDERLYING FUNDS - 98.2% (Cost - $2,577,358#)				3,118,553
Other Assets in Excess of Liabilities - 1.8%				56,548

TOTAL NET ASSETS - 100.0%			$	3,175,101

*	Non-income producing security.

(a)	Underlying Fund is affiliated with Legg Mason, Inc.

(b)	Prior to April 23, 2010, Class IS Shares were known as Institutional Select Class Shares.

#	Aggregate cost for federal income tax purposes is substantially the same.

See Notes to Schedules of Investments.

LEGG MASON TARGET RETIREMENT 2035


Schedules of investments (unaudited) (cont’d)		October 31, 2010


DESCRIPTION	SHARES		VALUE
INVESTMENTS IN UNDERLYING FUNDS - 99.0%
iShares Trust:
iShares MSCI EAFE Index Fund		6,800	$	387,668
iShares Russell 1000 Growth Index Fund		3,984		214,698
iShares Russell 1000 Value Index Fund		8,344		507,399
iShares Russell 2000 Index Fund		1,113		78,255
Legg Mason Capital Management Growth Trust, Inc., Class I Shares		8,694		182,998	^*(a)
Legg Mason Capital Management Value Trust, Inc., Class I Shares		3,828		168,385	^(a)
Legg Mason Global Trust, Inc.:
Legg Mason Batterymarch Emerging Markets Trust, Class IS Shares		1,502		35,553	^(a)
Legg Mason Batterymarch International Equity Trust, Class IS Shares		22,746		297,751	^(a)
Legg Mason Partners Equity Trust:
Legg Mason Batterymarch U.S. Large Cap Equity Fund, Class IS Shares		26,693		265,324	^(a)
Legg Mason ClearBridge Aggressive Growth Fund, Class IS Shares		1,728		185,514	^*(a)
Legg Mason ClearBridge Appreciation Fund, Class IS Shares		20,091		265,402	^(a)
Legg Mason Global Currents International All Cap Opportunity Fund, Class IS Shares		35,261		296,894	^(a)
Legg Mason Partners Income Trust - Western Asset Emerging Markets Debt Portfolio, Class I Shares		22,813		127,983	^(a)
The Royce Fund - Royce Value Fund, Institutional Class Shares		10,874		124,182	^*(a)
Vanguard International Equity Index Funds - Vanguard Emerging Markets Stock Index Fund, ETF Shares		486		22,759
Vanguard Specialized Funds - Vanguard REIT Index Fund, ETF Shares		3,335		181,924
Western Asset Funds, Inc.:
Western Asset Core Bond Portfolio, Class IS Shares		10,510		122,127	^(a)(b)
Western Asset High Yield Portfolio, Class IS Shares		8,455		75,167	^(a)(b)

TOTAL INVESTMENTS IN UNDERLYING FUNDS - 99.0% (Cost - $3,114,736#)				3,539,983
Other Assets in Excess of Liabilities - 1.0%				36,494

TOTAL NET ASSETS - 100.0%			$	3,576,477

*	Non-income producing security.

(a)	Underlying Fund is affiliated with Legg Mason, Inc.

(b)	Prior to April 23, 2010, Class IS Shares were known as Institutional Select Class Shares.

#	Aggregate cost for federal income tax purposes is substantially the same.

See Notes to Schedules of Investments.

LEGG MASON TARGET RETIREMENT 2040


Schedules of investments (unaudited) (cont’d)		October 31, 2010


DESCRIPTION	SHARES		VALUE
INVESTMENTS IN UNDERLYING FUNDS - 98.9%
iShares Trust:
iShares MSCI EAFE Index Fund		5,183	$	295,483
iShares Russell 1000 Growth Index Fund		3,732		201,117
iShares Russell 1000 Value Index Fund		7,691		467,690
iShares Russell 2000 Index Fund		1,358		95,481
Legg Mason Capital Management Growth Trust, Inc., Class I Shares		8,085		170,199	^*(a)
Legg Mason Capital Management Value Trust, Inc., Class I Shares		3,770		165,827	^(a)
Legg Mason Global Trust, Inc.:
Legg Mason Batterymarch Emerging Markets Trust, Class IS Shares		4,066		96,248	^(a)
Legg Mason Batterymarch International Equity Trust, Class IS Shares		17,732		232,108	^(a)
Legg Mason Partners Equity Trust:
Legg Mason Batterymarch U.S. Large Cap Equity Fund, Class IS Shares		25,059		249,084	^(a)
Legg Mason ClearBridge Aggressive Growth Fund, Class IS Shares		1,601		171,860	^*(a)
Legg Mason ClearBridge Appreciation Fund, Class IS Shares		18,835		248,808	^(a)
Legg Mason Global Currents International All Cap Opportunity Fund, Class IS Shares		26,171		220,364	^(a)
Legg Mason Partners Income Trust - Western Asset Emerging Markets Debt Portfolio, Class I Shares		19,000		106,591	^(a)
The Royce Fund - Royce Value Fund, Institutional Class Shares		13,887		158,593	^*(a)
Vanguard International Equity Index Funds - Vanguard Emerging Markets Stock Index Fund, ETF Shares		1,190		55,728
Vanguard Specialized Funds - Vanguard REIT Index Fund, ETF Shares		2,794		152,413
Western Asset Funds, Inc. - Western Asset Core Bond Portfolio, Class IS Shares		8,204		95,334	^(a)(b)

TOTAL INVESTMENTS IN UNDERLYING FUNDS - 98.9% (Cost - $2,751,031#)				3,182,928
Other Assets in Excess of Liabilities - 1.1%				33,812

TOTAL NET ASSETS - 100.0%			$	3,216,740

*	Non-income producing security.

(a)	Underlying Fund is affiliated with Legg Mason, Inc.

(b)	Prior to April 23, 2010, Class IS Shares were known as Institutional Select Class Shares.

#	Aggregate cost for federal income tax purposes is substantially the same.

See Notes to Schedules of Investments.

LEGG MASON TARGET RETIREMENT 2045


Schedules of investments (unaudited) (cont’d)		October 31, 2010


DESCRIPTION	SHARES		VALUE
INVESTMENTS IN UNDERLYING FUNDS - 98.9%
iShares Trust:
iShares MSCI EAFE Index Fund		3,673	$	209,398
iShares Russell 1000 Growth Index Fund		2,618		141,084
iShares Russell 1000 Value Index Fund		5,447		331,232
iShares Russell 2000 Index Fund		1,002		70,451
Legg Mason Capital Management Growth Trust, Inc., Class I Shares		5,729		120,586	^*(a)
Legg Mason Capital Management Value Trust, Inc., Class I Shares		2,659		116,990	^(a)
Legg Mason Global Trust, Inc.:
Legg Mason Batterymarch Emerging Markets Trust, Class IS Shares		2,865		67,821	^(a)
Legg Mason Batterymarch International Equity Trust, Class IS Shares		12,518		163,855	^(a)
Legg Mason Partners Equity Trust:
Legg Mason Batterymarch U.S. Large Cap Equity Fund, Class IS Shares		17,692		175,854	^(a)
Legg Mason ClearBridge Aggressive Growth Fund, Class IS Shares		1,100		118,088	^*(a)
Legg Mason ClearBridge Appreciation Fund, Class IS Shares		13,224		174,688	^(a)
Legg Mason Global Currents International All Cap Opportunity Fund, Class IS Shares		18,943		159,498	^(a)
Legg Mason Partners Income Trust - Western Asset Emerging Markets Debt Portfolio, Class I Shares		14,294		80,187	^(a)
The Royce Fund - Royce Value Fund, Institutional Class Shares		9,779		111,677	^*(a)
Vanguard International Equity Index Funds - Vanguard Emerging Markets Stock Index Fund, ETF Shares		933		43,692
Vanguard Specialized Funds - Vanguard REIT Index Fund, ETF Shares		2,052		111,937
Western Asset Funds, Inc. - Western Asset Core Bond Portfolio, Class IS Shares		5,345		62,108	^(a)(b)

TOTAL INVESTMENTS IN UNDERLYING FUNDS - 98.9% (Cost - $1,935,340#)				2,259,146
Other Assets in Excess of Liabilities - 1.1%				26,217

TOTAL NET ASSETS - 100.0%			$	2,285,363

*	Non-income producing security.

(a)	Underlying Fund is affiliated with Legg Mason, Inc.

(b)	Prior to April 23, 2010, Class IS Shares were known as Institutional Select Class Shares.

#	Aggregate cost for federal income tax purposes is substantially the same.

See Notes to Schedules of Investments.

LEGG MASON TARGET RETIREMENT 2050


Schedules of investments (unaudited) (cont’d)		October 31, 2010


DESCRIPTION	SHARES		VALUE
INVESTMENTS IN UNDERLYING FUNDS - 99.0%
iShares Trust:
iShares MSCI EAFE Index Fund		3,260	$	185,853
iShares Russell 1000 Growth Index Fund		2,365		127,450
iShares Russell 1000 Value Index Fund		4,875		296,449
iShares Russell 2000 Index Fund		940		66,091
Legg Mason Capital Management Growth Trust, Inc., Class I Shares		5,106		107,492	^*(a)
Legg Mason Capital Management Value Trust, Inc., Class I Shares		2,362		103,915	^(a)
Legg Mason Global Trust, Inc.:
Legg Mason Batterymarch Emerging Markets Trust, Class IS Shares		2,408		57,001	^(a)
Legg Mason Batterymarch International Equity Trust, Class IS Shares		11,198		146,577	^(a)
Legg Mason Partners Equity Trust:
Legg Mason Batterymarch U.S. Large Cap Equity Fund, Class IS Shares		16,061		159,644	^(a)
Legg Mason ClearBridge Aggressive Growth Fund, Class IS Shares		980		105,190	^*(a)
Legg Mason ClearBridge Appreciation Fund, Class IS Shares		11,900		157,192	^(a)
Legg Mason Global Currents International All Cap Opportunity Fund, Class IS Shares		17,526		147,566	^(a)
Legg Mason Partners Income Trust - Western Asset Emerging Markets Debt Portfolio, Class I Shares		12,630		70,853	^(a)
The Royce Fund - Royce Value Fund, Institutional Class Shares		8,773		100,188	^*(a)
Vanguard International Equity Index Funds - Vanguard Emerging Markets Stock Index Fund, ETF Shares		795		37,230
Vanguard Specialized Funds - Vanguard REIT Index Fund, ETF Shares		1,855		101,190
Western Asset Funds, Inc. - Western Asset Core Bond Portfolio, Class IS Shares		4,839		56,231	^(a)(b)

TOTAL INVESTMENTS IN UNDERLYING FUNDS - 99.0% (Cost - $1,782,864#)				2,026,112
Other Assets in Excess of Liabilities - 1.0%				21,387

TOTAL NET ASSETS - 100.0%			$	2,047,499

*	Non-income producing security.

(a)	Underlying Fund is affiliated with Legg Mason, Inc.

(b)	Prior to April 23, 2010, Class IS Shares were known as Institutional Select Class Shares.

#	Aggregate cost for federal income tax purposes is substantially the same.

See Notes to Schedules of Investments.

LEGG MASON TARGET RETIREMENT FUND


Schedules of investments (unaudited) (cont’d)		October 31, 2010


DESCRIPTION	SHARES		VALUE
INVESTMENTS IN UNDERLYING FUNDS - 98.8%
iShares Trust:
iShares MSCI EAFE Index Fund		2,032	$	115,844
iShares Russell 1000 Growth Index Fund		360		19,400
iShares Russell 1000 Value Index Fund		900		54,729
iShares Russell 2000 Index Fund		660		46,405
Legg Mason Capital Management Growth Trust, Inc., Class I Shares		824		17,344	^*(a)
Legg Mason Capital Management Value Trust, Inc., Class I Shares		392		17,224	^(a)
Legg Mason Charles Street Trust, Inc. - Legg Mason BW Global Opportunities Bond Fund, Class IS Shares		26,578		296,608	^(a)
Legg Mason Global Trust, Inc.:
Legg Mason Batterymarch Emerging Markets Trust, Class IS Shares		2,260		53,490	^(a)
Legg Mason Batterymarch International Equity Trust, Class IS Shares		7,281		95,309	^(a)
Legg Mason Partners Equity Trust:
Legg Mason Batterymarch U.S. Large Cap Equity Fund, Class IS Shares		2,957		29,392	^(a)
Legg Mason ClearBridge Aggressive Growth Fund, Class IS Shares		176		18,852	^*(a)
Legg Mason ClearBridge Appreciation Fund, Class IS Shares		2,207		29,160	^(a)
Legg Mason Global Currents International All Cap Opportunity Fund, Class IS Shares		10,927		92,002	^(a)
Legg Mason Global Asset Management Trust - Legg Mason Strategic Real Return Fund, Class I Shares		8,358		108,405	^*(a)
The Royce Fund - Royce Value Fund, Institutional Class Shares		6,609		75,471	^*(a)
Vanguard International Equity Index Funds - Vanguard Emerging Markets Stock Index Fund, ETF Shares		560		26,225
Vanguard Specialized Funds - Vanguard REIT Index Fund, ETF Shares		1,875		102,281
Western Asset Funds, Inc.:
Western Asset Core Bond Portfolio, Class IS Shares		70,548		819,767	^(a)(b)
Western Asset High Yield Portfolio, Class IS Shares		16,263		144,576	^(a)(b)

TOTAL INVESTMENTS IN UNDERLYING FUNDS - 98.8% (Cost - $1,855,901#)				2,162,484
Other Assets in Excess of Liabilities - 1.2%				27,360

TOTAL NET ASSETS - 100.0%			$	2,189,844

*	Non-income producing security.

(a)	Underlying Fund is affiliated with Legg Mason, Inc.

(b)	Prior to April 23, 2010, Class IS Shares were known as Institutional Select Class Shares.

#	Aggregate cost for federal income tax purposes is substantially the same.

See Notes to Schedules of Investments.

Notes to Schedules of Investments (unaudited)

1. Organization and Significant Accounting Policies

Legg Mason Target Retirement 2015 (“Retirement 2015”), Legg Mason Target Retirement 2020 (“Retirement 2020”), Legg Mason Target Retirement 2025 (“Retirement 2025”), Legg Mason Target Retirement 2030 (“Retirement 2030”), Legg Mason Target Retirement 2035 (“Retirement 2035”), Legg Mason Target Retirement 2040 (“Retirement 2040”), Legg Mason Target Retirement 2045 (“Retirement 2045”), Legg Mason Target Retirement 2050 (“Retirement 2050”), and Legg Mason Target Retirement Fund (“Retirement Fund”) (collectively, the “Funds”) are separate diversified investment series of Legg Mason Partners Equity Trust (the “Trust”). The Trust, a Maryland statutory trust, is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Funds invest in other funds (“Underlying Funds”) which are mutual funds affiliated with Legg Mason, Inc. (“Legg Mason”) or exchange-traded funds that are based on an index and managed by unaffiliated investment advisers.

The following are significant accounting policies consistently followed by the Funds and are in conformity with U.S. generally accepted accounting principles (“GAAP”).

(a) Investment Valuation. Investments in the Underlying Funds, excluding ETFs, are valued at the closing net asset value per share of each Underlying Fund on the day of valuation. Equity securities for which market quotations are available are valued at the last reported sales price or official closing price on the primary market or exchange on which they trade. Debt securities are valued at the mean between the last quoted bid and asked prices provided by an independent pricing service that are based on transactions in debt obligations, quotations from bond dealers, market transactions in comparable securities and various other relationships between securities. When prices are not readily available, or are determined not to reflect fair value, such as when the value of a security has been significantly affected by events after the close of the exchange or market on which the security is principally traded, but before the Funds calculate their net asset values, the Funds value these securities at fair value as determined in accordance with the procedures approved by the Funds’ Board of Trustees. Short-term obligations with maturities of 60 days or less are valued at amortized cost, which approximates fair value.

The Funds have adopted Financial Accounting Standards Board Codification Topic 820 (“ASC Topic 820”). ASC Topic 820 establishes a single definition of fair value, creates a three-tier hierarchy as a framework for measuring fair value based on inputs used to value the Funds’ investments, and requires additional disclosure about fair value. The hierarchy of inputs is summarized below.

•

Level 1 – quoted prices in active markets for identical investments

•

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

•

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

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

The Funds use valuation techniques to measure fair value that are consistent with the market approach and/or income approach, depending on the type of security and the particular circumstance. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable securities. The income approach uses valuation techniques to discount estimated future cash flows to present value.

The following is a summary of the inputs used in valuing the Funds’ assets carried at fair value:


DESCRIPTION	QUOTED PRICES (LEVEL 1)		OTHER SIGNIFICANT OBSERVABLE INPUTS (LEVEL 2)		SIGNIFICANT UNOBSERVABLE INPUTS (LEVEL 3)		TOTAL
Retirement 2015
Investments in Underlying Funds†	$	3,251,357		—		—	$	3,251,357

†	See Schedules of Investments for additional detailed categorizations.


DESCRIPTION	QUOTED PRICES (LEVEL 1)		OTHER SIGNIFICANT OBSERVABLE INPUTS (LEVEL 2)		SIGNIFICANT UNOBSERVABLE INPUTS (LEVEL 3)		TOTAL
Retirement 2020
Investments in Underlying Funds†	$	3,906,547		—		—	$	3,906,547

†	See Schedules of Investments for additional detailed categorizations.


DESCRIPTION	QUOTED PRICES (LEVEL 1)		OTHER SIGNIFICANT OBSERVABLE INPUTS (LEVEL 2)		SIGNIFICANT UNOBSERVABLE INPUTS (LEVEL 3)		TOTAL
Retirement 2025
Investments in Underlying Funds†	$	4,101,672		—		—	$	4,101,672

†	See Schedules of Investments for additional detailed categorizations.


DESCRIPTION	QUOTED PRICES (LEVEL 1)		OTHER SIGNIFICANT OBSERVABLE INPUTS (LEVEL 2)		SIGNIFICANT UNOBSERVABLE INPUTS (LEVEL 3)		TOTAL
Retirement 2030
Investments in Underlying Funds†	$	3,118,553		—		—	$	3,118,553

†	See Schedules of Investments for additional detailed categorizations.


DESCRIPTION	QUOTED PRICES (LEVEL 1)		OTHER SIGNIFICANT OBSERVABLE INPUTS (LEVEL 2)		SIGNIFICANT UNOBSERVABLE INPUTS (LEVEL 3)		TOTAL
Retirement 2035
Investments in Underlying Funds†	$	3,539,983		—		—	$	3,539,983

†	See Schedules of Investments for additional detailed categorizations.


DESCRIPTION	QUOTED PRICES (LEVEL 1)		OTHER SIGNIFICANT OBSERVABLE INPUTS (LEVEL 2)		SIGNIFICANT UNOBSERVABLE INPUTS (LEVEL 3)		TOTAL
Retirement 2040
Investments in Underlying Funds†	$	3,182,928		—		—	$	3,182,928

†	See Schedules of Investments for additional detailed categorizations.


DESCRIPTION	QUOTED PRICES (LEVEL 1)		OTHER SIGNIFICANT OBSERVABLE INPUTS (LEVEL 2)		SIGNIFICANT UNOBSERVABLE INPUTS (LEVEL 3)		TOTAL
Retirement 2045
Investments in Underlying Funds†	$	2,259,146		—		—	$	2,259,146

†	See Schedules of Investments for additional detailed categorizations.

Notes to Schedules of Investments (unaudited) (continued)


DESCRIPTION	QUOTED PRICES (LEVEL 1)		OTHER SIGNIFICANT OBSERVABLE INPUTS (LEVEL 2)		SIGNIFICANT UNOBSERVABLE INPUTS (LEVEL 3)		TOTAL
Retirement 2050
Investments in Underlying Funds†	$	2,026,112		—		—	$	2,026,112

†	See Schedules of Investments for additional detailed categorizations.


DESCRIPTION	QUOTED PRICES (LEVEL 1)		OTHER SIGNIFICANT OBSERVABLE INPUTS (LEVEL 2)		SIGNIFICANT UNOBSERVABLE INPUTS (LEVEL 3)		TOTAL
Retirement Fund
Investments in Underlying Funds†	$	2,162,484		—		—	$	2,162,484

†	See Schedules of Investments for additional detailed categorizations.

(b) Repurchase Agreements. The Funds may enter into repurchase agreements with institutions that their investment adviser has determined are creditworthy. Each repurchase agreement is recorded at cost. Under the terms of a typical repurchase agreement, the Funds acquire a debt security subject to an obligation of the seller to repurchase, and of the Funds to resell, the security at an agreed-upon price and time, thereby determining the yield during the Funds’ holding period. When entering into repurchase agreements, it is the Funds’ policy that their custodian or a third party custodian, acting on the Funds’ behalf, take possession of the underlying collateral securities, the market value of which, at all times, at least equals the principal amount of the repurchase transaction, including accrued interest. To the extent that any repurchase transaction maturity exceeds one business day, the value of the collateral is marked-to-market and measured against the value of the agreement in an effort to ensure the adequacy of the collateral. If the counterparty defaults, the Funds generally have the right to use the collateral to satisfy the terms of the repurchase transaction. However, if the market value of the collateral declines during the period in which the Funds seek to assert their rights or if bankruptcy proceedings are commenced with respect to the seller of the security, realization of the collateral by the Funds may be delayed or limited.

(c) Security Transactions. Security transactions are accounted for on a trade date basis.

2. Investments

At October 31, 2010, the aggregate gross unrealized appreciation and depreciation of investments for federal income tax purposes were substantially as follows:


	Gross unrealized appreciation		Gross unrealized depreciation		Net unrealized appreciation
Retirement 2015	$	457,719		—	$	457,719
Retirement 2020		568,884		—		568,884
Retirement 2025		575,181		—		575,181
Retirement 2030		541,195		—		541,195
Retirement 2035		425,247		—		425,247
Retirement 2040		431,897		—		431,897
Retirement 2045		323,806		—		323,806
Retirement 2050		243,248		—		243,248
Retirement Fund		306,583		—		306,583

3. Derivative Instruments and Hedging Activities

Financial Accounting Standards Board Codification Topic 815 requires enhanced disclosure about an entity’s derivative and hedging activities.

During the period ended October 31, 2010, the Funds did not invest directly in any derivative instruments.

ITEM 2.

CONTROLS AND PROCEDURES.

(a)

The registrant’s principal executive officer and principal financial officer have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a- 3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”)) are effective as of a date within 90 days of the filing date of this report that includes the disclosure required by this paragraph, based on their evaluation of the disclosure controls and procedures required by Rule 30a-3(b) under the 1940 Act and 15d-15(b) under the Securities Exchange Act of 1934.

(b)

There were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act) that occurred during the registrant’s last fiscal quarter that have materially affected, or are likely to materially affect the registrant’s internal control over financial reporting.

ITEM 3.

EXHIBITS.

Certifications pursuant to Rule 30a-2(a) under the Investment Company Act of 1940, as amended, are attached hereto.

SIGNATURES

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

Legg Mason Partners Equity Trust


By:		/S/ R. JAY GERKEN
		R. Jay Gerken
		Chief Executive Officer

Date: December 22, 2010

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/ R. JAY GERKEN
		R. Jay Gerken
		Chief Executive Officer

Date: December 22, 2010


By:		/S/ KAPREL OZSOLAK
		Kaprel Ozsolak
		Chief Financial Officer

Date: December 22, 2010