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, 2012

ITEM 1. SCHEDULE OF INVESTMENTS.

LEGG MASON PARTNERS EQUITY TRUST

LEGG MASON INVESTMENT COUNSEL SOCIAL AWARENESS FUND

FORM N-Q

OCTOBER 31, 2012

LEGG MASON INVESTMENT COUNSEL SOCIAL AWARENESS FUND

Schedule of Investments (unaudited) October 31, 2012

SECURITY	SHARES		VALUE
COMMON STOCKS - 67.7%
CONSUMER DISCRETIONARY - 8.1%
Hotels, Restaurants & Leisure - 2.5%
Yum! Brands Inc.		51,630	$	3,619,779
Multiline Retail - 1.7%
Target Corp.		37,150		2,368,313
Textiles, Apparel & Luxury Goods - 3.9%
Coach Inc.		49,450		2,771,672
V.F. Corp.		17,950		2,808,816
Total Textiles, Apparel & Luxury Goods				5,580,488
TOTAL CONSUMER DISCRETIONARY				11,568,580
CONSUMER STAPLES - 8.8%
Beverages - 2.0%
PepsiCo Inc.		40,640		2,813,914
Food Products - 2.9%
Darling International Inc.		76,850		1,270,331	*
General Mills Inc.		73,255		2,936,060
Total Food Products				4,206,391
Household Products - 1.4%
Procter & Gamble Co.		29,460		2,039,810
Personal Products - 2.5%
Estee Lauder Cos. Inc., Class A Shares		56,820		3,501,248
TOTAL CONSUMER STAPLES				12,561,363
ENERGY - 8.6%
Energy Equipment & Services - 4.9%
FMC Technologies Inc.		56,470		2,309,623	*
National-Oilwell Varco Inc.		37,980		2,799,126
Tetra Technology Inc.		71,800		1,862,492	*
Total Energy Equipment & Services				6,971,241
Oil, Gas & Consumable Fuels - 3.7%
Apache Corp.		39,100		3,235,525
Hess Corp.		41,000		2,142,660
Total Oil, Gas & Consumable Fuels				5,378,185
TOTAL ENERGY				12,349,426
FINANCIALS - 8.2%
Capital Markets - 2.0%
State Street Corp.		62,915		2,804,122
Commercial Banks - 2.2%
U.S. Bancorp		96,645		3,209,580
Consumer Finance - 2.0%
American Express Co.		51,020		2,855,589
Insurance - 2.0%
Arch Capital Group Ltd.		63,450		2,801,318	*
TOTAL FINANCIALS				11,670,609
HEALTH CARE - 8.9%
Biotechnology - 2.0%
Celgene Corp.		18,265		1,339,190	*
Gilead Sciences Inc.		22,440		1,507,070	*
Total Biotechnology				2,846,260
Health Care Equipment & Supplies - 1.4%
Covidien PLC		36,280		1,993,586

See Notes to Schedule of Investments.

1

LEGG MASON INVESTMENT COUNSEL SOCIAL AWARENESS FUND

Schedule of Investments (unaudited) (cont’d) October 31, 2012

SECURITY	SHARES		VALUE
Health Care Providers & Services - 3.6%
Express Scripts Holding Co.		43,740	$	2,691,760	*
UnitedHealth Group Inc.		43,740		2,449,440
Total Health Care Providers & Services				5,141,200
Health Care Technology - 1.9%
Cerner Corp.		34,910		2,659,793	*
TOTAL HEALTH CARE				12,640,839
INDUSTRIALS - 6.5%
Commercial Services & Supplies - 0.9%
Covanta Holding Corp.		73,730		1,340,412
Construction & Engineering - 1.5%
Quanta Services Inc.		84,130		2,181,491	*
Machinery - 2.7%
Danaher Corp.		52,140		2,697,202
Illinois Tool Works Inc.		17,760		1,089,221
Total Machinery				3,786,423
Road & Rail - 1.4%
Union Pacific Corp.		16,310		2,006,619
TOTAL INDUSTRIALS				9,314,945
INFORMATION TECHNOLOGY - 12.4%
Communications Equipment - 2.4%
Cisco Systems Inc.		87,540		1,500,435
QUALCOMM Inc.		34,250		2,006,194
Total Communications Equipment				3,506,629
Computers & Peripherals - 3.5%
Apple Inc.		6,000		3,570,600
NetApp Inc.		50,945		1,370,421	*
Total Computers & Peripherals				4,941,021
Electronic Equipment, Instruments & Components - 1.1%
Trimble Navigation Ltd.		32,000		1,509,760	*
Internet Software & Services - 2.7%
eBay Inc.		33,230		1,604,677	*
Google Inc., Class A Shares		3,370		2,290,825	*
Total Internet Software & Services				3,895,502
IT Services - 1.3%
Accenture PLC, Class A Shares		27,820		1,875,346
Semiconductors & Semiconductor Equipment - 1.4%
Broadcom Corp., Class A Shares		62,585		1,973,618	*
TOTAL INFORMATION TECHNOLOGY				17,701,876
MATERIALS - 2.4%
Chemicals - 2.4%
Air Products & Chemicals Inc.		19,254		1,492,762
Potash Corp. of Saskatchewan Inc.		49,045		1,979,947
TOTAL MATERIALS				3,472,709
TELECOMMUNICATION SERVICES - 1.6%
Wireless Telecommunication Services - 1.6%
Crown Castle International Corp.		34,770		2,320,897	*
UTILITIES - 2.2%
Electric Utilities - 0.7%
Northeast Utilities		27,390		1,076,427
Water Utilities - 1.5%
American Water Works Co. Inc.		57,710		2,120,265

See Notes to Schedule of Investments.

2

LEGG MASON INVESTMENT COUNSEL SOCIAL AWARENESS FUND

Schedule of Investments (unaudited) (cont’d) October 31, 2012

SECURITY	RATE			MATURITY DATE		FACE AMOUNT		VALUE
TOTAL UTILITIES								$	3,196,692
TOTAL COMMON STOCKS (Cost - $67,670,643)									96,797,936
ASSET-BACKED SECURITIES - 0.5%
Nelnet Student Loan Trust, 2008-2 A4 (Cost - $694,613)		2.069	%		6/26/34	$	665,000		696,247	(a)
COLLATERALIZED MORTGAGE OBLIGATIONS - 5.0%
Banc of America Commercial Mortgage Inc., 2005-1 A4		5.072	%		11/10/42		738,000		761,399	(a)
Commercial Mortgage Pass Through Certificates, 2007-C9 AAB		5.801	%		12/10/49		474,346		511,057	(a)
Federal Home Loan Bank (FHLB), 00-0606 Y		5.270	%		12/28/12		593,187		597,052
Federal Home Loan Mortgage Corp. (FHLMC), 2837 ED		5.000	%		8/15/19		41,747		43,208
Federal Home Loan Mortgage Corp. (FHLMC), 4003 WV		3.500	%		4/15/22		457,083		482,505
Federal Home Loan Mortgage Corp. (FHLMC), 4030 JA		3.500	%		12/15/41		1,179,087		1,188,535
Federal National Mortgage Association (FNMA), 2011-111 VA		4.000	%		1/25/23		393,978		415,390
Federal National Mortgage Association (FNMA), 2011-53 CY		4.000	%		6/25/41		346,213		374,162
Government National Mortgage Association (GNMA), 2009-22 AG		4.000	%		10/16/32		521,037		527,487
Government National Mortgage Association (GNMA), 2009-46 G		4.500	%		9/20/34		736,097		761,879
Government National Mortgage Association (GNMA), 2009-93 PB		3.000	%		12/16/38		694,270		717,112
Government National Mortgage Association (GNMA), 2010-43 QD, PAC		3.000	%		11/20/37		387,521		400,445
Government National Mortgage Association (GNMA), 2010-56 BA		4.500	%		2/20/36		292,403		306,592
LB-UBS Commercial Mortgage Trust, 2004-C4 A3		5.121	%		6/15/29		58,166		58,658	(a)
Morgan Stanley Dean Witter Capital I Inc., 2001-TOP3 A4		6.390	%		7/15/33		7,330		7,354
TOTAL COLLATERALIZED MORTGAGE OBLIGATIONS (Cost - $7,173,600)									7,152,835
CORPORATE BONDS & NOTES -15.1%
CONSUMER DISCRETIONARY - 0.5%
Media - 0.5%
Comcast Corp., Senior Notes		5.650	%		6/15/35		600,000		717,429
CONSUMER STAPLES - 0.7%
Beverages - 0.7%
Anheuser-Busch InBev Worldwide Inc., Senior Notes		2.500	%		3/26/13		235,000		236,892
PepsiCo Inc., Senior Notes		5.000	%		6/1/18		655,000		779,420
TOTAL CONSUMER STAPLES									1,016,312
ENERGY - 1.0%
Energy Equipment & Services - 0.1%
FMC Technologies Inc., Senior Notes		2.000	%		10/1/17		125,000		126,816
Oil, Gas & Consumable Fuels - 0.9%
Apache Corp., Senior Notes		5.250	%		4/15/13		250,000		255,378
ONEOK Partners LP, Senior Notes		2.000	%		10/1/17		150,000		153,246
Petrobras International Finance Co., Senior Notes		3.500	%		2/6/17		675,000		715,068

See Notes to Schedule of Investments.

3

LEGG MASON INVESTMENT COUNSEL SOCIAL AWARENESS FUND

Schedule of Investments (unaudited) (cont’d) October 31, 2012

SECURITY	RATE			MATURITY DATE		FACE AMOUNT		VALUE
Oil, Gas & Consumable Fuels - continued
Statoil ASA, Senior Notes		3.125	%		8/17/17	$	190,000	$	208,437
Total Oil, Gas & Consumable Fuels									1,332,129
TOTAL ENERGY									1,458,945
FINANCIALS - 8.2%
Capital Markets - 1.0%
BlackRock Inc., Senior Notes		3.500	%		12/10/14		415,000		440,671
BlackRock Inc., Senior Notes		4.250	%		5/24/21		400,000		456,873
Goldman Sachs Group Inc., Senior Notes		3.625	%		2/7/16		425,000		450,241
Total Capital Markets									1,347,785
Commercial Banks - 3.1%
Bank of Montreal, Senior Notes		1.400	%		9/11/17		225,000		227,219
Bank of Nova Scotia, Senior Notes		2.250	%		1/22/13		80,000		80,290
Bank of Nova Scotia, Senior Notes		2.375	%		12/17/13		295,000		301,518
Bank of Nova Scotia, Senior Notes		2.050	%		10/7/15		250,000		260,448
Barclays Bank PLC, Senior Notes		5.000	%		9/22/16		435,000		489,901
Rabobank Nederland NV, Notes		4.500	%		1/11/21		1,000,000		1,135,468
Rabobank Nederland NV, Senior Notes		2.125	%		10/13/15		450,000		464,823
SunTrust Banks Inc., Senior Notes		3.600	%		4/15/16		555,000		595,528
Wells Fargo & Co., Senior Notes		4.600	%		4/1/21		380,000		438,253
Westpac Banking Corp., Senior Notes		4.200	%		2/27/15		450,000		483,616
Total Commercial Banks									4,477,064
Consumer Finance - 1.2%
SLM Corp., Medium-Term Notes, Senior Notes		5.000	%		10/1/13		1,275,000		1,322,813
Toyota Motor Credit Corp., Senior Notes		2.000	%		9/15/16		400,000		415,111
Total Consumer Finance									1,737,924
Diversified Financial Services - 2.2%
Bank of America Corp., Senior Notes		5.625	%		10/14/16		1,000,000		1,141,216
JPMorgan Chase & Co., Senior Notes		3.450	%		3/1/16		550,000		585,729
National Rural Utilities Cooperative Finance Corp., Medium-Term Notes		8.000	%		3/1/32		540,000		832,719
NYSE Euronext, Senior Notes		2.000	%		10/5/17		400,000		407,724
Private Export Funding Corp.		4.974	%		8/15/13		190,000		197,138
Total Diversified Financial Services									3,164,526
Real Estate Investment Trusts (REITs) - 0.7%
Digital Realty Trust Inc., Senior Notes		5.250	%		3/15/21		125,000		141,595
Health Care REIT Inc., Senior Notes		3.625	%		3/15/16		400,000		424,506
Simon Property Group LP, Senior Notes		4.200	%		2/1/15		100,000		106,685
Simon Property Group LP, Senior Notes		4.125	%		12/1/21		250,000		281,334
Total Real Estate Investment Trusts (REITs)									954,120
TOTAL FINANCIALS									11,681,419
HEALTH CARE - 2.1%
Biotechnology - 0.3%
Gilead Sciences Inc., Senior Notes		3.050	%		12/1/16		375,000		403,419
Health Care Equipment & Supplies - 0.2%
Medtronic Inc., Senior Notes		3.000	%		3/15/15		175,000		184,514
Stryker Corp., Senior Notes		3.000	%		1/15/15		180,000		188,777
Total Health Care Equipment & Supplies									373,291
Health Care Providers & Services - 0.1%
UnitedHealth Group Inc., Senior Notes		1.400	%		10/15/17		125,000		125,956
Pharmaceuticals - 1.5%
Abbott Laboratories, Senior Notes		5.600	%		11/30/17		650,000		799,604
Merck & Co. Inc., Senior Notes		4.000	%		6/30/15		355,000		387,159
Novartis Capital Corp., Senior Notes		4.125	%		2/10/14		470,000		491,726

See Notes to Schedule of Investments.

4

LEGG MASON INVESTMENT COUNSEL SOCIAL AWARENESS FUND

Schedule of Investments (unaudited) (cont’d) October 31, 2012

SECURITY	RATE			MATURITY DATE		FACE AMOUNT		VALUE
Pharmaceuticals - continued
Wyeth, Notes		5.500	%		2/15/16	$	425,000	$	488,892
Total Pharmaceuticals									2,167,381
TOTAL HEALTH CARE									3,070,047
INDUSTRIALS - 0.7%
Road & Rail - 0.7%
Norfolk Southern Corp., Senior Notes		7.250	%		2/15/31		650,000		931,702
INFORMATION TECHNOLOGY - 1.0%
Internet Software & Services - 0.2%
eBay Inc., Senior Notes		1.625	%		10/15/15		340,000		350,206
Semiconductors & Semiconductor Equipment - 0.3%
Texas Instruments Inc., Senior Notes		1.650	%		8/3/19		400,000		402,268
Software - 0.5%
Microsoft Corp., Senior Notes		2.950	%		6/1/14		205,000		213,151
Microsoft Corp., Senior Notes		1.625	%		9/25/15		450,000		465,751
Total Software									678,902
TOTAL INFORMATION TECHNOLOGY									1,431,376
MATERIALS - 0.5%
Chemicals - 0.5%
Potash Corp. of Saskatchewan Inc., Senior Notes		5.875	%		12/1/36		600,000		777,346
TELECOMMUNICATION SERVICES - 0.4%
Diversified Telecommunication Services - 0.4%
Verizon Communications Inc., Senior Notes		6.350	%		4/1/19		400,000		517,178
TOTAL CORPORATE BONDS & NOTES (Cost - $19,550,241)									21,601,754
MORTGAGE-BACKED SECURITIES - 3.7%
FHLMC - 2.6%
Federal Home Loan Mortgage Corp. (FHLMC)		3.500	%		1/1/32		387,713		413,980
Federal Home Loan Mortgage Corp. (FHLMC)		6.000	%		9/1/37		218,393		240,692
Federal Home Loan Mortgage Corp. (FHLMC), Gold		5.000	%		3/1/19-7/1/35		1,236,214		1,338,625
Federal Home Loan Mortgage Corp. (FHLMC), Gold		4.500	%		6/1/21		321,074		344,614
Federal Home Loan Mortgage Corp. (FHLMC), Gold		6.000	%		2/1/22-2/1/36		699,875		771,809
Federal Home Loan Mortgage Corp. (FHLMC), Gold		6.500	%		1/1/37		266,935		303,448
Federal Home Loan Mortgage Corp. (FHLMC), Gold		5.500	%		2/1/37		289,080		314,630
Total FHLMC									3,727,798
FNMA - 0.6%
Federal National Mortgage Association (FNMA)		6.500	%		3/1/29		85		100
Federal National Mortgage Association (FNMA)		4.500	%		2/1/35		135,626		146,723
Federal National Mortgage Association (FNMA)		5.500	%		6/1/36-11/1/36		57,991		63,678
Federal National Mortgage Association (FNMA)		6.000	%		5/1/37-9/1/37		520,007		577,829
Total FNMA									788,330
GNMA - 0.5%
Government National Mortgage Association (GNMA) I		5.000	%		12/15/35		623,720		686,405
Government National Mortgage Association (GNMA) II		7.000	%		11/20/36		71,255		82,089
Total GNMA									768,494
TOTAL MORTGAGE-BACKED SECURITIES (Cost - $4,798,574)									5,284,622

See Notes to Schedule of Investments.

5

LEGG MASON INVESTMENT COUNSEL SOCIAL AWARENESS FUND

Schedule of Investments (unaudited) (cont’d) October 31, 2012

SECURITY	RATE			MATURITY DATE		FACE AMOUNT		VALUE
MUNICIPAL BONDS - 0.3%
Pennsylvania - 0.3%
County of Montgomery, PA, GO, Build America Bonds (Cost - $406,720)		5.400	%		10/1/30	$	400,000	$	459,312
U.S. GOVERNMENT & AGENCY OBLIGATIONS - 4.3%
U.S. Government Agencies - 1.4%
Federal Farm Credit Bank (FFCB), Bonds		2.070	%		9/27/21		500,000		502,552
Federal Home Loan Bank (FHLB), Bonds		2.500	%		7/5/22		500,000		502,493
Federal Home Loan Mortgage Corp. (FHLMC), Notes		1.250	%		10/2/19		445,000		444,497
Federal National Mortgage Association (FNMA), Bonds		6.625	%		11/15/30		303,000		466,427
Total U.S. Government Agencies									1,915,969
U.S. Government Obligations - 2.9%
U.S. Treasury Bonds		3.500	%		2/15/39		718,000		821,661
U.S. Treasury Bonds		4.375	%		11/15/39		204,000		268,674
U.S. Treasury Notes		2.250	%		11/30/17		984,000		1,058,569
U.S. Treasury Notes		2.625	%		8/15/20		1,839,000		2,021,464
Total U.S. Government Obligations									4,170,368
TOTAL U.S. GOVERNMENT & AGENCY OBLIGATIONS (Cost - $5,448,574)									6,086,337
TOTAL INVESTMENTS BEFORE SHORT-TERM INVESTMENTS (Cost - $105,742,965)									138,079,043
SHORT-TERM INVESTMENTS - 2.9%
Repurchase Agreements - 2.9%
Interest in $175,000,000 joint tri-party repurchase agreement dated 10/31/12 with RBS Securities Inc.; Proceeds at maturity - $4,185,027; (Fully collateralized by U.S. government agency obligations, 0.000% due 1/18/13; Market value - $4,268,717) (Cost - $4,185,000)		0.230	%		11/1/12		4,185,000		4,185,000
TOTAL INVESTMENTS - 99.5% (Cost - $109,927,965#)									142,264,043
Other Assets in Excess of Liabilities - 0.5%									706,376
TOTAL NET ASSETS - 100.0%								$	142,970,419

* Non-income producing security.

(a) Variable rate security. Interest rate disclosed is as of the most recent information available.

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

Abbreviations used in this schedule:

PAC	— Planned Amortization Class
REIT	— Real Estate Investment Trust

See Notes to Schedule of Investments.

6

Notes to Schedule of Investments (unaudited)

1. Organization and significant accounting policies

Legg Mason Investment Counsel Social Awareness Fund (the “Fund”) is a 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 following are significant accounting policies consistently followed by the Fund and are in conformity with U.S. generally accepted accounting principles (“GAAP”).

(a) Investment 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. The valuations for fixed income securities (which may include, but are not limited to, corporate, government, municipal, mortgage-backed, collateralized mortgage obligations and asset-backed securities) and certain derivative instruments are typically the prices supplied by independent third party pricing services, which may use market prices or broker/dealer quotations or a variety of valuation techniques and methodologies. The independent third party pricing services use inputs that are observable such as issuer details, interest rates, yield curves, prepayment speeds, credit risks/spreads, default rates and quoted prices for similar securities. Short-term fixed income securities that will mature in 60 days or less are valued at amortized cost, unless it is determined that using this method would not reflect an investment’s fair value. If independent third party pricing services are unable to supply prices for a portfolio investment, or if the prices supplied are deemed by the manager to be unreliable, the market price may be determined by the manager using quotations from one or more broker/dealers or at the transaction price if the security has recently been purchased and no value has yet been obtained from a pricing service or pricing broker. When reliable prices are not readily available, 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 Fund calculates its net asset value, the Fund values these securities as determined in accordance with procedures approved by the Fund’s Board of Trustees.

The Board of Trustees is responsible for the valuation process and has delegated the supervision of the daily valuation process to the Legg Mason North American Fund Valuation Committee (the “Valuation Committee”). The Valuation Committee, pursuant to the policies adopted by the Board of Trustees, is responsible for making fair value determinations, evaluating the effectiveness of the Fund’s pricing policies, and reporting to the Board of Trustees. When determining the reliability of third party pricing information for investments owned by the Fund, the Valuation Committee, among other things, conducts due diligence reviews of pricing vendors, monitors the daily change in prices and reviews transactions among market participants.

The Valuation Committee will consider pricing methodologies it deems relevant and appropriate when making fair value determinations. Examples of possible methodologies include, but are not limited to, multiple of earnings; discount from market of a similar freely traded security; discounted cash-flow analysis; book value or a multiple thereof; risk premium/yield analysis; yield to maturity; and/or fundamental investment analysis. The Valuation Committee will also consider factors it deems relevant and appropriate in light of the facts and circumstances. Examples of possible factors include, but are not limited to, the type of security; the issuer’s financial statements; the purchase price of the security; the discount from market value of unrestricted securities of the same class at the time of purchase; analysts’ research and observations from financial institutions; information regarding any transactions or offers with respect to the security; the existence of merger proposals or tender offers affecting the security; the price and extent of public trading in similar securities of the issuer or comparable companies; and the existence of a shelf registration for restricted securities.

For each portfolio security that has been fair valued pursuant to the policies adopted by the Board of Trustees, the fair value price is compared against the last available and next available market quotations. The Valuation Committee reviews the results of such back testing monthly and fair valuation occurrences are reported to the Board of Trustees quarterly.

The Fund uses 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.

GAAP establishes a disclosure hierarchy that categorizes the inputs to valuation techniques used to value assets and liabilities at measurement date. These inputs are summarized in the three broad levels listed below:

7

Notes to Schedule of Investments (unaudited) (continued)

• 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 Fund’s own assumptions in determining the fair value of investments)

The inputs or methodologies used to value securities are not necessarily an indication of the risk associated with investing in those securities.

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

ASSETS
DESCRIPTION	QUOTED PRICES (LEVEL 1)		OTHER SIGNIFICANT OBSERVABLE INPUTS (LEVEL 2)		SIGNIFICANT UNOBSERVABLE INPUTS (LEVEL 3)		TOTAL
Long-term investments†:
Common stocks	$	96,797,936		—		—	$	96,797,936
Asset-backed securities		—	$	696,247		—		696,247
Collateralized mortgage obligations		—		7,152,835		—		7,152,835
Corporate bonds & notes		—		21,601,754		—		21,601,754
Mortgage-backed securities		—		5,284,622		—		5,284,622
Municipal bonds		—		459,312		—		459,312
U.S. government & agency obligations		—		6,086,337		—		6,086,337
Total long-term investments	$	96,797,936	$	41,281,107	$	—	$	138,079,043
Short-term investments†		—		4,185,000		—		4,185,000
Total investments	$	96,797,936	$	45,466,107	$	—	$	142,264,043
†       See Schedule of Investments for additional detailed categorizations.

(b) Repurchase agreements. The Fund may enter into repurchase agreements with institutions that its investment adviser has determined are creditworthy. Each repurchase agreement is recorded at cost. Under the terms of a typical repurchase agreement, the Fund acquires a debt security subject to an obligation of the seller to repurchase, and of the Fund to resell, the security at an agreed-upon price and time, thereby determining the yield during the Fund’s holding period. When entering into repurchase agreements, it is the Fund’s policy that its custodian or a third party custodian, acting on the Fund’s 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 Fund generally has 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 Fund seeks to assert its rights or if bankruptcy proceedings are commenced with respect to the seller of the security, realization of the collateral by the Fund may be delayed or limited.

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

2. Investments

At October 31, 2012, the aggregate gross unrealized appreciation and depreciation of investments for federal income tax purposes were substantially as follows:

Gross unrealized appreciation	$	32,860,708
Gross unrealized depreciation		(524,630	)
Net unrealized appreciation	$	32,336,078

8

Notes to Schedule of Investments (unaudited) (continued)

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, 2012, the Fund did not invest in any derivative instruments.

9

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

Date: December 21, 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/    R. JAY GERKEN
	R. Jay Gerken

Date: December 21, 2012

By	/s/    RICHARD F. SENNETT
	Richard F. Sennett
	Principal Financial Officer

Date: December 21, 2012