-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, EeavNpdBspxOKylaJeRNbhWllG55mf7I2noxOI116JjVcBor1ncP117Sa/KDP4vG B23PuggI/m640mQ9Lv8s4Q== 0000898432-08-000328.txt : 20080401 0000898432-08-000328.hdr.sgml : 20080401 20080331201535 ACCESSION NUMBER: 0000898432-08-000328 CONFORMED SUBMISSION TYPE: N-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20080131 FILED AS OF DATE: 20080401 DATE AS OF CHANGE: 20080331 EFFECTIVENESS DATE: 20080401 FILER: COMPANY DATA: COMPANY CONFORMED NAME: HERITAGE SERIES TRUST CENTRAL INDEX KEY: 0000897111 IRS NUMBER: 000000000 STATE OF INCORPORATION: MA FISCAL YEAR END: 1031 FILING VALUES: FORM TYPE: N-Q SEC ACT: 1940 Act SEC FILE NUMBER: 811-07470 FILM NUMBER: 08727007 BUSINESS ADDRESS: STREET 1: 880 CARILLON PARKWAY CITY: ST PETERSBURG STATE: FL ZIP: 33716 BUSINESS PHONE: 727-567-8143 MAIL ADDRESS: STREET 1: 880 CARILLON PARKWAY CITY: ST. PETERSBURG STATE: FL ZIP: 33716 0000897111 S000008481 Diversified Growth Fund C000023254 Class A HAGAX C000023256 Class C HAGCX C000023257 Class I HAGIX C000023258 Class R3 HAREX C000023259 Class R5 HARSX 0000897111 S000008482 Small Cap Stock Fund C000023260 Class A HRSCX C000023262 Class C HSCCX C000023263 Class I HSIIX C000023264 Class R3 HSRRX C000023265 Class R5 HSRSX 0000897111 S000008483 Mid Cap Stock Fund C000023267 Class A HMCAX C000023269 Class C HMCCX C000023270 Class I HMCJX C000023271 Class R3 HMRRX C000023272 Class R5 HMRSX 0000897111 S000008485 Core Equity Fund C000023274 Class A HTCAX C000023275 Class C HTCCX C000023276 Class I HTCIX C000023277 Class R3 HTCRX C000023278 Class R5 HTCSX 0000897111 S000008486 International Equity Fund C000023279 Class A HEIAX C000023281 Class C HEICX N-Q 1 formnq.htm

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: 811-07470

HERITAGE SERIES TRUST

(Exact name of Registrant as Specified in Charter)

880 Carillon Parkway

St. Petersburg, FL 33716

(Address of Principal Executive Office) (Zip Code)

Registrant’s Telephone Number, including Area Code: (727) 567-8143

STEPHEN G. HILL, PRESIDENT

880 Carillon Parkway

St. Petersburg, FL 33716

(Name and Address of Agent for Service)

Copy to:

FRANCINE J. ROSENBERGER, ESQ.

Kirkpatrick & Lockhart Preston Gates Ellis LLP

1601 K Street, NW

Washington, D.C.  20006

Date of fiscal year end: October 31

Date of reporting period: January 31, 2008




Item 1. Schedule of Investments




Heritage Series Trust - Diversified Growth Fund

Investment Portfolio

January 31, 2008

(unaudited)


 

 

 

 

 

 

 

%of net

 

Shares

Value

assets

Common stocks  - 99.3%

 

 

 

Aerospace/Defense - 2.6%

 

 

 

L-3 Communications Holdings, Inc.

40,575

$    4,496,927

2.6%

Biotechnology - 2.6%

 

 

 

Celgene Corporation*

79,570

4,464,673

2.6%

Building materials - 1.0%

 

 

 

Texas Industries Inc.

30,100

1,705,767

1.0%

Chemicals - 2.7%

 

 

 

CF Industries Holdings Inc.

42,345

4,527,951

2.7%

Coal - 1.2%

 

 

 

Massey Energy Company

53,510

1,989,502

1.2%

Commercial services - 8.3%

 

 

 

Corrections Corporation of America*

102,205

2,712,521

1.6%

Monster Worldwide, Inc.*

122,350

3,407,448

2.0%

Quanta Services, Inc.*

150,195

3,292,274

1.9%

Ritchie Brothers Auctioneers Inc.

57,805

4,756,195

2.8%

Computers - 4.1%

 

 

 

Cognizant Technology Solutions Corporation, Class A*

95,075

2,652,592

1.6%

FactSet Research Systems Inc.

49,235

2,753,714

1.6%

Teradata Corporation*

65,315

1,555,803

0.9%

Distribution/Wholesale - 0.6%

 

 

 

LKQ Corporation*

55,300

989,317

0.6%

Diversified manufacturer - 1.6%

 

 

 

Danaher Corporation

36,835

2,742,366

1.6%

Electrical components & equipment - 2.6%

 

 

 

General Cable Corporation*

74,675

4,331,897

2.6%

Electronics - 7.4%

 

 

 

Dolby Laboratories Inc., Class A*

124,020

5,344,022

3.1%

Thermo Fisher Scientific Inc.*

73,210

3,769,583

2.2%

Woodward Governor Company

55,600

3,490,568

2.1%

Entertainment - 2.9%

 

 

 

International Game Technology

116,390

4,966,361

2.9%

Environmental control - 2.1%

 

 

 

Republic Services, Inc.

117,222

3,516,660

2.1%

Financial services - 6.6%

 

 

 

Ameriprise Financial, Inc.

38,960

2,154,878

1.3%

IntercontinentalExchange, Inc.*

16,055

2,247,058

1.3%

T. Rowe Price Group, Inc.

58,970

2,983,292

1.8%

TD Ameritrade Holding Corporation*

198,820

3,729,863

2.2%

Healthcare products - 9.0%

 

 

 

Hologic Inc.*

61,470

3,956,209

2.3%

Intuitive Surgical, Inc.*

18,695

4,748,530

2.8%

Mentor Corporation

56,965

1,972,128

1.2%

Patterson Companies, Inc.*

101,670

3,257,507

1.9%

The Cooper Companies, Inc.

36,300

1,429,494

0.8%

Iron/Steel - 1.1%

 

 

 

Carpenter Technology Corporation

29,285

1,805,127

1.1%









Heritage Series Trust - Diversified Growth Fund

Investment Portfolio

January 31, 2008

(unaudited)


 

 

 

 

 

 

 

%of net

 

Shares

Value

assets

Lodging - 1.7%

 

 

 

Starwood Hotels & Resorts Worldwide, Inc.

62,075

2,808,894

1.7%

Machinery - 1.9%

 

 

 

Bucyrus International Inc., Class A

34,655

3,212,865

1.9%

Miscellaneous manufacturer - 2.2%

 

 

 

Hexcel Corporation*

173,540

3,788,378

2.2%

Oil & gas - 2.9%

 

 

 

Denbury Resources Inc.*

96,980

2,453,594

1.4%

Southwestern Energy Company*

44,010

2,460,599

1.5%

Oil & gas services - 3.5%

 

 

 

Acergy SA, Sponsored ADR

191,375

3,484,939

2.1%

Oceaneering International Inc.*

40,685

2,342,642

1.4%

Pharmaceuticals - 6.3%

 

 

 

Allergan, Inc.

41,745

2,804,847

1.7%

Express Scripts Inc.*

40,550

2,736,720

1.6%

Herbalife Ltd

44,235

1,755,245

1.0%

Medco Health Solutions, Inc.*

67,270

3,368,882

2.0%

Pipelines - 2.1%

 

 

 

Williams Companies, Inc.

110,755

3,540,837

2.1%

Retail - 2.8%

 

 

 

Cash America International, Inc.

86,750

2,820,242

1.7%

Urban Outfitters Inc.*

62,960

1,825,840

1.1%

Semiconductors - 2.2%

 

 

 

MEMC Electronic Materials, Inc.*

52,445

3,747,720

2.2%

Software - 8.1%

 

 

 

Adobe Systems Inc.*

92,875

3,244,124

1.9%

ANSYS, Inc.*

94,345

3,293,584

1.9%

Eclipsys Corporation*

75,560

1,944,914

1.1%

Electronic Arts Inc.*

32,645

1,546,394

0.9%

Novell, Inc.*

619,020

3,936,967

2.3%

Telecommunications - 3.1%

 

 

 

Amdocs Ltd*

114,285

3,781,691

2.2%

Windstream Corporation

137,705

1,598,755

0.9%

Television, cable & radio - 1.6%

 

 

 

Central European Media Enterprises Ltd, Class A*

28,700

2,720,473

1.6%

Toys/Games/Hobbies - 1.9%

 

 

 

Nintendo Co. Ltd., Sponsored ADR

53,505

3,303,934

1.9%

Transportation - 2.6%

 

 

 

Landstar System, Inc.

88,880

4,446,665

2.6%

Total common stocks (cost $144,101,343)

 

168,719,972

99.3%



Heritage Series Trust - Diversified Growth Fund

Investment Portfolio

January 31, 2008

(unaudited)


 

 

 

 

 

 

 

%of net

 

Shares

Value

assets

 

 

 

 

Repurchase agreement - 1.8%

 

 

 

Repurchase agreement with Fixed Income

 

 

 

Clearing Corporation, dated January 31, 2008 @

 

 

 

1.63% to be repurchased at $3,034,137 on

 

 

 

February 1, 2008, collateralized by

 

 

 

$2,880,000 United States Treasury Bonds,

 

 

 

4.25% due August 15, 2014 (market value

 

 

 

$3,120,711 including interest) (cost $3,034,000)

 

3,034,000

1.8%

 

 

 

 

Total investment portfolio (cost $147,135,343)

 

171,753,972

101.1%

Other assets and liabilities, net,

 

(1,883,706)

-1.1%

Net assets

 

$   169,870,266

100.0%

 

 

 

 

* Non-income producing security.

 

 

 

 

 

 

 

ADR - American depository receipt

 

 

 

 

 

 

 




Heritage Series Trust - Small Cap Stock Fund

Investment Portfolio

January 31, 2008

(unaudited)



 

Shares

Value

% of net assets

Common stocks - 94.1%

 

 

 

Advertising - 0.4%

 

 

 

Greenfield Online, Inc.*

117,505

$    1,511,114

0.4%

Apparel - 1.0%

 

 

 

Volcom, Inc.*

181,870

3,670,137

1.0%

Auto parts & equipment - 1.3%

 

 

 

Cooper Tire & Rubber Company

98,707

1,684,928

0.5%

Titan International, Inc.

102,575

2,922,362

0.8%

Banks - 2.4%

 

 

 

Boston Private Financial Holdings, Inc.

38,525

879,526

0.2%

Cadence Financial Corporation

96,566

1,460,078

0.4%

Cardinal Financial Corporation

221,600

1,845,928

0.5%

Signature Bank*

59,881

2,006,612

0.5%

Southwest Bancorp, Inc.

81,179

1,427,939

0.4%

Sterling Bancshares, Inc.

81,890

821,357

0.2%

Texas Capital Bancshares, Inc.*

52,610

916,992

0.2%

Biotechnology - 1.1%

 

 

 

Charles River Laboratories International, Inc.*

40,200

2,496,420

0.7%

Myriad Genetics, Inc.*

38,065

1,637,176

0.4%

Building materials - 2.1%

 

 

 

Goodman Global, Inc.*

27,146

681,636

0.2%

Lennox International Inc.

100,185

3,722,875

1.0%

Texas Industries Inc.

56,385

3,195,338

0.9%

Chemicals - 2.6%

 

 

 

Quaker Chemical Corporation

63,165

1,263,300

0.3%

Terra Industries Inc.*

120,815

5,445,132

1.5%

Zoltek Companies Inc.*

77,525

2,829,662

0.8%

Commercial services - 7.6%

 

 

 

American Public Education Inc.*

18,020

710,168

0.2%

Chemed Corporation

54,300

2,781,789

0.8%

Corrections Corporation of America*

71,674

1,902,228

0.5%

Cross Country Healthcare, Inc.*

199,866

2,524,308

0.7%

Gartner, Inc.*

105,350

1,564,448

0.4%

Global Cash Access Holdings, Inc.*

245,285

1,471,710

0.4%

Interactive Data Corporation

100,468

2,908,549

0.8%

K12 Inc.*

22,750

523,250

0.1%

LECG Corporation*

226,710

1,924,768

0.5%

Net 1 UEPS Technologies, Inc.*

87,500

2,509,500

0.7%

On Assignment, Inc.*

473,590

2,633,160

0.7%

The GEO Group, Inc.*

130,690

3,126,105

0.8%

The Providence Service Corporation*

121,750

3,595,278

1.0%

Computers - 2.4%

 

 

 

Compellent Technologies, Inc.*

180,245

1,631,217

0.4%

Electronics for Imaging, Inc.*

96,750

1,428,030

0.4%

FactSet Research Systems Inc.

41,232

2,306,106

0.6%

Mercury Computer Systems, Inc.*

118,650

984,795

0.3%

Netezza Corporation*

98,755

967,799

0.3%

SMART Modular Technologies (WWH), Inc.*

174,775

1,441,894

0.4%








Heritage Series Trust - Small Cap Stock Fund

Investment Portfolio

January 31, 2008

(unaudited)


 

Shares

Value

% of net assets

Cosmetics/personal care - 0.3%

 

 

 

Physicians Formula Holdings, Inc.*

103,982

985,749

0.3%

Distribution/wholesale - 0.3%

 

 

 

MWI Veterinary Supply, Inc.*

33,305

1,273,250

0.3%

Diversified manufacturer - 1.2%

 

 

 

Ameron International Corporation

50,715

4,556,743

1.2%

Electrical components & equipment - 1.9%

 

 

 

Advanced Energy Industries, Inc.*

120,735

 1,305,145

0.4%

Belden, Inc.

67,630

 2,860,749

0.8%

General Cable Corporation*

44,930

 2,606,389

0.7%

Electronics - 4.8%

 

 

 

Benchmark Electronics, Inc.*

84,500

1,499,875

0.4%

Coherent, Inc.*

170,745

4,439,370

1.2%

Dolby Laboratories Inc., Class A*

78,945

3,401,740

0.9%

Eagle Test Systems, Inc.*

116,120

1,380,667

0.4%

OYO Geospace Corporation*

95,023

5,021,015

1.4%

Sonic Solutions, Inc.*

215,611

1,931,875

0.5%

Engineering & construction - 2.3%

 

 

 

Dycom Industries, Inc.*

118,250

2,793,065

0.8%

KHD Humboldt Wedag International Ltd*

63,456

1,744,405

0.5%

URS Corporation*

80,775

3,546,022

1.0%

Entertainment - 0.5%

 

 

 

Lions Gate Entertainment Corporation*

195,375

1,854,109

0.5%

Environmental control - 0.9%

 

 

 

Casella Waste Systems Inc., Class A*

111,670

1,354,557

0.4%

Waste Connections, Inc.*

59,573

1,737,149

0.5%

Financial services - 3.3%

 

 

 

Advanta Corporation, Class A

49,350

440,202

0.1%

Compass Diversified Holdings

176,247

2,548,532

0.7%

FCStone Group, Inc.*

122,873

5,449,418

1.5%

Greenhill & Co., Inc.

16,795

1,134,166

0.3%

Investment Technology Group Inc.*

54,530

2,561,274

0.7%

Gas - 0.7%

 

 

 

AGL Resources, Inc.

72,775

2,754,534

0.7%

Healthcare products - 6.2%

 

 

 

American Medical Systems Holdings, Inc.*

269,740

3,854,585

1.0%

Cutera, Inc.*

140,995

1,761,028

0.5%

Hansen Medical Inc.*

50,995

911,791

0.2%

Mentor Corporation

53,250

1,843,515

0.5%

Merit Medical Systems, Inc.*

280,427

4,509,266

1.2%

Respironics, Inc.*

59,780

3,916,188

1.1%

SurModics, Inc.*

55,915

2,441,249

0.7%

Thoratec Corporation*

170,700

2,731,200

0.7%

Vital Images, Inc.*

70,670

1,108,812

0.3%

Healthcare services - 4.7%

 

 

 

AMERIGROUP Corporation*

51,500

1,932,280

0.5%

Amsurg Corporation*

120,365

3,100,602

0.8%

Centene Corporation*

195,290

4,675,243

1.3%

Icon PLC, Sponsored ADR*

63,801

3,999,047

1.1%

Pediatrix Medical Group, Inc.*

53,479

3,641,385

1.0%









Heritage Series Trust - Small Cap Stock Fund

Investment Portfolio

January 31, 2008

(unaudited)


 

Shares

Value

% of net assets

Home furnishings - 1.1%

 

 

 

Universal Electronics, Inc.*

168,415

4,009,961

1.1%

Household products - 0.5%

 

 

 

Jarden Corporation*

74,440

1,863,978

0.5%

Insurance - 3.3%

 

 

 

American Equity Investment Life Holding Company

315,850

2,612,080

0.7%

American Safety Insurance Holdings Ltd*

52,655

1,000,445

0.3%

Assured Guaranty Ltd

97,363

2,303,609

0.6%

First Mercury Financial Corporation*

69,150

1,321,456

0.4%

IPC Holdings Ltd

89,335

2,298,590

0.6%

Platinum Underwriters Holdings, Ltd

50,600

1,707,750

0.5%

RAM Holdings, Ltd*

354,645

624,175

0.2%

Internet - 3.7%

 

 

 

1-800-FLOWERS.COM Inc., Class A*

403,000

3,147,430

0.9%

CNET Networks, Inc.*

316,785

2,499,434

0.7%

Giant Interactive Group Inc., Sponsored ADR*

110,420

1,094,262

0.3%

Internet Capital Group, Inc.*

126,075

1,193,930

0.3%

SonicWALL, Inc.*

305,122

2,678,971

0.7%

TIBCO Software, Inc.*

314,455

2,339,545

0.6%

U.S. Auto Parts Network, Inc.*

98,595

588,612

0.2%

Leisure time - 0.7%

 

 

 

WMS Industries, Inc.*

66,795

2,498,133

0.7%

Machinery - 2.1%

 

 

 

Altra Holdings, Inc.*

87,830

1,186,583

0.3%

Bucyrus International Inc., Class A

55,632

5,157,643

1.4%

Wabtec Corporation

47,400

1,630,086

0.4%

Machinery-diversified - 0.5%

 

 

 

Flowserve Corporation

20,600

1,691,672

0.5%

Metal fabricate/hardware - 1.9%

 

 

 

CIRCOR International Inc.

30,945

1,312,996

0.4%

Kaydon Corporation

79,000

3,451,510

0.9%

Northwest Pipe Company*

33,725

1,397,564

0.4%

RBC Bearings Inc.*

28,135

842,362

0.2%

MINING - 0.5%

 

 

 

Iamgold Corporation

248,309

1,974,057

0.5%

Miscellaneous manufacturer - 0.9%

 

 

 

Polypore International, Inc.*

182,105

3,381,690

0.9%

Multimedia - 0.5%

 

 

 

Entravision Communications Corporation, Class A*

257,510

1,812,870

0.5%

Oil & gas - 2.0%

 

 

 

Comstock Resources, Inc.*

103,000

3,265,100

0.9%

Grey Wolf, Inc.*

235,500

1,403,580

0.4%

Petroleum Development Corporation*

22,060

1,268,450

0.3%

Rosetta Resources, Inc.*

91,600

1,605,748

0.4%

Oil & gas services - 3.2%

 

 

 

Core Laboratories NV*

12,570

1,416,639

0.4%

Dresser-Rand Group, Inc.*

82,200

2,605,740

0.7%

Lufkin Industries, Inc.

87,130

4,606,563

1.2%

Oceaneering International Inc.*

60,650

3,492,227

0.9%









Heritage Series Trust - Small Cap Stock Fund

Investment Portfolio

January 31, 2008

(unaudited)


 

Shares

Value

% of net assets

Pharmaceuticals - 1.8%

 

 

 

Animal Health International, Inc.*

135,355

1,624,260

0.4%

Cubist Pharmaceuticals, Inc.*

152,705

2,594,458

0.7%

Herbalife Ltd

64,970

2,578,010

0.7%

Printing & publishing - 1.0%

 

 

 

John Wiley & Sons Inc., Class A

94,075

3,708,436

1.0%

REITS - 3.0%

 

 

 

Annaly Capital Management, Inc.

63,930

1,260,700

0.3%

Chimera Investment Corporation

117,225

2,244,859

0.6%

Deerfield Capital Corporation

305,232

2,438,804

0.7%

Kite Realty Group Trust

113,328

1,491,396

0.4%

MFA Mortgage Investments, Inc.

347,460

3,544,092

1.0%

Retail - 6.4%

 

 

 

AFC Enterprises, Inc.*

130,400

1,208,808

0.3%

BJ's Restaurants, Inc.*

104,480

1,803,325

0.5%

Cash America International, Inc.

194,165

6,312,304

1.7%

FGX International Holdings Ltd*

130,874

1,321,827

0.4%

Insight Enterprises, Inc.*

88,400

1,526,668

0.4%

Nu Skin Enterprises Inc., Class A

141,425

2,323,613

0.6%

Red Robin Gourmet Burgers, Inc.*

27,510

959,549

0.3%

School Specialty, Inc.*

128,979

4,186,658

1.1%

Stage Stores, Inc.

93,150

1,115,006

0.3%

The Cheesecake Factory Inc.*

131,370

2,870,434

0.8%

Savings & loans - 0.4%

 

 

 

Provident Financial Services, Inc.

100,950

1,388,062

0.4%

Semiconductors - 0.5%

 

 

 

Microsemi Corporation*

82,000

1,863,040

0.5%

Software - 8.5%

 

 

 

ACI Worldwide, Inc.*

88,527

1,319,052

0.4%

ANSYS, Inc.*

112,170

3,915,855

1.1%

Aspen Technology, Inc.*

302,225

4,246,261

1.2%

Avid Technology, Inc.*

105,800

2,742,336

0.7%

Bottomline Technologies, Inc.*

153,200

1,985,472

0.5%

Eclipsys Corporation*

289,745

7,458,036

2.0%

Interactive Intelligence Inc.*

88,090

1,442,914

0.4%

Quality Systems, Inc.

78,630

2,389,566

0.7%

SPSS, Inc.*

64,750

2,139,988

0.6%

Sybase, Inc.*

82,850

2,338,027

0.6%

The9 Ltd., Sponsored ADR*

56,070

1,017,670

0.3%

Telecommunications - 2.5%

 

 

 

CommScope, Inc.*

58,250

2,583,388

0.7%

EMS Technologies, Inc.*

107,030

2,941,184

0.8%

Ixia*

144,960

1,072,704

0.3%

Switch & Data Facilities Company, Inc.*

105,227

1,157,497

0.3%

Symmetricom, Inc.*

310,300

1,356,011

0.4%

Transportation - 1.1%

 

 

 

Genesee & Wyoming Inc., Class A*

58,950

1,609,924

0.4%

Quintana Maritime Ltd

111,900

2,734,836

0.7%

Ultrapetrol Bahamas Ltd*

5,915

94,936

0.0%

Total common stocks (cost $326,264,047)

 

347,155,212

94.1%










Heritage Series Trust - Small Cap Stock Fund

Investment Portfolio

January 31, 2008

(unaudited)


 

Shares

Value

% of net assets

Investment companies - 1.8%

 

 

 

Apollo Investment Corporation

177,290

2,691,262

0.7%

iShares Russell 2000 Index Fund

27,960

1,981,805

0.5%

PennantPark Investment Corporation

187,496

2,113,078

0.6%

Total investment companies (cost $8,990,703)

 

6,786,145

1.8%

 

 

 

 

Total investment portfolio excluding

 

 

 

repurchase agreement (cost $335,254,750)

 

353,941,357

95.9%

 

 

 

 

Repurchase agreement - 3.8%

 

 

 

Repurchase agreement with Fixed Income

 

 

 

Clearing Corporation, dated January 31, 2008 @

 

 

 

1.63% to be repurchased at $14,178,642 on

 

 

 

February 1, 2008, collateralized by

 

 

 

$13,445,000 United States Treasury Bonds,

 

 

 

4.25% due August 15, 2014 (market value

 

 

 

$14,568,735 including interest) (cost $14,178,000)

 

14,178,000

3.8%

 

 

 

 

Total investment portfolio (cost $349,432,750)

 

368,119,357

99.7%

Other assets and liabilities, net,

 

990,563

0.3%

Net assets

 

$    369,109,920

100.0%

 

 

 

 

*Non-income producing security.

 

 

 

 

 

 

 

ADR - American depository receipt

 

 

 

REIT - Real estate investment trust

 

 

 

 

 

 

 

Heritage Series Trust - Mid Cap Stock Fund

Investment Portfolio

January 31, 2008

(unaudited)

 

 

 

 

 

 

 

 

 

 

 

% of net

 

Shares

Value

assets

Common stocks - 97.8%

 

 

 

Aerospace/Defense - 1.7%

 

 

 

Alliant Techsystems Inc.*

$259,730

$27,492,420

1.7%

Biotechnology - 1.8%

 

 

 

Celgene Corporation*

499,485

28,026,103

1.8%

Broadcasting services/programs - 4.0%

 

 

 

Liberty Global Inc., Class C*

1,265,359

47,071,355

3.0%

Liberty Media Corporation, Class A*

146,515

15,767,944

1.0%

Chemicals - 3.5%

 

 

 

Albemarle Corporation

745,895

27,046,153

1.7%

Celanese Corporation, Class A

386,266

14,361,370

0.9%

Hercules Inc.

785,855

13,776,038

0.9%

Commercial services - 2.1%

 

 

 

Pharmaceutical Product Development, Inc.

439,544

19,058,628

1.2%

Service Corporation International

1,258,697

15,142,125

0.9%

Computers - 5.7%

 

 

 

Cognizant Technology Solutions Corporation, Class A*

745,895

20,810,470

1.3%

DST Systems, Inc.*

219,773

15,713,770

1.0%

Logitech International SA*

665,977

20,192,423

1.3%

Teradata Corporation*

1,371,915

32,679,015

2.1%

Cosmetics/Personal care - 0.8%

 

 

 

Alberto-Culver Company

462,035

12,377,918

0.8%

Diversified manufacturer - 4.4%

 

 

 

Danaher Corporation

470,408

35,021,876

2.2%

Dover Corporation

279,710

11,289,096

0.7%

Roper Industries Inc.

424,955

23,763,484

1.5%

Electric - 1.6%

 

 

 

NRG Energy, Inc.*

646,000

24,929,140

1.6%

Electrical components & equipment - 2.0%

 

 

 

AMETEK, Inc.

732,574

32,262,559

2.0%

Electronics - 1.9%

 

 

 

Amphenol Corporation, Class A

748,042

29,876,797

1.9%

Environmental control - 2.6%

 

 

 

Republic Services, Inc.

1,354,597

40,637,910

2.6%

Financial services - 4.8%

 

 

 

AllianceBernstein Holding LP

225,100

14,944,389

0.9%

IntercontinentalExchange, Inc.*

112,075

15,686,017

1.0%

Invesco Ltd

899,070

24,472,685

1.5%

TSX Group Inc.

485,105

22,224,819

1.4%

Food - 5.2%

 

 

 

Campbell Soup Company

1,132,160

35,787,578

2.2%

Dean Foods Company

1,044,950

29,258,600

1.8%

Hormel Foods Corporation

479,505

18,576,024

1.2%

Forest products & paper - 2.1%

 

 

 

Plum Creek Timber Company, Inc.

819,155

34,199,721

2.1%

Healthcare products - 4.9%

 

 

 

Dentsply International Inc.

346,310

14,306,066

0.9%

Gen-Probe Inc.*

386,265

22,075,045

1.4%

Hologic Inc.*

239,750

15,430,310

1.0%

Steris Corporation

1,005,320

24,911,830

1.6%

Healthcare services - 3.4%

 

 

 

Laboratory Corporation of America Holdings*

732,577

54,122,789

3.4%

Household products - 1.0%

 

 

 

Fortune Brands, Inc.

229,245

16,028,810

1.0%

Insurance - 8.5%

 

 

 

Aon Corporation

872,430

37,968,154

2.4%

Arch Capital Group Ltd*

463,522

32,659,760

2.1%

HCC Insurance Holdings, Inc.

592,720

16,513,179

1.0%

Reinsurance Group of America, Inc.

301,020

17,450,129

1.1%

Unum Group

1,358,595

30,731,419

1.9%

Machinery - 1.8%

 

 

 

Cummins, Inc.

266,390

12,861,309

0.8%

IDEX Corporation

486,165

15,182,933

1.0%

Oil & gas services - 2.6%

 

 

 

FMC Technologies, Inc.*

566,080

27,262,413

1.7%

Oceaneering International Inc.*

239,750

13,804,805

0.9%

Packaging & containers - 5.0%

 

 

 

Greif Inc., Class A

424,340

27,921,572

1.8%

Owens-Illinois Inc.*

262,240

13,216,896

0.8%

Pactiv Corporation*

1,325,295

37,916,690

2.4%

Pharmaceuticals - 1.8%

 

 

 

Barr Pharmaceuticals, Inc.*

559,420

29,196,130

1.8%

Pipelines - 4.9%

 

 

 

Equitable Resources Inc.

779,192

43,439,954

2.7%

Williams Companies, Inc.

1,084,020

34,656,119

2.2%

Printing & publishing - 4.5%

 

 

 

John Wiley & Sons Inc., Class A

705,936

27,827,997

1.7%

The Washington Post Company, Class B

59,940

44,595,360

2.8%

Retail - 2.7%

 

 

 

O'Reilly Automotive Inc.*

699,275

20,579,663

1.3%

TJX Companies, Inc.

725,270

22,889,521

1.4%

Semiconductors - 3.9%

 

 

 

Intersil Corporation, Class A

872,430

20,092,063

1.3%

Microchip Technology Inc.

679,295

21,676,303

1.4%

Varian Semiconductor Equipment Associates, Inc.*

586,060

18,876,993

1.2%

Software - 5.7%

 

 

 

ANSYS, Inc.*

1,089,663

38,040,135

2.4%

Fiserv, Inc.*

579,400

29,763,778

1.9%

Intuit Inc.*

745,895

22,891,518

1.4%

Telecommunications - 1.9%

 

 

 

Cellcom Israel Ltd

526,120

16,220,280

1.0%

CommScope, Inc.*

332,990

14,768,106

0.9%

Television, cable & radio - 1.0%

 

 

 

Shaw Communications Inc., Class B

799,175

15,751,739

1.0%

Total common stocks (cost $1,531,979,135)

 

1,554,076,195

97.8%

 

 

 

 

Repurchase agreement - 1.9%

 

 

 

Repurchase agreement with Fixed Income

 

 

 

Clearing Corporation, dated January 31, 2008 @

 

 

 

1.63% to be repurchased at $30,800,395 on

 

 

 

February 1, 2008, collateralized by

 

 

 

$29,205,000 United States Treasury Bonds,

 

 

 

4.25% due August 15, 2014 (market value)

 

 

 

$31,645,959 including interest) (cost $30,799,000)

 

30,799,000

1.9%

 

 

 

 

Total investment portfolio (cost $1,562,778,135)

 

1,584,875,195

99.7%

Other assets and liabilities, net,

 

4,176,384

0.3%

Net assets

 

$1,589,051,579

100.0%

 

 

 

 

* Non-income producing security.

 

 

 

 

 

 

 





Heritage Series Trust - Core Equity Fund

Investment Portfolio

January 31, 2008

(unaudited)

 

 

 

% of net

 

Shares

Value

assets

Common stocks - 89.5%

 

 

 

Advertising - 3.0%

 

 

 

Omnicom Group Inc.

142,365

$    6,459,100

3.0%

Aerospace/Defense - 2.0%

 

 

 

United Technologies Corporation

56,760

4,166,752

2.0%

Banks - 9.3%

 

 

 

Bank of America Corporation

185,205

8,213,842

3.9%

State Street Corporation

37,170

3,052,400

1.4%

Wachovia Corporation

215,650

8,395,254

4.0%

Biotechnology - 2.9%

 

 

 

Genzyme Corporation*

78,765

6,153,909

2.9%

Cosmetics/Personal care - 2.0%

 

 

 

The Procter & Gamble Company

63,790

4,206,950

2.0%

Diversified manufacturer - 7.0%

 

 

 

General Electric Company

312,600

11,069,166

5.2%

Tyco International Ltd

96,891

3,813,630

1.8%

Electronics - 0.5%

 

 

 

Tyco Electronics Ltd

33,606

1,136,219

0.5%

Environmental control - 3.0%

 

 

 

Waste Management, Inc.

192,905

6,257,838

3.0%

Financial services - 5.6%

 

 

 

American Express Company

74,140

3,656,585

1.7%

Merrill Lynch & Co., Inc.

53,590

3,022,476

1.4%

The Goldman Sachs Group, Inc.

26,110

5,242,105

2.5%

Healthcare products - 6.1%

 

 

 

Covidien Ltd

33,606

1,499,836

0.7%

Johnson & Johnson

104,615

6,617,945

3.1%

Zimmer Holdings, Inc.*

62,845

4,918,878

2.3%

Household products - 1.9%

 

 

 

Kimberly-Clark Corporation

62,235

4,085,728

1.9%

Insurance - 4.0%

 

 

 

American International Group, Inc.

154,140

8,502,362

4.0%

Internet - 1.5%

 

 

 

eBay Inc.*

119,800

3,221,422

1.5%

Multimedia - 1.9%

 

 

 

Viacom Inc., Class B*

106,485

4,127,359

1.9%

Oil & gas - 2.9%

 

 

 

BP PLC, Sponsored ADR

96,430

6,147,412

2.9%

Pharmaceuticals - 5.9%

 

 

 

Pfizer Inc.

379,420

8,874,634

4.2%

Wyeth

90,915

3,618,417

1.7%

Retail - 11.7%

 

 

 

CVS/Caremark Corporation

215,485

8,418,999

4.0%

McDonald's Corporation

122,525

6,561,214

3.1%

Staples, Inc.

268,140

6,419,272

3.0%

Wal-Mart Stores, Inc.

66,420

3,379,450

1.6%

Semiconductors - 3.1%

 

 

 

Applied Materials, Inc.

362,150

6,489,728

3.1%

Software - 6.8%

 

 

 

Microsoft Corporation

320,175

10,437,705

4.9%

Oracle Corporation*

198,645

4,082,155

1.9%









Heritage Series Trust - Core Equity Fund

Investment Portfolio

January 31, 2008

(unaudited)

 

 

 

% of net

 

Shares

Value

assets

Telecommunications - 3.2%

 

 

 

Sprint Nextel Corporation

638,485

6,723,247

3.2%

Television, cable & radio - 3.2%

 

 

 

Comcast Corporation, Class A*

373,920

6,790,387

3.2%

Transportation - 2.0%

 

 

 

United Parcel Service Inc., Class B

59,470

4,350,825

2.0%

Total common stocks (cost $189,547,166)

 

190,113,201

89.5%

 

 

 

 

Repurchase agreement - 15.2%

 

 

 

Repurchase agreement with Fixed Income

 

 

 

Clearing Corporation, dated January 31, 2008 @

 

 

 

1.63% to be repurchased at $32,327,464 on

 

 

 

February 1, 2008, collateralized by

 

 

 

$30,725,000 United States Treasury Notes,

 

 

 

4.75% due January 31, 2012 (market value

 

 

 

$33,235,809 including interest) (cost $32,326,000)

 

32,326,000

15.2%

 

 

 

 

Total investment portfolio (cost $221,873,166)

 

222,439,201

104.7%

Other assets and liabilities, net,

 

(10,043,740)

-4.7%

Net assets

 

$    212,395,461

100.0%

 

 

 

 

* Non-income producing security.

 

 

 

 

 

 

 

ADR - American depository receipt

 

 

 














 

 

 

 






 

 

 

 



 

 

 

 

Heritage Series Trust - International Equity Fund

Investment Portfolio

January 31, 2008

(unaudited)

 

 

 

 

 

 

 

% of net

 

Shares

Value

assets

Common stocks - 82.4%

 

 

 

Australia - 4.0%

 

 

 

BHP Billiton Ltd

83,909

$         2,818,863

0.9%

Consolidated Media Holdings Ltd

13,083

52,913

0.0%

Crown Ltd*

13,083

136,774

0.0%

Fairfax Media Ltd

16,720

60,414

0.0%

Macquarie Airports

833,076

2,947,274

0.9%

Newcrest Mining Ltd

102,821

3,220,171

1.0%

Rio Tinto Ltd

34,876

3,859,075

1.2%

Austria - 3.7%

 

 

 

Erste Bank der Oesterreichischen Sparkassen AG

22,506

1,221,864

0.4%

Flughafen Wien AG

2,492

277,110

0.1%

Immoeast AG*

103,356

909,973

0.3%

OMV AG

69,790

5,007,912

1.6%

Raiffeisen International Bank Holding AG

18,552

2,363,882

0.8%

Telekom Austria AG

8,944

249,141

0.1%

Verbund - Oesterreichische Elektrizitaetswirtschafts AG, Class A

6,091

401,801

0.1%

Vienna Insurance Group

9,870

759,000

0.2%

Wienerberger AG

8,518

393,582

0.1%

Belgium - 1.4%

 

 

 

Fortis

29,248

657,164

0.2%

Groupe Bruxelles Lambert SA

1,347

156,208

0.1%

KBC Ancora

18,858

1,846,597

0.6%

KBC Groep NV

12,578

1,600,985

0.5%

Bermuda - 0.3%

 

 

 

Central European Media Enterprises Ltd, Class A*

8,581

813,393

0.3%

Brazil - 0.2%

 

 

 

Bovespa Holding SA

37,253

544,675

0.2%

Canada - 3.3%

 

 

 

Cameco Corporation

13,108

444,671

0.1%

Canadian Natural Resources Ltd

2,208

141,457

0.0%

Imperial Oil Ltd

10,192

501,948

0.2%

Ivanhoe Mines Ltd*

256,314

2,519,025

0.8%

OPTI Canada Inc.*

9,716

160,439

0.1%

Potash Corporation of Saskatchewan Inc.

18,813

2,662,258

0.8%

Research in Motion Ltd*

23,183

2,176,420

0.7%

Suncor Energy Inc.

12,879

1,213,048

0.4%

Talisman Energy Inc.

17,278

273,414

0.1%

UTS Energy Corporation*

28,515

151,359

0.1%

Chile - 0.1%

 

 

 

Sociedad Quimica y Minera de Chile SA, Sponsored ADR

1,788

316,869

0.1%

China - 0.6%

 

 

 

Beijing Capital International Airport Co., Ltd, Class H

1,345,847

1,755,844

0.6%

Weiqiao Textile Company Ltd, Class H

64,933

82,322

0.0%

Wumart Stores Inc., Class H

207,156

141,773

0.0%

Cyprus - 0.7%

 

 

 

Bank of Cyprus Public Co., Ltd

129,953

2,058,545

0.7%

Czech - 2.2%

 

 

 

Komercni Banka, AS

33,575

7,024,359

2.2%

Denmark - 0.6%

 

 

 

ALK-Abello AS

1,222

133,966

0.0%

Carlsberg AS, Class B

1,244

131,182

0.0%

Danske Bank AS

1,347

48,169

0.0%

FLSmidth & Co. AS

4,312

384,236

0.1%

Novo Nordisk AS, Class B

18,448

1,156,806

0.4%

Vestas Wind Systems AS*

2,880

278,767

0.1%

Finland - 3.3%

 

 

 

Elisa Oyj

1,370

38,772

0.0%

Fortum Oyj

53,141

2,145,405

0.7%

Kemira Oyj

14,362

199,592

0.1%

Kesko Oyj, Class B

2,919

148,983

0.1%

Metso Oyj

2,401

112,547

0.0%

Nokia Oyj

133,352

4,895,624

1.6%

Nokian Renkaat Oyj

2,793

94,739

0.0%

OKO Bank PLC, Class A

8,565

153,293

0.1%

Orion Oyj, Class B

12,142

272,519

0.1%

Outotec Oyj

7,398

357,983

0.1%

Ramirent Oyj

28,515

442,703

0.1%

Sanomawsoy Oyj

15,660

408,119

0.1%

Yit Oyj

41,555

876,117

0.3%

France - 9.2%

 

 

 

Accor SA

1,904

145,510

0.1%

Aeroports de Paris

16,090

1,800,197

0.6%

Air Liquide

12,211

1,697,827

0.5%

Alstom

1,727

348,084

0.1%

BNP Paribas*

12,763

1,259,565

0.4%

Bouygues

8,689

668,216

0.2%

Bureau Veritas SA*

2,994

146,387

0.1%

Compagnie de Saint-Gobain

7,760

606,491

0.2%

Credit Agricole SA

10,027

308,260

0.1%

EDF Energies Nouvelles SA

872

57,617

0.0%

Electricite de France

28,250

2,935,278

0.9%

France Telecom SA

36,330

1,280,854

0.4%

JC Decaux SA

10,245

333,598

0.1%

Lafarge SA

15,438

2,415,710

0.8%

LVMH Moet Hennessy Louis Vuitton SA

25,830

2,652,980

0.8%

M6-Metropole Television

5,206

128,437

0.0%

Neuf Cegetel

3,645

187,975

0.1%

Nexity

1,670

76,107

0.0%

Pernod-Ricard SA

11,043

1,175,586

0.4%

PPR

7,160

1,010,255

0.3%

Remy Cointreau SA

1,960

118,146

0.0%

Renault SA

1,353

153,960

0.1%

Sanofi-Aventis SA

7,714

627,112

0.2%

Societe Generale

5,899

730,603

0.2%

Societe Television Francaise 1

16,961

428,407

0.1%

Sodexho Alliance SA

1,876

101,635

0.0%

Suez SA*

35,688

2,178,412

0.7%

Technip SA

1,774

114,501

0.0%

TOTAL SA

53,864

3,900,082

1.2%

Veolia Environnement

7,317

599,353

0.2%

Vinci SA

15,719

1,070,125

0.3%

Vivendi SA

3,941

 158,308

0.1%

Wendel

832

 83,839

0.0%

Germany - 6.0%

 

 

 

Adidas AG

1,551

 98,873

0.0%

Allianz SE

1,700

 305,615

0.1%

Arcandor AG*

6,633

 124,177

0.0%

Bayer AG

14,243

 1,169,604

0.4%

Commerzbank AG

35,527

 1,083,064

0.3%

Continental AG

1,699

 176,113

0.1%

Daimler AG

13,752

 1,073,869

0.3%

Deutsche Bank AG

1,355

 152,863

0.1%

Deutsche Boerse AG

5,593

986,252

0.3%

Deutsche Post AG*

5,746

 186,100

0.1%

Deutsche Postbank AG

1,435

 119,765

0.0%

Deutsche Telekom AG

9,891

 201,686

0.1%

E.ON AG

14,016

 2,570,934

0.8%

Fraport AG Frankfurt Airport Services Worldwide

45,809

 3,461,544

1.1%

Fresenius Medical Care AG & Co. KGaA

29,750

 1,524,634

0.5%

Fresenius SE

19,739

 1,565,453

0.5%

Hamburger Hafen und Logistik*

3,874

 289,777

0.1%

Henkel KGaA

7,056

 295,685

0.1%

Merck KGaA

2,408

 297,568

0.1%

Praktiker Bau-und Heimwerkermaerkte AG

3,689

 78,758

0.0%

Premiere AG*

4,530

 100,369

0.0%

Rheinmetall AG

2,142

 153,165

0.1%

Rhoen-Klinikum AG

28,899

 774,810

0.3%

Siemens AG

14,939

 1,932,255

0.6%

Tognum AG

3,566

 86,791

0.0%

Greece - 0.4%

 

 

 

Alapis Holding Industrial and Commercial SA of Pharmaceutical Chemical & Organic Products*

181,129

 517,473

0.2%

Hellenic Telecommunications Organization SA

23,094

 720,738

0.2%

Hong Kong - 2.4%

 

 

 

China Merchants Holdings (International) Company Ltd

391,957

 1,908,493

0.6%

China Mobile Ltd

79,273

 1,173,821

0.4%

Galaxy Entertainment Group Ltd*

478,684

 362,235

0.1%

GOME Electrical Appliances Holdings Ltd

648,366

 1,468,567

0.5%

Hutchison Telecommunications International Ltd

61,549

 86,363

0.0%

Melco International Development

383,305

 534,052

0.2%

Melco PBL Entertainment Macau Ltd, Sponsored ADR*

23,775

 287,678

0.1%

Shun Tak Holdings Ltd

1,209,624

 1,698,689

0.5%

Texwinca Holdings Ltd

87,117

 66,483

0.0%

Hungary - 3.5%

 

 

 

Magyar Telekom Telecommunications PLC

316,086

 1,534,891

0.5%

MOL Hungarian Oil and Gas

1,403

 188,710

0.1%

OTP Bank

205,167

 8,822,999

2.8%

Richter Gedeon

1,553

 345,444

0.1%

India - 0.9%

 

 

 

ICICI Bank Ltd, Sponsored ADR

4,819

 292,802

0.1%

State Bank of India, Sponsored GDR

22,725

 2,556,563

0.8%

Indonesia - 0.1%

 

 

 

Semen Gresik Persero Tbk PT

318,110

 195,049

0.1%

Ireland - 0.4%

 

 

 

CRH PLC

11,768

 443,593

0.1%

Dragon Oil PLC*

118,936

 916,323

0.3%

Italy - 1.9%

 

 

 

Autogrill SpA

1,716

 28,988

0.0%

Banca Popolare di Milano Scarl

43,072

 543,559

0.2%

Banca Popolare di Sondrio Scarl

6,866

 98,838

0.0%

Bulgari SpA

9,191

 106,917

0.0%

Buzzi Unicem SpA

32,986

 782,347

0.3%

Credito Emiliano SpA

19,320

 243,729

0.1%

Finmeccanica SpA

2,212

 66,113

0.0%

Geox SpA

22,809

 388,382

0.1%

Intesa Sanpaolo SpA (non-voting)

132,962

 911,610

0.3%

Italcementi SpA

7,017

 139,760

0.0%

Lottomatica SpA

919

 33,645

0.0%

Mediobanca SpA

15,219

 286,395

0.1%

Telecom Italia SpA

173,293

 523,747

0.2%

UniCredit SpA

211,107

 1,546,102

0.5%

Unione di Banche Italiane ScpA

6,162

 153,990

0.1%

Japan - 4.9%

 

 

 

Acom Co., Ltd

2,800

 70,068

0.0%

Aeon Credit Service Co., Ltd

2,968

 44,094

0.0%

Aiful Corporation

3,100

 62,578

0.0%

Aisin Seiki Co., Ltd

3,001

 120,984

0.1%

Canon Inc.

17,273

 742,662

0.2%

Central Japan Railway Company

15

 138,120

0.0%

Credit Saison Co., Ltd

2,617

 77,252

0.0%

Daihatsu Motor Co., Ltd

16,000

 164,709

0.1%

Daikin Industries, Ltd

2,800

 125,109

0.0%

Daiwa Securities Group Inc.

6,003

 52,886

0.0%

Denso Corporation

11,513

 414,125

0.1%

Dentsu Inc.

25

 58,157

0.0%

East Japan Railway Company

54

 444,626

0.1%

Eisai Co., Ltd

3,800

 155,908

0.1%

Fanuc Ltd

3,400

 298,740

0.1%

Fuji Television Network, Inc.

41

 64,522

0.0%

Honda Motor Co., Ltd

18,720

 588,357

0.2%

Hoya Corporation

10,100

 274,840

0.1%

Ibiden Co., Ltd

4,000

 257,772

0.1%

ITOCHU Corporation

7,000

 63,967

0.0%

Japan Tobacco Inc.

122

 647,292

0.2%

JFE Holdings, Inc.

2,429

 111,977

0.0%

JS Group Corporation

5,594

 96,941

0.0%

JSR Corporation

2,913

 67,535

0.0%

KDDI Corporation

44

 295,930

0.1%

Koito Manufacturing Co., Ltd

9,474

 138,403

0.0%

Komatsu Ltd

8,600

 206,800

0.1%

Kubota Corporation

7,491

 53,680

0.0%

Kyocera Corporation

3,000

 238,742

0.1%

Makita Corporation

7,663

 282,818

0.1%

Matsushita Electric Industrial Co., Ltd

18,853

 401,405

0.1%

Mitsubishi Corporation

5,200

 135,775

0.0%

Mitsubishi Electric Corporation

11,000

 102,133

0.0%

Mitsubishi UFJ Financial Group, Inc.

58,060

 572,836

0.2%

Mitsui & Co., Ltd

7,000

 143,529

0.1%

Mitsui Fudosan Co., Ltd

3,129

 71,446

0.0%

Mitsui Mining & Smelting Company, Ltd

2

  7

0.0%

Mizuho Financial Group, Inc.

35

 165,247

0.1%

Nintendo Co., Ltd

3,401

 1,693,634

0.5%

Nippon Electric Glass Co., Ltd

17,000

 253,356

0.1%

Nippon Telegraph & Telephone Corporation

23

 109,647

0.0%

Nissan Motor Co., Ltd

6,562

 62,738

0.0%

Nitto Denko Corporation

8,001

 388,977

0.1%

Nomura Holdings, Inc.

5,622

 82,113

0.0%

NSK Ltd

16,000

 138,635

0.0%

NTT DoCoMo, Inc.

165

 258,613

0.1%

Olympus Corporation

1,508

 50,288

0.0%

Promise Co., Ltd

2,960

 96,990

0.0%

Ricoh Company, Ltd

16,000

 249,393

0.1%

Sapporo Hokuyo Holdings, Inc.

6

 49,699

0.0%

Seven & I Holdings Co., Ltd

3,800

 93,794

0.0%

Sharp Corporation

5,000

 86,132

0.0%

Shin-Etsu Chemical Co., Ltd

2,900

 152,152

0.0%

Sony Corporation

11,086

 528,029

0.2%

Stanley Electric Co., Ltd

5,599

 112,499

0.0%

Sumitomo Chemical Co., Ltd

30,000

 211,606

0.1%

Sumitomo Corporation

4,948

 68,118

0.0%

Sumitomo Electric Industries, Ltd

7,400

 109,599

0.0%

Sumitomo Heavy Industries Ltd

19,996

 164,508

0.1%

Sumitomo Metal Industries, Ltd

40,084

 188,545

0.1%

Sumitomo Mitsui Financial Group Inc

54

 425,096

0.1%

Suzuki Motor Corporation

27,500

 689,078

0.2%

Takata Corporation

2,500

 65,805

0.0%

Takeda Pharmaceutical Co., Ltd

4,800

 290,010

0.1%

Takefuji Corporation

2,970

 83,740

0.0%

The Bank of Kyoto, Ltd

7,184

 85,262

0.0%

The Bank of Yokohama, Ltd

37,997

 247,580

0.1%

The Sumitomo Trust & Banking Co., Ltd

11,065

 70,041

0.0%

Toray Industries Inc.

11,000

 74,211

0.0%

Toyota Motor Corporation

25,532

 1,383,936

0.4%

Yamada Denki Co., Ltd

7,550

 801,995

0.3%

Yamaha Motor Co., Ltd

6,001

 135,473

0.0%

Yamato Holdings Co., Ltd

2,564

 35,546

0.0%

Luxembourg - 0.6%

 

 

 

Evraz Group SA, 144A, Sponsored GDR

3,864

 280,913

0.1%

Millicom International Cellular SA*

16,147

 1,710,613

0.5%

Mexico - 1.0%

 

 

 

America Movil, SAB de CV, Series L

104,601

 312,761

0.1%

America Movil, SAB de CV, Sponsored ADR

3,398

 203,574

0.1%

Controladora Comercial Mexicana, SA de CV

42,733

 106,642

0.0%

Corporacion Moctezuma, SA de CV

125,501

 269,115

0.1%

Fomento Economico Mexicano, SAB de CV, Sponsored ADR

12,709

 459,685

0.2%

Grupo Cementos de Chihuahua SAB de CV

21,355

 123,323

0.0%

Grupo Financiero Banorte, SAB de CV

218,285

 907,903

0.3%

Grupo Televisa SA, Sponsored ADR

7,421

 165,414

0.1%

Urbi Desarrollos Urbanos, SA de CV*

129,153

 457,081

0.1%

Netherlands - 0.9%

 

 

 

ING Groep NV

19,051

 619,119

0.2%

Koninklijke KPN NV

50,915

 922,480

0.3%

Koninklijke Vopak NV

3,601

 181,880

0.1%

TNT NV

4,253

 157,261

0.1%

Unilever NV

16,141

 524,276

0.2%

New Zealand - 0.2%

 

 

 

Auckland International Airport Ltd

241,561

 528,678

0.2%

Norway - 1.6%

 

 

 

Aker Kvaerner ASA

12,557

 234,106

0.1%

DnB NOR ASA

72,499

 945,416

0.3%

Norsk Hydro ASA

20,334

 243,326

0.1%

StatoilHydro ASA

57,317

 1,496,702

0.5%

Telenor ASA

39,783

 822,125

0.3%

Yara International ASA

20,865

 1,007,525

0.3%

Poland - 3.6%

 

 

 

Bank BPH SA

3,453

 136,533

0.0%

Bank Handlowy w Warszawie SA

34,266

 1,285,288

0.4%

Bank Millenium SA

10,822

 35,515

0.0%

Bank Pekao SA

36,818

 2,963,092

1.0%

Bank Zachodni WBK SA

10,392

 810,102

0.3%

BRE Bank SA*

2,246

 346,659

0.1%

ING Bank Slaski SA

653

 163,682

0.1%

Polskie Gornictwo Naftowe I Gazownictwo SA

348,149

 635,958

0.2%

Powszechna Kasa Oszczednosci Bank Polski SA

134,370

 2,513,122

0.8%

Telekomunikacja Polska SA

242,111

 2,313,574

0.7%

Portugal - 0.6%

 

 

 

Energias de Portugal, SA

56,525

 359,874

0.1%

Jeronimo Martins, SGPS, SA

189,778

 1,559,175

0.5%

Romania - 0.6%

 

 

 

Board of Romanian Development Bank-Groupe Societe Generale

88,073

 670,932

0.2%

SNP Petrom SA

6,979,016

 1,091,145

0.4%

Socep Constanta*

372,000

 41,544

0.0%

Russia - 3.8%

 

 

 

Bank VTB OAO, 144A, Sponsored GDR*

37,776

 302,208

0.1%

JSC MMC Norilsk Nickel, Sponsored ADR

9,991

 2,425,315

0.8%

Mechel OAO, Sponsored ADR

2,053

 191,175

0.1%

Novorossiysk Commercial Sea Port, 144A, Sponsored GDR*

30,701

 416,306

0.1%

OAO Gazprom, Sponsored ADR

48,361

 2,326,164

0.7%

OAO Novatek, 144A, Sponsored GDR

9,990

 659,340

0.2%

OAO Open Investments, Sponsored GDR*

9,847

 316,335

0.1%

OAO Rosneft Oil Company, Sponsored GDR

63,019

 446,889

0.1%

OJSC Pharmstandard, 144A, Sponsored GDR*

36,782

 847,825

0.3%

Polyus Gold Mining Co., Sponsored ADR

12,612

 639,428

0.2%

Severstal, 144A, Sponsored GDR

7,097

 150,811

0.1%

Sistema-Hals, 144A, Sponsored GDR*

21,005

 179,173

0.1%

Uralkali, 144A, Sponsored GDR*

11,678

 402,891

0.1%

Uralsvyazinform, Sponsored ADR

18,733

 181,863

0.1%

VimpleCom OAO, Sponsored ADR

21,782

 750,172

0.2%

Wimm-Bill-Dann Foods, Sponsored ADR

10,070

 1,168,120

0.4%

X 5 Retail Group NV, Sponsored GDR*

6,713

 215,487

0.1%

South Africa - 0.2%

 

 

 

Impala Platinum Holdings Ltd

13,901

 522,573

0.2%

South Korea - 0.3%

 

 

 

Hyundai Motor Company

1,886

 146,660

0.1%

NHN Corporation

664

 144,834

0.1%

Samsung Electronics Co., Ltd

576

 369,326

0.1%

Spain - 1.7%

 

 

 

Acciona SA

1,050

 266,822

0.1%

Banco Bilbao Vizcaya Argentaria, SA*

37,289

 785,100

0.3%

Gamesa Corporacion Technologica SA

6,428

 244,523

0.1%

Iberdrola Renovables*

57,396

 461,667

0.2%

Iberdrola SA

 70,181

 1,071,083

0.3%

Inditex SA

 2,593

 129,933

0.0%

Telefonica SA*

 76,385

 2,232,722

0.7%

Sweden - 1.7%

 

 

 

Getinge AB, Class B

 12,254

 285,820

0.1%

Hennes & Mauritz AB, Class B

 5,930

 320,636

0.1%

Modern Times Group AB, Class B

 9,182

 552,217

0.2%

Nordea Bank AB

  130,543

 1,763,437

0.6%

OMX AB

 10,068

 416,072

0.1%

Swedbank AB, Class A

 53,266

 1,370,335

0.4%

Telefonaktiebolaget LM Ericsson, Class B

 81,109

 183,404

0.1%

TeliaSonera AB

 36,066

 318,684

0.1%

Switzerland - 6.0%

 

 

 

ABB Ltd

 31,235

 778,845

0.3%

BKW FMB Energie AG

 2,943

 368,825

0.1%

Compagnie Financiere Richemont SA, Class A

 36,830

 2,099,196

0.7%

Credit Suisse Group

 6,785

 383,220

0.1%

Flughafen Zuerich AG

 1,903

 672,331

0.2%

Holcim Ltd

 28,946

 2,792,098

0.9%

Nestle SA

 11,592

 5,163,165

1.6%

Nobel Biocare Holding AG

 366

 90,302

0.0%

Roche Holding AG

 4,580

 826,968

0.3%

SGS SA

 421

 545,244

0.2%

Synthes Inc.

 1,511

 192,416

0.1%

The Swatch Group AG

 6,662

 1,786,831

0.6%

UBS AG

 18,613

 767,632

0.2%

Xstrata PLC

 30,656

 2,344,678

0.7%

Taiwan - 0.6%

 

 

 

Cathay Financial Holding Co., Ltd, Sponsored GDR

 18,257

 425,571

0.1%

Chunghwa Telecom Ltd, Sponsored ADR

 7,810

 164,244

0.1%

Far Eastern Textile Co., Ltd, Sponsored GDR

 11,466

 156,866

0.0%

First Financial Holding Co., Ltd, Sponsored GDR

 9,854

 159,323

0.1%

Fubon Financial Holding Co., Ltd

 14,757

 148,635

0.1%

HON HAI Precision Industry Co., Ltd, Sponsored GDR

 59,092

 614,677

0.2%

Taiwan Semiconductor Manufacturing Co. Ltd, Sponsored ADR

 9,321

 86,499

0.0%

Turkey - 0.0%

 

 

 

Turkiye Garanti Bankasi AS

 21,853

 139,891

0.0%

Ukraine - 0.9%

 

 

 

Raiffeisen Bank Aval

 1,908,814

 380,858

0.1%

Ukrnafta Oil Co.*

 7,557

 515,046

0.2%

Ukrnafta Oil Co., Sponsored ADR*

 58

 24,144

0.0%

Ukrsotsbank JSCB*

 2,466,696

 633,486

0.2%

UkrTelecom*

 5,916,954

 1,239,030

0.4%

UkrTelecom, Sponsored GDR*

 9,912

 116,208

0.0%

United Kingdom - 8.4%

 

 

 

Amec PLC

 22,388

 307,212

0.1%

Anglo American PLC

 26,467

 1,448,042

0.5%

BAE Systems PLC

 20,994

 195,682

0.1%

Barclays PLC

 80,651

 760,722

0.3%

BHP Billiton PLC

 33,165

 983,472

0.3%

BP PLC

  292,837

 3,107,789

1.0%

BT Group PLC

 44,900

 233,372

0.1%

Burberry Group PLC

 39,693

 345,731

0.1%

Cadbury Schweppes PLC

 39,727

 438,720

0.1%

Compass Group PLC

  106,797

 676,301

0.2%

Diageo PLC

  158,034

 3,181,815

1.0%

GlaxoSmithKline PLC

 35,694

 842,880

0.3%

HBOS PLC

 45,950

 634,895

0.2%

Intertek Group PLC

 16,801

 294,608

0.1%

Lloyds TSB Group PLC

 9,658

 85,076

0.0%

Peter Hambro Mining PLC*

 14,808

 389,552

0.1%

QinetiQ PLC

 44,616

 171,542

0.0%

Reckitt Benckiser Group PLC

 25,048

 1,311,793

0.4%

Rio Tinto PLC

 20,152

 2,012,275

0.6%

Rolls-Royce Group PLC

 81,104

 766,410

0.2%

Royal Bank of Scotland Group PLC

  163,119

 1,246,753

0.4%

Scottish & Newcastle PLC

 13,370

 208,940

0.1%

Smith & Nephew PLC

 70,813

 966,212

0.3%

Tesco PLC

  189,084

 1,578,333

0.5%

Vodafone Group PLC

 1,201,178

 4,217,610

1.3%

William Hill PLC

 9,069

 73,631

0.0%

WPP Group PLC

 12,250

 151,248

0.1%

Total common stocks (cost $234,724,695)

 

 261,033,391

82.8%

 

 

 

 

Warrants - 4.1%

 

 

 

Germany - 0.6%

 

 

 

Deutsche Bank AG London, Series 48, 0%, 12/31/09*

 17

 185,622

0.1%

Deutsche Bank AG London, Series 49, 0%, 12/31/09*

 17

 106,420

0.0%

Deutsche Bank AG London, Series 50, 0%, 12/31/09*

 17

 87,423

0.0%

Deutsche Bank AG London, Series 51, 0%, 12/31/09*

 17

 209,583

0.1%

Deutsche Bank AG London, Series 52, 0%, 12/31/09*

 17

 104,180

0.0%

Deutsche Bank AG London, Series 53, 0%, 12/31/09*

 17

 493,111

0.2%

Deutsche Bank AG London, Series 54, 0%, 12/31/09*

 17

 76,696

0.0%

Deutsche Bank AG London, Series 55, 0%, 12/31/09*

 17

 17,657

0.0%

Deutsche Bank AG London, Series 56, 0%, 12/31/09*

 17

 128,512

0.0%

Deutsche Bank AG London, Series 57, 0%, 12/31/09*

 17

 28,859

0.0%

Deutsche Bank AG London, Series 58, 0%, 12/31/09*

 17

 25,012

0.0%

Deutsche Bank AG London, Series 59, 0%, 12/31/09*

 17

 57,416

0.0%

Deutsche Bank AG London, Series 60, 0%, 12/31/09*

 17

 40,204

0.0%

Deutsche Bank AG London, Series 61, 0%, 12/31/09*

 17

 33,196

0.0%

Deutsche Bank AG London, Series 62, 0%, 12/31/09*

 17

 48,198

0.0%

Deutsche Bank AG London, Series 63, 0%, 12/31/09*

 17

 14,724

0.0%

Deutsche Bank AG London, Series 64, 0%, 12/31/09*

 17

 28,519

0.0%

Deutsche Bank AG London, Series 65, 0%, 12/31/09*

 17

 24,788

0.0%

Deutsche Bank AG London, Series 66, 0%, 12/31/09*

 17

  5,284

0.0%

Deutsche Bank AG London, Series 67, 0%, 12/31/09*

 17

 271,436

0.1%

Deutsche Bank AG London, Series 68, 0%, 12/31/09*

 17

 46,260

0.0%

Deutsche Bank AG London, Series 69, 0%, 12/31/09*

 17

 295,018

0.1%

Deutsche Bank AG London, Series 70, 0%, 12/31/09*

 17

 63,852

0.0%

Deutsche Bank AG London, Series 71, 0%, 12/31/09*

 17

 -

0.0%

India - 2.2%

 

 

 

Caylon Financial Products Ltd/Bharti Airtel Ltd, 05/31/10*

 57,328

 1,254,193

0.4%

Caylon Financial Products Ltd./Mahindra & Mahindra Ltd, 06/10/28

 8,245

 140,160

0.1%

Caylon Financial Products Ltd./Oil and Natural Gas Corporation Ltd, 05/13/10

 6,246

 156,788

0.1%

Caylon Financial Products Ltd/State Bank of India, 05/13/10

 52,345

 3,050,481

1.0%

Citigroup Global Markets Holdings/State Bank of India Ltd, 144A, 01/19/09

 28,770

 1,668,456

0.5%

Citigroup Global Markets Holdings/Suzlon Energy Ltd, 01/20/10

 19,360

 151,881

0.1%

Luxembourg - 0.1%

 

 

 

Citigroup Global Markets Holdings/Canara Bank, 144A,  01/19/09*

 52,154

 394,848

0.1%

Russia - 0.8%

 

 

 

UBS AG London Branch/Sberbank, 144A, 01/12/09

 684

2,477,150

0.8%

Taiwan - 0.4%

 

 

 

Chinatrust Financial Holding Co., Ltd, 0%, 01/17/12*

 379,461

 306,447

0.1%

Citigroup Global Markets Holdings/Yuanta Financial Holding Co. Ltd, 144A, 01/17/2012*

 246,360

 187,987

0.1%

Deutsche Bank AG London/Taiwan Fertilizer Co., Ltd , 01/17/19

 43,337

 140,812

0.0%

UBS AG London Branch/Hon Hai Precision Industry Co., Ltd, 08/19/08

 80,918

 437,734

0.1%

UBS AG London Branch/Taiwan Semiconductor Manufacturing Co. Ltd, 01/24/17

 116,848

 217,626

0.1%

Total warrants (cost $9,274,820)

 

 12,976,533

4.1%

 

 

 

 

Preferred stocks - 1.3%

 

 

 

Brazil - 1.2%

 

 

 

Companhia Vale do Rio Doce, Class A

 49,768

 1,267,594

0.4%

Petrobras SA

 53,047

 2,426,385

0.8%

Germany - 0.1%

 

 

 

Volkswagen AG

 3,553

 493,742

0.1%

Total preferred stocks (cost $3,627,290)

 

 4,187,721

1.3%

 

 

 

 

Investment companies - 6.9%

 

 

 

British Virgin Islands - 0.0%

 

 

 

RenShares Utilities Ltd, Class RenGen*

 52,051

 144,702

0.0%

France - 0.4%

 

 

 

Eurazeo

 2,973

 315,129

0.1%

Lyxor ETF CAC 40

 10,760

 787,264

0.3%

Germany - 1.0%

 

 

 

INDEXCHANGE Investment AG/DAXEX

 32,507

 3,174,452

1.0%

Greece - 0.2%

 

 

 

Marfin Investment Group SA

 69,350

 503,744

0.2%

Guernsey - 0.4%

 

 

 

KKR Private Equity Investors LP

 66,557

 1,114,830

0.4%

Ireland - 2.2%

 

 

 

iShares Dow Jones Euro STOXX 50

  111,947

 6,354,288

2.0%

iShares S&P Europe 350 Index Fund

 46,414

 547,806

0.2%

Luxembourg - 0.4%

 

 

 

Citigroup Global Markets Holdings/Banking Index Benchmark Exchange Traded Scheme - Bank BeES, 144A, 01/20/10 (warrants)*

 51,155

 1,176,565

0.4%

Romania - 0.0%

 

 

 

Banat-Crisana SA (SIF 1)

 71,000

 76,741

0.0%

Moldova SA (SIF 2)

 77,000

 83,227

0.0%

Muntenia SA (SIF 4)

 53,500

 38,622

0.0%

Oltenia Craiova (SIF 5)

 41,000

 56,907

0.0%

Transilvania SA (SIF 3)

 58,000

 41,639

0.0%

Singapore - 0.2%

 

 

 

iShares MSCI India*

 81,550

 698,884

0.2%

United States - 2.1%

 

 

 

iShares MSCI Australia Index Fund

 50,280

 1,349,515

0.4%

iShares MSCI Brazil Index Fund

 4,015

 304,859

0.1%

iShares MSCI Canada Index Fund

 53,422

 1,620,289

0.5%

iShares MSCI Taiwan Index Fund

  249,858

 3,435,548

1.1%

Total investment companies (cost $22,960,015)

 

 21,825,011

6.9%

 

 

 

 

Government issued securities - 0.0%

 

 

 

Bulgaria - 0.0%

 

 

 

Republic of Bulgaria Compensation Notes*

 33,115

  9,928

0.0%

Republic of Bulgaria Housing Compensation Notes*

 13,665

  4,251

0.0%

Republic of Bulgaria Registered Compensation Vouchers*

 20,024

  6,321

0.0%

Total government issued securities (cost $29,438)

 

 20,500

0.0%

 

 

 

 

Total investment portfolio excluding

 

 

 

repurchase agreement (cost $270,616,258)

 

 300,043,156

95.1%

 

 

 

 

Repurchase agreement - 2.3%

 

 

 

Repurchase agreement with Fixed Income

 

 

 

Clearing Corporation, dated January 31, 2008 @

 

 

 

1.63% to be repurchased at $7,184,325 on

 

 

 

February 1, 2008, collateralized by

 

 

 

$6,830,000 United States Treasury Notes,

 

 

 

4.75% due January 31, 2012 (market value

 

 

 

$7,388,139 including interest) (cost $7,184,000)

 

 7,184,000

2.3%

 

 

 

 

Total investment portfolio (cost $277,800,258)

 

 307,227,156

97.4%

Other assets and liabilities, net,

 

 8,324,616

2.6%

Net assets

 

$     315,551,772

100.0%

 

 

 

 

* Non-income producing security.

 

 

 

(a) Illiquid security. At January 31, 2008, these securities aggregated $2,391,970

 

or 0.8% of the net assets of the Fund.

 

 

 

 

 

 

 

ADR - American depository receipt

 

 

 

ETF - Exchange-traded fund

 

 

 

GDR - Global depository receipt

 

 

 

SIF - Societatea de Investitii Financiare

 

 

 

144A - 144A securities are issued pursuant to Rule 144A of the Securities Act of

 

 

1933. Most of these are deemed to be liquid for purposes of compliance limitations

 

on holdings of illiquid securities and all may be resold as transactions exempt from

 

registration to qualified institutional buyers. At January 31, 2008, these securities

 

aggregated $9,144,473 or 2.9% of the net assets of the Fund.

 

 

 









Forward Foreign Currency Contracts Outstanding

UNAUDITED  |  01.31.2008

 

 

 

Contract to deliver

 

In exchange for

Delivery
date

Unrealized depreciation

 

 

HUF

654,256,226

 

USD

3,738,180

02/19/08

10,613

 

 

PLN

8,521,216

 

USD

3,398,481

02/19/08

104,754

 

 

MXN

17,657,031

 

USD

1,605,477

02/21/08

23,227

 

 

CZK

25,433,329

 

USD

1,396,322

03/20/08

52,165

 

 

 

 

 

 

Net unrealized depreciation

190,759

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

CZK

Czech Koruna

 

 

 

 

 

 

 

HUF

Hungarian Forint

 

 

 

 

 

 

MXN

Mexican Peso

 

 

 

 

 

 

 

PLN

Polish Zloty

 

 

 

 

 

 

 

USD

United States Dollar

 

 

 

 

 

 

 

 

 

 

 

 

 

 









Industry Allocation

 

 

UNAUDITED  |  01.31.2008

 

 

 

 

Percent of

Industry

Value

Net assets

Banks

63,524,345

20.1%

Telecommunications

28,734,429

9.1%

Oil & Gas

25,341,043

8.0%

Mining

24,894,745

7.9%

Investment Companies

21,825,011

6.9%

Engineering & Construction

15,644,421

5.0%

Financial Services

12,846,432

4.1%

Electric

12,031,612

3.8%

Food

10,796,259

3.4%

Chemicals

8,417,648

2.7%

Building Materials

8,383,118

2.7%

Retail

8,298,463

2.6%

Pharmaceuticals

6,314,480

2.0%

Beverages

5,275,353

1.7%

Auto Manufacturers

4,897,207

1.6%

Real Estate

3,251,723

1.0%

Healthcare Products

3,100,203

1.0%

Electronics

2,375,860

0.8%

Healthcare Services

2,299,443

0.7%

Computers

2,176,420

0.7%

Insurance

2,109,304

0.7%

Television, Cable & Radio

2,087,344

0.7%

Diversified Manufacturer

1,932,255

0.6%

Commercial Services

1,931,805

0.6%

Machinery

1,867,795

0.6%

Toys/Games/Hobbies

1,693,634

0.5%

Household Products

1,607,478

0.5%

Transportation

1,559,839

0.5%

Aerospace/Defense

1,028,205

0.3%

Auto Parts & Equipment

1,010,168

0.3%

Office/Business Equipment

992,055

0.3%

Lodging

932,197

0.3%

Home Furnishings

929,434

0.3%

Iron/Steel

923,421

0.3%

Apparel

832,986

0.3%

Electrical Components & Equipment

806,767

0.3%

Energy-Alternative Sources

798,052

0.3%

Food Service

777,936

0.2%

Multimedia

770,589

0.2%

Semiconductors

673,451

0.2%

Agriculture

647,292

0.2%

Water

599,353

0.2%

Home Builders

457,081

0.1%

Distribution/Wholesale

411,389

0.1%

Advertising

391,755

0.1%

Metal Fabricate/Hardware

381,961

0.1%

Textiles

379,881

0.1%

Hand/Machine Tools

282,818

0.1%

Broadcasting Services/Programs

165,414

0.1%

Other

633,282

0.2%

Total investment portfolio excluding

 

repurchase agreement

$300,043,156

95.1%

 

 

 









NOTE 1 | Organization and investment objective Heritage Series Trust (the “Trust”) is organized as a separate Massachusetts business trust and is registered under the Investment Company Act of 1940, as amended, as a diversified, open-end management investment company. The Trust offers shares in one or more series (each, a “Fund” and collectively the “Funds”) and is advised by Heritage Asset Management, Inc. (the “Manager” or “Heritage”).


The Trust presently offers shares in five series: 1) the Core Equity Fund which seeks long-term growth through capital appreciation; 2) the Diversified Growth Fund which seeks long-term capital appreciation; 3) the International Equity Fund which seeks capital appreciation principally through investment in a portfolio of international equity securities; 4) the Mid Cap Stock Fund which seeks long-term capital appreciation; 5) the Small Cap Stock Fund which seeks long-term capital appreciation.


Class offerings The Trust currently offers Class A and Class C shares to the public. Additionally, each Fund except the International Equity Fund is authorized to offer Class I, Class R-3 and Class R-5 shares to qualified buyers.

•

In each of the Funds, Class A shares are sold at a maximum front-end sales charge of 4.75%. Class A share investments greater than $1 million, which are not sold subject to a sales charge, may be subject to a contingent deferred sales charge (“CDSC”) of 1% of the lower of net asset value or purchase price if redeemed within 18 months of purchase.

•

Class C shares are sold subject to a CDSC of 1% of the lower of net asset value or purchase price if redeemed prior to one year of purchase.

•

Class I, Class R-3 and Class R-5 shares are each sold without a front-end sales charge or a CDSC to qualified buyers. As of the quarter period ended January 31, 2008, there were no shares issued in Class R-3 for the Core Equity Fund or Diversified Growth Fund nor were there shares issued in Class R-5 for the Diversified Growth Fund.


NOTE 2 | Significant accounting policies

Use of estimates The preparation of financial statements in accordance with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts and disclosures. Actual results could differ from those estimates and those differences could be material.


Valuation of securities The price of each Fund’s shares is based on each Fund’s net asset value per share. The net asset value of each Fund’s shares are determined on each day the New York Stock Exchange (“NYSE”) is open for business, as of the close of the customary trading session (typically 4:00 ET), or earlier NYSE closing time that day. If the NYSE or other securities exchange modifies the closing price of securities traded on that exchange after a Fund is priced, Heritage is not required to revalue the Fund.


Generally, a Fund’s portfolio securities are valued at market quotations that are readily available at market value; however, the market quotation price may be adjusted to reflect events that occur between the close of those markets and the time of the determination of net asset value.


Both the latest transaction prices and adjustments are furnished by an independent pricing service subject to supervision by the Boards of Trustees. All securities and assets for which market quotations are unavailable or unreliable at their fair value in good faith are valued using procedures (“Procedures”) approved by the Boards of Trustees. Fair value is that amount that the owner might reasonably expect to receive for the security upon its current sale. Fair value requires consideration of all appropriate factors, including indications of fair value available from pricing services. A fair value price is an estimated price and may vary from the prices used by other mutual funds to calculate their net asset values. Fair value pricing methods, Procedures and pricing services can change from time to time as approved by the Boards of Trustees. Pursuant to t he Procedures, the Boards of Trustees have delegated the day-to-day responsibility for applying and administering the Procedures to a Valuation Committee comprised of associates from Heritage. The composition of this Valuation Committee may change from time to time. There can be no assurance, however, that a fair value price used by a Fund on any given day will more accurately reflect the market value of a security or securities than the market price of such security or securities on that day. Fair value pricing may deter shareholders from trading the Fund shares on a frequent basis in an attempt to take advantage of arbitrage opportunities resulting from potentially stale prices of portfolio holdings. However, it cannot eliminate the possibility of frequent trading. Specific types of securities are valued as follows:

•

Domestic exchange traded equity securities Market quotations are generally available and reliable for domestic exchange traded equity securities. If market quotations are not available or are unreliable, Heritage will value the security at fair value in good faith using the Procedures.

•

Foreign securities If market quotations from a pricing source are available and reliable for foreign exchange traded equity securities, the securities will be valued at the market quotations. Because trading hours for certain foreign securities end before the close of the NYSE, closing market quotations may become unreliable. Heritage relies on a screening process from a fair valuation vendor to indicate the degree of certainty, based on historical data, that the closing price in the principal market where a foreign security trades is not reliable and does not reflect the current market value as of the close of the NYSE. Consequently, fair valuation of portfolio securities may occur on a daily basis. Heritage may also fair value a security if certain events occur between the time trading ends on a particular securi ty and the time of a Fund’s net asset value calculation. Heritage may fair value the particular security if the events are significant and make the closing price unreliable. If an issuer specific event has occurred that Heritage determines, in its judgment, is likely to have affected the closing price of a foreign security, it will price the security at fair value. Securities and other assets quoted in foreign currencies are valued in U.S. dollars based on exchange rates provided by a pricing service. The pricing vendor, pricing methodology or degree of certainty may change from time to time. Fund securities primarily traded on foreign markets may trade on days that are not business days of a Fund. Because the net asset value of Fund shares is determined only on business days of the Fund, the value of the portfolio securities of a Fund that invests in foreign securities may change on days when you will not be able to purchase or redeem shares of the Fund.

•

Short-term securities The Funds’ short-term investments are valued at amortized cost when the security has 60 days or less to maturity.


Foreign currency transactions The books and records of each Fund are maintained in U.S. dollars. Foreign currency transactions are translated into U.S. dollars on the following basis: (i) market value of investment securities, other assets and other liabilities at the daily rates of exchange, and (ii) purchases and sales of investment securities, dividend and interest income and certain expenses at the rates of exchange prevailing on the respective dates of such transactions. Each Fund does not isolate that portion of gains and losses on investments which is due to changes in foreign exchange rates from that which is due to changes in market prices of the investments. Such fluctuations are included with the net realized and unrealized gains and losses from investment transactions. Net realized gain (loss) from foreign currency transactions and the net change in unrealized appreciation (depreciation) on translation of assets and liabilities denominated in foreign currencies include gains and losses between trade and settlement date on securities transactions, gains and losses arising from the purchase and sale of forward foreign currency contracts and gains and losses between the ex and payment dates on dividends, interest and foreign withholding taxes.


Forward foreign currency contracts Each of the Funds except the Small Cap Stock Fund is authorized to enter into forward foreign currency contracts which are used primarily to hedge against foreign currency exchange rate risk on its non-U.S. dollar denominated investment securities. Forward foreign currency contracts are valued on each valuation day and the unrealized gain or loss is included in the Statement of Assets and Liabilities. When the contracts are closed, the gain or loss is realized. Realized gain and unrealized gains and losses are included in the Statement of Operations. Risks may arise from unanticipated movements in the currency’s value relative to the U.S. dollar and from the possible inability of counter-parties to meet the terms of the contracts.


Real estate investment trusts (“REITs”) There are certain additional risks involved in investing in REITs. These include, but are not limited to, economic conditions, changes in zoning laws, real estate values, property taxes and interest rates. Dividend income is recorded at the Manager’s estimate of the income included in distributions from the REIT investments. Distributions received in excess of the estimated amount are recorded as a reduction of the cost investments. The actual amounts of income, return of capital and capital gains are only determined by each REIT after the fiscal year end and may differ from the estimated amounts.


Repurchase agreements Each Fund enters into repurchase agreements whereby a Fund, through its custodian, receives delivery of the underlying securities, the market value of which at the time of purchase is required to be in an amount of at least 100% of the resale price. Repurchase agreements involve the risk that the seller will fail to repurchase the security, as agreed. In that case, each Fund will bear the risk of market value fluctuations until the security can be sold and may encounter delays and incur costs in liquidating the security. In the event of bankruptcy or insolvency of the seller, delays and costs may be incurred.


Revenue recognition Investment security transactions are accounted for on a trade date basis. Dividend income is recorded on the ex-dividend date. Interest income is recorded on the accrual basis.


Expenses Each Fund is charged for those expenses that are directly attributable to it, while other expenses are allocated proportionately among the Heritage Mutual Funds based upon methods approved by the Boards of Trustees. Expenses that are directly attributable to a specific class of shares, such as distribution fees, shareholder servicing fees and administrative fees, are charged directly to that class. Other expenses of each Fund are allocated to each class of shares based upon their relative percentage of net assets. The Funds have entered into an arrangement with the custodian whereby each Fund receives credits on uninvested cash balances which are used to offset a portion of each Fund’s expenses. These custodian credits are shown as “Expense offsets” in the Statements of Operations.


Class allocations Each class of shares has equal rights to earnings and assets except that each class may bear different expense for distribution and/or shareholder services. Income, expenses (other than expenses attributable to a specific class), and realized and unrealized gains or losses on investments are allocated to each class of shares based on its relative net assets.


Distribution of income and gains In each of the Funds, distributions of net investment income are made annually. Net realized gains from investment transactions during any particular year in excess of available capital loss carryforwards, which, if not distributed, would be taxable to each Fund, will be distributed to shareholders in the following fiscal year. Each Fund uses the identified cost method for determining realized gain or loss on investments for both financial and federal income tax reporting purposes.


Other In the normal course of business the Funds enter into contracts that contain a variety of representations and warranties, which provide general indemnifications. The Funds’ maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against the Funds and/or its affiliates that have not yet occurred. However, based on experience, the risk of loss to each Fund is expected to be remote.



Item 2. Controls and Procedures


(a)

Based on an evaluation of the disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940), the Principal Executive Officer and Principal Financial Officer of Heritage Series Trust have concluded that such disclosure controls and procedures are effective as of a date within 90 days of the filing date of this Form N-Q.


(b)

There was no change in the internal controls over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) of Heritage Series Trust that occurred during the most recent fiscal quarter that has materially affected or is reasonably likely to materially affect, its internal controls over financial reporting.


Item 3. Exhibits

(a)

Certifications of the Principal Executive Officer and Principal Financial Officer of Heritage Series Trust as required by Rule 30a-2(a) 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.


HERITAGE SERIES TRUST

Date:

March 26, 2008   

/s/ Mathew J. Calabro

Mathew J. Calabro

Principal Executive Officer

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.


Date:

March 26, 2008   

/s/ Mathew J. Calabro

Mathew J. Calabro

Principal Executive Officer

Date:

March 26, 2008

/s/ Andrea N. Mullins

Andrea N. Mullins

Principal Financial Officer

EX-99.CERT 2 hstcertification.htm

HERITAGE SERIES TRUST

FORM N-Q

CERTIFICATION

I, Mathew J. Calabro, certify that:

1.

I have reviewed this report on Form N-Q of Heritage Series Trust;

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 schedules of investments included in this report fairly present in all material respects the investments of the registrant as of the end of the fiscal quarter for which the report is filed;

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 registrant’s most recent fiscal quarter 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.




Dated:  March 26, 2008

  /s/ Mathew J. Calabro          

Mathew J. Calabro

Principal Executive Officer





HERITAGE SERIES TRUST

FORM N-Q

CERTIFICATION

I, Andrea N. Mullins, certify that:

1.

I have reviewed this report on Form N-Q of Heritage Series Trust;

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 schedules of investments included in this report fairly present in all material respects the investments of the registrant as of the end of the fiscal quarter for which the report is filed;

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 registrant’s most recent fiscal quarter 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:

March 26, 2008

   /s/ Andrea N. Mullins          

Andrea N. Mullins

Principal Financial Officer

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