This year, there has been a slight but noticeable shift in var-iable annuity assets away from equity subaccounts toward fixed accounts and bonds. Following are variable annuity assets sorted by investment objective as of June 30, 2002.

As a percent oftotal assets6/30/0212/31/01

Equity54.5%58.5%

Fixed Accounts25.222.3

Balanced7.77.8

Bonds8.07.0

Money Market4.64.5

Source: National Assn. of Variable Annuities