With the addition of four new clients during the quarter, WP&M now has $20,103,000 under management, of which over $13 million is in common stocks, and the remainder in bonds, mutual funds, unit trusts and miscellaneous other instruments.

For the second quarter, the size-weighted composite return of all accounts including all assets was -1.38 % compared to -2.93 % for the S&P Index of 500 stocks. The figure for stocks alone was -3.3 %. For the year 2000, the composite for all accounts was 4.48 %, and for stocks alone 4.72 %. These are actual returns, not annualized. Proper evaluation of these statistics requires knowledge of the dispersion of returns. The dispersion is wide because each client is managed individually according to personal goals, objectives and circumstances. Persons interested in further data may call 317-228-0800.

New managed accounts during the period include co-owners of a computer service company, a retired consultant who previously was a financial planning client, and a manager of a conference/hospitality facility. WP&M lost no clients this year.

WP&M has automated its system for preparing customer invoices. Two clients observed discrepancies, which have been resolved.

WP&M was audited by an officer of The Indiana Securities Division. All records and procedures were considered in order. Two "suggestions" were made. One suggestion is to remind clients who receive copies of invoices that invoices will be paid by custodians, this to avoid duplicate payments. Also, the auditor suggested two technical changes in the investment management contract to be implemented at the next printing of the contract.

Discussions with other financial services professionals continue toward the goal of expanding the staff and support services of WP&M.

JWG 7-19-2000