THE VALUE OF A $10,000 INVESTMENT IN THE OAKMARK GLOBAL FUND FROM ITS INCEPTION (8/4/99) TO PRESENT (3/31/01) AS COMPARED TO THE MSCI WORLD INDEX17
3/31/01 NAV2 $11.23	Total Return Last 3 months*	Average Annual Total Return3 Through 3/31/01 From Fund Inception 8/4/99
The Oakmark Global Fund	-0.71%	8.62%18
MSCI World Index w/inc.	-12.85%	-7.76%
Lipper Global Fund Index19	-12.34%	-1.30%
*Not annualized.

Fellow Shareholders,

The Oakmark Global Fund declined 0.7% for the three-month period ending March 31, 2001. While we are never satisfied when the Fund is even marginally down, this period the Fund's performance on a relative basis was very strong, as the MSCI World Index and the Lipper Global Fund Index both posted much more substantial losses of 12.9% and 12.3%, respectively.

From inception, the Oakmark Global Fund has achieved annualized returns of 8.6% compared to losses of 7.8% and 1.3% for the MSCI World Index and the Lipper Global Fund Index respectively.

Your Fund has weathered the extreme volatility in global equity markets well. We continue to believe that this volatility is good for long-term value investors as it results in greater gaps between business value and market value. In other words, the opportunity the market is currently providing would not be as abundant if share prices were more stable.

A Short History Lesson

Your fund was launched in August of 1999, timed almost to the day of the parabolic surge upward of the NASDAQ⁶ market. Given our style of investing and 20-20 hindsight, the timing could have been better. It was a period of unparalleled optimism and confidence in the global marketplace. Pundits claimed that the new technology-led paradigm was to transform the global economy. Stock market investors believed high rates of growth were sustainable into perpetuity and earnings and cash flow were unimportant.

There was no stronger reflection of this optimism than the technology filled indices such as the U.S. NASDAQ, Europe's EASDAQ, and Korea's KOSDAQ. These "new economy" indices soared to spectacular gains. In Germany, the Neu Market created a new avenue for young companies to access capital. Companies with short histories, limited float, and even more limited profitability sported market valuations in excess of some of the most entrenched and profitable "old economy" companies. Even in Japan, where economic fundamentals remained difficult, this segment of the stock market showed substantial gains. The quintessential Japanese "tech" stock was Hikari Tsushin, a cellular service retailer with a few internet investments which surged to a US$68 billion market valuation at its peak (it's now worth less than 1% of that number).

No region of the world was immune from the mania. In Europe, given the relative lack of technology companies, investors clamored for any business that could be considered even a close substitute, such as telecommunications and media companies. Suddenly, former government owned telephone companies facing new competition were considered high growth technology companies. As with other investment fads, the lure of generating huge gains in a short period of time pushed capital into "new economy" stocks, and the receding tide of money left the share prices of many quality businesses at undeserved discounts to value.

As value investors, we viewed this moment as a tremendous opportunity to invest at bargain prices. Companies with long-term track records of profitable growth, able management, and competitive market positions were available at prices significantly below our view of intrinsic worth. Although troubling economic signs were on the horizon, valuations had completely detached from fundamentals, whether macro or microeconomic.

About a year ago, for a variety of reasons, this all began to change. The collective amnesia toward investment fundamentals started to fade. The share prices of legitimate businesses began to outperform those of over-hyped concepts. This change in sentiment is best shown in the strong investment results of your Fund. For the twelve months ended March 31, 2001, the Oakmark Global Fund was up 14.1%, compared with large declines of 25.1% and 23.3% in the MSCI World Index and in the Lipper Global Fund Index respectively.

Philosophy and Discipline

For a value philosophy to be successful it must be implemented with discipline. We search for companies that are priced at a substantial discount to their true business value and are run by managers who think and act as owners. We base our investment decisions on our own intensive, independent, fundamental research. The portfolio is focused and is constructed and monitored with strict buy and sell targets and investments are made with a long-term horizon. This disciplined execution of our value philosophy has successfully preserved capital and generated superior investment returns over many market cycles.

We will continue to manage the portfolio using the same value discipline described above. We remain excited about the values in the portfolio and believe that over the long-term it will continue to provide superior investment returns. We thank you for your support.

Michael J. Welsh, CFA, CPA

Portfolio Manager
102521.2142@compuserve.com

Gregory L. Jackson

Portfolio Manager
gjackson@oakmark.com

April 5, 2001