THE OAKMARK SELECT FUND Report from Bill Nygren and Henry Berghoef, Portfolio Managers

THE VALUE OF A $10,000 INVESTMENT IN THE OAKMARK SELECT FUND FROM ITS INCEPTION (11/1/96) TO PRESENT (3/31/05) AS COMPARED TO THE STANDARD & POOR'S 500 INDEX3
	Average Annual Total Returns (as of 3/31/05)
	Total Return Last 3 Months*	1-year	5-year	Since Inception (11/1/96)
Oakmark Select Fund (Class I)	0.12%	7.24%	12.54%	19.98%
S&P 500	-2.15%	6.69%	-3.16%	7.96%
S&P MidCap 4008	-0.40%	10.43%	6.87%	13.95%
Lipper Mid Cap Value Index9	-0.22%	12.96%	9.92%	10.90%
The graph and table do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares.
The performance data quoted represents past performance. The above performance information for the Fund does not reflect the imposition of a 2% redemption fee on shares held for 90 days or less to deter market timers. If reflected, the fee would reduce the performance quoted. Past performance does not guarantee future results. The investment return and principal value will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. Average annual total return measures annualized change, while total return measures aggregate change. To obtain current month end performance data, call 1-800-OAKMARK or visit www.oakmark.com.
* Not annualized

The Oakmark Select Fund was flat for the quarter. This compared favorably to the 2% loss for the S&P 500. Strong performance by YUM Brands, Toys R Us, Burlington Resources, and Office Depot, each of which increased by over 10%, was the primary reason our return exceeded the market return. YUM Brands (Taco Bell, Pizza Hut, KFC), our second largest holding, is benefiting from KFC's dominant position in China. Last year, 15% of YUM's income came from China. Since 1998, China income has been growing at over 30% per year compounded. Looking forward, the percentage of YUM income earned in China should continue to increase. Despite the strong performance of YUM stock, we don't believe it has yet become fully valued.

During the quarter, we purchased shares in JP Morgan and Viacom. Viacom is a leading provider of cable television programming (MTV, Nickelodeon, Comedy Central, VH1, BET, Show-time, Movie Channel). In addition, Viacom owns Paramount, the CBS network, and the Infinity radio network. Viacom stock has performed poorly for several years as investors have focused on disappointing radio results. We believe most of the value is in the cable television networks, and they have been performing very well. We sold our positions in Office Depot and Toys R Us. Five years ago, we started buying Toys R Us at just over $10 per share. We thought new management would succeed at turning around the toy stores. We were wrong. Fortunately, the value of real estate under the toy stores, combined with the value of their highly successful Babies R Us stores, was enough to justify the acquisition of the company for nearly $27 per share. The success of our investment in Toys R Us, despite our inaccurate assessment of their primary business, demonstrates the importance of our focus on risk. When we first bought Toys R Us we said that even if the turnaround failed, the value of the assets should significantly exceed our entry price. Had the turnaround succeeded, we would have made more money, but we only wish that all our "mistakes" had such a profitable outcome.

Best wishes,

William C. Nygren, CFA Portfolio Manager bnygren@oakmark.com	Henry R. Berghoef, CFA Portfolio Manager berghoef@oakmark.com

Schedule of Investments—March 31, 2005 (Unaudited)