THE OAKMARK GLOBAL FUND Report from Clyde S. McGregor and Michael J. Welsh, Portfolio Managers

THE VALUE OF A $10,000 INVESTMENT IN THE OAKMARK GLOBAL FUND FROM ITS INCEPTION (8/4/99) TO PRESENT (6/30/05) AS COMPARED TO THE MSCI WORLD INDEX15
	Average Annual Total Returns
	(as of 6/30/05)
	Total Return Last 3 Months*	1-year	5-year	Since Inception (8/4/99)
Oakmark Global Fund (Class I)	0.64%	11.13%	17.94%	15.72%
MSCI World	0.41%	10.05%	-2.09%	0.21%
Lipper Global Fund Index16	0.48%	10.39%	-1.22%	2.38%

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

Fellow Shareholders,

The Oakmark Global Fund was up slightly for the three-month period ending June 30, 2005, compared with small gains for the MSCI World Index and the Lipper Global Fund Index, respectively. More importantly, over the past five years, The Oakmark Global Fund has returned 18% annualized, compared to annualized declines of 2% for the MSCI World Index and of 1% for the Lipper Global Fund Index.

Portfolio Changes

We added three new positions during the quarter: NTT DoCoMo, Rohm Company (both in Japan), and Harley-Davidson Inc. (U.S.).

As mentioned in this quarter's Oakmark International Fund shareholder letter DoCoMo is Japan's largest wireless service provider, with a current market share of 56%. The business has attractive returns, very strong expected free cash flow generation, and good potential to expand comparatively low profit margins.

The share price is trading at close to an all-time low, near the same level as its original listing back in 1998. DoCoMo trades at roughly 8.5x our estimate of current year operating profit, which we think is very attractive for this business. Finally, we are encouraged by management's improving shareholder focus. For example, in 2004 the company returned 90% of net income to shareholders via buybacks and dividends (up from 5% in 2001).

Rohm Company is a global leader in integrated chips and electronic components with a terrific record of profitability and return on invested capital. Two recent developments convinced us that Rohm was compelling enough to add to the portfolio. First, the share price hit a seven-year low, expanding the discount to intrinsic value. Second, management initiated the company's first-ever share repurchase program; this is a crucial consideration given that cash and securities on Rohm's balance sheet represent roughly 40% of the market capitalization.

Harley-Davidson, unlike DoCoMo and Rohm, is a name with which most of you are much more likely to be familiar. It has a consistent record of high unit volume growth coupled with very high returns on capital. What piqued our interest in the company was a one-day share price drop of 17%, prompted by investors' very short-term concerns about first quarter 2005 earnings. Management has capitalized upon the share price decline to step up their already aggressive share repurchase program, authorizing an additional 20 million shares (approximately 7% of the share capital). We think the market's undue emphasis on the short-term is giving us a very attractive long-term opportunity with Harley.

It is important to note that, with the addition of the two new positions in Japan, the Fund's weighting there has gone from just over 7% to nearly 11% over the past three months. As discussed in last quarter's letter, a geographic weighting is strictly a fall-out of our bottom-up, stock selection process, not a top-down, macroeconomic "call." We are focused on companies, not countries. Shareholders that have been with us for awhile will remember that over the years it has been difficult to find businesses in Japan that meet both our requirement of substantial discount to business value and a shareholder-oriented management. We believe both DoCoMo and Rohm meet those requirements.

Looking Forward

We will continue to manage the portfolio using the same value discipline described above. We remain excited about the value and quality of the names in the Fund. Thank you for your continued confidence and support.

Clyde S. McGregor, CFA Portfolio Manager mcgregor@oakmark.com	Michael J. Welsh, CFA, CPA Portfolio Manager mwelsh@oakmark.com

Global Diversification—June 30, 2005 (Unaudited)

Schedule of Investments—June 30, 2005 (Unaudited)