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 (9/30/05) AS COMPARED TO THE MSCI WORLD INDEX11
	Average Annual Total Returns (as of 09/30/05)
	Total Return Last 3 Months*	1-year	5-year	Since Inception (8/4/99)
Oakmark Global Fund (Class I)	8.29%	23.88%	18.62%	16.53%
MSCI World	6.98%	18.93%	0.27%	1.30%
Lipper Global Fund Index12	8.04%	20.60%	1.03%	3.58%
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 Global Fund appreciated 8% for the quarter, outperforming the MSCI World Index, which was up 7%. More importantly, over the past five years, The Oakmark Global Fund has returned 19% annualized, compared to an unchanged MSCI World Index and a 1% return for the Lipper Global Fund Index.

Change in Co-Portfolio Manager

On October 1, 2005, Robert Taylor was named co-portfolio manager of The Oakmark Global Fund, replacing Michael Welsh. Michael is retiring from Harris Associates L.P., the Fund's adviser, in January 2006. We wish to extend our heartfelt thanks to Michael for his tremendous contribution to the Fund's success. We will miss him as a colleague, and we wish him and his family the best success in all future endeavors.

All of us at Harris Associates are very excited to have Rob join the Fund. With the firm since 1994, Rob has managed other global accounts since 2002, and serves as the Director of International Research. Rob received his BBA from the University of Wisconsin-Madison (1994) and is a CFA charterholder®.

We will continue to manage The Oakmark Global Fund using the same value philosophy employed since its inception. 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, fundamental research. Finally, the Fund is constructed stock-by-stock from the bottom-up, meaning industry and geographic weightings are simply a fall out of our stock selection.

Portfolio Composition

We added Tyco International Ltd. to the portfolio this quarter. Tyco, with more than a $50 billion market capitalization, is a conglomerate with four major divisions: fire and security, electronics, healthcare, and engineered products. The company may be best known for the corporate governance problems of its previous management team, which left the company in 2002. Over the past three years, the new management team has improved operations, reduced debt, sold some non-core businesses, and made the company's accounting practices conservative and transparent. Many of Tyco's subsidiary companies have market-share-leading positions in growing industries. Our opportunity to purchase the stock developed when management reduced earnings guidance for the second half of 2005. Tyco generates more than $4 billion of free cash flow per year, affording management considerable operating flexibility. We would not be surprised to see management restructure the company over time, because of the minimal synergies between the four major divisions.

BMW, which manufactures and sells luxury cars and motorcycles worldwide, was also added to the Fund this quarter. Because of its premium brand and product innovation, the company's growth, operating margins, and returns have been some of the best in the industry. Unlike its U.S. competitors, BMW does not face excessive pension obligations and has a very healthy balance sheet. Given the strength of the brand, management does not have to rely on excessive price discounts to move volume.

Through the first half of the year, deliveries were up almost 10%. Operational management has been strong, but now even capital management is improving, as evidenced by a recent 3% share repurchase that is authorized to extend to 10%. Today BMW sells for 10x earnings and less than 6x operating profit. The stock yields 2% and is trading at a significant discount to our estimate of intrinsic value.

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—September 30, 2005

Schedule of Investments—September 30, 2005