CONSOLIDATED BALANCE SHEET

June 30, 2005

(Unaudited)

ASSETS

Current Assets:

  Cash and cash equivalents

$ 1,464,427

  Securities - restricted 

2,159,133

  Marketable securities

440,635

  Management and distribution fees receivable

101,156

  Other receivables

175,025

  Prepaid expenses and other current assets

        51,002

      Total Current Assets

   4,391,378

  Securities - restricted

4,490,912

  Equipment, furniture and fixtures, net

62,289

  Intangible assets, net

500,798

  Other Assets

      383,727

   5,437,726

      Total Assets

  $9,829,104

Current Liabilities:

  Accounts payable and accrued expenses

$306,274

  Accrued professional fees

74,879

  Accrued compensation costs

28,575

  Deferred income taxes

__198,460

       Total Current Liabilities

    608,188

Deferred Income Taxes

    477,740

Shareholders' Equity:

  Common Stock, $0.1 par value

  Class A, 10,000,000 shares authorized;

  1,519,867 shares issued and outstanding

15,198

  Class B, 20,000 shares authorized;

  20,000 shares issued and outstanding

200

  Additional paid-in capital

5,828,764

  Retained earnings

   2,899,014

      Total Shareholders' Equity

   8,743,176

      Total Liabilities and Shareholders' Equity

$9,829,104

CONSOLIDATED STATEMENTS OF INCOME

(Unaudited)

            Three Months

         Six Months

           Ended June 30,

       Ended June 30,

2005

2004

2005

2004

Revenues:

  Management, distribution, and other fees

 $ 349,742

 $ 363,716

$715,781

$766,421

  Dividends and interest

       7,510

 3,944

   15,455

   6,392

  Realized and unrealized gain (loss) 

     from investments

 1,211,306

(1,349,791)

841,010

  450,642

 1,568,558

 (982,131)

1,572,246

1,223,455

Expenses:

  General and administrative

   220,856

   203,128

451,900

  394,298

  Marketing

     84,694

   123,474

189,615

  241,542

  Expense reimbursement to affiliated mutual fund

     27,706

 41,316

55,813

   80,539

  Professional fees

     31,422

 32,016

49,511

   53,016

  Amortization and depreciation  

   18,029

     21,050

 36,057

    39,692

  382,707

    420,984

 782,896

  809,087

Income (loss) before income taxes

1,185,851

(1,403,115)

789,350

  414,368

Income tax expense (benefit) 

 484,245

  (534,328)

328,118

  194,072

Net Income (loss)

 $701,606

 $(868,787)

$461,232

$220,296

Per share net income (loss):

   Basic

  $  0.46

$(0.58)

$0.30

     $0.15

   Diluted

  $  0.46

$(0.58)

$0.30

     $0.14

Average shares outstanding:

   Basic

1,519,867

 1,509,867

1,519,317

1,504,502

   Diluted

1,526,994 

 1,509,867

1,525,853

1,523,055

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

                                   Six Months

                                Ended June 30,

          2005

 2004

Cash Flows from Operating Activities:

Net Income

      $ 461,232

$ 220,296

Adjustments to reconcile net income to net cash provided

  by (used in) operating activities:

  Depreciation and amortization 

          36,057

     39,692

  Realized and unrealized gain on investments

        (841,010)

   (450,642)

  Increase in cash value of life insurance

         (16,500)

     (16,414)

  Increase in deferred income taxes

317,200

    147,270

Decrease  in receivables and other assets

  63,461

    199,561

(Decrease) increase in accrued expenses and

   other liabilities

                (22,565)

      26,251

  Net cash (used in) provided by operating activities 

                 (2,125)

    166,014

Cash Flows from Investing Activities:

  Proceeds from sale of investments

           3,326

       76,367

  Cost of purchases of investments

               (235,789)

     (192,525)

  Capital expenditures 

         -

        (7,613)

    Net cash used in investing activities 

               (232,463)

     (123,771)

Cash Flows from Financing Activities:

  Issuance of stock

        15,000

       70,263

  Purchase of treasury stock 

         -

     (140,648)

  Net cash provided by (used in) financing activities 

 15,000

      (70,385)

    Net decrease in cash and cash equivalents

              (219,588)

            (28,142)      

Cash and Cash Equivalents

  Beginning of period

     1,683,748

    1,108,426

  End of period

   $1,464,427

  $1,174,258