CAPITAL GROWTH MANAGEMENT LIMITED
Boston, Massachusetts 02110
For information about:
n Account Procedures and Status
n New Account Procedures
n Proxy Voting Policies and Voting Records
n Complete Schedule of Portfolio Holdings
for the 1st & 3rd Quarters (as filed on Form N-Q)
CGM Shareholder Services
c/o Boston Financial Data Services
P.O. Box 8511
Boston, MA 02266-8511
This report has been prepared for the shareholders of the
Fund and is not authorized for distribution to current or
prospective investors in the Fund unless it is accompanied or
preceded by a prospectus.
Printed in U.S.A.
317th Quarterly Report
June 30, 2009
A No-Load Fund
Capital Growth Management
CGM Mutual Fund increased 6.9% during the
second quarter of 2009 compared to the unmanaged
Standard and Poor’s 500 Index which grew 15.9%
and the Merrill Lynch U.S. Corporate, Government
and Mortgage Bond Index which returned 1.5%. For
the first six months of the year, returns were –3.0%
for CGM Mutual Fund, 3.2% for the unmanaged
S&P 500 Index and 1.6% for the Merrill Lynch U.S.
Corporate, Government and Mortgage Bond Index.
An optimistic U.S. equity market began its move up
on March 10, 2009, hopeful that credit lines would
soon reopen and investors would gradually assume
more risk. Following in the market’s wake was the
April Consumer Confidence Index number which
rose 13.9 points from the month before to 40.8.
Other economic indicators suggested the contraction
was drawing to an end and even some of the less
promising economic news made public in April—
such as first quarter Real Gross Domestic Product
which declined –5.5% in the previous quarter—had
already been factored into the market and failed to
discourage equity investors.
In early May, the government released