nvcsr

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES

Investment Company Act file number 811-03015

Ohio National Fund, Inc.

(Exact name of registrant as specified in charter)


One Financial Way, Cincinnati, Ohio		45242

(Address of principal executive offices)		(Zip code)

CT Corporation 300 E. Lombard St. Suite 1400 Baltimore, MD 21202

(Name and address of agent for service)

Registrant’s telephone number, including area code: 513-794-6971

Date of fiscal year end: December 31

Date of reporting period: December 31, 2010

Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles.

A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget (“OMB”) control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. § 3507.

Item 1. Reports To Stockholders.


President’s Message

Dear Investor:

Looking back, 2010 appears to have been a very good year for investors. The S&P 500^® Index finished the year up more than 15 percent. This was after an even better 2009, which saw the S&P 500^® Index increase over 26 percent. However, even after a two-year bull market and a 45 percent increase in the S&P 500^® Index, equity investors still have not completely recovered from losses sustained in 2008. The lingering aftereffects of that significant downturn, plus some of the regulations that followed, may explain why businesses now hold more cash on their balance sheets than at any other time since World War II. Perhaps that’s why many individuals elected to stay invested in fixed-income funds (where returns have been less volatile), but then missed the equity run-up of the last two years. For many, the recovery in 2010 didn’t feel permanent. However, this may portend good things for 2011.

As the memory of 2008 fades, individual investors may become more comfortable with equity risk and move away from fixed income. This will be especially true if the interest rates rise, further diminishing fixed-income returns. Also, if the business community can be assured that there will be a more stable regulatory environment going forward, they may be willing to invest larger cash balances, which would encourage job growth and further stimulate the economy. This influx of capital into the equity markets and economic expansion should continue to drive equities higher. Major potential roadblocks to this scenario are political risk (as evidenced by recent events in Egypt) and a lack of job creation. It is doubtful that equity market returns can stay above average for very long with unemployment around 10 percent. A jobless recovery simply does not have “legs.”

The Ohio National Fund

As was predicted in the previous President’s Messages, 2010 was a more difficult year to manage money than 2009. While all Portfolios posted positive returns (with the exception of the Money Market Portfolio, which had a zero return due to continued low interest rates), many struggled to outperform their respective benchmarks. During 2010, 15 of the 21 actively managed Portfolios (excluding the S&P 500^® Index and Nasdaq-100^® Index Portfolios, as well as the Money Market Porfolio) underperformed their respective benchmarks, compared to six Portfolios in 2009. Some Portfolios were able to perform well during the first quarter, but not as well during the second quarter. I believe this was due to the volatility of the marketplace and the lack of a clear direction. Portfolio managers may have not believed that the bull market run would continue in early 2010, and positioned their portfolios more defensively, thus missing the continued run-up. Others may have expected the bull market to continue; therefore, their portfolios underperformed during the second quarter slowdown. Several Portfolios did perform well, beating both their respective benchmarks and peer groups. These included the International Portfolio, sub-advised by Federated Investors; the Capital Appreciation Portfolio, sub-advised by Jennison; and the Capital Growth Portfolio, sub-advised by Eagle. The Capital Growth Portfolio performed particularly well, outperforming its benchmark by 733 basis points for the year and ranking in the top 5 percent of its peer group.

Looking Ahead

I expect that 2011 will be more about fundamental stock-picking and analysis than macro economic decisions and continued expansion. The economy is on firmer footing now than it has been in some time, although we are not completely out of the woods (and won’t be until the unemployment picture improves). However, I think that greater stability in the economy and less volatility in the equity markets will allow our portfolio managers to focus on fundamentals of their business, which is to build high-quality investment portfolios designed to outperform their benchmarks. I expect good things from our portfolio managers in 2011.

Thank you for entrusting your assets to the Ohio National Fund. We look forward to serving your investment needs.

Sincerely,

Christopher A. Carlson
President

Directors and Officers of Ohio National Fund, Inc.

John J. Palmer, Director

James E. Bushman, Director

George M. Vredeveld, Director

John I. Von Lehman, Director

Christopher A. Carlson, President

Thomas A. Barefield, Vice President

Dennis R. Taney, Chief Compliance Officer

R. Todd Brockman, Treasurer

Catherine E. Gehr, Assistant Treasurer

Kimberly A. Plante, Secretary

Katherine L. Carter, Assistant Secretary

The Statement of Additional Information of Ohio National Fund, Inc. (the “Fund”) includes additional information about the Fund’s Board of Directors (the “Board”) and is available, without charge, upon request, by calling 877-781-6392 toll-free.

A description of the policies and procedures that the Fund uses in voting proxies relating to Fund securities, as well as information regarding how the Fund voted proxies during the most recent twelve-month period ended June 30, is available without charge, upon request, by calling 877-781-6392 toll-free and on the Securities and Exchange Commission (the “Commission”) website at http://www.sec.gov.

The Fund has filed its Schedules of Investments as of March 31 and September 30 with the Commission, as required, on Form N-Q. Form N-Q is required to be filed with the Commission for the first and third quarters of each fiscal year within sixty days after the end of each period and is available on the Commission website upon acceptance of each submission. The Fund’s Forms N-Q may be reviewed and copied at the Commission’s Public Reference Room in Washington, DC. Information about the Public Reference Room is available by calling 1-800-SEC-0330.

This report and the financial statements contained herein are submitted for the general information of the shareholders of the Fund. This report is not authorized for distribution to prospective investors in the Fund unless preceded or accompanied by an effective prospectus of Ohio National Fund, Inc. For a prospectus containing more complete information, including charges and expenses, please contact Ohio National Investments, Inc., One Financial Way, Cincinnati, OH 45242, telephone 513-794-6100.


Ohio National Fund, Inc.	Equity Portfolio

Objective/Strategy

The Equity Portfolio seeks long-term growth of capital by investing at least 80% of its assets in equity securities.

Performance as of December 31, 2010


Average Annual Total Returns:
One year			7.91%
Five years			-7.40%
Ten years			-1.35%

Past performance does not guarantee future results. The performance data quoted represents past performance and current returns may be lower or higher. Total return figures include change in share price and reinvestment of dividends and capital gains. The investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than the original cost. To obtain performance information up to the most recent month end, call toll-free 1-877-781-6392.

The Portfolio is not open to direct retail investment. Beneficial interest in shares is obtained solely by purchase of variable life insurance policies and variable annuity contracts. Actual performance results for variable annuity and variable universal life contracts will be lower due to contract charges. Consult your contract for applicable charges.

Comments

For the year ended December 31, 2010, the Equity Portfolio returned 7.91% versus 15.06% for the current benchmark, the S&P 500 Index.

Relative Portfolio underperformance was driven by security selection decisions and the interaction of security selection and sector allocation choices, although sector allocation decisions also detracted from performance. At the sector level, the Portfolio’s relative underperformance was driven by relative overweights in the Utilities and Information Technology sectors, which underperformed the benchmark, and relative underweight positions in the Consumer Staples and Industrials sectors, which outperformed the benchmark. However, a relative underweight position in Energy was aided by positive security selection and contributed positively to the Portfolio’s performance over the year. An overweight position in Health Care, which outperformed the benchmark, contributed positively to the Portfolio’s performance. At the security level, Sears Holdings Corp., The AES Corp., and Hewlett-Packard Co. were the top three detractors from performance, while Genzyme Corp., Transocean Ltd., and Aflac, Inc. were the top contributors to performance during 2010.⁽¹⁾

Stocks carried over their 2009 rally into early 2010 despite rumblings from Europe regarding sovereign debt concerns in Greece. Markets entered a correction phase in April when the European Union and International Monetary Fund announced they would collaborate to bail out Greece from its debt woes. However, investors were unconvinced that the trouble was over, and yields on other European sovereign debt including Ireland, Spain and Portugal, rose as the summer began. The U.S. economy also hit a “soft patch” of negative economic data, while China’s government took steps to slow the red-hot pace of growth in that country; neither of which helped stocks during the summer. Markets rebounded in the fall, posting two of the strongest months in recent memory in September and December. The announced plan to rescue Ireland from its debt burden, coupled with positive economic data in the U.S., helped boost equities in the final four months of the year. The S&P 500 Index ended 2010 up 15.1%, while the Dow Jones Industrial Average Index finished up 14.1%. The tech-heavy Nasdaq Composite Index climbed 18.2%. Mega caps lagged their smaller cousins, and the S&P 100 Index rose just 12.5%, compared to the S&P 400 Midcap Index’s 26.6% increase and the broader Russell 2000 Index’s 26.9% advance. Growth names outpaced their value counterparts by about 120 basis points. The Russell 1000 Growth Index climbed 16.7% compared to the Russell 1000 Value Index’s 15.5% gain in 2010.

Hewlett-Packard Co. shares were a detractor from performance over the past twelve months due mostly to investor reaction to the departure of CEO Mark Hurd in early August. The appointment of former SAP head Leo Apotheker as Hurd’s replacement in September failed to reassure investors worried about the software giant’s direction. However, we do not think the fundamental story for Hewlett-Packard Co. has changed. Margins in the services segment should continue to grow thanks to both secular and structural changes in the industry. Because Hewlett-Packard Co.’s product portfolio is fairly built out at this point, we think the company will increase its focus on returning more of its nearly $11 billion in cash to shareholders through share repurchases and dividends.⁽¹⁾

The AES Corp. was a top detractor in the Portfolio as its dilutive capital infusion from the China Investment Corporation (CIC) in late 2009 continued to weigh on shares into early 2010, while investor confidence in the global economic recovery — and thus demand for power — wavered over the course of the year. By July, the tide seemed to be turning somewhat for The AES Corp., and the company announced a $500 million share repurchase authorization. After another slight dip to start the fourth quarter, December turned out to be a strong month for The AES Corp. as the company announced a joint venture in Turkey that should give it a growth platform in a country that The AES Corp. has identified as a desirable opportunity. Ultimately, we continue to believe the current stock price drastically understates the value of The AES Corp.’s existing assets, as well as projects under construction, and gives little to no credit to the company’s global growth opportunities.⁽¹⁾

Sears Holdings Corp. had a tumultuous 2010 as the economic “soft patch” during the middle of the year and the end of a government program that subsidized energy-efficient appliances took their toll on the retailer. The company was slammed after both its second and third quarter earnings releases came up short of analyst expectations, even as competitors were showing improved strength. While we took heart from company chairman Eddie Lampert’s sound strategic move on Sears Canada and believed that the market was pricing in excessively thin margins in the name, we exited the position toward the end of August for the more favorable risk-reward opportunity presented by Best Buy Co., Inc.⁽¹⁾

While lingering manufacturing continued to weigh on Genzyme Corp.’s shares into the summer, rumors of a potential takeout, followed by a formal buyout offer at a significant premium from Sanofi-Aventis, boosted shares in July. We still believe Genzyme Corp. represents a solid biotechnology franchise with years of profitable growth ahead of it, but we felt the Sanofi-Aventis bid reflected much of this value, leaving little upside. As a result, we have exited the position.⁽¹⁾

We purchased Transocean Ltd. after April’s explosion in the Gulf of Mexico cut the stock in half on worries about the future liabilities stemming from the accident. Our analysis indicated investors were selling first and asking questions later, as the stock price was discounting what we saw as inordinately large liabilities and a sharp permanent decline in the economics of the offshore drilling market. Though we — along with everyone else in the market — were dealing with imperfect information, we thought both worries were overblown and that the odds favored an investment at those levels. The stock has bounced higher as the well was capped, as the environmental and economic damage to the Gulf started to come in short of a worst-case scenario, and as we approach resumption of

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Ohio National Fund, Inc.	Equity Portfolio (Continued)

Gulf drilling, albeit at a limited scale initially. We have trimmed the position somewhat, as the expectations gap has narrowed; though we believe there are still several reasons to own the stock including the company’s new capital allocation policy, a favorable long-term view of the offshore drilling market, and the tailwind provided by macro and technical factors.⁽¹⁾

Insurer Aflac, Inc. churned upward during the last year, rising from the battering it took in the depths of the European sovereign debt crisis as investors turned their attention to the firm’s stellar economic performance. Aflac, Inc. exceeded analyst expectations in three of the year’s quarters and matched them in the fourth, as expansion in the company’s Japanese division was more than enough to offset the weakness in U.S. operations. The company continued to fortify its already strong capital position, as its risk-based capital ratio steadily improved over the course of the year. While the company’s initial share repurchase authorizations have been modest, we believe there is considerable upside to the company’s share repurchase outlook given its powerful business performance and stores of excess capital. With one of the lowest exposures in the industry to a prolonged period of low interest rates, the capacity to generate returns on equity at nearly three times the level of peers, and a modest forward valuation premium, we believe Aflac, Inc. still has plenty of potential.⁽¹⁾

With the economy showing clear signs that the recovery is gaining traction, corporate earnings continuing to surprise on the upside, and equity valuation levels quite attractive, we think the burden of proof is now on the bears as to why 2011 should not be a good year for U.S. stocks. That doesn’t mean that investors still don’t have plenty of things about which to worry; they clearly do. We believe the good will far outweigh the bad in 2011 and stocks will, in our judgment, make solid upward progress. As to what could potentially impede or derail our bullish outlook for 2011, in addition to the risks posed by rising interest rates, oil prices over $100 per barrel, a possible economic slowdown in China, or a re-escalation of the sovereign debt crisis in Europe, we would offer two candidates: (1) turmoil in the municipal bond market arising from the gaping budget deficits in a number of prominent states and municipalities, and (2) failure by Congress to address the long-term structural imbalance in the Federal budget.⁽¹⁾


⁽¹⁾	The Portfolio’s composition is subject to change. Holdings and weightings are as of December 31, 2010.

Change in Value of $10,000 Investment


			S&P 500
	Equity Portfolio		Index
12/31/2000		10000		10000
06/30/2001		10439		9330
12/31/2001		9156		8811
06/30/2002		7632		7652
12/31/2002		7440		6864
06/30/2003		9079		7671
12/31/2003		10738		8833
06/30/2004		11107		9137
12/31/2004		12074		9794
06/30/2005		11800		9715
12/31/2005		12811		10275
06/30/2006		12191		10553
12/31/2006		13665		11898
06/30/2007		14345		12726
12/31/2007		12860		12552
06/30/2008		9325		11056
12/31/2008		5811		7908
06/30/2009		6542		8158
12/31/2009		8083		10001
06/30/2010		7187		9335
12/31/2010		8723		11507

Hypothetical illustration based on past performance. Future performance will vary. The Portfolio’s returns reflect reinvested dividends. The Portfolio’s holdings may differ significantly from the securities in the index. The index is unmanaged and therefore does not reflect the cost of portfolio management and accounting.

The S&P 500 Index is a capitalization-weighted index designed to measure performance of the broad domestic economy through changes in the aggregate market value of 500 stocks representing all major industries. The index presented herein includes the effects of reinvested dividends.

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Ohio National Fund, Inc.	Equity Portfolio


Schedule of Investments	December 31, 2010


Common Stocks – 97.5%		Shares		Value


CONSUMER DISCRETIONARY – 13.3%
Ford Motor Co. (Automobiles)	(a)		237,900	$	3,994,341
General Motors Co. (Automobiles)	(a)		73,600		2,712,896
Yum! Brands, Inc. (Hotels, Restaurants & Leisure)			69,100		3,389,355
Amazon.com, Inc. (Internet & Catalog Retail)	(a)		27,550		4,959,000
Eastman Kodak Co. (Leisure Equip. & Products)	(a)		829,590		4,446,602
DIRECTV Class A (Media)	(a)		9,900		395,307
Time Warner, Inc. (Media)			183,700		5,909,629
Best Buy Co., Inc. (Specialty Retail)			99,500		3,411,855

					29,218,985

CONSUMER STAPLES – 2.8%
PepsiCo, Inc. (Beverages)			52,500		3,429,825
Wal-Mart Stores, Inc. (Food & Staples Retailing)			49,800		2,685,714

					6,115,539

ENERGY – 6.6%
Transocean Ltd. (Energy Equip. & Svs.)	(a)		49,800		3,461,598
BP PLC — ADR (Oil, Gas & Consumable Fuels)			121,400		5,362,238
ConocoPhillips (Oil, Gas & Consumable Fuels)			82,700		5,631,870

					14,455,706

FINANCIALS – 27.0%
BlackRock, Inc. (Capital Markets)			8,850		1,686,633
Goldman Sachs Group, Inc. / The (Capital Markets)			32,200		5,414,752
Morgan Stanley (Capital Markets)			99,300		2,701,953
Wells Fargo & Co. (Commercial Banks)			204,700		6,343,653
American Express Co. (Consumer Finance)			99,800		4,283,416
Capital One Financial Corp. (Consumer Finance)			119,100		5,068,896
Bank of America Corp. (Diversified Financial Svs.)			403,800		5,386,692
Citigroup, Inc. (Diversified Financial Svs.)	(a)		1,370,800		6,483,884
JPMorgan Chase & Co. (Diversified Financial Svs.)			143,200		6,074,544
NYSE Euronext (Diversified Financial Svs.)			199,200		5,972,016
Aflac, Inc. (Insurance)			106,705		6,021,363
MetLife, Inc. (Insurance)			83,000		3,688,520

					59,126,322

HEALTH CARE – 11.3%
Amgen, Inc. (Biotechnology)	(a)		14,400		790,560
Gilead Sciences, Inc. (Biotechnology)	(a)		132,700		4,809,048
Medtronic, Inc. (Health Care Equip. & Supplies)			60,900		2,258,781
Aetna, Inc. (Health Care Providers & Svs.)			147,709		4,506,602
UnitedHealth Group, Inc. (Health Care Providers & Svs.)			105,800		3,820,438
Johnson & Johnson (Pharmaceuticals)			41,500		2,566,775
Merck & Co., Inc. (Pharmaceuticals)			110,700		3,989,628
Pfizer, Inc. (Pharmaceuticals)			118,400		2,073,184

					24,815,016

INDUSTRIALS – 4.7%
United Continental Holdings, Inc. (Airlines)	(a)		164,400		3,916,008
General Electric Co. (Industrial Conglomerates)			354,400		6,481,976

					10,397,984

INFORMATION TECHNOLOGY – 25.0%
Cisco Systems, Inc. (Communications Equip.)	(a)		270,700		5,476,261
QUALCOMM, Inc. (Communications Equip.)			110,600		5,473,594
Research In Motion Ltd. (Communications Equip.)	(a)		77,400		4,499,262
EMC Corp. (Computers & Peripherals)	(a)		173,600		3,975,440
Hewlett-Packard Co. (Computers & Peripherals)			133,900		5,637,190
eBay, Inc. (Internet Software & Svs.)	(a)		199,600		5,554,868
International Business Machines Corp. (IT Svs.)			44,300		6,501,468
Mastercard, Inc. Class A (IT Svs.)			10,450		2,341,949
Intel Corp. (Semiconductors & Equip.)			201,750		4,242,803
Texas Instruments, Inc. (Semiconductors & Equip.)			198,300		6,444,750
Microsoft Corp. (Software)			168,400		4,701,728

					54,849,313

UTILITIES – 6.8%
AES Corp. / The (Ind. Power Prod. & Energy Traders)	(a)		1,227,200		14,947,296

Total Common Stocks (Cost $191,744,979)				$	213,926,161


		Face		Amortized
Repurchase Agreements – 1.9%		Amount		Cost


Goldman Sachs 0.130% 01/03/2011,
Agreement date: 12/31/2010, Repurchase price $4,165,525 Collateralized by: FHLMC Global MTN 0.180%, Due 11/9/2011 with value of $4,258,033		$	4,165,480	$	4,165,480

Total Repurchase Agreements (Cost $4,165,480)				$	4,165,480

Total Investments – 99.4% (Cost $195,910,459)	(b)			$	218,091,641
Other Assets in Excess of Liabilities – 0.6%					1,339,841

Net Assets – 100.0%				$	219,431,482

Percentages are stated as a percent of net assets.

Footnotes:


(a)		Non-income producing security.

(b)		Represents cost for financial reporting purposes, which may differ from cost basis for Federal income tax purposes. See also Note 7 of the Notes to Financial Statements.

The accompanying notes are an integral part of these financial statements.


Ohio National Fund, Inc.	Money Market Portfolio


Schedule of Investments	December 31, 2010


Commercial Paper – 75.7%		Rate		Maturity		Face Amount		Amortized Cost


CONSUMER DISCRETIONARY – 3.4%
Walt Disney Co. / The (Media)	(a)		0.180%		01/07/2011	$	10,000,000	$	9,999,700

CONSUMER STAPLES – 13.6%
Coca-Cola Co. / The (Beverages)	(a)		0.200%		01/10/2011		5,000,000		4,999,750
Coca-Cola Co. / The (Beverages)	(a)		0.190%		01/14/2011		3,000,000		2,999,794
Coca-Cola Co. / The (Beverages)	(a)		0.210%		03/07/2011		3,000,000		2,998,863
Coca-Cola Co. / The (Beverages)	(a)		0.180%		01/19/2011		2,000,000		1,999,820
Nestle Capital Corp. (Food Products)	(a)		0.050%		01/03/2011		14,000,000		13,999,961
Procter & Gamble Co. / The (Household Products)	(a)		0.240%		04/12/2011		3,025,000		3,022,963
Procter & Gamble International Funding SCA (Household Products)	(a)		0.160%		01/19/2011		10,000,000		9,999,200

									40,020,351

ENERGY – 4.1%
Chevron Funding Corp. (Oil, Gas & Consumable Fuels)			0.160%		01/12/2011		12,000,000		11,999,413

FINANCIALS – 42.0%
Wells Fargo & Co. (Commercial Banks)			0.040%		01/03/2011		14,000,000		13,999,969
American Express Credit Corp. (Consumer Finance)			0.200%		01/04/2011		10,000,000		9,999,833
American Honda Finance Corp. (Consumer Finance)			0.200%		01/06/2011		11,000,000		10,999,694
John Deere Capital Corp. (Consumer Finance)	(a)		0.220%		01/21/2011		10,300,000		10,298,741
Toyota Motor Credit Corp. (Consumer Finance)			0.130%		01/06/2011		10,000,000		9,999,819
Toyota Motor Credit Corp. (Consumer Finance)			0.050%		01/03/2011		3,000,000		2,999,992
Citigroup Funding Inc. (Diversified Financial Services)			0.250%		01/11/2011		10,000,000		9,999,306
General Electric Capital Corp. (Diversified Financial Services)			0.150%		01/03/2011		10,000,000		9,999,917
General Electric Capital Corp. (Diversified Financial Services)			0.150%		01/12/2011		4,000,000		3,999,817
HSBC Finance Corp. (Diversified Financial Services)			0.180%		01/14/2011		13,000,000		12,999,155
Societe Generale North America (Diversified Financial Services)			0.100%		01/03/2011		14,000,000		13,999,922
Prudential Funding LLC (Insurance)			0.120%		01/03/2011		14,000,000		13,999,907

									123,296,072

HEALTH CARE – 7.8%
Abbott Laboratories (Pharmaceuticals)	(a)		0.160%		01/25/2011		10,000,000		9,998,933
Johnson & Johnson (Pharmaceuticals)	(a)		0.150%		01/05/2011		3,000,000		2,999,950
Johnson & Johnson (Pharmaceuticals)	(a)		0.160%		01/05/2011		10,000,000		9,999,822

									22,998,705

INFORMATION TECHNOLOGY – 4.8%
International Business Machines Corp. (Computers & Peripherals)	(a)		0.140%		01/07/2011		14,000,000		13,999,673

Total Commercial Paper (Cost $222,313,914)								$	222,313,914


Asset-Backed Securities – 1.4%		Rate		Maturity		Face Amount		Amortized Cost


FINANCIALS – 1.4%
Ally Auto Receivables Trust 2010-3, Class A1 (Consumer Finance)			0.403%		08/15/2011	$	246,732	$	246,732
Bank of America Auto Trust 2010-2, Class A1 (Consumer Finance)			0.619%		07/15/2011		471,106		471,106
BMW Vehicle Lease Trust 2010-1, Class A1 (Consumer Finance)			0.298%		10/17/2011		539,229		539,229
Honda Auto Receivables Owner Trust 2010-3, Class A1 (Consumer Finance)			0.310%		10/21/2011		757,299		757,299
Hyundai Auto Receivables Trust 2010-B, Class A1 (Consumer Finance)			0.371%		09/15/2011		418,091		418,091
Nissan Auto Receivables Owners Trust 2010-A, Class A1 (Consumer Finance)			0.356%		10/17/2011		651,004		651,004
Nissan Auto Lease Trust 2010-B, Class A1 (Consumer Finance)			0.317%		11/15/2011		888,061		888,061

Total Asset-Backed Securities (Cost $3,971,522)								$	3,971,522


Money Market Funds – 13.4%						Shares		Value


Federated Prime Cash Obligations Fund – Institutional Class							13,500,000	$	13,500,000
Fidelity Institutional Money Market Funds Money Market Portfolio – Class I							13,500,000		13,500,000
Fidelity Institutional Money Market Funds Prime Money Market Portfolio – Class I							12,400,000		12,400,000

Total Money Market Funds (Cost $39,400,000)								$	39,400,000


U.S. Treasury Obligations – 3.4%		Rate		Maturity		Face Amount		Amortized Cost


U.S. Treasury Bill			0.145%		01/27/2011	$	10,000,000	$	9,998,953

Total U.S. Treasury Obligations (Cost $9,998,953)								$	9,998,953

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Ohio National Fund, Inc.	Bond Portfolio

Objective/Strategy

The Bond Portfolio seeks to obtain a high level of income and opportunity for capital appreciation consistent with the preservation of capital by investing primarily in intermediate-term and long-term fixed income securities.

Performance as of December 31, 2010


Average Annual Total Returns:
One year			7.84%
Five years			4.58%
Ten years			5.64%

Comments

For the year ended December 31, 2010, the Bond Portfolio returned 7.84% versus 9.52% for the current benchmark, the BofA Merrill Lynch U.S. Corporate Master Index (the “Merrill Lynch Index”).

The relatively good positive total returns for both the Bond Portfolio and the Merrill Lynch Index were the result of a decline in U.S. Treasury yields and modest tightening in credit spreads over the course of 2010. For the year, the 10-year Treasury yield declined 54 basis points and the credit spread of the Merrill Lynch Index tightened 24 basis points. Both of these factors resulted in an increase in total returns for the year. Treasury yields declined because of fears of a drop in the growth rate of the U.S. economy and due to demand for U.S. Treasury bonds as a safe haven, once international bond markets began to discount the risk of sovereign default in countries across much of Southern Europe, most notably Greece. Late in the year, credit spreads tightened on expectations for good corporate earnings and an improving outlook for the U.S. economy in 2011.

The Portfolio underperformed the Merrill Lynch Index primarily because the duration of the Portfolio was shorter than the duration of the Merrill Lynch Index during a period in which U.S. Treasury yields declined. The Portfolio’s duration was positioned short of the Merrill Lynch Index on expectations that Treasury yields would rise in 2010 as the U.S. economy gathered strength and due to the inflationary effect of massive U.S. federal budget deficits. Of course, as discussed in the previous paragraph, U.S. Treasury yields declined in 2010 rather than increasing as expected. The shorter Portfolio duration also muted the positive impact on the Portfolio from tightening credit spreads.

Several industry weightings relative to the benchmark impacted performance during 2010. The Portfolio benefited from its over-weighting in the insurance and brokerage sectors because these sectors outperformed. The Portfolio also benefited from its relative under-weighting in the telecommunications and industrials sectors because these sectors underperformed. The Portfolio’s under-weighting in the banking sector detracted from performance, because this sector outperformed. The Portfolio was negatively impacted by its over-weighting in electric utilities and holdings of U.S. Treasuries because these sectors underperformed.⁽¹⁾

Because Treasury yields declined and credit spreads tightened in 2010, all of the bonds held in the Portfolio for the entire year had positive total returns for the year. The five bonds that had the highest total returns were Energy Future Competitive Holdings Co., Deutsche Bank Capital Funding Trust VII, Fifth Third Bancorp, Potomac Electric Power Co. and Discover Financial Services. The five poorest performing bonds were Johnson Controls, Inc., Atlantic Richfield Co., AT&T Corp., Verizon Communications, Inc. and Appalachian Power Co. All five of these bonds underperformed because of their very short maturities in a declining interest rate environment and not because of any underlying credit problem.⁽¹⁾

The U.S. economy has been slowly recovering from its worst recession since the Great Depression. We expect the growth rate of the U.S. economy to increase in 2011. Once the growth rate of the economy firms, we expect the Federal Reserve to begin removing its monetary stimulus. This, combined with unprecedented federal budget deficits, should result in an increase in Treasury yields. For this reason, we expect to maintain the duration of the Portfolio short of the Merrill Lynch Index, but we expect to reduce the difference in duration between the two to mitigate the risk of relative underperformance in the event that Treasury yields do not increase in 2011. Because we expect credit spreads to tighten modestly in 2011 as corporate profits rise, we expect to skew purchases for the Portfolio toward BBB-rated names, which are slightly lower in quality than the average for the Merrill Lynch Index.⁽¹⁾


⁽¹⁾	The Portfolio’s composition is subject to change. Holdings and weightings are as of December 31, 2010.

Change in Value of $10,000 Investment


			Bofa Merrill
			Lynch U.S.
			Corporate Master
	Bond Portfolio		Index
12/31/2000		10000		10000
06/30/2001		10449		10544
12/31/2001		10842		11070
06/30/2002		11341		11290
12/31/2002		11780		12196
06/30/2003		12818		13127
12/31/2003		13013		13210
06/30/2004		13001		13192
12/31/2004		13779		13925
06/30/2005		13949		14276
12/31/2005		13836		14199
06/30/2006		13773		13990
12/31/2006		14451		14821
06/30/2007		14621		14942
12/31/2007		14988		15509
06/30/2008		14844		15383
12/31/2008		13272		14452
06/30/2009		14792		15785
12/31/2009		16049		17307
06/30/2010		16927		18362
12/31/2010		17307		18955

The BofA Merrill Lynch U.S. Corporate Master Index tracks the performance of all U.S. dollar-denominated, investment grade corporate public debt issued in the U.S. domestic bond market. Qualifying bonds must have at least one year remaining term to maturity, a fixed coupon schedule, and a minimum amount outstanding of $250 million.

(continued)


Ohio National Fund, Inc.	Bond Portfolio


Schedule of Investments	December 31, 2010


Corporate Bonds – 89.4%		Rate		Maturity		Face Amount		Value


CONSUMER DISCRETIONARY – 6.5%
Johnson Controls, Inc. (Auto Components)			5.250%		01/15/2011	$	1,250,000	$	1,251,452
Mohawk Industries, Inc. (Household Durables)	(b)		6.500%		01/15/2011		336,000		336,840
Newell Rubbermaid, Inc. (Household Durables)			6.250%		04/15/2018		500,000		549,814
Comcast Corp. (Media)			5.875%		02/15/2018		750,000		833,901
COX Communications, Inc. (Media)			6.750%		03/15/2011		1,000,000		1,012,079
Time Warner Cable, Inc. (Media)			5.850%		05/01/2017		1,000,000		1,117,288
Time Warner, Inc. (Media)			3.150%		07/15/2015		1,250,000		1,271,356
Viacom, Inc. (Media)			4.375%		09/15/2014		1,000,000		1,065,530
Macy’s Retail Holdings, Inc. (Multiline Retail)			5.900%		12/01/2016		1,000,000		1,072,500
Home Depot, Inc. (Specialty Retail)			5.250%		12/16/2013		1,000,000		1,098,302

									9,609,062

CONSUMER STAPLES – 7.8%
Anheuser-Busch Cos., Inc. (Beverages)			5.500%		01/15/2018		750,000		824,639
CVS Caremark Corp. (Food & Staples Retailing)			5.750%		06/01/2017		1,000,000		1,114,154
Kroger Co. / The (Food & Staples Retailing)			6.400%		08/15/2017		1,500,000		1,724,599
Wal-Mart Stores, Inc. (Food & Staples Retailing)			1.500%		10/25/2015		1,250,000		1,198,690
Bunge NA Finance LP (Food Products)			5.900%		04/01/2017		1,500,000		1,545,705
Kraft Foods, Inc. (Food Products)			6.125%		02/01/2018		1,500,000		1,715,940
Mead Johnson Nutrition Co. (Food Products)			3.500%		11/01/2014		800,000		828,003
Sara Lee Corp. (Food Products)			2.750%		09/15/2015		1,250,000		1,239,229
Tyson Foods, Inc. (Food Products)	(b)		7.350%		04/01/2016		1,000,000		1,101,875
Procter & Gamble Co. / The (Household Products)			4.700%		02/15/2019		250,000		271,079

									11,563,913

ENERGY – 6.9%
Weatherford International Ltd. (Energy Equip. & Svs.)			6.000%		03/15/2018		1,500,000		1,616,874
Anadarko Petroleum Corp. (Oil, Gas & Consumable Fuels)			5.950%		09/15/2016		1,000,000		1,075,590
Atlantic Richfield Co. (Oil, Gas & Consumable Fuels)			8.550%		03/01/2012		200,000		212,295
Cenovus Energy, Inc. (Oil, Gas & Consumable Fuels)			5.700%		10/15/2019		1,000,000		1,135,989
Energy Transfer Partners LP (Oil, Gas & Consumable Fuels)			5.650%		08/01/2012		1,000,000		1,059,905
EOG Resources, Inc. (Oil, Gas & Consumable Fuels)			2.950%		06/01/2015		1,250,000		1,259,976
Magellan Midstream Partners LP (Oil, Gas & Consumable Fuels)			4.250%		02/01/2021		1,000,000		966,150
Marathon Oil Corp. (Oil, Gas & Consumable Fuels)			6.125%		03/15/2012		750,000		792,787
Shell International Finance BV (Oil, Gas & Consumable Fuels)			4.375%		03/25/2020		1,250,000		1,313,561
Valero Energy Corp. (Oil, Gas & Consumable Fuels)			6.875%		04/15/2012		750,000		798,382

									10,231,509

FINANCIALS – 27.6%
BlackRock, Inc. (Capital Markets)			2.250%		12/10/2012		500,000		511,608
Credit Suisse (Capital Markets)			3.500%		03/23/2015		1,250,000		1,281,626
Franklin Resources, Inc. (Capital Markets)			3.125%		05/20/2015		1,000,000		1,019,393
Goldman Sachs Group, Inc. / The (Capital Markets)			6.150%		04/01/2018		1,250,000		1,378,520
Janus Capital Group, Inc. (Capital Markets)	(b)		6.950%		06/15/2017		1,500,000		1,564,762
Jefferies Group, Inc. (Capital Markets)			5.875%		06/08/2014		1,500,000		1,613,929
Morgan Stanley (Capital Markets)			4.750%		04/01/2014		1,250,000		1,280,989
Northern Trust Corp. (Capital Markets)			3.450%		11/04/2020		1,000,000		959,169
TD Ameritrade Holding Corp. (Capital Markets)			4.150%		12/01/2014		1,000,000		1,035,023
BB&T Corp. (Commercial Banks)			5.200%		12/23/2015		1,000,000		1,076,509
Comerica Bank (Commercial Banks)			5.750%		11/21/2016		1,500,000		1,620,087
Deutsche Bank Capital Funding Trust VII (Commercial Banks)	(a)(c)		5.628%		Perpetual		1,500,000		1,357,500
Fifth Third Bancorp (Commercial Banks)			4.500%		06/01/2018		1,750,000		1,689,182
PNC Funding Corp. (Commercial Banks)			5.250%		11/15/2015		1,500,000		1,607,016
SunTrust Bank (Commercial Banks)			5.000%		09/01/2015		229,000		239,559
Wells Fargo & Co. (Commercial Banks)			5.625%		12/11/2017		750,000		831,590
American Express Co. (Consumer Finance)			7.000%		03/19/2018		1,250,000		1,458,071
Capital One Bank U.S.A NA (Consumer Finance)			5.125%		02/15/2014		750,000		796,474
Discover Financial Services (Consumer Finance)			6.450%		06/12/2017		750,000		781,925
Bank of America Corp. (Diversified Financial Svs.)			5.650%		05/01/2018		1,000,000		1,023,294
Citigroup, Inc. (Diversified Financial Svs.)			6.125%		05/15/2018		1,250,000		1,371,454
General Electric Capital Corp. (Diversified Financial Svs.)			5.625%		05/01/2018		1,000,000		1,092,161
JPMorgan Chase & Co. (Diversified Financial Svs.)			5.150%		10/01/2015		1,500,000		1,588,095
National Rural Utilities Cooperative Finance Corp. (Diversified Financial Svs.)			1.900%		11/01/2015		1,000,000		966,420
Assurant, Inc. (Insurance)			5.625%		02/15/2014		1,500,000		1,578,213
Axis Capital Holdings Ltd. (Insurance)			5.750%		12/01/2014		1,000,000		1,064,292
Berkshire Hathaway, Inc. (Insurance)			3.200%		02/11/2015		1,250,000		1,291,086
Hartford Financial Services Group, Inc. (Insurance)			5.375%		03/15/2017		1,500,000		1,528,668
Liberty Mutual Group, Inc. (Insurance)	(a)		5.750%		03/15/2014		1,000,000		1,040,859
Loews Corp. (Insurance)			5.250%		03/15/2016		750,000		814,193
Metropolitan Life Global Funding I (Insurance)	(a)		2.875%		09/17/2012		1,000,000		1,025,359

(continued)


Ohio National Fund, Inc.	Bond Portfolio (Continued)


Schedule of Investments	December 31, 2010


Corporate Bonds (Continued)		Rate		Maturity		Face Amount		Value


FINANCIALS (continued)
Prudential Financial, Inc. (Insurance)			6.100%		06/15/2017	$	1,500,000	$	1,659,571
StanCorp Financial Group, Inc. (Insurance)			6.875%		10/01/2012		500,000		527,152
Equity One, Inc. (Real Estate Investment Trusts)			6.250%		01/15/2017		1,250,000		1,265,482
Mack-Cali Realty LP (Real Estate Investment Trusts)			4.600%		06/15/2013		1,000,000		1,052,215

									40,991,446

HEALTH CARE – 6.4%
Celgene Corp. (Biotechnology)			2.450%		10/15/2015		1,250,000		1,215,515
Baxter International, Inc. (Health Care Equip. & Supplies)			1.800%		03/15/2013		250,000		254,071
Becton Dickinson and Co. (Health Care Equip. & Supplies)			5.000%		05/15/2019		500,000		543,532
Covidien International Finance SA (Health Care Equip. & Supplies)			2.800%		06/15/2015		1,250,000		1,255,921
St. Jude Medical, Inc. (Health Care Equip. & Supplies)			2.200%		09/15/2013		1,000,000		1,016,495
AmerisourceBergen Corp. (Health Care Providers & Svs.)			4.875%		11/15/2019		500,000		510,797
UnitedHealth Group, Inc. (Health Care Providers & Svs.)			6.000%		02/15/2018		1,500,000		1,705,220
Thermo Fisher Scientific, Inc. (Life Sciences Tools & Svs.)			3.250%		11/20/2014		300,000		308,748
Abbott Laboratories (Pharmaceuticals)			2.700%		05/27/2015		1,000,000		1,020,599
Merck & Co., Inc. (Pharmaceuticals)			5.000%		06/30/2019		1,000,000		1,103,882
Teva Pharmaceutical Finance II BV / Teva Pharmaceutical Finance III LLC (Pharmaceuticals)			3.000%		06/15/2015		500,000		509,267

									9,444,047

INDUSTRIALS – 8.4%
BAE Systems Holdings, Inc. (Aerospace & Defense)	(a)		6.375%		06/01/2019		750,000		834,965
Raytheon Co. (Aerospace & Defense)			4.400%		02/15/2020		1,250,000		1,280,608
Owens Corning (Building Products)			6.500%		12/01/2016		1,000,000		1,060,419
Waste Management, Inc. (Commercial Svs. & Supplies)			6.100%		03/15/2018		1,500,000		1,683,245
Emerson Electric Co. (Electrical Equip.)			4.250%		11/15/2020		1,250,000		1,290,126
Caterpillar, Inc. (Machinery)			5.700%		08/15/2016		1,000,000		1,154,670
Deere & Co. (Machinery)			4.375%		10/16/2019		1,250,000		1,306,484
CSX Corp. (Road & Rail)			5.600%		05/01/2017		1,500,000		1,644,029
Ryder System, Inc. (Road & Rail)			3.600%		03/01/2016		1,000,000		998,107
Union Pacific Corp. (Road & Rail)			4.000%		02/01/2021		1,250,000		1,234,653

									12,487,306

INFORMATION TECHNOLOGY – 2.2%
Cisco Systems, Inc. (Communications Equip.)			2.900%		11/17/2014		300,000		311,468
Computer Sciences Corp. (IT Svs.)			6.500%		03/15/2018		1,500,000		1,635,435
International Business Machines Corp. (IT Svs.)			2.100%		05/06/2013		1,250,000		1,281,075

									3,227,978

MATERIALS – 3.0%
Monsanto Co. (Chemicals)			7.375%		08/15/2012		1,000,000		1,101,707
Praxair, Inc. (Chemicals)			2.125%		06/14/2013		1,250,000		1,277,639
Rio Tinto Finance U.S.A Ltd. (Metals & Mining)			1.875%		11/02/2015		1,000,000		963,513
Teck Resources Ltd. (Metals & Mining)			7.000%		09/15/2012		1,000,000		1,063,952

									4,406,811

TELECOMMUNICATION SERVICES – 3.8%
AT&T Corp. (Diversified Telecom. Svs.)	(b)		7.300%		11/15/2011		500,000		528,307
Embarq Corp. (Diversified Telecom. Svs.)			6.738%		06/01/2013		1,000,000		1,086,821
Telecom Italia Capital SA (Diversified Telecom. Svs.)			5.250%		10/01/2015		750,000		768,694
Verizon Communications, Inc. (Diversified Telecom. Svs.)			5.350%		02/15/2011		1,000,000		1,005,469
America Movil SAB de CV (Wireless Telecom. Svs.)			5.750%		01/15/2015		1,000,000		1,109,655
Rogers Communications, Inc. (Wireless Telecom. Svs.)			5.500%		03/15/2014		1,000,000		1,092,935

									5,591,881

UTILITIES – 16.8%
Appalachian Power Co. (Electric Utilities)			5.550%		04/01/2011		1,000,000		1,011,388
Commonwealth Edison Co. (Electric Utilities)			5.950%		08/15/2016		1,500,000		1,713,917
Duke Energy Corp. (Electric Utilities)			3.350%		04/01/2015		1,250,000		1,288,075
Entergy Mississippi, Inc. (Electric Utilities)			5.920%		02/01/2016		1,000,000		1,002,283
Florida Power Corp. (Electric Utilities)			4.550%		04/01/2020		500,000		521,904
Ipalco Enterprises, Inc. (Electric Utilities)	(b)		8.625%		11/14/2011		1,000,000		1,042,500
Kansas City Power & Light Co. (Electric Utilities)			5.850%		06/15/2017		1,500,000		1,635,956
Metropolitan Edison Co. (Electric Utilities)			4.875%		04/01/2014		750,000		787,004
Pepco Holdings, Inc. (Electric Utilities)			2.700%		10/01/2015		750,000		731,804
PSEG Power LLC (Electric Utilities)			5.000%		04/01/2014		750,000		805,392
Tenaska Georgia Partners LP (Electric Utilities)			9.500%		02/01/2030		486,244		550,182
Union Electric Co. (Electric Utilities)			6.400%		06/15/2017		1,500,000		1,700,142
Virginia Electric and Power Co. (Electric Utilities)			5.400%		01/15/2016		1,500,000		1,688,754
AGL Capital Corp. (Gas Utilities)			5.250%		08/15/2019		1,000,000		1,057,845
CenterPoint Energy Resources Corp. (Gas Utilities)			5.950%		01/15/2014		500,000		544,562

(continued)


Ohio National Fund, Inc.	Bond Portfolio (Continued)


Schedule of Investments	December 31, 2010


Corporate Bonds (Continued)		Rate		Maturity		Face Amount		Value


UTILITIES (continued)
Southwest Gas Corp. (Gas Utilities)			7.625%		05/15/2012	$	1,000,000	$	1,075,585
Spectra Energy Capital LLC (Gas Utilities)			5.500%		03/01/2014		750,000		816,344
Energy Future Competitive Holdings Co. (Ind. Power Prod. & Energy Traders)			7.480%		01/01/2017		521,326		442,074
TransAlta Corp. (Ind. Power Prod. & Energy Traders)			6.750%		07/15/2012		1,000,000		1,072,794
Alliant Energy Corp. (Multi-Utilities)			4.000%		10/15/2014		1,000,000		1,037,023
Avista Corp. (Multi-Utilities)			5.950%		06/01/2018		1,000,000		1,098,469
Consumers Energy Co. (Multi-Utilities)			6.000%		02/15/2014		1,000,000		1,108,667
NextEra Energy Capital Holdings, Inc. (Multi-Utilities)			2.600%		09/01/2015		1,250,000		1,225,413
Xcel Energy, Inc. (Multi-Utilities)			4.700%		05/15/2020		1,000,000		1,031,443

									24,989,520

Total Corporate Bonds (Cost $125,157,639)								$	132,543,473


U.S. Treasury Obligations – 2.8%		Rate		Maturity		Face Amount		Value


U.S. Treasury Note			2.375%		09/30/2014	$	2,000,000	$	2,071,876
U.S. Treasury Note			3.375%		11/15/2019		2,000,000		2,042,032

Total U.S. Treasury Obligations (Cost $4,139,448)								$	4,113,908


Commercial Paper – 3.4%		Rate		Maturity		Face Amount		Amortized Cost


General Electric Capital Corp.			0.030%		01/03/2011	$	5,000,000	$	4,999,992

Total Commercial Paper (Cost $4,999,992)								$	4,999,992


Repurchase Agreements – 0.4%		Rate		Maturity		Face Amount		Amortized Cost


U.S. Bank, Agreement date: 12/31/2010, Repurchase price: $628,001, Collateralized by: FNMA Remic, Trust # 2008-47, Class FT 1.231%, Due 06/25/2038 with value of $640,856			0.010%		01/03/2011	$	628,000	$	628,000

Total Repurchase Agreements (Cost $628,000)								$	628,000

Total Investments – 96.0% (Cost $134,925,079)	(d)							$	142,285,373
Other Assets in Excess of Liabilities – 4.0%									5,891,669

Net Assets – 100.0%								$	148,177,042

Percentages are stated as a percent of net assets.

Footnotes:


(a)		Security exempt from registration under Regulation D of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified buyers under Rule 144A. At December 31, 2010, the value of these securities totaled $4,258,683 or 2.9% of the Portfolio’s net assets. These securities were deemed liquid pursuant to procedures approved by the Board of Directors.

(b)		This security is a credit sensitive bond. The coupon rate is a variable rate subject to adjustment based on changes in either Moody’s or S&P ratings.

(c)		Fixed-to-floating rate, callable, perpetual life trust preferred security. Interest rates stated are those in effect at December 31, 2010.

(d)		Represents cost for financial reporting purposes, which may differ from cost basis for Federal income tax purposes. See also Note 7 of the Notes to Financial Statements.

The accompanying notes are an integral part of these financial statements.


Ohio National Fund, Inc.	Omni Portfolio

Objective/Strategy

The Omni Portfolio seeks a high level of long-term total return consistent with preservation of capital by investing in stocks, bonds, and money market instruments.

Performance as of December 31, 2010


Average Annual Total Returns:
One year			13.19%
Five years			4.60%
Ten years			2.21%

Comments

For the year ended December 31, 2010, the Omni Portfolio returned 13.19% versus 13.83% for the current benchmark, which is composed of 70% S&P 500 Index and 30% BofA Merrill Lynch U.S. Corporate Master Index (the “Merrill Lynch Index”).

The 64 basis points of underperformance is primarily the result of holding approximately 5% of the Portfolio in cash equivalents during a year in which both common stocks and bonds had relatively good positive total returns. For the year, the returns from both the common stock and the bond portions of the Portfolio exceeded the returns of their respective benchmarks. An asset allocation shift in late August benefited performance. At the end of July, the Portfolio was under-weighted in stocks by 4% and had a near benchmark weighting in bonds. Because bonds had done so well and stocks had negative returns year-to-date through August, the weighting in bonds was reduced by 4% and the weighting in stocks was increased by a similar percentage. This asset allocation shift benefited performance because the S&P 500 Index had very strong positive returns from September through year-end, outperforming bonds by a wide margin.

The equity portion of the Portfolio had a total return of 15.25% (gross of fees) in 2010, versus 15.06% for the S&P 500 Index, for out-performance of 19 basis points. The equity portion of the Portfolio performed very well in the fourth quarter, led by strong returns in the commodity and financial service sectors. Even though Financials made a stellar comeback in the final quarter, the Portfolio was negatively impacted during the year by a few Financials, namely Wells Fargo & Co., Morgan Stanley, and Bank of America Corp. All three were hurt by the continuing legal uncertainties from the mortgage fiasco, and Morgan Stanley perhaps suffered additionally from the potential for lawsuits relating to underwriting mortgage securities. Two other poorly performing stocks were SunPower Corp., which twice during the year announced delays in the contributions to earnings from their slightly delayed solar projects, and Hewlett-Packard Co., whose earnings multiple contracted because its chairman was forced to resign under unpleasant circumstances. The Portfolio’s best performing stocks were Apple, Inc., Citigroup, Inc., Freeport-McMoRan Copper & Gold, Inc., Honeywell International, Inc. and Johnson Controls, Inc.⁽¹⁾

The sectors of the stock market that performed the best in 2010 were those sectors that involved taking on more portfolio risk. There appeared to be demand by investors for top-line growth stocks at any price. As the investment process for the stock portion of the Portfolio always first considers an attractive stock valuation as the first requirement for portfolio inclusion, not participating in a momentum, risk-taking market created a headwind to stock performance.

For the year 2010, the return from the bond portion of the Portfolio exceeded the 9.52% return of the Merrill Lynch Index. This out-performance was primarily the result of individual bond holdings performing particularly well, rather than industry weightings or Portfolio duration positioning versus the Merrill Lynch Index. Bonds that performed very well included Deutsche Bank Capital Funding Trust VII, KeyBank NA, Potomac Electric Power Co., Discover Financial Services, and HCP, Inc. Deutsche Bank Capital Funding Trust VII, KeyBank NA, Discover Financial Services, and HCP Inc. performed well because these financial and real estate companies continued to recover from the difficulties of the recent recession. Potomac Electric Power Co. had good performance because it is a long maturity bond that rose in value as Treasury yields declined. The five poorest performing bonds were Wyeth, AT&T Corp., COX Communications, Inc., Telecom Italia Capital SA and Anadarko Petroleum Corp. Telecom Italia Capital SA underperformed because of economic problems across Southern Europe. Anadarko Petroleum Corp. underperformed due to its ownership interest in the deepwater well that exploded in the Gulf of Mexico. The remaining three weak performing bonds underperformed because of their short maturities in a declining interest rate environment and not because of any underlying credit problem. The bond portion of the Portfolio was under-weighted relative to the benchmark in the banking sector and this disadvantaged performance because the banking sector outperformed. The bond portion of the Portfolio was over-weighted in the electric utility sector and this also disadvantaged performance because the electric utility sector underperformed. The performance of the bond component of the Portfolio was further disadvantaged by its shorter duration versus that of the Merrill Lynch Index because Treasury yields declined in 2010.⁽¹⁾

At the beginning of 2010, we took the position that the economy would improve, that emerging markets would provide most of the economic growth, that consumers would still be constrained in their spending, and that margins would tighten in consumer oriented products, as raw material pricing increased and companies were not so able to raise selling prices to pass through the higher costs. These are similar themes to what we believe now. Because we expect most economic growth to come from emerging countries such as India and China, we are trying to avoid stocks that are U.S. centric with little exposure to emerging economies. We anticipate that Treasury yields should rise in 2011 as the pace of economic growth increases. For this reason, the duration of the bond portion of the Portfolio will be maintained short of the duration of the Merrill Lynch Index. Due to the outlook for good corporate earnings and a modest tightening in credit spreads in 2011, we expect to skew bond purchases toward BBB-rated names, which are slightly lower in quality than the average for the Merrill Lynch Index.⁽¹⁾


⁽¹⁾	The Portfolio’s composition is subject to change. Holdings and weightings are as of December 31, 2010.

(continued)


Ohio National Fund, Inc.	Omni Portfolio (Continued)

Change in Value of $10,000 Investment


			70% S&P
			500 Index/30%
			BofA Merrill
			Lynch U.S.
			Corporate Master
	Omni Portfolio		Index
12/31/2000		10000		10000
06/30/2001		9099		9703
12/31/2001		8693		9481
06/30/2002		7344		8655
12/31/2002		6715		8248
06/30/2003		7435		9120
12/31/2003		8474		10098
06/30/2004		8577		10338
12/31/2004		9077		11036
06/30/2005		9488		11060
12/31/2005		9938		11490
06/30/2006		10164		11658
12/31/2006		11262		12902
06/30/2007		11889		13565
12/31/2007		12049		13592
06/30/2008		11200		12428
12/31/2008		8259		9674
06/30/2009		9435		10184
12/31/2009		10996		12080
06/30/2010		10569		11740
12/31/2010		12447		13751

The S&P 500 Index is a capitalization-weighted index designed to measure performance of the broad domestic market through changes in the aggregate market value of 500 stocks representing all major industries. The index presented herein includes the effects of reinvested dividends.

Portfolio Composition as of December 31, 2010 ⁽¹⁾


	% of Net Assets

Common Stocks ⁽³⁾		73.5
Corporate Bonds ⁽³⁾		21.3
U.S. Treasury Obligations		0.4
Money Market Funds and Other Net Assets		4.8

		100.0

Top 10 Portfolio Holdings as of December 31, 2010 ^(1) (2)


	% of Net Assets

1.	Apple, Inc.	2.0
2.	JPMorgan Chase & Co.	1.9
3.	Google, Inc. Class A	1.7
4.	Huntington Bancshares, Inc.	1.6
5.	Lincoln National Corp.	1.6
6.	Bank of New York Mellon Corp. / The	1.6
7.	Citigroup, Inc.	1.6
8.	Prudential Financial, Inc.	1.5
9.	PNC Financial Services Group, Inc.	1.5
10.	State Street Corp.	1.5


⁽¹⁾		Composition of Portfolio subject to change.

⁽²⁾		Short-term investments have been excluded from the list of Top 10 Portfolio Holdings.

⁽³⁾		Sectors (combined):


	% of Net Assets

Financials		23.1
Information Technology		17.1
Consumer Discretionary		10.9
Health Care		10.2
Industrials		9.3
Energy		8.9
Materials		5.9
Utilities		4.1
Consumer Staples		3.5
Telecommunication Services		1.8

		94.8


Ohio National Fund, Inc.	Omni Portfolio


Schedule of Investments	December 31, 2010


Common Stocks – 73.5%		Shares		Value


CONSUMER DISCRETIONARY – 9.4%
Johnson Controls, Inc. (Auto Components)			13,900	$	530,980
Lear Corp. (Auto Components)	(a)		400		39,484
Royal Caribbean Cruises Ltd. (Hotels, Restaurants & Leisure)	(a)		9,100		427,700
Starwood Hotels & Resorts Worldwide, Inc. (Hotels, Restaurants & Leisure)			6,400		388,992
Walt Disney Co. / The (Media)			15,200		570,152
Target Corp. (Multiline Retail)			10,200		613,326
Tiffany & Co. (Specialty Retail)			3,900		242,853
Coach, Inc. (Textiles, Apparel & Luxury Goods)			7,200		398,232
NIKE, Inc. Class B (Textiles, Apparel & Luxury Goods)			5,000		427,100
Warnaco Group, Inc. / The (Textiles, Apparel & Luxury Goods)	(a)		4,400		242,308

					3,881,127

CONSUMER STAPLES – 1.2%
J.M. Smucker Co. / The (Food Products)			4,500		295,425
Procter & Gamble Co. / The (Household Products)			2,900		186,557

					481,982

ENERGY – 6.9%
Dresser-Rand Group, Inc. (Energy Equip. & Svs.)	(a)		1,800		76,662
Halliburton Co. (Energy Equip. & Svs.)			10,700		436,881
National Oilwell Varco, Inc. (Energy Equip. & Svs.)			5,000		336,250
Apache Corp. (Oil, Gas & Consumable Fuels)			2,400		286,152
Chevron Corp. (Oil, Gas & Consumable Fuels)			6,800		620,500
Murphy Oil Corp. (Oil, Gas & Consumable Fuels)			7,000		521,850
Occidental Petroleum Corp. (Oil, Gas & Consumable Fuels)			5,600		549,360

					2,827,655

FINANCIALS – 17.4%
Bank of New York Mellon Corp. / The (Capital Markets)			21,600		652,320
State Street Corp. (Capital Markets)			13,400		620,956
Huntington Bancshares, Inc. (Commercial Banks)			97,700		671,199
PNC Financial Services Group, Inc. (Commercial Banks)			10,300		625,416
Wells Fargo & Co. (Commercial Banks)			5,100		158,049
Bank of America Corp. (Diversified Financial Svs.)			41,500		553,610
Citigroup, Inc. (Diversified Financial Svs.)	(a)		137,600		650,848
JPMorgan Chase & Co. (Diversified Financial Svs.)			18,400		780,528
Hartford Financial Services Group, Inc. (Insurance)			21,700		574,833
Lincoln National Corp. (Insurance)			23,500		653,535
MetLife, Inc. (Insurance)			13,500		599,940
Prudential Financial, Inc. (Insurance)			10,700		628,197

					7,169,431

HEALTH CARE – 8.3%
St. Jude Medical, Inc. (Health Care Equip. & Supplies)	(a)		13,800		589,950
UnitedHealth Group, Inc. (Health Care Providers & Svs.)			5,800		209,438
Life Technologies Corp. (Life Sciences Tools & Svs.)	(a)		4,800		266,400
Allergan, Inc. (Pharmaceuticals)			7,900		542,493
Medicis Pharmaceutical Corp. Class A (Pharmaceuticals)			19,000		509,010
Merck & Co., Inc. (Pharmaceuticals)			9,300		335,172
Pfizer, Inc. (Pharmaceuticals)			34,600		605,846
Teva Pharmaceutical Industries Ltd. – ADR (Pharmaceuticals)			7,100		370,123

					3,428,432

INDUSTRIALS – 7.7%
Honeywell International, Inc. (Aerospace & Defense)			11,500		611,340
United Parcel Service, Inc. Class B (Air Freight & Logistics)			7,500		544,350
Rockwell Automation, Inc. (Electrical Equip.)			8,400		602,364
Caterpillar, Inc. (Machinery)			4,300		402,738
Ingersoll-Rand PLC (Machinery)			12,500		588,625
SPX Corp. (Machinery)			5,700		407,493

					3,156,910

INFORMATION TECHNOLOGY – 16.7%
Cisco Systems, Inc. (Communications Equip.)	(a)		30,200		610,946
QUALCOMM, Inc. (Communications Equip.)			12,300		608,727
Apple, Inc. (Computers & Peripherals)	(a)		2,600		838,656
Hewlett-Packard Co. (Computers & Peripherals)			12,900		543,090
eBay, Inc. (Internet Software & Svs.)	(a)		9,500		264,385
Google, Inc. Class A (Internet Software & Svs.)	(a)		1,200		712,764
International Business Machines Corp. (IT Svs.)			4,100		601,716
Applied Materials, Inc. (Semiconductors & Equip.)			17,700		248,685

(continued)


Ohio National Fund, Inc.	Omni Portfolio (Continued)


Schedule of Investments	December 31, 2010


Common Stocks (Continued)						Shares		Value


INFORMATION TECHNOLOGY (continued)
Broadcom Corp. Class A (Semiconductors & Equip.)							9,700	$	422,435
Maxim Integrated Products, Inc. (Semiconductors & Equip.)							25,600		604,672
SunPower Corp. Class B (Semiconductors & Equip.)	(a)						34,900		433,109
Citrix Systems, Inc. (Software)	(a)						5,400		369,414
Oracle Corp. (Software)							19,700		616,610

									6,875,209

MATERIALS – 5.9%
Air Products & Chemicals, Inc. (Chemicals)							6,200		563,890
Celanese Corp. (Chemicals)							7,000		288,190
E.I. du Pont de Nemours & Co. (Chemicals)							10,000		498,800
Freeport-McMoRan Copper & Gold, Inc. (Metals & Mining)							4,000		480,360
Rio Tinto PLC – ADR (Metals & Mining)							8,600		616,276

									2,447,516

Total Common Stocks (Cost $26,938,241)								$	30,268,262


Corporate Bonds – 21.3%		Rate		Maturity		Face Amount		Value


CONSUMER DISCRETIONARY – 1.5%
Daimler Finance North America LLC (Automobiles)			6.500%		11/15/2013	$	100,000		113,282
Comcast Corp. (Media)			5.875%		02/15/2018		150,000		166,780
COX Communications, Inc. (Media)			6.750%		03/15/2011		100,000		101,208
Walt Disney Co. / The (Media)			6.200%		06/20/2014		100,000		114,321
Macy’s Retail Holdings, Inc. (Multiline Retail)			5.900%		12/01/2016		100,000		107,250

									602,841

CONSUMER STAPLES – 2.3%
Anheuser-Busch Cos., Inc. (Beverages)			5.500%		01/15/2018		150,000		164,928
CVS Caremark Corp. (Food & Staples Retailing)			5.750%		06/01/2017		150,000		167,123
Kroger Co. / The (Food & Staples Retailing)			6.400%		08/15/2017		150,000		172,460
Bunge NA Finance LP (Food Products)			5.900%		04/01/2017		150,000		154,571
Kraft Foods, Inc. (Food Products)			6.500%		08/11/2017		150,000		174,850
Procter & Gamble Co. / The (Household Products)			4.700%		02/15/2019		100,000		108,432

									942,364

ENERGY – 2.0%
Weatherford International Ltd. (Energy Equip. & Svs.)			6.000%		03/15/2018		150,000		161,687
Anadarko Petroleum Corp. (Oil, Gas & Consumable Fuels)			5.950%		09/15/2016		100,000		107,559
Boardwalk Pipelines LP (Oil, Gas & Consumable Fuels)			5.500%		02/01/2017		100,000		106,383
Enterprise Products Operating LLC (Oil, Gas & Consumable Fuels)			5.000%		03/01/2015		150,000		161,900
Magellan Midstream Partners LP (Oil, Gas & Consumable Fuels)			6.400%		07/15/2018		150,000		170,315
Valero Energy Corp. (Oil, Gas & Consumable Fuels)			4.750%		06/15/2013		100,000		106,634

									814,478

FINANCIALS – 5.7%
Goldman Sachs Group, Inc. / The (Capital Markets)			5.150%		01/15/2014		100,000		107,782
Jefferies Group, Inc. (Capital Markets)			5.875%		06/08/2014		150,000		161,393
Mellon Funding Corp. (Capital Markets)			5.500%		11/15/2018		100,000		108,904
Morgan Stanley (Capital Markets)			4.750%		04/01/2014		100,000		102,479
BB&T Corp. (Commercial Banks)			5.200%		12/23/2015		100,000		107,651
Deutsche Bank Capital Funding Trust VII (Commercial Banks)	(b)(d)		5.628%		Perpetual		100,000		90,500
KeyBank NA (Commercial Banks)			5.700%		11/01/2017		150,000		152,967
PNC Funding Corp. (Commercial Banks)			5.250%		11/15/2015		150,000		160,702
Capital One Bank U.S.A. NA (Consumer Finance)			5.125%		02/15/2014		100,000		106,197
Discover Financial Services (Consumer Finance)			6.450%		06/12/2017		150,000		156,385
Bank of America Corp. (Diversified Financial Svs.)			5.750%		08/15/2016		150,000		153,398
Citigroup, Inc. (Diversified Financial Svs.)			5.850%		08/02/2016		150,000		161,174
General Electric Capital Corp. (Diversified Financial Svs.)			5.000%		01/08/2016		100,000		106,858
JPMorgan Chase & Co. (Diversified Financial Svs.)			5.150%		10/01/2015		100,000		105,873
Assurant, Inc. (Insurance)			5.625%		02/15/2014		100,000		105,214
Liberty Mutual Group, Inc. (Insurance)	(b)		5.750%		03/15/2014		100,000		104,086
MetLife, Inc. (Insurance)			5.375%		12/15/2012		100,000		107,132
Duke Realty LP (Real Estate Investment Trusts)			4.625%		05/15/2013		100,000		104,118
HCP, Inc. (Real Estate Investment Trusts)			6.000%		01/30/2017		150,000		157,081

									2,359,894

HEALTH CARE – 1.9%
UnitedHealth Group, Inc. (Health Care Providers & Svs.)			6.000%		02/15/2018		150,000		170,522
WellPoint, Inc. (Health Care Providers & Svs.)			5.875%		06/15/2017		150,000		167,897
Abbott Laboratories (Pharmaceuticals)			5.600%		11/30/2017		150,000		171,746

(continued)


Ohio National Fund, Inc.	Omni Portfolio (Continued)


Schedule of Investments	December 31, 2010


Corporate Bonds (Continued)		Rate		Maturity		Face Amount		Value


HEALTH CARE (continued)
Hospira, Inc. (Pharmaceuticals)			6.050%		03/30/2017		150,000	$	168,270
Wyeth (Pharmaceuticals)			6.950%		03/15/2011		100,000		101,294

									779,729

INDUSTRIALS – 1.6%
Owens Corning (Building Products)			6.500%		12/01/2016		150,000		159,063
Waste Management, Inc. (Commercial Svs. & Supplies)			6.100%		03/15/2018		150,000		168,324
CSX Corp. (Road & Rail)			5.600%		05/01/2017		150,000		164,403
ERAC U.S.A. Finance LLC (Road & Rail)	(b)		6.375%		10/15/2017		150,000		166,751

									658,541

INFORMATION TECHNOLOGY – 0.4%
Computer Sciences Corp. (IT Svs.)			6.500%		03/15/2018		150,000		163,544

TELECOMMUNICATION SERVICES – 1.8%
AT&T Corp. (Diversified Telecom. Svs.)	(c)		7.300%		11/15/2011		100,000		105,661
Embarq Corp. (Diversified Telecom. Svs.)			6.738%		06/01/2013		150,000		163,023
Telecom Italia Capital SA (Diversified Telecom. Svs.)			5.250%		10/01/2015		100,000		102,493
Verizon Florida LLC (Diversified Telecom. Svs.)			6.125%		01/15/2013		100,000		108,532
America Movil SAB de CV (Wireless Telecom. Svs.)			5.750%		01/15/2015		100,000		110,966
Rogers Communications, Inc. (Wireless Telecom. Svs.)			5.500%		03/15/2014		150,000		163,940

									754,615

UTILITIES – 4.1%
Commonwealth Edison Co. (Electric Utilities)			5.950%		08/15/2016		150,000		171,392
Kansas City Power & Light Co. (Electric Utilities)			5.850%		06/15/2017		150,000		163,596
Nevada Power Co. (Electric Utilities)			5.950%		03/15/2016		150,000		168,550
Pennsylvania Electric Co. (Electric Utilities)			6.050%		09/01/2017		150,000		162,534
PSEG Power LLC (Electric Utilities)			5.000%		04/01/2014		250,000		268,464
Southern Power Co. (Electric Utilities)			4.875%		07/15/2015		100,000		108,296
Union Electric Co. (Electric Utilities)			6.400%		06/15/2017		150,000		170,014
Virginia Electric and Power Co. (Electric Utilities)			4.750%		03/01/2013		100,000		106,712
Spectra Energy Capital LLC (Gas Utilities)			5.500%		03/01/2014		100,000		108,846
Consumers Energy Co. (Multi-Utilities)			6.000%		02/15/2014		100,000		110,867
American Water Capital Corp. (Water Utilities)			6.085%		10/15/2017		150,000		168,505

									1,707,776

Total Corporate Bonds (Cost $8,082,441)								$	8,783,782


U.S. Treasury Obligations – 0.4%		Rate		Maturity		Face Amount		Value


U.S. Treasury Note			3.375%		11/15/2019	$	150,000	$	153,152

Total U.S. Treasury Obligations (Cost $160,971)								$	153,152


Money Market Funds – 4.6%						Shares		Value


Fidelity Institutional Money Market Funds Money Market Portfolio – Class I							1,892,000	$	1,892,000

Total Money Market Funds (Cost $1,892,000)								$	1,892,000

Total Investments – 99.8% (Cost $37,073,653)	(e)							$	41,097,196
Other Assets in Excess of Liabilities – 0.2%									80,024

Net Assets – 100.0%								$	41,177,220

Percentages are stated as a percent of net assets.

Abbreviations:

ADR: American Depositary Receipts

Footnotes:


(a)		Non-income producing security.

(b)		Security exempt from registration under Regulation D of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified buyers under Rule 144A. At December 31, 2010, the value of these securities totaled $361,337 or 0.9% of the Portfolio’s net assets. These securities were deemed liquid pursuant to procedures approved by the Board of Directors.

(c)		This security is a credit sensitive bond. The coupon rate is a variable rate subject to adjustment based on changes in either Moody’s or S&P ratings.

(d)		Fixed-to-floating rate, callable, perpetual life trust preferred security. Interest rates stated are those in effect at December 31, 2010.

(e)		Represents cost for financial reporting purposes, which may differ from cost basis for Federal income tax purposes. See also Note 7 of the Notes to Financial Statements.

The accompanying notes are an integral part of these financial statements.


Ohio National Fund, Inc.	International Portfolio

Objective/Strategy

The International Portfolio seeks total return on assets by investing at least 80% of its assets in securities of foreign companies.

Performance as of December 31, 2010


Average Annual Total Returns:
One year			16.75%
Five years			2.57%
Ten years			0.39%

Comments

For the year ended December 31, 2010, the International Portfolio returned 16.75% versus 11.15% for the current benchmark, the MSCI All Country World ex-USA Index (Net-USD).

The year was characterized by an uneven global recovery. Investors discovered true divergences between debtor and creditor countries. Fiscal stimulus packages that had once provided tailwinds for the global economic recovery became headwinds for some in the form of deficit cutting measures. Traditional economic classifications of developed markets (less risk) and emerging markets (more risk) became murky and economic boundaries began to be redefined by countries with austerity measures (e.g., Greece and the United Kingdom) and those with structural growth policies (e.g., China and Brazil). Generally, countries with higher debt burdens were associated with slower economic growth prospects and more risk, and countries which had managed their fiscal balance sheets more prudently were associated with higher growth prospects and less risk.

This uneven recovery caused a wide divergence of returns between strong countries with economic growth, and corporate profits, versus weak countries plagued by sovereign risks. Nowhere was this more evident than in the Eurozone, where all markets dropped on concerns that the sovereign debt crisis clouding the peripheral countries (Greece, Spain and Portugal) would spread throughout the region. While risks remain, multiple support measures have been put in place over the past year, the most important being the 440 billion euro ($583 billion in U.S. dollars) European Financial Stability Facility that is to be replaced with a permanent European Stability Mechanism (ESM) in 2013. More recently, the European Central Bank pledged it would delay the withdrawal of emergency liquidity measures to combat “acute” market tensions. Currently, Eurozone 2010 Gross Domestic Product growth expectations are about 1.7%, which is much better than at the beginning of the year when a below trend growth rate of 1.3% had been forecast. The main driver of the higher 2010 projections for the Eurozone was Germany, a key European creditor and exporting country. Germany’s real Gross Domestic Product expanded at an estimated 3.6%, twice the rate forecast in January, as emerging markets and industrial demand for German goods accelerated throughout the year.

While many developed European countries dealt with necessary austerity measures, developing Asia and Latin America experienced a stronger-than-expected recovery. These robust growth economies further highlighted the tug of war between developed, debt-ridden countries versus cash-rich, fiscally sound countries. Although the sharp recovery in the first half of 2010 moderated in the second half, booming China and Brazil remained supportive of both global growth and Asian and Latin American regional growth, respectively.

The risk of a global currency war has been rising throughout the year as countries look to improve their fiscal positions by increasing their export ratios. While the euro dropped in sympathy with sovereign debt fears, the Japanese yen surged to a fifteen-year high versus the dollar. In a move aimed to support its export-reliant economy, the Bank of Japan intervened by selling yen and committing that the government would initiate a new round of fiscal stimulus and quantitative easing. The U.S. followed suit in November with a commitment from the Federal Reserve to repurchase $600 billion in Treasuries and reinvest up to $300 billion. Other countries pursued aggressive foreign currency reserve accumulation, deployed taxes (e.g., Brazil, Thailand) or limited capital controls (e.g., Korea) in an effort to stem rapid currency appreciation.

For the year ended December 31, 2010, the MSCI Emerging Markets Index outperformed with a return of 18.9%, compared to a return of 7.8% for the MSCI EAFE Index and 14.8% for MSCI USA Index. Among the top emerging market performers for the year were Chile, up 44.2%; Malaysia, up 37.0%; South Africa, up 34.2%; Indonesia, up 33.9%; Mexico, up 27.6% and South Korea, up 26.7%. As we highlighted, there was strong divergence amongst European countries with Sweden and Denmark up 33.8% and 30.7%, respectively, while Greece, Spain, and Ireland posted negative returns of 44.9%, 22.0%, and 18.1%, respectively. The divergence in the Eurozone weighed on German returns which managed to post an increase of 8.4%. In Asia, there were also strong positive returns in Hong Kong, up 23.2%; Singapore, up 22.1%; and Japan, up 15.4%.

Country allocation remained the primary driver of performance for the year. Our long-term overweight exposure to Norway contributed positively to Portfolio performance. Norway has benefited from both the industrial cycle recovery and the rebound in the Energy sector. It is amongst the few developed economies we consider a “creditor nation” with strong public finances enabling the economy to maintain its superior fiscal position. Along with other Nordic countries, Denmark has contributed positively to our relative performance. A large factor was strong stock selection, including one of our largest holdings, Novo Nordisk, up 78.6% for the year. In addition to these Scandinavian economies, German shares, which represented the Portfolio’s largest overweight allocation relative to the benchmark, positively impacted performance, as better than expected growth translated to strong market returns with key exporters, BASF, up 32.5%, and Siemens, up 37.3%, positively impacting performance.⁽¹⁾

A relative overweight in Chile contributed positively to the Portfolio’s performance, as the MSCI Chile Index was the top performing market index in the Portfolio’s country universe, up 44.2%. This strong Latin American economy achieved a declining unemployment rate, stronger domestic demand, and improving credit conditions despite a record magnitude earthquake in February. Although sovereign debt fears dominated other key economies in 2010, Chile, like many developing economies that we monitor, had made great strides over the last decade to reform its government, build sound institutions, balance its budget, etc. As a result, the Latin American country developed into a lower risk economy. Generally, investments in other emerging markets such as Chile’s Latin America neighbor, Mexico, helped performance due to strong links to the recovering U.S.

(continued)


Ohio National Fund, Inc.	International Portfolio (Continued)

industrial economy, stabilizing domestic demand, and expectations for a global cyclical recovery. The economy of South Korea, another key overweight for the Portfolio, accelerated more than expected, along with other Asian economies, into a robust expansionary phase as the global recovery spurred demand for manufactured goods and automobiles. Our holdings in Hyundai Heavy Industries Co. Ltd. (up 162.0%) and Hyundai Motor Co. (up 47.1%) benefited as a result.⁽¹⁾

The Portfolio’s weakest performing country on a relative basis was Italy, which negatively contributed to performance. Research indicated that Italy stood apart from its peripheral neighbors, as it is better situated to manage its debt going forward due to both a strong export sector and a large domestic investor base. However, investor concerns throughout the year of Eurozone contagion outweighed Italy’s relatively positive strengths.⁽¹⁾


⁽¹⁾	The Portfolio’s composition is subject to change. Holdings and weightings are as of December 31, 2010.

Change in Value of $10,000 Investment


			MSCI All
			Country World
			Ex-USA Index
	International Portfolio		(Net-USD)
12/31/2000		10000		10000
06/30/2001		8294		8655
12/31/2001		7044		8027
06/30/2002		6655		7924
12/31/2002		5589		6827
06/30/2003		6013		7560
12/31/2003		7411		9614
06/30/2004		7590		9981
12/31/2004		8373		11624
06/30/2005		7981		11625
12/31/2005		9160		13556
06/30/2006		9985		14868
12/31/2006		10921		17169
06/30/2007		11850		19272
12/31/2007		11952		20028
06/30/2008		10563		17992
12/31/2008		6445		10910
06/30/2009		6905		12429
12/31/2009		8909		15432
06/30/2010		7911		13725
12/31/2010		10401		17153

The MSCI All Country World Ex-USA Index (Net-USD) is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of the developed and emerging markets. As of May 2010, the MSCI All Country World Index consisted of 24 developed and 21 emerging market country indices.

(continued)


Ohio National Fund, Inc.	International Portfolio


Schedule of Investments	December 31, 2010


Common Stocks – 100.4%		Shares		Value


Germany – 19.5%
Allianz SE	(b)		27,000	$	3,208,000
BASF SE	(b)		47,400		3,782,633
Bayer AG	(b)		13,600		1,008,125
Commerzbank AG	(a)(b)		34,500		256,844
Continental AG	(a)(b)		14,200		1,127,971
Daimler AG	(a)(b)		38,400		2,598,313
Deutsche Bank AG	(b)		29,250		1,529,647
Deutsche Lufthansa AG	(a)(b)		25,600		556,866
Deutsche Telekom AG	(b)		203,200		2,619,477
E.ON AG	(b)		20,300		619,934
Fresenius SE	(b)		17,200		1,443,319
GEA Group AG	(b)		20,006		578,138
Hochtief AG	(b)		14,600		1,237,664
Linde AG	(b)		7,000		1,058,948
MAN SE	(b)		9,000		1,071,946
Metro AG	(b)		18,700		1,349,696
MTU Aero Engines Holding AG	(b)		19,000		1,282,837
Muenchener Rueckversicherungs AG	(b)		19,910		3,015,441
Puma AG Rudolf Dassler Sport	(c)		4,150		1,375,320
SAP AG	(b)		14,300		729,333
Siemens AG	(b)		53,334		6,606,683
Suedzucker AG	(b)		32,000		854,602
Vossloh AG	(b)		11,100		1,410,901
Wacker Chemie AG	(b)		3,800		662,510
Wincor Nixdorf AG	(b)		18,000		1,473,463

					41,458,611

Denmark – 12.7%
AP Moller – Maersk A/S	(b)		267		2,417,322
Carlsberg A/S	(b)		21,550		2,163,090
Coloplast A/S	(b)		7,800		1,059,965
Danisco A/S	(b)		38,300		3,512,512
Danske Bank A/S	(a)(b)		146,500		3,757,044
DSV A/S	(b)		100,225		2,221,677
FLSmidth & Co. A/S	(b)		4,000		382,720
GN Store Nord A/S	(a)(b)		93,500		854,178
H Lundbeck A/S	(b)		91,700		1,746,977
NKT Holding A/S	(b)		11,300		602,937
Novo Nordisk A/S	(b)		60,625		6,830,287
Royal Unibrew A/S	(a)(b)		13,100		779,655
Sydbank A/S	(a)(b)		30,400		826,829

					27,155,193

South Korea – 12.4%
Daewoo Shipbuilding & Marine Engineering Co. Ltd.	(a)(b)		28,400		907,327
Dongkuk Steel Mill Co. Ltd.	(a)(b)		20,500		632,865
Hana Financial Group, Inc.	(b)		13,700		521,412
Hanwha Chemical Corp.	(a)(b)		35,500		968,378
Hyundai Heavy Industries Co. Ltd.	(a)(b)		4,000		1,559,065
Hyundai Motor Co.	(a)(b)		14,700		2,244,387
Hyundai Steel Co.	(a)(b)		5,800		635,342
KB Financial Group, Inc.	(a)(b)		17,400		915,143
Kia Motors Corp.	(a)(b)		33,800		1,505,589
KT Corp. – ADR	(a)		49,900		1,037,920
LG Chem Ltd.	(a)(b)		2,400		826,346
LG Electronics, Inc.	(a)(b)		8,600		892,172
POSCO – ADR			8,900		958,441
Samsung Electro-Mechanics Co. Ltd.	(a)(b)		7,600		828,501
Samsung Electronics Co. Ltd.	(b)		6,850		5,720,681
Samsung Engineering Co. Ltd.	(a)(b)		5,500		929,586
Samsung Heavy Industries Co. Ltd.	(a)(b)		30,300		1,099,095
Samsung SDI Co. Ltd.	(a)(b)		6,800		1,003,775
Shinhan Financial Group Co. Ltd.	(a)(b)		16,800		781,183
SK Energy Co. Ltd.	(a)(b)		7,200		1,229,110
Woongjin Coway Co. Ltd.	(a)(b)		32,573		1,155,522

					26,351,840

Mexico – 10.3%
America Movil SAB de CV – ADR			99,500		5,705,330
Compartamos S.A.B. de CV	(a)		200,000		434,980
Fomento Economico Mexicano SAB de CV – ADR			45,400		2,538,768
Grupo Aeroportuario del Sureste SAB de CV – ADR			7,500		423,375
Grupo Bimbo SAB de CV			101,300		864,946
Grupo Financiero Banorte SAB de CV			337,000		1,601,773
Grupo Financiero Inbursa SA			162,500		713,684
Grupo Mexico SAB de CV			561,000		2,309,412
Grupo Modelo SAB de CV			126,883		788,524
Grupo Televisa SA – ADR	(a)		76,700		1,988,831
Industrias Penoles SAB de CV			38,400		1,412,250
Mexichem SAB de CV			128,000		458,105
Wal-Mart de Mexico SAB de CV			970,400		2,772,908

					22,012,886

Taiwan – 10.1%
Cathay Financial Holding Co. Ltd.	(b)		1,248,500		2,213,971
China Steel Corp.	(b)		500,000		574,305
Chinatrust Financial Holding Co. Ltd.	(b)		1,038,400		762,044
Chunghwa Telecom Co. Ltd.	(b)		210,000		534,136
CMC Magnetics Corp.	(a)(b)		2,650,000		725,703
Coretronic Corp.	(b)		420,000		686,350
Far Eastern New Century Corp.	(b)		435,540		737,553
Formosa Chemicals & Fibre Corp.	(b)		354,000		1,192,070
Formosa Petrochemical Corp.	(b)		434,000		1,471,724
Formosa Plastics Corp.	(b)		257,000		859,282
Gigabyte Technology Co. Ltd.	(b)		345,000		362,560
Inventec Co. Ltd.	(b)		1,381,550		781,696
Mega Financial Holding Co. Ltd.	(b)		356,000		274,091
Micro-Star International Co. Ltd.	(b)		1,050,000		617,350
Nan Ya Plastics Corp.	(b)		474,000		1,181,949
Pou Chen Corp.	(b)		1,281,200		1,183,587
Siliconware Precision Industries Co.	(b)		909,000		1,088,755
Taiwan Semiconductor Manufacturing Co. Ltd.	(b)		925,001		2,251,729
United Microelectronics Corp.	(b)		3,885,000		2,174,539
Vanguard International Semiconductor Corp.	(b)		1,630,000		826,820
Wan Hai Lines Ltd.	(a)(b)		1,070,000		940,748

					21,440,962

Norway – 9.2%
Aker Solutions ASA	(b)		47,000		801,849
DnB NOR ASA	(b)		197,444		2,777,650
Fred Olsen Energy ASA	(b)		50,200		2,229,658
Petroleum Geo-Services ASA	(a)(b)		39,000		613,051
Statoil ASA	(b)		200,000		4,763,609
Telenor ASA	(b)		223,700		3,645,267
TGS Nopec Geophysical Co. ASA	(b)		40,400		914,252
Yara International ASA	(b)		67,600		3,934,914

					19,680,250

Japan – 9.2%
Ajinomoto Co., Inc.	(b)		48,000		498,627
Asahi Kasei Corp.	(b)		255,000		1,658,686
Astellas Pharma, Inc.	(b)		8,000		304,043
Cosmo Oil Co. Ltd.	(b)		153,000		499,662
Daiichi Sankyo Co. Ltd.	(b)		35,000		764,434
Honda Motor Co. Ltd.	(b)		22,000		868,313
JX Holdings, Inc.	(b)		60,000		406,022
Kaneka Corp.	(b)		182,000		1,257,463
Kao Corp.	(b)		20,000		537,502
Kose Corp.	(b)		11,995		309,790
Mitsubishi Chemical Holdings Corp.	(b)		117,000		790,319
Mitsubishi Electric Corp.	(b)		89,000		929,984
Mitsubishi Heavy Industries Ltd.	(b)		200,000		748,698
Mitsui Chemicals, Inc.	(b)		181,000		645,305
NEC Corp.	(b)		261,000		780,912
Nomura Holdings, Inc.	(b)		140,000		888,311
Rinnai Corp.	(b)		10,000		609,613

(continued)


Ohio National Fund, Inc.	International Portfolio (Continued)


Schedule of Investments	December 31, 2010


Common Stocks (Continued)		Shares		Value


Japan (continued)
Sumitomo Corp.	(b)		50,000	$	703,863
Sumitomo Electric Industries Ltd.	(b)		133,500		1,844,860
Suzuki Motor Corp.	(b)		25,000		613,720
Takeda Pharmaceutical Co. Ltd.	(b)		13,700		673,024
Tokuyama Corp.	(b)		212,000		1,092,699
Toray Industries, Inc.	(b)		80,000		476,922
Toshiba Corp.	(b)		125,000		678,410
Ube Industries Ltd.	(b)		340,000		1,018,103

					19,599,285

Austria – 4.0%
Erste Group Bank AG	(b)		101,543		4,792,488
Raiffeisen Bank International AG	(b)		32,800		1,806,773
Vienna Insurance Group AG	(b)		37,200		1,938,859

					8,538,120

Indonesia – 3.6%
Adaro Energy Tbk PT	(b)		2,400,000		678,254
Astra International Tbk PT	(b)		185,000		1,118,033
Bank Central Asia Tbk PT	(b)		880,000		623,951
Bank Mandiri Tbk PT	(b)		540,000		388,305
Bank Negara Indonesia Persero Tbk PT	(b)		903,500		387,707
Bank Rakyat Indonesia Persero Tbk PT	(b)		320,000		372,235
Indofood Sukses Makmur Tbk PT	(b)		1,020,000		550,748
International Nickel Indonesia Tbk PT	(b)		1,440,000		777,483
Perusahaan Gas Negara Tbk PT	(b)		1,060,000		520,049
Tambang Batubara Bukit Asam Tbk PT	(b)		170,000		432,229
Telekomunikasi Indonesia Tbk PT			17,200		613,181
Unilever Indonesia Tbk PT	(b)		275,000		503,051
United Tractors Tbk PT	(b)		226,050		596,184

					7,561,410

China – 2.3%
China Construction Bank Corp.	(b)		920,200		827,906
China Oilfield Services Ltd.	(b)		423,000		910,454
Dongfeng Motor Group Co. Ltd.	(b)		514,000		886,566
Industrial & Commercial Bank of China	(b)		778,525		577,572
Jiangsu Expressway Co. Ltd.	(b)		946,000		1,084,972
Ping An Insurance Group Co. of China Ltd.	(b)		59,000		657,023

					4,944,493

Bermuda – 2.1%
Frontline Ltd.	(b)		64,100		1,662,130
Golden Ocean Group Ltd.	(b)		566,600		794,468
Seadrill Ltd.	(b)		62,100		2,118,428

					4,575,026

Luxembourg – 1.5%
Acergy SA	(b)		126,900		3,120,898

Hong Kong – 1.2%
Beijing Enterprises Holdings Ltd.	(b)		55,000		339,125
China Mobile Ltd.	(b)		120,000		1,190,554
CNOOC Ltd.	(b)		456,800		1,093,229

					2,622,908

Cayman Islands – 1.2%
Belle International Holdings Ltd.	(b)		435,000		732,526
Subsea 7, Inc.	(a)(b)		42,000		1,101,787
Tencent Holdings Ltd.	(b)		35,700		784,663

					2,618,976

Sweden – 0.6%
Nordea Bank AB	(b)		112,000		1,217,759

Cyprus – 0.5%
Songa Offshore SE	(a)(b)		180,000		971,745

Total Common Stocks (Cost $160,025,222)				$	213,870,362


Money Market Funds – 1.6%		Shares		Value


State Street Institutional Liquid Reserves Fund Institutional Class 2			3,417,131	$	3,417,131

Total Money Market Funds (Cost $3,417,131)				$	3,417,131


		Face		Amortized
U.S. Treasury Obligations – 0.0%		Amount		Cost


U.S. Treasury Bill 0.000% Coupon, 0.010% Effective Yield, 03/24/2011	(d)	$	100,000	$	99,969

Total U.S. Treasury Obligations (Cost $99,969)				$	99,969

Total Investments – 102.0% (Cost $163,542,322)	(e)			$	217,387,462
Liabilities in Excess of Other Assets – (2.0)%					(4,301,670	)

Net Assets – 100.0%				$	213,085,792

Percentages are stated as a percent of net assets.

Abbreviations:

ADR: American Depositary Receipt

Footnotes:


(a)		Non-Income producing security.

(b)		Security traded on a foreign exchange has been valued at an estimate of fair value that is different than the local market close price. These fair value estimates are determined by an independent national fair valuation service that has been approved by the Board. These securities represent $187,872,614 or 88.2% of the Portfolio’s net assets.

(c)		As discussed in Note 2 of the Notes to Financial Statements, not all investments that are traded on a foreign exchange are valued at an estimate that is different from the local close price. In some instances, the independent fair valuation service uses the local close price because the confidence interval associated with an investment is below the 75% threshold. These securities represent $1,375,320 or 0.6% of the Portfolio’s net assets.

		Other Portfolio securities are not subjected to fair valuation procedures because they are traded on domestic or foreign exchanges that have close times that are consistent with the U.S. market close, normally 4:00 pm Eastern Time. Exchange traded funds and rights are also not evaluated by the fair valuation service.

(d)		Security is pledged as collateral for the Portfolio’s futures contract outstanding at December 31, 2010. See also Note 6 of the Notes to Financial Statements.

(continued)


Ohio National Fund, Inc.	Capital Appreciation Portfolio

Objective/Strategy

The Capital Appreciation Portfolio seeks long-term capital growth by investing primarily in common stocks of established companies with either current or emerging earnings growth not fully appreciated or recognized by the market.

Performance as of December 31, 2010


Average Annual Total Returns:
One year			16.99%
Five years			4.25%
Ten years			5.33%

Comments

For the year ended December 31, 2010, the Capital Appreciation Portfolio returned 16.99% versus 15.06% for the current benchmark, the S&P 500 Index.

Within the Portfolio, nearly every sector advanced, with the Consumer Discretionary, Energy, Industrials, and Materials sectors each returning more than 25%. Utilities was the one Portfolio sector that ended the year with losses. Advances in the S&P 500 Index exceeded 20% in the Consumer Discretionary, Industrials, Materials, and Energy sectors. Returns were considerably more modest in Health Care and Utilities.

The Consumer Discretionary sector benefited absolute return the most and was a source of positive performance versus the broad market index. Noteworthy contributors included media holding Liberty Global, Inc., gaming and casino operator Pinnacle Entertainment, Inc., and auto components position Lear Corp. Liberty Global, Inc., an international cable operator offering advanced video, voice and broadband Internet services, advanced 55% in 2010. In the most recent quarter, Liberty Global, Inc. reported what we considered strong third-quarter results, with continued acceleration of operating cash flow growth, a key metric. Additionally, the three key markets of Germany, the Netherlands, and Switzerland all showed revenue acceleration relative to earlier this year. Switzerland, which had been shrinking for the past two years, finally returned to growth. We also view positively Liberty Global, Inc.’s December purchase of Aster, Poland’s fourth largest cable operator. In our opinion, this represents a continuation of the company’s strategy to acquire high-growth European cable assets and consolidates Liberty Global, Inc.’s existing holdings in Poland. With its free cash flow, Liberty Global, Inc. continues to repurchase stock, which amounted to 10% of the company during the year. We trimmed the position by nearly 40% in the fourth quarter as the stock appreciated and are maintaining a smaller position size. We still think the stock is trading at a significant discount to our estimate of private market value.⁽¹⁾

Top ten weighted Pinnacle Entertainment, Inc. operates gaming facilities in Louisiana, Missouri, Indiana, and Nevada. Shares of the company rose after it reported strong third-quarter results. Pinnacle Entertainment, Inc. beat EBITDA (earnings before interest, taxes, depreciation and amortization) expectations by almost 20% with minimal organic revenue growth. We continue to believe Pinnacle Entertainment, Inc.’s new management team will improve margins through smarter marketing, concentrating on L’Auberge du Lac in Lake Charles and its St. Louis Operations, allocating capital prudently, and selling non-core businesses (potentially Atlantic City and Reno land). We believe Pinnacle Entertainment, Inc., which is trading at a substantial discount to our estimate of the company’s net asset value, should continue to outperform as revenue growth materializes, leading to substantial operating leverage.⁽¹⁾

Losses in H&R Block, Inc. offset a small portion of the Portfolio’s gains in the Consumer Discretionary sector. We sold approximately 40% of our position in H&R Block, Inc. in 2010 prior to the February sell-off, which mitigated the stock’s negative performance impact. H&R Block, Inc. fell as the company prepared fewer tax returns in the early tax season than originally projected at the fall analyst day, a direct result of the recession, continued high unemployment, and the inclement weather in early 2010 relative to 2009. As a result, the company did not reach the previously announced guidance for fiscal 2010 earnings. We closed the position in July.⁽¹⁾

Security selection in Energy was particularly strong and was the biggest source of positive relative return. Arch Coal, Inc., Weatherford International Ltd., Schlumberger Ltd., and Newfield Exploration Co. were stellar performers. Since establishing a position in Arch Coal, Inc. in June, the stock has gained more than 70%. Arch Coal, Inc. is among the top producers in the Powder River Basin (PRB), which we believe will be in great demand over the coming years. Its acquisition of Rio Tinto’s Jacobs Ranch has increased its PRB market share while gaining operating synergies. We continue to like the company’s focus on strengthening the balance sheet, tremendous free cash flow generation, exposure to international coal markets, and reserve/production profile. Our outlook for the global demand for coal remains bullish, and while inventories are still above normal five-year levels, they have trended down from recession highs and production in the central Appalachian region continues to shrink, creating a favorable pricing environment.⁽¹⁾

Materials and Industrials also added to absolute return and outperformed the corresponding sectors of the S&P 500 Index. Ferro Corp., which produces value added specialty chemicals/materials for use among various end markets including construction, remodeling, electronics, autos, containers, and other industry was the top contributor. From our initial purchase in November 2009 through our final sell in November 2010, the stock advanced 157%. The company’s massive cost cutting combined with significant volume leverage drove improved profitability. Second-quarter earnings easily surpassed consensus expectations, driven by significantly higher sales and margins, especially in the electronic materials sub-division. German tariffs on solar materials were set at levels that allowed continued year-over-year growth in 2010. Ferro Corp. also revamped its debt profile during the third quarter by extending the maturities of its debt and lowering its financing costs.⁽¹⁾

Individual stock disappointments included Information Technology stocks Cisco Systems, Inc. and Adobe Systems, Inc. Shares of Cisco Systems, Inc. fell after the company had a strong fiscal first quarter, but CEO John Chambers issued a weaker revenue outlook than what investors anticipated due to slow economic growth. We reduced our position in Cisco Systems, Inc. due to what we considered a narrower risk/reward. During the third quarter, Cisco Systems, Inc. gained market share in the router space and its board authorized up to $10 billion in additional repurchases of its common stock. The

(continued)


Ohio National Fund, Inc.	Capital Appreciation Portfolio (Continued)

board had previously authorized up to $72 billion in stock repurchases. Cisco Systems, Inc. provides routers and switches used to direct data, voice, and video traffic. Other products include remote access servers, IP telephony equipment, optical networking components, Internet conferencing systems, set-top boxes, and network service and security systems.⁽¹⁾

Software company Adobe Systems, Inc. declined sharply after it issued disappointing guidance for its fiscal fourth quarter. The lackluster projections prompted several Wall Street analysts to reduce their earnings estimates and cut their ratings on the stock. Adobe Systems, Inc. reported a 69% year-over-year increase in fiscal third-quarter earnings and sequential operating margin expansion of 300 basis points, but the company said that it expected fiscal fourth-quarter revenue and adjusted earnings to come in below consensus expectations. In the third quarter, Adobe Systems, Inc.’s updated Creative Suite software package, CS5, managed sequential revenue growth of only 3%, but is still up 21% from the previous CS4 version over a similar timeframe. Fourth-quarter revenue from the product is expected to be flat, largely due to weakness in the education, government and Japanese markets. We had thought that CS5 sales would be spurred by pent-up demand from existing customers, as many skipped the CS4 upgrade and currently use software that is 3-5 years old. We closed the position in December.⁽¹⁾

The five best performers were Ferro Corp., Arch Coal, Inc., Tyson Foods Inc., Akamai Technologies, Inc., and Pinnacle Entertainment, Inc. The five worst performers were H&R Block, Inc., Gilead Sciences, Inc., Monsanto Co., Medco Health Solutions, Inc., and Suncor Energy, Inc. The five largest detractors were H&R Block, Inc., Cisco Systems, Inc., Gilead Sciences, Inc., Adobe Systems, Inc., and NRG Energy Inc. The five largest contributors were Ferro Corp., Arch Coal, Inc., Liberty Global, Inc., Pinnacle Entertainment, Inc., and Lear Corp.⁽¹⁾

As 2010 drew to a close, most economists raised their economic growth projections. The current consensus is that the U.S. economy will expand at a rate of 3% or more in 2011. Growth of this magnitude would likely begin to chip away at the unemployment rate, which was 9.8% in November.

Several elements of uncertainty have receded over the past year. First, the new division of political power in Washington makes new wide-ranging regulatory reform initiatives, on top of the health care and financial legislation of 2010, highly unlikely over the next couple of years. Second, the recent clarification of tax structure allows businesses to plan and invest with new tax-saving abilities designed to spur both additional capital spending and hiring as sales recovery continues. Third, declines in the residential real estate market appear to have reached a trough. These factors, combined with the strong two-year recovery in equities, suggest a substantial improvement in the wealth effect and its favorable attendant consequences. A modest reduction in the pace of consumer de-leveraging would not be an unlikely outcome.

Corporations ended 2010 with record amounts of cash on their balance sheets, which bodes well for increased capital investment, dividends, share buybacks, and mergers and acquisitions. Robust, albeit slower, profits growth is expected for most industries and companies as the markets look toward further gains in 2011.

Although the direction the new Congress will take is yet unclear, it seems possible that fiscal restraint and, perhaps, spending reform will gain the upper hand. A consensus that budget deficits and U.S. debt growth are unsustainable seems to be building.

Overall, optimism about the U.S. economy and stock market seems justified. Of course, expectations for solid performance are now somewhat discounted after two years of strong gains. We continue to look for new ideas that have compelling risk/rewards with catalysts that should effectively realize stocks’ full market value over the next twelve to twenty four months. The Portfolio contains both company-specific, catalyst-driven ideas, as well as stocks in industries with secular and cyclical fundamental improvements. In our opinion, stock selection is the key driver to outperforming market indexes.


⁽¹⁾	The Portfolio’s composition is subject to change. Holdings and weightings are as of December 31, 2010.

Change in Value of $10,000 Investment


	Capital Appreciation		S&P 500
	Portfolio		Index
12/31/2000		10000		10000
06/30/2001		11007		9330
12/31/2001		10967		8811
06/30/2002		9875		7652
12/31/2002		8757		6864
06/30/2003		9592		7671
12/31/2003		11518		8833
06/30/2004		11953		9137
12/31/2004		12958		9794
06/30/2005		12616		9715
12/31/2005		13640		10275
06/30/2006		14439		10553
12/31/2006		15873		11898
06/30/2007		17822		12726
12/31/2007		16480		12552
06/30/2008		14820		11056
12/31/2008		10052		7908
06/30/2009		11696		8158
12/31/2009		14358		10001
06/30/2010		13585		9335
12/31/2010		16798		11507

(continued)


Ohio National Fund, Inc.	Capital Appreciation Portfolio


Schedule of Investments	December 31, 2010


Common Stocks – 97.6%		Shares		Value


CONSUMER DISCRETIONARY – 19.4%
Lear Corp. (Auto Components)	(a)		31,800	$	3,138,978
Apollo Group, Inc. Class A (Diversified Consumer Svs.)	(a)		15,981		631,090
International Game Technology (Hotels, Restaurants & Leisure)			113,513		2,008,045
Pinnacle Entertainment, Inc. (Hotels, Restaurants & Leisure)	(a)		230,054		3,225,357
Yum! Brands, Inc. (Hotels, Restaurants & Leisure)			35,026		1,718,025
Ryland Group, Inc. (Household Durables)			84,338		1,436,276
Comcast Corp. Class A (Media)			108,533		2,258,572
Liberty Global, Inc. (Media)	(a)		35,527		1,204,010
News Corp. Class A (Media)			95,710		1,393,538
Viacom, Inc. Class B (Media)			72,250		2,861,823
Vivendi SA (Media)	(b)		69,409		1,875,546
Warner Music Group Corp. (Media)	(a)		212,500		1,196,375
GameStop Corp. Class A (Specialty Retail)	(a)		100,395		2,297,038

					25,244,673

CONSUMER STAPLES – 6.9%
Wal-Mart Stores, Inc. (Food & Staples Retailing)			44,200		2,383,706
Bunge Ltd. (Food Products)			32,179		2,108,368
ConAgra Foods, Inc. (Food Products)			58,514		1,321,246
Kraft Foods, Inc. Class A (Food Products)			66,756		2,103,482
Tyson Foods, Inc. Class A (Food Products)			57,137		983,899

					8,900,701

ENERGY – 17.1%
Cameron International Corp. (Energy Equip. & Svs.)	(a)		40,781		2,068,820
Schlumberger Ltd. (Energy Equip. & Svs.)			37,639		3,142,857
Weatherford International Ltd. (Energy Equip. & Svs.)	(a)		117,620		2,681,736
Apache Corp. (Oil, Gas & Consumable Fuels)			21,739		2,591,941
Arch Coal, Inc. (Oil, Gas & Consumable Fuels)			65,884		2,309,893
Cabot Oil & Gas Corp. (Oil, Gas & Consumable Fuels)			42,168		1,596,059
Consol Energy, Inc. (Oil, Gas & Consumable Fuels)			47,073		2,294,338
Newfield Exploration Co. (Oil, Gas & Consumable Fuels)	(a)		25,100		1,809,961
Occidental Petroleum Corp. (Oil, Gas & Consumable Fuels)			20,791		2,039,597
Southwestern Energy Co. (Oil, Gas & Consumable Fuels)	(a)		42,720		1,599,010

					22,134,212

FINANCIALS – 18.2%
Charles Schwab Corp. / The (Capital Markets)			128,328		2,195,692
Goldman Sachs Group, Inc. / The (Capital Markets)			16,320		2,744,371
Lazard Ltd. Class A (Capital Markets)			50,660		2,000,563
Wells Fargo & Co. (Commercial Banks)			63,737		1,975,210
Citigroup, Inc. (Diversified Financial Svs.)	(a)		184,739		873,815
JPMorgan Chase & Co. (Diversified Financial Svs.)			60,671		2,573,664
Moody’s Corp. (Diversified Financial Svs.)			83,394		2,213,277
Axis Capital Holdings Ltd. (Insurance)			52,946		1,899,703
Marsh & McLennan Cos., Inc. (Insurance)			74,371		2,033,303
Symetra Financial Corp. (Insurance)			115,402		1,581,007
Travelers Cos., Inc. / The (Insurance)			35,233		1,962,830
Validus Holdings Ltd. (Insurance)			49,538		1,516,358

					23,569,793

HEALTH CARE – 10.6%
Amgen, Inc. (Biotechnology)	(a)		39,764		2,183,044
Gilead Sciences, Inc. (Biotechnology)	(a)		49,887		1,807,905
Hologic, Inc. (Health Care Equip. & Supplies)	(a)		27,603		519,488
Thermo Fisher Scientific, Inc. (Life Sciences Tools & Svs.)	(a)		31,590		1,748,822
Abbott Laboratories (Pharmaceuticals)			13,910		666,428
Merck & Co., Inc. (Pharmaceuticals)			58,165		2,096,267
Pfizer, Inc. (Pharmaceuticals)			162,163		2,839,474
Watson Pharmaceuticals, Inc. (Pharmaceuticals)	(a)		36,066		1,862,809

					13,724,237

INDUSTRIALS – 11.4%
Teledyne Technologies, Inc. (Aerospace & Defense)	(a)		30,290		1,331,851
HUB Group, Inc. Class A (Air Freight & Logistics)	(a)		20,974		737,026
JetBlue Airways Corp. (Airlines)	(a)		278,839		1,843,126
Republic Services, Inc. (Commercial Svs. & Supplies)			57,899		1,728,864
Dover Corp. (Machinery)			35,315		2,064,162
Ingersoll-Rand PLC (Machinery)			52,449		2,469,823
CSX Corp. (Road & Rail)			39,581		2,557,328
RSC Holdings, Inc. (Trading Companies & Distributors)	(a)		210,635		2,051,585

					14,783,765

INFORMATION TECHNOLOGY – 9.9%
Cisco Systems, Inc. (Communications Equip.)	(a)		67,156		1,358,566
Dell, Inc. (Computers & Peripherals)	(a)		149,081		2,020,048
Flextronics International Ltd. (Electronic Equip., Instr. & Comp.)	(a)		117,264		920,522
IAC/InterActiveCorp (Internet Software & Svs.)	(a)		50,127		1,438,645
SAIC, Inc. (IT Svs.)	(a)		80,900		1,283,074
Intel Corp. (Semiconductors & Equip.)			78,156		1,643,621
Marvell Technology Group Ltd. (Semiconductors & Equip.)	(a)		101,111		1,875,609
Xilinx, Inc. (Semiconductors & Equip.)			36,934		1,070,347
Symantec Corp. (Software)	(a)		77,899		1,304,029

					12,914,461

MATERIALS – 4.1%
Celanese Corp. (Chemicals)			36,002		1,482,202
Goldcorp, Inc. (Metals & Mining)			61,100		2,809,378
Randgold Resources Ltd. – ADR (Metals & Mining)			13,360		1,099,929

					5,391,509

Total Common Stocks (Cost $109,105,245)				$	126,663,351


Money Market Funds – 4.1%		Shares		Value


Fidelity Institutional Money Market Funds
Money Market Portfolio – Class I			5,331,000	$	5,331,000

Total Money Market Funds (Cost $5,331,000)				$	5,331,000

Total Investments – 101.7% (Cost $114,436,245)	(c)			$	131,994,351
Liabilities in Excess of Other Assets – (1.7)%					(2,193,292	)

Net Assets – 100.0%				$	129,801,059

Percentages are stated as a percent of net assets.

Abbreviations:

ADR: American Depositary Receipts

Footnotes:


(a)		Non-income producing security.

(b)		Security traded on a foreign exchange has been valued at an estimate of fair value that is different than the local market close price. These fair value estimates are determined by an independent national fair valuation service that has been approved by the Board. These securities represent $1,875,546 or 1.4% of the Portfolio’s net assets. Other Portfolio securities are not subjected to fair valuation procedures because they are traded on domestic or foreign exchanges that have close times that are consistent with the U.S. market close, normally 4:00 pm Eastern Time.

(c)		Represents cost for financial reporting purposes, which may differ from cost basis for Federal income tax purposes. See also Note 7 of the Notes to Financial Statements.

The accompanying notes are an integral part of these financial statements.


Ohio National Fund, Inc.	Millennium Portfolio

Objective/Strategy

The Millennium Portfolio seeks maximum capital growth by investing primarily in common stocks of small sized companies.

Performance as of December 31, 2010


Average Annual Total Returns:
One year			24.30%
Five years			3.15%
Ten years			-0.21%

Comments

For the year ended December 31, 2010, the Millennium Portfolio returned 24.30% versus 29.09% for the current benchmark, the Russell 2000 Growth Index.

2010 was a volatile year with three distinct periods highlighting this volatility. In the first few months of 2010 the index rose meaningfully, as many of the same factors powering 2009 results extended into 2010. The index then gave back these gains in the late spring and summer as concern over the weakening Euro and sovereign debt weighed heavily on our domestic markets. Finally, in August, Federal Reserve Chairman Bernanke’s commentary relating to Quantitative Easing re-ignited the markets, especially long-duration asset classes such as small cap equities. Additionally, the Republicans gained ground in the November elections resulting in a more neutral regulatory stance out of Washington, the White House in particular. These factors, combined with an extension of Bush-era tax cuts, laid out a nice backdrop for the equity markets in the fourth quarter.

Even though corporate profitability has shown respectable gains in 2010, future rates of growth will likely slow going forward into 2011. Corporate America has done a good job of cutting costs and boosting margins while at the same time greatly improving balance sheets. Future earnings gains will likely be more dependent on top-line gains as opposed to margin improvement where cost-cutting efforts have already been implemented. Coming out of the downturn, earnings per share (“EPS”) gains have been impressive, especially from many of the lower quality, small cap companies that were punished the hardest as the economy receded. We are at the point in the economic cycle where typically “the torch is passed” from lower quality companies to the truly great high quality growth companies that have an ability to post solid organic gains, even in a slower growth environment.

Although up substantially in absolute terms, the Portfolio underperformed the Russell 2000 Growth Index as our larger market capitalization and lower beta strategy continued to present stylistic challenges. While there are always opportunities to improve performance, many lower quality factors continued to dominate index returns for the second year in a row. For example, in our Portfolio approximately 75% of the holdings had a market cap in excess of $1 billion versus roughly 25% for the index. This larger market capitalization bucket within the index underperformed the $500 million to less than $1 billion category substantially, presenting a clear headwind. We had expected 2010 to look more like 2004, whereby in the second year after a recovery higher-quality growth strategies such as ours typically perform better. The steep bear market in 2008 combined with a very accommodative Federal Reserve, we think, led to an extended rally in lower quality equities for the second year in a row. We envision that 2011 could be a fundamentally-driven year in the small-cap growth universe, whereby our style should be well-rewarded.

Relative out-performance in Health Care, Energy, and Consumer Staples was offset by relative underperformance in the Consumer Discretionary and Information Technology sectors. Health Care benefited from a variety of factors including two holdings, ev3, Inc. and Odyssey Healthcare, Inc., which were taken over. Within Energy, our bias towards on-shore high production growth names paid-off. Rosetta Resources, Inc., Brigham Exploration Co., and Concho Resources, Inc. did well. We were able to find a couple of high-growth Consumer Staples names in Diamond Foods, Inc. and The Fresh Market, Inc. that showed nice appreciation. In Consumer Discretionary, the biggest detractors were education names such as Capella Education Co. Intense regulatory scrutiny has put pressure on price-to-earnings multiples in the group, which Capella Education Co. could not overcome. Within Information Technology, various performance issues negatively effected Compellant Technologies, Inc., Atheros Communications, Inc., and Plexus Corp., which pressured performance in this sector.⁽¹⁾

From an economic standpoint, signs that unemployment is gradually improving and housing is not getting much worse, along with positive commentary from Corporate America, are being well-received. Despite this progress, we think economic growth may be uneven as the easy gains coming out of the recession have already been booked. We believe that Gross Domestic Product will continue to rise in 2011, albeit at a slower rate compared to past recovery periods. Equity markets should continue to be volatile as traders may want to extrapolate longer-term trends from erratic shorter-term data points.

The Portfolio is currently over-weighted in the Energy sector and slightly over-weighted in Information Technology relative to the index. As is always the case, given our style, weightings are derived on a bottom-up basis where we try to be opportunistic as we look for small cap growth stocks. That being said, in Information Technology we tend to favor software, Internet, iPhone/iPad-related stocks and are generally less optimistic about semiconductors. Within Energy, our primary focus is on-shore production companies that have the potential to grow rapidly. We have a bias towards on-shore production as it tends to be less volatile and generally own small positions in the service industry. We remain relatively underweighted in Financials as it is difficult to find rapid earnings growth in a sector dominated by banks.⁽¹⁾

Our bottom-up stock picking process many times tends to uncover “themes”, whereby a number of individual equities in the Portfolio may be related. For example, there are a number of holdings in the Portfolio that are related to technology outsourcing and health care cost savings. Newer themes such as mobile computing should continue to have traction. A clear trend towards consumers demanding easy wireless Internet access through smart-phones and tablets is an important investable theme. We own stock in companies that enable wireless access as well as those that sell “apps” on iPhones/iPads. We should not overlook the need for long duration battery-related companies which are also part of this

(continued)


Ohio National Fund, Inc.	Millennium Portfolio (Continued)

theme. While companies like Apple, Inc. are clearly too large for a small cap growth fund, rest assured that there are many interesting smaller companies that can also benefit from these macro trends.⁽¹⁾

In an environment where future EPS gains likely will be more difficult to come by as compared to the past couple of years coming out of a recession, we believe our higher-quality style should be ideally suited. We tend to own stock in companies with higher organic growth rates that are less cyclical. Many of these higher-quality names have been out of favor over the past couple of years as, coming out of the recession, lower-quality small cap stocks have tended to lead the market. Many of these lower-quality names have already doubled over the past couple of years. Historically, this is the point in the cycle where high-quality names typically outperform. As we look across our sector weights and individual holdings, we are optimistic that our style should do well in the expected environment going forward.


⁽¹⁾	The Portfolio’s composition is subject to change. Holdings and weightings are as of December 31, 2010.

Change in Value of $10,000 Investment


			Russell 2000
	Millennium Portfolio		Growth Index
12/31/2000		10000		10000
06/30/2001		9090		10004
12/31/2001		8164		9077
06/30/2002		6752		7503
12/31/2002		5492		6330
06/30/2003		6169		7554
12/31/2003		7560		9403
06/30/2004		7903		9937
12/31/2004		8386		10748
06/30/2005		8183		10363
12/31/2005		8386		11195
06/30/2006		8635		11874
12/31/2006		9005		12689
06/30/2007		10419		13873
12/31/2007		11349		13583
06/30/2008		9985		12370
12/31/2008		6521		8348
06/30/2009		6702		9296
12/31/2009		7881		11226
06/30/2010		7677		10966
12/31/2010		9795		14491

The Russell 2000 Growth Index is a market-weighted total return index that measures the performance of companies within the Russell 2000 Index having higher price to book ratios and higher forecasted growth values. The Russell 2000 Index includes the 2000 firms from the Russell 3000 Index with the smallest market capitalizations. The Russell 3000 Index represents 98% of the investable U.S. equity markets. The index presented herein includes the effects of reinvested dividends.

(continued)


Ohio National Fund, Inc.	Millennium Portfolio


Schedule of Investments	December 31, 2010


Common Stocks – 98.9%		Shares		Value


CONSUMER DISCRETIONARY – 17.5%
Steiner Leisure Ltd. (Diversified Consumer Svs.)	(a)		16,500	$	770,550
7 Days Group Holdings Ltd. – ADR (Hotels, Restaurants & Leisure)	(a)		22,800		485,640
Gaylord Entertainment Co. (Hotels, Restaurants & Leisure)	(a)		23,200		833,808
Orient-Express Hotels Ltd. Class A (Hotels, Restaurants & Leisure)	(a)		37,100		481,929
Texas Roadhouse, Inc. (Hotels, Restaurants & Leisure)	(a)		26,900		461,873
hhgregg, Inc. (Specialty Retail)	(a)		16,000		335,200
Hibbett Sports, Inc. (Specialty Retail)	(a)		20,500		756,450
The Pep Boys – Manny, Moe & Jack (Specialty Retail)			52,600		706,418
Tractor Supply Co. (Specialty Retail)			13,700		664,313
Vitamin Shoppe, Inc. (Specialty Retail)	(a)		18,900		635,796
Deckers Outdoor Corp. (Textiles, Apparel & Luxury Goods)	(a)		5,800		462,492
Steven Madden Ltd. (Textiles, Apparel & Luxury Goods)	(a)		9,350		390,082
Warnaco Group, Inc. / The (Textiles, Apparel & Luxury Goods)	(a)		7,200		396,504

					7,381,055

CONSUMER STAPLES – 4.3%
Fresh Market, Inc. / The (Food & Staples Retailing)	(a)		16,000		659,200
Diamond Foods, Inc. (Food Products)			13,800		733,884
TreeHouse Foods, Inc. (Food Products)	(a)		8,600		439,374

					1,832,458

ENERGY – 6.6%
Superior Energy Services, Inc. (Energy Equip. & Svs.)	(a)		12,700		444,373
Brigham Exploration Co. (Oil, Gas & Consumable Fuels)	(a)		23,200		631,968
Clayton Williams Energy, Inc. (Oil, Gas & Consumable Fuels)	(a)		7,100		596,187
Concho Resources, Inc. (Oil, Gas & Consumable Fuels)	(a)		5,300		464,651
Rosetta Resources, Inc. (Oil, Gas & Consumable Fuels)	(a)		16,600		624,824

					2,762,003

FINANCIALS – 2.1%
HFF, Inc. Class A (Capital Markets)	(a)		38,200		369,012
Portfolio Recovery Associates, Inc. (Diversified Financial Svs.)	(a)		6,600		496,320

					865,332

HEALTH CARE – 17.1%
Alexion Pharmaceuticals, Inc. (Biotechnology)	(a)		6,000		483,300
Cyberonics, Inc. (Health Care Equip. & Supplies)	(a)		18,500		573,870
Neogen Corp. (Health Care Equip. & Supplies)	(a)		12,700		521,081
Sirona Dental Systems, Inc. (Health Care Equip. & Supplies)	(a)		19,300		806,354
Volcano Corp. (Health Care Equip. & Supplies)	(a)		22,600		617,206
Zoll Medical Corp. (Health Care Equip. & Supplies)	(a)		18,400		685,032
Air Methods Corp. (Health Care Providers & Svs.)	(a)		11,500		647,105
HMS Holdings Corp. (Health Care Providers & Svs.)	(a)		10,100		654,177
IPC The Hospitalist Co., Inc. (Health Care Providers & Svs.)	(a)		22,300		869,923
SXC Health Solutions Corp. (Health Care Technology)	(a)		16,000		685,760
Salix Pharmaceuticals Ltd. (Pharmaceuticals)	(a)		14,100		662,136

					7,205,944

INDUSTRIALS – 17.8%
BE Aerospace, Inc. (Aerospace & Defense)	(a)		16,200		599,886
Global Defense Technology & Systems, Inc. (Aerospace & Defense)	(a)		33,616		566,766
HEICO Corp. (Aerospace & Defense)			20,005		1,020,855
HUB Group, Inc. Class A (Air Freight & Logistics)	(a)		17,600		618,464
Team, Inc. (Commercial Svs. & Supplies)	(a)		23,100		559,020
GrafTech International Ltd. (Electrical Equip.)	(a)		22,200		440,448
Polypore International, Inc. (Electrical Equip.)	(a)		13,700		558,001
Actuant Corp. Class A (Machinery)			25,900		689,458
Nordson Corp. (Machinery)			5,000		459,400
Corporate Executive Board Co. / The (Professional Svs.)			15,600		585,780
Old Dominion Freight Line, Inc. (Road & Rail)	(a)		12,500		399,875
MSC Industrial Direct Co. Class A (Trading Companies & Distributors)			8,500		549,865
Watsco, Inc. (Trading Companies & Distributors)			7,000		441,560

					7,489,378

INFORMATION TECHNOLOGY – 27.4%
Aruba Networks, Inc. (Communications Equip.)	(a)		21,800		455,184
Netgear, Inc. (Communications Equip.)	(a)		16,100		542,248
RADWARE Ltd. (Communications Equip.)	(a)		11,500		431,365
Riverbed Technology, Inc. (Communications Equip.)	(a)		13,000		457,210
DTS, Inc. (Electronic Equip., Instr. & Comp.)	(a)		11,300		554,265
Newport Corp. (Electronic Equip., Instr. & Comp.)	(a)		40,100		696,537
IAC/InterActiveCorp (Internet Software & Svs.)	(a)		20,600		591,220
LivePerson, Inc. (Internet Software & Svs.)	(a)		51,200		578,560
LogMeIn, Inc. (Internet Software & Svs.)	(a)		13,700		607,458
OpenTable, Inc. (Internet Software & Svs.)	(a)		6,800		479,264
Rackspace Hosting, Inc. (Internet Software & Svs.)	(a)		18,000		565,380
Camelot Information Systems, Inc. – ADR (IT Svs.)	(a)		22,000		526,240
VeriFone Systems, Inc. (IT Svs.)	(a)		11,200		431,872
Cavium Networks, Inc. (Semiconductors & Equip.)	(a)		11,300		425,784
Hittite Microwave Corp. (Semiconductors & Equip.)	(a)		8,900		543,256
Omnivision Technologies, Inc. (Semiconductors & Equip.)	(a)		13,200		390,852
Fortinet, Inc. (Software)	(a)		14,200		459,370
SS&C Technologies Holdings, Inc. (Software)	(a)		36,700		752,717
TIBCO Software, Inc. (Software)	(a)		21,900		431,649
Ultimate Software Group, Inc. (Software)	(a)		25,400		1,235,202
VanceInfo Technologies, Inc. – ADR (Software)	(a)		10,500		362,670

					11,518,303

MATERIALS – 6.1%
Ferro Corp. (Chemicals)	(a)		27,400		401,136
Sensient Technologies Corp. (Chemicals)			16,500		606,045
Solutia, Inc. (Chemicals)	(a)		25,700		593,156
Globe Specialty Metals, Inc. (Metals & Mining)			23,600		403,324
Worthington Industries, Inc. (Metals & Mining)			31,200		574,080

					2,577,741

Total Common Stocks (Cost $33,613,897)				$	41,632,214


Money Market Funds – 0.9%		Shares		Value


Fidelity Institutional Money Market Funds Money Market Portfolio – Class I			379,000	$	379,000

Total Money Market Funds (Cost $379,000)				$	379,000

Total Investments – 99.8% (Cost $33,992,897)	(b)			$	42,011,214
Other Assets in Excess of Liabilities – 0.2%					66,119

Net Assets – 100.0%				$	42,077,333

Percentages are stated as a percent of net assets.

Abbreviations:

ADR: American Depositary Receipts

Footnotes:


(a)		Non-income producing security.

(b)		Represents cost for financial reporting purposes, which may differ from cost basis for Federal income tax purposes. See also Note 7 of the Notes to Financial Statements.

The accompanying notes are an integral part of these financial statements.


Ohio National Fund, Inc.	International Small-Mid Company Portfolio

Objective/Strategy

The International Small-Mid Company Portfolio seeks long-term growth of capital by investing at least 80% of its assets in equity securities of foreign small and mid-cap companies.

Performance as of December 31, 2010


Average Annual Total Returns:
One year			19.73%
Five years			4.80%
Ten years			6.19%

Comments

For the year ended December 31, 2010, the International Small-Mid Company Portfolio returned 19.73% versus 22.04% for the current benchmark, the S&P Developed Small Cap Ex-U.S. Growth Index.

The markets this year have certainly had their challenges as the various economies struggled to pull themselves out of the slump of 2009. Oscillating expectations for a double-dip recession weighed on investors’ minds with the escalation and widening of euro-area sovereign debt risks. The sovereign debt crisis continued to slowly spread across Europe, claiming Greece, Ireland, and Spain as its victims and, in the process, threatened to ignite a global economic meltdown. While China’s economic growth continued without abatement during these past twelve months, the government weighed in several times throughout the year by using various measures to slow down the economy and head off inflation. Emerging markets were the winners of this year, as they were not impacted by the maladies suffered by many developed nations and were supported by their natural resources.

Improving macro data gave investors the courage to increase their investment risk appetites to participate, with increasing confidence, in the global economic recovery. Further stimulus measures announced by the U.S. Federal Reserve provided additional comfort that a bottom may have been put in place. With attractive valuations and increasing optimism around the U.S. economy, global markets moved to new highs by year end with a rally in commodity prices signaling an increase in demand to feed the growth.

International small-mid caps, as measured by the benchmark index, had another good year of performance. On a regional basis, the S&P Asia Pacific Ex-Japan Small Cap Growth Index had the best performance, returning 21.13%. The S&P Europe Small Cap Growth Index rose 18.73%, while Japanese small caps as measured by the S&P Japan Small Cap Growth Index gained 17.86% during the year, all returns in terms of U.S. dollars.

The Portfolio remained well-diversified amongst its holdings. However, the Industrials, Information Technology, and Consumer Discretionary sectors were over-weighted relative to the benchmark. The most significant changes to the Portfolio’s holdings were: 1) increasing exposure to media industry, in-line with our view of the economic recovery and spending, and 2) new positions in the chemical sector, also in-line with our view of chemicals being the building blocks during increasing demand of goods. Every sector contributed positively to the Portfolio’s absolute performance in 2010.⁽¹⁾

The U.S. dollar had mixed performances against major foreign currencies. Over the year, the euro lost 8.5%, while the Canadian dollar rose 5.2% against the U.S. dollar. The Japanese yen gained 12.8%, while British sterling declined 6.6% versus the dollar.

Top performing relative markets in the Portfolio included Germany, United Kingdom (UK), Spain, and Singapore. Weaker relative contributions, despite positive returns, were experienced with investments made in Canada, Japan, and Australia.

Key drivers of the Portfolio’s positive performance came from the strong relative investment returns in Consumer Discretionary, Financials, and Energy. Individual stocks that contributed to the Portfolio’s performance (all total returns in terms of U.S. dollars) included: Asos PLC, a UK Internet retailer, gained 216.6% during the year; Kia Motors Corp., the South Korean automobile manufacturer, rose 128.2% during the year; and Dana Petroleum PLC, a UK oil and gas exploration and production company, gained 74.2%.⁽¹⁾

On a broader basis, relative under-performance, was delivered by investments in Information Technology and Materials. More specifically, within Information Technology, our investment thesis of a recovery in dynamic random access memory (“DRAM”) and liquid crystal display “(LCD”) prices did not materialize by year end. Also, poor stock selection within the sector included the following holdings: Elpida Memory, a Japanese manufacturer of computer memory chips, which fell 46.8%; Actelion Ltd., a Swiss pharmaceutical company, which fell 31.0%, and Saft Groupe SA, a French manufacturer of high-tech batteries for industrial and automotive applications, was down 26.6% during the year.⁽¹⁾

As the global economic indicators and markets continue to signal an ensuing recovery, we will continue to monitor our exposure to economically sensitive sectors, namely Industrials, Materials, and Consumer Discretionary as these sectors will continue to participate. Emerging markets continue to exhibit areas of continuing earnings growth, but valuations must be monitored closely as they have performed very well in 2010.⁽¹⁾


⁽¹⁾	The Portfolio’s composition is subject to change. Holdings and weightings are as of December 31, 2010.

(continued)


Ohio National Fund, Inc.	International Small-Mid Company Portfolio (Continued)

Change in Value of $10,000 Investment


			S&P Developed
			Small Cap
	International Small-Mid		Ex-U.S. Growth
	Company Portfolio		Index
12/31/2000		10000		10000
06/30/2001		8419		8519
12/31/2001		7072		7729
06/30/2002		7102		7906
12/31/2002		6011		6718
06/30/2003		7215		7799
12/31/2003		9252		10087
06/30/2004		9908		11081
12/31/2004		11183		12729
06/30/2005		11678		13067
12/31/2005		14426		15454
06/30/2006		15878		17082
12/31/2006		18226		19746
06/30/2007		21498		22224
12/31/2007		21412		21325
06/30/2008		19890		19188
12/31/2008		10427		10871
06/30/2009		11863		13124
12/31/2009		15229		16109
06/30/2010		13589		15067
12/31/2010		18234		19659

Hypothetical illustration based on past performance. Future performance will vary. The Portfolios returns reflect reinvested dividends. The Portfolios holdings may differ significantly from the securities in the index. The index is unmanaged and therefore does not reflect the cost of portfolio management and accounting.

The S&P Developed Small Cap Ex-U.S. Growth Index. S&P Developed Small Cap Ex-U.S. Growth Index is a subset of the S&P Global Broad Market Index (BMI), a broad index including all publicly listed equities with float-adjusted market values of US$ 100 million or more and annual dollar value traded of at least US$ 50 million in all included countries. The Developed Small Cap component of the BMI includes the equities in the bottom 15% of the market capitalization within each “developed” local market. Ex-U.S. denotes the use of all developed markets excluding the United States. The “Growth” subset includes those companies in each local market that exhibit the characteristics of growth. The index presented includes the effects of reinvested dividends.

Portfolio Composition as of December 31, 2010 ⁽¹⁾


	% of Net Assets

Common Stocks ⁽³⁾		98.7
Exchange Traded Funds		1.1
Money Market Funds Less Net Liabilities		0.2

		100.0

Top 10 Portfolio Holdings as of December 31, 2010 ^(1) (2)


	% of Net Assets

1.	ASOS PLC	2.0
2.	Leoni AG	2.0
3.	SNC-Lavalin Group, Inc.	2.0
4.	Adecco SA	1.9
5.	Andritz AG	1.9
6.	AMEC PLC	1.8
7.	Hochtief AG	1.7
8.	Yoox SpA	1.7
9.	Lanxess AG	1.7
10.	Assa Abloy AB	1.7


⁽¹⁾		Composition of Portfolio subject to change.

⁽²⁾		Short-term investments have been excluded from the list of Top 10 Portfolio Holdings.

⁽³⁾		Top 10 Country Weightings:


	% of Net Assets

United Kingdom		16.6
Germany		10.4
France		7.0
Canada		6.9
Brazil		6.4
Singapore		5.3
Netherlands		5.2
Cayman Islands		4.7
Japan		4.1
Thailand		3.4


Ohio National Fund, Inc.	International Small-Mid Company Portfolio


Schedule of Investments	December 31, 2010


Common Stocks – 98.7%		Shares		Value


United Kingdom – 16.6%
Aggreko PLC	(b)		54,003	$	1,249,609
AMEC PLC	(b)		77,469		1,393,205
ASOS PLC	(a)(b)		62,615		1,558,642
Autonomy Corp. PLC	(a)(b)		25,899		609,307
Carphone Warehouse Group PLC	(a)(c)		72,500		446,770
Cookson Group PLC	(a)(b)		123,534		1,272,171
Croda International PLC	(b)		33,542		849,078
Dialog Semiconductor PLC	(a)(b)		37,300		848,335
Intercontinental Hotels Group PLC	(b)		40,099		783,294
John Wood Group PLC	(b)		116,643		1,021,910
Johnson Matthey PLC	(b)		20,934		666,958
Micro Focus International PLC	(b)		77,000		467,405
Rightmove PLC	(b)		62,262		757,707
Rolls-Royce Group PLC	(a)(b)		31,032		302,354
Weir Group PLC / The	(b)		30,250		840,430

					13,067,175

Germany – 10.4%
Adidas AG	(b)		14,226		925,383
Aixtron AG	(b)		29,200		1,088,151
GEA Group AG	(b)		32,599		942,053
Gildemeister AG	(b)		23,553		527,022
Hochtief AG	(b)		16,219		1,374,910
Lanxess AG	(b)		16,697		1,312,834
Leoni AG	(a)(b)		35,635		1,556,183
Rheinmetall AG	(b)		5,919		474,146

					8,200,682

France – 7.0%
Arkema SA	(b)		9,534		687,522
Bureau Veritas SA	(b)		6,300		478,091
Faurecia	(a)(b)		30,455		880,954
JC Decaux SA	(a)(b)		22,113		680,868
Publicis Groupe SA	(b)		13,987		729,855
Rhodia SA	(b)		21,500		711,878
Societe Television Francaise 1	(b)		46,116		801,686
Technip SA	(b)		5,800		536,111

					5,506,965

Canada – 6.9%
Agrium, Inc.			9,500		874,233
Consolidated Thompson Iron Mines Ltd.	(a)		48,200		683,031
National Bank of Canada			9,600		661,563
Pacific Rubiales Energy Corp.			12,800		434,477
SNC-Lavalin Group, Inc.			25,818		1,551,988
Thompson Creek Metals Co., Inc.	(a)		84,100		1,237,952

					5,443,244

Brazil – 6.4%
CETIP SA – Balcao Organizado de Ativos e Derivativos			42,605		605,710
Cia Brasileira de Distribuicao Grupo Pao de Acucar – ADR			16,770		704,005
Diagnosticos da America SA			59,700		809,187
Fleury SA			61,500		987,334
Hypermarcas SA	(a)		64,700		878,127
Lojas Renner SA			23,500		798,434
Raia SA	(a)		15,200		232,944

					5,015,741

Singapore – 5.3%
City Developments Ltd.	(b)		59,000		578,243
Ho Bee Investment Ltd.	(b)		301,000		379,741
Keppel Corp. Ltd.	(b)		119,000		1,050,004
Keppel Land Ltd.	(b)		245,700		919,977
SembCorp Marine Ltd.	(b)		297,000		1,242,467

					4,170,432

Netherlands – 5.2%
ASML Holding NV	(b)		24,823		952,009
Fugro NV	(b)		12,570		1,034,952
Imtech NV	(b)		31,226		1,186,182
Koninklijke DSM NV	(b)		15,587		888,500

					4,061,643

Cayman Islands – 4.7%
China Ming Yang Wind Power Group Ltd. – ADR	(a)		27,000		310,500
Hengan International Group Co. Ltd.	(b)		44,000		379,366
Herbalife Ltd.			11,600		793,092
Lonking Holdings Ltd.	(b)		582,000		321,642
Mecox Lane Ltd.	(a)		37,670		279,135
Minth Group Ltd.	(b)		610,000		1,001,276
Peak Sport Products Co. Ltd.	(b)		330,000		216,828
Sands China Ltd.	(a)(b)		183,200		405,563

					3,707,402

Japan – 4.1%
Hitachi Construction Machinery Co. Ltd.	(b)		30,400		725,570
JGC Corp.	(b)		26,000		563,514
JTEKT Corp.	(b)		26,200		307,419
Nabtesco Corp.	(b)		20,000		425,241
THK Co. Ltd.	(b)		28,700		656,450
Tokyo Electron Ltd.	(b)		8,200		516,282

					3,194,476

Thailand – 3.4%
Bangkok Bank PCL	(b)		91,600		446,375
Bank of Ayudhya PCL	(b)		486,100		414,603
Banpu PCL	(b)		27,400		715,737
Kasikornbank PCL	(b)		115,200		498,171
Kiatnakin Bank PCL	(b)		399,000		515,982
Kiatnakin Bank PCL	(b)		46,200		59,745

					2,650,613

Switzerland – 3.1%
Adecco SA	(b)		23,071		1,512,981
Clariant AG	(a)(b)		46,304		938,230

					2,451,211

Spain – 3.0%
Obrascon Huarte Lain SA	(b)		28,909		879,931
Tecnicas Reunidas SA	(b)		16,166		1,030,865
Viscofan SA	(b)		11,575		438,977

					2,349,773

Jersey – 2.3%
United Business Media Ltd.	(b)		88,081		950,123
Wolseley PLC	(a)(b)		26,400		845,124

					1,795,247

Sweden – 2.2%
Assa Abloy AB	(b)		45,600		1,286,316
Getinge AB	(b)		20,613		431,525

					1,717,841

Ireland – 2.1%
Ingersoll-Rand PLC			19,800		932,382
Warner Chilcott PLC			32,900		742,224

					1,674,606

South Korea – 2.1%
Kia Motors Corp.	(a)(b)		25,360		1,129,637
Korean Air Lines Co. Ltd.	(a)(b)		8,070		494,097

					1,623,734

Austria – 1.9%
Andritz AG	(b)		15,861		1,460,825

Hong Kong – 1.8%
Dah Sing Financial Holdings Ltd.	(b)		123,300		804,540
Techtronic Industries Co.	(b)		488,000		636,366

					1,440,906

(continued)


Ohio National Fund, Inc.	International Small-Mid Company Portfolio (Continued)


Schedule of Investments	December 31, 2010


Common Stocks (Continued)		Shares		Value


Bermuda – 1.8%
Invesco Ltd.			41,537	$	999,380
Yue Yuen Industrial Holdings Ltd.	(b)		102,500		368,055

					1,367,435

Italy – 1.7%
Yoox SpA	(a)(b)		104,500		1,347,399

Norway – 1.7%
Fred Olsen Energy ASA	(b)		14,300		635,141
Yara International ASA	(b)		11,862		690,473

					1,325,614

Israel – 1.5%
NICE Systems Ltd. – ADR	(a)		33,000		1,151,700

Australia – 1.0%
Boart Longyear Group	(b)		163,000		761,414

Chile – 0.9%
Sociedad Quimica y Minera de Chile SA – ADR Series B			12,400		724,408

Mexico – 0.6%
Mexichem SAB de CV			138,156		494,453

Denmark – 0.5%
Christian Hansen Holding A/S	(b)		20,000		409,326

British Virgin Islands – 0.3%
Winsway Coking Coal Holdings Ltd.	(a)		417,000		250,539

Guernsey – 0.3%
Amdocs Ltd.	(a)		8,300		228,001

Total Common Stocks (Cost $53,912,706)				$	77,592,805


Exchange Traded Funds – 1.1%		Shares		Value


iShares MSCI Emerging Markets Index Fund			18,898	$	899,923

Total Exchange Traded Funds (Cost $518,397)				$	899,923


Money Market Funds – 0.4%		Shares		Value


State Street Institutional Liquid Reserves Fund Institutional Class 2			277,957	$	277,957

Total Money Market Funds (Cost $277,957)				$	277,957

Total Investments – 100.2% (Cost $54,709,060)	(d)			$	78,770,685
Liabilities in Excess of Other Assets – (0.2)%					(158,105	)

Net Assets – 100.0%				$	78,612,580

Percentages are stated as a percent of net assets.

Abbreviations:

ADR: American Depositary Receipt

Footnotes:


(a)		Non-Income producing security.

(b)		Security traded on a foreign exchange has been valued at an estimate of fair value that is different than the local market close price. These fair value estimates are determined by an independent national fair valuation service that has been approved by the Board. These securities represent $59,781,236 or 76.0% of the Portfolio’s net assets.

(c)		As discussed in Note 2 of the Notes to Financial Statements, not all investments that are traded on a foreign exchange are valued at an estimate that is different from the local close price. In some instances, the independent fair valuation service uses the local close price because the confidence interval associated with an investment is below the 75% threshold. These securities represent $446,770 or 0.6% of the Portfolio’s net assets.

		Other Portfolio securities are not subjected to fair valuation procedures because they are traded on domestic or foreign exchanges that have close times that are consistent with the U.S. market close, normally 4:00 pm Eastern Time. Exchange traded funds and rights are also not evaluated by the fair valuation service.

(d)		Represents cost for financial reporting purposes, which may differ from cost basis for Federal income tax purposes. See also Note 7 of the Notes to Financial Statements.

		Sector Classifications (Percent of net assets):


Industrials			30.5%
Consumer Discretionary			20.7%
Materials			14.5%
Energy			8.7%
Financials			8.7%
Information Technology			7.4%
Consumer Staples			4.4%
Health Care			3.8%

			98.7%

The accompanying notes are an integral part of these financial statements.


Ohio National Fund, Inc.	Aggressive Growth Portfolio

Objective/Strategy

The Aggressive Growth Portfolio seeks long-term capital growth by investing primarily in domestic and foreign equity securities selected for growth potential.

Performance as of December 31, 2010


Average Annual Total Returns:
One year			9.96%
Five years			3.89%
Ten years			-0.35%

Comments

For the year ended December 31, 2010, the Aggressive Growth Portfolio returned 9.96% versus 15.06% for the current benchmark, the S&P 500 Index.

U.S. equity markets posted double-digit gains during the year ended December 31, 2010 and closed near their highest level since June 2008 amid improving manufacturing, housing, and retail data and better-than-expected corporate earnings. Another round of quantitative easing by the Federal Reserve also provided a positive backdrop for risk assets. Although the investment climate has been challenging for our Portfolio, we believe the environment has started to turn. Economic indicators have improved in the U.S. and other markets. Large-cap companies have been generating higher margins and returns, and we were seeing continued strength in emerging markets. We have tried to position the Portfolio to perform in any market or economic environment, and the signs of strength in the U.S. and global economy are good for the businesses we invest in.

The Portfolio’s holdings within Energy, Financials, and Health Care were the primary detractors from relative returns. Financials underperformed the benchmark index and our stock selection underperformed the sector. The gap stems from stock selection and a focus on large, money center banks rather than regional banks. Our focus on money center banks results from our belief that these companies will use their strong franchise power and dominant market shares to drive better returns and rapid earnings growth as the financial system normalizes. In the last year, however, these stocks suffered from a confluence of events, including the process of financial reform and the accompanying populist rhetoric; the weakness in the euro, impacting global banks with euro-based revenues; and the European sovereign debt crisis and subsequent economic impacts. Regional banks more exposed to improving credit conditions in the U.S. and less sensitive to the issues of reform and Europe fared better.

The largest detractor was Cisco Systems, Inc. Shares of this networking equipment provider fell after the company cited tight public spending on information technology, falling cable set-top box sales, and retrenchment following strong “catch-up” sales in earlier quarters, among other factors. While the company may be well positioned to benefit from increasing data usage and Internet traffic, we are evaluating the position.⁽¹⁾

Biotechnology company Gilead Sciences, Inc. held back the Portfolio’s returns. We think the company faces a more challenging patent environment and we exited the position late in the year. Research In Motion Ltd., a wireless communication device maker, was weak early in the year and we sold our position. We think the company faces a more difficult pricing and competitive environment and felt there were more compelling opportunities to gain exposure to the trend in the mobile and wireless space.⁽¹⁾

In terms of contributors, certain of our selections within Information Technology provided the largest boost.⁽¹⁾ Apple, Inc. was a top contributor and remained a top position in the Portfolio largely because of its highly successful line of differentiated mobile computing products, from the iPad to the iPhone, and because of its growing market share in personal computers. The company continues to leverage its vertical integration, innovate its product portfolio, and demonstrate sales strength in international markets. We like the company’s long-term growth prospects and demonstrated ability to win in various economic environments.⁽¹⁾

Trimble Navigation Ltd. was another strong performer for the Portfolio. The company makes global positioning services (GPS) navigation and surveying devices. We think Trimble Navigation Ltd.’s products are cost-saving, productivity-enhancing tools offering demonstrable returns to its customers in agriculture and construction. We also like the company’s solution-based products and potential to gain market share.⁽¹⁾

Limited Brands, Inc. benefited from improving sales during the year. The specialty retailer has seen incremental margins move higher. Its key franchise is Victoria’s Secret, which has strong brand recognition worldwide. The company has been aggressive in reducing costs and managing inventory. We think the market has been slow to recognize Limited Brands, Inc.’s potential margin expansion and the opportunity to develop its international business.⁽¹⁾

Rather than focus on near-term economic or market trends, we have constructed the Portfolio to take advantage of multi-year themes. In Information Technology, we are seeing a proliferation of data usage through mobile devices at work and at home, with broad implications for content owners, Internet companies, and device manufacturers. This continues to be a major theme behind several of our positions, including shares of Apple, Inc. and Google, Inc. Another theme in the Portfolio is consolidation of suppliers. More people and companies are doing business with their most trusted suppliers, a dynamic that accentuates the competitive advantages of these companies and may enable them to gain market share.⁽¹⁾

Looking ahead, we are expecting a slow recovery for both the U.S. and global economies. Companies with healthy balance sheets and global demand for their products are driving the recovery. Many firms have record levels of cash, which may be used to pay higher dividends, reinvest in the business, or fund mergers and acquisitions. Several of our top holdings supply corporations, not consumers, and we expect corporate spending to pick up as management teams grow more confident that the economy won’t slip back into recession.⁽¹⁾

Outside the U.S., we remain sanguine on emerging markets. Near-term, we are paying close attention to China’s growth rate and our exposure to the country. China’s central bank raised interest rates in December for the second time in just over two months in an attempt to curb inflation. The move signals Beijing’s confidence in China’s

(continued)


Ohio National Fund, Inc.	Aggressive Growth Portfolio (Continued)

economy but it also raises concerns of a hard landing, potentially derailing the global recovery. Longer term, we believe emerging markets have the capital, natural resources, and structural frameworks in place to fuel investment and ultimately growth in excess of developed markets. These foundations will drive higher returns for companies that can capitalize on rising domestic consumption and export growth. Overall, companies in our Portfolio have been executing and we are seeing the results in higher margins and internal rates of returns. A few of our stocks have responded with higher prices, but most have lagged. Investor sentiment continues to favor stocks with smaller market caps, which have significantly outperformed stocks with larger market caps such as those held in the Portfolio. Valuations in mega-cap stocks look very attractive going forward, and we continue to believe that the Portfolio is well positioned in companies with wide competitive moats and exposure to global growth.⁽¹⁾


⁽¹⁾	The Portfolio’s composition is subject to change. Holdings and weightings are as of December 31, 2010.

Change in Value of $10,000 Investment


	Aggressive Growth		S&P 500
	Portfolio		Index
12/31/2000		10000		10000
06/30/2001		7614		9330
12/31/2001		6819		8811
06/30/2002		5754		7652
12/31/2002		4915		6864
06/30/2003		5577		7671
12/31/2003		6463		8833
06/30/2004		6688		9137
12/31/2004		7042		9794
06/30/2005		7066		9715
12/31/2005		7977		10275
06/30/2006		7800		10553
12/31/2006		8438		11898
06/30/2007		9585		12726
12/31/2007		10932		12552
06/30/2008		10459		11056
12/31/2008		6157		7908
06/30/2009		7245		8158
12/31/2009		8781		10001
06/30/2010		7883		9335
12/31/2010		9656		11507

(continued)


Ohio National Fund, Inc.	Aggressive Growth Portfolio


Schedule of Investments	December 31, 2010


Common Stocks – 95.1%		Shares		Value


CONSUMER DISCRETIONARY – 9.3%
Ford Motor Co. (Automobiles)	(a)		50,485	$	847,643
General Motors Co. (Automobiles)	(a)		11,060		407,672
News Corp. Class A (Media)			57,515		837,418
Limited Brands, Inc. (Specialty Retail)			22,200		682,206

					2,774,939

CONSUMER STAPLES – 8.7%
Anheuser-Busch InBev NV (Beverages)	(b)		12,930		738,810
Davide Campari-Milano SpA (Beverages)	(b)		130,641		851,007
Mead Johnson Nutrition Co. (Food Products)			6,665		414,896
Colgate-Palmolive Co. (Household Products)			3,990		320,676
Reckitt Benckiser Group PLC (Household Products)	(b)		4,535		249,492

					2,574,881

ENERGY – 2.0%
BG Group PLC (Oil, Gas & Consumable Fuels)	(b)		14,187		287,786
Petroleo Brasileiro SA – ADR (Oil, Gas & Consumable Fuels)			7,970		301,585

					589,371

FINANCIALS – 19.0%
Charles Schwab Corp. / The (Capital Markets)			29,713		508,389
Goldman Sachs Group, Inc. / The (Capital Markets)			1,185		199,270
CapitalSource, Inc. (Commercial Banks)			45,049		319,848
Standard Chartered PLC (Commercial Banks)	(b)		18,465		498,473
Bank of America Corp. (Diversified Financial Svs.)			90,330		1,205,002
CME Group, Inc. (Diversified Financial Svs.)			1,260		405,405
JPMorgan Chase & Co. (Diversified Financial Svs.)			10,180		431,836
MarketAxess Holdings, Inc. (Diversified Financial Svs.)			16,360		340,452
AIA Group Ltd. (Insurance)	(a)(c)		119,600		336,206
Prudential PLC (Insurance)	(b)		58,406		610,178
Hang Lung Properties Ltd. (Real Estate Mgmt. & Development)	(b)		47,000		219,679
Walker & Dunlop, Inc. (Thrifts & Mortgage Finance)	(a)		57,515		580,326

					5,655,064

HEALTH CARE – 8.2%
Celgene Corp. (Biotechnology)	(a)		21,255		1,257,021
Vertex Pharmaceuticals, Inc. (Biotechnology)	(a)		7,976		279,399
Intuitive Surgical, Inc. (Health Care Equip. & Supplies)	(a)		1,239		319,352
Medco Health Solutions, Inc. (Health Care Providers & Svs.)	(a)		9,650		591,255

					2,447,027

INDUSTRIALS – 7.5%
C.H. Robinson Worldwide, Inc. (Air Freight & Logistics)			4,510		361,657
United Parcel Service, Inc. Class B (Air Freight & Logistics)			12,485		906,161
FANUC Corp. (Machinery)	(b)		4,100		626,711
CoStar Group, Inc. (Professional Svs.)	(a)		5,730		329,819

					2,224,348

INFORMATION TECHNOLOGY – 33.9%
Cisco Systems, Inc. (Communications Equip.)	(a)		40,770		824,777
Apple, Inc. (Computers & Peripherals)	(a)		6,597		2,127,928
Amphenol Corp. Class A (Electronic Equip., Instr. & Comp.)			6,025		318,000
Trimble Navigation Ltd. (Electronic Equip., Instr. & Comp.)	(a)		23,310		930,768
Tyco Electronics Ltd. (Electronic Equip., Instr. & Comp.)			16,630		588,702
AOL, Inc. (Internet Software & Svs.)	(a)		22,750		539,403
eBay, Inc. (Internet Software & Svs.)	(a)		43,985		1,224,103
Google, Inc. Class A (Internet Software & Svs.)	(a)		1,105		656,337
VistaPrint NV (Internet Software & Svs.)	(a)		11,715		538,890
Yahoo!, Inc. (Internet Software & Svs.)	(a)		52,785		877,815
Adobe Systems, Inc. (Software)	(a)		12,650		389,367
Oracle Corp. (Software)			34,280		1,072,964

					10,089,054

MATERIALS – 1.1%
Israel Chemicals Ltd. (Chemicals)	(b)		18,307		313,539

TELECOMMUNICATION SERVICES – 5.4%
America Movil SAB de CV – ADR (Wireless Telecom. Svs.)			3,515		201,550
Cellcom Israel Ltd. (Wireless Telecom. Svs.)			8,220		268,712
Crown Castle International Corp. (Wireless Telecom. Svs.)	(a)		26,055		1,141,991

					1,612,253

Total Common Stocks (Cost $23,143,220)				$	28,280,476


VVPR Strips – 0.0%	(d)	Quantity		Value


CONSUMER STAPLES – 0.0%
Anheuser-Busch InBev NV (Beverages)	(a)(c)		6,992	$	37

Total VVPR Strips (Cost $0)				$	37


Money Market Funds – 5.3%		Shares		Value


Fidelity Institutional Money Market Funds Money Market Portfolio – Class I			1,495,000	$	1,495,000
Federated Prime Cash Obligations Fund Institutional Class			90,000		90,000

Total Money Market Funds (Cost $1,585,000)				$	1,585,000

Total Investments – 100.4% (Cost $24,728,220)	(e)			$	29,865,513
Liabilities in Excess of Other Assets – (0.4)%					(108,261	)

Net Assets – 100.0%				$	29,757,252

Percentages are stated as a percent of net assets.

Abbreviations:

ADR: American Depositary Receipts

Footnotes:


(a)		Non-income producing security.

(b)		Security traded on a foreign exchange has been valued at an estimate of fair value that is different than the local market close price. These fair value estimates are determined by an independent national fair valuation service that has been approved by the Board. These securities represent $4,395,675 or 14.8% of the Portfolio’s net assets.

(c)		As discussed in Note 2 of the Notes to Financial Statements, not all investments that are traded on a foreign exchange are valued at an estimate that is difference from the local close price. In some instances, the independent fair valuation service uses the local close price because the confidence interval associated with an investment is below the 75% threshold. These securities represent $336,243 or 1.1% of the Portfolio’s net assets.

		Other Portfolio securities are not subjected to fair value procedures because they are traded on domestic or foreign exchanges that have close times that are consistent with the U.S. market close, normally 4:00 pm Eastern Time.

(d)		A VVPR Strip is a coupon attached to specific ordinary common shares that offers tax advantages. The coupon entitles a holder to reduced withholding tax rates on the dividends generated from the related common shares.

(e)		Represents cost for financial reporting purposes, which may differ from cost basis for Federal income tax purposes. See also Note 7 of the Notes to Financial Statements.

The accompanying notes are an integral part of these financial statements.


Ohio National Fund, Inc.	Small Cap Growth Portfolio

Objective/Strategy

The Small Cap Growth Portfolio seeks long-term capital appreciation by investing at least 80% of its net assets in stocks of small companies.

Performance as of December 31, 2010


Average Annual Total Returns:
One year			30.03%
Five years			8.10%
Ten years			0.88%

Comments

For the year ended December 31, 2010, the Small Cap Growth Portfolio returned 30.03% versus 29.09% for the current benchmark, the Russell 2000 Growth Index.

U.S. stocks posted double-digit gains during the year ended December 31, 2010 and closed near their highest level since June 2008. Equity markets began the year on a bullish note, but soon gave way to worries over rising interest rates and tighter lending in China. Europe’s sovereign debt issues triggered a sell-off in the spring, and worries that deep spending cuts from government austerity measures could derail global growth added to the bearish tone. Stocks rebounded in September, following better-than-expected economic data, and continued to rally through the final three months. This rally was fueled by more positive data points and a second round of quantitative easing by the Federal Reserve. Small cap stocks significantly outperformed large caps during the year, while growth-style indices significantly outperformed value. Energy and Information Technology were the best performing sectors within the Russell 2000 Growth Index, while Telecommunication Services and Utilities were relative laggards. Commodities posted strong gains, although natural gas was a notable exception with double-digit losses.

The Portfolio’s stock selections in Financials and Health Care were the primary contributors to relative performance followed by our holdings in Materials. Detractors included our holdings in Industrials and Information Technology.⁽¹⁾

Semiconductor maker Atmel Corp. returned over 150% during the year to lead all contributors. The company has completed a restructuring, bolstering its financial position and return potential. Its core micro-controller business continued to capture market share. While we continue to like this firm for its micro-controller business and success with its new touch screen products for mobile devices, we exited the position since its market capitalization exceeded the Portfolio’s range.⁽¹⁾

Pharmacy benefit manager SXC Health Solutions Corp. was a key contributor. SXC Health Solutions Corp.’s transparent, transaction-based business model has led to strong organic growth and new customer wins. In addition, we believe the company has successfully augmented its overall market position and growth profile through acquisitions of smaller competitors. Given the coming wave of generic drug conversion and fragmented competitive set, we believe SXC Health Solutions Corp. is well positioned for growth.⁽¹⁾

Technology licensing company Ceva, Inc. also aided results. We like the business model and competitive positioning of this firm following the exit of a large competitor from its digital signal processor (“DSP”) licensing business. We expect Ceva, Inc. to capture a significant share of this business. The company receives up-front licensing fees and ongoing royalties on each device, typically a mobile phone, that includes its DSP technology.⁽¹⁾

Individual detractors from performance included home health care companies Amedisys, Inc. and LHC Group, Inc. Both are being investigated by the U.S. Department of Justice over their Medicare billing practices. We sold the positions.⁽¹⁾

Online printing company VistaPrint NV declined in the middle of the year. The company saw revenue growth decelerate in its European market, causing June quarter revenues and forward guidance to come in lower than expectations. Despite this disappointment, we believe that the company’s competitive advantage is still solidly intact, that its addressable market remains very large, and that the business model is of high quality. We added to the position.⁽¹⁾

We believe the economic recovery faces many challenges as the de-leveraging process (consumers foregoing consumption in favor of debt repayment) acts as an impediment to strong economic growth. The consumer, which plays a pivotal role in the overall health and growth of the domestic economy, faces numerous headwinds. The U.S. economy continues to experience rates of unemployment that are approaching 10% and a prolonged slump in the housing market. As a result, consumer confidence levels remain depressed and are more indicative of recessionary levels than expansionary ones. However, despite a less favorable macro climate, our research continues to uncover exciting growth companies that are demonstrating resilience and growth.

Our goal is to find companies that can perform well and deliver strong financial results regardless of the macro environment. We want to find companies that can perform great in a good environment and good in a bad environment. Given the large universe of small-cap stocks, we believe there are ample opportunities to find high quality small-cap growth companies regardless of macro conditions. As stewards of your capital, we remain committed to finding these unique growth companies.


⁽¹⁾	The Portfolio’s composition is subject to change. Holdings and weightings are as of December 31, 2010.

(continued)


Ohio National Fund, Inc.	Small Cap Growth Portfolio (Continued)

Change in Value of $10,000 Investment


	Small Cap		Russell 2000
	Growth Portfolio		Growth Index
12/31/2000		10000		10000
06/30/2001		7330		10004
12/31/2001		6050		9077
06/30/2002		4985		7503
12/31/2002		4288		6330
06/30/2003		4968		7554
12/31/2003		6233		9403
06/30/2004		6224		9937
12/31/2004		6946		10748
06/30/2005		6980		10363
12/31/2005		7396		11195
06/30/2006		7957		11874
12/31/2006		9290		12689
06/30/2007		10657		13873
12/31/2007		10648		13583
06/30/2008		8322		12370
12/31/2008		5571		8348
06/30/2009		6853		9296
12/31/2009		8398		11226
06/30/2010		8390		10966
12/31/2010		10920		14491

Portfolio Composition as of December 31, 2010 ⁽¹⁾


	% of Net Assets

Common Stocks ⁽³⁾		97.3
Money Market Funds Less Net Liabilities		2.7

		100.0

Top 10 Portfolio Holdings as of December 31, 2010 ^(1) (2)


	% of Net Assets

1.	Ritchie Bros Auctioneers, Inc.	2.3
2.	World Fuel Services Corp.	2.3
3.	PSS World Medical, Inc.	2.1
4.	VistaPrint NV	2.1
5.	Dresser-Rand Group, Inc.	2.1
6.	Blackboard, Inc.	2.0
7.	MarketAxess Holdings., Inc.	2.0
8.	DG FastChannel, Inc.	1.9
9.	CoStar Group, Inc.	1.8
10.	National CineMedia, Inc.	1.8


⁽¹⁾		Composition of Portfolio subject to change.

⁽²⁾		Short-term investments have been excluded from the list of Top 10 Portfolio Holdings.

⁽³⁾		Sectors:


	% of Net Assets

Information Technology		24.8
Health Care		19.1
Industrials		18.1
Consumer Discretionary		15.5
Financials		8.4
Energy		6.4
Materials		2.6
Telecommunication Services		1.5
Consumer Staples		0.9

		97.3


Ohio National Fund, Inc.	Small Cap Growth Portfolio


Schedule of Investments	December 31, 2010


Common Stocks – 97.3%		Shares		Value


CONSUMER DISCRETIONARY – 15.5%
Peet’s Coffee & Tea, Inc. (Hotels, Restaurants & Leisure)	(a)		4,060	$	169,464
Jarden Corp. (Household Durables)			10,732		331,297
SodaStream International Ltd. (Household Durables)	(a)		4,975		157,111
Polaris Industries, Inc. (Leisure Equip. & Products)			5,525		431,061
IMAX Corp. (Media)	(a)		11,582		324,875
Lions Gate Entertainment Corp. (Media)	(a)		21,411		139,386
National CineMedia, Inc. (Media)			28,790		573,209
Gordmans Stores, Inc. (Multiline Retail)	(a)		14,040		235,310
Hibbett Sports, Inc. (Specialty Retail)	(a)		8,880		327,672
Lumber Liquidators Holdings, Inc. (Specialty Retail)	(a)		16,855		419,858
Tractor Supply Co. (Specialty Retail)			5,500		266,695
Carter’s, Inc. (Textiles, Apparel & Luxury Goods)	(a)		15,485		456,962
Maidenform Brands, Inc. (Textiles, Apparel & Luxury Goods)	(a)		18,595		442,003
Under Armour, Inc. Class A (Textiles, Apparel & Luxury Goods)	(a)		2,720		149,165
Wolverine World Wide, Inc. (Textiles, Apparel & Luxury Goods)			16,805		535,743

					4,959,811

CONSUMER STAPLES – 0.9%
Primo Water Corp. (Beverages)	(a)		20,920		297,273

ENERGY – 6.4%
Dresser-Rand Group, Inc. (Energy Equip. & Svs.)	(a)		15,530		661,423
Dril-Quip, Inc. (Energy Equip. & Svs.)	(a)		4,420		343,522
Targa Resources Corp. (Oil, Gas & Consumable Fuels)	(a)		12,417		332,900
World Fuel Services Corp. (Oil, Gas & Consumable Fuels)			20,198		730,360

					2,068,205

FINANCIALS – 8.4%
Epoch Holding Corp. (Capital Markets)			16,832		261,401
Financial Engines, Inc. (Capital Markets)	(a)		11,647		230,960
FXCM, Inc. Class A (Capital Markets)	(a)		4,740		62,805
Gluskin Sheff + Associates, Inc. (Capital Markets)			10,400		217,456
Cash Store Financial Services, Inc. / The (Consumer Finance)			18,380		283,971
Credit Acceptance Corp. (Consumer Finance)	(a)		5,019		315,043
Netspend Holdings, Inc. (Consumer Finance)	(a)		14,815		189,928
MarketAxess Holdings, Inc. (Diversified Financial Svs.)			30,225		628,982
MSCI, Inc. Class A (Diversified Financial Svs.)	(a)		8,046		313,472
Fox Chase Bancorp, Inc. (Thrifts & Mortgage Finance)	(a)		7,765		92,015
Northwest Bancshares, Inc. (Thrifts & Mortgage Finance)			7,925		93,198

					2,689,231

HEALTH CARE – 19.1%
Achillion Pharmaceuticals, Inc. (Biotechnology)	(a)		22,177		92,035
Incyte Corp Ltd. (Biotechnology)	(a)		13,115		217,184
Seattle Genetics, Inc. (Biotechnology)	(a)		10,775		161,086
Conceptus, Inc. (Health Care Equip. & Supplies)	(a)		21,080		290,904
Gen-Probe, Inc. (Health Care Equip. & Supplies)	(a)		9,735		568,037
HeartWare International, Inc. (Health Care Equip. & Supplies)	(a)		6,055		530,236
Masimo Corp. (Health Care Equip. & Supplies)			5,020		145,931
NuVasive, Inc. (Health Care Equip. & Supplies)	(a)		14,395		369,232
Quidel Corp. (Health Care Equip. & Supplies)	(a)		11,800		170,510
Volcano Corp. (Health Care Equip. & Supplies)	(a)		6,165		168,366
Bio-Reference Labs, Inc. (Health Care Providers & Svs.)	(a)		12,785		283,571
Catalyst Health Solutions, Inc. (Health Care Providers & Svs.)	(a)		8,322		386,890
ExamWorks Group, Inc. (Health Care Providers & Svs.)	(a)		8,680		160,406
HMS Holdings Corp. (Health Care Providers & Svs.)	(a)		2,503		162,119
MWI Veterinary Supply, Inc. (Health Care Providers & Svs.)	(a)		6,310		398,477
PSS World Medical, Inc. (Health Care Providers & Svs.)	(a)		29,902		675,785
athenahealth, Inc. (Health Care Technology)	(a)		9,994		409,554
Omnicell, Inc. (Health Care Technology)	(a)		11,665		168,559
SXC Health Solutions Corp. (Health Care Technology)	(a)		7,918		339,366
Techne Corp. (Life Sciences Tools & Svs.)			6,417		421,404

					6,119,652

INDUSTRIALS – 18.1%
TransDigm Group, Inc. (Aerospace & Defense)	(a)		4,575		329,446
HUB Group, Inc. Class A (Air Freight & Logistics)	(a)		9,230		324,342
Clean Harbors, Inc. (Commercial Svs. & Supplies)	(a)		4,440		373,315
Ritchie Bros Auctioneers, Inc. (Commercial Svs. & Supplies)			32,206		742,348
Standard Parking Corp. (Commercial Svs. & Supplies)	(a)		24,370		460,349
Barnes Group, Inc. (Machinery)			17,643		364,681
Wabtec Corp. (Machinery)			9,368		495,474
Horizon Lines, Inc. Class A (Marine)			35,343		154,449
CoStar Group, Inc. (Professional Svs.)	(a)		10,198		586,997
Resources Connection, Inc. (Professional Svs.)			23,877		443,873
Landstar System, Inc. (Road & Rail)			7,840		320,970
Old Dominion Freight Line, Inc. (Road & Rail)	(a)		12,213		390,694
Rush Enterprises, Inc. Class B (Trading Companies & Distributors)	(a)		17,044		308,667
WESCO International, Inc. (Trading Companies & Distributors)	(a)		9,680		511,104

					5,806,709

INFORMATION TECHNOLOGY – 24.8%
DG FastChannel, Inc. (Communications Equip.)	(a)		21,092		609,137
DTS, Inc. (Electronic Equip., Instr. & Comp.)	(a)		8,630		423,302
Envestnet, Inc. (Internet Software & Svs.)	(a)		11,685		199,346
IntraLinks Holdings, Inc. (Internet Software & Svs.)	(a)		7,330		137,144
LivePerson, Inc. (Internet Software & Svs.)	(a)		31,690		358,097
NIC, Inc. (Internet Software & Svs.)			19,658		190,879
Rackspace Hosting, Inc. (Internet Software & Svs.)	(a)		10,550		331,376
VistaPrint NV (Internet Software & Svs.)	(a)		14,665		674,590
Vocus, Inc. (Internet Software & Svs.)	(a)		18,387		508,584
Cardtronics, Inc. (IT Svs.)	(a)		18,975		335,858
Euronet Worldwide, Inc. (IT Svs.)	(a)		27,010		471,054
Gartner, Inc. (IT Svs.)	(a)		9,630		319,716
Ceva, Inc. (Semiconductors & Equip.)	(a)		22,046		451,943
Blackboard, Inc. (Software)	(a)		15,463		638,622
Concur Technologies, Inc. (Software)	(a)		2,986		155,063
Convio, Inc. (Software)	(a)		32,261		267,121
MICROS Systems, Inc. (Software)	(a)		9,625		422,153
MicroStrategy, Inc. Class A (Software)	(a)		3,420		292,307
RealD, Inc. (Software)	(a)		12,750		330,480
RealPage, Inc. (Software)	(a)		5,305		164,084
SS&C Technologies Holdings, Inc. (Software)	(a)		14,925		306,112
Tyler Technologies, Inc. (Software)	(a)		8,886		184,473
Ultimate Software Group, Inc. (Software)	(a)		4,097		199,237

					7,970,678

MATERIALS – 2.6%
Intrepid Potash, Inc. (Chemicals)	(a)		12,205		455,125
Nalco Holding Co. (Chemicals)			12,133		387,528

					842,653

TELECOMMUNICATION SERVICES – 1.5%
inContact, Inc. (Diversified Telecom. Svs.)	(a)		29,223		95,851
SBA Communications Corp. Class A (Wireless Telecom. Svs.)	(a)		9,506		389,176

					485,027

Total Common Stocks (Cost $24,998,513)				$	31,239,239

(continued)


Ohio National Fund, Inc.	Mid Cap Opportunity Portfolio

Objective/Strategy

The Mid Cap Opportunity Portfolio seeks long-term total return by investing at least 80% of its net assets in equity securities of mid-cap companies, primarily those that are strategically positioned for long-term growth.

Performance as of December 31, 2010


Average Annual Total Returns:
One year			19.60%
Five years			1.16%
Ten years			2.29%

Comments

For the year ended December 31, 2010, the Mid Cap Opportunity Portfolio returned 19.60% versus 26.38% for the current benchmark, the Russell Midcap Growth Index.

U.S. equities capped 2010 on a note of optimism, as the S&P 500 Index returned 6.68% in December, lifting its year-to-date return to 15.06%. For the year, cyclical stocks led returns, as investors focused on the strong growth and demand from outside the developed markets. As a result, the Consumer Discretionary sector, particularly automotive-related stocks, and the Industrials and Materials sectors outperformed. More defensive sectors, such as Utilities and Health Care, lagged for the full year. The U.S. equity market significantly outperformed the MSCI World Index average of 9.6% in U.S. dollar terms, as investors gained confidence in the economic recovery. Recent positive data points included robust retail sales figures and strong increases in purchasing and manufacturing. U.S. markets also reflected confidence in continued accommodative monetary and fiscal policy, most recently evidenced by the extension of tax cuts. Consistent with investor optimism and preference for cyclical exposure, small- and mid-cap stocks, as well as growth stocks, on average, significantly outperformed the broader market during the year.

The Portfolio delivered strong absolute returns but underperformed the Russell Midcap Growth Index. Weakness in select Information Technology and Industrials holdings detracted from relative performance, while positive stock selection in Energy and an underweight in the Utilities sector contributed to relative returns.

Netflix.com was the top contributor to performance during the year. The company has continued to add subscribers, driven predominantly by its “watch instantly” service that can stream movies and TV shows from the Internet directly to subscribers’ computers. Currently, the service is available to stream content via a Roku receiver box and Sony’s BRAVIA line of Internet-capable, high-definition televisions, as well as the Microsoft Xbox 360, Sony Playstation 3, and Nintendo Wii video game consoles. While we maintain our conviction in the fundamentals of the business, we believed the stock had reached full valuation and subsequently sold out of the position in August.⁽¹⁾

CB Richard Ellis Group, Inc., the world’s leading commercial real estate services firm, contributed to relative performance after reporting earnings that exceeded expectations. The results were driven by strong revenues in property sales and leasing, as well as cost reductions during the recent downturn which resulted in significant operating leverage. We continue to have conviction in the company given the strength of its franchise, its service-oriented business model, and its strong management team.⁽¹⁾

Within the Energy sector, Whiting Petroleum Corp. was a top contributor to performance. Its share price increased as the company reported strong drilling results in a number of new wells and maintained discipline on expenses. We believe the company’s expertise in Efficient Oil Recovery (EOR) techniques provides a competitive advantage and allows Whiting Petroleum Corp. to sustain production growth.⁽¹⁾

Also in Energy, Core Laboratories NV contributed to performance. The company provides field analytics to the oil and gas industry, including fracturing analysis and simulation technologies used to determine the quality and size of natural gas formations. Its shares rose after regulations were passed in the U.S. Congress that would increase the regulation of fracturing in the U.S., which raises the importance of effective pre-fracturing analysis. In our view, the company is a leader in these services and would continue to benefit from the growth in the U.S. natural gas exploration industry.⁽¹⁾

Industrial tool manufacturer Kennametal, Inc. contributed to performance after the company reported earnings that were above expectations and subsequently raised full year guidance. The company executed well in 2010, as order rates remained strong and the company is tracking its long term growth objectives. We continue to believe Kennametal, Inc. has an excellent management team and attractive growth opportunities but, given the volatility in the name, we decided to trim the position for risk management purposes.⁽¹⁾

FormFactor, Inc. was a top detractor from performance. The company designs and manufactures wafer probe cards that are used for testing semiconductor chips. While its revenue generation has been consistent with market expectations, shares of the company traded down on concerns that higher than expected supply chain costs would push margins to fall below consensus expectations. Due to these near-term challenges, the company has reorganized its management team in order to return FormFactor, Inc. to profitability. While, in our view, the company possesses a sufficient level of cash to engineer a turnaround and reduce its long term cost structure, we believe a full recovery may take longer than we previously estimated. We, therefore, decided to exit the position in favor of higher conviction names.⁽¹⁾

Electronic payments processor, Global Payments, Inc., detracted from performance. Although the company reported earnings that were above expectations, revenues from Canada, an important geography for Global Payments, Inc., were weak. In addition, the company provided lower guidance for fiscal year 2010 than previously anticipated. On the positive side, U.S. sales have stabilized after the recent economic downturn and there was strong growth in payment volumes from the company’s operations in Asia. We continue to have significant conviction in Global Payments, Inc., which we believe can utilize its solid balance sheet to continue its growth internationally. We added to our position on the price weakness.⁽¹⁾

Data center services company Equinix, Inc. detracted from performance as the company’s disappointing third quarter earnings

(continued)


Ohio National Fund, Inc.	Mid Cap Opportunity Portfolio (Continued)

weighed on its shares. In October, Equinix pre-announced third quarter and full year 2010 revenue that fell short of expectations, as the company is believed to have made pricing concessions to retain key customers. While it may take time for investors to regain confidence in the company, we continue to believe that the key long-term, secular growth drivers behind our original investment thesis, including cloud computing, mobile data, and video, are still in place.⁽¹⁾

People’s United Financial, Inc. detracted from performance. While the company has begun to utilize its excess capital by acquiring several smaller banks, its shares were down as the bank has yet to complete any deals of significant size. In our view, the bank is well-capitalized with high quality assets as a result of strong management practices and the recent small acquisitions can allow it to build out its geographic footprint. We believe People’s United Financial, Inc. will be able to continue this trend and acquire attractive assets at depressed prices.⁽¹⁾

In the Consumer Discretionary sector, Staples, Inc., an office supply company, detracted from relative returns. The company remains focused on cost cutting, gaining market share from competitors, and expanding its geographic footprint in less saturated markets. Staples, Inc. continues to make investments in new business processes that should strengthen its brand and position it for growth over the long-term. We believe Staples, Inc. should also benefit from pent-up demand given the drawdown of inventory in its corporate client base. We expect that normalization in inventory drawdown should generate demand growth.⁽¹⁾

During the year, we initiated a position in semiconductor chip company Xilinx, Inc. It is a leader in programmable logic devices (PLDs), which are used by customers around the world in a variety of industries including automotive, broadcast, consumer, medical, and military. The company meets our investment criteria for its dominant market position and competitive edge in PLDs. In our view, Xilinx, Inc. should benefit from the secular trend of PLDs taking share from application-specific integrated circuits (ASICs), an alternative semiconductor chip. We believe the addressable market for PLDs should continue to expand as they can offer significant benefits such as lower development costs, shorter development time, and upgradability. Xilinx, Inc. operates in a duopoly in the PLD space, which provides pricing power, and its low fixed costs enable it to generate significant free cash flow. Furthermore, we believe the company’s innovative software serves as a barrier to entry.⁽¹⁾

In 2010, we initiated a position in SBA Communications Corp. The company is a wireless tower owner and operator that licenses antennae space on its towers to wireless service providers. We believe the company’s business model is attractive with long-term leases and fixed annual lease escalators that provide transparency and predictability to revenue and earnings growth. As demand for mobile content grows, we believe tower leasing should increase as wireless carriers are required to add capacity in order to support increased usage, network upgrades and improved coverage.⁽¹⁾

We exited our position in American Tower Corp. The company has been a long term holding in the Portfolio and has been a strong performer over its history. Currently, we believe that given its larger market capitalization, it is no longer suitable for a mid-cap portfolio.⁽¹⁾

We exited our position in Biogen Idec as shares have meaningfully appreciated since our initial purchase. Our original investment thesis was based on the belief that the market did not fully appreciate Biogen Idec’s true earnings potential as the company was overspending on research and development. Recently, Biogen Idec announced a significant reduction in spending, yielding higher earnings power and the stock rallied on the news. Consequently, we decided to exit our position in Biogen Idec as we believed the gap between the company’s intrinsic value and stock price had narrowed.⁽¹⁾

Equity markets rallied strongly during the fourth quarter, extending gains that began in early September. Additionally, stock price momentum became a growing trend and investors’ appetite for equities increased, as noted in retail mutual fund flows. We are encouraged that the global economy appears to have entered its next chapter of recovery and a hand-off from government subsidized stimulus to a more self-sustainable stage lead by healthy corporate spending and consumer participation has begun. Recent tax policies out of Washington are also helpful in increasing confidence and helping create some needed visibility into the future so that longer-term investment plans can be put in place. We remain optimistic on corporate profits, predominantly driven by top line rather than margin expansion. We have seen, and expect to continue to see, more in the way of strategic mergers and acquisitions, private equity transactions, and corporate buybacks; giving us a good backdrop for demand for equities. However, we believe that the need to pick the right stocks in the coming year will increase as not all companies will be beneficiaries of these trends. Greater differentiation between stocks will continue as correlations decline from their 2010 highs, in our view.


⁽¹⁾	The Portfolio’s composition is subject to change. Holdings and weightings are as of December 31, 2010.

Change in Value of $10,000 Investment


	Mid Cap		Russell Midcap
	Opportunity Portfolio		Growth Index
12/31/2000		10000		10000
06/30/2001		9851		8704
12/31/2001		8717		7985
06/30/2002		7204		6412
12/31/2002		6483		5797
06/30/2003		7718		6883
12/31/2003		9487		8272
06/30/2004		9984		8764
12/31/2004		10773		9553
06/30/2005		10733		9716
12/31/2005		11849		10709
06/30/2006		12454		10983
12/31/2006		12992		11850
06/30/2007		14898		13149
12/31/2007		15313		13204
06/30/2008		13019		12305
12/31/2008		7459		7351
06/30/2009		8201		8573
12/31/2009		10488		10754
06/30/2010		9943		10398
12/31/2010		12543		13592

The Russell Midcap Growth Index is a subset of the Russell Midcap Index, which measures the performance of the 800 smallest companies in the Russell 1000 Index. The Russell Midcap Growth Index measures the performance of those stocks of the Russell Midcap Index with higher price-to-book ratios and higher relative forecasted growth rates. The index presented herein includes the effects of reinvested dividends.

(continued)


Ohio National Fund, Inc.	Mid Cap Opportunity Portfolio


Schedule of Investments	December 31, 2010


Common Stocks – 96.8%		Shares		Value


CONSUMER DISCRETIONARY – 19.2%
Coinstar, Inc. (Diversified Consumer Svs.)	(a)		19,443	$	1,097,363
Newell Rubbermaid, Inc. (Household Durables)			71,673		1,303,015
Lamar Advertising Co. Class A (Media)	(a)		28,256		1,125,719
Advance Auto Parts, Inc. (Specialty Retail)			10,214		675,656
Bed Bath & Beyond, Inc. (Specialty Retail)	(a)		26,677		1,311,175
Dick’s Sporting Goods, Inc. (Specialty Retail)	(a)		21,226		795,975
GameStop Corp. Class A (Specialty Retail)	(a)		57,562		1,317,019
PetSmart, Inc. (Specialty Retail)			38,541		1,534,703
Staples, Inc. (Specialty Retail)			65,407		1,489,317
Phillips-Van Heusen Corp. (Textiles, Apparel & Luxury Goods)			20,970		1,321,320
Polo Ralph Lauren Corp. (Textiles, Apparel & Luxury Goods)			13,609		1,509,510

					13,480,771

CONSUMER STAPLES – 2.0%
Avon Products, Inc. (Personal Products)			49,468		1,437,540

ENERGY – 9.3%
Cameron International Corp. (Energy Equip. & Svs.)	(a)		30,963		1,570,753
Core Laboratories NV (Energy Equip. & Svs.)			10,475		932,799
Dril-Quip, Inc. (Energy Equip. & Svs.)	(a)		13,730		1,067,096
Petrohawk Energy Corp. (Oil, Gas & Consumable Fuels)	(a)		29,498		538,339
Southwestern Energy Co. (Oil, Gas & Consumable Fuels)	(a)		35,571		1,331,423
Whiting Petroleum Corp. (Oil, Gas & Consumable Fuels)	(a)		9,243		1,083,187

					6,523,596

FINANCIALS – 14.5%
Affiliated Managers Group, Inc. (Capital Markets)	(a)		3,473		344,591
Lazard Ltd. Class A (Capital Markets)			27,980		1,104,930
Northern Trust Corp. (Capital Markets)			26,267		1,455,454
TD Ameritrade Holding Corp. (Capital Markets)			67,362		1,279,204
First Republic Bank (Commercial Banks)	(a)		20,345		592,446
SLM Corp. (Consumer Finance)	(a)		83,457		1,050,724
IntercontinentalExchange, Inc. (Diversified Financial Svs.)	(a)		11,872		1,414,549
Principal Financial Group, Inc. (Insurance)			16,031		521,969
CB Richard Ellis Group, Inc. Class A (Real Estate Mgmt. & Development)	(a)		68,949		1,412,076
People’s United Financial, Inc. (Thrifts & Mortgage Finance)			74,292		1,040,831

					10,216,775

HEALTH CARE – 9.1%
CareFusion Corp. (Health Care Equip. & Supplies)	(a)		40,787		1,048,226
C.R. Bard, Inc. (Health Care Equip. & Supplies)			14,688		1,347,918
Intuitive Surgical, Inc. (Health Care Equip. & Supplies)	(a)		1,858		478,900
St. Jude Medical, Inc. (Health Care Equip. & Supplies)	(a)		42,955		1,836,326
Henry Schein, Inc. (Health Care Providers & Svs.)	(a)		19,313		1,185,625
Emdeon, Inc. Class A (Health Care Technology)	(a)		39,473		534,464

					6,431,459

INDUSTRIALS – 13.0%
Alliant Techsystems, Inc. (Aerospace & Defense)	(a)		12,862		957,319
DigitalGlobe, Inc. (Aerospace & Defense)	(a)		21,361		677,357
Raytheon Co. (Aerospace & Defense)			17,079		791,441
C.H. Robinson Worldwide, Inc. (Air Freight & Logistics)			6,134		491,885
Iron Mountain, Inc. (Commercial Svs. & Supplies)			55,240		1,381,552
Quanta Services, Inc. (Construction & Engineering)	(a)		56,464		1,124,763
Rockwell Automation, Inc. (Electrical Equip.)			6,802		487,771
Roper Industries, Inc. (Electrical Equip.)			10,889		832,246
Kennametal, Inc. (Machinery)			28,363		1,119,204
Verisk Analytics, Inc. Class A (Professional Svs.)	(a)		37,629		1,282,396

					9,145,936

INFORMATION TECHNOLOGY – 22.2%
NetApp, Inc. (Computers & Peripherals)	(a)		18,830		1,034,897
Amphenol Corp. Class A (Electronic Equip., Instr. & Comp.)			27,084		1,429,494
FLIR Systems, Inc. (Electronic Equip., Instr. & Comp.)	(a)		36,024		1,071,714
Equinix, Inc. (Internet Software & Svs.)	(a)		10,807		878,177
GSI Commerce, Inc. (Internet Software & Svs.)	(a)		17,598		408,274
FleetCor Technologies, Inc. (IT Svs.)	(a)		10,352		320,084
Genpact Ltd. (IT Svs.)	(a)		26,257		399,106
Global Payments, Inc. (IT Svs.)			38,386		1,773,817
VeriFone Systems, Inc. (IT Svs.)	(a)		13,991		539,493
Western Union Co. / The (IT Svs.)			46,932		871,527
Altera Corp. (Semiconductors & Equip.)			19,014		676,518
Broadcom Corp. Class A (Semiconductors & Equip.)			15,267		664,878
Linear Technology Corp. (Semiconductors & Equip.)			19,848		686,542
Xilinx, Inc. (Semiconductors & Equip.)			59,300		1,718,514
Citrix Systems, Inc. (Software)	(a)		16,372		1,120,009
RealD, Inc. (Software)	(a)		22,688		588,073
Salesforce.com, Inc. (Software)	(a)		7,274		960,168
SuccessFactors, Inc. (Software)	(a)		15,465		447,866

					15,589,150

MATERIALS – 2.5%
Ecolab, Inc. (Chemicals)			25,232		1,272,197
Schweitzer-Mauduit International, Inc. (Paper & Forest Products)			7,945		499,899

					1,772,097

TELECOMMUNICATION SERVICES – 5.0%
tw telecom, Inc. (Diversified Telecom. Svs.)	(a)		55,969		954,271
Crown Castle International Corp. (Wireless Telecom. Svs.)	(a)		20,537		900,137
SBA Communications Corp. Class A (Wireless Telecom. Svs.)	(a)		41,075		1,681,611

					3,536,019

Total Common Stocks (Cost $58,534,683)				$	68,133,342


Money Market Funds – 3.5%		Shares		Value


Fidelity Institutional Money Market Funds
Prime Money Market Portfolio – Class I			2,488,000	$	2,488,000

Total Money Market Funds (Cost $2,488,000)				$	2,488,000

Total Investments – 100.3% (Cost $61,022,683)	(b)			$	70,621,342
Liabilities in Excess of Other Assets – (0.3)%					(253,899	)

Net Assets – 100.0%				$	70,367,443

Percentages are stated as a percent of net assets.

Footnotes:


(a)		Non-income producing security.

(b)		Represents cost for financial reporting purposes, which may differ from cost basis for Federal income tax purposes. See also Note 7 of the Notes to Financial Statements.

The accompanying notes are an integral part of these financial statements.


Ohio National Fund, Inc.	S&P 500^® Index Portfolio

Objective/Strategy

The S&P 500^® Index Portfolio seeks total return that approximates the total return of the Standard & Poor’s 500^® Index (S&P 500^® Index), at a risk level consistent with that of the Standard & Poor’s 500^® Index.

Performance as of December 31, 2010


Average Annual Total Returns:
One year			14.45%
Five years			1.81%
Ten years			0.78%

Comments

For the year ended December 31, 2010, the S&P 500^® Index Portfolio returned 14.45% versus 15.06% for the current benchmark, the S&P 500^® Index.

The Portfolio’s correlation with the S&P 500^® Index was 99.9%. The high correlation is due to the fact that the Portfolio invests in each of the 500 stocks in the index. The Portfolio also invests in the SPDR S&P 500 ETF Trust, an exchange traded fund that mimics the holdings and returns of the S&P 500^® Index.⁽¹⁾

The largest contributors to the index return for 2010 were Apple, Inc., Citigroup, Inc., General Electric Co., Chevron Corp., and Schlumberger Ltd. The largest detractors for the index in 2010 were Hewlett-Packard Co., Microsoft Corp., Cisco Systems, Inc., Bank of America Corp., and Abbott Laboratories.

2010 turned out to be a pretty good year for stocks. U.S. equity indexes had double digit returns, rallying the last several months of the year. This was due to the economy stabilizing, and the Federal Reserve’s continued stance on stimulative policies such as quantitative easing.


⁽¹⁾	The Portfolio’s composition is subject to change. Holdings and weightings are as of December 31, 2010.

“Standard & Poor’s^®”, “S&P^®”, “S&P 500^®” and “Standard & Poor’s 500” are trademarks of The McGraw-Hill Companies, Inc. and have been licensed for use by Ohio National Investments, Inc. (ONI). The S&P 500^® Index Portfolio is not sponsored, endorsed, sold or promoted by Standard & Poor’s (“S&P”) and S&P makes no representation regarding the advisability of investing in the S&P 500^® Index Portfolio. S&P makes no representation or warranty, express or implied, to the owners of the Portfolio or any member of the public regarding the advisability of investing in securities generally or in the Portfolio particularly or the ability of the S&P 500^® Index to track general stock market performance. S&P’s only relationship to ONI is the licensing of certain trademarks and trade names of S&P^® and of the S&P 500^® Index which is determined, composed and calculated by S&P^® without regard to ONI or the S&P 500^® Index Portfolio. S&P^® has no obligation to take the needs of ONI or the owners of the Portfolio into consideration in determining, composing or calculating the S&P 500^® Index. S&P^® is not responsible for and has not participated in the determination of the prices and amount of the Portfolio or the timing of the issuance or sale of the Portfolio or in the determination or calculation of the equation by which the Portfolio is to be converted into cash. S&P^® has no obligation or liability in connection with the administration, marketing or trading of the Portfolio.

Change in Value of $10,000 Investment


	S&P 500ﬁ		S&P 500ﬁ
	Index Portfolio		Index
06/30/2000		10000		10000
12/31/2000		8986		9128
06/30/2001		8312		8517
12/31/2001		7787		8043
06/30/2002		6713		6985
12/31/2002		6026		6266
06/30/2003		6715		7002
12/31/2003		7704		8063
06/30/2004		7952		8341
12/31/2004		8498		8940
06/30/2005		8416		8868
12/31/2005		8877		9380
06/30/2006		9103		9633
12/31/2006		10235		10861
06/30/2007		10926		11617
12/31/2007		10753		11458
06/30/2008		9458		10093
12/31/2008		6742		7219
06/30/2009		6943		7447
12/31/2009		8484		9129
06/30/2010		7903		8521

The S&P 500^® Index is a capitalization-weighted index designed to measure performance of the broad domestic economy through changes in the aggregate market value of 500 stocks representing all major industries. The index presented herein includes the effects of reinvested dividends.

(continued)


Ohio National Fund, Inc.	S&P 500^® Index Portfolio


Schedule of Investments	December 31, 2010


Common Stocks – 98.7%		Shares		Value


CONSUMER DISCRETIONARY – 10.5%
Goodyear Tire & Rubber Co. / The (Auto Components)	(a)		3,700	$	43,845
Johnson Controls, Inc. (Auto Components)			10,300		393,460
Ford Motor Co. (Automobiles)	(a)		57,087		958,491
Harley-Davidson, Inc. (Automobiles)			3,600		124,812
Genuine Parts Co. (Distributors)			2,400		123,216
Apollo Group, Inc. Class A (Diversified Consumer Svs.)	(a)		1,900		75,031
DeVry, Inc. (Diversified Consumer Svs.)			900		43,182
H&R Block, Inc. (Diversified Consumer Svs.)			4,700		55,977
Carnival Corp. (Hotels, Restaurants & Leisure)			6,600		304,326
Darden Restaurants, Inc. (Hotels, Restaurants & Leisure)			2,100		97,524
International Game Technology (Hotels, Restaurants & Leisure)			4,500		79,605
Marriott International, Inc. Class A (Hotels, Restaurants & Leisure)			4,346		180,533
McDonald’s Corp. (Hotels, Restaurants & Leisure)			16,100		1,235,836
Starbucks Corp. (Hotels, Restaurants & Leisure)			11,300		363,069
Starwood Hotels & Resorts Worldwide, Inc. (Hotels, Restaurants & Leisure)			2,900		176,262
Wyndham Worldwide Corp. (Hotels, Restaurants & Leisure)			2,660		79,694
Wynn Resorts Ltd. (Hotels, Restaurants & Leisure)			1,200		124,608
Yum! Brands, Inc. (Hotels, Restaurants & Leisure)			7,100		348,255
D.R. Horton, Inc. (Household Durables)			4,300		51,299
Fortune Brands, Inc. (Household Durables)			2,300		138,575
Harman International Industries, Inc. (Household Durables)	(a)		1,100		50,930
Leggett & Platt, Inc. (Household Durables)			2,200		50,072
Lennar Corp. Class A (Household Durables)			2,400		45,000
Newell Rubbermaid, Inc. (Household Durables)			4,400		79,992
Pulte Group, Inc. (Household Durables)	(a)		5,150		38,728
Stanley Black & Decker, Inc. (Household Durables)			2,547		170,318
Whirlpool Corp. (Household Durables)			1,155		102,599
Amazon.com, Inc. (Internet & Catalog Retail)	(a)		5,400		972,000
Expedia, Inc. (Internet & Catalog Retail)			3,100		77,779
NetFlix, Inc. (Internet & Catalog Retail)	(a)		700		122,990
priceline.com, Inc. (Internet & Catalog Retail)	(a)		750		299,662
Hasbro, Inc. (Leisure Equip. & Products)			2,100		99,078
Mattel, Inc. (Leisure Equip. & Products)			5,500		139,865
Cablevision Systems Corp. Class A (Media)			3,700		125,208
CBS Corp. Class B (Media)			10,350		197,167
Comcast Corp. Class A (Media)			42,453		932,692
DIRECTV Class A (Media)	(a)		12,700		507,111
Discovery Communications, Inc. Class A (Media)	(a)		4,300		179,310
Gannett Co., Inc. (Media)			3,600		54,324
Interpublic Group of Cos., Inc. / The (Media)	(a)		7,423		78,832
McGraw-Hill Cos., Inc. / The (Media)			4,700		171,127
Meredith Corp. (Media)			600		20,790
News Corp. Class A (Media)			34,800		506,688
Omnicom Group, Inc. (Media)			4,600		210,680
Scripps Networks Interactive, Inc. Class A (Media)			1,400		72,450
Time Warner Cable, Inc. (Media)			5,432		358,675
Time Warner, Inc. (Media)			16,866		542,579
Viacom, Inc. Class B (Media)			9,250		366,392
Walt Disney Co. / The (Media)			28,800		1,080,288
Washington Post Co. / The Class B (Media)			100		43,950
Big Lots, Inc. (Multiline Retail)	(a)		1,200		36,552
Family Dollar Stores, Inc. (Multiline Retail)			1,900		94,449
J.C. Penney Co., Inc. (Multiline Retail)			3,600		116,316
Kohl’s Corp. (Multiline Retail)	(a)		4,500		244,530
Macy’s, Inc. (Multiline Retail)			6,476		163,843
Nordstrom, Inc. (Multiline Retail)			2,600		110,188
Sears Holdings Corp. (Multiline Retail)	(a)		701		51,699
Target Corp. (Multiline Retail)			10,800		649,404
Abercrombie & Fitch Co. Class A (Specialty Retail)			1,300		74,919
AutoNation, Inc. (Specialty Retail)	(a)		1,000		28,200
AutoZone, Inc. (Specialty Retail)	(a)		400		109,036
Bed Bath & Beyond, Inc. (Specialty Retail)	(a)		3,900		191,685
Best Buy Co., Inc. (Specialty Retail)			5,075		174,022
CarMax, Inc. (Specialty Retail)	(a)		3,400		108,392
GameStop Corp. Class A (Specialty Retail)	(a)		2,300		52,624
Gap, Inc. / The (Specialty Retail)			6,650		147,231
Home Depot, Inc. (Specialty Retail)			24,900		872,994
Lowe’s Cos., Inc. (Specialty Retail)			21,000		526,680
Limited Brands, Inc. (Specialty Retail)			4,000		122,920
O’Reilly Automotive, Inc. (Specialty Retail)	(a)		2,100		126,882
RadioShack Corp. (Specialty Retail)			1,700		31,433
Ross Stores, Inc. (Specialty Retail)			1,800		113,850
Staples, Inc. (Specialty Retail)			11,000		250,470
Tiffany & Co. (Specialty Retail)			1,900		118,313
TJX Cos., Inc. (Specialty Retail)			6,000		266,340
Urban Outfitters, Inc. (Specialty Retail)	(a)		2,000		71,620
Coach, Inc. (Textiles, Apparel & Luxury Goods)			4,500		248,895
NIKE, Inc. Class B (Textiles, Apparel & Luxury Goods)			5,800		495,436
Polo Ralph Lauren Corp. (Textiles, Apparel & Luxury Goods)			1,000		110,920
V.F. Corp. (Textiles, Apparel & Luxury Goods)			1,300		112,034

					18,516,753

CONSUMER STAPLES – 10.5%
Brown-Forman Corp. Class B (Beverages)			1,550		107,911
Coca-Cola Co. / The (Beverages)			35,400		2,328,258
Coca-Cola Enterprises, Inc. (Beverages)			5,200		130,156
Constellation Brands, Inc. Class A (Beverages)	(a)		2,700		59,805
Dr Pepper Snapple Group, Inc. (Beverages)			3,500		123,060
Molson Coors Brewing Co. Class B (Beverages)			2,400		120,456
PepsiCo, Inc. (Beverages)			24,147		1,577,524
Costco Wholesale Corp. (Food & Staples Retailing)			6,600		476,586
CVS Caremark Corp. (Food & Staples Retailing)			20,720		720,434
Kroger Co. / The (Food & Staples Retailing)			9,700		216,892
Safeway, Inc. (Food & Staples Retailing)			5,700		128,193
SUPERVALU, Inc. (Food & Staples Retailing)			3,219		30,999
Sysco Corp. (Food & Staples Retailing)			8,900		261,660
Walgreen Co. (Food & Staples Retailing)			14,100		549,336
Wal-Mart Stores, Inc. (Food & Staples Retailing)			29,800		1,607,114
Whole Foods Market, Inc. (Food & Staples Retailing)	(a)		2,200		111,298
Archer-Daniels-Midland Co. (Food Products)			9,750		293,280
Campbell Soup Co. (Food Products)			2,900		100,775
ConAgra Foods, Inc. (Food Products)			6,700		151,286
Dean Foods Co. (Food Products)	(a)		2,800		24,752
General Mills, Inc. (Food Products)			9,700		345,223
Hershey Co. / The (Food Products)			2,400		113,160
H.J. Heinz Co. (Food Products)			4,900		242,354
Hormel Foods Corp. (Food Products)			1,100		56,386
J.M. Smucker Co. / The (Food Products)			1,800		118,170
Kellogg Co. (Food Products)			3,900		199,212
Kraft Foods, Inc. Class A (Food Products)			26,576		837,410
McCormick & Co., Inc. (Food Products)			2,000		93,060
Mead Johnson Nutrition Co. (Food Products)			3,151		196,150
Sara Lee Corp. (Food Products)			9,700		169,847
Tyson Foods, Inc. Class A (Food Products)			4,500		77,490
Clorox Co. (Household Products)			2,100		132,888
Colgate-Palmolive Co. (Household Products)			7,300		586,701
Kimberly-Clark Corp. (Household Products)			6,200		390,848
Procter & Gamble Co. / The (Household Products)			42,622		2,741,873
Avon Products, Inc. (Personal Products)			6,500		188,890
Estee Lauder Cos., Inc. / The Class A (Personal Products)			1,700		137,190
Altria Group, Inc. (Tobacco)			31,800		782,916

(continued)


Ohio National Fund, Inc.	S&P 500^® Index Portfolio (Continued)


Schedule of Investments	December 31, 2010


Common Stocks (Continued)		Shares		Value


CONSUMER STAPLES (continued)
Lorillard, Inc. (Tobacco)			2,297	$	188,492
Philip Morris International, Inc. (Tobacco)			27,600		1,615,428
Reynolds American, Inc. (Tobacco)			5,100		166,362

					18,499,825

ENERGY – 11.9%
Baker Hughes, Inc. (Energy Equip. & Svs.)			6,541		373,949
Cameron International Corp. (Energy Equip. & Svs.)	(a)		3,700		187,701
Diamond Offshore Drilling, Inc. (Energy Equip. & Svs.)			1,100		73,557
FMC Technologies, Inc. (Energy Equip. & Svs.)	(a)		1,800		160,038
Halliburton Co. (Energy Equip. & Svs.)			13,800		563,454
Helmerich & Payne, Inc. (Energy Equip. & Svs.)			1,600		77,568
Nabors Industries Ltd. (Energy Equip. & Svs.)	(a)		4,300		100,878
National Oilwell Varco, Inc. (Energy Equip. & Svs.)			6,400		430,400
Rowan Cos., Inc. (Energy Equip. & Svs.)	(a)		1,900		66,329
Schlumberger Ltd. (Energy Equip. & Svs.)			20,747		1,732,374
Anadarko Petroleum Corp. (Oil, Gas & Consumable Fuels)			7,500		571,200
Apache Corp. (Oil, Gas & Consumable Fuels)			5,772		688,196
Cabot Oil & Gas Corp. (Oil, Gas & Consumable Fuels)			1,600		60,560
Chesapeake Energy Corp. (Oil, Gas & Consumable Fuels)			10,000		259,100
Chevron Corp. (Oil, Gas & Consumable Fuels)			30,638		2,795,717
ConocoPhillips (Oil, Gas & Consumable Fuels)			22,400		1,525,440
Consol Energy, Inc. (Oil, Gas & Consumable Fuels)			3,400		165,716
Denbury Resources, Inc. (Oil, Gas & Consumable Fuels)	(a)		6,100		116,449
Devon Energy Corp. (Oil, Gas & Consumable Fuels)			6,600		518,166
El Paso Corp. (Oil, Gas & Consumable Fuels)			10,700		147,232
EOG Resources, Inc. (Oil, Gas & Consumable Fuels)			3,900		356,499
EQT Corp. (Oil, Gas & Consumable Fuels)			2,300		103,132
Exxon Mobil Corp. (Oil, Gas & Consumable Fuels)			76,764		5,612,984
Hess Corp. (Oil, Gas & Consumable Fuels)			4,500		344,430
Marathon Oil Corp. (Oil, Gas & Consumable Fuels)			10,820		400,665
Massey Energy Co. (Oil, Gas & Consumable Fuels)			1,600		85,840
Murphy Oil Corp. (Oil, Gas & Consumable Fuels)			2,900		216,195
Newfield Exploration Co. (Oil, Gas & Consumable Fuels)	(a)		2,000		144,220
Noble Energy, Inc. (Oil, Gas & Consumable Fuels)			2,700		232,416
Occidental Petroleum Corp. (Oil, Gas & Consumable Fuels)			12,400		1,216,440
Peabody Energy Corp. (Oil, Gas & Consumable Fuels)			4,100		262,318
Pioneer Natural Resources Co. (Oil, Gas & Consumable Fuels)			1,800		156,276
QEP Resources, Inc. (Oil, Gas & Consumable Fuels)			2,700		98,037
Range Resources Corp. (Oil, Gas & Consumable Fuels)			2,400		107,952
Southwestern Energy Co. (Oil, Gas & Consumable Fuels)	(a)		5,300		198,379
Spectra Energy Corp. (Oil, Gas & Consumable Fuels)			9,918		247,851
Sunoco, Inc. (Oil, Gas & Consumable Fuels)			1,800		72,558
Tesoro Corp. (Oil, Gas & Consumable Fuels)	(a)		2,200		40,788
Valero Energy Corp. (Oil, Gas & Consumable Fuels)			8,600		198,832
Williams Cos., Inc. / The (Oil, Gas & Consumable Fuels)			8,900		220,008

					20,929,844

FINANCIALS – 15.8%
Ameriprise Financial, Inc. (Capital Markets)			3,780		217,539
Bank of New York Mellon Corp. / The (Capital Markets)			18,911		571,112
Charles Schwab Corp. / The (Capital Markets)			15,100		258,361
E*Trade Financial Corp. (Capital Markets)	(a)		2,990		47,840
Federated Investors, Inc. Class B (Capital Markets)			1,400		36,638
Franklin Resources, Inc. (Capital Markets)			2,200		244,662
Goldman Sachs Group, Inc. / The (Capital Markets)			7,750		1,303,240
Invesco Ltd. (Capital Markets)			7,000		168,420
Janus Capital Group, Inc. (Capital Markets)			2,800		36,316
Legg Mason, Inc. (Capital Markets)			2,300		83,421
Morgan Stanley (Capital Markets)			23,000		625,830
Northern Trust Corp. (Capital Markets)			3,700		205,017
State Street Corp. (Capital Markets)			7,600		352,184
T. Rowe Price Group, Inc. (Capital Markets)			3,900		251,706
BB&T Corp. (Commercial Banks)			10,600		278,674
Comerica, Inc. (Commercial Banks)			2,700		114,048
Fifth Third Bancorp (Commercial Banks)			12,150		178,362
First Horizon National Corp. (Commercial Banks)	(a)		3,564		41,989
Huntington Bancshares, Inc. (Commercial Banks)			12,900		88,623
KeyCorp (Commercial Banks)			13,400		118,590
M&T Bank Corp. (Commercial Banks)			1,800		156,690
Marshall & Ilsley Corp. (Commercial Banks)			8,000		55,360
PNC Financial Services Group, Inc. (Commercial Banks)			8,042		488,310
Regions Financial Corp. (Commercial Banks)			19,075		133,525
SunTrust Banks, Inc. (Commercial Banks)			7,600		224,276
U.S. Bancorp (Commercial Banks)			29,190		787,254
Wells Fargo & Co. (Commercial Banks)			79,913		2,476,504
Zions Bancorporation (Commercial Banks)			2,700		65,421
American Express Co. (Consumer Finance)			15,900		682,428
Capital One Financial Corp. (Consumer Finance)			6,973		296,771
Discover Financial Services (Consumer Finance)			8,250		152,872
SLM Corp. (Consumer Finance)	(a)		7,400		93,166
Bank of America Corp. (Diversified Financial Svs.)			153,527		2,048,050
Citigroup, Inc. (Diversified Financial Svs.)	(a)		442,269		2,091,932
CME Group, Inc. (Diversified Financial Svs.)			1,025		329,794
IntercontinentalExchange, Inc. (Diversified Financial Svs.)	(a)		1,100		131,065
JPMorgan Chase & Co. (Diversified Financial Svs.)			59,543		2,525,814
Leucadia National Corp. (Diversified Financial Svs.)			3,000		87,540
Moody’s Corp. (Diversified Financial Svs.)			3,100		82,274
NASDAQ OMX Group, Inc. / The (Diversified Financial Svs.)	(a)		2,100		49,791
NYSE Euronext (Diversified Financial Svs.)			4,000		119,920
ACE Ltd. (Insurance)			5,200		323,700
Aflac, Inc. (Insurance)			7,200		406,296
Allstate Corp. / The (Insurance)			8,200		261,416
American International Group, Inc. (Insurance)	(a)		2,095		120,714
AON Corp. (Insurance)			5,000		230,050
Assurant, Inc. (Insurance)			1,600		61,632
Berkshire Hathaway, Inc. Class B (Insurance)	(a)		26,391		2,114,183
Chubb Corp. (Insurance)			4,600		274,344
Cincinnati Financial Corp. (Insurance)			2,466		78,148
Genworth Financial, Inc. Class A (Insurance)	(a)		7,500		98,550
Hartford Financial Services Group, Inc. (Insurance)			6,800		180,132
Lincoln National Corp. (Insurance)			4,786		133,099
Loews Corp. (Insurance)			4,861		189,142
Marsh & McLennan Cos., Inc. (Insurance)			8,300		226,922
MetLife, Inc. (Insurance)			13,800		613,272
Principal Financial Group, Inc. (Insurance)			4,900		159,544
Progressive Corp. / The (Insurance)			10,100		200,687
Prudential Financial, Inc. (Insurance)			7,400		434,454
Torchmark Corp. (Insurance)			1,200		71,688
Travelers Cos., Inc. / The (Insurance)			6,959		387,686
Unum Group (Insurance)			4,800		116,256
XL Group Plc (Insurance)			4,900		106,918

(continued)


Ohio National Fund, Inc.	S&P 500^® Index Portfolio (Continued)


Schedule of Investments	December 31, 2010


Common Stocks (Continued)		Shares		Value


FINANCIALS (continued)
Apartment Investment & Management Co. Class A (Real Estate Investment Trusts)			1,773	$	45,814
AvalonBay Communities, Inc. (Real Estate Investment Trusts)			1,331		149,804
Boston Properties, Inc. (Real Estate Investment Trusts)			2,100		180,810
Equity Residential (Real Estate Investment Trusts)			4,300		223,385
HCP, Inc. (Real Estate Investment Trusts)			5,500		202,345
Health Care REIT, Inc. (Real Estate Investment Trusts)			2,200		104,808
Host Hotels & Resorts, Inc. (Real Estate Investment Trusts)			10,102		180,523
Kimco Realty Corp. (Real Estate Investment Trusts)			6,200		111,848
Plum Creek Timber Co., Inc. (Real Estate Investment Trusts)			2,500		93,625
ProLogis (Real Estate Investment Trusts)			8,700		125,628
Public Storage (Real Estate Investment Trusts)			2,100		212,982
Simon Property Group, Inc. (Real Estate Investment Trusts)			4,462		443,924
Ventas, Inc. (Real Estate Investment Trusts)			2,400		125,952
Vornado Realty Trust (Real Estate Investment Trusts)			2,493		207,742
Weyerhaeuser Co. (Real Estate Investment Trusts)			8,163		154,526
CB Richard Ellis Group, Inc. Class A (Real Estate Mgmt. & Development)	(a)		4,400		90,112
Hudson City Bancorp, Inc. (Thrifts & Mortgage Finance)			8,000		101,920
People’s United Financial, Inc. (Thrifts & Mortgage Finance)			5,600		78,456

					27,924,366

HEALTH CARE – 10.8%
Amgen, Inc. (Biotechnology)	(a)		14,406		790,889
Biogen Idec, Inc. (Biotechnology)	(a)		3,645		244,397
Celgene Corp. (Biotechnology)	(a)		7,200		425,808
Cephalon, Inc. (Biotechnology)	(a)		1,100		67,892
Genzyme Corp. (Biotechnology)	(a)		3,900		277,680
Gilead Sciences, Inc. (Biotechnology)	(a)		12,400		449,376
Baxter International, Inc. (Health Care Equip. & Supplies)			8,900		450,518
Becton Dickinson and Co. (Health Care Equip. & Supplies)			3,500		295,820
Boston Scientific Corp. (Health Care Equip. & Supplies)	(a)		23,103		174,890
CareFusion Corp. (Health Care Equip. & Supplies)	(a)		3,350		86,095
C.R. Bard, Inc. (Health Care Equip. & Supplies)			1,400		128,478
DENTSPLY International, Inc. (Health Care Equip. & Supplies)			2,200		75,174
Intuitive Surgical, Inc. (Health Care Equip. & Supplies)	(a)		600		154,650
Medtronic, Inc. (Health Care Equip. & Supplies)			16,400		608,276
St. Jude Medical, Inc. (Health Care Equip. & Supplies)	(a)		5,200		222,300
Stryker Corp. (Health Care Equip. & Supplies)			5,200		279,240
Varian Medical Systems, Inc. (Health Care Equip. & Supplies)	(a)		1,800		124,704
Zimmer Holdings, Inc. (Health Care Equip. & Supplies)	(a)		2,970		159,430
Aetna, Inc. (Health Care Providers & Svs.)			6,100		186,111
AmerisourceBergen Corp. (Health Care Providers & Svs.)			4,200		143,304
Cardinal Health, Inc. (Health Care Providers & Svs.)			5,300		203,043
CIGNA Corp. (Health Care Providers & Svs.)			4,100		150,306
Coventry Health Care, Inc. (Health Care Providers & Svs.)	(a)		2,300		60,720
DaVita, Inc. (Health Care Providers & Svs.)	(a)		1,500		104,235
Express Scripts, Inc. (Health Care Providers & Svs.)	(a)		8,000		432,400
Humana, Inc. (Health Care Providers & Svs.)	(a)		2,600		142,324
Laboratory Corp of America Holdings (Health Care Providers & Svs.)	(a)		1,500		131,880
McKesson Corp. (Health Care Providers & Svs.)			3,900		274,482
Medco Health Solutions, Inc. (Health Care Providers & Svs.)	(a)		6,476		396,785
Patterson Cos., Inc. (Health Care Providers & Svs.)			1,500		45,945
Quest Diagnostics, Inc. (Health Care Providers & Svs.)			2,200		118,734
Tenet Healthcare Corp. (Health Care Providers & Svs.)	(a)		7,350		49,171
UnitedHealth Group, Inc. (Health Care Providers & Svs.)			16,700		603,037
WellPoint, Inc. (Health Care Providers & Svs.)	(a)		6,000		341,160
Cerner Corp. (Health Care Technology)	(a)		1,100		104,214
Agilent Technologies, Inc. (Life Sciences Tools & Svs.)	(a)		5,300		219,579
Life Technologies Corp. (Life Sciences Tools & Svs.)	(a)		2,817		156,343
PerkinElmer, Inc. (Life Sciences Tools & Svs.)			1,800		46,476
Thermo Fisher Scientific, Inc. (Life Sciences Tools & Svs.)	(a)		6,100		337,696
Waters Corp. (Life Sciences Tools & Svs.)	(a)		1,400		108,794
Abbott Laboratories (Pharmaceuticals)			23,500		1,125,885
Allergan, Inc. (Pharmaceuticals)			4,700		322,749
Bristol-Myers Squibb Co. (Pharmaceuticals)			26,069		690,307
Eli Lilly & Co. (Pharmaceuticals)			15,400		539,616
Forest Laboratories, Inc. (Pharmaceuticals)	(a)		4,300		137,514
Hospira, Inc. (Pharmaceuticals)	(a)		2,510		139,782
Johnson & Johnson (Pharmaceuticals)			41,800		2,585,330
Merck & Co., Inc. (Pharmaceuticals)			46,894		1,690,060
Mylan, Inc. (Pharmaceuticals)	(a)		6,600		139,458
Pfizer, Inc. (Pharmaceuticals)			121,910		2,134,644
Watson Pharmaceuticals, Inc. (Pharmaceuticals)	(a)		1,900		98,135

					18,975,836

INDUSTRIALS – 10.8%
Boeing Co. / The (Aerospace & Defense)			11,200		730,912
General Dynamics Corp. (Aerospace & Defense)			5,800		411,568
Goodrich Corp. (Aerospace & Defense)			1,900		167,333
Honeywell International, Inc. (Aerospace & Defense)			11,900		632,604
ITT Corp. (Aerospace & Defense)			2,800		145,908
L-3 Communications Holdings, Inc. (Aerospace & Defense)			1,700		119,833
Lockheed Martin Corp. (Aerospace & Defense)			4,500		314,595
Northrop Grumman Corp. (Aerospace & Defense)			4,400		285,032
Precision Castparts Corp. (Aerospace & Defense)			2,200		306,262
Raytheon Co. (Aerospace & Defense)			5,500		254,870
Rockwell Collins, Inc. (Aerospace & Defense)			2,400		139,824
United Technologies Corp. (Aerospace & Defense)			14,100		1,109,952
C.H. Robinson Worldwide, Inc. (Air Freight & Logistics)			2,500		200,475
Expeditors International of Washington, Inc. (Air Freight & Logistics)			3,200		174,720
FedEx Corp. (Air Freight & Logistics)			4,800		446,448
United Parcel Service, Inc. Class B (Air Freight & Logistics)			15,100		1,095,958
Southwest Airlines Co. (Airlines)			11,400		147,972
Masco Corp. (Building Products)			5,500		69,630
Avery Dennison Corp. (Commercial Svs. & Supplies)			1,600		67,744
Cintas Corp. (Commercial Svs. & Supplies)			1,900		53,124
Iron Mountain, Inc. (Commercial Svs. & Supplies)			3,000		75,030
Pitney Bowes, Inc. (Commercial Svs. & Supplies)			3,100		74,958

(continued)


Ohio National Fund, Inc.	S&P 500^® Index Portfolio (Continued)


Schedule of Investments	December 31, 2010


Common Stocks (Continued)		Shares		Value


INDUSTRIALS (continued)
Republic Services, Inc. (Commercial Svs. & Supplies)			4,680	$	139,745
R.R. Donnelley & Sons Co. (Commercial Svs. & Supplies)			3,100		54,157
Stericycle, Inc. (Commercial Svs. & Supplies)	(a)		1,300		105,196
Waste Management, Inc. (Commercial Svs. & Supplies)			7,200		265,464
Fluor Corp. (Construction & Engineering)			2,700		178,902
Jacobs Engineering Group, Inc. (Construction & Engineering)	(a)		1,900		87,115
Quanta Services, Inc. (Construction & Engineering)	(a)		3,300		65,736
Emerson Electric Co. (Electrical Equip.)			11,500		657,455
Rockwell Automation, Inc. (Electrical Equip.)			2,200		157,762
Roper Industries, Inc. (Electrical Equip.)			1,400		107,002
3M Co. (Industrial Conglomerates)			10,900		940,670
General Electric Co. (Industrial Conglomerates)			162,200		2,966,638
Textron, Inc. (Industrial Conglomerates)			4,200		99,288
Tyco International Ltd. (Industrial Conglomerates)			7,500		310,800
Caterpillar, Inc. (Machinery)			9,700		908,502
Cummins, Inc. (Machinery)			3,000		330,030
Danaher Corp. (Machinery)			8,200		386,794
Deere & Co. (Machinery)			6,500		539,825
Dover Corp. (Machinery)			2,800		163,660
Eaton Corp. (Machinery)			2,600		263,926
Flowserve Corp. (Machinery)			800		95,376
Illinois Tool Works, Inc. (Machinery)			7,500		400,500
Ingersoll-Rand PLC (Machinery)			4,900		230,741
PACCAR, Inc. (Machinery)			5,512		316,499
Pall Corp. (Machinery)			1,800		89,244
Parker Hannifin Corp. (Machinery)			2,500		215,750
Snap-On, Inc. (Machinery)			900		50,922
Dun & Bradstreet Corp. (Professional Svs.)			800		65,672
Equifax, Inc. (Professional Svs.)			1,900		67,640
Robert Half International, Inc. (Professional Svs.)			2,200		67,320
CSX Corp. (Road & Rail)			5,700		368,277
Norfolk Southern Corp. (Road & Rail)			5,500		345,510
Ryder System, Inc. (Road & Rail)			800		42,112
Union Pacific Corp. (Road & Rail)			7,500		694,950
Fastenal Co. (Trading Companies & Distributors)			2,200		131,802
W.W. Grainger, Inc. (Trading Companies & Distributors)			900		124,299

					19,060,033

INFORMATION TECHNOLOGY – 18.4%
Cisco Systems, Inc. (Communications Equip.)	(a)		84,400		1,707,412
F5 Networks, Inc. (Communications Equip.)	(a)		1,200		156,192
Harris Corp. (Communications Equip.)			2,000		90,600
JDS Uniphase Corp. (Communications Equip.)	(a)		3,375		48,870
Juniper Networks, Inc. (Communications Equip.)	(a)		8,000		295,360
Motorola, Inc. (Communications Equip.)	(a)		35,800		324,706
QUALCOMM, Inc. (Communications Equip.)			24,600		1,217,454
Tellabs, Inc. (Communications Equip.)			5,600		37,968
Apple, Inc. (Computers & Peripherals)	(a)		13,950		4,499,712
Dell, Inc. (Computers & Peripherals)	(a)		25,600		346,880
EMC Corp. (Computers & Peripherals)	(a)		31,400		719,060
Hewlett-Packard Co. (Computers & Peripherals)			34,500		1,452,450
Lexmark International, Inc. Class A (Computers & Peripherals)	(a)		1,200		41,784
NetApp, Inc. (Computers & Peripherals)	(a)		5,500		302,280
QLogic Corp. (Computers & Peripherals)	(a)		1,600		27,232
SanDisk Corp. (Computers & Peripherals)	(a)		3,600		179,496
Western Digital Corp. (Computers & Peripherals)	(a)		3,500		118,650
Amphenol Corp. Class A (Electronic Equip., Instr. & Comp.)			2,700		142,506
Corning, Inc. (Electronic Equip., Instr. & Comp.)			23,800		459,816
FLIR Systems, Inc. (Electronic Equip., Instr. & Comp.)	(a)		2,400		71,400
Jabil Circuit, Inc. (Electronic Equip., Instr. & Comp.)			3,000		60,270
Molex, Inc. (Electronic Equip., Instr. & Comp.)			2,100		47,712
Akamai Technologies, Inc. (Internet Software & Svs.)	(a)		2,800		131,740
eBay, Inc. (Internet Software & Svs.)	(a)		17,500		487,025
Google, Inc. Class A (Internet Software & Svs.)	(a)		3,800		2,257,086
Monster Worldwide, Inc. (Internet Software & Svs.)	(a)		2,000		47,260
VeriSign, Inc. (Internet Software & Svs.)			2,600		84,942
Yahoo!, Inc. (Internet Software & Svs.)	(a)		19,800		329,274
Automatic Data Processing, Inc. (IT Svs.)			7,500		347,100
Cognizant Technology Solutions Corp. Class A (IT Svs.)	(a)		4,600		337,134
Computer Sciences Corp. (IT Svs.)			2,400		119,040
Fidelity National Information Services, Inc. (IT Svs.)			4,000		109,560
Fiserv, Inc. (IT Svs.)	(a)		2,300		134,688
International Business Machines Corp. (IT Svs.)			18,900		2,773,764
Mastercard, Inc. Class A (IT Svs.)			1,475		330,562
Paychex, Inc. (IT Svs.)			4,900		151,459
SAIC, Inc. (IT Svs.)	(a)		4,500		71,370
Teradata Corp. (IT Svs.)	(a)		2,500		102,900
Total System Services, Inc. (IT Svs.)			2,477		38,096
Visa, Inc. (IT Svs.)			7,400		520,812
Western Union Co. / The (IT Svs.)			9,947		184,716
Xerox Corp. (Office Electronics)			21,102		243,095
Advanced Micro Devices, Inc. (Semiconductors & Equip.)	(a)		8,700		71,166
Altera Corp. (Semiconductors & Equip.)			4,800		170,784
Analog Devices, Inc. (Semiconductors & Equip.)			4,500		169,515
Applied Materials, Inc. (Semiconductors & Equip.)			20,300		285,215
Broadcom Corp. Class A (Semiconductors & Equip.)			6,950		302,672
First Solar, Inc. (Semiconductors & Equip.)	(a)		850		110,619
Intel Corp. (Semiconductors & Equip.)			84,900		1,785,447
KLA-Tencor Corp. (Semiconductors & Equip.)			2,500		96,600
Linear Technology Corp. (Semiconductors & Equip.)			3,400		117,606
LSI Corp. (Semiconductors & Equip.)	(a)		9,400		56,306
MEMC Electronic Materials, Inc. (Semiconductors & Equip.)	(a)		3,500		39,410
Microchip Technology, Inc. (Semiconductors & Equip.)			2,800		95,788
Micron Technology, Inc. (Semiconductors & Equip.)	(a)		13,000		104,260
National Semiconductor Corp. (Semiconductors & Equip.)			3,600		49,536
Novellus Systems, Inc. (Semiconductors & Equip.)	(a)		1,400		45,248
NVIDIA Corp. (Semiconductors & Equip.)	(a)		8,800		135,520
Teradyne, Inc. (Semiconductors & Equip.)	(a)		2,800		39,312
Texas Instruments, Inc. (Semiconductors & Equip.)			17,900		581,750
Xilinx, Inc. (Semiconductors & Equip.)			3,900		113,022
Adobe Systems, Inc. (Software)	(a)		7,700		237,006
Autodesk, Inc. (Software)	(a)		3,500		133,700
BMC Software, Inc. (Software)	(a)		2,700		127,278
CA, Inc. (Software)			5,800		141,752
Citrix Systems, Inc. (Software)	(a)		2,900		198,389
Compuware Corp. (Software)	(a)		3,300		38,511
Electronic Arts, Inc. (Software)	(a)		5,100		83,538
Intuit, Inc. (Software)	(a)		4,300		211,990
McAfee, Inc. (Software)	(a)		2,300		106,513
Microsoft Corp. (Software)			114,600		3,199,632
Novell, Inc. (Software)	(a)		5,400		31,968
Oracle Corp. (Software)			58,900		1,843,570
Red Hat, Inc. (Software)	(a)		2,900		132,385
Salesforce.com, Inc. (Software)	(a)		1,800		237,600
Symantec Corp. (Software)	(a)		11,794		197,432

					32,440,473

(continued)


Ohio National Fund, Inc.	S&P 500^® Index Portfolio (Continued)


Schedule of Investments	December 31, 2010


Common Stocks (Continued)		Shares		Value


MATERIALS – 3.7%
Air Products & Chemicals, Inc. (Chemicals)			3,300	$	300,135
Airgas, Inc. (Chemicals)			1,100		68,706
CF Industries Holdings, Inc. (Chemicals)			1,100		148,665
Dow Chemical Co. / The (Chemicals)			17,700		604,278
Eastman Chemical Co. (Chemicals)			1,100		92,488
Ecolab, Inc. (Chemicals)			3,500		176,470
E.I. du Pont de Nemours & Co. (Chemicals)			13,900		693,332
FMC Corp. (Chemicals)			1,100		87,879
International Flavors & Fragrances, Inc. (Chemicals)			1,200		66,708
Monsanto Co. (Chemicals)			8,186		570,073
PPG Industries, Inc. (Chemicals)			2,500		210,175
Praxair, Inc. (Chemicals)			4,700		448,709
Sherwin-Williams Co. / The (Chemicals)			1,400		117,250
Sigma-Aldrich Corp. (Chemicals)			1,800		119,808
Vulcan Materials Co. (Construction Materials)			2,000		88,720
Ball Corp. (Containers & Packaging)			1,300		88,465
Bemis Co., Inc. (Containers & Packaging)			1,600		52,256
Owens-Illinois, Inc. (Containers & Packaging)	(a)		2,500		76,750
Sealed Air Corp. (Containers & Packaging)			2,400		61,080
AK Steel Holding Corp. (Metals & Mining)			1,700		27,829
Alcoa, Inc. (Metals & Mining)			15,600		240,084
Allegheny Technologies, Inc. (Metals & Mining)			1,500		82,770
Cliffs Natural Resources, Inc. (Metals & Mining)			2,100		163,821
Freeport-McMoRan Copper & Gold, Inc. (Metals & Mining)			7,176		861,766
Newmont Mining Corp. (Metals & Mining)			7,500		460,725
Nucor Corp. (Metals & Mining)			4,800		210,336
Titanium Metals Corp. (Metals & Mining)	(a)		1,400		24,052
United States Steel Corp. (Metals & Mining)			2,200		128,524
International Paper Co. (Paper & Forest Products)			6,700		182,508
MeadWestvaco Corp. (Paper & Forest Products)			2,600		68,016

					6,522,378

TELECOMMUNICATION SERVICES – 3.0%
AT&T, Inc. (Diversified Telecom. Svs.)			89,978		2,643,554
CenturyLink, Inc. (Diversified Telecom. Svs.)			4,646		214,506
Frontier Communications Corp. (Diversified Telecom. Svs.)			15,141		147,322
Qwest Communications International, Inc. (Diversified Telecom. Svs.)			26,500		201,665
Verizon Communications, Inc. (Diversified Telecom. Svs.)			43,000		1,538,540
Windstream Corp. (Diversified Telecom. Svs.)			7,396		103,100
American Tower Corp. Class A (Wireless Telecom. Svs.)	(a)		6,100		315,004
MetroPCS Communications, Inc. (Wireless Telecom. Svs.)	(a)		4,000		50,520
Sprint Nextel Corp. (Wireless Telecom. Svs.)	(a)		45,432		192,177

					5,406,388

UTILITIES – 3.3%
Allegheny Energy, Inc. (Electric Utilities)			2,600		63,024
American Electric Power Co., Inc. (Electric Utilities)			7,300		262,654
Duke Energy Corp. (Electric Utilities)			20,136		358,622
Edison International (Electric Utilities)			5,000		193,000
Entergy Corp. (Electric Utilities)			2,800		198,324
Exelon Corp. (Electric Utilities)			10,100		420,564
FirstEnergy Corp. (Electric Utilities)			4,600		170,292
NextEra Energy, Inc. (Electric Utilities)			6,300		327,537
Northeast Utilities (Electric Utilities)			2,700		86,076
Pepco Holdings, Inc. (Electric Utilities)			3,400		62,050
Pinnacle West Capital Corp. (Electric Utilities)			1,700		70,465
PPL Corp. (Electric Utilities)			7,400		194,768
Progress Energy, Inc. (Electric Utilities)			4,500		195,660
Southern Co. (Electric Utilities)			12,800		489,344
Nicor, Inc. (Gas Utilities)			700		34,944
Oneok, Inc. (Gas Utilities)			1,600		88,752
AES Corp. / The (Ind. Power Prod. & Energy Traders)	(a)		10,100		123,018
Constellation Energy Group, Inc. (Ind. Power Prod. & Energy Traders)			3,000		91,890
NRG Energy, Inc. (Ind. Power Prod. & Energy Traders)	(a)		3,800		74,252
Ameren Corp. (Multi-Utilities)			3,700		104,303
CenterPoint Energy, Inc. (Multi-Utilities)			6,400		100,608
CMS Energy Corp. (Multi-Utilities)			3,700		68,820
Consolidated Edison, Inc. (Multi-Utilities)			4,400		218,108
Dominion Resources, Inc. (Multi-Utilities)			8,800		375,936
DTE Energy Co. (Multi-Utilities)			2,600		117,832
Integrys Energy Group, Inc. (Multi-Utilities)			1,212		58,794
NiSource, Inc. (Multi-Utilities)			4,200		74,004
PG&E Corp. (Multi-Utilities)			6,000		287,040
Public Service Enterprise Group, Inc. (Multi-Utilities)			7,700		244,937
SCANA Corp. (Multi-Utilities)			1,700		69,020
Sempra Energy (Multi-Utilities)			3,700		194,176
TECO Energy, Inc. (Multi-Utilities)			3,300		58,740
Wisconsin Energy Corp. (Multi-Utilities)			1,800		105,948
Xcel Energy, Inc. (Multi-Utilities)			7,000		164,850

					5,748,352

Total Common Stocks (Cost $149,805,532)				$	174,024,248


Exchange Traded Funds – 1.0%		Shares		Value


SPDR S&P 500 ETF Trust			13,975	$	1,757,775

Total Exchange Traded Funds (Cost $1,692,914)				$	1,757,775


		Face		Amortized
Commercial Paper – 0.1%		Amount		Cost


General Electric Capital Corp. 0.030%, 01/03/2011		$	123,000	$	123,000

Total Commercial Paper (Cost $123,000)				$	123,000

Total Investments – 99.8% (Cost $151,621,446)	(b)			$	175,905,023
Other Assets in Excess of Liabilities – 0.2%					274,031

Net Assets – 100.0%				$	176,179,054

Percentages are stated as a percent of net assets.

Footnotes:


(a)		Non-income producing security.

(b)		Represents cost for financial reporting purposes, which may differ from cost basis for Federal income tax purposes. See also Note 7 of the Notes to Financial Statements.

The accompanying notes are an integral part of these financial statements.


Ohio National Fund, Inc.	Strategic Value Portfolio

Objective/Strategy

The Strategic Value Portfolio seeks growth of capital and income by investing primarily in securities of high dividend yielding, undervalued stocks with dividend growth potential.

Performance as of December 31, 2010


Average Annual Total Returns:
One year			11.98%
Five years			-0.99%
Ten years			0.65%

Comments

For the year ended December 31, 2010, the Strategic Value Portfolio returned 11.98% versus 18.32% for the current benchmark, the Dow Jones U.S. Select Dividend Index.

The year ended December 31, 2010 was a supportive environment for equities as we exited a low-quality, post-recession rally and navigated through a choppy recovery. The onset of the fiscal year ushered in expectations of a broadening recovery, aided by a factory sector that began to rebuild inventories, a consumer who appeared to be loosening his grip on his wallet, and a labor market that appeared on the verge of expanding again. While choppy economic reports in January and February offered setbacks, March brought clearer signs of a recovery that was gaining some steam.

Much of this optimism came undone as economic news tempered a rally in equities. Where the first quarter offered support, the second quarter was downright abysmal. May’s fears of a spreading sovereign contagion in Europe were supplanted with June’s fears of a potential double dip. The weakness in the jobs market seemed to carry over to consumer spending, which had slowed dramatically from its late-winter, early-spring levels, and the housing market plummeted following the expiration of the temporary buyer’s tax credit.

The stock market pulled off June’s lows, not so much on any significant improvement in economic fundamentals, but on what was shaping up as another solid quarter for corporate earnings and guidance. If anything, the economic news was worse than expected, as manufacturing appeared to slow, private payrolls grew less than forecast, and employment data still reflected businesses’ hesitancy to hire. To the positive, we noted that the National Bureau of Economic Research reported that the longest and deepest recession of the post-World War II era ended a year-ago June. For most American consumers, however, the recovery had yet to come.

The third quarter proved to be no less choppy. Europe’s sovereign debt crisis appeared to be easing, with both bank and sovereign-debt spreads easing. Major equity indices posted their best September — typically a difficult month — in seven decades, following their worst August in nine years. Overall, however, the bulk of news coming out of most reports was indicative of sub-par growth for this stage of recovery and the still-soft economic data was barely strong enough to ease fears of a double dip.

We saw the S&P 500 Index post its best October in seven years and the blue-chip Dow Jones Industrials Average post its best in four. The rally, which built off September’s strong gains, defied not only what seasonally are two of the weakest trading months of the year, but also much of the underlying economic data. November brought with it a notable retracement in overseas markets; the European Union couldn’t seem to shake its sovereign debt woes despite a new bailout package for Ireland and other member countries. An inflationary spike in China prompted fears that the Asian giant may act to curtail growth and cool global growth.

The equity rally got back on track after November’s lull, with the major indices posting their strongest December in almost two decades as investors focused on data indicative of a recovery. It didn’t hurt that the Federal government delivered an early Christmas present in the form of a bill that not only extends the Bush tax cuts for everyone for two years and jobless benefits for an additional 13 months, but also provides a one-year, two percentage-point reduction in employee Social Security payroll taxes next year. Combined, the fiscal stimulus was valued at roughly $900 billion, larger than the original stimulus passed in early 2009.

With our investments in the dividend income producing segment of the market, with low beta, the Portfolio’s short-term performance traditionally does not move in lock-step with the broad market indicators. Performance in 2010 was no exception as investors preferred features contrary to our style. We noted that the news flow in much of the year propped up the more volatile segments of the market such as consumer and industrial cyclicals and the commodity-linked Energy and Materials complex. To the opposite, dividend friendly sectors, such as Consumer Staples, Utilities and Health Care lagged the overall market. We saw a similar theme with investors favoring features contrary to our style, including high beta, small caps, and the lowest quality stocks. Recent preferences are not surprising and are consistent with what we witnessed after the last round of quantitative easing. As this wave of spending passes with no lasting effects, we expect investors will reiterate their demand for a safer source of equity return.⁽¹⁾

Underperformance, relative to the Dow Jones U.S. Select Dividend Index, can be attributed to the benchmark’s notably lower market capitalization and orientation toward higher beta, which outperformed for much of the year. From a sector perspective, the leading contributor to underperformance was 2.8% of negative stock selection within the Energy sector as commodity-linked, high beta names outperformed our high-yielding, integrated providers. The Portfolio was also penalized by 1.7% of negative sector selection due to its 11.7% overweight position in Health Care, the lowest returning sector in the index for the year. A lack of exposure to the Industrials and Materials sectors also proved negative as both sectors posted some of the highest returns in the year yet afforded little dividend opportunity. As a final point, hedging foreign currency risk with forward currency contracts detracted 1.2% from total return as well. Regardless of market conditions, we will not abandon our focus on delivering high current income, growth in dividend income over time, and downside protection. This focus on absolute return objectives and our low beta mean that we will not move in lock step with the broad market in periods of extreme positive performance. More importantly, we expect to give up less return on the downside.⁽¹⁾

On the positive side of the ledger, relative gains were achieved with positive stock selection of 1.7% within the Consumer Staples sector.

(continued)


Ohio National Fund, Inc.	Strategic Value Portfolio (Continued)

The highest returns in the Portfolio’s Consumer Staples holdings included tobacco stocks Altria Group, Inc., Reynolds American, Inc., and Phillip Morris International, Inc., which posted respective returns of 33.9%, 31.4% and 27.2%. Further relative gains of 2.2% were achieved with positive stock selection and a 14.5% underweight position within Utilities. Highest returns in Utilities included Southern Co., Dominion Resources, Inc., and Consolidated Edison, Inc., posting returns of 20.8%, 14.8% and 14.3% respectively. The Portfolio also gained 1.1% of positive stock selection within Financials. We avoided the lagging commercial banks industry and invested in higher returning real estate investment trusts (REITs) instead.⁽¹⁾

As the market participants speculated about near-term performance, we maintained our focus on companies that offer attractive valuations, high yield, and the potential for dividend growth over time. To this end, the Portfolio delivered on its objective of providing a substantially higher than market yield, with a weighted average 4.93% yield. This compares to a 4.03% yield for the Dow Jones U.S. Select Dividend Index and a 1.87% yield for the S&P 500 Index.⁽¹⁾

Consistent with our goals, we noted that dividend growth continued to develop at an attractive pace. While 2008 and 2009 proved to be the worst dividend cutting episode in history, we were pleased to see the return of increasing dividends in 2010. To this point, the Portfolio captured 42 dividend increases in the year. If we count back to our last notable dividend cut with Pfizer, Inc. in April of 2009, we have since realized 61 dividend increases. The implication here is that, in a little more than a year and a half, virtually every holding in the Portfolio has raised its dividend, with several holdings raising their dividends more than once. As a result, the trajectory for dividend growth is quite positive heading into 2011. Some examples of compelling increases include Telefonica, with a 30% increase, and AstraZeneca PLC and National Grid PLC, each with a 15% increase. We saw Altria Group, Inc. and Lorillard, Inc. raise their dividends by 12%, and McDonald’s Corp., Kimberly-Clark Corp., The Procter & Gamble Co., ConocoPhillips and Johnson & Johnson, each with a 10% dividend increase. We also noted that Omega Healthcare Investors, Inc. raised its dividend for a second time this year in October for a combined increase of 16% relative to their payment last year. A final example, BCE, Inc. raised its dividend for a second time in December for a combined increase of 13% this year. Again, the Portfolio is built on the thesis that the price appreciation of stocks ultimately follows their dividend trajectories higher.⁽¹⁾

As we assess market and economic conditions, there’s clearly grist for the bears to chew on. Future tax rates for the economy remain uncertain, although the promise of at least a temporary two-year extension of all cuts following the Obama-Republican compromise earlier this month is comforting. The landscape of the health care industry is changing, but we are still uncertain as to which direction. Corporate profit margins are near all time highs, raising concerns as to how much higher they can go. And while profits are strong, the much-awaited jobs recovery is still awaited. Europe’s sovereign debt crisis seems to roll on while, closer to home, state and local governments face deficit issues that are daunting. In Asia, commodity inflation is taxing the patience of the region’s central banks.

Despite these worries, we remain firmly in the camp that expects the markets to continue to grind higher next year while the economy moves into a re-acceleration phase following the mid-2010 soft patch. Corporate liquid asset balances are near all-time highs at 7.1%. Stock valuations at 12 to 13 times projected earnings, while not single-digit cheap, are historically inexpensive relative to bonds, particularly at this stage of the economic cycle. With the Federal Reserve focused on avoiding the second Great Depression and the European Central Bank trying to keep the peripheral economies afloat, we believe we are in a positive scenario for stocks. Overseas, we believe selectivity is more important than ever and, to that end, we like economies and markets with strong sovereign-credit positions combined with attractive valuations and exposure to the global economic cycle.


⁽¹⁾	The Portfolio’s composition is subject to change. Holdings and weightings are as of December 31, 2010.

Change in Value of $10,000 Investment


			Dow Jones
	Strategic Value		U.S. Select
	Portfolio		Dividend Index
12/31/2000		10000		10000
06/30/2001		10031		11400
12/31/2001		9578		11309
06/30/2002		8754		11990
12/31/2002		7717		10863
06/30/2003		8467		11886
12/31/2003		9768		14139
06/30/2004		10048		14890
12/31/2004		10706		16703
06/30/2005		10764		17073
12/31/2005		11213		17334
06/30/2006		11331		18204
12/31/2006		13046		20724
06/30/2007		13424		21591
12/31/2007		11906		19654
06/30/2008		9951		15447
12/31/2008		8541		13567
06/30/2009		7962		11866
12/31/2009		9525		15077
06/30/2010		8963		14882
12/31/2010		10667		17838

The Dow Jones U.S. Select Dividend Index is comprised of all dividend-paying companies in the Dow Jones U.S. Index that have a non-negative historical five-year dividend-per-share growth rate, a five-year average dividend to earnings-per-share ratio of less than or equal to 60%, and a three-month average daily trading volume of 200,000 shares. Current index components are included in the universe regardless of their dividend payout ratio. The Dow Jones U.S. Index aims to consistently represent the top 95% of U.S. companies based on float-adjusted market capitalization, excluding the very smallest and least-liquid stocks. The index presented includes the effects of reinvested dividends.

(continued)


Ohio National Fund, Inc.	Strategic Value Portfolio


Schedule of Investments	December 31, 2010


Common Stocks – 97.4%		Shares		Value


CONSUMER DISCRETIONARY – 2.1%
McDonald’s Corp. (Hotels, Restaurants & Leisure)			6,825	$	523,887

CONSUMER STAPLES – 22.7%
Coca-Cola Co. / The (Beverages)			9,315		612,648
ConAgra Foods, Inc. (Food Products)			10,000		225,800
H.J. Heinz Co. (Food Products)			11,875		587,337
Kellogg Co. (Food Products)			5,900		301,372
Unilever PLC (Food Products)	(a)		21,210		651,489
Clorox Co. (Household Products)			3,900		246,792
Kimberly-Clark Corp. (Household Products)			10,575		666,648
Procter & Gamble Co. / The (Household Products)			4,860		312,644
Altria Group, Inc. (Tobacco)			18,920		465,810
Lorillard, Inc. (Tobacco)			3,900		320,034
Philip Morris International, Inc. (Tobacco)			10,735		628,320
Reynolds American, Inc. (Tobacco)			16,020		522,572

					5,541,466

ENERGY – 11.3%
Chevron Corp. (Oil, Gas & Consumable Fuels)			7,450		679,812
ConocoPhillips (Oil, Gas & Consumable Fuels)			11,105		756,251
Royal Dutch Shell PLC (Oil, Gas & Consumable Fuels)	(a)		24,420		808,657
Total S.A. (Oil, Gas & Consumable Fuels)	(a)		9,320		496,407

					2,741,127

FINANCIALS – 11.3%
Arthur J. Gallagher & Co. (Insurance)			8,100		235,548
Cincinnati Financial Corp. (Insurance)			10,000		316,900
Mercury General Corp. (Insurance)			4,800		206,448
CommonWealth REIT (Real Estate Investment Trusts)			9,000		229,590
HCP, Inc. (Real Estate Investment Trusts)			6,600		242,814
Health Care REIT, Inc. (Real Estate Investment Trusts)			6,000		285,840
National Retail Properties, Inc. (Real Estate Investment Trusts)			8,500		225,250
Omega Healthcare Investors, Inc. (Real Estate Investment Trusts)			9,200		206,448
Realty Income Corp. (Real Estate Investment Trusts)			6,100		208,620
Senior Housing Properties Trust (Real Estate Investment Trusts)			12,300		269,862
New York Community Bancorp, Inc. (Thrifts & Mortgage Finance)			16,900		318,565

					2,745,885

HEALTH CARE – 14.7%
Abbott Laboratories (Pharmaceuticals)			10,950		524,615
AstraZeneca PLC (Pharmaceuticals)	(a)		7,800		355,480
Bristol-Myers Squibb Co. (Pharmaceuticals)			28,075		743,426
Eli Lilly & Co. (Pharmaceuticals)			13,200		462,528
GlaxoSmithKline PLC (Pharmaceuticals)	(a)		39,316		762,448
Johnson & Johnson (Pharmaceuticals)			11,960		739,726

					3,588,223

TELECOMMUNICATION SERVICES – 19.9%
AT&T, Inc. (Diversified Telecom. Svs.)			28,000		822,640
BCE, Inc. (Diversified Telecom. Svs.)			21,280		756,346
CenturyLink, Inc. (Diversified Telecom. Svs.)			13,925		642,917
Telefonica SA (Diversified Telecom. Svs.)	(a)		26,564		606,457
Verizon Communications, Inc. (Diversified Telecom. Svs.)			24,620		880,904
Windstream Corp. (Diversified Telecom. Svs.)			32,305		450,332
Vodafone Group PLC – ADR (Wireless Telecom. Svs.)			25,570		675,815

					4,835,411

UTILITIES – 15.4%
Duke Energy Corp. (Electric Utilities)			37,920		675,355
PPL Corp. (Electric Utilities)			11,700		307,944
Progress Energy, Inc. (Electric Utilities)			10,690		464,801
Southern Co. (Electric Utilities)			16,960		648,381
CenterPoint Energy, Inc. (Multi-Utilities)			13,700		215,364
Consolidated Edison, Inc. (Multi-Utilities)			6,000		297,420
Dominion Resources, Inc. (Multi-Utilities)			5,025		214,668
National Grid PLC (Multi-Utilities)	(a)		69,000		596,383
SCANA Corp. (Multi-Utilities)			7,875		319,725

					3,740,041

Total Common Stocks (Cost $21,346,065)				$	23,716,040


Money Market Funds – 1.9%		Shares		Value


Fidelity Institutional Money Market Funds
Money Market Portfolio – Class I			471,000	$	471,000

Total Money Market Funds (Cost $471,000)				$	471,000

Total Investments – 99.3% (Cost $21,817,065)	(b)			$	24,187,040
Other Assets in Excess of Liabilities – 0.7%					160,220

Net Assets – 100.0%				$	24,347,260

Percentages are stated as a percent of net assets.

Abbreviations:

ADR: American Depositary Receipts

Footnotes:


(a)		Security traded on a foreign exchange has been valued at an estimate of fair value that is different than the local market close price. These fair value estimates are determined by an independent national fair valuation service that has been approved by the Board. These securities represent $4,277,321 or 17.6% of the Portfolio’s net assets. Other Portfolio securities are not subjected to fair value procedures because they are traded on domestic or foreign exchanges that have close times that are consistent with the U.S. market close, normally 4:00 pm Eastern Time.

(b)		Represents cost for financial reporting purposes, which may differ from cost basis for Federal income tax purposes. See also Note 7 of the Notes to Financial Statements.

The accompanying notes are an integral part of these financial statements.


Ohio National Fund, Inc.	High Income Bond Portfolio

Objective/Strategy

The High Income Bond Portfolio seeks high current income by investing at least 80% of its net assets in lower rated corporate debt obligations commonly referred to as “junk bonds”. The Portfolio’s investments are generally rated Baa or lower by Moody’s, or BBB or lower by Standard & Poor’s or Fitch.

Performance as of December 31, 2010


Average Annual Total Returns:
One year			14.09%
Five years			7.71%
Ten years			8.20%

Comments

For the year ended December 31, 2010, the High Income Bond Portfolio returned 14.09% versus 14.94% for the current benchmark, the Barclays Capital High Yield 2% Issuer Constrained Index (“BCHY2%ICI”).

The high yield market generated attractive total returns. The major factor behind these attractive returns was the continuing recovery of the domestic economy from the “Great Recession”. While disappointing on the job creation front, the economy did manage four consecutive quarters of positive growth. Overall corporate creditworthiness also continued to recover as corporate earnings registered strong gains driven by the improving economy and the benefit of aggressive cost actions taken during the recession. This improvement is illustrated by the decline in default rates from in excess of 10% in 2009 to less than 1% for the first nine months of 2010, according to the Altman High Yield Bond Default and Return Report. The market also benefited from robust financial market conditions as strength in debt markets allowed companies to term out short and intermediate maturity debt while equity markets surged to post recession highs; raising corporate valuations and contributing to improved investor confidence. Government policies were also very accommodating, topped off in the fourth quarter by a new quantitative easing campaign (dubbed “QE2”). This policy, coupled with tax policy initiatives, resulted in rising expectations for 2011’s economic prospects. The overall impact of these factors can be illustrated by the decline in the spread between the Credit Suisse High Yield Bond Index and comparable Treasuries from 6.34% on December 31, 2009 to 5.71% on December 31, 2010.

Within the high yield market, major industry sectors that substantially outperformed the BCHY2%ICI included financial institutions, gaming, transportation, media — non cable and automotive. While still attractive on an absolute basis, the electric utility, media — cable, healthcare, packaging and energy sectors underperformed the BCHY2%ICI. From a ratings quality perspective, the CCC-rated sector of the BCHY2%ICI returned 16.28% outperforming the higher quality BB and B-rated quality sectors which returned 14.34% and 13.69%, respectively.

The Portfolio underperformed the BCHY2%ICI. The Portfolio was negatively impacted by an underweight relative to the BCHY2%ICI in the strong performing financials sector as well as poor security selection in this sector. The Portfolio was also negatively impacted by underperforming security selection relative to the BCHY2%ICI in the wireline and wireless communication, services, paper, food & beverage, and consumer products industry sectors. Specific Portfolio holdings that substantially underperformed the BCHY2%ICI included: Texas Competitive Electric Holdings Co. LLC, Dynegy Holdings, Inc., Sitel LLC, Hawker Beechcraft, and Dean Foods Co.⁽¹⁾

The Portfolio benefited from strong security selection relative to the BCHY2%ICI in the media-non cable, media-cable, automotive, retail and aerospace & defense industry sectors. Superior security selection in the health care sector offset the negative effect of an overweight in this underperforming sector. The Portfolio also benefited from its underweight in the weak performing electric utility and supermarket sectors and its overweight in the strong performing gaming sector. The Portfolio also benefited from its overweight in the outperforming CCC-rated quality sector, somewhat offset by a less aggressive investment posture within this low quality sector. Specific Portfolio holdings that substantially outperformed the BCHY2%ICI included: Affinity Group Holdings, Inc., Foxco Acquisition Sub. LLC, Ally Financial, Inc. preferred stock, and Nexstar Broadcasting, Inc.⁽¹⁾

We continue to believe that high yield bonds offer attractive relative returns in the fixed income area. Yield spreads relative to U.S. Treasury securities remain above their long term median levels giving solid valuation support to the market. The domestic economy appears to be gaining strength as 2011 begins, aided by stimulative monetary and fiscal policy. Corporate credit quality is strong and we believe default rates on high yield securities will remain well below historical averages. These factors all bode well for strong relative returns for the high yield market. Compared to recent years, absolute returns may be somewhat held back if high quality interest rates begin to move higher as the domestic economic conditions continue to firm.


⁽¹⁾	The Portfolio’s composition is subject to change. Holdings and weightings are as of December 31, 2010.

(continued)


Ohio National Fund, Inc.	High Income Bond Portfolio (Continued)

Change in Value of $10,000 Investment


			Barclays Capital
			High Yield
	High Income		2% Issuer
	Bond Portfolio		Constrained Index
12/31/2000		10000		10000
06/30/2001		10231		10411
12/31/2001		10428		10546
06/30/2002		10447		10192
12/31/2002		10839		10521
06/30/2003		12307		12453
12/31/2003		13309		13548
06/30/2004		13614		13737
12/31/2004		14729		15057
06/30/2005		14780		15200
12/31/2005		15170		15472
06/30/2006		15527		15864
12/31/2006		16706		17137
06/30/2007		17207		17644
12/31/2007		17296		17525
06/30/2008		17010		17336
12/31/2008		12883		12989
06/30/2009		16295		17006
12/31/2009		19279		20622
06/30/2010		20101		21539
12/31/2010		21995		23703

Hypothetical illustration based on past performance. Future performance will vary. All returns reflect reinvested dividends. The Portfolio’s holdings may differ significantly from the securities in the index. The index is unmanaged and therefore does not reflect the cost of Portfolio management or trading. Neither the Portfolio nor the index is open to direct investment.

The Barclays Capital High Yield 2% Issuer Constrained Index is the 2% Issuer Cap component of the Barclays Capital U.S. Corporate High Yield Bond Index. The Barclays Capital U.S. Corporate High Yield Bond Index is an unmanaged index that includes all fixed income securities having a maximum quality rating of Ba1, a minimum amount outstanding of $150 million, and a least 1 year to maturity. The 2% Issuer Cap component limits an issuer to 2% of the aggregate market capitalization. The index is presented on a total return basis.

Portfolio Composition as of December 31, 2010 ⁽¹⁾


	% of Net Assets

Corporate Bonds ⁽³⁾		97.5
Convertible Bonds ⁽³⁾		0.1
Preferred Stocks ⁽³⁾		0.1
Other Net Assets		2.3

		100.0

Top 10 Portfolio Holdings as of December 31, 2010 ^(1) (2)


	% of Net Assets

1.	CIT Group, Inc. 7.000%, 05/01/2017	2.0
2.	HCA, Inc. 9.625%, 11/15/2016	1.7
3.	Ford Motor Credit Co. LLC 8.000%, 12/15/2016	1.4
4.	Sprint Capital Corp. 6.900%, 05/01/2019	1.3
5.	Biomet, Inc. 11.625%, 10/15/2017	1.0
6.	Ally Financial, Inc. 8.300%, 02/12/2015	1.0
7.	International Lease Finance Corp. 8.750%, 03/15/2017	1.0
8.	Intelsat Intermediate Holding Co. S.A. 9.500%, 02/01/2015	0.8
9.	Intelsat Jackson Holdings S.A. 11.250%, 06/15/2016	0.8
10.	Nuveen Investments, Inc. 10.500%, 11/15/2015	0.7


⁽¹⁾		Composition of Portfolio subject to change.

⁽²⁾		Short-term investments have been excluded from the list of Top 10 Portfolio Holdings.

⁽³⁾		Sectors (combined):


	% of Net Assets

Consumer Discretionary		28.7
Industrials		11.9
Financials		9.8
Materials		9.5
Health Care		9.0
Energy		8.4
Information Technology		8.1
Telecommunication Services		5.0
Consumer Staples		4.8
Utilities		2.5

		97.7


Ohio National Fund, Inc.	High Income Bond Portfolio


Schedule of Investments	December 31, 2010


Corporate Bonds – 97.5%		Rate		Maturity		Face Amount		Value


CONSUMER DISCRETIONARY – 28.7%
American Axle & Manufacturing Holdings, Inc. (Auto Components)	(b)		9.250%		01/15/2017	$	800,000	$	898,000
American Tire Distributors, Inc. (Auto Components)	(b)		9.750%		06/01/2017		500,000		542,500
Cooper-Standard Automotive, Inc. (Auto Components)	(b)		8.500%		05/01/2018		775,000		825,375
Icahn Enterprises LP / Icahn Enterprises Finance Corp. (Auto Components)			8.000%		01/15/2018		775,000		778,875
Lear Corp. (Auto Components)			8.125%		03/15/2020		75,000		81,937
Lear Corp. (Auto Components)			7.875%		03/15/2018		475,000		510,625
Stoneridge, Inc. (Auto Components)	(b)		9.500%		10/15/2017		725,000		786,625
Tenneco, Inc. (Auto Components)	(b)		7.750%		08/15/2018		325,000		346,125
Tenneco, Inc. (Auto Components)	(b)		6.875%		12/15/2020		450,000		462,375
Tower Automotive Holdings USA LLC / TA Holdings Finance, Inc. (Auto Components)	(b)		10.625%		09/01/2017		564,000		609,120
TRW Automotive, Inc. (Auto Components)	(b)		8.875%		12/01/2017		425,000		478,125
Motors Liquidation Co. (Acquired 12/20/2006 through 04/02/2008, Cost $892,369) (Automobiles)	(a)(h)		7.400%		09/01/2025		1,100,000		374,000
Yonkers Racing Corp. (Automobiles)	(b)		11.375%		07/15/2016		495,000		547,594
Affinia Group Holdings, Inc. (Distributors)	(b)		10.750%		08/15/2016		495,000		551,925
Affinia Group Holdings, Inc. (Distributors)	(b)		9.000%		11/30/2014		50,000		51,625
Baker & Taylor, Inc. (Distributors)	(b)		11.500%		07/01/2013		400,000		329,000
McJunkin Red Man Corp. (Distributors)	(b)		9.500%		12/15/2016		1,125,000		1,068,750
Knowledge Learning Corp. (Diversified Consumer Svs.)	(b)		7.750%		02/01/2015		1,025,000		1,009,625
American Casino & Entertainment Properties LLC (Hotels, Restaurants & Leisure)			11.000%		06/15/2014		625,000		637,500
Ameristar Casinos, Inc. (Hotels, Restaurants & Leisure)			9.250%		06/01/2014		875,000		940,625
Blue Acquisition Sub, Inc. (Hotels, Restaurants & Leisure)	(b)		9.875%		10/15/2018		375,000		401,250
Caesars Entertainment Operating Co., Inc. (Hotels, Restaurants & Leisure)			11.250%		06/01/2017		1,450,000		1,638,500
Cedar Fair LP / Canada’s Wonderland Co. / Magnum Management Corp. (Hotels, Restaurants & Leisure)	(b)		9.125%		08/01/2018		975,000		1,054,219
DineEquity, Inc. (Hotels, Restaurants & Leisure)	(b)		9.500%		10/30/2018		1,275,000		1,357,875
Dunkin Finance Corp. (Hotels, Restaurants & Leisure)	(b)		9.625%		12/01/2018		1,075,000		1,091,125
Great Canadian Gaming Corp. (Hotels, Restaurants & Leisure)	(b)		7.250%		02/15/2015		1,325,000		1,361,437
Jacobs Entertainment, Inc. (Hotels, Restaurants & Leisure)			9.750%		06/15/2014		850,000		830,875
MGM Resorts International (Hotels, Restaurants & Leisure)			7.500%		06/01/2016		1,900,000		1,786,000
MGM Resorts International (Hotels, Restaurants & Leisure)			13.000%		11/15/2013		150,000		178,125
MGM Resorts International (Hotels, Restaurants & Leisure)			11.125%		11/15/2017		425,000		490,875
MGM Resorts International (Hotels, Restaurants & Leisure)			10.375%		05/15/2014		50,000		56,375
MGM Resorts International (Hotels, Restaurants & Leisure)			11.375%		03/01/2018		425,000		463,250
NPC International, Inc. (Hotels, Restaurants & Leisure)			9.500%		05/01/2014		1,225,000		1,258,687
Peninsula Gaming LLC (Hotels, Restaurants & Leisure)			10.750%		08/15/2017		575,000		622,437
Peninsula Gaming LLC (Hotels, Restaurants & Leisure)			8.375%		08/15/2015		600,000		633,750
Penn National Gaming, Inc. (Hotels, Restaurants & Leisure)			6.750%		03/01/2015		425,000		433,500
Penn National Gaming, Inc. (Hotels, Restaurants & Leisure)			8.750%		08/15/2019		225,000		249,187
San Pasqual Casino (Hotels, Restaurants & Leisure)	(b)		8.000%		09/15/2013		350,000		352,187
Seminole Hard Rock Entertainment, Inc. (Hotels, Restaurants & Leisure)	(b)(e)		2.802%		03/15/2014		1,075,000		989,000
Seminole Indian Tribe of Florida (Hotels, Restaurants & Leisure)	(b)		7.804%		10/01/2020		550,000		536,525
Seminole Indian Tribe of Florida (Hotels, Restaurants & Leisure)	(b)		7.750%		10/01/2017		150,000		155,625
Universal City Development Partners Ltd., Inc. (Hotels, Restaurants & Leisure)			8.875%		11/15/2015		800,000		854,000
Universal City Development Partners Ltd., Inc. (Hotels, Restaurants & Leisure)			10.875%		11/15/2016		525,000		576,187
Wynn Las Vegas LLC / Wynn Las Vegas Capital Corp. (Hotels, Restaurants & Leisure)			7.875%		11/01/2017		425,000		460,062
Wynn Las Vegas LLC / Wynn Las Vegas Capital Corp. (Hotels, Restaurants & Leisure)			7.750%		08/15/2020		525,000		570,937
Hillman Group, Inc. (Household Durables)			10.875%		06/01/2018		625,000		689,062
Jarden Corp. (Household Durables)			7.500%		05/01/2017		725,000		767,594
Jarden Corp. (Household Durables)			8.000%		05/01/2016		225,000		246,094
Libbey Glass, Inc. (Household Durables)	(b)		10.000%		02/15/2015		800,000		864,000
Norcraft Cos. LP / Norcraft Finance Corp. (Household Durables)			10.500%		12/15/2015		1,100,000		1,174,250
Norcraft Holdings LP / Norcraft Capital Corp. (Household Durables)	(f)		9.750%		09/01/2012		182,000		184,047
Sealy Mattress Co. (Household Durables)			8.250%		06/15/2014		1,425,000		1,464,187
Sealy Mattress Co. (Household Durables)	(b)		10.875%		04/15/2016		337,000		382,495
Simmons Bedding Co. (Household Durables)	(b)		11.250%		07/15/2015		1,200,000		1,302,000
Easton-Bell Sports, Inc. (Leisure Equip. & Products)			9.750%		12/01/2016		1,125,000		1,240,312
CCH II LLC / CCH II Capital Corp. (Media)			13.500%		11/30/2016		471,692		564,851
CCO Holdings, LLC / CCO Holdings Capital Corp. (Media)			8.125%		04/30/2020		75,000		79,312
CCO Holdings, LLC / CCO Holdings Capital Corp. (Media)			7.875%		04/30/2018		1,025,000		1,066,000
Cinemark U.S.A, Inc. (Media)			8.625%		06/15/2019		950,000		1,033,125
Citadel Broadcasting Corp. (Media)	(b)		7.750%		12/15/2018		150,000		156,000
DISH DBS Corp. (Media)			6.625%		10/01/2014		850,000		884,000
Entravision Communications Corp. (Media)	(b)		8.750%		08/01/2017		475,000		503,500
Fox Acquisition Sub LLC (Media)	(b)		13.375%		07/15/2016		875,000		962,500
Insight Communications Co., Inc. (Media)	(b)		9.375%		07/15/2018		675,000		722,250
Intelsat Intermediate Holding Co. S.A. (Media)	(f)		9.500%		02/01/2015		2,200,000		2,277,000
Intelsat Jackson Holdings S.A. (Media)			11.250%		06/15/2016		2,025,000		2,192,062
Intelsat Jackson Holdings S.A. (Media)	(b)		8.500%		11/01/2019		275,000		300,437
Interpublic Group of Cos., Inc. / The (Media)			10.000%		07/15/2017		700,000		822,500
Kabel Deutschland GmbH (Media)			10.625%		07/01/2014		185,000		192,015

(continued)


Ohio National Fund, Inc.	High Income Bond Portfolio (Continued)


Schedule of Investments	December 31, 2010


Corporate Bonds (Continued)		Rate		Maturity		Face Amount		Value


CONSUMER DISCRETIONARY (continued)
Lamar Media Corp. (Media)			6.625%		08/15/2015	$	950,000	$	969,000
Lamar Media Corp. (Media)			6.625%		08/15/2015		375,000		382,500
Lamar Media Corp. (Media)			9.750%		04/01/2014		175,000		202,125
MDC Partners, Inc. (Media)			11.000%		11/01/2016		950,000		1,052,125
MediMedia U.S.A, Inc. (Media)	(b)		11.375%		11/15/2014		1,225,000		1,059,625
Nexstar Broadcasting, Inc. / Mission Broadcasting, Inc. (Media)	(b)		8.875%		04/15/2017		550,000		587,125
Nexstar Broadcasting, Inc. (Media)			7.000%		01/15/2014		225,000		221,062
Nexstar Broadcasting, Inc. (Media)	(d)		7.000%		01/15/2014		432,266		422,540
Nielsen Finance LLC / Nielsen Finance Co. (Media)	(f)		0.000%		08/01/2016		650,000		685,750
Nielsen Finance LLC / Nielsen Finance Co. (Media)			11.500%		05/01/2016		900,000		1,044,000
Nielsen Finance LLC / Nielsen Finance Co. (Media)			11.625%		02/01/2014		450,000		523,125
Nielsen Finance LLC / Nielsen Finance Co. (Media)	(b)		7.750%		10/15/2018		400,000		416,000
ProQuest LLC Co. (Media)	(b)		9.000%		10/15/2018		750,000		776,250
Rainbow National Services LLC (Media)	(b)		10.375%		09/01/2014		639,000		666,157
Regal Cinemas Corp. (Media)			8.625%		07/15/2019		1,050,000		1,118,250
Sirius XM Radio, Inc. (Media)	(b)		8.750%		04/01/2015		1,000,000		1,087,500
Sitel LLC / Sitel Finance Corp. (Media)	(b)		11.500%		04/01/2018		1,075,000		892,250
Umbrella Acquisition, Inc. (Media)	(b)(d)		9.750%		03/15/2015		475,311		515,712
Univision Communications, Inc. (Media)	(b)		12.000%		07/01/2014		75,000		82,500
Virgin Media Finance PLC (Media)			9.500%		08/15/2016		1,025,000		1,163,375
Visant Corp. (Media)	(b)		10.000%		10/01/2017		1,775,000		1,890,375
XM Satellite Radio, Inc. (Media)	(b)		13.000%		08/01/2014		575,000		687,125
XM Satellite Radio, Inc. (Media)	(b)		7.625%		11/01/2018		475,000		492,812
Dollar General Corp. (Multiline Retail)	(d)		11.875%		07/15/2017		635,000		739,775
Macy’s Retail Holdings, Inc. (Multiline Retail)			6.650%		07/15/2024		175,000		174,125
Macy’s Retail Holdings, Inc. (Multiline Retail)			7.000%		02/15/2028		100,000		99,750
Macy’s Retail Holdings, Inc. (Multiline Retail)			6.900%		01/15/2032		50,000		50,125
QVC, Inc. (Multiline Retail)	(b)		7.500%		10/01/2019		1,025,000		1,083,937
QVC, Inc. (Multiline Retail)	(b)		7.125%		04/15/2017		200,000		210,500
Toys “R” Us Property Co. I LLC (Multiline Retail)			10.750%		07/15/2017		1,275,000		1,459,875
Giraffe Acquisition Corp. (Specialty Retail)	(b)		9.125%		12/01/2018		800,000		838,000
Limited Brands, Inc. (Specialty Retail)			8.500%		06/15/2019		525,000		602,437
Nebraska Book Co., Inc. (Specialty Retail)			8.625%		03/15/2012		600,000		528,000
Nebraska Book Co., Inc. (Specialty Retail)			10.000%		12/01/2011		525,000		525,000
Penske Automotive Group, Inc. (Specialty Retail)			7.750%		12/15/2016		1,275,000		1,306,875
Petco Animal Supplies, Inc. (Specialty Retail)	(b)		9.250%		12/01/2018		1,075,000		1,138,156
Sally Holdings LLC / Sally Capital Inc. (Specialty Retail)			10.500%		11/15/2016		1,250,000		1,384,375

									77,380,122

CONSUMER STAPLES – 4.8%
General Nutrition Centers, Inc. (Food & Staples Retailing)	(d)(e)		5.750%		03/15/2014		1,350,000		1,343,250
General Nutrition Centers, Inc. (Food & Staples Retailing)			10.750%		03/15/2015		100,000		102,000
B&G Foods, Inc. (Food Products)			7.625%		01/15/2018		525,000		553,875
Darling International, Inc. (Food Products)	(b)		8.500%		12/15/2018		125,000		130,937
Dean Foods Co. (Food Products)			7.000%		06/01/2016		1,400,000		1,291,500
Dean Foods Co. (Food Products)	(b)		9.750%		12/15/2018		700,000		708,750
Michael Foods, Inc. (Food Products)	(b)		9.750%		07/15/2018		950,000		1,042,625
Pinnacle Foods Finance LLC / Pinnacle Foods Finance Corp. (Food Products)			9.250%		04/01/2015		875,000		915,469
Pinnacle Foods Finance LLC / Pinnacle Foods Finance Corp. (Food Products)			10.625%		04/01/2017		425,000		456,875
Pinnacle Foods Finance LLC / Pinnacle Foods Finance Corp. (Food Products)			8.250%		09/01/2017		500,000		513,750
Reddy Ice Corp. (Food Products)			11.250%		03/15/2015		425,000		436,687
Reddy Ice Corp. (Food Products)			13.250%		11/01/2015		504,000		433,440
Smithfield Foods, Inc. (Food Products)			7.750%		05/15/2013		350,000		374,719
Smithfield Foods, Inc. (Food Products)			7.750%		07/01/2017		725,000		757,625
Smithfield Foods, Inc. (Food Products)	(b)		10.000%		07/15/2014		525,000		607,687
TreeHouse Foods, Inc. (Food Products)			7.750%		03/01/2018		325,000		353,031
Central Garden and Pet Co. (Household Products)			8.250%		03/01/2018		800,000		814,000
Spectrum Brands Holdings, Inc. (Household Products)	(b)		9.500%		06/15/2018		300,000		330,000
Spectrum Brands Holdings, Inc. (Household Products)	(d)		12.000%		08/28/2019		1,221,650		1,369,775
Prestige Brands, Inc. (Personal Products)	(b)		8.250%		04/01/2018		400,000		416,000

									12,951,995

ENERGY – 8.4%
Basic Energy Services, Inc. (Energy Equip. & Svs.)			7.125%		04/15/2016		850,000		828,750
Cie Generale de Geophysique-Veritas (Energy Equip. & Svs.)			7.750%		05/15/2017		1,100,000		1,133,000
Cie Generale de Geophysique-Veritas (Energy Equip. & Svs.)			9.500%		05/15/2016		400,000		438,000
Complete Production Services, Inc. (Energy Equip. & Svs.)			8.000%		12/15/2016		600,000		624,000
Crosstex Energy LP / Crosstex Energy Finance Corp. (Energy Equip. & Svs.)			8.875%		02/15/2018		1,275,000		1,372,219
Frac Tech Services LLC / Frac Tech Finance, Inc. (Energy Equip. & Svs.)	(b)		7.125%		11/15/2018		125,000		127,187

(continued)


Ohio National Fund, Inc.	High Income Bond Portfolio (Continued)


Schedule of Investments	December 31, 2010


Corporate Bonds (Continued)		Rate		Maturity		Face Amount		Value


ENERGY (continued)
PHI, Inc. (Energy Equip. & Svs.)	(b)		8.625%		10/15/2018	$	775,000	$	798,250
Aquilex Holdings LLC / Aquilex Finance Corp. (Oil, Gas & Consumable Fuels)			11.125%		12/15/2016		575,000		585,062
ATP Oil & Gas Corp. (Oil, Gas & Consumable Fuels)	(b)		11.875%		05/01/2015		950,000		902,500
Berry Petroleum Co. (Oil, Gas & Consumable Fuels)			6.750%		11/01/2020		150,000		151,125
Chesapeake Energy Corp. (Oil, Gas & Consumable Fuels)			6.875%		11/15/2020		425,000		432,437
Chesapeake Energy Corp. (Oil, Gas & Consumable Fuels)			9.500%		02/15/2015		600,000		679,500
Chesapeake Energy Corp. (Oil, Gas & Consumable Fuels)			6.625%		08/15/2020		250,000		247,500
Chesapeake Energy Corp. (Oil, Gas & Consumable Fuels)			6.875%		08/15/2018		325,000		331,500
Coffeyville Resources LLC / Coffeyville Finance, Inc. (Oil, Gas & Consumable Fuels)	(b)		10.875%		04/01/2017		825,000		891,000
Concho Resources, Inc. (Oil, Gas & Consumable Fuels)			7.000%		01/15/2021		525,000		539,437
Denbury Resources, Inc. (Oil, Gas & Consumable Fuels)			8.250%		02/15/2020		273,000		297,570
Denbury Resources, Inc. (Oil, Gas & Consumable Fuels)			9.750%		03/01/2016		125,000		140,000
Energy Transfer Equity LP (Oil, Gas & Consumable Fuels)			7.500%		10/15/2020		850,000		879,750
EXCO Resources, Inc. (Oil, Gas & Consumable Fuels)			7.500%		09/15/2018		825,000		812,625
Hilcorp Energy I LP / Hilcorp Finance Co. (Oil, Gas & Consumable Fuels)	(b)		7.750%		11/01/2015		400,000		415,000
Holly Energy Partners LP / Holly Energy Finance Corp. (Oil, Gas & Consumable Fuels)			6.250%		03/01/2015		650,000		646,750
Inergy LP / Inergy Finance Corp. (Oil, Gas & Consumable Fuels)			6.875%		12/15/2014		625,000		637,500
Inergy LP / Inergy Finance Corp. (Oil, Gas & Consumable Fuels)			8.750%		03/01/2015		425,000		454,750
Inergy LP / Inergy Finance Corp. (Oil, Gas & Consumable Fuels)	(b)		7.000%		10/01/2018		250,000		253,125
Linn Energy LLC / Linn Energy Finance Corp. (Oil, Gas & Consumable Fuels)	(b)		8.625%		04/15/2020		675,000		730,687
Linn Energy LLC / Linn Energy Finance Corp. (Oil, Gas & Consumable Fuels)			11.750%		05/15/2017		200,000		230,000
Linn Energy LLC / Linn Energy Finance Corp. (Oil, Gas & Consumable Fuels)	(b)		7.750%		02/01/2021		500,000		515,000
MarkWest Energy Partners LP / MarkWest Energy Finance Corp. (Oil, Gas & Consumable Fuels)			8.750%		04/15/2018		1,350,000		1,468,125
Niska Gas Storage US LLC / Niska Gas Storage Canada ULC (Oil, Gas & Consumable Fuels)	(b)		8.875%		03/15/2018		1,125,000		1,209,375
Petrohawk Energy Corp. (Oil, Gas & Consumable Fuels)			7.250%		08/15/2018		1,025,000		1,040,375
Pioneer Natural Resources Co. (Oil, Gas & Consumable Fuels)			6.875%		05/01/2018		300,000		320,431
Plains Exploration & Production Co. (Oil, Gas & Consumable Fuels)			7.000%		03/15/2017		125,000		129,062
Plains Exploration & Production Co. (Oil, Gas & Consumable Fuels)			7.750%		06/15/2015		600,000		628,500
Range Resources Corp. (Oil, Gas & Consumable Fuels)			6.375%		03/15/2015		100,000		102,500
Range Resources Corp. (Oil, Gas & Consumable Fuels)			7.500%		05/15/2016		150,000		156,375
Regency Energy Partners LP / Regency Energy Finance Corp. (Oil, Gas & Consumable Fuels)			6.875%		12/01/2018		275,000		279,812
Regency Energy Partners LP / Regency Energy Finance Corp. (Oil, Gas & Consumable Fuels)			9.375%		06/01/2016		600,000		661,500
SandRidge Energy, Inc. (Oil, Gas & Consumable Fuels)	(b)		8.000%		06/01/2018		250,000		255,000
SandRidge Energy, Inc. (Oil, Gas & Consumable Fuels)	(b)		9.875%		05/15/2016		100,000		106,250
Southern Star Central Corp. (Oil, Gas & Consumable Fuels)			6.750%		03/01/2016		225,000		228,375

									22,679,904

FINANCIALS – 9.7%
Nuveen Investments, Inc. (Capital Markets)			10.500%		11/15/2015		1,900,000		1,952,250
Pinafore LLC (Capital Markets)	(b)		9.000%		10/01/2018		625,000		678,125
CIT Group, Inc. (Commercial Banks)			7.000%		05/01/2017		5,500,000		5,527,500
Ally Financial, Inc. (Consumer Finance)			7.000%		02/01/2012		625,000		653,125
Ally Financial, Inc. (Consumer Finance)			6.875%		09/15/2011		800,000		826,000
Ally Financial, Inc. (Consumer Finance)			8.000%		11/01/2031		260,000		281,450
Ally Financial, Inc. (Consumer Finance)	(b)		7.500%		09/15/2020		250,000		263,437
Ally Financial, Inc. (Consumer Finance)	(b)		6.250%		12/01/2017		300,000		300,375
Ally Financial, Inc. (Consumer Finance)			8.300%		02/12/2015		2,425,000		2,673,562
Ally Financial, Inc. (Consumer Finance)			8.000%		03/15/2020		375,000		410,625
Ford Motor Credit Co. LLC (Consumer Finance)			8.000%		12/15/2016		3,425,000		3,831,873
Ford Motor Credit Co. LLC (Consumer Finance)			8.000%		06/01/2014		650,000		716,646
Ford Motor Credit Co. LLC (Consumer Finance)			7.500%		08/01/2012		400,000		425,442
Ford Motor Credit Co. LLC (Consumer Finance)			8.125%		01/15/2020		150,000		174,799
Express LLC / Express Finance Corp. (Diversified Financial Svs.)			8.750%		03/01/2018		550,000		587,125
Interactive Data Corp. (Diversified Financial Svs.)	(b)		10.250%		08/01/2018		725,000		797,500
International Lease Finance Corp. (Diversified Financial Svs.)	(b)		8.750%		03/15/2017		2,425,000		2,606,875
International Lease Finance Corp. (Diversified Financial Svs.)	(b)		8.625%		09/15/2015		450,000		484,875
International Lease Finance Corp. (Diversified Financial Svs.)			8.875%		09/01/2017		250,000		270,937
International Lease Finance Corp. (Diversified Financial Svs.)			8.250%		12/15/2020		275,000		283,594
Trans Union LLC / TransUnion Financing Corp. (Diversified Financial Svs.)	(b)		11.375%		06/15/2018		350,000		400,750
Reliance Intermediate Holdings LP (Insurance)	(b)		9.500%		12/15/2019		550,000		580,937
Host Hotels & Resorts LP (Real Estate Investment Trusts)			7.125%		11/01/2013		112,000		114,240
Host Hotels & Resorts LP (Real Estate Investment Trusts)			6.375%		03/15/2015		175,000		178,500
Host Hotels & Resorts LP (Real Estate Investment Trusts)			6.750%		06/01/2016		100,000		102,625
Host Hotels & Resorts LP (Real Estate Investment Trusts)			6.875%		11/01/2014		250,000		258,750
Ventas Realty LP l Corp. (Real Estate Investment Trusts)			6.500%		06/01/2016		325,000		338,367
Ventas Realty LP l Corp. (Real Estate Investment Trusts)			6.750%		04/01/2017		375,000		393,423
Ventas Realty LP l Corp. (Real Estate Investment Trusts)			6.500%		06/01/2016		225,000		234,254

									26,347,961

(continued)


Ohio National Fund, Inc.	High Income Bond Portfolio (Continued)


Schedule of Investments	December 31, 2010


Corporate Bonds (Continued)		Rate		Maturity		Face Amount		Value


HEALTH CARE – 9.0%
Alere, Inc. (Health Care Equip. & Supplies)			7.875%		02/01/2016	$	525,000	$	528,937
Alere, Inc. (Health Care Equip. & Supplies)			9.000%		05/15/2016		925,000		957,375
Bausch & Lomb, Inc. (Health Care Equip. & Supplies)			9.875%		11/01/2015		950,000		1,021,250
Biomet, Inc. (Health Care Equip. & Supplies)			11.625%		10/15/2017		2,425,000		2,691,750
VWR Funding, Inc. (Health Care Equip. & Supplies)	(d)		10.250%		07/15/2015		1,804,843		1,904,109
CRC Health Corp. (Health Care Providers & Svs.)			10.750%		02/01/2016		550,000		554,125
Fresenius US Finance II, Inc. (Health Care Providers & Svs.)	(b)		9.000%		07/15/2015		325,000		373,750
HCA Holdings, Inc. (Health Care Providers & Svs.)	(b)		7.750%		05/15/2021		400,000		401,000
HCA, Inc. (Health Care Providers & Svs.)			7.500%		11/06/2033		225,000		208,125
HCA, Inc. (Health Care Providers & Svs.)			9.250%		11/15/2016		550,000		588,156
HCA, Inc. (Health Care Providers & Svs.)	(d)		9.625%		11/15/2016		4,251,516		4,565,065
HCA, Inc. (Health Care Providers & Svs.)			7.875%		02/15/2020		275,000		295,625
HCA, Inc. (Health Care Providers & Svs.)			9.875%		02/15/2017		225,000		248,625
Multiplan, Inc. (Health Care Providers & Svs.)	(b)		9.875%		09/01/2018		1,275,000		1,357,875
National Mentor Holdings, Inc. (Health Care Providers & Svs.)			11.250%		07/01/2014		825,000		841,500
Omnicare, Inc. (Health Care Providers & Svs.)			6.875%		12/15/2015		775,000		792,438
Omnicare, Inc. (Health Care Providers & Svs.)			7.750%		06/01/2020		475,000		491,625
United Surgical Partners International, Inc. (Health Care Providers & Svs.)	(d)		9.250%		05/01/2017		1,250,000		1,306,250
Universal Hospital Services, Inc. (Health Care Providers & Svs.)	(d)		8.500%		06/01/2015		1,150,000		1,187,375
Universal Hospital Services, Inc. (Health Care Providers & Svs.)	(e)		3.834%		06/01/2015		150,000		138,000
Vanguard Health Holding Co. II LLC / Vanguard Holding Co. II Inc. (Health Care Providers & Svs.)			8.000%		02/01/2018		1,450,000		1,493,500
Yankee Acquisition Corp. (Health Care Providers & Svs.)			8.500%		02/15/2015		200,000		209,000
Yankee Acquisition Corp. (Health Care Providers & Svs.)			9.750%		02/15/2017		1,725,000		1,806,938
Bio-Rad Laboratories, Inc. (Life Sciences Tools & Svs.)			8.000%		09/15/2016		300,000		327,000

									24,289,393

INDUSTRIALS – 11.8%
Alliant Techsystems, Inc. (Aerospace & Defense)			6.750%		04/01/2016		500,000		520,625
Hawker Beechcraft Acquisition Co. LLC / Hawker Beechcraft Notes Co. (Aerospace & Defense)			9.750%		04/01/2017		200,000		114,500
L-3 Communications Corp. (Aerospace & Defense)			6.375%		10/15/2015		225,000		232,875
Sequa Corp. (Aerospace & Defense)	(b)		11.750%		12/01/2015		300,000		322,500
Sequa Corp. (Aerospace & Defense)	(b)		13.500%		12/01/2015		183,054		198,842
TransDigm, Inc. (Aerospace & Defense)	(b)		7.750%		12/15/2018		1,475,000		1,534,000
CEVA Group PLC (Air Freight & Logistics)	(b)		11.625%		10/01/2016		300,000		330,750
CHC Helicopter SA (Air Freight & Logistics)	(b)		9.250%		10/15/2020		625,000		650,000
Associated Materials LLC (Building Products)	(b)		9.125%		11/01/2017		100,000		104,750
Building Materials Corp. of America (Building Products)	(b)		7.500%		03/15/2020		225,000		230,063
Nortek, Inc. (Building Products)			11.000%		12/01/2013		725,000		775,750
Nortek, Inc. (Building Products)	(b)		10.000%		12/01/2018		425,000		440,938
Ply Gem Industries, Inc. (Building Products)			11.750%		06/15/2013		600,000		645,000
RBS Global, Inc. / Rexnord LLC (Building Products)			8.500%		05/01/2018		1,250,000		1,334,375
Thermon Industries, Inc. (Building Products)	(b)		9.500%		05/01/2017		575,000		615,250
Altegrity, Inc. (Commercial Svs. & Supplies)	(b)		11.750%		05/01/2016		625,000		641,406
Altegrity, Inc. (Commercial Svs. & Supplies)	(b)		10.500%		11/01/2015		425,000		438,281
ARAMARK Corp. (Commercial Svs. & Supplies)			8.500%		02/01/2015		900,000		945,000
ARAMARK Corp. (Commercial Svs. & Supplies)	(e)		3.787%		02/01/2015		250,000		245,625
Diversey Holdings, Inc. (Commercial Svs. & Supplies)			10.500%		05/15/2020		975,000		1,126,125
Diversey, Inc. (Commercial Svs. & Supplies)			8.250%		11/15/2019		350,000		381,500
Garda World Security Corp. (Commercial Svs. & Supplies)	(b)		9.750%		03/15/2017		950,000		1,023,625
Global Cash Access, Inc. / Global Cash Finance Corp. (Commercial Svs. & Supplies)			8.750%		03/15/2012		300,000		303,000
KAR Auction Services, Inc. (Commercial Svs. & Supplies)			8.750%		05/01/2014		1,000,000		1,045,000
KAR Auction Services, Inc. (Commercial Svs. & Supplies)			10.000%		05/01/2015		7,000		7,455
Maxim Crane Works LP (Commercial Svs. & Supplies)	(b)		12.250%		04/15/2015		625,000		610,156
RSC Equipment Rental, Inc. / RSC Holdings III LLC (Commercial Svs. & Supplies)			9.500%		12/01/2014		375,000		395,625
RSC Equipment Rental, Inc. / RSC Holdings III LLC (Commercial Svs. & Supplies)	(b)		10.000%		07/15/2017		175,000		197,750
RSC Equipment Rental, Inc. / RSC Holdings III LLC (Commercial Svs. & Supplies)			10.250%		11/15/2019		475,000		532,000
SGS International, Inc. (Commercial Svs. & Supplies)			12.000%		12/15/2013		900,000		931,500
United Rentals North America, Inc. (Commercial Svs. & Supplies)			8.375%		09/15/2020		925,000		945,813
West Corp. (Commercial Svs. & Supplies)			11.000%		10/15/2016		1,325,000		1,444,250
West Corp. (Commercial Svs. & Supplies)	(b)		8.625%		10/01/2018		175,000		186,375
West Corp. (Commercial Svs. & Supplies)	(b)		7.875%		01/15/2019		800,000		816,000
Atkore International, Inc. (Electrical Equip.)	(b)		9.875%		01/01/2018		275,000		287,375
Baldor Electric Co. (Electrical Equip.)			8.625%		02/15/2017		875,000		984,375
Belden, Inc. (Electrical Equip.)			7.000%		03/15/2017		450,000		457,875
Belden, Inc. (Electrical Equip.)			9.250%		06/15/2019		200,000		220,250
General Cable Corp. (Electrical Equip.)			7.125%		04/01/2017		600,000		621,000
International Wire Group, Inc. (Electrical Equip.)	(b)		9.750%		04/15/2015		625,000		656,250
Sensus USA, Inc. (Electrical Equip.)			8.625%		12/15/2013		525,000		535,500
Viasystems, Inc. (Electrical Equip.)	(b)		12.000%		01/15/2015		525,000		589,313

(continued)


Ohio National Fund, Inc.	High Income Bond Portfolio (Continued)


Schedule of Investments	December 31, 2010


Corporate Bonds (Continued)		Rate		Maturity		Face Amount		Value


INDUSTRIALS (continued)
Amsted Industries, Inc. (Machinery)	(b)		8.125%		03/15/2018	$	200,000	$	213,250
ArvinMeritor, Inc. (Machinery)			10.625%		03/15/2018		775,000		875,750
Case New Holland, Inc. (Machinery)	(b)		7.875%		12/01/2017		225,000		246,938
Mueller Water Products, Inc. (Machinery)			7.375%		06/01/2017		525,000		509,250
Mueller Water Products, Inc. (Machinery)			8.750%		09/01/2020		600,000		666,000
Navistar International Corp. (Machinery)			8.250%		11/01/2021		400,000		432,000
Stena AB (Marine)			7.000%		12/01/2016		175,000		172,375
Avis Budget Car Rental LLC / Avis Budget Finance, Inc. (Road & Rail)			9.625%		03/15/2018		925,000		1,001,312
Avis Budget Car Rental LLC / Avis Budget Finance, Inc. (Road & Rail)	(b)		8.250%		01/15/2019		575,000		583,625
Hertz Corp. / The (Road & Rail)			8.875%		01/01/2014		800,000		822,000
Hertz Corp. / The (Road & Rail)	(b)		7.500%		10/15/2018		100,000		104,250
Hertz Corp. / The (Road & Rail)	(b)		7.375%		01/15/2021		475,000		482,125
Kansas City Southern Railway (Road & Rail)			8.000%		06/01/2015		250,000		270,000
Interline Brands, Inc. (Trading Companies & Distributors)			8.125%		06/15/2014		400,000		416,480
Interline Brands, Inc. (Trading Companies & Distributors)	(b)		7.000%		11/15/2018		250,000		255,000

									31,668,997

INFORMATION TECHNOLOGY – 8.1%
Seagate HDD Cayman (Computers & Peripherals)	(b)		6.875%		05/01/2020		375,000		360,000
Seagate HDD Cayman (Computers & Peripherals)	(b)		7.750%		12/15/2018		400,000		407,000
Seagate Technology HDD Holdings (Computers & Peripherals)			6.800%		10/01/2016		575,000		580,750
Cleaver-Brooks, Inc. (Electronic Equip., Instr. & Comp.)	(b)		12.250%		05/01/2016		775,000		826,344
Kemet Corp. (Electronic Equip., Instr. & Comp.)	(b)		10.500%		05/01/2018		700,000		756,000
Bankrate, Inc. (Internet Software & Svs.)	(b)		11.750%		07/15/2015		500,000		557,500
Terremark Worldwide, Inc. (Internet Software & Svs.)			12.000%		06/15/2017		875,000		1,006,250
Ceridian Corp. (IT Svs.)			11.250%		11/15/2015		575,000		572,125
Compucom Systems, Inc. (IT Svs.)	(b)		12.500%		10/01/2015		1,125,000		1,215,000
Fidelity National Information Services, Inc. (IT Svs.)	(b)		7.625%		07/15/2017		1,025,000		1,083,938
Fidelity National Information Services, Inc. (IT Svs.)	(b)		7.875%		07/15/2020		125,000		132,813
iPayment, Inc. (IT Svs.)			9.750%		05/15/2014		350,000		330,750
Lender Processing Services, Inc. (IT Svs.)			8.125%		07/01/2016		700,000		721,000
Mantech International Corp. (IT Svs.)			7.250%		04/15/2018		200,000		210,000
Stream Global Services, Inc. (IT Svs.)			11.250%		10/01/2014		775,000		784,688
SunGard Data Systems, Inc. (IT Svs.)			10.250%		08/15/2015		1,250,000		1,317,188
SunGard Data Systems, Inc. (IT Svs.)			10.625%		05/15/2015		975,000		1,079,813
SunGard Data Systems, Inc. (IT Svs.)	(b)		7.375%		11/15/2018		175,000		176,750
SunGard Data Systems, Inc. (IT Svs.)	(b)		7.625%		11/15/2020		175,000		178,063
Unisys Corp. (IT Svs.)			12.500%		01/15/2016		225,000		250,875
Advanced Micro Devices, Inc. (Semiconductors & Equip.)	(b)		7.750%		08/01/2020		175,000		182,438
Advanced Micro Devices, Inc. (Semiconductors & Equip.)			8.125%		12/15/2017		725,000		772,125
Freescale Semiconductor, Inc. (Semiconductors & Equip.)	(b)		9.250%		04/15/2018		725,000		801,125
Freescale Semiconductor, Inc. (Semiconductors & Equip.)	(b)		10.750%		08/01/2020		1,125,000		1,231,875
MagnaChip Semiconductor SA / MagnaChip Semiconductor Finance Co. (Semiconductors & Equip.)			10.500%		04/15/2018		925,000		980,500
Spansion LLC (Semiconductors & Equip.)	(b)		7.875%		11/15/2017		700,000		696,500
Activant Solutions, Inc. (Software)			9.500%		05/01/2016		725,000		732,250
Allen Systems Group, Inc. (Software)	(b)		10.500%		11/15/2016		725,000		734,063
Aspect Software, Inc. (Software)	(b)		10.625%		05/15/2017		950,000		979,688
Serena Software, Inc. (Software)			10.375%		03/15/2016		850,000		873,375
SS&C Technologies, Inc. (Software)			11.750%		12/01/2013		325,000		337,188
SSI Investments II / SSI Co-Issuer LLC (Software)			11.125%		06/01/2018		975,000		1,062,750

									21,930,724

MATERIALS – 9.5%
Ashland, Inc. (Chemicals)			9.125%		06/01/2017		600,000		694,500
Celanese U.S. Holdings LLC (Chemicals)	(b)		6.625%		10/15/2018		150,000		155,250
CF Industries, Inc. (Chemicals)			6.875%		05/01/2018		75,000		80,438
Ferro Corp. (Chemicals)			7.875%		08/15/2018		500,000		530,000
Hexion U.S. Finance Corp. / Hexion Nova Scotia Finance ULC (Chemicals)			8.875%		02/01/2018		1,150,000		1,234,813
Hexion U.S. Finance Corp. / Hexion Nova Scotia Finance ULC (Chemicals)	(b)		9.000%		11/15/2020		250,000		265,000
Huntsman International LLC (Chemicals)			5.500%		06/30/2016		725,000		705,063
Huntsman International LLC (Chemicals)			8.625%		03/15/2020		550,000		600,875
Huntsman International LLC (Chemicals)	(b)		8.625%		03/15/2021		525,000		569,625
Koppers, Inc. (Chemicals)			7.875%		12/01/2019		575,000		619,563
Momentive Performance Materials, Inc. (Chemicals)	(b)		9.000%		01/15/2021		675,000		713,813
Nalco Co. (Chemicals)			8.250%		05/15/2017		575,000		626,031
Nalco Co. (Chemicals)	(b)		6.625%		01/15/2019		250,000		256,875
Nalco Finance Holdings, Inc. (Chemicals)	(f)		9.000%		02/01/2014		66,000		67,650
Omnova Solutions, Inc. (Chemicals)	(b)		7.875%		11/01/2018		250,000		253,125

(continued)


Ohio National Fund, Inc.	High Income Bond Portfolio (Continued)


Schedule of Investments	December 31, 2010


Corporate Bonds (Continued)		Rate		Maturity		Face Amount		Value


MATERIALS (continued)
OXEA Finance (Chemicals)	(b)		9.500%		07/15/2017	$	700,000	$	762,125
Scotts Miracle-Gro Co. / The (Chemicals)	(b)		6.625%		12/15/2020		550,000		552,750
Solutia, Inc. (Chemicals)			8.750%		11/01/2017		1,025,000		1,127,500
Solutia, Inc. (Chemicals)			7.875%		03/15/2020		150,000		161,250
Union Carbide Corp. (Chemicals)			7.875%		04/01/2023		100,000		108,402
Union Carbide Corp. (Chemicals)			7.500%		06/01/2025		50,000		51,973
Vertellus Specialties, Inc. (Chemicals)	(b)		9.375%		10/01/2015		375,000		398,438
Ardagh Packaging Finance Plc (Containers & Packaging)	(b)		9.125%		10/15/2020		1,000,000		1,045,000
Berry Plastics Corp. (Containers & Packaging)			9.500%		05/15/2018		675,000		680,063
BWAY Holding Co. (Containers & Packaging)	(b)		10.000%		06/15/2018		900,000		975,375
BWAY Parent Co., Inc. (Containers & Packaging)	(b)(d)		10.125%		11/01/2015		525,000		532,875
Cascades, Inc. (Containers & Packaging)			7.875%		01/15/2020		400,000		420,000
Crown Americas LLC / Crown Americas Capital Corp. II (Containers & Packaging)			7.625%		05/15/2017		75,000		80,625
Crown Americas LLC / Crown Americas Capital Corp. (Containers & Packaging)			7.750%		11/15/2015		1,050,000		1,097,250
Graham Packaging Co. LP / GPC Capital Corp. I (Containers & Packaging)			8.250%		10/01/2018		425,000		448,375
Graham Packaging Co. LP / GPC Capital Corp. I (Containers & Packaging)			8.250%		01/01/2017		1,200,000		1,254,000
Graphic Packaging International, Inc. (Containers & Packaging)			9.500%		08/15/2013		460,000		471,500
Graphic Packaging International, Inc. (Containers & Packaging)			9.500%		06/15/2017		950,000		1,041,438
Greif, Inc. (Containers & Packaging)			7.750%		08/01/2019		475,000		522,500
Owens-Brockway Glass Container, Inc. (Containers & Packaging)			7.375%		05/15/2016		200,000		213,500
Reynolds Group Issuer, Inc. / Reynolds Group Issuer LLC (Containers & Packaging)	(b)		9.000%		04/15/2019		550,000		572,688
Reynolds Group Issuer, Inc. / Reynolds Group Issuer LLC (Containers & Packaging)	(b)		7.125%		04/15/2019		175,000		178,938
Reynolds Group Issuer, Inc. / Reynolds Group Issuer LLC (Containers & Packaging)	(b)		7.750%		10/15/2016		1,100,000		1,168,750
Reynolds Group Issuer, Inc. / Reynolds Group Issuer LLC (Containers & Packaging)	(b)		8.500%		05/15/2018		775,000		782,750
Rock-Tenn Co. (Containers & Packaging)			9.250%		03/15/2016		450,000		492,750
Compass Minerals International, Inc. (Metals & Mining)			8.000%		06/01/2019		275,000		301,125
Aleris International, Inc. (Acquired 12/13/2006 through 05/30/2007, Cost $256,970) (Metals & Mining)	(a)(h)(i)		10.000%		12/15/2016		250,000		628
Aleris International, Inc. (Acquired 12/13/2006, Cost $175,000) (Metals & Mining)	(a)(h)(i)		9.000%		12/15/2014		175,000		788
Boise Paper Holdings LLC Co. (Paper & Forest Products)			9.000%		11/01/2017		875,000		960,313
Clearwater Paper Corp. (Paper & Forest Products)			10.625%		06/15/2016		125,000		143,438
Clearwater Paper Corp. (Paper & Forest Products)	(b)		7.125%		11/01/2018		125,000		129,688
Georgia-Pacific LLC (Paper & Forest Products)	(b)		8.250%		05/01/2016		900,000		1,020,375
NewPage Corp. (Paper & Forest Products)			11.375%		12/31/2014		225,000		212,625
PE Paper Escrow GmbH (Paper & Forest Products)	(b)		12.000%		08/01/2014		375,000		434,498

									25,716,914

TELECOMMUNICATION SERVICES – 5.0%
Clear Channel Worldwide Holdings, Inc. (Diversified Telecom. Svs.)			9.250%		12/15/2017		925,000		1,017,500
Clear Channel Worldwide Holdings, Inc. (Diversified Telecom. Svs.)			9.250%		12/15/2017		325,000		355,063
GXS Worldwide, Inc. (Diversified Telecom. Svs.)			9.750%		06/15/2015		1,050,000		1,042,125
tw telecom holdings, Inc. (Diversified Telecom. Svs.)			8.000%		03/01/2018		375,000		400,313
Windstream Corp. (Diversified Telecom. Svs.)			8.125%		09/01/2018		950,000		1,002,250
Buccaneer Merger Sub, Inc. (Wireless Telecom. Svs.)	(b)		9.125%		01/15/2019		100,000		103,750
Digicel Group Ltd. (Acquired 01/09/2009 through 07/15/2009, Cost $339,432) (Wireless Telecom. Svs.)	(b)(g)(i)		8.875%		01/15/2015		425,000		431,375
Digicel Group Ltd. (Acquired 02/22/2007 through 07/01/2010, Cost $966,555) (Wireless Telecom. Svs.)	(b)(g)(i)		9.125%		01/15/2015		987,000		1,004,273
Digicel Ltd. (Acquired 03/06/2009 through 01/05/2010, Cost $654,007) (Wireless Telecom. Svs.)	(b)(g)(i)		12.000%		04/01/2014		650,000		758,875
Digicel Ltd. (Acquired 11/23/2009 through 06/25/2010, Cost $413,931) (Wireless Telecom. Svs.)	(b)(g)(i)		8.250%		09/01/2017		425,000		437,750
MetroPCS Wireless, Inc. (Wireless Telecom. Svs.)			7.875%		09/01/2018		800,000		834,000
MetroPCS Wireless, Inc. (Wireless Telecom. Svs.)			6.625%		11/15/2020		450,000		429,750
Nextel Communications, Inc. (Wireless Telecom. Svs.)			7.375%		08/01/2015		1,200,000		1,207,500
Sprint Capital Corp. (Wireless Telecom. Svs.)			6.900%		05/01/2019		3,450,000		3,424,125
Sprint Nextel Corp. (Wireless Telecom. Svs.)			6.000%		12/01/2016		725,000		704,156
Sprint Nextel Corp. (Wireless Telecom. Svs.)			8.375%		08/15/2017		325,000		350,188

									13,502,993

UTILITIES – 2.5%
Edison Mission Energy (Electric Utilities)			7.750%		06/15/2016		250,000		216,250
Edison Mission Energy (Electric Utilities)			7.000%		05/15/2017		500,000		398,750
Energy Future Intermediate Holding Co. LLC, Inc. (Electric Utilities)			10.000%		12/01/2020		500,000		518,137
NV Energy, Inc. (Electric Utilities)			6.750%		08/15/2017		425,000		440,700
Texas Competitive Electric Holdings Co. LLC (Electric Utilities)			10.250%		11/01/2015		850,000		484,500
AmeriGas Partners LP (Gas Utilities)			7.250%		05/20/2015		425,000		438,813
AmeriGas Partners LP / AmeriGas Eagle Finance Corp. (Gas Utilities)			7.125%		05/20/2016		400,000		416,000
Ferrellgas LP / Ferrellgas Finance Corp. (Gas Utilities)	(b)		6.500%		05/01/2021		250,000		245,000
Suburban Propane Partners LP / Suburban Energy Finance Corp. (Gas Utilities)			7.375%		03/15/2020		200,000		214,500
Calpine Corp. (Ind. Power Prod. & Energy Traders)	(b)		7.500%		02/15/2021		800,000		792,000

(continued)


Ohio National Fund, Inc.	High Income Bond Portfolio (Continued)


Schedule of Investments	December 31, 2010


Corporate Bonds (Continued)		Rate		Maturity		Face Amount		Value


UTILITIES (continued)
Dynegy Holdings, Inc. (Ind. Power Prod. & Energy Traders)			7.750%		06/01/2019	$	525,000	$	353,063
NRG Energy, Inc. (Ind. Power Prod. & Energy Traders)			7.250%		02/01/2014		175,000		178,938
NRG Energy, Inc. (Ind. Power Prod. & Energy Traders)			7.375%		02/01/2016		775,000		796,313
NRG Energy, Inc. (Ind. Power Prod. & Energy Traders)			7.375%		01/15/2017		200,000		206,500
NRG Energy, Inc. (Ind. Power Prod. & Energy Traders)	(b)		8.250%		09/01/2020		750,000		772,500
FPL Energy National Wind Portfolio LLC (Multi-Utilities)	(b)		6.125%		03/25/2019		217,144		206,439

									6,678,403

Total Corporate Bonds (Cost $247,588,056)								$	263,147,406


Convertible Bonds – 0.1%		Rate		Maturity		Face Amount		Value


INDUSTRIALS – 0.1%
School Specialty, Inc. (Professional Svs.)			3.750%		11/30/2026	$	225,000	$	220,500

Total Convertible Bonds (Cost $206,865)								$	220,500


Preferred Stocks – 0.1%						Shares		Value


FINANCIALS – 0.1%
Ally Financial, Inc. (Consumer Finance)	(b)						346	$	327,024

Total Preferred Stocks (Cost $0)								$	327,024


Other – 0.0%						Shares		Value


SuperMedia, Inc. Litigation Trust Interests (Acquired 01/04/2010, Cost $0)	(a)(c)(i)						625,000	$	4,688

Total Other (Cost $0)								$	4,688

Total Investments (Cost $247,794,921) – 97.7%	(j)							$	263,699,618
Other Assets in Excess of Liabilities – 2.3%									6,087,545

Net Assets – 100.0%								$	269,787,163

Percentages are stated as a percent of net assets.

Footnotes:


(a)		Non-income producing security.

(b)		Security exempt from registration under Regulation D of the Securities Act of 1933. These securities may be resold in transactions exempt form registration, normally to qualified buyers under Rule 144A. At December 31, 2010, the value of these securities totaled $89,032,918 or 33.0% of the Portfolio’s net assets. Unless also noted with (i), as defined below, these securities were deemed liquid pursuant to procedures approved by the Board of Directors.

(c)		A market quotation for this investment was not readily available at December 31, 2010. As discussed in Note 2 of the Notes to Financial of Statements, the price for this issue was derived from an estimate of fair market value using methods determined in good faith by the Fund’s Pricing Committee under the supervision of the Board. This security represents $4,688 or 0.0% of the Portfolio’s net assets.

(d)		Issuer of the security has the option to make coupon payments in cash or in additional par value of this bond. Coupon stated is the rate stated for the cash option.

(e)		Security is a variable rate instrument in which the coupon rate is adjusted quarterly, or semi-annually, in concert with U.S. LIBOR. Interest rates stated are those in effect at December 31, 2010.

(f)		Security was initially issued at one coupon rate, but the coupon rate is scheduled to be updated at later specified dates. The coupon rate shown is the rate that is in effect at December 31, 2010.

(g)		Denotes a restricted security that is subject to a contractual restriction on public sales. At December 31, 2010, the value of these securities totaled $2,632,273 or 1.0% of the Portfolio’s net assets.

(h)		Represents a security that is in default. Unless also noted by (i), as defined below, these securities were deemed liquid pursuant to procedures approved by the Board of Directors.

(i)		Represents a security deemed to be illiquid. At December 31, 2010, the value of illiquid securities in the Portfolio totaled $2,638,377 or 1.0% of the Portfolio’s net assets.

(j)		Represents cost for financial reporting purposes, which may differ from cost basis for Federal income tax purposes. See also Note 7 of the Notes to Financial Statements.

The accompanying notes are an integral part of these financial statements.


Ohio National Fund, Inc.	Capital Growth Portfolio

Objective/Strategy

The Capital Growth Portfolio seeks long-term capital appreciation by investing in and actively managing equity securities of small-cap growth companies.

Performance as of December 31, 2010


Average Annual Total Returns:
One year			36.42%
Five years			9.43%
Ten years			2.96%

Comments

For the year ended December 31, 2010, the Capital Growth Portfolio returned 36.42% versus 29.09% for the current benchmark, the Russell 2000 Growth Index.

To end the year, small cap equities continued the sharp rally that began in late August; broadly reflecting a surge in takeover activity, a rebound from overly pessimistic sentiment earlier in the year, and a capitulation by the Obama administration on effective tax increases. Notably, the rally seemingly began after the Federal Reserve’s announcement of a second round of quantitative easing (QEII). We think the positive benefit to the stock market was an intended consequence of the Federal Reserve’s decision. With interest rates already so low, the Federal Reserve must believe pushing people out on the risk curve and bringing money back into the equity markets is the only way to improve consumer net worth and confidence.

The Russell 2000 Growth Index appreciated 29.09% in 2010, with growth outperforming value (the Russell 2000 Value Index finished up 24.5 percent). All sectors in the benchmark posted strong returns, with the majority of returns coming from the back half of the year. Energy (44.0 percent), Information Technology (37.0 percent), Materials (33.2 percent) and Consumer Discretionary (32.5 percent) were up most significantly while even the relative laggards — Financials (10.7 percent), Industrials (13.8 percent) and Health Care (22.5 percent) — were also up double-digits. Utilities, a tiny sector that makes up less than one-fifth of one percent of the index, was up only 2.9 percent.

The Portfolio significantly outperformed the benchmark. The Portfolio had very strong absolute and relative returns, finishing ahead of the index in Energy, Consumer Discretionary, Information Technology and Materials. The top five stocks for the year were Rovi Corp., Riverbed Technology, Inc., TIBCO Software, Inc., Lufkin Industries, Inc. and Netezza Corp. Shares of Rovi Corp., a provider of television guides for set-top boxes, appreciated due to a new patent license agreement with Apple, Inc. Rovi Corp. will receive license fees for Apple, Inc.’s use of Rovi Corp.’s patents in its AppleTV platform. We believe this bodes well for Rovi Corp.’s ability to earn license fees from other companies with streaming on-line video technologies. Riverbed Technology, Inc. sells hardware and software appliances that help reduce network-bandwidth costs and accelerate the delivery of application data across corporate networks. The company is seeing very high growth rates with an exceptionally strong competitive position. TIBCO Software, Inc., a provider of enterprise middleware software, has had strong results and has also been discussed as a potential acquisition candidate. Lufkin Industries, Inc. manufactures pump jacks with a focus on products with enhanced oil recovery. The stock has benefited from strong oil prices and an increase in the number of active drilling rigs. IBM acquired Netezza Corp., a vendor of data-warehouse appliances that help facilitate business-intelligence analytics software, for $27 per share.⁽¹⁾

We had positive absolute returns across all sectors, though Financials and Industrials were our most significant underperforming sectors on a relative basis. Our worst-performing stocks were FormFactor, Inc., Compellent Technologies, Inc., Genoptix, Inc., Amedisys, Inc., and ON Semiconductor Corp. FormFactor, Inc., a supplier of testing equipment for computer memory, was supposed to benefit from a recovery in sales of computers and servers. However, the company has had several execution missteps, including trying to transition manufacturing to a lower-cost region during the recovery. We sold the stock. Compellent Technologies, Inc. disappointed investors with a deceleration in revenue growth and increased operating expenses. We sold the stock fearing those trends could continue. Genoptix, Inc. is an independent clinical laboratory. It has grown very rapidly, consistently beating estimates, but it hired a significant number of new sales representatives in anticipation of ongoing growth. The stock has recently recovered some of the ground lost this year with solid returns in the fourth quarter. Amedisys, Inc. is the country’s largest provider of home-care services. The Senate Finance Committee and Securities and Exchange Commission (SEC) are investigating companies in the industry over Medicare-reimbursement coding practices. Given the near-term uncertainty, we sold the stock. ON Semiconductor Corp. makes power- and data-management semiconductor components. We sold the stock due to continued gross margins pressure.⁽¹⁾

Our overweight position in Energy reflects our positive view on the sector, as well as our recent strong stock selection that boosted weightings. Within the sector, we maintain our positive bias toward oil over natural gas, which remains oversupplied as the industry has fallen victim of its success in exploiting unconventional reservoirs to boost production. As a result, exploration-and-production (E&P) operators have shifted their focus to “liquids-rich” opportunities that offer superior returns given the current oil-to-gas price ratio of approximately 20 to 1 compared to an historic average of 6 to 1. In 2011, we believe these operators will apply the same technologies used in natural-gas drilling to significantly enhance the performance of oil wells and prove the commercial viability of untapped source rock in emerging areas such as the Williston Basin in North Dakota/Montana and the Permian Basin in Texas. A current holding that should benefit from this trend is Oasis Petroleum, Inc.⁽¹⁾

Within the Industrials and Materials sectors, we continue to favor companies with exposure to aerospace and agriculture markets. Notwithstanding the delays in Boeing’s maligned 787 program, the aerospace industry shows continued improvement as global traffic continues to grow, aircraft production rates increase and previously retired aircraft are brought back into service. Against this backdrop, we believe Triumph Group, Inc. is well positioned and titanium producers such as RTI International Metals and Titanium Metals Corp. should begin to see an increase in order rates and mill utilization. Grain prices moved higher in the fourth quarter as dry weather in South America lowered expectations for the soybean

(continued)


Ohio National Fund, Inc.	Capital Growth Portfolio (Continued)

crop, which should further tighten global supplies. Fertilizer producer Intrepid Potash, Inc. should continue to benefit from improving farm economics.⁽¹⁾

Within the Information Technology sector, we are cautiously optimistic that the macroeconomic recovery will continue. However, we do expect stock-price volatility to increase due to global economic concerns and more difficult year-over-year comparisons. We continue to focus on secular growth themes including: “cloud computing” (on-demand applications and infrastructure delivered over the Internet) with current holdings SuccessFactors, Inc. and Progress Software Corp.; increased workforce mobility (via smartphones and tablets) with EMS Technologies, Inc.; security software with holdings Fortinet, Inc. and NICE Systems Ltd.; and more sophisticated network-hardware-appliance and software-management tools to cope with increasing amounts of data and video traffic with holdings DTS, Inc., NetLogic Microsystems, Inc., Riverbed Technology, Inc., and Rovi Corp. We also expect to see continued acquisition activity as large-cap companies use their cash to bolster modest growth rates and consolidate strategic assets by acquiring small-cap and mid-cap growth companies. We believe we have identified prime takeout candidates and are well-positioned for the months ahead. In addition, we are finding attractive risk/reward investment profiles of medium-growth companies that we believe are likely to see accelerating fundamentals and are still reasonably valued, while hyper-growth companies appear relatively expensive, in our view. In the event of a market correction, we may increase our exposure to these hyper-growth companies at more reasonable valuations.⁽¹⁾

Health care expenditures for 2010 likely will have grown about half as fast as they have previously. Health care expenditures have risen at a rate of 6 percent-7 percent per year over the past 50 years. For 2010, those expenditures may be up only 3 percent-4 percent. This reduction in growth has been traced to unemployment and a sluggish economy and their impact on insurance coverage and higher co-pays, which reduce healthcare utilization. The lower growth rate of health care expenditures has dampened the revenue growth of many health care industry groups, including pharmaceuticals, medical devices, medical and surgical supplies, hospitals, clinical laboratories, and hospital equipment providers.

Given this backdrop, we have a modest relative underweight in Health Care. However, we still believe there are several areas within Health Care that should show better-than-expected growth as we move into the first quarter of 2011. Health care information technology (IT), for example, is poised for growth, in our view. The American Recovery and Reinvestment Act (ARRA), among other factors, will provide billions of dollars in grants to be distributed to those who adopt electronic health records. The government has announced it will send the first stimulus checks in May 2011. That means health care IT vendors, such as Portfolio holdings Quality Systems, Inc. and Allscripts Healthcare Solutions, Inc., should soon show accelerating revenue growth. Congestive heart failure is one of the most expensive chronic conditions burdening America. It costs Americans an estimated $40 billion to treat this condition, primarily with drugs. But these therapies are only a “patch” as drugs lose their effectiveness. There are only two definitive therapies for congestive heart failure: heart transplants and left-ventricular-assist devices (LVADs). The lack of availability of donor hearts limits transplants to only around 2,500 each year; enough for a mere 1 percent of patients with late-stage heart failure. Portfolio holding Thoratec Corp. has the only FDA-approved LVAD for destination therapy.⁽¹⁾

In Financial Services, we are currently biased toward names that have strong balance sheets (e.g., optionsXpress Holdings Inc.), a history of operational competence (e.g., Redwood Trust, Inc.), and/or a positive demand outlook (e.g., Dupont Fabros Technology, Inc.). The unemployment rate is not expected to fall below 9 percent in the near future and many of the unemployed have been jobless for more than six months. We believe this will continue to feed demand for services of the pawn-shop operator Cash America International, Inc. Changing capital requirements due to the Basel III standards, a new Consumer Financial Protection Bureau, and other regulatory developments could put pressure on firms without adequate capital, which is one of the reasons we like banks like UMB Financial Corp. that have been able to navigate the difficult past few years without needing emergency financing.⁽¹⁾

Mature consumer stocks typically generate high levels of free-cash flow, making them attractive targets for leveraged buyouts. High-end hotels are beginning to see increased occupancy and pricing, which we believe should benefit Orient-Express Hotels Ltd. Casual restaurants, such as holdings BJ’s Restaurants, Inc. and Buffalo Wild Wings, Inc., are seeing higher traffic due to a shrinking industry and modest improvements in consumer confidence. Long-term holding Genesco, Inc. continues to grow its franchise in sporting goods (e.g., Lids). Also, continued expansion of gaming makes a case for strong performance from Bally Technologies, Inc. and Pinnacle Entertainment, Inc.⁽¹⁾

Corporate America remains flush with cash, the bar for economic growth has been reset at lower levels, and investor sentiment remains generally pessimistic. With that said, a short-term correction — particularly in small caps — would not surprise us given the strength of the rally. However, we have no reason to believe most major indices won’t show solid gains for the full year.


⁽¹⁾	The Portfolio’s composition is subject to change. Holdings and weightings are as of December 31, 2010.

Change in Value of $10,000 Investment


	Capital Growth		Russell 2000
	Portfolio		Growth Index
12/31/2000		10000		10000
06/30/2001		9379		10004
12/31/2001		8539		9077
06/30/2002		6097		7503
12/31/2002		4948		6330
06/30/2003		5904		7554
12/31/2003		6932		9403
06/30/2004		7492		9937
12/31/2004		8298		10748
06/30/2005		8168		10363
12/31/2005		8515		11195
06/30/2006		9225		11874
12/31/2006		10229		12689
06/30/2007		11875		13873
12/31/2007		11378		13583
06/30/2008		10716		12370
12/31/2008		7241		8348
06/30/2009		7849		9296
12/31/2009		9794		11226
06/30/2010		9814		10966
12/31/2010		13362		14491

The Russell 2000 Growth Index is a market-weighted total return index that measures the performance of companies within the Russell 2000 Index having higher price-to-book ratios and higher forecasted growth values. The Russell 2000 Index includes the 2000 firms from the Russell 3000 Index with the smallest market capitalizations. The Russell 3000 Index represents 98% of the investable U.S. equity market. The index presented herein includes the effects of reinvested dividends.

(continued)


Ohio National Fund, Inc.	Capital Growth Portfolio


Schedule of Investments	December 31, 2010


Common Stocks – 99.2%		Shares		Value


CONSUMER DISCRETIONARY – 20.3%
American Axle & Manufacturing Holdings, Inc. (Auto Components)	(a)		66,528	$	855,550
Gentex Corp. (Auto Components)			19,060		563,414
Sotheby’s (Diversified Consumer Svs.)			16,600		747,000
Bally Technologies, Inc. (Hotels, Restaurants & Leisure)	(a)		20,431		861,984
BJ’s Restaurants, Inc. (Hotels, Restaurants & Leisure)	(a)		26,000		921,180
Buffalo Wild Wings, Inc. (Hotels, Restaurants & Leisure)	(a)		8,095		354,966
Orient-Express Hotels Ltd. Class A (Hotels, Restaurants & Leisure)	(a)		28,175		365,993
Pinnacle Entertainment, Inc. (Hotels, Restaurants & Leisure)	(a)		42,039		589,387
Shuffle Master, Inc. (Hotels, Restaurants & Leisure)	(a)		77,946		892,482
Universal Electronics, Inc. (Household Durables)	(a)		25,136		713,108
Chico’s FAS, Inc. (Specialty Retail)			53,630		645,169
Genesco, Inc. (Specialty Retail)	(a)		40,271		1,509,760
Vitamin Shoppe, Inc. (Specialty Retail)	(a)		33,718		1,134,273
Steven Madden Ltd. (Textiles, Apparel & Luxury Goods)	(a)		12,019		501,433

					10,655,699

CONSUMER STAPLES – 1.8%
Fresh Market, Inc. / The (Food & Staples Retailing)	(a)		11,685		481,422
Herbalife Ltd. (Personal Products)			6,890		471,069

					952,491

ENERGY – 7.5%
Lufkin Industries, Inc. (Energy Equip. & Svs.)			25,680		1,602,175
OYO Geospace Corp. (Energy Equip. & Svs.)	(a)		10,445		1,035,204
Cloud Peak Energy, Inc. (Oil, Gas & Consumable Fuels)	(a)		24,436		567,648
Oasis Petroleum, Inc. (Oil, Gas & Consumable Fuels)	(a)		26,580		720,850

					3,925,877

FINANCIALS – 5.0%
Duff & Phelps Corp. Class A (Capital Markets)			21,180		357,095
optionsXpress Holdings, Inc. (Capital Markets)			16,810		263,413
UMB Financial Corp. (Commercial Banks)			5,200		215,384
Cash America International, Inc. (Consumer Finance)			23,628		872,582
DuPont Fabros Technology, Inc. (Real Estate Investment Trusts)			10,845		230,673
Redwood Trust, Inc. (Real Estate Investment Trusts)			26,406		394,241
MGIC Investment Corp. (Thrifts & Mortgage Finance)	(a)		27,877		284,067

					2,617,455

HEALTH CARE – 16.4%
BioMarin Pharmaceutical, Inc. (Biotechnology)	(a)		21,260		572,532
Regeneron Pharmaceuticals, Inc. (Biotechnology)	(a)		11,565		379,679
Seattle Genetics, Inc. (Biotechnology)	(a)		20,510		306,624
American Medical Systems Holdings, Inc. (Health Care Equip. & Supplies)	(a)		35,785		674,905
Arthrocare Corp. (Health Care Equip. & Supplies)	(a)		12,675		393,685
Sirona Dental Systems, Inc. (Health Care Equip. & Supplies)	(a)		16,515		689,997
Thoratec Corp. (Health Care Equip. & Supplies)	(a)		24,814		702,732
Catalyst Health Solutions, Inc. (Health Care Providers & Svs.)	(a)		8,834		410,693
Centene Corp. (Health Care Providers & Svs.)	(a)		19,421		492,128
Genoptix, Inc. (Health Care Providers & Svs.)	(a)		17,145		326,098
Allscripts Healthcare Solutions, Inc. (Health Care Technology)	(a)		34,089		656,895
MedAssets, Inc. (Health Care Technology)	(a)		26,426		533,541
Quality Systems, Inc. (Health Care Technology)			10,162		709,511
Vital Images, Inc. (Health Care Technology)	(a)		17,925		250,591
Bruker Corp. (Life Sciences Tools & Svs.)	(a)		37,304		619,246
ICON PLC – ADR (Life Sciences Tools & Svs.)	(a)		20,883		457,338
Salix Pharmaceuticals Ltd. (Pharmaceuticals)	(a)		9,245		434,145

					8,610,340

INDUSTRIALS – 16.1%
Triumph Group, Inc. (Aerospace & Defense)			5,697		509,369
Atlas Air Worldwide Holdings, Inc. (Air Freight & Logistics)	(a)		9,315		520,056
JetBlue Airways Corp. (Airlines)	(a)		75,605		499,749
Geo Group, Inc. / The (Commercial Svs. & Supplies)	(a)		37,375		921,667
Waste Connections, Inc. (Commercial Svs. & Supplies)			29,622		815,494
Northwest Pipe Co. (Construction & Engineering)	(a)		15,825		380,275
GrafTech International Ltd. (Electrical Equip.)	(a)		54,805		1,087,331
Regal-Beloit Corp. (Electrical Equip.)			11,067		738,833
ArvinMeritor, Inc. (Machinery)	(a)		38,150		782,838
WABCO Holdings, Inc. (Machinery)	(a)		18,506		1,127,571
FTI Consulting, Inc. (Professional Svs.)	(a)		14,107		525,909
Landstar System, Inc. (Road & Rail)			12,690		519,529

					8,428,621

INFORMATION TECHNOLOGY – 26.5%
EMS Technologies, Inc. (Communications Equip.)	(a)		27,785		549,587
Riverbed Technology, Inc. (Communications Equip.)	(a)		32,545		1,144,608
Coherent, Inc. (Electronic Equip., Instr. & Comp.)	(a)		17,095		771,668
DTS, Inc. (Electronic Equip., Instr. & Comp.)	(a)		21,130		1,036,426
Monster Worldwide, Inc. (Internet Software & Svs.)	(a)		15,630		369,337
Netlogic Microsystems, Inc. (Semiconductors & Equip.)	(a)		18,135		569,620
Teradyne, Inc. (Semiconductors & Equip.)	(a)		37,075		520,533
Varian Semiconductor Equipment Associates, Inc. (Semiconductors & Equip.)	(a)		16,575		612,778
Veeco Instruments, Inc. (Semiconductors & Equip.)	(a)		12,130		521,105
ANSYS, Inc. (Software)	(a)		16,730		871,131
Compuware Corp. (Software)	(a)		62,113		724,859
Fortinet, Inc. (Software)	(a)		15,731		508,898
Informatica Corp. (Software)	(a)		23,095		1,016,873
NICE Systems Ltd. – ADR (Software)	(a)		15,257		532,469
Progress Software Corp. (Software)	(a)		14,418		610,170
Radiant Systems, Inc. (Software)	(a)		29,195		571,346
Rovi Corp. (Software)	(a)		22,330		1,384,683
SuccessFactors, Inc. (Software)	(a)		18,897		547,257
TIBCO Software, Inc. (Software)	(a)		52,721		1,039,131

					13,902,479

MATERIALS – 5.6%
Huntsman Corp. (Chemicals)			66,786		1,042,529
Intrepid Potash, Inc. (Chemicals)	(a)		15,807		589,443
Texas Industries, Inc. (Construction Materials)			12,570		575,455
RTI International Metals, Inc. (Metals & Mining)	(a)		13,771		371,542
Titanium Metals Corp. (Metals & Mining)	(a)		21,466		368,786

					2,947,755

Total Common Stocks (Cost $36,272,892)				$	52,040,717

(continued)


Ohio National Fund, Inc.	Capital Growth Portfolio (Continued)


Schedule of Investments	December 31, 2010


Warrants – 0.0%		Quantity		Value

INFORMATION TECHNOLOGY – 0.0%
Lantronix, Inc. (Communications Equipment)
Expiration: February, 2011,
Exercise Price: $28.08	(a)(b)		305	$	—

Total Warrants (Cost $0)				$	—


Money Market Funds – 1.7%		Shares		Value


Fidelity Institutional Money Market Funds Money Market Portfolio – Class I			860,000	$	860,000

Total Money Market Funds (Cost $860,000)				$	860,000

Total Investments – 100.9% (Cost $37,132,892)	(c)			$	52,900,717
Liabilities in Excess of Other Assets – (0.9)%					(489,311	)

Net Assets – 100.0%				$	52,411,406

Percentages are stated as a percent of net assets.

Abbreviations:

ADR: American Depositary Receipts

Footnotes:


(a)		Non-income producing security.

(b)		Market quotations for these investments were not readily available at December 31, 2010. As discussed in Note 2 of the Notes to Financial Statements, prices for these issues were derived from estimates of fair market value using methods determined in good faith by the Fund’s Pricing Committee under the supervision of the Board. At December 31, 2010, the value of these securities totaled $0 or 0.0% of the Portfolio’s net assets.

(c)		Represents cost for financial reporting purposes, which may differ from cost basis for Federal income tax purposes. See also Note 7 of the Notes to Financial Statements.

The accompanying notes are an integral part of these financial statements.

(continued)


Ohio National Fund, Inc.	Nasdaq-100^® Index Portfolio

Objective/Strategy

The Nasdaq-100^® Index Portfolio seeks long-term growth of capital by investing primarily in stocks that are included in the Nasdaq-100^® Index. Unlike the other Portfolios of the Fund, the Nasdaq-100^® Index Portfolio is a non-diversified portfolio for purposes of Section 5(b) of the Investment Company Act of 1940, as amended.

Performance as of December 31, 2010


Average Annual Total Returns:
One year			19.38%
Five years			6.12%
Ten years			-0.65%

Comments

For the year ended December 31, 2010, the Nasdaq-100^® Index Portfolio returned 19.38% versus 20.14% for the current benchmark, the Nasdaq-100^® Index.

The correlation to the index for the year was 99.8%. The high correlation is due to the fact that the Portfolio invests in each of the 100 stocks in the index. The Portfolio also invests in PowerShares QQQ, an exchange traded fund that mimics the holdings and returns of the Nasdaq-100^® Index.

The largest contributors to the index return for 2010 were Apple, Inc., Baidu, Inc. — ADR, Oracle Corp., Amazon.com, Inc., and Starbucks Corp. The largest detractors for the index in 2010 were Microsoft Corp., Cisco Systems, Inc., Gilead Sciences, Inc., Research In Motion Ltd., and Google, Inc. Class A.⁽¹⁾


⁽¹⁾	The Portfolio’s composition is subject to change. Holdings and weightings are as of December 31, 2010.

The Nasdaq-100^®, Nasdaq-100 Index^®, and Nasdaq^® are registered trademarks of The NASDAQ OMX Group, Inc. (which with its affiliates is referred to as “NASDAQ OMX”). Ohio National Investments, Inc. has licensed these marks for the Portfolio’s use. NASDAQ OMX has not passed on the Portfolio’s legality or suitability. NASDAQ OMX does not sponsor, endorse, sell or promote the Portfolio. NASDAQ OMX MAKES NO WARRANTIES AND BEARS NO LIABILITY WITH RESPECT TO THE PORTFOLIO.

Change in Value of $10,000 Investment


	Nasdaq-100ﬁ Index		Nasdaq-100ﬁ Index
	Portfolio
12/31/2000		10000		10000
06/30/2001		7768		7817
12/31/2001		6733		6738
06/30/2002		4467		4494
12/31/2002		4221		4209
06/30/2003		5124		5145
12/31/2003		6241		6292
06/30/2004		6438		6508
12/31/2004		6865		6968
06/30/2005		6323		6434
12/31/2005		6963		7101
06/30/2006		6668		6814
12/31/2006		7423		7618
06/30/2007		8162		8404
12/31/2007		8803		9083
06/30/2008		7752		8022
12/31/2008		5108		5308
06/30/2009		6241		6496
12/31/2009		7850		8206
06/30/2010		7358		7699
12/31/2010		9372		9858

The Nasdaq-100^® Index is a modified capitalization-weighted index of the 100 largest domestic and international non-financial companies listed on the National Market tier of The NASDAQ Stock Market. The index presented herein includes the effects of reinvested dividends.

(continued)


Ohio National Fund, Inc.	Nasdaq-100^® Index Portfolio


Schedule of Investments	December 31, 2010


Common Stocks – 99.3%		Shares		Value


CONSUMER DISCRETIONARY – 15.7%
Apollo Group, Inc. Class A (Diversified Consumer Svs.)	(a)		3,975	$	156,973
Ctrip.com International Ltd. – ADR (Hotels, Restaurants & Leisure)	(a)		4,050		163,822
Starbucks Corp. (Hotels, Restaurants & Leisure)			27,350		878,755
Wynn Resorts Ltd. (Hotels, Restaurants & Leisure)			3,575		371,228
Garmin Ltd. (Household Durables)			4,750		147,202
Amazon.com, Inc. (Internet & Catalog Retail)	(a)		7,900		1,422,000
Expedia, Inc. (Internet & Catalog Retail)			7,200		180,648
Liberty Media Corp. – Interactive (Internet & Catalog Retail)	(a)		14,575		229,848
NetFlix, Inc. (Internet & Catalog Retail)	(a)		1,325		232,802
priceline.com, Inc. (Internet & Catalog Retail)	(a)		1,375		549,381
Mattel, Inc. (Leisure Equip. & Products)			10,900		277,187
Comcast Corp. Class A (Media)			38,447		844,681
DIRECTV Class A (Media)	(a)		16,100		642,873
News Corp. Class A (Media)			37,900		551,824
Virgin Media, Inc. (Media)			8,750		238,350
Dollar Tree, Inc. (Multiline Retail)	(a)		3,500		196,280
Sears Holdings Corp. (Multiline Retail)	(a)		3,050		224,937
Bed Bath & Beyond, Inc. (Specialty Retail)	(a)		9,250		454,637
O’Reilly Automotive, Inc. (Specialty Retail)	(a)		3,700		223,554
Ross Stores, Inc. (Specialty Retail)			3,225		203,981
Staples, Inc. (Specialty Retail)			12,900		293,733
Urban Outfitters, Inc. (Specialty Retail)	(a)		4,300		153,983

					8,638,679

CONSUMER STAPLES – 1.2%
Costco Wholesale Corp. (Food & Staples Retailing)			6,035		435,787
Whole Foods Market, Inc. (Food & Staples Retailing)	(a)		4,800		242,832

					678,619

HEALTH CARE – 12.7%
Amgen, Inc. (Biotechnology)	(a)		11,697		642,165
Biogen Idec, Inc. (Biotechnology)	(a)		6,875		460,969
Celgene Corp. (Biotechnology)	(a)		12,375		731,858
Cephalon, Inc. (Biotechnology)	(a)		1,950		120,354
Genzyme Corp. (Biotechnology)	(a)		8,625		614,100
Gilead Sciences, Inc. (Biotechnology)	(a)		21,225		769,194
Vertex Pharmaceuticals, Inc. (Biotechnology)	(a)		5,650		197,919
DENTSPLY International, Inc. (Health Care Equip. & Supplies)			3,625		123,866
Intuitive Surgical, Inc. (Health Care Equip. & Supplies)	(a)		1,050		270,637
Express Scripts, Inc. (Health Care Providers & Svs.)	(a)		12,450		672,922
Henry Schein, Inc. (Health Care Providers & Svs.)	(a)		2,450		150,405
Cerner Corp. (Health Care Technology)	(a)		2,200		208,428
Illumina, Inc. (Life Sciences Tools & Svs.)	(a)		3,250		205,855
Life Technologies Corp. (Life Sciences Tools & Svs.)	(a)		5,025		278,887
QIAGEN NV (Life Sciences Tools & Svs.)	(a)		6,250		122,187
Mylan, Inc. (Pharmaceuticals)	(a)		11,725		247,749
Teva Pharmaceutical Industries Ltd. – ADR (Pharmaceuticals)			19,235		1,002,721
Warner Chilcott PLC Class A (Pharmaceuticals)			6,675		150,588

					6,970,804

INDUSTRIALS – 3.5%
CH Robinson Worldwide, Inc. (Air Freight & Logistics)			4,350		348,827
Expeditors International of Washington, Inc. (Air Freight & Logistics)			5,525		301,665
Stericycle, Inc. (Commercial Svs. & Supplies)	(a)		2,375		192,185
Joy Global, Inc. (Machinery)			2,700		234,225
PACCAR, Inc. (Machinery)			10,839		622,375
Fastenal Co. (Trading Companies & Distributors)			3,750		224,663

					1,923,940

INFORMATION TECHNOLOGY – 64.0%
Cisco Systems, Inc. (Communications Equip.)	(a)		52,550		1,063,087
F5 Networks, Inc. (Communications Equip.)	(a)		2,050		266,828
QUALCOMM, Inc. (Communications Equip.)			51,770		2,562,097
Research In Motion Ltd. (Communications Equip.)	(a)		13,875		806,554
Apple, Inc. (Computers & Peripherals)	(a)		33,945		10,949,299
Dell, Inc. (Computers & Peripherals)	(a)		18,975		257,111
NetApp, Inc. (Computers & Peripherals)	(a)		9,910		544,654
SanDisk Corp. (Computers & Peripherals)	(a)		6,325		315,365
Seagate Technology PLC (Computers & Peripherals)	(a)		12,500		187,875
Flextronics International Ltd. (Electronic Equip., Instr. & Comp.)	(a)		22,050		173,093
FLIR Systems, Inc. (Electronic Equip., Instr. & Comp.)	(a)		4,400		130,900
Akamai Technologies, Inc. (Internet Software & Svs.)	(a)		4,850		228,193
Baidu, Inc. – ADR (Internet Software & Svs.)	(a)		7,275		702,256
eBay, Inc. (Internet Software & Svs.)	(a)		25,810		718,292
Google, Inc. Class A (Internet Software & Svs.)	(a)		4,000		2,375,880
VeriSign, Inc. (Internet Software & Svs.)			4,305		140,644
Yahoo!, Inc. (Internet Software & Svs.)	(a)		16,635		276,640
Automatic Data Processing, Inc. (IT Svs.)			9,250		428,090
Cognizant Technology Solutions Corp. Class A (IT Svs.)	(a)		7,850		575,327
Fiserv, Inc. (IT Svs.)	(a)		4,937		289,111
Infosys Technologies Ltd. – ADR (IT Svs.)			2,975		226,338
Paychex, Inc. (IT Svs.)			9,095		281,126
Altera Corp. (Semiconductors & Equip.)			11,675		415,397
Applied Materials, Inc. (Semiconductors & Equip.)			18,325		257,466
Broadcom Corp. Class A (Semiconductors & Equip.)			11,050		481,228
First Solar, Inc. (Semiconductors & Equip.)	(a)		2,000		260,280
Intel Corp. (Semiconductors & Equip.)			51,845		1,090,300
KLA-Tencor Corp. (Semiconductors & Equip.)			5,375		207,690
Lam Research Corp. (Semiconductors & Equip.)	(a)		3,375		174,758
Linear Technology Corp. (Semiconductors & Equip.)			8,005		276,893
Marvell Technology Group Ltd. (Semiconductors & Equip.)	(a)		16,475		305,611
Maxim Integrated Products, Inc. (Semiconductors & Equip.)			7,725		182,465
Microchip Technology, Inc. (Semiconductors & Equip.)			4,125		141,116
Micron Technology, Inc. (Semiconductors & Equip.)	(a)		27,075		217,142
NVIDIA Corp. (Semiconductors & Equip.)	(a)		14,962		230,415
Xilinx, Inc. (Semiconductors & Equip.)			9,130		264,587
Activision Blizzard, Inc. (Software)			28,575		355,473
Adobe Systems, Inc. (Software)	(a)		13,230		407,219
Autodesk, Inc. (Software)	(a)		6,275		239,705
BMC Software, Inc. (Software)	(a)		5,475		258,092
CA, Inc. (Software)			13,050		318,942
Check Point Software Technologies Ltd. (Software)	(a)		5,445		251,886
Citrix Systems, Inc. (Software)	(a)		5,925		405,329
Electronic Arts, Inc. (Software)	(a)		8,880		145,454
Intuit, Inc. (Software)	(a)		10,455		515,432
Microsoft Corp. (Software)			78,150		2,181,948
Oracle Corp. (Software)			55,635		1,741,376
Symantec Corp. (Software)	(a)		21,548		360,714

					35,185,678

MATERIALS – 0.4%
Sigma-Aldrich Corp. (Chemicals)			3,100		206,336

TELECOMMUNICATION SERVICES – 1.8%
Millicom International Cellular SA (Wireless Telecom. Svs.)			2,775		265,290
NII Holdings, Inc. (Wireless Telecom. Svs.)	(a)		4,375		195,388
Vodafone Group PLC – ADR (Wireless Telecom. Svs.)			19,375		512,081

					972,759

Total Common Stocks (Cost $40,003,632)				$	54,576,815

(continued)


Ohio National Fund, Inc.	Bristol Portfolio

Objective/Strategy

The Bristol Portfolio seeks long-term growth of capital by investing primarily in common stocks of the 1,000 largest publicly traded U.S. companies in terms of market capitalization.

Performance as of December 31, 2010


Average Annual Total Returns:
One year			13.10%
Five years			2.76%
Since inception (5/1/02)			4.45%

Comments

For the year ended December 31, 2010, the Bristol Portfolio returned 13.10% versus 15.06% for the current benchmark, the S&P 500 Index.

2010 ended being a year where success could be attributed to taking on more portfolio risk, either through concentration in buyout names, economically leveraged industries, or smaller than average cap over-weighting. This can be seen simply by observing the 2010 returns by market capitalization, with the S&P 500 Index having the largest median cap stock return (just over 15%); then the Russell 1000 Index, having a slightly lower median cap, returning 16.1%; the Russell 2500 Mid-Cap Index returning 25.5%; and the Russell 2000 Small Cap Index returning almost 26.9%. Within each of these cap ranges, growth outperformed value, indicating a preference for the perception of fundamental growth over valuation. Though this factor bet typically works coming out of a recession, 2010 was somewhat atypical, as the economic outlook actually declined as we progressed through the year, as unemployment actually moved up, and Gross Domestic Product (GDP) forecasts were cut. GDP forecasts were finally raised in the fourth quarter after the Federal Reserve announced the next phase of its quantitative easing and the Bush tax cuts appeared to remain intact. The largest difference between growth and value indices was in the small cap sector, where growth outperformed value by over 450 basis points. There appeared to be a demand by investors for top-line growth stocks at any price, a situation which typically has negative consequences for the market when the mania subsides. As our investment process always considers an attractive stock valuation as the first requirement for Portfolio inclusion, not participating in the momentum, risk-taking driven market negatively affected our relative performance.

The Portfolio’s relative performance was also negatively impacted by a few stocks. One of the worst performers was Sunpower Corp., which twice during the year announced that it was pushing back the earnings contributions from its slightly delayed solar projects. The stock was cheap, and got cheaper. It is now trading at approximately 8 times 2011 projected earnings. This seems like an attractive multiple for a fairly well-positioned company, and if the company actually does what it says it can do, it may have a decent year. We continue to hold it. Hewlett-Packard Co. also had a disappointing year, being down 17% in 2010. Their chairman was forced to resign under rather unpleasant circumstances and the price per earnings multiple contracted, as investors worried about their positioning in tablets, a slowing growth in printer sales, their loss of market share to Acer and Lenovo in laptops, and a questionable purchase of Palm on which to focus their wireless phone strategy. Somehow, they did not miss their earnings per share (EPS) projections, but the multiple contracted regardless.⁽¹⁾

Even though Financials made a stellar comeback in the final quarter, during the year the Portfolio’s relative performance was negatively impacted by a few stocks, namely Wells Fargo & Co., Morgan Stanley, and Bank of America Corp. All three were the result of continuing legal unknowns from the mortgage fiasco, with Bank of America Corp. and Wells Fargo & Co. perhaps more exposed to mortgage push backs from both government sponsored enterprises (GSEs) as well as private intermediaries; and Morgan Stanley perhaps suffering from an unknown fate similar to Goldman Sachs on potential underwriting concerns and lawsuits. The three financials cost the Portfolio approximately 54 basis points of relative performance combined.⁽¹⁾

The Portfolio was not without its individual successes, including Apple, Inc., adding over 100 basis points, Citigroup, Inc. adding 70, Freeport-McMoRan Copper and Gold, Inc. adding over 50, and Industrials such as Honeywell International, Inc. and Johnson Controls, Inc. combining to add to 99 basis points.⁽¹⁾

At the beginning of 2010, we took the position that the economy would improve, that emerging markets would provide most of the economic growth, that consumers would still be constrained in their spending, and that margins would tighten in consumer oriented products, as raw material pricing increased and companies were not so able to raise selling prices to pass through the higher costs. These are similar themes to what we believe now. We are cognizant that China is taking, and will continue to take, steps to slow inflation in their country, and of the potential impact to pricing of commodities. However, there is still huge economic growth ahead for China and India, as their consumers begin to spend some of their earnings and start to raise their standards of living. They are far behind the U.S. and other developed nations, but the gap is narrowing. Eventually, we see both India and China being able to grow their economies self-sustainably, without a constantly increasing reliance on exports. Trying to avoid U.S.-centric companies, with little growing exposure to emerging economies, continues to be a major driver in our research and investments.


⁽¹⁾	The Portfolio’s composition is subject to change. Holdings and weightings are as of December 31, 2010.

(continued)


Ohio National Fund, Inc.	Bristol Portfolio (Continued)

Change in Value of $10,000 Investment


			S&P 500
	Bristol Portfolio		Index
05/01/2002		10000		10000
06/30/2002		8950		9138
12/31/2002		7900		8197
06/30/2003		8811		9161
12/31/2003		10464		10548
06/30/2004		10695		10911
12/31/2004		11366		11696
06/30/2005		11954		11601
12/31/2005		12734		12270
06/30/2006		13174		12602
12/31/2006		14824		14208
06/30/2007		15878		15197
12/31/2007		15974		14989
06/30/2008		14413		13203
12/31/2008		9497		9443
06/30/2009		10744		9742
12/31/2009		12900		11942
06/30/2010		11844		11148
12/31/2010		14590		13741

Portfolio Composition as of December 31, 2010 ⁽¹⁾


	% of Net Assets

Common Stocks ⁽³⁾		98.6
Money Market Funds Less Net Liabilities		1.4

		100.0

Top 10 Portfolio Holdings as of December 31, 2010 ^(1) (2)


	% of Net Assets

1.	Apple, Inc.	3.0
2.	JPMorgan Chase & Co.	2.6
3.	Citigroup, Inc.	2.2
4.	Lincoln National Corp.	2.2
5.	Bank of New York Mellon Corp. / The	2.1
6.	Huntington Bancshares, Inc.	2.1
7.	Pfizer, Inc.	2.1
8.	Chevron Corp.	2.1
9.	State Street Corp.	2.1
10.	St. Jude Medical, Inc.	2.1


⁽¹⁾		Composition of Portfolio subject to change.

⁽²⁾		Short-term investments have been excluded from the list of Top 10 Portfolio Holdings.

⁽³⁾		Sectors:


	% of Net Assets

Financials		23.5
Information Technology		21.7
Consumer Discretionary		12.7
Industrials		10.7
Health Care		10.1
Energy		9.8
Materials		7.9
Consumer Staples		2.2

		98.6


Ohio National Fund, Inc.	Bristol Portfolio


Schedule of Investments	December 31, 2010


Common Stocks – 98.6%		Shares		Value


CONSUMER DISCRETIONARY – 12.7%
Johnson Controls, Inc. (Auto Components)			78,000	$	2,979,600
Lear Corp. (Auto Components)	(a)		2,200		217,162
Royal Caribbean Cruises Ltd. (Hotels, Restaurants & Leisure)	(a)		54,200		2,547,400
Starwood Hotels & Resorts Worldwide, Inc. (Hotels, Restaurants & Leisure)			39,000		2,370,420
Walt Disney Co. / The (Media)			89,000		3,338,390
Target Corp. (Multiline Retail)			62,000		3,728,060
Tiffany & Co. (Specialty Retail)			21,100		1,313,897
Coach, Inc. (Textiles, Apparel & Luxury Goods)			43,300		2,394,923
NIKE, Inc. Class B (Textiles, Apparel & Luxury Goods)			27,900		2,383,218
Warnaco Group, Inc. / The (Textiles, Apparel & Luxury Goods)	(a)		34,400		1,894,408

					23,167,478

CONSUMER STAPLES – 2.2%
J.M. Smucker Co. / The (Food Products)			42,800		2,809,820
Procter & Gamble Co. / The (Household Products)			18,100		1,164,373

					3,974,193

ENERGY – 9.8%
Dresser-Rand Group, Inc. (Energy Equip. & Svs.)	(a)		12,100		515,339
Halliburton Co. (Energy Equip. & Svs.)			63,800		2,604,954
National Oilwell Varco, Inc. (Energy Equip. & Svs.)			30,900		2,078,025
Apache Corp. (Oil, Gas & Consumable Fuels)			18,900		2,253,447
Chevron Corp. (Oil, Gas & Consumable Fuels)			42,100		3,841,625
Murphy Oil Corp. (Oil, Gas & Consumable Fuels)			41,400		3,086,370
Occidental Petroleum Corp. (Oil, Gas & Consumable Fuels)			35,000		3,433,500

					17,813,260

FINANCIALS – 23.5%
Bank of New York Mellon Corp. / The (Capital Markets)			129,400		3,907,880
State Street Corp. (Capital Markets)			82,800		3,836,952
Huntington Bancshares, Inc. (Commercial Banks)			564,300		3,876,741
PNC Financial Services Group, Inc. (Commercial Banks)			61,800		3,752,496
Wells Fargo & Co. (Commercial Banks)			33,000		1,022,670
Bank of America Corp. (Diversified Financial Svs.)			256,800		3,425,712
Citigroup, Inc. (Diversified Financial Svs.)	(a)		841,600		3,980,768
JPMorgan Chase & Co. (Diversified Financial Svs.)			110,600		4,691,652
Hartford Financial Services Group, Inc. (Insurance)			121,200		3,210,588
Lincoln National Corp. (Insurance)			142,100		3,951,801
MetLife, Inc. (Insurance)			79,900		3,550,756
Prudential Financial, Inc. (Insurance)			64,700		3,798,537

					43,006,553

HEALTH CARE – 10.1%
St. Jude Medical, Inc. (Health Care Equip. & Supplies)	(a)		89,600		3,830,400
Life Technologies Corp. (Life Sciences Tools & Svs.)	(a)		43,900		2,436,450
Allergan, Inc. (Pharmaceuticals)			46,900		3,220,623
Medicis Pharmaceutical Corp. Class A (Pharmaceuticals)			112,000		3,000,480
Merck & Co., Inc. (Pharmaceuticals)			57,100		2,057,884
Pfizer, Inc. (Pharmaceuticals)			219,400		3,841,694

					18,387,531

INDUSTRIALS – 10.7%
Honeywell International, Inc. (Aerospace & Defense)			70,600		3,753,096
United Parcel Service, Inc. Class B (Air Freight & Logistics)			44,100		3,200,778
Rockwell Automation, Inc. (Electrical Equip.)			51,600		3,700,236
Caterpillar, Inc. (Machinery)			27,900		2,613,114
Ingersoll-Rand PLC (Machinery)			80,100		3,771,909
SPX Corp. (Machinery)			34,300		2,452,107

					19,491,240

INFORMATION TECHNOLOGY – 21.7%
Cisco Systems, Inc. (Communications Equip.)	(a)		186,600		3,774,918
QUALCOMM, Inc. (Communications Equip.)			73,600		3,642,464
Apple, Inc. (Computers & Peripherals)	(a)		16,900		5,451,264
Hewlett-Packard Co. (Computers & Peripherals)			78,800		3,317,480
Google, Inc. Class A (Internet Software & Svs.)	(a)		6,200		3,682,614
International Business Machines Corp. (IT Svs.)			24,400		3,580,944
Applied Materials, Inc. (Semiconductors & Equip.)			109,700		1,541,285
Broadcom Corp. Class A (Semiconductors & Equip.)			58,700		2,556,385
Maxim Integrated Products, Inc. (Semiconductors & Equip.)			153,600		3,628,032
SunPower Corp. Class B (Semiconductors & Equip.)	(a)		194,500		2,413,745
Citrix Systems, Inc. (Software)	(a)		33,400		2,284,894
Oracle Corp. (Software)			120,600		3,774,780

					39,648,805

MATERIALS – 7.9%
Air Products & Chemicals, Inc. (Chemicals)			34,700		3,155,965
Celanese Corp. (Chemicals)			43,100		1,774,427
E.I. du Pont de Nemours & Co. (Chemicals)			57,100		2,848,148
Freeport-McMoRan Copper & Gold, Inc. (Metals & Mining)			25,000		3,002,250
Rio Tinto PLC – ADR (Metals & Mining)			52,100		3,733,486

					14,514,276

Total Common Stocks (Cost $158,849,644)				$	180,003,336


Money Market Funds – 2.1%		Shares		Value


Fidelity Institutional Money Market Funds
Money Market Portfolio – Class I			3,933,000	$	3,933,000

Total Money Market Funds (Cost $3,933,000)				$	3,933,000

Total Investments – 100.7% (Cost $162,782,644)	(b)			$	183,936,336
Liabilities in Excess of Other Assets – (0.7)%					(1,291,706	)

Net Assets – 100.0%				$	182,644,630

Percentages are stated as a percent of net assets.

Abbreviations:

ADR: American Depositary Receipts

Footnotes:


(a)		Non-income producing security.

(b)		Represents cost for financial reporting purposes, which may differ from cost basis for Federal income tax purposes. See also Note 7 of the Notes to Financial Statements.

The accompanying notes are an integral part of these financial statements.


Ohio National Fund, Inc.	Bryton Growth Portfolio

Objective/Strategy

The Bryton Growth Portfolio seeks long-term growth of capital by investing primarily in common stocks of growth-oriented U.S. companies smaller than the 500 largest publicly traded U.S. companies in terms of market capitalization.

Performance as of December 31, 2010


Average Annual Total Returns:
One year			24.04%
Five years			5.48%
Since inception (5/1/02)			3.67%

Past performance does not guarantee future results. The performance data quoted represents past performance and current returns may be lower or higher. Total return figures include change in share price and reinvestment of dividends and capital gains. The investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more, or less than the original cost. To obtain performance information up to the most recent month end, call toll-free 1-877-781-6392.

Comments

For the year ended December 31, 2010, the Bryton Growth Portfolio returned 24.04% versus 29.09% for the current benchmark, the Russell 2000 Growth Index.

The equity market was high in the early part of the year due to investors’ optimism that the U.S. economy would continue to recover. The sell off began in the spring and lasted through the later part of August. The benchmark declined nearly 20% from April’s high. Volatility flared up as we often witnessed 10% moves of the index in a matter of days. The reasons behind such volatility were the constant worry of a double-dip recession in the U.S., sovereign-debt crises that threatened the European common currency, and China’s attempts to slow its overheated real estate market. When the Federal Reserve began its discussion about the launch of QE2, which in essence lowers borrowing costs and helps stimulate the economy, the stock market did not look back and small cap growth stocks leaped over 30% since August.

We maintained an overweight relative to the index in the Information Technology, Energy, and Materials sectors throughout the year. These sectors were indeed the best performing sectors, which helped our performance. For most of the year, we were underweighted in the Health Care and Financials sectors, which also contributed to results. As we approached the end of the year, however, tiny micro cap stocks were better performers as micro cap growth outperformed small cap growth by over 400 basis points in the last quarter of the year. Since the entire return of the index came from the last part of the year, our performance was hurt by holding larger capitalized stocks, on average, than our benchmark held.⁽¹⁾

Recently, we reduced our holdings in Information Technology, but we are still holding 31.4% of the Portfolio in that sector, compared to the benchmark’s 27.3% allocation. We sold Infinera Corp., an optical communications equipment maker, and athenahealth Inc., a healthcare IT provider, as those stocks reached our target valuations. We also sold Formfactor, Inc. as the company continued to lose market share, and Emulex due to lingering inventory issues and pricing pressures. We bought MaxLinear, Inc., a producer of semiconductor products for broadband applications, expecting broader adoption of its radio frequency products.⁽¹⁾

We started the year over-weighted in the Consumer Discretionary sector. By late summer, we sold Tractor Supply Co. upon reaching our price target and Gymboree Corp. on an acquisition by Bain Capital. The Portfolio became a bit underweight in Consumer Discretionary as a result. This turned out to be a detractor for performance as Consumer Discretionary was one of the best performing sectors into December. We remain cautious in Consumer Discretionary as we believe that persistent high unemployment and rising mortgage rates will hamper the consumer’s propensity to spend. Rising commodity prices and wage inflation will be a headwind for most retailers. Furthermore, recent out-performance and moderating estimate revisions dampen the sector’s attractiveness.⁽¹⁾

In 2010, positive contributors to performance included a position in TIBCO Software, Inc., which added 168 basis points, and Informatica Corp., which added 129 basis points. Both companies saw enterprise customers increasing spending due to the volume and complexity of data they have to work with. Merger and acquisition activities within the sector also helped these stocks to sustain higher valuation multiples. Fairchild Semiconductor International, Inc. added 132 basis points. The company saw higher demand for its higher value-added semiconductor products which led to better margin and higher earnings. TriQuint Semiconductor, Inc. added 139 basis points as the sales of its power amplifiers, used by smart-phones and tablets, exceeded expectations. Northern Oil & Gas, Inc. and Brigham Exploration Co. contributed 132 and 107 basis points, respectively, and were also our top contributors as they were successful in their exploratory efforts in the Bakken oil field and benefited from high oil prices.⁽¹⁾

FormFactor, Inc., a semiconductor equipment maker, was a significant detractor. The company saw significant margin degradation as they had trouble ramping up the new Asian facility to meet improving demand. They, therefore, missed fulfilling some orders and lost market share, costing the Portfolio 90 basis points. Talbots, Inc. detracted from performance by 98 basis points. The company was trying to rebrand and attract younger customers; therefore, increasing marketing spending more than expected. Older customers found newer products less appealing, which led to lower sales and a higher inventory level. Affymetrix, Inc. continued to struggle against Ilumina and lost market share in gene sequencing, costing us 74 basis points. Arena Resources, Inc., detracted from performance 45 basis points due to disruption of production caused by an unreliable electricity provider. The company was eventually acquired by Sandridge Energy. Red Robin Gourmet Burger was a victim of fierce competition, and fell short on same store sales, as customers did not respond as expected to its marketing campaign, costing the Portfolio 45 basis points.⁽¹⁾

The U.S. economy continued to expand moderately, assisted by the Federal Reserve’s easy money policy. Through the downturn, companies slashed costs and repaired balance sheets. Looking forward, we are optimistic on equity returns as we expect earnings will continue to improve. With a substantial amount of cash on companies’ balance sheets, we have seen increased mergers and acquisitions, especially in Information Technology and Financials sectors; supporting valuations. As mentioned above, we maintain a cautious stance on Consumer Discretionary. We remain over-weighted in the Information Technology sector where earnings expectations appear achievable as older equipment is being replaced and growth in areas such as smart-phones and tablets gains traction.⁽¹⁾


⁽¹⁾	The Portfolio’s composition is subject to change. Holdings and weightings are as of December 31, 2010.

(continued)


Ohio National Fund, Inc.	Bryton Growth Portfolio (Continued)

Change in Value of $10,000 Investment


	Bryton Growth		Russell 2000
	Portfolio		Growth Index
05/01/2002		10000		10000
06/30/2002		8170		8635
12/31/2002		6880		7286
06/30/2003		8140		8694
12/31/2003		9330		10822
06/30/2004		9280		11437
12/31/2004		10030		12370
06/30/2005		9580		11927
12/31/2005		10462		12884
06/30/2006		10902		13666
12/31/2006		12213		14604
06/30/2007		13673		15966
12/31/2007		13421		15633
06/30/2008		12525		14237
12/31/2008		8115		9608
06/30/2009		9333		10699
12/31/2009		11015		12920
06/30/2010		10330		12621
12/31/2010		13663		16678

Portfolio Composition as of December 31, 2010 ⁽¹⁾


	% of Net Assets

Common Stocks ⁽³⁾		98.0
Money Market Funds Less Net Liabilities		2.0

		100.0

Top 10 Portfolio Holdings as of December 31, 2010 ^(1) (2)


	% of Net Assets

1.	Kenexa Corp.	2.1
2.	Genesee & Wyoming, Inc. Class A	2.1
3.	Acuity Brands, Inc.	2.1
4.	TIBCO Software, Inc.	2.1
5.	Cooper Tire & Rubber Co.	2.1
6.	Fairchild Semiconductor International, Inc.	2.0
7.	SAVVIS, Inc.	2.0
8.	Quest Software, Inc.	2.0
9.	Solutia, Inc.	2.0
10.	Warnaco Group, Inc. / The	2.0


⁽¹⁾		Composition of Portfolio subject to change.

⁽²⁾		Short-term investments have been excluded from the list of Top 10 Portfolio Holdings.

⁽³⁾		Sectors:


	% of Net Assets

Information Technology		31.4
Health Care		18.9
Consumer Discretionary		17.3
Industrials		14.1
Energy		7.7
Materials		6.8
Financials		1.8

		98.0


Ohio National Fund, Inc.	Bryton Growth Portfolio


Schedule of Investments	December 31, 2010


Common Stocks – 98.0%		Shares		Value


CONSUMER DISCRETIONARY – 17.3%
Cooper Tire & Rubber Co. (Auto Components)			120,000	$	2,829,600
California Pizza Kitchen, Inc. (Hotels, Restaurants & Leisure)	(a)		120,000		2,073,600
P.F. Chang’s China Bistro, Inc. (Hotels, Restaurants & Leisure)			45,000		2,180,700
AnnTaylor Stores Corp. (Specialty Retail)	(a)		65,000		1,780,350
Bebe Stores, Inc. (Specialty Retail)			300,000		1,788,000
Childrens Place Retail Stores, Inc. / The (Specialty Retail)	(a)		47,000		2,333,080
Finish Line, Inc. / The Class A (Specialty Retail)			145,000		2,492,550
Men’s Wearhouse, Inc. / The (Specialty Retail)			80,100		2,000,898
Talbots, Inc. (Specialty Retail)	(a)		190,000		1,618,800
Liz Claiborne, Inc. (Textiles, Apparel & Luxury Goods)	(a)		270,100		1,933,916
Warnaco Group, Inc. / The (Textiles, Apparel & Luxury Goods)	(a)		50,000		2,753,500

					23,784,994

ENERGY – 7.7%
Brigham Exploration Co. (Oil, Gas & Consumable Fuels)	(a)		90,000		2,451,600
Clean Energy Fuels Corp. (Oil, Gas & Consumable Fuels)	(a)		155,000		2,145,200
Northern Oil and Gas, Inc. (Oil, Gas & Consumable Fuels)	(a)		100,000		2,721,000
Paladin Energy Ltd. (Oil, Gas & Consumable Fuels)	(a)		200,000		1,010,000
Rosetta Resources, Inc. (Oil, Gas & Consumable Fuels)	(a)		60,000		2,258,400

					10,586,200

FINANCIALS – 1.8%
Knight Capital Group, Inc. Class A (Capital Markets)	(a)		180,000		2,482,200

HEALTH CARE – 18.9%
Allos Therapeutics, Inc. (Biotechnology)	(a)		260,000		1,198,600
Exelixis, Inc. (Biotechnology)	(a)		75,000		615,750
Incyte Corp Ltd. (Biotechnology)	(a)		100,000		1,656,000
Pharmasset, Inc. (Biotechnology)	(a)		55,000		2,387,550
Rigel Pharmaceuticals, Inc. (Biotechnology)	(a)		85,239		641,850
Targacept, Inc. (Biotechnology)	(a)		55,000		1,457,500
American Medical Systems Holdings, Inc. (Health Care Equip. & Supplies)	(a)		30,000		565,800
Arthrocare Corp. (Health Care Equip. & Supplies)	(a)		80,000		2,484,800
Masimo Corp. (Health Care Equip. & Supplies)			80,000		2,325,600
NxStage Medical, Inc. (Health Care Equip. & Supplies)	(a)		82,240		2,046,131
Healthsouth Corp. (Health Care Providers & Svs.)	(a)		120,000		2,485,200
Molina Healthcare, Inc. (Health Care Providers & Svs.)	(a)		90,000		2,506,500
Pacific Biosciences of California, Inc. (Life Sciences Tools & Svs.)	(a)		90,000		1,431,900
Nektar Therapeutics (Pharmaceuticals)	(a)		140,000		1,799,000
Salix Pharmaceuticals Ltd. (Pharmaceuticals)	(a)		50,000		2,348,000

					25,950,181

INDUSTRIALS – 14.1%
Hawaiian Holdings, Inc. (Airlines)	(a)		200,000		1,568,000
Tetra Tech, Inc. (Commercial Svs. & Supplies)	(a)		90,000		2,255,400
MasTec, Inc. (Construction & Engineering)	(a)		165,000		2,407,350
Acuity Brands, Inc. (Electrical Equip.)			50,000		2,883,500
Satcon Technology Corp. (Electrical Equip.)	(a)		480,000		2,160,000
Actuant Corp. Class A (Machinery)			100,000		2,662,000
Astec Industries, Inc. (Machinery)	(a)		42,000		1,361,220
Columbus McKinnon Corp. (Machinery)	(a)		60,000		1,219,200
Genesee & Wyoming, Inc. Class A (Road & Rail)	(a)		55,000		2,912,250

					19,428,920

INFORMATION TECHNOLOGY – 31.4%
SMART Modular Technologies WWH, Inc. (Electronic Equip., Instr. & Comp.)	(a)		30,000		172,800
comScore, Inc. (Internet Software & Svs.)	(a)		90,000		2,007,900
Digital River, Inc. (Internet Software & Svs.)	(a)		70,000		2,409,400
RightNow Technologies, Inc. (Internet Software & Svs.)	(a)		113,217		2,679,846
SAVVIS, Inc. (Internet Software & Svs.)	(a)		110,000		2,807,200
Sapient Corp. (IT Svs.)			200,000		2,420,000
Cavium Networks, Inc. (Semiconductors & Equip.)	(a)		60,000		2,260,800
Fairchild Semiconductor International, Inc. (Semiconductors & Equip.)	(a)		180,000		2,809,800
MaxLinear, Inc. Class A (Semiconductors & Equip.)	(a)		214,652		2,309,656
Micrel, Inc. (Semiconductors & Equip.)			160,000		2,078,400
RF Micro Devices, Inc. (Semiconductors & Equip.)	(a)		357,900		2,630,565
Semtech Corp. (Semiconductors & Equip.)	(a)		93,125		2,108,350
TriQuint Semiconductor, Inc. (Semiconductors & Equip.)	(a)		200,000		2,338,000
Volterra Semiconductor Corp. (Semiconductors & Equip.)	(a)		110,000		2,547,600
Informatica Corp. (Software)	(a)		20,000		880,600
Kenexa Corp. (Software)	(a)		135,000		2,941,650
Quest Software, Inc. (Software)	(a)		100,000		2,774,000
Solera Holdings, Inc. (Software)			40,000		2,052,800
TIBCO Software, Inc. (Software)	(a)		145,000		2,857,950

					43,087,317

MATERIALS – 6.8%
Solutia, Inc. (Chemicals)	(a)		120,000		2,769,600
STR Holdings, Inc. (Chemicals)	(a)		110,000		2,200,000
Stillwater Mining Co. (Metals & Mining)	(a)		100,000		2,135,000
Thompson Creek Metals Co., Inc. (Metals & Mining)	(a)		150,000		2,208,000

					9,312,600

Total Common Stocks (Cost $106,945,659)				$	134,632,412


Money Market Funds – 4.5%		Shares		Value


Fidelity Institutional Money Market Funds
Money Market Portfolio – Class I			6,242,000	$	6,242,000

Total Money Market Funds (Cost $6,242,000)				$	6,242,000

Total Investments – 102.5% (Cost $113,187,659)	(b)			$	140,874,412
Liabilities in Excess of Other Assets – (2.5)%					(3,462,600	)

Net Assets – 100.0%				$	137,411,812

Percentages are stated as a percent of net assets.

Footnotes:


(a)		Non-income producing security.

(b)		Represents cost for financial reporting purposes, which may differ from cost basis for Federal income tax purposes. See also Note 7 of the Notes to Financial Statements.

The accompanying notes are an integral part of these financial statements.


Ohio National Fund, Inc.	U.S. Equity Portfolio

Objective/Strategy

The U.S. Equity Portfolio seeks capital appreciation with a secondary objective of capital preservation to provide long term growth by investing at least 80% of its net assets in equity securities traded in the U.S. within under-priced sectors and industries.

Performance as of December 31, 2010


Average Annual Total Returns:
One year			12.46%
Five years			-3.59%
Since inception (5/1/04)			0.88%

Comments

For the year ended December 31, 2010, the U.S. Equity Portfolio returned 12.46% versus 16.38% for the current benchmark, the S&P Composite 1500 Index.

In spite of 2010 beginning on the heels of an approximate 60% rally from the March of 2009 lows, the stock market was able to post a strong year as the combination of an economic recovery and Federal Reserve-based stimulus lifted broad based indices into positive territory. While the end of year return was strong, the path was full of volatility as economic uncertainty remained a persistent theme during the year. From an economic perspective, the U.S. economy experienced two distinct periods during the calendar year. The first part of the year brought on two strong quarters of Gross Domestic Product (GDP) growth led by strength in the manufacturing sector of the economy as companies continued the inventory rebuilding process. Historically, periods of inventory rebuilding and manufacturing growth are followed by the emergence of the consumer as the economic recovery takes hold. However, housing declines, consumer de-leveraging, and persistent levels of high unemployment prevented this from happening. Fortunately, the Federal Reserve reacted aggressively to this slowdown in economic activity, which spurred the strongest September for equities since 1939.

The equity market itself experienced five distinct time periods during the 2010 calendar year. The year 2010 began with a 3% rally in just over three weeks as economic prospects showed continued promise both domestically and overseas. This initial move was quickly reversed as concerns over bank regulation and an economic slowdown in China resulted in an 8% sell-off. Going into the early part of February 2010, we had a value to price ratio of 1.18 for the market as a whole which was the largest reading we had seen in over seven months. As economic fears subsided, investors took advantage of these inexpensive valuations and pushed the market higher as the S&P Composite 1500 Index rose over 16% in just over 2 months. Again, highlighting the lack of conviction within the market, the S&P Composite 1500 Index tumbled by over 15% from the end of April to the beginning of July 2010. This time period also included the infamous “flash crash” as concerns about the solvency of many European countries sent an already shaky market to its lowest level of the year. As mentioned above, in response to debt driven concerns and a slowing economic recovery, many global central banks stepped in to provide a global economic backstop; specifically, the establishment of a massive $1 trillion bailout plan by the European Union and a promise by the U.S. Federal Reserve to keep rates historically low for “an extended period” of time. These actions gave investors the confidence to jump back into the equity markets and the S&P Composite 1500 Index rallied by over 20% to finish the year on a positive note.

The top sector contributors to performance during 2010 were Industrials, Materials, and Energy. Overweight positions relative to the benchmark and strong stock selection in these cyclically driven areas contributed positively to the Portfolio’s performance during the year. The top contributors on an individual holdings basis during 2010 were Caterpillar, Inc., Freeport-McMoRan Copper & Gold, Inc., Walter Energy, Inc., Massey Energy Co., and Apple, Inc.⁽¹⁾

Top sector detractors from performance during calendar year 2010 were Information Technology, Health Care, and Utilities. While all three sectors detracted from overall performance during the year, underweight positions relative to the S&P Composite 1500 Index dampened the negative effect to the Portfolio. The largest detractors on an individual holdings basis during 2010 were Bank of America Corp., Hewlett-Packard Co., Microsoft Corp., Visa, Inc., and Google, Inc.⁽¹⁾

There is an old saying that “Wall Street climbs a wall of worry.” Over the twenty two months from mid-March 2009 thru mid-January 2011, the stock market has been on a recovery path from the down market of 2008 and early 2009. Although the gains have been significant, the path has been choppy almost like two steps forward then one step back. We believe the fundamentals of valuation that have driven higher valuations over that twenty two month period are still in place. First, as we enter 2011, we see stocks priced a bit below our estimate of intrinsic value. Second, as we bring in 2011 earnings into our valuations and drop off old stale earnings, we expect a boost to valuations. Third, corporate bond credit spreads — the additional yields above Treasury bonds — have been dropping as investors have apparently realized the potential for default is not what they thought it was in late 2008. We see this as a sensible trend that we expect to continue. Starting the year with stocks on sale and expecting a boost in value due to earnings and credit spreads, conditions are right, in our opinion, to support a third straight year of above average market returns. Although surprise news events can cause a choppy path, we expect stock prices to keep climbing that wall of worry.


⁽¹⁾	The Portfolio’s composition is subject to change. Holdings and weightings are as of December 31, 2010.

(continued)


Ohio National Fund, Inc.	U.S. Equity Portfolio (Continued)

Change in Value of $10,000 Investment


	U.S. Equity		S&P Composite
	Portfolio		1500 Index
05/01/2004		10000		10000
06/30/2004		10210		10357
12/31/2004		11710		11142
06/30/2005		11700		11107
12/31/2005		12730		11772
06/30/2006		13310		12131
12/31/2006		13739		13578
06/30/2007		15023		14584
12/31/2007		15549		14320
06/30/2008		12872		12728
12/31/2008		8089		9061
06/30/2009		7731		9376
12/31/2009		9430		11530
06/30/2010		8431		10835
12/31/2010		10605		13419

The S&P Composite 1500 Index is a broad-based capitalization-weighted index of 1500 U.S. companies and is comprised of the S&P 400, S&P 500, and the S&P 600. The index was developed with a base value of 100 as of December 30, 1994. The index presented herein includes the effects of reinvested dividends.

Portfolio Composition as of December 31, 2010 ⁽¹⁾


	% of Net Assets

Common Stocks ⁽³⁾		92.1
Money Market Funds Less Net Liabilities		7.9

		100.0

Top 10 Portfolio Holdings as of December 31, 2010 ^(1) (2)


	% of Net Assets

1.	Microsoft Corp.	3.0
2.	Aflac, Inc.	2.7
3.	Caterpillar, Inc.	2.6
4.	Apple, Inc.	2.5
5.	Chevron Corp.	2.3
6.	Steel Dynamics, Inc.	2.3
7.	Alpha Natural Resources, Inc.	2.3
8.	Time Warner Cable, Inc.	2.2
9.	General Electric Co.	2.1
10.	Wells Fargo & Co.	2.1


⁽¹⁾		Composition of Portfolio subject to change.

⁽²⁾		Short-term investments have been excluded from the list of Top 10 Portfolio Holdings.

⁽³⁾		Sectors:


	% of Net Assets

Industrials		27.6
Consumer Discretionary		16.4
Information Technology		14.4
Materials		11.9
Energy		9.6
Financials		8.4
Consumer Staples		2.0
Telecommunication Services		1.8

		92.1


Ohio National Fund, Inc.	U.S. Equity Portfolio


Schedule of Investments	December 31, 2010


Common Stocks – 92.1%		Shares		Value


CONSUMER DISCRETIONARY – 16.4%
McDonald’s Corp. (Hotels, Restaurants & Leisure)			2,070	$	158,893
Tupperware Brands Corp. (Household Durables)			3,010		143,487
Omnicom Group, Inc. (Media)			2,220		101,676
Time Warner Cable, Inc. (Media)			4,900		323,547
Viacom, Inc. Class B (Media)			3,950		156,459
Walt Disney Co. / The (Media)			3,930		147,414
Family Dollar Stores, Inc. (Multiline Retail)			2,300		114,333
Target Corp. (Multiline Retail)			4,580		275,395
Bed Bath & Beyond, Inc. (Specialty Retail)	(a)		3,040		149,416
Guess?, Inc. (Specialty Retail)			3,360		158,995
Ross Stores, Inc. (Specialty Retail)			2,290		144,843
TJX Cos., Inc. (Specialty Retail)			2,750		122,073
NIKE, Inc. Class B (Textiles, Apparel & Luxury Goods)			2,500		213,550
VF Corp. (Textiles, Apparel & Luxury Goods)			1,060		91,351
Wolverine World Wide, Inc. (Textiles, Apparel & Luxury Goods)			2,480		79,062


					2,380,494

CONSUMER STAPLES – 2.0%
Coca-Cola Co. / The (Beverages)			2,210		145,352
Archer-Daniels-Midland Co. (Food Products)			4,740		142,579


					287,931

ENERGY – 9.6%
Alpha Natural Resources, Inc. (Oil, Gas & Consumable Fuels)	(a)		5,440		326,563
Chevron Corp. (Oil, Gas & Consumable Fuels)			3,640		332,150
ConocoPhillips (Oil, Gas & Consumable Fuels)			4,190		285,339
Exxon Mobil Corp. (Oil, Gas & Consumable Fuels)			2,990		218,629
Massey Energy Co. (Oil, Gas & Consumable Fuels)			1,370		73,501
Valero Energy Corp. (Oil, Gas & Consumable Fuels)			6,640		153,517


					1,389,699

FINANCIALS – 8.4%
U.S. Bancorp (Commercial Banks)			6,060		163,438
Wells Fargo & Co. (Commercial Banks)			9,720		301,223
Cash America International, Inc. (Consumer Finance)			2,030		74,968
Dollar Financial Corp. (Consumer Finance)	(a)		2,480		71,002
EZCORP, Inc. Class A (Consumer Finance)	(a)		5,180		140,533
Aflac, Inc. (Insurance)			6,920		390,496
Hartford Financial Services Group, Inc. (Insurance)			2,800		74,172


					1,215,832

INDUSTRIALS – 27.6%
Alliant Techsystems, Inc. (Aerospace & Defense)	(a)		1,690		125,787
General Dynamics Corp. (Aerospace & Defense)			2,070		146,887
Honeywell International, Inc. (Aerospace & Defense)			1,420		75,487
FedEx Corp. (Air Freight & Logistics)			3,020		280,890
United Parcel Service, Inc. Class B (Air Freight & Logistics)			2,010		145,886
Cooper Industries PLC (Electrical Equip.)			4,290		250,064
Emerson Electric Co. (Electrical Equip.)			3,750		214,388
Thomas & Betts Corp. (Electrical Equip.)	(a)		5,050		243,915
General Electric Co. (Industrial Conglomerates)			17,030		311,479
Siemens AG – ADR (Industrial Conglomerates)			1,530		190,103
Tyco International Ltd. (Industrial Conglomerates)			6,850		283,864
Caterpillar, Inc. (Machinery)			4,090		383,069
Dover Corp. (Machinery)			2,460		143,787
Eaton Corp. (Machinery)			1,400		142,114
Illinois Tool Works, Inc. (Machinery)			4,060		216,804
Parker Hannifin Corp. (Machinery)			820		70,766
Kirby Corp. (Marine)	(a)		6,500		286,325
CSX Corp. (Road & Rail)			2,740		177,031
Union Pacific Corp. (Road & Rail)			1,920		177,907
W.W. Grainger, Inc. (Trading Companies & Distributors)			1,050		145,016

					4,011,569

INFORMATION TECHNOLOGY – 14.4%
Cisco Systems, Inc. (Communications Equip.)	(a)		8,700		176,001
Research In Motion Ltd. (Communications Equip.)	(a)		1,550		90,102
Apple, Inc. (Computers & Peripherals)	(a)		1,110		358,042
Hewlett-Packard Co. (Computers & Peripherals)			6,660		280,386
Corning, Inc. (Electronic Equip., Instr. & Comp.)			7,470		144,320
Google, Inc. Class A (Internet Software & Svs.)	(a)		370		219,769
Accenture PLC Class A (IT Svs.)			3,120		151,289
International Business Machines Corp. (IT Svs.)			1,650		242,154
Microsoft Corp. (Software)			15,520		433,318

					2,095,381

MATERIALS – 11.9%
Praxair, Inc. (Chemicals)			2,270		216,717
RPM International, Inc. (Chemicals)			6,030		133,263
Barrick Gold Corp. (Metals & Mining)			1,340		71,261
Cliffs Natural Resources, Inc. (Metals & Mining)			1,840		143,538
Freeport-McMoRan Copper & Gold, Inc. (Metals & Mining)			2,320		278,609
Kinross Gold Corp. (Metals & Mining)			5,740		108,830
Newmont Mining Corp. (Metals & Mining)			1,210		74,330
Nucor Corp. (Metals & Mining)			4,820		211,212
Steel Dynamics, Inc. (Metals & Mining)			18,070		330,681
Walter Energy, Inc. (Metals & Mining)			1,230		157,243

					1,725,684

TELECOMMUNICATION SERVICES – 1.8%
AT&T, Inc. (Diversified Telecom. Svs.)			8,660		254,431

Total Common Stocks (Cost $11,339,934)				$	13,361,021


Money Market Funds – 7.9%		Shares		Value


Fidelity Institutional Money Market Funds
Money Market Portfolio – Class I			726,000	$	726,000
Federated Prime Cash Obligations Fund
Institutional Class			429,000		429,000

Total Money Market Funds (Cost $1,155,000)				$	1,155,000

Total Investments – 100.0% (Cost $12,494,934)	(b)			$	14,516,021
Liabilities in Excess of Other Assets – (0.0)%					(7,034	)

Net Assets – 100.0%				$	14,508,987

Percentages are stated as a percent of net assets.

Abbreviations:

ADR: American Depository Receipts

Footnotes:


(a)		Non-income producing security.

(b)		Represents cost for financial reporting purposes, which may differ from cost basis for Federal income tax purposes. See also Note 7 of the Notes to Financial Statements.

The accompanying notes are an integral part of these financial statements.


Ohio National Fund, Inc.	Balanced Portfolio

Objective/Strategy

The Balanced Portfolio seeks capital appreciation and income by investing normally up to 75% of its assets in equity securities within under-priced sectors and industries while maintaining a minimum of 25% of its assets in fixed income securities.

Performance as of December 31, 2010


Average Annual Total Returns:
One year			7.78%
Five years			4.56%
Since inception (5/1/04)			5.89%

Comments

For the year ended December 31, 2010, the Balanced Portfolio returned 7.78% versus 13.14% for the current benchmark, which is composed of 60% S&P Composite 1500 Index and 40% Barclays Capital U.S. Universal Index.

The equity market itself experienced five distinct time periods during the 2010 calendar year. 2010 began with a 3% rally in just over three weeks as economic prospects showed continued promise both domestically and overseas. This initial move was quickly reversed as concerns over bank regulation and an economic slowdown in China resulted in an 8% sell-off. Going into the early part of February 2010, we had a value to price ratio of 1.18 for the market as a whole which was the largest reading we had seen in over seven months. As economic fears subsided, investors took advantage of these inexpensive valuations and pushed the market higher as the S&P Composite 1500 Index rose over 16% in just over 2 months. Again, highlighting the lack of conviction within the market, the S&P Composite 1500 Index tumbled by over 15% from the end of April to the beginning of July 2010. This time period also included the infamous “flash crash” as concerns about the solvency of many European countries sent an already shaky market to its lowest level of the year. As mentioned above, in response to debt driven concerns and a slowing economic recovery, many global central banks stepped in to provide a global economic backstop; specifically, the establishment of a massive $1 trillion bailout plan by the European Union and a promise by the U.S. Federal Reserve to keep rates historically low for “an extended period” of time. These actions gave investors the confidence to jump back into the equity markets and the S&P Composite 1500 Index rallied by over 20% to finish the year on a positive note.

Bonds followed a very similar course as volatility and rapid theme changes dominated the fixed income space as well. For example, the yield on the 10 year on-the-run U.S. Treasury began the year at 3.84%, fell all the way down to 2.38% by October 7^th 2010, and then rose significantly to finish the year at a value of 3.29%. This type of yield volatility is both highly unusual and reflective of the uncertain economic environment during the calendar year.

The top sector contributors to performance during calendar year 2010 were Industrials, Materials, and Financials. Overweight positions relative to the benchmark and strong stock selection in these cyclically driven areas contributed positively to the Portfolio’s performance. The top industry contributors to performance during calendar year 2010 were information technology consulting & other services, specialty chemicals, cable & satellite, and electrical components & equipment.⁽¹⁾

Top sector detractors to relative performance during calendar year 2010 were Energy, Telecommunication Services, and Utilities. An underweight position in a strongly performing Energy sector and disappointing stock selection performance in Utilities were the largest detractors to the Portfolio’s relative performance and resulted in the Portfolio’s under-performance. Top industry detractors from performance included oil & gas drilling, packaged food & meats, and multi-utilities.⁽¹⁾

Heading into 2011, we still find value in the equity market. With the continuation of the narrowing of credit spreads towards their ten-year average and better than predicted earnings reports, we expect to continue to see value in equities in the near term. The Portfolio is currently positioned at 60% equities and 40% bonds. Based on value and relative strength, the equity portion of the Portfolio continues to be over-weighted in Materials, Consumer Discretionary, and Information Technology. In the bond market, we see most value in medium to lower investment grade corporate bonds.⁽¹⁾


⁽¹⁾	The Portfolio’s composition is subject to change. Holdings and weightings are as of December 31, 2010.

(continued)


Ohio National Fund, Inc.	Balanced Portfolio (Continued)

Change in Value of $10,000 Investment


			60% S&P
			Composite 1500
			Index/40% Barclays
			Capital U.S.
	Balanced Portfolio		Universal Index
05/01/2004		10000		10000
06/30/2004		10370		10219
12/31/2004		11330		10885
06/30/2005		11330		10978
12/31/2005		11723		11382
06/30/2006		12545		11572
12/31/2006		13262		12649
06/30/2007		14235		13268
12/31/2007		14893		13409
06/30/2008		13829		12561
12/31/2008		10881		10357
06/30/2009		11550		10753
12/31/2009		13592		12431
06/30/2010		13023		12252
12/31/2010		14651		14065

The Barclays Capital U.S. Universal Index represents the union of the U.S. Aggregate Index, the U.S. High-Yield Corporate Index, the 144A Index, the Eurodollar Index, the Emerging Markets Index, the non-ERISA portion of the Commercial Mortgage-Backed Securities (CMBS) Index and the CMBS High-Yield Index. All securities in this market-value weighted index have at least one year remaining to maturity and meet certain minimum issue size criteria.

Portfolio Composition as of December 31, 2010 ⁽¹⁾


	% of Net Assets

Common Stocks ⁽³⁾		54.9
Corporate Bonds ⁽³⁾		33.1
U.S. Government Agency Issues		1.7
U.S. Treasury Obligations		6.5
Money Market Funds and Other Net Assets		3.8

		100.0

Top 10 Portfolio Holdings as of December 31, 2010 ^(1) (2)


	% of Net Assets

1.	U.S. Treasury Note 2.625%, 11/15/2020	6.5
2.	PPL Energy Supply LLC 6.500%, 05/01/2018	1.9
3.	Exxon Mobil Corp.	1.6
4.	International Business Machines Corp.	1.6
5.	American International Group, Inc. 8.250%, 08/15/2018	1.6
6.	General Electric Co.	1.5
7.	Rohm and Haas Co. 5.600%, 03/15/2013	1.5
8.	Chevron Corp.	1.4
9.	Comcast Corp. Class A	1.4
10.	Toys R Us, Inc. 7.375%, 10/15/2018	1.4


⁽¹⁾		Composition of Portfolio subject to change.

⁽²⁾		Short-term investments have been excluded from the list of Top 10 Portfolio Holdings.

⁽³⁾		Sectors (combined):


	% of Net Assets

Financials		27.4
Industrials		11.0
Information Technology		10.1
Consumer Discretionary		9.2
Materials		7.8
Health Care		6.4
Utilities		5.2
Consumer Staples		5.0
Energy		5.0
Telecommunication Services		0.9

		88.0


Ohio National Fund, Inc.	Balanced Portfolio


Schedule of Investments	December 31, 2010


Common Stocks – 54.9%		Shares		Value


CONSUMER DISCRETIONARY – 6.2%
Panera Bread Co. Class A (Hotels, Restaurants & Leisure)	(a)		670	$	67,811
Comcast Corp. Class A (Media)			9,000		197,730
Time Warner Cable, Inc. (Media)			1,500		99,045
Target Corp. (Multiline Retail)			1,520		91,398
Aeropostale, Inc. (Specialty Retail)	(a)		3,500		86,240
GameStop Corp. Class A (Specialty Retail)	(a)		2,500		57,200
Guess?, Inc. (Specialty Retail)			1,500		70,980
Lowe’s Cos., Inc. (Specialty Retail)			3,000		75,240
TJX Cos., Inc. (Specialty Retail)			3,590		159,360

					905,004

CONSUMER STAPLES – 2.4%
PepsiCo, Inc. (Beverages)			1,000		65,330
CVS Caremark Corp. (Food & Staples Retailing)			1,820		63,281
Kroger Co. / The (Food & Staples Retailing)			4,000		89,440
Sysco Corp. (Food & Staples Retailing)			2,200		64,680
Archer-Daniels-Midland Co. (Food Products)			2,000		60,160

					342,891

ENERGY – 4.2%
Tidewater, Inc. (Energy Equip. & Svs.)			1,410		75,914
Chevron Corp. (Oil, Gas & Consumable Fuels)			2,280		208,050
Exxon Mobil Corp. (Oil, Gas & Consumable Fuels)			3,250		237,640
Marathon Oil Corp. (Oil, Gas & Consumable Fuels)			2,200		81,466

					603,070

FINANCIALS – 12.1%
U.S. Bancorp (Commercial Banks)			3,000		80,910
Wells Fargo & Co. (Commercial Banks)			5,000		154,950
World Acceptance Corp. (Consumer Finance)	(a)		1,660		87,648
Bank of America Corp. (Diversified Financial Svs.)			8,000		106,720
Citigroup, Inc. (Diversified Financial Svs.)	(a)		30,000		141,900
IntercontinentalExchange, Inc. (Diversified Financial Svs.)	(a)		1,000		119,150
JPMorgan Chase & Co. (Diversified Financial Svs.)			3,000		127,260
Aflac, Inc. (Insurance)			1,700		95,931
Allstate Corp. / The (Insurance)			2,500		79,700
Delphi Financial Group, Inc. Class A (Insurance)			3,000		86,520
HCC Insurance Holdings, Inc. (Insurance)			4,500		130,230
MetLife, Inc. (Insurance)			1,500		66,660
Reinsurance Group of America, Inc. (Insurance)			1,000		53,710
Sun Life Financial, Inc. (Insurance)			2,500		75,250
Travelers Cos., Inc. / The (Insurance)			1,500		83,565
Willis Group Holdings PLC (Insurance)			3,500		121,205
Annaly Capital Management, Inc. (Real Estate Investment Trusts)			7,800		139,776

					1,751,085

HEALTH CARE – 6.4%
Covidien PLC (Health Care Equip. & Supplies)			720		32,875
Stryker Corp. (Health Care Equip. & Supplies)			740		39,738
Aetna, Inc. (Health Care Providers & Svs.)			3,000		91,530
AmerisourceBergen Corp. (Health Care Providers & Svs.)			2,000		68,240
Cardinal Health, Inc. (Health Care Providers & Svs.)			1,000		38,310
Laboratory Corp of America Holdings (Health Care Providers & Svs.)	(a)		1,800		158,256
McKesson Corp. (Health Care Providers & Svs.)			2,000		140,760
Abbott Laboratories (Pharmaceuticals)			1,500		71,865
Eli Lilly & Co. (Pharmaceuticals)			1,000		35,040
Johnson & Johnson (Pharmaceuticals)			1,550		95,867
Merck & Co., Inc. (Pharmaceuticals)			2,000		72,080
Pfizer, Inc. (Pharmaceuticals)			5,000		87,550

					932,111

INDUSTRIALS – 8.0%
General Dynamics Corp. (Aerospace & Defense)			1,500		106,440
L-3 Communications Holdings, Inc. (Aerospace & Defense)			1,300		91,637
Lockheed Martin Corp. (Aerospace & Defense)			400		27,964
Northrop Grumman Corp. (Aerospace & Defense)			500		32,390
Delta Air Lines, Inc. (Airlines)	(a)		6,000		75,600
Cooper Industries PLC (Electrical Equip.)			1,220		71,114
Hubbell, Inc. Class B (Electrical Equip.)			2,000		120,260
Thomas & Betts Corp. (Electrical Equip.)	(a)		1,500		72,450
General Electric Co. (Industrial Conglomerates)			11,970		218,931
Danaher Corp. (Machinery)			2,000		94,340
FTI Consulting, Inc. (Professional Svs.)	(a)		2,500		93,200
Canadian National Railway Co. (Road & Rail)			1,040		69,129
CSX Corp. (Road & Rail)			1,230		79,470

					1,152,925

(continued)


Ohio National Fund, Inc.	Balanced Portfolio (Continued)


Schedule of Investments	December 31, 2010


Common Stocks (Continued)						Shares		Value


INFORMATION TECHNOLOGY – 8.3%
Comtech Telecommunications Corp. (Communications Equip.)							2,500	$	69,325
Hewlett-Packard Co. (Computers & Peripherals)							2,580		108,618
Seagate Technology PLC (Computers & Peripherals)	(a)						4,000		60,120
Avnet, Inc. (Electronic Equip., Instr. & Comp.)	(a)						2,500		82,575
Accenture PLC Class A (IT Svs.)							1,220		59,158
Automatic Data Processing, Inc. (IT Svs.)							2,500		115,700
CACI International, Inc. Class A (IT Svs.)	(a)						1,500		80,100
Cognizant Technology Solutions Corp. Class A (IT Svs.)	(a)						1,910		139,984
International Business Machines Corp. (IT Svs.)							1,600		234,816
Mastercard, Inc. Class A (IT Svs.)							520		116,537
Microsoft Corp. (Software)							5,020		140,158

									1,207,091

MATERIALS – 4.2%
Lubrizol Corp. (Chemicals)							1,200		128,256
Monsanto Co. (Chemicals)							1,700		118,388
Barrick Gold Corp. (Metals & Mining)							1,600		85,088
Freeport-McMoRan Copper & Gold, Inc. (Metals & Mining)							1,000		120,090
Kinross Gold Corp. (Metals & Mining)							8,000		151,680

									603,502

TELECOMMUNICATION SERVICES – 0.9%
AT&T, Inc. (Diversified Telecom. Svs.)							2,300		67,574
SK Telecom Co. Ltd. – ADR (Wireless Telecom. Svs.)							3,500		65,205

									132,779

UTILITIES – 2.2%
Exelon Corp. (Electric Utilities)							1,690		70,372
FirstEnergy Corp. (Electric Utilities)							1,700		62,934
Consolidated Edison, Inc. (Multi-Utilities)							1,250		61,963
Public Service Enterprise Group, Inc. (Multi-Utilities)							1,950		62,030
RWE AG – ADR (Multi-Utilities)							1,000		66,390

									323,689

Total Common Stocks (Cost $7,026,022)								$	7,954,147


Corporate Bonds – 33.1%		Rate		Maturity		Face Amount		Value


CONSUMER DISCRETIONARY – 3.0%
Daimler Finance North America LLC (Automobiles)			6.500%		11/15/2013		30,000		33,985
Fortune Brands, Inc. (Household Durables)			4.875%		12/01/2013		50,000		52,278
Time Warner Cable, Inc. (Media)			5.000%		02/01/2020		50,000		51,550
Dillard’s, Inc. (Multiline Retail)			9.125%		08/01/2011		46,000		47,955
J.C. Penney Corp., Inc. (Multiline Retail)			7.950%		04/01/2017		50,000		54,750
Toys R Us, Inc. (Specialty Retail)			7.375%		10/15/2018		200,000		197,000

									437,518

CONSUMER STAPLES – 2.6%
CVS Caremark Corp. (Food & Staples Retailing)			4.750%		05/18/2020		50,000		52,011
Dean Foods Co. (Food Products)			6.900%		10/15/2017		50,000		43,625
Kraft Foods, Inc. (Food Products)			6.125%		08/23/2018		100,000		114,517
Lorillard Tobacco Co. (Tobacco)			6.875%		05/01/2020		50,000		51,730
Reynolds American, Inc. (Tobacco)			7.250%		06/01/2013		100,000		111,329

									373,212

ENERGY – 0.8%
Massey Energy Co. (Oil, Gas & Consumable Fuels)			6.875%		12/15/2013		50,000		50,875
Petrobras International Finance Co. – Pifco (Oil, Gas & Consumable Fuels)			7.750%		09/15/2014		50,000		58,759

									109,634

FINANCIALS – 15.3%
Goldman Sachs Group, Inc. / The (Capital Markets)			5.125%		01/15/2015		100,000		107,536
Merrill Lynch & Co., Inc. (Capital Markets)			5.000%		02/03/2014		10,000		10,356
Merrill Lynch & Co., Inc. (Capital Markets)			5.450%		02/05/2013		150,000		158,297
Merrill Lynch & Co., Inc. (Capital Markets)	(b)		3.190%		05/05/2014		150,000		151,693
Morgan Stanley (Capital Markets)			5.375%		10/15/2015		100,000		105,147
Morgan Stanley (Capital Markets)	(b)		0.769%		10/15/2015		100,000		93,866
Morgan Stanley (Capital Markets)	(c)		3.500%		10/15/2020		50,000		48,086
UBS AG (Capital Markets)			5.875%		12/20/2017		100,000		110,141
Wachovia Corp. (Commercial Banks)			5.750%		02/01/2018		50,000		55,597
Wells Fargo Bank NA (Commercial Banks)	(b)		0.494%		05/16/2016		100,000		92,576
HSBC Finance Corp. (Consumer Finance)			7.000%		05/15/2012		50,000		53,665
HSBC Finance Corp. (Consumer Finance)			6.375%		11/27/2012		50,000		54,233
HSBC Finance Corp. (Consumer Finance)	(b)		3.370%		11/10/2013		100,000		101,593
Bank of America NA (Diversified Financial Svs.)	(b)		0.602%		06/15/2017		50,000		43,480
Bear Stearns Cos. LLC / The (Diversified Financial Svs.)	(b)		0.674%		11/21/2016		50,000		47,227
Citigroup, Inc. (Diversified Financial Svs.)			5.125%		05/05/2014		40,000		42,475
Citigroup, Inc. (Diversified Financial Svs.)			5.300%		10/17/2012		50,000		52,975
Citigroup, Inc. (Diversified Financial Svs.)			6.000%		08/15/2017		50,000		54,309
American International Group, Inc. (Insurance)			4.250%		05/15/2013		100,000		103,717

(continued)


Ohio National Fund, Inc.	Balanced Portfolio (Continued)


Schedule of Investments	December 31, 2010


Corporate Bonds (Continued)		Rate		Maturity		Face Amount		Value


FINANCIALS (continued)
American International Group, Inc. (Insurance)			8.250%		08/15/2018		200,000	$	231,080
American International Group, Inc. (Insurance)			5.375%		10/18/2011		50,000		51,662
Delphi Financial Group, Inc. (Insurance)			7.875%		01/31/2020		50,000		53,502
Hartford Financial Services Group, Inc. (Insurance)			5.375%		03/15/2017		50,000		50,956
Hartford Financial Services Group, Inc. (Insurance)			6.300%		03/15/2018		100,000		106,646
Prudential Financial, Inc. (Insurance)			5.100%		09/20/2014		100,000		107,508
Prudential Financial, Inc. (Insurance)			6.100%		06/15/2017		50,000		55,319
Swiss Re Solutions Holding Corp. (Insurance)			7.000%		02/15/2026		40,000		41,540
Unum Group (Insurance)			7.190%		02/01/2028		30,000		26,996

									2,212,178

INDUSTRIALS – 3.0%
L-3 Communications Corp. (Aerospace & Defense)			4.750%		07/15/2020		50,000		49,217
R.R. Donnelley & Sons Co. (Commercial Svs. & Supplies)			6.125%		01/15/2017		150,000		153,527
General Electric Co. (Industrial Conglomerates)			5.000%		02/01/2013		15,000		16,043
Ingersoll-Rand Global Holding Co. Ltd. (Machinery)			9.500%		04/15/2014		100,000		120,558
Ryder System, Inc. (Road & Rail)			5.000%		04/01/2011		100,000		100,879

									440,224

INFORMATION TECHNOLOGY – 1.8%
Fiserv, Inc. (IT Svs.)			4.625%		10/01/2020		50,000		48,658
Western Union Co. / The (IT Svs.)			5.400%		11/17/2011		100,000		103,980
Xerox Corp. (Office Electronics)			5.650%		05/15/2013		100,000		108,447

									261,085

MATERIALS – 3.6%
Rohm and Haas Co. (Chemicals)			5.600%		03/15/2013		200,000		213,949
Alcoa, Inc. (Metals & Mining)			5.720%		02/23/2019		150,000		152,374
AngloGold Ashanti Holdings PLC (Metals & Mining)			5.375%		04/15/2020		100,000		104,190
Southern Copper Corp. (Metals & Mining)			5.375%		04/16/2020		50,000		50,799

									521,312

UTILITIES – 3.0%
Arizona Public Service Co. (Electric Utilities)			6.375%		10/15/2011		50,000		52,079
Exelon Generation Co. LLC (Electric Utilities)			5.350%		01/15/2014		100,000		108,333
PPL Energy Supply LLC (Ind. Power Prod. & Energy Traders)			6.500%		05/01/2018		250,000		278,766

									439,178

Total Corporate Bonds (Cost $4,518,571)								$	4,794,341


U.S. Government Agency Issues – 1.7%		Rate		Maturity		Face Amount		Value


Federal Home Loan Bank			5.375%		08/15/2018	$	20,000	$	22,994
Federal Home Loan Bank			4.500%		09/16/2013		20,000		21,853
Federal National Mortgage Association			5.500%		03/15/2011		100,000		101,055
Federal National Mortgage Association			5.250%		08/01/2012		100,000		106,871

Total U.S. Government Agency Issues (Cost $240,478)								$	252,773


U.S. Treasury Obligations – 6.5%		Rate		Maturity		Face Amount		Value


U.S. Treasury Note			2.625%		11/15/2020	$	1,000,000	$	943,438

Total U.S. Treasury Obligations (Cost $961,335)								$	943,438


Money Market Funds – 3.3%						Shares		Value


Fidelity Institutional Money Market Funds
Money Market Portfolio – Class I							483,000	$	483,000

Total Money Market Funds (Cost $483,000)								$	483,000

Total Investments – 99.5% (Cost $13,229,406)	(d)							$	14,427,699
Other Assets in Excess of Liabilities – 0.5%									65,247

Net Assets – 100.0%								$	14,492,946

Percentages are stated as a percent of net assets.

Abbreviations:

ADR: American Depositary Receipts

Footnotes:


(a)		Non-income producing security.

(b)		Security is a variable rate instrument in which the coupon rate is adjusted monthly or quarterly in concert with U.S. LIBOR or Consumer Price Index. Interest rates stated are those in effect at December 31, 2010.

(c)		Security was initially issued at one coupon rate, but the coupon rate is scheduled to be updated at later specified dates. The coupon rate shown is the rate that is in effect at December 31, 2010.

(d)		Represents cost for financial reporting purposes, which may differ from cost basis for Federal income tax purposes. See also Note 7 of the Notes to Financial Statements.

The accompanying notes are an integral part of these financial statements.


Ohio National Fund, Inc.	Income Opportunity Portfolio

Objective/Strategy

The Income Opportunity Portfolio seeks modest capital appreciation and maximization of realized gains by investing in equity securities traded in the U.S.

Performance as of December 31, 2010


Average Annual Total Returns:
One year			7.15%
Five years			1.61%
Since inception (5/1/04)			2.76%

Comments

For the year ended December 31, 2010, the Income Opportunity Portfolio returned 7.15% versus 16.38% for the current benchmark, the S&P Composite 1500 Index.

The Portfolio lagged its benchmark, but with significantly less volatility. The entire year was marked by several extreme market swings as ongoing concerns over global economic conditions roiled the U.S. equity market and sent it on a roller coaster ride. Persistent investor anxiety over the high unemployment rate, a possible double dip recession, and the perceived simultaneous threat of potential hyper-inflation and potential spiraling prices resulting in deflation all wreaked havoc on the mindset of investors. Distress in foreign nations exacerbated these domestic economic concerns. In the Eurozone, the risk of sovereign debt defaults, particularly in Greece, sent intermittent shockwaves through global financial markets. This extreme uncertainty translated into the severe market volatility that marked the year.

The Portfolio’s hedging strategy of writing S&P 500 Index call options and buying out-of-the money S&P 500 Index put options dampened the effect of market volatility on the Portfolio during the severe short-term market drops. However, the trade-off, as would be expected, resulted in the reduction of the Portfolio’s relative performance. The other primary factor that contributed to the Portfolio’s relative under-performance was the Portfolio’s composition. ICON’s active industry rotation management style can have a positive or negative impact on the Portfolio’s performance. In 2010, the stocks held in the portfolio under-performed the S&P Composite 1500 Index by about 2.6%.⁽¹⁾

The Industrials and Consumer Discretionary sectors were the two major contributors to the Portfolio’s positive performance. Both are economically-sensitive sectors. Despite the market volatility, equities rose in 2010 as the economy continued its bumpy recovery. Cyclically oriented sectors such as Industrials and Consumer Discretionary were among the leaders as the broad based equity rally took all sectors higher. Positions in the Health Care and Utilities sectors were among the lowest contributors to performance. While adding to the Portfolio’s positive return for the year, they did not keep pace with the economically-sensitive sectors. Defensive-oriented sectors, while all positive, significantly lagged the broad market over the year.⁽¹⁾

At the industry level, major contributors to the Portfolio’s performance were integrated oil & gas, construction & farm machinery, railroads, industrial machinery, and general merchandise stores. Just as was the case at the sector level, cyclically-oriented industries led the market higher over the year. Among industry detractors from the Portfolio’s performance were home improvement retail, other diversified financial services diversified capital markets, pharmaceuticals, and commodity chemicals. Despite its cyclical orientation it appears in hindsight that the home improvement retail industry was weighed down by ongoing weakness in the housing market.⁽¹⁾

Drilling down to the individual stock level, the five top contributors to the Portfolio’s performance were Apple, Inc., Caterpillar, Inc., Union Pacific Corp., ConocoPhillips, and Altria Group, Inc. The top five detractors from the Portfolio’s performance were Bank of America Corp., Hewlett-Packard Co., Lowe’s Cos., Home Depot, Inc., and Google, Inc.⁽¹⁾

On an absolute return basis, the top five performers were Vale S.A.-ADR, Eaton Corp., Time Warner Cable, Inc., Parker Hannifin Corp., and AutoZone, Inc. The bottom five performers were Bank of America Corp., Covance, Inc., Calgon Carbon Corp., Con-Way Inc., and Best Buy Co.⁽¹⁾

Headed into 2011, our market value-to-price ratio of 1.06 indicates that there is still room for a continuation of the rally that began in March of 2009. The theme of this rally has been the leadership among economically-sensitive sectors. With interest rates on U.S. Treasuries still hovering at historically low levels, corporate earnings continuing to show strength, and the Federal Reserve remaining supportive to economic growth, we believe the cyclically-oriented sectors should continue to lead the market advance.

We are maintaining the Portfolio’s significant overweight position relative to the benchmark in the Industrials sector, as well as an overweight position in the Materials sector headed into the new calendar year. That said, with the market value-to-price ratio down to 1.06, we do not discount the possibility of lower equity returns relative to the past two years. So, while we remain bullish based on the market’s current valuation, the huge market rally we have experienced over about the past two years could be at a maturing stage. Thus, we enter the year with a more significant options hedge than we have had since the bull market began.⁽¹⁾


⁽¹⁾	The Portfolio’s composition is subject to change. Holdings and weightings are as of December 31, 2010.

(continued)


Ohio National Fund, Inc.	Income Opportunity Portfolio (Continued)

Change in Value of $10,000 Investment


	Income Opportunity		S&P Composite
	Portfolio		1500 Index
05/01/2004		10000		10000
06/30/2004		10230		10357
12/31/2004		10750		11142
06/30/2005		10700		11107
12/31/2005		11070		11772
06/30/2006		11080		12131
12/31/2006		11530		13578
06/30/2007		12170		14584
12/31/2007		12490		14320
06/30/2008		11850		12728
12/31/2008		9890		9061
06/30/2009		9760		9376
12/31/2009		11190		11530
06/30/2010		10810		10835
12/31/2010		11990		13419

Portfolio Composition as of December 31, 2010 ⁽¹⁾


	% of Net Assets

Common Stocks ⁽³⁾		103.6
Written Options Outstanding		(3.0)
Purchased Options		0.1
Money Market Funds Less Net Liabilities		(0.7)

		100.0

Top 10 Portfolio Holdings as of December 31, 2010 ^(1) (2)


	% of Net Assets

1.	Apple, Inc.	3.3
2.	International Business Machines Corp.	2.9
3.	Microsoft Corp.	2.4
4.	Chevron Corp.	2.3
5.	AT&T, Inc.	2.3
6.	Wells Fargo & Co.	2.2
7.	ConocoPhillips	2.1
8.	PepsiCo, Inc.	2.0
9.	Intel Corp.	1.9
10.	CSX Corp.	1.8


⁽¹⁾		Composition of Portfolio subject to change.

⁽²⁾		Short-term investments have been excluded from the list of Top 10 Portfolio Holdings.

⁽³⁾		Sectors:


	% of Net Assets

Industrials		19.5
Information Technology		17.8
Financials		14.1
Consumer Discretionary		14.1
Consumer Staples		10.0
Energy		9.6
Materials		5.0
Utilities		5.0
Health Care		4.3
Telecommunication Services		4.2

		103.6


Ohio National Fund, Inc.	Income Opportunity Portfolio


Schedule of Investments	December 31, 2010


Common Stocks – 103.6%		Shares		Value


CONSUMER DISCRETIONARY – 14.1%
Genuine Parts Co. (Distributors)			1,300	$	66,742
Darden Restaurants, Inc. (Hotels, Restaurants & Leisure)			1,400		65,016
McDonald’s Corp. (Hotels, Restaurants & Leisure)	(b)		1,700		130,492
DIRECTV Class A (Media)	(a)		1,600		63,888
Time Warner Cable, Inc. (Media)	(b)		1,800		118,854
Time Warner, Inc. (Media)			1,900		61,123
Viacom, Inc. Class B (Media)			2,200		87,142
Walt Disney Co. / The (Media)	(b)		3,700		138,787
Dollar Tree, Inc. (Multiline Retail)	(a)(b)		900		50,472
Family Dollar Stores, Inc. (Multiline Retail)	(b)		1,500		74,565
Target Corp. (Multiline Retail)	(b)		1,800		108,234
AutoZone, Inc. (Specialty Retail)	(a)(b)		400		109,036
Guess?, Inc. (Specialty Retail)			1,400		66,248
Jos. A Bank Clothiers, Inc. (Specialty Retail)	(a)(b)		950		38,304
O’Reilly Automotive, Inc. (Specialty Retail)	(a)		400		24,168
Ross Stores, Inc. (Specialty Retail)			700		44,275
TJX Cos., Inc. (Specialty Retail)	(b)		1,700		75,463
Wolverine World Wide, Inc. (Textiles, Apparel & Luxury Goods)			1,200		38,256

					1,361,065

CONSUMER STAPLES – 10.0%
Constellation Brands, Inc. Class A (Beverages)	(a)		2,000		44,300
PepsiCo, Inc. (Beverages)	(b)		2,892		188,934
Sysco Corp. (Food & Staples Retailing)	(b)		2,300		67,620
Wal-Mart Stores, Inc. (Food & Staples Retailing)			2,300		124,039
Archer-Daniels-Midland Co. (Food Products)			2,700		81,216
Bunge Ltd. (Food Products)			600		39,312
Campbell Soup Co. (Food Products)	(b)		3,300		114,675
ConAgra Foods, Inc. (Food Products)	(b)		3,100		69,998
Clorox Co. (Household Products)			800		50,624
Kimberly-Clark Corp. (Household Products)			800		50,432
Altria Group, Inc. (Tobacco)	(b)		3,600		88,632
Reynolds American, Inc. (Tobacco)			1,400		45,668

					965,450

ENERGY – 9.6%
Halliburton Co. (Energy Equip. & Svs.)			2,000		81,660
Tidewater, Inc. (Energy Equip. & Svs.)			1,000		53,840
Alliance Resource Partners LP (Oil, Gas & Consumable Fuels)			600		39,456
Chevron Corp. (Oil, Gas & Consumable Fuels)	(b)		2,400		219,000
China Petroleum & Chemical Corp. – ADR (Oil, Gas & Consumable Fuels)			500		47,845
ConocoPhillips (Oil, Gas & Consumable Fuels)	(b)		3,000		204,300
Murphy Oil Corp. (Oil, Gas & Consumable Fuels)			600		44,730
Occidental Petroleum Corp. (Oil, Gas & Consumable Fuels)	(b)		1,300		127,530
Royal Dutch Shell PLC – ADR (Oil, Gas & Consumable Fuels)			700		46,746
Southern Union Co. (Oil, Gas & Consumable Fuels)			1,200		28,884
TransCanada Corp. (Oil, Gas & Consumable Fuels)			800		30,432

					924,423

FINANCIALS – 14.1%
Ameriprise Financial, Inc. (Capital Markets)	(b)		500		28,775
Bank of New York Mellon Corp. / The (Capital Markets)			2,100		63,420
Goldman Sachs Group, Inc. / The (Capital Markets)			900		151,344
U.S. Bancorp (Commercial Banks)	(b)		2,900		78,213
Wells Fargo & Co. (Commercial Banks)	(b)		7,000		216,930
American Express Co. (Consumer Finance)			1,400		60,088
Ezcorp, Inc. Class A (Consumer Finance)	(a)(b)		2,900		78,677
NASDAQ OMX Group, Inc. / The (Diversified Financial Svs.)	(a)		1,400		33,194
Allstate Corp. / The (Insurance)	(b)		2,200		70,136
American Financial Group, Inc. (Insurance)			1,300		41,977
Assurant, Inc. (Insurance)			1,100		42,372
Delphi Financial Group, Inc. Class A (Insurance)	(b)		1,500		43,260
Horace Mann Educators Corp. (Insurance)	(b)		4,600		82,984
Loews Corp. (Insurance)			2,000		77,820
Progressive Corp. / The (Insurance)			1,300		25,831
Prudential Financial, Inc. (Insurance)	(b)		1,800		105,678
Torchmark Corp. (Insurance)	(b)		1,300		77,662
Travelers Cos., Inc. / The (Insurance)	(b)		600		33,426
Annaly Capital Management, Inc. (Real Estate Investment Trusts)			1,600		28,672
Anworth Mortgage Asset Corp. (Real Estate Investment Trusts)			3,800		26,600

					1,367,059

HEALTH CARE – 4.3%
Varian Medical Systems, Inc. (Health Care Equip. & Supplies)	(a)(b)		1,100		76,208
Aetna, Inc. (Health Care Providers & Svs.)	(b)		800		24,408
AmerisourceBergen Corp. (Health Care Providers & Svs.)	(b)		900		30,708
Cardinal Health, Inc. (Health Care Providers & Svs.)	(b)		900		34,479
Express Scripts, Inc. (Health Care Providers & Svs.)	(a)(b)		600		32,430
Bristol-Myers Squibb Co. (Pharmaceuticals)			2,700		71,496
Eli Lilly & Co. (Pharmaceuticals)	(b)		2,300		80,592
Medicis Pharmaceutical Corp. Class A (Pharmaceuticals)			800		21,432
Merck & Co., Inc. (Pharmaceuticals)			1,300		46,852

					418,605

INDUSTRIALS – 19.5%
General Dynamics Corp. (Aerospace & Defense)			500		35,480
Honeywell International, Inc. (Aerospace & Defense)			800		42,528
Northrop Grumman Corp. (Aerospace & Defense)	(b)		1,400		90,692
Raytheon Co. (Aerospace & Defense)			1,300		60,242
United Technologies Corp. (Aerospace & Defense)	(b)		1,400		110,208
United Parcel Service, Inc. Class B (Air Freight & Logistics)	(b)		1,200		87,096
Alaska Air Group, Inc. (Airlines)	(a)		1,500		85,035
Delta Air Lines, Inc. (Airlines)	(a)		4,200		52,920
AMETEK, Inc. (Electrical Equip.)			1,050		41,213
Cooper Industries PLC (Electrical Equip.)			1,800		104,922
Thomas & Betts Corp. (Electrical Equip.)	(a)(b)		600		28,980
3M Co. (Industrial Conglomerates)	(b)		2,000		172,600
General Electric Co. (Industrial Conglomerates)	(b)		4,200		76,818
Siemens AG – ADR (Industrial Conglomerates)	(b)		300		37,275
Barnes Group, Inc. (Machinery)			2,400		49,608
Caterpillar, Inc. (Machinery)	(b)		1,700		159,222
Deere & Co. (Machinery)			800		66,440
Dover Corp. (Machinery)			700		40,915
Eaton Corp. (Machinery)	(b)		500		50,755
Ingersoll-Rand PLC (Machinery)			1,100		51,799
Parker Hannifin Corp. (Machinery)			400		34,520
CSX Corp. (Road & Rail)	(b)		2,700		174,447
Union Pacific Corp. (Road & Rail)	(b)		1,700		157,522
W.W. Grainger, Inc. (Trading Companies & Distributors)	(b)		500		69,055

					1,880,292

INFORMATION TECHNOLOGY – 17.8%
Cisco Systems, Inc. (Communications Equip.)	(a)		2,200		44,506
Harris Corp. (Communications Equip.)			1,400		63,420
Apple, Inc. (Computers & Peripherals)	(a)(b)		1,000		322,560
EMC Corp. (Computers & Peripherals)	(a)		2,700		61,830

(continued)


Ohio National Fund, Inc.	Income Opportunity Portfolio (Continued)


Schedule of Investments	December 31, 2010


Common Stocks (Continued)		Shares		Value


INFORMATION TECHNOLOGY (continued)
Hewlett-Packard Co. (Computers & Peripherals)	(b)		1,800	$	75,780
Accenture PLC Class A (IT Svs.)			2,100		101,829
Automatic Data Processing, Inc. (IT Svs.)			2,400		111,072
Cognizant Technology Solutions Corp. Class A (IT Svs.)	(a)		500		36,645
International Business Machines Corp. (IT Svs.)			1,900		278,844
Altera Corp. (Semiconductors & Equip.)			2,500		88,950
Intel Corp. (Semiconductors & Equip.)	(b)		8,900		187,167
Texas Instruments, Inc. (Semiconductors & Equip.)			2,400		78,000
Intuit, Inc. (Software)	(a)		600		29,580
Microsoft Corp. (Software)	(b)		8,400		234,528

					1,714,711

MATERIALS – 5.0%
Ashland, Inc. (Chemicals)			800		40,688
Lubrizol Corp. (Chemicals)	(b)		700		74,816
Olin Corp. (Chemicals)	(b)		3,800		77,976
Barrick Gold Corp. (Metals & Mining)			600		31,908
BHP Billiton Ltd. – ADR (Metals & Mining)			400		37,168
Freeport-McMoRan Copper & Gold, Inc. (Metals & Mining)	(b)		700		84,063
Newmont Mining Corp. (Metals & Mining)	(b)		400		24,572
Nucor Corp. (Metals & Mining)	(b)		900		39,438
Steel Dynamics, Inc. (Metals & Mining)	(b)		1,600		29,280
Vale SA – ADR (Metals & Mining)			1,200		41,484

					481,393

TELECOMMUNICATION SERVICES – 4.2%
AT&T, Inc. (Diversified Telecom. Svs.)	(b)		7,400		217,412
Verizon Communications, Inc. (Diversified Telecom. Svs.)	(b)		3,500		125,230
America Movil SAB de CV – ADR (Wireless Telecom. Svs.)			1,200		68,808

					411,450

UTILITIES – 5.0%
American Electric Power Co., Inc. (Electric Utilities)	(b)		1,800		64,764
Entergy Corp. (Electric Utilities)			600		42,498
FirstEnergy Corp. (Electric Utilities)			1,900		70,338
Southern Co. (Electric Utilities)	(b)		2,300		87,929
AGL Resources, Inc. (Gas Utilities)	(b)		2,100		75,285
Wisconsin Energy Corp. (Multi-Utilities)	(b)		1,400		82,404
Xcel Energy, Inc. (Multi-Utilities)			2,400		56,520

					479,738

Total Common Stocks (Cost $8,574,928)				$	10,004,186


Purchased Options – 0.1%	(c)	Contracts		Value


S&P 500 Index Put Option Expiration: January 2011, Exercise Price: $1,080.00			90	$	4,950

Total Purchased Options (Cost $24,903)				$	4,950


Money Market Funds – 1.3%		Shares		Value


Fidelity Institutional Money Market Funds
Money Market Portfolio – Class I			124,000	$	124,000

Total Money Market Funds (Cost $124,000)				$	124,000

Total Investments – 105.0% (Cost $8,723,831)	(d)			$	10,133,136
Total Written Options Outstanding – (3.0)% (see following schedule)					(295,280	)
Liabilities in Excess of Other Assets – (2.0)%					(189,622	)

Net Assets – 100.0%				$	9,648,234

Percentages are stated as a percent of net assets.

Abbreviations:

ADR: American Depositary Receipts

Footnotes:


(a)		Non-income producing security.

(b)		Security is fully or partially pledged as collateral for written call options outstanding. Outstanding written call options are presented in the following schedule.

(c)		100 shares per contract.

(d)		Represents cost for financial reporting purposes, which may differ from cost basis for Federal income tax purposes. See also Note 7 of the Notes to Financial Statements.

The accompanying notes are an integral part of these financial statements.


Ohio National Fund, Inc.	Target VIP Portfolio

Objective/Strategy

The Target VIP Portfolio seeks an above average total return by investing in the common stocks of companies which are identified by a model which applies separate uniquely specialized strategies.

Performance as of December 31, 2010


Average Annual Total Returns:
One year			19.47%
Five years			-1.14%
Since inception (11/2/05)			-.84%

Comments

For the year ended December 31, 2010, the Target VIP Portfolio returned 19.47% versus 16.93% for the current benchmark, the Russell 3000 Index.

U.S. equities backed up their stellar 2009 with another strong year in 2010 as corporate America posted solid earnings growth and economic data pointed toward improving conditions. When taking a step back, however, the year was not without its share of uncertainty. The best way to review the year is to divide it into three distinct segments.

Stocks got off to a sluggish start in January before moving higher amid strong earnings results and prospects of an improving economy. As first quarter earnings season progressed, it became apparent that corporate America was benefiting not only from strict cost controls (resulting in strong margins), but also improving top line results. The March jobs report, which showed the largest monthly job gains in three years, further boosted equities. Through the end of April, the S&P 500 Index gained 7.0% while the small cap Russell 2000 Index rose 15.0%.

The balance of the second quarter saw a reversal that sent the major stock market averages into negative territory for the year. Fear of contagion in Europe spooked global markets, as Greece required a bailout and questions about the long-term viability of the Euro forced investors to take money (and risk) off the table. Greece was not the only trouble spot as Portugal, Ireland and Spain (the quartet somewhat derisively known as “the PIGS”) were also brought in to the picture. In fact, Ireland would require a bailout of its own in the fourth quarter. Stateside, continued sluggishness on the employment front following the March jobs report, along with stalled retail sales growth and major health care and financial legislation held back share prices. From April 30 to June 30, the S&P 500 Index lost 12.8% while the Russell 2000 Index shed 14.7%.

The remainder of the year saw stocks rally and small caps outperform large caps by a healthy margin. The Russell 2000 Index gained 29.3% over the balance of the year. Large caps also performed well returning 23.2% as measured by the S&P 500 Index. The rally into year end was fed by several factors. Sovereign debt fears in Europe, while still very much a concern, subsided as investors determined likely outcomes were already factored into economic growth forecasts and equity prices. The passage of health care and financial reforms, while largely viewed as detrimental to industry profits, removed two lingering unknowns that allowed investors to more accurately gauge long-term impacts. A Republican takeover of the House of Representatives and substantial gains in the Senate during the November mid-term elections brought prospects of a more business friendly Washington. Finally, the Federal Reserve’s “QE2” asset purchases and a temporary extension of the Bush era tax cuts provided investors more reason to add risk back to their portfolios and equities were bid higher.

The end result was a very solid year for equities which saw the major market averages take back the levels last seen prior to the collapse of Lehman Brothers in the fall of 2008. While many remained skeptical, economic data continued to point toward improving conditions throughout the year. Economically-sensitive sectors such as Consumer Discretionary and Industrials led the rally, while the more defensive Utilities and Health Care sectors lagged. Growth stocks outperformed value for the year as investors favored higher growth names, although value outperformed growth at the end of the year.

The Portfolio outperformed the Russell 3000 Index in 2010. The top performing stocks were the following: Netflix, Inc., up 218.9%; Deckers Outdoor Corp., up 135.2%; Baidu, Inc., up 134.7%; Baldor Electric Co., up 126.8%; Chart Industries, Inc., up 104.5%; WESCO International, Inc., up 95.5%; priceline.com, Inc., up 82.9%; Syniverse Holdings, Inc., up 76.5%; Middleby Corp., up 72.2%; and Herbalife Ltd., up 70.7%.⁽¹⁾

Stock selection in Information Technology, Industrials, and Consumer Discretionary sectors was the main contributor to relative out-performance during the year. Consumer Staples also added to relative performance, primarily due to selection. Energy holdings in the Portfolio underperformed the benchmark on a relative basis, however. An underweight position in the sector also detracted from Portfolio performance during the year.⁽¹⁾


⁽¹⁾	The Portfolio’s composition is subject to change. Holdings and weightings are as of December 31, 2010.

(continued)


Ohio National Fund, Inc.	Target VIP Portfolio (Continued)

Change in Value of $10,000 Investment


	Target VIP		Russell 3000
	Portfolio		Index
11/02/2005		10000		10000
12/31/2005		10140		10316
06/30/2006		10140		10650
12/31/2006		11231		11938
06/30/2007		12051		12787
12/31/2007		12325		12551
06/30/2008		10652		11165
12/31/2008		6984		7869
06/30/2009		6727		8199
12/31/2009		8015		10099
06/30/2010		7434		9488
12/31/2010		9575		11809

The Russell 3000 Index measures the performance of the largest 3000 U.S. companies representing approximately 98% of the investable U.S. equity market. The Russell 3000 Index is constructed to provide a comprehensive, unbiased, and stable barometer of the broad market and is completely reconstituted annually to ensure new and growing equities are reflected. The index presented includes the effects of reinvested dividends.

Portfolio Composition as of December 31, 2010 ⁽¹⁾


	% of Net Assets

Common Stocks ⁽³⁾		98.2
Money Market Funds and Other Net Assets		1.8

		100.0

Top 10 Portfolio Holdings as of December 31, 2010 ^(1) (2)


	% of Net Assets

1.	Cognizant Technology Solutions Corp. Class A	4.5
2.	priceline.com, Inc.	4.2
3.	Infosys Technologies Ltd. – ADR	3.7
4.	Microsoft Corp.	3.3
5.	Travelers Cos., Inc. / The	3.2
6.	International Business Machines Corp.	3.2
7.	Procter & Gamble Co. / The	3.0
8.	AT&T, Inc.	3.0
9.	Wal-Mart Stores, Inc.	2.9
10.	Merck & Co., Inc.	2.8


⁽¹⁾		Composition of Portfolio subject to change.

⁽²⁾		Short-term investments have been excluded from the list of Top 10 Portfolio Holdings.

⁽³⁾		Sectors:


	% of Net Assets

Information Technology		20.6
Consumer Discretionary		17.7
Health Care		13.3
Consumer Staples		11.1
Telecommunication Services		10.7
Industrials		7.6
Energy		7.5
Financials		6.6
Utilities		2.5
Materials		0.6

		98.2


Ohio National Fund, Inc.	Target VIP Portfolio


Schedule of Investments	December 31, 2010


Common Stocks – 98.2%		Shares		Value


CONSUMER DISCRETIONARY – 17.7%
Fuel Systems Solutions, Inc. (Auto Components)	(a)		751	$	22,064
Lincoln Educational Services Corp. (Diversified Consumer Svs.)			2,520		39,085
Bob Evans Farms, Inc. (Hotels, Restaurants & Leisure)			3,058		100,792
California Pizza Kitchen, Inc. (Hotels, Restaurants & Leisure)	(a)		2,408		41,610
Peet’s Coffee & Tea, Inc. (Hotels, Restaurants & Leisure)	(a)		1,278		53,344
Texas Roadhouse, Inc. (Hotels, Restaurants & Leisure)	(a)		6,987		119,967
Garmin Ltd. (Household Durables)			3,731		115,624
Tupperware Brands Corp. (Household Durables)			2,212		105,446
NetFlix, Inc. (Internet & Catalog Retail)	(a)		1,960		344,372
priceline.com, Inc. (Internet & Catalog Retail)	(a)		2,281		911,374
DISH Network Corp. Class A (Media)	(a)		3,908		76,831
Virgin Media, Inc. (Media)			6,258		170,468
Big 5 Sporting Goods Corp. (Specialty Retail)			1,820		27,791
Dress Barn, Inc. / The (Specialty Retail)	(a)		2,553		67,450
DSW, Inc. Class A (Specialty Retail)	(a)		1,190		46,529
Genesco, Inc. (Specialty Retail)	(a)		2,286		85,702
Guess?, Inc. (Specialty Retail)			3,233		152,986
Hibbett Sports, Inc. (Specialty Retail)	(a)		2,798		103,246
J. Crew Group, Inc. (Specialty Retail)	(a)		2,249		97,022
Jo-Ann Stores, Inc. (Specialty Retail)	(a)		937		56,426
Jos. A Bank Clothiers, Inc. (Specialty Retail)	(a)		2,662		107,332
Men’s Wearhouse, Inc. / The (Specialty Retail)			5,165		129,022
TJX Cos., Inc. (Specialty Retail)			3,717		164,998
Urban Outfitters, Inc. (Specialty Retail)	(a)		9,100		325,871
Coach, Inc. (Textiles, Apparel & Luxury Goods)			2,815		155,698
Culp, Inc. (Textiles, Apparel & Luxury Goods)	(a)		3,232		33,484
Deckers Outdoor Corp. (Textiles, Apparel & Luxury Goods)	(a)		1,296		103,343
Steven Madden Ltd. (Textiles, Apparel & Luxury Goods)	(a)		1,142		47,644
True Religion Apparel, Inc. (Textiles, Apparel & Luxury Goods)	(a)		2,449		54,515

					3,860,036

CONSUMER STAPLES – 11.1%
United Natural Foods, Inc. (Food & Staples Retailing)	(a)		4,134		151,635
Wal-Mart Stores, Inc. (Food & Staples Retailing)			11,708		631,412
Mead Johnson Nutrition Co. (Food Products)			743		46,252
TreeHouse Foods, Inc. (Food Products)	(a)		3,164		161,649
Procter & Gamble Co. / The (Household Products)			10,359		666,394
Herbalife Ltd. (Personal Products)			2,133		145,833
Nu Skin Enterprises, Inc. (Personal Products)			2,196		66,451
Lorillard, Inc. (Tobacco)			577		47,349
Philip Morris International, Inc. (Tobacco)			6,881		402,745
Universal Corp. (Tobacco)			2,462		100,203

					2,419,923

ENERGY – 7.5%
FMC Technologies, Inc. (Energy Equip. & Svs.)	(a)		1,223		108,737
Hornbeck Offshore Services, Inc. (Energy Equip. & Svs.)	(a)		2,516		52,534
National Oilwell Varco, Inc. (Energy Equip. & Svs.)			4,183		281,307
BP PLC – ADR (Oil, Gas & Consumable Fuels)			4,555		201,194
ENI SpA – ADR (Oil, Gas & Consumable Fuels)			5,190		227,011
Peabody Energy Corp. (Oil, Gas & Consumable Fuels)			2,670		170,827
QEP Resources, Inc. (Oil, Gas & Consumable Fuels)			567		20,588
Repsol YPF SA – ADR (Oil, Gas & Consumable Fuels)			9,829		274,622
Royal Dutch Shell PLC – ADR (Oil, Gas & Consumable Fuels)			4,366		291,561

					1,628,381

FINANCIALS – 6.6%
Franklin Resources, Inc. (Capital Markets)			2,490		276,913
GFI Group, Inc. (Capital Markets)			11,854		55,595
T. Rowe Price Group, Inc. (Capital Markets)			2,774		179,034
Banco Santander SA – ADR (Commercial Banks)			15,957		169,942
Travelers Cos., Inc. / The (Insurance)			12,649		704,676
Plum Creek Timber Co., Inc. (Real Estate Investment Trusts)			1,764		66,062

					1,452,222

HEALTH CARE – 13.3%
Abaxis, Inc. (Health Care Equip. & Supplies)	(a)		2,112		56,707
Baxter International, Inc. (Health Care Equip. & Supplies)			4,160		210,579
Intuitive Surgical, Inc. (Health Care Equip. & Supplies)	(a)		2,059		530,707
Stryker Corp. (Health Care Equip. & Supplies)			2,743		147,299
Zoll Medical Corp. (Health Care Equip. & Supplies)	(a)		2,117		78,816
HMS Holdings Corp. (Health Care Providers & Svs.)	(a)		2,538		164,386
Kindred Healthcare, Inc. (Health Care Providers & Svs.)	(a)		3,862		70,945
Cerner Corp. (Health Care Technology)	(a)		1,537		145,615
Computer Programs & Systems, Inc. (Health Care Technology)			1,063		49,791
MedAssets, Inc. (Health Care Technology)	(a)		5,511		111,267
Dionex Corp. (Life Sciences Tools & Svs.)	(a)		1,714		202,269
Parexel International Corp. (Life Sciences Tools & Svs.)	(a)		5,651		119,971
Waters Corp. (Life Sciences Tools & Svs.)	(a)		649		50,434
GlaxoSmithKline PLC – ADR (Pharmaceuticals)			6,231		244,380
Merck & Co., Inc. (Pharmaceuticals)			17,154		618,230
Warner Chilcott PLC Class A (Pharmaceuticals)			4,705		106,145

					2,907,541

INDUSTRIALS – 7.6%
GeoEye, Inc. (Aerospace & Defense)	(a)		1,850		78,421
National Presto Industries, Inc. (Aerospace & Defense)			669		86,977
United Technologies Corp. (Aerospace & Defense)			4,262		335,505
EnergySolutions, Inc. (Commercial Svs. & Supplies)			8,638		48,114
Foster Wheeler AG (Construction & Engineering)	(a)		1,058		36,522
Baldor Electric Co. (Electrical Equip.)			4,525		285,256
Chart Industries, Inc. (Machinery)	(a)		2,802		94,652
Flowserve Corp. (Machinery)			257		30,640
Joy Global, Inc. (Machinery)			1,922		166,733
Middleby Corp. (Machinery)	(a)		1,785		150,690
Robbins & Myers, Inc. (Machinery)			3,254		116,428
Dun & Bradstreet Corp. (Professional Svs.)			236		19,373
WESCO International, Inc. (Trading Companies & Distributors)	(a)		4,171		220,229

					1,669,540

INFORMATION TECHNOLOGY – 20.6%
Western Digital Corp. (Computers & Peripherals)	(a)		7,762		263,132
Amphenol Corp. Class A (Electronic Equip., Instr. & Comp.)			617		32,565
Scansource, Inc. (Electronic Equip., Instr. & Comp.)	(a)		2,569		81,951
Baidu, Inc. – ADR (Internet Software & Svs.)	(a)		4,951		477,920
Cognizant Technology Solutions Corp. Class A (IT Svs.)	(a)		13,272		972,705
Infosys Technologies Ltd. – ADR (IT Svs.)			10,757		818,393
International Business Machines Corp. (IT Svs.)			4,782		701,806
Teradata Corp. (IT Svs.)	(a)		624		25,684
Unisys Corp. (IT Svs.)	(a)		1,499		38,809
Wright Express Corp. (IT Svs.)	(a)		1,329		61,134
Lawson Software, Inc. (Software)	(a)		15,765		145,826
Microsoft Corp. (Software)			25,657		716,343
Progress Software Corp. (Software)	(a)		3,846		162,763

					4,499,031

(continued)

100


Ohio National Fund, Inc.	Target VIP Portfolio (Continued)


Schedule of Investments	December 31, 2010


Common Stocks (Continued)		Shares		Value


MATERIALS – 0.6%
Koppers Holdings, Inc. (Chemicals)			1,968	$	70,415
NewMarket Corp. (Chemicals)			530		65,386

					135,801

TELECOMMUNICATION SERVICES – 10.7%
AT&T, Inc. (Diversified Telecom. Svs.)			22,449		659,552
Cogent Communications Group, Inc. (Diversified Telecom. Svs.)	(a)		4,380		61,933
Deutsche Telekom AG – ADR (Diversified Telecom. Svs.)			17,897		229,082
France Telecom SA – ADR (Diversified Telecom. Svs.)			10,389		219,000
Neutral Tandem, Inc. (Diversified Telecom. Svs.)	(a)		3,281		47,378
Telefonica SA – ADR (Diversified Telecom. Svs.)			3,153		215,728
NII Holdings, Inc. (Wireless Telecom. Svs.)	(a)		8,896		397,295
Syniverse Holdings, Inc. (Wireless Telecom. Svs.)	(a)		6,762		208,608
Vodafone Group PLC – ADR (Wireless Telecom. Svs.)			11,466		303,046

					2,341,622

UTILITIES – 2.5%
Questar Corp. (Gas Utilities)			566		9,854
National Grid PLC – ADR (Multi-Utilities)			4,867		215,997
Public Service Enterprise Group, Inc. (Multi-Utilities)			1,612		51,278
Sempra Energy (Multi-Utilities)			786		41,249
Veolia Environnement SA – ADR (Multi-Utilities)			7,951		233,441

					551,819

Total Common Stocks (Cost $18,292,425)				$	21,465,916


Money Market Funds – 1.5%		Shares		Value


Fidelity Institutional Money Market Funds
Money Market Portfolio – Class I			327,000	$	327,000

Total Money Market Funds (Cost $327,000)				$	327,000

Total Investments – 99.7% (Cost $18,619,425)	(b)			$	21,792,916
Other Assets in Excess of Liabilities – 0.3%					63,339

Net Assets – 100.0%				$	21,856,255

Percentages are stated as a percent of net assets.

Abbreviations:

ADR: American Depositary Receipts

Footnotes:


(a)		Non-income producing security.

(b)		Represents cost for financial reporting purposes, which may differ from cost basis for Federal income tax purposes. See also Note 7 of the Notes to Financial Statements.

The accompanying notes are an integral part of these financial statements.

101


Ohio National Fund, Inc.	Target Equity/Income Portfolio

Objective/Strategy

The Target Equity/Income Portfolio seeks an above average total return by adhering to a disciplined, quantitative investment process that incorporates two distinct strategy methodologies.

Performance as of December 31, 2010


Average Annual Total Returns:
One year			23.23%
Five years			-1.69%
Since inception (11/2/05)			-1.39%

Comments

For the year ended December 31, 2010, the Target Equity/Income Portfolio returned 23.23% versus 16.93% for the current benchmark, the Russell 3000 Index.

Stocks got off to a sluggish start in January before moving higher amid strong earnings results and prospects of an improving economy. As the first quarter earnings season progressed, it became apparent that corporate America was benefiting not only from strict cost controls (resulting in strong margins), but also improving top line results. The March jobs report, which showed the largest monthly job gains in three years, further boosted equities. Through the end of April, the S&P 500 Index gained 7.0% while the small cap Russell 2000 Index rose 15.0%.

The remainder of the year saw stocks rally and small caps outperformed large caps by a healthy margin. The Russell 2000 Index gained 29.3% over the balance of the year. Large caps also performed well returning 23.2% as measured by the S&P 500 Index. The rally into year end was fed by several factors. Sovereign debt fears in Europe, while still very much a concern, subsided as investors determined likely outcomes were already factored into economic growth forecasts and equity prices. The passage of health care and financial reforms, while largely viewed as detrimental to industry profits, removed two lingering unknowns that allowed investors to more accurately gauge long-term impacts. A Republican takeover of the House of Representatives and substantial gains in the Senate during the November mid-term elections brought prospects of a more business friendly Washington. Finally, the Federal Reserve’s “QE2” asset purchases and a temporary extension of the Bush era tax cuts provided investors more reason to add risk back to their portfolios and equities were bid higher.

The end result was a very solid year for equities which saw the major market averages take back the levels last seen prior to the collapse of Lehman Brothers in the fall of 2008. While many remained skeptical, economic data continued to point toward improving conditions throughout the year. Economically-sensitive sectors such as Consumer Discretionary and Industrials led the rally while the more defensive Utilities and Health Care sectors lagged. Growth stocks outperformed value for the year as investors favored higher growth names, although value outperformed growth at the end of the year.

The Portfolio outperformed the Russell 3000 Index in 2010. The top performing stocks were the following: Netflix, Inc., up 218.9%; Deckers Outdoor Corp., up 135.2%; priceline.com, Inc., up 82.9%; Herbalife Ltd., up 70.7%; Jo-Ann Stores, Inc., up 66.2%; Cognizant Technology Solutions Corp., up 61.7%; United Bankshares, Inc., up 52.2%; Steven Madden Ltd., up 51.7%; FNB Corp., up 51.7%; and DSW, Inc. Class A, up 51.1%.⁽¹⁾

Consumer Discretionary holdings posted the best relative performance against the benchmark during the year. The sector was boosted by top contributors Deckers Outdoor Corp., Netflix Inc., and Priceline.com. Strong performance from the Portfolio’s Information Technology and Financials holdings also added to relative out-performance against the benchmark. A significant underweight position in Industrials detracted from relative performance, however, as the sector was a top performer in the S&P 500 Index. Energy was not represented in the Portfolio, causing relative under-performance against the benchmark.⁽¹⁾


⁽¹⁾	The Portfolio’s composition is subject to change. Holdings and weightings are as of December 31, 2010.

(continued)

102


Ohio National Fund, Inc.	Target Equity/Income Portfolio (Continued)

Change in Value of $10,000 Investment


	Target		Russell 3000
	Equity/Income Portfolio		Index
11/02/2005		10000		10000
12/31/2005		10130		10316
06/30/2006		9970		10650
12/31/2006		11078		11938
06/30/2007		11924		12787
12/31/2007		12233		12551
06/30/2008		10357		11165
12/31/2008		6719		7869
06/30/2009		6090		8199
12/31/2009		7548		10099
06/30/2010		7366		9488
12/31/2010		9301		11809

The Russell 3000 Index measures the performance of the largest 3000 U.S. companies representing approximately 98% of the investable U.S. equity market. The Russell 3000 index is constructed to provide a comprehensive, unbiased, and stable barometer of the broad market and is completely reconstituted annually to ensure new and growing equities are reflected. The index presented includes the effects of reinvested dividends.

Portfolio Composition as of December 31, 2010 ⁽¹⁾


	% of Net Assets

Common Stocks ⁽³⁾		98.0
Money Market Funds and Other Net Assets		2.0

		100.0

Top 10 Portfolio Holdings as of December 31, 2010 ^(1) (2)


	% of Net Assets

1.	Cognizant Technology Solutions Corp. Class A	9.1
2.	priceline.com, Inc.	7.5
3.	NetFlix, Inc.	4.5
4.	Intuitive Surgical, Inc.	4.2
5.	NII Holdings., Inc.	3.7
6.	Western Digital Corp.	3.2
7.	Urban Outfitters, Inc.	3.0
8.	FNB Corp.	3.0
9.	United Bankshares, Inc.	3.0
10.	Sensient Technologies Corp.	2.9


⁽¹⁾		Composition of Portfolio subject to change.

⁽²⁾		Short-term investments have been excluded from the list of Top 10 Portfolio Holdings.

⁽³⁾		Sectors:


	% of Net Assets

Financials		26.2
Consumer Discretionary		25.8
Information Technology		13.7
Utilities		13.4
Consumer Staples		7.2
Health Care		4.2
Materials		3.8
Telecommunication Services		3.7

		98.0

103


Ohio National Fund, Inc.	Target Equity/Income Portfolio


Schedule of Investments	December 31, 2010


Common Stocks – 98.0%		Shares		Value


CONSUMER DISCRETIONARY – 25.8%
Fuel Systems Solutions, Inc. (Auto Components)	(a)		2,832	$	83,204
Tupperware Brands Corp. (Household Durables)			8,346		397,854
NetFlix, Inc. (Internet & Catalog Retail)	(a)		6,792		1,193,354
priceline.com, Inc. (Internet & Catalog Retail)	(a)		4,957		1,980,569
Big 5 Sporting Goods Corp. (Specialty Retail)			6,869		104,890
Dress Barn, Inc. / The (Specialty Retail)	(a)		9,639		254,662
DSW, Inc. Class A (Specialty Retail)	(a)		4,495		175,754
Guess?, Inc. (Specialty Retail)			12,193		576,973
J. Crew Group, Inc. (Specialty Retail)	(a)		8,487		366,129
Jo-Ann Stores, Inc. (Specialty Retail)	(a)		3,542		213,299
Urban Outfitters, Inc. (Specialty Retail)	(a)		22,334		799,781
Culp, Inc. (Textiles, Apparel & Luxury Goods)	(a)		12,188		126,268
Deckers Outdoor Corp. (Textiles, Apparel & Luxury Goods)	(a)		4,891		390,008
Steven Madden Ltd. (Textiles, Apparel & Luxury Goods)	(a)		4,308		179,730

					6,842,475

CONSUMER STAPLES – 7.2%
Kraft Foods, Inc. Class A (Food Products)			20,195		636,344
Herbalife Ltd. (Personal Products)			8,054		550,652
Nu Skin Enterprises, Inc. (Personal Products)			8,284		250,674
Universal Corp. (Tobacco)			11,894		484,086

					1,921,756

FINANCIALS – 26.2%
BB&T Corp. (Commercial Banks)			21,723		571,098
FNB Corp. (Commercial Banks)			80,349		789,027
Trustmark Corp. (Commercial Banks)			24,352		604,904
United Bankshares, Inc. (Commercial Banks)			26,953		787,028
Allstate Corp. / The (Insurance)			18,185		579,738
Cincinnati Financial Corp. (Insurance)			21,016		665,997
Mercury General Corp. (Insurance)			13,980		601,280
Astoria Financial Corp. (Thrifts & Mortgage Finance)			44,347		616,867
First Niagara Financial Group, Inc. (Thrifts & Mortgage Finance)			39,572		553,217
New York Community Bancorp, Inc. (Thrifts & Mortgage Finance)			38,264		721,276
People’s United Financial, Inc. (Thrifts & Mortgage Finance)			33,068		463,283

					6,953,715

HEALTH CARE – 4.2%
Intuitive Surgical, Inc. (Health Care Equip. & Supplies)	(a)		4,297		1,107,552

INFORMATION TECHNOLOGY – 13.7%
Western Digital Corp. (Computers & Peripherals)	(a)		24,899		844,076
Cognizant Technology Solutions Corp. Class A (IT Svs.)	(a)		33,150		2,429,563
Unisys Corp. (IT Svs.)	(a)		5,658		146,486
Wright Express Corp. (IT Svs.)	(a)		5,020		230,920

					3,651,045

MATERIALS – 3.8%
NewMarket Corp. (Chemicals)			2,000		246,740
Sensient Technologies Corp. (Chemicals)			20,748		762,074

					1,008,814

TELECOMMUNICATION SERVICES – 3.7%
NII Holdings, Inc. (Wireless Telecom. Svs.)	(a)		21,828		974,838

UTILITIES – 13.4%
Northeast Utilities (Electric Utilities)			21,096		672,540
Unisource Energy Corp. (Electric Utilities)			16,769		601,001
DTE Energy Co. (Multi-Utilities)			12,519		567,361
NiSource, Inc. (Multi-Utilities)			35,501		625,528
PG&E Corp. (Multi-Utilities)			12,229		585,035
Sempra Energy (Multi-Utilities)			9,760		512,205

					3,563,670

Total Common Stocks (Cost $21,977,452)				$	26,023,865


Money Market Funds – 2.0%		Shares		Value


Fidelity Institutional Money Market Funds
Money Market Portfolio – Class I			533,000	$	533,000

Total Money Market Funds (Cost $533,000)				$	533,000

Total Investments – 100.0% (Cost $22,510,452)	(b)			$	26,556,865
Other Assets in Excess of Liabilities – 0.0%					4,751

Net Assets – 100.0%				$	26,561,616

Percentages are stated as a percent of net assets.

Footnotes:


(a)		Non-income producing security.

(b)		Represents cost for financial reporting purposes, which may differ from cost basis for Federal income tax purposes. See also Note 7 of the Notes to Financial Statements.

The accompanying notes are an integral part of these financial statements.

104


Ohio National Fund, Inc.	Bristol Growth Portfolio

Objective/Strategy

The Bristol Growth Portfolio seeks long-term growth by investing primarily in common stocks of the 1,000 largest publicly traded U.S. companies in terms of market capitalization.

Performance as of December 31, 2010


Average Annual Total Returns:
One year			12.79%
Since inception (5/1/07)			-0.38%

Comments

For the year ended December 31, 2010, the Bristol Growth Portfolio returned 12.79% versus 16.71% for the current benchmark, the Russell 1000 Growth Index.

Even though Financials made a stellar comeback in the final quarter, during the year the Portfolio’s relative performance was negatively affected by a few stocks, namely Wells Fargo & Co., Morgan Stanley, and Bank of America Corp. All three were the result of continuing legal unknowns from the mortgage fiasco, with Bank of America Corp. and Wells Fargo & Co. perhaps more exposed to mortgage push backs from both government sponsored enterprises (GSEs) as well as private intermediaries; and Morgan Stanley perhaps suffering from an unknown fate similar to Goldman Sachs on potential underwriting concerns and lawsuits. The three financials cost the Portfolio approximately 54 basis points of relative performance combined.⁽¹⁾

The Portfolio was not without its individual successes, including Apple, Inc., adding over 100 basis points; Exxon Mobil Corp., adding 80; Freeport-McMoRan Copper and Gold, Inc. adding over 50; and Industrials such as Honeywell International, Inc. and Johnson Controls, Inc. combining to add 119 basis points.⁽¹⁾

At the beginning of 2010, we took the position that the economy would improve, that emerging markets would provide most of the economic growth, that consumers would still be constrained in their spending, and that margins would tighten in consumer oriented products, as raw material pricing increased and companies were not so able to raise selling prices to pass through the higher costs. These are similar themes to what we believe now. We are cognizant that China is taking, and will continue to take, steps to slow inflation in their country, and of the potential impact to pricing of commodities. However, there is still huge economic growth ahead for China and India, as their consumers begin to spend some of their earnings and start to raise their standards of living. They are far behind the U.S. and other developed nations, but the gap is narrowing. Eventually, we see both India and China being able to grow their economies self-sustainably, without a constantly increasing reliance on exports. Trying to avoid U.S.-centric companies, with little growing exposure to emerging economies, continues to be a major driver in our research and investments.


⁽¹⁾	The Portfolio’s composition is subject to change. Holdings and weightings are as of December 31, 2010.

(continued)

105


Ohio National Fund, Inc.	Bristol Growth Portfolio (Continued)

Change in Value of $10,000 Investment


	Bristol Growth		Russell 1000
	Portfolio		Growth Index
05/01/2007		10000		10000
06/30/2007		10230		10173
12/31/2007		10340		10520
06/30/2008		9520		9567
12/31/2008		6144		6477
06/30/2009		7163		7223
12/31/2009		8741		8886
06/30/2010		7992		8207
12/31/2010		9860		10371

The Russell 1000 Growth Index is a market-capitalization weighted index of those firms in the Russell 1000 with higher price-to-book ratios and higher forecasted growth values. The index presented herein includes the effects of requested dividends.

Portfolio Composition as of December 31, 2010 ⁽¹⁾


	% of Net Assets

Common Stocks ⁽³⁾		97.5
Money Market Funds Less Net Liabilities		2.5

		100.0

Top 10 Portfolio Holdings as of December 31, 2010 ^(1) (2)


	% of Net Assets

1.	Apple, Inc.	4.5
2.	Oracle Corp.	3.0
3.	Google, Inc. Class A	3.0
4.	International Business Machines Corp.	3.0
5.	Exxon Mobil Corp.	2.9
6.	Cisco Systems, Inc.	2.6
7.	QUALCOMM, Inc.	2.5
8.	Hewlett-Packard Co.	2.3
9.	Maxim Integrated Products, Inc.	2.3
10.	Chevron Corp.	2.1


⁽¹⁾		Composition of Portfolio subject to change.

⁽²⁾		Short-term investments have been excluded from the list of Top 10 Portfolio Holdings.

⁽³⁾		Sectors:


	% of Net Assets

Information Technology		32.9
Consumer Discretionary		13.0
Energy		11.2
Industrials		10.6
Health Care		9.9
Financials		8.8
Materials		8.6
Consumer Staples		2.5

		97.5

106


Ohio National Fund, Inc.	Bristol Growth Portfolio


Schedule of Investments	December 31, 2010


Common Stocks – 97.5%		Shares		Value


CONSUMER DISCRETIONARY – 13.0%
Johnson Controls, Inc. (Auto Components)			35,000	$	1,337,000
Lear Corp. (Auto Components)	(a)		1,000		98,710
Royal Caribbean Cruises Ltd. (Hotels, Restaurants & Leisure)	(a)		31,400		1,475,800
Starwood Hotels & Resorts Worldwide, Inc. (Hotels, Restaurants & Leisure)			18,100		1,100,118
Amazon.com, Inc. (Internet & Catalog Retail)	(a)		8,000		1,440,000
Target Corp. (Multiline Retail)			28,800		1,731,744
Tiffany & Co. (Specialty Retail)			9,500		591,565
Coach, Inc. (Textiles, Apparel & Luxury Goods)			21,600		1,194,696
NIKE, Inc. Class B (Textiles, Apparel & Luxury Goods)			14,600		1,247,132
Warnaco Group, Inc. / The (Textiles, Apparel & Luxury Goods)	(a)		16,400		903,148

					11,119,913

CONSUMER STAPLES – 2.5%
Coca-Cola Co. / The (Beverages)			19,000		1,249,630
Procter & Gamble Co. / The (Household Products)			13,600		874,888

					2,124,518

ENERGY – 11.2%
Dresser-Rand Group, Inc. (Energy Equip. & Svs.)	(a)		5,600		238,504
Halliburton Co. (Energy Equip. & Svs.)			25,500		1,041,165
National Oilwell Varco, Inc. (Energy Equip. & Svs.)			14,300		961,675
Chevron Corp. (Oil, Gas & Consumable Fuels)			19,400		1,770,250
Exxon Mobil Corp. (Oil, Gas & Consumable Fuels)			34,000		2,486,080
Murphy Oil Corp. (Oil, Gas & Consumable Fuels)			18,900		1,408,995
Occidental Petroleum Corp. (Oil, Gas & Consumable Fuels)			16,300		1,599,030

					9,505,699

FINANCIALS – 8.8%
Discover Financial Services (Consumer Finance)			52,700		976,531
Bank of America Corp. (Diversified Financial Svs.)			50,600		675,004
JPMorgan Chase & Co. (Diversified Financial Svs.)			34,300		1,455,006
Hartford Financial Services Group, Inc. (Insurance)			60,900		1,613,241
Lincoln National Corp. (Insurance)			52,400		1,457,244
MetLife, Inc. (Insurance)			30,500		1,355,420

					7,532,446

HEALTH CARE – 9.9%
St. Jude Medical, Inc. (Health Care Equip. & Supplies)	(a)		41,200		1,761,300
Life Technologies Corp. (Life Sciences Tools & Svs.)	(a)		27,500		1,526,250
Allergan, Inc. (Pharmaceuticals)			23,900		1,641,213
Medicis Pharmaceutical Corp. Class A (Pharmaceuticals)			55,900		1,497,561
Merck & Co., Inc. (Pharmaceuticals)			23,500		846,940
Pfizer, Inc. (Pharmaceuticals)			66,000		1,155,660

					8,428,924

INDUSTRIALS – 10.6%
Honeywell International, Inc. (Aerospace & Defense)			32,600		1,733,016
United Parcel Service, Inc. Class B (Air Freight & Logistics)			23,400		1,698,372
Rockwell Automation, Inc. (Electrical Equip.)			24,500		1,756,895
Caterpillar, Inc. (Machinery)			10,900		1,020,894
Ingersoll-Rand PLC (Machinery)			37,100		1,747,039
SPX Corp. (Machinery)			15,600		1,115,244

					9,071,460

INFORMATION TECHNOLOGY – 32.9%
Cisco Systems, Inc. (Communications Equip.)	(a)		108,300		2,190,909
QUALCOMM, Inc. (Communications Equip.)			43,600		2,157,764
Apple, Inc. (Computers & Peripherals)	(a)		11,950		3,854,592
Hewlett-Packard Co. (Computers & Peripherals)			46,800		1,970,280
Google, Inc. Class A (Internet Software & Svs.)	(a)		4,310		2,560,011
International Business Machines Corp. (IT Svs.)			17,200		2,524,272
Applied Materials, Inc. (Semiconductors & Equip.)			50,900		715,145
Broadcom Corp. Class A (Semiconductors & Equip.)			31,600		1,376,180
Maxim Integrated Products, Inc. (Semiconductors & Equip.)			82,200		1,941,564
SunPower Corp. Class B (Semiconductors & Equip.)	(a)		86,503		1,073,502
Texas Instruments, Inc. (Semiconductors & Equip.)			53,300		1,732,250
Citrix Systems, Inc. (Software)	(a)		25,800		1,764,978
Microsoft Corp. (Software)			58,700		1,638,904
Oracle Corp. (Software)			82,600		2,585,380

					28,085,731

MATERIALS – 8.6%
Air Products & Chemicals, Inc. (Chemicals)			18,700		1,700,765
Celanese Corp. (Chemicals)			19,900		819,283
E.I. du Pont de Nemours & Co. (Chemicals)			33,300		1,661,004
Freeport-McMoRan Copper & Gold, Inc. (Metals & Mining)			11,600		1,393,044
Rio Tinto PLC – ADR (Metals & Mining)			24,000		1,719,840

					7,293,936

Total Common Stocks (Cost $72,479,367)				$	83,162,627


Money Market Funds – 4.0%		Shares		Value


Fidelity Institutional Money Market Funds
Money Market Portfolio – Class I			3,418,000	$	3,418,000

Total Money Market Funds (Cost $3,418,000)				$	3,418,000

Total Investments – 101.5% (Cost $75,897,367)	(b)			$	86,580,627
Liabilities in Excess of Other Assets – (1.5)%					(1,284,454	)

Net Assets – 100.0%				$	85,296,173

Percentages are stated as a percent of net assets.

Abbreviations:

ADR: American Depositary Receipts

Footnotes:


(a)		Non-income producing security.

(b)		Represents cost for financial reporting purposes, which may differ from cost basis for Federal income tax purposes. See also Note 7 of the Notes to Financial Statements.

The accompanying notes are an integral part of these financial statements.

107

Ohio National Fund, Inc.


Statements of Assets and Liabilities	December 31, 2010


															Capital						International
	Equity			Money Market		Bond			Omni			International			Appreciation			Millennium			Small-Mid Company
	Portfolio			Portfolio		Portfolio			Portfolio			Portfolio			Portfolio			Portfolio			Portfolio


Assets:
Investments in securities, at value*	$	213,926,161		$	275,684,389	$	141,657,373		$	41,097,196		$	217,387,462		$	131,994,351		$	42,011,214		$	78,770,685
Repurchase agreements		4,165,480			12,822,000		628,000			—			—			—			—			—
Cash		—			1,265,483		816			598			—			525			69			—
Foreign currencies, at value**		—			—		—			—			105,606			—			—			9,527
Receivable for securities sold		2,114,534			—		—			506,914			2,032,248			342,156			356,394			4,828
Due from adviser		—			29,406		—			—			—			—			—			—
Receivable for fund shares sold		525,798			4,700,660		4,505,785			24,886			45,852			33,403			28,064			17,822
Dividends and accrued interest receivable		125,950			7,089		1,575,116			145,245			64,396			103,178			1,833			33,676
Foreign tax reclaim receivable		—			—		—			—			131,455			—			—			47,718
Prepaid expenses and other assets		3,958			1,567		713			741			3,902			2,275			923			1,287

Total assets		220,861,881			294,510,594		148,367,803			41,775,580			219,770,921			132,475,888			42,398,497			78,885,543

Liabilities:
Net unrealized depreciation on foreign currency contracts		—			—		—			—			273,494			—			—			—
Payable for securities purchased		674,392			—		—			440,240			1,414,103			326,841			255,158			—
Payable for fund shares redeemed		572,340			952,440		88,305			117,808			4,791,711			2,233,299			19,974			83,721
Variation margin payable to broker		—			—		—			—			119			—			—			—
Payable for investment management services		145,804			61,638		69,610			20,905			147,536			87,278			28,358			65,270
Accrued custody expense		1,602			2,051		837			686			33,323			799			828			9,597
Accrued professional fees		11,866			11,983		11,737			11,569			11,858			11,719			11,571			11,628
Accrued accounting fees		12,318			19,457		12,357			4,877			456			7,668			2,947			456
Accrued printing and filing fees		12,077			16,088		7,915			2,275			11,785			7,225			2,328			4,243
Withholding tax payable		—			—		—			—			744			—			—			98,048

Total liabilities		1,430,399			1,063,657		190,761			598,360			6,685,129			2,674,829			321,164			272,963

Net assets	$	219,431,482		$	293,446,937	$	148,177,042		$	41,177,220		$	213,085,792		$	129,801,059		$	42,077,333		$	78,612,580

Net assets consist of:
Par value, $1 per share	$	11,127,317		$	29,344,706	$	11,218,946		$	2,561,501		$	17,470,947		$	6,372,887		$	1,940,380		$	3,383,181
Paid-in capital in excess of par value		309,590,931			264,102,231		139,106,426			42,380,393			244,389,150			136,418,245			48,896,522			71,853,653
Accumulated net realized gain (loss) on investments		(123,492,308	)		—		(15,350,662	)		(7,874,945	)		(105,449,599	)		(30,633,331	)		(16,777,886	)		(20,676,052	)
Net unrealized appreciation (depreciation) on:
Investments		22,181,182			—		7,360,294			4,023,543			53,845,140			17,558,106			8,018,317			24,061,625
Foreign currency contracts		—			—		—			—			(273,494	)		—			—			—
Futures contracts		—			—		—			—			(23,610	)		—			—			—
Other foreign currency related transactions		—			—		—			—			20,987			—			—			(97,147	)
Undistributed net investment income (loss)		24,360			—		5,842,038			86,728			3,106,271			85,152			—			87,320

Net assets	$	219,431,482		$	293,446,937	$	148,177,042		$	41,177,220		$	213,085,792		$	129,801,059		$	42,077,333		$	78,612,580

* Investments in securities, at cost	$	191,744,979		$	275,684,389	$	134,297,079		$	37,073,653		$	163,542,322		$	114,436,245		$	33,992,897		$	54,709,060

** Foreign currencies, at cost	$	—		$	—	$	—		$	—		$	109,762		$	—		$	—		$	9,399

Shares outstanding		11,127,317			29,344,706		11,218,946			2,561,501			17,470,947			6,372,887			1,940,380			3,383,181

Authorized Fund shares allocated to Portfolio		30,000,000			80,000,000		30,000,000			10,000,000			45,000,000			15,000,000			10,000,000			10,000,000

Net asset value per share	$	19.72		$	10.00	$	13.21		$	16.08		$	12.20		$	20.37		$	21.69		$	23.24

The accompanying notes are an integral part of these financial statements.

108

Ohio National Fund, Inc.


Statements of Assets and Liabilities	December 31, 2010


	Aggressive			Small Cap			Mid Cap			S&P 500^®						High Income						Nasdaq-100^®
	Growth			Growth			Opportunity			Index			Strategic Value			Bond			Capital Growth			Index
	Portfolio			Portfolio			Portfolio			Portfolio			Portfolio			Portfolio			Portfolio			Portfolio


Assets:
Investments in securities, at value*	$	29,865,513		$	32,145,239		$	70,621,342		$	175,905,023		$	24,187,040		$	263,699,618		$	52,900,717		$	55,272,125
Cash		726			178			271			749			578			—			785			7,822
Receivable for securities sold		—			—			—			10,850			—			207			—			—
Receivable for fund shares sold		8,630			5,883			39,894			189,005			32,422			3,498,620			230,996			26,491
Dividends and accrued interest receivable		7,964			4,086			32,419			214,751			101,323			5,118,099			12,952			14,455
Foreign tax reclaim receivable		4,416			—			—			—			5,714			—			—			—
Net unrealized appreciation on foreign currency contracts		—			—			—			—			57,516			—			—			—
Prepaid expenses and other assets		484			458			1,191			2,941			390			1,005			753			831

Total assets		29,887,733			32,155,844			70,695,117			176,323,319			24,384,983			272,317,549			53,146,203			55,321,724

Liabilities:
Cash overdraft		—			—			—			—			—			1,264,614			—			—
Payable for securities purchased		34,718			—			150,310			—			—			—			235,249			—
Payable for fund shares redeemed		57,280			15,546			106,350			53,022			3,349			1,055,369			442,546			345,420
Payable for investment management services		20,139			23,735			50,447			55,884			14,926			156,425			38,832			18,663
Accrued custody expense		1,562			1,336			713			1,286			504			1,323			369			953
Accrued professional fees		11,550			11,553			11,617			11,793			11,540			11,946			11,587			11,593
Accrued accounting fees		2,804			2,519			4,369			12,630			2,318			25,761			3,377			3,645
Accrued printing and filing fees		1,644			1,720			3,868			9,650			1,311			14,948			2,837			3,053
Withholding tax payable		784			—			—			—			3,775			—			—			—

Total liabilities		130,481			56,409			327,674			144,265			37,723			2,530,386			734,797			383,327

Net assets	$	29,757,252		$	32,099,435		$	70,367,443		$	176,179,054		$	24,347,260		$	269,787,163		$	52,411,406		$	54,938,397

Net assets consist of:
Par value, $1 per share	$	3,643,945		$	2,496,572		$	3,817,191		$	13,332,390		$	2,600,785		$	21,912,292		$	1,893,431		$	9,647,812
Paid-in capital in excess of par value		23,605,394			26,978,596			91,581,725			142,660,146			27,689,190			217,614,579			40,269,019			33,947,728
Accumulated net realized gain (loss) on investments		(2,741,468	)		(3,616,454	)		(34,630,132	)		(4,465,285	)		(8,323,417	)		(3,425,605	)		(5,553,918	)		(3,258,071	)
Net unrealized appreciation (depreciation) on:
Investments		5,137,293			6,240,726			9,598,659			24,283,577			2,369,975			15,904,697			15,767,825			14,578,697
Foreign currency contracts		—			—			—			—			57,516			—			—			—
Other foreign currency related transactions		360			—			—			—			(220	)		—			—			—
Undistributed net investment income (loss)		111,728			(5	)		—			368,226			(46,569	)		17,781,200			35,049			22,231

Net assets	$	29,757,252		$	32,099,435		$	70,367,443		$	176,179,054		$	24,347,260		$	269,787,163		$	52,411,406		$	54,938,397

* Investments in securities, at cost	$	24,728,220		$	25,904,513		$	61,022,683		$	151,621,446		$	21,817,065		$	247,794,921		$	37,132,892		$	40,693,428

Shares outstanding		3,643,945			2,496,572			3,817,191			13,332,390			2,600,785			21,912,292			1,893,431			9,647,812

Authorized Fund shares allocated to Portfolio		10,000,000			10,000,000			10,000,000			35,000,000			10,000,000			60,000,000			10,000,000			25,000,000

Net asset value per share	$	8.17		$	12.86		$	18.43		$	13.21		$	9.36		$	12.31		$	27.68		$	5.69

The accompanying notes are an integral part of these financial statements.

109

Ohio National Fund, Inc.


Statements of Assets and Liabilities	December 31, 2010


												Income			Target			Target
	Bristol			Bryton Growth		U.S. Equity			Balanced			Opportunity			VIP			Equity/Income			Bristol Growth
	Portfolio			Portfolio		Portfolio			Portfolio			Portfolio			Portfolio			Portfolio			Portfolio


Assets:
Investments in securities, at value*	$	183,936,336		$	140,874,412	$	14,516,021		$	14,427,699		$	10,133,136		$	21,792,916		$	26,556,865		$	86,580,627
Cash		308			393		808			52			—			301			593			124
Receivable for securities sold		9,390,970			4,279,173		—			—			—			59,119			—			3,455,721
Receivable for fund shares sold		115,603			116,967		4,657			2,043			6,029			1,025			1,560			73,654
Dividends and accrued interest receivable		140,311			942		14,372			87,413			15,359			33,042			45,847			49,391
Foreign tax reclaim receivable		—			—		—			—			142			1,787			—			—
Prepaid expenses and other assets		2,992			2,302		241			245			143			372			439			1,196

Total assets		193,586,520			145,274,189		14,536,099			14,517,452			10,154,809			21,888,562			26,605,304			90,160,713

Liabilities:
Cash overdraft		—			—		—			—			190,393			—			—			—
Options written, at value**		—			—		—			—			295,280			—			—			—
Payable for securities purchased		2,760,235			756,284		—			—			—			—			—			1,505,520
Payable for fund shares redeemed		8,028,326			6,977,934		3,847			587			339			5,606			14,952			3,277,680
Payable for investment management services		119,783			99,907		9,150			7,884			6,392			11,111			13,486			58,958
Accrued custody expense		1,194			795		93			96			303			488			201			816
Accrued professional fees		11,818			11,740		11,524			11,524			11,516			11,536			11,545			11,648
Accrued accounting fees		10,117			7,767		1,702			3,452			1,777			2,355			2,050			5,078
Accrued printing and filing fees		10,417			7,950		796			789			527			1,211			1,454			4,840
Withholding tax payable		—			—		—			174			48			—			—			—

Total liabilities		10,941,890			7,862,377		27,112			24,506			506,575			32,307			43,688			4,864,540

Net assets	$	182,644,630		$	137,411,812	$	14,508,987		$	14,492,946		$	9,648,234		$	21,856,255		$	26,561,616		$	85,296,173

Net assets consist of:
Par value, $1 per share	$	14,600,305		$	10,129,016	$	1,418,843		$	1,045,135		$	804,826		$	2,399,693		$	3,086,104		$	8,669,236
Paid-in capital in excess of par value		158,128,281			98,397,980		18,238,958			13,240,433			8,034,928			25,826,227			35,901,271			62,362,424
Accumulated net realized gain (loss) on investments		(11,340,942	)		1,198,063		(7,185,302	)		(1,039,973	)		(566,418	)		(9,571,823	)		(16,530,672	)		3,564,295
Net unrealized appreciation (depreciation) on:
Investments		21,153,692			27,686,753		2,021,087			1,198,293			1,409,305			3,173,491			4,046,413			10,683,260
Written options		—			—		—			—			(104,496	)		—			—			—
Undistributed net investment income (loss)		103,294			—		15,401			49,058			70,089			28,667			58,500			16,958

Net assets	$	182,644,630		$	137,411,812	$	14,508,987		$	14,492,946		$	9,648,234		$	21,856,255		$	26,561,616		$	85,296,173

* Investments in securities, at cost	$	162,782,644		$	113,187,659	$	12,494,934		$	13,229,406		$	8,723,831		$	18,619,425		$	22,510,452		$	75,897,367

** Premiums received on options written	$	—		$	—	$	—		$	—		$	190,784		$	—		$	—		$	—

Shares outstanding		14,600,305			10,129,016		1,418,843			1,045,135			804,826			2,399,693			3,086,104			8,669,236

Authorized Fund shares allocated to Portfolio		40,000,000			35,000,000		10,000,000			10,000,000			10,000,000			10,000,000			10,000,000			25,000,000

Net asset value per share	$	12.51		$	13.57	$	10.23		$	13.87		$	11.99		$	9.11		$	8.61		$	9.84

The accompanying notes are an integral part of these financial statements.

110

Ohio National Fund, Inc.


Statements of Operations	For the Year Ended December 31, 2010


															Capital						International
	Equity			Money Market			Bond		Omni			International			Appreciation			Millennium			Small-Mid Company
	Portfolio			Portfolio			Portfolio		Portfolio			Portfolio			Portfolio			Portfolio			Portfolio


Investment income:
Interest	$	4,506		$	548,954		$	6,839,050	$	569,487		$	6,546		$	8,857		$	7,630		$	1,379
Dividends, net of taxes withheld*		2,338,751			—			—		438,563			4,431,508			1,483,103			164,574			1,079,720

Total investment income		2,343,257			548,954			6,839,050		1,008,050			4,438,054			1,491,960			172,204			1,081,099

Expenses:
Management fees		1,703,275			838,318			846,215		243,368			1,671,537			984,625			607,807			690,074
Custodian fees		18,294			34,940			10,169		7,871			262,116			9,418			11,431			80,433
Directors’ fees		24,530			36,030			16,835		4,596			23,064			14,174			8,443			7,843
Professional fees		22,205			26,821			18,759		13,653			21,383			17,729			15,970			14,996
Accounting fees		75,424			115,748			74,618		30,648			80,687			46,770			31,278			45,492
Printing and filing fees		34,924			50,730			24,417		6,672			33,146			20,637			15,171			11,641
Compliance expense		6,390			6,390			6,390		6,390			6,390			6,390			6,390			6,390
Other		7,911			5,908			2,273		1,437			7,301			4,377			3,317			6,024

Total expenses		1,892,953			1,114,885			999,676		314,635			2,105,624			1,104,120			699,807			862,893

Less expenses reduced or reimbursed by adviser		—			(565,931	)		—		—			—			—			—			—

Net expenses		1,892,953			548,954			999,676		314,635			2,105,624			1,104,120			699,807			862,893

Net investment income (loss)		450,304			—			5,839,374		693,415			2,332,430			387,840			(527,603	)		218,206

Realized/unrealized gain (loss) on investments, futures contracts, foreign currency contracts, and other foreign currency related transactions:
Net realized gain (loss) on:
Investments		(1,138,078	)		—			1,961,700		2,963,592			22,913,675			11,444,651			16,124,928			6,467,929
Futures contracts		—			—			—		—			(60,151	)		—			—			—
Foreign currency contracts		—			—			—		—			2,279,010			—			—			—
Other foreign currency related transactions		—			—			—		(66	)		(379,918	)		(13,832	)		—			(106,608	)
Change in unrealized appreciation/depreciation on:
Investments		17,726,044			—			3,535,443		1,338,298			7,017,994			7,958,092			(9,539,756	)		6,034,136
Futures contracts		—			—			—		—			(23,610	)		—			—			—
Foreign currency contracts		—			—			—		—			(1,398,745	)		—			—			—
Other foreign currency related transactions		—			—			—		—			18,389			—			—			(51,628	)

Net realized/unrealized gain (loss) on investments, futures contracts, foreign currency contracts, and other foreign currency related transactions		16,587,966			—			5,497,143		4,301,824			30,366,644			19,388,911			6,585,172			12,343,829

Change in net assets from operations	$	17,038,270		$	—		$	11,336,517	$	4,995,239		$	32,699,074		$	19,776,751		$	6,057,569		$	12,562,035

* Taxes withheld	$	—		$	—		$	—	$	669		$	695,770		$	36,764		$	—		$	93,171

The accompanying notes are an integral part of these financial statements.

111

Ohio National Fund, Inc.


Statements of Operations	For the Year Ended December 31, 2010


	Aggressive		Small Cap			Mid Cap			S&P 500^®						High Income						Nasdaq-100^®
	Growth		Growth			Opportunity			Index			Strategic Value			Bond			Capital Growth			Index
	Portfolio		Portfolio			Portfolio			Portfolio			Portfolio			Portfolio			Portfolio			Portfolio


Investment income:
Interest	$	1,931	$	1,933		$	3,840		$	267		$	732		$	19,477,951		$	1,123		$	213
Dividends, net of taxes withheld*		324,802		103,369			394,580			3,334,333			1,079,223			24,155			217,410			428,798

Total investment income		326,733		105,302			398,420			3,334,600			1,079,955			19,502,106			218,533			429,011

Expenses:
Management fees		212,854		222,839			539,805			612,199			160,000			1,538,336			362,975			183,477
Custodian fees		23,023		13,464			7,923			14,754			4,206			14,361			4,025			8,266
Directors’ fees		3,064		2,829			7,205			18,264			2,428			25,414			4,571			5,300
Professional fees		12,989		12,906			14,986			19,440			12,723			21,868			13,655			13,926
Accounting fees		16,662		14,864			26,379			75,581			13,810			140,980			19,087			21,569
Printing and filing fees		4,478		4,546			15,165			26,830			3,587			36,556			7,105			7,885
Compliance expense		6,390		6,390			6,390			6,390			6,390			6,390			6,390			6,390
Other		925		797			2,101			5,509			659			2,940			1,319			1,592

Total expenses		280,385		278,635			619,954			778,967			203,803			1,786,845			419,127			248,405

Net investment income (loss)		46,348		(173,333	)		(221,534	)		2,555,633			876,152			17,715,261			(200,594	)		180,606

Realized/unrealized gain (loss) on investments, foreign currency contracts, and other foreign currency related transactions:
Net realized gain (loss) on:
Investments		340,133		2,457,248			5,891,311			(322,308	)		(118,374	)		(1,283,156	)		4,848,954			2,684,393
Foreign currency contracts		—		—			—			—			(302,194	)		—			—			—
Other foreign currency related transactions		480		(37	)		—			—			(18,903	)		—			—			—
Change in unrealized appreciation/depreciation on:
Investments		2,013,746		4,610,166			6,025,662			20,060,180			2,081,336			13,632,138			8,739,357			5,413,358
Foreign currency contracts		—		—			—			—			57,516			—			—			—
Other foreign currency related transactions		394		—			—			—			22			—			—			—

Net realized/unrealized gain (loss) on investments, foreign currency contracts, and other foreign currency related transactions		2,354,753		7,067,377			11,916,973			19,737,872			1,699,403			12,348,982			13,588,311			8,097,751

Change in net assets from operations	$	2,401,101	$	6,894,044		$	11,695,439		$	22,293,505		$	2,575,555		$	30,064,243		$	13,387,717		$	8,278,357

* Taxes withheld	$	12,736	$	1,564		$	1,511		$	—		$	21,078		$	—		$	855		$	4,011

The accompanying notes are an integral part of these financial statements.

112

Ohio National Fund, Inc.


Statements of Operations	For the Year Ended December 31, 2010


												Income			Target		Target
	Bristol			Bryton Growth			U.S. Equity		Balanced			Opportunity			VIP		Equity/Income		Bristol Growth
	Portfolio			Portfolio			Portfolio		Portfolio			Portfolio			Portfolio		Portfolio		Portfolio


Investment income:
Interest	$	10,713		$	11,536		$	820	$	260,643		$	957		$	670	$	796	$	3,805
Dividends, net of taxes withheld*		2,438,858			523,730			248,246		203,117			168,796			460,450		544,544		679,833

Total investment income		2,449,571			535,266			249,066		463,760			169,753			461,120		545,340		683,638

Expenses:
Management fees		1,205,457			1,011,606			99,609		86,900			62,673			119,135		139,905		349,369
Custodian fees		13,119			9,534			1,573		1,316			7,317			4,945		3,116		7,325
Directors’ fees		17,898			13,852			1,509		1,513			884			2,270		2,642		5,102
Professional fees		19,210			17,636			12,337		12,338			12,075			12,647		12,819		13,346
Accounting fees		56,714			45,566			10,387		20,656			10,570			13,848		12,066		18,978
Printing and filing fees		26,679			21,324			2,192		2,238			1,381			3,299		3,925		6,198
Compliance expense		6,390			6,390			6,390		6,390			6,390			6,390		6,390		6,390
Other		4,984			3,933			485		448			243			708		825		715

Total expenses		1,350,451			1,129,841			134,482		131,799			101,533			163,242		181,688		407,423

Less expenses voluntarily reduced or reimbursed by adviser		—			—			—		—			(1,858	)		—		—		—

Net expenses		1,350,451			1,129,841			134,482		131,799			99,675			163,242		181,688		407,423

Net investment income (loss)		1,099,120			(594,575	)		114,584		331,961			70,078			297,878		363,652		276,215

Realized/unrealized gain (loss) on investments, foreign currency related transactions, and written options:
Net realized gain (loss) on:
Investments		13,166,099			15,009,999			1,360,515		680,830			68,359			1,642,994		1,618,442		5,178,475
Foreign currency related transactions		(346	)		—			—		37			11			—		—		(18	)
Written options		—			—			—		—			(83,546	)		—		—		—
Change in unrealized appreciation/depreciation on:
Investments		8,557,768			12,578,232			160,094		(1,008	)		609,626			1,712,578		3,054,237		9,642,592
Foreign currency related transactions		—			—			—		(16	)		—			—		—		—
Written options		—			—			—		—			(84,076	)		—		—		—

Net realized/unrealized gain (loss) on investments, foreign currency related transactions, and written options		21,723,521			27,588,231			1,520,609		679,843			510,374			3,355,572		4,672,679		14,821,049

Change in net assets from operations	$	22,822,641		$	26,993,656		$	1,635,193	$	1,011,804		$	580,452		$	3,653,450	$	5,036,331	$	15,097,264

* Taxes withheld	$	3,620		$	—		$	1,376	$	4,224		$	881		$	17,146	$	—	$	620

The accompanying notes are an integral part of these financial statements.

113

Ohio National Fund, Inc.

Statements of Changes in Net Assets


	Equity						Money Market						Bond						Omni
	Portfolio						Portfolio						Portfolio						Portfolio
	Year Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	December 31,			December 31,			December 31,			December 31,			December 31,			December 31,			December 31,			December 31,
	2010			2009			2010			2009			2010			2009			2010			2009

Increase (Decrease) in Net Assets:
Operations:
Net investment income (loss)	$	450,304		$	526,976		$	—		$	—		$	5,839,374		$	6,041,762		$	693,415		$	819,132
Net realized gain (loss) on investments and foreign currency related transactions		(1,138,078	)		(37,830,132	)		—			—			1,961,700			(7,436,754	)		2,963,526			(2,391,937	)
Change in unrealized appreciation/depreciation on investments		17,726,044			103,793,956			—			—			3,535,443			23,501,373			1,338,298			12,249,119

Change in net assets from operations		17,038,270			66,490,800			—			—			11,336,517			22,106,381			4,995,239			10,676,314

Distributions to shareholders:
Distributions from net investment income		(425,944	)		(474,966	)		—			—			—			—			(606,516	)		(722,837	)

Capital transactions:
Received from shares sold		21,954,910			24,521,613			305,026,132			417,820,442			57,209,206			46,255,877			3,734,570			3,952,680
Received from dividends reinvested		425,944			474,966			—			—			—			—			606,516			722,837
Paid for shares redeemed		(46,072,388	)		(52,012,006	)		(352,822,395	)		(479,126,912	)		(58,280,990	)		(38,208,419	)		(9,069,964	)		(8,026,435	)

Change in net assets from capital transactions		(23,691,534	)		(27,015,427	)		(47,796,263	)		(61,306,470	)		(1,071,784	)		8,047,458			(4,728,878	)		(3,350,918	)

Change in net assets		(7,079,208	)		39,000,407			(47,796,263	)		(61,306,470	)		10,264,733			30,153,839			(340,155	)		6,602,559
Net Assets:
Beginning of year		226,510,690			187,510,283			341,243,200			402,549,670			137,912,309			107,758,470			41,517,375			34,914,816

End of year	$	219,431,482		$	226,510,690		$	293,446,937		$	341,243,200		$	148,177,042		$	137,912,309		$	41,177,220		$	41,517,375

Undistributed net investment income	$	24,360		$	52,010		$	—		$	—		$	5,842,038		$	6,044,426		$	86,728		$	96,307

The accompanying notes are an integral part of these financial statements.

114

Ohio National Fund, Inc.

Statements of Changes in Net Assets


	International						Capital Appreciation						Millennium						International Small-Mid
	Portfolio						Portfolio						Portfolio						Company Portfolio
	Year Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	December 31,			December 31,			December 31,			December 31,			December 31,			December 31,			December 31,			December 31,
	2010			2009			2010			2009			2010			2009			2010			2009

Increase (Decrease) in Net Assets:
Operations:
Net investment income (loss)	$	2,332,430		$	2,731,612		$	387,840		$	1,532,304		$	(527,603	)	$	(423,177	)	$	218,206		$	273,586
Net realized gain (loss) on investments, futures contracts, foreign currency contracts, and other foreign currency related transactions		24,752,616			(40,222,432	)		11,430,819			(21,856,408	)		16,124,928			(3,066,143	)		6,361,321			(1,297,839	)
Change in unrealized appreciation/depreciation on investments, futures contracts, foreign currency contracts, and other foreign currency related transactions		5,614,028			100,236,182			7,958,092			59,400,776			(9,539,756	)		19,615,280			5,982,508			23,581,461

Change in net assets from operations		32,699,074			62,745,362			19,776,751			39,076,672			6,057,569			16,125,960			12,562,035			22,557,208

Distributions to shareholders:
Distributions from net investment income		—			—			(284,477	)		(1,371,677	)		—			—			—			—

Capital transactions:
Received from shares sold		24,045,087			20,610,913			12,695,267			13,406,834			20,100,436			74,284,850			12,335,886			16,188,203
Received from dividends reinvested		—			—			284,477			1,371,677			—			—			—			—
Paid for shares redeemed		(53,704,699	)		(53,057,563	)		(28,925,158	)		(29,864,051	)		(94,390,633	)		(14,306,497	)		(17,349,611	)		(20,381,525	)

Change in net assets from capital transactions		(29,659,612	)		(32,446,650	)		(15,945,414	)		(15,085,540	)		(74,290,197	)		59,978,353			(5,013,725	)		(4,193,322	)

Change in net assets		3,039,462			30,298,712			3,546,860			22,619,455			(68,232,628	)		76,104,313			7,548,310			18,363,886
Net Assets:
Beginning of year		210,046,330			179,747,618			126,254,199			103,634,744			110,309,961			34,205,648			71,064,270			52,700,384

End of year	$	213,085,792		$	210,046,330		$	129,801,059		$	126,254,199		$	42,077,333		$	110,309,961		$	78,612,580		$	71,064,270

Undistributed net investment income	$	3,106,271		$	1,339,628		$	85,152		$	156,600		$	—		$	—		$	87,320		$	79,256

The accompanying notes are an integral part of these financial statements.

115

Ohio National Fund, Inc.

Statements of Changes in Net Assets


	Aggressive Growth						Small Cap Growth						Mid Cap Opportunity						S&P 500^® Index
	Portfolio						Portfolio						Portfolio						Portfolio
	Year Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	December 31,			December 31,			December 31,			December 31,			December 31,			December 31,			December 31,			December 31,
	2010			2009			2010			2009			2010			2009			2010			2009

Increase (Decrease) in Net Assets:
Operations:
Net investment income (loss)	$	46,348		$	(50,630	)	$	(173,333	)	$	(130,618	)	$	(221,534	)	$	(191,871	)	$	2,555,633		$	2,360,761
Net realized gain (loss) on investments and foreign currency related transactions		340,613			(757,700	)		2,457,211			(1,455,200	)		5,891,311			7,384,263			(322,308	)		(937,053	)
Change in unrealized appreciation/depreciation on investments and foreign currency related transactions		2,014,140			8,725,649			4,610,166			8,483,045			6,025,662			14,668,798			20,060,180			31,621,689

Change in net assets from operations		2,401,101			7,917,319			6,894,044			6,897,227			11,695,439			21,861,190			22,293,505			33,045,397

Distributions to shareholders:
Distributions from net investment income		—			—			—			—			—			—			(2,196,659	)		(2,047,655	)

Capital transactions:
Received from shares sold		9,372,757			8,748,197			10,622,179			7,889,316			9,304,135			37,239,976			32,754,237			62,219,156
Received from dividends reinvested		—			—			—			—			—			—			2,196,659			2,047,655
Paid for shares redeemed		(9,193,403	)		(7,473,737	)		(8,178,329	)		(5,207,938	)		(14,133,909	)		(75,207,718	)		(39,577,141	)		(40,764,928	)

Change in net assets from capital transactions		179,354			1,274,460			2,443,850			2,681,378			(4,829,774	)		(37,967,742	)		(4,626,245	)		23,501,883

Change in net assets		2,580,455			9,191,779			9,337,894			9,578,605			6,865,665			(16,106,552	)		15,470,601			54,499,625
Net Assets:
Beginning of year		27,176,797			17,985,018			22,761,541			13,182,936			63,501,778			79,608,330			160,708,453			106,208,828

End of year	$	29,757,252		$	27,176,797		$	32,099,435		$	22,761,541		$	70,367,443		$	63,501,778		$	176,179,054		$	160,708,453

Undistributed net investment income	$	111,728		$	66,891		$	(5	)	$	—		$	—		$	—		$	368,226		$	312,026

The accompanying notes are an integral part of these financial statements.

116

Ohio National Fund, Inc.

Statements of Changes in Net Assets


	Strategic Value						High Income Bond						Capital Growth						Nasdaq-100^® Index
	Portfolio						Portfolio						Portfolio						Portfolio
	Year Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	December 31,			December 31,			December 31,			December 31,			December 31,			December 31,			December 31,			December 31,
	2010			2009			2010			2009			2010			2009			2010			2009

Increase (Decrease) in Net Assets:
Operations:
Net investment income (loss)	$	876,152		$	628,487		$	17,715,261		$	10,467,379		$	(200,594	)	$	4,676		$	180,606		$	67,713
Net realized gain (loss) on investments, foreign currency contracts, and foreign currency related transactions		(439,471	)		(1,846,420	)		(1,283,156	)		(967,160	)		4,848,954			(2,009,614	)		2,684,393			232,855
Change in unrealized appreciation/depreciation on investments, foreign currency contracts, and other foreign currency related transactions		2,138,874			3,343,973			13,632,138			34,205,835			8,739,357			11,786,408			5,413,358			15,353,126

Change in net assets from operations		2,575,555			2,126,040			30,064,243			43,706,054			13,387,717			9,781,470			8,278,357			15,653,694

Distributions to shareholders:
Distributions from net investment income		(591,141	)		(553,534	)		—			—			—			—			(158,375	)		—
Return of capital distributions		(175,066	)		—			—			—			—			—			—			—

Total distributions		(766,207	)		(553,534	)		—			—			—			—			(158,375	)		—

Capital transactions:
Received from shares sold		9,495,133			9,094,435			152,858,080			89,610,175			13,911,151			10,662,186			18,796,999			18,529,577
Received from dividends reinvested		766,207			553,534			—			—			—			—			158,375			—
Paid for shares redeemed		(7,486,436	)		(4,802,105	)		(73,042,369	)		(44,752,454	)		(11,671,289	)		(10,743,788	)		(19,725,238	)		(14,683,834	)

Change in net assets from capital transactions		2,774,904			4,845,864			79,815,711			44,857,721			2,239,862			(81,602	)		(769,864	)		3,845,743

Change in net assets		4,584,252			6,418,370			109,879,954			88,563,775			15,627,579			9,699,868			7,350,118			19,499,437
Net Assets:
Beginning of year		19,763,008			13,344,638			159,907,209			71,343,434			36,783,827			27,083,959			47,588,279			28,088,842

End of year	$	24,347,260		$	19,763,008		$	269,787,163		$	159,907,209		$	52,411,406		$	36,783,827		$	54,938,397		$	47,588,279

Undistributed net investment income	$	(46,569	)	$	37,519		$	17,781,200		$	10,467,379		$	35,049		$	4,676		$	22,231		$	69,016

The accompanying notes are an integral part of these financial statements.

117

Ohio National Fund, Inc.

Statements of Changes in Net Assets


	Bristol						Bryton Growth						U.S. Equity						Balanced
	Portfolio						Portfolio						Portfolio						Portfolio
	Year Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	December 31,			December 31,			December 31,			December 31,			December 31,			December 31,			December 31,			December 31,
	2010			2009			2010			2009			2010			2009			2010			2009

Increase (Decrease) in Net Assets:
Operations:
Net investment income (loss)	$	1,099,120		$	860,602		$	(594,575	)	$	(522,143	)	$	114,584		$	116,369		$	331,961		$	335,815
Net realized gain (loss) on investments and foreign currency related transactions		13,165,753			(2,496,475	)		15,009,999			(3,579,256	)		1,360,515			(657,934	)		680,867			(190,781	)
Change in unrealized appreciation/depreciation on investments and foreign currency related transactions		8,557,768			35,271,355			12,578,232			30,818,101			160,094			2,721,449			(1,024	)		2,509,467

Change in net assets from operations		22,822,641			33,635,482			26,993,656			26,716,702			1,635,193			2,179,884			1,011,804			2,654,501

Distributions to shareholders:
Distributions from net investment income		(995,109	)		(753,303	)		—			—			(99,183	)		(97,286	)		(282,940	)		(289,620	)

Capital transactions:
Received from shares sold		51,108,856			53,481,033			38,665,672			48,509,791			1,837,204			2,971,249			3,408,481			4,421,101
Received from dividends reinvested		995,109			753,303			—			—			99,183			97,286			282,940			289,620
Paid for shares redeemed		(34,085,789	)		(25,861,068	)		(41,681,638	)		(20,811,898	)		(3,593,412	)		(3,541,722	)		(3,509,686	)		(3,118,826	)

Change in net assets from capital transactions		18,018,176			28,373,268			(3,015,966	)		27,697,893			(1,657,025	)		(473,187	)		181,735			1,591,895

Change in net assets		39,845,708			61,255,447			23,977,690			54,414,595			(121,015	)		1,609,411			910,599			3,956,776
Net Assets:
Beginning of year		142,798,922			81,543,475			113,434,122			59,019,527			14,630,002			13,020,591			13,582,347			9,625,571

End of year	$	182,644,630		$	142,798,922		$	137,411,812		$	113,434,122		$	14,508,987		$	14,630,002		$	14,492,946		$	13,582,347

Undistributed net investment income	$	103,294		$	107,371		$	—		$	—		$	15,401		$	19,083		$	49,058		$	46,186

The accompanying notes are an integral part of these financial statements.

118

Ohio National Fund, Inc.

Statements of Changes in Net Assets


	Income Opportunity						Target VIP						Target Equity/Income						Bristol Growth
	Portfolio						Portfolio						Portfolio						Portfolio
	Year Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	December 31,			December 31,			December 31,			December 31,			December 31,			December 31,			December 31,			December 31,
	2010			2009			2010			2009			2010			2009			2010			2009

Increase (Decrease) in Net Assets:
Operations:
Net investment income (loss)	$	70,078		$	21,601		$	297,878		$	285,899		$	363,652		$	454,499		$	276,215		$	19,268
Net realized gain (loss) on investments, foreign currency related transactions, and written options		(15,176	)		(290,802	)		1,642,994			(11,189,698	)		1,618,442			(17,723,261	)		5,178,457			(87,067	)
Change in unrealized appreciation/depreciation on investments, foreign currency related transactions, and written options		525,550			1,096,735			1,712,578			13,803,902			3,054,237			19,904,558			9,642,592			2,664,053

Change in net assets from operations		580,452			827,534			3,653,450			2,900,103			5,036,331			2,635,796			15,097,264			2,596,254

Distributions to shareholders:
Distributions from net investment income		—			—			(266,234	)		(253,696	)		(305,152	)		(416,144	)		(259,134	)		—

Capital transactions:
Received from shares sold		3,876,875			3,291,911			3,229,205			6,226,014			6,337,967			6,217,680			73,946,057			4,010,986
Received from dividends reinvested		—			—			266,234			253,696			305,152			416,144			259,134			—
Paid for shares redeemed		(1,500,541	)		(1,941,532	)		(5,607,398	)		(6,742,319	)		(7,429,363	)		(10,314,027	)		(14,244,723	)		(953,320	)

Change in net assets from capital transactions		2,376,334			1,350,379			(2,111,959	)		(262,609	)		(786,244	)		(3,680,203	)		59,960,468			3,057,666

Change in net assets		2,956,786			2,177,913			1,275,257			2,383,798			3,944,935			(1,460,551	)		74,798,598			5,653,920
Net Assets:
Beginning of year		6,691,448			4,513,535			20,580,998			18,197,200			22,616,681			24,077,232			10,497,575			4,843,655

End of year	$	9,648,234		$	6,691,448		$	21,856,255		$	20,580,998		$	26,561,616		$	22,616,681		$	85,296,173		$	10,497,575

Undistributed net investment income	$	70,089		$	20,040		$	28,667		$	32,199		$	58,500		$	38,355		$	16,958		$	19,274

The accompanying notes are an integral part of these financial statements.

119

Ohio National Fund, Inc.

Financial Highlights


	Equity Portfolio															Money Market Portfolio
	Years Ended December 31,															Years Ended December 31,
	2010			2009			2008			2007			2006			2010			2009			2008			2007			2006

Selected Per-Share Data:
Net asset value, beginning of year	$	18.31		$	13.19		$	29.65		$	31.52		$	29.55		$	10.00		$	10.00		$	10.00		$	10.00		$	10.00
Operations:
Net investment income (loss)		0.04			0.05			0.22			0.02			(0.01	)		—			—			0.17			0.48			0.47
Net realized and unrealized gain (loss) on investments and foreign currency related transactions		1.41			5.11			(16.48	)		(1.88	)		1.98			—			—			—			—			—

Total from operations		1.45			5.16			(16.26	)		(1.86	)		1.97			—			—			0.17			0.48			0.47

Distributions:
Distributions from net investment income		(0.04	)		(0.04	)		(0.20	)		(0.01	)		—			—			—			(0.17	)		(0.48	)		(0.47	)

Net asset value, end of year	$	19.72		$	18.31		$	13.19		$	29.65		$	31.52		$	10.00		$	10.00		$	10.00		$	10.00		$	10.00

Total return		7.91	%		39.11	%		–54.81	%		–5.89	%		6.67	%		0.00	%		0.00	%		1.77	%		4.92	%		4.79	%
Ratios and supplemental data:
Net assets at end of year (millions)	$	219.4		$	226.5		$	187.5		$	505.1		$	550.1		$	293.4		$	341.2		$	402.5		$	336.2		$	254.4
Ratios to average net assets:
Ratios net of expenses reduced or reimbursed by adviser:
Expenses		0.87	%		0.88	%		0.84	%		0.84	%		0.86	%		0.17	%		0.19	%		0.32	%		0.31	%		0.32	%
Net investment income (loss)		0.21	%		0.27	%		0.89	%		0.05	%		–0.04	%		0.00	%		0.00	%		1.72	%		4.79	%		4.72	%
Ratios assuming no expenses reduced or reimbursed by adviser:
Expenses		0.87	%		0.88	%		0.84	%		0.84	%		0.86	%		0.35	%		0.36	%		0.35	%		0.32	%		0.35	%
Net investment income (loss)		0.21	%		0.27	%		0.89	%		0.05	%		–0.04	%		–0.18	%		–0.17	%		1.68	%		4.77	%		4.70	%
Portfolio turnover rate		50	%		24	%		39	%		23	%		13	%		0	%		0	%		0	%		0	%		0	%

The accompanying notes are an integral part of these financial statements.

120

Ohio National Fund, Inc.

Financial Highlights


	Bond Portfolio															Omni Portfolio
	Years Ended December 31,															Years Ended December 31,
	2010			2009			2008			2007			2006			2010			2009			2008			2007			2006

Selected Per-Share Data:
Net asset value, beginning of year	$	12.25		$	10.13		$	11.44		$	11.03		$	10.96		$	14.42		$	11.02		$	16.60		$	15.79		$	14.11
Operations:
Net investment income (loss)		0.52			0.49			1.04			0.58			0.55	(a)		0.28			0.29			0.40			0.34			0.27
Net realized and unrealized gain (loss) on investments and foreign currency related transactions		0.44			1.63			(2.35	)		(0.17	)		(0.06	)		1.62			3.36			(5.63	)		0.76			1.61

Total from operations		0.96			2.12			(1.31	)		0.41			0.49			1.90			3.65			(5.23	)		1.10			1.88

Distributions:
Distributions from net investment income		—			—			—			—			(0.42	)		(0.24	)		(0.25	)		(0.35	)		(0.29	)		(0.20	)

Net asset value, end of year	$	13.21		$	12.25		$	10.13		$	11.44		$	11.03		$	16.08		$	14.42		$	11.02		$	16.60		$	15.79

Total return		7.84	%		20.93	%		–11.45	%		3.72	%		4.44	%		13.19	%		33.15	%		–31.46	%		6.99	%		13.32	%
Ratios and supplemental data:
Net assets at end of year (millions)	$	148.2		$	137.9		$	107.8		$	177.7		$	171.1		$	41.2		$	41.5		$	34.9		$	61.8		$	67.1
Ratios to average net assets:
Expenses		0.67	%		0.69	%		0.66	%		0.63	%		0.65	%		0.78	%		0.79	%		0.74	%		0.71	%		0.71	%
Net investment income (loss)		3.91	%		5.06	%		5.35	%		4.99	%		4.99	%		1.71	%		2.18	%		2.43	%		1.85	%		1.69	%
Portfolio turnover rate		22	%		27	%		15	%		13	%		25	%		182	%		157	%		128	%		143	%		178	%


(a)	Calculated using the average daily shares method.

The accompanying notes are an integral part of these financial statements.

121

Ohio National Fund, Inc.

Financial Highlights


	International Portfolio															Capital Appreciation Portfolio
	Years Ended December 31,															Years Ended December 31,
	2010			2009			2008			2007			2006			2010			2009			2008			2007			2006

Selected Per-Share Data:
Net asset value, beginning of year	$	10.45		$	7.56		$	14.02		$	12.81		$	10.76		$	17.45		$	12.35		$	20.45		$	19.79		$	17.08
Operations:
Net investment income (loss)		0.14			0.14			0.13			0.09			0.05			0.06			0.22			0.14			0.11			0.12
Net realized and unrealized gain (loss) on investments, futures contracts, foreign currency contracts, and other foreign currency related transactions		1.61			2.75			(6.59	)		1.12			2.02			2.90			5.07			(8.12	)		0.65			2.68

Total from operations		1.75			2.89			(6.46	)		1.21			2.07			2.96			5.29			(7.98	)		0.76			2.80

Distributions:
Distributions from net investment income		—			—			—			—			(0.02	)		(0.04	)		(0.19	)		(0.12	)		(0.10	)		(0.09	)

Net asset value, end of year	$	12.20		$	10.45		$	7.56		$	14.02		$	12.81		$	20.37		$	17.45		$	12.35		$	20.45		$	19.79

Total return		16.75	%		38.23	%		–46.08	%		9.45	%		19.23	%		16.99	%		42.84	%		–39.01	%		3.82	%		16.37	%
Ratios and supplemental data:
Net assets at end of year (millions)	$	213.1		$	210.0		$	179.7		$	389.2		$	333.0		$	129.8		$	126.3		$	103.6		$	197.6		$	222.5
Ratios to average net assets:
Expenses		1.03	%		1.07	%		0.91	%		0.99	%		1.03	%		0.89	%		0.90	%		0.87	%		0.84	%		0.85	%
Net investment income (loss)		1.15	%		1.47	%		1.03	%		0.66	%		0.58	%		0.31	%		1.38	%		0.71	%		0.46	%		0.64	%
Portfolio turnover rate		67	%		168	%		214	%		123	%		72	%		58	%		84	%		79	%		69	%		80	%

The accompanying notes are an integral part of these financial statements.

122

Ohio National Fund, Inc.

Financial Highlights


	Millennium Portfolio															International Small-Mid Company Portfolio
	Years Ended December 31,															Years Ended December 31,
	2010			2009			2008			2007			2006			2010			2009			2008			2007			2006

Selected Per-Share Data:
Net asset value, beginning of year	$	17.45		$	14.44		$	25.13		$	19.94		$	18.57		$	19.41		$	13.29		$	27.29		$	23.23		$	18.87
Operations:
Net investment income (loss)		(0.27	)		(0.07	)		(0.16	)		(0.16	)		(0.13	)		0.07			0.07			0.08			0.07			(0.01	)
Net realized and unrealized gain (loss) on investments and foreign currency related transactions		4.51			3.08			(10.53	)		5.35			1.50			3.76			6.05			(14.08	)		3.99			4.98

Total from operations		4.24			3.01			(10.69	)		5.19			1.37			3.83			6.12			(14.00	)		4.06			4.97

Distributions:
Distributions from net investment income		—			—			—			—			—			—			—			—			—			(0.03	)
Distributions of net realized capital gains		—			—			—			—			—			—			—			—			—			(0.58	)

Total distributions		—			—			—			—			—			—			—			—			—			(0.61	)

Net asset value, end of year	$	21.69		$	17.45		$	14.44		$	25.13		$	19.94		$	23.24		$	19.41		$	13.29		$	27.29		$	23.23

Total return		24.30	%		20.84	%		–42.54	%		26.03	%		7.38	%		19.73	%		46.05	%		–51.30	%		17.48	%		26.35	%
Ratios and supplemental data:
Net assets at end of year (millions)	$	42.1		$	110.3		$	34.2		$	71.1		$	62.6		$	78.6		$	71.1		$	52.7		$	113.0		$	75.4
Ratios to average net assets:
Expenses		0.92	%		0.93	%		0.92	%		0.89	%		0.89	%		1.25	%		1.28	%		1.19	%		1.29	%		1.34	%
Net investment income (loss)		–0.69	%		–0.67	%		–0.70	%		–0.70	%		–0.59	%		0.32	%		0.47	%		0.36	%		0.27	%		–0.01	%
Portfolio turnover rate		254	%		248	%		224	%		156	%		219	%		81	%		125	%		75	%		53	%		69	%

The accompanying notes are an integral part of these financial statements.

123

Ohio National Fund, Inc.

Financial Highlights


	Mid Cap Opportunity Portfolio															S&P 500^® Index Portfolio
	Years Ended December 31,															Years Ended December 31,
	2010			2009			2008			2007			2006			2010			2009			2008			2007			2006

Selected Per-Share Data:
Net asset value, beginning of year	$	15.41		$	10.96		$	22.50		$	19.09		$	17.40		$	11.69		$	9.41		$	15.36		$	14.82		$	12.99
Operations:
Net investment income (loss)		(0.06	)		(0.05	)		(0.07	)		(0.09	)		(0.09	)		0.19			0.17			0.24			0.24			0.22
Net realized and unrealized gain (loss) on investments		3.08			4.50			(11.47	)		3.50			1.78			1.50			2.26			(5.98	)		0.51			1.77

Total from operations		3.02			4.45			(11.54	)		3.41			1.69			1.69			2.43			(5.74	)		0.75			1.99

Distributions:
Distributions from net investment income		—			—			—			—			—			(0.17	)		(0.15	)		(0.21	)		(0.21	)		(0.16	)

Net asset value, end of year	$	18.43		$	15.41		$	10.96		$	22.50		$	19.09		$	13.21		$	11.69		$	9.41		$	15.36		$	14.82

Total return		19.60	%		40.60	%		–51.29	%		17.86	%		9.71	%		14.45	%		25.83	%		–37.30	%		5.06	%		15.30	%
Ratios and supplemental data:
Net assets at end of year (millions)	$	70.4		$	63.5		$	79.6		$	115.4		$	86.6		$	176.2		$	160.7		$	106.2		$	179.4		$	182.1
Ratios to average net assets:
Expenses		0.98	%		0.97	%		0.94	%		0.93	%		0.94	%		0.49	%		0.51	%		0.48	%		0.45	%		0.47	%
Net investment income (loss)		–0.35	%		–0.27	%		–0.53	%		–0.45	%		–0.45	%		1.59	%		1.85	%		1.85	%		1.50	%		1.45	%
Portfolio turnover rate		56	%		276	%		297	%		267	%		209	%		8	%		21	%		12	%		7	%		7	%

The accompanying notes are an integral part of these financial statements.

125

Ohio National Fund, Inc.

Financial Highlights


	Strategic Value Portfolio															High Income Bond Portfolio
	Years Ended December 31,															Years Ended December 31,
	2010			2009			2008			2007			2006			2010			2009			2008			2007			2006

Selected Per-Share Data:
Net asset value, beginning of year	$	8.64		$	7.97		$	11.81		$	13.10		$	11.36		$	10.79		$	7.21		$	9.68		$	9.35		$	8.49
Operations:
Net investment income (loss)		0.35			0.27			0.56			0.17			0.16			0.58			0.46			0.68			0.59			0.47
Net realized and unrealized gain (loss) on investments and foreign currency related transactions		0.68			0.65			(3.91	)		(1.31	)		1.70			0.94			3.12			(3.15	)		(0.26	)		0.39

Total from operations		1.03			0.92			(3.35	)		(1.14	)		1.86			1.52			3.58			(2.47	)		0.33			0.86

Distributions:
Distributions from net investment income		(0.24	)		(0.25	)		(0.49	)		(0.15	)		(0.12	)		—			—			—			—			—
Return of capital distributions		(0.07	)		—			—			—			—			—			—			—			—			—

Total distributions		(0.31	)		(0.25	)		(0.49	)		(0.15	)		(0.12	)		—			—			—			—			—

Net asset value, end of year	$	9.36		$	8.64		$	7.97		$	11.81		$	13.10		$	12.31		$	10.79		$	7.21		$	9.68		$	9.35

Total return		11.98	%		11.52	%		–28.27	%		–8.74	%		16.35	%		14.09	%		49.65	%		–25.52	%		3.53	%		10.13	%
Ratios and supplemental data:
Net assets at end of year (millions)	$	24.3		$	19.8		$	13.3		$	28.4		$	34.8		$	269.8		$	159.9		$	71.3		$	89.0		$	74.3
Ratios to average net assets:
Expenses		0.96	%		1.02	%		0.96	%		0.87	%		0.88	%		0.81	%		0.88	%		0.88	%		0.87	%		0.91	%
Net investment income (loss)		4.11	%		4.31	%		4.68	%		1.18	%		1.38	%		8.03	%		9.14	%		8.77	%		7.05	%		7.12	%
Portfolio turnover rate		31	%		42	%		162	%		63	%		65	%		33	%		20	%		18	%		32	%		32	%

The accompanying notes are an integral part of these financial statements.

126

Ohio National Fund, Inc.

Financial Highlights


	Capital Growth Portfolio															Nasdaq-100^® Index Portfolio
	Years Ended December 31,															Years Ended December 31,
	2010			2009			2008			2007			2006			2010			2009			2008			2007			2006

Selected Per-Share Data:
Net asset value, beginning of year	$	20.29		$	15.00		$	23.57		$	21.19		$	17.64		$	4.78		$	3.11		$	5.36		$	4.52		$	4.24
Operations:
Net investment income (loss)		(0.11	)		—			(0.12	)		(0.16	)		(0.16	)		0.02			0.01			—			—			—
Net realized and unrealized gain (loss) on investments		7.50			5.29			(8.45	)		2.54			3.71			0.91			1.66			(2.25	)		0.84			0.28

Total from operations		7.39			5.29			(8.57	)		2.38			3.55			0.93			1.67			(2.25	)		0.84			0.28

Distributions:
Distributions from net investment income		—			—			—			—			—			(0.02	)		—			—			—			—

Net asset value, end of year	$	27.68		$	20.29		$	15.00		$	23.57		$	21.19		$	5.69		$	4.78		$	3.11		$	5.36		$	4.52

Total return		36.42	%		35.27	%		–36.36	%		11.23	%		20.12	%		19.38	%		53.70	%		–41.98	%		18.58	%		6.60	%
Ratios and supplemental data:
Net assets at end of year (millions)	$	52.4		$	36.8		$	27.1		$	38.2		$	32.9		$	54.9		$	47.6		$	28.1		$	48.6		$	45.7
Ratios to average net assets:
Expenses		1.04	%		1.07	%		1.04	%		1.02	%		1.03	%		0.54	%		0.56	%		0.54	%		0.51	%		0.53	%
Net investment income (loss)		–0.50	%		0.02	%		–0.66	%		–0.70	%		–0.81	%		0.39	%		0.19	%		0.01	%		–0.01	%		0.00	%
Portfolio turnover rate		56	%		67	%		63	%		63	%		69	%		30	%		29	%		27	%		13	%		36	%

The accompanying notes are an integral part of these financial statements.

127

Ohio National Fund, Inc.

Financial Highlights


	Bristol Portfolio															Bryton Growth Portfolio
	Years Ended December 31,															Years Ended December 31,
	2010			2009			2008			2007			2006			2010			2009			2008			2007			2006

Selected Per-Share Data:
Net asset value, beginning of year	$	11.12		$	8.23		$	14.02		$	13.08		$	11.27		$	10.94		$	8.06		$	13.33		$	12.13		$	10.46
Operations:
Net investment income (loss)		0.07			0.06			0.11			0.08			0.04			(0.06	)		(0.05	)		(0.05	)		(0.05	)		(0.03	)
Net realized and unrealized gain (loss) on investments and foreign currency related transactions		1.39			2.89			(5.80	)		0.93			1.81			2.69			2.93			(5.22	)		1.25			1.78

Total from operations		1.46			2.95			(5.69	)		1.01			1.85			2.63			2.88			(5.27	)		1.20			1.75

Distributions:
Distributions from net investment income		(0.07	)		(0.06	)		(0.10	)		(0.07	)		(0.04	)		—			—			—			—			(0.08	)

Net asset value, end of year	$	12.51		$	11.12		$	8.23		$	14.02		$	13.08		$	13.57		$	10.94		$	8.06		$	13.33		$	12.13

Total return		13.10	%		35.83	%		–40.54	%		7.75	%		16.42	%		24.04	%		35.73	%		–39.53	%		9.89	%		16.74	%
Ratios and supplemental data:
Net assets at end of year (millions)	$	182.6		$	142.8		$	81.5		$	97.1		$	62.4		$	137.4		$	113.4		$	59.0		$	65.2		$	29.3
Ratios to average net assets:
Expenses		0.86	%		0.89	%		0.90	%		0.89	%		0.92	%		0.93	%		0.96	%		0.96	%		0.96	%		1.04	%
Net investment income (loss)		0.70	%		0.79	%		1.13	%		0.69	%		0.56	%		–0.49	%		–0.64	%		–0.62	%		–0.54	%		–0.67	%
Portfolio turnover rate		253	%		223	%		184	%		176	%		216	%		118	%		82	%		54	%		55	%		99	%

The accompanying notes are an integral part of these financial statements.

128

Ohio National Fund, Inc.

Financial Highlights


	U.S. Equity Portfolio															Balanced Portfolio
	Years Ended December 31,															Years Ended December 31,
	2010			2009			2008			2007			2006			2010			2009			2008			2007			2006

Selected Per-Share Data:
Net asset value, beginning of year	$	9.16		$	7.91		$	15.45		$	13.70		$	12.73		$	13.13		$	10.74		$	14.70		$	13.09		$	11.70
Operations:
Net investment income (loss)		0.08			0.07			0.14			0.06			0.05			0.32			0.29			0.25			0.20			0.17
Net realized and unrealized gain (loss) on investments and foreign currency related transactions		1.06			1.24			(7.56	)		1.74			0.96			0.70			2.39			(4.21	)		1.41			1.37

Total from operations		1.14			1.31			(7.42	)		1.80			1.01			1.02			2.68			(3.96	)		1.61			1.54

Distributions:
Distributions from net investment income		(0.07	)		(0.06	)		(0.12	)		(0.05	)		(0.04	)		(0.28	)		(0.29	)		—			—			(0.15	)

Net asset value, end of year	$	10.23		$	9.16		$	7.91		$	15.45		$	13.70		$	13.87		$	13.13		$	10.74		$	14.70		$	13.09

Total return		12.46	%		16.57	%		–47.98	%		13.17	%		7.93	%		7.78	%		24.92	%		–26.94	%		12.30	%		13.12	%
Ratios and supplemental data:
Net assets at end of year (millions)	$	14.5		$	14.6		$	13.0		$	24.8		$	21.7		$	14.5		$	13.6		$	9.6		$	11.0		$	7.6
Ratios to average net assets:
Expenses		1.01	%		1.04	%		0.96	%		0.91	%		0.96	%		0.99	%		1.08	%		1.09	%		1.13	%		1.31	%
Net investment income (loss)		0.86	%		0.90	%		1.19	%		0.41	%		0.47	%		2.48	%		2.99	%		2.29	%		1.77	%		1.95	%
Portfolio turnover rate		98	%		173	%		216	%		128	%		139	%		56	%		72	%		80	%		81	%		105	%

The accompanying notes are an integral part of these financial statements.

129

Ohio National Fund, Inc.

Financial Highlights


	Income Opportunity Portfolio															Target VIP Portfolio
	Years Ended December 31,															Years Ended December 31,
	2010			2009			2008			2007			2006			2010			2009			2008			2007			2006

Selected Per-Share Data:
Net asset value, beginning of year	$	11.19		$	9.89		$	12.49		$	11.53		$	11.07		$	7.72		$	6.81		$	12.23		$	11.23		$	10.14
Operations:
Net investment income (loss)		0.08			0.01			0.10			0.00			0.01			0.13			0.11			0.12			0.09			0.02
Net realized and unrealized gain (loss) on investments, foreign currency related transactions, and written options		0.72			1.29			(2.70	)		0.96			0.45			1.37			0.90			(5.42	)		1.00			1.07

Total from operations		0.80			1.30			(2.60	)		0.96			0.46			1.50			1.01			(5.30	)		1.09			1.09

Distributions:
Distributions from net investment income		—			—			—			—			—			(0.11	)		(0.10	)		(0.12	)		(0.09	)		—

Net asset value, end of year	$	11.99		$	11.19		$	9.89		$	12.49		$	11.53		$	9.11		$	7.72		$	6.81		$	12.23		$	11.23

Total return		7.15	%		13.14	%		–20.82	%		8.33	%		4.16	%		19.47	%		14.77	%		–43.34	%		9.74	%		10.76	%
Ratios and supplemental data:
Net assets at end of year (millions)	$	9.6		$	6.7		$	4.5		$	5.2		$	5.7		$	21.9		$	20.6		$	18.2		$	23.1		$	10.6
Ratios to average net assets:
Ratios net of expenses reduced or reimbursed by adviser:
Expenses		1.27	%		1.56	%		1.62	%		1.46	%		1.52	%		0.82	%		0.83	%		0.80	%		0.83	%		1.26	%
Net investment income (loss)		0.89	%		0.40	%		0.98	%		–0.04	%		0.12	%		1.50	%		1.53	%		1.45	%		1.22	%		0.53	%
Ratios assuming no expenses reduced or reimbursed by adviser:
Expenses		1.30	%		1.56	%		1.62	%		1.46	%		1.52	%		0.82	%		0.83	%		0.80	%		0.83	%		1.30	%
Net investment income (loss)		0.87	%		0.40	%		0.98	%		–0.04	%		0.12	%		1.50	%		1.53	%		1.45	%		1.22	%		0.48	%
Portfolio turnover rate		92	%		200	%		203	%		159	%		140	%		92	%		91	%		79	%		52	%		24	%

The accompanying notes are an integral part of these financial statements.

130

Ohio National Fund, Inc.

Financial Highlights


	Target Equity/Income Portfolio															Bristol Growth Portfolio
																									Period from
	Years Ended December 31,															Years Ended December 31,									*May 1, 2007 to**
	2010			2009			2008			2007			2006			2010			2009			2008			December 31, 2007

Selected Per-Share Data:
Net asset value, beginning of period	$	7.07		$	6.41		$	12.00		$	11.01		$	10.13		$	8.75		$	6.15		$	10.35		$	10.00
Operations:
Net investment income (loss)		0.12			0.15			0.19			0.16			0.08			0.02			0.01			0.01			0.01
Net realized and unrealized gain (loss) on investments		1.52			0.64			(5.61	)		0.99			0.87			1.10			2.59			(4.21	)		0.34

Total from operations		1.64			0.79			(5.42	)		1.15			0.95			1.12			2.60			(4.20	)		0.35

Distributions:
Distributions from net investment income		(0.10	)		(0.13	)		(0.17	)		(0.16	)		(0.07	)		(0.03	)		—			—			—

Net asset value, end of period	$	8.61		$	7.07		$	6.41		$	12.00		$	11.01		$	9.84		$	8.75		$	6.15		$	10.35

Total return		23.23	%		12.33	%		–45.07	%		10.42	%		9.36	%		12.79	%		42.28	%		–40.58	%		3.50	%(b)
Ratios and supplemental data:
Net assets at end of period (millions)	$	26.6		$	22.6		$	24.1		$	40.4		$	20.9		$	85.3		$	10.5		$	4.8		$	7.3
Ratios to average net assets:
Expenses		0.78	%		0.79	%		0.74	%		0.73	%		0.88	%		0.93	%		1.29	%		1.26	%		1.30	%(a)
Net investment income (loss)		1.56	%		2.03	%		2.05	%		1.83	%		1.28	%		0.63	%		0.26	%		0.18	%		0.10	%(a)
Portfolio turnover rate		90	%		95	%		105	%		54	%		52	%		268	%		218	%		175	%		107	%


(a)	Annualized.

(b)	Not annualized.


*	Represents date of commencement of operations.

The accompanying notes are an integral part of these financial statements.

131

Ohio National Fund, Inc.


Notes to Financial Statements	December 31, 2010

(1) Organization

Ohio National Fund, Inc. (the “Fund”) is a Maryland corporation registered under the Investment Company Act of 1940, as amended (the “40 Act”), as an open-end management investment company. The Fund consists of twenty-four separate investment portfolios (the “Portfolios”) that seek the following objectives and strategies:


	n	Equity Portfolio — Long-term growth of capital by investing at least 80% of its assets in equity securities.

	n	Money Market Portfolio — Maximum current income consistent with preservation of capital and liquidity by investing in high quality money market instruments.

	n	Bond Portfolio — High level of income and opportunity for capital appreciation consistent with preservation of capital by investing primarily in intermediate-term and long-term fixed income securities.

	n	Omni Portfolio — High level of long-term total return consistent with preservation of capital by investing in stocks, bonds, and money market instruments.

	n	International Portfolio — Total return on assets by investing at least 80% of its assets in securities of foreign companies.

	n	Capital Appreciation Portfolio — Long-term capital growth by investing primarily in common stocks of established companies with either current or emerging earnings growth not fully appreciated or recognized by the market.

	n	Millennium Portfolio — Maximum capital growth by investing primarily in common stocks of small sized companies.

	n	International Small-Mid Company Portfolio — Long-term growth of capital by investing at least 80% of its assets in equity securities of foreign small and mid-cap companies.

	n	Aggressive Growth Portfolio — Long-term capital growth by investing primarily in domestic and foreign equity securities selected for growth potential.

	n	Small Cap Growth Portfolio — Long-term capital appreciation by investing at least 80% of its net assets in stocks of small companies.

	n	Mid Cap Opportunity Portfolio — Long-term total return by investing at least 80% of its net assets in equity securities of mid-cap companies, primarily those that are strategically positioned for long-term growth.

	n	S&P 500^® Index Portfolio — Total return that approximates the total return of the Standard & Poor’s 500^® Index, at a risk level consistent with that of the Standard & Poor’s 500^® Index.

	n	Strategic Value Portfolio — Growth of capital and income by investing primarily in securities of high dividend yielding, undervalued stocks with dividend growth potential.

	n	High Income Bond Portfolio — High current income by investing at least 80% of its net assets in lower rated corporate debt obligations commonly referred to as “junk bonds”. The Portfolio’s investments are generally rated Baa or lower by Moody’s, or BBB or lower by Standard & Poor’s or Fitch.

	n	Capital Growth Portfolio — Long-term capital appreciation by investing in and actively managing equity securities of small cap growth companies.

	n	Nasdaq-100^® Index Portfolio — Long-term growth of capital by investing primarily in stocks that are included in the Nasdaq-100^® Index. Unlike the other Portfolios of the Fund, the Nasdaq-100^® Index Portfolio is a non-diversified portfolio for purposes of Section 5(b) of the 40 Act.

	n	Bristol Portfolio — Long-term growth of capital by investing primarily in common stocks of the 1,000 largest publicly traded U.S. companies in terms of market capitalization.

	n	Bryton Growth Portfolio — Long-term growth of capital by investing primarily in common stocks of growth-oriented U.S. companies smaller than the 500 largest publicly traded U.S. companies in terms of market capitalization.

	n	U.S. Equity Portfolio — Capital appreciation with a secondary objective of capital preservation to provide long term growth by investing at least 80% of its net assets in equity securities traded in the U.S. within under-priced sectors and industries.

(continued)

132

Ohio National Fund, Inc.


Notes to Financial Statements (Continued)	December 31, 2010


	n	Balanced Portfolio — Capital appreciation and income by investing normally up to 75% of its assets in equity securities within under-priced sectors and industries while maintaining a minimum of 25% of its assets in fixed income securities.

	n	Income Opportunity Portfolio — Modest capital appreciation and maximization of realized gains by investing within equity securities traded in the U.S.

	n	Target VIP Portfolio — Above average total return by investing in the common stocks of companies which are identified by a model that applies separate uniquely specialized strategies.

	n	Target Equity/Income Portfolio — Above average total return by adhering to a disciplined, quantitative investment process that incorporates two distinct strategy methodologies.

	n	Bristol Growth Portfolio — Long-term growth of capital by investing primarily in common stocks of the 1,000 largest publicly traded U.S. companies in terms of market capitalization.

Additional detail regarding portfolio-specific objectives, policies, and investment strategies is provided in the prospectus and Statement of Additional Information of Ohio National Fund, Inc. There are no assurances that these objectives will be met. Each Portfolio, except the Nasdaq-100^® Index Portfolio, is classified as diversified for purposes of Section 5(b) of the 40 Act.

At present, the Fund sells its shares only to separate accounts of The Ohio National Life Insurance Company (“ONLIC”), Ohio National Life Assurance Corporation (“ONLAC”), and National Security Life and Annuity Company (“NSLA”) to support certain benefits under variable contracts issued by those entities. In the future, Fund shares may be used for other purposes but, unless there is a change in applicable law, they will not be sold directly to the public.

Interest in each Portfolio is represented by a separate class of the Fund’s capital stock, par value $1. Each share of a Portfolio participates equally in the Portfolio’s dividends, distributions, net assets, and voting matters.

The Fund is authorized to issue 550 million of its capital shares. These authorized shares have been allocated to specific Portfolios of the Fund as follows:


Portfolio	Authorized Shares

Equity		30,000,000
Money Market		80,000,000
Bond		30,000,000
Omni		10,000,000
International		45,000,000
Capital Appreciation		15,000,000
Millennium		10,000,000
International Small-Mid Company		10,000,000
Aggressive Growth		10,000,000
Small Cap Growth		10,000,000
Mid Cap Opportunity		10,000,000
S&P 500^® Index		35,000,000


Portfolio	Authorized Shares

Strategic Value		10,000,000
High Income Bond		60,000,000
Capital Growth		10,000,000
Nasdaq-100^® Index		25,000,000
Bristol		40,000,000
Bryton Growth		35,000,000
U.S. Equity		10,000,000
Balanced		10,000,000
Income Opportunity		10,000,000
Target VIP		10,000,000
Target Equity/Income		10,000,000
Bristol Growth		25,000,000

The Fund’s Board of Directors (the “Board”) periodically reallocates authorized shares among the Portfolios of the Fund and may authorize additional shares as deemed necessary.

Under the Fund’s organizational documents, its Officers and Directors are indemnified against certain liabilities arising out of the performance of their duties to the Fund. In addition, in the normal course of business, the Fund enters into contracts with its vendors and others that provide for general indemnifications. The Fund’s maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Fund. However, based on experience, the risk of loss to the Fund is expected to be remote.

(continued)

133

Ohio National Fund, Inc.


Notes to Financial Statements (Continued)	December 31, 2010


(2)	Significant Accounting Policies

The following is a summary of significant accounting policies followed by the Fund in preparation of its financial statements:

Use of Estimates

The preparation of financial statements in conformity with U.S. generally accepted accounting principles (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates.

Security Valuation

Investments are valued using pricing procedures approved by the Board.

Investments in the Money Market Portfolio are valued at amortized cost in accordance with Rule 2a-7 of the 40 Act. In all Portfolios of the Fund, fixed income instruments that mature in sixty days or less, and of sufficient credit quality, are valued at amortized cost. Amortized cost valuation involves valuing a security at its cost initially and thereafter amortizing to maturity any discounts or premiums on the level-yield method, regardless of the impact of fluctuating market interest rates on the value of the security. In these instances, amortized cost approximates fair value.

Investments, other than those securities aforementioned, are valued as follows:


		Domestic equity securities that are traded on U.S. exchanges, with the exception of options, are valued at the last trade price reported by the primary exchange of each security (4:00 pm Eastern Time for normal trading sessions). Option securities are currently valued on a composite close price basis. Over-the-counter domestic equity securities are valued at the last trade price reported daily as of 4:00 pm Eastern Time (normal trading sessions). Over-the-counter traded ADRs may be valued at an evaluated price based on the value of the underlying securities. If a domestic equity security is not traded on a particular day, the mean between the bid and ask prices reported at 4:00 pm Eastern Time (normal trading sessions) by the primary exchange will generally be used for valuation purposes. The principal sources for market quotations are independent national pricing services that have been approved by the Board.

		Fixed income securities that have a remaining maturity exceeding sixty days are generally valued at the mean between the daily close bid and ask prices, as provided by independent pricing services approved by the Board.

		Shares of open-end mutual funds are valued at each fund’s last calculated net asset value per share.

		Repurchase agreements are valued at amortized cost, which approximates fair value.

		Restricted securities, illiquid securities, or other investments for which market quotations are not readily available are valued at an estimate of value using methods determined in good faith by the Fund’s Pricing Committee under the supervision of the Board.

		Foreign equity securities are initially priced at the reported close price of the exchange on which a security is primarily traded. Securities not traded on a particular day are valued at the mean between the last reported bid and ask quotes at daily close, or the last sale price when appropriate. The principal sources for market quotations are independent pricing services that have been approved by the Board.

		Equity securities that are primarily traded on foreign exchanges, other than those in North or South America, are further subjected to fair valuation pricing procedures provided by an independent fair valuation service. The service provides data that can be used to estimate the price of a foreign issue that would prevail in a liquid market given market information available daily at 4:00 pm Eastern Time (normal trading sessions). Multiple factors may be considered in performing this valuation, including an issue’s local close price, relevant general and sector indices, currency fluctuations, and pricing of related depository receipts, exchange traded funds, and futures. The pricing procedures are performed for each individual security for which there is a fairly large degree of certainty that the local close price is not the liquid market price at the time of U.S. market close, each day there is a change in a consistently used market index from the time of local close to the U.S. market close. Backtesting analysis is performed on a quarterly basis to monitor the effectiveness of these procedures.

(continued)

134

Ohio National Fund, Inc.


Notes to Financial Statements (Continued)	December 31, 2010


		The testing is reviewed by management of the Fund as well as the Fund’s Board. Prior results have indicated that these procedures have been effective in reaching valuation objectives.

The differences between the aggregate cost and values of investments are reflected as unrealized appreciation or unrealized depreciation.

Pricing inputs used in the Fund’s determination of its investment values are categorized according to a three-tier hierarchy framework. The hierarchy is summarized in three broad levels:


Level 1:		Quoted prices in active markets for identical securities.
Level 2:		Other significant observable inputs, including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.
Level 3:		Significant unobservable inputs, including the Fund’s own assumptions used to determine the value of securities.

The following is a summary of the inputs used in valuing each of the Portfolio’s assets (liabilities) at value as of December 31, 2010:


Portfolio	Financial Instrument Type	Level 1			Level 2		Level 3

Equity	Common Stocks	$	213,926,161		$	—	$	—
	Repurchase Agreements		—			4,165,480		—

		$	213,926,161		$	4,165,480	$	—

Money Market*	Commercial Paper	$	—		$	222,313,914	$	—
	Asset-Backed Securities		—			3,971,522		—
	Money Market Funds		39,400,000			—		—
	U.S. Treasury Obligations		—			9,998,953		—
	Repurchase Agreements		—			12,822,000		—

		$	39,400,000		$	249,106,389	$	—

Bond	Corporate Bonds	$	—		$	132,543,473	$	—
	U.S. Treasury Obligations		—			4,113,908		—
	Commercial Paper		—			4,999,992		—
	Repurchase Agreements		—			628,000		—

		$	—		$	142,285,373	$	—

Omni	Common Stocks	$	30,268,262		$	—	$	—
	Corporate Bonds		—			8,783,782		—
	U.S. Treasury Obligations		—			153,152		—
	Money Market Funds		1,892,000			—		—

		$	32,160,262		$	8,936,934	$	—

International	Common Stocks	$	25,997,748		$	187,872,614	$	—
	U.S. Treasury Obligations		—			99,969		—
	Money Market Funds		3,417,131			—		—

		$	29,414,879		$	187,972,583	$	—

	Foreign currency contracts	$	(273,494	)	$	—	$	—

	Futures contracts	$	(23,610	)	$	—	$	—

Capital Appreciation	Common Stocks	$	124,787,805		$	1,875,546	$	—
	Money Market Funds		5,331,000			—		—

		$	130,118,805		$	1,875,546	$	—

Millennium	Common Stocks	$	41,632,214		$	—	$	—
	Money Market Funds		379,000			—		—

		$	42,011,214		$	—	$	—

(continued)

135

Ohio National Fund, Inc.


Notes to Financial Statements (Continued)	December 31, 2010


Portfolio	Financial Instrument Type	Level 1		Level 2		Level 3

International Small-Mid Company	Common Stocks	$	17,811,569	$	59,781,236	$	—
	Exchange Traded Funds		899,923		—		—
	Money Market Funds		277,957		—		—

		$	18,989,449	$	59,781,236	$	—

Aggressive Growth	Common Stocks	$	23,884,801	$	4,395,675	$	—
	VVPR Strips		37		—		—
	Money Market Funds		1,585,000		—		—

		$	25,469,838	$	4,395,675	$	—

Small Cap Growth	Common Stocks	$	31,239,239	$	—	$	—
	Money Market Funds		906,000		—		—

		$	32,145,239	$	—	$	—

Mid Cap Opportunity	Common Stocks	$	68,133,342	$	—	$	—
	Money Market Funds		2,488,000		—		—

		$	70,621,342	$	—	$	—

S&P 500^® Index	Common Stocks	$	174,024,248	$	—	$	—
	Exchange Traded Funds		1,757,775		—		—
	Commercial Paper		—		123,000		—

		$	175,782,023	$	123,000	$	—

Strategic Value	Common Stocks	$	19,438,719	$	4,277,321	$	—
	Money Market Funds		471,000		—		—

		$	19,909,719	$	4,277,321	$	—

	Foreign currency contracts	$	57,516	$	—	$	—

High Income Bond	Corporate Bonds	$	—	$	263,147,406	$	—
	Convertible Bonds		—		220,500		—
	Preferred Stocks		—		327,024		—
	Other		—		—		4,688

		$	—	$	263,694,930	$	4,688

Capital Growth	Common Stocks	$	52,040,717	$	—	$	—
	Money Market Funds		860,000		—		—

		$	52,900,717	$	—	$	—

Nasdaq-100^® Index	Common Stocks	$	54,576,815	$	—	$	—
	Exchange Traded Funds		695,310		—		—

		$	55,272,125	$	—	$	—

Bristol	Common Stocks	$	180,003,336	$	—	$	—
	Money Market Funds		3,933,000		—		—

		$	183,936,336	$	—	$	—

Bryton Growth	Common Stocks	$	134,632,412	$	—	$	—
	Money Market Funds		6,242,000		—		—

		$	140,874,412	$	—	$	—

U.S. Equity	Common Stocks	$	13,361,021	$	—	$	—
	Money Market Funds		1,155,000		—		—

		$	14,516,021	$	—	$	—

(continued)

136

Ohio National Fund, Inc.


Notes to Financial Statements (Continued)	December 31, 2010


Portfolio	Financial Instrument Type	Level 1			Level 2		Level 3

Balanced	Common Stocks	$	7,954,147		$	—	$	—
	Corporate Bonds		—			4,794,341		—
	U.S. Government Agency Issues		—			252,773		—
	U.S. Treasury Obligations		—			943,438		—
	Money Market Funds		483,000			—		—

		$	8,437,147		$	5,990,552	$	—

Income Opportunity	Common Stocks	$	10,004,186		$	—	$	—
	Purchased Options		4,950			—		—
	Money Market Funds		124,000			—		—

		$	10,133,136		$	—	$	—

	Written Options Outstanding	$	(295,280	)	$	—	$	—

Target VIP	Common Stocks	$	21,465,916		$	—	$	—
	Money Market Funds		327,000			—		—

		$	21,792,916		$	—	$	—

Target Equity/Income	Common Stocks	$	26,023,865		$	—	$	—
	Money Market Funds		533,000			—		—

		$	26,556,865		$	—	$	—

Bristol Growth	Common Stocks	$	83,162,627		$	—	$	—
	Money Market Funds		3,418,000			—		—

		$	86,580,627		$	—	$	—


	*	At December 31, 2010, the Money Market Portfolio’s investments, with the exception of money market funds, were valued using amortized cost, in accordance with rules under the 40 Act. Amortized cost approximates the current fair value of a security, but since the value is not obtained from a quoted price in an active market, such securities are considered to be valued using Level 2 inputs.

As stated above, the value assigned to the Fund’s foreign securities will, in most cases, not be the quoted or published prices of the investments on their respective primary markets or exchanges. Securities that are priced using fair value estimates are categorized as Level 2 in the fair value hierarchy, whereas securities that do not meet the established criteria are categorized as Level 1. The valuation of a foreign security from one valuation period to the next may result in a transfer between Levels 1 and 2 if the degree of certainty that the local close price is not the liquid market price at the time of U.S. market close is not similar for both periods. The Fund’s policy is to recognize significant transfers between fair value hierarchy levels at the reporting period end. The only transfer between Levels 1 and 2 for the year ended December 31, 2010 was related to a foreign security in which there was a change in the confidence interval measurement. This transfer was not determined to be significant, however.

Below is a reconciliation that details the activity of securities in Level 3 during the year ended December 31, 2010:


Corporate Bonds	High Income Bond

Beginning Balance – January 1, 2010	$	—
Total gains or losses (realized/unrealized):
Included in earnings (or changes in net assets)		—
Purchases, issuances, and settlements		4,688
Transfers in and/or out of Level 3		—

Ending Balance – December 31, 2010	$	4,688

The amount of total gains or losses for the period included in earnings (or changes in net assets) attributable to the change in unrealized gains or losses relating to assets still held at the reporting date	$	—

(continued)

137

Ohio National Fund, Inc.


Notes to Financial Statements (Continued)	December 31, 2010

Foreign Securities and Currency

The books and records of all the Portfolios are maintained in U.S. dollars. All investments and cash quoted in foreign currencies are valued daily in U.S. dollars on the basis of the foreign currency exchange rates provided by an independent source. These exchange rates are currently determined daily, at 4:00 pm Eastern Time for normal trading sessions. Purchases and sales of foreign-denominated investments are recorded at rates of exchange prevailing on the respective dates of such transactions.

The Fund may not fully isolate that portion of the results of operations resulting from changes in foreign exchange rates from fluctuations arising from changes in market prices on foreign currency-denominated investments. However, for tax purposes, the Fund does fully isolate the effect of fluctuations in foreign exchange rates when determining the gain or loss upon sale or maturity of such investments to the extent required by Federal income tax regulations.

All Portfolios of the Fund, other than the Target VIP and Target Equity/Income Portfolios, may invest in securities of foreign issuers, although foreign securities purchased by the Money Market Portfolio must be denominated in U.S. dollars and held in custody in the United States of America. The International and International Small-Mid Company Portfolios may be invested entirely in foreign securities. Investments in securities of foreign issuers, including investments in foreign companies through the use of depositary receipts, carry certain risks not ordinarily associated with investments in securities of domestic issuers. Such risks include future political and economic developments, and the possible imposition of exchange controls or other foreign governmental laws and restrictions. In addition, with respect to certain countries, there is the possibility of expropriation of assets, confiscatory taxation, political or social instability, or diplomatic developments that could adversely affect capital investment within those countries.

Repurchase Agreements

The Portfolios may acquire repurchase agreements from member banks of the Federal Reserve System which are deemed creditworthy under guidelines approved by the Board, subject to the seller’s agreement to repurchase such securities at a mutually agreed upon date and price. The repurchase price generally equals the price paid by a Portfolio plus interest negotiated on the basis of current short-term rates, which may be more or less than the rate on the underlying securities. The maturities of these instruments vary from overnight to one week. The seller, under a repurchase agreement, is required to maintain as collateral for the repurchase transaction securities in which the Portfolio has a perfected security interest with a value not less than 100% of the repurchase price (including accrued interest). Securities subject to repurchase agreements are held by the Portfolio’s custodian or another qualified custodian or in the Federal Reserve/Treasury book-entry system. In the event of counterparty default, the Fund has the right to use the collateral to offset losses incurred. There is potential for loss to the Fund in the event the Fund is delayed or prevented from exercising its rights to dispose of the collateral securities, including the risk of a possible decline in the value of the underlying securities during the period while the Fund seeks to assert its rights.

Restricted and Illiquid Securities

Restricted securities are those securities purchased through a private offering and cannot be resold to the general public without prior registration under the Securities Act of 1933 (“the 1933 Act”) or pursuant to the resale limitations provided by Rule 144A under the 1933 Act, or an exemption from the registration requirements of the 1933 Act. 144A securities are issued by corporations without registration in reliance on 1933 Act provisions allowing for the private resale of unregistered securities to qualified institutional buyers. Section 4(2) commercial paper is issued pursuant to Section 4(2) of the 1933 Act which exempts an issue from registration. This paper may be used to finance non-current transactions, such as acquisitions, stock repurchase programs, and other long-term assets. Investments by a portfolio in Rule 144A and Section 4(2) securities could have the effect of decreasing the liquidity of a Portfolio during any period in which qualified institutional investors were no longer interested in purchasing these securities.

Typically, the restricted securities noted above are not considered illiquid. The criteria used to determine if a restricted security is illiquid includes frequency of trades and quotes, available dealers willing to make transactions, availability of market makers in the security, and the nature of the security and its trades. The Money Market, Bond, and Omni Portfolios may invest up to 10% of their respective assets in illiquid securities. Each of the other Portfolios of the Fund may invest up to 15% of its net assets in illiquid securities.

(continued)

138

Ohio National Fund, Inc.


Notes to Financial Statements (Continued)	December 31, 2010

Investment Transactions and Related Income

For financial reporting purposes, investment transactions are accounted for on a trade date basis. For purposes of executing separate account shareholder transactions in the normal course of business, however, the Fund’s investment transactions are recorded no later than the first calculation on the first business day following the trade date in accordance with Rule 2a-4 of the 40 Act. Accordingly, differences between the net asset values for financial reporting and for executing separate account shareholder transactions may arise.

Dividend income is recognized on the ex-dividend date, except in the case of those Portfolios holding foreign securities, in which dividends are recorded as soon after the ex-dividend date as the Fund’s information agents become aware of such dividends. Interest income is accrued daily as earned and includes the amortization of premium and accretion of discount. Net realized gain or loss on investments and foreign exchange transactions are determined using the specific identification method.

Distributions to Shareholders and Federal Taxes

Net investment income of the Money Market Portfolio is declared and paid daily as a dividend to shareholders immediately before the computation of the net asset value of Money Market Portfolio shares. Dividends are automatically reinvested in additional Money Market Portfolio shares at the net asset value immediately following such computation. Distributions arising from net investment income and net capital gains from the remaining Portfolios are declared and paid to shareholders periodically as required for each of the Portfolios to continue to qualify as a regulated investment company pursuant to Subchapter M of the Internal Revenue Code. The Fund, excluding the Money Market Portfolio, may also satisfy its distribution requirements by using consent dividends rather than cash dividends. The Fund has the intent to continue to comply with tax provisions pertaining to regulated investment companies and make distributions of taxable income sufficient to relieve it from substantially all Federal income and excise taxes. As such, no provisions for Federal income or excise taxes have been recorded.

The character of income and realized capital gains distributions are determined in accordance with Federal income tax regulations and may differ from net investment income and realized gains for financial reporting purposes. These “book/tax” differences are either considered temporary or permanent in nature. To the extent these differences are permanent in nature they are reclassified within the composition of net assets; temporary differences do not require such reclassification. Distributions to shareholders that exceed taxable income and net taxable realized gains are reported as return of capital distributions.

The Fund’s management and its tax agent, U.S. Bancorp Fund Services, LLC, perform an affirmative evaluation of tax positions taken or expected to be taken in the course of preparing the Fund’s tax returns to determine whether it is more-likely-than-not (i.e. greater than 50-percent) that each tax position will be sustained upon examination by a taxing authority based on the technical merits of the position. A tax position that meets the more-likely-than-not recognition threshold is measured to determine the amount of benefit to recognize in the financial statements. Differences between tax positions taken in a tax return and amounts recognized in the financial statements will generally result in an increase in a liability for taxes payable (or a reduction of a tax refund receivable), including the recognition of any related interest and penalties as an operating expense. Implementation of the evaluation included a review of tax positions taken in tax years that remain subject to examination by all major tax jurisdictions, including federal tax and the state of Maryland (i.e. the last four tax year ends and the interim tax period since then). The determination has been made that there are no uncertain tax positions that would require the Portfolios to record a tax liability and, therefore, there is no impact to the Portfolios’ financial statements.

Expense Allocation

Expenses directly attributable to a Portfolio are charged to that Portfolio. Expenses that cannot be directly attributed to a Portfolio are allocated among all the benefited Portfolios on a basis of relative net assets or other appropriate method.

Foreign Withholding Taxes

Certain Portfolios in the Fund may be subject to taxes imposed by countries in which they invest with respect to their investments in issuers existing or operating in such countries. Such taxes are generally withheld based on income earned. These Portfolios accrue such taxes as the related income is earned.

(continued)

139

Ohio National Fund, Inc.


Notes to Financial Statements (Continued)	December 31, 2010

Subsequent Events

Management has evaluated events and transactions through the date the financial statements were available to be issued, for purposes of recognition or disclosure in these financial statements, and there are no additional subsequent events to report.


(3)	Related Party and Other Transactions

The Fund has an Investment Advisory Agreement with Ohio National Investments, Inc. (“ONI”), a wholly-owned subsidiary of ONLIC. Under the terms of this agreement, ONI provides portfolio management and investment advice to the Fund and administers its operations, subject to the supervision of the Fund’s Board. This agreement is renewed annually upon the approval by the Board. As compensation for its services, ONI receives advisory fees from the Fund calculated on the basis of each Portfolio’s average daily net assets and the following current schedule of Board-approved annualized fee breakpoints.


Equity 0.79% of first $200 million 0.74% of next $800 million 0.70% over $1 billion Bond 0.60% of first $100 million 0.50% of next $150 million 0.45% of next $250 million 0.40% of next $500 million 0.30% of next $1 billion 0.25% over $2 billion International 0.85% of first $100 million 0.80% of next $100 million 0.70% over $200 million Millennium 0.80% of first $150 million 0.75% of next $150 million 0.70% of next $300 million 0.65% over $600 million Aggressive Growth 0.80% of first $100 million 0.75% of next $400 million 0.70% over $500 million Mid Cap Opportunity 0.85% of first $100 million 0.80% of next $100 million 0.75% of next $300 million 0.70% over $500 million Strategic Value 0.75% of first $100 million 0.70% of next $400 million 0.65% over $500 million Capital Growth 0.90% of first $100 million 0.85% of next $100 million 0.80% of next $300 million 0.75% over $500 million		Money Market 0.30% of first $100 million⁽¹⁾0.25% of next $150 million 0.23% of next $250 million 0.20% of next $500 million 0.15% over $1 billion Omni 0.60% of first $100 million 0.50% of next $150 million 0.45% of next $250 million 0.40% of next $500 million 0.30% of next $1 billion 0.25% over $2 billion Capital Appreciation 0.80% of first $100 million 0.75% of next $300 million 0.65% of next $600 million 0.60% over $1 billion International Small-Mid Company 1.00% of first $100 million 0.90% of next $100 million 0.85% over $200 million Small Cap Growth 0.90% of first $150 million 0.80% of next $150 million 0.75% over $300 million S&P 500^® Index 0.40% of first $100 million 0.35% of next $150 million 0.33% over $250 million High Income Bond 0.75% of first $75 million 0.70% of next $75 million 0.65% of next $75 million 0.60% over $225 million Nasdaq-100^® Index 0.40% of first $100 million 0.35% of next $150 million 0.33% over $250 million

(continued)

140

Ohio National Fund, Inc.


Notes to Financial Statements (Continued)	December 31, 2010


Bristol 0.80% of first $100 million 0.70% of next $400 million 0.65% over $500 million U.S. Equity 0.75% of first $200 million 0.70% of next $300 million 0.65% over $500 million		Bryton Growth 0.85% of first $100 million 0.75% of next $400 million 0.70% over $500 million Income Opportunity 0.80% of first $200 million 0.75% of next $300 million 0.70% over $500 million
Balanced 0.65% of first $200 million 0.60% of next $300 million 0.55% over $500 million Target VIP 0.60% of first $100 million 0.55% of next $400 million 0.50% over $500 million		Target Equity/Income 0.60% of first $100 million 0.55% of next $400 million 0.50% over $500 million Bristol Growth 0.80% of first $100 million 0.70% of next $400 million 0.65% over $500 million


	⁽¹⁾	For the year ended December 31, 2010, ONI waived advisory fees in excess of 0.25% of the first $100 million of average daily net assets in the Money Market Portfolio. Waivers related to the Money Market Portfolio are voluntary and are not subject to recoupment in subsequent periods. The amount of the waiver for the year ended December 31, 2010 was $50,000. If ONI did not agree to reimburse these expenses, the total expenses incurred by the Money Market Portfolio for the year ended December 31, 2010 would have been higher than the net expenses reflected in the Statements of Operations.

Under the Investment Advisory Agreement, the Fund authorizes ONI to retain sub-advisers (“the Sub-Advisers”) for the Equity, Omni, International, Capital Appreciation, Millennium, International Small-Mid Company, Aggressive Growth, Small Cap Growth, Mid Cap Opportunity, Strategic Value, High Income Bond, Capital Growth, Bristol, Bryton Growth, U.S. Equity, Balanced, Income Opportunity, Target VIP, Target Equity/Income, and Bristol Growth Portfolios subject to the approval of the Board. ONI has entered into sub-advisory agreements with Legg Mason Capital Management, Inc. (“Legg Mason”), Suffolk Capital Management, LLC (“Suffolk”), Federated Global Investment Management Corp. (“Federated Global”), Jennison Associates LLC (“Jennison”), Neuberger Berman Management LLC (“Neuberger Berman”), Janus Capital Management LLC (“Janus”), Goldman Sachs Asset Management, L.P. (“Goldman Sachs”), Federated Equity Management Company of Pennsylvania (“Federated Equity”), Federated Investment Management Company (“Federated Investment”), Eagle Asset Management, Inc. (“Eagle”), ICON Advisers, Inc. (“ICON”), and First Trust Advisors L.P. (“First Trust”), to manage the investment of those Portfolios’ assets, subject to the supervision of ONI. As compensation for their services, the Sub-advisers receive from ONI a sub-advisory fee calculated on the basis of each of the aforementioned Portfolio’s average daily net assets and the following current Board-approved schedule of annualized fee breakpoints.


Equity (Legg Mason) 0.40% of first $200 million 0.38% over $200 million International (Federated Global) 0.40% of first $200 million 0.35% over $200 million Capital Appreciation (Jennison) 0.75% of first $10 million 0.50% of next $30 million 0.35% of next $25 million 0.25% of next $335 million 0.22% of next $600 million 0.20% over $1 billion Aggressive Growth (Janus) 0.55% of first $100 million 0.50% of next $400 million 0.45% over $500 million		Omni (Suffolk) 0.30% of first $100 million 0.25% of next $150 million 0.225% of next $250 million 0.20% of next $500 million 0.15% of next $1 billion 0.125% over $2 billion Millennium (Neuberger Berman) 0.55% of first $150 million 0.50% of next $150 million 0.40% over $300 million International Small-Mid Company (Federated Global) 0.75% of first $100 million 0.65% over $100 million Small Cap Growth (Janus) 0.60% of next $150 million 0.50% over $150 million

(continued)

141

Ohio National Fund, Inc.


Notes to Financial Statements (Continued)	December 31, 2010


Mid Cap Opportunity (GSAM) 0.60% of first $100 million 0.55% of next $100 million 0.50% over $200 million High Income Bond (Federated Investment) 0.50% of first $30 million 0.40% of next $20 million 0.30% of next $25 million 0.25% over $75 million Bristol (Suffolk) 0.45% of first $100 million 0.40% of next $400 million 0.35% over $500 million U.S. Equity (ICON) 0.50% of first $200 million 0.45% of next $300 million 0.40% over $500 million Income Opportunity (ICON) 0.55% of first $200 million 0.50% of next $300 million 0.45% over $500 million Bristol Growth (Suffolk) 0.45% of first $100 million 0.40% of next $400 million 0.35% over $500 million		Strategic Value (Federated Equity) 0.50% of first $35 million 0.35% of next $65 million 0.25% over $100 million Capital Growth (Eagle) 0.59% of first $100 million 0.55% of next $100 million 0.50% over $200 million Bryton Growth (Suffolk) 0.50% of first $100 million 0.45% of next $400 million 0.40% over $500 million Balanced (ICON) 0.40% of first $200 million 0.35% of next $300 million 0.30% over $500 million Target VIP and Target Equity/Income (First Trust) 0.35% of first $500 million 0.25% over $500 million

Suffolk, the sub-adviser for the Omni, Bristol, Bryton Growth, and Bristol Growth Portfolios has an affiliation with ONI. Ohio National Financial Services, Inc. (ONFS) owns 100% of ONLIC, the parent company of ONI, and also owns 83% of the voting securities of Suffolk. There were no Fund liabilities payable to Suffolk at December 31, 2010 and fees paid to Suffolk are an expense of ONI, not of the Fund.

Pursuant to a service agreement among ONI, ONLIC and the Fund, ONLIC has agreed to provide personnel and facilities to ONI on a cost-reimbursement basis. These personnel members include officers of the Fund. ONLIC also provides clerical and administrative services and such supplies and equipment as may be reasonably required in order for ONI to properly perform its advisory function pursuant to the Investment Advisory Agreement. ONLIC further performs duties to fulfill the transfer agent function on behalf of the Fund. Performance of these duties by ONLIC and availability of facilities, personnel, supplies, and equipment does not represent an expense to the Fund in excess of the advisory fees paid to ONI.

Pursuant to the Investment Advisory Agreement, if the total expenses applicable to any Portfolio during any calendar quarter (excluding taxes, brokerage commissions, interest expense and management fees) exceed 1%, on an annualized basis, evaluated quarterly, of such Portfolio’s average daily net asset value, ONI will reimburse the Portfolio for such excess expenses. The Income Opportunity Portfolio had expenses reimbursed during the year ended December 31, 2010 totaling $1,858. This reimbursement is not subject to recoupment in subsequent periods.

During the year ended December 31, 2010, ONI voluntarily reimbursed the amount of daily gross expenses of the Money Market Portfolio in excess of daily income earned by the Portfolio. The amount reimbursed to the Portfolio for the year ended December 31, 2010 was $515,931, of which $29,406 was receivable from ONI at year end. This reimbursement is also not subject to recoupment in subsequent periods.

The Investment Advisory Agreement allows for a portion of the expenses related to the Fund’s Chief Compliance Officer and staff to be incurred by the Fund and paid from the Fund to the Fund’s adviser, ONI. Pursuant to the service agreement among ONI, ONLIC, and the Fund, ONLIC has provided the personnel, services, and equipment necessary to perform the Fund’s regulation-mandated compliance function and ONI has reimbursed ONLIC for such costs. For the year ended December 31, 2010, the Fund incurred compliance expenses totaling $153,360, equally allocated to the Portfolios. Expenses incurred by the Portfolios are reflected on the Statements of Operations as “Compliance expense”.

(continued)

142

Ohio National Fund, Inc.


Notes to Financial Statements (Continued)	December 31, 2010

Each director of the Board is currently paid a quarterly retainer fee of $7,500, $2,750 for each Board meeting attended, $1,000 for each Audit Committee meeting attended, and $500 for each other Board committee or independent directors meetings attended. The Board chair receives an additional quarterly retainer fee of $3,750, the lead independent director of the Board receives an additional quarterly retainer fee of $3,125, and the Audit Committee chair receives an additional quarterly retainer fee of $1,250. For the year ended December 31, 2010, compensation of these directors by the Fund totaled $247,000.

U.S. Bancorp Fund Services, LLC, 615 East Michigan Street, Milwaukee, Wisconsin, serves as the accounting agent for all but the International and International Small-Mid Company Portfolios. U.S. Bank Institutional Trust & Custody, 425 Walnut Street, Cincinnati, Ohio serves as the custodian for all but the International and International Small-Mid Company Portfolios. The accounting agent and custodian for the International and International Small-Mid Company Portfolios is State Street Bank-Kansas City, 801 Pennsylvania Ave., Kansas City, Missouri. For assets held outside the United States, U.S. Bank and State Street Bank-Kansas City enter into sub-custodial agreements, subject to approval by the Board.


(4)	Capital Share Transactions

Capital share transactions for the years ended December 31, 2010 and 2009 were as follows:


	Equity						Money Market						Bond
	Year Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	12/31/2010			12/31/2009			12/31/2010			12/31/2009			12/31/2010			12/31/2009

Capital shares issued on sales		1,223,514			1,691,434			30,502,612			41,782,044			4,431,294			4,061,330
Capital shares issued on reinvested dividends		21,933			25,660			—			—			—			—
Capital shares redeemed		(2,490,299	)		(3,558,752	)		(35,282,239	)		(47,912,691	)		(4,470,717	)		(3,440,642	)

Net increase/(decrease)		(1,244,852	)		(1,841,658	)		(4,779,627	)		(6,130,647	)		(39,423	)		620,688


	Omni						International						Capital Appreciation
	Year Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	12/31/2010			12/31/2009			12/31/2010			12/31/2009			12/31/2010			12/31/2009

Capital shares issued on sales		250,970			312,835			2,373,065			2,665,036			707,427			902,182
Capital shares issued on reinvested dividends		38,339			49,851			—			—			14,274			78,247
Capital shares redeemed		(607,491	)		(650,890	)		(5,011,586	)		(6,334,979	)		(1,582,714	)		(2,140,885	)

Net increase/(decrease)		(318,182	)		(288,204	)		(2,638,521	)		(3,669,943	)		(861,013	)		(1,160,456	)


	Millennium						International Small-Mid Company						Aggressive Growth
	Year Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	12/31/2010			12/31/2009			12/31/2010			12/31/2009			12/31/2010			12/31/2009

Capital shares issued on sales		1,118,283			4,908,391			610,069			1,073,744			1,232,038			1,433,447
Capital shares issued on reinvested dividends		—			—			—			—			—			—
Capital shares redeemed		(5,500,575	)		(954,166	)		(888,134	)		(1,376,880	)		(1,244,007	)		(1,230,364	)

Net increase/(decrease)		(4,382,292	)		3,954,225			(278,065	)		(303,136	)		(11,969	)		203,083


	Small Cap Growth						Mid Cap Opportunity						S&P 500^® Index
	Year Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	12/31/2010			12/31/2009			12/31/2010			12/31/2009			12/31/2010			12/31/2009

Capital shares issued on sales		964,480			980,778			574,210			3,108,764			2,719,718			6,377,628
Capital shares issued on reinvested dividends		—			—			—			—			169,365			174,417
Capital shares redeemed		(769,998	)		(689,601	)		(878,425	)		(6,253,894	)		(3,306,639	)		(4,084,406	)

Net increase/(decrease)		194,482			291,177			(304,215	)		(3,145,130	)		(417,556	)		2,467,639

(continued)

143

Ohio National Fund, Inc.


Notes to Financial Statements (Continued)	December 31, 2010


	Strategic Value						High Income Bond						Capital Growth
	Year Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	12/31/2010			12/31/2009			12/31/2010			12/31/2009			12/31/2010			12/31/2009

Capital shares issued on sales		1,068,567			1,173,335			13,405,135			9,882,540			597,843			672,335
Capital shares issued on reinvested dividends		82,744			63,845			—			—			—			—
Capital shares redeemed		(838,057	)		(624,258	)		(6,312,809	)		(4,957,356	)		(517,165	)		(665,264	)

Net increase/(decrease)		313,254			612,922			7,092,326			4,925,184			80,678			7,071


	Nasdaq-100^® Index						Bristol						Bryton Growth
	Year Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	12/31/2010			12/31/2009			12/31/2010			12/31/2009			12/31/2010			12/31/2009

Capital shares issued on sales		3,638,876			4,867,867			4,647,343			5,644,552			3,395,424			5,342,762
Capital shares issued on reinvested dividends		27,981			—			80,969			67,319			—			—
Capital shares redeemed		(3,966,054	)		(3,951,131	)		(2,975,049	)		(2,776,615	)		(3,633,074	)		(2,297,640	)

Net increase/(decrease)		(299,197	)		916,736			1,753,263			2,935,256			(237,650	)		3,045,122


	U.S. Equity						Balanced						Income Opportunity
	Year Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	12/31/2010			12/31/2009			12/31/2010			12/31/2009			12/31/2010			12/31/2009

Capital shares issued on sales		202,103			394,400			255,879			385,966			339,658			346,594
Capital shares issued on reinvested dividends		9,859			10,552			20,743			21,991			—			—
Capital shares redeemed		(390,570	)		(454,184	)		(266,039	)		(269,350	)		(132,957	)		(204,725	)

Net increase/(decrease)		(178,608	)		(49,232	)		10,583			138,607			206,701			141,869


	Target VIP						Target Equity/Income						Bristol Growth
	Year Ended			Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	12/31/2010			12/31/2009			12/31/2010			12/31/2009			12/31/2010			12/31/2009

Capital shares issued on sales		397,747			937,153			830,343			1,049,533			9,076,046			537,735
Capital shares issued on reinvested dividends		29,483			32,609			36,027			58,040			26,660			—
Capital shares redeemed		(693,534	)		(976,438	)		(981,024	)		(1,662,506	)		(1,633,468	)		(125,964	)

Net increase/(decrease)		(266,304	)		(6,676	)		(114,654	)		(554,933	)		7,469,238			411,771


(5)	Investment Transactions

Cost of purchases and proceeds from sales of investments (excluding short-term and government securities) for the year ended December 31, 2010 were as follows:


	Equity		Bond		Omni		International		Capital Appreciation

Purchases	$	104,678,558	$	27,730,480	$	69,031,612	$	134,011,911	$	69,640,834
Sales	$	126,292,052	$	20,221,363	$	73,303,094	$	158,668,400	$	84,713,560


			International
	Millennium		Small-Mid Company		Aggressive Growth		Small Cap Growth		Mid Cap Opportunity

Purchases	$	177,272,032	$	54,824,674	$	10,192,637	$	24,530,788	$	34,656,677
Sales	$	248,446,405	$	57,816,500	$	9,518,663	$	22,493,130	$	39,581,587


	S&P 500^® Index		Strategic Value		High Income Bond		Capital Growth		Nasdaq-100^® Index

Purchases	$	13,246,544	$	8,770,245	$	162,423,939	$	24,332,213	$	13,894,184
Sales	$	17,195,526	$	6,362,408	$	69,138,627	$	22,371,388	$	14,630,627

(continued)

144

Ohio National Fund, Inc.


Notes to Financial Statements (Continued)	December 31, 2010


	Bristol		Bryton Growth		U.S. Equity		Balanced		Income Opportunity

Purchases	$	402,805,909	$	136,939,874	$	12,590,741	$	6,591,925	$	9,885,988
Sales	$	382,606,236	$	138,078,666	$	14,751,933	$	7,259,596	$	7,214,193


	Target VIP		Target Equity/Income		Bristol Growth

Purchases	$	17,876,552	$	20,609,666	$	164,900,146
Sales	$	20,080,657	$	21,428,418	$	106,798,518

Cost of purchases and proceeds from sales of government securities for the year ended December 31, 2010 were as follows:


	Bond		Omni		Balanced_

Purchases	$	12,308,875	$	161,125	$	961,250
Sales	$	10,563,672	$	—	$	—


(6)	Financial Instruments

The Fund’s Portfolios may trade in financial instruments with off-balance sheet risk for hedging purposes or, otherwise, in accordance with stated investing objectives. These financial instruments may include options, futures, and foreign currency contracts that may involve, to a varying degree, elements of risk in excess of the amounts recognized on financial statements.

Options

Each Portfolio, other than the Money Market Portfolio, for hedging purposes, may (a) write call options traded on a registered national securities exchange if such Portfolio owns the underlying securities subject to such options, and purchase call options for the purpose of closing out positions it has written, (b) purchase put options on securities owned, and sell such options in order to close its positions in put options, (c) purchase and sell financial futures and options thereon, and (d) purchase and sell financial index options; provided, however, that no option or futures contract shall be purchased or sold if, as a result, more than one-third of the total assets of the Portfolio would be hedged by options or futures contracts, and no more than 5% of any Portfolio’s total assets, at fair value, may be used for premiums on open options and initial margin deposits on futures contracts. The Small Cap Growth Portfolio may also participate in the above activities to protect against adverse changes in security prices or interest rates and may, for these purposes or hedging purposes, sell put options or purchase call options at any time. The S&P 500^® Index and Income Opportunity Portfolios are not subject to the above limitations, as these Portfolios may engage in the purchase or selling of put or call options in accordance with those Portfolios’ stated investment objectives. The Portfolios making use of options bear the market risk of an unfavorable change in the price of securities or indices underlying the options and, for purchase options, are subject to the risk that the options will expire before being exercised. A further risk associated with investing in options is that there may not be enough buyers and sellers in the market to permit a Portfolio to close a position. To limit the risk, a Portfolio will invest only where there is an established market.

When a Portfolio writes a put or call option, an amount equal to the premium received is included on the Statement of Assets and Liabilities as a liability. The amount of the liability is subsequently marked-to-market to reflect the current market value of the option. Such liability is subject to off balance sheet risks to the extent of any future increases in market value of the written options. If an option expires on its stipulated expiration date or if the Portfolio enters into a closing purchase transaction, a gain or loss is realized. If a written call option on an individual security is exercised, a gain or loss is realized for the sale of the underlying security, and the proceeds from the sale are increased by the premium originally received. If a written call option on a securities index is exercised, a gain or loss is realized as determined by the premium originally received, the exercise price and the market value of the index. If a written put option on an individual security is exercised, the cost of the security acquired is decreased by the premium originally received. When a Portfolio purchases a put or call option, an amount equal to the premium paid is included on the Portfolio’s Statement of Assets and Liabilities as an investment, and is subsequently marked-to-market to reflect the current market value of the option. If an option expires on the stipulated expiration date or if the Portfolio enters into a closing sale transaction, a gain or loss is realized. If a Portfolio exercises a call option on an individual security, the cost of the security acquired is increased by the premium paid for the call. If the Portfolio exercises a put option on an individual security, a gain or loss is realized from the sale of the underlying security, and the proceeds from such a sale are decreased by the premium

(continued)

145

Ohio National Fund, Inc.


Notes to Financial Statements (Continued)	December 31, 2010

originally paid. If the Portfolio exercises a put option on a security index, a gain or loss is realized as determined by the premium originally paid, the exercise price and the market value of the index.

The Income Opportunity Portfolio’s written options are collateralized by cash and/or securities held with the Portfolio’s prime broker and in a segregated account at the Portfolio’s custodian. Such collateral for the Portfolio is restricted from use. The cash collateral or borrowings from the prime broker, if necessary, are included on the Statement of Assets and Liabilities. The securities pledged as collateral are noted as such on the Portfolio’s Schedule of Investments. Written and purchased options are non-income producing securities.

The activity in the number of option contracts written and the premiums received by the Income Opportunity Portfolio for the year ended December 31, 2010 were as follows:


	Number of			Premiums
	Contracts			Received

Options outstanding, beginning of year		62		$	120,692
Options written		2,737			4,681,192
Options exercised		—			—
Options expired		(8	)		(2,366	)
Options closed		(2,727	)		(4,608,734	)

Options outstanding, end of year		64		$	190,784

Transactions involving purchased options by the Income Opportunity Portfolio for the year ended December 31, 2010 were: Purchases: $537,601, Sales: $287,973, Expirations: $32,888.

Futures Contracts

Each Portfolio, other than the Money Market Portfolio may, primarily for hedging purposes, purchase and sell futures contracts. Futures contracts are used for the purpose of hedging existing Portfolio securities, or securities that the Portfolio intends to purchase, against fluctuations in value caused by variations in market rates. Upon entering into a futures contract, a Portfolio is required to pledge to the broker an amount of cash or securities equal to a percentage of the contract amount, known as the initial margin deposit. Subsequent payments, known as “variation margin”, are made or received by the Portfolios each day, depending on the daily fluctuations in the value of the underlying contacts. The Portfolios recognize unrealized appreciation (depreciation) equal to the cumulative daily variation margin transactions. When the contracts are closed, a Portfolio records a realized gain or loss equal to the difference between the value of the contracts at the time they were opened and the value at the time they were closed.

Should market conditions move unexpectedly, the Portfolios may not achieve the anticipated benefits of the futures contracts and may realize a loss. The use of futures transactions involves the risk of imperfect correlation in movements in the price of futures contracts interest rates, and the underlying hedged assets. A further risk associated with investing in futures contracts is that there may not be enough buyers and sellers in the market to permit a Portfolio to close a position when it wants to do so. To limit the risk, a Portfolio will invest only where there is an established market. The S&P 500^® Index Portfolio may purchase or sell stock index futures contracts and the Nasdaq-100^® Index Portfolio may purchase or sell derivative securities designed to replicate the Nasdaq-100^® Index in accordance with their stated investment objectives.

At December 31, 2010, there was one outstanding futures contract in the International Portfolio. Details of this contract were as follows:

Variation

Unrealized

Margin

Number of

Contract at

Initial contract

Appreciation

Receivable

Type

Description

Expiration

contracts

Counterparty

value

amount

(Depreciation)

(Payable)

Long

Tokyo Price Index
(TOPIX) Futures

March 11, 2011

JP Morgan

3,200,394

3,224,004

(23,610

)

(119

)

The International Portfolio’s holding of U.S. Treasury Bill #9127952H3 was pledged at December 31, 2010 as collateral for this contract. The principal cost and value of this instrument at December 31, 2010 were $100,000 and $99,969, respectively.

(continued)

146

Ohio National Fund, Inc.


Notes to Financial Statements (Continued)	December 31, 2010

This futures contract was executed for the purpose of increasing exposure to the Japanese stock market, beyond that evidenced by the Portfolio’s investment in stocks, while maintaining a necessary cash balance in the Portfolio in anticipation of year end shareholder rebalancing activities. There were also DAX Index futures contracts that were executed in the International Portfolio during the year ended December 31, 2010. These were executed for the purpose of gaining increased exposure to German equities while allowing the International Portfolio to have a desired level of liquidity until such time as an increased level of cash investment could be made. For the year ended December 31, 2010, the notional value of these futures contracts opened and closed prior to contract settlement date by the International Portfolio was approximately $5.9 million and approximately $6.0 million, respectively.

Foreign Currency Contracts

In order to hedge against changes in the exchange rates of foreign currencies in relation to the U.S. dollar, each Portfolio, other than the Money Market Portfolio, may engage in forward foreign currency contracts. A forward foreign currency contract involves an obligation to purchase or sell a foreign currency at a future date, at a negotiated rate. The value of a foreign currency contract will typically fluctuate with changes in forward currency exchange rates. All commitments are marked to market daily at the applicable exchange rates and any resulting unrealized appreciation or depreciation is recorded. With respect to sales of currency exchange contracts, a Portfolio would incur a realized loss if the value of the contract increases between the date the forward contract is opened and the date the forward contract is closed. A Portfolio incurs a realized gain if the value of the contract decreases between those dates. With respect to purchases of currency exchange contracts, a Portfolio would incur a realized loss if the value of the contract decreases between the date the forward contract is opened and the date the forward contract is closed.

The use of foreign currency contracts might not successfully protect a Portfolio against a loss resulting from the movements of foreign currency in relation to the U.S. dollar and does not eliminate fluctuations in the prices of other currencies or securities. A Portfolio is also exposed to credit risk associated with counterparty nonperformance on these currency exchange contracts, which is typically limited to the unrealized gain on each open contract.

Details of the contracts outstanding at December 31, 2010 are as follows:

Contracts to buy foreign currency:


International
										Unrealized
				Currency		Currency to		Contract at		Appreciation
Date of contract	Exchange date		Counterparty	to receive		deliver		value		(Depreciation)

November 18, 2010		February 22, 2011	HSBC		5,300,000 NZD	$	4,092,660	$	4,114,294	$	21,634
November 29, 2010		February 24, 2011	SSB		31,191,810 SEK	$	4,431,599	$	4,629,507	$	197,908

						$	8,524,259	$	8,743,801	$	219,542

Strategic Value

December 15, 2010		February 28, 2011	BONY		540,000 CAD	$	538,379	$	542,437	$	4,058
December 15, 2010		February 28, 2011	BONY		612,400 EUR	$	811,518	$	818,201	$	6,683
December 15, 2010		February 28, 2011	BONY		980,000 GBP	$	1,525,015	$	1,527,217	$	2,202

						$	2,874,912	$	2,887,855	$	12,943

(continued)

147

Ohio National Fund, Inc.


Notes to Financial Statements (Continued)	December 31, 2010

Contracts to sell foreign currency:


International
										Unrealized
				Currency		Currency to		Contract at		Appreciation
Date of contract	Exchange date		Counterparty	to receive		deliver		value		(Depreciation)

November 29, 2010		February 24, 2011	BONY	$	10,464,671		7,996,295 EUR	$	10,683,860	$	(219,189	)
November 30, 2010		February 7, 2011	HSBC	$	10,000,000		11,680,850,000 KRW	$	10,273,847	$	(273,847	)

				$	20,464,671			$	20,957,707	$	(493,036	)

Strategic Value

November 18, 2010		February 28, 2011	BONY	$	527,421		540,000 CAD	$	542,437	$	(15,016	)
November 18, 2010		February 28, 2011	BONY	$	833,861		612,400 EUR	$	818,201	$	15,660
November 18, 2010		February 28, 2011	BONY	$	1,571,146		980,000 GBP	$	1,527,217	$	43,929

				$	2,932,428			$	2,887,855	$	44,573


Counterparties		Currencies

BONY – Bank of New York Mellon		EUR – Euro
HSBC – HSBC Bank USA		GBP – British Pound
SSB – State Street Bank		SEK – Swedish Krona
		CAD – Canadian Dollar
		KRW – South Korean Won
		NZD – New Zealand Dollar

Foreign currency contracts were executed in the International Portfolio in order to mitigate the effect that exchange rate volatility had on the valuation of the Portfolio’s investments that were either under-weighted or over-weighted in relation to the Portfolio’s benchmark index. The Portfolio was under-weighted in equity investments within the countries of Sweden and New Zealand. The Portfolio executed contracts to buy those countries’ currencies to mitigate the effects that those currencies’ exchange rates might have on the Portfolio’s performance relative to the benchmark. The Portfolio was over-weighted in investments denominated in Euros and the South Korean Won and, likewise, executed contracts to sell those currencies in order to mitigate the effect that the currencies might have on relative performance.

The Portfolio entered into other foreign currency contracts during the year for similar benchmark performance hedging purposes. The Portfolio also entered into contracts that were the inverse of previously executed contracts to effectively exit prior contracts earlier than stated contract delivery dates, as over-weights or under-weights were reduced, or as previously executed contracts resulted in an attractive return to the Portfolio. For the year ended December 31, 2010, the notional value of other foreign currency contracts opened and closed by the International Portfolio was approximately $163.4 million for currencies bought and approximately $158.7 million for currencies sold.

Foreign currency contracts were also executed in the Strategic Value Portfolio. The Portfolio engaged in contracts to sell various currencies in order to hedge against the exchange rate movements of those currencies in relation to the U.S dollar. Contracts were executed only in foreign currencies in which a portion of the Portfolio’s equity investments were denominated and in amounts relative to the total value, by currency, of those equity investments. Contracts to purchase various currencies were used to effectively exit the hedge just prior to respective delivery dates of the contracts. For the year ended December 31, 2010, the notional value of other foreign currency contracts opened and closed by the Strategic Value Portfolio was approximately $6.3 million for currencies bought and approximately $6.0 million for currencies sold.

(continued)

148

Ohio National Fund, Inc.


Notes to Financial Statements (Continued)	December 31, 2010

The values and financial statement effects of derivative instruments that were not accounted for as hedging instruments as of, and for the year ended, December 31, 2010, were as follows:


								Location on
			Value-		Value-			Statements of
			Asset		Liability			Assets and
Portfolio	Instrument	Primary Risk Type	Derivatives		Derivatives			Liabilities

International	Contracts to buy foreign currencies	Currency exchange rate	$	8,743,801	$	(8,524,259	)		⁽¹⁾


	Contracts to sell foreign currencies	Currency exchange rate	$	20,464,671	$	(20,957,707	)		⁽¹⁾


	Futures contracts	Equity price	$	3,200,394	$	(3,224,004	)		⁽²⁾


Strategic Value	Contracts to buy foreign currencies	Currency exchange rate	$	2,887,855	$	(2,874,912	)		⁽¹⁾


	Contracts to sell foreign currencies	Currency exchange rate	$	2,932,428	$	(2,887,855	)		⁽¹⁾


Income Opportunity	Purchased options	Equity price	$	4,950	$	—			⁽³⁾


	Written options	Equity price	$	—	$	(295,280	)		⁽⁴⁾


	⁽¹⁾	Net unrealized appreciation on foreign currency contacts
	⁽²⁾	Net unrealized depreciation on futures contracts
	⁽³⁾	Investments in securities, at value
	⁽⁴⁾	Options written, at value


						Change in Unrealized
			Realized Gain			Appreciation/
			(Loss) on			Depreciation on
			Derivatives			Derivatives			Location on
			Recognized in			Recognized in			Statements of
Portfolio	Instrument	Risk Type	Income			Income			Operations

International	Currency contracts	Currency exchange rate	$	2,279,010		$	(1,398,745	)		^{(1), (2)}


	Futures contracts	Equity price	$	(60,151	)	$	(23,610	)		^{(3), (4)}


Strategic Value	Currency contracts	Currency exchange rate	$	(302,194	)	$	57,516			^{(1), (2)}


Income Opportunity	Purchased options	Equity price	$	(244,814	)	$	(6,419	)		^{(5), (6)}


	Written options	Equity price	$	(83,546	)	$	(84,076	)		^{(7), (8)}


	⁽¹⁾	Net realized gain (loss) on foreign currency contracts
	⁽²⁾	Change in unrealized appreciation/depreciation on foreign currency contracts
	⁽³⁾	Net realized gain (loss) on futures contracts
	⁽⁴⁾	Change in unrealized appreciation/depreciation on futures contracts
	⁽⁵⁾	Net realized gain (loss) on investments
	⁽⁶⁾	Change in unrealized appreciation/depreciation on investments
	⁽⁷⁾	Net realized gain (loss) on written options
	⁽⁸⁾	Change in unrealized appreciation/depreciation on written options

(continued)

149

Ohio National Fund, Inc.


Notes to Financial Statements (Continued)	December 31, 2010

(7) Federal Income Tax Information

At December 31, 2010, the components of accumulated earnings (deficit) on a tax basis were as follows:


			Undistributed									Total
	Undistributed		Long-Term				Accumulated			Unrealized		Accumulated
	Ordinary		Capital Gains		Accumulated		Capital and			Appreciation		Earnings
Portfolio	Income		(Losses)		Earnings		Other Losses			(Depreciation)⁽¹⁾		(Deficit)

Equity	$	24,360	$	—	$	24,360	$	(119,187,916	)	$	17,876,790	$	(101,286,766	)
Money Market		—		—		—		—			—		—
Bond		5,839,374		—		5,839,374		(15,350,662	)		7,362,958		(2,148,330	)
Omni		85,853		—		85,853		(7,698,101	)		3,847,574		(3,764,674	)
International		4,698,567		—		4,698,567		(107,096,789	)		53,623,917		(48,774,305	)
Capital Appreciation		75,833		—		75,833		(29,715,237	)		16,649,331		(12,990,073	)
Millennium		—		—		—		(16,633,695	)		7,874,126		(8,759,569	)
International Small-Mid Company		227,790		—		227,790		(20,691,770	)		23,839,726		3,375,746
Aggressive Growth		46,825		—		46,825		(2,711,455	)		5,172,543		2,507,913
Small Cap Growth		—		—		—		(3,508,597	)		6,132,864		2,624,267
Mid Cap Opportunity		—		—		—		(34,494,956	)		9,463,483		(25,031,473	)
S&P 500^® Index		340,609		—		340,609		(3,372,018	)		23,217,927		20,186,518
Strategic Value		—		—		—		(8,305,592	)		2,362,877		(5,942,715	)
High Income Bond		17,781,200		—		17,781,200		(3,425,604	)		15,904,697		30,260,293
Capital Growth		—		—		—		(5,413,775	)		15,662,731		10,248,956
Nasdaq-100^® Index		22,231		—		22,231		(2,253,090	)		13,573,716		11,342,857
Bristol		97,687		—		97,687		(10,167,697	)		19,986,054		9,916,044
Bryton Growth		—		1,253,733		1,253,733		—			27,631,083		28,884,816
U.S. Equity		15,401		—		15,401		(7,185,302	)		2,021,087		(5,148,814	)
Balanced		49,058		—		49,058		(1,039,973	)		1,198,293		207,378
Income Opportunity		70,012		—		70,012		(690,564	)		1,429,032		808,480
Target VIP		28,667		—		28,667		(9,508,731	)		3,110,399		(6,369,665	)
Target Equity/Income		58,500		—		58,500		(16,426,102	)		3,941,843		(12,425,759	)
Bristol Growth		3,542,876		198,047		3,740,923		(54,334	)		10,577,924		14,264,513


	⁽¹⁾	The differences between book-basis and tax-basis unrealized appreciation/(depreciation) are attributed primarily to tax deferral of losses on wash sales and the realization for tax purposes of unrealized gains/(losses) on certain instruments.

Under current tax regulations, capital losses realized after October 31 of a Portfolio’s fiscal year may be deferred and treated as occurring on the first business day of the following fiscal year. The following Portfolios had deferred post-October capital losses, which will be treated as arising on the first business day of the fiscal year ending December 31, 2011:


	Post-October		Post-October
Portfolio	Losses		Currency Losses

International	$	—	$	1,865,790
Capital Appreciation		—		686
International Small-Mid Company		—		17,949
Small Cap Growth		—		5
S&P 500^® Index		109,340		—
High Income Bond		715,253		—
Income Opportunity		71,954		—
Bristol Growth		54,334		—

(continued)

150

Ohio National Fund, Inc.


Notes to Financial Statements (Continued)	December 31, 2010

For Federal income tax purposes, the following Portfolios had capital loss carry forwards as of December 31, 2010 that are available to offset future realized gains, if any:


	Total Loss		Expiration Amount by Year
Portfolio	Carryforward		2011		2012		2013		2014		2015		2016		2017		2018

Equity	$	119,187,916	$	—	$	—	$	—	$	—	$	—	$	68,747,789	$	47,422,387	$	3,017,740
Bond		15,350,662		—		—		—		718,762		—		5,109,146		9,522,754		—
Omni		7,698,101		—		—		—		—		—		2,402,376		5,295,725		—
International		105,230,999		—		—		—		—		—		39,438,869		65,792,130		—
Capital Appreciation		29,714,551		—		—		—		—		—		—		29,714,551		—
Millennium		16,633,695		1,610,585		—		—		—		—		7,511,040		7,512,070		—
International Small-Mid Company		20,673,821		—		—		—		—		—		9,781,388		10,892,433		—
Aggressive Growth		2,711,455		—		—		—		—		—		694,915		2,016,540		—
Small Cap Growth		3,508,592		—		—		—		—		—		785,300		2,723,292		—
Mid Cap Opportunity		34,494,956		—		—		—		—		—		20,843,496		13,651,460		—
S&P 500^® Index		3,262,678		—		134,482		—		—		—		1,597,902		218,356		1,311,938
Strategic Value		8,305,592		75,015		—		—		—		—		5,765,741		2,272,799		192,037
High Income Bond		2,710,351		563,087		—		—		—		—		508,108		974,532		664,624
Capital Growth		5,413,775		—		—		—		—		—		—		5,413,775		—
Nasdaq-100^® Index		2,253,090		—		206,000		531,984		215,042		30,818		—		1,269,246		—
Bristol		10,167,697		—		—		—		—		—		106,106		10,061,591		—
U.S. Equity		7,185,302		—		—		—		—		—		3,178,884		4,006,418		—
Balanced		1,039,973		—		—		—		—		—		498,379		541,594		—
Income Opportunity		618,610		—		—		—		—		—		—		478,170		140,440
Target VIP		9,508,731		—		—		—		—		—		—		9,508,731		—
Target Equity/Income		16,426,102		—		—		—		—		—		—		16,426,102		—

The Board does not intend to authorize a distribution of any realized gain for a Portfolio until the capital loss carry over has been offset or expires.

The Regulated Investment Company Modernization Act of 2010 (the “Act”) was enacted on December 22, 2010. The Act makes changes to several tax rules impacting the Fund. In general, the provisions of the Act will be effective for the Fund’s fiscal year ending December 31, 2011. Although the Act provides several benefits, including the unlimited carryover of future capital losses, there may be a greater likelihood that all or a portion of each Portfolio’s pre-enactment capital loss carryovers may expire without being utilized due to the Act’s requirement that post-enactment capital losses be utilized before pre-enactment capital loss carryovers. Relevant information regarding the impact of the Act on the Fund, if any, will be contained within the “Federal Income Tax Information” section of the Notes to Financial Statements for the fiscal year ending December 31, 2011.

During the prior year, the Fund recorded reclassifications within the composition of net assets for permanent book/tax differences. These classifications were due principally to net operating losses, which for tax purposes cannot be used to offset future taxable income, and consent dividends. Consent dividends are constructive dividends in which distributions are deemed, for tax purposes, to be passed through from the Fund to shareholders upon written consent from all shareholders of the Fund. These classifications have no impact on the net asset values of the Fund and are designed to present the Fund’s accumulated net realized income and gain (loss) accounts on a tax basis.

(continued)

151

Ohio National Fund, Inc.


Notes to Financial Statements (Continued)	December 31, 2010

The tax characteristics of dividends paid to shareholders for the year ended December 31, 2010, were as follows:


			Net				Total
	Ordinary		Long-Term		Return of		Distribution
Portfolio	Income		Capital Gains		Capital		Paid

Equity	$	425,944	$	—	$	—	$	425,944
Omni		606,516		—		—		606,516
Capital Appreciation		284,477		—		—		284,477
S&P 500^® Index		2,196,659		—		—		2,196,659
Strategic Value		591,141		—		175,066		766,207
Nasdaq-100^® Index		158,375		—		—		158,375
Bristol		995,109		—		—		995,109
U.S. Equity		99,183		—		—		99,183
Balanced		282,940		—		—		282,940
Target VIP		266,234		—		—		266,234
Target Equity/Income		305,152		—		—		305,152
Bristol Growth		259,134		—		—		259,134

The tax characteristics of dividends paid to shareholders for the year ended December 31, 2009, were as follows:


			Net		Total
	Ordinary		Long-Term		Distribution
Portfolio	Income		Capital Gains		Paid

Equity	$	474,966	$	—	$	474,966
Omni		722,837		—		722,837
Capital Appreciation		1,371,677		—		1,371,677
S&P 500^® Index		2,047,655		—		2,047,655
Strategic Value		553,534		—		553,534
Bristol		753,303		—		753,303
U.S. Equity		97,286		—		97,286
Balanced		289,620		—		289,620
Target VIP		253,696		—		253,696
Target Equity/Income		416,144		—		416,144

The cost basis for Federal income tax purposes may differ from the cost basis for financial reporting purposes. The table below details the unrealized appreciation (depreciation) and aggregate cost of securities at December 31, 2010 for Federal income tax purposes.


													Capital
	Equity			Bond			Omni			International			Appreciation			Millennium

Gross unrealized:
Appreciation	$	42,820,999		$	7,934,851		$	4,505,825		$	54,820,892		$	21,497,100		$	8,141,955
Depreciation		(24,944,209	)		(571,893	)		(658,251	)		(1,196,975	)		(4,847,769	)		(267,829	)

Net unrealized appreciation	$	17,876,790		$	7,362,958		$	3,847,574		$	53,623,917		$	16,649,331		$	7,874,126

Aggregate cost of securities:	$	200,214,851		$	134,922,415		$	37,249,622		$	163,760,922		$	115,345,020		$	34,137,088



	International
	Small-Mid			Aggressive			Small Cap			Mid Cap
	Company			Growth			Growth			Opportunity			S&P 500^® Index			Strategic Value

Gross unrealized:
Appreciation	$	24,455,030		$	6,409,787		$	6,799,820		$	10,700,946		$	50,732,255		$	2,857,604
Depreciation		(615,304	)		(1,237,244	)		(666,956	)		(1,237,463	)		(27,514,328	)		(437,211	)

Net unrealized appreciation	$	23,839,726		$	5,172,543		$	6,132,864		$	9,463,483		$	23,217,927		$	2,420,393

Aggregate cost of securities:	$	54,833,812		$	24,693,330		$	26,012,375		$	61,157,859		$	152,687,096		$	21,766,427

(continued)

152

Ohio National Fund, Inc.

Report of Independent Registered Public Accounting Firm

The Board of Directors and Shareholders

Ohio National Fund, Inc.:

We have audited the accompanying statements of assets and liabilities of the Equity Portfolio, Money Market Portfolio, Bond Portfolio, Omni Portfolio, International Portfolio, Capital Appreciation Portfolio, Millennium Portfolio, International Small-Mid Company Portfolio, Aggressive Growth Portfolio, Small Cap Growth Portfolio, Mid Cap Opportunity Portfolio, S&P 500 Index Portfolio, Strategic Value Portfolio, High Income Bond Portfolio, Capital Growth Portfolio, Nasdaq-100 Index Portfolio, Bristol Portfolio, Bryton Growth Portfolio, U.S. Equity Portfolio, Balanced Portfolio, Income Opportunity Portfolio, Target VIP Portfolio, Target Equity/Income Portfolio and Bristol Growth Portfolio (each a Portfolio and collectively, the Portfolios, of the Ohio National Fund, Inc.), including the schedules of investments, as of December 31, 2010, and the related statements of operations for the year then ended, the statements of changes in net assets for each year in the two-year period then ended, and the financial highlights for each of the years or periods in the five-year period then ended. These financial statements and financial highlights are the responsibility of the Portfolios’ management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits.

We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of December 31, 2010, by correspondence with custodians and brokers. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the financial statements and financial highlights referred to above present fairly, in all material respects, the financial position of the Portfolios as of December 31, 2010, the results of their operations for the year then ended, the changes in their net assets for each of the years in the two-year period then ended, and the financial highlights for each of the years or periods in the five-year period then ended, in conformity with U.S. generally accepted accounting principles.

KPMG LLP

Columbus, Ohio

February 18, 2011

154

Ohio National Fund, Inc.


Additional Information (Unaudited)	December 31, 2010


(1)	Review and Approval of Advisory and Sub-advisory Agreements

Prior to October 12, 2010, First Trust Advisors L.P. (“First Trust”), the Sub-Adviser for the Target VIP and Target Equity/Income Portfolios, had one limited partner, Grace Partners of DuPage L.P. (“Grace Partners”), and one general partner, The Charger Corporation. First Trust was, thus, controlled by Grace Partners and The Charger Corporation. The Charger Corporation was an Illinois corporation controlled by the Robert Donald Van Kampen family. On August 24, 2010, members of the Robert Donald Van Kampen family entered into a stock purchase agreement to sell 100% of the common stock of The Charger Corporation to Jim Bowen, the President of First Trust (the “Transaction”).

The consummation of the Transaction on October 12, 2010 was deemed to be an “assignment”, as defined in the Investment Company Act of 1940 (the “40 Act”), of the sub-advisory agreement between First Trust and ONI, the Fund’s adviser (the “Adviser”), with respect to the Portfolios. The Transaction resulted in the automatic termination of the former sub-advisory agreement for the Target VIP and Target Equity/Income Portfolios. Pursuant to an Exemptive Order received from the Securities and Exchange Commission (“SEC”), ONI may change sub-advisers or hire new sub-advisers for the Fund’s portfolios without obtaining shareholder approval if the sub-advisers are not affiliates of ONI.

Therefore, at a meeting held on September 22, 2010, in advance of the consummation of the Transaction, the Fund’s Board of Directors (the “Board”) approved the new sub-advisory agreement for the Target VIP and Target Equity/Income Portfolios. In evaluating the new sub-advisory agreement, the Board considered that they have generally been satisfied with the nature and quality of the services provided to the Target VIP and Target Equity/Income Portfolios by First Trust and that those Portfolios would be best served by an arrangement that appears likely to maintain the continuity and stability of the provider of these services. They noted that the two Portfolios are each based on a quantitative model that has fallen out of favor with the market, and that because those Portfolios are not actively managed, their performance does not reflect poorly on the sub-adviser, but is a function of the effectiveness of the model. In unanimously determining to approve the new sub-advisory agreement, the Board concluded that the terms of the agreement were fair and reasonable and that approval was in the best interests of each Portfolio and its shareholders. In reaching this determination, the Board considered, in addition to the factors discussed above, the following factors, among others: (1) that the consummation of the Transaction would be deemed to be an assignment under the 40 Act of the existing sub-advisory agreement; (2) that First Trust’s management team and key investment personnel would remain in place after the Transaction; (3) that the new sub-advisory agreement would be the same in all material respects as the existing sub-advisory agreement with First Trust; (4) that the advisory and sub-advisory fees, including breakpoints, would remain the same; and (5) that it was expected that First Trust would be able to maintain the current level and quality of Portfolio services, with which the Board continued to be satisfied.

At a meeting held on November 11, 2010, the Board, including a majority of the Directors who are not “interested persons” of the Fund (the “Independent Directors”), approved the continuation of the Investment Advisory Agreement with ONI and, as applicable, the sub-advisory agreement with the Sub-Adviser (each a “Sub-Adviser,” and together the “Sub-Advisers”) for each of the Portfolios identified below. The Independent Directors were separately represented by independent legal counsel in connection with their consideration of the approval of the continuation of these agreements.

The Directors noted that the Adviser is responsible for monitoring the investment performance and other responsibilities of the various Sub-Advisers that have day-to-day responsibility for the decisions made for certain of the Fund’s investment portfolios. They also noted that the Adviser reports to the Fund’s Board on its analysis of each Sub-Adviser’s performance at the regular meetings of the Board, which are held at least quarterly. Where warranted, the Adviser will add or remove a particular Sub-Adviser from a watchlist that it maintains. Watchlist criteria include, for example: (a) fund performance over various time periods; (b) fund risk issues, such as changes in key personnel involved with fund management or changes in investment philosophy or process; and (c) organizational risk issues, such as regulatory, compliance or legal concerns, or changes in the ownership of the Sub-Adviser.

In considering the Investment Advisory Agreement and sub-advisory agreements, the Board requested and reviewed a significant amount of information relating to each Portfolio, the Adviser and the Sub-Advisers, including the following: (1) performance data for each Portfolio for various time periods, including year-to-date through September 30, 2010, (2) comparative performance, advisory fee and expense information for a peer group of funds in the respective Portfolio’s Morningstar category (a “Morningstar Peer Group”); (3) comparable performance information for each Portfolio’s relevant benchmark index or indices; (4) comparative data regarding advisory fees, including data regarding the fees charged by the Adviser and Sub-Advisers for managing other institutional funds and institutional accounts using investment strategies and techniques similar to those used in managing the Portfolios; (5) comparative data regarding the total expenses of each Portfolio; (6) profitability analyses for the Adviser with respect to each Portfolio; and (7) other information regarding the nature, extent and quality of services provided by the Adviser and the Sub-Advisers, as applicable. The Directors also took into account information on the services provided by the Adviser and each Sub-Adviser and performance, fee and expense information regarding each Portfolio provided to them periodically throughout the year. They also met with an independent consultant to review the relative performance of each Portfolio, as compared with its benchmark(s) and peers, and in particular discussed those Portfolios that were on the watchlist.

The Independent Directors were assisted by experienced independent legal counsel throughout the contract review process. They discussed the proposed continuances in private session with such counsel at which no representatives of management, the Adviser or any Sub-Adviser were present. The Independent Directors relied upon the advice of independent legal counsel and their own business judgment in determining the material factors to be considered in evaluating each Advisory and sub-advisory agreement and the weight to be given to each such factor.

(continued)

155

Ohio National Fund, Inc.


Additional Information (Unaudited) (Continued)	December 31, 2010

The conclusions reached by the Independent Directors were based on a comprehensive evaluation of all of the information provided and were not the result of any one factor. Moreover, each Independent Director may have afforded different weight to the various factors in reaching his conclusions with respect to each Advisory and sub-advisory agreement.

Nature, Extent and Quality of Services

The Board evaluated the nature, extent and quality of the advisory services provided to the Portfolios by the Adviser. As part of its review, the Board reviewed information regarding the Adviser’s operations, procedures and personnel. The Directors took into account information they received during the previous year at Board meetings and other discussions and through periodic reports regarding the Adviser’s performance of its duties. The Directors considered the capabilities and resources that the Adviser has dedicated to performing services on behalf of the Fund and its Portfolios. The quality of administrative and other services, including the Adviser’s role in monitoring the performance of the Sub-Advisers, also was considered. The Directors also considered the quality of the compliance programs of the Adviser and its responsiveness to inquiries and requests from the Board.

For each Portfolio subject to a sub-advisory agreement (all Portfolios other than the Money Market Portfolio, Bond Portfolio, S&P 500^® Index Portfolio, Nasdaq-100^® Index Portfolio, and the fixed income portion of the Omni Portfolio), the Board considered similar criteria as applied to each Sub-Adviser, including the nature, extent and quality of the sub-advisory services provided by each Sub-Adviser. In addition to the criteria used to review the Adviser, the Directors reviewed biographical information on each Sub-Adviser’s portfolio management and other professional staff, and each Sub-Adviser’s brokerage practices. The Directors also reviewed the performance record of each Portfolio or portion of a Portfolio managed by the applicable Sub-Adviser. The Board also considered the quality of each Sub-Adviser’s compliance program as it relates to the applicable Portfolio. It was the Directors’ conclusion that overall, they were satisfied with the nature, extent and quality of services provided to the Fund and each of the Portfolios.

Investment Performance

A representative of the Adviser reviewed with the Directors each Portfolio’s performance year-to-date and for the 1-, 3- and 5-year periods ended September 30, 2010, as compared to the Portfolio’s Morningstar Peer Group and benchmark(s). The Board noted that on a quarterly basis it receives a report from an independent consultant with detailed information about each Portfolio’s performance results and investment strategies. The Board also receives a report from the consultant on those portfolios that the consultant has identified as underperforming. The Board also considered the Adviser’s effectiveness in monitoring the performance of each Sub-Adviser and the Adviser’s timeliness in responding to performance issues. A Portfolio-by-Portfolio discussion of each Portfolio’s performance and the Board’s conclusions regarding that performance is set forth below.

Fees and Expenses

The Board considered the advisory fee for each Portfolio, as well as the fee’s difference from the average advisory fee for the Portfolio’s Morningstar Peer Group and the fee’s percentile ranking within the peer group. The Board also considered the difference between each Portfolio’s overall expense ratio and that of its Morningstar Peer Group, as well as the expense ratio’s percentile ranking within the peer group.

Additionally, the Board considered certain adjusted statistics for Portfolios whose Morningstar Peer Group’s average advisory fee was likely to be skewed by the inclusion of index funds and funds of funds. The Board looked at the average assets for each fund in the respective peer group, excluding index funds and funds of funds (the “Adjusted Peer Group”) and then compared the advisory fee that would have been paid by the Portfolio if the Portfolio had had assets equal to the adjusted peer group’s average assets. The Board considered that comparison on an absolute and percentile ranking basis.

The Board also considered the fees paid to Sub-Advisers. With respect to the Portfolios sub-advised by Suffolk, an affiliate of the Adviser, the Board evaluated the reasonableness of the total fees received by the Adviser. With respect to those Portfolios sub-advised by a Sub-Adviser that is not affiliated with the Adviser, the Board relied to a degree on the Adviser’s negotiation of each sub-advisory agreement on an arm’s-length basis, noting that in the past the Adviser has negotiated decreases in the sub-advisory fee (and advisory fee) for certain Portfolios. Additionally, the Board considered the fees charged by the Adviser and Sub-Advisers to their separately managed accounts and other accounts other than the Portfolios and had no concerns with those rates relative to the fees charged to the Portfolio. The Directors also recognized that it is difficult to make comparisons of advisory fees because there are variations in the services that are included in the fees paid by other funds.

Profitability

The Board considered the advisory fee paid to the Adviser for each Portfolio and noted the pre-tax profit margins reported by the Adviser for each Portfolio. The Directors noted that the Adviser, and not the Portfolios, is responsible for paying sub-advisory fees to the Portfolio Sub-Advisers. The Directors took into account the fact that the Adviser is contractually obligated to reimburse each Portfolio for certain of its expenses should they exceed a specified amount. Additionally, the Directors acknowledged that calculating the Adviser’s profitability related to a specific Portfolio can be challenging and imprecise because of the difficulties in appropriately allocating the Adviser’s expenses across the Portfolios.

(continued)

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Additional Information (Unaudited) (Continued)	December 31, 2010

The Board also noted that the Adviser has been subsidizing the Money Market Portfolio to assure that it continues to be available to all of Ohio National Fund, Inc.’s shareholders (i.e., the shareholders of every Portfolio), so that shareholders in other Portfolios can elect to invest in the Money Market Portfolio to the extent they want to take a more defensive posture. Consequently, because the Adviser’s subsidization of the Money Market Portfolio benefits the shareholders of every Portfolio, the Board acknowledged that a portion of the costs incurred by the Adviser in subsidizing the Money Market Portfolio should be considered with respect to the Adviser’s profitability from managing each of the other Portfolios.

The Board also considered the reasonableness of the sub-advisory fees paid by the Adviser to each Sub-Adviser. The Directors relied on the ability of the Adviser to negotiate the terms of each sub-advisory agreement, including the sub-advisory fee, at arm’s-length, noting that the Adviser is not affiliated with any Portfolio Sub-Adviser other than Suffolk. Accordingly, the cost of services provided by each unaffiliated Sub-Adviser and the profitability to the Sub-Adviser of its relationship with the applicable Portfolio were not material factors in the Board’s deliberations. For similar reasons, the Board concluded that the potential realization of economies of scale by the Portfolios from the sub-advisory arrangements with the unaffiliated Sub-Advisers was not a material factor in the Board’s deliberations.

In considering the reasonableness of the sub-advisory fees payable by the Adviser to Suffolk, the Directors noted that the Adviser, not the Portfolios, is responsible for paying sub-advisory fees to Suffolk and therefore concluded that the profitability to Suffolk of its relationship to the applicable Portfolios was not a material factor in the Board’s deliberations. For similar reasons, the Board concluded that the potential realization of economies of scale by the applicable Portfolios from its sub-advisory arrangement with Suffolk was not a material factor in the Board’s deliberations.

Economies of Scale

The Directors noted that all of the advisory and sub-advisory fee schedules contain breakpoints that would reduce the applicable advisory or sub-advisory fees on assets above a specified level as the applicable Portfolio’s assets increase. The Directors also noted that a Portfolio would realize additional economies of scale if the Portfolio’s assets increase over time proportionately more than certain other expenses. The Directors took into account that many of the Portfolios had relatively few assets under management. After considering each Portfolio’s current size and potential for growth, the Board concluded that each Portfolio is likely to benefit from economies of scale as the Portfolio’s assets increase.

Portfolio-by-Portfolio Analysis

In addition to the foregoing, the Directors considered the specific factors and related conclusions set forth below with respect to each Portfolio’s performance, fees, and expenses. Except as otherwise indicated, the performance data described below for each Portfolio is for periods ending September 30, 2010 and the advisory fee and expense data described below is through August 31, 2010 for a Portfolio’s Morningstar peer group and its Adjusted Peer Group.

Equity Portfolio (Adviser – ONI, Sub-Adviser – Legg Mason). The Portfolio underperformed its benchmark index and peer group average for the year-to-date and 1-, 3-, and 5-year periods. The Board noted that although the Portfolio was currently underperforming, it had significantly outperformed its benchmark index and peer group average for 2009. The Adviser pointed out that the Sub-Adviser’s style has been out of favor in recent years (with the exception of 2009) because the focus on real valuations is not being rewarded, and noted that the Portfolio would be included in the Adviser’s watchlist. The Directors agreed with the Adviser’s decision to add the Portfolio to the watchlist and noted the Adviser’s close monitoring of performance. They also noted that the Portfolio’s advisory fee was higher than the peer group average, but recognized that the Portfolio’s expense ratio was below average and that the Portfolio had had excellent relative performance for 2009 and periods beyond five years. In this regard, they remarked that the portfolio manager has a proven track record over the long term, outperforming the S&P 500 Index for a record number of years in a row. Based upon its review, the Board concluded that appropriate action was being taken to address performance and that the advisory and sub-advisory fees were reasonable.

Money Market Portfolio (Adviser – ONI). The Portfolio underperformed its peer group average for the year-to-date and trailing 1- and 3-year periods. The Adviser reported that the Portfolio’s underperformance was expected because the portfolio manager had moved the Portfolio in a more conservative direction to protect its value. The Directors noted that the Portfolio’s advisory fee and expense ratio were well below average relative to its peer group and that the Adviser has a negative profit margin for the Portfolio. Overall, the Board concluded that the Portfolio’s performance was satisfactory and that the advisory fee was reasonable.

Bond Portfolio (Adviser – ONI). Although the Portfolio underperformed its benchmark index for the year-to-date and 1-, 3- and 5-year periods and its peer group average for the 3- and 5-year periods, its recent performance has improved. The Board noted that for the year-to date and 1-year periods, the Portfolio’s performance was in the 27^th and 31^st percentile, respectively, for its peer group. The Board acknowledged that the Portfolio’s underperformance relative to its benchmark index reflected the volatility in interest rates and credit spreads during the past year. The Directors noted that, although the Portfolio’s advisory fee was above the peer group average, the Portfolio’s expense ratio was below the peer group average. The Board considered the Adviser’s profitability for the Portfolio to be a reasonable amount. Overall, the Board concluded that the Portfolio’s performance was satisfactory and that the advisory fee was reasonable.

(continued)

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Additional Information (Unaudited) (Continued)	December 31, 2010

Omni Portfolio (Adviser – ONI, Sub-Adviser – Suffolk). The Omni Portfolio outperformed its benchmark index and its peer group average for the 5-year period and was generally in line with both for the 3-year period. The Portfolio’s performance for the year-to-date and 1-year periods lagged that of its benchmark index and peer group average, although the Board noted that the Portfolio’s relative performance had improved during the October 2010 period. The Portfolio’s advisory fee and expense ratio were below the Portfolio’s peer group average. Overall, the Board concluded that the Portfolio’s performance was satisfactory and that the advisory and sub-advisory fees were reasonable.

International Portfolio (Adviser – ONI, Sub-Adviser – Federated Global). The International Portfolio outperformed its benchmark index and slightly underperformed its peer group average for the year-to-date and 1-year periods. The Board considered that the Portfolio has a new portfolio manager who started in January 2009, and as a result, concluded that the Board should focus on performance under the new portfolio manager. The Board also noted that the Portfolio’s country allocation is model-driven and that the Sub-Adviser made changes in 2009 to the model that have benefited the Portfolio’s recent performance. The Board also noted that the Portfolio’s advisory fee and expense ratio were below average. Overall, the Board concluded that the Portfolio’s performance was satisfactory and that the advisory and sub-advisory fees were reasonable.

Capital Appreciation Portfolio (Adviser – ONI, Sub-Adviser – Jennison). The Portfolio outperformed its benchmark index (the S&P 500 Index) for the year-to-date period and 3- and 5-year periods, but lagged its peer group average for all periods except the 5-year period. The Board noted that the peer group of mid-cap funds might not accurately reflect the nature of the Portfolio, which is more value-oriented, and consequently, the Board also considered that the Portfolio had outperformed its benchmark for all time periods. The Portfolio’s advisory fee was higher than the peer group average, and the expense ratio was below average. Overall, the Board concluded that the Portfolio’s performance was satisfactory and that the advisory and sub-advisory fees were reasonable.

Millennium Portfolio (Adviser – ONI, Sub-Adviser – Neuberger Berman). The Adviser reported that the Portfolio’s performance has been poor across all time periods. The Portfolio’s performance was below that of its benchmark index and peer group average year-to-date and for the 1-, 3- and 5-year periods. The Board noted that the Portfolio invests in small-cap companies that the Sub-Adviser believes are high-quality companies and that for the past few years the market has favored lower-quality small-cap companies over higher-quality ones. The Board also noted that the reverse case in 2007 demonstrated the Portfolio’s ability to generate more favorable returns, when the Portfolio outperformed its benchmark index by nearly 1,900 basis points. The Board also noted that the Portfolio was on the Adviser’s watchlist and that the Adviser would continue to monitor the Sub-Adviser’s performance closely. The Directors remarked that the advisory fee and expense ratio for the Portfolio were below average and concluded that appropriate action was being taken to address performance and that the advisory and sub-advisory fees were reasonable.

International Small-Mid Company Portfolio (Adviser – ONI, Sub-Adviser – Federated Global). The Portfolio underperformed its benchmark index and peer group average for the year-to-date and 3-year periods, although the Portfolio outperformed both for the 1-year period. The Board noted that the nature of the Portfolio would result in strong performance during periods of economic growth and weaker performance during more negative economic periods. The Board considered that the Portfolio significantly outperformed its benchmark index for 2007, a period of strong economic growth. The Adviser noted that the Portfolio lagged its retail counterpart fund for the year-to-date period through October 2010 as a result of the cash drag effect from the Portfolio’s growth. The Portfolio’s advisory fee and expense ratio were both below average relative to the peer group. Overall, the Board concluded that the Portfolio’s performance was satisfactory and that the advisory and sub-advisory fees were reasonable.

Aggressive Growth Portfolio (Adviser – ONI, Sub-Adviser – Janus). The Portfolio underperformed its benchmark index and peer group for the year-to-date and 1-year periods and outperformed them for the 5-year period. The Adviser noted that the Portfolio’s relative performance had improved during the October 2010 period. The Board noted that the nature of the Portfolio would result in strong performance during periods of economic growth and weaker performance during more negative economic periods. The Board considered that the Portfolio significantly outperformed its benchmark index for the 2007 and 2009 periods. The Portfolio’s advisory fee and expense ratio were both above average compared to its peer group. Overall, the Board concluded that the Portfolio’s performance was satisfactory and that the advisory and sub-advisory fees were reasonable.

Small Cap Growth Portfolio (Adviser – ONI, Sub-Adviser – Janus). The Portfolio has significantly outperformed its benchmark and peer group average for the 1-and 5-year periods, but underperformed its benchmark for the 3-year period as a result of its 2008 performance. The Adviser noted that the Portfolio underwent a change in portfolio managers, which has correlated to an improvement in the Portfolio’s performance relative to its benchmark. The Portfolio’s advisory fee and expense ratio were above its peer group average. The Board concluded that the Portfolio’s performance was satisfactory and that the advisory and sub-advisory fees were reasonable.

Mid Cap Opportunity Portfolio (Adviser – ONI, Sub-Adviser – Goldman Sachs). The Adviser reminded the Board that the Portfolio had changed to a new Sub-Adviser effective in December 2009, and thus only the year-to-date performance amounts were relevant. The Board noted that the Portfolio underperformed its benchmark index and peer group average for that period, although the Directors indicated that performance should be looked at over a longer term. The Board also acknowledged that the Adviser would be visiting the Sub-Adviser and closely monitoring the Portfolio’s performance. The Portfolio’s advisory fee was above the peer group average, although the Portfolio’s expense ratio was below the

(continued)

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Additional Information (Unaudited) (Continued)	December 31, 2010

peer group average. Overall, the Board concluded that the Portfolio’s performance was satisfactory and that the advisory and sub-advisory fees were reasonable.

S&P 500^® Index Portfolio (Adviser – ONI). While the Portfolio underperformed its benchmark year-to-date, the Board noted that its performance generally was in line with the S&P 500^® Index when expenses were excluded. The Board did not rely on peer group comparison figures for the Portfolio because the Board considers peer groups for index funds to be generally irrelevant. The Board noted that the overall expense ratio is the statistic most important to index fund shareholders, and the Portfolio’s expense ratio was in line with the average for the peer group. Overall, the Board concluded that the Portfolio’s performance was satisfactory and that the advisory fees were reasonable.

Strategic Value Portfolio (Adviser – ONI, Sub-Adviser – Federated Equity). The Portfolio’s performance trailed its benchmark index for the year-to-date and 1-, 3- and 5-year periods, but outperformed its peer group average for the year-to-date and 1- and 3-year periods. The Adviser noted that the Portfolio is designed to have stronger performance in weaker markets, and the Board noted that that was reflected in the Portfolio’s strong 2008 and 2009 performance relative to its peer group. The Directors also noted that the Portfolio’s advisory fee and expense ratio were above the peer group average. Overall, the Board concluded that the Portfolio’s performance was satisfactory and that the advisory and sub-advisory fees were reasonable.

High Income Bond Portfolio (Adviser – ONI, Sub-Adviser – Federated Investment). The Portfolio’s performance trailed its benchmark index for the year-to-date and trailing 1-, 3- and 5-year periods, but outperformed its peer group average for the same periods. The Adviser noted that the bond market has been very volatile, which makes comparing the Portfolio to a benchmark more difficult. The Directors indicated that they were less concerned about the underperformance relative to the benchmark and noted that the Portfolio was in the top quartile of its peer group for the 5-year period. They noted that the advisory fee and expense ratio were above the peer group average. Overall, the Board concluded that the Portfolio’s performance was satisfactory and that the advisory and sub-advisory fees were reasonable.

Capital Growth Portfolio (Adviser – ONI, Sub-Adviser – Eagle). The Portfolio has significantly outperformed its benchmark index and peer group average for the year-to-date and 1-, 3- and 5-year periods. The Directors noted that although the advisory fee was above average for the peer group, the expense ratio was below average. Overall, the Board concluded that the Portfolio’s performance was satisfactory and that the advisory and sub-advisory fees were reasonable.

Nasdaq-100^® Index Portfolio (Adviser – ONI). While the Portfolio underperformed its benchmark year-to-date, the Board noted that its performance generally was in line with the Nasdaq-100^® Index when expenses were excluded. The Board did not rely on peer group comparison figures for the Portfolio because the Board considers peer groups for index funds to be generally irrelevant. The Board noted that the overall expense ratio is the statistic most important to index fund shareholders, and the Portfolio’s expense ratio was significantly below the average for the peer group. Overall, the Board concluded that the Portfolio’s performance was satisfactory and that the advisory fees were reasonable.

Bristol Portfolio (Adviser – ONI, Sub-Adviser – Suffolk). The Portfolio underperformed its benchmark and peer group average for the year-to-date and 1- and 3-year periods and outperformed both for the 5-year period. The Directors noted that the Portfolio significantly outperformed its benchmark index for the 2009 period and that its 3-year period performance was close to that of its benchmark and peer group. The Directors also noted that the Portfolio’s advisory fee was above average and that the Portfolio’s expense ratio was slightly below average. Overall, the Board concluded that the Portfolio’s performance was satisfactory and that the advisory and sub-advisory fees were reasonable.

Bryton Growth Portfolio (Adviser – ONI, Sub-Adviser – Suffolk). The Portfolio underperformed its benchmark index and peer group average year-to-date and for the 1-year period, but outperformed its peer group average for the 3- and 5-year periods. The Adviser pointed out that the Portfolio outperformed its benchmark index for the 2005, 2006, 2007 and 2009 periods. The Board considered that the Portfolio’s advisory fee was close to the peer group average and the expense ratio was below the peer group average. Overall, the Board concluded that the Portfolio’s performance was satisfactory and that the advisory and sub-advisory fees were reasonable.

U.S. Equity Portfolio (Adviser – ONI, Sub-Adviser – ICON). The Portfolio has significantly underperformed its benchmark index and peer group average for all periods. The Adviser noted that there had been changes made to the Portfolio’s model, but they have not significantly improved its performance. It appears that the Sub-Adviser’s style does not perform well in volatile markets. The Adviser indicated that the Portfolio remains on its watchlist. The Board considered that the Adviser continues to monitor the Portfolio’s performance closely and noted that the Portfolio significantly outperformed its benchmark in 2007 with a less volatile market. Based upon its review, the Directors also noted that the Portfolio’s advisory fee and expense ratio were above average. The Board concluded that appropriate action was being taken to address performance and that the advisory and sub-advisory fees were reasonable.

Balanced Portfolio (Adviser – ONI, Sub-Adviser – ICON). The Portfolio significantly underperformed its benchmark index and peer group average for the year-to-date and 1-year periods, and outperformed its peer group average for the 3- and 5-year periods. The Adviser pointed out that the Portfolio outperformed its benchmark index for the 2006, 2007 and 2009 periods. The Directors noted that the Portfolio’s longer term relative performance was above the average of its peer group. They also considered that the Portfolio’s advisory fee was slightly above the peer group average, and its expense ratio was above the peer group average. The Board concluded that the Portfolio’s performance was satisfactory and that the advisory and sub-advisory fees were reasonable.

(continued)

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Additional Information (Unaudited) (Continued)	December 31, 2010

Income Opportunity Portfolio (Adviser – ONI, Sub-Adviser – ICON). The Portfolio significantly underperformed its benchmark index and peer group average for the year-to-date and 1-year periods, significantly outperformed both for the 3-year period and was generally in line with its peer group average for the 5-year period. The Adviser pointed out that it would expect the Portfolio to trail in rising markets and outperform in falling markets. The Board considered that the Portfolio’s strategy is to provide downside protection at the expense of upside returns and noted that the Portfolio had significantly outperformed its benchmark index for the periods when the market was generally down. While the Portfolio’s advisory fee and expense ratio were above average, the Adviser pointed out that the size of the Portfolio has resulted in higher expenses. Overall, the Board concluded that the Portfolio’s performance was satisfactory and that the advisory and sub-advisory fees were reasonable.

Target VIP Portfolio (Adviser – ONI, Sub-Adviser – First Trust). The Portfolio has significantly outperformed its benchmark index and peer group average for the year-to-date and 1-year periods, but significantly trails both for the 3-year period. The Board considered that the Portfolio is based on a quantitative model that had fallen out of favor with the market, but has been performing better recently. The Board noted that, because the Portfolio is not actively managed, its performance does not reflect on the Adviser, but is a function of the effectiveness of the model. The Directors also noted that the advisory fee and expense ratio were below its peer group average. Based upon its review, the Board concluded that the performance of the Portfolio was satisfactory and that the advisory and sub-advisory fees were reasonable.

Target Equity/Income Portfolio (Adviser – ONI, Sub-Adviser – First Trust). The Portfolio has significantly outperformed its benchmark index and peer group average for the year-to-date and 1-year periods, but significantly trails both for the 3-year period. The Board considered that the Portfolio is based on a quantitative model that had fallen out of favor with the market, but has been performing better recently. The Board noted that, because the Portfolio is not actively managed, its performance does not reflect on the Adviser, but is a function of the effectiveness of the model. The Directors also noted that the advisory fee and expense ratio were below its peer group average. Based upon its review, the Board concluded that the performance of the Portfolio was satisfactory and that the advisory and sub-advisory fees were reasonable.

Bristol Growth Portfolio (Adviser – ONI, Sub-Adviser – Suffolk). The Portfolio underperformed its benchmark and peer group average for the year-to-date and 1- and 3-year periods, but outperformed its benchmark index in 2009. The Directors noted that the Portfolio’s 3-year period performance was very close to its peer group average. The Directors also considered that the Portfolio’s advisory fee was above its peer group average and that its overall expense ratio was significantly above the peer group average, which the Board attributed largely to the Portfolio’s size. Overall, the Board concluded that the Portfolio’s performance was satisfactory and that the advisory and sub-advisory fees were reasonable.

After consideration of the foregoing, the Board reached the following conclusions regarding the Investment Advisory Agreement and, as applicable, the sub-advisory agreement with respect to each Portfolio, in addition to the conclusions set forth above: (a) ONI and the Sub-Adviser had demonstrated that they possessed the capability and resources to perform the duties required of them under the Investment Advisory Agreement and applicable sub-advisory agreement, respectively; (b) the investment philosophy, strategies and techniques of ONI (with respect to the Portfolios without a Sub-Adviser) and the Sub-Adviser were appropriate for pursuing the applicable Portfolio’s investment objective; (c) ONI (with respect to the Portfolios without a Sub-Adviser) and the Sub-Adviser were likely to execute their investment philosophy, strategies and techniques consistently over time; and (d) ONI and the Sub-Adviser maintained appropriate compliance programs. Based on all of the above-mentioned factors and their related conclusions, with no single factor or conclusion being determinative and with each Director not necessarily attributing the same weight to each factor, the Directors unanimously concluded that approval of the continuation of the Investment Advisory Agreement and, as applicable, the sub-advisory agreement was in the best interests of each Portfolio and its shareholders. Accordingly, the Board, including a majority of the Independent Directors, voted to approve the continuation of the Investment Advisory Agreement and, as applicable, the sub-advisory agreement for each Portfolio.


(2)	Expense Disclosure

An individual may not buy or own shares of the Fund directly. An individual acquires an indirect interest in the Fund by purchasing a variable annuity contract or variable insurance policy and allocating premiums or purchase payments to Fund Portfolios available through the separate accounts of ONLIC, ONLAC, and NSLA. Separate accounts of these entities are the shareholders of the Fund.

As a shareholder of the Fund, a separate account incurs ongoing costs, including management fees and other Fund expenses. This example is intended to help a policy/contract owner understand ongoing costs (in dollars) associated with the underlying investment in the Fund’s Portfolios by the separate account shareholder and to compare these costs with the ongoing costs associated with investing in other mutual funds.

The example is based on an investment of $1,000 invested at July 1, 2010 and held through December 31, 2010.

(continued)

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Additional Information (Unaudited) (Continued)	December 31, 2010

Actual Expenses

The table below provides information about investment values and actual expenses associated with each Portfolio of the Fund. The information below, together with the amount of an underlying investment, can be used to estimate expenses paid over the period. An estimate can be obtained by simply dividing an underlying investment value by $1,000 (for example, an $8,600 investment value divided by $1,000 = 8.6), then multiplying the result by the number in the table under the heading entitled “Expenses Paid During Period”.


	Beginning		Ending		Expense Paid		Expense Ratio
	Investment		Investment		During		During Period
	Value		Value		Period*		7/1/2010 – 12/31/2010
Portfolio	7/1/2010		12/31/2010		7/1/2010 – 12/31/2010		(Annualized)

Equity	$	1,000.00	$	1,213.68	$	4.91		0.88%
Money Market		1,000.00		1,000.00		0.96		0.19%
Bond		1,000.00		1,022.45		3.42		0.67%
Omni		1,000.00		1,177.66		4.28		0.78%
International		1,000.00		1,314.66		6.13		1.05%
Capital Appreciation		1,000.00		1,236.51		4.96		0.88%
Millennium		1,000.00		1,275.88		5.62		0.98%
International Small-Mid Company		1,000.00		1,341.80		7.32		1.24%
Aggressive Growth		1,000.00		1,224.89		5.66		1.01%
Small Cap Growth		1,000.00		1,301.62		6.56		1.13%
Mid Cap Opportunity		1,000.00		1,261.46		5.59		0.98%
S&P 500^® Index		1,000.00		1,228.63		2.70		0.48%
Strategic Value		1,000.00		1,190.09		5.24		0.95%
High Income Bond		1,000.00		1,094.22		4.17		0.79%
Capital Growth		1,000.00		1,361.53		6.13		1.03%
Nasdaq-100^® Index		1,000.00		1,273.77		3.09		0.54%
Bristol		1,000.00		1,231.84		4.78		0.85%
Bryton Growth		1,000.00		1,322.61		5.44		0.93%
U.S. Equity		1,000.00		1,257.82		5.69		1.00%
Balanced		1,000.00		1,124.97		5.25		0.98%
Income Opportunity		1,000.00		1,109.16		6.49		1.22%
Target VIP		1,000.00		1,288.10		4.73		0.82%
Target Equity/Income		1,000.00		1,262.63		4.39		0.77%
Bristol Growth		1,000.00		1,233.69		5.12		0.91%

(continued)

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Additional Information (Unaudited) (Continued)	December 31, 2010

Hypothetical Example for Comparison Purposes

The table below provides information about hypothetical investment values and hypothetical expenses based on each respective Portfolio’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not an actual return. The hypothetical investment values and expenses may not be used to estimate the actual ending investment balance or expenses actually paid for the period by the shareholders. A policy/contract holder may use this information to compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.


	Beginning		Ending		Expense Paid		Expense Ratio
	Investment		Investment		During		During Period
	Value		Value		Period*		7/1/2010 – 12/31/2010
Portfolio	7/1/2010		12/31/2010		7/1/2010 – 12/31/2010		(Annualized)

Equity	$	1,000.00	$	1,020.77	$	4.48		0.88%
Money Market		1,000.00		1,024.25		0.97		0.19%
Bond		1,000.00		1,021.83		3.41		0.67%
Omni		1,000.00		1,021.27		3.97		0.78%
International		1,000.00		1,019.91		5.35		1.05%
Capital Appreciation		1,000.00		1,020.77		4.48		0.88%
Millennium		1,000.00		1,020.27		4.99		0.98%
International Small-Mid Company		1,000.00		1,018.95		6.31		1.24%
Aggressive Growth		1,000.00		1,020.11		5.14		1.01%
Small Cap Growth		1,000.00		1,019.51		5.75		1.13%
Mid Cap Opportunity		1,000.00		1,020.27		4.99		0.98%
S&P 500^® Index		1,000.00		1,022.79		2.45		0.48%
Strategic Value		1,000.00		1,020.42		4.84		0.95%
High Income Bond		1,000.00		1,021.22		4.02		0.79%
Capital Growth		1,000.00		1,020.01		5.24		1.03%
Nasdaq-100^® Index		1,000.00		1,022.48		2.75		0.54%
Bristol		1,000.00		1,020.92		4.33		0.85%
Bryton Growth		1,000.00		1,020.52		4.74		0.93%
U.S. Equity		1,000.00		1,020.16		5.09		1.00%
Balanced		1,000.00		1,020.27		4.99		0.98%
Income Opportunity		1,000.00		1,019.06		6.21		1.22%
Target VIP		1,000.00		1,021.07		4.18		0.82%
Target Equity/Income		1,000.00		1,021.32		3.92		0.77%
Bristol Growth		1,000.00		1,020.62		4.63		0.91%


	*	Expenses are equal to the average account value times the Fund’s annualized expense ratio multiplied by the number of days in the most recent fiscal half-year divided by the number of days in the fiscal year. Please note that the expenses shown in these tables are meant to highlight ongoing Fund costs only and do not reflect any contract-level expenses or Fund transactional costs, such as sales charges (loads) or exchange fees (if any). Therefore, these tables are useful in comparing ongoing fund costs only, and will not fully assist a policy/contract owner in determining the relative total expenses of different funds. In addition, if transactional costs were included, costs may have been higher for these Portfolios as well as for a fund being compared.


(3)	Other Federal Tax Information

For corporate shareholders, the percentages of the total ordinary income dividends paid in 2010, and ordinary income consent dividends that were incurred in the 2010 tax year, that qualify for the corporate dividends received deduction are as follows:


Equity	100.00	%
Money Market	0.00	%
Bond	0.00	%
Omni	57.91	%
International	0.00	%
Capital Appreciation	100.00	%
Millennium	0.00	%
International Small-Mid Company	0.00	%
Aggressive Growth	0.00	%
Small Cap Growth	0.00	%
Mid Cap Opportunity	0.00	%
S&P 500^® Index	100.00	%
Strategic Value	100.00	%
High Income Bond	0.00	%
Capital Growth	0.00	%
Nasdaq-100^® Index	100.00	%
Bristol	100.00	%
Bryton Growth	0.00	%
U.S. Equity	100.00	%
Balanced	46.91	%
Income Opportunity	0.00	%
Target VIP	80.15	%
Target Equity/Income	100.00	%
Bristol Growth	16.06	%

(continued)

162

Ohio National Fund, Inc.


Information about Directors and Officers (Unaudited)	December 31, 2010


			Term served	Number of
			as Officer	Portfolios in	Principal Occupation and Other
Name and Address	Age	Position with the Fund	or Director	Fund Complex*	Directorships During Past Five Years

Independent Directors
James E. Bushman 100 W. Rivercenter Boulevard, 2C Covington, Kentucky	66	Director, Chairman of Audit Committee and Member of Independent Directors Committee	Since March 2000	32	Director, Chairman and CEO: Cast-Fab Technologies, Inc. (a manufacturing company); Director: The Midland Company (1998-2008), Air Transport Services Group, Inc., The Littleford Group, Inc. (1984-2010), Hilltop Basic Resources, Inc., The Elizabeth Gamble Deaconess Home Association, The Christ Hospital, and The University of Cincinnati Foundation.


George M. Vredeveld University of Cincinnati Economics Center for Education & Research 90 West Daniels Cincinnati, Ohio	68	Lead Independent Director, Member of Audit and Independent Directors Committees	Since March 1996	32	Alpaugh Professor of Economics: University of Cincinnati; President: Economics Center for Education & Research.


John I. Von Lehman 10 Creek Side Drive Cincinnati, Ohio	58	Director, Member of Audit and Independent Directors Committees	Since August 2007	32	Former Executive Vice President, CFO, Secretary, and Director: The Midland Company (1988-2007); Director, Audit Committee and Corporate Governance Committee Member: American Financial Group, Inc.; Finance Committee and Investment Committee member: Life Enriching Communities; Investment Committee: Xavier University Foundation.


Interested Director
John J. Palmer 2283 E. Sentry Ridge Ct. Tucson, Arizona	71	Chairman of the Board and Director	Since July 1997	32	Insurance industry consultant (April 2010 to present), Director: NSLA and Fiduciary Capital Management, Inc. (Ohio National-affiliated companies); Director: Cincinnati Symphony Orchestra; Trustee: Cincinnati Opera. Prior to March 2010, was President of the Fund, Director and Vice Chairman of ONLIC; Prior to May 2010 was President and CEO of NSLA, Director of ONI and various other Ohio National-affiliated companies.


Officers
Christopher A. Carlson One Financial Way Cincinnati, Ohio	51	President	Since March 2000	32	Executive Vice President and Chief Investment Officer: ONLIC; President and Director: ONI; Chief Investment Officer: NSLA; Officer and Director of various other Ohio National-affiliated companies. Prior to March 2010, was Vice President of the Fund.


Thomas A. Barefield One Financial Way Cincinnati, Ohio	57	Vice President	Since February 1998	32	Executive Vice President and Chief Marketing Officer — Institutional Sales: ONLIC; Director and Vice President — Marketing: NSLA; Director: ONI; Senior Vice President: Ohio National Equities, Inc.; Recent graduate of class XXIX of Leadership Cincinnati.


Dennis R. Taney One Financial Way Cincinnati, Ohio	63	Chief Compliance Officer	Since August 2004	32	Second Vice President: ONLIC, Chief Compliance Officer: ONLIC, ONI, NSLA, and other Ohio National-affiliated companies.


R. Todd Brockman One Financial Way Cincinnati, Ohio	42	Treasurer	Since August 2004	32	Second Vice President, Mutual Fund Operations: ONLIC and NSLA; Treasurer: ONI.


Kimberly A. Plante One Financial Way Cincinnati, Ohio	36	Secretary	Since March 2005	32	Prior to August 2007 was Assistant Secretary, Senior Associate Counsel: ONLIC; Secretary: ONI and Suffolk; Assistant Secretary of various other Ohio National-affiliated companies.

(continued)

164

Item 2. Code Of Ethics.

As of the end of the period covered by this report, Ohio National Fund, Inc. (the “Fund”) has adopted a code of ethics that applies to the Fund’s principal executive officer and principal financial officer. There were no substantive amendments or waivers to the Code of Ethics during the period covered by this report.

A copy of this Code of Ethics is filed as Exhibit EX-99.CODE to this Form N-CSR and is also available, without charge, upon request, by calling 877-781-6392 toll free.

Item 3. Audit Committee Financial Expert.

The Fund’s Board of Directors has determined that the Fund has an audit committee financial expert serving on its Audit Committee. The Audit Committee financial expert is Mr. James E. Bushman. Mr. Bushman is independent for purposes of Item 3 of Form N-CSR.

Item 4. Principal Accountant Fees And Services.

The aggregate fees for each of the last two fiscal years for professional services rendered by the principal accountant for the audit of the Fund’s annual financial statements or services that are normally provided by the accountant in connection with statutory and regulatory filings or engagements for those fiscal years are listed below.

	(a)		Audit Fees.

			Fiscal year ended December 31, 2010: $276,000 Fiscal year ended December 31, 2009: $276,000

	(b)		Audit-Related Fees.

			Professional services rendered in connection with the consent on the Fund’s N1A filing.

			Fiscal year ended December 31, 2010: $4,750 Fiscal year ended December 31, 2009: $4,600


(c)	Tax Fees.	None.
(d)	All Other Fees.	None.

(e)(1)

Audit Committee Pre-Approval Policies and Procedures:

The Fund’s Audit Committee has adopted an Audit Committee Charter that requires that the Audit Committee oversee the quality and appropriateness of the accounting methods used in the preparation of the Fund’s financial statements, and the independent audit thereof; approve the selection and compensation of the independent auditors; and pre-approve the performance, by the independent auditors, of non-audit services for the Fund, its investment adviser, or any affiliated entity controlling, controlled by or under common control with the investment adviser that provides ongoing services to the Fund.

(e)(2)

Services Approved Pursuant to Paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X:

During the fiscal years ended December 31, 2010 and 2009, there were no non-audit services provided by the Fund’s principal accountant that would have required pre-approval by the Fund’s Audit Committee. The audit related fees aforementioned were pre-approved by the Fund’s Audit Committee, although not required by paragraph (c) (7) (ii) of Regulation S-X as the audit-related fees were less than five percent of the total amount of revenues paid to the Fund’s principal accountant.

(f)

Not applicable.

	(g)		There were no non-audit services provided by the Fund’s principal accountant, other than items disclosed in item (b) above, in which a fee was billed to the Fund, the Fund’s adviser, and any entity controlling, controlled by, or under common control with the adviser that provides ongoing services to the registrant for the last two fiscal years.

	(h)		Not applicable, as there were no non-audit services performed by the Fund’s principal accountant that were rendered to the Fund, the Fund’s adviser, or any entity controlling, controlled by, or under common control with the adviser that provided ongoing services to the registrant that were not pre-approved for the last two fiscal years.

Item 5. Audit Committee Of Listed Registrants.

Not applicable.

Item 6. Schedule of Investments.

Not applicable.


Item 7.		Disclosure Of Proxy Voting Policies And Procedures For Closed-End Management Investment Companies.

Not Applicable.

Item 8. Portfolio Managers of Closed-End Management Investment Companies.

Not Applicable.


Item 9.		Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.

Not Applicable.

Item 10. Submission of Matters to a Vote of Security Holders.

There were no material changes to the procedures by which shareholders may recommend nominees to the Fund’s Board of Directors.

Item 11. Controls and Procedures.

	(a)		The Fund’s principal executive officer and principal financial officer have concluded, based on their evaluation conducted as of a date within 90 days of the filing of this report, that the Fund’s disclosure controls and procedures are adequately designed and are operating effectively to ensure (i) that material information relating to the Fund, including its consolidated subsidiaries, is made known to them by others within those entities, particularly during the period in which this report is being prepared; and (ii) that information required to be disclosed by the Fund on Form N-CSR is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission’s rules and forms.

	(b)		There were no changes in the Fund’s internal control over financial reporting that occurred during the second fiscal quarter of the period covered by this report that have materially affected, or are reasonably likely to materially affect, the Fund’s internal control over financial reporting.

Item 12. Exhibits.

	(a)(1)		The Fund’s Code of Ethics pursuant to Item 2 of Form N-CSR is filed and attached hereto as EX-99.CODE.

	(a)(2)		A separate certification for each principal executive officer and principal financial officer of the Fund as required by Rule 30a-2(a) under the Investment Company Act of 1940 (17 CFR 270.30a-2(a)) is attached hereto as EX-99.CERT.

			The certifications required by Section 906 of the Sarbanes-Oxley Act of 2002 are attached hereto as EX-99.906CERT.


President’s Message		1
Directors and Officers of Ohio National Fund, Inc.		2
The following pages contain Performance, Management’s Comments, Change in Value of $10,000 Investment, Top Holdings, Portfolio Composition, and Schedule of Investments for each of the Fund’s Portfolios:
Equity Portfolio		3
Money Market Portfolio		7
Bond Portfolio		10
Omni Portfolio		15
International Portfolio		20
Capital Appreciation Portfolio		26
Millennium Portfolio		30
International Small-Mid Company Portfolio		34
Aggressive Growth Portfolio		38
Small Cap Growth Portfolio		42
Mid Cap Opportunity Portfolio		46
S&P 500^® Index Portfolio		50
Strategic Value Portfolio		57
High Income Bond Portfolio		61
Capital Growth Portfolio		70
Nasdaq-100^® Index Portfolio		75
Bristol Portfolio		79
Bryton Growth Portfolio		82
U.S. Equity Portfolio		85
Balanced Portfolio		88
Income Opportunity Portfolio		93
Target VIP Portfolio		98
Target Equity/Income Portfolio		102
Bristol Growth Portfolio		105
Statements of Assets and Liabilities		108
Statements of Operations		111
Statements of Changes in Net Assets		114
Financial Highlights		120
Notes to Financial Statements		132
Report of Independent Registered Public Accounting Firm		154
Additional Information (Unaudited)		155
Information About Directors and Officers (Unaudited)		164


	% of Net Assets

1.	AES Corp. / The	6.8
2.	International Business Machines Corp.	3.0
3.	Citigroup, Inc.	3.0
4.	General Electric Co.	3.0
5.	Texas Instruments, Inc.	2.9
6.	Wells Fargo & Co.	2.9
7.	JPMorgan Chase & Co.	2.8
8.	Aflac, Inc.	2.7
9.	NYSE Euronext	2.7
10.	Time Warner, Inc.	2.7


	% of Net Assets

Financials		27.0
Information Technology		25.0
Consumer Discretionary		13.3
Health Care		11.3
Utilities		6.8
Energy		6.6
Industrials		4.7
Consumer Staples		2.8

		97.5


	% of Net Assets

Commercial Paper ⁽²⁾		75.7
Asset-Backed Securities ⁽²⁾		1.4
Money Market Funds		13.4
U.S. Treasury Obligations		3.4
Repurchase Agreements and Other Net Assets		6.1

		100.0


	% of Net Assets

1.	Wells Fargo & Co. 0.040%, 01/03/2011	4.8
2.	Nestle Capital Corp. 0.050%, 01/03/2011	4.8
3.	Societe Generale North America 0.100%, 01/03/2011	4.8
4.	Prudential Funding LLC 0.120%, 01/03/2011	4.8
5.	International Business Machines Corp. 0.140%, 01/07/2011	4.8
6.	Federated Prime Cash Obligations Fund – Institutional Class	4.6
7.	Fidelity Institutional Money Market Funds Money Market Portfolio – Class I	4.6
8.	HSBC Finance Corp. 0.180%, 01/14/2011	4.4
9.	U.S. Bank Repurchase Agreement 0.010%, 01/03/2011	4.4
10.	Fidelity Institutional Money Market Funds Prime Money Market Portfolio – Class I	4.2


	% of Net Assets

Financials		43.4
Consumer Staples		13.6
Health Care		7.8
Information Technology		4.8
Energy		4.1
Consumer Discretionary		3.4

		77.1


Ohio National Fund, Inc.	Money Market Portfolio (Continued)


Repurchase Agreements – 4.4%		Rate		Maturity		Face Amount		Amortized Cost


U.S. Bank, Agreement date: 12/31/10, Repurchase price $12,822,000, Collateralized by: FHLMC 30 yr. Gold Giant Pool #G01543 (FGLMC) 5.000%, Due 05/01/2033 with value of $13,078,771			0.010%		01/03/2011	$	12,822,000	$	12,822,000

Total Repurchase Agreements (Cost $12,822,000)								$	12,822,000

Total Investments – 98.3% (Cost $288,506,389)	(b)							$	288,506,389
Other Assets in Excess of Liabilities – 1.7%									4,940,548

Net Assets – 100.0%								$	293,446,937


(a)		Security exempt from registration under Section 4 (2) of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified buyers under Rule 144A. At December 31, 2010, the value of these securities totaled $97,317,170 or 33.2% of the Portfolio’s net assets. These securities were deemed liquid pursuant to procedures approved by the Board of Directors.

(b)		Represents cost for Federal income tax and financial reporting purposes. See also Note 2 regarding the use of amortized cost for valuation of instruments in this Portfolio.


	% of Net Assets

Corporate Bonds ⁽³⁾		89.4
U.S. Treasury Obligations		2.8
Commercial Paper		3.4
Repurchase Agreements and Other Net Assets		4.4

		100.0


	% of Net Assets

1.	U.S. Treasury Note 2.375%, 09/30/2014	1.4
2.	U.S. Treasury Note 3.375%, 11/15/2019	1.4
3.	Kroger Co. / The 6.400%, 08/15/2017	1.2
4.	Kraft Foods, Inc. 6.125%, 02/01/2018	1.2
5.	Commonwealth Edison Co. 5.950%, 08/15/2016	1.2
6.	UnitedHealth Group, Inc. 6.000%, 02/15/2018	1.2
7.	Union Electric Co. 6.400%, 06/15/2017	1.1
8.	Fifth Third Bancorp 4.500%, 06/01/2018	1.1
9.	Virginia Electric and Power Co. 5.400%, 01/15/2016	1.1
10.	Waste Management, Inc. 6.100%, 03/15/2018	1.1


	% of Net Assets

Common Stocks ⁽³⁾		100.4
Money Market Funds Less Net Liabilities		(0.4)

		100.0


Financials			17.9%
Industrials			15.0%
Materials			13.7%
Energy			11.7%
Information Technology			10.1%
Consumer Discretionary			8.9%
Consumer Staples			8.5%
Telecommunication Services			7.2%
Health Care			6.9%
Utilities			0.5%

			100.4%


	% of Net Assets

Common Stocks ⁽³⁾		97.6
Money Market Funds Less Net Liabilities		2.4

		100.0


	% of Net Assets

1.	Pinnacle Entertainment, Inc.	2.5
2.	Schlumberger Ltd.	2.4
3.	Lear Corp.	2.4
4.	Viacom, Inc. Class B	2.2
5.	Pfizer, Inc.	2.2
6.	Goldcorp, Inc.	2.2
7.	Goldman Sachs Group, Inc. / The	2.1
8.	Weatherford International Ltd.	2.1
9.	Apache Corp.	2.0
10.	JPMorgan Chase & Co.	2.0


	% of Net Assets

Consumer Discretionary		19.4
Financials		18.2
Energy		17.1
Industrials		11.4
Health Care		10.6
Information Technology		9.9
Consumer Staples		6.9
Materials		4.1

		97.6


	% of Net Assets

Common Stocks ⁽³⁾		98.9
Money Market Funds and Other Net Assets		1.1

		100.0


	% of Net Assets

1.	Ultimate Software Group, Inc.	2.9
2.	HEICO Corp.	2.4
3.	IPC The Hospitalist Co., Inc.	2.1
4.	Gaylord Entertainment Co.	2.0
5.	Sirona Dental Systems, Inc.	1.9
6.	Steiner Leisure Ltd.	1.8
7.	Hibbett Sports, Inc.	1.8
8.	SS&C Technologies Holdings., Inc.	1.8
9.	Diamond Foods, Inc.	1.7
10.	The Pep Boys-Manny, Moe & Jack	1.7


	% of Net Assets

Common Stocks ⁽³⁾		95.1
Money Market Funds Less Net Liabilities		4.9

		100.0


	% of Net Assets

1.	Apple, Inc.	7.2
2.	Celgene Corp.	4.2
3.	eBay, Inc.	4.1
4.	Bank of America Corp.	4.0
5.	Crown Castle International Corp.	3.8
6.	Oracle Corp.	3.6
7.	Trimble Navigation Ltd.	3.1
8.	United Parcel Service, Inc. Class B	3.0
9.	Yahoo!, Inc.	2.9
10.	Davide Campari-Milano SpA	2.9


	% of Net Assets

Information Technology		33.9
Financials		19.0
Consumer Discretionary		9.3
Consumer Staples		8.7
Health Care		8.2
Industrials		7.5
Telecommunication Services		5.4
Energy		2.0
Materials		1.1

		95.1


Money Market Funds – 2.8%		Shares		Value


Fidelity Institutional Money Market Funds
Money Market Portfolio – Class I			906,000	$	906,000

Total Money Market Funds (Cost $906,000)				$	906,000

Total Investments – 100.1% (Cost $25,904,513)	(b)			$	32,145,239
Liabilities in Excess of Other Assets – (0.1)%					(45,804	)

Net Assets – 100.0%				$	32,099,435


	% of Net Assets

Common Stocks ⁽³⁾		96.8
Money Market Funds Less Net Liabilities		3.2

		100.0


	% of Net Assets

1.	St. Jude Medical, Inc.	2.6
2.	Global Payments, Inc.	2.5
3.	Xilinx, Inc.	2.4
4.	SBA Communications Corp. Class A	2.4
5.	Cameron International Corp.	2.2
6.	PetSmart, Inc.	2.2
7.	Polo Ralph Lauren Corp.	2.1
8.	Staples, Inc.	2.1
9.	Northern Trust Corp.	2.1
10.	Avon Products, Inc.	2.0


	% of Net Assets

Information Technology		22.2
Consumer Discretionary		19.2
Financials		14.5
Industrials		13.0
Energy		9.3
Health Care		9.1
Telecommunication Services		5.0
Materials		2.5
Consumer Staples		2.0

		96.8


	% of Net Assets

Information Technology		18.4
Financials		15.8
Energy		11.9
Industrials		10.8
Health Care		10.8
Consumer Discretionary		10.5
Consumer Staples		10.5
Materials		3.7
Utilities		3.3
Telecommunication Services		3.0

		98.7


	% of Net Assets

Common Stocks ⁽³⁾		97.4
Money Market Funds and Other Net Assets		2.6

		100.0


	% of Net Assets

1.	Verizon Communications, Inc.	3.6
2.	AT&T, Inc.	3.4
3.	Royal Dutch Shell PLC	3.3
4.	GlaxoSmithKline PLC	3.1
5.	BCE, Inc.	3.1
6.	ConocoPhillips	3.1
7.	Bristol-Myers Squibb Co.	3.1
8.	Johnson & Johnson	3.0
9.	Chevron Corp.	2.8
10.	Vodafone Group PLC – ADR	2.8


	% of Net Assets

Consumer Staples		22.7
Telecommunication Services		19.9
Utilities		15.4
Health Care		14.7
Financials		11.3
Energy		11.3
Consumer Discretionary		2.1

		97.4


	% of Net Assets

Common Stocks ⁽³⁾		99.2
Money Market Funds Less Net Liabilities		0.8

		100.0