-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, F9gchCXBkSga8Pj1Ul/hZX4qqs/2GV5LSjMvMt8geDT8s76k4mHRuM7/LnfjFa4i o1rBW102at/Vp4M7tE4IUQ== 0000745903-06-000025.txt : 20060427 0000745903-06-000025.hdr.sgml : 20060427 20060427122505 ACCESSION NUMBER: 0000745903-06-000025 CONFORMED SUBMISSION TYPE: N-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20060228 FILED AS OF DATE: 20060427 DATE AS OF CHANGE: 20060427 EFFECTIVENESS DATE: 20060427 FILER: COMPANY DATA: COMPANY CONFORMED NAME: USAA INVESTMENT TRUST CENTRAL INDEX KEY: 0000745903 IRS NUMBER: 000000000 STATE OF INCORPORATION: MA FISCAL YEAR END: 0531 FILING VALUES: FORM TYPE: N-Q SEC ACT: 1940 Act SEC FILE NUMBER: 811-04019 FILM NUMBER: 06783990 BUSINESS ADDRESS: STREET 1: 9800 FREDERICKSBURG ROAD STREET 2: A-3-W CITY: SAN ANTONIO STATE: TX ZIP: 78288-0227 BUSINESS PHONE: 2104988696 MAIL ADDRESS: STREET 1: 9800 FREDERICKSBURG ROAD STREET 2: A-3-W CITY: SAN ANTONIO STATE: TX ZIP: 78288-0227 0000745903 S000003254 USAA Precious Metals and Minerals Fund C000008672 Precious Metals and Minerals Fund USAGX N-Q 1 nqpmm022806.txt FORM N-Q - USAA PRECIOUS METALS & MINERALS FD 02-28-2006 UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM N-Q QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED MANAGEMENT INVESTMENT COMPANY Investment Company Act file number: 811-4019 Exact Name of Registrant as Specified in Charter: USAA INVESTMENT TRUST Address of Principal Executive Offices and Zip Code: 9800 FREDERICKSBURG ROAD SAN ANTONIO, TX 78288 Name and Address of Agent for Service: EILEEN M. SMILEY USAA INVESTMENT TRUST 9800 FREDERICKSBURG ROAD SAN ANTONIO, TX 78288 Registrant's Telephone Number, Including Area Code: (210) 498-4103 Date of Fiscal Year End: MAY 31 Date of Reporting Period: FEBRUARY 28, 2006 ITEM 1. SCHEDULE OF INVESTMENTS. USAA PRECIOUS METALS AND MINERALS FUND - THIRD QUARTER REPORT - PERIOD ENDED FEBRUARY 28, 2006 [LOGO OF USAA] USAA(R) USAA PRECIOUS METALS and MINERALS Fund [GRAPHIC OF USAA PRECIOUS METALS AND MINERALS FUND] 3rd Quarter Portfolio of Investments - -------------------------------------------------------------------------------- FEBRUARY 28, 2006 (Form N-Q) 1 P O R T F O L I O ==================-------------------------------------------------------------- of INVESTMENTS USAA PRECIOUS METALS AND MINERALS FUND FEBRUARY 28, 2006 (UNAUDITED)
MARKET NUMBER VALUE OF SHARES SECURITY (000) - --------------------------------------------------------------------------------------------------------------------------- EQUITY SECURITIES (92.5%) STOCKS (92.4%) -------------- GOLD (72.2%) AUSTRALIAN GOLD COMPANIES (11.2%) 7,000,000 Ballarat Goldfields NL* $ 2,443 8,000,000 Lihir Gold Ltd.* 12,652 1,150,000 Newcrest Mining Ltd. 18,102 9,000,000 Oxiana Ltd.*(c) 12,730 2,000,000 Sino Gold Ltd.* 5,747 -------- 51,674 -------- EUROPEAN GOLD COMPANIES (3.7%) 1,000,000 Randgold Resources Ltd. ADR* 17,100 -------- NORTH AMERICAN GOLD COMPANIES (54.5%) 1,000,000 Agnico-Eagle Mines Ltd.(c) 25,640 750,000 American Bonanza Gold Corp.* 363 1,400,000 Aurizon Mines Ltd.* 3,265 800,000 Barrick Gold Corp. 21,896 4,100,000 Cambior, Inc.* 12,095 1,800,000 Desert Sun Mining Corp.* 9,598 3,000,000 Eldorado Gold Corp.* 12,856 900,000 Gammon Lake Resources, Inc.* 14,413 1,000,000 Glamis Gold Ltd.*(c) 27,210 1,200,000 Glencairn Gold Corp.* 517 1,200,000 Goldcorp, Inc.(c) 30,540 1,100,000 Hecla Mining Co.* 5,478 200,000 High River Gold Mines Ltd.* 375 2,000,000 Jinshan Gold Mines, Inc. (acquired 12/07/2005; cost $864)*(a,b,h) 1,645 900,000 Kinross Gold Corp.* 8,280 900,000 Meridian Gold, Inc.* 22,806 450,000 Metallic Ventures Gold, Inc.* 895 832,500 Mexgold Resources, Inc.*(c) 4,403 325,000 Minefinders Corp. Ltd.* 2,629 110,000 New Gold, Inc. (acquired 2/01/2006; cost $868)*(a,b,h) 890 400,000 Newmont Mining Corp. 21,168 150,000 Royal Gold, Inc.(c) 4,715 800,000 Wolfden Resources, Inc.* 2,682 2,000,000 Yamana Gold, Inc.* 17,986 -------- 252,345 -------- SOUTH AMERICAN GOLD COMPANIES (2.8%) 500,000 Compania de Minas Buenaventura S.A. ADR 13,110 -------- Total gold (cost: $165,940) 334,229 -------- DIAMONDS (3.3%) 400,000 Aber Diamond Corp. (cost: $6,635) 15,100 -------- PLATINUM GROUP METALS (16.9%) 300,000 Anglo American Platinum Corp. 23,937 180,000 Impala Platinum Holdings Ltd. 30,621 600,000 Lonmin, plc 23,891 -------- Total platinum group metals (cost: $36,171) 78,449 -------- Total stocks (cost: $208,746) 427,778 --------
2 P O R T F O L I O ==================-------------------------------------------------------------- of INVESTMENTS (continued) USAA PRECIOUS METALS AND MINERALS FUND FEBRUARY 28, 2006 (UNAUDITED)
MARKET NUMBER SECURITY VALUE OF SHARES (000) - --------------------------------------------------------------------------------------------------------------------------- WARRANTS (0.1%) --------------- NORTH AMERICAN GOLD COMPANIES 1,500,000 American Bonanza Gold Corp. (acquired 11/10/2003; cost $0)*(a,b) $ - 38,500 Desert Sun Mining Corp.* 125 1,350,000 Glencairn Gold Corp.* 214 1,000,000 Jinshan Gold Mines, Inc. (acquired 12/22/2005; cost $0)*(a,b,h) 274 60,000 Metallic Ventures Gold, Inc.* 14 -------- Total warrants (cost: $267) 627 -------- Total equity securities (cost: $209,013) 428,405 -------- PRINCIPAL AMOUNT (000) - --------- MONEY MARKET INSTRUMENTS (7.9%) COMMERCIAL PAPER $16,917 Countrywide Financial Corp., 4.55%, 3/01/2006 16,917 10,206 UBS Finance, Inc., 4.47%, 3/03/2006 10,203 9,515 Wisconsin Electric Power Co., 4.53%, 3/02/2006 9,514 -------- Total money market instruments (cost: $36,634) 36,634 -------- SHORT-TERM INVESTMENTS PURCHASED WITH CASH COLLATERAL FROM SECURITIES LOANED (11.1%)(g) REPURCHASE AGREEMENTS (11.0%)(e) 17,000 Credit Suisse First Boston, LLC, 4.56%, acquired on 2/28/2006 and due 3/01/2006 at $17,000 (collateralized by $17,911 of Freddie Mac Discount Notes(f), 4.88%(i) - 4.90%(i), due 9/22/2006 - 10/23/2006; combined market value $17,341) 17,000 16,000 Deutsche Bank Securities, Inc., 4.56%, acquired on 2/28/2005 and due 3/01/2006 at $16,000 (collateralized by $5,356 of Fannie Mae Notes(f), 5.00%, due 1/15/2007; and $11,100 of Federal Home Loan Bank Bonds(f), 3.38%, due 2/23/2007; combined market value $16,325) 16,000 18,000 Lehman Brothers, Inc., 4.53%, acquired on 2/28/2006 and due 3/01/2006 at $18,000 (collateralized by $5,395 of Federal Home Loan Bank Bonds(f), 5.76%, due 7/03/2025; and $21,545 of Freddie Mac Notes(f), 5.05% - 5.88%(i), due 11/05/2014 - 1/26/2015; combined market value $18,364) 18,000 -------- 51,000 -------- NUMBER OF SHARES - ---------- MONEY MARKET FUNDS (0.1%) 342,030 AIM Short-Term Investment Co. Liquid Assets Portfolio, 4.46%(d) 342 12,286 Merrill Lynch Premier Institutional Fund, 4.34%(d) 12 -------- 354 -------- Total short-term investments purchased with cash collateral from securities loaned (cost: $51,354) 51,354 -------- TOTAL INVESTMENTS (COST: $297,001) $516,393 ========
3 N O T E S ==========---------------------------------------------------------------------- to Portfolio of INVESTMENTS USAA PRECIOUS METALS AND MINERALS FUND FEBRUARY 28, 2006 (UNAUDITED) GENERAL NOTES - -------------------------------------------------------------------------------- USAA INVESTMENT TRUST (the Trust), registered under the Investment Company Act of 1940 (the 1940 Act), as amended, is an open-end management investment company organized as a Massachusetts business trust consisting of 10 separate funds. The information presented in this quarterly report pertains only to the USAA Precious Metals and Minerals Fund (the Fund), which is classified as diversified under the 1940 Act. A. The value of each security is determined (as of the close of trading on the New York Stock Exchange (NYSE) on each business day the exchange is open) as set forth below: 1. Equity securities, including exchange-traded funds (ETFs), except as otherwise noted, traded primarily on a domestic securities exchange or the Nasdaq over-the-counter markets are valued at the last sales price or official closing price on the exchange or primary market on which they trade. Equity securities traded primarily on foreign securities exchanges or markets are valued at the last quoted sales price, or the most recently determined official closing price calculated according to local market convention, available at the time the Fund is valued. If no last sale or official closing price is reported or available, the average of the bid and asked prices is generally used. 2. Equity securities trading in various foreign markets may take place on days when the NYSE is closed. Further, when the NYSE is open, the foreign markets may be closed. Therefore, the calculation of the Fund's net asset value (NAV) may not take place at the same time the prices of certain foreign securities held by the Fund are determined. In most cases, events affecting the values of foreign securities that occur between the time of their last quoted sales or official closing prices and the close of normal trading on the NYSE on a day the Fund's NAV is calculated will not be reflected in the value of the Fund's foreign securities. However, USAA Investment Management Company (the Manager), an affiliate of the Fund, will monitor for events that would materially affect the value of the Fund's foreign securities and, if necessary, the Manager will value the foreign securities in good faith, considering such available information that the Manager deems relevant, under valuation procedures approved by the Trust's Board of Trustees. In addition, the Fund may use information from an external vendor or other sources to adjust the foreign market closing prices of foreign equity securities to reflect what the Fund believes to be the fair value of the securities as of the close of the NYSE. Fair valuation of affected foreign equity securities may occur frequently based on an assessment that events that occur on a fairly regular basis (such as U.S. market movements) are significant. 3. Investments in open-end investment companies, other than ETFs, are valued at their NAV at the end of each business day. 4. Debt securities purchased with original maturities of 60 days or less are valued at amortized cost, which approximates market value. 5. Repurchase agreements are valued at cost, which approximates market value. 6. Securities for which market quotations are not readily available or are considered unreliable, or whose values have been materially affected by events occurring after the close of their primary markets but before the pricing of the Fund, are valued in good faith at fair value, using methods determined by the Manager under valuation procedures approved by the Trust's Board of Trustees. The effect of fair value pricing is that securities may not be priced on the basis of quotations from the primary market in which 4 N O T E S ==========---------------------------------------------------------------------- to Portfolio of INVESTMENTS (continued) USAA PRECIOUS METALS AND MINERALS FUND FEBRUARY 28, 2006 (UNAUDITED) they are traded and the actual price realized from the sale of a security may differ materially from the fair value price. Valuing these securities at fair value is intended to cause the Fund's NAV to be more reliable than it otherwise would be. Fair value methods used by the Manager include, but are not limited to, obtaining market quotations from secondary pricing services, broker-dealers, or widely used quotation systems. General factors considered in determining the fair value of securities include fundamental analytical data, the nature and duration of any restrictions on disposition of the securities, and an evaluation of the forces that influenced the market in which the securities are purchased and sold. B. As of February 28, 2006, the cost of securities, for federal income tax purposes, was approximately the same as that reported in the portfolio of investments. Gross unrealized appreciation and depreciation of investments as of February 28, 2006, were $220,208,000 and $816,000, respectively, resulting in net unrealized appreciation of $219,392,000. C. The portfolio of investments category percentages shown represent the percentages of the investments to net assets, which were $462,954,000 at February 28, 2006, and, in total, may not equal 100%. D. ADR - American depositary receipts are receipts issued by a U.S. bank evidencing ownership of foreign shares. Dividends are paid in U.S. dollars. SPECIFIC NOTES - -------------------------------------------------------------------------------- (a) Security deemed illiquid by the Manager, under liquidity guidelines approved by the Trust's Board of Trustees. The market value of these securities at February 28, 2006, was $2,809,000, which represented 0.6% of the Fund's net assets. (b) Security was fair valued at February 28, 2006, by the Manager in accordance with valuation procedures approved by the Trust's Board of Trustees. (c) The security or a portion thereof was out on loan as of February 28, 2006. The aggregate fair market value of the loaned portion of these securities as of February 28, 2006, was approximately $49,205,000. (d) Rate represents the money market fund annualized seven-day yield at February 28, 2006. (e) Repurchase agreements - The Fund may enter into repurchase agreements with commercial banks or recognized security dealers. These agreements are collateralized by obligations issued or guaranteed as to both principal and interest by the U.S. government, its agencies, or its instrumentalities. Collateral on repurchase agreements is received by the Fund upon entering into the repurchase agreement. The collateral is marked-to-market daily to ensure its market value is equal to or in excess of the repurchase agreement price plus accrued interest and is held by the Fund, either through its regular custodian or through a special "tri-party" custodian that maintains separate accounts for both the Fund and its counterparty, until maturity of the repurchase agreement. The Fund's Manager monitors the creditworthiness of sellers with which the Fund may enter into repurchase agreements. 5 N O T E S ==========---------------------------------------------------------------------- to Portfolio of INVESTMENTS (continued) USAA PRECIOUS METALS AND MINERALS FUND FEBRUARY 28, 2006 (UNAUDITED) (f) Securities issued by government-sponsored enterprises (GSEs) are supported only by the credit of the issuing agency, instrumentality, or corporation, and are neither issued nor guaranteed by the U.S. government. (g) The Fund, through its third-party securities-lending agent, Metropolitan West Securities LLC (MetWest), may lend its securities to qualified financial institutions, such as certain broker-dealers, to earn additional income. The borrowers are required to secure their loans continuously with cash collateral in an amount at least equal to the fair value of the securities loaned, initially in an amount at least equal to 102% of the fair value of domestic securities loaned and 105% of the fair value of international securities loaned. Cash collateral is invested in high-quality short-term investments. Risks to the Fund in securities-lending transactions are that the borrower may not provide additional collateral when required or return the securities when due, and that the value of the short-term investments will be less than the amount of cash collateral required to be returned to the borrower. (h) Restricted security that is not registered under the Securities Act of 1933. A resale of this security in the United States may occur in an exempt transaction to a qualified institutional buyer as defined by Rule 144A, and as such has been deemed liquid by the Manager under liquidity guidelines approved by the Trust's Board of Trustees, unless otherwise noted as illiquid. (i) Zero-coupon security. Rate represents the effective yield at date of purchase. * Non-income-producing security for the 12 months preceding February 28, 2006. 6 N O T E S ==========---------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- -------------------------------------------------------------------- TRUSTEES Christopher W. Claus Barbara B. Dreeben Robert L. Mason, Ph.D. Michael F. Reimherr Laura T. Starks, Ph.D. Richard A. Zucker ADMINISTRATOR, USAA Investment Management Company INVESTMENT ADVISER, P.O. Box 659453 UNDERWRITER, San Antonio, Texas 78265-9825 AND DISTRIBUTOR TRANSFER AGENT USAA Shareholder Account Services 9800 Fredericksburg Road San Antonio, Texas 78288 CUSTODIAN AND State Street Bank and Trust Company ACCOUNTING AGENT P.O. Box 1713 Boston, Massachusetts 02105 INDEPENDENT Ernst & Young LLP REGISTERED PUBLIC 100 West Houston St., Suite 1800 ACCOUNTING FIRM San Antonio, Texas 78205 TELEPHONE Call toll free - Central time ASSISTANCE HOURS Monday - Friday, 7 a.m. to 10 p.m. Saturday, 8:30 a.m. to 5 p.m. Sunday, 10:30 a.m. to 7 p.m. FOR ADDITIONAL (800) 531-8181 INFORMATION ABOUT For account servicing, exchanges, MUTUAL FUNDS or redemptions (800) 531-8448 RECORDED MUTUAL 24-hour service (from any phone) FUND PRICE QUOTES (800) 531-8066 MUTUAL FUND (from touch-tone phones only) USAA TOUCHLINE For account balance, last transaction, fund prices, or to exchange or redeem fund shares (800) 531-8777 INTERNET ACCESS USAA.COM COPIES OF THE MANAGER'S PROXY VOTING POLICIES AND PROCEDURES, APPROVED BY THE TRUST'S BOARD OF TRUSTEES FOR USE IN VOTING PROXIES ON BEHALF OF THE FUND, ARE AVAILABLE WITHOUT CHARGE (I) BY CALLING (800) 531-8448; (II) AT USAA.COM; AND (III) ON THE SEC'S WEB SITE AT HTTP://WWW.SEC.GOV. INFORMATION REGARDING HOW THE FUND VOTED PROXIES RELATING TO PORTFOLIO SECURITIES DURING THE MOST RECENT 12-MONTH PERIOD ENDED JUNE 30 IS AVAILABLE (I) AT USAA.COM; AND (II) ON THE SEC'S WEB SITE AT HTTP://WWW.SEC.GOV. [LOGO OF RECYCLED PAPER] Recycled Paper [LOGO OF USAA] WE KNOW WHAT IT MEANS TO SERVE.(R) USAA ---------------------------------- INSURANCE o MEMBER SERVICES 48478-0406 (C)2006, USAA. All rights reserved. ITEM 2. CONTROLS AND PROCEDURES The principal executive officer and principal financial officer of USAA Investment Trust (Trust) have concluded that the Trust's disclosure controls and procedures are sufficient to ensure that information required to be disclosed by the Trust in this Form N-Q was recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission's rules and forms, based upon such officers' evaluation of these controls and procedures as of a date within 90 days of the filing date of the report. In July 2005, disclosure controls and procedures were established for the new section of the shareholder reports detailing the factors considered by the Trust's Board in approving the Trust's advisory agreements. None of these changes are relevant to this Form N-Q. There were no significant changes or corrective actions with regard to significant deficiencies or material weaknesses in the Trust's internal controls or in other factors that could significantly affect the Trust's internal controls subsequent to the date of their evaluation. ITEM 3. EXHIBITS. Certification pursuant to Rule 30a-2(a) under the Investment Company Act of 1940 (17 CFR 270.30a-2(a)) is filed and attached thereto as Exhibit 99.CERT. SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. Registrant: USAA INVESTMENT TRUST (except Total Return Strategy Fund) By:* /s/ EILEEN M. SMILEY ----------------------------------------------------------- Signature and Title: Eileen M. Smiley, Assistant Secretary Date: APRIL 18, 2006 ------------------------------ Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated. By:* /s/ CHRISTOPHER W. CLAUS ---------------------------------------------------- Signature and Title: Christopher W. Claus/President Date: APRIL 18, 2006 ------------------------------ By:* /s/ DEBRA K. DUNN --------------------------------------------- Signature and Title: Debra K. Dunn/Treasurer Date: APRIL 18, 2006 ------------------------------ *PRINT THE NAME AND TITLE OF EACH SIGNING OFFICER UNDER HIS OR HER SIGNATURE. EX-99.CERT 2 nqitcertification022806.txt IT CERTIFICATIONS 02-28-2006 ITEM 3 EXHIBITS. CERTIFICATIONS I, Christopher W. Claus, certify that: -------------------- 1. I have reviewed these reports on Form N-Q for the period ending February 28, 2006 for the Funds of USAA Investment Trust (except Total Return Strategy Fund); 2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; 3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the registrant as of, and for, the periods presented in this report; 4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have: (a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; (b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; (c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and (d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal half-year (the registrant's second fiscal half-year in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and 5. The registrant's other certifying officer(s) and I have disclosed to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions): (a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize, and report financial information; and (b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting. Date: APRIL 18, 2006 /S/ CHRISTOPHER W. CLAUS ---------------- --------------------- Christopher W. Claus President CERTIFICATIONS I, Debra K. Dunn, certify that: ------------- 1. I have reviewed these reports on Form N-Q for the period ending February 28, 2006 for the Funds of USAA Investment Trust (except Total Return Strategy Fund); 2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; 3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the registrant as of, and for, the periods presented in this report; 4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have: (a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; (b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; (c) evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based such evaluation; and (d) disclosed in the report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal half-year (the registrant's second fiscal half-year in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and 5. The registrant's other certifying officer(s) and I have disclosed to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions): (a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize, and report financial information; and (b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting. Date: APRIL 18, 2006 /S/ DEBRA K. DUNN --------------- -------------------- Debra K. Dunn Treasurer -----END PRIVACY-ENHANCED MESSAGE-----