UNITED STATES   SECURITIES AND EXCHANGE COMMISSION  Washington, DC 20549**FORM N-Q****QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED  MANAGEMENT INVESTMENT COMPANY**  Investment Company Act file number: 811-05071**SATURNA INVESTMENT TRUST**  (Exact Name of Registrant as Specified in Charter)**1300 N. State Street  Bellingham, Washington 98225-4730**  (Address of Principal Executive Offices, including ZIP Code)  Nicholas F. Kaiser  1300 N. State Street  Bellingham, Washington 98225-4730  (Name and Address of Agent for Service)  Registrant’s Telephone Number- (360) 734-9900  Date of fiscal year end: November 30, 2004  Date of reporting period: August 31, 2004 

 

 

 

**Item 1. Schedule of Investments**

The unaudited schedule of investments as of the close of thereporting  period is as follows:

| **Saturna Investment Trust,Sextant        Short-Term Bond Fund** |
|------------------------------------------------------------------|
|                                                             |
| Corporate Bond                                                   | Maturity | Quantity | Market Value | Portfolio % | Industry |
| Bankers Trust (DB) sub notes                                     | 8.25% 5/01/05 | 85,000.00 | $88,275 | 4.10% | Banks - Money Center |
| J P Morgan & Co. Inc                                             | 7.625% 9/15/04 | 80,000.00 | $79,610 | 3.70% | Banks - Money Center |
| Washington Mutual Financial Corp                                 | 8.25% 6/15/2005 | 75,000.00 | $78,172 | 3.60% | Banks - West |
| Lowes Companies                                                  | 7.50% 12/15/05 | 70,000.00 | $73,961 | 3.40% | Buildg Prods - Retail/Whlsle |
| Hewlett Packard Co.                                              | 7.15% 6/15/05 | 70,000.00 | $72,382 | 3.30% | Computer - Local Networks |
| Avon Products Inc.                                               | 6.55% 8/01/07 | 95,000.00 | $102,507 | 4.70% | Cosmetics & Toiletries |
| Alliance Capital Management                                      | 5.625% 8/15/2006 | 65,000.00 | $67,945 | 3.10% | Finance - Investment Mgmt |
| International Lease Finance AIG                                  | 5.75% 10/15/2006 | 95,000.00 | $100,057 | 4.60% | Finance - Leasing Cos |
| Federal Home Loan Mtge Corp                                      | 3% 8/18/05, 5.25% 8/18/2009 | 100,000.00 | $100,780 | 4.60% | Finance - Mrtg & R.E. Service |
| Rockwell Automation Int'l                                        | 6.15% 1/15/2008 | 95,000.00 | $101,926 | 4.70% | Indstrl Automtn/Robotics |
| Lincoln National Insurance                                       | 7.25% 5/15/05 | 100,000.00 | $102,967 | 4.70% | Insurance - Life |
| American General Insurance                                       | 7.5% 8/11/10 | 90,000.00 | $105,344 | 4.90% | Insurance - Multi Line |
| Eaton Corp.                                                      | 6.95% 11/15/2004 | 85,000.00 | $85,666 | 4.00% | Machinery - Genrl Industrial |
| Amgen 6.5% 12/1/07                                               | call @> 100 or Make Whole +15 bps. 12/1/07 | 90,000.00 | $98,390 | 4.50% | Medical - Biomed/Genetics |
| WYETH                                                            | 7.90% 2/15/2005 | 75,000.00 | $76,423 | 3.50% | Medical - Drugs |
| Bristol Myers Squibb                                             | 4.75% 10/01/06 | 90,000.00 | $92,843 | 4.30% | Medical - Drugs |
| Pfizer Inc                                                       | 5.625% 2/01/06 | 100,000.00 | $104,390 | 4.80% | Medical - Drugs |
| Union Oil of California                                          | 7.20 5/15/05 | 100,000.00 | $103,127 | 4.80% | Oil & Gas - U S Explo & Prod |
| Tribune Company                                                  | 6.875% 11/01/06 | 45,000.00 | $48,225 | 2.20% | Publishing - Newspapers |
| Florida Power & Light (FPL)                                      | 6.875% 12/01/05 | 95,000.00 | $99,509 | 4.60% | Utility - Electric Power |
| PSI Energy 7.85% 10/15/07                                        | 1st Mtg Bond, 10/15/07 | 90,000.00 | $100,750 | 4.60% | Utility - Electric Power |
| Sempra Energy Credit Linked Note                                 | 6.95% 12/01/05 | 92,000.00 | $96,265 | 4.40% | Utility - Gas Distribution |
| Southwestern Bell Telephone                                      | 6.625% 7/15/07 | 95,000.00 | $103,192 | 4.80% | Utility - Telephone |
| Verizon Wireless Capital                                         | 5.375% 12/15/06 | 82,000.00 | $85,601 | 3.90% | Utility - Telephone |
|                                                             |   | TOTAL | $2,168,306 |   |   |
|                                                             |   |   |   |   |   |
|                                                             |
| **Saturna Investment Trust,Sextant        Bond Income Fund**     |
|                                                             |
| Corporate Bond                                                   | Maturity | Quantity | Market Value | Portfolio % | Industry |
| AutoZone Inc.                                                    | 5.50% 11/15/15 | 95,000.00 | $92,415 | 3.7% | Auto Parts - Replacement |
| Comerica Bank                                                    | 7.125% 12/01/2013 | 50,000.00 | $55,434 | 2.2% | Banks - Midwest |
| Norwest Financial Inc.                                           | 6.85% 7/15/2009 | 50,000.00 | $56,311 | 2.2% | Banks - Midwest |
| Chase Manhattan Corp. Sub Notes                                  | 7.125% 6/15/2009 | 50,000.00 | $56,234 | 2.2% | Banks - Money Center |
| Citicorp                                                         | 7.25% 10/15/2011 | 50,000.00 | $57,999 | 2.3% | Banks - Money Center |
| Masco Corporation                                                | 7.125% 8/15/13 | 60,000.00 | $67,570 | 2.7% | Buildg Prods - Miscellaneous |
| Lowe's Corp.                                                     | 8.25% 6/01/2010 | 50,000.00 | $60,109 | 2.4% | Buildg Prods - Retail/Whlsle |
| Air Products & Chemicals                                         | 8.75% 4/15/21 | 50,000.00 | $61,276 | 2.4% | Chemicals - Specialty |
| Koninlijke Phillips Electronics Crp                              | 7.25% 8/15/2013 | 50,000.00 | $57,535 | 2.3% | Electronics - Misc Products |
| Morgan Stanley Dean Witter Disc.                                 | 6.75 10/15/2013 | 50,000.00 | $55,977 | 2.2% | Finance - Investment Bkrs |
| Paine Webber Group                                               | 7.625% 2/15/2014 | 50,000.00 | $59,387 | 2.4% | Finance - Investment Bkrs |
| General Electric Capital Corp                                    | 8.125% 5/15/2012 | 60,000.00 | $72,836 | 2.9% | Finance - Leasing Cos |
| Federal Home Loan Mtge Corp                                      | 5% 8/09, 6.25% 8/14, 8% 8/26/19 | 100,000.00 | $102,040 | 4.1% | Finance - Mrtg & R.E. Service |
| Bear Stearns Co, Inc. Cpn Step-up                                | 3.5% 6/27/08, 5% 6/27/13 | 100,000.00 | $90,563 | 3.6% | Finance - Services |
| Hershey Foods Co.                                                | 6.95% 8/15/2012 | 50,000.00 | $57,428 | 2.3% | Food - Confectionery |
| Conagra Inc.                                                     | 7.875% 9/15/2010 | 50,000.00 | $58,518 | 2.3% | Food - Misc Preparation |
| Heinz H. J. Co.                                                  | 6.00% 3/15/2012 | 75,000.00 | $80,591 | 3.2% | Food - Misc Preparation |
| Federal National Mtge Assoc.                                     | 5% 4/10/15 | 100,000.00 | $100,081 | 4.0% | Housing |
| Allstate Corp.                                                   | 7.5% 6/15/2013 | 50,000.00 | $58,851 | 2.3% | Insurance - Multi Line |
| Progressive Corp.                                                | 7.00% 10/01/2013 | 75,000.00 | $84,378 | 3.4% | Insurance - Propt/Casul/Title |
| XL Capital (Europe)                                              | 6.50% 1/15/12 | 90,000.00 | $98,455 | 3.9% | Insurance - Propt/Casul/Title |
| Caterpillar INC                                                  | 9.375 8/15/2011 | 40,000.00 | $50,759 | 2.0% | Machinery - Const/Mining |
| Dover Corp.                                                      | 6.25% 6/01/2008 | 70,000.00 | $75,879 | 3.0% | Machinery - Genrl Industrial |
| Becton Dickinson Corp.                                           | 7.15% 10/1/2009 | 40,000.00 | $45,451 | 1.8% | Medical - Supplies |
| Baker Hughes Inc.                                                | 6.00% 2/15/09 | 70,000.00 | $75,566 | 3.0% | Oil & Gas - Field Services |
| Texaco Capital                                                   | 8.625% 6/30/2010 | 40,000.00 | $48,698 | 1.9% | Oil & Gas - Intl Integrated |
| Dayton Hudson Corp. (Target Stores)                              | 10.00% 01/01/2011 | 50,000.00 | $64,775 | 2.6% | Retail - Discount & Variety |
| Wal-Mart Stortes                                                 | 7.25% 6/01/2013 | 45,000.00 | $53,019 | 2.1% | Retail - Discount & Variety |
| May Dept. Stores Co.                                             | 8% 7/15/2012 | 50,000.00 | $58,943 | 2.3% | Retail - Major Dept Strs |
| GTE Corp.                                                        | 6.90% 11/01/2008 | 50,000.00 | $55,398 | 2.2% | Telecommunctns - Services |
| Southwest Airlines Co.                                           | 6.50% 3/01/12 | 75,000.00 | $81,453 | 3.2% | Transportation - Airline |
| US Freightways Corp.                                             | 8.50% 4/25/2010 | 50,000.00 | $58,860 | 2.3% | Transportation - Truck |
| US T Note                                                        | 5.50% 2/15/08 | 225,000.00 | $244,125 | 9.7% | U S Government |
| Commonwealth Edison Corp.                                        | 7.5% 7/01/2013 1st Mtge Bond | 50,000.00 | $59,135 | 2.4% | Utility - Electric Power |
| Sempra Energy Corp                                               | 7.95% 3/1/2010 | 50,000.00 | $58,465 | 2.3% | Utility - Gas Distribution |
|                                                             |   | TOTAL | $2,514,512 |   |   |
|                                                             |   |   |   |   |   |
|                                                             |
| **Saturna Investment Trust, Idaho        Tax-Exempt Fund**       |
|                                                             |
| Municipal Bond                                                   | Maturity | Quantity | Market Value | Portfolio % | Industry |
| Pocatello ID Dev Ath Rev Al Tax Inc                              | 5.15% due 3/1/2011 | 150,000 | $157,067 | 2.1% | Building - Resident/Commercl |
| Boise City ID Gen Fund Rev                                       | 5.20% 12/1/17 | 160,000 | $171,516 | 2.3% | Finance - Services |
| Boise City ID Gen Fund Rev                                       | 5.25% 12/01/18 | 100,000 | $108,525 | 1.5% | Finance - Services |
| Adams County ID GO                                               | 5.00% 8/01/2014 | 110,000 | $115,360 | 1.6% | General Obligations |
| Bannock Co. ID GO Jail                                           | 5.05% 9/1/2012 | 95,000 | $100,743 | 1.4% | General Obligations |
| Bannock Co. ID SD #25 Pocatello                                  | 5.20% 8/01/2014 | 100,000 | $108,115 | 1.5% | General Obligations |
| Bannock Co. ID SD #25 Pocatello                                  | 5.25% 8/01/2016 | 110,000 | $118,862 | 1.6% | General Obligations |
| Bingham Co. Id. SCD # 55 Blackfoot                               | 4.65% 8/1/2017 | 285,000 | $301,710 | 4.1% | General Obligations |
| Boise City ID ISD UTGO 1996                                      | 5.50% 7/30/2016 | 150,000 | $158,161 | 2.1% | General Obligations |
| Boise City ID ISD-Ref. Ada & Boise                               | 5.00 8/15/2014 | 100,000 | $110,535 | 1.5% | General Obligations |
| Boundary Co. ID SCD 101                                          | 5.10% 8/01/22 | 130,000 | $139,091 | 1.9% | General Obligations |
| Caldwell ID GO                                                   | 5.30% 5/15/2014 | 150,000 | $165,029 | 2.2% | General Obligations |
| Canyon Co. ID SD #134 Middleton                                  | 4.65% 7/31/2016 | 170,000 | $180,536 | 2.4% | General Obligations |
| Canyon Co. ID SD #135                                            | 6.00% 8/1/2007 | 50,000 | $50,027 | 0.7% | General Obligations |
| Cassia & Twin Falls ID JSD #151                                  | 5.375% 08/01/2013 | 85,000 | $89,335 | 1.2% | General Obligations |
| Cassia & Twin Falls ID JSD #151                                  | 5.375% 8/1/2015 | 75,000 | $78,765 | 1.1% | General Obligations |
| Clark Co. ID SD #161 Dubois                                      | 5% 8/1/15 | 270,000 | $293,563 | 4.0% | General Obligations |
| Kootenai Co. ID SD # 273                                         | 5% due 7/30/2016 | 70,000 | $73,178 | 1.0% | General Obligations |
| Kuna ID Sch/Comnty Lib. Dist                                     | 4.90% due 8/1/2013 | 75,000 | $79,988 | 1.1% | General Obligations |
| Lemhi County ID GO                                               | 4.20% 8/1/2015 | 100,000 | $102,835 | 1.4% | General Obligations |
| Meridian ID Free Library District                                | 5.00% 8/01/15 | 200,000 | $208,970 | 2.8% | General Obligations |
| Power & Cassia Cos ID JSD #381                                   | 5.25% 2/01/2012 American Falls | 60,000 | $66,226 | 0.9% | General Obligations |
| Teton County ID SD #401                                          | 5.50% due 8/1/2012 | 75,000 | $79,136 | 1.1% | General Obligations |
| Idaho Housing Agency                                             | 6.85% due 7/1/2012 | 20,000 | $20,234 | 0.3% | Housing |
| Idaho Housing Agency                                             | 6.15% due 7/1/2024 | 55,000 | $55,329 | 0.8% | Housing |
| Idaho Housing Agency                                             | 6.60% 7/1/2011 | 15,000 | $15,113 | 0.2% | Housing |
| Idaho State University Rev.'s                                    | 4.25% 4/01/21 | 225,000 | $216,815 | 2.9% | Housing |
| Valley County Id. Jail Project Ref.                              | 4.70% 8/1/2014 | 125,000 | $130,254 | 1.8% | Housing |
| Idaho Heath Fac. Holy Cross Rev Ref                              | 5.25% 12/1/2011 | 65,000 | $70,457 | 1.0% | Medical - Hospitals |
| Idaho Health Facs Auth Rev Ref.                                  | 5.25% 12/1/2014 | 110,000 | $118,955 | 1.6% | Medical - Hospitals |
| Idaho Health Facs Auth Corp                                      | 5.00% 12/1/2022 | 115,000 | $118,738 | 1.6% | Medical - Hospitals |
| Boise City ID Urb Re Agc Lease Rev                               | 5.875% 8/15/25 | 190,000 | $209,113 | 2.8% | Municipal Leases |
| Boise City ID Urb Ren Agy Pk Rev&RA                              | 5% 9/1/2012 | 65,000 | $70,178 | 1.0% | Real Estate - Development |
| Idaho State Building Association                                 | 5.05% 9/01/2018 | 95,000 | $101,452 | 1.4% | Real Estate - Development |
| Idaho State Building Authority                                   | 5% 9/1/2021 | 100,000 | $104,216 | 1.4% | Real Estate - Development |
| Jerome ID Urban Renewal District                                 | 5.40% 9/1/13 | 200,000 | $207,852 | 2.8% | Real Estate - Development |
| Payette ID L.I.D.# 89-1                                          | 7.60% 5/1/2005 | 30,000 | $30,047 | 0.4% | Roads |
| Post Falls ID L.I.D. #91-4                                       | 7.95% due 4/15/2005 | 20,000 | $20,036 | 0.3% | Roads |
| Post Falls ID L.I.D. #91-4                                       | 7.95% due 4/15/2006 | 20,000 | $20,023 | 0.3% | Roads |
| Post Falls ID L.I.D. #91-4                                       | 7.95% due 4/15/2007 | 20,000 | $20,023 | 0.3% | Roads |
| Ada & Canyon JSD #2 Meridian                                     | 5.50% 7/30/11 | 175,000 | $198,962 | 2.7% | Schools |
| Ada & Canyon JSD #2 Meridian                                     | 5.50% 7/30/2015 | 100,000 | $114,424 | 1.6% | Schools |
| Bannock Co. ID SD #25 Pocatello                                  | 4.90% 8/01/2009 | 90,000 | $95,695 | 1.3% | Schools |
| Boise Co. ID SD # 73 Horseshoe Bend                              | 5.15% 7/31/2010 | 125,000 | $132,545 | 1.8% | Schools |
| Boundary Co. ID SCD 101                                          | 4.05% 8/01/2015 | 200,000 | $203,237 | 4.3% | Schools |
| Canyon Co. ID SCD 139 Valley View                                | 4.05% 8/15/2016 | 80,000 | $80,215 | 1.1% | Schools |
| Idaho Housing & Finance Assoc.                                   | 4.80% 6/1/17 | 100,000 | $106,862 | 1.4% | Schools |
| Boise State Univ. ID Revs- Ref.                                  | 5.10% 4/1/2014 | 300,000 | $323,906 | 4.4% | State Education |
| Idaho State Building Authority                                   | 4.0% 9/01/2016 | 105,000 | $105,864 | 1.4% | State Education |
| Idaho State University Ref & Impt                                | 4.90% 4/1/2017 | 150,000 | $157,870 | 2.1% | State Education |
| University of Idaho                                              | 5.60% 4/1/2015 | 185,000 | $200,696 | 2.7% | State Education |
| University of Idaho Student Fee Rv.                              | 5.25% 4/01/2014 Elmwood Apts. | 120,000 | $131,778 | 1.8% | State Education |
| Troy ID Sewer System                                             | 7.70% due 2/1/2005 | 15,000 | $14,994 | 0.2% | Utilities - Sewer |
| Troy ID Sewer System                                             | 7.80% due 2/1/2006 | 15,000 | $15,014 | 0.2% | Utilities - Sewer |
| Troy ID Sewer System                                             | 7.90% due 2/1/2007 | 15,000 | $15,034 | 0.2% | Utilities - Sewer |
| Troy ID Sewer System                                             | 8.00% due 2/1/2008 | 15,000 | $15,044 | 0.2% | Utilities - Sewer |
| Troy ID Sewer System                                             | 8.00% due 2/1/2009 | 20,000 | $20,063 | 0.3% | Utilities - Sewer |
| Troy ID Sewer System                                             | 8.00% due 2/1/2010 | 20,000 | $20,079 | 0.3% | Utilities - Sewer |
| Idaho Falls ID Electric                                          | 6.75% due 4/1/2019 Revenue | 155,000 | $155,594 | 2.1% | Utility - Electric Power |
| Blackfoot Id. COP Series 2000                                    | 5.80% 9/01/2018 | 135,000 | $153,386 | 2.1% | Utility - Waste Mangmt |
| Moscow Idaho Sewer Rev.                                          | 4.125% 11/01/08 | 165,000 | $173,408 | 2.4% | Utility - Waste Mangmt |
| Ketchum ID Water Rev                                             | 4.75% 9/1/2013 | 60,000 | $63,727 | 0.9% | Utility - Water Supply |
| McCall ID Water System                                           | 6.25% 9/1/2008 | 200,000 | $215,776 | 2.9% | Utility - Water Supply |
| McCall ID Water System                                           | 6.375% due 9/1/2014 | 70,000 | $74,517 | 1.0% | Utility - Water Supply |
|                                                             |   | TOTAL | $7,374,795 |   |   |
|                                                             |   |   |   |   |   |
|                                                             |
| **Saturna Investment Trust,Sextant        Growth Fund**          |
|                                                             |
| Common Stock                                                     |   | Quantity | Market Value | Portfolio % | Industry |
| Harman International Industries                                  |   | 1,500 | $145,035 | 3.1% | Audio/Video Home Products |
| Frontier Financial                                               |   | 4,000 | $138,800 | 3.0% | Banks - West |
| Washington Mutual                                                |   | 6,750 | $262,035 | 5.6% | Banks - West |
| PepsiCo                                                          |   | 2,000 | $100,000 | 2.1% | Beverages - Soft Drink |
| Lowe's Companies                                                 |   | 4,000 | $198,800 | 4.2% | Buildg Prods - Retail/Whlsle |
| Weyerhaeuser                                                     |   | 2,000 | $125,020 | 2.7% | Buildg Prods - Wood |
| Convergys                                                        |   | 4,000 | $55,600 | 1.2% | Business Services |
| Earthlink                                                        |   | 12,000 | $120,120 | 2.6% | Computer - Internet |
| 3Com                                                             |   | 16,000 | $72,160 | 1.5% | Computer - Local Networks |
| Apple Computer                                                   |   | 7,000 | $241,430 | 5.1% | Computer - Mini/Micro |
| Hewlett-Packard                                                  |   | 4,000 | $71,560 | 1.5% | Computer - Mini/Micro |
| Adobe Systems                                                    |   | 4,800 | $220,176 | 4.7% | Computer - Software |
| Intuit                                                           |   | 3,000 | $126,870 | 2.7% | Computer - Software |
| Oracle                                                           |   | 8,000 | $79,760 | 1.7% | Computer - Software |
| Phoenix Technologies                                             |   | 3,062 | $16,504 | 0.4% | Computer - Software |
| Agilent Technologies                                             |   | 4,000 | $82,000 | 1.7% | Elec Components - Misc |
| Advanced Micro Devices                                           |   | 10,000 | $114,300 | 2.4% | Elec Components - Semicondtrs |
| Schwab (Charles)                                                 |   | 20,415 | $192,922 | 4.1% | Finance - Investment Bkrs |
| Performance Food Group                                           |   | 3,000 | $66,000 | 1.4% | Food Items - Wholesale |
| Westcoast Hospitality                                            |   | 20,000 | $96,000 | 2.0% | Hotels & Motels |
| Trimble Navigation                                               |   | 4,500 | $123,930 | 2.6% | Instruments - Elec Measuring |
| Regal-Beloit                                                     |   | 2,000 | $44,120 | 0.9% | Machinery - Tools & Rel Prods |
| Affymetrix                                                       |   | 3,000 | $83,400 | 1.8% | Medical - Biomed/Genetics |
| Amgen                                                            |   | 2,640 | $156,526 | 3.3% | Medical - Biomed/Genetics |
| Ligand Pharmaceuticals                                           |   | 5,000 | $49,150 | 1.0% | Medical - Biomed/Genetics |
| Bristol-Myers Squibb                                             |   | 4,500 | $106,785 | 2.3% | Medical - Drugs |
| Lilly (Eli)                                                      |   | 2,000 | $126,700 | 2.7% | Medical - Drugs |
| Pharmaceutical Product Development                               |   | 9,000 | $305,550 | 6.5% | Medical - Drugs |
| Barr Laboratories                                                |   | 4,500 | $176,715 | 3.8% | Medical - Generic Drugs |
| Caremark Rx                                                      |   | 4,000 | $114,800 | 2.4% | Medical - Hlth Maint Orgs |
| Alcoa                                                            |   | 3,000 | $97,140 | 2.1% | Metal Ores - Non Ferrous |
| Phelps Dodge                                                     |   | 1,330 | $108,608 | 2.3% | Metal Ores - Non Ferrous |
| Noble                                                            |   | 3,000 | $120,660 | 2.6% | Oil & Gas - Offshore Drillng |
| Wiley (John) & Sons, Cl A                                        |   | 3,400 | $108,494 | 2.3% | Publishing - Books |
| Dow Jones & Co                                                   |   | 1,200 | $49,260 | 1.0% | Publishing - Newspapers |
| Bed Bath & Beyond                                                |   | 3,000 | $112,260 | 2.4% | Retail - Misc/Diversified |
| Sprint                                                           |   | 1,300 | $25,584 | 0.5% | Telecommunctns - Services |
| FPL Group                                                        |   | 2,200 | $152,240 | 3.2% | Utility - Electric Power |
| IDACORP                                                          |   | 4,000 | $116,520 | 2.5% | Utility - Electric Power |
|                                                             |   | TOTAL | $4,703,533 |   |   |
|                                                             |   |   |   |   |   |
|                                                             |
| **Saturna Investment Trust,Sextant        International Fund**   |
|                                                             |
| Common Stock/ADR/ADS                                             |   | Quantity | Market Value | Portfolio % | Industry |
| Embraer Aircraft ADR                                             |   | 1,713 | $45,395 | 2.8% | Aerospace - Aircraft |
| Sony ADS                                                         |   | 1,000 | $34,670 | 2.1% | Audio/Video Home Products |
| Desc SA ADR                                                      |   | 4,500 | $25,650 | 1.6% | Auto Parts - Retail/Whlsle |
| Nissan Motor ADR                                                 |   | 2,000 | $43,600 | 2.7% | Auto/Truck - Mfg Foreign |
| AXA ADS                                                          |   | 3,000 | $61,650 | 3.8% | Banks - Foreign |
| Banco Bilbao Vizcaya Argentaria ADS                              |   | 1,800 | $24,120 | 1.5% | Banks - Foreign |
| Toronto-Dominion Bank                                            |   | 1,400 | $48,692 | 3.0% | Banks - Foreign |
| Allied Domecq plc                                                |   | 1,200 | $38,808 | 2.4% | Beverages - Alcoholic |
| Coca-Cola Femsa ADS                                              |   | 1,500 | $30,570 | 1.9% | Beverages - Soft Drink |
| British Sky Broadcasting ADS                                     |   | 450 | $15,660 | 1.0% | Broadcasting - Cable TV |
| CRH plc ADS                                                      |   | 2,000 | $45,500 | 2.8% | Building - Cement/Concrete/Ag |
| Hanson plc ADS                                                   |   | 1,100 | $37,697 | 2.3% | Building - Cement/Concrete/Ag |
| James Hardie Inds NV ADS                                         |   | 1,000 | $19,210 | 1.2% | Building - Resident/Commercl |
| SINA                                                             |   | 1,200 | $24,996 | 1.5% | Computer - Internet |
| Business Objects SA ADS                                          |   | 6,000 | $111,480 | 6.8% | Computer - Software |
| Dassault Systems SA ADR                                          |   | 1,000 | $43,010 | 2.6% | Computer - Software |
| Epcos AG ADS                                                     |   | 2,500 | $37,825 | 2.3% | Elec Components - Misc |
| Potash Corp of Saskatchewan                                      |   | 1,000 | $55,520 | 3.4% | Fertilizers |
| Fairmont Hotels & Resorts                                        |   | 1,100 | $29,689 | 1.8% | Hotels & Motels |
| Aegon NV                                                         |   | 2,239 | $24,047 | 1.5% | Insurance - Multi Line |
| ING Groep NV ADS                                                 |   | 1,487 | $36,342 | 2.2% | Insurance - Multi Line |
| GlaxoSmithKline plc ADR                                          |   | 400 | $16,456 | 1.0% | Medical - Drugs |
| Novartis AG ADR                                                  |   | 1,000 | $46,450 | 2.8% | Medical - Drugs |
| Serono SA ADR                                                    |   | 2,000 | $31,860 | 1.9% | Medical - Drugs |
| Rio Tinto plc ADS                                                |   | 500 | $50,800 | 3.1% | Metal Ores - Misc |
| Canon ADS                                                        |   | 1,000 | $47,970 | 2.9% | Office Automation |
| EnCana                                                           |   | 1,000 | $41,100 | 2.5% | Oil & Gas - Canadn Integrated |
| Repsol YPF SA ADS                                                |   | 2,000 | $41,480 | 2.5% | Oil & Gas - Intl Integrated |
| Total Fina Elf ADS                                               |   | 500 | $48,995 | 3.0% | Oil & Gas - Intl Integrated |
| Metso ADS                                                        |   | 2,100 | $27,258 | 1.7% | Paper & Paper Products |
| UPM-Kymmene Oyj ADS                                              |   | 2,000 | $38,580 | 2.4% | Paper & Paper Products |
| Fuji Photo Film ADR                                              |   | 400 | $12,632 | 0.8% | Photo Equipment & Suppls |
| America Movil ADR                                                |   | 2,000 | $68,500 | 4.2% | Telecommunctns - Cellular |
| BCE                                                              |   | 1,600 | $33,312 | 2.0% | Telecommunctns - Services |
| SK Telecom ADS                                                   |   | 1,500 | $28,350 | 1.7% | Telecommunctns - Services |
| LAN Airlines SA                                                  |   | 3,500 | $76,825 | 4.7% | Transportation - Airline |
| Canadian Pacific Railway Ltd                                     |   | 1,200 | $30,540 | 1.9% | Transportation - Rail |
| Enel SpA ADS                                                     |   | 800 | $31,104 | 1.9% | Utility - Electric Power |
| Enersis SA ADS                                                   |   | 4,000 | $26,480 | 1.6% | Utility - Electric Power |
| Korea Electric Power ADS                                         |   | 2,000 | $20,080 | 1.2% | Utility - Electric Power |
| Transport de Gas del Sur S.A. ADS                                |   | 1,500 | $6,450 | 0.4% | Utility - Gas Distribution |
| PT Indosat ADR                                                   |   | 1,000 | $22,280 | 1.4% | Utility - Telephone |
| Telefonica SA ADS                                                |   | 586 | $25,151 | 1.5% | Utility - Telephone |
| Telefonos de Mexico, Cl L ADS                                    |   | 1,000 | $32,390 | 2.0% | Utility - Telephone |
|                                                             |   | TOTAL | $1,639,174 |   |   |

 

**Item 2. Controls and Procedures**

Internal control over financial reporting is under thesupervision  of the principal executive and financial officers. On July 6, 2004, Mr.Nicholas  Kaiser (President) and Mr. Christopher Fankhauser (Treasurer), reviewed the  internal control procedures for Saturna Investment Trust and found themreasonable  and adequate.

**Item 3. Exhibits**

Certification of Principal Executive Officer and PrincipalFinancial  Officer of the Registrant as required by Rule 30a-2(a) under the Investment  Company Act of 1940 (17 CFR 270.30a-2(a)) is attached hereto as Exhibit99CERT.

 

 

 

**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.

SATURNA INVESTMENT TRUST

By:  /s/ *Nicholas Kaiser*  Nichola Kaiser, President   Date: October 27, 2004

  Pursuant to the requirements of the Securities Exchange Act of 1934 and the  Investment Act of 1940, this report has been signed below by the followingpersons  on behalf of the registrant and in the capacities and on the datesindicated.

By:  /s/ *Nicholas Kaiser*  Nicholas Kaiser, President   Date: October 27, 2004  By:  /s/*Christopher Fankhauser*  Christopher Fankhauser, Treasurer   Date: October 27, 2004