<PAGE>
SEMI-ANNUAL REPORT
[Graphic] REPUBLIC FAMILY
OF FUNDS
April 30, 2000
INVESTOR SHARES
Republic New York Tax-Free Bond Fund
Republic Equity Fund
Republic Bond Fund
Republic Overseas Equity Fund
Republic Opportunity Fund
ADVISER SHARES
Republic New York Tax-Free Bond Fund
Republic Equity Fund
Republic Fixed Income Fund
Republic International Equity Fund
Republic Small Cap Equity Fund
HSBC [Logo]
YOUR WORLD OF FINANCIAL SERVICES
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TABLE OF CONTENTS
REPUBLIC FUNDS
REPUBLIC ADVISOR FUNDS TRUST
SEMI-ANNUAL REPORT-APRIL 30, 2000
<TABLE>
<S> <C>
President's Message........................................................ 1
Commentary From the Investment Manager..................................... 2
Portfolio Reviews.......................................................... 4
Republic New York Tax-Free Bond Fund.......................................10
Republic Equity Fund.......................................................18
Republic Bond Fund.........................................................26
Republic Overseas Equity Fund..............................................31
Republic Opportunity Fund..................................................36
Republic Fixed Income Fund.................................................41
Republic International Equity Fund.........................................44
Republic Small Cap Equity Fund.............................................47
Notes to Financial Statements..............................................50
REPUBLIC PORTFOLIO TRUST
Republic Fixed Income Portfolio............................................57
Republic International Equity Portfolio....................................66
Republic Small Cap Equity Portfolio........................................73
Notes to Financial Statements..............................................79
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PRESIDENT'S MESSAGE
DEAR SHAREHOLDER:
We are pleased to present you with the semi-annual reports for the Republic
Family of Funds for the six months ended April 30, 2000. The report contains the
following features:
Commentary From the Investment Manager
Portfolio Reviews--investment strategy, performance overview and outlook
for the coming months
Schedules of Portfolio Investments--listing of the security holdings in
each fund
Statements of Assets and Liabilities--summary of the assets and liabilities
of each fund
Statements of Operations--summary of operations and its effect on the
assets of each fund
Statements of Changes in Net Assets--summary of changes in net assets
during the period
Financial Highlights--per share summary of activity affecting net asset
value per share
Notes to Financial Statements
Finally, we thank you for your continued confidence in us. We look forward to
providing you with investment management services to meet your needs now and in
the years ahead.
Sincerely,
/s/ Walter B. Grimm
Walter B. Grimm
President
June 2000
1
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COMMENTARY FROM THE INVESTMENT MANAGER
HSBC BANK USA
U.S. ECONOMIC REVIEW
The U.S. economy during the six-month period ended April 30, 2000, remained
strong, driven by increases in worker productivity and strong consumer spending.
In fact, the economy's 109-month expansion through April marks the longest
period of economic growth in our country's history. The Gross Domestic
Product(1) during the second half of 1999 grew an annualized 6.5%, well above
the Federal Reserve Board's (the "Fed's") targeted growth rate of 3.0% to 3.5%.
The Fed worried that such strong growth, rising energy prices and a tight labor
market could lead to a spike in inflation. Those concerns seemed justified: the
Consumer Price Index(2) rose 0.4% in March, excluding the volatile food and
energy sectors. That was the index's highest monthly increase in five years.
The Fed raised the federal funds rate three times during the period in an
attempt to forestall inflation, for a total increase of three-quarters of a
percentage point.
GLOBAL ECONOMIC REVIEW
The global economy continued to rebound from the worldwide financial crisis of
1998, with productivity improvements, high consumer confidence and strong
corporate profits driving growth in foreign economies and the United States.
Growth in Europe has been steady, and the Japanese economy appears capable of
sustaining its recent rebound. Emerging markets in South America and the Pacific
Rim increased their industrial production to fill growing demand from developed
economies, and some emerging economies have grown rapidly. Central banks around
the world have raised interest rates to forestall inflation, although inflation
so far has remained tame. We are optimistic about the prospects for global
growth going forward. However, there is a chance that continued strength in the
U.S. dollar and weakness in the euro could lead to inflation, potentially
threatening global economies.
MARKET ENVIRONMENT
The first half of the recent fiscal six-month period saw technology stocks
dramatically outperform all other sectors. The strong performance of the
technology sector led growth to outperform value during the period. The Russell
1000 Growth Index(3) returned 10.90% for the three-month period ended January
31, 2000, compared to a -3.56% return for the Russell 1000 Value Index.(4)
Small-cap stocks, as measured by the Russell 1000 Growth Index, rebounded from
their underperformance of the past several years to achieve a 7.05% return for
this three-month period, beating that of large-caps. That turnaround was fueled
almost entirely by small-cap technology stocks.
The second half of the fiscal period began much as the first half had ended:
strong performance by technology stocks, with mediocre returns from most other
sectors. The market shifted during March, however, as investors began to pay
more attention to stock valuations. That shift caused the tech-heavy NASDAQ
Composite Index(5)--which on March 9 closed above 5,000 for the first time--to
fall 36% between March 10 and April 14. Small-caps were hurt by the shift in
investor sentiment toward the end of the period but nonetheless outperformed
large caps.
Non-U.S. markets started the Fund's fiscal six-month period with very strong
returns: The Morgan Stanley Capital International EAFE Index(6) gained 12.80% in
the first two months ended December 31, 1999. As in the United States, those
gains were powered by strong returns from technology stocks. International
markets cooled off in the latter part of the fiscal period, however, returning
only 6.84%, as measured by the MSCI EAFE Index, in U.S. dollar terms for the six
months ended April 30, 2000. That compared to a 7.26% return, as measured by the
S&P 500 Stock Index,(7) in the U.S. market. The slump in global markets
reflected resurgence in the strength of the dollar, as well as technology
stocks' fall from their rich valuations.
--------------------------------------------------------------------------------
(1) The Gross Domestic Product is the measure of the market value of the goods
and services produced by labor and property in the United States.
(2) The Consumer Price Index is a measure of the average change in prices over
time in a fixed market basket.
(3) The Russell 1000 Growth Index is an unmanaged index which contains those
securities in the Russell 1000 Index with a greater-than-average growth
orientation. Companies in this index tend to exhibit higher price-to-book and
price-to-earnings ratios, lower dividend yields and higher forecasted growth
rates.
(4) The Russell 1000 Value Index is an unmanaged index comprised of the
securities in the Russell 1000 Index with a less-than-average growth
orientation. Companies in this index generally have low price-to-book and
price-to-earnings ratios, higher dividend yields and lower forecasted growth
values.
(5) NASDAQ Composite Index is a market capitalization price-only index that
tracks the performance of domestic common stocks traded on the regular NASDAQ
market as well as the National Market System traded foreign common stocks and
ADR's.
(6) Morgan Stanley Capital International (MSCI) Europe, Australasia and (EAFE)
Far East Index is an unmanaged index that measures performance of a diverse
range of developed countries in the indicated regions.
(7) The Standard & Poor's 500 Stock Index is an unmanaged index generally
representative of the U.S. stock market as a whole. Investors cannot invest
directly in an index, although they can invest in the underlying securities.
2
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COMMENTARY FROM THE INVESTMENT MANAGER - CONTINUED
HSBC BANK USA
U.S. fixed-income yields climbed during most of the six-month period ended April
30, 2000, pushing bond prices down. The Fed's three interest rate hikes led
investors to sell short-term securities, causing short-term issues to
underperform longer-term bonds. Yields on long-term bonds did rise, but not as
dramatically as short-term issues. That environment led to an unusual inverted
yield curve, in which yields on short- and intermediate-term bonds surpassed
yields on long-term bonds.
The spread between U.S. corporate bonds and Treasury bonds widened during the
fiscal period for two reasons: first, the Treasury initiated a program to buy
back long-term debt, reducing supply. Second, volatility in the bond market has
increased investor demand for Treasury securities. For the six-month period,
yields on 3-month Treasury bills rose 73 basis points; yields on 5-year Treasury
notes rose 60 basis points; and yields on 30-year Treasury bonds declined by 20
basis points.
3
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PORTFOLIO REVIEWS
REPUBLIC NEW YORK TAX-FREE BOND FUND'D'
(CLASS A (INVESTOR) SHARES, B, C AND Y (ADVISER) SHARES)
BY PETER J. LOFTUS
PORTFOLIO MANAGER
HSBC BANK USA
The Republic New York Tax-Free Bond Fund (the "Fund") delivered a total return
of 3.04% (without maximum sales charge)(1) for Class A (Investor) Shares and
3.27% for Class Y (Adviser) Shares during the six-months ended April 30, 2000.
That compares to a 2.36% return for the Fund's benchmark, the Lipper N.Y.
Municipal Bond Funds Average.(2)
Interest rates rose throughout much of the period. The Federal Reserve Board
(the "Fed") continued to raise short-term interest rates in an effort to slow
the economy and head off rising inflation. Nevertheless, while the Fed boosted
rates three times during the period, the U.S. economy continued to grow at an
extremely rapid pace--therefore, we feel that further rate hikes are likely.
On the positive side, the municipal bond market experienced relatively low
levels of supply and met with moderate demand from investors looking to protect
their stock market profits. However, the municipal bond market, as well as the
overall bond market, performed poorly in the rising rate environment. Long-term
municipal bonds underperformed comparable Treasury securities, in part because
the U.S. Treasury department's buyback of long-term Treasuries helped bolster
those issues' performance.
The Fund's duration for most of the period remained shorter than that of its
benchmark index. We believe that approach helped the Fund's performance as rates
rose. By March, however, we felt that long-term municipal bonds were
attractively priced relative to Treasuries. We therefore purchased municipal
bonds with relatively long maturities, and the Fund finished the period with
duration roughly neutral to the duration of its benchmark.
We took advantage of periods of weakness in the bond market to sell lower-rated
bonds and bonds with poor call features at a loss, therefore improving the
Fund's tax efficiency, and replaced those holdings with high-quality issues. The
average credit rating of the Fund's portfolio rose from A1 to AA during the
period. The minimal extra yield available on lower-rate securities did not
justify the additional risk inherent in such securities. In our opinion, that
tactic also benefited the Fund's performance, as investors favored high-quality
issues during the period.*
Going forward, we expect the economy to continue to grow rapidly, forcing the
Fed to raise short-term interest rates a few more times this year to cool the
economy. We anticipate that bonds will continue to come under pressure in that
environment. We also believe that the Fed will adopt a less restrictive policy
by the end of the year, and muni yields will start falling. When the time comes,
we will extend the Fund's duration to take advantage of such a decline.
Meanwhile, we will continue to invest in securities with good credit quality.
--------------------------------------------------------------------------------
THE PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND IS NOT AN INDICATION
OF FUTURE RESULTS. THE INVESTMENT RETURN AND NET ASSET VALUE WILL FLUCTUATE SO
THAT AN INVESTOR'S SHARES, WHEN REDEEMED, MAY BE WORTH MORE OR LESS THAN THEIR
ORIGINAL COST.
'D' A fund's income may be subject to certain state and local taxes and,
depending on your tax status, the federal alternative minimum tax. Regional
funds may be subject to additional risks, since the issues they invest in are
located in one geographical location.
(1) With the maximum sales charge of 2.75%, the Fund's return for the period
was 0.16%. Class A (Investor) Shares bear ongoing shareholder services fees of
0.25% of the daily net assets of Class A (Investor) Shares. The Class A
(Investor) Share expenses are reflected in the performance data. The total
return set forth reflects the waiver and reimbursement of a portion of the
Fund's fees. Without waivers of fees, total return for the period would have
been lower. Class A (Investor) Shares commenced operations on May 1, 1995.
(2) The Lipper N.Y. Municipal Bond Funds Average is an average of managed
funds that invest at least 65% of their assets in municipal debt issues that
are exempt from taxation in New York or a city in New York. Lipper is an
independent mutual fund performance monitor whose results are based on total
return and do not reflect a sales charge. Investors cannot invest directly in
an index, although they can invest in its underlying securities.
*Portfolio composition is subject to change.
4
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PORTFOLIO REVIEWS
REPUBLIC EQUITY FUND (CLASS A (INVESTOR) SHARES, B, C AND Y (ADVISER) SHARES)
BY JOHN L. BLUNDIN
PORTFOLIO MANAGER
ALLIANCE CAPITAL MANAGEMENT L.P. AND HSBC BANK USA
The Republic Equity Fund (the "Fund") seeks to provide its shareholders with
long-term growth of capital and income without excessive fluctuations in market
value. The Fund invests at least 65% of its assets in equity securities of
seasoned mid-sized and large companies that are expected to show above-average
price appreciation. The Fund employs two sub-advisers to achieve its investment
objective. Each sub-adviser pursues a different investment style.
Alliance Capital Management, L.P. pursues a growth style of investing, focusing
on investing in financially secure firms that have established operating
histories and are proven leaders in their industries or market sectors. These
companies may possess characteristics such as participation in expanding
markets, increasing unit sales volume, growth in revenues and earnings per share
or increasing return on investments.
Effective March 15, 2000, the Fund changed sub-advisers for the value portion of
the portfolio from Brinson Partners, Inc. to Institutional Capital Corporation.
Institutional Capital Corporation pursues a value style of investing, focusing
on shares of companies that are undervalued relative to the stock market as a
whole. The firm employs a fundamentals-based, bottom-up stock-picking method to
find these companies.
The Class A (Investor) Shares of the Republic Equity Fund returned 0.84%
(without maximum sales charge)(1) during the six-months ended April 30, 2000.
The Lipper Growth Funds Index(2) returned 15.78% for the same period.
The Growth portion of the Fund's portfolio posted a total return of 14.64%
(without deducting expenses) for the six-month period ended April 30, 2000. The
Standard & Poor's 500 Stock Index(3) returned 7.18%, and the Russell 1000 Growth
Index(4) returned 18.72% for the same period.
Among growth-oriented stocks, the Fund owned shares of dominant companies with
strong fundamentals, compelling valuations and strong management teams in
high-growth industries or segments of the economy. Such companies included Cisco
Systems, Inc. (3.74% of the Fund's net assets) in the technology sector and
Citigroup, Inc. (3.83%) in the financial services sector.*
The value portion of the Fund's portfolio returned -10.63% (without deducting
expenses) for the period ended April 30, 2000. That compared to a -0.99% return
for the Russell 1000 Value Index.(5)
Investors virtually ignored value-oriented shares early in the period, when
technology stocks dominated the market. However, the technology sector in March
became extremely volatile, and investors shifted assets into shares of companies
with more modest valuations. That shift boosted the performance of the Fund's
value-oriented holdings, particularly during April when Institutional Capital
overweighted Consumer Durables and engaged in advantageous stock selection in
this sector as well as in Financials and Consumer Staples. However, earlier
decisions to underweight computer and electronic equipment firms along with
brokerage firms proved overpowering.
--------------------------------------------------------------------------------
THE PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND IS NOT AN INDICATION
OF FUTURE RESULTS. THE INVESTMENT RETURN AND NET ASSET VALUE WILL FLUCTUATE SO
THAT AN INVESTOR'S SHARES, WHEN REDEEMED, MAY BE WORTH MORE OR LESS THAN THEIR
ORIGINAL COST.
(1) With the maximum sales charge of 3.50%, the Fund's return for the period was
-2.69%. Class A (Investor) Shares bear ongoing shareholder services fees of
0.25% of the daily net assets of Class A (Investor) Shares. The Class A
(Investor) Share expenses are reflected in the performance data. Class A
(Investor) Shares commenced operations on August 1, 1995.
(2) The Lipper Growth Funds Index is comprised of managed funds that normally
invest in companies with long-term earnings expected to grow significantly
faster than the earnings of the stocks represented in the major unmanaged stock
indices. Lipper is an independent mutual fund performance monitor whose results
are based on total return and do not reflect a sales charge.
(3) The Standard & Poor's 500 Stock Index is an unmanaged index generally
representative of the U.S. stock market as a whole.
(4) The Russell 1000 Growth Index is an unmanaged index comprised of the
securities in the Russell 1000 Index with a greater-than-average growth
orientation. Companies in this index tend to exhibit higher price-to-book and
price-to-earnings ratios, lower dividend yields and higher forecasted growth
rates.
(5) The Russell 1000 Value Index is an unmanaged index comprised of the
securities in the Russell 1000 Index with a less-than-average growth
orientation. Companies in this index generally have low price-to-book and price-
to-earnings ratios, higher dividend yields and lower forecasted growth values.
The performance of these indices does not reflect the deduction of expenses
associated with a mutual fund, such as investment management and fund accounting
fees. The Fund's performance reflects the deduction of fees for these value-
added services. Investors cannot invest directly in an index, although they
can invest in the underlying securities.
* Portfolio composition is subject to change.
5
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PORTFOLIO REVIEWS
REPUBLIC BOND FUND (CLASS A (INVESTOR), B AND C SHARES)
REPUBLIC FIXED INCOME FUND
BY KENNETH B. DUNN
PORTFOLIO MANAGER
MILLER ANDERSON & SHERRERD
The Republic Bond Fund and the Republic Fixed Income Fund (the "Funds") seek to
provide their investors with above-average total return, consistent with
reasonable risk, through investments in a diversified portfolio of fixed-income
securities. The Funds utilize a two-tier structure, commonly known as
"master-feeder," in which the Republic Bond Fund and the Republic Fixed Income
Fund (the "Feeder Funds") invest all of their investable assets in the Republic
Fixed Income Portfolio (the "Master Fund").
The Republic Fixed Income Portfolio (the "Portfolio") invests primarily in
fixed-income instruments such as U.S. Government securities, corporate debt
securities and commercial paper, mortgage-backed and asset-backed securities and
similar securities issued by foreign governments and corporations. The Portfolio
employs Miller Anderson & Sherrerd as sub-adviser.
During the six months ended April 30, 2000, the Class A (Investor) Shares of the
Republic Bond Fund returned 0.89% (without maximum sales charge),(1) and the
shares of the Republic Fixed Income Fund produced a 1.23% return. The Funds'
benchmarks, the Salomon Brothers Broad Investment-Grade Bond Index(2) and the
Lipper Corporate Debt Funds A-Rated Average,(3) returned 1.42% and 0.73%,
respectively.
The Fed worried that strong economic growth would lead to higher inflation and
therefore raised the federal funds rate three times during the period. Those
rate hikes caused yields to rise, especially on short and intermediate-term
bonds. That environment led to an unusual inverted yield curve, in which the
yields on some intermediate-term issues were higher than yields on long-term
bonds. The spread between yields on corporate bonds and Treasury bonds widened
during the period.
We kept the Portfolio underweight in Treasury securities. We believe that, over
time, investors benefit from the higher yields on corporate and mortgage-backed
securities. That long-term approach hurt the Portfolio's performance during the
period because Treasuries outperformed other fixed-income securities. Agency
issues in particular underperformed during the period as investors grew
concerned that Congress would revoke some privileges enjoyed by
government-chartered companies such as Fannie Mae and Freddie Mac. We took
advantage of those agencies' weakness to increase the Fund's agency position
from 0% at the beginning of the period to 18% as of April 30, 2000.*
We kept the Portfolio's average maturity slightly longer than that of its
benchmark to help lock in additional yield for shareholders. The average
maturity of the Portfolio began the period at 12.17 years and ended the period
at 12.84 years. That relatively long average maturity helped to provide a 30-day
SEC yield of 6.89% for the Republic Fixed Income Fund and 6.32% for the Republic
Bond Fund as of April 30, 2000. We retained the Portfolio's high credit quality
of AA+.*
We expect the next several months to be difficult for the bond market. In our
opinion, the Fed will likely raise rates between 50 and 100 basis points during
the next six months in order to slow the economy and hold off inflation. Such
rate hikes could hurt bond performance, especially among short- and
intermediate-term bonds. Therefore, we have underweighted the short end of the
yield curve to help protect shareholders from the Fed's anticipated rate
increases. However, we think the Fed's strong anti-inflationary stance bodes
well for fixed-income investments in the long term.
--------------------------------------------------------------------------------
THE PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND IS NOT AN INDICATION
OF FUTURE RESULTS. THE INVESTMENT RETURN AND NET ASSET VALUE WILL FLUCTUATE SO
THAT AN INVESTOR'S SHARES, WHEN REDEEMED, MAY BE WORTH MORE OR LESS THAN THEIR
ORIGINAL COST.
(1) With the maximum sales charge of 2.75%, the Fund's return for the period was
-1.92% Class A (Investor) Shares. Class A (Investor) Shares bear ongoing
shareholder services fees of 0.25% of the daily net assets of Class A (Investor)
Shares. The Class A (Investor) Share expenses are reflected in the performance
data. The total return set forth reflects the waiver and reimbursement of a
portion of the Fund's fees. With-out waivers of fees, total return for the
period would have been lower. Class A (Investor) Shares commenced operations on
August 26, 1996.
(2) The Salomon Brothers Broad Investment-Grade Bond Index is an unmanaged
market capitalization-weighted index that includes fixed-rate Treasury,
government-sponsored, corporate and mortgage securities. All issues mature in
one year or more and have at least $50 million face amount outstanding for entry
into the index. The index does not reflect the deduction expenses associated
with a mutual fund, such as investment management and fund accounting fees. The
Fund's performance reflects the deduction of fees for these value-added
services.
(3) The Lipper Corporate Debt Funds A-Rated Average is an average of funds that
invest at least 65% of their assets in corporate debt issues rated "A" or better
or government issues. Lipper is an independent mutual fund performance monitor
whose results are based on total return and do not reflect a sales charge.
Investors cannot invest directly in an index, although they can invest in its
underlying securities.
* Portfolio composition is subject to change.
6
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PORTFOLIO REVIEWS
REPUBLIC OVERSEAS EQUITY FUND'D' (CLASS A (INVESTOR), B AND C SHARES)
REPUBLIC INTERNATIONAL EQUITY FUND
BY DAVID FISHER
PORTFOLIO MANAGER
CAPITAL GUARDIAN TRUST COMPANY
The Republic Overseas Equity Fund and the Republic International Equity Fund
(the "Funds") seek to provide their shareholders with long-term growth of
capital and future income by investing primarily in securities of non-U.S.
issuers and securities of issuers whose principal markets are outside of the
United States. The Funds employ a two-tier fund structure, known as
"master-feeder," in which the Republic Overseas Equity Fund and the Republic
International Equity Fund (the "Feeder Funds") invest all of their investable
assets in the Republic International Equity Portfolio (the "Master Fund").
The Republic International Equity Portfolio (the "Portfolio") invests primarily
in equity securities of companies organized and domiciled in developed nations
outside the United States, or for which the principal trading market is outside
the United States, including Europe, Canada, Australia and the Far East. The
Portfolio employs Capital Guardian Trust Company (the "Sub-Adviser") as
sub-adviser.
The Class A (Investor) Shares of the Republic Overseas Equity Fund returned
22.81% (without maximum sales charge)(1), and the shares of the International
Equity Fund returned 23.91% for the six-month period ended April 30, 2000. That
compares to 6.72% and 13.57% gains for their benchmarks, the MSCI EAFE Index(2)
and the Lipper International Funds Index(3), respectively.
The global economic recovery boosted investor confidence in international stock
markets, especially emerging markets, during the period. The international
equity markets also benefited from substantial gains in the technology sector.
The Sub-Adviser's research-driven approach to investing is based on extensive
field research and direct company contact. That work led to strong stock
selections during the period in telecommunications, capital equipment and
emerging market blue-chip stocks. We found substantial opportunities in Taiwan,
Korea and Finland as well as Canada.*
We anticipate that the global economic recovery should continue, bringing
further opportunities for international stocks to perform well. We will continue
to focus on technology, telecommunications and consumer goods stocks going
forward. We will also maintain some focus on emerging markets as they become an
integral and influential component of the global economy.
--------------------------------------------------------------------------------
THE PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND IS NOT AN INDICATION
OF FUTURE RESULTS. THE INVESTMENT RETURN AND NET ASSET VALUE WILL FLUCTUATE SO
THAT AN INVESTOR'S SHARES, WHEN REDEEMED, MAY BE WORTH MORE OR LESS THAN THEIR
ORIGINAL COST.
'D' International investing involves increased risk and volatility.
(1) With the maximum sales charge of 3.50%, the Fund's Class A (Investor) Shares
return for the period was 18.53%. Class A (Investor) Shares bear ongoing
shareholder services fees of 0.25% of the daily net assets of Class A (Investor)
Shares. The Class A (Investor) Share expenses are reflected in the performance
data. The total return set forth reflects the waiver and reimbursement of a
portion of the Fund's fees. Without waivers of fees, total return for the
period would have been lower. Class A (Investor) Shares commenced operations on
August 26, 1996.
(2) The Morgan Stanley Capital International (MSCI) Europe, Australasia and Far
East (EAFE) Index is an unmanaged index that measures performance of a diverse
range of developed countries in the indicated regions. The index does not
reflect the deduction expenses associated with the mutual fund, such an
investment management and fund accounting fees. The Fund's performance reflects
the deduction of fees for these value-added services.
(3) The Lipper International Funds Index is comprised of managed funds that
invest their assets in securities whose primary trading markets are outside of
the United States. Lipper is an independent mutual fund performance monitor
whose results are based on total return and do not reflect a sales charge.
Investors cannot invest directly in an index, although they can invest in its
underlying securities.
* Portfolio composition is subject to change.
7
<PAGE>
PORTFOLIO REVIEWS
REPUBLIC OPPORTUNITY FUND'D' (CLASS A (INVESTOR), B AND C SHARES)
REPUBLIC SMALL CAP EQUITY FUND
BY BRIAN STACK
PORTFOLIO MANAGER
MFS INSTITUTIONAL ADVISERS, INC.
The Republic Opportunity Fund and the Republic Small Cap Equity Fund (the
"Funds") seek to provide their shareholders with long-term growth of capital by
investing in equity securities of emerging small and medium-sized companies
expected to deliver earnings growth well above the growth rate of the economy
and the rate of inflation. The Funds employ a two-tier structure, commonly
referred to as "master-feeder." The Republic Opportunity Fund and the Republic
Small Cap Equity Fund (the "Feeder Funds") invest all of their investable assets
in the Republic Small Cap Equity Portfolio (the "Master Fund").
The Republic Small Cap Equity Portfolio (the "Portfolio") invests primarily in
common stocks of small and medium-sized companies that may have the potential to
become major enterprises. The Portfolio employs MFS Institutional Advisers,
Inc., as sub-adviser.
During the six-month period ended April 30, 2000, the Class A (Investor) Shares
of the Republic Opportunity Fund produced a 45.22% return (without maximum sales
charge)(1) and the shares of the Republic Small Cap Equity Fund produced a
45.81% return. The Funds' benchmarks, the Russell 2000 Index(2) and the Lipper
Small Cap Funds Index(3), gained 18.72% and 26.60% during the period,
respectively.
Growth stocks, particularly in the technology sector, led the small-cap market
during much of the period. The second half of the period saw investors turn away
from small-cap growth stocks, however, and look for more stable companies with
lower valuations. That development caused small-cap value stocks to outperform
growth stocks regardless of comparable size during this three-month period.
The Portfolio practices a bottom-up fundamentals-based approach to investing in
small and medium-sized companies. Thus, we focus on the merits of individual
companies and their stock market valuations. We believe that relative earnings
growth drives stock prices, so we buy shares of firms with strong earnings
growth potential. That approach led the Portfolio to invest heavily in
technology stocks. The Portfolio's top performing technology holdings were
Smartforce Publications (2.53% of net assets as of April 30) and RSA Security
(3.04%).*
We believe that the recent market volatility has returned valuations to
reasonable levels. We also expect productivity to continue to grow, fed by
accelerated corporate spending on new technology. Thus, we will continue to
invest a significant portion of the Portfolio's assets in technology stocks.
--------------------------------------------------------------------------------
THE PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND IS NOT AN INDICATION
OF FUTURE RESULTS. THE INVESTMENT RETURN AND NET ASSET VALUE WILL FLUCTUATE SO
THAT AN INVESTOR'S SHARES, WHEN REDEEMED, MAY BE WORTH MORE OR LESS THAN THEIR
ORIGINAL COST.
'D' Small-capitalization funds typically carry additional risks
since smaller companies generally have a higher risk of failure. Historically,
smaller companies' stocks have experienced a greater degree of market volatility
than average.
(1) With the maximum sales charge of 3.50%, the Fund's Class A (Investor) Shares
return for the period was 40.12%. Class A (Investor) Shares bear ongoing
shareholder services fees of 0.25% of the daily net assets of Class A (Investor)
Shares. The Class A (Investor) Shares' expenses are reflected in the performance
data. The total return set forth reflects the waiver and reimbursement of a
portion of the Fund's fees. Without waivers of fees, total return for the period
would have been lower. Class A (Investor) Shares commenced operations on
September 23, 1996.
(2) The Russell 2000 Stock Index is an unmanaged index generally representative
of the performance of small-capitalization stocks. The performance of the index
does not reflect the deduction of expenses associated with a mutual fund, such
as investment management and fund accounting fees. The Fund's performance
reflects the deduction of fees for these value-added services.
(3) The Lipper Small Cap Funds Index is comprised of managed funds that, by
prospectus or portfolio, practice invests primarily in companies with market
capitalizations of less than $1 billion at time of purchase. Lipper is an
independent mutual fund performance monitor whose results are based on total
return and do not reflect a sales charge. Investors cannot invest directly in an
index, although they can invest in the underlying securities.
* Portfolio composition is subject to change.
8
<PAGE>
This page intentionally left blank.
9
<PAGE>
REPUBLIC FUNDS SCHEDULE OF PORTFOLIO INVESTMENTS
REPUBLIC NEW YORK TAX-FREE BOND FUND APRIL 30, 2000 (UNAUDITED)
<TABLE>
<CAPTION>
----------------------------------------------------------------------------------------------------
MUNICIPAL BONDS - 96.4%
----------------------------------------------------------------------------------------------------
SECURITY MOODY'S/S&P PRINCIPAL MARKET
DESCRIPTION RATINGS(B) AMOUNT VALUE
------------------------------------------------------------ ----------- ---------- -----------
<S> <C> <C> <C>
NEW YORK - 96.4%
Brookhaven GO (FGIC Insured), 5.50%, 10/1/12................ Aaa, AAA $ 500,000 $ 504,165
Erie County GO Series B (FGIC Insured), 5.38%, 6/15/07...... Aaa, AAA 250,000 253,678
Essex County Industrial Development Agency Pollution
Control, 5.55%, 1/1/14..................................... Baa1, BBB+ 580,000 562,501
Long Island Power Authority, 5.25%, 12/1/26................. Aaa, AAA 1,250,000 1,125,350
Metropolitan Transit Authority of New York, Transportation
Facility Revenue - Series C-1, 5.75%, 7/1/13.............. Baa1, A 285,000 290,466
Metropolitan Transit Authority of New York, Transportation
Facility Revenue - Series C-1 (FGIC Insured), 5.25%,
7/1/17..................................................... Aaa, AAA 720,000 677,606
Monroe County Airport Authority, Greater Rochester
International Airport, AMT (MBIA Insured), 5.75%, 1/1/14... Aaa, AAA 750,000 765,255
New York City GO Series H, 6.00%, 8/1/14.................... A3, A - 1,000,000 1,023,770
New York City Housing Development Corp., 5.60%, 11/1/19..... Aa2, AA 100,000 93,692
New York City Industrial Development Agency, Special
Facilities Revenue Terminal One Group Project, AMT, 6.00%,
1/1/15..................................................... A3, A 1,000,000 1,008,260
New York City Transitional Financial Authority Revenue (FGIC
Insured), 6.00%, 8/15/15................................... Aaa, AAA 1,000,000 1,039,430
New York City Water Authority, 5.94%, 6/15/19**............. Aaa, AAA 2,000,000 647,860
New York State Dormitory Authority Revenue, 5.125%,
7/1/15..................................................... Aaa, AAA 550,000 518,920
New York State Dormitory Authority Revenue, 6.25%,
5/15/17.................................................... A3, AAA 375,000 395,573
New York State Dormitory Authority Revenue, 5.50%, 7/1/23... Aaa, AAA 1,300,000 1,252,914
New York State Dormitory Authority Revenue, City University,
Series A (AMBAC Insured), 5.625%, 7/1/16................... Aaa, AAA 1,000,000 1,016,410
New York State Dormitory Authority Revenue, Mental Health
Service Facility Series B, 6.50%, 8/15/11.................. A3, A 225,000 243,821
New York State Dormitory Authority Revenue, Mental Health
Services Series B, 5.50%, 8/15/17.......................... A3, A 1,000,000 946,030
New York State Dormitory Authority Revenue, Rockefeller
University, 5.25%, 7/1/13.................................. Aaa, AAA 500,000 494,580
New York State Dormitory Authority Revenue, State Secured
Hospital New York Downtown, 5.20%, 2/15/13................. Baa1, A 1,000,000 933,980
New York State Dormitory Authority Revenue, State University
Educational Facilities, 5.75%, 5/15/09..................... A3, A 500,000 511,775
New York State Dormitory Authority Revenues, 5.50%,
8/1/10..................................................... Aaa, AAA 750,000 759,023
New York State Dormitory Authority Revenues, 6.00%, 7/1/19,
Callable 7/1/09 @ 101...................................... Aaa, AAA 350,000 357,833
New York State Housing Finance Agency, Service Contract,
5.875%, 9/15/14............................................ Baa1, A 1,000,000 1,004,950
New York State Local Government Assistance Corp. Revenue,
6.00%, 4/1/16.............................................. A3, AA - 1,000,000 1,019,490
New York State Medical Care Facilities Revenue, Hospital &
Nursing Home, 6.40%, 8/15/14............................... N/R, AAA 370,000 385,388
New York State Mortgage Agency Revenue, 5.375%, 10/1/17..... Aa1, N/R 1,000,000 952,680
New York State Mortgage Agency Revenue, AMT, 5.60%.......... Aa1, AA 1,000,000 999,170
New York State Thruway Authority, Service Contract Revenue,
5.875%, 4/1/14............................................. Baa1, A 1,000,000 1,045,620
New York State Thruway Authority, Service Contract Revenue
(FGIC Insured), 5.00%, 4/1/17.............................. Aaa, AAA 1,000,000 910,410
New York State Urban Development Corp., Revenue, 5.75%,
4/1/12..................................................... Baa1, A 1,000,000 1,007,930
New York State Urban Development Corp., Revenue, 5.75%,
4/1/12..................................................... Baa1, A 500,000 509,270
Port Authority of New York & New Jersey, 85th Series,
5.375%, 3/1/28............................................. A1, AA - 1,100,000 1,025,530
Port Authority of New York & New Jersey, Special Obligation,
Revenue, JFK International Terminal, AMT (MBIA Insured),
5.75%, 12/1/22............................................. Aaa, AAA 500,000 487,330
-----------
24,770,660
-----------
TOTAL MUNICIPAL BONDS (Cost $24,713,902).............................................. 24,770,660
-----------
----------------------------------------------------------------------------------------------------
NEW YORK TAX-FREE NOTES - 2.7%
----------------------------------------------------------------------------------------------------
NEW YORK - 2.7%
New York City GO, 6.05%, 5/1/00*............................ VMIG1, A-1+ 400,000 400,000
New York State Energy Research & Development Pollution
Control Revenue for Niagara Mohawk Power Corp., AMT (LOC
Toronto Dominion Bank), 6.15%, 5/1/00*..................... P1, N/R 300,000 300,000
-----------
700,000
-----------
TOTAL NEW YORK TAX-FREE NOTES (Cost $700,000)......................................... 700,000
-----------
</TABLE>
Continued
10
<PAGE>
REPUBLIC FUNDS SCHEDULE OF PORTFOLIO INVESTMENTS
REPUBLIC NEW YORK TAX-FREE BOND FUND APRIL 30, 2000 (UNAUDITED)
<TABLE>
<CAPTION>
-----------------------------------------------------------------------------------------------
INVESTMENT COMPANIES - 0.1%
-----------------------------------------------------------------------------------------------
SECURITY NET ASSET
DESCRIPTION SHARES VALUE
----------- ------ -----
<S> <C> <C>
Provident New York Tax-Free Money Market Fund............................ 33,862 $ 33,862
-----------
TOTAL INVESTMENT COMPANIES (Cost $33,862)......................................... 33,862
-----------
TOTAL INVESTMENTS (Cost $25,447,764)(a) - 99.2%.................................. 25,504,522
OTHER ASSETS IN EXCESS OF LIABILITIES - 0.8%..................................... 214,544
-----------
NET ASSETS - 100.0%.............................................................. $25,719,066
-----------
-----------
</TABLE>
---------
(a) Cost differs from value by net unrealized appreciation of securities as
follows:
<TABLE>
<S> <C>
Unrealized appreciation..................................... $ 315,271
Unrealized depreciation..................................... (258,513)
----------
Net unrealized appreciation................................. $ 56,758
----------
----------
</TABLE>
(b) The Moody's or Standard & Poor's ratings indicated are the most recent
ratings available at April 30, 2000 for the securities listed. Ratings are
generally ascribed to securities at the time of issuance. While the agencies
may from time to time revise such ratings, they undertake no obligation to
do so, and the ratings do not necessarily represent what the agencies would
ascribe to these securities at April 30, 2000.
AMBAC -- American Municipal Bond Assurance Corporation
AMT -- Interest on security is subject to Federal Alternative Minimum Tax
FGIC -- Federal Guaranty Insurance Corporation
GO -- General Obligation
LOC -- Letter of Credit
MBIA -- Municipal Bond Insurance Association
At April 30, 2000, the fund's open futures contracts were as follows:
<TABLE>
<CAPTION>
NUMBER OF EXPIRATION CONTRACT DEPRECIATION
SHORT CONTRACT CONTRACTS DATE VALUE OF CONTRACTS
------------------------------------------------------------ --------- ---------- ---------- --------------
<S> <C> <C> <C> <C>
U.S. T-Bonds Future......................................... 25 5/22/00 $2,423,438 $(35,918)
</TABLE>
* Variable rate investments. The rate presented represents the rate in effect
at April 30, 2000. The date presented reflects the next rate change date.
** Rate presented indicates effective yield at time of purchase.
See notes to financial statements.
11
<PAGE>
REPUBLIC FUNDS
REPUBLIC NEW YORK TAX FREE BOND FUND
STATEMENT OF ASSETS AND LIABILITIES
APRIL 30, 2000 (UNAUDITED)
<TABLE>
<S> <C> <C>
ASSETS:
Investments, at value (cost
$25,447,764).......................... $25,504,522
Cash................................... 25,074
Interest & dividends receivable........ 346,326
Receivable for capital shares issued... 44,000
Prepaid expenses....................... 2,153
-----------
TOTAL ASSETS........................ 25,922,075
LIABILITIES:
Dividends payable...................... $50,156
Payable for capital shares redeemed.... 45,015
Variation margin payable on open
futures contracts..................... 3,125
Accrued expenses and other liabilities:
Investment management................. 5,456
Administration........................ 1,792
Distribution.......................... 312
Shareholder servicing................. 4,145
Other liabilities..................... 93,008
-------
TOTAL LIABILITIES................... 203,009
-----------
NET ASSETS............................. $25,719,066
-----------
-----------
COMPOSITION OF NET ASSETS:
Capital................................ $26,088,398
Accumulated net investment loss........ (1,202)
Accumulated net realized losses from
investment and futures transactions... (388,970)
Unrealized appreciation from
investments and futures............... 20,840
-----------
NET ASSETS............................. $25,719,066
-----------
-----------
CLASS A (INVESTOR) SHARES
Net Assets............................. $15,266,424
Shares Outstanding (par value $0.001,
unlimited number of authorized
shares)............................... 1,503,897
Net Asset Value and Redemption Price
per share............................. $ 10.15
-----------
-----------
Maximum Offering Price per share (Net
asset value/(100% -- maximum sales
charge of 2.75%))..................... $ 10.44
-----------
-----------
CLASS B SHARES
Net Assets............................. $ 621,193
Shares Outstanding (par value $0.001,
unlimited number of authorized
shares)............................... 61,243
Net Asset Value, Offering Price and
Redemption Price per share*........... $ 10.14
-----------
-----------
CLASS C SHARES
Net Assets............................. $ 213,590
Shares Outstanding (par value $0.001,
unlimited number of authorized
shares)............................... 20,970
Net Asset Value, Offering Price and
Redemption Price per share*........... $ 10.19
-----------
-----------
CLASS Y (ADVISER) SHARES
Net Assets............................. $ 9,617,859
Shares Outstanding (par value $0.001,
unlimited number of authorized
shares)............................... 947,556
Net Asset Value, Offering Price and
Redemption Price per share............ $ 10.15
-----------
-----------
</TABLE>
STATEMENT OF OPERATIONS
FOR THE SIX MONTHS ENDED APRIL 30, 2000 (UNAUDITED)
<TABLE>
<S> <C> <C>
INVESTMENT INCOME:
Interest income....................... $ 719,921
Dividend income....................... 3,792
-----------
TOTAL INVESTMENT INCOME............ 723,713
EXPENSES:
Investment management................. $ 32,592
Administration........................ 10,722
Distribution:
Class B Shares....................... 2,131
Class C Shares....................... 928
Shareholder servicing:
Class A (Investor) Shares............ 20,567
Class B Shares....................... 729
Class C Shares....................... 302
Accounting............................ 29,394
Custodian............................. 7,531
Transfer agent........................ 25,860
Printing.............................. 12,895
Other expenses........................ 5,700
--------
Total expenses before fee reductions
and reimbursements................. 149,351
Fee reductions and reimbursements.... (38,274)
-----------
NET EXPENSES......................... 111,077
-----------
NET INVESTMENT INCOME................. 612,636
-----------
NET REALIZED/UNREALIZED
GAINS/(LOSSES) FROM INVESTMENTS:
Net realized losses from investment
and futures transactions............. (272,774)
Change in unrealized appreciation from
investments and futures.............. 462,840
-----------
Net realized/unrealized gains from
from investments and futures......... 190,066
-----------
CHANGE IN NET ASSETS RESULTING FROM
OPERATIONS........................... $ 802,702
-----------
-----------
</TABLE>
---------
* Redemption price per share varies by length of time shares are held.
See notes to financial statements.
12
<PAGE>
REPUBLIC FUNDS
REPUBLIC NEW YORK TAX FREE BOND FUND
<TABLE>
<CAPTION>
STATEMENTS OF CHANGES IN NET ASSETS
FOR THE SIX
MONTHS ENDED FOR THE
APRIL 30, YEAR ENDED
2000 OCTOBER 31,
(UNAUDITED) 1999
------------ --------------
<S> <C> <C>
INVESTMENT ACTIVITIES:
OPERATIONS:
Net investment income...................................... $ 612,636 $ 1,325,626
Net realized losses from investment and futures
transactions............................................. (272,774) (116,195)
Change in unrealized appreciation/(depreciation) from
investments and futures.................................. 462,840 (2,293,233)
----------- -----------
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS.............. 802,702 (1,083,802)
----------- -----------
DIVIDENDS:
From net investment income:
Class A (Investor) Shares................................ (381,690) (909,157)
Class B Shares........................................... (11,524) (21,353)
Class C Shares (a)....................................... (4,763) (5,591)
Class Y (Adviser) Shares................................. (214,659) (388,326)
In excess of net investment income:
Class A (Investor) Shares................................ -- (858)
Class B Shares........................................... -- (23)
Class Y (Adviser) Shares................................. -- (320)
From net realized gains from investment and futures
transactions:
Class A (Investor) Shares................................ -- (32,437)
Class B Shares........................................... -- (900)
Class Y (Adviser) Shares................................. -- (12,643)
----------- -----------
CHANGE IN NET ASSETS FROM SHAREHOLDER DIVIDENDS............. (612,636) (1,371,608)
----------- -----------
CHANGE IN NET ASSETS FROM CAPITAL SHARE TRANSACTIONS........ (1,477,585) (2,950,317)
----------- -----------
CHANGE IN NET ASSETS........................................ (1,287,519) (5,405,727)
NET ASSETS:
Beginning of period........................................ 27,006,585 32,412,312
----------- -----------
End of period.............................................. $25,719,066 $27,006,585
----------- -----------
----------- -----------
</TABLE>
---------
(a) Commencement of operations was November 4, 1998.
See notes to financial statements.
13
<PAGE>
REPUBLIC FUNDS
REPUBLIC NEW YORK TAX FREE BOND FUND
FINANCIAL HIGHLIGHTS -- CLASS A (INVESTOR) SHARES
SELECTED DATA FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD INDICATED.
<TABLE>
<CAPTION>
FOR THE SIX
MONTHS ENDED FOR THE PERIOD
APRIL 30, FOR THE YEARS ENDED OCTOBER 31, MAY 1, 1995
2000 ------------------------------------------ TO OCTOBER 31,
(UNAUDITED) 1999 1998 1997 1996 1995(a)
------------ ------- ------- ------- ------ --------------
<S> <C> <C> <C> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD............ $ 10.08 $ 10.93 $ 10.64 $ 10.30 $10.38 $10.00
------- ------- ------- ------- ------ ------
INVESTMENT ACTIVITIES:
Net investment income.......................... 0.23 0.46 0.47 0.45 0.54 0.25
Net realized and unrealized gains/(losses) from
investment transactions...................... 0.07 (0.83) 0.33 0.36 (0.01) 0.38
------- ------- ------- ------- ------ ------
Total from investment activities............... 0.30 (0.37) 0.80 0.81 0.53 0.63
------- ------- ------- ------- ------ ------
DIVIDENDS:
Net investment income.......................... (0.23) (0.46) (0.47) (0.45) (0.54) (0.25)
In excess of net investment income............. -- (0.00)* -- -- -- --
Net realized gains from investment
transactions................................. -- (0.02) (0.04) (0.02) (0.07) --
------- ------- ------- ------- ------ ------
Total dividends................................ (0.23) (0.48) (0.51) (0.47) (0.61) (0.25)
------- ------- ------- ------- ------ ------
NET ASSET VALUE, END OF PERIOD.................. $ 10.15 $ 10.08 $ 10.93 $ 10.64 $10.30 $10.38
------- ------- ------- ------- ------ ------
------- ------- ------- ------- ------ ------
TOTAL RETURN (EXCLUDES SALES CHARGE)............ 3.04%(b) (3.62)% 7.65% 8.22% 4.75% 6.39%(b)
RATIOS/SUPPLEMENTARY DATA:
Net assets at end of period (000's)............. $15,266 $17,568 $23,153 $20,794 $6,353 $6,908
Ratio of expenses to average net assets......... 0.92%(c) 0.96 % 0.95% 0.92% 0.58% 0.50%(c)
Ratio of net investment income to average net
assets......................................... 4.65%(c) 4.22 % 4.28% 4.46% 4.78% 4.91%(c)
Ratio of expenses to average net assets (d)..... 1.21%(c) 1.21 % 1.20% 1.55% 2.21% 2.40%(c)
Portfolio turnover (e).......................... 26.73% 46.56 % 100.35% 163.46% 178.11% 130.00%
</TABLE>
* Less than $0.005 per share.
(a) Period from commencement of operations.
(b) Not annualized.
(c) Annualized.
(d) During the period, certain fees were reduced. If such fee reductions had not
occurred, the ratio would have been as indicated.
(e) Portfolio turnover is calculated on the basis of the Fund as a whole,
without distinguishing between the classes of shares issued.
See notes to financial statements.
14
<PAGE>
REPUBLIC FUNDS
REPUBLIC NEW YORK TAX FREE BOND FUND
FINANCIAL HIGHLIGHTS -- CLASS B SHARES
SELECTED DATA FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD INDICATED.
<TABLE>
<CAPTION>
FOR THE SIX
MONTHS ENDED FOR THE FOR THE PERIOD
APRIL 30, YEAR ENDED JANUARY 6, 1998
2000 OCTOBER 31, TO OCTOBER 31,
(UNAUDITED) 1999 1998(a)
------------ ----------- ----------------
<S> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD........................ $10.07 $10.92 $10.81
------ ------ ------
INVESTMENT ACTIVITIES:
Net investment income...................................... 0.20 0.38 0.37
Net realized and unrealized gains/(losses) from investment
transactions............................................. 0.07 (0.83) 0.11
------ ------ ------
Total from investment activities........................... 0.27 (0.45) 0.48
------ ------ ------
DIVIDENDS:
Net investment income...................................... (0.20) (0.38) (0.37)
In excess of net investment income......................... -- (0.00)* --
Net realized gains from investment transactions............ -- (0.02) --
------ ------ ------
Total dividends............................................ (0.20) (0.40) (0.37)
------ ------ ------
NET ASSET VALUE, END OF PERIOD.............................. $10.14 $10.07 $10.92
------ ------ ------
------ ------ ------
TOTAL RETURN (EXCLUDES REDEMPTION CHARGE)................... 2.69%(b) (4.30)% 4.50%(b)
RATIOS/SUPPLEMENTARY DATA:
Net assets at end of period (000's)......................... $ 621 $ 564 $ 618
Ratio of expenses to average net assets..................... 1.60%(c) 1.71 % 1.70%(c)
Ratio of net investment income to average net assets........ 3.95%(c) 3.48 % 3.53%(c)
Ratio of expenses to average net assets (d)................. 1.89%(c) 1.96 % 1.95%(c)
Portfolio turnover (e)...................................... 26.73% 46.56 % 100.35%
</TABLE>
* Less than $0.005 per share.
(a) Period from commencement of operations.
(b) Not annualized.
(c) Annualized.
(d) During the period, certain fees were reduced. If such fee reductions had not
occurred, the ratio would have been as indicated.
(e) Portfolio turnover is calculated on the basis of the Fund as a whole,
without distinguishing between the classes of shares issued.
See notes to financial statements.
15
<PAGE>
REPUBLIC FUNDS
REPUBLIC NEW YORK TAX FREE BOND FUND
FINANCIAL HIGHLIGHTS -- CLASS C SHARES
SELECTED DATA FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD INDICATED.
<TABLE>
<CAPTION>
FOR THE SIX
MONTHS ENDED FOR THE PERIOD
APRIL 30, NOVEMBER 4, 1998
2000 TO OCTOBER 31,
(UNAUDITED) 1998(a)
------------ -----------------
<S> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD........................ $10.11 $10.90
------ ------
INVESTMENT ACTIVITIES:
Net investment income...................................... 0.20 0.34
Net realized and unrealized gains/(losses) from investment
transactions............................................. 0.08 (0.77)
------ ------
Total from investment activities........................... 0.28 (0.43)
------ ------
DIVIDENDS:
Net investment income...................................... (0.20) (0.34)
Net realized gains from investment transactions............ -- (0.02)
------ ------
Total dividends............................................ (0.20) (0.36)
------ ------
NET ASSET VALUE, END OF PERIOD.............................. $10.19 $10.11
------ ------
------ ------
TOTAL RETURN (EXCLUDES REDEMPTION CHARGE)................... 2.78%(b) (4.10)%(b)
RATIOS/SUPPLEMENTARY DATA:
Net assets at end of period (000's)......................... $ 214 $ 256
Ratio of expenses to average net assets..................... 1.62%(c) 1.70 %(c)
Ratio of net investment income to average net assets........ 3.95%(c) 3.46 %(c)
Ratio of expenses to average net assets (d)................. 1.91%(c) 2.02 %(c)
Portfolio turnover (e)...................................... 26.73% 46.56 %
</TABLE>
(a) Period from commencement of operations.
(b) Not annualized.
(c) Annualized.
(d) During the period, certain fees were reduced. If such fee reductions had not
occurred, the ratio would have been as indicated.
(e) Portfolio turnover is calculated on the basis of the Fund as a whole,
without distinguishing between the classes of shares issued.
See notes to financial statements.
16
<PAGE>
REPUBLIC FUNDS
REPUBLIC NEW YORK TAX FREE BOND FUND
FINANCIAL HIGHLIGHTS -- CLASS Y (ADVISER) SHARES
SELECTED DATA FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD INDICATED.
<TABLE>
<CAPTION>
FOR THE SIX FOR THE YEARS ENDED FOR THE PERIOD
MONTHS ENDED OCTOBER 31, JULY 1, 1996
APRIL 30, 2000 ---------------------------- TO OCTOBER 31,
(UNAUDITED) 1999 1998 1997 1996(a)
-------------- ------ ------ ------ ---------------
<S> <C> <C> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD...................... $10.07 $10.93 $10.64 $10.30 $10.18
------ ------ ------ ------ ------
INVESTMENT ACTIVITIES:
Net investment income.................................... 0.25 0.48 0.49 0.46 0.16
Net realized and unrealized gains/(losses) from
investment transactions................................ 0.08 (0.84) 0.33 0.36 0.12
------ ------ ------ ------ ------
Total from investment activities......................... 0.33 (0.36) 0.82 0.82 0.28
------ ------ ------ ------ ------
DIVIDENDS:
Net investment income.................................... (0.25) (0.48) (0.49) (0.46) (0.16)
In excess of net investment income....................... -- (0.00)* -- -- --
Net realized gains from investment transactions.......... -- (0.02) (0.04) (0.02) --
------ ------ ------ ------ ------
Total dividends.......................................... (0.25) (0.50) (0.53) (0.48) (0.16)
------ ------ ------ ------ ------
NET ASSET VALUE, END OF PERIOD............................ $10.15 $10.07 $10.93 $10.64 $10.30
------ ------ ------ ------ ------
------ ------ ------ ------ ------
TOTAL RETURN.............................................. 3.27%(b) (3.45)% 7.87% 8.38% 3.52%(b)
RATIOS/SUPPLEMENTARY DATA:
Net assets at end of period (000's)....................... $9,618 $8,619 $8,641 $8,901 $8,233
Ratio of expenses to average net assets................... 0.66%(c) 0.71 % 0.70% 0.78% 0.60%(c)
Ratio of net investment income to average net assets...... 4.88%(c) 4.49 % 4.53% 4.66% 4.78%(c)
Ratio of expenses to average net assets (d)............... 0.95%(c) 0.96 % 0.95% 1.27% 2.26%(c)
Portfolio turnover (e).................................... 26.73% 46.56 % 100.35% 163.46% 178.11%
</TABLE>
* Less than $0.005 per share.
(a) Period from commencement of operations.
(b) Not annualized.
(c) Annualized.
(d) During the period, certain fees were reduced. If such fee reductions had not
occurred, the ratio would have been as indicated.
(e) Portfolio turnover is calculated on the basis of the Fund as a whole,
without distinguishing between the classes of shares issued.
See notes to financial statements.
17
<PAGE>
REPUBLIC FUNDS SCHEDULE OF PORTFOLIO INVESTMENTS
REPUBLIC EQUITY FUND APRIL 30, 2000 (UNAUDITED)
<TABLE>
<CAPTION>
COMMON STOCKS - 100.1%
SECURITY MARKET
DESCRIPTION SHARES VALUE
-------------------------------------- ------- ------------
<S> <C> <C>
AEROSPACE/DEFENSE - 1.6%
General Dynamics Corp................. 39,500 $ 2,310,750
United Technologies Corp.............. 36,000 2,238,750
------------
4,549,500
------------
AIRLINES - 0.4%
Northwest Airlines Corp., Class A
(b).................................. 47,300 1,167,719
------------
AUTO MANUFACTURERS - 3.2%
Ford Motor Co......................... 79,900 4,369,531
General Motors Corp................... 49,300 4,615,713
------------
8,985,244
------------
AUTO PARTS & EQUIPMENT - 0.5%
TRW, Inc.............................. 25,600 1,497,600
------------
BANKING & FINANCE - 11.3%
Associates First Capital Corp......... 99,000 2,196,563
Bank of America Corp.................. 49,400 2,420,600
Chase Manhattan Corp.................. 44,000 3,170,750
Citigroup, Inc........................ 182,900 10,871,118
Household International, Inc.......... 61,100 2,550,925
MBNA Corp............................. 140,700 3,737,343
Morgan Stanley Dean Witter & Co....... 32,000 2,456,000
Providian Financial................... 24,400 2,148,725
Wells Fargo & Co...................... 68,200 2,800,463
------------
32,352,487
------------
CHEMICALS - 0.9%
Akzo Nobel NV ADR..................... 7,950 330,049
Union Carbide Corp.................... 38,600 2,277,400
------------
2,607,449
------------
COMPUTER SERVICES - 0.3%
VeriSign, Inc. (b).................... 5,700 794,438
------------
COMPUTER SOFTWARE - 4.3%
America Online, Inc. (b).............. 18,000 1,076,625
Computer Associates International,
Inc.................................. 45,800 2,556,213
Microsoft Corp. (b)................... 62,700 4,373,324
Oracle Corp. (b)...................... 46,500 3,717,094
Psinet, Inc. (b)...................... 25,600 593,600
------------
12,316,856
------------
COMPUTERS - 10.0%
Cisco Systems, Inc. (b)............... 153,000 10,607,202
Dell Computer Corp. (b)............... 145,000 7,268,125
Electronic Data Systems............... 39,900 2,743,125
Gateway, Inc. (b)..................... 11,700 646,425
International Business Machines
Corp................................. 52,700 5,882,638
Sun Microsystems, Inc. (b)............ 12,800 1,176,800
------------
28,324,315
------------
CONSTRUCTION & HOUSING - 0.3%
Masco Corp............................ 35,000 785,313
------------
CONSUMER MANUFACTURING - 7.7%
General Electric Co................... 48,500 $ 7,626,625
Harley-Davidson, Inc.................. 64,000 2,548,000
Honeywell International, Inc.......... 58,600 3,281,600
Tyco International Ltd................ 180,700 8,300,905
------------
21,757,130
------------
CONSUMER PRODUCTS - 0.5%
Coca-Cola Co.......................... 31,800 1,496,588
------------
CONSUMER SERVICES - 5.9%
Gap, Inc.............................. 21,700 797,475
Home Depot, Inc....................... 100,100 5,611,855
Kohl's Corp. (b)...................... 99,600 4,780,800
Kroger Co. (b)........................ 105,000 1,949,063
Wal-Mart Stores, Inc.................. 63,500 3,516,313
------------
16,655,506
------------
COSMETICS/PERSONAL CARE - 2.7%
Avon Products, Inc.................... 32,700 1,357,050
Colgate-Palmolive Co.................. 62,200 3,553,175
Kimberly-Clark Corp................... 46,600 2,705,713
------------
7,615,938
------------
ELECTRICAL SERVICES - 0.5%
Edison International.................. 68,900 1,313,406
------------
ELECTRONIC COMPONENTS/INSTRUMENTS - 4.1%
Koninklijke Philips Electronics NV
ADR.................................. 118,600 5,292,525
Solectron Corp. (b)................... 138,600 6,488,213
------------
11,780,738
------------
ELECTRONIC COMPONENTS/SEMICONDUCTORS - 6.8%
Altera Corp. (b)...................... 65,000 6,646,250
Applied Materials, Inc. (b)........... 6,900 702,506
Intel Corp............................ 82,100 10,411,307
National Semiconductor Corp. (b)...... 25,300 1,536,975
------------
19,297,038
------------
FOREST PRODUCTS & PAPER - 0.7%
Weyerhaeuser Co....................... 38,100 2,035,969
------------
HEALTH CARE - 2.0%
Becton Dickinson & Co................. 56,200 1,440,125
Guidant Corp. (b)..................... 14,500 831,938
Medtronic, Inc........................ 64,400 3,344,775
------------
5,616,838
------------
INSURANCE - 1.9%
American International Group.......... 34,300 3,762,282
Metlife, Inc. (b)..................... 106,500 1,763,906
------------
5,526,188
------------
</TABLE>
Continued
18
<PAGE>
REPUBLIC FUNDS SCHEDULE OF PORTFOLIO INVESTMENTS
REPUBLIC EQUITY FUND APRIL 30, 2000 (UNAUDITED)
<TABLE>
<CAPTION>
COMMON STOCKS, CONTINUED
SECURITY MARKET
DESCRIPTION SHARES VALUE
-------------------------------------- ------- ------------
<S> <C> <C>
MEDIA - 6.4%
AT&T - Liberty Media Group (b)........ 133,400 $ 6,661,662
Comcast Corp. (b)..................... 37,500 1,502,344
MediaOne Group, Inc. (b).............. 22,000 1,663,750
News Corporation Ltd. ADR............. 99,100 4,360,400
Seagram Co. Ltd....................... 39,700 2,143,800
Time Warner, Inc...................... 22,000 1,978,625
------------
18,310,581
------------
METALS - DIVERSIFIED - 0.6%
Alcan Aluminum Ltd.................... 52,500 1,719,375
------------
OIL & GAS - 3.5%
Conoco, Inc., Class B................. 76,600 1,905,425
Exxon Mobil Corp...................... 45,600 3,542,550
Texaco, Inc........................... 55,000 2,722,500
USX-Marathon Group, Inc............... 70,900 1,652,856
------------
9,823,331
------------
PHARMACEUTICALS - 9.6%
Abbott Laboratories................... 71,400 2,744,438
American Home Products Corp........... 27,200 1,528,300
Bristol-Myers Squibb Co............... 106,900 5,605,568
Merck & Co., Inc...................... 37,000 2,571,500
Pfizer, Inc........................... 88,800 3,740,700
Pharmacia Corp........................ 37,987 1,896,976
Schering-Plough Corp.................. 119,000 4,797,187
Warner-Lambert Co..................... 39,000 4,438,687
------------
27,323,356
------------
RETAIL - 1.9%
Federated Department Stores (b)....... 45,300 1,540,200
Target Corp........................... 35,200 2,343,000
Tricon Global Restaurants, Inc. (b)... 40,500 1,382,063
------------
5,265,263
------------
TELECOMMUNICATIONS - 3.3%
AT&T Wireless Group (b)............... 55,000 1,749,688
Cable & Wireless PLC ADR.............. 43,350 2,140,406
Vodafone AirTouch PLC ADR............. 115,700 5,437,900
------------
9,327,994
------------
TELECOMMUNICATIONS - EQUIPMENT - 4.2%
General Motors, Class H (b)........... 14,150 $ 1,362,822
Lucent Technologies, Inc.............. 37,700 2,344,469
Motorola, Inc......................... 30,150 3,589,734
Nokia OYJ ADR......................... 80,000 4,550,000
------------
11,847,025
------------
TELEPHONE - 5.0%
AT&T Corp............................. 61,500 2,871,281
Bell Atlantic Corp.................... 67,900 4,023,075
MCI Worldcom, Inc. (b)................ 88,800 4,034,850
Sprint Corp. (FON Group).............. 12,500 768,750
US West, Inc.......................... 34,150 2,431,053
------------
14,129,009
------------
TOTAL COMMON STOCKS
(Cost $216,220,863).................. 284,222,194
------------
--------------------------------------------------------------
INVESTMENT COMPANIES - 0.1%
--------------------------------------------------------------
Dreyfus Cash Management Fund.......... 316,208 316,208
------------
TOTAL INVESTMENT COMPANIES (Cost
$316,208)............................ 316,208
------------
TOTAL INVESTMENTS
(Cost $216,537,071) (a) - 100.2%.... 284,538,402
LIABILITIES IN EXCESS OF OTHER
ASSETS - (0.2)%.................... (557,575)
------------
NET ASSETS - 100.0%.................. $283,980,827
------------
------------
</TABLE>
---------
(a) Cost differs from value by net unrealized appreciation of securities as
follows:
<TABLE>
<S> <C>
Unrealized appreciation $76,856,002
Unrealized depreciation (8,854,671)
-----------
Net unrealized appreciation $68,001,331
-----------
-----------
</TABLE>
(b) Represents non-income producing security.
ADR --American Depositary Receipt
NV --Naamloze Vennootschap
PLC --Public Limited Company
See notes to financial statements.
19
<PAGE>
REPUBLIC FUNDS
REPUBLIC EQUITY FUND
STATEMENT OF ASSETS AND LIABILITIES
APRIL 30, 2000 (UNAUDITED)
<TABLE>
<S> <C> <C>
ASSETS:
Investments, at value (cost
$216,537,071)..................... $284,538,402
Cash............................... 2,110,838
Dividends receivable............... 282,230
Receivable for investments sold.... 3,433,080
Receivable for capital shares
issued............................ 8,971
Prepaid expenses................... 9,180
------------
TOTAL ASSETS.................... 290,382,701
LIABILITIES:
Payable for investments
purchased......................... $5,486,239
Payable for capital shares
redeemed.......................... 698,783
Accrued expenses and other
liabilities:
Investment management............. 117,786
Administration.................... 19,242
Distribution...................... 3,286
Shareholder servicing............. 6,178
Other liabilities................. 70,360
----------
TOTAL LIABILITIES............... 6,401,874
------------
NET ASSETS......................... $283,980,827
------------
------------
COMPOSITION OF NET ASSETS:
Capital............................ $234,112,090
Accumulated net investment income.. 107,246
Accumulated net realized losses
from investment and futures
transactions...................... (18,239,840)
Unrealized appreciation from
investments....................... 68,001,331
------------
NET ASSETS......................... $283,980,827
------------
------------
CLASS A (INVESTOR) SHARES
Net Assets......................... $ 25,411,824
Shares Outstanding (par value
$0.001, unlimited number of
authorized shares)................ 1,406,533
Net Asset Value and Redemption
Price per share................... $ 18.07
------------
------------
Maximum Offering Price per share
(Net asset value/(100% -- maximum
sales charge of 3.50%))........... $ 18.73
------------
------------
CLASS B SHARES
Net Assets......................... $ 1,693,098
Shares Outstanding (par value
$0.001, unlimited number of
authorized shares)................ 94,574
Net Asset Value, Offering Price and
Redemption Price per share*....... $ 17.90
------------
------------
CLASS C SHARES
Net Assets........................ $ 1,292,483
Shares Outstanding (par value
$0.001, unlimited number of
authorized shares)................ 71,817
Net Asset Value, Offering Price and
Redemption Price per share*....... $ 18.00
------------
------------
CLASS Y (ADVISER) SHARES
Net Assets......................... $255,583,422
Shares Outstanding (par value
$0.001, unlimited number of
authorized shares)................ 14,142,363
Net Asset Value, Offering Price and
Redemption Price per share........ $ 18.07
------------
------------
</TABLE>
STATEMENT OF OPERATIONS
FOR THE SIX MONTHS ENDED APRIL 30, 2000 (UNAUDITED)
<TABLE>
<S> <C> <C>
INVESTMENT INCOME:
Dividend income.................... $ 2,047,084
EXPENSES:
Investment management.............. $601,629
Administration..................... 112,739
Distribution:
Class B Shares.................... 6,209
Class C Shares.................... 5,645
Shareholder servicing:
Class A (Investor) Shares......... 32,973
Class B Shares.................... 2,098
Class C Shares.................... 1,820
Accounting......................... 33,875
Custodian.......................... 29,106
Transfer agent..................... 36,785
Legal.............................. 15,614
Printing........................... 26,854
Miscellaneous...................... 26,996
Other expenses..................... 19,078
--------
TOTAL EXPENSES.................... 951,421
--------------
NET INVESTMENT INCOME.............. 1,095,663
--------------
NET REALIZED/UNREALIZED GAINS/
(LOSSES) FROM INVESTMENTS:
Net realized losses from investment
and futures transactions.......... (17,482,555)
Change in unrealized appreciation
from investments and futures...... 19,650,934
--------------
Net realized/unrealized gains from
investments and futures........... 2,168,379
--------------
CHANGE IN NET ASSETS RESULTING FROM
OPERATIONS........................ $ 3,264,042
--------------
--------------
</TABLE>
---------
* Redemption price per share varies by length of time shares are held.
See notes to financial statements.
20
<PAGE>
REPUBLIC FUNDS
REPUBLIC EQUITY FUND
STATEMENTS OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
FOR THE SIX
MONTHS ENDED FOR THE
APRIL 30, YEAR ENDED
2000 OCTOBER 31,
(UNAUDITED) 1999
------------ --------------
<S> <C> <C>
INVESTMENT ACTIVITIES:
OPERATIONS:
Net investment income...................................... $ 1,095,663 $ 1,296,119
Net realized gains/(losses) from investment and futures
transactions............................................. (17,482,555) 26,280,422
Change in unrealized appreciation from investment and
futures transactions..................................... 19,650,934 19,851,181
------------ ------------
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS.............. 3,264,042 47,427,722
------------ ------------
DIVIDENDS:
From net investment income:
Class A (Investor) Shares................................ (74,233) (63,369)
Class Y (Adviser) Shares................................. (1,003,922) (1,164,923)
In excess of net investment income:
Class B Shares........................................... -- (449)
Class C Shares (a)....................................... -- (1,888)
From net realized gains from investment and futures
transactions:
Class A (Investor) Shares................................ (2,540,730) (546,206)
Class B Shares........................................... (164,600) (23,569)
Class C Shares (a)....................................... (140,798) (295)
Class Y (Adviser) Shares................................. (23,138,029) (4,883,735)
------------ ------------
CHANGE IN NET ASSETS FROM SHAREHOLDER DIVIDENDS............. (27,062,312) (6,684,434)
------------ ------------
CHANGE IN NET ASSETS FROM CAPITAL SHARE TRANSACTIONS........ 31,093,825 928,285
------------ ------------
CHANGE IN NET ASSETS........................................ 7,295,555 41,671,573
NET ASSETS:
Beginning of period........................................ 276,685,272 235,013,699
------------ ------------
End of period.............................................. $283,980,827 $276,685,272
------------ ------------
------------ ------------
</TABLE>
---------
(a) The Fund commenced offering Class C Shares on November 4, 1998.
See notes to financial statements.
21
<PAGE>
REPUBLIC FUNDS
REPUBLIC EQUITY FUND
FINANCIAL HIGHLIGHTS -- CLASS A (INVESTOR) SHARES
SELECTED DATA FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD INDICATED.
<TABLE>
<CAPTION>
FOR THE SIX FOR THE PERIOD
MONTHS ENDED AUGUST 1,
APRIL 30, FOR THE YEARS ENDED OCTOBER 31, 1995
2000 ------------------------------------------ TO OCTOBER 31,
(UNAUDITED) 1999 1998 1997 1996 1995(a)
------------ ------- ------- ------- ------ --------------
<S> <C> <C> <C> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD............ $ 19.89 $ 16.95 $ 15.00 $ 11.93 $10.24 $ 10.00
------- ------- ------- ------- ------ -------
INVESTMENT ACTIVITIES:
Net investment income........................ 0.05 0.05 0.05 0.07 0.19 0.04
Net realized and unrealized gains from
investment transactions..................... 0.07 3.32 2.80 3.32 1.67 0.24
------- ------- ------- ------- ------ -------
Total from investment activities............. 0.12 3.37 2.85 3.39 1.86 0.28
------- ------- ------- ------- ------ -------
DIVIDENDS:
Net investment income........................ (0.05) (0.04) (0.05) (0.10) (0.17) (0.04)
Net realized gains from investment
transactions................................ (1.89) (0.39) (0.85) (0.22) -- --
------- ------- ------- ------- ------ -------
Total dividends.............................. (1.94) (0.43) (0.90) (0.32) (0.17) (0.04)
------- ------- ------- ------- ------ -------
NET ASSET VALUE, END OF PERIOD.................. $ 18.07 $ 19.89 $ 16.95 $ 15.00 $11.93 $ 10.24
------- ------- ------- ------- ------ -------
------- ------- ------- ------- ------ -------
TOTAL RETURN (EXCLUDES SALES CHARGE)............ 0.84%(b) 20.23% 19.98% 28.92% 18.30% 2.75%(b)
RATIOS/SUPPLEMENTARY DATA:
Net assets at end of period (000's)............. $25,412 $27,942 $23,559 $12,363 $3,918 $22,092
Ratio of expenses to average net assets......... 0.91%(c) 0.94% 1.03% 1.21% 1.28% 1.47%(c)
Ratio of net investment income to average net
assets......................................... 0.59%(c) 0.26% 0.30% 0.48% 1.83% 1.59%(c)
Ratio of expenses to average net assets......... 0.91%(c) 0.94% 1.03% 1.28%(d) 1.59%(d) 2.44%(c),(d)
Portfolio turnover (e).......................... 56.14% 70.85% 176.34% 99.02% 86.18% 2.00%
</TABLE>
(a) Period from commencement of operations.
(b) Not annualized.
(c) Annualized.
(d) During the period, certain fees were reduced. If such fee reductions had not
occurred, the ratio would have been as indicated.
(e) Portfolio turnover is calculated on the basis of the Fund as a whole,
without distinguishing between the classes of shares issued.
See notes to financial statements.
22
<PAGE>
REPUBLIC FUNDS
REPUBLIC EQUITY FUND
FINANCIAL HIGHLIGHTS -- CLASS B SHARES
SELECTED DATA FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD INDICATED.
<TABLE>
<CAPTION>
FOR THE SIX
MONTHS ENDED FOR THE FOR THE PERIOD
APRIL 30, YEAR ENDED JANUARY 6, 1998
2000 OCTOBER 31, TO OCTOBER 31,
(UNAUDITED) 1999 1998(a)
------------ ----------- ---------------
<S> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD........................ $19.74 $16.92 $14.88
------ ------ ------
INVESTMENT ACTIVITIES:
Net investment loss...................................... (0.01) (0.08) (0.01)
Net realized and unrealized gains from investment
transactions............................................ 0.06 3.30 2.07
------ ------ ------
Total from investment activities......................... 0.05 3.22 2.06
------ ------ ------
DIVIDENDS:
Net investment income.................................... -- -- (0.02)
In excess of net investment income....................... -- (0.01) --
Net realized gains from investment transactions.......... (1.89) (0.39) --
------ ------ ------
Total dividends.......................................... (1.89) (0.40) (0.02)
------ ------ ------
NET ASSET VALUE, END OF PERIOD.............................. $17.90 $19.74 $16.92
------ ------ ------
------ ------ ------
TOTAL RETURN (EXCLUDES REDEMPTION CHARGE)................... 0.46 %(b) 19.32 % 13.84 %(b)
RATIOS/SUPPLEMENTARY DATA:
Net assets at end of period (000's)......................... $1,693 $1,775 $ 956
Ratio of expenses to average net assets..................... 1.60 %(c) 1.69 % 1.78 %(c)
Ratio of net investment income to average net assets........ (0.10)%(c) (0.50)% (0.45)%(c)
Portfolio turnover (d)...................................... 56.14 % 70.85 % 176.34 %
</TABLE>
(a) Period from commencement of operations.
(b) Not annualized.
(c) Annualized.
(d) Portfolio turnover is calculated on the basis of the Fund as a whole,
without distinguishing between the classes of shares issued.
See notes to financial statements.
23
<PAGE>
REPUBLIC FUNDS
REPUBLIC EQUITY FUND
FINANCIAL HIGHLIGHTS -- CLASS C SHARES
SELECTED DATA FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD INDICATED.
<TABLE>
<CAPTION>
FOR THE SIX
MONTHS ENDED FOR THE PERIOD
APRIL 30, NOVEMBER 4, 1998
2000 TO OCTOBER 31,
(UNAUDITED) 1999(a)
------------ ----------------
<S> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD........................ $19.83 $17.08
------ ------
INVESTMENT ACTIVITIES:
Net investment loss...................................... (0.02) --
Net realized and unrealized gains from investment
transactions............................................ 0.08 3.19
------ ------
Total from investment activities......................... 0.06 3.19
------ ------
DIVIDENDS:
In excess of net investment income....................... -- (0.05)
Net realized gains from investment transactions.......... (1.89) (0.39)
------ ------
Total dividends.......................................... (1.89) (0.44)
------ ------
NET ASSET VALUE, END OF PERIOD.............................. $18.00 $19.83
------ ------
------ ------
TOTAL RETURN (EXCLUDES REDEMPTION CHARGE)................... 0.46 %(b) 19.05 %(b)
RATIOS/SUPPLEMENTARY DATA:
Net assets at end of period (000's)......................... $1,292 $1,626
Ratio of expenses to average net assets..................... 1.60 %(c) 1.33 %(c)
Ratio of net investment income to average net assets........ (0.09)%(c) (0.16)%(c)
Portfolio turnover (d)...................................... 56.14 % 70.85 %
</TABLE>
(a) Period from commencement of operations.
(b) Not annualized.
(c) Annualized.
(d) Portfolio turnover is calculated on the basis of the Fund as a whole,
without distinguishing between the classes of shares issued.
See notes to financial statements.
24
<PAGE>
REPUBLIC FUNDS
REPUBLIC EQUITY FUND
FINANCIAL HIGHLIGHTS -- CLASS Y (ADVISER) SHARES
SELECTED DATA FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD INDICATED.
<TABLE>
<CAPTION>
FOR THE SIX FOR THE PERIOD
MONTHS ENDED FOR THE YEARS ENDED OCTOBER 31, JULY 1, 1996
APRIL 30, 2000 --------------------------------- TO OCTOBER 31,
(UNAUDITED) 1999 1998 1997 1996(a)
-------------- -------- -------- ------- ---------------
<S> <C> <C> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD................. $ 19.89 $ 16.95 $ 15.01 $ 11.93 $ 11.49
-------- -------- -------- ------- -------
INVESTMENT ACTIVITIES:
Net investment income............................. 0.07 0.10 0.08 0.10 0.08
Net realized and unrealized gains from investment
transactions..................................... 0.07 3.32 2.79 3.33 0.42
-------- -------- -------- ------- -------
Total from investment activities.................. 0.14 3.42 2.87 3.43 0.50
-------- -------- -------- ------- -------
DIVIDENDS:
Net investment income............................. (0.07) (0.09) (0.08) (0.13) (0.06)
Net realized gains from investment transactions... (1.89) (0.39) (0.85) (0.22) --
-------- -------- -------- ------- -------
Total dividends................................... (1.96) (0.48) (0.93) (0.35) (0.06)
-------- -------- -------- ------- -------
NET ASSET VALUE, END OF PERIOD....................... $ 18.07 $ 19.89 $ 16.95 $ 15.01 $ 11.93
-------- -------- -------- ------- -------
-------- -------- -------- ------- -------
TOTAL RETURN......................................... 0.90%(b) 20.59% 20.16% 29.28% 4.72%(b)
RATIOS/SUPPLEMENTARY DATA:
Net assets at end of period (000's).................. $255,583 $245,342 $210,498 $63,060 $33,155
Ratio of expenses to average net assets.............. 0.66%(c) 0.69% 0.78% 0.96% 0.66%(c)
Ratio of net investment income to average net
assets.............................................. 0.83%(c) 0.51% 0.55% 0.77% 1.93%(c)
Ratio of expenses to average net assets.............. 0.66%(c) 0.69% 0.78% 1.03%(d) 0.97%(c),(d)
Portfolio turnover (e)............................... 56.14% 70.85% 176.34% 99.02% 86.18%
</TABLE>
(a) Period from commencement of operations.
(b) Not annualized.
(c) Annualized.
(d) During the period, certain fees were reduced. If such fee reductions had not
occurred, the ratio would have been as indicated.
(e) Portfolio turnover is calculated on the basis of the Fund as a whole,
without distinguishing between the classes of shares issued.
See notes to financial statements.
25
<PAGE>
REPUBLIC FUNDS
REPUBLIC BOND FUND
STATEMENT OF ASSETS AND LIABILITIES
APRIL 30, 2000 (UNAUDITED)
<TABLE>
<S> <C> <C>
ASSETS:
Investments, at value................... $4,719,013
Receivable from investment manager...... 18,726
Deferred organization costs............. 7,055
Prepaid expenses........................ 779
----------
TOTAL ASSETS......................... 4,745,573
LIABILITIES:
Dividends payable....................... $11,281
Accrued expenses and other liabilities:
Administration......................... 161
Distribution........................... 481
Shareholder servicing.................. 980
Other liabilities...................... 13,474
-------
TOTAL LIABILITIES.................... 26,377
----------
NET ASSETS.............................. $4,719,196
----------
----------
COMPOSITION OF NET ASSETS:
Capital................................. $5,182,152
Accumulated net investment loss......... (7,350)
Accumulated net realized loss from
investment and futures transactions.... (242,323)
Unrealized depreciation from investment
and futures transactions............... (213,283)
----------
NET ASSETS.............................. $4,719,196
----------
----------
CLASS A (INVESTOR) SHARES
Net Assets.............................. $4,234,116
Shares Outstanding (par value $0.001,
unlimited number of shares
authorized)............................ 443,238
Net Asset Value and Redemption Price per
share.................................. $ 9.55
----------
----------
Maximum Offering Price per share (Net
asset value/(100% -- maximum sales
charge of 2.75%))...................... $ 9.82
----------
----------
CLASS B SHARES
Net Assets.............................. $ 332,640
Shares Outstanding (par value $0.001,
unlimited number of shares
authorized)............................ 34,806
Net Asset Value, Offering Price and
Redemption Price per share*............ $ 9.56
----------
----------
CLASS C SHARES
Net Assets.............................. $ 152,440
Shares Outstanding (par value $0.001,
unlimited number of shares
authorized)............................ 15,968
Net Asset Value, Offering Price and
Redemption Price per share*............ $ 9.55
----------
----------
</TABLE>
STATEMENT OF OPERATIONS
FOR THE SIX MONTHS ENDED APRIL 30, 2000 (UNAUDITED)
<TABLE>
<S> <C> <C>
INVESTMENT INCOME:
Investment income from portfolio......... $ 165,744
Expenses from portfolio.................. (11,743)
---------
TOTAL INVESTMENT INCOME............... 154,001
EXPENSES:
Administration........................... $ 959
Distribution
Class B Shares.......................... 1,242
Class C Shares.......................... 574
Shareholder servicing
Class A (Investor) Shares............... 5,214
Class B Shares.......................... 418
Class C Shares.......................... 189
Accounting............................... 17,463
Transfer agent........................... 32,947
Registration............................. 12,364
Other expenses........................... 17,233
Total expenses before reimbursements.... 88,603
Reimbursements.......................... (73,195)
---------
NET EXPENSES............................ 15,408
---------
NET INVESTMENT INCOME.................... 138,593
---------
NET REALIZED/UNREALIZED LOSSES FROM
INVESTMENTS:
Net realized loss from investment and
futures transactions.................... (66,303)
Change in unrealized depreciation from
investments and futures................. (40,409)
---------
Net realized/unrealized loss from
investments and futures................. (106,712)
---------
CHANGE IN NET ASSETS RESULTING FROM
OPERATIONS.............................. $ 31,881
---------
---------
</TABLE>
---------
* Redemption price per share varies based on length of time shares are held.
See notes to financial statements.
26
<PAGE>
REPUBLIC FUNDS
REPUBLIC BOND FUND
STATEMENTS OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
FOR THE SIX
MONTHS ENDED FOR THE PERIOD
APRIL 30, ENDED
2000 OCTOBER 31,
(UNAUDITED) 1999
------------ --------------
<S> <C> <C>
INVESTMENT ACTIVITIES:
OPERATIONS:
Net investment income...................................... $ 138,593 $ 303,848
Net realized losses from investment and futures
transactions............................................. (66,303) (176,984)
Change in unrealized depreciation from investment and
futures transactions..................................... (40,409) (97,937)
---------- ----------
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS.............. 31,881 28,927
---------- ----------
DIVIDENDS:
From net investment income:
Class A (Investor) Shares................................ (125,816) (280,856)
Class B Shares........................................... (8,843) (18,835)
Class C Shares........................................... (3,934) (4,157)
From net realized gains from investment and futures
transactions:
Class A (Investor) Shares................................ -- (98,834)
Class B Shares........................................... -- (7,515)
Class C Shares........................................... -- (143)
In excess of net realized gains from investment and futures
transactions:
Class A (Investor) Shares................................ -- (10,993)
Class B Shares........................................... -- (829)
---------- ----------
CHANGE IN NET ASSETS FROM SHAREHOLDER DIVIDENDS............. (138,593) (422,162)
---------- ----------
CHANGE IN NET ASSETS FROM CAPITAL SHARE TRANSACTIONS........ (4,902) 34,615
---------- ----------
CHANGE IN NET ASSETS........................................ (111,614) (358,620)
NET ASSETS:
Beginning of period...................................... 4,830,810 5,189,430
---------- ----------
End of period............................................ $4,719,196 $4,830,810
---------- ----------
---------- ----------
</TABLE>
See notes to financial statements.
27
<PAGE>
REPUBLIC FUNDS
REPUBLIC BOND FUND
FINANCIAL HIGHLIGHTS -- CLASS A (INVESTMENT) SHARES
SELECTED DATA FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD INDICATED.
<TABLE>
<CAPTION>
FOR THE SIX FOR THE PERIOD
MONTHS ENDED FOR THE YEARS ENDED AUGUST 26,
APRIL 30, OCTOBER 31, 1996
2000 --------------------------- TO OCTOBER 31,
(UNAUDITED) 1999 1998 1997 1996(a)
------------ ------- ------- ------- --------------
<S> <C> <C> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD........................ $ 9.78 $ 10.51 $ 10.50 $ 10.26 $ 10.00
-------- ------- ------- ------- -------
INVESTMENT ACTIVITIES:
Net investment income...................................... 0.32 0.57 0.59 0.57 0.10
Net realized and unrealized gains/(losses) from investment
and futures transactions................................. (0.23) (0.49) 0.01 0.30 0.26
-------- ------- ------- ------- -------
Total from investment activities........................... 0.09 0.08 0.60 0.87 0.36
-------- ------- ------- ------- -------
DIVIDENDS:
Net investment income...................................... (0.32) (0.57) (0.59) (0.57) --
Net realized gains from investment and futures
transactions............................................. -- (0.22) -- (0.06) (0.10)
In excess of net realized gains from investment and futures
transactions............................................. -- (0.02) -- -- --
-------- ------- ------- ------- -------
Total dividends............................................ (0.32) (0.81) (0.59) (0.63) (0.10)
-------- ------- ------- ------- -------
NET ASSET VALUE, END OF PERIOD.............................. $ 9.55 $ 9.78 $ 10.51 $ 10.50 $ 10.26
-------- ------- ------- ------- -------
-------- ------- ------- ------- -------
TOTAL RETURN (EXCLUDES SALES CHARGE)........................ 0.89 %(b) 0.68 % 5.83 % 8.71 % 3.61 %(b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period (000's)......................... $ 4,234 $ 4,331 $ 4,826 $ 2,439 $ 21
Ratio of expenses to average net assets..................... 1.10 %(c) 1.07 % 1.10 % 1.10 % 1.04 %(c)
Ratio of net investment income to average net assets........ 6.04 %(c) 5.84 % 5.51 % 5.40 % 5.23 %(c)
Ratio of expenses to average net assets (d)................. 4.24 %(c) 2.62 % 1.61 % 5.24 % 280.50 %(c)
Portfolio turnover (e)...................................... 199.03 % 433.26 % 126.40 % 349.00 % 152.00 %
</TABLE>
(a) Period from commencement of operations.
(b) Not annualized.
(c) Annualized.
(d) During the period, certain fees were reduced. If such fee reductions had not
occurred, the ratio would have been as indicated.
(e) Portfolio turnover is calculated on the basis of the respective Portfolio in
which the Fund invests all of its investable assets.
See notes to financial statements.
28
<PAGE>
REPUBLIC FUNDS
REPUBLIC BOND FUND
FINANCIAL HIGHLIGHTS -- CLASS B SHARES
SELECTED DATA FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD INDICATED.
<TABLE>
<CAPTION>
FOR THE SIX
MONTHS ENDED FOR THE FOR THE PERIOD
APRIL 30, YEAR ENDED JANUARY 6, 1998
2000 OCTOBER 31, TO OCTOBER 31,
(UNAUDITED) 1999 1998(a)
------------ ----------- ---------------
<S> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD........................ $ 9.78 $ 10.51 $ 10.63
-------- ------- -------
INVESTMENT ACTIVITIES:
Net investment income...................................... 0.28 0.49 0.41
Net realized and unrealized gains/(losses) from investment
and futures transactions................................. (0.22) (0.49) (0.12)
-------- ------- -------
Total from investment activities........................... 0.06 -- 0.29
-------- ------- -------
DIVIDENDS:
Net investment income...................................... (0.28) (0.49) (0.41)
Net realized gains from investment and futures
transactions............................................. -- (0.22) --
In excess of net realized gains from investment and futures
transactions............................................. -- (0.02) --
-------- ------- -------
Total dividends............................................ (0.28) (0.73) (0.41)
-------- ------- -------
NET ASSET VALUE, END OF PERIOD.............................. $ 9.56 $ 9.78 $ 10.51
-------- ------- -------
-------- ------- -------
TOTAL RETURN (EXCLUDES REDEMPTION CHARGE)................... 0.59 %(b) (0.01)% 2.84 %(b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period (000's)......................... $ 333 $ 345 $ 364
Ratio of expenses to average net assets..................... 1.85 %(c) 1.79 % 1.85 %(c)
Ratio of net investment income to average net assets........ 5.28 %(c) 5.13 % 4.76 %(c)
Ratio of expenses to average net assets (d)................. 4.97 %(c) 3.37 % 2.36 %(c)
Portfolio turnover (e)...................................... 199.03 % 433.26 % 126.40 %
</TABLE>
(a) Period from commencement of operations.
(b) Not annualized.
(c) Annualized.
(d) During the period, certain fees were reduced. If such fee reductions had not
occurred, the ratio would have been as indicated.
(e) Portfolio turnover is calculated on the basis of the respective Portfolio in
which the Fund invests all of its investable assets.
See notes to financial statements.
29
<PAGE>
REPUBLIC FUNDS
REPUBLIC BOND FUND
FINANCIAL HIGHLIGHTS -- CLASS C SHARES
SELECTED DATA FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD INDICATED.
<TABLE>
<CAPTION>
FOR THE SIX
MONTHS ENDED FOR THE PERIOD
APRIL 30, NOVEMBER 4, 1998
2000 TO OCTOBER 31,
(UNAUDITED) 1999(a)
------------ ----------------
<S> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD........................ $ 9.77 $ 10.46
------- -------
INVESTMENT ACTIVITIES:
Net investment income...................................... 0.28 0.47
Net realized and unrealized losses from investment and
futures transactions..................................... (0.22) (0.45)
------- -------
Total from investment activities........................... 0.06 0.02
------- -------
DIVIDENDS:
Net investment income...................................... (0.28) (0.47)
Net realized gains from investment and futures
transactions............................................. -- (0.24)
------- -------
Total dividends............................................ (0.28) (0.71)
------- -------
NET ASSET VALUE, END OF PERIOD.............................. $ 9.55 $ 9.77
------- -------
------- -------
TOTAL RETURN (EXCLUDES REDEMPTION CHARGE)................... 0.63 %(b) 0.11 %(b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period (000's)......................... $ 152 $ 152
Ratio of expenses to average net assets..................... 1.85 %(c) 1.95 %(c)
Ratio of net investment income to average net assets........ 5.29 %(c) 4.96 %(c)
Ratio of expenses to average net assets (d)................. 4.96 %(c) 3.50 %(c)
Portfolio turnover (e)...................................... 199.03 % 433.26 %
</TABLE>
(a) Period from commencement of operations.
(b) Not annualized.
(c) Annualized.
(d) During the period, certain fees were reduced. If such fee reductions had not
occurred, the ratio would have been as indicated.
(e) Portfolio turnover is calculated on the basis of the respective Portfolio in
which the Fund invests all of its investable assets.
See notes to financial statements.
30
<PAGE>
REPUBLIC FUNDS
REPUBLIC OVERSEAS EQUITY FUND
STATEMENT OF ASSETS AND LIABILITIES
APRIL 30, 2000 (UNAUDITED)
<TABLE>
<S> <C> <C>
ASSETS:
Investments, at value................... $9,599,913
Receivable for capital shares issued.... 2,589
Receivable from investment manager...... 4,893
Tax reclaims receivable................. 3,685
Deferred organization costs............. 5,371
Prepaid expenses........................ 7,230
----------
TOTAL ASSETS......................... 9,623,681
LIABILITIES:
Accrued expenses and other liabilities:
Administration......................... $ 330
Distribution........................... 407
Shareholder servicing.................. 2,005
Other liabilities...................... 15,251
-------
TOTAL LIABILITIES.................... 17,993
----------
NET ASSETS.............................. $9,605,688
----------
----------
COMPOSITION OF NET ASSETS:
Capital................................. $5,525,868
Accumulated net investment loss......... (79,079)
Accumulated net realized gains from
investment and foreign currency
transactions........................... 525,922
Unrealized appreciation from investment
and foreign currency transactions...... 3,632,977
----------
NET ASSETS.............................. $9,605,688
----------
----------
CLASS A (INVESTOR) SHARES
Net Assets.............................. $9,023,225
Shares Outstanding (par value $0.001,
unlimited number of shares
authorized)............................ 439,883
Net Asset Value and Redemption
Price per share........................ $ 20.51
----------
----------
Maximum Offering Price per share (Net
asset value/(100% -- maximum sales
charge of 3.50%))...................... $ 21.25
----------
----------
CLASS B SHARES
Net Assets.............................. $ 283,423
Shares Outstanding (par value $0.001,
unlimited number of shares
authorized)............................ 14,052
Net Asset Value, Offering Price and
Redemption Price per share*............ $ 20.17
----------
----------
CLASS C SHARES
Net Assets.............................. $ 299,040
Shares Outstanding (par value $0.001,
unlimited number of shares
authorized)............................ 14,687
Net Asset Value, Offering Price and
Redemption Price per share*............ $ 20.36
----------
----------
</TABLE>
STATEMENT OF OPERATIONS
FOR THE SIX MONTHS ENDED APRIL 30, 2000 (UNAUDITED)
<TABLE>
<S> <C> <C>
INVESTMENT INCOME:
Investment income from portfolio........ $ 68,424
Foreign tax withholding from
portfolio.............................. (7,188)
Expenses from portfolio................. (39,428)
----------
TOTAL INVESTMENT INCOME.............. 21,808
EXPENSES:
Administration.......................... $ 1,959
Distribution
Class B Shares......................... 640
Class C Shares......................... 685
Shareholder servicing
Class A (Investor) Shares.............. 11,478
Class B Shares......................... 207
Class C Shares......................... 216
Accounting.............................. 17,477
Transfer agent.......................... 32,017
Printing................................ 5,131
Registration............................ 12,049
Other expenses.......................... 11,237
-------
Total expenses before reimbursements... 93,096
Reimbursements......................... (22,460)
----------
NET EXPENSES........................... 70,636
----------
NET INVESTMENT LOSS..................... (48,828)
----------
NET REALIZED/UNREALIZED GAINS FROM
INVESTMENTS:
Net realized gains from investment and
foreign currency transactions.......... 534,807
Change in unrealized appreciation from
investments and foreign currencies..... 1,386,627
----------
Net realized/unrealized gains from
investments and foreign currencies..... 1,921,434
----------
CHANGE IN NET ASSETS RESULTING FROM
OPERATIONS............................. $1,872,606
----------
----------
</TABLE>
---------
* Redemption price per share varies based on length of time shares are held.
See notes to financial statements.
31
<PAGE>
REPUBLIC FUNDS
REPUBLIC OVERSEAS EQUITY FUND
STATEMENTS OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
FOR THE SIX
MONTHS ENDED FOR THE
APRIL 30, YEAR ENDED
2000 OCTOBER 31,
(UNAUDITED) 1999
------------ --------------
<S> <C> <C>
INVESTMENT ACTIVITIES:
OPERATIONS:
Net investment loss........................................ $ (48,828) $ (21,758)
Net realized gains from investment and foreign currency
transactions............................................. 534,807 223,700
Change in unrealized appreciation from investment and
foreign currency transactions............................ 1,386,627 2,283,371
---------- ----------
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS.............. 1,872,606 2,485,313
---------- ----------
DIVIDENDS:
From net investment income:
Class A (Investor) Shares.................................. -- (9,884)
From net realized gains from investment and foreign currency
transactions:
Class A (Investor) Shares.................................. (105,101) --
Class B.................................................... (1,339) --
Class C.................................................... (955) --
---------- ----------
CHANGE IN NET ASSETS FROM SHAREHOLDER DIVIDENDS............. (107,395) (9,884)
---------- ----------
CHANGE IN NET ASSETS FROM CAPITAL SHARE TRANSACTIONS........ (484,913) (261,508)
---------- ----------
CHANGE IN NET ASSETS........................................ 1,280,298 2,213,921
NET ASSETS:
Beginning of period........................................ 8,325,390 6,111,469
---------- ----------
End of period.............................................. $9,605,688 $8,325,390
---------- ----------
---------- ----------
</TABLE>
See notes to financial statements.
32
<PAGE>
REPUBLIC FUNDS
REPUBLIC OVERSEAS EQUITY FUND
FINANCIAL HIGHLIGHTS -- CLASS A (INVESTOR) SHARES
SELECTED DATA FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD INDICATED.
<TABLE>
<CAPTION>
FOR THE SIX FOR THE PERIOD
MONTHS ENDED AUGUST 26,
APRIL 30, FOR THE YEARS ENDED OCTOBER 31, 1996
2000 ------------------------------------ TO OCTOBER 31,
(UNAUDITED) 1999 1998 1997 1996(a)
------------ ------ ------ ------ --------------
<S> <C> <C> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD............... $16.90 $11.64 $11.57 $10.15 $10.00
------ ------ ------ ------ ------
INVESTMENT ACTIVITIES:
Net investment loss............................... (0.11) (0.04) (0.01) (0.00)* --
Net realized and unrealized gains from investment
and foreign currency transactions............... 3.94 5.32 0.23 1.43 0.15
------ ------ ------ ------ ------
Total from investment activities.................. 3.83 5.28 0.22 1.43 0.15
------ ------ ------ ------ ------
DIVIDENDS:
Net investment income............................. -- (0.02) (0.08) (0.01) --
Net realized gains from investment and foreign
currency transactions........................... (0.22) -- (0.07) (0.00)* --
------ ------ ------ ------ ------
Total dividends................................... (0.22) (0.02) (0.15) (0.01) --
------ ------ ------ ------ ------
NET ASSET VALUE, END OF PERIOD..................... $20.51 $16.90 $11.64 $11.57 $10.15
------ ------ ------ ------ ------
------ ------ ------ ------ ------
TOTAL RETURN (EXCLUDES SALES CHARGE)............... 22.81 %(b) 45.41 % 1.96 % 14.08 % 1.50%(b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period (000's)................ $9,023 $8,138 $6,070 $3,660 $ 142
Ratio of expenses to average net assets............ 1.89 %(c) 1.86 % 1.77 % 1.71 % 1.69%(c)
Ratio of net investment loss to average net
assets............................................ (1.01)%(c) (0.30)% (0.08)% (0.16)% 0.05%(c)
Ratio of expenses to average net assets (d)........ 2.75 %(c) 2.44 % 1.86 % 4.10 % 33.34%(c)
Portfolio turnover (e)............................. 14.50 % 34.26 % 40.47 % 30.00 % 23.30%
</TABLE>
* Less than $0.005 per share.
(a) Period from commencement of operations.
(b) Not annualized.
(c) Annualized.
(d) During the period, certain fees were reduced. If such fee reductions had not
occurred, the ratio would have been as indicated.
(e) Portfolio turnover is calculated on the basis of the respective Portfolio in
which the Fund invests all of its investable assets.
See notes to financial statements.
33
<PAGE>
REPUBLIC FUNDS
REPUBLIC OVERSEAS EQUITY FUND
FINANCIAL HIGHLIGHTS -- CLASS B SHARES
SELECTED DATA FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD INDICATED.
<TABLE>
<CAPTION>
FOR THE SIX
MONTHS ENDED FOR THE FOR THE PERIOD
APRIL 30, YEAR ENDED JANUARY 6, 1998
2000 OCTOBER 31, TO OCTOBER 31,
(UNAUDITED) 1999 1998(a)
------------ ----------- ---------------
<S> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD........................ $16.69 $11.57 $11.45
------ ------ ------
INVESTMENT ACTIVITIES:
Net investment loss........................................ (0.19) (0.12) (0.07)
Net realized and unrealized gains from investment and
foreign currency transactions............................ 3.89 5.24 0.19
------ ------ ------
Total from investment activities........................... 3.70 5.12 0.12
------ ------ ------
DIVIDENDS:
Net realized gains from investment and foreign currency
transactions............................................. (0.22) -- --
------ ------ ------
Total dividends............................................ (0.22) -- --
------ ------ ------
NET ASSET VALUE, END OF PERIOD.............................. $20.17 $16.69 $11.57
------ ------ ------
------ ------ ------
TOTAL RETURN (EXCLUDES REDEMPTION CHARGE)................... 22.31 %(b) 44.25 % 1.05 %(b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period (000's)......................... $ 283 $ 90 $ 42
Ratio of expenses to average net assets..................... 2.64 %(c) 2.59 % 2.52 %(c)
Ratio of net investment loss to average net assets.......... (1.56)%(c) (1.04)% (0.83)%(c)
Ratio of expenses to average net assets (d)................. 3.23 %(c) 3.24 % 2.61 %(c)
Portfolio turnover (e)...................................... 14.50 % 34.26 % 40.47 %
</TABLE>
(a) Period from commencement of operations.
(b) Not annualized.
(c) Annualized.
(d) During the period, certain fees were reduced. If such fee reductions had not
occurred, the ratio would have been as indicated.
(e) Portfolio turnover is calculated on the basis of the respective Portfolio in
which the Fund invests all of its investable assets.
See notes to financial statements.
34
<PAGE>
REPUBLIC FUNDS
REPUBLIC OVERSEAS EQUITY FUND
FINANCIAL HIGHLIGHTS -- CLASS C SHARES
SELECTED DATA FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD INDICATED.
<TABLE>
<CAPTION>
FOR THE PERIOD
FOR THE SIX NOVEMBER 4,
MONTHS ENDED 1998
APRIL 30, 2000 TO OCTOBER 31,
(UNAUDITED) 1999(a)
-------------- ----------------
<S> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD........................ $ 16.84 $11.88
------- ------
INVESTMENT ACTIVITIES:
Net investment loss........................................ (0.18) (0.08)
Net realized and unrealized gains from investment and
foreign currency transactions............................ 3.92 5.04
------- ------
Total from investment activities........................... 3.74 4.96
------- ------
DIVIDENDS:
Net realized gains from investment and foreign currency
transactions............................................. (0.22) --
------- ------
Total dividends............................................ (0.22) --
------- ------
NET ASSET VALUE, END OF PERIOD.............................. $ 20.36 $16.84
------- ------
------- ------
TOTAL RETURN (EXCLUDES REDEMPTION CHARGE)................... 22.28%(b) 41.84%(b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period (000's)......................... $ 299 $ 98
Ratio of expenses to average net assets..................... 2.64 %(c) 2.57 %(c)
Ratio of net investment loss to average net assets.......... (1.51)%(c) (1.01)%(c)
Ratio of expenses to average net assets (d)................. 3.18 %(c) 3.15 %(c)
Portfolio turnover (e)...................................... 14.50 % 34.26 %
</TABLE>
(a) Period from commencement of operations.
(b) Not annualized.
(c) Annualized.
(d) During the period, certain fees were reduced. If such fee reductions had not
occurred, the ratio would have been as indicated.
(e) Portfolio turnover is calculated on the basis of the respective Portfolio in
which the Fund invests all of its investable assets.
See notes to financial statements.
35
<PAGE>
REPUBLIC FUNDS
REPUBLIC OPPORTUNITY FUND
STATEMENT OF ASSETS AND LIABILITIES
APRIL 30, 2000 (UNAUDITED)
<TABLE>
<S> <C> <C>
ASSETS:
Investments, at value.................. $19,257,094
Receivable for capital shares issued... 247
Receivable from investment manager..... 5,243
Deferred organization costs............ 4,478
Miscellaneous receivables and prepaid
expenses.............................. 829
-----------
TOTAL ASSETS........................ 19,267,891
LIABILITIES:
Payable for capital shares redeemed.... $ 3,449
Accrued expenses and other liabilities:
Administration........................ 637
Distribution.......................... 905
Shareholder servicing................. 3,756
Other liabilities..................... 31,247
-------
TOTAL LIABILITIES................... 39,994
-----------
NET ASSETS............................. $19,227,897
-----------
-----------
COMPOSITION OF NET ASSETS:
Capital............................... $12,266,920
Accumulated net investment loss....... (156,354)
Accumulated net realized gains from
investments......................... 4,286,165
Unrealized appreciation from
investments......................... 2,831,166
-----------
NET ASSETS............................. $19,227,897
-----------
-----------
CLASS A (INVESTOR) SHARES
Net Assets............................. $17,655,117
Shares Outstanding (par value $0.001,
unlimited number of shares
authorized)........................... 1,001,892
Net Asset Value and Redemption
Price per share........................ $ 17.62
-----------
-----------
Maximum Offering Price per share (Net
asset value/(100% -- maximum sales
charge of 3.50%))..................... $ 18.26
-----------
-----------
CLASS B SHARES
Net Assets............................. $ 916,075
Shares Outstanding (par value $0.001,
unlimited number of shares
authorized)........................... 52,749
Net Asset Value, Offering Price and
Redemption Price per share*........... $ 17.37
-----------
-----------
CLASS C SHARES
Net Assets............................. $ 656,705
Shares Outstanding (par value $0.001,
unlimited number of shares
authorized)........................... 37,577
Net Asset Value, Offering Price and
Redemption Price per share*........... $ 17.48
-----------
-----------
</TABLE>
STATEMENT OF OPERATIONS
FOR THE SIX MONTHS ENDED APRIL 30, 2000 (UNAUDITED)
<TABLE>
<S> <C> <C>
INVESTMENT LOSS:
Investment income from portfolio........ $ 25,652
Expenses from portfolio................. (92,084)
----------
TOTAL INVESTMENT LOSS................ (66,432)
EXPENSES:
Administration.......................... $ 3,811
Distribution
Class B Shares......................... 2,806
Class C Shares......................... 1,827
Shareholder servicing
Class A (Investor) Shares.............. 21,540
Class B Shares......................... 980
Class C Shares......................... 634
Accounting.............................. 17,477
Transfer agent.......................... 36,446
Printing................................ 6,768
Registration............................ 12,765
Other expenses.......................... 5,767
-------
Total expenses before reimbursements... 110,821
Reimbursements......................... (20,899)
----------
NET EXPENSES........................... 89,922
----------
NET INVESTMENT LOSS..................... (156,354)
----------
NET REALIZED/UNREALIZED GAINS FROM
INVESTMENTS:
Net realized gains from investment
transactions........................... 4,419,509
Change in unrealized appreciation from
investments............................ 1,967,109
----------
Net realized/unrealized gains from
investments............................ 6,386,618
----------
CHANGE IN NET ASSETS RESULTING FROM
OPERATIONS............................. $6,230,264
----------
----------
</TABLE>
---------
* Redemption price per share varies based on length of time shares are held.
See notes to financial statements.
36
<PAGE>
REPUBLIC FUNDS
REPUBLIC OPPORTUNITY FUND
STATEMENTS OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
FOR THE SIX
MONTHS ENDED FOR THE
APRIL 30, YEAR ENDED
2000 OCTOBER 31,
(UNAUDITED) 1999(A)
------------ -----------
<S> <C> <C>
INVESTMENT ACTIVITIES:
OPERATIONS:
Net investment loss........................................ $ (156,354) $ (193,773)
Net realized gains from investment transactions............ 4,419,509 1,513,003
Change in unrealized appreciation from investment
transactions............................................. 1,967,109 1,552,817
----------- -----------
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS.............. 6,230,264 2,872,047
----------- -----------
DIVIDENDS:
In excess of net investment income:
Class A (Investor) Shares.................................. -- (42,676)
Class B Shares............................................. -- (1,322)
Class C Shares(a).......................................... -- (131)
From net realized gains from investment transactions:
Class A (Investor) Shares.................................. (1,264,593) (723,716)
Class B Shares............................................. (53,066) (22,200)
Class C Shares(a).......................................... (28,893) (1,482)
----------- -----------
CHANGE IN NET ASSETS FROM SHAREHOLDER DIVIDENDS............. (1,346,552) (791,527)
----------- -----------
CHANGE IN NET ASSETS FROM CAPITAL SHARE TRANSACTIONS........ 504,022 (1,726,997)
----------- -----------
CHANGE IN NET ASSETS........................................ 5,387,734 353,523
NET ASSETS:
Beginning of period........................................ 13,840,163 13,486,640
----------- -----------
End of period.............................................. $19,227,897 $13,840,163
----------- -----------
----------- -----------
</TABLE>
---------
(a) The Fund commenced offering Class C Shares on November 4, 1998.
See notes to financial statements.
37
<PAGE>
REPUBLIC FUNDS
REPUBLIC OPPORTUNITY FUND
FINANCIAL HIGHLIGHTS -- CLASS A (INVESTOR) SHARES
SELECTED DATA FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD INDICATED.
<TABLE>
<CAPTION>
FOR THE SIX
MONTHS ENDED FOR THE PERIOD
APRIL 30, FOR THE YEARS ENDED OCTOBER 31, SEPTEMBER 23, 1996
2000 --------------------------------- TO OCTOBER 31,
(UNAUDITED) 1999 1998 1997 1996(a)
------------ ------- ------- ------- ------------------
<S> <C> <C> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD................. $ 13.19 $ 11.33 $ 12.37 $ 9.80 $ 10.00
-------- ------- ------- ------- -------
INVESTMENT ACTIVITIES:
Net investment loss................................. (0.14) (0.19) (0.13) (0.07) --
Net realized and unrealized gains/(losses) from
investment transactions........................... 5.88 2.78 (0.46) 2.64 (0.20)
-------- ------- ------- ------- -------
Total from investment activities.................... 5.74 2.59 (0.59) 2.57 (0.20)
-------- ------- ------- ------- -------
DIVIDENDS:
Net investment income............................... -- (0.04) -- -- --
Net realized gains from investment transactions..... (1.31) (0.69) (0.45) (0.00)* --
-------- ------- ------- ------- -------
Total dividends..................................... (1.31) (0.73) (0.45) (0.00)* --
-------- ------- ------- ------- -------
NET ASSET VALUE, END OF PERIOD....................... $ 17.62 $ 13.19 $ 11.33 $ 12.37 $ 9.80
-------- ------- ------- ------- -------
-------- ------- ------- ------- -------
TOTAL RETURN (EXCLUDES SALES CHARGE)................. 45.22 %(b) 23.80 % (4.68%) 26.28 % (2.00% ) (b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period (000's).................. $ 17,655 $13,015 $13,137 $ 9,983 $ 3,184
Ratio of expenses to average net assets.............. 1.65 %(c) 1.75 % 1.63 % 1.55 % 1.22 %(c)
Ratio of net investment loss to average net assets... (1.64)%(c) (1.38)% (1.17)% (1.05)% (0.28)%(c)
Ratio of expenses to average net assets (d).......... 2.18 %(c) 2.14 % 1.64 % 2.01 % 2.90 %(c)
Portfolio turnover (e)............................... 43.34 % 77.74 % 154.69 % 92.18 % 50.55 %
</TABLE>
* Less than $0.005 per share.
(a) Period from commencement of operations.
(b) Not annualized.
(c) Annualized.
(d) During the period, certain fees were reduced. If such fee reductions had not
occurred, the ratio would have been as indicated.
(e) Portfolio turnover is calculated on the basis of the respective Portfolio in
which the Fund invests all of its investable assets.
See notes to financial statements.
38
<PAGE>
REPUBLIC FUNDS
REPUBLIC OPPORTUNITY FUND
FINANCIAL HIGHLIGHTS -- CLASS B SHARES
SELECTED DATA FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD INDICATED.
<TABLE>
<CAPTION>
FOR THE SIX
MONTHS ENDED FOR THE FOR THE PERIOD
APRIL 30, YEAR ENDED JANUARY 6, 1998
2000 OCTOBER 31, TO OCTOBER 31,
(UNAUDITED) 1999 1998(a)
------------ ----------- ---------------
<S> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD........................ $ 13.06 $ 11.31 $ 11.65
------- -------- -------
INVESTMENT ACTIVITIES:
Net investment loss........................................ (0.20) (0.23) (0.09)
Net realized and unrealized gains/(losses) from investment
transactions............................................. 5.82 2.71 (0.25)
------- -------- -------
Total from investment activities........................... 5.62 2.48 (0.34)
------- -------- -------
DIVIDENDS:
In excess of net investment income......................... -- (0.04) --
Net realized gains from investment transactions............ (1.31) (0.69) --
------- -------- -------
Total dividends............................................ (1.31) (0.73) --
------- -------- -------
NET ASSET VALUE, END OF PERIOD.............................. $ 17.37 $ 13.06 $ 11.31
------- -------- -------
------- -------- -------
TOTAL RETURN (EXCLUDES REDEMPTION CHARGE)................... 44.72 %(b) 22.93 % (2.92% ) (b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period (000's)......................... $ 916 $ 536 $ 349
Ratio of expenses to average net assets..................... 2.40 %(c) 2.48 % 2.38 %(c)
Ratio of net investment loss to average net assets.......... (2.36)%(c) (2.12)% (1.92)%(c)
Ratio of expenses to average net assets (d)................. 2.79 %(c) 2.92 % 2.39 %(c)
Portfolio turnover (e)...................................... 43.34 % 77.74 % 154.69 %
</TABLE>
(a) Period from commencement of operations.
(b) Not annualized.
(c) Annualized.
(d) During the period, certain fees were reduced. If such fee reductions had not
occurred, the ratio would have been as indicated.
(e) Portfolio turnover is calculated on the basis of the respective Portfolio in
which the Fund invests all of its investable assets.
See notes to financial statements.
39
<PAGE>
REPUBLIC FUNDS
REPUBLIC OPPORTUNITY FUND
FINANCIAL HIGHLIGHTS -- CLASS C SHARES
SELECTED DATA FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD INDICATED.
<TABLE>
<CAPTION>
FOR THE SIX
MONTHS ENDED FOR THE PERIOD
APRIL 30, NOVEMBER 4, 1998
2000 TO OCTOBER 31,
(UNAUDITED) 1999(a)
------------ ----------------
<S> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD........................ $ 13.13 $ 11.55
------- -------
INVESTMENT ACTIVITIES:
Net investment loss........................................ (0.33) (0.10)
Net realized and unrealized gains from investment
transactions............................................. 5.99 2.41
------- -------
Total from investment activities........................... 5.66 2.31
------- -------
DIVIDENDS:
In excess of net investment income......................... -- (0.04)
Net realized gains from investment transactions............ (1.31) (0.69)
------- -------
Total dividends............................................ (1.31) (0.73)
------- -------
NET ASSET VALUE, END OF PERIOD.............................. $ 17.48 $ 13.13
------- -------
------- -------
TOTAL RETURN (EXCLUDES REDEMPTION CHARGE)................... 44.79 %(b) 21.00 %(b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period (000's)......................... $ 657 $ 289
Ratio of expenses to average net assets..................... 2.40 %(c) 2.38 %(c)
Ratio of net investment loss to average net assets.......... (2.30)%(c) (2.02)%(c)
Ratio of expenses to average net assets (d)................. 2.71 %(c) 2.77 %(c)
Portfolio turnover (e)...................................... 43.34 % 77.74 %
</TABLE>
(a) Period from commencement of operations.
(b) Not annualized.
(c) Annualized.
(d) During the period, certain fees were reduced. If such fee reductions had not
occurred, the ratio would have been as indicated.
(e) Portfolio turnover is calculated on the basis of the respective Portfolio in
which the Fund invests all of its investable assets.
See notes to financial statements.
40
<PAGE>
REPUBLIC ADVISOR FUNDS TRUST
REPUBLIC FIXED INCOME FUND
STATEMENT OF ASSETS AND LIABILITIES
APRIL 30, 2000 (UNAUDIT)
<TABLE>
<S> <C> <C>
ASSETS:
Investments, at value................ $101,556,238
Prepaid expenses..................... 1,480
------------
TOTAL ASSETS...................... 101,557,718
LIABILITIES:
Dividends payable.................... $265,528
Payable for capital shares
redeemed............................. 540,424
Accrued expenses and other liabilities:
Administration...................... 3,482
Other liabilities................... 22,000
--------
TOTAL LIABILITIES................. 831,434
------------
NET ASSETS........................... $100,726,284
------------
------------
COMPOSITION OF NET ASSETS:
Capital.............................. $110,239,754
Accumulated net investment loss...... (248,491)
Accumulated net realized loss from
investment and futures
transactions........................ (4,627,268)
Unrealized depreciation from
investment and futures
transactions........................ (4,637,711)
------------
NET ASSETS........................... $100,726,284
------------
------------
Shares Outstanding (par value $0.001,
unlimited number of authorized
shares)............................. 10,295,280
------------
------------
Net Asset Value, Offering Price and
Redemption Price per share.......... $ 9.78
------------
------------
</TABLE>
STATEMENT OF OPERATIONS
FOR THE SIX MONTHS ENDED APRIL 30, 2000 (UNAUDITED)
<TABLE>
<S> <C> <C>
INVESTMENT INCOME:
Investment income from portfolio........ $ 3,847,887
Expenses from portfolio................. (272,240)
-----------
TOTAL INVESTMENT INCOME.............. 3,575,647
EXPENSES:
Administration.......................... $21,937
Accounting.............................. 12,179
Transfer agent.......................... 13,143
Printing................................ 6,843
Registration............................ 5,557
Other expenses.......................... 14,478
-------
TOTAL EXPENSES....................... 74,137
-----------
NET INVESTMENT INCOME................... 3,501,510
-----------
NET REALIZED/UNREALIZED LOSSES FROM
INVESTMENTS:
Net realized losses from investment and
futures transactions................... (1,311,541)
Change in unrealized depreciation from
investments and futures................ (1,229,825)
-----------
Net realized/unrealized losses from
investments and futures................ (2,541,366)
-----------
CHANGE IN NET ASSETS RESULTING FROM
OPERATIONS............................. $ 960,144
-----------
-----------
</TABLE>
See notes to financial statements.
41
<PAGE>
REPUBLIC ADVISOR FUNDS TRUST
REPUBLIC FIXED INCOME FUND
STATEMENTS OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
FOR THE SIX FOR THE
MONTHS ENDED YEAR ENDED
APRIL 30, 2000 OCTOBER 31,
(UNAUDITED) 1999
-------------- ------------
<S> <C> <C>
INVESTMENT ACTIVITIES:
OPERATIONS:
Net investment income...................................... $ 3,501,510 $ 6,960,802
Net realized losses from investment and futures
transactions............................................. (1,311,541) (3,338,029)
Change in unrealized depreciation from investments and
futures.................................................. (1,229,825) (2,387,320)
------------ ------------
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS.............. 960,144 1,235,453
------------ ------------
DIVIDENDS:
Net investment income...................................... (3,501,510) (6,960,802)
Net realized gain from investment and futures
transactions............................................. -- (2,615,480)
In excess of net realized gain from investment and futures
transactions............................................. -- (54,412)
------------ ------------
CHANGE IN NET ASSETS FROM SHAREHOLDER DIVIDENDS............. (3,501,510) (9,630,694)
------------ ------------
CAPITAL SHARE TRANSACTIONS:
Proceeds from shares issued................................ 4,403,311 22,231,660
Dividends reinvested....................................... 3,396,493 8,621,925
Cost of shares redeemed.................................... (18,936,773) (5,781,569)
------------ ------------
CHANGE IN NET ASSETS FROM CAPITAL SHARE TRANSACTIONS........ (11,136,969) 25,072,016
------------ ------------
CHANGE IN NET ASSETS........................................ (13,678,335) 16,676,775
NET ASSETS:
Beginning of period........................................ 114,404,619 97,727,844
------------ ------------
End of period.............................................. $100,726,284 $114,404,619
------------ ------------
------------ ------------
SHARE TRANSACTIONS:
Issued..................................................... 446,311 2,127,144
Reinvested................................................. 343,350 827,775
Redeemed................................................... (1,921,767) (567,666)
------------ ------------
Change in shares............................................ (1,132,106) 2,387,253
------------ ------------
------------ ------------
</TABLE>
See notes to financial statements.
42
<PAGE>
REPUBLIC ADVISOR FUNDS TRUST
REPUBLIC FIXED INCOME FUND
FINANCIAL HIGHLIGHTS
SELECTED DATA FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD INDICATED.
<TABLE>
<CAPTION>
FOR THE SIX
MONTHS ENDED FOR THE PERIOD
APRIL 30, FOR THE YEARS ENDED OCTOBER 31, JANUARY 9, 1995
2000 ----------------------------------------------- TO OCTOBER 31,
(UNAUDITED) 1999 1998 1997 1996 1995(a)
------------ -------- ------- ------- ------- ---------------
<S> <C> <C> <C> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD...... $ 10.01 $ 10.81 $ 10.92 $ 10.67 $ 10.96 $ 10.00
-------- -------- ------- ------- ------- -------
INVESTMENT ACTIVITIES:
Net investment income.................... 0.35 0.62 0.65 0.59 0.59 0.46
Net realized and unrealized
gains/(losses) from investment and
futures transactions................... (0.23) (0.51) 0.02 0.31 0.08 0.96
-------- -------- ------- ------- ------- -------
Total from investment activities......... 0.12 0.11 0.67 0.90 0.67 1.42
-------- -------- ------- ------- ------- -------
DIVIDENDS:
Net investment income.................... (0.35) (0.62) (0.65) (0.64) (0.59) (0.46)
In excess of net realized gains from
investment and futures transactions.... -- (0.01) -- -- -- --
Net realized gains from investment and
futures transactions................... -- (0.28) (0.13) (0.01) (0.37) --
-------- -------- ------- ------- ------- -------
Total dividend........................... (0.35) (0.91) (0.78) (0.65) (0.96) (0.46)
-------- -------- ------- ------- ------- -------
NET ASSET VALUE, END OF PERIOD............ $ 9.78 $ 10.01 $ 10.81 $ 10.92 $ 10.67 $ 10.96
-------- -------- ------- ------- ------- -------
-------- -------- ------- ------- ------- -------
TOTAL RETURN.............................. 1.23%(b) 1.01% 6.26% 9.14% 6.51% 14.37%(b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period (000's)....... $100,726 $114,405 $97,728 $71,686 $42,424 $26,128
Ratio of expenses to average net assets... 0.65%(c) 0.69% 0.78% 0.83% 0.83% 0.91%(c)
Ratio of net investment income to average
net assets............................... 6.58%(c) 6.31% 5.87% 5.92% 5.51% 5.63%(c)
Ratio of expenses to average net assets... 0.65%(c) 0.69% 0.78% 0.85%(d) 1.06%(d) 1.72%(c),(d)
Portfolio turnover (e).................... 199.03% 433.26% 126.40% 349.00% 152.00% 100.00%
</TABLE>
(a) Period from commencement of operations.
(b) Not annualized.
(c) Annualized.
(d) During the period, certain fees were reduced. If such fee reductions had not
occurred, the ratio would have been as indicated.
(e) Portfolio turnover is calculated on the basis of the respective Portfolio in
which the Fund invests all of its investable assets.
See notes to financial statements.
43
<PAGE>
REPUBLIC ADVISOR FUNDS TRUST
REPUBLIC INTERNATIONAL EQUITY FUND
STATEMENT OF ASSETS AND LIABILITIES
APRIL 30, 2000 (UNAUDITED)
<TABLE>
<S> <C> <C>
ASSETS:
Investments, at value................ $239,715,929
Receivable for capital shares
issued.............................. 1,772,267
Tax reclaims receivable.............. 113,024
Prepaid expenses..................... 7,450
------------
TOTAL ASSETS...................... 241,608,670
LIABILITIES:
Payable for capital shares
redeemed............................ $715,000
Accrued expenses and other
liabilities:
Administration...................... 8,189
Other liabilities................... 65,723
--------
TOTAL LIABILITIES................. 788,912
------------
NET ASSETS........................... $240,819,758
------------
------------
COMPOSITION OF NET ASSETS:
Capital.............................. $144,185,395
Accumulated net investment loss...... (611,857)
Accumulated net realized gains from
investment and foreign currency
transactions........................ 12,797,319
Unrealized appreciation from
investment and foreign currency
transactions........................ 84,448,901
------------
NET ASSETS........................... $240,819,758
------------
------------
Shares Outstanding (par value $0.001,
unlimited number of authorized
shares)............................. 11,153,481
------------
------------
Net Asset Value, Offering Price and
Redemption Price per share.......... $ 21.59
------------
------------
</TABLE>
STATEMENT OF OPERATIONS
FOR THE SIX MONTHS ENDED APRIL 30, 2000 (UNAUDITED)
<TABLE>
<S> <C> <C>
INVESTMENT INCOME:
Investment income from portfolio....... $ 1,571,578
Tax reclaims........................... 14,054
Foreign tax withholding from
portfolio............................. (168,504)
Expenses from portfolio................ (889,353)
-----------
TOTAL INVESTMENT INCOME............. 527,775
EXPENSES:
Administration......................... $43,970
Accounting............................. 9,747
Transfer agent......................... 14,330
Printing............................... 9,394
Other expenses......................... 12,666
-------
TOTAL EXPENSES........................ 90,107
-----------
NET INVESTMENT INCOME.................. 437,668
-----------
NET REALIZED/UNREALIZED GAINS FROM
INVESTMENTS:
Net realized gains from investment and
foreign currency transactions......... 12,812,080
Change in unrealized appreciation from
investments and foreign currencies.... 26,950,887
-----------
Net realized/unrealized gains from
investments and foreign currencies.... 39,762,967
-----------
CHANGE IN NET ASSETS RESULTING FROM
OPERATIONS............................ $40,200,635
-----------
-----------
</TABLE>
See notes to financial statements.
44
<PAGE>
REPUBLIC ADVISOR FUNDS TRUST
REPUBLIC INTERNATIONAL EQUITY FUND
STATEMENTS OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
FOR THE SIX
MONTHS ENDED FOR THE
APRIL 30, YEAR ENDED
2000 OCTOBER 31,
(UNAUDITED) 1999
------------ --------------
<S> <C> <C>
INVESTMENT ACTIVITIES:
OPERATIONS:
Net investment income...................................... $ 437,668 $ 794,715
Net realized gains from investment and foreign currency
transactions............................................. 12,812,080 9,924,244
Change in unrealized appreciation from investments and
foreign currencies....................................... 26,950,887 45,308,486
------------ ------------
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS.............. 40,200,635 56,027,445
------------ ------------
DIVIDENDS:
Net investment income...................................... (1,113,205) (1,360,840)
Net realized gains from investment and foreign currency
transactions............................................. (10,986,096) (4,150,773)
------------ ------------
CHANGE IN NET ASSETS FROM SHAREHOLDER DIVIDENDS............. (12,099,301) (5,511,613)
------------ ------------
CAPITAL SHARE TRANSACTIONS:
Proceeds from shares issued................................ 56,626,745 21,530,523
Dividends reinvested....................................... 11,983,348 5,352,712
Cost of shares redeemed.................................... (27,895,931) (25,644,831)
------------ ------------
CHANGE IN NET ASSETS FROM CAPITAL SHARE TRANSACTIONS........ 40,714,162 1,238,404
------------ ------------
CHANGE IN NET ASSETS........................................ 68,815,496 51,754,236
NET ASSETS:
Beginning of period........................................ 172,004,262 120,250,026
------------ ------------
End of period.............................................. $240,819,758 $172,004,262
------------ ------------
------------ ------------
SHARE TRANSACTIONS:
Issued..................................................... 2,558,109 1,192,021
Reinvested................................................. 603,844 402,970
Redeemed................................................... (1,264,214) (1,422,117)
------------ ------------
Change in shares............................................ 1,897,739 172,874
------------ ------------
------------ ------------
</TABLE>
See notes to financial statements.
45
<PAGE>
REPUBLIC ADVISOR FUNDS TRUST
REPUBLIC INTERNATIONAL EQUITY FUND
FINANCIAL HIGHLIGHTS
SELECTED DATA FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD INDICATED.
<TABLE>
<CAPTION>
FOR THE SIX
MONTHS ENDED FOR THE PERIOD
APRIL 30, FOR THE YEARS ENDED OCTOBER 31, JANUARY 9, 1995
2000 ------------------------------------------------- TO OCTOBER, 31
(UNAUDITED) 1999 1998 1997 1996 1995(a)
------------ -------- -------- -------- ------- ---------------
<S> <C> <C> <C> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD... $ 18.58 $ 13.24 $ 13.76 $ 12.05 $ 10.80 $ 10.00
-------- -------- -------- -------- ------- -------
INVESTMENT ACTIVITIES:
Net investment income................. 0.05 0.09 0.11 0.12 0.11 0.08
Net realized and unrealized gains from
investment and foreign currency
transactions........................ 4.27 5.87 0.32 1.85 1.31 0.75
-------- -------- -------- -------- ------- -------
Total from investment activities...... 4.32 5.96 0.43 1.97 1.42 0.83
-------- -------- -------- -------- ------- -------
DIVIDENDS:
Net investment income................. (0.11) (0.15) (0.27) (0.11) (0.16) (0.03)
Net realized gains from investment and
foreign currency transactions....... (1.20) (0.47) (0.68) (0.15) (0.01) --
-------- -------- -------- -------- ------- -------
Total dividends....................... (1.31) (0.62) (0.95) (0.26) (0.17) (0.03)
-------- -------- -------- -------- ------- -------
NET ASSET VALUE, END OF PERIOD......... $ 21.59 $ 18.58 $ 13.24 $ 13.76 $ 12.05 $ 10.80
-------- -------- -------- -------- ------- -------
-------- -------- -------- -------- ------- -------
TOTAL RETURN........................... 23.91%(b) 46.92% 3.49% 16.62% 13.22% 8.31%(b)
RATIOS/SUPPLEMENTARY DATA:
Net Assets at end of period (000's).... $240,820 $172,004 $120,250 $132,924 $96,977 $34,244
Ratio of expenses to average net
assets................................ 0.92%(c) 1.05% 1.09% 0.91% 1.11% 1.14%(c)
Ratio of net investment income to
average net assets.................... 0.41%(c) 0.54% 0.75% 0.91% 0.99% 1.26%(c)
Ratio of expenses to average net
assets................................ 0.92%(c) 1.05% 1.09% 0.91% 1.13%(d) 2.12%(c),(d)
Portfolio turnover(e).................. 14.50% 34.26% 40.47% 30.00% 23.30% 3.07%
</TABLE>
(a) Period from commencement of operations.
(b) Not annualized.
(c) Annualized.
(d) During the period, certain fees were reduced. If such fee reductions had not
occurred, the ratio would have been as indicated.
(e) Portfolio turnover is calculated on the basis of the respective Portfolio in
which the Fund invests all of its investable assets.
See notes to financial statements.
46
<PAGE>
REPUBLIC ADVISOR FUNDS TRUST
REPUBLIC SMALL CAP EQUITY FUND
STATEMENT OF ASSETS AND LIABILITIES
APRIL 30, 2000 (UNAUDITED)
<TABLE>
<S> <C> <C>
ASSETS:
Investments, at value................ $222,018,091
Receivable for capital shares
issued.............................. 788,385
Deferred organization costs.......... 5,979
Prepaid expenses..................... 2,533
------------
TOTAL ASSETS...................... 222,814,988
LIABILITIES:
Payable for capital shares
redeemed............................ $325,000
Accrued expenses and other
liabilities:
Administration...................... 7,327
Other liabilities................... 41,048
--------
TOTAL LIABILITIES................. 373,375
------------
NET ASSETS........................... $222,441,613
------------
------------
COMPOSITION OF NET ASSETS:
Capital.............................. $148,129,856
Accumulated net investment loss...... (834,583)
Accumulated net realized gains from
investments......................... 45,662,121
Unrealized appreciation from
investments......................... 29,484,219
------------
NET ASSETS........................... $222,441,613
------------
------------
Shares Outstanding (par value $0.001,
unlimited number of authorized
shares)............................. 13,328,856
------------
------------
Net Asset Value, Offering Price and
Redemption Price per share.......... $ 16.69
------------
------------
</TABLE>
STATEMENT OF OPERATIONS
FOR THE SIX MONTHS ENDED APRIL 30, 2000 (UNAUDITED)
<TABLE>
<S> <C> <C>
INVESTMENT LOSS:
Investment income from portfolio....... $ 286,828
Expenses from portfolio................ (1,026,456)
-----------
TOTAL INVESTMENT LOSS............... (739,628)
EXPENSES:
Administration......................... $42,469
Accounting............................. 5,933
Transfer agent......................... 12,363
Printing............................... 8,639
Registration........................... 11,626
Other expenses......................... 13,925
-------
TOTAL EXPENSES...................... 94,955
-----------
NET INVESTMENT INCOME.................. (834,583)
-----------
NET REALIZED/UNREALIZED GAINS FROM
INVESTMENTS:
Net realized gains from investment
transactions.......................... 47,089,137
Change in unrealized appreciation from
investments........................... 20,213,825
-----------
Net realized/unrealized gains from
investments........................... 67,302,962
-----------
CHANGE IN NET ASSETS RESULTING FROM
OPERATIONS............................ $66,468,379
-----------
-----------
</TABLE>
See notes to financial statements.
47
<PAGE>
REPUBLIC ADVISOR FUNDS TRUST
REPUBLIC SMALL CAP EQUITY FUND
STATEMENTS OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
FOR THE SIX FOR THE
MONTHS ENDED YEAR ENDED
APRIL 30, 2000 OCTOBER 31,
(UNAUDITED) 1999
-------------- ------------
<S> <C> <C>
INVESTMENT ACTIVITIES:
OPERATIONS:
Net investment loss........................................ $ (834,583) $ (1,096,008)
Net realized gains from investment transactions............ 47,089,137 17,034,495
Change in unrealized appreciation from investments......... 20,213,825 13,041,935
------------ ------------
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS.............. 66,468,379 28,980,422
------------ ------------
DIVIDENDS:
In excess of net investment income......................... -- (293,756)
Net realized gains from investment transactions............ (16,264,282) (14,603,978)
------------ ------------
CHANGE IN NET ASSETS FROM SHAREHOLDER DIVIDENDS............. (16,264,282) (14,897,734)
------------ ------------
CAPITAL SHARE TRANSACTIONS:
Proceeds from shares issued................................ 114,489,446 44,399,234
Dividends reinvested....................................... 16,264,282 14,867,311
Cost of shares redeemed.................................... (107,054,259) (37,745,870)
------------ ------------
CHANGE IN NET ASSETS FROM CAPITAL SHARE TRANSACTIONS........ 23,699,469 21,520,675
------------ ------------
CHANGE IN NET ASSETS........................................ 73,903,566 35,603,363
NET ASSETS:
Beginning of period........................................ 148,538,047 112,934,684
------------ ------------
End of period.............................................. $222,441,613 $148,538,047
------------ ------------
------------ ------------
SHARE TRANSACTIONS:
Issued..................................................... 6,825,154 3,779,113
Reinvested................................................. 1,146,179 1,394,006
Redeemed................................................... (6,471,762) (3,184,167)
------------ ------------
Change in shares............................................ 1,499,571 1,988,952
------------ ------------
------------ ------------
</TABLE>
See notes to financial statements.
48
<PAGE>
REPUBLIC ADVISOR FUNDS TRUST
REPUBLIC SMALL CAP EQUITY FUND
FINANCIAL HIGHLIGHTS
SELECTED DATA FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD INDICATED.
<TABLE>
<CAPTION>
FOR THE SIX
MONTHS ENDED FOR THE PERIOD
APRIL 30, FOR THE YEARS ENDED OCTOBER 31, SEPTEMBER 3, 1996
2000 ------------------------------------ TO OCTOBER 31,
(UNAUDITED) 1999 1998 1997 1996(a)
------------ -------- -------- -------- -----------------
<S> <C> <C> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD............... $ 12.56 $ 11.48 $ 13.44 $ 10.63 $ 10.00
-------- -------- -------- -------- -------
INVESTMENT ACTIVITIES:
Net investment loss............................... (0.06) (0.09) (0.09) (0.06) --
Net realized and unrealized gains/(losses) from
investments..................................... 5.57 2.65 (0.49) 2.93 0.63
-------- -------- -------- -------- -------
Total from investment activities.................. 5.51 2.56 (0.58) 2.87 0.63
-------- -------- -------- -------- -------
DIVIDENDS:
In excess of net investment income................ -- (0.03) -- -- --
Net realized gains from investments............... (1.38) (1.45) (1.38) (0.06) --
-------- -------- -------- -------- -------
Total dividends................................... (1.38) (1.48) (1.38) (0.06) --
-------- -------- -------- -------- -------
NET ASSET VALUE, END OF PERIOD..................... $ 16.69 $ 12.56 $ 11.48 $ 13.44 $ 10.63
-------- -------- -------- -------- -------
-------- -------- -------- -------- -------
TOTAL RETURN....................................... 45.81 %(b) 24.63 % (4.27)% 27.18 % 6.30 %(b)
RATIOS/SUPPLEMENTARY DATA:
Net assets at end of period (000's)................ $222,442 $148,538 $112,935 $137,996 $92,842
Ratio of expenses to average net assets............ 1.08 %(c) 1.18 % 1.14 % 1.02 % 0.91 %(c)
Ratio of net investment loss to average net
assets............................................ (0.81)%(c) (0.81)% (0.68)% (0.50)% (0.28)%(c)
Ratio of expenses to average net assets............ 1.08 %(c) 1.18 % 1.16 %(d) 1.03 %(d) 1.17 %(c),(d)
Portfolio turnover (e)............................. 43.34 % 77.74 % 154.69 % 92.18 % 50.55 %
</TABLE>
(a) Period from commencement of operations.
(b) Not annualized.
(c) Annualized.
(d) During the period, certain fees were reduced. If such fee reductions had not
occurred, the ratio would have been as indicated.
(e) Portfolio turnover is calculated on the basis of the respective Portfolio in
which the Fund invests all of its investable assets.
See notes to financial statements.
49
<PAGE>
REPUBLIC FUNDS
REPUBLIC ADVISOR FUNDS TRUST
NOTES TO FINANCIAL STATEMENTS
APRIL 30, 2000
(UNAUDITED)
1. ORGANIZATION:
The Republic New York Tax-Free Bond Fund (the 'New York Tax-Free Bond
Fund'), Republic Equity Fund (the 'Equity Fund'), Republic Bond Fund (the
'Bond Fund'), Republic Overseas Equity Fund (the 'Overseas Equity Fund') and
Republic Opportunity Fund (the 'Opportunity Fund') (individually a 'Fund,'
collectively the 'Funds') are separate series of Republic Funds (the
'Trust'), a Massachusetts business trust organized on April 22, 1987. The
Republic Fixed Income Fund (the 'Fixed Income Fund'), Republic International
Equity Fund (the 'International Equity Fund') and Republic Small Cap Equity
Fund (the 'Small Cap Equity Fund') are separate series of Republic Advisor
Funds Trust (the 'Advisor Trust'), a Massachusetts business trust organized
on April 5, 1996. The Trust and Advisor Trust (collectively the 'Trusts') are
registered under the Investment Company Act of 1940, as amended (the 'Act'),
as open-end management investment companies and are part of the Republic
Family of Funds.
The Bond Fund, Fixed Income Fund, Overseas Equity Fund, International
Equity Fund, Opportunity Fund and the Small Cap Equity Fund (individually a
'Feeder Fund,' collectively the 'Feeder Funds') utilize the Master Feeder
Fund Structure and seek to achieve their investment objectives by investing
all of their investable assets in their respective Portfolios (as defined
below), per the following schedule:
<TABLE>
<CAPTION>
PROPORTIONATE
INTEREST ON
FUND RESPECTIVE PORTFOLIO APRIL 30, 2000
---- -------------------- --------------
<S> <C> <C>
Bond Fund Republic Fixed Income Portfolio 2.47%
Fixed Income Fund Republic Fixed Income Portfolio 53.09%
Overseas Equity Fund Republic International Equity Portfolio 2.59%
International Equity Fund Republic International Equity Portfolio 64.71%
Opportunity Fund Republic Small Cap Equity Portfolio 5.78%
Small Cap Equity Fund Republic Small Cap Equity Portfolio 66.58%
</TABLE>
The Republic Fixed Income Portfolio, Republic International Equity
Portfolio, and the Republic Small Cap Equity Portfolio (individually a
'Portfolio,' collectively the 'Portfolios'), like each Feeder Fund, are
open-end management investment companies having the same investment
objectives as the Funds. The financial statements of the Portfolios,
including the Schedule of Portfolio Investments, are included elsewhere in
this report. The financial statements of the Portfolios should be read in
conjunction with the financial statements of the Feeder Funds.
The New York Tax Free Bond and Equity Funds offer four classes of shares,
Class A (Investor) Shares, Class B Shares, Class C Shares and Class Y
(Adviser) Shares. The Bond Fund, Overseas Equity Fund and Opportunity Fund
each offer three classes of shares, Class A (Investor) Shares, Class B Shares
and Class C Shares. The Fixed Income Fund, International Equity Fund and
Small Cap Equity Fund each offer one class of shares. Each class of shares in
the Funds has identical rights and privileges except with respect to fees
paid under shareholder servicing or distribution plans, voting rights on
matters affecting a single class of shares, and the exchange privilege of
each class of shares.
2. SIGNIFICANT ACCOUNTING POLICIES:
The following is a summary of the significant accounting policies followed
by the Funds in the preparation of their financial statements. The policies
are in conformity with generally accepted accounting principles in the United
States of America. The preparation of financial statements requires
management to make estimates and assumptions that affect the reported amounts
of assets and liabilities at the date of the financial statements and the
reported amounts of income and expenses for the period. Actual results could
differ from those estimates.
SECURITIES VALUATION:
A. NEW YORK TAX FREE BOND FUND AND EQUITY FUND
Bonds and other fixed income securities (other than short-term obligations
but including listed issues) are valued on the basis of valuations furnished
by a pricing service, the use of which has been approved by the Funds' Board
of Trustees. In making such valuations, the pricing service utilizes both
dealer-supplied valuations and electronic data processing techniques which
take into account appropriate factors such as institutional-size trading in
similar groups of securities, yield, quality, coupon rate, maturity, type of
issue, trading characteristics other than market data and without exclusive
reliance upon quoted prices or exchanges or over-the-counter prices, since
such valuations are believed to reflect more accurately the fair value of
such securities. All debt portfolio securities with a remaining maturity of
60 days or less are valued at amortized cost, which approximates market value
as determined by the Board of Trustees.
Continued
50
<PAGE>
REPUBLIC FUNDS
REPUBLIC ADVISOR FUNDS TRUST
NOTES TO FINANCIAL STATEMENTS
APRIL 30, 2000
(UNAUDITED)
The value of each equity security is based either on the last sale price on
a national securities exchange, or in the absence of recorded sales, at the
closing bid prices on such exchanges, or at the quoted bid price in the
over-the-counter market. Securities or other assets for which market
quotations are not readily available are valued at fair market value as
determined in good faith by or at the direction of the Board of Trustees.
B. FEEDER FUNDS
The Feeder Funds record their investments in their respective Portfolios at
value. Securities of the Portfolios are recorded at value as more fully
discussed in the notes to those financial statements.
SECURITIES TRANSACTIONS AND RELATED INCOME:
A. NEW YORK TAX FREE BOND FUND AND EQUITY FUND
Security transactions are accounted for on the date the security is
purchased or sold ('trade date'). Interest income is recognized on the
accrual basis and includes, where applicable, the amortization of premium or
discount. Dividend income is recorded on the ex-dividend date. Securities
gains and losses are calculated on the identified cost basis.
B. FEEDER FUNDS
The Feeder Funds record daily their pro-rata share of their respective
Portfolio's income, expenses and realized and unrealized gains and losses. In
addition, the Feeder Funds accrue their own expenses daily as incurred.
Realized gains or losses and changes in unrealized appreciation or
depreciation represent the Fund's share of such elements allocated from the
Portfolio.
FUTURES CONTRACTS:
The New York Tax-Free Bond Fund and Equity Fund may invest in financial
futures contracts for the purpose of hedging their existing portfolio
securities or securities it intends to purchase against fluctuations in fair
value caused by changes in prevailing market interest rates. Upon entering
into a financial futures contract, the New York Tax-Free Bond Fund and Equity
Fund are required to pledge to the broker an amount of cash and/or other
assets equal to a certain percentage of the contract amount (initial margin
deposit). Subsequent payments, known as 'variation margin', are made or
received by the New York Tax-Free Bond Fund and Equity Fund each day,
depending on the daily fluctuations in the fair value of the underlying
security. The New York Tax-Free Bond Fund and Equity Fund recognize a gain or
loss equal to the daily variation margin. Should market conditions move
unexpectedly, the New York Tax-Free Bond Fund and the Equity Fund may not
achieve the anticipated benefits of the financial 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.
Futures contracts may also be entered into for non-hedging purposes. A
'sale' of futures contract means a contractual obligation to deliver the
securities or foreign currency called for by the contract at a fixed price at
a specified time in the future. A 'purchase' of a futures contract means a
contractual obligation to acquire the securities or foreign currency at a
fixed price at a specified time in the future.
EXPENSE ALLOCATION:
Expenses with respect to any two or more Funds are allocated in proportion
to the net assets of each Fund in the Republic Family of Funds, except where
allocations of direct expenses to each fund can otherwise be made fairly.
Expenses directly attributable to a Fund are charged to that Fund. The
expenses of the Funds are allocated to each class of shares on a pro-rata
basis.
ORGANIZATION EXPENSES:
Costs incurred in connection with the organization and initial registration
of the Trusts, which have been allocated among the Funds, have been deferred
and are being amortized over a five year period, beginning with each Fund's
commencement of operations.
Continued
51
<PAGE>
REPUBLIC FUNDS
REPUBLIC ADVISOR FUNDS TRUST
NOTES TO FINANCIAL STATEMENTS
APRIL 30, 2000
(UNAUDITED)
DIVIDENDS TO SHAREHOLDERS:
The New York Tax-Free Bond Fund, the Bond Fund and the Fixed Income Fund
declare all net investment income daily as dividends to their shareholders
and distribute such dividends monthly. Dividends from net investment income,
if any, are declared and distributed quarterly in the case of the Equity
Fund, semi-annually in the case of the Opportunity Fund and Small Cap Equity
Fund and annually in the case of the Overseas Equity Fund and International
Equity Fund.
The Funds' net realized capital gains, if any, are distributed to
shareholders at least annually. Additional distributions are also made to the
Funds' shareholders to the extent necessary to avoid the federal excise tax
on certain undistributed income and net capital gains of regulated investment
companies.
The amount of dividends from net investment income and net realized gains
are determined in accordance with federal income tax regulations which may
differ from generally accepted accounting principles. These book/tax'
differences are either considered temporary or permanent in nature. To the
extent these differences are permanent in nature, such amounts are
reclassified to paid-in capital; temporary differences do not require
reclassification. For the six months ended April 30, 2000, no
reclassifications have been made to increase (decrease) such accounts.
FEDERAL INCOME TAXES:
Each Fund is a separate taxable entity for federal tax purposes. Each Fund
has qualified and intends to qualify each year as a 'regulated investment
company' under Subchapter M of the Internal Revenue Code, as amended and to
distribute substantially all of their taxable net investment income and net
realized gains, if any, to their shareholders. Accordingly, no provision for
federal income or excise tax is required.
3. RELATED PARTY TRANSACTIONS WITH AFFILIATES:
INVESTMENT MANAGEMENT:
HSBC Bank USA ('HSBC' or the 'Investment Manager'), a wholly owned
subsidiary of HSBC Holdings plc (Hong Kong and Shanghai Banking Corporation),
a registered bank holding company, acts as Investment Manager to the New York
Tax-Free Bond Fund. For its services as Investment Manager, HSBC is entitled
to receive a fee, computed daily and paid monthly, at an annual percentage
rate of 0.25% of the New York Tax Free Bond Fund's average daily net assets.
HSBC also serves as Investment Manager to the Equity Fund. As Investment
Manager, HSBC provides general supervision over the investment management
functions. For its services as Investment Manager, HSBC earns a fee, computed
daily and paid monthly, at an annual rate of:
<TABLE>
<CAPTION>
BASED ON AVERAGE DAILY NET ASSETS FEE RATE
--------------------------------- --------
<S> <C>
Up to $50 million........................................... 0.500%
In excess of $50 million but not exceeding $100 million..... 0.425%
In excess of $100 million but not exceeding $200 million.... 0.375%
In excess of $200 million................................... 0.325%
</TABLE>
ADMINISTRATION:
BISYS Fund Services Ohio, Inc. ('BISYS Ohio'), who serves the Trusts as
Administrator, is a wholly-owned subsidiary of The BISYS Group, Inc., with
whom certain officers of the Trusts are affiliated. Such officers are paid no
fees directly by the Funds for serving as officers of the Trusts. Under the
terms of the administration agreement, BISYS Ohio receives from the Funds a
fee accrued daily and paid monthly at an annual rate of:
<TABLE>
<CAPTION>
ADMINISTRATION
BASED ON AVERAGE DAILY NET ASSETS FEE RATE
--------------------------------- --------
<S> <C>
Up to $1 billion............................................ 0.10%
In excess of $1 billion but not exceeding $2 billion........ 0.08%
In excess of $2 billion..................................... 0.07%
</TABLE>
The fees paid by the Republic Family of Funds are allocated to each Fund
based upon its pro rata share of their net assets. The fee breakpoints are
determined on the basis of the aggregate average daily net assets of the
Republic Family of Funds for which BISYS Ohio serves as Administrator.
Continued
52
<PAGE>
REPUBLIC FUNDS
REPUBLIC ADVISOR FUNDS TRUST
NOTES TO FINANCIAL STATEMENTS
APRIL 30, 2000
(UNAUDITED)
DISTRIBUTION PLAN:
BISYS Fund Services Limited Partnership ('BISYS'), a wholly-owned
subsidiary of The BISYS Group, Inc., serves as the Funds distribution agent
(the 'Distributor'). The Trusts have adopted a non-compensatory Distribution
Plan and Agreement (the 'Plan') pursuant to Rule 12b-1 of the Act. The Plan
provides for a monthly payment by the Funds to the Distributor at a rate not
to exceed 0.25% of the average daily net assets of Class A (Investor) Shares
(currently not being charged) and 0.75% of the average daily net assets of
Class B Shares and Class C Shares of the Funds for amounts representing
actual expenses incurred by the Distributor for marketing costs and services
rendered in distributing the Funds' shares. BISYS, as the Funds' distributor,
recovered $ 22,387 in commissions from sales of the funds of which none was
reallowed to affiliated brokers and dealers. The Distributor also receives
the proceeds of any CDSC imposed on redemptions of Class B Shares. In
addition, the Distributor retains a portion of the front-end sales charge.
For the period ended April 30, 2000 neither the Distributor nor HSBC have
retained any monies from dealer commissions.
SHAREHOLDER SERVICING EXPENSES:
The Trusts have entered into a Shareholder Servicing Agreement with its
shareholder servicing agent (which currently consists of HSBC and its
affiliates) for providing various shareholder services. The aggregate fees
paid to the Distributor pursuant to the Distribution Plan and to shareholder
servicing agents pursuant to the Shareholder Servicing Agreement may not
exceed 0.25% of the average daily net assets of Class A (Investor) Shares and
1.00% of the average daily net assets of Class B Shares and Class C Shares.
FEE REDUCTIONS:
The Manager and BISYS have agreed to waive a portion of their fees, and to
the extent necessary, reimburse the Funds for certain expenses. For the six
months ended April 30, 2000, expenses of the Funds were reduced by amounts as
detailed below:
<TABLE>
<CAPTION>
FEES
REDUCED REIMBURSED
------- ----------
<S> <C> <C>
New York Tax-Free Bond Fund................................. $32,592 $ 5,682
Bond Fund................................................... -- 73,195
Overseas Fund............................................... -- 22,460
Opportunity Fund............................................ -- 20,899
</TABLE>
FUND ACCOUNTING, TRANSFER AGENCY AND CUSTODIAN:
BISYS Ohio provided fund accounting and transfer agency services for all
classes of each Fund. In addition, HSBC serves as custodian for the New York
Tax Free Bond Fund and the Equity Fund. For services to the Funds, BISYS Ohio
and HSBC receive an annual per fund fee accrued daily and paid monthly.
4. INVESTMENT TRANSACTIONS:
Purchases of and proceeds from sales, excluding short-term securities, for
the Funds for the six months ended April 30, 2000 totaled:
<TABLE>
<CAPTION>
PURCHASES SALES
--------- -----
<S> <C> <C>
New York Tax-Free Bond Fund................................. $ 6,545,763 $ 8,336,630
Equity Fund................................................. 161,815,188 153,244,724
</TABLE>
Contributions and withdrawals of the respective Portfolios for the six
months ended April 30, 2000 totaled:
<TABLE>
<CAPTION>
CONTRIBUTIONS WITHDRAWALS
------------- -----------
<S> <C> <C>
Bond Fund................................................... $ 812,680 $ 949,920
Fixed Income Fund........................................... 4,401,951 18,969,323
Overseas Equity Fund........................................ 1,751,957 2,439,969
International Equity Fund................................... 54,859,946 28,023,783
Opportunity Fund............................................ 2,081,380 3,000,744
Small Cap Equity Fund....................................... 113,699,548 107,544,192
</TABLE>
Continued
53
<PAGE>
REPUBLIC FUNDS
REPUBLIC ADVISOR FUNDS TRUST
NOTES TO FINANCIAL STATEMENTS
APRIL 30, 2000
5. CAPITAL SHARE TRANSACTIONS:
Transactions in capital and shares of beneficial interest by class for the
Fund's for the six months ended April 30, 2000:
<TABLE>
<CAPTION>
NEW YORK TAX-FREE BOND
FUND EQUITY FUND
------------------------------ ---------------------------
FOR THE SIX FOR THE FOR THE SIX FOR THE
MONTHS ENDED YEAR MONTHS ENDED YEAR
APRIL 30, ENDED APRIL 30, ENDED
2000 OCTOBER 31, 2000 OCTOBER 31,
(UNAUDITED) 1999 (UNAUDITED) 1999
----------- ---- ----------- ----
<S> <C> <C> <C> <C>
CAPITAL TRANSACTIONS:
CLASS A (INVESTOR) SHARES:
Proceeds from shares issued......................... $ 4,946,104 $ 7,798,622 $ 2,842,649 $ 5,496,804
Dividends reinvested................................ 378,607 955,019 2,614,010 608,893
Cost of shares redeemed............................. (7,750,015) (12,646,454) (5,520,909) (5,897,024)
----------- ------------ ----------- ------------
Class A (Investor) Shares capital transactions......... (2,425,304) (3,892,813) (64,250) 208,673
----------- ------------ ----------- ------------
CLASS B SHARES:
Proceeds from shares issued......................... 47,249 22,456 120,825 696,169
Dividends reinvested................................ 11,049 22,028 164,600 22,102
Cost of shares redeemed............................. (5,310) (50,000) (210,501) (84,128)
----------- ------------ ----------- ------------
Class B Shares capital transactions.................... 52,988 (5,516) 74,924 634,143
----------- ------------ ----------- ------------
CLASS C SHARES:
Proceeds from shares issued......................... 50,865 378,258 110,196 1,634,402
Dividends reinvested................................ 4,324 5,024 140,798 2,182
Cost of shares redeemed............................. (98,849) (108,371) (453,950) (27,532)
----------- ------------ ----------- ------------
Class C Shares capital transactions.................... (43,660) 274,911 (202,956) 1,609,052
----------- ------------ ----------- ------------
CLASS Y (ADVISER) SHARES:
Proceeds from shares issued......................... 1,766,000 850,001 16,509,001 14,387,714
Dividends reinvested................................ 59,105 119,112 23,026,183 5,707,524
Cost of shares redeemed............................. (886,714) (296,012) (8,249,077) (21,618,821)
----------- ------------ ----------- ------------
Class Y (Adviser) Shares capital transactions.......... 938,391 673,101 31,286,107 (1,523,583)
----------- ------------ ----------- ------------
Change in net assets from capital transactions......... $(1,477,585) $ (2,950,317) $31,093,825 $ 928,285
----------- ------------ ----------- ------------
----------- ------------ ----------- ------------
SHARE TRANSACTIONS:
CLASS A (INVESTOR) SHARES:
Issued.............................................. 488,537 719,171 154,429 283,248
Reinvested.......................................... 37,284 89,403 147,776 34,417
Redeemed............................................ (765,533) (1,183,310) (300,462) (302,849)
----------- ------------ ----------- ------------
Change in Class A (Investor) Shares.................... (239,712) (374,736) 1,743 14,816
----------- ------------ ----------- ------------
CLASS B SHARES:
Issued.............................................. 4,667 2,086 6,834 36,475
Reinvested.......................................... 1,089 2,066 9,400 1,264
Redeemed............................................ (529) (4,744) (11,608) (4,317)
----------- ------------ ----------- ------------
Change in Class B Shares............................... 5,227 (592) 4,626 33,422
----------- ------------ ----------- ------------
CLASS C SHARES:
Issued.............................................. 4,978 35,104 6,193 83,258
Reinvested.......................................... 425 476 8,000 113
Redeemed............................................ (9,723) (10,290) (24,364) (1,383)
----------- ------------ ----------- ------------
Change in Class C Shares............................... (4,320) 25,290 (10,171) 81,988
----------- ------------ ----------- ------------
CLASS Y (ADVISER) SHARES:
Issued.............................................. 173,867 81,145 956,954 740,789
Reinvested.......................................... 5,819 11,145 1,300,913 321,224
Redeemed............................................ (87,687) (27,424) (447,591) (1,145,548)
----------- ------------ ----------- ------------
Change in Class Y (Adviser) Shares..................... 91,999 64,866 1,810,276 (83,535)
----------- ------------ ----------- ------------
Change in shares from share transactions............... (146,806) (285,172) 1,806,474 46,691
----------- ------------ ----------- ------------
----------- ------------ ----------- ------------
</TABLE>
Continued
54
<PAGE>
REPUBLIC FUNDS
REPUBLIC ADVISOR FUNDS TRUST
NOTES TO FINANCIAL STATEMENTS
APRIL 30, 2000
<TABLE>
<CAPTION>
BOND FUND OVERSEAS EQUITY FUND OPPORTUNITY FUND
------------------------- ------------------------- -------------------------
FOR THE FOR THE FOR THE
SIX MONTHS FOR THE SIX MONTHS FOR THE SIX MONTHS FOR THE
ENDED YEAR ENDED YEAR ENDED YEAR
APRIL 30, ENDED APRIL 30, ENDED APRIL 30, ENDED
2000 OCTOBER 31, 2000 OCTOBER 31, 2000 OCTOBER 31,
(UNAUDITED) 1999 (UNAUDITED) 1999 (UNAUDITED) 1999
----------- ---- ----------- ---- ----------- ----
<S> <C> <C> <C> <C> <C> <C>
CAPITAL TRANSACTIONS:
CLASS A (INVESTOR) SHARES:
Proceeds from shares issued.......... $ 667,701 $ 896,358 $ 1,283,004 $ 1,626,201 $1,531,560 $ 1,578,167
Dividends reinvested................. 136,212 383,348 105,101 9,884 1,264,593 766,392
Cost of shares redeemed.............. (808,282) (1,408,465) (2,239,686) (2,010,092) (2,753,191) (4,459,217)
--------- ----------- ----------- ----------- ---------- -----------
Class A (Investor) Shares capital
transactions........................... (4,369) (128,759) (851,581) (374,007) 42,962 (2,114,658)
--------- ----------- ----------- ----------- ---------- -----------
CLASS B SHARES:
Proceeds from shares issued.......... 25,000 33,260 185,647 31,518 166,602 196,257
Dividends reinvested................. 9,563 26,282 1,339 -- 53,066 21,745
Cost of shares redeemed.............. (39,463) (52,075) (10,273) (4,256) (25,061) (96,495)
--------- ----------- ----------- ----------- ---------- -----------
Class B Shares capital transactions..... (4,900) 7,467 176,713 27,262 194,607 121,507
--------- ----------- ----------- ----------- ---------- -----------
CLASS C SHARES:
Proceeds from shares issued.......... -- 168,677 221,098 85,237 326,110 270,095
Dividends reinvested................. 4,367 3,536 955 -- 28,893 1,613
Cost of shares redeemed.............. -- (16,306) (32,098) -- (88,550) (5,554)
--------- ----------- ----------- ----------- ---------- -----------
Class C Shares capital transactions..... 4,367 155,907 189,955 85,237 266,453 266,154
--------- ----------- ----------- ----------- ---------- -----------
Change in net assets from capital
transactions........................... $ (4,902) $ 34,615 $ (484,913) $ (261,508) $ 504,022 $(1,726,997)
--------- ----------- ----------- ----------- ---------- -----------
--------- ----------- ----------- ----------- ---------- -----------
SHARE TRANSACTIONS:
CLASS A (INVESTOR) SHARES:
Issued............................... 69,315 87,644 64,072 104,324 87,895 132,922
Reinvested........................... 14,097 37,693 5,590 799 84,194 67,901
Redeemed............................. (83,482) (141,248) (111,400) (144,937) (157,123) (373,048)
--------- ----------- ----------- ----------- ---------- -----------
Change in Class A (Investor) Shares..... (70) (15,911) (41,738) (39,814) 14,966 (172,225)
--------- ----------- ----------- ----------- ---------- -----------
CLASS B SHARES:
Issued............................... 2,623 3,342 9,141 2,028 9,621 16,198
Reinvested........................... 990 2,582 72 -- 3,574 1,934
Redeemed............................. (4,081) (5,260) (533) (278) (1,466) (8,008)
--------- ----------- ----------- ----------- ---------- -----------
Change in Class B Shares................ (468) 664 8,680 1,750 11,729 10,124
--------- ----------- ----------- ----------- ---------- -----------
CLASS C SHARES:
Issued............................... -- 16,745 10,632 5,817 18,151 22,386
Reinvested........................... 453 357 51 -- 1,934 143
Redeemed............................. -- (1,587) (1,813) -- (4,548) (489)
--------- ----------- ----------- ----------- ---------- -----------
Change in Class C Shares................ 453 15,515 8,870 5,817 15,537 22,040
--------- ----------- ----------- ----------- ---------- -----------
Change in shares from share transactions (85) 268 (24,188) (32,247) 42,232 (140,061)
--------- ----------- ----------- ----------- ---------- -----------
--------- ----------- ----------- ----------- ---------- -----------
</TABLE>
Continued
55
<PAGE>
REPUBLIC FUNDS
REPUBLIC ADVISOR FUNDS TRUST
NOTES TO FINANCIAL STATEMENTS
APRIL 30, 2000
(UNAUDITED)
6. CONCENTRATION OF CREDIT RISK:
The New York Tax-Free Bond Fund invests primarily in debt obligations
issued by the State of New York and its respective political subdivisions,
agencies and public authorities. The Fund is more susceptible to economic and
political factors adversely affecting issuers of New York specific municipal
securities than are municipal bond funds that are not concentrated in these
issuers to the same extent.
The New York Tax-Free Bond Fund had the following concentrations by
municipal funding source at April 30, 2000 (as a percentage of total
investments):
<TABLE>
<S> <C>
Airport..................................................... 3.00%
Development................................................. 3.96%
Facilities.................................................. 5.96%
General Obligation.......................................... 16.65%
Higher Education............................................ 17.86%
Medical..................................................... 11.32%
Multifamily Housing......................................... 4.31%
Nursing Homes............................................... 1.51%
Pollution Control........................................... 3.39%
Power....................................................... 4.42%
Single Family Housing....................................... 7.66%
Transportation.............................................. 17.42%
Utilities................................................... 2.54%
-------
100.00%
-------
-------
</TABLE>
56
<PAGE>
REPUBLIC PORTFOLIO TRUST SCHEDULE OF PORTFOLIO INVESTMENTS
REPUBLIC FIXED INCOME PORTFOLIO APRIL 30, 2000 (UNAUDITED)
<TABLE>
<CAPTION>
CORPORATE OBLIGATIONS - 28.9%
SHARES
OR
SECURITY PRINCIPAL MARKET
DESCRIPTION AMOUNT VALUE
--------------------------------------- ---------- ------------
<S> <C> <C>
AEROSPACE - 0.8%
Lockheed Martin Corp., 8.50%,
12/1/29............................... 590,000 $ 580,055
Raytheon Co., 8.20%, 3/1/06............ 670,000 668,566
Rockwell International Corp., 6.70%,
1/15/28............................... 250,000 216,834
------------
1,465,455
------------
AIRLINES - 0.2%
US Airways Pass Through Trust, 8.11%,
2/20/17............................... 360,000 357,509
------------
AUTOMOTIVE - 0.7%
Delphi Auto Systems Corp., 7.13%,
5/1/29................................ 700,000 591,578
Ford Motor Co., 6.63%, 10/1/28......... 830,000 706,207
------------
1,297,785
------------
BANKING - 1.0%
Bank One Corp., 7.625%, 10/15/26....... 410,000 386,015
Bank One Corp., 8.00%, 4/29/27......... 180,000 175,006
BankAmerica, 5.88%, 2/15/09............ 630,000 555,469
Chase Manhattan Corp., 7.00%,
11/15/09.............................. 600,000 569,033
Citicorp, 6.375%, 11/15/08............. 335,000 307,570
------------
1,993,093
------------
CABLE - 0.3%
Adelphia Communications, 7.875%,
5/1/09................................ 230,000 196,363
Adelphia Communications, 9.375%,
11/15/09.............................. 375,000 350,624
CSC Holdings, Inc., 8.125%, 7/15/09.... 85,000 80,511
------------
627,498
------------
COMPUTERS - 0.2%
Sun Microsystems, Inc., 7.65%,
8/15/09............................... 370,000 364,546
------------
DIVERSIFIED OPERATIONS - 0.4%
Hutchison Whampoa Ltd., 7.45%,
8/1/17 (d)............................ 805,000 733,795
------------
ELECTRONIC COMPONENTS/SEMICONDUCTORS - 0.2%
Hyundai Semiconductor America, 8.25%,
5/15/04 (d)........................... 75,000 67,924
Hyundai Semiconductor America, 8.63%,
5/15/07 (d)........................... 290,000 253,776
------------
321,700
------------
ENERGY - 0.3%
PSEG Energy Holdings, Inc., 9.125%,
2/10/04............................... 570,000 563,355
------------
FINANCE - 7.2%
Abbey National PLC, 7.95%, 10/26/29.... 550,000 535,617
Ahold Finance USA, Inc., 6.88%,
5/1/29................................ 645,000 544,571
Anthem Insurance Co., Inc., 9.00%,
4/1/27 (d)............................ 470,000 432,172
BT Institutional Capital Trust A,
8.09%, 12/1/26, Callable 12/1/06 @
104.05 (d)............................ 710,000 675,422
Citigroup, Inc., 6.625%, 1/15/28....... 300,000 256,454
DR Structured Finance, 1994-K2, 9.35%,
8/15/19............................... 75,000 67,934
EOP Operating LP, 6.76%, 6/15/07....... 365,000 331,815
EOP Operating LP, 7.25%, 6/15/28....... 170,000 139,212
EOP Operating LP, 7.50%, 4/19/29....... 325,000 278,296
Equitable Life, 6.95%, 12/1/05 (d)..... 585,000 560,447
Erac USA Finance Co., 8.25%, 5/1/05
(d)................................... 385,000 380,752
Farmers Insurance Exchange, 8.63%,
5/1/24 (d)............................ 475,000 465,077
Florida Property & Casualty, 7.38%,
7/1/03 (d)............................ 250,000 243,948
Ford Credit Co., 7.375%, 10/28/09...... 745,000 721,911
General Electric Capital Corp., 7.375%,
1/19/10............................... 275,000 276,004
General Motors Acceptance Corp., 7.75%,
1/19/10............................... 845,000 838,518
Goldman Sachs Group LP, 6.50%, 2/25/09
(d)................................... 370,000 338,563
Great Western Financial, 8.21%, 2/1/27,
Callable 2/1/07 @ 104.10.............. 235,000 213,866
Household Finance Corp., 7.875%,
3/1/07................................ 410,000 406,660
Household Finance Corp., 5.88%,
2/1/09................................ 630,000 545,777
Oil Purchase Co., 7.10%, 4/30/02 (d)... 347,848 327,269
Oil Purchase Co., 10.73%, 1/31/04
(d)................................... 209,514 203,509
Paiton Energy Funding BV, 9.34%,
2/15/14 (d)........................... 350,000 70,000
Petrozuata Finance, Inc., 8.22%,
4/1/17 (d)............................ 805,000 619,850
PNC Institutional Capital Trust A,
7.95%, 12/15/26, Callable 12/15/06 @
103.98 (d)............................ 475,000 433,412
Prime Property Funding II, 6.80%,
8/15/02 (d)........................... 215,000 208,568
Prime Property Funding II, 7.00%,
8/15/04 (d)........................... 420,000 399,344
Prudential Insurance Co., 8.30%,
7/1/25 (d)............................ 1,095,000 1,077,106
Smart (CFS) 97 6 A1, 7.71%,
4/15/06 (e)........................... 262,780 65,695
Smart Sec Multi Asset Rated, 7.45%,
3/16/06 (e)........................... 247,138 61,785
Washington Mutual Capital, 8.38%,
6/1/27, Callable 6/1/07 @ 104.096..... 440,000 416,192
Washington Mutual, Inc., 8.25%,
4/1/10................................ 305,000 300,252
World Financial, 6.91%, 9/1/13 (d)..... 371,593 350,278
World Financial, 6.95%, 9/1/13 (d)..... 1,240,000 1,155,257
------------
13,941,533
------------
GOVERNMENTS (FOREIGN) - 0.4%
Republic of Argentina, 12%, 2/1/20..... 375,000 370,125
Republic of Philippines, 10.625%,
3/16/25............................... 475,000 439,969
------------
810,094
------------
</TABLE>
Continued
57
<PAGE>
REPUBLIC PORTFOLIO TRUST SCHEDULE OF PORTFOLIO INVESTMENTS
REPUBLIC FIXED INCOME PORTFOLIO APRIL 30, 2000 (UNAUDITED)
<TABLE>
<CAPTION>
CORPORATE OBLIGATIONS, CONTINUED
SHARES
OR
SECURITY PRINCIPAL MARKET
DESCRIPTION AMOUNT VALUE
--------------------------------------- ---------- ------------
<S> <C> <C>
HEALTH CARE - 0.8%
Columbia HCA Healthcare, 9.00%,
12/15/14.............................. 215,000 $ 203,185
Columbia HCA Healthcare, 7.19%,
11/15/15.............................. 430,000 346,456
Columbia HCA Healthcare, 7.69%,
6/15/25............................... 290,000 232,958
Columbia HCA Healthcare, 7.58%,
9/15/25............................... 325,000 260,077
Rhone-Poulenc Rorer, Inc., 8.62%,
1/5/21................................ 425,000 443,454
------------
1,486,130
------------
HOTELS & LODGING - 0.3%
HMH Properties, 7.88%, 8/1/05, Callable
8/1/02 @ 103.94....................... 485,000 436,500
Host Marriott LP, 8.38%, 2/15/06....... 150,000 136,500
------------
573,000
------------
INDUSTRIAL - 3.7%
American Standard Co., 7.38%, 4/15/05.. 200,000 185,500
CSC Holdings, Inc., 7.88%, 12/15/07.... 685,000 643,658
Glencore Nickel Property Ltd., 9.00%,
12/1/14............................... 595,000 493,850
Grupo Minero Mexico, 8.25%, 4/1/08..... 515,000 417,150
Honeywell, 7.50%, 3/1/10............... 475,000 474,177
International Game Technology, 8.38%,
5/15/09............................... 485,000 448,625
Jet Equipment Trust, 10.00%, 6/15/12
(d)................................... 175,000 191,366
Monsanto Co., 6.60%, 12/1/28 (d)....... 1,025,000 878,703
Multicanal SA, 13.13%, 4/15/09......... 245,000 247,144
Multicanal SA, 10.50%, 4/15/18......... 265,000 221,938
News America Corp., 7.28%, 6/30/28..... 700,000 583,133
News America Holdings, 8.88%, 4/26/23.. 200,000 198,773
News America Holdings, 7.75%, 1/20/24.. 120,000 106,009
Scotia Pacific Company LLC, 7.71%,
1/20/14............................... 965,000 714,341
Tenet Healthcare Corp., 7.63%,
6/1/08................................ 630,000 574,875
USA Waste, 7.00%, 7/15/28.............. 700,000 508,801
Waste Management, Inc., 7.38%,
5/15/29............................... 320,000 241,979
------------
7,130,022
------------
INSURANCE - 1.5%
AXA Financial, Inc., 6.50%, 4/1/08..... 505,000 458,931
Florida Windstorm, 7.13%, 2/25/19
(d)................................... 615,000 568,998
Metropolitan Life Insurance Co., 7.45%,
11/1/23, Callable 11/1/03 @
103.53 (d)............................ 625,000 558,364
Metropolitan Life Insurance Co., 7.80%,
11/1/25 (d)........................... 300,000 290,166
Nationwide Mutual Insurance Co., 7.50%,
2/15/24, Callable 2/15/04 @
103.27 (d)............................ 550,000 488,436
New York Life Insurance, 7.50%,
12/15/23, Callable 12/15/03 @
103.61 (d)............................ 500,000 439,864
------------
2,804,759
------------
OIL & GAS - 0.9%
Conoco, Inc., 6.95%, 4/15/29........... 1,130,000 1,014,425
Oxymar, 7.50%, 2/15/16 (d)............. 370,000 266,100
Tennessee Gas Pipeline, 7.00%,
10/15/28.............................. 445,000 393,904
------------
1,674,429
------------
RETAIL - 2.3%
Albertsons, Inc., 7.45%, 8/1/29........ 690,000 637,936
Federated Department Stores, 7.00%,
2/15/28............................... 95,000 81,975
Federated Department Stores, 6.90%,
4/1/29................................ 740,000 631,085
Fred Meyer, Inc., 7.38%, 3/1/05........ 640,000 612,847
K-Mart Funding Corp., 8.80%, 7/1/10.... 220,000 207,768
Lowes Companies, 6.88%, 2/15/28........ 220,000 191,751
Lowes Companies, 6.50%, 3/15/29........ 630,000 521,692
Saks, Inc., 7.38%, 2/15/19............. 560,000 412,084
Wal-Mart Stores, Inc., 7.55%,
2/15/30............................... 1,115,000 1,127,145
------------
4,424,283
------------
RETAIL-GROCERY - 0.2%
Kroger Co., 8.05%, 2/1/10.............. 140,000 135,368
Kroger Co., 7.70%, 6/1/29.............. 175,000 154,921
------------
290,289
------------
SPECIAL PURPOSE - 1.5%
Farmers Exchange Capital, 7.05%,
7/15/28 (d)........................... 560,000 452,848
GS Escrow Corp., 7.13%, 8/1/05......... 845,000 741,379
HSBC Capital Funding LP, 10.176%,
12/31/49, Callable 6/30/30 @ 100 (d).. 485,000 503,117
John Hancock, 7.375%, 2/15/24 (d)...... 600,000 556,925
PNC Funding Corp., 7.50%, 11/1/09...... 540,000 520,705
------------
2,774,974
------------
TECHNOLOGY-SOFTWARE - 0.3%
Global Crossing Holding Ltd., 9.125%,
11/15/06 (d).......................... 610,000 591,700
------------
TELECOMMUNICATIONS - 4.1%
AT&T Corp., 6.50%, 3/15/29............. 1,125,000 955,261
Bellsouth Telecommunications, 6.375%,
6/1/28................................ 660,000 541,857
GTE Corp., 6.94%, 4/15/28.............. 820,000 726,431
Intermedia Communication, 0.00%,
7/15/07, Callable 7/15/02 @ 105.625... 630,000 481,950
Intermedia Communication, 8.50%,
1/15/08, Callable 1/15/03 @ 104.25.... 195,000 177,450
Intermedia Communication, 8.60%,
6/1/08, Callable 6/1/03 @ 104.30...... 75,000 68,250
Lenfest Communications, 7.63%,
2/15/08............................... 660,000 630,658
Lucent Technologies, Inc., 6.45%,
3/15/29............................... 650,000 557,158
Nextel Communications, 0.00%, 9/15/07,
Callable 9/15/02 @ 105.325............ 670,000 504,175
</TABLE>
Continued
58
<PAGE>
REPUBLIC PORTFOLIO TRUST SCHEDULE OF PORTFOLIO INVESTMENTS
REPUBLIC FIXED INCOME PORTFOLIO APRIL 30, 2000 (UNAUDITED)
<TABLE>
<CAPTION>
CORPORATE OBLIGATIONS, CONTINUED
SHARES
OR
SECURITY PRINCIPAL MARKET
DESCRIPTION AMOUNT VALUE
--------------------------------------- ---------- ------------
<S> <C> <C>
Nextel Communications, 9.375%,
11/15/09, Callable 11/15/04 @ 104.688
(d)................................... 195,000 $ 186,225
Orange PLC, 8.75%, 6/1/06.............. 395,000 398,950
Qwest Communications International,
0.00%, 2/1/08, Callable 2/1/03 @
104.145............................... 770,000 590,166
Vodafone Airtouch PLC, 7.625%,
2/15/05 (d)........................... 130,000 129,577
Vodafone Airtouch PLC, 7.875%,
2/15/30 (d)........................... 970,000 947,199
WorldCom, Inc., 6.95%, 8/15/28......... 1,265,000 1,128,941
------------
8,024,248
------------
TRANSPORTATION - 0.6%
Continental Airlines, 7.46%, 4/1/15.... 171,691 164,161
Continental Airlines, 6.65%, 9/15/17... 538,736 491,327
Continental Airlines, 6.55%, 2/2/19.... 306,775 275,738
Union Pacific Corp., 6.79%, 11/9/07.... 190,000 175,510
------------
1,106,736
------------
UTILITIES - 1.0%
CMS Energy Corp., 7.50%, 1/15/09....... 665,000 581,327
El Paso Energy, 6.75%, 5/15/09......... 310,000 282,179
Mobil Energy Services, 8.67%, 1/1/17... 151,513 45,454
RAS Laffan Liquid Natural Gas, 8.29%,
3/15/14 (d)........................... 595,000 555,767
Southern Energy, 7.90%, 7/15/09 (d).... 460,000 436,331
------------
1,901,058
------------
TOTAL CORPORATE OBLIGATIONS (Cost
$60,259,044).......................... 55,257,991
------------
PREFERRED STOCKS - 0.3%
INDUSTRIAL - 0.3%
Home Ownership Funding Corp., 13.33%,
(d)................................... 825 637,214
------------
TOTAL PREFERRED STOCKS
(Cost $826,654)....................... 637,214
------------
ASSET BACKED SECURITIES - 15.0%
Arcadia Automobile Receivables
Trust 97 C A4, 6.38%, 1/15/03......... 600,308 598,747
Arcadia Automobile Receivables
Trust 97 D, 6.20%, 5/15/03............ 472,618 470,600
Arcadia Automobile Receivables
Trust 98 A A3, 5.90%, 11/15/02........ 451,842 450,491
Banc One Home Equity Trust 99 1 A1,
6.06%, 1/25/12........................ 391,276 387,027
BankBoston Home Equity Loan Trust 98 2
A1, 6.28%, 11/25/10................... 208,723 207,569
BMW 99 A A2, 6.16%, 12/25/01........... 853,347 851,384
Centex 99 2 A1, 5.91%, 4/25/19......... 630,854 623,908
Centex Home Equity 99 1 A1, 6.07%,
3/25/18............................... 431,772 428,677
Chevy Chase Auto Receivables Trust,
97 4 A, 6.25%, 6/15/04, Callable
9/15/01 @ 100......................... 218,094 215,972
Citibank Credit 98 7 A, 6.14%,
5/15/00 (c)........................... 1,150,000 1,150,000
Contimortgage Home Equity Loan Trust 99
1 A1, 6.01%, 12/25/13................. 422,436 419,487
Daimler-Benz AGT 97 A A, 6.05%,
3/31/05, Callable 10/20/00 @ 100...... 96,796 96,265
Daimler-Benz Vehicle Trust 98 A A2,
5.23%, 12/20/01....................... 143,333 143,199
EQCC Home Equity Loan Trust 98 2 A1F,
6.24%, 4/15/08........................ 23,897 23,832
EQCC Home Equity Loan Trust 99 1 A1F,
5.77%, 5/20/10........................ 431,645 428,244
EQCC Home Equity Loan Trust 99 2 A1F,
6.05%, 1/25/10........................ 609,098 603,927
EQCC Home Equity Loan Trust 99 3 A1F,
6.55%, 4/25/10........................ 1,122,413 1,114,444
First Security 99 2 A2, 5.49%,
4/15/02............................... 422,484 421,652
First Security Auto Grantor Trust 97 B
A, 6.10%, 4/15/03, Callable 9/15/00 @
100................................... 464,043 462,312
First Security Auto Grantor Trust 98 A
A, 5.97%, 4/15/04, Callable 4/15/01 @
100................................... 297,511 294,875
First USA Credit Card Master Trust 97
10 A, 6.22%, 5/17/00 (c).............. 675,000 674,899
Ford Credit Auto Owner Trust 97 B A3,
6.05%, 4/15/01........................ 59,094 59,076
Ford Credit Auto Owner Trust 99 B,
5.47%, 9/15/01........................ 1,326,565 1,322,359
Ford Credit Auto Owner Trust 99 C A3,
5.77%, 11/15/01....................... 1,695,932 1,690,758
Ford Credit Auto Owner Trust 99 D A3,
6.20%, 4/15/02........................ 1,779,754 1,774,716
Green Tree Financial Corp. 99 1 A2,
5.43%, 11/1/06........................ 630,830 628,427
Green Tree Financial Corp. 99 2 A1,
5.60%, 12/1/30........................ 787,173 781,654
Green Tree Financial Corp. 99 3 A2,
5.51%, 2/1/31......................... 1,186,483 1,181,381
Green Tree Home Equity Loan Trust 98 A
A2, 6.04%, 6/15/29.................... 368,220 367,388
Green Tree Home Equity Loan Trust 99 C
A1, 5.99%, 8/15/25.................... 850,626 847,997
Green Tree Home Improvement Loan Trust
98 E HIA 1, 5.91%, 5/15/00 (c)........ 194,181 193,804
Harley-Davidson Eaglemark Morotcycle
Trust 99 2 A1, 5.84%, 10/15/03........ 623,380 615,077
Honda Auto Receivables Grantor Trust 97
A, 5.85%, 2/15/03, Callable 6/15/00 @
100................................... 190,655 190,188
Household, 6.83%, 12/20/16............. 812,525 808,535
Indymac HEL 98 A A1, 6.26%,
5/25/00 (c)........................... 225,430 225,211
Long Beach Acceptance Auto Grantor
Trust 97 2 A, 6.69%, 9/25/04 (d)...... 98,251 97,128
</TABLE>
Continued
59
<PAGE>
REPUBLIC PORTFOLIO TRUST SCHEDULE OF PORTFOLIO INVESTMENTS
REPUBLIC FIXED INCOME PORTFOLIO APRIL 30, 2000 (UNAUDITED)
<TABLE>
<CAPTION>
ASSET BACKED SECURITIES, CONTINUED
SHARES
OR
SECURITY PRINCIPAL MARKET
DESCRIPTION AMOUNT VALUE
--------------------------------------- ---------- ------------
<S> <C> <C>
MMCA Automobile Trust 99 2 A1, 6.30%,
6/15/02............................... 1,070,827 $ 1,068,921
Navistar Financial Corp. Owner Trust
99 A, 5.55% 2/15/02................... 732,845 730,493
New Holland 99 A A2, 6.39%,
10/15/02 (d).......................... 975,000 969,745
Nissan Auto Receivables Grantor Trust
97 A, 6.15%, 2/15/03, Callable 7/15/00
@ 100................................. 370,115 369,452
Nissan Auto Receivables Grantor Trust
98 A A, 5.45%, 4/15/04, Callable
7/15/01 @ 100......................... 817,555 807,180
Oakwood 99 B A1, 6.12%, 5/15/00 (c).... 567,325 567,126
Option One 99 2 A1, 5.88%, 5/25/29..... 581,755 576,799
Peco Energy Transition Trust, 7.625%,
3/1/10................................ 700,000 698,264
Premier Auto Trust 99 3 A2, 5.82%,
2/8/02................................ 1,465,288 1,460,614
Salomon Brothers Mortgage Securities
VII 98 NC7 A1, 6.06%, 1/25/29......... 66,851 66,544
Textron Financial Corp. Receivable 98 A
A1, 5.82%, 1/15/02 (d)................ 193,167 192,667
UCFC Home Equity Loan 97 D A2, 6.48%,
6/15/12............................... 7,921 7,900
UCFC Home Equity Loan 98 C A1, 6.12%,
5/15/00 (c)........................... 182,121 181,942
WFS Financial Owner Trust 97 C A3,
6.10%, 3/20/02........................ 54,312 54,277
------------
TOTAL ASSETS BACKED SECURITIES (Cost
$28,732,674).......................... 28,603,134
------------
COLLATERALIZED MORTGAGE OBLIGATIONS - 3.3%
American Southwest Financial Securities
Corp. 93 2 A1, 7.30%, 1/18/09......... 81,336 79,496
American Southwest Financial Securities
Corp. IO 93 2 S1, 1.12%, 5/1/00 (c)... 3,997,037 104,846
Asset Securitization Corp. 96 MDS A1C
SEQ, 7.04%, 11/13/26.................. 275,000 264,495
B A Mortgage Securities, Inc. 97 1 A2,
6.63%, 5/25/00 (c).................... 165,777 166,029
DLJ Mortgage Acceptance Corp. 97 CF1 S,
IO, 1.09%, 5/1/00 (c),(d)............. 2,656,055 107,812
DR Structured Financial Trust, 94 K1
A1, 7.60%, 8/15/07.................... 264,002 245,472
DR Structured Financial Trust, 94 K1
A2, 8.38%, 8/15/15.................... 250,000 217,113
Fannie Mae 94 97 FC, 6.86%, 5/25/00
(c)................................... 116,560 117,416
Fannie Mae 96 14 PO, 0.00%, due
12/25/23.............................. 64,681 37,875
Fannie Mae 97 70 FA, 6.61%, 5/18/00
(c)................................... 138,379 138,146
Fannie Mae 98 22 FA, 6.53%, 5/18/00
(c)................................... 573,258 573,279
Fannie Mae IE 92 89 SQ, 2853%, 5/25/00
(c)................................... 361 22,124
Fannie Mae IE 97 30 SP, 2959%,
5/25/00 (c)........................... 1,000 64,167
Fannie Mae IO 270 2, 8.50%, 9/1/23..... 1,598,549 465,997
Fannie Mae IO 291 2, 8.00%, 11/1/27.... 1,574,519 465,164
Fannie Mae IO 296 2, 8.00%, 4/1/24..... 1,972,420 588,709
Freddie Mac 1710 D, 6.64%, 5/15/00
(c)................................... 355,913 354,932
Freddie Mac IO 1534 K, 1.21%, 5/15/00,
Callable 10/15/18 @ 100 (c)........... 5,468,754 155,996
Freddie Mac IO 186, 8.00%, 8/1/27...... 450,692 135,239
Freddie Mac IO 85 PR, 8.00%, 7/15/27... 1,559,870 465,458
GMAC 96 C1 X2 IO, 1.26%, 5/1/00 (c).... 5,321,300 302,356
GMAC 97 C2 X IO, 1.88%, 5/1/00 (c)..... 2,042,038 117,683
Government National Mortgage
Association IO 99 29 SD, 1.87%,
5/16/00 (c)........................... 4,492,279 164,388
Government National Mortgage
Association IO 99 30 S, 2.47%,
5/16/00 (c)........................... 5,052,213 305,712
Government National Mortgage
Association IO 99 30 SA, 1.87%,
5/16/00 (c)........................... 4,693,424 200,290
Government National Mortgage
Association IO 99 32 SB, 1.87%,
5/16/00 (c)........................... 3,657,928 135,235
GS Mortgage Securities Corp. IO 97
GL X2, 1.07%, 5/1/00 (c).............. 1,264,062 46,100
Moserv, Inc. 96 2 1A1, 6.97%, 5/25/00
(c)................................... 327,312 330,001
------------
TOTAL COLLATERALIZED MORTGAGE OBLIGATIONS
(Cost $6,312,255)..................... 6,371,530
------------
U.S. GOVERNMENT AND GOVERNMENT AGENCY
OBLIGATIONS - 86.2%
FEDERAL HOME LOAN BANK (2.6%)
5.87%, 5/3/00.......................... 5,000,000 4,998,315
------------
FEDERAL HOME LOAN MORTGAGE CORP. - 29.5%
5.85%, 6/1/00.......................... 7,000,000 6,962,872
6.625%, 9/15/09........................ 12,100,000 11,527,464
Pool #180881, 10.50%, 10/1/11.......... 37,905 40,278
Pool #308433, 10.50%, 11/1/18.......... 28,466 30,435
Pool #555201, 11.00%, 9/1/16........... 34,563 37,156
Pool #555283, 10.00%, 9/1/17........... 139,003 146,597
Pool #A00814, 10.00%, 11/1/20.......... 340,446 360,292
Pool #A01417, 10.00%, 3/1/21........... 265,257 280,555
Pool #A01521, 9.50%, 12/1/16........... 107,556 113,482
Pool #A01663, 10.00%, 11/1/16.......... 266,452 281,675
Pool #A01706, 10.00%, 6/1/17........... 335,436 354,781
Pool #D18976, 10.00%, 3/1/20........... 292,865 309,732
TBA May 2000, 6.00%, 5/1/30 (b)........ 30,500,000 27,621,563
TBA May 2000, 6.50%, 5/1/30 (b)........ 9,000,000 8,403,750
------------
56,470,632
------------
FEDERAL NATIONAL MORTGAGE ASSOCIATION - 36.8%
6.33%, 6/22/00......................... 10,000,000 9,911,019
5.25%, 1/15/09......................... 4,950,000 4,286,438
7.25%, 1/15/10......................... 8,125,000 8,090,323
6.25%, 5/15/29......................... 10,510,000 9,273,508
Pool #124783, 10.50%, 12/1/16.......... 38,100 40,669
</TABLE>
Continued
60
<PAGE>
REPUBLIC PORTFOLIO TRUST SCHEDULE OF PORTFOLIO INVESTMENTS
REPUBLIC FIXED INCOME PORTFOLIO APRIL 30, 2000 (UNAUDITED)
<TABLE>
<CAPTION>
U.S. GOVERNMENT AND GOVERNMENT AGENCY OBLIGATIONS, CONTINUED
SHARES
OR
SECURITY PRINCIPAL MARKET
DESCRIPTION AMOUNT VALUE
--------------------------------------- ---------- ------------
<S> <C> <C>
Pool #303157, 10.00%, 5/1/22........... 38,827 $ 41,056
Pool #323073, 10.50%, 10/1/18.......... 266,583 284,338
Pool #323166, 9.50%, 8/1/22............ 551,177 580,374
Pool #323559, 10.00%, 6/1/20........... 49,989 519,870
Pool #323715, 6.00%, 5/1/29............ 11,177,673 10,134,766
Pool #418458, 10.00%, 11/1/18.......... 660,047 697,872
Pool #427683, 10.50%, 6/1/09........... 662,310 705,324
Pool #44176, 10.00%, 6/1/20............ 73,344 77,477
Pool #82931, 10.00%, 10/1/19........... 22,167 23,430
Pool #83435, 10.00%, 11/1/19........... 47,809 50,518
Pool #83880, 10.00%, 11/1/19........... 3,401 3,594
Pool #84964, 10.00%, 11/1/19........... 7,384 7,804
Pool #87291, 10.00%, 1/1/20............ 6,532 6,900
TBA May 2000, 6.00%, 5/1/30 (b)........ 9,350,000 8,461,750
TBA May 2000, 6.50%, 5/1/30 (b)........ 16,500,000 15,391,398
TBA May 2000, 7.00%, 5/1/30 (b)........ 1,800,000 1,721,250
------------
70,309,678
------------
GOVERNMENT NATIONAL MORTGAGE
ASSOCIATION - 17.3%
2.42%, 5/16/00......................... 2,868,195 155,342
Pool #120587, 13.50%, 11/15/14......... 26,519 30,391
Pool #136224, 10.00%, 11/15/15......... 33,017 35,110
Pool #150312, 11.50%, 2/15/16.......... 12,301 13,608
Pool #163997, 10.50%, 8/15/16.......... 18,132 19,611
Pool #164353, 10.50%, 6/15/16.......... 24,525 26,525
Pool #164356, 10.50%, 6/15/16.......... 73,114 79,076
Pool #199010, 10.00%, 1/15/17.......... 31,256 33,263
Pool #227192, 10.00%, 6/15/19.......... 24,059 25,605
Pool #253821, 10.00%, 10/15/18......... 21,464 22,842
Pool #257153, 10.00%, 11/15/18......... 18,977 20,194
Pool #258345, 10.00%, 6/15/19.......... 2,535 2,697
Pool #265085, 10.00%, 4/15/19.......... 17,574 18,704
Pool #271874, 10.00%, 4/15/19.......... 20,708 22,039
Pool #278742, 10.50%, 9/15/19.......... 73,704 79,540
Pool #282210, 10.50%, 11/15/19......... 93,396 100,792
Pool #301274, 10.00%, 1/15/21.......... 31,047 33,038
Pool #38500, 11.00%, 1/15/10........... 54,248 59,470
Pool #38712, 11.00%, 3/15/10........... 23,105 25,329
Pool #39798, 11.00%, 6/15/10........... 16,224 17,785
Pool #41650, 11.00%, 8/15/10........... 35,011 38,381
Pool #41840, 11.00%, 8/15/10........... 46,008 50,437
Pool #42490, 11.00%, 7/15/10........... 36,465 39,975
Pool #43699, 11.00%, 9/15/10........... 24,394 26,742
Pool #44103, 11.00%, 9/15/10........... 23,385 25,636
Pool #780047, 9.00%, 12/15/17.......... 650,810 676,450
Pool #780066, 10.50%, 12/15/20......... 258,024 278,674
Pool #780081, 10.00%, 2/15/25.......... 86,220 92,057
Pool #780127, 10.50%, 4/15/25.......... 81,843 88,719
Pool #780164, 10.00%, 12/15/17......... 160,305 170,600
Pool #780203, 9.50%, 12/15/17.......... 440,727 463,831
Pool #780311, 9.50%, 12/15/21.......... 319,946 336,349
Pool #780377, 9.00%, 12/15/19.......... 583,612 606,037
Pool #780378, 11.00%, 1/15/19.......... 154,700 171,105
Pool #780384, 11.00%, 2/15/17.......... 170,092 188,257
Pool #780472, 10.00%, 3/15/25.......... 255,619 272,925
Pool #780517, 10.50%, 1/15/18.......... 60,051 64,751
Pool #780614, 11.00%, 3/15/18.......... 413,221 457,436
Pool #780784, 10.00%, 8/15/21.......... 426,418 453,763
Pool #780804, 10.00%, 12/15/20......... 1,182,847 1,258,854
Pool #780826, 9.50%, 5/15/18........... 784,638 825,679
Pool #780904, 9.50%, 7/15/18........... 521,177 548,548
Pool #780991, 9.00%, 11/15/24.......... 611,992 633,736
Pool #80094, 6.63%, 7/20/27............ 245,806 247,148
Pool #80106, 6.63%, 8/20/27............ 685,873 689,619
Pool #80114, 6.63%, 9/20/27............ 446,740 449,180
Pool #80123, 6.13%, 10/20/27........... 679,288 689,145
Pool #80137, 6.50%, 11/20/27........... 814,152 825,966
Pool #80145, 6.50%, 12/20/27........... 200,838 203,752
Pool #80156, 6.50%, 1/20/28............ 201,456 199,229
Pool #8599, 6.88%, 2/20/25............. 141,440 141,696
Pool #8613, 6.88%, 3/20/25............. 391,255 391,963
Pool #8619, 6.38%, 4/20/25............. 92,392 92,560
Pool #8621, 6.38%, 4/20/25............. 479,466 480,334
Pool #8623, 6.38%, 4/20/25............. 336,370 336,980
Pool #8624, 6.38%, 4/20/25............. 728,176 729,495
Pool #8628, 6.38%, 5/20/25............. 107,154 107,348
Pool #8631, 6.38%, 5/20/25............. 217,787 218,181
Pool #8634, 6.38%, 5/20/25............. 120,602 120,820
Pool #8643, 6.38%, 6/20/25............. 305,259 305,812
Pool #8646, 6.38%, 6/20/25............. 184,005 184,338
Pool #8663, 6.63%, 7/20/25............. 132,623 133,795
Pool #8686, 6.63%, 8/20/25............. 496,201 500,589
TBA May 2000, 7.00%, 5/15/30 (b)....... 18,100,000 17,404,272
------------
33,042,125
------------
TOTAL U.S. GOVERNMENT AND GOVERNMENT AGENCY
OBLIGATIONS
(Cost $167,585,154)................... 164,820,750
------------
U.S. TREASURY OBLIGATIONS - 0.0%
U.S. Treasury Bonds, 8.75%, 8/15/20.... 25,000 31,938
------------
TOTAL U.S. TREASURY OBLIGATIONS
(Cost $30,209)........................ 31,938
------------
YANKEE BONDS - 0.7%
Mexico Series A, 6.25%, 12/31/19....... 485,000 398,306
Mexico Series B, 6.25%, 12/31/19....... 500,000 410,625
Republic of Argentina, 11.75%,
4/7/09................................ 90,000 88,380
Republic of Columbia, 8.70%, 2/15/16... 740,000 481,000
------------
TOTAL YANKEE BONDS
(Cost $1,494,558)..................... 1,378,311
------------
INVESTMENT COMPANIES - 6.5%
Dreyfus Cash Management Fund........... 12,473,484 12,473,484
------------
TOTAL INVESTMENT COMPANIES (Cost
$12,473,484).......................... 12,473,484
------------
</TABLE>
Continued
61
<PAGE>
REPUBLIC PORTFOLIO TRUST SCHEDULE OF PORTFOLIO INVESTMENTS
REPUBLIC FIXED INCOME PORTFOLIO APRIL 30, 2000 (UNAUDITED)
<TABLE>
<CAPTION>
SHARES
OR
SECURITY PRINCIPAL MARKET
DESCRIPTION AMOUNT VALUE
--------------------------------------- ---------- ------------
<S> <C> <C>
TOTAL INVESTMENTS
(Cost $277,714,032) (a) - 140.9%..... $269,574,352
LIABILITIES IN EXCESS OF OTHER ASSETS
- (40.9)%............................ (78,267,744)
------------
NET ASSETS - 100.0%................... $191,306,608
------------
------------
</TABLE>
At April 30, 2000 the fund's open futures contracts were as follows:
<TABLE>
<CAPTION>
APPRECIATION/
LONG NUMBER OF EXPIRATION CONTRACT (DEPRECIATION)
CONTRACTS CONTRACTS DATE VALUE OF CONTRACTS
--------------------- --------- ---------- ----------- --------------
<S> <C> <C> <C> <C>
U.S. 2 Year Note..... 17 5/20/00 $ 3,352,984 $ (21,050)
<CAPTION>
APPRECIATION/
SHORT NUMBER OF EXPIRATION CONTRACT (DEPRECIATION)
CONTRACTS CONTRACTS DATE VALUE OF CONTRACTS
--------------------- --------- ---------- ----------- --------------
<S> <C> <C> <C> <C>
U.S. 10 Year Note.... 43 5/22/00 $ 4,168,313 $ 78,920
U.S. Treasury
Bonds............... 135 6/30/00 13,035,938 (106,034)
---------
$ (27,114)
---------
---------
</TABLE>
---------
(a) Cost differs from value by net unrealized depreciation of securities as
follows:
<TABLE>
<S> <C>
Unrealized appreciation....................... $ 934,795
Unrealized depreciation....................... (9,074,475)
------------
Net unrealized depreciation................... $ (8,139,680)
------------
------------
</TABLE>
(b) Security purchased on a delayed delivery basis collateralized by cash and
cash equivalents.
(c) Represents a variable rate note. Interest rate disclosed represents current
rate at April 30, 2000.
(d) Security exempt from registration under Rule 144a of the Securities Act of
1933. These securities may be resold in transactions exempt from
registration, normally to qualified institutional buyers.
(e) Represents an illiquid security, valued in good faith by the investment
manager.
HEL -- Home Equity Loan
IE -- Ioette
IO -- Interest Only
LLC -- Limited Liability Company
LP -- Limited Partnership
PLC -- Public Limited Company
PO -- Principal Only
SA -- Societe Anonyme (French Corp.)
TBA -- Pool number to be announced
See notes to financial statements.
62
<PAGE>
REPUBLIC PORTFOLIO TRUST
REPUBLIC FIXED INCOME PORTFOLIO
STATEMENT OF ASSETS AND LIABILITIES
APRIL 30, 2000 (UNAUDITED)
<TABLE>
<S> <C> <C>
ASSETS:
Investments, at value
(cost $277,714,032).............. $269,574,352
Cash.............................. 32,821
Interest and dividends
receivable....................... 2,280,854
Receivable for investments sold... 205,863
Prepaid expenses.................. 1,883
------------
TOTAL ASSETS................... 272,095,773
LIABILITIES:
Payable for investments
purchased......................... $80,609,493
Variation margin payable.......... 49,953
Accrued expenses and other
liabilities:
Investment management............ 62,668
Administration................... 6,460
Other liabilities................ 60,591
-----------
TOTAL LIABILITIES.............. 80,789,165
------------
NET ASSETS:
Applicable to investors'
beneficial interest.............. $191,306,608
------------
------------
</TABLE>
STATEMENT OF OPERATIONS
FOR THE SIX MONTHS ENDED APRIL 30, 2000 (UNAUDITED)
<TABLE>
<S> <C> <C>
INVESTMENT INCOME:
Interest income........................ $6,642,491
Dividend income........................ 195,334
----------
TOTAL INVESTMENT INCOME............. 6,837,825
EXPENSES:
Investment management.................. $381,360
Administration......................... 39,204
Accounting............................. 26,864
Custodian.............................. 26,755
Other expenses......................... 9,910
--------
TOTAL EXPENSES......................... 484,093
----------
NET INVESTMENT INCOME.................. 6,353,732
----------
NET REALIZED/UNREALIZED LOSSES FROM
INVESTMENTS:
Net realized loss from investment and
futures transactions.................. (2,138,882)
Change in unrealized depreciation from
investments and futures............... (2,330,772)
----------
Net realized/unrealized loss from
investments and futures............... (4,469,654)
----------
CHANGE IN NET ASSETS RESULTING FROM
OPERATIONS............................ $1,884,078
----------
----------
</TABLE>
See notes to financial statements.
63
<PAGE>
REPUBLIC PORTFOLIO TRUST
REPUBLIC FIXED INCOME PORTFOLIO
STATEMENTS OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
FOR THE SIX
MONTHS ENDED FOR THE
APRIL 30, YEAR ENDED
2000 OCTOBER 31,
(UNAUDITED) 1999
------------ --------------
<S> <C> <C>
INVESTMENT ACTIVITIES:
Operations:
Net investment income...................................... $ 6,353,732 $ 12,159,615
Net realized losses from investment and futures
transactions............................................. (2,138,882) (5,842,322)
Change in unrealized depreciation from investments and
futures.................................................. (2,330,772) (3,882,328)
------------ ------------
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS.............. 1,884,078 2,434,965
------------ ------------
CHANGE IN NET ASSETS FROM TRANSACTIONS IN INVESTORS'
BENEFICIAL INTERESTS....................................... (7,448,933) 21,363,820
------------ ------------
CHANGE IN NET ASSETS........................................ (5,564,855) 23,798,785
NET ASSETS:
Beginning of period........................................ 196,871,463 173,072,678
------------ ------------
End of period.............................................. $191,306,608 $196,871,463
------------ ------------
------------ ------------
</TABLE>
See notes to financial statements.
64
<PAGE>
REPUBLIC PORTFOLIO TRUST
REPUBLIC FIXED INCOME PORTFOLIO
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
FOR THE SIX
MONTHS ENDED FOR THE PERIOD
APRIL 30, FOR THE YEARS ENDED OCTOBER 31, JANUARY 9, 1995
2000 -------------------------------------------- TO OCTOBER 31,
(UNAUDITED) 1999 1998 1997 1996 1995(a)
------------ -------- -------- -------- ------- ---------------
<S> <C> <C> <C> <C> <C> <C>
RATIOS/SUPPLEMENTARY DATA:
Net assets at end of period (000's)......... $191,307 $196,871 $173,073 $118,405 $64,178 $30,023
Ratio of expenses to average net assets..... 0.51%(b) 0.56% 0.62% 0.57% 0.67% 0.46%(b)
Ratio of net investment income to average
net assets................................. 6.67%(b) 6.43% 6.03% 6.17% 5.66% 6.04%(b)
Ratio of expenses to average net assets..... 0.51%(b) 0.56% 0.62% 0.77%(c) 0.90%(c) 1.00%(b),(c)
Portfolio turnover.......................... 199.03% 433.26% 126.40% 349.00% 152.00% 100.00%
</TABLE>
(a) Period from commencement of operations.
(b) Annualized.
(c) During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratio would have been as indicated.
See notes to financial statements.
65
<PAGE>
REPUBLIC PORTFOLIO TRUST SCHEDULE OF PORTFOLIO INVESTMENTS
REPUBLIC INTERNATIONAL EQUITY PORTFOLIO APRIL 30, 2000 (UNAUDITED)
<TABLE>
<CAPTION>
COMMON STOCKS - 92.7%
SECURITY
DESCRIPTION SHARES MARKET VALUE
------------------------------------- ----------- ------------
<S> <C> <C>
AUSTRALIA - 2.6%
Australia & New Zealand Bank Group,
Ltd................................. 225,821 $ 1,560,144
Broken Hill Proprietary.............. 109,778 1,181,204
Broken Hill Proprietary ADR.......... 83,800 1,775,513
Coles Myer, Ltd...................... 254,010 950,371
Fosters Brewing...................... 290,000 732,037
Lend Lease Corp., Ltd................ 106,975 1,158,285
News Corp., Ltd...................... 26,974 342,274
News Corp., Ltd. ADR................. 8,275 425,645
Westpac Banking Corp., Ltd........... 256,656 1,636,893
------------
9,762,366
------------
BRAZIL - 0.1%
Telecomunicacoes de Sao Paulo SA
ADR................................. 13,500 340,875
------------
CANADA - 4.4%
Bank of Nova Scotia.................. 75,000 1,708,389
Bombardier Class B................... 169,000 4,539,642
Clarica Life Insurance Co. (b)....... 57,000 1,119,488
Manulife Financial Corp.............. 24,000 376,605
National Bank of Canada.............. 52,100 731,396
Nortel Networks Corp. ADR............ 22,800 2,582,100
Suncor Energy, Inc................... 20,400 870,825
Teleglobe, Inc....................... 14,100 352,105
Teleglobe, Inc. ADR.................. 2,300 57,069
Thomson Corp......................... 115,493 3,811,678
------------
16,149,297
------------
FINLAND - 4.3%
Metra Oy B Shares.................... 30,100 490,973
Nokia Oyj............................ 225,700 12,977,742
Sanitec Oyj.......................... 11,203 130,468
UPM-Kymmene.......................... 87,000 2,259,448
------------
15,858,631
------------
FRANCE - 5.7%
Bougues.............................. 6,609 4,227,767
Christian Dior SA.................... 4,700 1,119,974
Compagnie De Saint Gobain............ 11,000 1,504,567
Groupe Danone........................ 4,900 1,073,864
LVMH................................. 1,100 462,697
Peugeot SA........................... 6,800 1,410,326
Sanofi Synthelabo SA (b)............. 60,320 2,256,382
Television Francaise................. 10,000 6,861,723
Valeo................................ 10,460 581,433
Vivendi.............................. 16,500 1,635,879
------------
21,134,612
------------
GERMANY - 7.1%
Allianz Holdings AG.................. 2,600 1,003,379
Bayerische Motoren Werke AG.......... 36,400 970,209
Daimler Chrysler AG.................. 11,000 641,521
Deutsche Bank AG Registered.......... 15,100 1,016,856
Deutsche Telekom AG.................. 39,800 2,556,880
Epcos AG (b)......................... 11,900 1,678,634
Infineon Technologies ADR............ 42,300 2,871,113
Infineon Technologies AG............. 67,300 4,587,276
Metallgesellschaft AG................ 34,000 539,406
Muenchener Rueckversicher AG......... 5,800 1,696,568
Siemens AG........................... 45,100 6,670,115
T-Online International AG............ 19,700 727,042
Thyssen Krupp AG (b)................. 58,000 1,215,609
------------
26,174,608
------------
HONG KONG - 0.8%
Hong Kong Telecom, Ltd............... 610,800 1,438,979
Hutchison Whampoa, Ltd............... 96,000 1,398,899
Shangri-La Asia, Ltd................. 42,000 46,643
------------
2,884,521
------------
IRELAND - 0.2%
Allied Irish Banks PLC............... 66,400 664,065
------------
ITALY - 3.2%
Assicurazioni Generali............... 69,000 1,968,030
ENI SpA.............................. 514,000 2,562,056
Telecom Italia Mobile RNC............ 988,000 3,898,369
Telecom Italia SpA................... 58,611 821,436
Telecom Italia SpA RNC............... 407,000 2,570,194
------------
11,820,085
------------
JAPAN - 24.9%
Advantest Corp....................... 22,200 5,075,914
Aiful Corp........................... 8,250 832,087
Asahi Breweries, Ltd................. 12,000 122,141
Chugai Pharmaceutical, Ltd........... 84,000 1,616,706
DDI Corp............................. 122 1,399,813
Fuji Soft ABC, Inc................... 11,000 651,420
Fujitsu Support and Services, Inc.... 4,900 725,445
Hirose Electronics Co., Ltd.......... 29,400 3,552,868
Hitachi, Ltd......................... 150,000 1,790,480
Honda Motor Co., Ltd................. 26,000 1,162,008
Jusco Co., Ltd....................... 58,000 1,073,363
Kao Corp............................. 32,000 974,169
Keyence Corp......................... 10,230 3,393,543
Mitsubishi Heavy Industries, Ltd..... 275,000 854,989
Mitsubishi Motors Corp. (b).......... 287,000 1,011,802
Mitsui Chemicals, Inc................ 193,000 1,537,620
Murata Manufacturing Co., Ltd........ 31,000 6,023,786
Nichicon Corp........................ 15,000 402,511
Nichiei Co., Ltd..................... 40 792
Nikon Corp........................... 153,000 5,379,768
Nintendo Corp........................ 15,800 2,631,589
Nippon Sheet Glass Co................ 73,000 648,459
Nippon Telegraph & Telephone Corp.... 169 2,095,463
</TABLE>
Continued
66
<PAGE>
REPUBLIC PORTFOLIO TRUST SCHEDULE OF PORTFOLIO INVESTMENTS
REPUBLIC INTERNATIONAL EQUITY PORTFOLIO APRIL 30, 2000 (UNAUDITED)
<TABLE>
<CAPTION>
COMMON STOCKS, CONTINUED
SECURITY
DESCRIPTION SHARES MARKET VALUE
------------------------------------- ----------- ------------
<S> <C> <C>
JAPAN, CONTINUED
Nissan Motor Co. Ltd. (b)............ 328,000 $ 1,490,198
Nomura Securities Co., Ltd........... 95,000 2,391,008
NTT Mobile Communications Network,
Inc................................. 286 9,553,484
Rohm Co.............................. 15,000 5,024,448
Sankyo Co., Ltd...................... 52,000 1,145,167
Sekisui House Ltd.................... 74,000 677,884
Shionogi & Co., Ltd.................. 78,000 1,205,312
Sony Corp............................ 93,910 10,783,808
Sony Corp. ADR....................... 2,200 496,375
Suzuki Motor Corp.................... 96,000 1,429,275
Taiyo Yuden Co....................... 33,000 2,335,952
Tokyo Electron, Ltd.................. 69,900 11,390,035
Toray Industries, Inc................ 177,000 642,019
Ushio, Inc........................... 15,000 350,462
Yasuda F & M Insurance............... 163,000 659,109
------------
92,531,272
------------
MEXICO - 1.9%
Panamerican Beverage Inc., Class A... 55,000 904,063
Telefonos De Mexico ADR.............. 103,200 6,069,450
------------
6,973,513
------------
NETHERLANDS - 7.0%
ABN AMRO Holding NV.................. 133,306 2,751,415
Aegon NV............................. 53,758 3,872,427
ASM Lithography Holding NV........... 204,000 7,993,497
DSM NV............................... 43,823 1,442,807
Heineken Holding NV.................. 12,300 415,271
Heineken NV.......................... 59,000 3,279,594
ING Groep NV......................... 14,000 765,706
STMicroelectronics NV................ 10,000 1,912,717
STMicroelectronics NY Shares......... 18,500 3,509,219
------------
25,942,653
------------
PORTUGAL - 0.4%
Portugal Telecom SA.................. 95,000 1,062,200
PT Multimedia Servicos de
Telecomunicacoes (b)................ 6,500 454,601
------------
1,516,801
------------
SINGAPORE - 0.8%
Creative Technology Ltd.............. 19,000 461,803
Creative Technology Ltd. ADR......... 20,000 547,500
Singapore Press Holdings, Ltd........ 100,370 1,963,385
------------
2,972,688
------------
SOUTH AFRICA - 0.1%
Sasol, Ltd........................... 81,700 479,648
------------
SOUTH KOREA - 1.8%
Korea Telecom Corp. ADR (b).......... 7,800 269,100
Pohang Iron & Steel Co............... 35,000 735,000
Samsung Electronics, Ltd............. 34,340 5,431,730
------------
6,435,830
------------
SPAIN - 1.8%
Banco Bilbao Vizcaya SA.............. 106,700 1,458,458
Telefonica SA (b).................... 228,625 5,100,037
Telefonica SA- ADR (b)............... 3,100 205,375
------------
6,763,870
------------
SWEDEN - 1.8%
Forenings Sparbanken................. 90,900 1,340,242
Hennes & Mauritz AB B Shares......... 62,000 1,648,216
Telefonaktiebolaget LM Ericsson
ADR................................. 7,900 698,656
Telefonaktiebolaget LM Ericsson B
Shares.............................. 33,020 2,939,551
------------
6,626,665
------------
SWITZERLAND - 3.7%
Adecco SA-Reg (b).................... 873 717,996
Compagnie Financiere Richemont AG.... 990 2,411,020
Holderbank Financiere Glaris, Ltd.
Class B............................. 1,630 1,847,455
Nestle............................... 857 1,514,279
Novartis AG Registered............... 1,727 2,418,137
Roche Holding AG (b)................. 72 753,699
Schweizerische Rueckversicherungs
Reg................................. 451 726,381
Swisscom AG.......................... 8,993 3,178,044
------------
13,567,011
------------
TAIWAN - 3.2%
Asustek Computer, Inc................ 247,840 3,271,488
Taiwan Semiconductor ADR (b)......... 162,310 8,490,842
------------
11,762,330
------------
TURKEY - 0.7%
Turkive IS Bankasi................... 451,080 2,474,038
------------
</TABLE>
Continued
67
<PAGE>
REPUBLIC PORTFOLIO TRUST SCHEDULE OF PORTFOLIO INVESTMENTS
REPUBLIC INTERNATIONAL EQUITY PORTFOLIO APRIL 30, 2000 (UNAUDITED)
<TABLE>
<CAPTION>
COMMON STOCKS, CONTINUED
SECURITY
DESCRIPTION SHARES MARKET VALUE
------------------------------------- ----------- ------------
<S> <C> <C>
UNITED KINGDOM - 16.2%
AstraZeneca PLC...................... 72,200 $ 3,040,255
AstraZeneca PLC...................... 131,351 5,494,533
AstraZeneca PLC ADR.................. 8,300 349,638
BG Group............................. 179,555 1,090,155
BOC Group PLC........................ 134,600 2,226,276
British Aerospace PLC................ 217,000 1,352,305
British Airways PLC.................. 150,000 788,073
Cable & Wireless PLC................. 26,000 433,293
Cadbury Schweppes PLC................ 164,400 1,122,910
Caradon PLC.......................... 400,000 995,213
Coca Cola Beverages PLC (b).......... 371,000 679,233
Enterprise Oil PLC................... 133,200 992,134
GKN PLC.............................. 69,200 961,564
Halifax Group PLC.................... 91,000 852,957
Invensys PLC......................... 630,900 3,053,017
Land Securities PLC.................. 60,000 727,163
Laporte PLC.......................... 83,600 686,791
Laporte PLC.......................... 1,337,600 2,093,077
Lloyds TSB Group PLC................. 419,000 4,110,935
New Dixons Group PLC (b)............. 238,151 972,641
Rank Group PLC....................... 295,000 677,422
Reuters Group PLC.................... 157,266 2,807,886
Reuters Group PLC ADR................ 780 81,364
Royal & Sun Alliance Insurance Group
PLC................................. 195,396 1,103,014
Royal Bank Of Scotland............... 117,300 1,829,087
Shell Transport & Trading Co. PLC.... 158,000 1,298,002
Tate & Lyle PLC...................... 240,000 852,503
TI Group PLC......................... 190,000 1,039,106
Tomkins PLC.......................... 280,000 860,953
Unilever PLC......................... 96,000 576,848
Vodafone Airtouch PLC................ 3,748,691 17,275,238
------------
60,423,586
------------
TOTAL COMMON STOCKS
(Cost $206,630,729)................. 343,258,965
------------
PREFERRED STOCKS - 1.9%
AUSTRALIA - 0.0%
News Corp., Ltd...................... 433 4,654
------------
JAPAN - 1.9%
NEC Corp............................. 259,000 7,045,886
------------
TOTAL PREFERRED STOCKS
(Cost $3,819,388)................... 7,050,540
------------
SHORT-TERM INVESTMENTS - 4.6%
UNITED STATES - 4.6%
Investors Cash Reserve............... 17,189,148 17,189,148
------------
TOTAL SHORT-TERM INVESTMENTS
(Cost $17,189,148).................. 17,189,148
------------
CONVERTIBLE BONDS - 0.7%
JAPAN - 0.7%
Sakura Finance, 0.75%, 10/1/01,
Convertible Bond, convertible to
11,788 shares until 9/30/01......... 120,000,000* 1,679,554
Sanwa International Finance, 1.25%,
8/1/05, Convertible Bond,
convertible to 2,443 shares until
7/31/05............................. 102,000,000* 962,695
------------
TOTAL CONVERTIBLE BONDS
(Cost $2,018,633)................... 2,642,249
------------
TOTAL INVESTMENTS
(Cost $229,657,898) (a) - 99.9%.... 370,140,902
OTHER ASSETS IN EXCESS OF
LIABILITIES - 0.1%................. 279,474
------------
NET ASSETS - 100.0%................. $370,420,376
------------
------------
</TABLE>
---------
(a) Cost differs from value by net unrealized appreciation of securities as
follows:
<TABLE>
<S> <C>
Unrealized appreciation....................... $153,168,920
Unrealized depreciation....................... (12,685,916)
------------
Net unrealized appreciation................... $140,483,004
------------
------------
</TABLE>
(b) Represents non-income producing securities.
<TABLE>
<S> <C> <C>
AB -- Aktiebolag (Swedish Stock Co.)
ADR -- American Depositary Receipt
AG -- Aktiengesellschaft (West German Stock Co.)
NV -- Naamloze Vennootschaap (Dutch Corp.)
PLC -- Public Limited Company
SA -- Societe Anonyme (French Corp.)
SpA -- Societa per Azioni (Italian Corp.)
</TABLE>
* The principal amount of the security is denominated in the local currency of
the respective country.
Continued
68
<PAGE>
REPUBLIC PORTFOLIO TRUST SCHEDULE OF PORTFOLIO INVESTMENTS
REPUBLIC INTERNATIONAL EQUITY PORTFOLIO APRIL 30, 2000 (UNAUDITED)
At April 30, 2000, the fund's open forward currency contracts were as follows:
<TABLE>
<CAPTION>
CONTRACT CONTRACT UNREALIZED
DELIVERY AMOUNT VALUE MARKET APPRECIATION/
CURRENCY DATE (LOCAL CURRENCY) (U.S. DOLLAR) VALUE (DEPRECIATION)
-------- ---- ---------------- ------------- ----- --------------
<S> <C> <C> <C> <C> <C>
LONG CONTRACTS
Euro............................................. 5/26/00 1,708,136 $ 1,760,657 $ 1,558,995 $ (201,662)
Euro............................................. 7/19/00 1,579,128 1,619,402 1,446,354 (173,048)
Euro............................................. 5/4/00 172,050 169,016 156,818 (12,198)
Euro............................................. 2/20/01 3,378,518 3,365,728 3,116,427 (249,301)
Euro............................................. 8/28/00 1,520,697 1,531,417 1,396,813 (134,604)
Euro............................................. 9/5/00 352,755 346,620 324,201 (22,419)
Euro............................................. 6/7/00 683,482 661,919 624,261 (37,658)
Euro............................................. 7/19/00 2,764,255 2,658,231 2,531,836 (126,395)
Euro............................................. 7/19/00 4,632,754 4,455,062 4,243,231 (211,831)
Euro............................................. 7/31/00 1,043,187 969,453 956,310 (13,143)
----------- ----------- -----------
TOTAL LONG CONTRACTS........................................................ $17,537,505 $16,355,246 $(1,182,259)
----------- ----------- -----------
----------- ----------- -----------
SHORT CONTRACTS
Australian Dollar................................ 7/19/00 2,433,973 $ 1,619,402 $ 1,422,793 $ 196,609
Australian Dollar................................ 5/2/00 44,540 26,216 25,990 226
British Pound.................................... 5/4/00 105,191 169,016 164,596 4,420
British Pound.................................... 9/5/00 218,955 346,620 342,968 3,652
British Pound.................................... 7/31/00 614,750 969,453 962,368 7,085
Canadian Dollar.................................. 6/7/00 960,430 661,919 648,784 13,135
Euro............................................. 5/31/00 44,384 41,077 40,521 556
Euro............................................. 5/31/00 91,875 83,781 83,879 (98)
Hong Kong Dollar................................. 5/2/00 244,707 31,421 31,417 4
Japanese Yen..................................... 5/26/00 180,840,380 1,760,657 1,682,271 78,386
Japanese Yen..................................... 2/20/01 350,994,240 3,365,728 3,360,726 5,002
Japanese Yen..................................... 8/28/00 184,585,450 1,715,000 1,747,420 (32,420)
Japanese Yen..................................... 8/28/00 164,889,160 1,531,417 1,560,961 (29,544)
Japanese Yen..................................... 7/19/00 272,953,610 2,658,231 2,564,567 93,664
Japanese Yen..................................... 7/19/00 457,456,690 4,455,062 4,298,087 156,975
Japanese Yen..................................... 5/1/00 35,376,651 332,706 327,345 5,361
Japanese Yen..................................... 5/2/00 21,904,405 205,859 202,684 3,175
----------- ----------- -----------
TOTAL SHORT CONTRACTS....................................................... $19,973,565 $19,467,377 $ 506,188
----------- ----------- -----------
----------- ----------- -----------
</TABLE>
See notes to financial statements.
69
<PAGE>
REPUBLIC PORTFOLIO TRUST
REPUBLIC INTERNATIONAL EQUITY PORTFOLIO
STATEMENT OF ASSETS AND LIABILITIES
APRIL 30, 2000 (UNAUDITED)
<TABLE>
<S> <C> <C>
ASSETS:
Investments, at value
(cost $229,657,898)................. $370,140,902
Foreign currency, at value
(cost $13,122)...................... 13,200
Receivable for investments sold...... 711,602
Interest and dividends receivable.... 778,833
Prepaid expenses..................... 60
------------
TOTAL ASSETS...................... 371,644,597
LIABILITIES:
Payable for investments purchased.... $122,393
Unrealized depreciation on forward
foreign exchange contracts.......... 676,071
Accrued expenses and other
liabilities:
Investment management............... 211,583
Administration...................... 12,740
Other liabilities................... 201,434
--------
TOTAL LIABILITIES................. 1,224,221
------------
NET ASSETS:
Applicable to investors' beneficial
interest............................ $370,420,376
------------
------------
</TABLE>
STATEMENT OF OPERATIONS
FOR THE SIX MONTHS ENDED APRIL 30, 2000 (UNAUDITED)
<TABLE>
<S> <C> <C>
INVESTMENT INCOME:
Interest income..................... $ 331,372
Dividend income..................... 2,193,478
Foreign tax withholding............. (267,888)
-----------
TOTAL INVESTMENT INCOME.......... 2,256,962
EXPENSES:
Investment management............... $1,198,062
Administration...................... 71,349
Accounting.......................... 42,864
Custodian........................... 107,052
Other expenses...................... 23,350
----------
TOTAL EXPENSES...................... 1,442,677
-----------
NET INVESTMENT INCOME............... 814,285
-----------
NET REALIZED/UNREALIZED GAINS FROM
INVESTMENTS:
Net realized gains from investment
and foreign currency
transactions....................... 21,228,644
Change in unrealized appreciation
from investments and foreign
currencies......................... 45,484,297
-----------
Net realized/unrealized gains from
investments and foreign
currencies......................... 66,712,941
-----------
CHANGE IN NET ASSETS RESULTING FROM
OPERATIONS......................... $67,527,226
-----------
-----------
</TABLE>
See notes to financial statements.
70
<PAGE>
REPUBLIC PORTFOLIO TRUST
REPUBLIC INTERNATIONAL EQUITY PORTFOLIO
STATEMENTS OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
FOR THE SIX
MONTHS ENDED FOR THE
APRIL 30, YEAR ENDED
2000 OCTOBER 31,
(UNAUDITED) 1999
------------ --------------
<S> <C> <C>
INVESTMENT ACTIVITIES:
Operations:
Net investment income...................................... $ 814,285 $ 1,505,458
Net realized gains from investment and foreign currency
transactions............................................. 21,228,644 15,448,935
Change in unrealized appreciation from investments and
foreign currencies....................................... 45,484,297 77,634,898
------------ ------------
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS.............. 67,527,226 94,589,291
------------ ------------
CHANGE IN NET ASSETS FROM TRANSACTIONS IN INVESTORS'
BENEFICIAL INTEREST........................................ 14,063,644 (11,497,147)
------------ ------------
CHANGE IN NET ASSETS........................................ 81,590,870 83,092,144
NET ASSETS:
Beginning of period........................................ 288,829,506 205,737,362
------------- ------------
End of period.............................................. $370,420,376 $288,829,506
------------- ------------
------------- ------------
</TABLE>
See notes to financial statements.
71
<PAGE>
REPUBLIC PORTFOLIO TRUST
REPUBLIC INTERNATIONAL EQUITY PORTFOLIO
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
FOR THE SIX
MONTHS ENDED FOR THE PERIOD
APRIL 30, FOR THE YEARS ENDED OCTOBER 31, JANUARY 9, 1995
2000 --------------------------------------------- TO OCTOBER 31,
(UNAUDITED) 1999 1998 1997 1996 1995(a)
------------ -------- -------- -------- -------- ---------------
<S> <C> <C> <C> <C> <C> <C>
RATIOS/SUPPLEMENTARY DATA:
Net assets at end of period (000's)........ $370,420 $288,830 $205,737 $207,129 $135,239 $39,929
Ratio of expenses to average net assets.... 0.83%(b) 0.91% 0.97% 0.76% 0.83% 0.64%(b)
Ratio of net investment income to average
net assets................................ 0.47%(b) 0.61% 0.80% 1.21% 1.14% 1.55%(b)
Ratio of expenses to average net assets.... 0.83%(b) 0.91% 0.97% 1.01%(c) 1.10%(c) 1.39%(b),(c)
Portfolio turnover......................... 14.50% 34.26% 40.47% 30.00% 23.30% 3.07%
</TABLE>
(a) Period from commencement of operations.
(b) Annualized.
(c) During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratio would have been as indicated.
See notes to financial statements.
72
<PAGE>
REPUBLIC PORTFOLIO TRUST SCHEDULE OF PORTFOLIO INVESTMENTS
REPUBLIC SMALL CAP EQUITY PORTFOLIO APRIL 30, 2000 (UNAUDITED)
<TABLE>
<CAPTION>
COMMON STOCKS - 94.9%
SECURITY MARKET
DESCRIPTION SHARES VALUE
------------------------------------- ----------- ------------
<S> <C> <C>
ADVERTISING - 0.3%
Catalina Marketing Corp. (b)......... 8,500 $ 860,625
------------
AIRLINES - 0.5%
Skywest, Inc......................... 36,800 1,550,200
------------
COMMERCIAL SERVICES - 12.4%
Alternative Resources Corp. (b)...... 51,570 122,479
Boron Lepore & Associates,
Inc. (b)............................ 67,000 561,125
Bright Horizons Family Solutions,
Inc. (b)............................ 29,200 525,600
Caremark Rx, Inc. (b)................ 1,542,100 9,830,887
Concord EFS, Inc. (b)................ 227,100 5,081,362
Diamond Technology Partners,
Inc. (b)............................ 20,900 1,653,713
Gartner Group, Inc................... 61,300 827,550
Gartner Group, Inc. Class B (b)...... 2,050 22,166
Interim Services, Inc. (b)........... 85,624 1,466,311
Jupiter Communications, Inc. (b)..... 5,425 141,389
Learning Tree International,
Inc. (b)............................ 50,800 2,435,224
Luminant Worldwide Corp. (b)......... 14,425 125,317
Meta Group, Inc. (b)................. 54,870 1,234,575
Modis Professional Services,
Inc. (b)............................ 220,364 1,666,503
National Processing, Inc. (b)........ 82,200 852,825
NCO Group, Inc. (b).................. 70,200 2,413,125
NOVA Corp. (b)....................... 217,140 6,867,052
Orthodontic Centers Of
America (b)......................... 91,900 1,947,131
Parexel International Corp. (b)...... 135,500 1,219,500
Professional Detailing, Inc. (b)..... 19,000 513,000
Renaissance Worldwide, Inc. (b)...... 98,500 369,375
Sodexho Marriott Services, Inc....... 63,300 925,763
Superior Consultant Holdings (b)..... 57,100 810,106
------------
41,612,078
------------
COMPUTER EQUIPMENT - 3.6%
Ancor Communications, Inc. (b)....... 28,225 852,042
Black Box Corp. (b).................. 19,700 1,515,669
Cabletron Systems (b)................ 73,700 1,685,888
Computer Network Technology
Corp. (b)........................... 154,800 2,496,150
MMC Networks, Inc. (b)............... 167,900 4,449,350
Paradyne Networks Corp. (b).......... 31,100 876,631
------------
11,875,730
------------
COMPUTER SERVICES - 11.0%
Affiliated Computer Services,
Inc. (b)............................ 104,905 3,474,978
Cambridge Technology Partners,
Inc. (b)............................ 134,200 1,476,200
Ceridian Corp. (b)................... 69,500 1,507,281
CheckFree Holdings Corp. (b)......... 35,300 1,793,681
Complete Business Solutions (b)...... 123,700 2,829,638
Computer Horizons Corp. (b).......... 55,800 767,250
DST Systems, Inc. (b)................ 20,658 1,532,565
Eloyalty Corp. (b)................... 274,225 4,507,573
iGate Capital Corp. (b).............. 72,800 2,184,000
Intelligroup, Inc. (b)............... 23,800 368,900
Radiant Systems, Inc. (b)............ 23,300 433,963
RSA Security, Inc. (b)............... 172,900 10,147,068
Sungard Data Systems, Inc. (b)....... 121,852 4,211,510
Technology Solutions Co. (b)......... 205,925 1,351,383
------------
36,585,990
------------
COMPUTER SOFTWARE - 19.6%
Acxiom Corp. (b)..................... 59,840 1,615,680
Akamai Technologies, Inc. (b)........ 59 5,834
Alteon Websystems, Inc. (b).......... 5,600 380,800
Aspen Technology, Inc. (b)........... 139,900 4,948,962
AVT Corp. (b)........................ 115,200 1,274,400
Banyan Systems (b)................... 131,200 1,820,400
Cadence Design Systems, Inc. (b)..... 75,266 1,265,410
Concord Communications, Inc. (b)..... 23,200 649,600
CSG Systems International (b)........ 20,500 945,563
Cysive, Inc. (b)..................... 13,050 710,409
Dendrite International, Inc. (b)..... 86,536 1,979,511
Digital Insight Corp. (b)............ 22,100 864,663
Exactis.Com (b)...................... 36,710 422,165
Exchange Applications, Inc. (b)...... 22,000 268,125
Fairmarket, Inc. (b)................. 14,700 101,063
Fiserv, Inc. (b)..................... 17,662 811,348
Harbinger Corp. (b).................. 177,550 3,351,255
Healthgate Data Corp. (b)............ 23,810 102,681
HNC Software, Inc. (b)............... 33,900 1,678,050
Hyperion Solutions Corp. (b)......... 98,500 2,987,320
IDX Systems Corp. (b)................ 66,900 1,133,119
IMRglobal Corp. (b).................. 246,400 3,172,400
infoUSA, Inc. (b).................... 146,290 850,311
Inspire Insurance Solutions,
Inc. (b)............................ 96,800 290,400
JDA Software Group, Inc. (b)......... 63,100 1,175,238
L90, Inc. (b)........................ 24,840 248,400
Lante Corp. (b)...................... 19,450 403,588
Macromedia, Inc. (b)................. 12,600 1,096,200
National Data Corp................... 143,300 3,976,574
Netopia, Inc. (b).................... 15,700 655,475
Network Solutions, Inc. (b).......... 46,000 6,807,999
New Era Of Networks, Inc. (b)........ 12,800 401,600
Probusiness Services, Inc. (b)....... 53,800 1,418,975
Psinet, Inc. (b)..................... 5,636 130,685
S1 Corp. (b)......................... 26,321 1,429,559
Smartforce PLC ADR (b)............... 176,500 8,427,874
Sportsline USA, Inc. (b)............. 93,800 1,799,788
Switchboard, Inc. (b)................ 920 10,868
Transaction Systems Architects, Inc.
Class A (b)......................... 136,635 2,228,858
Verity, Inc. (b)..................... 63,100 2,046,806
Versata, Inc. (b).................... 4,010 121,804
Wind River Systems (b)............... 41,200 1,758,725
------------
65,768,485
------------
CONSTRUCTION & HOUSING - 0.6%
Dycom Industries, Inc. (b)........... 38,400 1,996,800
------------
CONSUMER GOODS & SERVICES - 0.2%
Blyth Industries, Inc................ 27,575 818,633
------------
</TABLE>
Continued
73
<PAGE>
REPUBLIC PORTFOLIO TRUST SCHEDULE OF PORTFOLIO INVESTMENTS
REPUBLIC SMALL CAP EQUITY PORTFOLIO APRIL 30, 2000 (UNAUDITED)
<TABLE>
<CAPTION>
COMMON STOCKS, CONTINUED
SECURITY MARKET
DESCRIPTION SHARES VALUE
------------------------------------- ----------- ------------
<S> <C> <C>
ELECTRICAL & ELECTRONICS - 4.9%
Belden, Inc.......................... 41,545 $ 1,233,367
Cable Design Technologies
Corp. (b)........................... 66,347 2,272,385
Credence Systems Corp. (b)........... 16,300 2,326,824
Integrated Device Technology,
Inc. (b)............................ 40,700 1,956,144
Mettler-Toledo International,
Inc. (b)............................ 31,200 1,076,400
Microchip Technology, Inc. (b)....... 20,473 1,270,606
Sawtek, Inc. (b)..................... 11,300 540,281
Sipex Corp. (b)...................... 95,400 2,182,275
Varian, Inc. (b)..................... 53,000 1,927,875
Veeco Instruments, Inc. (b).......... 20,500 1,273,563
Viasystems Group, Inc. (b)........... 7,320 116,663
------------
16,176,383
------------
ELECTRONIC
COMPONENTS/SEMICONDUCTORS - 6.5%
Applied Micro Circuits Corp. (b)..... 3,500 451,063
ASM International N.V. (b)........... 2,390 82,455
Burr-Brown Corp. (b)................. 82,914 5,648,516
Dupont Photomasks, Inc. (b).......... 63,415 3,555,203
Galileo Technology Ltd. (b).......... 64,000 1,124,000
Lattice Semiconductor Corp. (b)...... 35,900 2,418,763
MKS Instruments, Inc. (b)............ 28,200 1,325,400
Photronics, Inc. (b)................. 100,000 3,331,250
TriQuint Semiconductor, Inc. (b)..... 13,300 1,367,406
Varian Semiconductor Equipment
Associates, Inc. (b)................ 34,800 2,340,300
------------
21,644,356
------------
FINANCIAL SERVICES - 1.5%
Federated Investors.................. 61,300 1,731,725
Student Loan Corp.................... 26,600 1,064,000
Waddel & Reed Financial, Inc......... 82,300 2,191,238
------------
4,986,963
------------
FOOD & BEVERAGE PRODUCTS - 0.7%
Del Monte Foods Co. (b).............. 173,100 1,536,263
Tootsie Roll Industries, Inc......... 29,412 906,257
------------
2,442,520
------------
HEALTH CARE - 9.5%
Conmed Corp. (b)..................... 63,900 1,669,388
Cyberonics (b)....................... 78,700 1,603,513
Cytyc Corp. (b)...................... 147,000 6,578,249
Haemonetics Corp. (b)................ 91,000 2,092,999
Henry Schein, Inc. (b)............... 51,700 722,992
Idexx Laboratories, Inc. (b)......... 236,500 6,208,124
Impath, Inc. (b)..................... 47,400 2,180,399
Lifepoint Hospital, Inc. (b)......... 79,900 1,368,288
Lincare Holdings, Inc. (b)........... 63,900 1,948,950
MID Atlantic Medical Services,
Inc. (b)............................ 107,400 1,000,163
Osteotech, Inc. (b).................. 129,500 922,688
PSS World Medical, Inc. (b).......... 74,900 643,672
Quorum Health Group, Inc. (b)........ 80,500 855,313
Steris Corp. (b)..................... 135,600 1,220,400
Summit Technology, Inc. (b).......... 73,100 648,763
Total Renal Care Holdings (b)........ 349,592 1,005,077
V.I. Technologies, Inc. (b).......... 63,400 447,763
Visx, Inc. (b)....................... 31,100 491,769
------------
31,608,510
------------
INTERNET RELATED - 0.2%
Ticketmaster Online-CitySearch,
Inc. (b)............................ 31,100 622,000
------------
MACHINERY & EQUIPMENT - 0.5%
Kulicke & Soffa Industries (b)....... 20,800 1,628,900
------------
MEDIA - 1.7%
Emmis Communications Corp.,
Class A (b)......................... 17,900 760,750
Hearst-Argyle Television,
Inc. (b)............................ 13,600 289,850
Radio One, Inc. (b).................. 2,900 168,200
Scholastic Corp. (b)................. 73,300 3,422,193
Spanish Broadcasting System,
Inc. (b)............................ 40,200 751,238
VDI MultiMedia (b)................... 16,800 136,500
------------
5,528,731
------------
OIL & GAS - 7.7%
Cooper Cameron Corp. (b)............. 30,400 2,280,000
Dril-Quip (b)........................ 23,200 942,500
EOG Resources........................ 73,900 1,838,263
Global Industries Ltd. (b)........... 377,400 5,377,949
Grant Prideco, Inc. (b).............. 39,370 757,873
Input/Output, Inc. (b)............... 160,700 1,185,163
Marine Drilling Companies,
Inc. (b)............................ 58,900 1,531,400
National-Oilwell, Inc. (b)........... 49,000 1,172,938
Newfield Exploration Co. (b)......... 85,800 3,485,625
Noble Drilling Corp. (b)............. 136,600 5,455,462
Weatherford International,
Inc. (b)............................ 39,370 1,599,406
------------
25,626,579
------------
PACKAGING & CONTAINERS - 0.3%
Ivex Packaging Corp. (b)............. 121,300 1,091,700
------------
PHARMACEUTICALS - 0.3%
Allos Therapeutics, Inc. (b)......... 25,550 274,663
Amerisource Health Corp.,
Class A (b)......................... 19,800 396,000
Express Scripts, Inc.,
Class A (b)......................... 10,400 371,800
------------
1,042,463
------------
REAL ESTATE INVESTMENT TRUST - 1.6%
Kilroy Realty Corp................... 26,300 634,488
Meristar Hospitality Corp............ 42,600 841,350
Pinnacle Holdings, Inc. (b).......... 66,100 3,713,993
------------
5,189,831
------------
RESTAURANTS, LODGING &
HOSPITALITY - 2.4%
Applebee's International, Inc........ 42,345 1,542,946
Buffets, Inc. (b).................... 116,994 1,148,004
Four Seasons Hotels, Inc. (b)........ 19,700 1,103,200
Landry's Seafood Restaurants......... 48,100 414,863
Papa John's International,
Inc. (b)............................ 82,900 2,279,750
Sonic Corp. (b)...................... 52,627 1,463,688
------------
7,952,451
------------
RETAIL STORES - 1.1%
CSK Auto Corp. (b)................... 66,600 699,300
Gymboree Corp. (b)................... 93,400 338,575
Office Depot, Inc. (b)............... 82,600 872,463
PETCO Animal Supplies, Inc. (b)...... 90,900 1,051,031
Regis Corp........................... 69,850 816,372
------------
3,777,741
------------
</TABLE>
Continued
74
<PAGE>
REPUBLIC PORTFOLIO TRUST SCHEDULE OF PORTFOLIO INVESTMENTS
REPUBLIC SMALL CAP EQUITY PORTFOLIO APRIL 30, 2000 (UNAUDITED)
<TABLE>
<CAPTION>
COMMON STOCKS, CONTINUED
SECURITY MARKET
DESCRIPTION SHARES VALUE
------------------------------------- ----------- ------------
<S> <C> <C>
TELECOMMUNICATIONS - 2.7%
Adelphia Business Solutions,
Inc. (b)............................ 32,100 $ 1,123,500
Amdocs Ltd. (b)...................... 27,863 1,885,977
Intermedia Communications,
Inc. (b)............................ 103,900 4,233,925
MGC Communications, Inc. (b)......... 15,700 769,300
Nextlink Communications, Inc. (b).... 13,300 1,121,356
------------
9,134,058
------------
TELECOMMUNICATIONS-EQUIPMENT - 3.9%
Advanced Fibre Communication (b)..... 42,700 1,950,856
Airnet Communications Corp. (b)...... 19,320 342,930
American Tower Corp. (b)............. 35,085 1,631,453
Antec Corp. (b)...................... 53,400 2,870,249
Aware Inc. (b)....................... 16,200 631,800
Carrier Access Corp. (b)............. 14,200 619,475
Natural Microsystems Corp. (b)....... 33,300 2,168,663
Proxim, Inc. (b)..................... 15,300 1,177,144
Tekelec (b).......................... 41,600 1,456,000
Vyyo, Inc. (b)....................... 3,310 69,924
------------
12,918,494
------------
TRANSPORTATION & SHIPPING - 1.2%
Atlas Air, Inc. (b).................. 50,250 1,755,609
EGL, Inc. (b)........................ 99,700 2,286,869
------------
4,042,478
------------
TOTAL COMMON STOCKS
(Cost $267,469,402)................. 316,482,699
------------
<CAPTION>
U.S. GOVERNMENT AND GOVERNMENT AGENCY OBLIGATIONS - 5.1%
PRINCIPAL MARKET
AMOUNT VALUE
----------- ------------
<S> <C> <C>
FEDERAL HOME LOAN BANK - 5.1%
Federal Home Loan Bank, 5.88%,
5/1/00.............................. $16,900,000 $ 16,900,000
------------
TOTAL U.S. GOVERNMENT AND GOVERNMENT
AGENCY OBLIGATIONS
(Cost $16,900,000).................. 16,900,000
------------
TOTAL INVESTMENTS
(Cost $284,369,402) (a) - 100.0%... 333,382,699
OTHER ASSETS IN EXCESS OF
LIABILITIES - 0.0%................. 62,288
------------
NET ASSETS - 100.0%................. $333,444,987
------------
------------
</TABLE>
---------
(a) Cost differs from value by net unrealized appreciation of securities as
follows:
<TABLE>
<S> <C>
Unrealized appreciation....................... $ 85,722,004
Unrealized depreciation....................... (36,708,707)
------------
Net Unrealized appreciation................... $ 49,013,297
------------
------------
</TABLE>
(b) Represents non-income producing security.
ADR -- American Depositary Receipt
PLC -- Public limited Company
See notes to financial statements.
75
<PAGE>
REPUBLIC PORTFOLIO TRUST
REPUBLIC SMALL CAP EQUITY PORTFOLIO
STATEMENT OF ASSETS AND LIABILITIES
APRIL 30, 2000 (UNAUDITED)
<TABLE>
<S> <C> <C>
ASSETS:
Investments, at value
(cost $284,369,402)............... $333,382,699
Cash............................... 110,919
Receivable for investments sold.... 1,473,924
Interest and dividends
receivable........................ 11,592
Deferred organization costs........ 13,150
Prepaid expenses................... 530
------------
TOTAL ASSETS.................... 334,992,814
LIABILITIES:
Payable for investments
purchased......................... $1,190,720
Accrued expenses and other
liabilities:
Investment management............. 235,631
Administration.................... 11,129
Other liabilities................. 110,347
----------
TOTAL LIABILITIES............... 1,547,827
------------
NET ASSETS:
Applicable to investors' beneficial
interest.......................... $333,444,987
------------
------------
</TABLE>
STATEMENT OF OPERATIONS
FOR THE SIX MONTHS ENDED APRIL 30, 2000 (UNAUDITED)
<TABLE>
<S> <C> <C>
INVESTMENT INCOME:
Interest income.................... $ 289,016
Dividend income.................... 159,816
------------
TOTAL INVESTMENT INCOME......... 448,832
EXPENSES:
Investment management.............. $1,413,766
Administration..................... 66,465
Accounting......................... 26,331
Custodian.......................... 68,979
Other expenses..................... 31,531
----------
TOTAL EXPENSES..................... 1,607,072
------------
NET INVESTMENT LOSS................ (1,158,240)
------------
NET REALIZED/UNREALIZED GAINS FROM
INVESTMENTS:
Net realized gains from investment
transactions...................... 75,517,425
Change in unrealized appreciation
from investments.................. 32,419,005
------------
Net realized/unrealized gains from
investments....................... 107,936,430
------------
CHANGE IN NET ASSETS RESULTING FROM
OPERATIONS........................ $106,778,190
------------
------------
</TABLE>
See notes to financial statements.
76
<PAGE>
REPUBLIC PORTFOLIO TRUST
REPUBLIC SMALL CAP EQUITY PORTFOLIO
STATEMENTS OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
FOR THE SIX FOR THE
MONTHS ENDED YEAR ENDED
APRIL 30, 2000 OCTOBER 31,
(UNAUDITED) 1999
-------------- ------------
<S> <C> <C>
INVESTMENT ACTIVITIES:
Operations:
Net investment loss........................................ $ (1,158,240) $ (1,468,080)
Net realized gains from investment transactions............ 75,517,425 26,630,272
Change in unrealized appreciation from investments......... 32,419,005 21,946,566
------------ ------------
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS.............. 106,778,190 47,108,758
------------ ------------
CHANGE IN NET ASSETS FROM TRANSACTIONS IN INVESTORS'
BENEFICIAL INTERESTS....................................... (10,638,388) 3,679,033
------------ ------------
CHANGE IN NET ASSETS........................................ 96,139,802 50,787,791
NET ASSETS:
Beginning of period........................................ 237,305,185 186,517,394
------------ ------------
End of period.............................................. $333,444,987 $237,305,185
------------ ------------
------------ ------------
</TABLE>
See notes to financial statements.
77
<PAGE>
REPUBLIC PORTFOLIO TRUST
REPUBLIC SMALL CAP EQUITY PORTFOLIO
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
FOR THE SIX FOR THE PERIOD
MONTHS ENDED SEPTEMBER 3,
APRIL 30, FOR THE YEARS ENDED OCTOBER 31, 1996
2000 ---------------------------------- TO OCTOBER 31,
(UNAUDITED) 1999 1998 1997 1996(a)
------------ -------- -------- -------- ---------------
<S> <C> <C> <C> <C> <C>
RATIOS/SUPPLEMENTARY DATA:
Net assets at end of period (000's)................... $333,445 $237,305 $186,517 $213,740 $119,901
Ratio of expenses to average net assets............... 0.99 %(b) 1.04 % 1.03 % 0.84 % 0.82 %(b)
Ratio of net investment loss to average net assets.... (0.72)%(b) (0.68)% (0.57)% (0.33)% (0.11)%(b)
Ratio of expenses to average net assets............... 0.99 %(b) 1.04 % 1.06 %(c) 1.09 %(c) 1.10%(b),(c)
Portfolio turnover.................................... 43.34 % 77.74 % 154.69 % 92.18 % 50.55%
</TABLE>
(a) Period from commencement of operations.
(b) Annualized.
(c) During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratio would have been as indicated.
See notes to financial statements.
78
<PAGE>
REPUBLIC PORTFOLIO TRUST
NOTES TO FINANCIAL STATEMENTS
APRIL 30, 2000
(UNAUDITED)
1. ORGANIZATION:
The Republic Fixed Income Portfolio (the 'Fixed Income Portfolio'),
Republic International Equity Portfolio (the 'International Equity
Portfolio') and Republic Small Cap Equity Portfolio (the 'Small Cap Equity
Portfolio') (individually a 'Portfolio', collectively the 'Portfolios') are
diversified series of the Republic Portfolio Trust (the 'Portfolio Trust'),
an open-end management investment company. The Portfolio Trust was organized
as a master trust fund under the laws of the State of New York on
November 1, 1994. The Portfolios operate as master funds in master-feeder
arrangements. The Declaration of Trust permits the Trustees to issue an
unlimited number of beneficial interests in the Portfolios. The Portfolios
are part of the Republic Family of Funds (the 'Republic Funds'). Financial
Statements for all other series of Republic Funds are published separately.
2. SIGNIFICANT ACCOUNTING POLICIES:
The following is a summary of the significant accounting policies followed
by the Portfolios in the preparation of their financial statements. The
policies are in conformity with generally accepted accounting principles in
the United States of America ('U.S.'). The preparation of financial
statements requires management to make estimates and assumptions that affect
the reported amounts of assets and liabilities at the date of the financial
statements and the reported amounts of income and expenses for the period.
Actual results could differ from those estimates.
SECURITIES VALUATION:
Bonds and other fixed-income securities which are traded over-the-counter
and on a stock exchange will be valued according to the broadest and most
representative market. It is expected that for bonds and other fixed income
securities this ordinarily will be the over-the-counter market. Bonds and
other fixed income securities (other than short-term obligations but
including listed issues) in the Portfolios may be valued on the basis of
valuations furnished by a pricing service, the use of which has been approved
by the Board of Trustees of the Portfolio Trust. In making such valuations,
the pricing service utilizes both dealer-supplied valuations and electronic
data processing techniques which take into account appropriate factors such
as institutional-size trading in similar groups of securities, yield,
quality, coupon rate, maturity, type of issue, trading characteristics and
other market data, without exclusive reliance upon quoted prices or exchange
or over-the-counter prices, since such valuations are believed to reflect
more accurately the fair value of such securities. Short-term debt
obligations are valued at amortized cost, which constitutes fair value as
determined by the Board of Trustees of the Portfolio Trust.
The value of each equity security held by the Portfolios is based either on
the last sale price on a national securities exchange, or in the absence of
recorded sales, at the closing bid prices on such exchanges, or at the quoted
bid price in the over-the-counter market. Securities or other assets for
which market quotations are not readily available are valued at fair market
value as determined in good faith by or at the direction of the Board of
Trustees.
FOREIGN CURRENCY TRANSLATION:
The accounting records of the Portfolios are maintained in U.S. dollars.
Foreign currency amounts are translated into U.S. dollars at the current rate
of exchange to determine the value of investments, assets and liabilities.
Purchases and sales of securities, and income and expenses are translated at
the prevailing rate of exchange on the respective dates of such transactions.
The Portfolios do not isolate that portion of the results of operations
resulting from changes in foreign exchange rates on investments from
fluctuations arising from changes in market prices of securities held. Such
fluctuations are included with the net realized and unrealized gain or loss
from investments.
FORWARD FOREIGN CURRENCY EXCHANGE CONTRACTS:
The Portfolios may enter into forward foreign currency exchange contracts
in connection with planned purchases or sales of securities or to hedge the
U.S. dollar value of portfolio securities denominated in a particular
currency. The Portfolios could be exposed to risks if the counter-parties to
the contracts are unable to meet the terms of their contracts and from
unanticipated movements in the value of a foreign currency relative to the
U.S. dollar. The forward foreign currency exchange contracts are adjusted by
the daily exchange rate of the underlying currency and any gains or losses
are recorded for financial statement purposes as unrealized gains or losses
until the contract settlement date.
Continued
79
<PAGE>
REPUBLIC PORTFOLIO TRUST
NOTES TO FINANCIAL STATEMENTS
APRIL 30, 2000
(UNAUDITED)
FUTURES CONTRACTS:
Each Portfolio may invest in financial futures contracts for the purpose of
hedging their existing portfolio securities or securities it intends to
purchase against fluctuations in fair value caused by changes in prevailing
market interest rates. Upon entering into a financial futures contract, the
Portfolio is required to pledge to the broker an amount of cash and/or other
assets equal to a certain percentage of the contract amount (initial margin
deposit). Subsequent payments, known as 'variation margin,' are made or
received by the Portfolio each day, depending on the daily fluctuations in
the fair value of the underlying security. The Portfolio recognizes a gain or
loss equal to the daily variation margin. Should market conditions move
unexpectedly, the Portfolio may not achieve the anticipated benefits of the
financial 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.
SECURITIES TRANSACTIONS AND RELATED INCOME:
Securities transactions are accounted for on the date the security is
purchased or sold ('trade date'). Interest income is recognized on the
accrual basis and includes, where applicable, the amortization of premium or
discount. Realized gains and losses on investments sold are recorded on the
identified cost basis. Dividend income is recorded on the ex-dividend date.
EXPENSES ALLOCATION:
Expenses incurred by the Republic Funds with respect to any two or more
funds within the Republic Funds are allocated in proportion to the net assets
of each fund within the Republic Funds, except when allocations of direct
expenses to each Portfolio can otherwise be made fairly. Expenses directly
attributable to a Portfolio are charged to that Portfolio.
ORGANIZATION EXPENSES:
Costs incurred in connection with the organization and initial registration
of the Trust, which have been allocated among the Portfolios, have been
deferred and are being amortized over a five year period, beginning with each
Portfolio's commencement of operations.
FEDERAL INCOME TAXES:
Each Portfolio will be treated as a partnership for U.S. Federal income tax
purposes. Accordingly, each Portfolio passes through all of its net
investment income and gains and losses to its partners, and is therefore not
subject to U.S. Federal income tax. As such, an investor in the Portfolios
will be taxed on their share of the Portfolios' ordinary income and capital
gains. It is intended that the Portfolios will be managed in such a way that
an investor will be able to satisfy the requirements of the Internal Revenue
Code applicable to regulated investment companies.
Income received by the Portfolio from sources within foreign countries may
be subject to withholding and other income or similar taxes imposed by such
countries.
Continued
80
<PAGE>
REPUBLIC PORTFOLIO TRUST
NOTES TO FINANCIAL STATEMENTS
APRIL 30, 2000
(UNAUDITED)
3. AGREEMENTS AND OTHER TRANSACTIONS WITH AFFILIATES:
INVESTMENT MANAGEMENT:
HSBC Bank USA ('HSBC' or the 'Investment Manager'), a wholly owned
subsidiary of HSBC Holdings plc (Hong Kong and Shanghai Banking Corporation),
a registered bank holding company, acts as the Investment Manager to the
Portfolios pursuant to an investment management contract with the Portfolio
Trust. Subject to the general guidance and the policies set by the Trustees
of the Portfolio Trust, HSBC provides general supervision over the investment
management functions.
For its services under the Investment Management Contract, the Manager is
entitled to receive from the Fixed Income Portfolio, a fee computed daily and
paid monthly, based on the average daily net assets of the Portfolio per the
following schedule:
<TABLE>
<CAPTION>
BASED ON AVERAGE DAILY NET ASSETS OF FEE RATE
------------------------------------ --------
<S> <C> <C>
Up to $50 million........................................... 0.575%
In excess of $50 million but not exceeding $95 million...... 0.450%
In excess of $95 million but not exceeding $150 million..... $300,000 plus 0.200%
In excess of $150 million but not exceeding $250 million.... 0.400%
In excess of $250 million................................... 0.350%
</TABLE>
For its services under the Investment Management Contract, the Manager is
entitled to receive from the International Equity Portfolio, a fee computed
daily and paid monthly, based on the average daily net assets of the
Portfolio per the following schedule:
<TABLE>
<CAPTION>
BASED ON AVERAGE DAILY NET ASSETS OF FEE RATE
------------------------------------ --------
<S> <C>
Up to $25 million........................................... 0.950%
In excess of $25 million but not exceeding $50 million...... 0.800%
In excess of $50 million but not exceeding $250 million..... 0.675%
In excess of $250 million................................... 0.625%
</TABLE>
For its services under the Investment Management Contract, the Manager is
entitled to receive from the Small Cap Equity Portfolio, a fee computed daily
and paid monthly, based on the average daily net assets of the Portfolio per
the following schedule:
<TABLE>
<CAPTION>
BASED ON AVERAGE DAILY NET ASSETS OF FEE RATE
------------------------------------ --------
<S> <C>
Up to $50 million........................................... 1.000%
In excess of $50 million.................................... 0.850%
</TABLE>
ADMINISTRATION:
BISYS Fund Services Ohio, Inc. ('BISYS Ohio'), a wholly-owned subsidiary of
The BISYS Group, Inc., with whom certain officers of the Trust are
affiliated, serves the Trust as Administrator. Such officers are paid no fees
directly by the Portfolios for serving as officers of the Trust. Under the
terms of the administration agreement with the Fixed Income Portfolio,
International Equity Portfolio and Small Cap Equity Portfolio, BISYS Ohio
receives from each Portfolio a fee accrued daily and paid monthly equal on an
annual basis to:
<TABLE>
<CAPTION>
ADMINISTRATION
BASED ON AVERAGE DAILY NET ASSETS OF FEE RATE
------------------------------------ --------
<S> <C>
Up to $1 billion............................................ 0.050%
In excess of $1 billion but not exceeding $2 billion........ 0.040%
In excess of $2 billion..................................... 0.035%
</TABLE>
The fees paid by the Republic Family of Funds are allocated to each
Portfolio based upon its pro rata share of their net assets. The fee
breakpoints are determined on the basis of the aggregate average daily net
assets of the Republic Family of Funds for which BISYS serves as
Administrator.
Continued
81
<PAGE>
REPUBLIC PORTFOLIO TRUST
NOTES TO FINANCIAL STATEMENTS
APRIL 30, 2000
(UNAUDITED)
FUND ACCOUNTING AND CUSTODIAN:
BISYS provided fund accounting services for the Portfolios. For its
services to the Portfolios, BISYS receives an annual per Portfolio fee
accrued daily and paid monthly. HSBC serves as custodian to the Fixed Income
Portfolio and Small Cap Equity Portfolio. Investor's Bank & Trust Company
serves as custodian to the International Equity Portfolio.
4. INVESTMENT TRANSACTIONS
During the six months ended April 30, 2000, each Portfolio purchased and
sold securities, excluding short-term securities, in the following amounts:
<TABLE>
<CAPTION>
PURCHASES SALES
--------- -----
<S> <C> <C>
Fixed Income Portfolio...................................... $484,978,800 $500,735,929
International Equity Portfolio.............................. 59,738,476 48,462,231
Small Cap Equity Portfolio.................................. 132,219,151 151,603,476
</TABLE>
5. CONCENTRATION OF RISK
The Fixed Income Portfolio conducts a high level of trading and invests a
substantial portion of its assets in when-issued federal agency securities,
and therefore, may be more affected by economic developments in these markets
than a comparable fixed income mutual fund would be. The Portfolio records
when-issued or delayed delivery transactions on the trade date and maintains
qualifying liquid assets having a value sufficient to make payment for
securities purchased. Securities purchased on a when-issued or delayed
delivery basis are marked to market daily and begin earning interest on the
settlement date. Losses may arise due to changes in the market of the
underlying securities or if the counter party does not perform under the
contract.
82
<PAGE>
REPUBLIC FAMILY OF FUNDS:
Investment Manager
HSBC Bank USA
452 Fifth Avenue
New York, NY 10018
SUB-ADVISERS
REPUBLIC EQUITY FUND
Alliance Capital Management, L.P.
1345 Avenue of the Americas
New York, NY 10105
Institutional Capital Corporation
225 West Wacker Drive
Chicago, IL 60606
REPUBLIC FIXED INCOME PORTFOLIO
Miller Anderson & Sherrerd
One Tower Bridge
West Conshohocken, PA 19428
REPUBLIC INTERNATIONAL EQUITY PORTFOLIO
Capital Guardian Trust Company
11100 Santa Monica Boulevard
Los Angeles, CA 90025
REPUBLIC SMALL CAP EQUITY PORTFOLIO
MFS Institutional Advisers, Inc.
500 Boylston Street
Boston, MA 02116
SHAREHOLDER SERVICING AGENTS
FOR HSBC BANK USA AND REPUBLIC FINANCIAL SERVICES CORPORATION CLIENTS
HSBC Bank USA
452 Fifth Avenue
New York, NY 10018
1-888-525-5757
FOR ALL OTHER SHAREHOLDERS
Republic Funds
P.O. Box 18245
Columbus, OH 43218-2845
1-800-782-8183
ADMINISTRATOR, TRANSFER AGENT,
DISTRIBUTOR, AND SPONSOR
BISYS Fund Services
3435 Stelzer Road
Columbus, OH 43219
CUSTODIANS
REPUBLIC EQUITY FUND,
REPUBLIC FIXED INCOME PORTFOLIO
REPUBLIC SMALL CAP EQUITY PORTFOLIO, AND
REPUBLIC NEW YORK TAX-FREE BOND FUND
HSBC Bank USA
452 Fifth Avenue
New York, NY 10018
REPUBLIC INTERNATIONAL EQUITY PORTFOLIO
Investors Bank & Trust Company
200 Clarendon Street - 16th Floor
Boston, MA 02116
INDEPENDENT AUDITORS
KPMG LLP
Two Nationwide Plaza
Suite 1600
Columbus, OH 42315
LEGAL COUNSEL
Dechert Price & Rhoads
1775 Eye Street, N.W.
Washington, D.C. 20006
The Republic Funds are distributed by BISYS Fund Services. This document must be
preceded or accompanied by a current prospectus for the Republic Funds, which
you should read carefully before you invest or send money.
06/00
STATEMENT OF DIFFERENCES
------------------------
The dagger symbol shall be expressed as.................................. 'D'
