Independent Auditor's Report
To The Board of Directors of the Kobren Insight Group of Funds consisting of the
Growth, Moderate Growth and Conservative Allocation Funds (the "Funds"):
We have examined management's assertion about the Funds' compliance with the
requirements of rule 17f-1 of the Investment Company Act of 1940, as amended
(the Act) as of June 30, 1998, included in the accompanying Management Statement
Regarding Compliance with Certain Provisions of the Investment Company Act of
1940. Management is responsible for the Funds' compliance with those
requirements. Our responsibility is to express an opinion on management's
assertion about the Funds' compliance based on our examination.
Our examination was made in accordance with standards established by the
American Institute of Certified Public Accountants and, accordingly, included
examining, on a test basis, evidence about the Funds' compliance with those
requirements and performing such other procedures as we considered necessary in
the circumstances. Included among our procedures were the following tests
performed as of June 30, 1998, and from January 8, 1998 (the date of the
establishment of the Funds contract with National Financial Services
Corporation), through June 30, 1998:
- Confirmation of all securities held by National Financial Services
Corporation in book entry form;
- Confirmation of all securities hypothecated, pledged, placed in escrow or
out for transfer with brokers, pledgees, or transfer agents;
- Reconciliation of all such securities to the books and records of the
Funds and the Custodian;
- Tests of security purchases and sales or maturities since January 8, 1998
from the books and records of the Funds to authorized trade tickets.
We believe that our examination provides a reasonable basis for our opinion. Our
examination does not provide a legal determination on the Funds' compliance with
specified requirements.
In our opinion, management's assertion that the Funds were in compliance with
the requirements of rule 17f-1 of the Investment Company Act of 1940, as amended
(the Act) as of June 30, 1998, with respect to securities reflected in the
investment accounts of the Funds are fairly stated, in all material respects.
This report is intended solely for the information and use of management of the
Funds and the Securities and Exchange Commission and should not be used for any
other purpose.
Boston, Massachusetts
March 18, 1999
<PAGE>
Management Statement Regarding Compliance With Certain Provisions
of the Investment Company Act of 1940
We, as members of management of the Kobren Insight Group of Funds (consisting of
the Growth, Moderate Growth and Conservative Allocation Funds) (the "Funds") are
responsible for complying with the requirements of rule 17f-1 of the Investment
Company Act of 1940. We are also responsible for establishing and maintaining
effective internal controls over compliance with those requirements. We have
performed an evaluation of the Funds' compliance with the requirements of rule
17f-1 as of December 31, 1998, and from November 30, 1998 (the date of our last
assertion), through December 31, 1998.
Based on this evaluation, except for the compliance deficiencies identified in
the March 2, 1999 letter to Eric M. Kobren from Daniel B. Wong of the Boston
District Office of the Securities & Exchange Commission, we assert that the
Funds were in compliance with the requirements of 17f-1 of the Investment
Company Act of 1940, as of December 31, 1998, and from November 30, 1998 (the
date of our last assertion), through December 31,1998 with respect to securities
reflected in the investment accounts of the Funds.
The Kobren Group of Funds
By: /s/ ERIC GODES
ERIC GODES
Vice President
(Title)
03/18/99
(Date)
<PAGE>
Management Statement Regarding Compliance With Certain Provisions
of the Investment Company Act of 1940
We, as members of management of the Kobren Insight Group of Funds (consisting of
the Growth, Moderate Growth and Conservative Allocation Funds) (the "Funds") are
responsible for complying with the requirements of rule 17f-1 of the Investment
Company Act of 1940. We are also responsible for establishing and maintaining
effective internal controls over compliance with those requirements. We have
performed an evaluation of the Funds' compliance with the requirements of rule
17f-1 as of June 30, 1998, and from January 8, 1998 (the date of the
establishment of the Funds' contract with National Financial Services
Corporation), through June 30, 1998.
Based on this evaluation, except for the compliance deficiencies identified in
the March 2, 1999 letter to Eric M. Kobren from Daniel B. Wong of the Boston
District Office of the Securities & Exchange Commission, we assert that the
Funds were in compliance with the requirements of 17f-1 of the Investment
Company Act of 1940, as of June 30, 1998, and from January 8, 1998 (the date of
the establishment of the Funds' contract with National Financial Services
Corporation), through June 30, 1998 with respect to securities reflected in the
investment accounts of the Funds.
The Kobren Group of Funds
By: /s/ ERIC GODES
ERIC GODES
Vice President
(Title)
03/18/99
(Date)
<PAGE>
Management Statement Regarding Compliance With Certain Provisions
of the Investment Company Act of 1940
We, as members of management of the Kobren Insight Group of Funds (consisting of
the Growth, Moderate Growth and Conservative Allocation Funds) (the "Funds") are
responsible for complying with the requirements of rule 17f-1 of the Investment
Company Act of 1940. We are also responsible for establishing and maintaining
effective internal controls over compliance with those requirements. We have
performed an evaluation of the Funds' compliance with the requirements of rule
17f-1 as of November 30, 1998, and from June 30, 1998 (the date of our last
assertion), through November 30, 1998.
Based on this evaluation, except for the compliance deficiencies identified in
the March 2, 1999 letter to Eric M. Kobren from Daniel B. Wong of the Boston
District Office of the Securities & Exchange Commission, we assert that the
Funds were in compliance with the requirements of 17f-1 of the Investment
Company Act of 1940, as of November 30, 1998, and from June 30, 1998 (the date
of our last assertion), through November 30,1998 with respect to securities
reflected in the investment accounts of the Funds.
The Kobren Group of Funds
By: /s/ ERIC GODES
ERIC GODES
Vice President
(Title)
03/18/99
(Date)
