ROCHDALE
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ROCHDALE MAGNA PORTFOLIO
ROCHDALE ALPHA PORTFOLIO
ROCHDALE ATLAS PORTFOLIO
SEMI-ANNUAL REPORT
FOR THE SIX MONTHS ENDED
SEPTEMBER 30, 2000
<PAGE>
October 26, 2000
Dear Fellow Shareholders:
We are pleased to report the six-month investment performance of the Rochdale
Magna ("Magna"), Rochdale Alpha ("Alpha"), and Rochdale Atlas ("Atlas")
Portfolios through September 30, 2000.
ROCHDALE MAGNA PORTFOLIO
The Magna Portfolio invests predominantly in stocks of large-cap U.S. companies
within attractive industries and sectors. As of September 30, 2000, there were
49 holdings in the Magna Portfolio. As a large-cap core exposure, Magna invests
in stocks across a broad spectrum of industries, including technology, finance,
healthcare, telecommunications, industrials, energy, consumer industrials, and
basic materials.
For the six months ended September 30, 2000, the Magna Portfolio returned
-4.93%, which compares with the benchmark return of the S&P 500 index of -3.60%
for the same time period. The period was volatile for large-cap stocks, which
ended the third quarter on a down note. Growth stocks did not fare particularly
well as they were mostly shunned in favor of value names. Most of the decline
was attributable to the lagging technology sector, a surprising reversal from
years past. Healthcare and financials enjoyed a resurgence, but most industrial
sectors took a turn for the worse as future GDP growth and consumer spending
came into question.
As of September 30, 2000, the ten largest holdings in the Magna Portfolio were:
COMPANY PERCENT OF ASSETS
------- -----------------
Bristol-Myers Squibb Co. 4.2%
American International Group Inc. 4.0%
E M C Corp. 3.8%
Exxon Mobil Corp. 3.7%
Paychex Inc. 3.6%
Pfizer Inc. 3.3%
Verizon Communications 3.1%
Enron Corp. 3.0%
Morgan Stanley Dean Witter 2.8%
Providian Financial Corp. 2.7%
2
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ROCHDALE ALPHA PORTFOLIO
The Alpha Portfolio seeks to identify, through rigorous research, investing
opportunities in small and medium-size U.S. companies. The selection process
focuses on prospects for future growth, depth of the management team, and
competitive positioning within a given industry. As of September 30, 2000, there
were 29 holdings in the Alpha Portfolio invested among the following sectors:
technology, healthcare, finance, energy, telecommunications, and consumer and
commercial services. These represent roughly the same sectors as those found in
the Magna Portfolio, but historically, these small and medium-size companies
offer above average rates of return accompanied by above average variability
versus large-cap investments.
From March 31, 2000, through September 30, 2000, the Alpha Portfolio gained
16.71% compared to the performance of the cap-weighted blended S&P MidCap 400
and S&P SmallCap 600 benchmark indices of 7.30%. Small and mid-cap stocks have
weathered the storm more soundly than their large-cap peers during this period.
Health care stocks, aided by advanced research findings, led the pack, as did
financial issues, but technology stocks took a beating, along with basic
materials and industrials.
The ten largest holdings of the Alpha Portfolio as of September 30, 2000,
included:
COMPANY PERCENT OF ASSETS
------- -----------------
Computer Network Technology 6.5%
Bed Bath & Beyond Inc. 4.9%
Metris Companies Inc. 4.7%
Rational Software Corp. 4.5%
Outback Steakhouse Inc. 4.3%
International Game Technology 4.2%
Tenet Healthcare Corp. 4.2%
DVI Inc. 4.1%
Dendrite International Inc. 4.0%
Biovail Corp. 4.0%
3
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ROCHDALE ATLAS PORTFOLIO
The Atlas Portfolio invests primarily in the securities in both emerging and
developed foreign markets. Country selection, the process of identifying
attractively-valued countries on a comparative basis to other countries, guides
the stock selection process. From the range of attractive countries, we select
securities that are representative of a given country's economy. Atlas
investments include ADR shares as well as local shares.
The Atlas Portfolio fell 12.93% during the six-month period ended September 30,
2000. For the same period, the Dow Jones World Index (excluding U.S.)* dropped
12.43%. During the second quarter, foreign markets suffered under the
uncertainty over U.S. interest rates and threat of an economic slowdown in North
America. There was a bit of resurgence early in the third quarter, but overseas
markets continued to sag through September due to concerns over oil prices,
corporate earnings, and a strengthening U.S. dollar vs. the euro and yen.
The countries in which the Atlas Portfolio was invested on September 30, 2000,
were:
* Belgium * Germany * Japan * Netherlands * Switzerland
* Brazil * India * Korea * Norway
* France * Ireland * Singapore * Spain
These countries can be classified predominantly as developed (78%) markets; the
remainder as emerging markets (22%). The Atlas Portfolio seeks to invest at
least 40% of fund assets in foreign developed markets.
As of September 30, 2000, the ten largest holdings in the Atlas Portfolio were:
COMPANY COUNTRY PERCENT OF ASSETS
------- ------- -----------------
iShares MSCI Japan Index Japan 7.1%
SAP AG Germany 2.9%
Nestle SA Switzerland 2.6%
Petroleo Brasileiro Brazil 2.4%
India Fund India 2.4%
iShares MSCI Germany Index Germany 2.4%
Siemens AG Germany 2.1%
Norsk Hydro ASA Norway 2.1%
Elan Corp. PLC Ireland 2.0%
Telefonica SA Spain 2.0%
We are pleased with the performance of each of the Portfolios compared to their
respective benchmarks. We have constructed each portfolio using a combination of
diversified companies in a variety of industries. While past performance is not
indicative of future returns, we believe each Portfolio is well positioned to
capture the returns associated with the risks of the asset class that the
Portfolio is dedicated to providing.
Sincerely,
Carl Acebes
Garrett R. D'Alessandro, CFA
PORTFOLIO MANAGERS
----------
* The Dow Jones World Index ex U.S. changed its calculation methodology
effective 9/18/00. The return data prior and subsequent to this date have
been geometrically linked.
4
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ROCHDALE MAGNA PORTFOLIO
SCHEDULE OF INVESTMENTS AT SEPTEMBER 30, 2000 (UNAUDITED)
--------------------------------------------------------------------------------
SHARES COMMON STOCKS - 100.82% MARKET VALUE
--------------------------------------------------------------------------------
BANKS - 7.16%
9,420 Bank of America Corp................................. $ 493,373
10,113 Chase Manhattan Corp. New............................ 467,094
9,283 FleetBoston Financial Corporation.................... 362,037
-----------
1,322,504
-----------
BASIC MATERIALS - 1.56%
6,354 Sealed Air Corp.*.................................... 287,519
-----------
BUSINESS SERVICES - 7.63%
3,864 Computer Sciences Corp.*............................. 286,902
10,667 De Luxe Corp......................................... 216,673
7,372 Interpublic Group of Companies, Inc.................. 251,109
12,485 Paychex Inc.......................................... 655,462
-----------
1,410,146
-----------
CAPITAL GOODS - 5.15%
7,792 Honeywell International Inc.......................... 277,590
6,700 Johnson Controls Inc................................. 356,356
4,576 United Technologies Corp............................. 316,888
-----------
950,834
-----------
COMPUTER HARDWARE - 2.09%
3,310 Sun Microsystems Inc................................. 386,443
-----------
COMPUTER SOFTWARE - 1.06%
7,800 Computer Associates International, Inc............... 196,462
-----------
CONSUMER ELECTRONICS AND APPLIANCE RETAILING - 0.56%
4,500 Circuit City Stores.................................. 103,500
-----------
CONSUMER SERVICES - 1.08%
8,100 Carnival Corp........................................ 199,463
-----------
DRUGS - 7.46%
13,510 Bristol-Myers Squibb Co.............................. 771,759
13,500 Pfizer Inc........................................... 606,656
-----------
1,378,415
-----------
ELECTRICAL EQUIPMENT - 4.30%
8,400 Millipore Corp....................................... 406,875
8,400 Solectron Corp.*..................................... 387,450
-----------
794,325
-----------
ENERGY - 3.67%
7,600 Exxon Mobil Corp..................................... 677,350
-----------
5
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ROCHDALE MAGNA PORTFOLIO
SCHEDULE OF INVESTMENTS AT SEPTEMBER 30, 2000 (UNAUDITED), CONTINUED
--------------------------------------------------------------------------------
SHARES MARKET VALUE
--------------------------------------------------------------------------------
FINANCIAL SERVICES - 8.00%
12,300 Associates First Capital Corporation................. $ 467,400
5,566 Morgan Stanley Dean Witter & Co...................... 508,941
3,954 Providian Financial Corp............................. 502,158
-----------
1,478,499
-----------
FOOD AND BEVERAGE - 1.93%
4,516 Quaker Oats Co....................................... 357,329
-----------
HEALTH CARE - 4.64%
9,253 Schering-Plough Corporation.......................... 430,265
8,222 Tyco International Ltd............................... 426,516
-----------
856,781
-----------
HOSPITALS - 1.36%
6,751 The Healthcare Company............................... 250,631
-----------
INTERNET AND ONLINE CONTENT PROVIDERS - 1.44%
4,967 America Online Inc................................... 266,976
-----------
MANUFACTURING - DIVERSIFIED MACHINERY - 1.42%
5,604 Dover Corp........................................... 263,038
-----------
MEDIA - 2.27%
9,605 Tribune Co........................................... 419,018
-----------
MEDICAL PRODUCTS - 1.74%
7,600 Bard (C.R.) Inc...................................... 321,100
-----------
MISCELLANEOUS ELECTRICAL PRODUCTS - 1.06%
10,200 American Power Conversion............................ 195,712
-----------
MULTILINE INSURANCE - 1.45%
2,568 Cigna Corp........................................... 268,099
-----------
OIL REFINING - 3.03%
6,400 Enron Corp........................................... 560,800
-----------
PERSONAL AND HOUSEHOLD PRODUCTS - 1.25%
10,100 Newell Rubbermaid Inc................................ 230,406
-----------
6
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ROCHDALE MAGNA PORTFOLIO
SCHEDULE OF INVESTMENTS AT SEPTEMBER 30, 2000 (UNAUDITED), CONTINUED
--------------------------------------------------------------------------------
SHARES MARKET VALUE
--------------------------------------------------------------------------------
PROPERTY INSURANCE - 3.95%
7,629 American International Group Inc..................... $ 730,000
-----------
RETAIL - 1.25%
8,867 Federated Department Stores*......................... 231,650
-----------
SEMICONDUCTOR - INTEGRATED CIRCUITS - 1.51%
4,300 Linear Technology Corp............................... 278,425
-----------
SEMICONDUCTOR - SPECIALIZED - 1.58%
3,400 Xilinx Inc........................................... 291,125
-----------
SPECIALTY RETAIL - 2.34%
6,800 Best Buy Company Inc.*............................... 432,650
-----------
SWITCHING AND TRANSMISSION EQUIPMENT - 1.29%
4,016 Nortel Networks...................................... 239,203
-----------
TECHNOLOGY - 11.45%
11,327 BMC Software Inc.*................................... 216,629
8,680 Cisco Systems Inc.*.................................. 479,570
8,120 Dell Computer Corp.*................................. 250,198
7,151 E M C Corp.*......................................... 708,843
9,779 Texas Instruments Inc................................ 461,447
-----------
2,116,687
-----------
TELECOMMUNICATIONS - 4.72%
9,886 Worldcom*............................................ 300,287
11,800 Verizon Communications............................... 571,562
-----------
871,849
-----------
WIRELESS COMMUNICATIONS SERVICES - 1.42%
12,586 AT&T Wireless Group.................................. 262,733
-----------
Total Common Stock (cost $17,496,648)................ 18,629,672
-----------
SHORT OPTIONS WRITTEN - (0.44%)
--------------------------------------------------------------------------------
(81) Carnival Corp. call/Oct./$25.00...................... (7,088)
(42) Intel Corp. put/Sept./$60.00......................... (75,600)
Total Short Options Written (proceeds $19,653)....... (82,688)
7
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ROCHDALE MAGNA PORTFOLIO
SCHEDULE OF INVESTMENTS AT SEPTEMBER 30, 2000 (UNAUDITED), CONTINUED
--------------------------------------------------------------------------------
Principal Amount SHORT-TERM INVESTMENTS - 1.25%
$231,817 Union Bank of California Money Market Fund
(cost $231,817)....................... $ 231,817
-----------
Total Investments in Securities
(cost $17,708,812+): 101.63%....................... 18,778,801
Liabilities in excess of Other Assets: (1.63%)....... (300,398)
-----------
Total Net Assets: 100%............................... $18,478,403
===========
* Non income-producing security.
+ At September 30, 2000, the cost for Federal income tax purposes was the
same as the basis for financial reporting. Unrealized appreciation and
depreciation of securities were as follows:
Gross unrealized appreciation........................ $ 3,189,032
Gross unrealized depreciation........................ (2,119,043)
-----------
Net unrealized appreciation...................... $ 1,069,989
===========
See accompanying Notes to Financial Statements.
8
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ROCHDALE ALPHA PORTFOLIO
SCHEDULE OF INVESTMENTS AT SEPTEMBER 30, 2000 (UNAUDITED)
--------------------------------------------------------------------------------
SHARES COMMON STOCKS - 100.11% MARKET VALUE
--------------------------------------------------------------------------------
CABLE TV AND SATELLITE SYSTEMS - 3.94%
10,840 Pegasus Communications Corp.......................... $ 523,708
-----------
CHEMICALS - 2.76%
27,000 Intertape Polymer Group, Inc......................... 366,187
-----------
COMPUTER SOFTWARE - 18.87%
2,750 i2 Technologies Inc.*................................ 514,422
25,000 Computer Network Technology Corp..................... 859,375
19,800 Dendrite International, Inc.*........................ 530,887
8,660 Rational Software Corp.*............................. 600,788
-----------
2,505,472
-----------
CONSUMER - CYCLICAL - 4.86%
26,440 Bed Bath & Beyond Inc.*.............................. 644,888
-----------
CONSUMER SERVICES - 8.45%
16,546 International Game Technology*....................... 556,359
20,830 Outback Steakhouse Inc.*............................. 565,014
-----------
1,121,373
-----------
DRUGS - 7.23%
7,020 Medicis Pharmaceutical Corp.......................... 431,730
6,485 Biovail Corp......................................... 528,122
-----------
959,852
-----------
DIVERSIFIED ELECTRONICS - 2.48%
10,700 Vishay Intertechnology, Inc.......................... 329,025
-----------
FINANCIAL SERVICES - 11.36%
28,100 DVI Inc.*............................................ 546,194
15,665 Metris Companies Inc................................. 618,767
6,710 Zions Bancorporation................................. 343,154
-----------
1,508,115
-----------
HEALTH CARE - 6.88%
6,400 Express Scripts Inc.*................................ 462,400
47,500 Hooper Holmes Inc.................................... 451,725
-----------
914,125
-----------
INFORMATION SERVICES - 2.56%
14,600 Nova Corp./Georgia*.................................. 250,025
4,050 Valassis Communications Inc.*........................ 90,113
-----------
340,138
-----------
9
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ROCHDALE ALPHA PORTFOLIO
SCHEDULE OF INVESTMENTS AT SEPTEMBER 30, 2000 (UNAUDITED)
--------------------------------------------------------------------------------
SHARES MARKET VALUE
--------------------------------------------------------------------------------
INTERNET - 4.24%
16,500 BroadVision, Inc..................................... $ 421,781
2,860 Exodus Communication Inc.*........................... 141,213
-----------
562,994
-----------
MEDICAL PROVIDER - 4.18%
15,265 Tenet Healthcare Corp.*.............................. 555,264
-----------
MISCELLANEOUS ELECTRONICS - 2.90%
13,950 Kemet Corp........................................... 385,369
-----------
OIL AND GAS EXPLORATION AND PRODUCTION - 6.99%
8,514 Devon Energy Corp.................................... 512,117
9,675 Weatherford International Inc........................ 416,025
-----------
928,142
-----------
SEMICONDUCTORS - 3.02%
11,780 Alpha Industries, Inc................................ 401,256
-----------
TECHNOLOGY - 1.99%
4,860 Vicor Corp.*......................................... 263,655
-----------
TELEPHONE - 3.92%
10,830 Qwest Communications International Inc............... 520,517
-----------
TELEMARKETING, CALL CENTERS, AND
OTHER DIRECT MARKETING - 3.48%
11,876 Convergys Corp....................................... 461,679
-----------
Total Common Stocks (cost $10,704,489)............... 13,291,759
-----------
Principal Amount SHORT-TERM INVESTMENTS - 2.11%
--------------------------------------------------------------------------------
$280,546 Union Bank of California
Money Market Fund (cost $280,546)................... 280,546
-----------
Total Investments in Securities
(cost $10,985,035+): 102.22%........................ 13,572,305
Liabilities in excess of Other Assets: (2.22%)....... (294,333)
-----------
Total Net Assets: 100%............................... $13,277,972
===========
* Non income-producing security.
+ At September 30, 2000, the cost for Federal income tax purposes was the
same as the basis for financial reporting. Unrealized appreciation and
depreciation of securities were as follows:
Gross unrealized appreciation........................ $ 3,188,835
Gross unrealized depreciation........................ (601,565)
-----------
Net unrealized appreciation...................... $ 2,587,270
===========
See accompanying Notes to Financial Statements.
10
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ROCHDALE ATLAS PORTFOLIO
SCHEDULE OF INVESTMENTS AT SEPTEMBER 30, 2000 (UNAUDITED)
--------------------------------------------------------------------------------
SHARES COMMON STOCKS: 99.68% MARKET VALUE
--------------------------------------------------------------------------------
BELGIUM - 5.20%
BANKS - 0.81%
13,601 KBC Bancassurance Holding NPV........................ $ 570,087
-----------
E-COMMERCE - 0.00%
2,106 Total Fina Rights.................................... 19
-----------
ELECTRIC - INTEGRATED (ENERGY CONGLOMERATE) - 0.42%
2,300 Tractebel............................................ 297,332
-----------
FINANCIAL SERVICES - 2.78%
34,166 Fortis B*............................................ 1,050,688
3,769 Groupe Bruxelles Lambert SA.......................... 914,942
-----------
1,965,630
-----------
HOLDING COMPANY (DIVERSIFIED OPERATIONS) - 0.87%
6,300 CNP-CIE Natle A Portefeuille......................... 611,519
-----------
OIL EXPLORATION/PRODUCTION - 0.32%
350 Petrofina SA......................................... 228,856
-----------
TOTAL FOR BELGIUM.................................... 3,673,443
-----------
BRAZIL - 8.81%
BANKS - 1.45%
31,078 Unibanco Brasileiros Sp GDR.......................... 1,023,632
-----------
BEVERAGES - 0.72%
23,000 Companhia De Bebidas PR ADR.......................... 510,312
-----------
BROADCASTING - 0.85%
44,700 Globo Cabo SA - Sponsored ADR........................ 597,863
-----------
CRUDE PETROLEUM AND NATURAL GAS - 2.44%
60,850 Petroleo Brasileiro SA ADR........................... 1,726,619
-----------
PULP MILLS MANUFACTURING - 0.83%
35,000 Companhia Energetica De Minas - Sponsored ADR........ 584,413
-----------
RAW MATERIALS - 0.60%
25,550 Aracruz Celulose SA - ADR............................ 424,769
-----------
11
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ROCHDALE ATLAS PORTFOLIO
SCHEDULE OF INVESTMENTS AT SEPTEMBER 30, 2000 (UNAUDITED), CONTINUED
--------------------------------------------------------------------------------
SHARES MARKET VALUE
--------------------------------------------------------------------------------
RETAIL - SUPERMARKETS - 0.50%
9,600 Companhia Brasileira De Distribuicao Grupo Pao
De Acucar - Sponsored ADR........................... $ 356,400
-----------
TELEPHONE - INTEGRATED - 1.42%
12,528 Telebras - ADR....................................... 988,929
421 Tele Norte Leste Participacoes - Sponsored ADR....... 9,630
-----------
998,559
-----------
TOTAL FOR BRAZIL..................................... 6,222,567
-----------
FRANCE - 2.06%
ENERGY - 2.06%
3,339 Total Fina Elf....................................... 494,997
13,000 Total Fina SA - Sponsored ADR........................ 958,750
-----------
1,453,747
-----------
TOTAL FOR FRANCE..................................... 1,453,747
-----------
GERMANY - 12.73%
AUTOMOTIVE - 1.42%
21,700 Volkswagen AG........................................ 1,001,471
-----------
BANKING - 0.54%
8,800 Dresdner Bank AG..................................... 383,219
-----------
DIVERSIFIED MANUFACTURING OPERATIONS - 3.36%
16,600 E.On AG - Sponsored ADR.............................. 863,200
11,740 Siemens AG........................................... 1,511,887
-----------
2,375,087
-----------
ELECTRONICS - 1.01%
23,400 CE Consumer Electronic............................... 712,380
-----------
ENTERPRISE SOFTWARE/SERVICES - 2.93%
33,600 SAP AG - Sponsored ADR............................... 2,070,600
-----------
MULTI-INDUSTRY - 3.47%
87,100 iShares MSCI Germany Index........................... 1,671,231
63,200 New Germany Fund..................................... 778,150
-----------
2,449,381
-----------
TOTAL FOR GERMANY.................................... 8,992,138
-----------
12
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ROCHDALE ATLAS PORTFOLIO
SCHEDULE OF INVESTMENTS AT SEPTEMBER 30, 2000 (UNAUDITED), CONTINUED
--------------------------------------------------------------------------------
SHARES MARKET VALUE
--------------------------------------------------------------------------------
INDIA - 5.39%
BUSINESS SERVICES - 0.30%
11,700 Silverline Technologies - ADR........................ $ 208,406
-----------
CHEMICALS - 1.33%
60,232 Reliance Industries Ltd. GDR......................... 941,125
-----------
FINANCE - 0.32%
20,000 ICICI Limited - ADR.................................. 222,500
-----------
HEALTH CARE - 0.74%
32,116 Ranbaxy Laboratories Ltd. GDR........................ 525,899
-----------
MULTI-INDUSTRY - 2.42%
140,973 India Fund Inc.*..................................... 1,709,298
-----------
TELECOMMUNICATIONS - 0.28%
40,153 Mahanagar Telephone NI GDR........................... 198,757
-----------
TOTAL FOR INDIA...................................... 3,805,985
-----------
IRELAND - 9.81%
BANKS - 2.30%
33,793 Allied Irish Banks - Sponsored ADR................... 734,998
111,456 Bank of Ireland...................................... 890,080
-----------
1,625,078
-----------
BUILDING MATERIALS - 1.40%
62,331 CRH PLC.............................................. 988,391
-----------
HEALTH CARE - 2.82%
9,984 Elan Corp. PLC*...................................... 559,442
26,574 Elan Corp. PLC - ADR*................................ 1,434,996
-----------
1,994,438
-----------
TELEPHONE - INTEGRATED - 1.47%
467,000 Eircom PLC........................................... 1,038,471
-----------
TRANSPORTATION - AIR - 1.82%
33,348 Ryanair Holdings PLC*................................ 1,283,898
-----------
TOTAL FOR IRELAND.................................... 6,930,276
-----------
13
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ROCHDALE ATLAS PORTFOLIO
SCHEDULE OF INVESTMENTS AT SEPTEMBER 30, 2000 (UNAUDITED), CONTINUED
--------------------------------------------------------------------------------
SHARES MARKET VALUE
--------------------------------------------------------------------------------
JAPAN - 17.40%
BUSINESS SERVICES - 0.69%
5,200 Softbank Corp........................................ $ 486,020
-----------
DATA PROCESSING - 0.85%
13,600 Canon Inc. - Sponsored ADR........................... 602,650
-----------
ELECTRONIC APPLIANCES - 1.66%
11,600 Sony Corp. - ADR..................................... 1,170,875
-----------
ELECTRONIC COMPUTERS/SEMICONDUCTORS - 0.77%
6,000 Tokyo Electronic, Ltd................................ 544,135
-----------
FINANCE - INVESTMENT BANKER/BROKER - 0.70%
42,000 Daiwa Securities Group Inc........................... 492,442
-----------
MEDICAL - DRUGS - 1.22%
13,000 Takeda Chemical Industries, Ltd...................... 858,956
-----------
MERCHANDISING - 0.55%
21,000 Jusco Co., Ltd....................................... 386,725
-----------
MULTI-INDUSTRY - 8.23%
95,000 Japan OTC Equity Fund*............................... 777,813
380,000 iShares MSCI Japan Index............................. 5,035,000
-----------
5,812,813
-----------
TELECOMMUNICATIONS - 1.46%
36 NTT Docomo Inc....................................... 1,032,746
-----------
WIRE AND CABLE PRODUCTS - 1.27%
52,000 Sumitomo Electric Industries, Ltd.................... 897,453
-----------
TOTAL FOR JAPAN...................................... 12,284,815
-----------
REPUBLIC OF KOREA - 8.26%
CHEMICALS - 0.90%
51,104 LG Chemical Ltd. - ADR............................... 638,800
-----------
ELECTRONIC APPLIANCES - 1.33%
12,870 Samsung Electronics Ltd.- GDR........................ 612,934
1,800 Samsung Electronics ................................ 326,149
-----------
939,083
-----------
14
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ROCHDALE ATLAS PORTFOLIO
SCHEDULE OF INVESTMENTS AT SEPTEMBER 30, 2000 (UNAUDITED), CONTINUED
--------------------------------------------------------------------------------
SHARES MARKET VALUE
--------------------------------------------------------------------------------
MULTI-INDUSTRY - 1.90%
111,300 Korea Fund Inc.*..................................... $ 1,341,165
-----------
STEEL PRODUCTION - 0.46%
17,500 Pohang Iron & Steel - Sponsored ADR.................. 323,750
-----------
TELECOMMUNICATIONS - 2.45%
25,700 Korea Telecom Corp. - Sponsored ADR.................. 870,587
33,380 SK Telecommunications Ltd............................ 859,535
-----------
1,730,122
-----------
UTILITIES - 1.22%
65,349 Korea Electric Power Corp. - ADR..................... 861,790
-----------
TOTAL FOR REPUBLIC OF KOREA.......................... 5,834,710
-----------
NETHERLANDS - 0.04%
DIVERSIFIED FINANCIAL SERVICES - 0.04%
815 Fortis (NL) - Sponsored ADR.......................... 25,265
-----------
TOTAL FOR NETHERLANDS................................ 25,265
-----------
NORWAY - 8.49%
BANKS - 1.35%
218,535 DNB Holding ASA...................................... 950,847
-----------
ENERGY - 3.61%
25,769 Norsk Hydro ASA - Sponsored ADR...................... 1,090,351
34,800 Norsk Hydro ASA...................................... 1,456,650
-----------
2,547,001
-----------
FINANCIAL SERVICES - 1.02%
101,470 Storebrand ASA*...................................... 720,924
-----------
FOOD - MISCELLANEOUS/DIVERSIFIED - 1.01%
37,000 Orkla ASA............................................ 717,310
-----------
OIL FIELD SERVICES - 1.50%
62,028 Petroleum Geo-Services-ADR........................... 1,062,230
-----------
TOTAL FOR NORWAY..................................... 5,998,312
-----------
15
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ROCHDALE ATLAS PORTFOLIO
SCHEDULE OF INVESTMENTS AT SEPTEMBER 30, 2000 (UNAUDITED), CONTINUED
--------------------------------------------------------------------------------
SHARES MARKET VALUE
--------------------------------------------------------------------------------
SINGAPORE - 8.80%
BANKS - 3.34%
60,000 DBS Group Holdings Ltd............................... $ 661,963
133,115 Overseas - Chinese Banking Corporation Ltd........... 841,397
118,799 United Overseas Bank................................. 853,305
-----------
2,356,665
-----------
BANKS/MONEY CENTER - 0.94%
60,000 DBS Group Holdings Ltd............................... 661,963
-----------
BROADCASTING AND PUBLISHING - 1.06%
50,000 Singapore Press Holdings............................. 749,880
-----------
COMPUTER HARDWARE - 1.07%
24,200 Creative Technology Ltd.-ADR......................... 502,150
12,000 Creative Technology Limited.......................... 253,753
-----------
755,903
-----------
ELECTRONICS - 0.65%
177,720 Natsteel Electronics Ltd............................. 459,548
-----------
REAL ESTATE - 1.02%
9,000 City Developments Ltd.-ADR........................... 41,850
138,652 City Developments.................................... 677,215
-----------
719,065
-----------
TELECOMMUNICATION SERVICES - 0.84%
380,000 Singapore Telecom, Ltd............................... 593,928
-----------
TRANSPORTATION - AIRLINES - 0.82%
61,200 Singapore Airlines Ltd............................... 580,252
-----------
TOTAL FOR SINGAPORE.................................. 6,215,241
-----------
SPAIN - 2.05%
TELEPHONE - INTEGRATED - 2.05%
24,256 Telefonica SA - Sponsored ADR........................ 1,444,748
-----------
TOTAL FOR SPAIN...................................... 1,444,748
-----------
SWITZERLAND - 10.64%
BANKS - 1.96%
10,400 UBS AG*.............................................. 1,383,906
-----------
16
<PAGE>
ROCHDALE ATLAS PORTFOLIO
SCHEDULE OF INVESTMENTS AT SEPTEMBER 30, 2000 (UNAUDITED), CONTINUED
--------------------------------------------------------------------------------
SHARES MARKET VALUE
--------------------------------------------------------------------------------
ENGINEERING/RESEARCH AND DEVELOPMENT SERVICES - 1.75%
12,700 ABB, Ltd............................................. $ 1,234,407
-----------
FOOD - 2.55%
865 Nestle SA............................................ 1,801,623
-----------
HEALTH - 0.87%
500 Serono SA-B.......................................... 610,377
-----------
INSURANCE - 0.85%
1,300 Zurich Allied AG..................................... 600,946
-----------
MEDICAL - DRUGS - 1.62%
130 Roche Holding AG..................................... 1,143,227
-----------
TELEPHONE - INTEGRATED - 1.04%
3,000 Swisscom AG.......................................... 735,055
-----------
TOTAL FOR SWITZERLAND................................ 7,509,541
-----------
Total Common Stock (cost $73,283,602)................ 70,390,788
-----------
SHORT OPTIONS WRITTEN - (0.03%)
(50) Elan Corp. call / Oct. / $55.00...................... (10,313)
(50) SAP AG call / Oct. / $65.00.......................... (10,625)
-----------
Total Short Options Written (proceeds $0)............ (20,938)
-----------
Principal Amount SHORT-TERM INVESTMENTS - 0.62%
--------------------------------------------------------------------------------
$435,607 Highmark Diversified Money Market
Fund (cost $435,607)................................ 435,607
-----------
Total Investments in Securities
(cost $73,719,209+): 100.27%.................... 70,805,457
Liabilities less Other Assets: (0.27%)........... (192,895)
-----------
Total Net Assets: 100%........................ $70,612,562
===========
* Non income-producing security
ADR - American Depository Receipt
GDR - Global Depository Receipt
See Accompanying Notes to Financial Statements
17
<PAGE>
ROCHDALE ATLAS PORTFOLIO
SCHEDULE OF INVESTMENTS AT SEPTEMBER 30, 2000 (UNAUDITED), CONTINUED
--------------------------------------------------------------------------------
SHARES MARKET VALUE
--------------------------------------------------------------------------------
+ At September 30, 2000, the cost for Federal income tax purposes was the
same as the basis for financial reporting. Unrealized appreciation and
depreciation of securities were as follows:
Gross unrealized appreciation........................ $ 6,201,385
Gross unrealized depreciation........................ (9,115,137)
-----------
Net unrealized depreciation...................... $(2,913,752)
===========
18
<PAGE>
ROCHDALE INVESTMENT TRUST
STATEMENT OF ASSETS AND LIABILITIES AT SEPTEMBER 30, 2000 (UNAUDITED)
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MAGNA ALPHA ATLAS
PORTFOLIO PORTFOLIO PORTFOLIO
------------ ------------ ------------
<S> <C> <C> <C>
ASSETS
Investments in securities, at value (cost $17,728,465,
$10,985,035, and $73,719,209, respectively) ................... $ 18,861,489 $ 13,572,305 $ 70,826,395
Receivables:
Foreign tax reclaim ........................................... -- -- 5,502
Investments sold .............................................. -- 212,724 --
Dividends and interest ........................................ 5,293 664 162,437
Fund shares sold .............................................. -- -- 330,774
Prepaid expenses ................................................ 4,799 3,637 4,259
------------ ------------ ------------
TOTAL ASSETS .................................................... 18,871,581 13,789,330 71,329,367
------------ ------------ ------------
LIABILITIES
Short options written, at value (proceeds $19,653, $0
and $0, respectively) ......................................... 82,688 -- 20,938
Payables:
Due to Advisor ................................................ 20,422 11,641 58,922
Securities purchased .......................................... 224,968 450,201 458,788
Cash overdraft ................................................ -- -- 7,000
Fund shares repurchased ....................................... -- 5,306 --
Dividend tax withheld ......................................... -- -- 11,595
Accrued expenses ................................................ 65,100 44,210 159,562
------------ ------------ ------------
TOTAL LIABILITIES ............................................... 393,178 511,358 716,805
------------ ------------ ------------
NET ASSETS ........................................................ $ 18,478,403 $ 13,277,972 $ 70,612,562
============ ============ ============
Number of shares, $0.01 par value, issued
and outstanding (unlimited shares authorized) ................. 581,101 374,241 2,143,851
============ ============ ============
NET ASSET VALUE, OFFERING AND REDEMPTION PRICE PER SHARE .......... $ 31.80 $ 35.48 $ 32.94
============ ============ ============
COMPOSITION OF NET ASSETS
Paid-in capital ................................................. $ 17,239,540 $ 10,466,881 $ 74,614,043
Undistributed/accumulated net investment income (loss) .......... (66,245) (91,202) 459,097
Undistributed/accumulated net realized gain (loss) from
security transactions ......................................... 235,119 315,023 (1,546,856)
Net unrealized appreciation (depreciation) on investments 1,069,989 2,587,270 (2,913,722)
------------ ------------ ------------
Net Assets ........................................................ $ 18,478,403 $ 13,277,972 $ 70,612,562
============ ============ ============
</TABLE>
See accompanying Notes to Financial Statements
19
<PAGE>
ROCHDALE INVESTMENT TRUST
STATEMENT OF OPERATIONS - FOR THE SIX MONTHS ENDED SEPTEMBER 30, 2000
(UNAUDITED)
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MAGNA ALPHA ATLAS
PORTFOLIO PORTFOLIO PORTFOLIO
--------- ----------- -----------
<S> <C> <C> <C>
INVESTMENT INCOME
Income
Dividend income (net of foreign taxes of $0,
$0 and $23, respectively) ................................. $ 94,640 $ 4,844 $ 942,200
Interest income ............................................ 911 2,515 15,027
Other income ............................................... 760 977 2,681
--------- ----------- -----------
Total income ................................................. 96,311 8,336 959,908
--------- ----------- -----------
Expenses
Advisory fees .............................................. 92,889 53,805 333,553
Fund accounting fees ....................................... 10,731 7,200 26,814
Custody fees ............................................... 3,481 1,136 40,286
Administration fee ......................................... 12,627 12,627 12,627
Registration fees .......................................... 13,987 9,663 25,897
Audit fee .................................................. 6,000 6,000 6,000
Legal fees ................................................. 6,269 7,616 8,153
Transfer agent fees ........................................ 5,467 3,967 7,432
Miscellaneous .............................................. 1,756 1,516 4,517
Reports to shareholders .................................... 3,000 2,277 4,655
Insurance .................................................. 500 368 1,465
Trustees' fees ............................................. 549 549 549
--------- ----------- -----------
Total expenses ............................................... 157,256 106,724 471,948
Add: expenses recouped by Advisor ............................ 5,300 -- 28,863
Less: expenses waived and reimbursed ......................... -- (7,186) --
--------- ----------- -----------
Net expenses ................................................. 162,556 99,538 500,811
--------- ----------- -----------
NET INVESTMENT INCOME (LOSS) ................................. (66,245) (91,202) 459,097
--------- ----------- -----------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
AND FOREIGN CURRENCY TRANSACTIONS
Net realized gain (loss):
Security transactions ...................................... 54,027 394,652 (654,652)
Option transactions ........................................ 35,177 -- --
Foreign currency transactions .............................. -- -- (2,623)
--------- ----------- -----------
Net realized gain (loss) on security and foreign
currency transactions ...................................... 89,204 394,652 (657,275)
--------- ----------- -----------
Net change in unrealized appreciation (depreciation) on:
Investments ................................................ (971,431) 1,495,520 (8,834,688)
Foreign currency transactions .............................. -- -- 13,689
--------- ----------- -----------
Net change in unrealized appreciation on investments
and foreign currency transactions .......................... (971,431) 1,495,520 (8,820,999)
--------- ----------- -----------
NET REALIZED AND UNREALIZED (LOSS) GAIN ON INVESTMENTS
AND FOREIGN CURRENCY TRANSACTIONS .......................... (882,227) 1,890,172 (9,478,274)
--------- ----------- -----------
NET (DECREASE) INCREASE IN NET ASSETS
RESULTING FROM OPERATIONS .................................. $(948,472) $ 1,798,970 $(9,019,177)
========= =========== ===========
</TABLE>
See accompanying Notes to Financial Statements.
20
<PAGE>
ROCHDALE INVESTMENT TRUST
STATEMENT OF CHANGES IN NET ASSETS
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MAGNA ALPHA ATLAS
PORTFOLIO PORTFOLIO PORTFOLIO
----------------------- ---------------------- -----------------------
Six Months Year Six Months 6/1/99* Six Months Year
Ended Ended Ended Through Ended Ended
9/30/00# 3/31/00 9/30/00# 3/31/00 9/30/00# 3/31/00
-------- ------- -------- ------- -------- -------
<S> <C> <C> <C> <C> <C> <C>
INCREASE (DECREASE) IN NET ASSETS
OPERATIONS
Net investment gain (loss)............ $ (66,245) $ (85,362) $ (91,202) $ (35,937) $ 459,097 $ (238,009)
Net realized gain (loss) on
security and foreign
currency transactions................ 70,671 132,143 394,652 (79,629) (657,275) 222,610
Net realized gain from option
transactions......................... 18,533 56,129 -- -- -- --
Net change in unrealized
appreciation (depreciation)
on investments and foreign
currency transactions................ (971,431) 1,734,921 1,495,520 1,091,750 (8,820,999) 5,776,641
----------- ----------- ----------- ---------- ----------- -----------
NET INCREASE (DECREASE)
IN NET ASSETS RESULTING
FROM OPERATIONS.................... (948,472) 1,837,831 1,798,970 976,184 (9,019,177) 5,761,242
----------- ----------- ----------- ---------- ----------- -----------
DISTRIBUTIONS TO SHAREHOLDERS
Net investment income ................ -- -- -- -- -- (74,752)
Realized gain on investments.......... -- (67,692) -- -- -- (1,149,539)
----------- ----------- ----------- ---------- ----------- -----------
TOTAL DISTRIBUTIONS TO
SHAREHOLDERS ...................... -- (67,692) -- -- -- (1,224,291)
----------- ----------- ----------- ---------- ----------- -----------
FUND SHARE TRANSACTIONS
Proceeds from shares sold ............ 2,643,509 9,665,171 3,460,790 7,934,076 19,950,985 50,731,323
Shares issued on reinvestment
of distributions ................... -- 67,692 -- -- -- 1,224,291
Cost of shares redeemed .............. (1,499,051) (1,331,063) (593,943) (298,105) (3,128,111) (3,807,699)
----------- ----------- ----------- ---------- ----------- -----------
NET INCREASE FROM FUND
SHARE TRANSACTIONS ................ 1,144,458 8,401,800 2,866,847 7,635,971 16,822,874 48,147,915
----------- ----------- ----------- ---------- ----------- -----------
TOTAL INCREASE IN NET ASSETS......... 195,986 10,171,939 4,665,817 8,612,155 7,803,697 52,684,866
NET ASSETS
Beginning of period ................. 18,282,417 8,110,478 8,612,155 -- 62,808,865 10,123,999
----------- ----------- ----------- ---------- ----------- -----------
END OF PERIOD ......................... $18,478,403 $18,282,417 $13,277,972 $8,612,155 $70,612,562 $62,808,865
=========== =========== =========== ========== =========== ===========
CHANGE IN SHARES
Shares sold .......................... 81,278 309,643 108,895 294,091 575,016 1,401,465
Shares issued on reinvestment
of distributions ................... -- 2,147 -- -- -- 33,690
Shares redeemed ...................... (46,772) (42,187) (17,935) (10,810) (91,433) (106,606)
----------- ----------- ----------- ---------- ----------- -----------
NET INCREASE....................... 34,506 269,603 90,960 283,281 483,583 1,328,549
=========== =========== =========== ========== =========== ===========
</TABLE>
# Unaudited
* Inception of Portfolio
See accompanying Notes to Financial Statements.
21
<PAGE>
ROCHDALE INVESTMENT TRUST
FINANCIAL HIGHLIGHTS
FOR A CAPITAL SHARE OUTSTANDING THROUGHOUT EACH PERIOD
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MAGNA ALPHA ATLAS
PORTFOLIO PORTFOLIO PORTFOLIO
------------------------------- ------------------- ------------------------------
Six Months Year 6/29/98* Six Months 6/1/99* Six Months Year 6/29/98*
Ended Ended Through Ended Through Ended Ended Through
9/30/00+ 3/31/00 3/31/99 9/30/00+ 3/31/00 9/30/00+ 3/31/00 3/31/99
-------- ------- ------- -------- ------- -------- ------- -------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period ... $33.45 $29.28 $25.00 $30.40 $25.00 $37.83 $30.52 $25.00
------ ------ ------ ------ ------ ------ ------ ------
Income from investment operations:
Net investment income (loss) .......... (0.11) (0.16) (0.02) (0.24) (0.13) 0.21 (0.11) --
Net realized and unrealized gain
(loss) on investments ................ (1.54) 4.48 4.30 5.32 5.53 (5.10) 8.76 5.52
------ ------ ------ ------ ------ ------ ------ ------
Total from investment operations ....... (1.65) 4.32 4.28 5.08 5.40 (4.89) 8.65 5.52
------ ------ ------ ------ ------ ------ ------ ------
Less distributions:
Dividends from net investment
income ............................... -- -- -- -- -- -- (0.08) --
Distributions from realized gains...... -- (0.15) -- -- -- -- (1.26) --
------ ------ ------ ------ ------ ------ ------ ------
Total distributions ................ -- (0.15) -- -- -- -- (1.34) --
------ ------ ------ ------ ------ ------ ------ ------
Net asset value, end of period ......... $31.80 $33.45 $29.28 $35.48 $30.40 $32.94 $37.83 $30.52
====== ====== ====== ====== ====== ====== ====== ======
Total return ........................... (4.93%) 14.80% 17.12%*** 16.71% 21.60% (12.93%) 28.53% 22.08%**
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (millions) ... $ 18.5 $ 18.3 $ 8.1 $ 13.3 $ 8.6 $ 70.6 $ 62.8 $ 10.1
Portfolio turnover rate ................ 21.30% 38.34% 47.81% 53.93% 22.48% 35.47% 35.97% 22.90%
Ratio of expenses to average net assets:
Before expense reimbursement
and waivers .......................... 1.75%# 2.15% 6.19%# 1.98%# 5.64%# 1.41%# 1.73% 7.79%#
After expense reimbursement
and waivers .......................... 1.75%# 1.73% 1.60%# 1.85%# 1.83%# 1.50%# 1.91% 1.61%#
Ratio of net investment income
(loss) to average net assets:
Before expense reimbursement
and waivers .......................... (0.71%)# (1.09%) (4.88%)# (1.83%)# (5.11%)# 1.46%# (0.63%) (6.26%)#
After expense reimbursement
and waivers .......................... (0.71%)# (0.67%) (0.29%)# (1.70%)# (1.30%)# 1.38%# (0.81%) (0.08%)#
</TABLE>
+ Unaudited
* Inception of Portfolio
** Commencement of investment operations - October 2, 1998
*** Commencement of investment operations - October 23, 1998
# Annualized
See accompanying Notes to Financial Statements.
22
<PAGE>
ROCHDALE INVESTMENT TRUST
NOTES TO FINANCIAL STATEMENTS AT SEPTEMBER 30, 2000 (UNAUDITED)
--------------------------------------------------------------------------------
NOTE 1 - ORGANIZATION
The Rochdale Magna Portfolio, Rochdale Alpha Portfolio, and Rochdale Atlas
Portfolio, (the "Portfolios") are diversified series of shares of beneficial
interest of Rochdale Investment Trust (the "Trust"), which is registered under
the Investment Company Act of 1940 (the "1940 Act") as an open-end management
investment company. The investment objective of the Portfolios is to achieve
long-term capital appreciation.
The Rochdale Magna and Rochdale Atlas Portfolios were established in June
1998. Initial outside investors purchased shares of the Portfolios on June 29,
1998. However, investment operations of the Portfolios did not commence until
October 23, 1998, and October 2, 1998, for the Rochdale Magna Portfolio and the
Rochdale Atlas Portfolio, respectively. The Rochdale Alpha Portfolio commenced
operations on June 1, 1999.
The Rochdale Magna Portfolio is a large-cap domestic equity fund. It seeks
to achieve its objective by investing primarily in securities of companies that
Rochdale Investment Management ("Rochdale" or the "Advisor") has identified
through fundamental criteria as the leading growth and leading value companies
relative to growth and value industry peers.
The Rochdale Alpha Portfolio is a small- to mid-cap domestic equity fund.
It seeks to achieve its objective by investing primarily in equity securities of
small and medium-size U.S. companies that Rochdale has identified as expecting
to grow earnings at a rate above that of larger, more established companies.
The Rochdale Atlas Portfolio is a foreign equity fund. It seeks to achieve
its objective by investing primarily in equity securities of select foreign
developed and emerging countries that Rochdale has identified as attractive
relative to other countries based on fundamental valuation, financial, and
economic attributes.
NOTE 2 - SIGNIFICANT ACCOUNTING POLICIES
The following is a summary of significant accounting policies consistently
followed by the Portfolios. These policies are in conformity with generally
accepted accounting principles.
A. SECURITY VALUATION. In valuing the Portfolios' assets for calculating
net asset value, readily-marketable portfolio securities listed on a
national securities exchange or NASDAQ are valued at the last sale
price on the business day as of which such values are being
determined. If there has been no sale on such exchange or on NASDAQ on
such day, the security is valued at the closing bid price on such day.
Readily-marketable securities traded only in an over-the-counter
market and not on NASDAQ are valued at the current or last bid price.
If no bid is quoted on such day, the security is valued by such method
as the Board of Trustees of the Trust shall determine in good faith to
reflect the security's fair value. All other assets of the Portfolios
are valued in such manner as the Board of Trustees in good faith deems
appropriate to reflect their fair value.
B. FEDERAL INCOME TAXES. The Portfolios intend to comply with the
requirements of the Internal Revenue Code applicable to regulated
investment companies and to distribute all of their taxable income to
their shareholders. Therefore, no federal income tax provision is
required.
C. SECURITY TRANSACTIONS AND INVESTMENT INCOME. Security transactions are
accounted for on the date the security is purchased or sold (trade
date). The cost of securities sold is determined under the identified
cost method. Dividend income is recognized on the ex-dividend date,
and interest income is recognized on the accrual basis. Purchase
discounts and premiums on securities held by the Portfolios are
accreted and amortized to maturity using the effective interest
method.
D. FOREIGN CURRENCY. Values of investments denominated in foreign
currencies are converted into U.S. dollars using the spot market rate
of exchange at the time of valuation. Purchases and sales of
investments and dividend and interest income are translated into U.S.
23
<PAGE>
ROCHDALE INVESTMENT TRUST
NOTES TO FINANCIAL STATEMENTS AT SEPTEMBER 30, 2000 (UNAUDITED), CONTINUED
--------------------------------------------------------------------------------
dollars using the spot market rate of exchange prevailing on the
respective dates of such translations. The gain or loss resulting from
changes in foreign exchange rates is included with net realized and
unrealized gain or loss from investments, as appropriate. Foreign
securities and currency transactions may involve certain
considerations and risks not typically associated with those of
domestic origin.
E. FORWARD CURRENCY CONTRACTS. A forward currency contract is an
agreement between two parties to buy or sell a currency at a set price
on a future date. Forward contracts are marked to market daily and the
change in market value is recorded by the Portfolio as an unrealized
gain or loss. When a contract is closed, the Portfolio records a
realized gain or loss equal to the difference between the value of the
contract at the time it was opened and the value at the time it was
closed. The Portfolio could be at risk if the counterparties are
unable to meet the terms of the contracts or if the value of the
currency changes unfavorably.
F. DISTRIBUTIONS TO SHAREHOLDERS. Distributions from net investment
income and realized gains, if any, are recorded on the ex-dividend
date. Income distributions and capital gain distributions are
determined in accordance with income tax regulations, which may differ
from generally accepted accounting principles. These differences are
primarily due to differing treatments for foreign currency
transactions, net operating losses, equalization and post-October
capital and currency losses.
G. OPTION WRITING. Each Portfolio may write (sell) covered call options
and secured put options on securities and indices. When the Portfolio
writes an option, an amount equal to the premium received by the
Portfolio is recorded as a liability and is subsequently adjusted to
the current fair value of the option written. Premiums received from
writing options that expire unexercised are treated by the Portfolio
on the expiration date as realized gains from investments. The
difference between the premium and the amount paid on effecting a
closing purchase transaction, including brokerage commissions, is also
treated as a realized gain, or, if the premium is less than the amount
paid for the closing purchase transaction, as a realized loss. If a
call option is exercised, the premium is added to the proceeds from
the sale of the underlying security or currency in determining whether
the Portfolio has realized a gain or loss. If a put option is
exercised, the premium reduces the cost basis of the securities
purchased by the Portfolio. The Portfolio as writer of an option bears
the market risk of an unfavorable change in the price of the security
underlying the written option.
H. USE OF ESTIMATES. The preparation of financial statements in
conformity with generally accepted accounting principles requires
management to make estimates and assumptions that affect the reported
amounts of assets and liabilities at the date of the financial
statements. Actual results could differ from those estimates.
NOTE 3 - COMMITMENTS AND OTHER RELATED PARTY TRANSACTIONS
Rochdale Investment Management Inc. (the "Advisor") provides the Portfolios
with investment management services under an Investment Advisory Agreement. The
Advisor furnishes all investment advice, office space, facilities, and most of
the personnel needed by the Trust. As compensation for its services, the Advisor
is entitled to a monthly fee at the annual rate of 1.00% from each Portfolio
based upon the average daily net assets of each Portfolio.
The Portfolios are responsible for their own operating expenses. The
Advisor has agreed to reduce fees payable to it by the Portfolios to the extent
necessary to limit each Portfolio's aggregate annual operating expenses to a
maximum of 1.75%, 1.85% and 1.95% of average net assets for the Rochdale Magna,
Rochdale Alpha, and Rochdale Atlas Portfolios, respectively. Any such reductions
made by the Advisor in its fees or payments or reimbursement of expenses which
are the Portfolios' obligation may be subject to reimbursement by the Portfolios
within the following three years, provided the Portfolios are able to effect
such reimbursement and remain in compliance with applicable limitations. For the
six months ended September 30, 2000, the Advisor has recouped expenses in the
24
<PAGE>
ROCHDALE INVESTMENT TRUST
NOTES TO FINANCIAL STATEMENTS AT SEPTEMBER 30, 2000 (UNAUDITED), CONTINUED
--------------------------------------------------------------------------------
amount of $5,300 from the Magna Portfolio, reimbursed $7,186 to the Alpha
Portfolio for expenses in excess of the limit, and recouped $28,863 from the
Atlas Portfolio making the Portfolios' expense ratios 1.75%, 1.85% and 1.50%
versus actual operating expenses of 1.75%, 1.98% and 1.41% respectively.
Investment Company Administration, LLC (the "Administrator") acts as the
Trust's Administrator under an Administration Agreement. The Administrator
prepares various federal and state regulatory filings, reports and returns for
the Portfolios; prepares reports and materials to be supplied to the trustees;
monitors the activities of the Portfolios' custodian, transfer agent and
accountants; coordinates the preparation and payment of Fund expenses and
reviews the Portfolios' expense accruals. For its services, the Administrator
receives a monthly fee from each Portfolio at a rate of 0.10% annually of
average net assets, with a minimum annual fee per Portfolio of $25,000.
Rochdale Investment Management Inc., the Advisor, also acts as the
Portfolios' principal underwriter in a continuous public offering of the
Portfolios' shares.
Certain officers and trustees of the Trust are also officers and/or
directors of the Advisor or Administrator.
NOTE 4 - DISTRIBUTION PLAN
The Portfolios have adopted a Distribution Plan (the "Plan") pursuant to
Rule 12b-1. The Plan provides that the Portfolios may pay for distribution and
related expenses of up to an annual rate of 0.25% of each Portfolio's average
net assets to Rochdale as distributor. Rochdale elected to waive its fees for
the six months ended September 30, 2000.
NOTE 5 - PURCHASES AND SALES OF SECURITIES
For the six months ended September 30, 2000, the cost of purchases and the
proceeds from sales of securities, other than short-term investments, were
$4,823,251, $8,500,339, $28,516,467, and $3,970,419, $5,848,972 and $23,483,296,
respectively, for the Rochdale Magna Portfolio, the Rochdale Alpha Portfolio,
and the Rochdale Atlas Portfolio, respectively.
The activity in put options written for the Rochdale Magna Portfolio during
the six months ended September 30, 2000, is summarized as follows:
CONTRACTS
WRITTEN AMOUNT
------- ------
(15) Options outstanding, beginning of period............ $ (1,480)
(585) Options written..................................... (56,994)
-- Options closed...................................... --
42 Options exercised................................... 4,769
435 Options expired..................................... 34,052
---------
(123) Options outstanding at September 30, 2000........... (19,653)
Unrealized depreciation at September 30, 2000....... (63,035)
---------
Market value of options at September 30, 2000....... $ (82,688)
=========
25
<PAGE>
ROCHDALE INVESTMENT TRUST
NOTES TO FINANCIAL STATEMENTS AT SEPTEMBER 30, 2000 (UNAUDITED), CONTINUED
--------------------------------------------------------------------------------
The activity in put options written for the Rochdale Atlas Portfolio during the
six months ended September 30, 2000, is summarized as follows:
CONTRACTS
WRITTEN AMOUNT
------- ------
-- Options outstanding, beginning of period............ $ --
(100) Options written..................................... (28,704)
-- Options closed...................................... --
-- Options exercised................................... --
-- Options expired..................................... --
---- ---------
(100) Options outstanding at September 30, 2000........... (28,704)
====
Unrealized depreciation at September 30, 2000....... 7,766
---------
Market value of options at September 30, 2000....... $ (20,938)
=========
26
<PAGE>
ROCHDALE INVESTMENT TRUST
ADVISOR
Rochdale Investment Management Inc.
570 Lexington Avenue
New York, New York 10022
(212) 702-3500
*
DISTRIBUTOR
Rochdale Investment Management Inc.
570 Lexington Avenue
New York, New York 10022
(212) 702-3500
*
CUSTODIAN
Union Bank of California
475 Sansome Street
San Francisco, California 94111
*
TRANSFER AGENT
American Data Services, Inc.
150 Motor Parkway
Hauppauge, New York 11788
*
AUDITORS
Tait, Weller & Baker
8 Penn Center, Suite 800
Philadelphia, Pennsylvania 19103
*
LEGAL COUNSEL
Laura Corsell, Esq.
7307 Elbow Lane
Philadelphia, Pennsylvania 19119
This report is intended for shareholders of the Fund and may not be used as
sales literature unless preceded or accompanied by a current prospectus.
Past performance results shown in this report should not be considered a
representation of future performance. Share price and returns will fluctuate so
that shares, when redeemed, may be worth more or less than their original cost.
Statements and other information herein are dated and are subject to change.
27
<PAGE>
ROCHDALE INVESTMENT TRUST
570 Lexington Avenue
New York, NY 10022-6837
800-245-9888
www.rochdale.com
You can discuss your questions about the Portfolios, and request other
information, including Statement of Additional Information (SAI), Annual Report
or Semi-Annual Report, free of charge, by calling the Portfolios at 800-245-9888
or visiting our Web site at www.rochdale.com. In the Portfolios' Annual Reports,
you will find a discussion of the market conditions and investment strategies
that significantly affected the Portfolios' performance during their last fiscal
year. The SAI provides detailed information about the Portfolios and is
incorporated into this Prospectus by reference.
You can review and copy information about the Portfolios, including the
Portfolios' reports and SAI, at the Public Reference Room of the Securities and
Exchange Commission, or get copies for a fee, by writing or calling the Public
Reference Room of the Commission, Washington, DC 20549-6009 (1-800-SEC-0330).
You can obtain the same information free of charge from the Commission's
Internet Web site at http://www.sec.gov.
(ROCHDALE INVESTMENT TRUST'S SEC INVESTMENT
COMPANY ACT FILE NUMBER IS 811-08685)
