SEC Registration Nos.
2-56809 and 811-2633
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-1A
REGISTRATION STATEMENT UNDER THE
SECURITIES ACT OF 1933
Post-Effective Amendment No. 36 XX
and/or
REGISTRATION STATEMENT UNDER THE
INVESTMENT COMPANY ACT OF 1940
Amendment No. 36 XX
First Variable Rate Fund for Government Income
This filing relates to the addition of a new Institutional Class only)
(Exact Name of Registrant as Specified in Charter)
4550 Montgomery Avenue
Suite 1000N
Bethesda, Maryland 20814
(Address of Principal Executive Offices)
Registrant's Telephone Number: (301) 951-4800
William M. Tartikoff, Esq.
4550 Montgomery Avenue
Suite 1000N
Bethesda, Maryland 20814
(Name and Address of Agent for Service)
It is proposed that this filing will become effective
__ Immediately upon filing __ on March 31, 1998
pursuant to paragraph (b) pursuant to paragraph (b)
__ 60 days after filing XX on September 15, 1998
pursuant to paragraph (a) pursuant to paragraph (a)
of Rule 485.
<PAGE>
First Variable Rate Fund for Government Income
Form N-1A Cross Reference Sheet
Item number Prospectus Caption
1. Cover Page
2. Fund Expenses
3. Financial Highlights
Yield
4. Investment Objective and Policies
Management of the Fund
5. Management of the Fund
6. Alternative Sales Options
Management of the Fund
Dividends and Taxes
7. How to Buy Shares
Management of the Fund
Net Asset Value
When Your Account Will Be Credited
Exchanges
8. Alternative Sales Options
How to Sell Your Shares
9. *
Statement of Additional Information Captions
10. Cover Page
11. Table of Contents
General Information
13. Investment Objective and Strategies
Investment Restrictions
Portfolio Transactions
14. Trustees and Officers
15. Trustees and Officers
16. Investment Advisor
Transfer and Shareholder Servicing Agent
Independent Accountants and Custodians
17. Portfolio Transactions
18. General Information
19. Purchase and Redemption of Shares
Net Asset Value
Financial Statements
20. Tax Matters
21. *
22. Calculation of Yield
23. Financial Statements
* Inapplicable or negative answer
<PAGE>
1
PROSPECTUS --
September 15, 1998
FIRST VARIABLE RATE FUND
CALVERT FIRST GOVERNMENT MONEY MARKET FUND
INSTITUTIONAL CLASS
4550 Montgomery Avenue, Bethesda, Maryland 20814
- --------------------------------------------------------------------------------
INTRODUCTION TO THE FUND
CALVERT FIRST GOVERNMENT MONEY MARKET FUND (the "Fund") is a U.S.
Government-only money market fund that seeks to earn the highest possible
yield consistent with safety, liquidity, and preservation of capital. In
pursuing its objective, the Fund invests only in U.S. Government-backed
obligations, including such obligations subject to repurchase agreements with
recognized securities dealers and banks. The Fund seeks to maintain a constant
net asset value of $1.00 per share. An investment in the Fund is neither
insured nor guaranteed by the U.S. Government. There can be no assurance that
the Fund will be successful in meeting its investment objective or maintaining
a constant net asset value of $1.00 per share.
TO OPEN AN ACCOUNT
Complete and return the enclosed Account Application. Minimum investment is
$1,000,000.
The Fund offers four classes of shares, each with different expense levels and
sales charges. The Institutional Class (Class I) is offered by this
prospectus. Class O, B, and C are described in and offered by a separate
prospectus, dated March 31, 1998.
ABOUT THIS PROSPECTUS
Please read this Prospectus before investing. It is designed to provide you
with information you ought to know before investing and to help you decide if
the Fund's goals match your own. Keep this document for future reference.
A Statement of Additional Information ("SAI") for the Fund (dated March 31,
1998 as revised September 30, 1998) has been filed with the Securities and
Exchange Commission and is incorporated by reference. This free Statement is
available upon request from the Fund: 800-368-2748.
The Commission maintains a website (http://www.sec.gov) that contains the SAI,
material incorporated by reference, and other information regarding
registrants that file electronically with the Commission.
THESE SECURITIES HAVE NOT BEEN APPROVED OR DISAPPROVED BY THE SECURITIES AND
EXCHANGE COMMISSION OR ANY STATE SECURITIES COMMISSION, NOR HAS THE FEDERAL OR
ANY STATE SECURITIES COMMISSION PASSED ON THE ACCURACY OR ADEQUACY OF THIS
PROSPECTUS. ANY REPRESENTATION TO THE CONTRARY IS A CRIMINAL OFFENSE.
SHARES OF THE FUND ARE NOT DEPOSITS OR OBLIGATIONS OF, OR GUARANTEED OR
ENDORSED BY, ANY BANK, AND ARE NOT FEDERALLY INSURED BY THE FDIC, THE FEDERAL
RESERVE BOARD, OR ANY OTHER AGENCY.
TABLE OF Fund Expenses
CONTENTS Financial Highlights
Investment Objectives and Policies
Yield
Management of the Fund
SHAREHOLDER GUIDE:
How to Buy Shares
Net Asset Value
When Your Account Will Be Credited
Exchanges
Other Calvert Group Services
Selling Your Shares
How to Sell Your Shares
Dividends and Taxes
<PAGE>
FUND EXPENSES
A. Shareholder Transaction Costs
- --------------------------------------------------------------------------------
Class I
Sales Load on Purchases None
Sales Load on Reinvested Dividends None
Maximum Contingent Deferred Sales Charge
(as a percentage of original purchase price or
redemption, as applicable) None
Redemption Fees $5 for a wire of less
than $50,000
Exchange Fees None
B. Annual Fund Operating Expenses - Estimated
(as a percentage of average net assets)
Management Fees 0.25%
Rule 12b-1 Service and Distribution Fees None
Other Expenses 0.07%
Total Fund Operating Expenses 0.32%
C. Example: You would pay the following expenses on a $1,000
investment, assuming (1) 5% annual return, and (2)
redemption at the end of each period.
i Year 3 years 5 Years 10 Years
Class I $3 $10 $18 $41
The example, which is hypothetical, should not be considered a representation
of past or future expenses. Actual expenses may be higher or lower than those
shown.
Explanation of Table: The purpose of the table is to assist you in
understanding the various costs and expenses that an investor in the Fund may
bear directly (shareholder transaction costs) or indirectly (annual fund
operating expenses).
A. Shareholder Transaction Costs are charges you pay when you buy or sell
shares of the Fund.
B. Annual Fund Operating Expenses have been estimated to reflect expenses
anticipated in the current fiscal year. Management Fees include the advisory
fee paid by the Portfolio to Calvert Asset Management Company, Inc. (the
"Advisor") for managing its investments and business affairs, and the
administrative service fee paid to Calvert Administrative Services Company,
Inc. ("CASC"). CASC is currently voluntarily waiving its portion of the
Management Fees (0.05%). The Fund incurs Other Expenses for maintaining
shareholder records, furnishing shareholder statements and reports, and other
services. Management Fees and Other Expenses have already been reflected in
the Fund's yield or share price and are not charged directly to individual
shareholder accounts. Please refer to "Management of the Fund" for further
information.
INVESTMENT OBJECTIVE AND POLICIES
The Fund seeks to earn the highest possible yield consistent with safety,
liquidity, and preservation of capital. In pursuing its objective, the Fund
invests solely in debt obligations issued or guaranteed by the United States,
its agencies or instrumentalities, assignments of interest in such
obligations, and commitments to purchase such obligations ("U.S.
Government-backed obligations"). The Fund may invest in U.S. Government-backed
obligations subject to repurchase agreements with the recognized securities
dealers and banks.
U.S. Government Obligations
Obligations issued by the U.S. Treasury, such as U.S. Treasury bills, notes
and bonds, are supported by the full faith and credit of the U.S. Government.
Securities issued by the U.S. Government include a variety of Treasury
securities which differ only in their interest rates, maturities, and time of
issuance. In addition, numerous agencies (such as Government National Mortgage
Association, Farmers Home Administration, Federal Housing Administration, and
Small Business Administration) and instrumentalities (such as Federal Home
Loan Mortgage Corporation, Federal National Mortgage Association, Student Loan
Marketing Association and Federal Home Loan Bank) issue or guarantee
obligations. Some of these securities are supported by the full faith and
credit of the U.S. Treasury; others are supported by the right of the issuer
to borrow from the Treasury; still others are supported only by the credit of
the instrumentality.
Repurchase Agreements
The Fund may enter into repurchase agreements. In a repurchase agreement, the
Fund buys a security subject to the right and obligation to sell it back at a
higher price. These transactions must be fully secured at all times, but they
involve some credit risk to the Fund if the other party defaults on its
obligation and the Fund is delayed or prevented from liquidating the
collateral.
Bank Certificates of Deposit
The Fund may also invest in certificates of deposit ("CDs") and other debt
obligations of commercial banks, savings banks, and savings and loan
associations having assets of less than $1 billion, provided that the
principal amount of such certificate is insured in full by the Federal Deposit
Insurance Corporation ("FDIC"). The FDIC presently insures accounts up to
$100,000; interest earned above $100,000 is not insured by the FDIC.
Variable Rate Obligations
The Fund may invest in variable and floating rate obligations. Variable rate
obligations have a yield which is adjusted periodically based upon changes in
the level of prevailing interest rates. Floating rate obligations have an
interest rate fixed to a known lending rate, such as the prime rate, and are
automatically adjusted when that rate changes. Variable and floating rate
obligations lessen the capital fluctuations usually inherent in fixed income
investments, to diminish the risk of capital depreciation of investments and
shares; but this also means that should interest rates decline, the yield of
each class of the Fund will decline and the Fund would not have as many
opportunities for capital appreciation of Fund investments.
Other Policies
Investments in Government-backed securities are subject to certain market
risks, and there is, of course, no assurance that the Fund will be successful
in meeting its investment objective.
The Fund may temporarily borrow money from banks (and pledge its assets to
secure such borrowing) to meet redemption requests. Such borrowing may not
exceed 25% of the value of the Fund's total assets. The Fund has adopted
certain fundamental investment restrictions which are discussed in detail in
the Statement of Additional Information. Unless specifically noted otherwise,
the investment objective, policies and restrictions of the Fund are
fundamental and may not be changed without shareholder approval.
YIELD
Yield refers to income generated by an investment over a period of time.
The Fund may advertise "yield" and "effective yield" for each class. Yield
figures are based on historical earnings and are not intended to indicate
future performance. The "yield" of the Fund refers to the actual income
generated by an investment in the Fund over a particular base period, stated
in the advertisement. If the base period is less than one year, the yield will
be "annualized." That is, the amount of income generated by the investment
during the base period is assumed to be generated over a one-year period and
is shown as a percentage of the investment. The "effective yield" is
calculated like yield, but assumes reinvestment of earned income and
accordingly produces a higher figure. The effective yield will be slightly
higher than the yield because of the compounding effect of this assumed
reinvestment.
MANAGEMENT OF THE FUND
The Board of Trustees supervises the activities and reviews its contracts with
companies that provide the Fund with services.
Calvert First Government Money Market Fund is a series of First Variable Rate
Fund for Government Income, an open-end diversified management investment
company, organized as a Massachusetts business trust. Since September 1, 1991,
the series has been doing business as Calvert First Government Money Market
Fund.
The Fund is not required to hold annual shareholder meetings, but special
meetings may be called for certain purposes such as electing Trustees,
changing fundamental policies, or approving a management contract. As a
shareholder, you receive one vote for each share you own. Matters affecting
classes differently, such as Distribution Plans, will be voted on separately
by the affected Class.
Calvert Group is one of the largest investment management firms in the
Washington, D.C. area.
Calvert Group, Ltd., parent of the Fund's investment advisor, shareholder
servicing agent, and distributor, is a subsidiary of Acacia Mutual Life
Insurance Company of Washington, D.C. Calvert Group is one of the largest
investment management firms in the Washington, D.C. area. Calvert Group, Ltd.
and its subsidiaries are located at 4550 Montgomery Avenue, Suite 1000N,
Bethesda, Maryland 20814. As of December 31, 1997, Calvert Group managed and
administered assets in excess of $5.0 billion and more than 200,000
shareholder and depositor accounts.
Calvert Asset Management serves as Advisor to the Fund.
Calvert Asset Management Company, Inc. (the "Advisor") is the Fund's
investment advisor. The Advisor provides the Fund with investment supervision
and management, administrative services and office space; furnishes executive
and other personnel to the Fund; and pays the salaries and fees of all
Trustees who are affiliated persons of the Advisor. The Advisor may also
assume and pay certain advertising and promotional expenses of the Fund and
reserves the right to compensate broker-dealers in return for their
promotional or administrative services.
The Advisor receives a fee based on a percentage of the Fund's assets.
For its services during each fiscal year, the Advisor is entitled, pursuant to
the Investment Advisory Agreement to receive 0.25% of the Fund's average daily
net assets as investment advisory fees.
Calvert Administrative Services Company provides administrative services for
the Fund.
Calvert Administrative Services Company ("CASC"), an affiliate of the Advisor,
provides certain administrative services to the Fund, including the
preparation of regulatory filings and shareholder reports, the daily
determination of its net asset value per share and dividends, and the
maintenance of its portfolio and general accounting records. For providing
such services to the Institutional Class, CASC is entitled to an annual fee of
0.05% of the Fund's average daily net assets.
Calvert Distributors, Inc. serves as underwriter to market the Fund's shares.
Calvert Distributors, Inc. ("CDI") is the Fund's principal underwriter and
distributor. Under the terms of its underwriting agreement with the Fund, CDI
markets and distributes the Fund's shares and is responsible for preparing
advertising and sales literature, and printing and mailing prospectuses to
prospective investors.
The transfer agent keeps your account records.
Calvert Shareholder Services, Inc. is the shareholder servicing agent for the
Fund. National Financial Data Services, Inc. ("NFDS"), 1004 Baltimore, Kansas
City, Missouri, 64105, is the transfer and dividend disbursing agent for the
Fund.
SHAREHOLDER GUIDE
Opening An Account
You can buy shares of the Class in several ways which are described here and
in the chart below.
An account application accompanies this prospectus. A completed and signed
application is required for each new account you open. Additional forms may be
required from corporations, associations, and certain fiduciaries. If you have
any questions or need extra applications, call Calvert Group at 800-317-2274.
Share Price
The Fund's shares are sold without a sales charge.
The price of one share is its "net asset value," or NAV. NAV is computed by
adding the value of a Fund's investments plus cash and other assets, deducting
liabilities and then dividing the result by the number of shares outstanding.
The NAV is calculated at the close of the Fund's business day, which coincides
with the closing of the regular session of the New York Stock Exchange
(normally 4:00 p.m. Eastern time). The Fund is open for business each day the
New York Stock Exchange is open. The Fund's securities are valued according to
the "amortized cost" method, which is intended to stabilize the NAV at $1.00
per share.
All purchases of Fund shares will be confirmed and credited to your account in
full and fractional shares (rounded to the nearest 1/100 of a share). The Fund
may send monthly statements in lieu of immediate confirmations of purchases
and redemptions.
HOW TO BUY SHARES
Method Initial investment Additional Investments
By wire $1,000,000 minimum $25,000 minimum
Wire investments to: State Street Bank and Trust Company
Boston MA
ABA# 011000028
FBO: CFGMMF Institutional Fund 701
Wire Account #9903-765-7
Your name and account number
By Exchange $1,000,000 minimum $25,000 minimum
(From your account in another Calvert Group fund)
When opening an account by exchange, your new account must be established with
the) same name(s), address and taxpayer identification number as your existing
Calvert account.
WHEN YOUR ACCOUNT WILL BE CREDITED
Before you buy shares, please read the following information to make sure your
investment is accepted and credited properly.
Your purchase will be processed at the NAV calculated after your order is
received and accepted. A telephone order placed to Calvert Institutional
Marketing Group by 11:00 a.m. Eastern time will receive the dividend on Class
shares declared that day if federal funds are received by the custodian by 5
p.m. Eastern time. Telephone orders placed after 11:00 a.m. will begin earning
dividends on Class shares the next business day. If no telephone order is
placed, investments begin earning dividends the next business day. Exchanges
begin earning dividends the next business day after the exchange request is
received by mail or telephone.
All of your purchases must be made by wire. No cash or checks will be
accepted. The Fund reserves the right to suspend the offering of shares for a
period of time or to reject any specific purchase order.
EXCHANGES
Each exchange represents the sale of shares of one Fund and the purchase of
shares of another.
If your investment goals change, the Calvert Group Family of Funds has a
variety of investment alternatives that includes common stock funds,
tax-exempt and corporate bond funds, and money market funds. The exchange
privilege is a convenient way to buy shares in other Calvert Group Funds in
order to respond to changes in your goals or in market conditions. Before you
make an exchange from a Fund, please note the following:
Call the Calvert Institutional Marketing Group for information and a
prospectus for any of Calvert's other Funds registered in your state. Read the
prospectus of the Fund into which you want to exchange for relevant
information.
Complete and sign an application for an account in that Fund, taking
care to register your new account in the same name and taxpayer identification
number as your existing Calvert account(s). Exchange instructions may then be
given by telephone if telephone redemptions have been authorized and the
shares are not in certificate form.
Shares on which you have already paid a sales charge at Calvert Group
may be exchanged into another Fund at no additional charge. Shares acquired by
reinvestment of dividends or distributions may be exchanged into another Fund
at no additional charge. Except for money market funds, if you make a purchase
at NAV, you may exchange that amount to another fund at no additional sales
charge.
The Fund reserves the right to terminate or modify the exchange privilege with
60 days' written notice.
OTHER CALVERT GROUP SERVICES
Calvert Information Network
For 24 hour performance and account information call 800-368-2745 or visit
http://www.calvertgroup.com
You can obtain current performance and pricing information, verify account
balances, and authorize certain transactions with the convenience of one
telephone call, 24 hours a day.
Telephone Transactions
You may purchase, redeem, exchange shares, or wire funds by telephone if you
have pre-authorized service instructions. You receive telephone privileges
automatically when you open your account unless you elect otherwise. For our
mutual protection, the Fund, the shareholder servicing agent and their
affiliates use precautions such as verifying shareholder identity and
recording telephone calls to confirm instructions given by phone. A
confirmation statement is sent for most transactions; please review this
statement and verify the accuracy of your transaction immediately.
Combined General MailingsJoin us in our efforts to conserve paper and save on
postage.If you have multiple accounts with Calvert, you may receive combined
mailings of shareholder information, such as account statements, confirmations
of transactions, prospectuses and semi-annual and annual reports.
Special Services and Charges
The Fund pays for shareholder services but not for special services that are
required by a few shareholders, such as a request for a historical transcript
of an account, or a stop payment on a draft. You may be required to pay a fee
for these special services.
HOW TO SELL YOUR SHARES
You may redeem all or a portion of your shares on any business day. Your
shares will be redeemed at the next NAV calculated after your redemption
request is received in good order.
Redemption Requirements To Remember
To ensure that of your redemption request is in good order (acceptable),
please follow the procedures described here and below.
Once your shares are redeemed, the proceeds will normally be sent to you on
the next business day, but if making immediate payment could adversely affect
the Fund, it may take up to seven (7) days. When the New York Stock Exchange
is closed (or when trading is restricted) for any reason other than its
customary weekend or holiday closings, or under any emergency circumstances as
determined by the Securities and Exchange Commission, redemptions may be
suspended or payment dates postponed.
Redemption proceeds are normally paid in cash. However, at the sole discretion
of the Fund, the Fund has the right to redeem shares in assets other than cash
for redemption amounts exceeding, in any 90 day period, $250,000 or 1% of the
NAV of the Fund, whichever is less, or as allowed by law.
If you sell shares by telephone or written request, you will receive dividends
through the date the request is received and processed. Calvert encourages you
to notify the Institutional Marketing Group for any redemption over $10
million per day.
Telephone
Please call the Institutional Marketing Group at 800-317-2274. You may redeem
shares from your account by telephone and have your money mailed to your
address of record or wired to a bank you have previously authorized. Same-day
wire redemptions may be ordered by calling the Institutional Marketing Group
by 11:00 a.m. Eastern time. All other wires will be transmitted the next
business day. A charge of $5 may be imposed on wire transfers of less than
$50,000. See "Telephone Transactions."
Minimum account balance
Please maintain a balance in your account of at least $1,000,000. If, due to
exchanges or other redemptions, the account falls below $1,000,000, or you
fail to invest at least $1,000,000, it may be closed and the proceeds mailed
to you at the address of record. You will be given notice that your account
will be closed after 30 days unless you make an additional investment to
increase your account balance to the $1,000,000 minimum.
Exchange to Another Calvert Group Fund
You must meet the minimum investment requirement of the other Calvert Group
Fund. You can only exchange between accounts with identical names, addresses
and taxpayer identification number, unless previously authorized with a
signature-guaranteed letter.
Mail To: Calvert Institutional Marketing Group, 4550 Montgomery Avenue,
Bethesda, Maryland 20814
You may redeem available shares from your account at any time by sending a
letter of instruction, including your name, account and Fund number, the
number of shares or dollar amount, and where you want the money to be sent.
The letter of instruction must be signed by all required authorized signers.
If you want the money to be wired to a bank not previously authorized, then a
voided bank check must be enclosed with your letter. If you do not have a
voided check, you must enclose a letter on corporate letterhead, signed by one
or more authorized signers.
DIVIDENDS AND TAXES
Each year, the Fund distributes substantially all of its net investment income
to shareholders.
Dividends from the Fund's net investment income are declared daily and paid
monthly. Net investment income consists of interest income, net short-term
capital gains, if any, and dividends declared and paid on investments, less
expenses.
Dividend payment options
Dividends and any distributions are automatically reinvested in additional
shares of the same Fund, unless you elect to have the dividends of $10 or more
paid in cash (by check). Dividends and distributions from the Fund may be
invested in shares of any other Calvert Group Fund with no additional sales
charge. You must notify the Fund in writing to change your payment options. If
you elect to have dividends and/or distributions paid in cash, and the U.S.
Postal Service cannot deliver the check, or if it remains uncashed for six
months, it, as well as future dividends and distributions, will be reinvested
in additional shares. No dividends will accrue on amounts represented by
uncashed distribution or redemption checks.
Federal Taxes
In January, the Fund will mail you Form 1099-DIV indicating the federal tax
status of dividends and any capital gain distributions paid to you by the Fund
during the past year. Dividends and distributions are taxable to you
regardless of whether they are taken in cash or reinvested. Dividends,
including short-term capital gains, are taxable as ordinary income.
Distributions from long-term capital gains are taxable as long-term capital
gains, regardless of how long you have owned Fund shares. A portion of the
Fund's dividends may qualify for the dividends received deduction for
corporations.
Other Tax Information
In addition to federal taxes, you may be subject to state or local taxes on
your investment, depending on the laws in your area. You will be notified to
the extent, if any, that dividends reflect interest received from U.S.
government securities. Such dividends may be exempt from certain state income
taxes.
Taxpayer Identification Number
If we do not have your correct Social Security or Taxpayer Identification
Number ("TIN") and a signed certified application or Form W-9, Federal law may
require the Fund to withhold 31% of your dividends. In addition, you may be
subject to a fine. You will also be prohibited from opening another account by
exchange. If this TIN information is not received within 60 days after your
account is established, your account may be redeemed at the current NAV on the
date of redemption. The Fund reserves the right to reject any new account or
any purchase order for failure to supply a certified TIN.
<PAGE>
Prospectus
September 15, 1998
First Variable Rate Fund
CALVERT FIRST GOVERNMENT MONEY MARKET FUND
Institutional Class
To Open an Account:
800-368-2748
Performance and Prices:
Calvert Information Network
24 hours, 7 days a week
800-368-2745
Service for Existing Account:
Shareholders 800-368-2745
Brokers 800-368-2746
TDD for Hearing Impaired:
800-541-1524
Branch Office:
4550 Montgomery Avenue
Suite 1000N
Bethesda, Maryland 20814
Registered, Certified or
Overnight Mail:
Calvert Group
c/o NFDS, 6th Floor
1004 Baltimore
Kansas City, MO 64105
Calvert Group Web-Site
Address: http://www.calvertgroup.com
PRINCIPAL UNDERWRITER
Calvert Distributors, Inc.
4550 Montgomery Avenue
Suite 1000N
Bethesda, Maryland 20814
<PAGE>
First Variable Rate Fund
Calvert First Government Money Market Fund
Statement of Additional Information
March 31, 1998 as revised September 15, 1998
INVESTMENT ADVISOR
Calvert Asset Management Company, Inc.
4550 Montgomery Avenue
Suite 1000N
Bethesda, Maryland 20814
SHAREHOLDER SERVICE TRANSFER AGENT
Calvert Shareholder Services, Inc. National Financial Data Services, Inc.
4550 Montgomery Avenue 1004 Baltimore
Suite 1000N 6th Floor
Bethesda, Maryland 20814 Kansas City, Missouri 64105
PRINCIPAL UNDERWRITER INDEPENDENT ACCOUNTANTS
Calvert Distributors, Inc. Coopers & Lybrand, L.L.P.
4550 Montgomery Avenue 250 West Pratt Street
Suite 1000N Baltimore, Maryland 21201
Bethesda, Maryland 20814
TABLE OF CONTENTS
Investment Objective and Strategy 1
Investment Restrictions 2
Dividends and Distributions 2
Tax Matters 2
Net Asset Value 3
Calculation of Yield 4
Advertising 4
Purchases and Redemption of Shares 5
Trustees and Officers 5
Investment Advisor 8
Transfer and Shareholder Servicing
Agent 8
Portfolio Transactions 9
Independent Accountants and
Custodians 9
Method of Distribution 8
General Information 10
Financial Statements 10
<PAGE>
STATEMENT OF ADDITIONAL INFORMATION-March 31, 1998 as revised September 15,
1998
FIRST VARIABLE RATE FUND:
CALVERT FIRST GOVERNMENT MONEY MARKET FUND
4550 Montgomery Avenue, Suite 1000N, Bethesda, Maryland 20814
New Account (800) 368-2748 Shareholder
Information: (301) 951-4820 Services: (800) 368-2745
Broker (800) 368-2746 TDD for the Hearing-
Services: (301) 951-4850 Impaired: (800) 541-1524
This Statement of Additional Information is not a prospectus.
Investors should read the Statement of Additional Information in conjunction
with the First Variable Rate Fund Calvert First Government Money Market Fund
(the "Fund") Prospectus, dated March 31, 1998 for Classes O, B, and C, and
September 15, 1998 for the Institutional Class, which may be obtained free of
charge by writing or calling the Fund at the telephone numbers listed above.
INVESTMENT OBJECTIVE AND STRATEGY
In pursuing its objective of earning the highest possible yield
consistent with safety, liquidity, and preservation of capital, the Fund
invests solely in debt obligations issued or guaranteed by the United States,
its agencies or instrumentalities, assignments of interest in such
obligations, and commitments to purchase such obligations ("U.S.
Government-backed obligations"). The Fund may invest in U.S. Government-backed
obligations subject to repurchase agreements with recognized securities
dealers and banks.
The Fund engages in repurchase Agreements in order to earn a higher
rate of return than it could earn simply by investing in the obligation which
is the subject of the repurchase agreement. Repurchase agreements are not,
however, without risk. If the seller were to become bankrupt, the Fund might
realize a loss if the value of the underlying security did not equal or exceed
the repurchase price. In order to minimize the risk of investing in repurchase
agreements, the Fund engages in such transactions only with recognized
securities dealers and banks and in all instances holds underlying securities
with a value equal to the total repurchase price such dealer or bank has
agreed to pay. Repurchase agreements are always for periods of less than one
year and no more than 10% of the Fund's assets may be invested in repurchase
agreements not terminable within seven days.
Although all the securities purchased by the Fund are
Government-backed as to principal or secured by such securities, some of the
types of Government securities the Fund buys may be sold at a premium which is
not backed by a Government guarantee. The premiums are amortized over the life
of the security; however, if a security should default or be prepaid, the Fund
could realize as a loss the unamortized portion of such premium.
In the Government-guaranteed loan market, most purchases of new
issues are made under firm (forward) commitment agreements. Purchases of
long-term fixed rate debt securities under such agreements can involve risk of
loss due to changes in the market rate of interest between the commitment date
and the settlement date. Forward commitment agreements for variable rate
securities, unlike such agreements for fixed rate securities, are stable in
value; the Fund's Advisor believes the risk of loss under forward commitment
agreements involving variable rate obligations to be insignificant.
All the Fund's investments maturing in more than one year will have a
variable rate feature under which the yield is adjusted periodically based
upon changes in money market rates such as prime. Such adjustments will be
made at least semi-annually. Variable rate securities minimize the wide
fluctuations in capital value that represent the traditional drawback to such
long-term investments; but this also means that should interest rates decline,
the amount of return paid by the Fund will decline and the Fund will forego
the opportunity of capital appreciation on its portfolio securities.
The foregoing objective and policies may not be altered without the
prior approval of the holders of a majority of the outstanding shares of the
Fund. There is, of course, no assurance that the Fund will be successful in
meeting the above investment objective.
INVESTMENT RESTRICTIONS
The Fund has adopted the following investment restrictions and
fundamental policies. These restrictions cannot be changed without the
approval of the holders of a majority of the outstanding shares of the Fund.
The Fund may not:
(1) Purchase common stocks, preferred stocks, warrants,
other equity securities, corporate bonds or debentures,
state bonds, municipal bonds, or industrial revenue bonds;
(2) Borrow money, except from banks as a temporary measure
for emergency (not leveraging) purposes in an amount not
greater than 25% of the value of the Fund's total assets
(including the amount borrowed) at the time the borrowing is
made. Investment securities will not be purchased while
borrowings are outstanding. Borrowings will only be
undertaken to facilitate the meeting of redemption requests;
(3) Pledge its assets, except to secure borrowing for
temporary or emergency purposes and then only in an amount
up to 25% of its total assets. Although the Fund has the
right to pledge in excess of 10% of the value of its assets,
it will not do so as a matter of operating policy in order
to comply with certain state investment restrictions;
(4) Sell securities short;
(5) Write or purchase put or call options;
(6) Underwrite the securities of other issuers;
(7) Purchase a security which is subject to legal or
contractual restrictions on resale, i.e., restricted
securities;
(8) Purchase or sell real estate investment trust
securities, commodities, or oil and gas interests;
(9) Make loans to others, except for repurchase transactions
(the purchase of a portion of publicly distributed debt
securities is not considered the making of a loan);
(10) Invest in companies for the purpose of exercising
control; or invest in the securities of other investment
companies, except as they may be acquired as part of a
merger, consolidation or acquisition of assets, or in
connection with a trustee's deferred compensation plan.
DIVIDENDS AND DISTRIBUTIONS
Dividends from the Fund's net investment income are declared daily
and paid monthly. Net investment income consists of the interest income earned
on investments (adjusted for amortization of original issue or market discount
or premium), less expenses. Realized and unrealized gains and losses are not
included in net investment income. Net short-term capital gains will be
distributed once each year, although the Fund may distribute them more
frequently if necessary in order to maintain the Fund's net asset value at
$1.00 per share. Distributions of net capital gains, if any, are normally
declared and paid by the Fund once a year; however, the Fund does not intend
to make any such distributions from securities profits unless available loss
carryovers, if any, have been used or have expired. Dividends and
distributions may differ among the classes.
Purchasers of Fund shares begin receiving dividends from the date
federal funds are received by the Fund. Purchases by bank wire received by the
Fund's custodian prior to 12:30 p.m., Eastern time, represent immediately
available federal funds. Shareholders redeeming shares by telephone,
electronic funds transfer or written request will receive dividends through
the date that the redemption request is received; shareholders redeeming
shares by draft will receive dividends up to the date such draft is presented
to the Fund for payment.
TAX MATTERS
In 1997, the Fund did qualify and in 1998, the Fund intends to
qualify as a "regulated investment company" under Subchapter M of the Internal
Revenue Code, as amended. By so qualifying, the Fund will not be subject to
federal income taxes, nor to the federal excise tax imposed by the Tax Reform
Act of 1986, to the extent that it distributes its net investment income and
net capital gains.
Dividends of net investment income and distributions of net
short-term capital gains, whether taken in cash or reinvested in additional
shares, are taxable to shareholders as ordinary income and do not qualify for
the dividends received deduction for corporations. Net long-term capital gain
distributions, if any, will generally be includable as long-term capital gain
in the gross income of shareholders who are citizens or residents of the
United States. Whether such realized securities gains and losses are long-or
short-term depends on the period the securities are held by the Fund, not the
period for which the shareholder holds shares of the Fund.
The Fund is required to withhold 31% of any dividends (including
long-term capital gain dividends, if any) if: (a) the shareholder's social
security number or other taxpayer identification number ("TIN") is not
provided or an obviously incorrect TIN is provided; (b) the shareholder does
not certify under penalties of perjury that the TIN provided is the
shareholder's correct TIN and that the shareholder is not subject to backup
withholding under section 3406(a)(1)(C) of the Internal Revenue Code because
of underreporting; or (c) the Fund is notified by the Internal Revenue Service
that the TIN provided by the shareholder is incorrect or that there has been
underreporting of interest or dividends by the shareholder. Affected
shareholders will receive statements at least annually specifying the amount
of dividends withheld.
Shareholders exempt from backup withholding include: corporations;
financial institutions, tax-exempt organizations; individual retirement plans;
the U.S., a state, the District of Columbia, a U.S. possession, a foreign
government, an international organization, or any political subdivision,
agency or instrumentality of any of the foregoing; U.S. registered commodities
or securities dealers; real estate investment trusts; registered investment
companies; bank common trust funds; certain charitable trusts; and foreign
central banks of issue. Non-resident aliens also are generally not subject to
backup withholding but, along with certain foreign partnerships and foreign
corporations, may instead be subject to withholding under section 1441 of the
Internal Revenue Code. Shareholders claiming exemption from backup withholding
should call or write the Fund for further information.
Many states do not tax the portion of the Fund's dividends which is
derived from interest on U.S. Government obligations. The law of the states
varies concerning the tax status of dividends derived from U.S. Government
obligations. Accordingly, shareholders should consult their tax advisors about
the tax status of dividends and distributions from the Fund in their
respective jurisdictions.
NET ASSET VALUE
The net asset value per share of the Fund, the price at which shares
are redeemed (and, for Class B or C, less any applicable contingent deferred
sales charge, "CDSC"), is computed by dividing the value of the Fund's total
assets, less its liabilities, by the total number of shares outstanding. Net
asset value is calculated separately for each class. It is determined every
business day at the close of the New York Stock Exchange (generally, 4:00 p.m.
Eastern time), and at such other times as may be appropriate or necessary. The
Fund does not determine net asset value on certain national holidays or other
days on which the New York Stock Exchange is closed: New Year's Day, Martin
Luther King Day, Presidents' Day, Good Friday, Memorial Day, Independence Day,
Labor Day, Thanksgiving Day, and Christmas Day.
The Fund's assets, including securities subject to repurchase
agreements, are normally valued at their amortized cost which does not take
into account unrealized capital gains or losses. This involves valuing an
instrument at its cost and thereafter assuming a constant amortization to
maturity of any discount or premium, regardless of the impact of fluctuating
interest rates on the market value of the instrument. While this method
provides certainty in valuation, it may result in periods during which value,
as determined by amortized cost, is higher or lower than the price that would
be received upon sale of the instrument. During periods of declining interest
rates, the daily yield on shares of the Fund may tend to be higher than a like
computation made by a fund with identical investments utilizing a method of
valuation based upon market prices and estimates of market prices for all of
its portfolio instruments. Thus, if the use of amortized cost by the Fund
resulted in a lower aggregate portfolio value on a particular day, a
prospective investor in the Fund would be able to obtain a somewhat higher
yield than would result from investment in a fund utilizing solely market
values, and existing investors in the Fund would receive less investment
income. The converse would apply in a period of rising interest rates.
Rule 2a-7 under the Investment Company Act of 1940 permits the Fund
to value its assets at amortized cost if the Fund maintains a dollar-weighted
average maturity of 90 days or less and only purchases obligations having
remaining maturities of 13 months or less. Rule 2a-7 further requires, as a
condition of its use, that the Fund invest only in obligations determined by
the Trustees to be of high quality with minimal credit risks and requires the
Trustees to establish procedures designed to stabilize, to the extent
reasonably possible, the Fund's price per share as computed for the purpose of
sales and redemptions at $1.00. Such procedures include review of the Fund's
investment holdings by the Trustees, at such intervals as they may deem
appropriate, to determine whether the Fund's net asset value calculated by
using available market quotations or equivalents deviates from $1.00 per
share. If such deviation exceeds l/2 of 1%, the Trustees will promptly
consider what action, if any, will be initiated. In the event the Trustees
determine that a deviation exists which may result in material dilution or
other unfair results to investors or existing shareholders, the Trustees will
take such corrective action as they regard as necessary and appropriate,
including: the sale of portfolio instruments prior to maturity to realize
capital gains or losses or to shorten average portfolio maturity; the
withholding of dividends or payment of distributions from capital or capital
gains; redemptions of shares in kind; or the establishment of a net asset
value per share based upon available market quotations.
Net Asset Value and Offering Price Per Share, December 31, 1997
($232,024,778/232,513,728 shares) $1.00
CALCULATION OF YIELD
Yield is calculated separately by class by dividing the net change
exclusive of capital changes in the value of a share during a particular base
period by the net asset value per share at the beginning of such period and
annualizing the result. Capital changes excluded from the calculation of yield
are: (1) realized gains and losses from the sale of securities, and (2)
unrealized appreciation and depreciation. The Fund's effective yield for a
seven-day period is its annualized compounded average yield during the period,
calculated according to the following formula:
Effective yield = [(Base period return + 1)365/7] - 1
For the seven day period ended December 31, 1997, the Fund's Class O yield was
5.08% and effective yield was 5.21%.
The Fund's yield fluctuates in response to changes in interest rates
and general economic conditions, portfolio quality, portfolio maturity, and
operating expenses. Yield is not fixed or insured and therefore is not
comparable to a savings or other similar type account. Yield during any
particular time period should not be considered an indication of future yield.
It is, however, useful in evaluating the Fund's performance in meeting its
investment objective. No yield is presented for other classes of shares
because no other classes of shares were outstanding as of the fiscal year
ending December 31, 1997.
ADVERTISING
The Fund or its affiliates may provide information such as, but not
limited to, the economy, investment climate, investment principles,
sociological conditions and political ambiance. Discussion may include
hypothetical scenarios or lists of relevant factors designed to aid the
investor in determining whether the Fund is compatible with the investor's
goals. The Fund may list portfolio holdings or give examples or securities
that may have been considered for inclusion in the Fund, whether held or not.
The Fund or its affiliates may supply comparative performance data
and rankings from independent sources such as Donoghue's Money Fund Report,
Bank Rate Monitor, Money, Forbes, Lipper Analytical Services, Inc., CDA
Investment Technologies, Inc., Wiesenberger Investment Companies Service,
Russell 2000/Small Stock Index, Mutual Fund Values Morningstar Ratings, Mutual
Fund Forecaster, Barron's, The Wall Street Journal, and Schabacker Investment
Management, Inc. Such averages generally do not reflect any front- or back-end
sales charges that may be charged by Funds in that grouping. The Fund may also
cite to any source, whether in print or on-line, such as Bloomberg, in order
to acknowledge origin of information. The Fund may compare itself or its
portfolio holdings to other investments, whether or not issued or regulated by
the securities industry, including, but not limited to, certificates of
deposit and Treasury notes. The Fund, its Advisor, and its affiliates reserve
the right to update performance rankings as new rankings become available.
Calvert Group is the nation's leading family of socially responsible
mutual funds, both in terms of socially responsible mutual fund assets under
management, and number of socially responsible mutual fund portfolios offered
(source: Social Investment Forum, November 30, 1997). Calvert Group was also
the first to offer a family of socially responsible mutual fund portfolios.
PURCHASES AND REDEMPTION OF SHARES
Share certificates will not be issued unless requested in writing by
the investor. No charge will be made for share certificate requests. No
certificates will be issued for fractional shares (see Prospectus, "How to
Sell Your Shares"). Certain Class B and C Shares may be subject to a
contingent deferred sales charge which is subtracted from the redemption
proceeds (See Prospectus, "Calculation of Contingent Deferred Sales Charge").
Shareholders wishing to use the draft writing service should complete
the signature card enclosed with the Investment Application. The draft writing
service is not available for Class B and C Shares. The draft writing service
will be subject to the customary rules and regulations governing checking
accounts, and the Fund reserves the right to change or suspend the service.
Generally, there is no charge to you for the maintenance of this service or
the clearance of drafts, but the Fund reserves the right to charge a service
fee for drafts returned for uncollected or insufficient funds, and will charge
$25 for stop payments. As a service to shareholders, the Fund may
automatically transfer the dollar amount necessary to cover drafts you have
written on the Fund to your Fund account from any other of your identically
registered accounts in Calvert money market funds or Calvert Insured Plus. The
Fund may charge a fee for this service.
When a payable through draft is presented to the Custodian for
payment, a sufficient number of full and fractional shares from the
shareholder's account to cover the amount of the draft will be redeemed at the
net asset value next determined. If there are insufficient shares in the
shareholder's account, the draft may be returned. Drafts presented for payment
which would require the redemption of shares purchased by check or electronic
funds transfer within the previous 10 business days may not be honored.
Existing shareholders who at any time desire to arrange for the
telephone redemption procedure, or to change instructions already given, must
send a written notice to Calvert Group, P.O. Box 419544, Kansas City, MO
64141-6544, with a voided copy of a check for the bank wiring instructions to
be added. If a voided check does not accompany the request, then the request
must be signature guaranteed by a commercial bank, savings and loan
association, trust company, member firm of any national securities exchange,
or credit union. Further documentation may be required from corporations,
fiduciaries, and institutional investors.
The right of redemption may be suspended or the date of payment
postponed for any period during which the New York Stock Exchange is closed
(other than customary weekend and holiday closings), when trading on the New
York Stock Exchange is restricted, or an emergency exists, as determined by
the SEC, or if the Commission has ordered such a suspension for the protection
of shareholders. Redemption proceeds are normally mailed or wired the next
business day after a proper redemption request has been received, unless
redemptions have been suspended or postponed as described above.
TRUSTEES AND OFFICERS
RICHARD L. BAIRD, JR., Trustee. Mr. Baird is Executive Vice President
for the Family Health Council, Inc. in Pittsburgh, Pennsylvania, a non-profit
corporation which provides family planning services, nutrition, maternal/child
health care, and various health screening services. Mr. Baird is a
trustee/director of each of the investment companies in the Calvert Group of
Funds, except for Calvert Variable Series, Inc., Calvert New World Fund and
Calvert World Values Fund. DOB: 05/09/48. Address: 211 Overlook Drive,
Pittsburgh, Pennsylvania 15216.
FRANK H. BLATZ, JR., Esq., Trustee. Mr. Blatz is a partner in the law
firm of Snevily, Ely, Williams, Gurrieri & Blatz. He was formerly a partner
with Abrams, Blatz, Gran, Hendricks & Reina, P.A. He is also a director of
Calvert Variable Series, Inc. DOB: 10/29/35. Address: 308 East Broad Street,
Westfield, New Jersey 07091.
FREDERICK T. BORTS, M.D., Trustee. Dr. Borts is a radiologist with
Kaiser Permanente. Prior to that, he was a radiologist at Bethlehem Medical
Imaging in Allentown, Pennsylvania. DOB: 07/23/49. Address: 16 Iliahi Street,
Honolulu, Hawaii, 96817.
*CHARLES E. DIEHL, Trustee. Mr. Diehl is Vice President and Treasurer
Emeritus of the George Washington University, and has retired from University
Support Services, Inc. of Herndon, Virginia. He is also a Director of Acacia
Mutual Life Insurance Company. DOB: 10/13/22. Address: 1658 Quail Hollow
Court, McLean, Virginia 22101.
DOUGLAS E. FELDMAN, M.D., Trustee. Dr. Feldman practices head and
neck reconstructive surgery in the Washington, D.C., metropolitan area. DOD:
05/23/48. Address: 7536 Pepperell Drive, Bethesda, Maryland 20817.
PETER W. GAVIAN, CFA, Trustee. Mr. Gavian is President of Corporate
Finance of Washington, Inc. Formerly, he was a principal of Gavian De Vaux
Associates, an investment banking firm. DOB: 12/08/32. Address: 3005 Franklin
Road North, Arlington, Virginia 22201.
JOHN G. GUFFEY, JR., Trustee. Mr. Guffey is chairman of the Calvert
Social Investment Foundation, organizing director of the Community Capital
Bank in Brooklyn, New York, and a financial consultant to various
organizations. In addition, he is a director of the Community Bankers Mutual
Fund of Denver, Colorado, a director of Ariel Funds, and the Treasurer and
Director of Silby, Guffey, and Co., Inc., a venture capital firm. Mr. Guffey
is a trustee/director of each of the other investment companies in the Calvert
Group of Funds, except for Calvert Variable Series, Inc. and Calvert New World
Fund. DOB: 05/15/48. Address: 7205 Pomander Lane, Chevy Chase, Maryland 20815.
*BARBARA J. KRUMSIEK, President and Trustee. Ms. Krumsiek serves as
President, Chief Executive Officer and Vice Chairman of Calvert Group, Ltd.
and as an officer and director of each of its affiliated companies. She is a
director of Calvert-Sloan Advisers, L.L.C., and a trustee/director of each of
the investment companies in the Calvert Group of Funds. Prior to joining
Calvert Group, Ms. Krumsiek served as Senior Vice President of Alliance
Capital LP's Mutual Fund Division. DOB: 08/09/52.
M. CHARITO KRUVANT, Trustee. Ms. Kruvant is President and CEO of
Creative Associates International, Inc., a firm that specializes in human
resources development, information management, public affairs and private
enterprise development. She is also a director of Acacia Federal Savings Bank.
DOB: 12/08/45. Address: 5301 Wisconsin Avenue, N.W., Washington, D.C. 20015.
ARTHUR J. PUGH, Trustee. Mr. Pugh is a Director of Calvert Variable
Series, Inc., and serves as a director of Acacia Federal Savings Bank. DOB:
09/24/37. Address: 4823 Prestwick Drive, Fairfax, Virginia 22030.
*DAVID R. ROCHAT, Senior Vice President and Trustee. Mr. Rochat is
Executive Vice President of Calvert Asset Management Company, Inc., Director
and Secretary of Grady, Berwald and Co., Inc., and Director and President of
Chelsea Securities, Inc. DOB: 10/07/37. Address: Box 93, Chelsea, Vermont
05038.
*D. WAYNE SILBY, Esq., Trustee. Mr. Silby is a trustee/director of
each of the investment companies in the Calvert Group of Funds, except for
Calvert Variable Series, Inc. and Calvert New World Fund. Mr. Silby is
Executive Chairman of GroupServe, an internet company focused on community
building collaborative tools, and an officer, director and shareholder of
Silby, Guffey & Company, Inc., which serves as general partner of Calvert
Social Venture Partners ("CSVP"). CSVP is a venture capital firm investing in
socially responsible small companies. He is also a Director of Acacia Mutual
Life Insurance Company. DOB: 07/20/48. Address: 1715 18th Street, N.W.,
Washington, D.C. 20009.
RENO J. MARTINI, Senior Vice President. Mr. Martini is a director and
Senior Vice President of Calvert Group, Ltd., and Senior Vice President and
Chief Investment Officer of Calvert Asset Management Company, Inc. Mr. Martini
is also a director and President of Calvert-Sloan Advisers, L.L.C., and a
director and officer of Calvert New World Fund. DOB: 1/13/50.
RONALD M. WOLFSHEIMER, CPA, Treasurer. Mr. Wolfsheimer is Senior Vice
President and Chief Financial Officer of Calvert Group, Ltd. and its
subsidiaries and an officer of each of the other investment companies in the
Calvert Group of Funds. Mr. Wolfsheimer is Vice President and Treasurer of
Calvert-Sloan Advisers, L.L.C., and a director of Calvert Distributors, Inc.
DOB: 07/24/47.
WILLIAM M. TARTIKOFF, Esq., Vice President and Secretary. Mr.
Tartikoff is an officer of each of the investment companies in the Calvert
Group of Funds, and is Senior Vice President, Secretary, and General Counsel
of Calvert Group, Ltd., and each of its subsidiaries. Mr. Tartikoff is also
Vice President and Secretary of Calvert-Sloan Advisers, L.L.C., a director of
Calvert Distributors, Inc., and is an officer of Acacia National Life
Insurance Company. DOB: 08/12/47.
DANIEL K. HAYES, Vice President. Mr. Hayes is Vice President of
Calvert Asset Management Company, Inc., and is an officer of each of the other
investment companies in the Calvert Group of Funds, except for Calvert New
World Fund, Inc. DOB: 09/09/50.
SUSAN WALKER BENDER, Esq., Assistant Secretary. Ms. Bender is
Associate General Counsel of Calvert Group, Ltd. and an officer of each of its
subsidiaries and Calvert-Sloan Advisers, L.L.C. She is also an officer of each
of the other investment companies in the Calvert Group of Funds. DOB: 01/29/59.
KATHERINE STONER, Esq., Assistant Secretary. Ms. Stoner is Associate
General Counsel of Calvert Group and an officer of each of its subsidiaries
and Calvert-Sloan Advisers, L.L.C. She is also an officer of each of the other
investment companies in the Calvert Group of Funds. DOB: 10/21/56.
LISA CROSSLEY NEWTON, Esq., Assistant Secretary and Compliance
Officer. Ms. Newton is Associate General Counsel of Calvert Group and an
officer of each of its subsidiaries and Calvert-Sloan Advisers, L.L.C. She is
also an officer of each of the other investment companies in the Calvert Group
of Funds. DOB: 12/31/61.
IVY WAFFORD DUKE, Esq., Assistant Secretary. Ms. Duke is Assistant
Counsel of Calvert Group and an officer of each of its subsidiaries and
Calvert-Sloan Advisers, L.L.C. She is also an officer of each of the other
investment companies in the Calvert Group of Funds. Prior to working at
Calvert Group, Ms. Duke was an Associate in the Investment Management Group of
the Business and Finance Department at Drinker Biddle & Reath. DOB: 09/07/68.
The address of Trustees and Officers, unless otherwise noted, is 4550
Montgomery Avenue, Suite 1000N, Bethesda, Maryland 20814. Trustees and
Officers as a group own less than 1% of the Portfolio's outstanding shares.
Trustees marked with an *, above, are "interested persons" of the Fund, under
the Investment Company Act of 1940.
Each of the above named trustees and officers is a trustee or officer
of each of the investment companies in the Calvert Group of Funds with the
exception of Calvert Social Investment Fund, of which only Messrs. Baird,
Guffey and Silby and Ms. Krumsiek are among the Trustees, Calvert Variable
Series, Inc., of which only Messrs. Blatz, Diehl and Pugh and Ms. Krumsiek are
among the Directors, Calvert World Values Fund, Inc., of which only Messrs.
Guffey and Silby and Ms. Krumsiek are among the Directors, and Calvert New
World Fund, Inc., of which only and Ms. Krumsiek and Mr. Martini are among the
Directors.
The Board's Audit Committee is composed of Messrs. Baird, Blatz,
Feldman, Guffey and Pugh. The Investment Policy Committee is composed of
Messrs. Borts, Diehl, Gavian, Rochat and Silby.
During fiscal 1997, trustees of the Fund not affiliated with the
Fund's Advisor were paid $32,992. Trustees of the Fund not affiliated with the
Advisor presently receive an annual fee of $20,500 for service as a member of
the Board of Trustees of the Calvert Group of Funds, and a fee of $750 to
$1,500 for each regular Board or Committee meeting attended; such fees are
allocated among the respective Funds on the basis of net assets.
Trustees of the Fund not affiliated with the Fund's Advisor may elect
to defer receipt of all or a percentage of their fees and invest them in any
fund in the Calvert Family of Funds through the Trustees Deferred Compensation
Plan (shown as "Pension or Retirement Benefits Accrued as part of Fund
Expenses," below). Deferral of the fees is designed to maintain the parties in
the same position as if the fees were paid on a current basis. Management
believes this will have a negligible effect on the Fund's assets, liabilities,
net assets, and net income per share, and will ensure that there is no
duplication of advisory fees.
Trustee Compensation Table
Fiscal Year 1997 Aggregate Pension or Total
(unaudited numbers) Compensation Retirement Compensation
from Benefits from
Registrant Accrued as part Registrant
for Service of Registrant and Fund
as Trustee Expenses* Complex paid
Name of Trustee to Trustee**
Richard L. Baird, Jr. $2,418 $0 $34,450
Frank H. Blatz, Jr. $3,076 $3,076 $46,000
Frederick T. Borts $2,323 $0 $32,500
Charles E. Diehl $2,968 $2,968 $44,500
Douglas E. Feldman $2,318 $0 $32,500
Peter W. Gavian $1,488 $1,259 $38,500
John G. Guffey, Jr. $3,019 $0 $61,615
M. Charito Kruvant $2,588 $0 $36,250
Arthur J. Pugh $3,129 $104 $48,250
D. Wayne Silby $2,480 $0 $62,830
*Messrs. Blatz, Diehl, Gavian and Pugh have chosen to defer a portion of their
compensation. As of December 31, 1997, total deferred compensation, including
dividends and capital appreciation, was $555,901.79, $545,259.10, $137,436.70
and $187,735.55, for each trustee, respectively.
**As of December 31, 1997. The Fund Complex consists of nine (9) registered
investment companies.
INVESTMENT ADVISOR
The Fund's Investment Advisor is Calvert Asset Management Company,
Inc., 4550 Montgomery Avenue, Suite 1000N, Bethesda, Maryland 20814, a
subsidiary of Calvert Group, Ltd., which is a subsidiary of Acacia Mutual Life
Insurance Company of Washington, D.C.
The Advisory Contract (the "Contract") between the Fund and the
Advisor will remain in effect indefinitely, provided continuance is approved
at least annually by the vote of the holders of a majority of the outstanding
shares of the Fund or by the Board of Trustees of the Fund; and further
provided that such continuance is also approved annually by the vote of a
majority of the Trustees of the Fund who are not parties to the Contract,
interested persons of parties to the Contract, or interested persons of such
parties, cast in person at a meeting called for the purpose of voting on such
approval. The Contract may be terminated without penalty by either party upon
60 days' prior written notice; it automatically terminates in the event of its
assignment.
Under the Contract, the Advisor provides investment advice to the
fund and oversees its day-to-day operations, subject to direction and control
by the Fund's Board of Trustees. For its services, effective with the
commencement of the Institutional Class (approximately September 1998), the
Advisor receives a fee of 0.25% of the first $500 million of the average daily
net assets of the Fund, 0.225% of the next $400 million of such assets, 0.20%
of the next $400 million of such assets, 0.175% of the next $700 million of
such assets, and 0.15% on all assets in excess of $2 billion. Such fee is
payable monthly.
The Advisor provides the Fund with investment advice and research,
pays the salaries and fees of all Trustees and executive officers of the Fund
who are principals of the Advisor, and pays certain Fund advertising and
promotional expenses. The Fund pays all other administrative and operating
expenses, including: custodial fees; shareholder servicing, dividend
disbursing and transfer agency fees; administrative service fees; federal and
state securities registration fees; insurance premiums; trade association
dues; interest, taxes and other business fees; legal and audit fees; and
brokerage commissions and other costs associated with the purchase and sale of
portfolio securities. However, the Advisor has agreed to reimburse the Fund
for all expenses (excluding brokerage, taxes, interest, and extraordinary
items) exceeding, on a pro rata basis, 1% of the Fund's average daily net
assets.
The advisory fees paid to the Advisor under the Advisory Contract for
the 1995, 1996, and 1997 fiscal years were $1,182,171, $1,238,849 and
$1,206,618, respectively. No expense reimbursements have been required under
the Contract.
ADMINISTRATIVE SERVICES
Calvert Administrative Services Company ("CASC"), a wholly-owned
subsidiary of Calvert Group, Ltd., has been retained by the Fund to provide
certain administrative services necessary to the conduct of the Fund's
affairs. Such services include the preparation of corporate and regulatory
reports and filings, portfolio accounting, and the daily determination of net
investment income and net asset value per share. Effective with the
commencement of the Institutional Class (approximately September 1998),
Classes O, B, and C pay an annual rate of 0.25%, while the Institutional Class
pays an annual rates of 0.05%, based on average daily net assets. There were
no administrative services fees paid by the Fund in the 1997 fiscal year.
TRANSFER AND SHAREHOLDER SERVICING AGENT
National Financial Data Services, Inc. ("NFDS"), a subsidiary of
State Street Bank & Trust, has been retained by the Fund to act as transfer
agent and dividend disbursing agent. These responsibilities include:
responding to certain shareholder inquiries and instructions, crediting and
debiting shareholder accounts for purchases and redemptions of Fund shares and
confirming such transactions, and daily updating of shareholder accounts to
reflect declaration and payment of dividends.
Calvert Shareholder Services, Inc. ("CSSI"), a subsidiary of Calvert
Group, Ltd., and Acacia Mutual, has been retained by the Fund to act as
shareholder servicing agent. Shareholder servicing responsibilities include
responding to shareholder inquiries and instructions concerning their
accounts, entering any telephoned purchases or redemptions into the NFDS
system, maintenance of broker-dealer data, and preparing and distributing
statements to shareholders regarding their accounts. Calvert Shareholder
Services, Inc. was the sole transfer agent prior to January 1, 1998.
For its fiscal years ended December 31, 1995, 1996, and 1997, the
Fund paid Calvert Shareholder Services, Inc. fees of $556,450, $561,279 and
$447,044, respectively.
PORTFOLIO TRANSACTIONS
Portfolio transactions are undertaken on the basis of their
desirability from an investment standpoint. Investment decisions and choice of
brokers and dealers are made by the Fund's Advisor under the direction and
supervision of the Fund's Board of Trustees.
It is intended that all securities maturing in more than one year
will be held to maturity. Sales of securities to facilitate the redemption of
Fund shares is contemplated, but such sales will be primarily from the
short-term instruments in the Fund's portfolio on which brokerage charges, if
any, are minimal. The Fund anticipates that its portfolio turnover rate with
respect to securities with maturities in excess of one year will be no more
than 5%.
Broker-dealers who execute portfolio transactions on behalf of the
Fund are selected on the basis of their professional capability and the value
and quality of their services. The Advisor reserves the right to place orders
for the purchase of sale of portfolio securities with dealers who provide it
with statistical, research, or other information and services. Although any
statistical, research, or other information and services provided by dealers
may be useful to the Advisor, the dollar value of such information is
generally indeterminable, and its availability or receipt does not serve to
materially reduce the Advisor's normal research activities or expenses. No
brokerage commissions have been paid to any broker-dealer that provided the
Fund's Advisor with research or other services.
The Advisor may also execute portfolio transactions with or through
broker-dealers who have sold shares of the Fund. However, such sales will not
be a qualifying or disqualifying factor in a broker-dealer's selection nor
will the selection of any broker-dealer be based on the volume of Fund shares
sold. The Advisor may compensate, at its expense, such broker-dealers in
consideration of their promotional and administrative services.
INDEPENDENT ACCOUNTANTS AND CUSTODIANS
Coopers & Lybrand, L.L.P., has been selected by the Board of Trustees
to serve as independent accountants for fiscal year 1998. State Street Bank &
Trust Company, N.A., 225 Franklin Street, Boston, Massachusetts 02110,
currently serves as custodian of the Portfolio's investments. First National
Bank of Maryland, 25 South Charles Street, Baltimore, Maryland 21203 also
serves as custodian of certain of the Portfolio's cash assets. Neither
custodian has any part in deciding the Portfolio's investment policies or the
choice of securities that are to be purchased or sold for the Portfolio.
METHOD OF DISTRIBUTION
The Fund has entered into an agreement with Calvert Distributors,
Inc. ("CDI") whereby CDI, acting as principal underwriter for the Fund, makes
a continuous offering of the Fund's securities on a "best efforts" basis.
Under the terms of the agreement, CDI is entitled to receive a distribution
fee from the Fund paid through the Distribution Plans of Class B and C. Class
O and the Institutional Class have no Distribution Plan. For Class B and Class
C shares, CDI receives any CDSC paid.
Pursuant to Rule 12b-1 under the 1940 Act, Class B and Class C have
adopted Distribution Plans (the "Plans") which permit them to pay certain
expenses associated with the distribution and servicing of its shares. Such
expenses may not exceed, on an annual basis, 1.00% of the average daily net
assets of Class B and Class C, respectively.
The Distribution Plans were approved by the Board of Trustees,
including the Trustees who are not "interested persons" of the Fund (as that
term is defined in the 1940 Act) and who have no direct or indirect financial
interest in the operation of the Plans or in any agreements related to the
Plans. The selection and nomination of the Trustees who are not interested
persons of the Fund is committed to the discretion of such disinterested
Trustees. In establishing the Plans, the Trustees considered various factors
including the amount of the distribution expenses. The Trustees determined
that there is a reasonable likelihood that the Plans will benefit the affected
Class and its shareholders.
The Plans may be terminated by vote of a majority of the
non-interested Trustees who have no direct or indirect financial interest in
the Plans, or by vote of a majority of the outstanding shares of the affected
class or Portfolio. Any change in the Plans that would materially increase the
cost to the affected Class of Portfolio requires approval of the shareholders
of that class; otherwise, the Plans may be amended by the Trustees, including
a majority of the non-interested Trustees as described above. The Plans will
continue in effect for successive one-year terms provided that such
continuance is specifically approved by (i) the vote of a majority of the
Trustees who are not parties to the Plans or interested persons of any such
party and who have no direct or indirect financial interest in the Plans, and
(ii) the vote of a majority of the entire Board of Trustees.
Apart from the Plans, the Advisor and CDI, at their own expense, may
incur costs and pay expenses associated with the distribution of shares of the
Portfolio.
Certain broker-dealers, and/or other persons may receive compensation
from the investment advisor, underwriter, or their affiliates for the sale and
distribution of the securities or for services to the Portfolio. Such
compensation may include additional compensation based on assets held through
that firm beyond the regularly scheduled rates, and finder's fees payments to
firms whose representatives are responsible for soliciting a new account where
the accountholder does not choose to purchase through that firm.
GENERAL INFORMATION
The Fund is organized as a Massachusetts business trust, and has one
series, the Calvert First Government Money Market Fund which was known as
First Variable Rate Fund prior to September 1, 1991. The Fund's Declaration of
Trust contains an express disclaimer of shareholder liability for acts or
obligations of the Fund. The shareholders of Massachusetts business trust
might, however, under certain circumstances, be held personally liable as
partners for its obligations. The Declaration of Trust provides for
indemnification and reimbursement of expenses out of Fund assets for any
shareholder held personally liable for obligations of the Fund. The
Declaration of Trust provides that the Fund shall, upon request, assume the
defense of any claim made against any shareholder for any act or obligation of
the Fund and satisfy any judgment thereon. The Declaration of Trust further
provides that the Fund may maintain appropriate insurance (for example,
fidelity bonding and errors and omissions insurance) for the protection of the
Fund, its shareholders, trustees, officers, employees and agents to cover
possible tort and other liabilities. Thus, the risk of a shareholder incurring
financial loss on account of shareholder liability is limited to circumstances
in which both inadequate insurance exists and the Fund itself is unable to
meet its obligations.
The Fund offers four separate classes of shares: Class O, Class B,
Class C (offered in one prospectus), and the Institutional Class (offered in a
separate prospectus). The classes represent interests in the same portfolio of
investments but, as further described in the prospectuses, each class may be
subject to differing sales charges and expenses, which will result in
different dividends and distributions. Upon any liquidation of the Fund,
shareholders of each class are entitled to share pro rata in the net assets
available for distribution.
The Fund will send its shareholders periodic transaction statements
and unaudited semi-annual and audited annual financial statements of the
Fund's investment securities, assets and liabilities, income and expenses, and
changes in net assets.
The Prospectuses and this Statement of Additional Information do not
contain all the information in the Fund's registration statement. The
registration statement is on file with the Securities and Exchange Commission
and is available to the public.
FINANCIAL STATEMENTS
The audited financial statements included in the Fund's Annual Report to
Shareholders dated December 31, 1997 are expressly incorporated by reference
and made a part of this Statement of Additional Information. A copy of the
Annual Report may be obtained free of charge by writing or calling the Fund.
<PAGE>
PART C. OTHER INFORMATION
Item 24. Financial Statements and Exhibits
(a) Financial statements
Financial statements incorporated by reference to:
Registrant's audited Annual Report to Shareholders of Calvert First
Government Money Market Fund, dated December 31, 1997, and filed
March 9, 1998.
Schedules II-VII, inclusive, for which provision is made in the
applicable accounting regulation of the Securities and Exchange Commission,
are omitted because they are not required under the related instructions, or
they are inapplicable, or the required information is presented in the
financial statements or notes thereto.
(b) Exhibits:
1. Declaration of Trust (incorporated by reference to Registrant's
Post-Effective Amendment No. 11, May 1, 1984).
2. By-Laws (incorporated by reference to Registrant's
Post-Effective Amendment No. 11, May 1, 1984).
4. Specimen Stock Certificate, (incorporated by reference to
Registrant's Post-Effective Amendment No. 19, April 30, 1992).
5. Advisory Contract (incorporated by reference to Registrant's
Post-Effective Amendment No. 11, May 1, 1984).
6. Underwriting and Dealer Agreement, (incorporated by reference to
Registrant's Post-Effective Amendment No. 35, March 31, 1998).
7. Trustees' Deferred Compensation Agreement, (incorporated by
reference to Registrant's Post-Effective Amendment No. 19, April
30, 1992).
8. Custodial Contract, (incorporated by reference to Registrant's
Post-Effective Amendment No. 35, March 31, 1998).
9. Transfer Agency Contract, (incorporated by reference to
Registrant's Post-Effective Amendment No. 35, March 31, 1998).
10. Opinion and Consent of Counsel as to Legality of
Shares Being Registered.
12. Retirement Plans Calvert First Government Money Market
Fund only (incorporated by reference to Registrant's Post-Effective
Amendment No. 19, April 30, 1992, and incorporated by reference
to Registrant's Post-Effective Amendment No.16, April 28, 1989).
15. Plan of Distribution, (incorporated by reference to Registrant's
Post-Effective Amendment No. 35, March 31, 1998).
16. Schedule for Computation of Performance Quotation (incorporated
by reference to Registrant's Post-Effective Amendment No. 15, April
30, 1988).
18. Multiple-class Plan under the Investment Company Act of 1940
Rule 18f-3, filed herewith.
Exhibits 3, 11, 13, 14, and 17 are omitted because they are
inapplicable.
Item 25. Persons Controlled By or Under Common Control With Registrant
Not Applicable.
Item 26. Number of Holders of Securities
As of August 25, 1998, there were 12,179 holders of record of
Registrant's Class O shares of beneficial interest for Calvert First
Government Money Market Fund.
As of August 25, 1998, there were 9 holders of record of
Registrant's Class B shares of beneficial interest for Calvert First
Government Money Market Fund.
As of August 25, 1998, there were 18 holders of record of
Registrant's Class C shares of beneficial interest for Calvert First
Government Money Market Fund.
Item 27. Indemnification
Registrant's Declaration of Trust, which Declaration is Exhibit
1 of this Registration Statement, provides, in summary, that officers,
trustees, employees, and agents shall be indemnified by Registrant
against liabilities and expenses incurred by such persons in connection
with actions, suits, or proceedings arising out of their offices or
duties of employment, except that no indemnification can be made to such
a person if he has been adjudged liable of willful misfeasance, bad
faith, gross negligence, or reckless disregard of his duties. In the
absence of such an adjudication, the determination of eligibility for
indemnification shall be made by independent counsel in a written
opinion or by the vote of a majority of a quorum of trustees who are
neither "interested persons" of Registrant, as that term is defined in
Section 2(a)(19) of the Investment Company Act of 1940, nor parties to
the proceeding.
Registrant's Declaration of Trust also provides that Registrant
may purchase and maintain liability insurance on behalf of any officer,
trustee, employee or agent against any liabilities arising from such
status. In this regard, Registrant maintains a Directors & Officers
(Partners) Liability Insurance Policy with Chubb Group of Insurance
Companies, 15 Mountain View Road, Warren, New Jersey 07061, providing
Registrant with $5 million in directors and officers liability coverage,
plus $3 million in excess directors and officers liability coverage for
the independent trustees/directors only. Registrant also maintains an
$8 million Investment Company Blanket Bond issued by ICI Mutual
Insurance Company, P.O. Box 730, Burlington, Vermont, 05402.
Item 28. Business and Other Connections of Investment Adviser
Name of Company, Principal
Name Business and Address Capacity
Barbara J. Krumsiek Acacia Capital Corporation Officer
Calvert Municipal Fund, Inc. and
Calvert World Values Fund, Inc. Director
Investment Companies
4550 Montgomery Avenue
Bethesda, Maryland 20814
----------------
First Variable Rate Fund for Officer
Government Income and
Calvert Tax-Free Reserves Trustee
Calvert Social Investment Fund
Calvert Cash Reserves
The Calvert Fund
Investment Companies
4550 Montgomery Avenue
Bethesda, Maryland 20814
----------------
Calvert Asset Management Co., Inc. Officer
Investment Advisor and
4550 Montgomery Avenue Director
Bethesda, Maryland 20814
----------------
Calvert Group, Ltd. Officer
Holding Company and
4550 Montgomery Avenue Director
Bethesda, Maryland 20814
----------------
Calvert Shareholder Services, Inc. Officer
Transfer Agent and
4550 Montgomery Avenue Director
Bethesda, Maryland 20814
---------------
Calvert Administrative Services Co. Officer
Service Company and
4550 Montgomery Avenue Director
Bethesda, Maryland 20814
---------------
Calvert Distributors, Inc. Officer
Broker-Dealer and
4550 Montgomery Avenue Director
Bethesda, Maryland 20814
---------------
Calvert-Sloan Advisers, LLC Director
Investment Advisor
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
Calvert New World Fund, Inc. Director
Investment Company
4550 Montgomery Avenue
Bethesda, Maryland 20814
--------------
Alliance Capital Mgmt. L.P. Sr. Vice President
Mutual Fund Division Director
1345 Avenue of the Americas
New York, NY 10105
--------------
Ronald M. Wolfsheimer First Variable Rate Fund Officer
for Government Income
Calvert Tax-Free Reserves
Calvert Cash Reserves
Calvert Social Investment Fund
The Calvert Fund
Acacia Capital Corporation
Calvert Municipal Fund, Inc.
Calvert World Values Fund, Inc.
Calvert New World Fund, Inc.
Investment Companies
4550 Montgomery Avenue
Bethesda, Maryland 20814
--------------
Calvert Asset Management Co., Inc. Officer
Investment Advisor
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
Calvert Group, Ltd. Officer
Holding Company
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
Calvert Shareholder Services, Inc. Officer
Transfer Agent
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
Calvert Administrative Services Co. Officer
Service Company and
4550 Montgomery Avenue Director
Bethesda, Maryland 20814
---------------
Calvert Distributors, Inc. Director
Broker-Dealer and
4550 Montgomery Avenue Officer
Bethesda, Maryland 20814
---------------
Calvert-Sloan Advisers, LLC Officer
Investment Advisor
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
David R. Rochat First Variable Rate Fund Officer
for Government Income and
Calvert Tax-Free Reserves Trustee
Calvert Cash Reserves
The Calvert Fund
Investment Companies
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
Calvert Municipal Fund, Inc. Officer
Investment Company and
4550 Montgomery Avenue Director
Bethesda, Maryland 20814
---------------
Calvert Asset Management Co., Inc. Officer
Investment Advisor and
4550 Montgomery Avenue Director
Bethesda, Maryland 20814
---------------
Chelsea Securities, Inc. Officer
Securities Firm and
Post Office Box 93 Director
Chelsea, Vermont 05038
---------------
Grady, Berwald & Co. Officer
Holding Company and
43A South Finley Avenue Director
Basking Ridge, NJ 07920
---------------
Reno J. Martini Calvert Asset Management Co., Inc. Officer
Investment Advisor
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
Calvert Group, Ltd. Officer
Holding Company
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
First Variable Rate Fund Officer
for Government Income
Calvert Tax-Free Reserves
Calvert Cash Reserves
Calvert Social Investment Fund
The Calvert Fund
Acacia Capital Corporation
Calvert Municipal Fund, Inc.
Calvert World Values Fund, Inc.
Investment Companies
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
Calvert New World Fund, Inc. Director
Investment Company and
4550 Montgomery Avenue Officer
Bethesda, Maryland 20814
---------------
Calvert-Sloan Advisers, LLC Director
Investment Advisor and
4550 Montgomery Avenue Officer
Bethesda, Maryland 20814
---------------
Charles T. Nason Acacia Mutual Life Insurance Officer
Acacia National Life Insurance and Director
Insurance Companies
7315 Wisconsin Avenue
Bethesda, Maryland 20814
---------------
Acacia Financial Corporation Officer
Holding Company and
7315 Wisconsin Avenue Director
Bethesda, Maryland 20814
---------------
Gardner Montgomery Company Director
Tax Return Preparation Services
7315 Wisconsin Avenue
Bethesda, Maryland 20814
----------------
Acacia Federal Savings Bank Director
Savings Bank
7600-B Leesburg Pike
Falls Church, Virginia 22043
---------------
Enterprise Resources, Inc. Director
Business Support Services
7315 Wisconsin Avenue
Bethesda, Maryland 20814
---------------
Acacia Insurance Management Officer
Services Corporation and
Service Corporation Director
7315 Wisconsin Avenue
Bethesda, Maryland 20814
---------------
Calvert Group, Ltd. Director
Holding Company
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
Calvert Administrative Services Co. Director
Service Company
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
Calvert Asset Management Co., Inc. Director
Investment Advisor
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
Calvert Shareholder Services, Inc. Director
Transfer Agent
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
Calvert Social Investment Fund Trustee
Investment Company
4550 Montgomery Avenue
Bethesda, Maryland 20814
-----------------
The Advisors Group, Inc. Director
Broker-Dealer and
Investment Advisor
7315 Wisconsin Avenue
Bethesda, Maryland 20814
---------------
Robert-John H. Acacia National Life Insurance Officer
Sands Insurance Company and
7315 Wisconsin Avenue Director
Bethesda, Maryland 20814
----------------
Acacia Mutual Life Insurance Officer
Insurance Company
7315 Wisconsin Avenue
Bethesda, Maryland 20814
----------------
Acacia Financial Corporation Officer
Holding Company and
7315 Wisconsin Avenue Director
Bethesda, Maryland 20814
----------------
Acacia Federal Savings Bank Officer
Savings Bank
7600-B Leesburg Pike
Falls Church, Virginia 22043
---------------
Enterprise Resources, Inc. Director
Business Support Services
7315 Wisconsin Avenue
Bethesda, Maryland 20814
---------------
Acacia Realty Corporation Officer
Real Estate Investments
7315 Wisconsin Avenue
Bethesda, Maryland 20814
---------------
Acacia Insurance Management Officer
Services Corporation and
Service Corporation Director
7315 Wisconsin Avenue
Bethesda, Maryland 20814
---------------
Gardner Montgomery Company Officer
Tax Return and
Preparation Services Director
7315 Wisconsin Avenue
Bethesda, Maryland 20814
----------------
The Advisors Group, Inc. Director
Broker-Dealer and
Investment Advisor
7315 Wisconsin Avenue
Bethesda, Maryland 20814
---------------
Calvert Group, Ltd. Director
Holding Company
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
Calvert Administrative Services Co. Director
Service Company
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
Calvert Asset Management, Co., Inc. Director
Investment Advisor
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
Calvert Shareholder Services, Inc. Director
Transfer Agent
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
William M. Tartikoff Acacia National Life Insurance Officer
Insurance Company
7315 Wisconsin Avenue
Bethesda, Maryland 20814
----------------
First Variable Rate Fund for Officer
Government Income
Calvert Tax-Free Reserves
Calvert Cash Reserves
Calvert Social Investment Fund
The Calvert Fund
Acacia Capital Corporation
Calvert Municipal Fund, Inc.
Calvert World Values Fund, Inc.
Calvert New World Fund, Inc.
Investment Companies
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
Calvert Group, Ltd. Officer
Holding Company
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
Calvert Administrative Officer
Services Company
Service Company
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
Calvert Asset Management Co. Inc. Officer
Investment Advisor
4550 Montgomery Avenue
Bethesda, Maryland 20814
----------------
Calvert Shareholder Services, Inc. Officer
Transfer Agent
4550 Montgomery Avenue
Bethesda, Maryland 20814
----------------
Calvert Distributors, Inc. Director
Broker-Dealer and
4550 Montgomery Avenue Officer
Bethesda, Maryland 20814
----------------
Calvert-Sloan Advisers, LLC Officer
Investment Advisor
4550 Montgomery Avenue
Bethesda, Maryland 20814
----------------
Susan Walker Bender Calvert Group, Ltd. Officer
Holding Company
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
Calvert Administrative Services Co. Officer
Service Company
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
Calvert Asset Management Co., Inc. Officer
Investment Advisor
4550 Montgomery Avenue
Bethesda, Maryland 20814
----------------
Calvert Shareholder Services, Inc. Officer
Transfer Agent
4550 Montgomery Avenue
Bethesda, Maryland 20814
----------------
Calvert Distributors, Inc. Officer
Broker-Dealer
4550 Montgomery Avenue
Bethesda, Maryland 20814
----------------
Calvert-Sloan Advisers, LLC Officer
Investment Advisor
4550 Montgomery Avenue
Bethesda, Maryland 20814
----------------
First Variable Rate Fund for Officer
Government Income
Calvert Tax-Free Reserves
Calvert Cash Reserves
Calvert Social Investment Fund
The Calvert Fund
Acacia Capital Corporation
Calvert Municipal Fund, Inc.
Calvert World Values Fund, Inc.
Calvert New World Fund, Inc.
Investment Companies
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
Katherine Stoner Calvert Group, Ltd. Officer
Holding Company
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
Calvert Administrative Services Co. Officer
Service Company
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
Calvert Asset Management Co., Inc. Officer
Investment Advisor
4550 Montgomery Avenue
Bethesda, Maryland 20814
----------------
Calvert Shareholder Services, Inc. Officer
Transfer Agent
4550 Montgomery Avenue
Bethesda, Maryland 20814
----------------
Calvert Distributors, Inc. Officer
Broker-Dealer
4550 Montgomery Avenue
Bethesda, Maryland 20814
----------------
Calvert-Sloan Advisers, LLC Officer
Investment Advisor
4550 Montgomery Avenue
Bethesda, Maryland 20814
----------------
First Variable Rate Fund for Officer
Government Income
Calvert Tax-Free Reserves
Calvert Cash Reserves
Calvert Social Investment Fund
The Calvert Fund
Acacia Capital Corporation
Calvert Municipal Fund, Inc.
Calvert World Values Fund, Inc.
Calvert New World Fund, Inc.
Investment Companies
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
Lisa Crossley Newton Calvert Group, Ltd. Officer
Holding Company
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
Calvert Administrative Services Co. Officer
Service Company
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
Calvert Asset Management Co., Inc. Officer
Investment Advisor
4550 Montgomery Avenue
Bethesda, Maryland 20814
----------------
Calvert Shareholder Services, Inc. Officer
Transfer Agent
4550 Montgomery Avenue
Bethesda, Maryland 20814
----------------
Calvert Distributors, Inc. Officer
Broker-Dealer
4550 Montgomery Avenue
Bethesda, Maryland 20814
----------------
Calvert-Sloan Advisers, LLC Officer
Investment Advisor
4550 Montgomery Avenue
Bethesda, Maryland 20814
----------------
First Variable Rate Fund for Officer
Government Income
Calvert Tax-Free Reserves
Calvert Cash Reserves
Calvert Social Investment Fund
The Calvert Fund
Acacia Capital Corporation
Calvert Municipal Fund, Inc.
Calvert World Values Fund, Inc.
Calvert New World Fund, Inc.
Investment Companies
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
Ivy Wafford Duke Calvert Group, Ltd. Officer
Holding Company
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
Calvert Administrative Services Co. Officer
Service Company
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
Calvert Asset Management Co., Inc. Officer
Investment Advisor
4550 Montgomery Avenue
Bethesda, Maryland 20814
----------------
Calvert Shareholder Services, Inc. Officer
Transfer Agent
4550 Montgomery Avenue
Bethesda, Maryland 20814
----------------
Calvert Distributors, Inc. Officer
Broker-Dealer
4550 Montgomery Avenue
Bethesda, Maryland 20814
----------------
Calvert-Sloan Advisers, LLC Officer
Investment Advisor
4550 Montgomery Avenue
Bethesda, Maryland 20814
----------------
First Variable Rate Fund for Officer
Government Income
Calvert Tax-Free Reserves
Calvert Cash Reserves
Calvert Social Investment Fund
The Calvert Fund
Acacia Capital Corporation
Calvert Municipal Fund, Inc.
Calvert World Values Fund, Inc.
Calvert New World Fund, Inc.
Investment Companies
4550 Montgomery Avenue
Bethesda, Maryland 20814
---------------
Daniel K. Hayes Calvert Asset Management Co., Inc. Officer
Investment Advisor
4550 Montgomery Avenue
Bethesda, Maryland 20814
------------------
First Variable Rate Fund for Officer
Government Income
Calvert Tax-Free Reserves
Calvert Cash Reserves
Calvert Social Investment Fund
The Calvert Fund
Acacia Capital Corporation
Calvert Municipal Fund, Inc.
Calvert World Values Fund, Inc.
Investment Companies
4550 Montgomery Avenue
Bethesda, Maryland 20814
------------------
Steve Van Order Calvert Asset Management Officer
Company, Inc.
Investment Advisor
4550 Montgomery Avenue
Bethesda, Maryland 20814
------------------
Annette Krakovitz Calvert Asset Management Officer
Company, Inc.
Investment Advisor
4550 Montgomery Avenue
Bethesda, Maryland 20814
------------------
John Nichols Calvert Asset Management Officer
Company, Inc.
Investment Advisor
4550 Montgomery Avenue
Bethesda, Maryland 20814
------------------
David Leach Calvert Asset Management Officer
Company, Inc.
Investment Advisor
4550 Montgomery Avenue
Bethesda, Maryland 20814
------------------
Matthew D. Gelfand Calvert Asset Management Officer
Company, Inc.
Investment Advisor
4550 Montgomery Avenue
Bethesda, Maryland 20814
------------------
Strategic Investment Management Officer
Investment Advisor
1001 19th Street North
Arlington, Virginia 20009
------------------
Item 29. Principal Underwriters
(a) Registrant's principal underwriter also underwrites shares
of Calvert Tax-Free Reserves, Calvert Social Investment Fund, Calvert Cash
Reserves, The Calvert Fund, Calvert Municipal Fund, Inc., Calvert World
Values Fund, Inc., Calvert New World Fund, Inc., and Calvert Variable Series,
Inc. (formerly named Acacia Capital Corporation).
(b) Positions of Underwriter's Officers and Directors
Name and Principal Position(s) with Position(s) with
Business Address Underwriter Registrant
Barbara J. Krumsiek Director and President President and Trustee
Ronald M. Wolfsheimer Director, Senior Vice Treasurer
President and Chief Financial Officer
William M. Tartikoff Director, Senior Vice Vice President and
President and Secretary Secretary
Craig Cloyed Senior Vice President None
Karen Becker Vice President, Operations None
Steve Cohen Vice President None
Geoffrey Ashton Regional Vice President None
Martin Brown Regional Vice President None
Janet Haley Regional Vice President None
Ben Ogbogu Regional Vice President None
Susan Walker Bender Assistant Secretary Assistant Secretary
Katherine Stoner Assistant Secretary Assistant Secretary
Lisa Crossley Newton Assistant Secretary Assistant Secretary
and Compliance Officer
Ivy Wafford Duke Assistant Secretary Assistant Secretary
(c) Inapplicable.
Item 30. Location of Accounts and Records
Ronald M. Wolfsheimer, Treasurer
and
William M. Tartikoff, Assistant Secretary
4550 Montgomery Avenue, Suite 1000N
Bethesda, Maryland 20814
Item 31. Management Services
Not Applicable
Item 32. Undertakings
a) Not Applicable
b) Not Applicable
(c) The Registrant undertakes to furnish to each person to
whom a Prospectus is delivered, a copy of the
Registrant's latest Annual Report to Shareholders, upon
request and without charge.
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933 and
the Investment Company Act of 1940, the Registrant certifies that it
has duly caused this registration statement to be signed on its behalf
by the undersigned, thereto duly authorized in the City of Bethesda, and
State of Maryland, on the 26th day of August, 1998.
FIRST VARIABLE RATE FUND
By:
________________**________________
Barbara J. Krumsiek
President and Trustee
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933,
this Registration Statement has been signed below by the following
persons in the capacities indicated.
Signature Title Date
__________**____________ President and 8/26/98
Barbara J. Krumsiek Trustee (Principal Executive Officer)
__________**____________ Principal Accounting 8/26/98
Ronald M. Wolfsheimer Officer
__________**____________ Trustee 8/26/98
Richard L. Baird, Jr.
__________**____________ Trustee 8/26/98
Frank H. Blatz, Jr., Esq.
__________**____________ Trustee 8/26/98
Frederick T. Borts, M.D.
__________**____________ Trustee 8/26/98
Charles E. Diehl
__________**____________ Trustee 8/26/98
Douglas E. Feldman
__________**____________ Trustee 8/26/98
Peter W. Gavian
__________**____________ Trustee 8/26/98
John G. Guffey, Jr.
__________**____________ Trustee 8/26/98
M. Charito Kruvant
__________**____________ Trustee 8/26/98
Arthur J. Pugh
__________**____________ Trustee 8/26/98
David R. Rochat
__________**____________ Trustee 8/26/98
D. Wayne Silby
**By Katherine Stoner as Attorney-in-fact, pursuant to Power of Attorney Forms
on file.
Exhibit 10
August 26, 1998
Securities and Exchange Commission
Judiciary Plaza
450 Fifth Street, N.W.
Washington, D.C. 20549
Re: Exhibit 10, Form N-1A
First Variable Rate Fund for Government Income
File numbers 2-56809 and 811-2633
Ladies and Gentlemen:
As counsel to Calvert Group, Ltd., it is my opinion that the
securities being registered by this Post-Effective Amendment No. 36 will
be legally issued, fully paid and non-assessable when sold. My opinion
is based on an examination of documents related to First Variable Rate
Fund for Government Income (the "Trust"), including its Declaration of
Trust, its By-Laws, other original or photostatic copies of Trust
records, certificates of public officials, documents, papers, statutes,
and authorities as I deemed necessary to form the basis of this opinion.
I therefore consent to filing this opinion of counsel with the
Securities and Exchange Commission as an Exhibit to the Trust's
Post-Effective Amendment No. 36 to its Registration Statement.
Sincerely,
/s/
Katherine Stoner
Associate General Counsel
POWER OF ATTORNEY
I, the undersigned Trustee/Director of First Variable Rate Fund for
Government Income, Calvert Tax-Free Reserves, Calvert Cash Reserves, The
Calvert Fund, and Calvert Municipal Fund, Inc. (collectively, the "Funds"),
hereby constitute Ronald M. Wolfsheimer, William M. Tartikoff, Susan Walker
Bender, Katherine Stoner, Lisa Crossley, and Ivy Wafford Duke my true and
lawful attorneys, with full power to each of them, to sign for me and in my
name in the appropriate capacities, all registration statements and amendments
filed by the Funds with any federal or state agency, and to do all such things
in my name and behalf necessary for registering and maintaining registration
or exemptions from registration of the Funds with any government agency in any
jurisdiction, domestic or foreign.
The same persons are authorized generally to do all such things in my
name and behalf to comply with the provisions of all federal, state and
foreign laws, regulations, and policy pronouncements affecting the Funds,
including, but not limited to, the Securities Act of 1933, the Securities
Exchange Act of 1934, the Investment Company Act of 1940, the Investment
Advisers Act of 1940, and all state laws regulating the securities industry.
The same persons are further authorized to sign my name to any
document needed to maintain the lawful operation of the Funds in connection
with any transaction approved by the Board of Trustee/Directors.
When any of the above-referenced attorneys signs my name to any
document in connection with maintaining the lawful operation of the Funds, the
signing is automatically ratified and confirmed by me by virtue of this Power
of Attorney.
WITNESS my hand on the date set forth below.
May 7, 1997
Date /Signature/
Edwidge Saint-Felix Barbara Krumsiek
Witness Name of Trustee/Director
<PAGE>
POWER OF ATTORNEY
I, the undersigned Trustee/Director of First Variable Rate Fund for
Government Income, Calvert Tax-Free Reserves, Calvert Cash Reserves, The
Calvert Fund, and Calvert Municipal Fund, Inc. (collectively, the "Funds"),
hereby constitute Ronald M. Wolfsheimer, William M. Tartikoff, Susan Walker
Bender, Katherine Stoner, Lisa Crossley, and Ivy Wafford Duke my true and
lawful attorneys, with full power to each of them, to sign for me and in my
name in the appropriate capacities, all registration statements and amendments
filed by the Funds with any federal or state agency, and to do all such things
in my name and behalf necessary for registering and maintaining registration
or exemptions from registration of the Funds with any government agency in any
jurisdiction, domestic or foreign.
The same persons are authorized generally to do all such things in my
name and behalf to comply with the provisions of all federal, state and
foreign laws, regulations, and policy pronouncements affecting the Funds,
including, but not limited to, the Securities Act of 1933, the Securities
Exchange Act of 1934, the Investment Company Act of 1940, the Investment
Advisers Act of 1940, and all state laws regulating the securities industry.
The same persons are further authorized to sign my name to any
document needed to maintain the lawful operation of the Funds in connection
with any transaction approved by the Board of Trustee/Directors.
When any of the above-referenced attorneys signs my name to any
document in connection with maintaining the lawful operation of the Funds, the
signing is automatically ratified and confirmed by me by virtue of this Power
of Attorney.
WITNESS my hand on the date set forth below.
May 7, 1997
Date /Signature/
Edwidge Saint-Felix Richard L. Baird, Jr.
Witness Name of Trustee/Director
<PAGE>
POWER OF ATTORNEY
I, the undersigned Trustee/Director of First Variable Rate Fund for
Government Income, Calvert Tax-Free Reserves, Calvert Cash Reserves, The
Calvert Fund, and Calvert Municipal Fund, Inc. (collectively, the "Funds"),
hereby constitute Ronald M. Wolfsheimer, William M. Tartikoff, Susan Walker
Bender, Katherine Stoner, Lisa Crossley, and Ivy Wafford Duke my true and
lawful attorneys, with full power to each of them, to sign for me and in my
name in the appropriate capacities, all registration statements and amendments
filed by the Funds with any federal or state agency, and to do all such things
in my name and behalf necessary for registering and maintaining registration
or exemptions from registration of the Funds with any government agency in any
jurisdiction, domestic or foreign.
The same persons are authorized generally to do all such things in my
name and behalf to comply with the provisions of all federal, state and
foreign laws, regulations, and policy pronouncements affecting the Funds,
including, but not limited to, the Securities Act of 1933, the Securities
Exchange Act of 1934, the Investment Company Act of 1940, the Investment
Advisers Act of 1940, and all state laws regulating the securities industry.
The same persons are further authorized to sign my name to any
document needed to maintain the lawful operation of the Funds in connection
with any transaction approved by the Board of Trustee/Directors.
When any of the above-referenced attorneys signs my name to any
document in connection with maintaining the lawful operation of the Funds, the
signing is automatically ratified and confirmed by me by virtue of this Power
of Attorney.
WITNESS my hand on the date set forth below.
May 7, 1997
Date /Signature/
Charles E. Diehl Frank H. Blatz, Jr.
Witness Name of Trustee/Director
<PAGE>
POWER OF ATTORNEY
I, the undersigned Trustee/Director of First Variable Rate Fund for
Government Income, Calvert Tax-Free Reserves, Calvert Cash Reserves, The
Calvert Fund, and Calvert Municipal Fund, Inc. (collectively, the "Funds"),
hereby constitute Ronald M. Wolfsheimer, William M. Tartikoff, Susan Walker
Bender, Katherine Stoner, Lisa Crossley, and Ivy Wafford Duke my true and
lawful attorneys, with full power to each of them, to sign for me and in my
name in the appropriate capacities, all registration statements and amendments
filed by the Funds with any federal or state agency, and to do all such things
in my name and behalf necessary for registering and maintaining registration
or exemptions from registration of the Funds with any government agency in any
jurisdiction, domestic or foreign.
The same persons are authorized generally to do all such things in my
name and behalf to comply with the provisions of all federal, state and
foreign laws, regulations, and policy pronouncements affecting the Funds,
including, but not limited to, the Securities Act of 1933, the Securities
Exchange Act of 1934, the Investment Company Act of 1940, the Investment
Advisers Act of 1940, and all state laws regulating the securities industry.
The same persons are further authorized to sign my name to any
document needed to maintain the lawful operation of the Funds in connection
with any transaction approved by the Board of Trustee/Directors.
When any of the above-referenced attorneys signs my name to any
document in connection with maintaining the lawful operation of the Funds, the
signing is automatically ratified and confirmed by me by virtue of this Power
of Attorney.
WITNESS my hand on the date set forth below.
May 7, 1997
Date /Signature/
Edwidge Saint-Felix Douglas E. Feldman
Witness Name of Trustee/Director
<PAGE>
POWER OF ATTORNEY
I, the undersigned Trustee/Director of First Variable Rate Fund for
Government Income, Calvert Tax-Free Reserves, Calvert Cash Reserves, The
Calvert Fund, and Calvert Municipal Fund, Inc. (collectively, the "Funds"),
hereby constitute Ronald M. Wolfsheimer, William M. Tartikoff, Susan Walker
Bender, Katherine Stoner, Lisa Crossley, and Ivy Wafford Duke my true and
lawful attorneys, with full power to each of them, to sign for me and in my
name in the appropriate capacities, all registration statements and amendments
filed by the Funds with any federal or state agency, and to do all such things
in my name and behalf necessary for registering and maintaining registration
or exemptions from registration of the Funds with any government agency in any
jurisdiction, domestic or foreign.
The same persons are authorized generally to do all such things in my
name and behalf to comply with the provisions of all federal, state and
foreign laws, regulations, and policy pronouncements affecting the Funds,
including, but not limited to, the Securities Act of 1933, the Securities
Exchange Act of 1934, the Investment Company Act of 1940, the Investment
Advisers Act of 1940, and all state laws regulating the securities industry.
The same persons are further authorized to sign my name to any
document needed to maintain the lawful operation of the Funds in connection
with any transaction approved by the Board of Trustee/Directors.
When any of the above-referenced attorneys signs my name to any
document in connection with maintaining the lawful operation of the Funds, the
signing is automatically ratified and confirmed by me by virtue of this Power
of Attorney.
WITNESS my hand on the date set forth below.
May 7, 1997
Date /Signature/
Frank H. Blatz, Jr. Charles E. Diehl
Witness Name of Trustee/Director
<PAGE>
POWER OF ATTORNEY
I, the undersigned Trustee/Director of First Variable Rate Fund for
Government Income, Calvert Tax-Free Reserves, Calvert Cash Reserves, The
Calvert Fund, and Calvert Municipal Fund, Inc. (collectively, the "Funds"),
hereby constitute Ronald M. Wolfsheimer, William M. Tartikoff, Susan Walker
Bender, Katherine Stoner, Lisa Crossley, and Ivy Wafford Duke my true and
lawful attorneys, with full power to each of them, to sign for me and in my
name in the appropriate capacities, all registration statements and amendments
filed by the Funds with any federal or state agency, and to do all such things
in my name and behalf necessary for registering and maintaining registration
or exemptions from registration of the Funds with any government agency in any
jurisdiction, domestic or foreign.
The same persons are authorized generally to do all such things in my
name and behalf to comply with the provisions of all federal, state and
foreign laws, regulations, and policy pronouncements affecting the Funds,
including, but not limited to, the Securities Act of 1933, the Securities
Exchange Act of 1934, the Investment Company Act of 1940, the Investment
Advisers Act of 1940, and all state laws regulating the securities industry.
The same persons are further authorized to sign my name to any
document needed to maintain the lawful operation of the Funds in connection
with any transaction approved by the Board of Trustee/Directors.
When any of the above-referenced attorneys signs my name to any
document in connection with maintaining the lawful operation of the Funds, the
signing is automatically ratified and confirmed by me by virtue of this Power
of Attorney.
WITNESS my hand on the date set forth below.
May 7, 1997
Date /Signature/
Edwidge Saint-Felix Peter W. Gavian
Witness Name of Trustee/Director
<PAGE>
POWER OF ATTORNEY
I, the undersigned Trustee/Director of First Variable Rate Fund for
Government Income, Calvert Tax-Free Reserves, Calvert Cash Reserves, The
Calvert Fund, and Calvert Municipal Fund, Inc. (collectively, the "Funds"),
hereby constitute Ronald M. Wolfsheimer, William M. Tartikoff, Susan Walker
Bender, Katherine Stoner, Lisa Crossley, and Ivy Wafford Duke my true and
lawful attorneys, with full power to each of them, to sign for me and in my
name in the appropriate capacities, all registration statements and amendments
filed by the Funds with any federal or state agency, and to do all such things
in my name and behalf necessary for registering and maintaining registration
or exemptions from registration of the Funds with any government agency in any
jurisdiction, domestic or foreign.
The same persons are authorized generally to do all such things in my
name and behalf to comply with the provisions of all federal, state and
foreign laws, regulations, and policy pronouncements affecting the Funds,
including, but not limited to, the Securities Act of 1933, the Securities
Exchange Act of 1934, the Investment Company Act of 1940, the Investment
Advisers Act of 1940, and all state laws regulating the securities industry.
The same persons are further authorized to sign my name to any
document needed to maintain the lawful operation of the Funds in connection
with any transaction approved by the Board of Trustee/Directors.
When any of the above-referenced attorneys signs my name to any
document in connection with maintaining the lawful operation of the Funds, the
signing is automatically ratified and confirmed by me by virtue of this Power
of Attorney.
WITNESS my hand on the date set forth below.
May 7, 1997
Date /Signature/
M. Charito Kruvant John G. Guffey, Jr.
Witness Name of Trustee/Director
<PAGE>
POWER OF ATTORNEY
I, the undersigned Trustee/Director of First Variable Rate Fund for
Government Income, Calvert Tax-Free Reserves, Calvert Cash Reserves, The
Calvert Fund, and Calvert Municipal Fund, Inc. (collectively, the "Funds"),
hereby constitute Ronald M. Wolfsheimer, William M. Tartikoff, Susan Walker
Bender, Katherine Stoner, Lisa Crossley, and Ivy Wafford Duke my true and
lawful attorneys, with full power to each of them, to sign for me and in my
name in the appropriate capacities, all registration statements and amendments
filed by the Funds with any federal or state agency, and to do all such things
in my name and behalf necessary for registering and maintaining registration
or exemptions from registration of the Funds with any government agency in any
jurisdiction, domestic or foreign.
The same persons are authorized generally to do all such things in my
name and behalf to comply with the provisions of all federal, state and
foreign laws, regulations, and policy pronouncements affecting the Funds,
including, but not limited to, the Securities Act of 1933, the Securities
Exchange Act of 1934, the Investment Company Act of 1940, the Investment
Advisers Act of 1940, and all state laws regulating the securities industry.
The same persons are further authorized to sign my name to any
document needed to maintain the lawful operation of the Funds in connection
with any transaction approved by the Board of Trustee/Directors.
When any of the above-referenced attorneys signs my name to any
document in connection with maintaining the lawful operation of the Funds, the
signing is automatically ratified and confirmed by me by virtue of this Power
of Attorney.
WITNESS my hand on the date set forth below.
May 7, 1997
Date /Signature/
Edwidge Saint-Felix M. Charito Kruvant
Witness Name of Trustee/Director
<PAGE>
POWER OF ATTORNEY
I, the undersigned Trustee/Director of First Variable Rate Fund for
Government Income, Calvert Tax-Free Reserves, Calvert Cash Reserves, The
Calvert Fund, and Calvert Municipal Fund, Inc. (collectively, the "Funds"),
hereby constitute Ronald M. Wolfsheimer, William M. Tartikoff, Susan Walker
Bender, Katherine Stoner, Lisa Crossley, and Ivy Wafford Duke my true and
lawful attorneys, with full power to each of them, to sign for me and in my
name in the appropriate capacities, all registration statements and amendments
filed by the Funds with any federal or state agency, and to do all such things
in my name and behalf necessary for registering and maintaining registration
or exemptions from registration of the Funds with any government agency in any
jurisdiction, domestic or foreign.
The same persons are authorized generally to do all such things in my
name and behalf to comply with the provisions of all federal, state and
foreign laws, regulations, and policy pronouncements affecting the Funds,
including, but not limited to, the Securities Act of 1933, the Securities
Exchange Act of 1934, the Investment Company Act of 1940, the Investment
Advisers Act of 1940, and all state laws regulating the securities industry.
The same persons are further authorized to sign my name to any
document needed to maintain the lawful operation of the Funds in connection
with any transaction approved by the Board of Trustee/Directors.
When any of the above-referenced attorneys signs my name to any
document in connection with maintaining the lawful operation of the Funds, the
signing is automatically ratified and confirmed by me by virtue of this Power
of Attorney.
WITNESS my hand on the date set forth below.
May 7, 1997
Date /Signature/
Charles E. Diehl Arthur J. Pugh
Witness Name of Trustee/Director
<PAGE>
POWER OF ATTORNEY
I, the undersigned Trustee/Director of First Variable Rate Fund for
Government Income, Calvert Tax-Free Reserves, Calvert Cash Reserves, The
Calvert Fund, and Calvert Municipal Fund, Inc. (collectively, the "Funds"),
hereby constitute Ronald M. Wolfsheimer, William M. Tartikoff, Susan Walker
Bender, Katherine Stoner, Lisa Crossley, and Ivy Wafford Duke my true and
lawful attorneys, with full power to each of them, to sign for me and in my
name in the appropriate capacities, all registration statements and amendments
filed by the Funds with any federal or state agency, and to do all such things
in my name and behalf necessary for registering and maintaining registration
or exemptions from registration of the Funds with any government agency in any
jurisdiction, domestic or foreign.
The same persons are authorized generally to do all such things in my
name and behalf to comply with the provisions of all federal, state and
foreign laws, regulations, and policy pronouncements affecting the Funds,
including, but not limited to, the Securities Act of 1933, the Securities
Exchange Act of 1934, the Investment Company Act of 1940, the Investment
Advisers Act of 1940, and all state laws regulating the securities industry.
The same persons are further authorized to sign my name to any
document needed to maintain the lawful operation of the Funds in connection
with any transaction approved by the Board of Trustee/Directors.
When any of the above-referenced attorneys signs my name to any
document in connection with maintaining the lawful operation of the Funds, the
signing is automatically ratified and confirmed by me by virtue of this Power
of Attorney.
WITNESS my hand on the date set forth below.
May 7, 1997
Date /Signature/
Katherine Stoner David R. Rochat
Witness Name of Trustee/Director
<PAGE>
POWER OF ATTORNEY
I, the undersigned Trustee/Director of First Variable Rate Fund for
Government Income, Calvert Tax-Free Reserves, Calvert Cash Reserves, The
Calvert Fund, and Calvert Municipal Fund, Inc. (collectively, the "Funds"),
hereby constitute Ronald M. Wolfsheimer, William M. Tartikoff, Susan Walker
Bender, Katherine Stoner, Lisa Crossley, and Ivy Wafford Duke my true and
lawful attorneys, with full power to each of them, to sign for me and in my
name in the appropriate capacities, all registration statements and amendments
filed by the Funds with any federal or state agency, and to do all such things
in my name and behalf necessary for registering and maintaining registration
or exemptions from registration of the Funds with any government agency in any
jurisdiction, domestic or foreign.
The same persons are authorized generally to do all such things in my
name and behalf to comply with the provisions of all federal, state and
foreign laws, regulations, and policy pronouncements affecting the Funds,
including, but not limited to, the Securities Act of 1933, the Securities
Exchange Act of 1934, the Investment Company Act of 1940, the Investment
Advisers Act of 1940, and all state laws regulating the securities industry.
The same persons are further authorized to sign my name to any
document needed to maintain the lawful operation of the Funds in connection
with any transaction approved by the Board of Trustee/Directors.
When any of the above-referenced attorneys signs my name to any
document in connection with maintaining the lawful operation of the Funds, the
signing is automatically ratified and confirmed by me by virtue of this Power
of Attorney.
WITNESS my hand on the date set forth below.
May 7, 1997
Date /Signature/
Edwidge Saint-Felix D. Wayne Silby
Witness Name of Trustee/Director
<PAGE>
POWER OF ATTORNEY
I, the undersigned Trustee/Director of First Variable Rate Fund for
Government Income, Calvert Tax-Free Reserves, Calvert Cash Reserves, The
Calvert Fund, and Calvert Municipal Fund, Inc. (collectively, the "Funds"),
hereby constitute Ronald M. Wolfsheimer, William M. Tartikoff, Susan Walker
Bender, Katherine Stoner, Lisa Crossley, and Ivy Wafford Duke my true and
lawful attorneys, with full power to each of them, to sign for me and in my
name in the appropriate capacities, all registration statements and amendments
filed by the Funds with any federal or state agency, and to do all such things
in my name and behalf necessary for registering and maintaining registration
or exemptions from registration of the Funds with any government agency in any
jurisdiction, domestic or foreign.
The same persons are authorized generally to do all such things in my
name and behalf to comply with the provisions of all federal, state and
foreign laws, regulations, and policy pronouncements affecting the Funds,
including, but not limited to, the Securities Act of 1933, the Securities
Exchange Act of 1934, the Investment Company Act of 1940, the Investment
Advisers Act of 1940, and all state laws regulating the securities industry.
The same persons are further authorized to sign my name to any
document needed to maintain the lawful operation of the Funds in connection
with any transaction approved by the Board of Trustee/Directors.
When any of the above-referenced attorneys signs my name to any
document in connection with maintaining the lawful operation of the Funds, the
signing is automatically ratified and confirmed by me by virtue of this Power
of Attorney.
WITNESS my hand on the date set forth below.
January 16, 1998
Date /Signature/
Roger Wilkins Frederick Borts, MD
Witness Name of Trustee/Director
<PAGE>
POWER OF ATTORNEY
I, the undersigned officer of Calvert Social Investment Fund, Calvert
World Values Fund, Acacia Capital Corporation, Calvert New World Fund, First
Variable Rate Fund, Calvert Tax-Free Reserves, Calvert Cash Reserves, The
Calvert Fund and Calvert Municipal Fund (each, respectively, the "Fund"),
hereby constitute William M. Tartikoff, Susan Walker Bender, Katherine Stoner,
Lisa Crossley, and Ivy Wafford Duke my true and lawful attorneys, with full
power to each of them, to sign for me and in my name in the appropriate
capacities, all registration statements and amendments filed by the Fund with
any federal or state agency, and to do all such things in my name and behalf
necessary for registering and maintaining registration or exemptions from
registration of the Fund with any government agency in any jurisdiction,
domestic or foreign.
The same persons are authorized generally to do all such things in my
name and behalf to comply with the provisions of all federal, state and
foreign laws, regulations, and policy pronouncements affecting the Funds,
including, but not limited to, the Securities Act of 1933, the Securities
Exchange Act of 1934, the Investment Company Act of 1940, the Investment
Advisers Act of 1940, and all state laws regulating the securities industry.
The same persons are further authorized to sign my name to any
document needed to maintain the lawful operation of the Funds in connection
with any transaction approved by the Board of Trustee/Directors.
When any of the above-referenced attorneys signs my name to any
document in connection with maintaining the lawful operation of the Funds, the
signing is automatically ratified and confirmed by me by virtue of this Power
of Attorney.
WITNESS my hand on the date set forth below.
December 16, 1997
Date /Signature/
William M. Tartikoff Ronald M. Wolfsheimer
Witness Name of Officer
