<PAGE>
FORTIS-Registered Trademark-
[GRAPHIC]
FORTIS
MONEY
FUND
Semi-Annual Report
March 31, 1996
[GRAPHICS]
<PAGE>
FORTIS MONEY FUND SEMI-ANNUAL REPORT
CONTENTS
LETTER TO SHAREHOLDERS 1
SCHEDULE OF INVESTMENTS 2
STATEMENT OF ASSETS AND LIABILITIES 4
STATEMENT OF OPERATIONS 5
STATEMENTS OF CHANGES IN NET ASSETS 6
NOTES TO FINANCIAL STATEMENTS 7
BOARD OF DIRECTORS AND OFFICERS 9
HOW TO USE THIS REPORT
The letter from the portfolio manager and president provides a detailed analysis
of the fund and financial markets. The pie chart shows a breakdown of the fund's
assets by sector.
This report is just one of several tools you can use to learn more about your
investment in the Fortis Family of Mutual Funds. Your investment representative,
who understands your personal financial situation, can best explain the features
of your investment and how it's designed to help you meet your financial goals.
TOLL-FREE PERSONAL ASSISTANCE
Shareholder Services
(800) 800-2638, Ext. 3012
7:30 a.m. to 5:30 p.m. CST, M-Th
7:30 a.m. to 5:00 p.m. CST, F
TOLL-FREE INFORMATION LINE
For daily account balances,
transaction activity or net asset
value information
(800) 800-2638, Ext. 4344
24 hours a day
FOR MORE INFORMATION ABOUT FORTIS FINANCIAL GROUP'S FAMILY OF PRODUCTS,
CALL YOUR INVESTMENT REPRESENTATIVE OR THE HOME OFFICE AT (800)
800-2638. TO ORDER PROSPECTUSES OR SALES LITERATURE FOR ANY FORTIS
PRODUCT, CALL (800) 800-2638, EXT. 4579.
<PAGE>
Photo
"The Fortis Money Fund made it easy for me to begin investing. Having my money
available, and knowing it's safe is important to me. I'm earning competitive
rates and have checkbook access to my money."
PORTFOLIO COMPOSITION BY INDUSTRY AS OF 3/31/96
EDGAR REPRESENTATION OF DATA POINTS USED IN PRINTED GRAPHIC
<TABLE>
<S> <C>
Consumer Financing 20.9%
Diversified Finance 14.3%
Banks 26.3%
Captive Equipment Finance 11.2%
Captive Auto Finance 8.6%
Brokerage & Investment 4.3%
Captive Oil Finance 4.2%
Tobacco 2.5%
Utilities - Electric 6.0%
Food-Grocery 1.7%
</TABLE>
DEAR SHAREHOLDER,
We are pleased to present the Fortis Money Fund semi-annual report for the
period ended March 31, 1996.
ECONOMIC REVIEW AND INVESTMENT STRATEGIES
During the past six months, the bond and money markets have responded to a wide
variety of economic information. Late last year, the economy appeared quite weak
and the bond market responded favorably, reflecting the assumption that slow
growth would allow inflation to continue at the 2.5 to 3 percent pace
experienced over the past year. This scenario was upset during the first quarter
of 1996, as strong recovery was evidenced in several economic reports -- most
notably the February employment numbers. Long interest rates, as represented by
the 30-year treasury bond, began the fourth quarter at about 6.5 percent, ended
the year at just under 6 percent, and then more than retraced their steps to end
the first quarter at 6.65 percent.
In contrast to long rates, money market rates benefited from a more
accommodative monetary policy, as the Federal Reserve moved the federal funds
rate downward by one-half of a percentage point, and treasury bills moved down
approximately one-quarter of a percentage point. However, earlier expectations
of further ease by the Federal Reserve have changed to reflect stable policy and
the possibility of future tightening.
Last fall, our investment strategy was based on the assumption that the economy
would continue to expand at a modest pace, with no upward inflationary pressure
until late 1996. Consistent with this strategy, we lengthened our money market
holdings, expecting the easier Federal Reserve policy to mean lower reinvestment
rates for maturing certificates of deposit and commercial paper.
PORTFOLIO REVIEW
The Fortis Money Fund restricts investment to the highest quality issues
consistent with the fund's primary objective: providing relative safety of
principal, liquidity and current return.
Last fall, the fund's average weighted maturity was approximately 45 days,
during a period when the Federal Reserve was lowering interest rates and the
market anticipated a continuation of the process. Early this year, signs of
resumed economic growth eliminated anticipation of further policy easing and
indicated possible rate increases and a tightening by the Federal Reserve. Since
we do not expect a move to a more restrictive policy in the immediate future, we
lengthened the portfolio to about 60 days to enhance the fund's yield. We will
maintain this posture as long as growth is moderate and there are no signs of
upward inflationary pressure.
IN CLOSING
We appreciate your investment with Fortis, and look forward to serving your
financial needs. If you have any questions, please call us or talk with your
investment professional.
Sincerely,
<TABLE>
<S> <C>
[SIGNATURE] [SIGNATURE]
Dean C. Kopperud Howard G. Hudson
President Vice President
</TABLE>
1
<PAGE>
FORTIS MONEY FUND
Schedule of Investments
(Unaudited)
March 31, 1996
CORPORATE BONDS-INVESTMENT GRADE-2.31%
<TABLE>
<CAPTION>
- --------------------------------------------------------------------------------
Standard
Principal & Poor's Market
Amount Rating Cost (b) Value (a)
----------- ----------- ----------- -------------
<C> <S> <C> <C> <C>
CAPTIVE EQUIPMENT FINANCE-2.31%
$2,750,000 General Electric Capital Corp., 5.12% Medium
Term Note 1-27-1997........................ AAA $2,748,635 $ 2,748,635
----------- -------------
</TABLE>
SHORT-TERM INVESTMENTS-97.66%
<TABLE>
<CAPTION>
- --------------------------------------------------------------------------------
Standard
Principal Maturity & Poor's
Amount Yield Date Rating Value (a)
----------- --------- ------------ ------------ -------------
<C> <S> <C> <C> <C> <C>
BANKS-26.33%
$5,200,000 Banc One Funding Corp.(c).................... 5.46% 04/26/96 A1 $ 5,179,291
4,500,000 Chemical Banking Corp........................ 5.39% 04/30/96 A1 4,479,695
5,400,000 Deutsche Bank Financial, Inc................. 5.22% 07/22/96 A1+ 5,314,158
24,000 First Trust Money Market Variable Rate Time
Deposit.................................... 5.23% 04/01/96 A1+ 24,000
5,500,000 National Westminster Bancorp, Inc............ 5.36% 05/23/96 A1+ 5,456,770
5,500,000 Norwest Corp................................. 5.33% 04/19/96 A1+ 5,484,020
5,400,000 Toronto-Dominion Holdings USA, Inc........... 5.50% 04/11/96 A1+ 5,390,370
-------------
31,328,304
-------------
BROKERAGE AND INVESTMENT-4.32%
5,200,000 Merrill Lynch & Co., Inc..................... 5.24% 06/26/96 A1+ 5,135,428
-------------
CAPTIVE AUTO FINANCE-8.58%
4,500,000 Ford Motor Credit Corp....................... 5.48% 04/12/96 A1 4,491,339
1,800,000 General Motors Acceptance Corp............... 5.60% 11/01/96 P1* 1,742,328
4,000,000 General Motors Acceptance Corp............... 5.74% 05/06/96 P1* 3,977,348
-------------
10,211,015
-------------
CAPTIVE EQUIPMENT FINANCE-8.91%
5,500,000 IBM Credit Corp.............................. 5.36% 06/10/96 A1 5,442,580
5,200,000 John Deere Capital Corp...................... 5.14% 06/03/96 A1 5,153,149
-------------
10,595,729
-------------
CAPTIVE OIL FINANCE-4.19%
5,000,000 Chevron Oil Finance Co....................... 5.45% 04/25/96 A1+ 4,980,681
-------------
CONSUMER FINANCING-20.86%
5,000,000 American Express Credit Corp................. 5.23% 08/27/96 A1 4,895,208
5,000,000 American General Finance Corp................ 5.51% 05/01/96 A1+ 4,976,267
5,500,000 Beneficial Corp.............................. 5.39% 06/04/96 A1 5,447,062
4,500,000 Commercial Credit Co......................... 5.27% 04/02/96 A1 4,498,061
5,000,000 Household Finance Corp....................... 5.25% 04/05/96 A1 4,995,717
-------------
24,812,315
-------------
DIVERSIFIED FINANCE-14.28%
5,130,000 Associates Corp. Master Variable Rate Note... 5.31% 04/01/96 A1+ 5,130,000
4,300,000 CIT Group Holdings, Inc...................... 5.27% 04/18/96 A1 4,288,290
2,600,000 General Electric Capital Corp................ 5.60% 05/16/96 A1+ 2,581,670
5,000,000 Prudential Funding Corp...................... 5.18% 04/23/96 A1+ 4,983,133
-------------
16,983,093
-------------
FOOD-GROCERY, MISCELLANEOUS-1.66%
2,000,000 Kellogg Co................................... 5.15% 06/28/96 A1+ 1,975,050
-------------
TOBACCO-2.52%
3,000,000 Philip Morris Cos., Inc...................... 5.22% 04/04/96 A1 2,997,871
-------------
UTILITIES-ELECTRIC-6.01%
1,693,000 South Carolina Fuel Co....................... 5.35% 04/17/96 A1 1,688,556
2,500,000 Wisconsin Electric Power Co., Inc............ 5.44% 05/03/96 A1+ 2,487,415
</TABLE>
2
<PAGE>
SHORT-TERM INVESTMENTS-CONTINUED
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Standard
Principal Maturity & Poor's
Amount Yield Date Rating Value (a)
----------- --------- ------------ ------------ -------------
<C> <S> <C> <C> <C> <C>
$3,000,000 Wisconsin Electric Power Co., Inc............ 5.29% 05/22/96 A1+ $ 2,977,254
-------------
7,153,225
-------------
TOTAL SHORT-TERM INVESTMENTS................. 116,172,711
-------------
TOTAL INVESTMENTS IN SECURITIES (B).......... $ 118,921,346
-------------
-------------
</TABLE>
(a) See Note 1 of accompanying Notes to Financial Statements regarding
valuation of securities.
(b) Also represents the cost of securities for federal income tax purposes.
(c) Commercial paper sold within the terms of a private placement
memorandum, exempt from registration under section 4(2) of the
Securities Act of 1933, as amended, and may be sold only to dealers in
that program or other "accredited investors". This security has been
determined to be liquid under guidelines established by the Board of
Directors.
(d) Note: Percentage of investments as shown is the ratio of the total
market value to total net assets.
* Moody's
3
<PAGE>
FORTIS MONEY FUND
Statement of Assets and Liabilities
(Unaudited)
March 31, 1996
<TABLE>
<CAPTION>
- --------------------------------------------------------------------------------
<S> <C>
ASSETS
Short-term investments, as detailed in the accompanying schedule, at
amortized cost (approximates market) (Note 1).......................... $118,921,346
Cash on deposit with custodian........................................... 950
Receivables:
Interest and dividends................................................. 36,514
Deferred registration costs (Note 1)..................................... 125,393
Prepaid expenses......................................................... 13,489
------------
TOTAL ASSETS............................................................... 119,097,692
------------
LIABILITIES
Cash portion of dividends payable........................................ 26,275
Payable for investment advisory and management fees (Note 2)............. 54,168
Payable for distribution fees (Note 2)................................... 7
Accounts payable and accrued expenses.................................... 62,689
------------
TOTAL LIABILITIES.......................................................... 143,139
------------
NET ASSETS
Net proceeds of capital stock, par value $.01 per share- authorized
50,000,000,000 shares.................................................. $118,954,553
------------
SHARES OUTSTANDING AND NET ASSET VALUE PER SHARE:
Class A shares (based on net assets of $118,791,909 and 118,791,909
shares outstanding).................................................... $1.00
------------
Class B shares (based on net assets of $85,313 and 85,313 shares
outstanding)........................................................... $1.00
------------
Class C shares (based on net assets of $22,117 and 22,117 shares
outstanding)........................................................... $1.00
------------
Class H shares (based on net assets of $55,214 and 55,214 shares
outstanding)........................................................... $1.00
------------
</TABLE>
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
4
<PAGE>
FORTIS MONEY FUND
Statement of Operations
(Unaudited)
For the Six-Month Period Ended March 31, 1996
<TABLE>
<CAPTION>
- --------------------------------------------------------------------------------
<S> <C>
NET INVESTMENT INCOME:
Income
Interest income........................................................ $3,222,695
-----------
Expenses:
Investment advisory and management fees (Note 2)....................... 341,148
Distribution fees (Class B) (Note 2)................................... 177
Distribution fees (Class C) (Note 2)................................... 113
Distribution fees (Class H) (Note 2)................................... 339
Legal and auditing fees (Note 2)....................................... 12,877
Custodian fees......................................................... 9,911
Shareholders' notices and reports...................................... 18,643
Registration fees (Note 1)............................................. 41,246
Directors' fees and expenses (Note 2).................................. 7,426
Transfer agent expenses................................................ 54,749
Other.................................................................. 3,219
-----------
Total expenses........................................................... 489,848
-----------
NET INVESTMENT INCOME...................................................... 2,732,847
-----------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS....................... $2,732,847
-----------
</TABLE>
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
5
<PAGE>
FORTIS MONEY FUND
Statement of Changes in Net Assets
<TABLE>
<CAPTION>
- --------------------------------------------------------------------------------
FOR THE
SIX-MONTH FOR THE
PERIOD ENDED YEAR ENDED
MARCH 31, 1996 SEPTEMBER 30,
(UNAUDITED) 1995
--------------- ---------------
<S> <C> <C>
INCREASE IN NET ASSETS RESULTING FROM OPERATIONS
Net investment income.................................................... $ 2,732,847 $ 4,874,328
--------------- ---------------
DISTRIBUTIONS TO SHAREHOLDERS:
From net investment income
Class A................................................................ (2,729,139) (4,870,511)
Class B................................................................ (916) --
Class C................................................................ (1,030) (113)
Class H................................................................ (1,762) (3,704)
--------------- ---------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS........................................ (2,732,847) (4,874,328)
--------------- ---------------
CAPITAL STOCK TRANSACTIONS (AT CONSTANT $1.00 NET ASSET VALUE PER SHARE):
Proceeds from sale of shares
Class A................................................................ 139,370,020 207,903,318
Class B................................................................ 310,739 --
Class C................................................................ 88,125 12,134
Class H................................................................ 193,811 705,336
Proceeds from shares issued as a result of reinvested dividends
Class A................................................................ 2,481,257 4,461,202
Class B................................................................ 716 --
Class C................................................................ 989 112
Class H................................................................ 1,452 2,867
Less cost of repurchase of shares
Class A................................................................ (128,531,740) (212,551,606)
Class B................................................................ (226,142) --
Class C................................................................ (76,218) (3,025)
Class H................................................................ (261,998) (586,254)
--------------- ---------------
NET INCREASE (DECREASE) IN NET ASSETS FROM SHARE TRANSACTIONS.............. 13,351,011 (55,916)
--------------- ---------------
TOTAL INCREASE (DECREASE) IN NET ASSETS.................................... 13,351,011 (55,916)
NET ASSETS:
Beginning of period...................................................... 105,603,542 105,659,458
--------------- ---------------
End of period............................................................ $ 118,954,553 $ 105,603,542
--------------- ---------------
</TABLE>
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
6
<PAGE>
FORTIS MONEY FUND
Notes to Financial Statements
(Unaudited)
- --------------------------------------------------------------------------------
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: The fund is a diversified series
of Fortis Money Portfolios, Inc., an open-end management investment company.
The primary investment objective of the fund is maximum current income to the
extent consistent with stability of principal. The Articles of Incorporation
of Fortis Money Portfolios, Inc. permits the Board of Directors to create
additional portfolios in the future.
The fund offers Class A, Class B, Class C and Class H shares. The fund began
to issue multiple class shares effective November 14, 1994. Class B and H
shares may be subject to a contingent deferred sales charge for six years,
and such shares automatically convert to Class A after eight years. Class C
shares may be subject to a contingent deferred sales charge for one year.
Class A shares of the Fund will be offered to investors generally, while
Class B, C and H will be available only for exchange from the corresponding
class of any other fund. All classes of shares have identical voting,
dividend, liquidation and other rights and the same terms and conditions,
except that the level of distribution fees charged differs between classes.
Income, expenses (other than expenses incurred under each class's
distribution agreement) and realized and unrealized gains or losses on
investments are allocated to each class of shares based on its relative net
assets.
The significant accounting policies followed by the fund are as follows:
SECURITY VALUATION: Pursuant to Rule 2a-7 under the Investment Company Act of
1940, investments are valued at amortized cost which assumes a constant
amortization to maturity of discount or premium. The use of this method
results in a constant net asset value of $1.00.
SECURITY TRANSACTIONS AND RELATED INVESTMENT INCOME: Security transactions
are accounted for on the trade date. Interest income including amortization
of premium and discount, is recorded on the accrual basis. For the six-month
period ended March 31, 1996, the cost of purchases and proceeds from sales of
short-term securities aggregated $357,053,286 and $343,950,829, respectively.
INCOME TAXES: The fund intends to qualify, under the Internal Revenue Code,
as a regulated investment company and if so qualified, will not have to pay
federal income taxes to the extent its taxable net income is distributed. On
a calendar year basis, the fund intends to distribute substantially all of
its net investment income and realized gains, if any, to avoid the payment of
federal excise taxes.
DEFERRED COSTS: Registration costs are deferred and charged to income over
the registration period.
INCOME DISTRIBUTIONS: It is the policy of the fund to declare a distribution
of all its net investment income each day the New York Stock Exchange is
open, to shareholders of record the previous day, to be paid on the last
business day of each month.
USE OF ESTIMATES: The preparation of financial statements in conformity with
generally accepted accounting principles requires management to make
estimates and assumptions that affect the reported amounts of assets and
liabilities and disclosure of contingent assets and liabilities at the date
of the financial statements and the reported amounts of increase and decrease
in net assets from operations during the reporting period. Actual results
could differ from those estimates.
2. PAYMENTS TO RELATED PARTIES: Fortis Advisers, Inc. is the investment adviser
for the fund. Investment advisory and management fees are computed at an
annual rate of .6% of the first $500 million of average daily net assets and
.55% of average daily net assets in excess of $500 million.
Pursuant to a plan adopted under Rule 12b-1 of the Investment Company Act of
1940, Fortis Advisers uses .2% of its advisory and management fee to pay for
distribution expenses. Classes B, C and H pay Fortis Investors, Inc. (the
fund's principal underwriter) additional distribution fees equal to .8% of
average daily net assets (of the respective classes) on an annual basis.
Fortis Investors, Inc. also received sales charges (paid by redeemers of the
funds' shares) aggregating $1,583 for Class B, $70 for Class C and $1,972 for
Class H.
The fund also reimburses Fortis Advisers, Inc. for direct transfer agent
expenses such as postage.
Legal fees and expenses aggregating $5,409 for the six-month period ended
March 31, 1996 were paid to a law firm of which the secretary of the fund is
a partner.
7
<PAGE>
FORTIS MONEY FUND
Notes to Financial Statements (continued)
(Unaudited)
- --------------------------------------------------------------------------------
3. FINANCIAL HIGHLIGHTS Selected per share and other historical data was as
follows:
<TABLE>
<CAPTION>
Class A
------------------------------------------------------------------------
Year Ended September 30,
------------------------------------------------------------------------
1996*** 1995 1994 1993 1992 1991**
<S> <C> <C> <C> <C> <C> <C>
- -------------------------------------------------------------------------------------------------------------------
Net asset value, beginning of period.... $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
--------- --------- --------- -------- -------- ---------
Operations:
Investment income - net............... .02 .05 .03 .02 .03 .04
--------- --------- --------- -------- -------- ---------
Distributions to shareholders:
From investment income - net.......... (.02) (.05) (.03) (.02) (.03) (.04)
--------- --------- --------- -------- -------- ---------
Net asset value, end of period.......... $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
--------- --------- --------- -------- -------- ---------
Total return @.......................... 2.41% 5.03% 2.92% 2.36% 3.61% 4.36%
Net assets end of period (000s
omitted).............................. $ 118,792 $ 105,472 $ 105,659 $ 94,399 $ 98,302 $ 121,003
Ratio of expenses to average daily net
assets................................ .86%* .91% .88% .93% .83% .82%*
Ratio of net investment income to
average daily net assets.............. 4.81%* 4.91% 2.92% 2.34% 3.59% 5.70%*
</TABLE>
* Annualized.
** Nine-month period ended September 30, 1991.
*** For the six-month period ended March 31, 1996.
**** For the period from June 14, 1995 (date of first investment) to
September 30, 1995.
+ For the period from March 16, 1995 (date of first investment) to
September 30, 1995.
@ These are the portfolio's total returns during the periods, including
reinvestment of all distributions.
# No activity for the period from November 14, 1994 (commencement of
operations) to September 30, 1995.
<TABLE>
<CAPTION>
Class B Class C Class H
---------------- ---------------- ----------------
1996*** 1995# 1996*** 1995**** 1996*** 1995+
<S> <C> <C> <C> <C> <C> <C>
- ---------------------------------------------------------------------------------------------------
Net asset value, beginning of period.... $1.00 $1.00 $1.00 $1.00 $1.00
------ ------ ------ ------ ------ ------
Operations:
Investment income - net............... .02 .02 .01 .02 .02
------ ------ ------ ------ ------ ------
Distributions to shareholders:
From investment income - net.......... (.02) (.02) (.01) (.02) (.02)
------ ------ ------ ------ ------ ------
Net asset value, end of period.......... $1.00 $1.00 $1.00 $1.00 $1.00
------ ------ ------ ------ ------ ------
Total return @.......................... 2.12% 2.40% 1.33% 2.06% 2.52%
Net assets end of period (000s
omitted).............................. $ 85 $ 22 $ 9 $ 55 $ 122
Ratio of expenses to average daily net
assets................................ 1.66%* 1.66%* 1.71%* 1.66%* 1.71%*
Ratio of net investment income to
average daily net assets.............. 4.14%* 4.47%* 4.46%* 4.16%* 4.43%*
</TABLE>
* Annualized.
** Nine-month period ended September 30, 1991.
*** For the six-month period ended March 31, 1996.
**** For the period from June 14, 1995 (date of first investment) to
September 30, 1995.
+ For the period from March 16, 1995 (date of first investment) to
September 30, 1995.
@ These are the portfolio's total returns during the periods, including
reinvestment of all distributions.
# No activity for the period from November 14, 1994 (commencement of
operations) to September 30, 1995.
8
<PAGE>
DIRECTORS AND OFFICERS
DIRECTORS Richard W. Cutting CPA AND FINANCIAL CONSULTANT
Allen R. Freedman CHAIRMAN AND CHIEF EXECUTIVE OFFICER,
FORTIS, INC. MANAGING DIRECTOR OF
FORTIS INTERNATIONAL, N.V.
Dr. Robert M. Gavin PRESIDENT, MACALESTER COLLEGE
Benjamin S. Jaffray CHAIRMAN, SHEFFIELD GROUP, LTD.
Jean L. King PRESIDENT, COMMUNI-KING
Dean C. Kopperud CHIEF EXECUTIVE OFFICER AND DIRECTOR,
FORTIS ADVISERS, INC. PRESIDENT AND
DIRECTOR, FORTIS INVESTORS, INC.
SENIOR VICE PRESIDENT AND DIRECTOR,
FORTIS BENEFITS INSURANCE COMPANY,
TIME INSURANCE COMPANY
Edward M. Mahoney PRIOR TO JANUARY, 1995, CHAIRMAN AND
CHIEF EXECUTIVE OFFICER, FORTIS
ADVISERS, INC., FORTIS INVESTORS,
INC.
Robb L. Prince FINANCIAL AND EMPLOYEE BENEFIT
CONSULTANT PRIOR TO JULY, 1995, VICE
PRESIDENT AND TREASURER,
JOSTENS, INC.
Leonard J. Santow PRINCIPAL, GRIGGS & SANTOW, INC.
Joseph M. Wikler INVESTMENT CONSULTANT AND PRIVATE
INVESTOR PRIOR TO JANUARY, 1994,
DIRECTOR OF RESEARCH, CHIEF
INVESTMENT OFFICER, PRINCIPAL, AND
DIRECTOR, THE ROTHSCHILD CO.
OFFICERS
Dean C. Kopperud
PRESIDENT AND DIRECTOR
Robert W. Beltz, Jr.
VICE PRESIDENT
James S. Byrd
VICE PRESIDENT
Charles J. Dudley
VICE PRESIDENT
Thomas D. Gualdoni
VICE PRESIDENT
Maroun M. Hayek
VICE PRESIDENT
Howard G. Hudson
VICE PRESIDENT
Robert C. Lindberg
VICE PRESIDENT
Larry A. Medin
VICE PRESIDENT
Kevin J. Michels
VICE PRESIDENT
Jon H. Nicholson
VICE PRESIDENT
Fred Obser
VICE PRESIDENT
Dennis M. Ott
VICE PRESIDENT
David A. Peterson
VICE PRESIDENT
Nicholas L. M. de Peyster
VICE PRESIDENT
Stephen M. Poling
VICE PRESIDENT
Stephen M. Rickert
VICE PRESIDENT
Richard P. Roche
VICE PRESIDENT
Anthony J. Rotondi
VICE PRESIDENT
Rhonda J. Schwartz
VICE PRESIDENT
Keith R. Thomson
VICE PRESIDENT
Christopher J. Woods
VICE PRESIDENT
Gary N. Yalen
VICE PRESIDENT
Michael J. Radmer
SECRETARY
Tamara L. Fagely
TREASURER
INVESTMENT MANAGER, REGISTRAR Fortis Advisers, Inc.
AND TRANSFER AGENT BOX 64284, ST. PAUL, MINNESOTA 55164
PRINCIPAL UNDERWRITER Fortis Investors, Inc.
BOX 64284, ST. PAUL, MINNESOTA 55164
CUSTODIAN First Bank National Association
MINNEAPOLIS, MINNESOTA
GENERAL COUNSEL Dorsey & Whitney LLP
MINNEAPOLIS, MINNESOTA
INDEPENDENT AUDITORS KPMG Peat Marwick LLP
MINNEAPOLIS, MINNESOTA
The use of this material is authorized only when preceded or accompanied by a
prospectus.
9
<PAGE>
FORTIS FINANCIAL GROUP
Fortis Financial Group (FFG) is a premier provider of insurance and
investment portfolios whose fund manager, Fortis Advisers, Inc. has established
a nationwide reputation for money management. Through Fortis Investors, Inc.,
FFG offers mutual funds, annuities and life insurance. Life insurance products
are issued and underwritten by Fortis Benefits Insurance Company and Time
Insurance Company.
[PHOTO]
FFG is part of Fortis, Inc., a financial services company that owns or
manages approximately $11 billion* in assets. Fortis, Inc. is part of Fortis, a
wordwide group of companies active in the fields of insurance, banking and
investments with assets in excess of $140 billion.* Fortis is jointly owned by
Fortis AMEV of The Netherlands and Fortis AG of Belgium.
Like the Fortis name, which comes from the Latin for steadfast, our focus is
on the long-term in all we do: the relationships we build, the performance we
seek, the service we provide and the products we offer.
*Assets as of 12/31/95
-----------------
FORTIS-Registered Trademark- Bulk Rate
FORTIS FINANCIAL GROUP US Postage
P.O. Box 64284 PAID
St. Paul, MN 55164 Permit No. 3794
Minneapolis, MN
-----------------
PRINTED ON RECYCLED PAPER WITH
[GRAPHIC] 40% PRECONSUMER WASTE AND
10% POST CONSUMER WASTE.
PLEASE RECYCLE.
95379 (Ed. 5/96)
