SEMI-ANNUAL REPORT AS OF
DECEMBER 31, 1999 (UNAUDITED)
SEI LIQUID
ASSET TRUST
- --------------------------------------------------------------------------------
Treasury Securities Fund
- --------------------------------------------------------------------------------
Government Securities Fund
- --------------------------------------------------------------------------------
Prime Obligation Fund
- --------------------------------------------------------------------------------
[Logo Omitted]
<PAGE>
[BLANK PAGE]
<PAGE>
TABLE OF CONTENTS
- --------------------------------------------------------------------------------
STATEMENT OF NET ASSETS ................................................. 2
STATEMENT OF OPERATIONS ................................................. 6
STATEMENT OF CHANGES IN NET ASSETS ...................................... 7
FINANCIAL HIGHLIGHTS .................................................... 8
NOTES TO FINANCIAL STATEMENTS ........................................... 9
<PAGE>
STATEMENT OF NET ASSETS
- --------------------------------------------------------------------------------
SEI LIQUID ASSET TRUST -- DECEMBER 31, 1999 (UNAUDITED)
TREASURY SECURITIES FUND
- ---------------------------------------------------------------------------
FACE
DESCRIPTION AMOUNT (000) VALUE (000)
- ---------------------------------------------------------------------------
U.S. TREASURY OBLIGATIONS -- 32.6%
U.S. Treasury Bills
5.305%, 01/13/00 $22,000 $ 21,961
5.480%, 01/13/00 50,000 49,909
5.055%, 03/09/00 14,000 13,866
U.S. Treasury Notes
5.875%, 02/15/00 10,000 10,012
7.125%, 02/29/00 5,000 5,017
4.000%, 10/31/00 25,000 24,676
5.750%, 11/15/00 10,000 9,999
4.625%, 11/30/00 24,000 23,715
5.625%, 11/30/00 8,000 7,974
--------
Total U.S. Treasury Obligations
(Cost $167,129) 167,129
--------
REPURCHASE AGREEMENTS -- 67.7%
ABN-Amro (A)
3.000%, dated 12/31/99, matures
01/03/00, repurchase price
$15,003,750 (collateralized by
U.S. Treasury Notes, ranging in
par value $4,465,000 - $12,071,000,
4.750% - 6.625%, 05/15/07-
11/15/08; with total market
value $15,300,303) 15,000 15,000
Barclay De Zoete Wedd (A)
2.750%, dated 12/31/99, matures
01/03/00, repurchase price
$70,016,042 (collateralized by
U.S. Treasury Bill, par value
$74,721,000, 10/12/00; with total
market value $71,400,847) 70,000 70,000
JP Morgan & Company (A)
2.500%, dated 12/31/99, matures
01/03/00, repurchase price
$75,015,625 (collateralized by
U.S. Treasury Notes,
ranging in par value $3,080,000-
$72,564,000, 5.625% - 7.875%,
04/30/00 - 08/15/01; with total
market value $76,500,794) 75,000 75,000
Lehman Brothers, Incorporated (B)
2.500%, dated 12/31/99, matures
01/03/00, repurchase price
$52,310,896 (collateralized by
U.S. Treasury STRIPS, par value
$185,785,000, 05/15/18; with total
market value $53,357,452) 52,300 52,300
- --------------------------------------------------------------------
FACE
DESCRIPTION AMOUNT (000) VALUE (000)
- --------------------------------------------------------------------
Paribas Corporation (A)
2.850%, dated 12/31/99, matures
01/03/00, repurchase price
$80,019,000 (collateralized by
U.S. Treasury Notes,
ranging in par value $12,784,000-
$68,240,000, 5.750%-6.375%,
11/15/00-03/31/01;
with total market value
$81,600,965) $80,000 $ 80,000
Warburg Dillion (A)
2.500%, dated 12/31/99, matures
01/03/00 repurchase price
$55,011,458 (collateralized by
U.S. Treasury Note, par value
$62,900,000, 4.750%, 11/15/08; with
total market value $56,103,198) 55,000 55,000
--------
Total Repurchase Agreements
(Cost $347,300) 347,300
--------
Total Investments -- 100.3%
(Cost $514,429) 514,429
--------
Other Assets and Liabilities, Net -- (0.3%) (1,508)
--------
NET ASSETS:
Fund Shares of Class A (unlimited
authorization -- no par value) based on
512,737,296 outstanding shares of
beneficial interest 512,737
Fund Shares of Class D (unlimited
authorization -- no par value) based on
226,614 outstanding shares of
beneficial interest 227
Undistributed net investment income 187
Accumulated net realized loss
on investments (230)
--------
Total Net Assets -- 100.0% $512,921
========
Net Asset Value, Offering and Redemption
Price Per Share -- Class A $1.00
========
Net Asset Value, Offering and Redemption
Price Per Share -- Class D $1.00
========
(A) TRI-PARTY REPURCHASE AGREEMENT
(B) TERM REPURCHASE AGREEMENT
STRIPS -- SEPARATE TRADING OF REGISTERED INTEREST AND PRINCIPAL OF SECURITIES
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
2
<PAGE>
- --------------------------------------------------------------------------------
GOVERNMENT SECURITIES FUND
- ------------------------------------------------------------------------
FACE
DESCRIPTION AMOUNT (000) VALUE (000)
- ------------------------------------------------------------------------
U.S. GOVERNMENT AGENCY OBLIGATIONS -- 97.7%
FFCB
5.830%, 01/24/00 $ 640 $ 638
FHLB
8.030%, 01/05/00 1,000 1,000
4.900%, 01/14/00 3,800 3,800
4.850%, 01/27/00 2,000 2,000
4.790%, 02/04/00 2,000 2,000
5.490%, 02/04/00 2,000 1,990
5.600%, 02/11/00 1,264 1,256
5.625%, 06/02/00 2,535 2,535
5.550%, 08/17/00 1,500 1,494
FHLMC
5.750%, 01/10/00 3,000 2,996
5.740%, 01/13/00 2,500 2,495
5.780%, 01/18/00 1,916 1,911
5.830%, 01/27/00 600 597
5.850%, 01/27/00 800 797
5.560%, 02/15/00 2,420 2,403
5.505%, 07/14/00 484 482
5.500%, 08/11/00 1,682 1,625
FNMA
5.850%, 01/13/00 600 599
5.540%, 01/26/00 590 588
5.630%, 01/28/00 3,000 2,987
5.830%, 02/04/00 5,000 4,972
6.100%, 02/10/00 2,000 2,002
5.620%, 02/24/00 2,000 1,983
5.600%, 04/06/00 5,000 4,925
5.250%, 06/15/00 2,508 2,447
5.550%, 08/10/00 500 499
4.840%, 11/27/00 1,000 987
FNMA (A)
6.300%, 01/02/00 6,000 5,996
6.301%, 01/22/00 4,500 4,497
5.970%, 03/23/00 4,000 4,000
SLMA
5.570%, 03/17/00 2,000 2,002
-------
Total U.S. Government Agency Obligations
(Cost $68,503) 68,503
-------
- ------------------------------------------------------------------------
FACE
DESCRIPTION AMOUNT (000) VALUE (000)
- ------------------------------------------------------------------------
REPURCHASE AGREEMENT -- 2.3%
JP Morgan & Company (B)
3.250%, dated 12/31/99, matures
01/03/00, repurchase price $1,600,433
(collateralized by U.S. Government
Obligation, par value $2,725,000,
7.000%, 03/15/12; with total market
value $1,661,313) $1,600 $ 1,600
---------
Total Repurchase Agreement
(Cost $1,600) 1,600
---------
Total Investments -- 100.0%
(Cost $70,103) 70,103
---------
Other Assets and Liabilities, Net -- 0.0% 36
---------
NET ASSETS:
Fund Shares of Class A (unlimited
authorization -- no par value) based on
70,138,203 outstanding shares of
beneficial interest 70,138
Distribution in excess of net
investment income (2)
Accumulated net realized gain
on investments 3
---------
Total Net Assets -- 100.0% $ 70,139
=========
Net Asset Value, Offering and Redemption
Price Per Share -- Class A $1.00
=========
(A) VARIABLE RATE INSTRUMENT. THE RATE REFLECTED ON THE STATEMENT OF NET ASSETS
IS THE RATE IN EFFECT ON DECEMBER 31, 1999. THE DATE SHOWN IS THE EARLIER OF
THE RESET DATE OR THE DEMAND DATE.
(B) TRI-PARTY REPURCHASE AGREEMENT
FFCB -- FEDERAL FARM CREDIT BANK
FHLB -- FEDERAL HOME LOAN BANK
FHLMC -- FEDERAL HOME LOAN MORTGAGE CORPORATION
FNMA -- FEDERAL NATIONAL MORTGAGE ASSOCIATION
SLMA -- STUDENT LOAN MARKETING ASSOCIATION
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
3
<PAGE>
STATEMENT OF NET ASSETS
- --------------------------------------------------------------------------------
SEI LIQUID ASSET TRUST -- DECEMBER 31, 1999 (UNAUDITED)
PRIME OBLIGATION FUND
- ------------------------------------------------------------------------
FACE
DESCRIPTION AMOUNT (000) VALUE (000)
- ------------------------------------------------------------------------
COMMERCIAL PAPER -- 48.1%
BANKS -- 1.8%
Wells Fargo & Company
5.870%, 03/15/00 $30,000 $ 29,638
---------
DRUGS -- 1.2%
American Home Products
5.730%, 02/23/00 20,000 19,831
---------
FINANCIAL SERVICES -- 13.8%
Associates Corporation of
North America
5.900%, 01/27/00 25,000 24,893
5.880%, 02/17/00 15,000 14,885
Countrywide Home Loans
6.620%, 02/03/00 50,000 49,697
Ford Motor Credit Corporation
5.450%, 01/20/00 25,000 24,928
5.960%, 02/07/00 10,000 9,939
General Electric Capital
Corporation
5.700%, 03/13/00 20,000 19,772
5.830%, 03/21/00 10,000 9,870
Island Finance of Puerto Rico
5.950%, 02/28/00 17,300 17,134
Metlife Funding
5.900%, 02/04/00 5,000 4,972
Sears Roebuck Acceptance
6.150%, 02/10/00 25,000 24,829
6.150%, 03/01/00 25,000 24,744
---------
225,663
---------
FOOD, BEVERAGE & TOBACCO -- 1.4%
Campbell Soup Company
4.850%, 04/13/00 14,000 13,806
Dean Foods Company
5.930%, 02/14/00 10,000 9,928
---------
23,734
---------
INVESTMENT BANKER/BROKER DEALER -- 8.2%
Goldman Sachs Group LP
6.250%, 02/29/00 50,000 49,488
JP Morgan & Company
5.920%, 03/10/00 10,000 9,887
5.870%, 04/17/00 20,000 19,651
Merrill Lynch & Company
5.600%, 01/20/00 15,000 14,956
5.970%, 01/31/00 40,000 39,801
---------
133,783
---------
PRINTING & PUBLISHING -- 3.2%
Scripps Ew
5.780%, 03/08/00 25,000 24,731
5.780%, 03/09/00 20,000 19,782
5.930%, 03/17/00 7,500 7,406
---------
51,919
---------
SPECIAL PURPOSE ACQUISITIONS -- 0.9%
Delaware Funding Corporation
5.870%, 02/11/00 10,150 10,082
5.870%, 02/23/00 5,000 4,957
---------
15,039
---------
- ------------------------------------------------------------------------
FACE
DESCRIPTION AMOUNT (000) VALUE (000)
- ------------------------------------------------------------------------
SPECIAL PURPOSE ENTITY -- 16.1%
Aesop Funding Corporation
7.200%, 01/14/00 $ 20,000 $ 19,948
6.800%, 01/21/00 19,798 19,723
5.980%, 02/17/00 20,000 19,844
6.080%, 03/06/00 5,000 4,945
Edison Asset Securitization LLC
5.900%, 02/25/00 20,000 19,820
5.840%, 03/09/00 29,057 28,736
Falcon Asset Securitization
Corporation
5.860%, 02/08/00 30,000 29,814
Greyhawk Funding LLC
6.250%, 01/14/00 10,000 9,977
5.950%, 02/24/00 30,000 29,732
5.880%, 02/25/00 15,000 14,865
PNC Funding Corporation
6.130%, 01/28/00 10,000 9,954
Preferred Receivable Funding
5.900%, 02/04/00 20,000 19,889
Riverwoods Funding Corporation
5.980%, 02/04/00 15,000 14,915
6.000%, 02/15/00 22,500 22,331
---------
264,493
---------
STEEL & STEEL WORKS -- 0.6%
Alcoa Incorporated
6.150%, 01/19/00 10,000 9,969
---------
UTILITIES -- 0.9%
National Rural Utilities
5.800%, 02/23/00 15,000 14,872
---------
Total Commercial Paper
(Cost $788,941) 788,941
---------
U.S. GOVERNMENT AGENCY OBLIGATION -- 0.3%
FHLMC
5.750%, 01/27/00 5,000 4,979
---------
Total U.S. Government Agency Obligation
(Cost $4,979) 4,979
---------
CERTIFICATES OF DEPOSIT/BANK NOTES -- 16.9%
First National Bank Chicago
5.180%, 03/15/00 25,000 24,997
First National Bank Maryland
4.970%, 01/28/00 25,000 24,999
First Tennessee Bank
5.600%, 01/31/00 35,000 35,001
First USA Bank
6.050%, 09/18/00 20,000 19,993
Fleet National Bank (A)
6.339%, 01/26/00 5,000 5,003
Key Bank North America (A)
6.198%, 01/20/00 10,000 9,999
4
<PAGE>
- --------------------------------------------------------------------------------
PRIME OBLIGATION FUND (CONCLUDED)
- ------------------------------------------------------------------------
FACE
DESCRIPTION AMOUNT (000) VALUE (000)
- ------------------------------------------------------------------------
Key Bank North America
5.650%, 01/20/00 $15,000 $ 14,995
Key Bank North America (A)
6.220%, 03/16/00 20,000 20,000
National City Bank
5.000%, 02/08/00 40,000 39,999
National City Bank (A)
6.656%, 01/08/00 3,000 3,003
NationsBank
4.980%, 01/07/00 25,000 25,000
PNC Bank
5.040%, 02/16/00 30,000 29,998
Wilmington Trust
6.000%, 05/03/00 25,000 25,000
-----------
Total Certificates of Deposit/Bank Notes
(Cost $277,987) 277,987
-----------
INSURANCE FUNDING AGREEMENTS -- 5.1%
Allstate Corporation (A)
5.647%, 01/01/00 10,000 10,000
6.211%, 03/15/00 20,000 20,000
Metropolitan Life Insurance
Company (A)
6.285%, 02/01/00 10,000 10,000
6.285%, 02/01/01 10,000 10,000
People's Security Life Insurance
Company (A)
6.310%, 01/01/00 25,000 25,000
Travelers Insurance (A)
6.166%, 03/01/00 9,000 9,000
-----------
Total Insurance Funding Agreements
(Cost $84,000) 84,000
-----------
CORPORATE BONDS/MEDIUM TERM NOTES -- 19.6%
Albertson's Incorporated (A)
6.441%, 01/14/00 10,000 9,998
6.443%, 01/14/00 40,000 39,984
American Express Centurion Bank
6.000%, 03/30/00 20,000 20,000
AT&T Corporation (A)
6.136%, 01/13/00 30,000 29,994
6.163%, 02/07/00 10,000 10,000
Branch Banking & Trust (A)
6.264%, 01/28/00 18,500 18,504
Corporate Asset Funding
Corporation (A)
6.174%, 01/12/00 35,000 35,000
Corporate Receivable
Corporation (A)
6.541%, 01/16/00 40,000 40,000
General Electric Capital
Corporation (A)
6.014%, 02/14/00 25,000 25,000
National Rural Utility (A)
6.141%, 03/27/00 35,000 34,994
Park Avenue Receivables (A)
6.513%, 01/09/00 44,000 43,999
- --------------------------------------------------------------------------
FACE
DESCRIPTION AMOUNT (000) VALUE (000)
- --------------------------------------------------------------------------
SMM Trust 99-A (A)
6.298%, 01/13/00 $15,000 $ 15,000
-----------
Total Corporate Bonds/Medium
Term Notes
(Cost $322,473) 322,473
-----------
TIME DEPOSITS -- 8.9%
Chase Manhattan Bank
5.500%, 01/03/00 35,000 35,000
Fifth Third Bancorp
5.500%, 01/03/00 50,000 50,000
Regions Bank
5.500%, 01/03/00 60,000 60,000
-----------
Total Time Deposits
(Cost $145,000) 145,000
-----------
REPURCHASE AGREEMENT -- 0.9%
Credit Suisse First Boston (B)
3.000%, dated 12/31/99, matures
01/03/00, repurchase price
$15,003,750 (collateralized by
various U.S. Government Obligations,
ranging in par value $28,199 -
$7,825,000, 5.500% - 10.000%,
03/01/00 - 10/01/27; with total
market value $15,345,557) 15,000 15,000
-----------
Total Repurchase Agreement
(Cost $15,000) 15,000
-----------
Total Investments -- 99.8%
(Cost $1,638,380) 1,638,380
-----------
Other Assets and Liabilities, Net -- 0.2% 3,678
-----------
NET ASSETS:
Fund Shares of Class A (unlimited authorization
-- no par value) based on
1,642,026,056 outstanding shares
of beneficial interest 1,642,026
Undistributed net investment income 37
Accumulated net realized loss
on investments (5)
-----------
Total Net Assets -- 100.0% $ 1,642,058
===========
Net Asset Value, Offering and Redemption
Price Per Share -- Class A $1.00
============
(A) VARIABLE RATE INSTRUMENT. THE RATE REFLECTED ON THE STATEMENT OF NET ASSETS
IS THE RATE IN EFFECT ON DECEMBER 31, 1999. THE DATE SHOWN IS THE EARLIER
OF THE RESET DATE OR DEMAND DATE.
(B) TRI-PARTY REPURCHASE AGREEMENT
FHLMC -- FEDERAL HOME LOAN MORTGAGE CORPORATION
LLC -- LIMITED LIABILITY COMPANY
LP -- LIMITED PARTNERSHIP
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
5
<PAGE>
<TABLE>
<CAPTION>
STATEMENT OF OPERATIONS (000)
- --------------------------------------------------------------------------------------------------------------------------
SEI LIQUID ASSET TRUST -- FOR THE SIX MONTH PERIOD ENDED DECEMBER 31, 1999 (UNAUDITED)
------------------ ------------------ ------------------
TREASURY GOVERNMENT PRIME
SECURITIES SECURITIES OBLIGATION
FUND FUND FUND
------------------ ------------------ ------------------
<S> <C> <C> <C>
Interest Income $13,931 $2,423 $40,220
------- ------ -------
EXPENSES:
Management fees 1,139 193 3,073
Less: management fees waived (66) (8) (112)
Investment advisory fees 90 15 243
Less: investment advisory fees waived (56) (9) (152)
Shareholder servicing fees -- Class A 678 114 1,831
Less: shareholder servicing fees waived -- Class A (678) (114) (1,831)
Distribution fees -- Class D 1 -- --
Less: distribution fees waived -- Class D -- -- --
Wire agent fees 5 1 19
Custodian fees 14 1 35
Professional fees 12 1 29
Trustee fees 2 1 5
Printing 16 2 33
Insurance 3 -- 6
Rating 3 -- --
Other fees 30 4 44
------- ------ -------
Total net expenses 1,193 201 3,223
------- ------ -------
NET INVESTMENT INCOME 12,738 2,222 36,997
------- ------ -------
Net realized gain from security transactions -- 1 1
------- ------ -------
NET INCREASE IN NET ASSETS FROM OPERATIONS $12,738 $2,223 $36,998
======= ====== =======
</TABLE>
AMOUNTS DESIGNATED AS "--" ARE EITHER $0 OR HAVE BEEN ROUNDED TO $0.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
6
<PAGE>
<TABLE>
<CAPTION>
STATEMENT OF CHANGES IN NET ASSETS (000)
- ------------------------------------------------------------------------------------------------------------------------------------
SEI LIQUID ASSET TRUST -- FOR THE SIX MONTH PERIOD ENDED DECEMBER 31, 1999 (UNAUDITED) AND THE YEAR ENDED JUNE 30, 1999
---------------------------- ------------------------- ------------------------
TREASURY GOVERNMENT PRIME
SECURITIES SECURITIES OBLIGATION
FUND FUND FUND
---------------------------- ------------------------- ------------------------
07/01/99 07/01/98 07/01/99 07/01/98 07/01/99 07/01/98
12/31/99 06/30/99 12/31/99 06/30/99 12/31/99 06/30/99
---------------------------- ------------------------- ------------------------
<S> <C> <C> <C> <C> <C> <C>
OPERATIONS:
Net investment income $ 12,738 $ 29,276 $ 2,222 $ 4,305 $ 36,997 $ 59,360
Net realized gain from security
transactions -- 22 1 17 1 71
----------- ----------- -------- ----------- ---------- ----------
Net increase in net assets resulting
from operations 12,738 29,298 2,223 4,322 36,998 59,431
----------- ----------- -------- ----------- ---------- ----------
DIVIDENDS DISTRIBUTED FROM:
Net investment income:
Class A (12,792) (29,267) (2,220) (4,304) (37,013) (59,360)
Class D (5) (9) -- -- -- --
----------- ----------- -------- ----------- ---------- ----------
Total dividends distributed (12,797) (29,276) (2,220) (4,304) (37,013) (59,360)
----------- ----------- -------- ----------- ---------- ----------
CAPITAL SHARE TRANSACTIONS (ALL AT $1.00 PER SHARE):
Class A:
Proceeds from shares issued 1,551,904 4,625,192 236,071 585,676 5,238,046 8,708,570
Reinvestment of cash distributions 393 970 311 455 16,682 21,243
Cost of shares redeemed (1,605,441) (4,664,071) (274,714) (582,882) (4,947,956) (8,341,737)
----------- ----------- -------- ----------- ---------- ----------
Increase (decrease) in net assets derived from
Class A transactions (53,144) (37,909) (38,332) 3,249 306,772 388,076
----------- ----------- -------- ----------- ---------- ----------
Class D:
Proceeds from shares issued 4 43 -- -- -- --
Reinvestment of cash distributions 5 7 -- -- -- --
Cost of shares redeemed (14) (55) -- -- -- --
----------- ----------- -------- ----------- ---------- ----------
Decrease in net assets derived
from Class D transactions (5) (5) -- -- -- --
----------- ----------- -------- ----------- ---------- ----------
Net increase (decrease) in net assets derived
from capital share transactions (53,149) (37,914) (38,332) 3,249 306,772 388,076
----------- ----------- -------- ----------- ---------- ----------
Net increase (decrease) in net assets (53,208) (37,892) (38,329) 3,267 306,757 388,147
----------- ----------- -------- ----------- ---------- ----------
NET ASSETS:
Beginning of Period 566,129 604,021 108,468 105,201 1,335,301 947,154
----------- ----------- -------- ----------- ---------- ----------
End of Period $ 512,921 $ 566,129 $ 70,139 $ 108,468 $1,642,058 $1,335,301
=========== =========== ======== =========== ========== ==========
</TABLE>
AMOUNTS DESIGNATED AS "--" ARE EITHER $0 OR HAVE BEEN ROUNDED TO $0. THE
ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
7
<PAGE>
<TABLE>
<CAPTION>
FINANCIAL HIGHLIGHTS
- ------------------------------------------------------------------------------------------------------------------------------------
SEI LIQUID ASSET TRUST -- FOR THE SIX MONTH PERIOD ENDED DECEMBER 31, 1999 (UNAUDITED) AND THE YEARS ENDED JUNE 30.
FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD
NET ASSET REALIZED AND DISTRIBUTIONS DISTRIBUTIONS
VALUE NET UNREALIZED FROM NET FROM NET ASSET NET ASSETS
BEGINNING INVESTMENT GAINS ON INVESTMENT REALIZED CAPITAL VALUE END TOTAL END OF
OF PERIOD INCOME SECURITIES INCOME GAINS OF PERIOD RETURN PERIOD (000)
- ----------------------------------------------------------------------------------------------------------------------------
- -------------------
TREASURY SECURITIES
- -------------------
CLASS A
<S> <C> <C> <C> <C> <C> <C> <C> <C>
1999 $1.00 $0.02 -- $(0.02) -- $1.00 2.40% $ 512,695
1999 1.00 0.05 -- (0.05) -- 1.00 4.72 565,897
1998 1.00 0.05 -- (0.05) -- 1.00 5.29 603,783
1997 1.00 0.05 -- (0.05) -- 1.00 5.10 706,232
1996 1.00 0.05 -- (0.05) -- 1.00 5.37 832,393
1995 1.00 0.05 -- (0.05) -- 1.00 5.05 1,254,888
CLASS D
1999 $1.00 $0.02 -- $(0.02) -- $1.00 2.22% $ 226
1999 1.00 0.04 -- (0.04) -- 1.00 4.35 232
1998 1.00 0.05 -- (0.05) -- 1.00 4.92 238
1997 1.00 0.05 -- (0.05) -- 1.00 4.73 216
1996 1.00 0.05 -- (0.05) -- 1.00 5.01 219
1995 1.00 0.05 -- (0.05) -- 1.00 4.69 9,798
- ---------------------
GOVERNMENT SECURITIES
- ---------------------
CLASS A
1999 $1.00 $0.02 -- $(0.02) -- $1.00 2.48% $ 70,139
1999 1.00 0.05 -- (0.05) -- 1.00 4.74 108,468
1998 1.00 0.05 -- (0.05) -- 1.00 5.21 105,201
1997 1.00 0.05 -- (0.05) -- 1.00 5.09 148,606
1996 1.00 0.05 -- (0.05) -- 1.00 5.30 169,133
1995 1.00 0.05 -- (0.05) -- 1.00 5.18 200,768
- ----------------
PRIME OBLIGATION
- ----------------
CLASS A
1999 $1.00 $0.03 -- $(0.03) -- $1.00 2.57% $1,642,058
1999 1.00 0.05 -- (0.05) -- 1.00 4.97 1,335,301
1998 1.00 0.05 -- (0.05) -- 1.00 5.40 947,154
1997 1.00 0.05 -- (0.05) -- 1.00 5.20 823,270
1996 1.00 0.05 -- (0.05) -- 1.00 5.39 747,852
1995 1.00 0.05 -- (0.05) -- 1.00 5.20 940,863
</TABLE>
RATIO OF
NET
RATIO OF RATIO OF INVESTMENT
NET EXPENSES INCOME
RATIO OF INVESTMENT TO AVERAGE TO AVERAGE
EXPENSES INCOME NET ASSETS NET ASSETS
TO AVERAGE TO AVERAGE (EXCLUDING (EXCLUDING
NET ASSETS NET ASSETS WAIVERS) WAIVERS)
- -----------------------------------------------------------------
- -------------------
TREASURY SECURITIES
- -------------------
CLASS A
1999 0.44%* 4.70%* 0.73%* 4.41%*
1999 0.44 4.62 0.73 4.33
1998 0.44 5.17 0.73 4.88
1997 0.44 4.98 0.74 4.68
1996 0.44 5.27 0.52 5.19
1995 0.44 4.93 0.54 4.83
CLASS D
1999 0.79%* 4.35%* 0.88%* 4.26%*
1999 0.79 4.27 0.88 4.18
1998 0.79 4.82 0.88 4.73
1997 0.79 4.64 0.89 4.54
1996 0.79 4.92 0.87 4.84
1995 0.79 5.15 0.89 5.05
- ---------------------
GOVERNMENT SECURITIES
- ---------------------
CLASS A
1999 0.44%* 4.85%* 0.73%* 4.56%*
1999 0.44 4.66 0.73 4.37
1998 0.44 5.10 0.73 4.81
1997 0.44 4.98 0.71 4.71
1996 0.44 5.19 0.54 5.09
1995 0.44 5.04 0.53 4.95
- ----------------
PRIME OBLIGATION
- ----------------
CLASS A
1999 0.44%* 5.05%* 0.73%* 4.76%*
1999 0.44 4.84 0.73 4.55
1998 0.44 5.27 0.73 4.98
1997 0.44 5.08 0.74 4.78
1996 0.44 5.27 0.53 5.18
1995 0.44 5.21 0.53 5.12
*ALL RATIOS FOR THE SIX MONTH PERIOD ENDED DECEMBER 31, 1999 (UNAUDITED) HAVE
BEEN ANNUALIZED.
AMOUNTS DESIGNATED AS "--" ARE EITHER $0 OR HAVE BEEN ROUNDED TO $0.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
8
<PAGE>
NOTES TO FINANCIAL STATEMENTS
- --------------------------------------------------------------------------------
SEI LIQUID ASSET TRUST -- DECEMBER 31, 1999 (UNAUDITED)
1. ORGANIZATION
SEI Liquid Asset Trust (the "Trust") was organized as a Massachusetts business
trust under a Declara-tion of Trust dated July 20, 1981.
The Trust is registered under the Investment Company Act of 1940, as
amended, as a diversified, open-end management investment company with five
funds: the Treasury Securities Fund, the Government Securities Fund, the Prime
Obligation Fund, the Institutional Cash Fund and the Money Market Fund (the
"Funds"). The Trust is registered to offer Class A shares of each of the Funds
and Class D shares of the Treasury Securities Fund. In the fiscal period ending
December 31, 1999, no shares of the Institutional Cash Fund were sold. As of
December 31, 1999 the Money Market Fund had not commenced operations. The assets
of each Fund are segregated and a shareholder's interest is limited to the Fund
in which shares are held. A description of the Funds' investment objectives,
policies, and strategies are provided in the prospectus.
2. SIGNIFICANT ACCOUNTING POLICIES
The following is a summary of significant accounting policies followed by the
Trust.
SECURITY VALUATION--Investment securities are stated at amortized cost,
which approximates market value. Under this valuation method, purchase discounts
and premiums are accreted and amortized ratably to maturity.
FEDERAL INCOME TAXES--It is each Fund's intention to continue to qualify as
a regulated investment company and distribute all of its taxable income.
Accordingly, no provision for Federal income taxes is required.
REPURCHASE AGREEMENTS--Securities pledged as collateral for repurchase
agreements are held by the Fund's custodian bank until maturity of the
repurchase agreement. The Trust also invests in tri-party repurchase agreements.
Securities held as collateral for tri-party repurchase agreements are maintained
in a segregated account by the broker's custodian bank until maturity of the
repurchase agreement. Provisions of the agreements and procedures adopted by the
Manager of the Trust require that the market value of the collateral, including
accrued interest thereon, is sufficient to cover interest and principal in the
event of default by the counterparty.
If the counterparty defaults and the value of the collateral declines or if
the counterparty enters an insolvency proceeding, realization of the collateral
by the Trust may be delayed or limited.
DISCOUNT AND PREMIUM AMORTIZATION--All amortization is calculated using the
straight line method over the holding period of the security. Amortization of
premiums and discounts is included in interest income.
EXPENSES--Expenses of the Trust which are not directly associated to a
specific Fund are allocated on the basis of relative net asset value of the
affected Funds.
CLASSES--Class specific expenses, 12b-1 and transfer agent fees for Class D
and shareholder servicing fees for Class A, are borne by that class. Income,
expenses and realized gains/losses are allocated to the respective classes on
the basis of relative daily net assets.
USE OF ESTIMATE IN THE PREPARATION OF FINANCIAL STATEMENTS--The preparation
of financial statements, in conformity with generally accepted accounting
principles, requires management to make estimates and assumptions that affect
the reported amount of assets and liabilities and disclosure of contingent
assets and liabilities at the date of the financial statements and the reported
amounts of revenue and expenses during the reporting period. Actual results
could differ from those estimates.
DISTRIBUTIONS--Distributions from ordinary income and net realized capital
gains are determined in accordance with U.S. Federal income tax regulations,
which may differ from those amounts determined under generally accepted
accounting principles. These book/tax differences can be either temporary or
permanent in nature, and may necessitate reclassifications between undistributed
net investment income, undistributed net realized capital gains and/or
additional paid in capital.
OTHER--Security transactions are accounted for on the date the securities
are purchased or sold. Costs used in determining realized gains and losses on
the sale of investment securities are those of the specific securities sold.
Distributions from net investment income are declared on a daily basis and are
payable on the first business day of the following month. Any net realized
capital gains of the Funds are distributed to the shareholders of the affected
Funds annually.
9
<PAGE>
NOTES TO FINANCIAL STATEMENTS
- --------------------------------------------------------------------------------
SEI LIQUID ASSET TRUST -- DECEMBER 31, 1999 (UNAUDITED)
3. TRANSACTIONS WITH AFFILIATES
SEI Investments Fund Management (the "Manager") provides management,
administrative and shareholder services to the Trust for an annual fee, which is
calculated daily and paid monthly, of .42% of the average daily net assets of
each Fund. The Manager has agreed to bear certain expenses of the Trust so that
the total expenses do not exceed .44% of average daily net assets annually.
SEI Investments Distribution Co. ("the Distributor"), a wholly-owned
subsidiary of SEI Investments Corporation and a registered broker-dealer, acts
as the distributor of the shares of the Trust under a Distribution Agreement.
The Trust has adopted a shareholder servicing plan for its Class A shares (the
"Class A Plan") pursuant to which a shareholder servicing fee of up to .25% of
the average daily net assets attributable to Class A shares will be paid to the
Distributor. Under the Class A Plan the Distributor may perform, or may
compensate other service providers for performing, certain shareholder and
administrative services. The Distributor has waived, on a voluntary basis, all
of its shareholder servicing fee.
The Trust has adopted a distribution plan for its Class D shares (the
"Class D Plan") pursuant to which a 12b-1 fee of up to .25% of the average daily
net assets attributable to Class D shares will be paid to the Distributor. For
the period ending December 31, 1999, the Distributor is taking a fee under the
Class D Plan of .20% of the average daily net assets attributable to Class D
shares. This payment may be used to compensate financial institutions that
provide distribution-related services to their customers. Under both the Class A
Plan and the Class D Plan, the Distributor may retain as a profit any difference
between the fee it receives and the amount it pays to third parties.
In addition, the Trust has entered into a separate Transfer Agent Agreement
with respect to Class D shares under which DST Systems, Inc. is entitled to a
fee of .15% of the average daily net assets of Class D plus out-of-pocket costs.
Certain officers and/or Trustees of the Trust are also officers and/or
Directors of the Manager or the Distributor. Compensation of officers and
affiliated Trustees of the Trust is paid by the Manager and/or the Distributor.
First Union, which is a Trust shareholder, acts as Custodian and Wire Agent
for the Trust.
4. INVESTMENT ADVISORY
Wellington Management Company serves as the Investment Adviser of the Trust. For
its services, the Investment Adviser receives an annual fee equal to .075% of
the Trust's average daily net asset value up to $500 million and .02% of such
net asset value in excess of $500 million. Effective January 1, 1999, the
adviser has voluntarily agreed to partially waive its fee in a proportion agreed
upon with the manager. The fees of the Investment Adviser are paid monthly.
5. CAPITAL LOSS CARRYOVERS
At June 30, 1999, the Funds had capital loss carryovers, to the extent provided
in regulations, for Federal income tax purposes as follows:
Treasury Securities
Fund: $125,249 expiring in 2005
104,723 expiring in 2006
Prime Obligation
Fund: 3,116 expiring in 2005
3,005 expiring in 2006
10
<PAGE>
NOTES
<PAGE>
NOTES
<PAGE>
- -----------------------
SEI LIQUID ASSET TRUST
- -----------------------
SEMI-ANNUAL REPORT
- -----------------------
DECEMBER 31, 1999
Robert A. Nesher
CHAIRMAN
TRUSTEES
William M. Doran
F. Wendell Gooch
James M. Storey
George J. Sullivan, Jr.
OFFICERS
Edward D. Loughlin
PRESIDENT AND CHIEF EXECUTIVE OFFICER
Mark Nagle
CONTROLLER AND CHIEF FINANCIAL OFFICER
Todd Cipperman
VICE PRESIDENT, ASSISTANT SECRETARY
Lynda Striegel
VICE PRESIDENT, ASSISTANT SECRETARY
James Foggo
VICE PRESIDENT, ASSISTANT SECRETARY
Lydia Gavalis
VICE PRESIDENT, ASSISTANT SECRETARY
Cynthia M. Parrish
VICE PRESIDENT, ASSISTANT SECRETARY
Kevin P. Robins
VICE PRESIDENT, ASSISTANT SECRETARY
Richard W. Grant
SECRETARY
INVESTMENT ADVISER
Wellington Management Company, LLP
MANAGER AND SHAREHOLDER SERVICING AGENT
SEI Investments Fund Management
DISTRIBUTOR
SEI Investments Distribution Co.
LEGAL COUNSEL
Morgan, Lewis & Bockius LLP
INDEPENDENT PUBLIC ACCOUNTANTS
PricewaterhouseCoopers LLP
THIS SEMI-ANNUAL REPORT AND THE FINANCIAL STATEMENTS CONTAINED HEREIN ARE
SUBMITTED FOR THE GENERAL INFORMATION OF THE SHAREHOLDERS OF THE TRUST AND MUST
BE PRECEDED OR ACCOMPANIED BY A CURRENT PROSPECTUS. SHARES OF THE SEI FUNDS ARE
NOT DEPOSITS OR OBLIGATIONS OF, OR GUARANTEED OR ENDORSED BY, ANY BANK. THE
SHARES ARE NOT FEDERALLY INSURED BY THE FEDERAL DEPOSIT INSURANCE CORPORATION
(FDIC), THE FEDERAL RESERVE BOARD, OR ANY OTHER GOVERNMENT AGENCY. INVESTMENT IN
THE SHARES INVOLVES RISK, INCLUDING THE POSSIBLE LOSS OF PRINCIPAL. SEI
INVESTMENTS DISTRIBUTION CO., THE DISTRIBUTOR OF THE SEI FUNDS, IS NOT
AFFILIATED WITH ANY BANK.
FOR INFORMATION CALL 1-800-DIAL-SEI/1-800-342-5734
<PAGE>
[LOGO OMITTED] INVESTMENTS
DISTRIBUTION
CO.
Oaks, PA 19456-1100
800-DIAL-SEI/800-342-5734
SEI-F-103-06
<PAGE>
