<PAGE>
WESTCORE FUNDS Better research makes the difference.
November 29th, 1996
Semi-Annual
Report
Westcore Equity Funds
Westcore MIDCO Growth Fund
Westcore Blue Chip Fund
Westcore Growth and Income Fund
Westcore Small-Cap Opportunity Fund
Westcore Bond Funds
Westcore Intermediate-Term Bond Fund
Westcore Long-Term Bond Fund
Westcore Colorado Tax-Exempt Fund
Westcore Funds are managed by
Denver Investment Advisors LLC.
<PAGE>
Dear Westcore Investor:
This 1996 Semi-Annual Report provides you with an update on your Westcore Funds'
performance and holdings.
As you receive this report, the U.S. economy will be starting its 6th year of
growth. In this long business cycle, inflation has remained low, earnings
generally have grown, and the stock market has continued to set new record
highs. The growth has enabled the budget deficit to decline, the Federal Reserve
has been able to pursue a benign monetary policy and interest rates are at
moderate levels.
This environment has been good for shareholders of the Westcore Funds. While our
managers are always vigilant to possible changes in the environment, they expect
to continue to see moderate economic growth and low inflation, which should be a
positive climate for returns on financial assets. A major concern for stock
investors is valuation. The stock market is selling at the high end of historic
valuation ranges. Our managers foresee that these valuation levels will
continue, but feel they are unlikely to increase.
Westcore's investment research continues to focus on security selection through
identifying early changes that can lead to rapid earnings growth and/or higher
valuations for individual stocks and bonds.
Over the long-term, our Funds have generated competitive returns and several of
our portfolio managers and Funds have received favorable national publicity from
news outlets such as CNBC and Investors' Business Daily. Westcore provides a
family of no-load funds that can meet a wide variety of investment objectives
and we believe the Funds are well-positioned for the current economic
conditions.
We continue to be committed to providing you the best customer service
possible. Please let us hear from you with questions about your investments or
ideas on improving our service.
Sincerely,
/s/ JACK D. HENDERSON /s/ KENNETH V. PENLAND
Jack D. Henderson Kenneth V. Penland
Chairman President
<PAGE>
- -------------------------------------------------------------------------------
WESTCORE FUNDS SEMI-ANNUAL REPORT
- -------------------------------------------------------------------------------
STATEMENT OF ASSETS AND LIABILITIES
NOVEMBER 29, 1996 (UNAUDITED)
<TABLE>
<CAPTION>
MIDCO Blue Small-Cap Growth Intermediate- Long-Term Colorado
Growth Chip Opportunity and Income Term Bond Tax-Exempt
Fund Fund Fund Fund Bond Fund Fund Fund
------------ ------------ ------------ ------------ ------------ ------------ ------------
<S> <C> <C> <C> <C> <C> <C> <C>
ASSETS
Investments, at value
(cost-see below) 628,025,253 62,365,433 36,007,940 22,106,854 70,852,016 23,951,048 18,454,781
-see accompanying statements
Receivable for investments sold 3,580,811 0 0 0 678,740 4,329 0
Dividends and interest receivable 121,898 139,107 27,840 53,151 1,142,343 408,389 324,566
Shares of beneficial
interest sold 2,512,825 48,411 1,247 17,996 16,513 0 2,000
Organizational costs, net of
accumulated amortization 0 0 36,155 0 0 0 0
Prepaid expenses and other assets 18,184 17,314 8,392 9,461 14,933 9,593 8,677
- -----------------------------------------------------------------------------------------------------------------------------------
Total Assets 634,258,971 62,570,265 36,081,574 22,187,462 72,704,545 24,373,359 18,790,024
- -----------------------------------------------------------------------------------------------------------------------------------
LIABILITIES
Investments purchased 4,003,134 21,302 247 19,071 0 0 1,304,668
Investment
advisory fee 317,989 30,935 19,429 4,394 20,823 6,514 0
Shares of beneficial
interest redeemed 593,950 1,027 989 16,426 84,504 4,329 0
Administration fee 146,764 14,895 7,706 4,682 16,901 5,673 2,840
Trustee fee 441 118 244 247 179 164 52
Other payables 398,442 51,924 15,170 32,765 59,105 22,337 5,392
- -----------------------------------------------------------------------------------------------------------------------------------
Total Liabilities 5,460,720 120,201 43,785 77,585 181,512 39,017 1,312,952
- -----------------------------------------------------------------------------------------------------------------------------------
NET ASSETS 628,798,251 62,450,064 36,037,789 22,109,877 72,523,033 24,334,342 17,477,072
- -----------------------------------------------------------------------------------------------------------------------------------
- -----------------------------------------------------------------------------------------------------------------------------------
COMPOSITION OF NET ASSETS
Paid-in capital 362,726,143 33,755,344 28,221,824 13,960,610 72,944,573 22,296,550 16,909,948
(Over) Undistributed net
investment income (5,111,294) 128,061 1,174 (181,514) 81,434 29,181 15,172
Accumulated net realized
gain (loss) from investment
transactions 85,872,980 10,217,244 1,262,434 2,525,529 (1,828,137) 414,831 (26,824)
Net unrealized appreciation
of investments 185,310,422 18,349,415 6,552,357 5,805,252 1,325,163 1,593,780 578,776
- -----------------------------------------------------------------------------------------------------------------------------------
NET ASSETS 628,798,251 62,450,064 36,037,789 22,109,877 72,523,033 24,334,342 17,477,072
- -----------------------------------------------------------------------------------------------------------------------------------
- -----------------------------------------------------------------------------------------------------------------------------------
NET ASSET VALUE PER SHARE
Net Assets 628,798,251 62,450,064 36,037,789 22,109,877 72,523,033 24,334,342 17,477,072
- -----------------------------------------------------------------------------------------------------------------------------------
Shares of beneficial
interest outstanding 27,015,728 3,207,049 1,583,795 1,644,050 6,976,746 2,383,628 1,605,669
Net asset value and redemption
price per share $23.28 $19.47 $22.75 $13.45 $10.39 $10.21 $10.88
COST OF INVESTMENTS $442,714,831 $44,016,018 $29,455,583 $16,301,602 $69,526,853 $22,357,268 $17,876,005
- -----------------------------------------------------------------------------------------------------------------------------------
- -----------------------------------------------------------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
- ---------------------------------------------------------------------------- 3
<PAGE>
MIDCO GROWTH FUND
STATEMENT OF INVESTMENTS
NOVEMBER 29, 1996 (UNAUDITED)
Shares Market Value*
- ------ -------------
COMMON STOCK 94.62%
- -------------------------------------------------------------------------------
CAPITAL GOODS 17.73%
- -------------------------------------------------------------------------------
COMPUTER HARDWARE .82%
- -------------------------------------------------------------------------------
88,700 Sun Microsystems Inc $5,166,775
-------------
COMPUTER SOFTWARE & SERVICES 8.81%
- -------------------------------------------------------------------------------
104,800 American Management Systems 3,726,950
71,900 Broderbund Software Inc** 2,157,000
93,100 CompuServe Corporation** 977,550
88,400 Electronic Arts Inc** 2,839,850
154,914 First Data Corp 6,177,197
42,300 Harbinger Corp 1,105,088
148,600 Informix Corp** 3,529,250
89,100 McAfee Associates Inc 4,254,525
237,525 Oracle Corp 11,638,725
45,800 PeopleSoft Inc 4,190,700
52,200 PSINet Inc** 662,288
24,100 Renaissance Solutions Inc** 909,774
42,400 Security Dynamics Technologies 1,743,700
160,100 Sterling Commerce Inc** 5,043,150
45,300 Synopsys Inc** 2,004,525
98,650 Technology Solutions Co 4,439,250
-------------
55,399,522
-------------
ELECTRONICS 3.38%
- -------------------------------------------------------------------------------
49,800 Atmel Corp** 1,637,175
29,300 Lattice Semiconductor Corp** 1,311,175
79,800 Maxim Integrated Products Inc** 3,700,725
42,600 Microchip Technology Inc 2,034,150
84,700 SCI Systems Inc** 4,467,925
55,500 Solectron Corp** 3,246,750
137,400 VLSI Technology Inc** 3,160,200
37,500 Xilinx Inc** 1,645,312
-------------
21,203,412
-------------
ENGINEERING & CONSTRUCTION .64%
- -------------------------------------------------------------------------------
83,200 Ionics Inc** 4,014,400
-------------
NETWORKING 3.09%
- -------------------------------------------------------------------------------
188,900 3Com Corp** 14,191,113
21,600 Ascend Communications Inc 1,536,300
54,300 Cisco Systems Inc 3,685,612
-------------
19,413,025
-------------
OFFICE PRODUCTS .49%
- -------------------------------------------------------------------------------
59,700 Alco Standard Corp 3,089,475
-------------
OTHER-CAPITAL GOODS .50%
- -------------------------------------------------------------------------------
51,600 Greenfield Industries Inc $1,509,300
41,000 OEA Inc 1,650,250
-------------
3,159,550
-------------
TOTAL CAPITAL GOODS
(Cost $75,911,047) 111,446,159
-------------
CONSUMER CYCLICALS 39.77%
- -------------------------------------------------------------------------------
BUILDING RELATED .95%
- -------------------------------------------------------------------------------
44,000 Fleetwood Enterprises Inc 1,342,000
149,000 Newell Co 4,619,000
-------------
5,961,000
-------------
CONSUMER PRODUCTS 1.11%
- -------------------------------------------------------------------------------
130,800 Callaway Golf Co 3,973,050
81,500 Culligan Water Technologies** 3,035,875
-------------
7,008,925
-------------
CONSUMER SERVICES 5.04%
- -------------------------------------------------------------------------------
576,232 CUC International Inc 15,198,119
319,900 Loewen Group Inc 12,915,962
136,200 Sylvan Learning Systems Inc 3,558,225
-------------
31,672,306
-------------
CONSUMER SOFT GOODS .92%
- -------------------------------------------------------------------------------
72,900 Designer Holdings Ltd** 1,120,838
58,800 Jones Apparel Group 1,808,100
107,900 Warnaco Group Inc Class A 2,872,837
-------------
5,801,775
-------------
DISTRIBUTION .28%
- -------------------------------------------------------------------------------
47,800 MSC Indl Direct Inc Cl A** 1,786,525
-------------
HOTELS/LEISURE 4.73%
- -------------------------------------------------------------------------------
299,000 HFS Inc 19,360,250
86,100 Harrahs Entertainment Inc** 1,528,275
136,900 International Game Technology 2,669,550
67,800 MGM Grand Inc** 2,618,775
215,100 Prime Hospitality Corp** 3,576,038
-------------
29,752,888
-------------
4 ----------------------------------------------------------------------------
<PAGE>
MIDCO GROWTH FUND
STATEMENT OF INVESTMENTS
NOVEMBER 29, 1996 (UNAUDITED)(CONTINUED)
Shares Market Value*
- ------ -------------
MEDIA-PUBLISHING 5.36%
- -------------------------------------------------------------------------------
143,750 Evergreen Media Corp Class A $3,557,813
494,300 Home Shopping Network Inc** 5,560,875
285,925 Infinity Broadcasting Co Cl A** 9,185,341
380,000 National Education Corp** 5,367,500
22,800 Scholastic Corp** 1,698,600
44,100 Tribune Co 3,814,650
272,900 Westwood One Inc** 4,536,962
-------------
33,721,741
-------------
OTHER-CONSUMER CYCLICAL .59%
- -------------------------------------------------------------------------------
121,450 Unifi Inc 3,689,044
-------------
RETAIL 10.45%
- -------------------------------------------------------------------------------
232,400 AutoZone Inc** 5,722,850
174,100 Bed Bath & Beyond Inc 4,559,244
73,200 CVS Corp 3,010,350
197,100 Consolidated Stores Corp 7,292,700
42,400 Discount Auto Parts Inc.** 1,086,500
318,133 Dollar General Corp 9,146,324
21,074 Footstar Inc 432,017
199,000 General Nutrition Cos** 3,432,750
23,600 Intimate Brands Inc Cl A 383,500
133,700 Kohls Corp 5,331,288
202,300 Lowe's Companies Inc 8,218,438
238,900 Pier 1 Imports Inc 3,255,013
87,200 Saks Holdings Inc** 2,834,000
103,700 Sports Authority Inc.** 2,566,574
66,800 Stein Mart** 1,277,550
88,700 TJX Companies Inc 4,002,587
156,500 Zale Corp** 3,110,437
-------------
65,662,122
-------------
TELECOMMUNICATIONS 10.34%
- -------------------------------------------------------------------------------
96,000 ADC Telecommunications Inc 3,480,000
75,100 Adtran Inc** 3,351,338
89,700 FORE Systems Inc 3,520,725
142,000 ICG Communications Inc** 2,982,000
53,900 Intermedia Communication Co** 1,603,525
31,900 LCI International Inc** 1,040,738
263,000 MFS Communications Inc** 12,689,750
68,200 Nokia Corp 3,827,725
64,300 QUALCOMM Inc** 2,700,600
72,000 Spectrian Corp** 693,000
26,400 Sync Research Inc** 518,100
83,300 Teleport Communications Inc** 2,759,313
69,700 U.S. Robotics Corp 5,480,162
57,100 Uniphase Corp 3,397,450
734,260 WorldCom Inc 16,979,760
-------------
65,024,186
-------------
TOTAL CONSUMER CYCLICALS
(Cost $170,888,708) 250,080,512
-------------
CONSUMER STAPLES 17.12%
- -------------------------------------------------------------------------------
DRUG & HEALTHCARE PRODUCTS 5.93%
- -------------------------------------------------------------------------------
60,000 Arrow International Inc $1,605,000
102,600 Biochem Pharmaceuticals Inc.** 4,394,163
123,900 Biogen Inc 4,739,175
66,600 Guidant Corp 3,521,475
81,800 IDEXX Laboratories Corp** 2,863,000
147,800 North American Vaccine Inc.** 3,602,625
81,000 Physio-Control Intl Corp** 1,498,500
111,500 SEQUUS Pharmaceuticals Inc** 1,602,813
23,500 St Jude Med Inc** 981,125
48,700 Sola International Inc** 1,710,588
202,300 Sybron Intl Corp** 6,144,863
118,932 Watson Pharmaceuticals Inc** 4,638,347
-------------
37,301,674
-------------
FOOD, BEVERAGES, & TOBACCO .32%
- -------------------------------------------------------------------------------
76,350 Richfood Holdings Inc 1,985,100
-------------
HEALTHCARE SERVICES 10.87%
- -------------------------------------------------------------------------------
108,900 Access Health Inc 4,274,325
194,800 Genesis Health Ventures 5,430,050
90,900 HBO & Co 5,169,938
226,450 Health Mgmt Association Cl A 5,010,206
102,600 HEALTHSOUTH Corp** 3,860,325
562,600 Oxford Health Plans Inc 32,630,800
54,100 Pediatrix Med Group** 2,089,613
225,175 PhyCor Inc 7,275,966
76,600 Total Renal Care Holdings** 2,623,550
-------------
68,364,773
-------------
TOTAL CONSUMER STAPLES
(Cost $66,576,053) 107,651,547
-------------
CREDIT SENSITIVE 4.67%
- -------------------------------------------------------------------------------
FINANCIAL SERVICES 2.28%
- -------------------------------------------------------------------------------
56,750 ADVANTA Corp Cl. B 2,383,500
41,800 Credit Acceptance Corp** 1,081,575
75,013 Mercury Finance Co 872,026
50,300 MGIC Investment Corp Wisconsin 3,766,213
91,400 Olympic Financial Ltd** 1,268,175
128,700 Schwab Charles Corp 3,877,087
171,800 World Acceptance Corp** 1,116,700
-------------
14,365,276
-------------
INSURANCE 1.44%
- -------------------------------------------------------------------------------
42,800 Executive Risk 1,712,000
90,745 Frontier Insurance Group Inc 3,470,996
115,533 Mutual Risk Management Ltd 3,855,914
-------------
9,038,910
-------------
- ---------------------------------------------------------------------------- 5
<PAGE>
MIDCO GROWTH FUND
STATEMENT OF INVESTMENTS
NOVEMBER 29, 1996 (UNAUDITED)(CONTINUED)
Shares Market Value*
- ------ -------------
UTILITIES-ELECTRIC .95%
- -------------------------------------------------------------------------------
121,797 AES Corp** $5,952,831
-------------
TOTAL CREDIT SENSITIVE
(Cost $18,424,369) 29,357,017
-------------
INTERMEDIATE GOODS
& SERVICES 15.33%
- -------------------------------------------------------------------------------
AUTOMOTIVE .51%
- -------------------------------------------------------------------------------
35,000 APS Holding Corporation** 665,000
131,700 Gentex Corp 2,564,041
-------------
3,229,041
-------------
BUSINESS SERVICES 4.74%
- -------------------------------------------------------------------------------
93,733 AC Nielsen Corp** 1,628,617
45,000 Alternative Resources Corp** 776,250
72,100 Cognizant Corp** 2,487,450
55,200 Concord EFS Inc.** 1,607,700
198,900 Medaphis Corp** 2,063,588
59,000 National Techteam Inc 1,290,625
59,700 Newpark Resources** 2,089,500
451,800 Philip Environmental** 5,873,400
67,000 United Waste Systems 2,244,500
216,100 USA Waste Services** 6,969,225
45,800 West Teleservices Corp** 1,139,275
70,500 Wilmar Industries Inc** 1,603,874
-------------
29,774,004
-------------
CHEMICAL 1.61%
- -------------------------------------------------------------------------------
139,400 Airgas Inc** 3,589,550
45,900 Cytec Industries Inc 1,698,300
33,000 Olin Corp** 1,315,875
72,700 Praxair Inc 3,535,038
-------------
10,138,763
-------------
ENERGY EQUIPMENT & SERVICES 2.98%
- -------------------------------------------------------------------------------
85,600 BJ Services Inc.** 4,087,400
11,400 Falcon Drilling Inc** 456,000
216,000 Input/Output Inc** 5,184,000
158,100 Nabors Industries** 3,063,188
57,400 Production Operators Corp 2,568,650
2,100 Reading & Bates Corp** 60,900
70,600 Tidewater Inc 3,088,750
4,000 Transocean Offshore Inc 241,000
-------------
18,749,888
-------------
ENERGY PRODUCERS 4.95%
- -------------------------------------------------------------------------------
117,600 Anadarko Petroleum 7,864,500
361,700 Apache Corp 13,156,838
12,200 Noble Drilling** 234,850
251,100 Parker & Parsley Petroleum Co 8,286,300
31,200 United Meridian Corp** 1,591,200
-------------
31,133,688
-------------
TRANSPORTATION .54%
- -------------------------------------------------------------------------------
136,575 Comair Holdings Inc $3,397,303
-------------
TOTAL INTERMEDIATE GOODS & SERVICES
(Cost $77,847,323) 96,422,687
-------------
WARRANTS 0.00%
- -------------------------------------------------------------------------------
71 Westwood One Inc. Warrants 0
(Cost $0) -------------
TOTAL COMMON STOCKS
(Cost $409,647,500) 594,957,922
-------------
MUTUAL FUNDS 3.04%
- -------------------------------------------------------------------------------
19,000,360 Provident Institutional Temp Fund 19,105,424
(Cost $19,105,424) -------------
Face SHORT-TERM U.S. GOVERNMENT
Amount TREASURIES 2.22%
- -------------------------------------------------------------------------------
$14,000,000 United States Treasury Bill 13,961,907
(Cost $13,961,907) -------------
TOTAL INVESTMENTS
(Cost $442,714,831) 99.88% $628,025,253
Other Assets in Excess
of Liabilities 0.12% 772,998
---------------------------
NET ASSETS 100.00% $628,798,251
---------------------------
---------------------------
*See Note 1 to Notes of Financial Statements.
**Denotes non-income producing security.
6 ----------------------------------------------------------------------------
<PAGE>
BLUE CHIP FUND
STATEMENT OF INVESTMENTS
NOVEMBER 29, 1996 (UNAUDITED)
Shares Market Value*
- ------ -------------
COMMON STOCK 99.68%
- -------------------------------------------------------------------------------
CAPITAL GOODS 7.26%
- -------------------------------------------------------------------------------
AEROSPACE & DEFENSE 4.37%
- -------------------------------------------------------------------------------
22,400 McDonnell Douglas Corp $1,184,400
11,000 United Technologies Corp 1,542,750
-------------
2,727,150
-------------
COMPUTER SOFTWARE & SERVICES 2.89%
- -------------------------------------------------------------------------------
27,502 Computer Associates International Inc. 1,808,257
-------------
TOTAL CAPITAL GOODS
(Cost $1,782,787) 4,535,407
-------------
CONSUMER CYCLICALS 17.12%
- -------------------------------------------------------------------------------
ENTERTAINMENT 2.17%
- -------------------------------------------------------------------------------
42,900 Carnival Corp Class A 1,356,713
-------------
HARDWARE & TOOLS 2.05%
- -------------------------------------------------------------------------------
33,800 Black & Decker Corp 1,280,175
-------------
HOTELS-MOTELS 2.35%
- -------------------------------------------------------------------------------
50,100 Hilton Hotels Corp 1,465,425
-------------
PHOTOGRAPHY/IMAGING 2.05%
- -------------------------------------------------------------------------------
15,800 Eastman Kodak Co 1,279,800
-------------
RETAIL STORES-DEPARTMENT STORES 1.63%
- -------------------------------------------------------------------------------
33,200 Dillard Department Stores Cl A 1,016,750
-------------
RETAIL STORES-GENERAL MERCHANDISE 6.87%
- -------------------------------------------------------------------------------
41,800 Dayton Hudson Corp 1,624,975
46,100 GAP Stores Inc 1,480,962
23,750 Sears Roebuck & Co 1,181,562
-------------
4,287,499
-------------
TOTAL CONSUMER CYCLICALS
(Cost $7,643,045) 10,686,362
-------------
CONSUMER STAPLES 29.59%
- -------------------------------------------------------------------------------
BEVERAGES-ALCOHOLIC 2.02%
- -------------------------------------------------------------------------------
29,800 Anheuser Busch Cos 1,262,775
-------------
BEVERAGES-SOFT DRINKS 2.06%
- -------------------------------------------------------------------------------
43,060 PepsiCo Inc 1,286,417
-------------
DRUGS 4.79%
- -------------------------------------------------------------------------------
17,000 Pfizer Inc 1,523,625
20,600 Schering-Plough Corp 1,467,750
-------------
2,991,375
-------------
FOOD 5.77%
- -------------------------------------------------------------------------------
29,400 Dole Food Co $1,146,600
45,600 IBP Inc 1,128,600
33,800 Sara Lee Corp 1,326,650
-------------
3,601,850
-------------
HEALTHCARE DIVERSIFIED 2.62%
- -------------------------------------------------------------------------------
14,390 Bristol-Myers Squibb Co 1,636,863
-------------
MEDICAL PRODUCTS & SUPPLIES 1.98%
- -------------------------------------------------------------------------------
29,500 Becton Dickinson & Co 1,239,000
-------------
RETAIL STORES-DRUG 4.64%
- -------------------------------------------------------------------------------
33,600 CVS Corp 1,381,800
38,300 Rite Aid Corp 1,517,638
-------------
2,899,438
-------------
RETAIL STORES-FOOD CHAINS 3.89%
- -------------------------------------------------------------------------------
33,930 Giant Food Inc Class A 1,145,138
39,200 Great Atlantic & Pacific Tea 1,283,800
-------------
2,428,938
-------------
TOBACCO 1.82%
- -------------------------------------------------------------------------------
34,740 UST Inc 1,133,393
-------------
TOTAL CONSUMER STAPLES
(Cost $13,567,232) 18,480,049
-------------
CREDIT SENSITIVE 24.72%
- -------------------------------------------------------------------------------
ELECTRIC COMPANIES 5.07%
- -------------------------------------------------------------------------------
37,400 Central & South West Corp 1,000,450
55,650 Edison International 1,106,043
31,630 General Public Utilities 1,063,558
-------------
3,170,051
-------------
FINANCIAL-MISCELLANEOUS 2.34%
- -------------------------------------------------------------------------------
15,200 Student Loan Marketing Ass'n 1,461,100
-------------
INVESTMENT BANKING/BROKERAGE 2.76%
- -------------------------------------------------------------------------------
38,333 Traveler's Group Inc 1,724,999
-------------
MAJOR REGIONAL BANKS 5.29%
- -------------------------------------------------------------------------------
21,240 First Union Corp 1,622,205
16,200 NationsBank Corp 1,678,725
-------------
3,300,930
-------------
MONEY CENTER BANKS 2.84%
- -------------------------------------------------------------------------------
18,750 Chase Manhattan Corp 1,771,875
-------------
NATURAL GAS 2.22%
- -------------------------------------------------------------------------------
28,850 Coastal Corp 1,388,406
-------------
PROPERTY & CASUALTY INSURANCE 2.21%
- -------------------------------------------------------------------------------
69,100 USF&G Corp 1,382,000
-------------
- ----------------------------------------------------------------------------- 7
<PAGE>
BLUE CHIP FUND
STATEMENT OF INVESTMENTS
NOVEMBER 29, 1996 (UNAUDITED)(CONTINUED)
Shares Market Value*
- ------ -------------
TELECOMMUNICATIONS 1.99%
- -------------------------------------------------------------------------------
29,660 Sprint Corp $1,242,013
-------------
TOTAL CREDIT SENSITIVE
(Cost $10,841,527) 15,441,374
-------------
INTERMEDIATE GOODS
& SERVICES 20.99%
- -------------------------------------------------------------------------------
CHEMICAL-DIVERSIFIED 2.38%
- -------------------------------------------------------------------------------
24,260 PPG Industries Inc. 1,485,925
-------------
OIL EXPLORATION & PRODUCTION 1.50%
- -------------------------------------------------------------------------------
17,700 Burlington Resources Inc 938,100
-------------
MISCELLANEOUS 4.48%
- -------------------------------------------------------------------------------
20,890 Harris Corp 1,430,965
14,700 Loew's Corp 1,363,425
-------------
2,794,390
-------------
OIL (INTEGRATED -DOMESTIC) 6.91%
- -------------------------------------------------------------------------------
9,200 Atlantic Richfield Co 1,279,950
24,100 Tosco Corp 1,834,613
52,600 USX-Marathon Group 1,203,225
-------------
4,317,788
-------------
OIL (INTEGRATED -INTERNATIONAL) 3.92%
- -------------------------------------------------------------------------------
9,900 Mobil Corp 1,197,900
12,600 Texaco Inc 1,248,975
-------------
2,446,875
-------------
RAILROADS 1.80%
- -------------------------------------------------------------------------------
24,100 CSX Corp 1,126,675
-------------
TOTAL INTERMEDIATE GOODS & SERVICES
(Cost $10,068,939) 13,109,753
-------------
TOTAL COMMON STOCKS
(Cost $43,903,530) 62,252,945
-------------
MUTUAL FUNDS .18%
- -------------------------------------------------------------------------------
109,734 Provident Institutional Temp Fund 112,488
(Cost $112,488) -------------
TOTAL INVESTMENTS
(Cost $44,016,018) 99.86% $62,365,433
Other Assets in Excess
of Liabilities 0.14% 84,631
------------- -------------
NET ASSETS 100.00% $62,450,064
------------- -------------
------------- -------------
*See Note 1 of Notes to Financial Statements.
SMALL-CAP OPPORTUNITY FUND
STATEMENT OF INVESTMENTS
NOVEMBER 29, 1996 (UNAUDITED)
Shares Market Value*
- ------ -------------
COMMON STOCK 97.71%
- -------------------------------------------------------------------------------
BASIC INDUSTRIES 6.22%
- -------------------------------------------------------------------------------
COMMERCIAL CONSTRUCTION 1.53%
- -------------------------------------------------------------------------------
27,495 Granite Construction Inc $549,900
-------------
PAPER & WOOD 1.10%
- -------------------------------------------------------------------------------
10,240 Rayonier Inc 396,800
-------------
RUBBER & PLASTICS 2.13%
- -------------------------------------------------------------------------------
19,300 Tredegar Industries 767,175
-------------
STEEL & CONCRETE 1.46%
- -------------------------------------------------------------------------------
9,270 Texas Industries Inc 527,231
-------------
TOTAL BASIC INDUSTRIES
(Cost $1,787,061) 2,241,106
-------------
CAPITAL GOODS 7.08%
- -------------------------------------------------------------------------------
CONSTRUCTION EQUIPMENT 1.65%
- -------------------------------------------------------------------------------
21,320 AGCO Corp 594,295
-------------
MISCELLANEOUS PRODUCTION GOODS 5.43%
- -------------------------------------------------------------------------------
14,716 Commercial Metals Co 469,073
23,850 Global Industrial Technologies** 488,925
11,270 Pittway Corp Class A 608,580
13,160 Smith (A.O.) Corp 389,865
-------------
1,956,443
-------------
TOTAL CAPITAL GOODS
(Cost $2,015,958) 2,550,738
-------------
CONSUMER CYCLICALS 13.26%
- -------------------------------------------------------------------------------
APPAREL/SHOES/TEXTILES 3.10%
- -------------------------------------------------------------------------------
15,500 Liz Claiborne Inc 656,813
9,880 Springs Industries Inc Cl A 459,420
-------------
1,116,233
-------------
CONSUMER DURABLES 1.65%
- -------------------------------------------------------------------------------
48,000 Furniture Brands International** 594,000
-------------
OTHER-CONSUMER CYCLICAL 2.58%
- -------------------------------------------------------------------------------
27,000 K2 Inc 455,000
27,000 Russ Berrie & Co 475,875
-------------
930,875
-------------
RESIDENTIAL CONSTRUCTION 2.50%
- -------------------------------------------------------------------------------
20,680 Continental Homes Holding Corp 423,940
46,970 NVR Inc** 475,571
-------------
899,511
-------------
8 ----------------------------------------------------------------------------
<PAGE>
SMALL-CAP OPPORTUNITY FUND
STATEMENT OF INVESTMENTS
NOVEMBER 29, 1996 (UNAUDITED)(CONTINUED)
Shares Market Value*
- ------ -------------
VEHICLES/ACCESSORIES 3.43%
- -------------------------------------------------------------------------------
14,800 Arvin Industries Inc $351,500
16,600 Coachmen Industries Inc 423,300
15,580 Control Devices** 159,695
20,200 Excel Industries Inc 303,000
-------------
1,237,495
-------------
TOTAL CONSUMER CYCLICALS
(Cost $4,269,858) 4,778,114
-------------
CONSUMER STAPLES 8.20%
- -------------------------------------------------------------------------------
DRUGS & MEDICAL PRODUCTS 2.34%
- -------------------------------------------------------------------------------
9,670 Bio Radiology Labs Cl A 288,891
15,820 Sola International Inc** 555,678
-------------
844,569
-------------
FOOD/AGRICULTURE 1.34%
- -------------------------------------------------------------------------------
28,000 Morningstar Group Inc** 483,000
-------------
MISCELLANEOUS 4.52%
- -------------------------------------------------------------------------------
28,800 American Safety Razor Co** 349,200
22,100 Herbalife International Inc 571,838
25,500 Paragon Trade Brands 707,625
-------------
1,628,663
-------------
TOTAL CONSUMER STAPLES
(Cost $2,317,232) 2,956,232
-------------
ENERGY 6.37%
- -------------------------------------------------------------------------------
OIL & NATURAL GAS 6.37%
- -------------------------------------------------------------------------------
8,700 Camco International 363,225
22,800 HS Resources Inc.** 387,600
20,900 Offshore Logistics Inc** 418,000
17,200 Pool Energy Services Co** 253,700
33,800 Santa Fe Energy Res Inc** 490,100
26,500 Tesoro Petroleum Corp** 384,250
-------------
(Cost $2,052,698) 2,296,875
-------------
FINANCIALS 17.93%
- -------------------------------------------------------------------------------
BANKS/SAVINGS & LOANS 10.74%
- -------------------------------------------------------------------------------
11,600 Astoria Financial 437,900
11,430 Deposit Guaranty Corporation 660,083
9,964 MAF Bancorp 341,265
24,400 ML Bancorp Inc 358,375
13,200 Magna Group Inc 400,950
23,210 NorthFork Bancorporation 789,140
18,600 Reliance Bancorp Inc 348,750
17,800 RCSB Financial Inc 535,111
-------------
3,871,574
-------------
INSURANCE 7.19%
- -------------------------------------------------------------------------------
6,500 Capital RE Corp $249,438
15,000 Enhance Financial Services Grp 513,750
24,550 Fremont General Corp 764,119
13,900 Guarantee Life Cos Inc 269,313
10,900 Life Re Corp 401,937
11,650 Selective Insurance Group Inc 393,188
-------------
2,591,745
-------------
TOTAL FINANCIALS
(Cost $5,373,105) 6,463,319
-------------
INTERMEDIATE GOODS
& SERVICES 19.55%
- -------------------------------------------------------------------------------
BUSINESS SERVICES 4.49%
- -------------------------------------------------------------------------------
24,760 Comdisco Inc 804,700
17,320 Standard Register Co 489,290
23,900 United Natural Foods** 322,650
-------------
1,616,640
-------------
MEDICAL & DENTAL 5.91%
- -------------------------------------------------------------------------------
25,370 Bindley Western Industries Inc 450,317
65,000 Health Images Inc 1,015,625
23,560 Universal Health Services Cl B 665,570
-------------
2,131,512
-------------
RETAIL 6.46%
- -------------------------------------------------------------------------------
9,900 Long's Drug Stores Corp 496,238
19,988 Proffitt's Inc.** 809,514
30,430 Shopko Stores Inc 471,665
20,900 Waban Inc** 551,238
-------------
2,328,655
-------------
TRAVEL/RECREATION 2.69%
- -------------------------------------------------------------------------------
15,600 Marcus Corp 360,750
36,560 Prime Hospitality Corp** 607,810
-------------
968,560
-------------
TOTAL INTERMEDIATE GOODS & SERVICES
(Cost $5,292,783) 7,045,367
-------------
TECHNOLOGY 14.17%
- -------------------------------------------------------------------------------
AEROSPACE 4.53%
- -------------------------------------------------------------------------------
12,600 Ducommun, Inc** 278,775
22,300 Kaman 281,538
12,210 Thiokol Corp 561,660
23,100 Tracor Inc** 508,200
-------------
1,630,173
-------------
- ----------------------------------------------------------------------------- 9
<PAGE>
SMALL-CAP OPPORTUNITY FUND
STATEMENT OF INVESTMENTS
NOVEMBER 29, 1996 (UNAUDITED)(CONTINUED)
Shares Market Value*
- ------ -------------
COMPUTER & OFFICE 8.21%
- -------------------------------------------------------------------------------
25,800 American Power Conversion Corp** $611,137
21,050 Evans & Sutherland Computer** 542,038
28,300 Southern Electronics Corp** 290,075
19,010 Western Digital Corp** 1,021,786
10,000 Varian Associates 492,500
-------------
2,957,536
-------------
TELECOMMUNICATIONS 1.43%
- -------------------------------------------------------------------------------
33,560 Digital Systems International** 515,985
-------------
TOTAL TECHNOLOGY
(Cost $3,909,888) 5,103,694
-------------
TRANSPORTATION 2.10%
- -------------------------------------------------------------------------------
AIR TRANSPORTATION 2.10%
- -------------------------------------------------------------------------------
20,520 Harper Group Inc 466,830
29,300 Mesa Airlines Inc** 289,338
-------------
(Cost $683,474) 756,168
-------------
UTILITIES 2.83%
- -------------------------------------------------------------------------------
ELECTRIC & GAS 2.83%
- -------------------------------------------------------------------------------
12,040 Central Hudson Gas & Electric 364,210
13,300 Commonwealth Energy System 322,524
14,000 Washington Gas & Light Co 334,250
-------------
(Cost $958,183) 1,020,984
-------------
TOTAL COMMON STOCKS
(Cost $28,660,240) 35,212,597
-------------
MUTUAL FUNDS .55%
- -------------------------------------------------------------------------------
192,192 Provident Institutional Temp Fund 196,969
(Cost $196,969) -------------
Face SHORT-TERM U.S. GOVERNMENT
Amount TREASURIES 1.66%
- -------------------------------------------------------------------------------
$600,000 United States Treasury Bill 598,374
(Cost $598,374) -------------
TOTAL INVESTMENTS
(Cost $29,455,583) 99.92% $36,007,940
Other Assets in Excess ------------- -------------
of Liabilities
00.08% 29,849
------------- -------------
NET ASSETS 100.00% $36,037,789
------------- -------------
------------- -------------
*See Note 1 of Notes to Financial Statements.
** Denotes non-income producing security.
GROWTH AND INCOME FUND
STATEMENT OF INVESTMENTS
NOVEMBER 29, 1996 (UNAUDITED)
Shares Market Value*
- ------ -------------
COMMON STOCK 85.80%
- -------------------------------------------------------------------------------
CAPITAL GOODS 11.43%
- -------------------------------------------------------------------------------
AEROSPACE & DEFENSE 2.46%
- -------------------------------------------------------------------------------
1,400 Boeing Co $139,125
9,000 Goodrich B.F.& Co 403,875
-------------
543,000
-------------
COMPUTER SOFTWARE & SERVICES 1.53%
- -------------------------------------------------------------------------------
7,000 Electronic Data Systems 338,625
-------------
ELECTRICAL EQUIPMENT 3.20%
- -------------------------------------------------------------------------------
6,800 General Electric Co 707,200
-------------
ELECTRONICS 1.03%
- -------------------------------------------------------------------------------
1,800 Intel Corp 228,375
-------------
OFFICE PRODUCTS .61%
- -------------------------------------------------------------------------------
2,600 Alco Standard Corp 134,550
-------------
OTHER-CAPITAL GOODS 2.60%
- -------------------------------------------------------------------------------
11,700 Greenfield Industries Inc 342,225
5,800 OEA Inc 233,450
-------------
575,675
-------------
TOTAL CAPITAL GOODS
(Cost $1,746,501) 2,527,425
-------------
CONSUMER CYCLICALS 18.42%
- -------------------------------------------------------------------------------
BUILDING RELATED .55%
- -------------------------------------------------------------------------------
4,000 Fleetwood Enterprises Inc 122,000
-------------
BUSINESS SERVICES 2.73%
- -------------------------------------------------------------------------------
2 AC Nielsen Corp** 35
4,200 Cognizant Corp** 144,900
9,000 Omnicom Group Inc 459,000
-------------
603,935
-------------
CONSUMER PRODUCTS 2.17%
- -------------------------------------------------------------------------------
6,500 Gillette Co 479,375
-------------
CONSUMER SERVICES 4.00%
- -------------------------------------------------------------------------------
21,900 Loewen Group Inc 884,213
-------------
CONSUMER SOFT GOODS .90%
- -------------------------------------------------------------------------------
7,500 Warnaco Group Inc Class A 199,688
-------------
HOTELS/LEISURE 1.67%
- -------------------------------------------------------------------------------
4,800 Hilton Hotels Corp 140,400
4,800 International Game Technology 93,600
12,000 Sunstone Hotel Investors 135,000
-------------
369,000
-------------
10 ----------------------------------------------------------------------------
<PAGE>
GROWTH AND INCOME FUND
STATEMENT OF INVESTMENTS
NOVEMBER 29, 1996 (UNAUDITED)(CONTINUED)
Shares Market Value*
- ------ -------------
MEDIA-PUBLISHING .98%
- -------------------------------------------------------------------------------
2,500 Tribune Co $216,250
-------------
RETAIL 4.30%
- -------------------------------------------------------------------------------
2,800 CVS Corp 115,150
10,125 Dollar General Corp 291,094
4,600 Home Depot Inc 239,775
8,500 Pier 1 Imports Inc 115,812
7,400 Wal-Mart Stores Inc 188,700
-------------
950,531
-------------
TELECOMMUNICATIONS 1.12%
- -------------------------------------------------------------------------------
4,400 Nokia Corp 246,950
-------------
TOTAL CONSUMER CYCLICALS
(Cost $3,182,071) 4,071,942
-------------
CONSUMER STAPLES 7.55%
- -------------------------------------------------------------------------------
DRUG & HEALTHCARE PRODUCTS 2.23%
- -------------------------------------------------------------------------------
3,800 Arrow International Inc 101,650
3,900 Schering-Plough Corp 277,875
1,600 Warner-Lambert 114,400
-------------
493,925
-------------
FOOD, BEVERAGES & TOBACCO 5.32%
- -------------------------------------------------------------------------------
8,400 PepsiCo Inc 250,950
2,100 Procter & Gamble Inc 228,375
3,700 CPC International Inc 308,025
7,600 Coca-Cola Co 388,550
-------------
1,175,900
-------------
TOTAL CONSUMER STAPLES
(Cost $1,229,890) 1,669,825
-------------
CREDIT SENSITIVE 30.78%
- -------------------------------------------------------------------------------
BANKS, SAVINGS & LOANS 6.06%
- -------------------------------------------------------------------------------
7,980 Charter One Financial Inc 347,130
2,100 Corestates Financial Corp 113,138
7,100 Cullen Frost Bankers Inc 252,050
1,500 Nationsbank Corp 155,437
10,100 Norwest Corp 472,175
-------------
1,339,930
-------------
FINANCIAL SERVICES 8.79%
- -------------------------------------------------------------------------------
5,800 ADVANTA Corp Cl. B 243,600
6,600 Household International Inc 625,350
9,300 MBNA Corp 375,488
4,600 MGIC Investment Corp Wis. 344,425
30,450 Mercury Finance Co 353,981
-------------
1,942,844
-------------
INSURANCE 3.96%
- -------------------------------------------------------------------------------
3,400 Executive Risk $136,000
11,040 Frontier Insurance Group Inc 422,280
9,200 GCR Holdings Ltd 208,150
3,300 Mutual Risk Management Ltd 110,138
-------------
876,568
-------------
REAL ESTATE INVESTMENT TRUST 1.03%
- -------------------------------------------------------------------------------
8,900 Healthcare Realty Trust 226,950
-------------
UTILITIES-ELECTRIC 4.09%
- -------------------------------------------------------------------------------
13,496 AES Corp** 659,617
9,000 Trigen Energy Corp 245,250
-------------
904,867
-------------
UTILITIES-GAS 5.66%
- -------------------------------------------------------------------------------
8,800 Enron Corp 402,600
7,800 KN Energy Inc 316,875
12,100 PanEnergy Corp 532,400
-------------
1,251,875
-------------
UTILITIES-TELEPHONE 1.19%
- -------------------------------------------------------------------------------
4,400 Cincinnati Bell Inc 262,350
-------------
TOTAL CREDIT SENSITIVE
(Cost $4,594,782) 6,805,384
-------------
INTERMEDIATE GOODS
& SERVICES 17.62%
- -------------------------------------------------------------------------------
CHEMICAL-DIVERSIFIED 1.36%
- -------------------------------------------------------------------------------
4,900 PPG Industries Inc. 300,125
-------------
ENERGY EQUIPMENT & SERVICES 4.23%
- -------------------------------------------------------------------------------
32,000 Philip Environmental Inc** 416,000
6,500 Production Operators Corp 290,875
4,800 Tidewater Inc 210,000
300 Transocean Offshore Inc 18,075
-------------
934,950
-------------
ENERGY PRODUCERS 8.88%
- -------------------------------------------------------------------------------
3,400 Anadarko Petroleum 227,375
16,100 Apache Corp 585,638
6,200 Mobil Corp 750,200
9,500 Parker & Parsley Petroleum Co 313,500
2,879 Union Pacific Resources Group 86,010
-------------
1,962,723
-------------
- ---------------------------------------------------------------------------- 11
<PAGE>
GROWTH AND INCOME FUND
STATEMENT OF INVESTMENTS
NOVEMBER 29, 1996 (UNAUDITED)(CONTINUED)
Shares Market Value*
- ------ -------------
TRANSPORTATION 3.15%
- -------------------------------------------------------------------------------
2,700 Burlington Northern Santa Fe $242,663
5,500 CSX Corp 257,125
3,400 Union Pacific Corp 198,050
-------------
697,838
-------------
TOTAL INTERMEDIATE GOODS & SERVICES
(Cost $3,066,862) 3,895,636
-------------
TOTAL COMMON STOCKS
(Cost $13,820,106) 18,970,212
-------------
Face Amount CONVERTIBLE DEBENTURES 11.25%
- -------------------------------------------------------------------------------
CONSUMER CYCLICALS 7.22%
- -------------------------------------------------------------------------------
HOTELS/LEISURE 3.67%
- -------------------------------------------------------------------------------
$125,000 HFS INC, 4.50%, 10/01/99*** 444,688
250,000 PRIME HOSPITALITY CORP***,
7.00%, 04/15/02 364,687
-------------
809,375
-------------
MEDIA-PUBLISHING 2.40%
- -------------------------------------------------------------------------------
600,000 National Education Corp***,
6.50%, 05/15/11 531,000
-------------
RETAIL 1.15%
- -------------------------------------------------------------------------------
250,000 Saks Holdings Inc***
5.50%, 09/15/06 254,062
-------------
TOTAL CONSUMER CYCLICALS
(Cost $1,154,937) 1,594,437
-------------
CONSUMER STAPLES 1.42%
- -------------------------------------------------------------------------------
HEALTHCARE SERVICES 1.42%
- -------------------------------------------------------------------------------
300,000 PhyCor Inc, SDCV***,
4.50%, 02/15/03 314,249
(Cost $287,591) -------------
CREDIT SENSITIVE 2.61%
- -------------------------------------------------------------------------------
COMPUTER SOFTWARE & SERVICES 2.61%
- -------------------------------------------------------------------------------
$300,000 First Financial Mgmt Corp***
5.00%, 12/15/99 $577,874
(Cost $382,061) -------------
TOTAL CONVERTIBLE DEBENTURES
(Cost $1,824,589) 2,486,560
-------------
CONVERTIBLE PREFERRED STOCK .97%
- -------------------------------------------------------------------------------
CONSUMER CYCLICALS .97%
- -------------------------------------------------------------------------------
TELECOMMUNICATIONS .97%
- -------------------------------------------------------------------------------
2,600 MFS Communications Inc*** 213,525
(Cost $220,350) -------------
MUTUAL FUNDS 1.97%
- -------------------------------------------------------------------------------
434,141 Provident Institutional Temp Fund 436,557
(Cost $436,557) -------------
TOTAL INVESTMENTS
(Cost $16,301,602) 99.99% $22,106,854
Other Assets in Excess
of Liabilities 00.01% 3,023
---------------------------
NET ASSETS 100.00% $22,109,877
---------------------------
---------------------------
* See Note 1 of Notes to Financial Statements.
**Denotes non-income producing security.
***Convertible to common stock.
12 ---------------------------------------------------------------------------
<PAGE>
INTERMEDIATE-TERM BOND FUND
STATEMENT OF INVESTMENTS
NOVEMBER 29, 1996 (UNAUDITED)
Face Amount Market Value*
- ----------- -------------
CORPORATE BONDS 50.77%
- -------------------------------------------------------------------------------
ASSET BACKED 3.38%
- -------------------------------------------------------------------------------
$690,358 Equicredit Corp Home Equity Loan
Trust Ser 1994-1, 5.80%, 03/15/09 $683,585
1,000,000 Premier Auto Trust Ser 95-2-A5,
7.15%, 02/04/99 1,015,970
750,000 World Omni Auto Ser 95-A
6.05%, 11/25/01 754,620
-------------
(Cost $2,457,374) 2,454,175
-------------
FINANCIAL 14.60%
- -------------------------------------------------------------------------------
LIFE INSURANCE 1.64%
- -------------------------------------------------------------------------------
1,150,000 Aetna Services, Inc.
7.125%, 08/15/06 1,185,759
-------------
OPERATORS OF NON-RESIDENTIAL BUILDINGS 2.62%
- -------------------------------------------------------------------------------
Kimco Realty Corp MTN,
1,000,000 6.83%, 11/14/05 996,250
250,000 Chateau Properties, Ltd.,
8.75%, 03/02/00 264,382
600,000 Corporate Property Investors,
7.75%, 08/15/04(1) 637,689
-------------
1,898,321
-------------
PERSONAL CREDIT INSTITUTIONS 1.40%
- -------------------------------------------------------------------------------
1,000,000 General Motors Acceptance Corp
MTN, 6.65%, 05/24/00 1,016,944
-------------
REAL ESTATE INVESTMENT TRUST 7.37%
- -------------------------------------------------------------------------------
550,000 Camden Property Trust,
6.625%, 05/15/01 540,778
700,000 Developers Diversified Realty
Corp, 7.625%, 05/15/00 723,500
420,000 Nationwide Health Properties
MTN, 6.93%, 12/18/01 426,528
1,000,000 New Plan Realty Trust,
7.75%, 04/06/05 1,052,850
800,000 Price REIT Inc,
7.25%, 11/01/00 808,834
750,000 Washington Real Estate,
7.125%, 08/13/03 763,179
1,000,000 Weingarten Realty Investors Trust
MTN, 7.22%, 06/01/05 1,028,750
-------------
5,344,419
-------------
SECURITIES BROKERS, DEALERS &
FLOTATION COS 1.57%
- -------------------------------------------------------------------------------
1,130,000 Merrill Lynch Corp MTN,
6.50%, 04/01/01 1,139,146
-------------
TOTAL FINANCIAL
(Cost $10,322,929) 10,584,589
-------------
INDUSTRIAL 24.63%
- -------------------------------------------------------------------------------
BOOKS - PUBLISHING OR
PUBLISHING & PRINTING 1.21%
- -------------------------------------------------------------------------------
$1,000,000 Golden Books Publishing Co,
7.65%, 09/15/02 $875,000
-------------
BROADCAST - MEDIA 3.78%
- -------------------------------------------------------------------------------
1,100,000 Cox Communications Inc,
6.375%, 06/15/00 1,105,093
1,500,000 TKR Cable I Cable Notes,
10.50%, 10/30/07, Callable
10/30/99 @ 105.25 1,638,938
-------------
2,744,031
-------------
CABLE & OTHER PAY
TELEVISION SERVICES 1.19%
- -------------------------------------------------------------------------------
875,000 Telecommunications Inc,
8.00%, 08/01/05 864,309
-------------
COOKIES & CRACKERS .71%
- -------------------------------------------------------------------------------
500,000 RJR Nabisco Inc,
8.625%, 12/01/02 513,225
-------------
ELECTRONIC & OTHER
ELECTRICAL EQUIPMENT 1.60%
- -------------------------------------------------------------------------------
1,150,000 Rockwell International Corp,
6.625%, 06/01/05 1,161,115
-------------
INDUSTRIAL ORGANIC
CHEMICALS 1.08%
- -------------------------------------------------------------------------------
750,000 International Specialty Products,
Inc., 9.00%, 03/01/99 784,569
-------------
METALS - MISC 1.40%
- -------------------------------------------------------------------------------
1,000,000 CSR America Inc,
6.875%, 07/21/05 1,014,250
-------------
MOTION PICTURE & VIDEO TAPE
PRODUCTION 3.11%
- -------------------------------------------------------------------------------
Time Warner Entertainment Co:
1,000,000 9.625%, 05/01/02 1,130,958
1,000,000 8.875%, 10/01/12 1,122,651
-------------
2,253,609
-------------
NEWSPAPER - PUBLISHING OR PUBLISHING
& PRINTING 3.38%
- -------------------------------------------------------------------------------
1,500,000 News America Holdings, Inc
8.625%, 02/01/03 1,641,392
750,000 The New York Times Co,
7.625%, 03/15/05 809,653
-------------
2,451,045
-------------
- --------------------------------------------------------------------------- 13
<PAGE>
INTERMEDIATE-TERM BOND FUND
STATEMENT OF INVESTMENTS
NOVEMBER 29, 1996 (UNAUDITED)(CONTINUED)
Face Amount Market Value*
- ----------- -------------
PHARMACEUTICAL PREPARATIONS 3.07%
- -------------------------------------------------------------------------------
$1,200,000 Bayer Corp,
6.50%, 10/01/02 (1) $1,216,500
1,000,000 Upjohn Co MTN Ser-A,
6.25%, 02/02/98 1,006,382
-------------
2,222,882
-------------
RETAIL DEPARTMENT STORES 1.28%
- -------------------------------------------------------------------------------
1,000,000 K Mart Corp,
8.125%, 12/01/06 930,000
-------------
SEARCH, DETECTION, NAVIGATION & GUIDANCE
AERONAUTICAL SYSTEMS 1.09%
- -------------------------------------------------------------------------------
790,000 Raytheon Co,
6.50%, 07/15/05 789,478
-------------
SERVICES - MISCELLANEOUS, AMUSEMENT
& RECREATION 1.73%
- -------------------------------------------------------------------------------
1,250,000 Walt Disney Co,
6.375%, 03/30/01 1,258,050
-------------
TOTAL INDUSTRIAL
(Cost $17,467,753) 17,861,563
-------------
TRANSPORTATION 5.12%
- -------------------------------------------------------------------------------
AIR TRANSPORTATION, SCHEDULED 5.12%
- -------------------------------------------------------------------------------
892,960 American Airlines,
9.71%, 01/02/07 1,021,323
499,897 Continental Airlines,
7.75%, 07/02/15 534,890
1,050,424 Jet Equipment Trust Ser 95-B,
7.83%, 02/15/15 (1) 1,113,450
944,627 United Airlines Pass Through
Certificates 95-A1, 9.02%, 04/19/12 1,046,278
(Cost $3,400,538) -------------
3,715,941
-------------
UTILITIES 3.04%
- -------------------------------------------------------------------------------
ELECTRIC SERVICES 1.72%
- -------------------------------------------------------------------------------
1,250,000 Central Maine Power Co,
6.25%, 11/01/98 1,246,458
-------------
ELECTRIC & OTHER SERVICES
COMBINED 1.32%
- -------------------------------------------------------------------------------
1,000,000 Long Island Lighting Co,
7.125%, 06/01/05 954,704
-------------
TOTAL UTILITIES
(Cost $2,223,556) 2,201,162
-------------
TOTAL CORPORATE BONDS
(Cost $35,872,150) 36,817,430
-------------
MORTGAGE-BACKED
SECURITIES 7.14%
- -------------------------------------------------------------------------------
$506,914 Collateralized Mortgage Securities
Corp, 8.75%, 04/20/19 $527,841
1,883,614 FHLMC GP#000336,
6.00%, 10/01/24 1,801,469
1,352,216 FNMA Pool#303845
7.00%, 05/01/11 1,365,590
1,389,360 GNMA Pool #780019
9.50%, 12/15/09 1,483,823
-------------
(Cost $5,058,604) 5,178,723
-------------
U.S. GOVERNMENT TREASURIES 37.83%
- -------------------------------------------------------------------------------
U.S. Treasury Notes:
1,000,000 8.00%, 01/15/97 1,003,438
1,000,000 7.875%, 01/15/98 1,026,251
4,000,000 7.875%, 04/15/98 4,125,004
3,000,000 6.125%, 05/15/98 3,025,314
4,000,000 6.875%, 08/31/99 4,120,004
4,000,000 7.75%, 11/30/99 4,222,504
3,000,000 7.125%, 02/29/00 3,121,878
3,300,000 6.875%, 03/31/00 3,412,408
1,200,000 6.75%, 04/30/00 1,236,751
1,000,000 7.25%, 08/15/04 1,076,876
1,000,000 7.00%, 07/15/06 1,065,937
-------------
(Cost $27,176,601) 27,436,365
-------------
Shares
- ------
MUTUAL FUNDS 1.96%
- -------------------------------------------------------------------------------
1,412,312 Provident Institutional Temp Fund
(Cost $1,419,498) 1,419,498
-------------
TOTAL INVESTMENTS 97.70% $70,852,016
(Cost $69,526,853)
Other Assets in Excess
of Other Liabilities 2.30% 1,671,017
---------------------------
NET ASSETS 100.00% $72,523,033
---------------------------
---------------------------
*See Note 1 of Notes to Financial Statements.
(1) Restricted security- see Note 5 of Notes to Financial Statements
14 ---------------------------------------------------------------------------
<PAGE>
LONG-TERM BOND FUND
STATEMENT OF INVESTMENTS
NOVEMBER 29, 1996 (UNAUDITED)
Face Amount Market Value*
- ----------- -------------
CORPORATE BONDS 51.58%
- -------------------------------------------------------------------------------
FINANCIAL 18.15%
- -------------------------------------------------------------------------------
FINANCIAL SERVICES 1.00%
- -------------------------------------------------------------------------------
$250,000 Leucadia National Corp,
7.75%, 08/15/13 $243,717
-------------
FIRE MARINE & CASUALTY
INSURANCE 3.52%
- -------------------------------------------------------------------------------
600,000 Zurich Reinsurance Center Holdings,
7.125%, 10/15/23 571,420
250,000 Geico Corp., 9.15%,
09/15/21 283,803
-------------
855,223
-------------
LIFE INSURANCE 3.28%
- -------------------------------------------------------------------------------
500,000 Lincoln National Insurance Co,
9.125%, 10/01/24 556,751
230,000 Aetna Services, Inc.,
7.625%, 08/15/26 240,885
-------------
797,636
-------------
OPERATORS OF NON-RESIDENTIAL
BUILDINGS 4.77%
- -------------------------------------------------------------------------------
400,000 Kimco Realty Corp,
6.83%, 11/14/05 398,500
500,000 Property Trust of America,
6.875%, 02/15/08 495,406
250,000 Rouse Co,
8.50%, 01/15/03 267,103
-------------
1,161,009
-------------
REAL ESTATE INVESTMENT TRUSTS 5.58%
- -------------------------------------------------------------------------------
150,000 Camden Property Trust,
6.625%, 05/15/01 147,485
150,000 Nationwide Health Property Mtn,
6.93%, 12/18/01 150,539
250,000 New Plan Trust Realty,
7.75%, 04/06/05 263,213
275,000 Price REIT Inc,
7.25%, 11/01/00 278,037
250,000 Weingarten Realty Investors Trust
MTN, 7.22%, 06/01/05 257,188
250,000 ERP Operating Lmt.,
7.57%, 08/15/26 262,384
-------------
1,358,846
-------------
TOTAL FINANCIAL
(Cost $4,254,672) 4,416,431
-------------
INDUSTRIAL 26.10%
- -------------------------------------------------------------------------------
BOOKS, PUBLISHING OR PUBLISHING
& PRINTING 0.90%
- -------------------------------------------------------------------------------
$250,000 Golden Books Publishing,
7.65%, 09/15/02 $218,750
-------------
BROADCAST MEDIA 1.69%
- -------------------------------------------------------------------------------
400,000 Cox Communications Inc,
7.625%, 06/15/25 411,805
-------------
CABLE & OTHER PAY TELEVISION
SERVICES 3.25%
- -------------------------------------------------------------------------------
Telecommunications Inc,
800,000 8.00%, 08/01/05 790,226
-------------
DAIRY PRODUCTS 1.79%
- -------------------------------------------------------------------------------
500,000 Borden Inc,
7.875%, 02/15/23 435,141
-------------
INDUSTRIAL ORGANIC CHEMICALS 2.15%
- -------------------------------------------------------------------------------
500,000 International Specialty Products,
Inc., 9.00%, 03/01/99 523,046
-------------
SERVICES - MISCELLANEOUS, AMUSEMENT
& RECREATION 2.29%
- -------------------------------------------------------------------------------
550,000 Walt Disney Co,
6.75%, 03/30/06 556,244
-------------
MISCELLANEOUS CHEMICAL
PRODUCTS 1.68%
- -------------------------------------------------------------------------------
400,000 Lubrizol Corp,
7.25%, 06/15/25 408,497
-------------
NATURAL GAS TRANSMISSION 1.36%
- -------------------------------------------------------------------------------
250,000 Coastal Corp,
10.75%, 10/01/10 331,642
-------------
NEWSPAPERS - PUBLISHING OR
PUBLISHING & PRINTING 2.35%
- -------------------------------------------------------------------------------
500,000 News America Holdings Inc,
9.25%, 02/01/13 573,291
-------------
PERIODICALS - PUBLISHING OR
PUBLISHING & PRINTING 3.40%
- -------------------------------------------------------------------------------
750,000 Time Warner Inc,
9.125%, 01/15/13 828,735
-------------
PHARMACEUTICAL PREPARATIONS 1.44%
- -------------------------------------------------------------------------------
345,000 Bayer Corp,
6.50%, 10/01/02(1) 349,744
-------------
- --------------------------------------------------------------------------- 15
<PAGE>
LONG-TERM BOND FUND
STATEMENT OF INVESTMENTS
November 29, 1996 (unaudited)(continued)
Face Amount Market Value*
- ----------- ------------
RETAIL - DEPARTMENT STORES 1.63%
- -------------------------------------------------------------------------------
500,000 Kmart Corp,
7.95%, 02/01/23 396,875
----------
SEARCH, DETECTION, NAVIGATION &
GUIDANCE, AERONAUTICAL SYSTEMS 2.17%
- -------------------------------------------------------------------------------
250,000 Lockheed Martin Corp.
7.79%, 06/15/08 268,615
260,000 Raytheon Co,
6.50%, 07/15/05 259,828
----------
528,443
----------
TOTAL INDUSTRIAL
(Cost $6,200,090) 6,352,439
----------
TRANSPORTATION 5.17%
- -------------------------------------------------------------------------------
AIR TRANSPORTATION - SCHEDULED 5.17%
- -------------------------------------------------------------------------------
500,000 AMR Corp,
10.00%, 04/15/21 635,976
340,415 Jet Equipment Trust Ser. 95-B,
7.83%, 02/15/15(1) 360,840
236,157 United Airlines Pass-Through
Certificates, 9.02%, 04/19/12 261,567
----------
(Cost $1,074,805) 1,258,383
----------
UTILITIES 2.16%
- -------------------------------------------------------------------------------
ELECTRIC & OTHER SERVICES
COMBINED 2.16%
- -------------------------------------------------------------------------------
550,000 Long Island Lighting Co,
7.125%, 06/01/05 525,087
----------
(Cost $538,143)
TOTAL CORPORATE BONDS
(Cost $12,067,710) 12,552,340
----------
MORTGAGE-BACKED
SECURITIES 3.55%
- -------------------------------------------------------------------------------
453,883 FHLMC GP#000336,
6.00%, 10/01/24 434,089
427,016 FNMA Pc#303845,
7.00%, 5/01/11 431,238
----------
(Cost $840,379) 865,327
----------
U.S. GOVERNMENT TREASURIES 42.37%
- -------------------------------------------------------------------------------
U.S. Treasury Bonds/Notes 28.99%
- -------------------------------------------------------------------------------
500,000 U.S. Treasury Note,
7.00%, 07/15/06 532,969
U.S Treasury Bonds:
1,000,000 8.875%, 02/15/19 1,281,876
1,000,000 8.50%, 02/15/20 1,241,251
1,150,000 7.875%, 02/15/21 1,344,782
1,400,000 8.125%, 08/15/21 1,681,751
1,000,000 6.25%, 08/15/23 971,563
----------
7,054,192
----------
U.S. GOVERNMENT ZERO COUPON
STRIPS 13.38%
- -------------------------------------------------------------------------------
2,000,000 02/15/04 1,304,584
5,000,000 08/15/11 1,952,050
----------
3,256,634
----------
TOTAL U.S. GOVERNMENT TREASURIES
(Cost $9,226,624) 10,310,826
----------
Shares
------
MUTUAL FUNDS 0.92%
- -------------------------------------------------------------------------------
221,142 Provident Institutional Temp Fund 222,555
----------
(Cost $222,555)
TOTAL INVESTMENTS
(Cost $22,357,268) 98.42% $23,951,048
Other Assets
in Excess of Liabilities 1.58% 383,294
------------------------
NETASSETS 100.00% $24,334,342
------------------------
------------------------
* See Note 1 to financial statements
(1) Restricted Security- See Note 5 of Notes to Financial Statements.
16 ----------------------------------------------------------------------------
<PAGE>
COLORADO TAX-EXEMPT FUND
STATEMENT OF INVESTMENTS
November 29, 1996 (unaudited)
Face Bond Rating Market
Amount Moody's/S&P Value*
- ------- --------------------------------------
CERTIFICATES OF PARTICIPATION 3.24%
- -------------------------------------------------------------------------------
$100,000 Colorado State Board of Agriculture
Certificate of Participation
CSU Research Foundation Master
Lease Purchase Agreement,
6.45%, 11/01/01, Optional
05/01/99 @ 101.00, MBIA Aaa/AAA $105,510
100,000 State of Colorado Certificate
of Participation Master Lease
Purchase Agreement,
5.25%, 11/01/99, Optional
any time @ 100.00, AMBAC Aaa/AAA 103,022
250,000 State of Colorado Certificate
of Participation Master Lease
Purchase Agreement II, 5.1%,
11/01/06, Optional any time
@ 100, MBIA Aaa/AAA 254,868
100,000 Lakewood, Jefferson County,
Public Building Authority,
Certificate of Participation,
Lease Purchase Agreement
5.625%, 12/01/99, Optional
any time @ 100.00, MBIA Aaa/AAA 103,442
-------------
TOTAL CERTIFICATES OF PARTICIPATION
(Cost $549,500) 566,842
-------------
GENERAL OBLIGATION BONDS 61.00%
- -------------------------------------------------------------------------------
COUNTY/CITY/SPECIAL DISTRICT/
SCHOOL DISTRICT 61.00%
- --------------------------------------------------------------------------------
100,000 Adams County School District 12,
7.25%, 12/15/09, Prerefunded
12/15/99 @ 100.00 NR/A+ 108,778
100,000 Adams & Arapahoe Counties
Joint School District 28J 5.75%,
12/01/06, MBIA Aaa/AAA 107,560
100,000 Adams & Arapahoe Counties
School District 29J 5.40%, 12/01/09,
Optional 12/01/06 @ 100.00, MBIA Aaa/AAA 102,881
250,000 Adams & Weld Counties
School District 27J 5.55%
12/01/09, Optional 12/01/06
@ 100.00, FGIC Aaa/AAA 257,820
125,000 Alamosa & Conejos Counties
School District Re-11J
4.9%, 12/01/07, Optional
12/01/05 @ 100.00, MBIA Aaa/AAA 125,905
100,000 Arapahoe County School
District 1, 4.85%, 11/01/04, FSA Aaa/AAA 101,574
125,000 Arapahoe County School
District 2, 6.75%, 12/01/04,
Optional 12/01/99 @ 101.00 A/NR 133,954
250,000 Arapahoe County School District
5, 5.25%, 12/15/04,
Optional 12/15/03 @ 100 Aa/AA 261,053
250,000 Arapahoe County School District
6, 5.50%, 12/01/06 Aa/AA 265,818
250,000 Basalt & Rural Fire Protection District,
Eagle & Pitkin Counties,
5.20%, 12/01/15, Optional
12/01/06 @ 100.00, AMBAC Aaa/AAA 249,103
500,000 Boulder County Parks
5.125%, 12/15/09,
Optional 12/15/06 @ 100.00 Aa1/AA 501,350
250,000 Boulder & Gilpin Counties
Valley School District Re-2,
5.55%, 12/01/03 A-1/AA 266,240
150,000 Boulder Library, 7.30%,
10/01/08, Prerefunded
10/01/98 @ 100.00 Aaa/AA 158,924
Boulder, Larimer & Weld
Counties, St. Vrain Valley,
School District Re-1J:
100,000 5.50%, 12/15/04, Optional
12/15/02 @ 101.00, MBIA Aaa/AAA 105,460
175,000 5.80%, 12/15/07, Optional
12/15/02 @ 101.00, MBIA Aaa/AAA 184,926
100,000 6.00%, 12/15/10, Optional
12/15/02 @ 101.00, MBIA Aaa/AAA 105,366
250,000 Brighton, Adams County,
6.625%, 12/01/11, Prerefunded
12/01/01 @ 101.00, MBIA Aaa/AAA 275,103
125,000 Colorado Springs, El Paso County
6.60%, 09/01/00, Prerefunded
09/01/99 @ 100.00 NR/AAA 133,041
250,000 Clear Creek County School
District Re-1, 5.40%, 12/01/11,
Optional 12/01/05 @ 100.00, MBIA Aaa/AAA 253,918
Douglas & Elbert Counties
School District Re-1:
250,000 6.15%, 12/15/08, Optional
12/15/04 @ 101.00, MBIA Aaa/AAA 272,955
250,000 5.75%, 12/15/05, Optional
12/15/01 @ 101.00, FGIC Aaa/AAA 264,793
Eagle, Garfield & Routt Counties
School District Re-50J:
125,000 6.60%, 12/01/99, Prerefunded
12/01/98 @ 100.00, FGIC Aaa/AAA 131,374
85,000 5.60%, 12/01/01, FGIC Aaa/AAA 89,968
200,000 5.75%, 12/01/03, Optional
12/01/02 @ 100.00, FGIC Aaa/AAA 213,462
125,000 El Paso County School District 3,
6.20%, 12/15/00, Optional
12/15/98 @ 101.00, MBIA Aaa/AAA 131,080
- ---------------------------------------------------------------------------- 17
<PAGE>
COLORADO TAX-EXEMPT FUND
STATEMENT OF INVESTMENTS
November 29, 1996 (unaudited)(continued)
Face Bond Rating Market
Amount Moody's/S&P Value*
- ------- --------------------------------------
$80,000 El Paso County School
District 12, 5.9%, 9/15/04 Aa1/NR $87,014
125,000 El Paso County School District
49, 6.75%, 12/01/04, Optional
12/01/00 @ 100.00, MBIA Aaa/AAA 135,109
125,000 Fruita, Mesa County,
6.40%, 10/01/02, Optional
10/01/97 @ 100.00, AMBAC Aaa/AAA 128,069
250,000 Garfield, Pitkin & Eagle Counties
Roaring Fork School District Re-1,
6.60%, 12/15/14, Prerefunded
06/15/04 @ 101.00, MBIA Aaa/AAA 283,438
625,000 Goldsmith Metropolitan District
Arapahoe & Denver Counties,
6.50%, 12/01/03, Optional
12/01/99 @ 101.00, MBIA Aaa/AAA 668,700
Jefferson County School
District R-1:
100,000 5.10%, 12/15/99, AMBAC Aaa/AAA 102,891
100,000 5.75%, 12/15/03, Optional
12/15/02 @ 101.00, AMBAC Aaa/AAA 107,533
500,000 5.90%, 12/15/04, Optional
12/15/02 @ 101.00, AMBAC Aaa/AAA 537,745
250,000 La Plata County School District
9-R, 5.25%, 11/01/05, MBIA Aaa/AAA 260,103
125,000 Larimer County Poudre School
District R-1, 7.00%, 12/15/08,
Prerefunded 12/15/01 @ 101.00 NR/NR 140,560
100,000 Longmont, Boulder County,
5.15%, 09/01/99, MBIA Aaa/AAA 102,467
500,000 Mesa County Valley School
District 51, 5.4%, 12/01/12,
Optional 12/01/06 @ 101, MBIA Aaa/AAA 504,125
105,000 Morgan County School District
Re-3, 6.45%, 12/01/98 A/NR 109,828
Northglenn, Adams County Water:
250,000 5.50%, 12/01/06, Optional
12/01/04 @ 101.00, FSA Aaa/AAA 264,253
100,000 Otero County, East Otero
School District R-1
5.05%, 12/15/09, Optional
12/15/05 @ 100.00, FSA Aaa/AAA 100,358
100,000 Pitkin County School District Re-1,
5.50%, 11/15/00, AMBAC Aaa/AAA 104,474
125,000 Poudre Valley Hospital District,
Larimer County: 6.80%,
11/15/02, Prerefunded
11/15/98 @ 101.00 Aa/AAA 132,873
Pueblo, Pueblo County Limited Tax:
200,000 5.80%, 06/01/11, Optional
06/01/06 @ 100.00, MBIA Aaa/AAA 208,180
250,000 6.00%, 06/01/16, Optional
06/01/06 @ 100.00, MBIA Aaa/AAA 262,555
150,000 Rio Grande County School
District C-8, 5.35%, Due
11/15/11, Optional
11/15/05 @ 100, FSA Aaa/AAA 150,590
75,000 Routt County School District
Re-2, 5.00%, 12/01/05, Optional
12/01/03 @ 100.00, FGIC Aaa/AAA 76,106
375,000 San Miguel County School District
R-1, 5.50%, 12/01/12, Optional
12/01/05 @ 101.00, MBIA Aaa/AAA 379,313
Thornton, Adams County Water:
125,000 7.40%, 12/01/98, Prerefunded
12/01/96 @ 100.00, FGIC Aaa/AAA 127,525
25,000 7.40%, 12/01/98, FGIC Aaa/AAA 26,657
100,000 5.20%, 12/01/99, FGIC Aaa/AAA 103,137
125,000 5.75%, 12/01/04, Optional
12/01/02 @ 101.00, FGIC Aaa/AAA 133,759
135,000 Three Lakes Water & Sanitation
District, Grand County Limited
Tax, 6.00%, 06/01/00 Optional
06/01/97 @ 101.00, MBIA Aaa/AAA 138,030
150,000 Weld County School District
#Re-4, 5.3%, 12/01/10, Optional
12/01/05 @ 100.00, MBIA Aaa/AAA 151,297
100,000 Willows Water District,
Arapahoe County, 6.40%,
12/01/98, Optional 12/01/96
@ 100.00, MBIA Aaa/AAA 100,205
100,000 Woodland Park, Teller County,
6.30%, 07/01/08, Optional
07/01/00 @ 101.00, FGIC Aaa/AAA 106,374
125,000 Woodmoor Water & Sanitation
District 1 El Paso County, 6.20%,
12/01/00, Optional 12/01/96
@ 100.00, MBIA Aaa/AAA 125,019
----------
TOTAL GENERAL OBLIGATION BONDS
(Cost $10,293,077) 10,660,693
----------
REVENUE BONDS 28.86%
- -------------------------------------------------------------------------------
EDUCATION 1.21%
- -------------------------------------------------------------------------------
100,000 State of Colorado Department of
Higher Education by
State Board for Community Colleges
& Occupational Education, 5.20%,
11/01/03, Optional 11/01/02
@ 100.00, AMBAC Aaa/AAA 103,495
100,000 University of Colorado Board of
Regents Auxiliary Facilities,
6.50%, 06/01/01, Prerefunded
06/01/00 @ 101.00 A1/NR 108,187
----------
211,682
----------
18 ----------------------------------------------------------------------------
<PAGE>
COLORADO TAX-EXEMPT FUND
STATEMENT OF INVESTMENTS
November 29, 1996 (unaudited)(continued)
Face Bond Rating Market
Amount Moody's/S&P Value*
- ------- --------------------------------------
HOSPITALS .59%
- -------------------------------------------------------------------------------
$100,000 Poudre Valley Hospital
District, Larimer County, 5.80%
12/01/98, ETM, AMBAC Aaa/AAA $103,571
-------------
PUBLIC FACILITIES 1.25%
- -------------------------------------------------------------------------------
200,000 Denver Metropolitan Major
League Baseball Stadium
District Sales Tax, 6.25%, 10/01/02,
Prerefunded 10/01/01 @ 101.00,
FGIC Aaa/AAA 218,580
-------------
SPECIAL TAX 15.28%
- --------------------------------------------------------------------------------
500,000 Boulder County Sales & Use
Tax, 5.75%, 12/15/04, FGIC Aaa/AAA 540,030
250,000 Boulder Urban Renewal
Authority Tax Increment, 6.00%,
03/01/02, Optional 03/01/00
@ 101.00, MBIA Aaa/AAA 264,378
250,000 Breckenridge, Summit County
Excise Tax, 5.20%,
12/01/01, Optional 12/01/00
@ 100.00, MBIA Aaa/AAA 260,150
200,000 Castle Rock, Douglas County
Sales & Use Tax
5.25%, 06/01/06, FSA Aaa/AAA 207,732
100,000 Commerce City, Adams County
Sales & Use Tax, 5.375%,
08/01/07, Optional 08/01/03
@ 101.00, MBIA Aaa/AAA 103,913
250,000 Douglas County Sales & Use
Tax, 5.25%, 10/15/07, Optional
10/15/06 @ 100.00, MBIA Aaa/AAA 256,378
500,000 Fort Collins, Larimer County
Sales & Use Tax, 4.90%,
06/01/01, FGIC Aaa/AAA 511,140
150,000 Lafayette, Boulder County,
Sales & Use Tax, 6.40%, 11/15/04,
Prerefunded 11/15/01 @ 100.00,
AMBAC Aaa/AAA 167,931
250,000 Silverthorne, Summit County Sales
Tax, 5.625%, 04/15/13, Optional
04/15/05 @ 100.00, FSA Aaa/AAA 255,848
100,000 Thornton, Adams County,
Sales and Use Tax
4.95%, 09/01/04, Optional
09/01/02 @ 101.00, FGIC Aaa/AAA 101,947
----------
2,669,447
----------
TRANSPORTATION 0.60%
- -------------------------------------------------------------------------------
100,000 Regional Transportation District
RTD Sales Tax
7.00%, 11/01/98, FGIC Aaa/AAA 105,701
----------
UTILITY 9.93%
- -------------------------------------------------------------------------------
Boulder, Boulder County
Water & Sewer:
75,000 5.75%, 12/01/06, Optional
12/01/02 @ 100.00 Aa/AA 78,719
500,000 5.50%, 12/01/11, Optional
12/01/06 @ 100 Aa/AA 512,370
250,000 Central Weld County Water
District, 5.25%, 12/01/05,
Optional 12/01/03 @
100.00, MBIA Aaa/AAA 259,033
Colorado Springs, El Paso
County Utilities Systems:
100,000 6.40%, 11/15/02,
Optional 11/15/01 @ 102.00 Aa/AA 110,280
250,000 5.75%, 11/15/10, Optional
11/15/06 @ 100 Aa/AA 261,370
250,000 Fort Collins, Larimer County
Wastewater Utility Enterprise
Sewer, 5.375%, 12/01/09,
Optional 12/01/05 @ 100.00,
FGIC Aaa/AAA 253,833
100,000 Lafayette, Boulder County
Sewer, 4.95%, 09/01/05, FGIC Aaa/AAA 102,203
100,000 Platte River Power Authority
5.75%, 06/01/04 Optional
06/01/02 @ 102 Aa/A+ 106,992
50,000 Ute Water Conservancy District,
Mesa County, 7.60%, 06/15/01,
Prerefunded 06/15/97
@ 100.00, AMBAC Aaa/AAA 50,998
----------
1,735,798
----------
TOTAL REVENUE BONDS
(Cost $4,850,961) 5,044,779
----------
Shares
------
MUTUAL FUNDS 12.49%
- -------------------------------------------------------------------------------
830,136 Provident Institutional
Municipal Fund 831,626
850,000 Dreyfus Tax-Exempt 850,714
500,000 Federated Tax-Free Trust 500,127
----------
(Cost $2,182,467) 2,182,467
----------
TOTAL INVESTMENTS
(Cost $17,876,005) 105.59% $18,454,781
Liabilities in Excess of
Other Assets (5.59%) (977,709)
-------------------------------
NET ASSETS 100.00% $17,477,072
-------------------------------
-------------------------------
*See Note 1 of Notes to Financial Statements.
- ---------------------------------------------------------------------------- 19
<PAGE>
STATEMENT OF OPERATIONS
FOR THE SIX MONTHS ENDED NOVEMBER 29, 1996 (UNAUDITED)
<TABLE>
<CAPTION>
MIDCO Blue Small-Cap Growth Intermediate- Long- Colorado
Growth Chip Opportunity and Income Term Term Tax-Exempt
Fund Fund Fund Fund Bond Fund Bond Fund Fund
------------ ------------ ------------ ------------ ------------ ------------ ------------
<S> <C> <C> <C> <C> <C> <C> <C>
INVESTMENT INCOME
Dividends 746,666 678,019 134,131 183,166 - - -
Interest 800,339 21,363 50,921 48,030 2,617,524 917,110 419,607
- -----------------------------------------------------------------------------------------------------------------------------------
Total Income 1,547,005 699,382 185,052 231,196 2,617,524 917,110 419,607
- -----------------------------------------------------------------------------------------------------------------------------------
EXPENSES
Investment advisory fee 2,006,974 206,013 127,220 78,883 178,127 56,111 39,449
Administrative fee 926,295 95,055 38,148 36,408 118,751 37,366 23,632
Fund accounting 112,096 15,969 14,346 14,384 16,336 14,615 13,952
Legal 74,786 8,149 2,776 2,974 9,856 3,079 1,631
Audit 7,230 3,988 3,241 3,740 5,485 3,491 3,241
Custodian 33,892 6,201 2,543 2,427 7,624 2,491 1,576
Amortization of
organization costs 0 0 8,832 0 0 0 0
Transfer agency 208,403 25,333 10,335 32,636 18,637 8,303 2,354
Printing 52,116 5,503 2,131 2,184 6,793 2,184 1,176
Insurance 18,661 1,864 618 773 2,596 794 378
Registration 57,404 9,109 6,095 8,900 9,617 7,887 1,232
Trustee fee 28,331 3,056 1,192 1,222 3,764 1,233 674
Other 35,359 5,667 2,138 1,494 4,638 1,516 681
- -----------------------------------------------------------------------------------------------------------------------------------
Total Expenses 3,561,547 385,907 219,615 186,025 382,224 139,070 89,976
Expenses waived by:
Investment advisor 0 (14,238) (48,930) (40,517) (34,507) (16,556) (39,449)
Custodian (33,892) (6,201) (2,543) (2,427) (7,624) (2,491) (1,576)
Co-Administrators 0 (1,155) (2,831) (3,276) (3,615) (1,736) (9,586)
- -----------------------------------------------------------------------------------------------------------------------------------
Net Expenses 3,527,655 364,313 165,311 139,805 336,478 118,287 39,365
- -----------------------------------------------------------------------------------------------------------------------------------
NET INVESTMENT INCOME
(LOSS) (1,980,650) 335,069 19,741 91,391 2,281,046 798,823 380,242
- -----------------------------------------------------------------------------------------------------------------------------------
REALIZED AND UNREALIZED
GAIN ON INVESTMENTS:
Net realized gain (loss) from
investment transactions 51,019,817 5,701,450 773,723 1,387,988 (26,226) 78,376 (16,938)
- -----------------------------------------------------------------------------------------------------------------------------------
Unrealized appreciation
(depreciation) of investments:
Beginning of period 224,240,350 16,896,111 5,147,444 5,137,283 (930,828) 127,456 155,686
End of period 185,310,422 18,349,415 6,552,357 5,805,252 1,325,163 1,593,780 578,776
- -----------------------------------------------------------------------------------------------------------------------------------
Net change in unrealized
appreciation (depreciation)
of investments (38,929,928) 1,453,304 1,404,913 667,969 2,255,991 1,466,324 423,090
- -----------------------------------------------------------------------------------------------------------------------------------
NET REALIZED AND UNREALIZED
GAIN ON INVESTMENTS 12,089,889 7,154,754 2,178,636 2,055,957 2,229,765 1,544,700 406,152
- ----------------------------------------------------------------------------------------------------------------------------------
NET INCREASE IN NET ASSETS
RESULTING FROM OPERATIONS 10,109,239 7,489,823 2,198,377 2,147,348 4,510,811 2,343,523 786,394
- ----------------------------------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
20 ----------------------------------------------------------------------------
<PAGE>
<TABLE>
<CAPTION>
STATEMENT OF CHANGES IN NET ASSETS MIDCO Growth Fund
---------------------------------------------
For the Six Months Ended For the Year Ended
November 29, 1996(1) May 31, 1996
------------------------ ------------------
<S> <C> <C>
FROM INVESTMENT ACTIVITIES
Net investment loss $(1,980,650) $(2,264,013)
Net realized gain on investments 51,019,817 53,405,690
Net change in unrealized appreciation (38,929,928) 126,272,343
- ---------------------------------------------------------------------------------------------------------------------
Net increase in net assets resulting from operations 10,109,239 177,414,020
- ---------------------------------------------------------------------------------------------------------------------
Distributions to shareholders from net realized gain on investments
Institutional class 0 (19,218,923)
Retail class 0 0
- ---------------------------------------------------------------------------------------------------------------------
Change in net assets derived from investment activities 10,109,239 158,195,097
- ---------------------------------------------------------------------------------------------------------------------
FROM BENEFICIAL INTEREST TRANSACTIONS
Net increase (decrease) in net assets derived from
institutional class beneficial interest transactions - Note 2 (37,800,714) 101,245,432
- ---------------------------------------------------------------------------------------------------------------------
Net decrease in net assets derived from
retail class beneficial interest transactions - Note 2 0 (30,387,017)
- ---------------------------------------------------------------------------------------------------------------------
NET INCREASE (DECREASE) IN NET ASSETS (27,691,475) 229,053,512
NET ASSETS:
Beginning of period 656,489,726 427,436,214
- ---------------------------------------------------------------------------------------------------------------------
End of period (including over distributed net investment
income of ($5,111,294) and ($3,130,644), respectively) $628,798,251 $656,489,726
- ---------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
STATEMENT OF CHANGES IN NET ASSETS Blue Chip Fund
---------------------------------------------
For the Six Months Ended For the Year Ended
November 29, 1996(1) May 31, 1996
------------------------ ------------------
<S> <C> <C>
FROM INVESTMENT ACTIVITIES
Net investment income $335,069 $934,337
Net realized gain on investments 5,701,450 8,541,198
Net change in unrealized appreciation 1,453,304 6,772,530
- ---------------------------------------------------------------------------------------------------------------------
Net increase in net assets resulting from operations 7,489,823 16,248,065
- ---------------------------------------------------------------------------------------------------------------------
Dividends to shareholders from net investment income (391,422) (976,769)
Distributions to shareholders from net realized gain on investments 0 (4,826,591)
- ---------------------------------------------------------------------------------------------------------------------
Change in net assets derived from investment activities 7,098,401 10,444,705
- ---------------------------------------------------------------------------------------------------------------------
FROM BENEFICIAL INTEREST TRANSACTIONS
Shares sold 4,509,651 17,435,317
Shares issued in reinvestment of dividends 343,133 5,209,936
- ---------------------------------------------------------------------------------------------------------------------
4,852,784 22,645,253
Shares redeemed (17,786,693) (17,349,667)
- ---------------------------------------------------------------------------------------------------------------------
Change in net assets derived from beneficial interest transactions (12,933,909) 5,295,586
- ---------------------------------------------------------------------------------------------------------------------
NET INCREASE (DECREASE) IN NET ASSETS (5,835,508) 15,740,291
NET ASSETS:
Beginning of period 68,285,572 52,545,281
- ---------------------------------------------------------------------------------------------------------------------
End of period (including undistributed net
investment income of $128,061 and $184,414, respectively) $62,450,064 $68,285,572
- ---------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------
</TABLE>
(1) Unaudited
SEE NOTES TO FINANCIAL STATEMENTS
- ---------------------------------------------------------------------------- 21
<PAGE>
<TABLE>
<CAPTION>
STATEMENT OF CHANGES IN NET ASSETS Small-Cap
Opportunity Fund
---------------------------------------------
For the Six Months Ended For the Year Ended
November 29, 1996(1) May 31, 1996
------------------------ ------------------
<S> <C> <C>
FROM INVESTMENT ACTIVITIES
Net investment income $19,741 $40,704
Net realized gain on investments 773,723 1,021,344
Net unrealized appreciation 1,404,913 4,453,584
- ---------------------------------------------------------------------------------------------------------------------
Net increase in net assets resulting from operations 2,198,377 5,515,632
- ---------------------------------------------------------------------------------------------------------------------
Dividends to shareholders from net investment income
Institutional class (19,045) (48,100)
Retail class 0 (895)
Distributions to shareholders from net realized gain on investments
Institutional class 0 (421,504)
- ---------------------------------------------------------------------------------------------------------------------
Change in net assets derived from investment activities 2,179,332 5,045,133
- ---------------------------------------------------------------------------------------------------------------------
FROM BENEFICIAL INTEREST TRANSACTIONS
Net increase in net assets derived from
institutional class beneficial interest transactions - Note 2 9,907,445 9,334,752
- ---------------------------------------------------------------------------------------------------------------------
Net decrease in net assets derived from
retail class beneficial interest transactions - Note 2 0 (1,065,766)
- ---------------------------------------------------------------------------------------------------------------------
NET INCREASE IN NET ASSETS 12,086,777 13,314,119
NET ASSETS:
Beginning of period 23,951,012 10,636,893
- ---------------------------------------------------------------------------------------------------------------------
End of period (including undistributed net investment
income of $1,174 and $478, respectively) $36,037,789 $23,951,012
- ---------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
STATEMENT OF CHANGES IN NET ASSETS Growth and Income Fund
---------------------------------------------
For the Six Months Ended For the Year Ended
November 29, 1996(1) May 31, 1996
------------------------ ------------------
<S> <C> <C>
FROM INVESTMENT ACTIVITIES
Net investment income $91,391 $370,186
Net realized gain on investments 1,387,988 3,440,453
Net unrealized appreciation 667,969 2,696,285
- ---------------------------------------------------------------------------------------------------------------------
Net increase in net assets resulting from operations 2,147,348 6,506,924
- ---------------------------------------------------------------------------------------------------------------------
Dividends to shareholders from net investment income
Institutional class (128,949) (518,985)
Retail class 0 (21,581)
Distributions to shareholders from net realized gain on investments
Institutional class 0 (1,458,171)
- ---------------------------------------------------------------------------------------------------------------------
Change in net assets derived from investment activities 2,018,399 4,508,187
- ---------------------------------------------------------------------------------------------------------------------
FROM BENEFICIAL INTEREST TRANSACTIONS
Net decrease in net assets derived from
institutional class beneficial interest transactions - Note 2 (5,295,925) (5,892,042)
- ---------------------------------------------------------------------------------------------------------------------
Net decrease in net assets derived from
retail class beneficial interest transactions - Note 2 0 (4,128,687)
- ---------------------------------------------------------------------------------------------------------------------
NET DECREASE IN NET ASSETS (3,277,526) (5,512,542)
NET ASSETS:
Beginning of period 25,387,403 30,899,945
- ---------------------------------------------------------------------------------------------------------------------
End of period (including over distributed net investment income
of ($181,514) and ($143,956), respectively) $22,109,877 $25,387,403
- ---------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------
</TABLE>
(1) Unaudited
SEE NOTES TO FINANCIAL STATEMENTS
22 ----------------------------------------------------------------------------
<PAGE>
<TABLE>
<CAPTION>
STATEMENT OF CHANGES IN NET ASSETS Intermediate-Term Bond Fund
---------------------------------------------
For the Six Months Ended For the Year Ended
November 29, 1996(1) May 31, 1996
------------------------ ------------------
<S> <C> <C>
FROM INVESTMENT ACTIVITIES
Net investment income $2,281,046 $5,255,183
Net realized gain (loss) on investments (26,226) 849,471
Net change in unrealized appreciation (depreciation) 2,255,991 (2,091,659)
- ---------------------------------------------------------------------------------------------------------------------
Net increase in net assets resulting from operations 4,510,811 4,012,995
- ---------------------------------------------------------------------------------------------------------------------
Dividends to shareholders from net investment income
Institutional class (2,284,893) (5,220,333)
Retail class 0 (52,026)
- ---------------------------------------------------------------------------------------------------------------------
Change in net assets derived from investment activities 2,225,918 (1,259,364)
- ---------------------------------------------------------------------------------------------------------------------
FROM BENEFICIAL INTEREST TRANSACTIONS
Net decrease in net assets derived from
institutional class beneficial interest transactions - Note 2 (12,741,521) (13,314,494)
- ---------------------------------------------------------------------------------------------------------------------
Net decrease in net assets derived from
retail class beneficial interest transactions - Note 2 0 (2,577,091)
- ---------------------------------------------------------------------------------------------------------------------
NET DECREASE IN NET ASSETS (10,515,603) (17,150,949)
NET ASSETS:
Beginning of period 83,038,636 100,189,585
- ---------------------------------------------------------------------------------------------------------------------
End of period (including undistributed net investment income
of $81,434 and $85,280, respectively) $72,523,033 $83,038,636
- ---------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
STATEMENT OF CHANGES IN NET ASSETS Long-Term Bond Fund
---------------------------------------------
For the Six Months Ended For the Year Ended
November 29, 1996(1) May 31, 1996
------------------------ ------------------
<S> <C> <C>
FROM INVESTMENT ACTIVITIES
Net investment income $798,823 $1,824,654
Net realized gain on investments 78,376 810,714
Net change in unrealized appreciation 1,466,324 (1,392,287)
- ---------------------------------------------------------------------------------------------------------------------
Net increase in net assets resulting from operations 2,343,523 1,243,081
- ---------------------------------------------------------------------------------------------------------------------
Dividends to shareholders from net investment income (798,993) (1,851,721)
- ---------------------------------------------------------------------------------------------------------------------
Change in net assets derived from investment activities 1,544,530 (608,640)
- ---------------------------------------------------------------------------------------------------------------------
FROM BENEFICIAL INTEREST TRANSACTIONS
Shares sold 2,808,125 6,252,499
Shares issued in reinvestment of dividends 739,008 1,672,703
- ---------------------------------------------------------------------------------------------------------------------
3,547,133 7,925,202
Shares redeemed (5,827,580) (15,686,515)
- ---------------------------------------------------------------------------------------------------------------------
Change in net assets derived from beneficial interest transactions (2,280,447) (7,761,313)
- ---------------------------------------------------------------------------------------------------------------------
NET DECREASE IN NET ASSETS (735,917) (8,369,953)
NET ASSETS:
Beginning of period 25,070,259 33,440,212
- ---------------------------------------------------------------------------------------------------------------------
End of period (including undistributed net investment income
of $29,181 and $29,351, respectively) $24,334,342 $25,070,259
- ---------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------
</TABLE>
(1) Unaudited
SEE NOTES TO FINANCIAL STATEMENTS
- --------------------------------------------------------------------------- 23
<PAGE>
<TABLE>
<CAPTION>
STATEMENT OF CHANGES IN NET ASSETS Colorado Tax-Exempt Fund
---------------------------------------------
For the Six Months Ended For the Year Ended
November 29, 1996(1) May 31, 1996
------------------------ ------------------
<S> <C> <C>
FROM INVESTMENT ACTIVITIES
Net investment income $380,242 $553,534
Net realized loss on investments (16,938) (7,226)
Net change in unrealized appreciation 423,090 (139,747)
- ---------------------------------------------------------------------------------------------------------------------
Net increase in net assets resulting from operations 786,394 406,561
- ---------------------------------------------------------------------------------------------------------------------
Dividends to shareholders from net investment income (376,795) (540,156)
- ---------------------------------------------------------------------------------------------------------------------
Change in net assets derived from investment activities 409,599 (133,595)
- ---------------------------------------------------------------------------------------------------------------------
FROM BENEFICIAL INTEREST TRANSACTIONS
Shares sold 3,893,561 3,597,527
Shares issued in reinvestment of dividends 269,679 347,227
- ---------------------------------------------------------------------------------------------------------------------
4,163,240 3,944,754
Shares redeemed (1,017,507) (681,115)
- ---------------------------------------------------------------------------------------------------------------------
Change in net assets derived from beneficial interest transactions 3,145,733 3,263,639
- ---------------------------------------------------------------------------------------------------------------------
NET INCREASE IN NET ASSETS 3,555,332 3,130,044
NET ASSETS:
Beginning of period 13,921,740 10,791,696
- ---------------------------------------------------------------------------------------------------------------------
End of period (including undistributed net investment income
of $15,172 and $11,725, respectively) $17,477,072 $13,921,740
- ---------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------
</TABLE>
(1) Unaudited
SEE NOTES TO FINANCIAL STATEMENTS
24 ---------------------------------------------------------------------------
<PAGE>
<TABLE>
<CAPTION>
FINANCIAL HIGHLIGHTS
Selected data for a share of beneficial interest
outstanding throughout the periods indicated: MIDCO Growth Fund
-----------------------------------------------------------------------------
For the Six Months For the Year
Ended November 29, Ended May 31,
------------------ --------------------------------------------------------
1996(3) 1996 1995 1994 1993 1992
------------------ -------- ------ ------ ------ ------
<S> <C> <C> <C> <C> <C> <C>
Net asset value - beginning of period $22.90 $17.12 $16.09 $15.79 $14.38 $14.00
- ---------------------------------------------------------------------------------------------------------------------------------
INCOME FROM INVESTMENT OPERATIONS
Net investment income (loss) (0.08) (0.08) 0.00 0.00 0.04 0.06
Net realized and unrealized gain on
investments 0.46 6.58 1.56 1.34 2.48 1.84
- ---------------------------------------------------------------------------------------------------------------------------------
Total income from investment operations 0.38 6.50 1.56 1.34 2.52 1.90
- ---------------------------------------------------------------------------------------------------------------------------------
DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS
Dividends from net investment income 0.00 0.00 0.00 0.00 0.00 (0.32)
Distributions from net realized gain on
investments 0.00 (0.72) (0.53) (1.03) (1.11) (1.20)
Return of Capital 0.00 0.00 0.00 (0.01) 0.00 0.00
- ---------------------------------------------------------------------------------------------------------------------------------
Total dividends, distributions, and return of capital
to shareholders 0.00 (0.72) (0.53) (1.04) (1.11) (1.52)
- ---------------------------------------------------------------------------------------------------------------------------------
Net asset value - end of period $23.28 $22.90 $17.12 $16.09 $15.79 $14.38
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Total return 1.66% 38.62% 10.05% 8.37% 18.04% 14.09%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000) $628,798 $656,490 $401,760 $335,453 $231,595 $180,681
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Ratio of expenses to average
net assets 1.14%(2) 1.08% 0.94% 0.84% 0.83% 0.80%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Ratio of net investment income (loss) to average
net assets (0.64%)(2) (0.42%) (0.03%) (0.09%) 0.04% 0.12%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Ratio of expenses to average net assets
without fee waivers 1.15%(2) 1.10% 0.96% 0.87% 0.85% 0.85%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Ratio of net investment income (loss) to average
net assets without fee waivers (0.65%)(2) (0.44%) (0.05%) (0.12%) 0.02% 0.07%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Portfolio turnover rate (1) 28.39% 62.83% 50.19% 52.05% 56.23% 48.17%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Average commission rate (4) .0475 - - - - -
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
</TABLE>
(1) A portfolio turnover rate is, in general, the percentage computed by taking
the lesser of purchases or sales of portfolio securities (excluding
securities with a maturity date of one year or less at the time of
acquisition) for a period and dividing it by the monthly average of the
market value of such securities during the period. Purchases and sales of
investment securities (excluding short-term securities) for the six months
ended November 29, 1996 were $169,135,806 and $217,591,961, respectively.
(2) Annualized.
(3) Unaudited.
(4) For fiscal years beginning on or after September 1, 1995, a fund is
required to disclose its average commission rate per share for security
trades on which commissions are charged.
SEE NOTES TO FINANCIAL STATEMENTS
- ---------------------------------------------------------------------------- 25
<PAGE>
<TABLE>
<CAPTION>
FINANCIAL HIGHLIGHTS
Selected data for a share of beneficial interest
outstanding throughout the periods indicated: Blue Chip Fund
-----------------------------------------------------------------------------
For the Six Months For the Year
Ended November 29, Ended May 31,
------------------ --------------------------------------------------------
1996(3) 1996 1995 1994 1993 1992
------------------ -------- ------ ------ ------ ------
<S> <C> <C> <C> <C> <C> <C>
Net asset value - beginning of period $17.41 $14.70 $12.70 $13.87 $13.35 $12.68
- ---------------------------------------------------------------------------------------------------------------------------------
INCOME FROM INVESTMENT OPERATIONS
Net investment income 0.10 0.25 0.23 0.40 0.34 0.28
Net realized and unrealized gain on
investments 2.07 4.03 2.12 0.04 1.13 0.95
- ---------------------------------------------------------------------------------------------------------------------------------
Total income from investment operations 2.17 4.28 2.35 0.44 1.47 1.23
- ---------------------------------------------------------------------------------------------------------------------------------
DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS
Dividends from net investment income (0.11) (0.27) (0.16) (0.43) (0.21) (0.35)
Distributions from net realized gain on
investments 0.00 (1.30) (0.19) (1.18) (0.74) (0.21)
- ---------------------------------------------------------------------------------------------------------------------------------
Total dividends and distributions to
shareholders (0.11) (1.57) (0.35) (1.61) (0.95) (0.56)
- ---------------------------------------------------------------------------------------------------------------------------------
Net asset value - end of period $19.47 $17.41 $14.70 $12.70 $13.87 $13.35
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Total return 12.52% 30.48% 19.03% 3.12% 11.62% 10.02%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000) $62,450 $68,286 $52,545 $36,674 $28,176 $30,572
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Ratio of expenses to average
net assets 1.15%(2) 1.10% 1.01% 1.06% 0.99% 0.91%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Ratio of net investment income to average
net assets 1.05%(2) 1.52% 1.78% 2.30% 2.37% 2.17%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Ratio of expenses to average net assets
without fee waivers 1.21%(2) 1.25% 1.06% 1.09% 1.02% 0.97%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Ratio of net investment income to average net
assets without fee waivers .99%(2) 1.38% 1.73% 2.27% 2.34% 2.11%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Portfolio turnover rate (1) 19.78% 65.11% 61.72% 41.32% 85.53% 123.91%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Average commission rate (4) .0500 - - - - -
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
</TABLE>
(1) A portfolio turnover rate is, in general, the percentage computed by taking
the lesser of purchases or sales of portfolio securities (excluding
securities with a maturity date of one year or less at the time of
acquisition) for a period and dividing it by the monthly average of the
market value of such securities during the period. Purchases and sales of
investment securities (excluding short-term securities) for the six months
ended November 29, 1996 were $12,319,938 and $21,540,232, respectively.
(2) Annualized.
(3) Unaudited.
(4) For fiscal years beginning on or after September 1, 1995, a fund is
required to disclose its average commission rate per share for security
trades on which commissions are charged.
SEE NOTES TO FINANCIAL STATEMENTS
26 ----------------------------------------------------------------------------
<PAGE>
<TABLE>
<CAPTION>
FINANCIAL HIGHLIGHTS
Selected data for a share of beneficial interest
outstanding throughout the periods indicated: Small-Cap Opportunity Fund
------------------------------------------------------
For the Six Months For the Year
Ended November 29, Ended May 31,
------------------ ---------------------------------
1996(4) 1996 1995 1994(1)
------------------ -------- ------ ------
<S> <C> <C> <C> <C>
Net asset value - beginning of period $21.35 $15.95 $14.97 $15.00
- ----------------------------------------------------------------------------------------------------------
INCOME FROM INVESTMENT OPERATIONS
Net investment income 0.02 0.04 0.09 0.05
Net realized and unrealized gain (loss) on
investments 1.40 5.86 1.11 (0.05)
- ----------------------------------------------------------------------------------------------------------
Total income from investment operations 1.42 5.90 1.20 0.00
- ----------------------------------------------------------------------------------------------------------
DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS
Dividends from net investment income (0.02) (0.06) (0.10) (0.03)
Distributions from net realized gain on
investments 0.00 (0.44) (0.12) 0.00
- ----------------------------------------------------------------------------------------------------------
Total dividends and distributions to
shareholders (0.02) (0.50) (0.22) (0.03)
- ----------------------------------------------------------------------------------------------------------
Net asset value - end of period $22.75 $21.35 $15.95 $14.97
- ----------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------
Total return 6.64% 37.49% 8.15% (0.07%)(3)
- ----------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------
RATIOS/SUPPLEMENTAL DATA:
- ----------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------
Net assets, end of period (000) $36,038 $23,951 $9,703 $2,159
- ----------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------
Ratio of expenses to average
net assets 1.29%(3) 1.30% 1.27% 1.38%(3)
- ----------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------
Ratio of net investment income to average
net assets 0.15%(3) 0.24% 0.61% 1.00%(3)
- ----------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------
Ratio of expenses to average net assets
without fee waivers 1.71%(3) 2.20% 2.77% 6.56%(3)
- ----------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------
Ratio of net investment income to average net assets
without fee waivers (0.27%)(3) (0.67%) (0.89%) (4.18%)(3)
- ----------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------
Portfolio turnover rate (2) 29.83% 47.83% 59.17% 64.31%(3)
- ----------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------
Average commission rate (5) .0477 - - -
- ----------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------
</TABLE>
(1) The Fund commenced operations on December 28, 1993.
(2) A portfolio turnover rate is, in general, the percentage computed by taking
the lesser of purchases or sales of portfolio securities (excluding
securities with a maturity date of one year or less at the time of
acquisition) for a period and dividing it by the monthly average of the
market value of such securities during the period. Purchases and sales of
investment securities (excluding short-term securities) for the six months
ended November 29, 1996 were $18,080,697 and $7,329,695, respectively.
(3) Annualized.
(4) Unaudited.
(5) For fiscal years beginning on or after September 1, 1995, a fund is
required to disclose its average commission rate per share for security
trades on which commissions are charged.
SEE NOTES TO FINANCIAL STATEMENTS
- ---------------------------------------------------------------------------- 27
<PAGE>
<TABLE>
<CAPTION>
FINANCIAL HIGHLIGHTS
Selected data for a share of beneficial interest
outstanding throughout the periods indicated: Growth and Income Fund
-----------------------------------------------------------------------------
For the Six Months For the Year
Ended November 29, Ended May 31,
------------------ --------------------------------------------------------
1996(3) 1996 1995 1994 1993 1992
------------------ -------- ------ ------ ------ ------
<S> <C> <C> <C> <C> <C> <C>
Net asset value - beginning of period: $12.32 $10.50 $10.62 $11.51 $10.99 $10.10
- ---------------------------------------------------------------------------------------------------------------------------------
INCOME FROM INVESTMENT OPERATIONS
Net investment income 0.02 0.15 0.20 0.51 0.32 0.32
Net realized and unrealized gain (loss) on
investments 1.17 2.57 0.15 (0.30) 0.68 1.05
- ---------------------------------------------------------------------------------------------------------------------------------
Total income from investment operations 1.19 2.72 0.35 0.21 1.00 1.37
- ---------------------------------------------------------------------------------------------------------------------------------
DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS
Dividends from net investment income (0.06) (0.24) (0.21) (0.54) (0.20) (0.43)
Distributions from net realized gain on
investments 0.00 (0.66) (0.26) (0.56) (0.28) (0.05)
- ---------------------------------------------------------------------------------------------------------------------------------
Total dividends and distributions to
shareholders (0.06) (0.90) (0.47) (1.10) (0.48) (0.48)
- ---------------------------------------------------------------------------------------------------------------------------------
Net asset value - end of period $13.45 $12.32 $10.50 $10.62 $11.51 $10.99
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Total return 9.73% 27.25% 3.73% 1.71% 9.41% 14.12%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000) $22,110 $25,387 $27,029 $42,644 $35,791 $25,128
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Ratio of expenses to average
net assets 1.15%(2) 1.22% 1.17% 1.03% 0.99% 0.95%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Ratio of net investment income to average
net assets 0.75%(2) 1.34% 2.09% 4.45% 2.75% 3.03%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Ratio of expenses to average net assets
without fee waivers 1.53%(2) 1.51% 1.22% 1.06% 1.03% 1.02%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Ratio of net investment income to average net
assets without fee waivers 0.37%(2) 1.05% 2.04% 4.42% 2.71% 2.96%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Portfolio turnover rate (1) 23.52% 88.31% 81.14% 53.86% 61.24% 68.56%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Average commission rate (4) .0492 - - - - -
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
</TABLE>
(1) A portfolio turnover rate is, in general, the percentage computed by taking
the lesser of purchases or sales of portfolio securities (excluding
securities with a maturity date of one year or less at the time of
acquisition) for a period and dividing it by the monthly average of the
market value of such securities during the period. Purchases and sales of
investment securities (excluding short-term securities) for the six months
ended November 29, 1996 were $5,439,739 and $10,115,227, respectively.
(2) Annualized.
(3) Unaudited.
(4) For fiscal years beginning on or after September 1, 1995, a fund is
required to disclose its average commission rate per share for security
trades on which commissions are charged.
SEE NOTES TO FINANCIAL STATEMENTS
28 ----------------------------------------------------------------------------
<PAGE>
<TABLE>
<CAPTION>
FINANCIAL HIGHLIGHTS
Selected data for a share of beneficial interest
outstanding throughout the periods indicated: Intermediate-Term Bond Fund
-----------------------------------------------------------------------------
For the Six Months For the Year
Ended November 29, Ended May 31,
------------------ --------------------------------------------------------
1996(3) 1996 1995 1994 1993 1992
------------------ -------- ------ ------ ------ ------
<S> <C> <C> <C> <C> <C> <C>
Net asset value - beginning of period $10.10 $10.27 $10.02 $10.70 $10.14 $9.80
- ---------------------------------------------------------------------------------------------------------------------------------
INCOME FROM INVESTMENT OPERATIONS
Net investment income 0.30 0.60 0.58 0.55 0.67 0.78
Net realized and unrealized gain (loss) on
investments 0.29 (0.17) 0.27 (0.52) 0.53 0.39
- ---------------------------------------------------------------------------------------------------------------------------------
Total income from investment operations 0.59 0.43 0.85 0.03 1.20 1.17
- ---------------------------------------------------------------------------------------------------------------------------------
DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS
Dividends from net investment income (0.30) (0.60) (0.60) (0.53) (0.64) (0.83)
Distributions from net realized gain on
investments 0.00 0.00 0.00 (0.18) 0.00 0.00
- ---------------------------------------------------------------------------------------------------------------------------------
Total dividends and distributions to
shareholders (0.30) (0.60) (0.60) (0.71) (0.64) (0.83)
- ---------------------------------------------------------------------------------------------------------------------------------
Net asset value - end of period $10.39 $10.10 $10.27 $10.02 $10.70 $10.14
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Total return 5.89% 4.26% 8.93% 0.10% 12.16% 12.42%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
RATIOS/SUPPLEMENTAL DATA:
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Net assets, end of period (000) $72,523 $83,039 $97,619 $88,965 $99,469 $87,712
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Ratio of expenses to average
net assets 0.85%(2) 0.81% 0.77% 0.68% 0.65% 0.61%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Ratio of net investment income to average
net assets 5.74%(2) 5.78% 5.86% 5.03% 6.37% 7.73%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Ratio of expenses to average net assets
without fee waivers 0.96%(2) 0.92% 0.80% 0.70% 0.67% 0.65%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Ratio of net investment income to average net assets
without fee waivers 5.63%(2) 5.67% 5.83% 5.00% 6.35% 7.69%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Portfolio turnover rate (1) 19.22% 71.97% 60.86% 65.04% 87.17% 53.92%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
</TABLE>
(1) A portfolio turnover rate is, in general, the percentage computed by taking
the lesser of purchases or sales of portfolio securities (excluding
securities with a maturity date of one year or less at the time of
acquisition) for a period and dividing it by the monthly average of the
market value of such securities during the period. Purchases and sales of
investment securities (excluding short-term securities) for the six months
ended November 29, 1996 were $14,541,011 and $25,546,298, respectively.
(2) Annualized.
(3) Unaudited.
SEE NOTES TO FINANCIAL STATEMENTS
- ---------------------------------------------------------------------------- 29
<PAGE>
<TABLE>
<CAPTION>
FINANCIAL HIGHLIGHTS
Selected data for a share of beneficial interest
outstanding throughout the periods indicated: Long-Term Bond Fund
-----------------------------------------------------------------------------
For the Six Months For the Year
Ended November 29, Ended May 31,
------------------ --------------------------------------------------------
1996(3) 1996 1995 1994 1993 1992
------------------ -------- ------ ------ ------ ------
<S> <C> <C> <C> <C> <C> <C>
Net asset value - beginning of period $9.59 $9.87 $9.22 $11.25 $10.60 $10.01
- ---------------------------------------------------------------------------------------------------------------------------------
INCOME FROM INVESTMENT OPERATIONS
Net investment income 0.31 0.61 0.59 0.62 0.77 0.80
Net realized and unrealized gain (loss) on
investments 0.62 (0.27) 0.66 (0.51) 0.99 0.56
- ---------------------------------------------------------------------------------------------------------------------------------
Total income from investment operations 0.93 0.34 1.25 0.11 1.76 1.36
- ---------------------------------------------------------------------------------------------------------------------------------
Dividends and distributions to shareholders
Dividends from net investment income (0.31) (0.62) (0.60) (0.62) (0.78) (0.77)
Distributions from net realized gain on
investments 0.00 0.00 0.00 (1.52) (0.33) 0.00
- ---------------------------------------------------------------------------------------------------------------------------------
Total dividends and distributions to
shareholders (0.31) (0.62) (0.60) (2.14) (1.11) (0.77)
- ---------------------------------------------------------------------------------------------------------------------------------
Net asset value - end of period $10.21 $9.59 $9.87 $9.22 $11.25 $10.60
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Total return 9.91% 3.41% 14.37% (.25%) 17.40% 14.04%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000) $24,334 $25,070 $33,440 $26,962 $26,281 $30,800
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Ratio of expenses to average
net assets 0.95%(2) 0.90% 0.94% 0.89% 0.77% 0.70%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Ratio of net investment income to average
net assets 6.42%(2) 6.07% 6.54% 5.74% 6.63% 7.59%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Ratio of expenses to average net assets
without fee waivers 1.12%(2) 1.07% 0.99% 0.92% 0.80% 0.74%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Ratio of net investment income to average net assets
without fee waivers 6.25%(2) 5.90% 6.49% 5.71% 6.60% 7.55%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Portfolio turnover rate (1) 23.07% 33.10% 25.09% 52.82% 79.16% 51.79%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
</TABLE>
(1) A portfolio turnover rate is, in general, the percentage computed by taking
the lesser of purchases or sales of portfolio securities (excluding
securities with a maturity date of one year or less at the time of
acquisition) for a period and dividing it by the monthly average of the
market value of such securities during the period. Purchases and sales of
investment securities (excluding short-term securities) for the six months
ended November 29, 1996 were $5,536,784 and $7,329,695, respectively.
(2) Annualized.
(3) Unaudited.
SEE NOTES TO FINANCIAL STATEMENTS
30 ----------------------------------------------------------------------------
<PAGE>
<TABLE>
<CAPTION>
FINANCIAL HIGHLIGHTS
Selected data for a share of beneficial interest
outstanding throughout the periods indicated: Colorado Tax-Exempt Fund
-----------------------------------------------------------------------------
For the Six Months For the Year
Ended November 29, Ended May 31,
------------------ --------------------------------------------------------
1996(4) 1996 1995 1994 1993 1992
------------------ -------- ------ ------ ------ ------
<S> <C> <C> <C> <C> <C> <C>
Net asset value - beginning of period $10.61 $10.70 $10.52 $10.71 $10.25 $10.00
- ---------------------------------------------------------------------------------------------------------------------------------
INCOME FROM INVESTMENT OPERATIONS
Net investment income 0.25 0.52 0.52 0.53 0.57 0.58
Net realized and unrealized gain (loss) on
investments 0.27 (0.10) 0.20 (0.19) 0.46 0.23
- ---------------------------------------------------------------------------------------------------------------------------------
Total income from investment operations 0.52 0.42 0.72 0.34 1.03 0.81
- ---------------------------------------------------------------------------------------------------------------------------------
DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS
Dividends from net investment income (0.25) (0.51) (0.54) (0.53) (0.57) (0.56)
Distributions from net realized gain on
investments 0.00 0.00 0.00 0.00 0.00 0.00
- ---------------------------------------------------------------------------------------------------------------------------------
Total dividends and distributions to
shareholders (0.25) (0.51) (0.54) (0.53) (0.57) (0.56)
- ---------------------------------------------------------------------------------------------------------------------------------
Net asset value - end of period $10.88 $10.61 $10.70 $10.52 $10.71 $10.25
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Total return 4.99% 3.97% 7.16% 3.22% 10.27% 8.36%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000) $17,477 $13,922 $10,792 $10,553 $7,326 $4,511
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Ratio of expenses to average
net assets 0.50%(3) 0.44% 0.42% 0.27% 0.22% 0.11%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Ratio of net investment income to average
net assets 4.79%(3) 4.87% 5.03% 4.98% 5.45% 5.84%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Ratio of expenses to average net assets
without fee waivers 1.13%(3) 1.43% 1.62% 1.59% 1.88% 1.65%
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
Ratio of net investment income to average net assets
without fee waivers 4.16%(3) 3.88% 3.83% 3.65% 3.79% 4.30%
- ---------------------------------------------------------------------------------------------------------------------------------
Portfolio turnover rate (2) 20.97% 10.23% 3.15% 9.76% 1.82% 12.95%
- ---------------------------------------------------------------------------------------------------------------------------------
</TABLE>
(1) Commencement of operations was June 1, 1991.
(2) A portfolio turnover rate is, in general, the percentage computed by taking
the lesser of purchases or sales of portfolio securities (excluding
securities with a maturity date of one year or less at the time of
acquisition) for a period and dividing it by the monthly average of the
market value of such securities during the period. Purchases and sales of
investment securities (excluding short-term securities) for the six months
ended November 29, 1996 were $5,512,015 and $3,180,590, respectively.
(3) Annualized.
(4) Unaudited.
SEE NOTES TO FINANCIAL STATEMENTS
- ---------------------------------------------------------------------------- 31
<PAGE>
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
1. SIGNIFICANT ACCOUNTING POLICIES
Westcore Trust ("the Trust") is registered under the Investment Company
Act of 1940, as amended, as an open ended management investment company.
Interests in the MIDCO Growth, Blue Chip, Small-Cap Opportunity, Growth and
Income, Intermediate-Term Bond, Long-Term Bond and Colorado Tax-Exempt Funds
("the Funds") are represented by separate classes of beneficial interest of
the Trust, which is organized as a Massachusetts business trust. The Funds,
for book and tax purposes, have a fiscal year ending May 31. From October
11, 1993 to September 30, 1995, the MIDCO Growth, Small-Cap Opportunity,
Growth and Income and Intermediate-Term Bond Funds offered Institutional and
Retail classes of shares with a front-end load and their own
distribution/administrative service plan. On October 1, 1995 the Retail
class was merged into the Institutional class at the respective net asset
value per share. The distribution/administrative service plan on the Retail
class was discontinued. The front-end sales load on all the Funds was also
discontinued.
The following is a summary of significant accounting policies
consistently followed by each Fund in the preparation of its financial
statements. The policies are in conformity with generally accepted accounting
principles.
The preparation of financial statements in accordance with generally
accepted accounting principles requires management to make estimates and
assumptions that affect the reported amounts and disclosures in the financial
statements. The actual results could differ from those estimates.
INVESTMENT VALUATION - Securities of the Funds are valued at 4:00 p.m.
(Eastern time) on each trading day. Listed and unlisted securities for which
such information is regularly reported are valued at the last sales price of
the day or, in the absence of sales, at values based on the average closing
bid and asked price. Securities for which market quotations are not readily
available are valued under procedures established by the Board of Trustees to
determine fair value in good faith. Short term securities having a remaining
maturity of 60 days or less are valued at amortized cost which approximates
market value.
FEDERAL INCOME TAXES - It is the Funds' policy to continue to comply
with the provisions of the Internal Revenue Code applicable to regulated
investment companies and to distribute all of their taxable income to
shareholders. Therefore, no federal income tax provision is required. At May
31, 1996 the Intermediate-Term Bond and Colorado Tax-Exempt Funds had
available for federal income tax purposes unused capital loss carryovers of
approximately $1,783,000 and $4,500, respectively, which will expire through
2003.
DISTRIBUTIONS - Distributions of net investment income are distributed
annually for the MIDCO Growth Fund, quarterly for the Blue Chip, Small-Cap
Opportunity and Growth and Income Funds and monthly for the Intermediate-Term
Bond, Long-Term Bond and Colorado Tax-Exempt Funds. Distributions of net
realized gains, if any, are declared at least once each year. Distributions
to shareholders are recorded on the ex-dividend date.
ORGANIZATION COSTS - Costs incurred in connection with the organization,
initial registration and public offering of shares have been paid by the
Funds. These costs are being amortized over the period of benefit, but not to
exceed sixty (60) months, from the Funds' commencement of operations.
OTHER - Investment transactions are accounted for on the date the
investments are purchased or sold (trade date). Dividend income is recorded on
the ex-dividend date. Interest income, which includes amortization of premiums
and accretion of discount, is accrued and recorded daily. Realized gains and
losses from investment transactions and unrealized appreciation and depreciation
of investments are reported on an identified cost basis which is the same basis
the Funds use for federal income tax purposes.
32 ---------------------------------------------------------------------------
<PAGE>
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)(CONTINUED)
2. SHARES OF BENEFICIAL INTEREST
On November 29, 1996, there was an unlimited number of no par value shares
of beneficial interest authorized for each class of shares. Transactions in
shares of beneficial interest were as follows:
<TABLE>
<CAPTION>
MIDCO Growth Fund
- ----------------------------------------------------------------------------------------------------------------------------------
For the Six Months For the Year
Ended November 29, 1996 Ended May 31, 1996
--------------------------- ---------------------------
Shares Amount Shares Amount
- ----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
INSTITUTIONAL CLASS:
Shares sold 3,934,022 $87,256,782 7,169,895 $142,973,591
Shares issued in reinvestment of dividends 0 0 949,284 18,492,060
Shares exchanged from retail class into institutional class 0 0 1,521,981 30,820,114
- ----------------------------------------------------------------------------------------------------------------------------------
Total 3,934,022 87,256,782 9,641,160 192,285,765
Shares redeemed (5,582,695) (125,057,496) (4,438,468) (91,040,333)
- ----------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) (1,648,673) $(37,800,714) 5,202,692 $101,245,432
- ----------------------------------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------------------------------
RETAIL CLASS:
Shares sold 0 $0 101,559 $1,926,763
Shares issued in reinvestment of dividends 0 0 0 0
- ----------------------------------------------------------------------------------------------------------------------------------
Total 0 0 101,559 1,926,763
Shares redeemed 0 0 (78,351) (1,493,666)
Shares exchanged from retail class into institutional class 0 0 (1,524,993) (30,820,114)
- ----------------------------------------------------------------------------------------------------------------------------------
Net decrease 0 $0 (1,501,785) $(30,387,017)
- ----------------------------------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
Blue Chip Fund
- ----------------------------------------------------------------------------------------------------------------------------------
For the Six Months For the Year
Ended November 29, Ended May 31,
----------------- -----------------
1996 1996
----------------- -----------------
<S> <C> <C>
Shares sold 259,806 1,073,492
Shares issued in reinvestment of dividends 19,743 333,778
- ----------------------------------------------------------------------------------------------------------------------------------
Total 279,549 1,407,270
Shares redeemed (993,859) (1,059,656)
Net increase (decrease) in shares (714,310) 347,614
- ----------------------------------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------------------------------
</TABLE>
- --------------------------------------------------------------------------- 33
<PAGE>
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) (CONTINUED)
2. SHARES OF BENEFICIAL INTEREST (Continued)
<TABLE>
<CAPTION>
Small-Cap
Opportunity Fund
- ----------------------------------------------------------------------------------------------------------------------------------
For the Six Months For the Year
Ended November 29, 1996 Ended May 31, 1996
--------------------------- ---------------------------
Shares Amount Shares Amount
- ----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
INSTITUTIONAL CLASS:
Shares sold 501,431 $10,735,418 497,964 $9,077,026
Shares issued in reinvestment of dividends 803 16,615 24,014 444,359
Shares exchanged from retail class into institutional class 0 0 58,947 1,071,652
- ----------------------------------------------------------------------------------------------------------------------------------
Total 502,234 10,752,033 580,925 10,593,037
Shares redeemed (40,211) (844,588) (67,659) (1,258,285)
- ----------------------------------------------------------------------------------------------------------------------------------
Net increase 462,023 $9,907,445 513,266 $9,334,752
- ----------------------------------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------------------------------
RETAIL CLASS:
Shares sold 0 $0 2,359 $40,334
Shares issued in reinvestment of dividends 0 0 49 886
- ----------------------------------------------------------------------------------------------------------------------------------
Total 0 0 2,408 41,220
Shares redeemed 0 0 (2,064) (35,334)
Shares exchanged from retail class into institutional class 0 0 (58,914) (1,071,652)
- ----------------------------------------------------------------------------------------------------------------------------------
Net decrease 0 $0 (58,570) $(1,065,766)
- ----------------------------------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
Growth and Income Fund
- ----------------------------------------------------------------------------------------------------------------------------------
For the Six Months For the Year
Ended November 29, 1996 Ended May 31, 1996
--------------------------- ---------------------------
Shares Amount Shares Amount
- ----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
INSTITUTIONAL CLASS:
Shares sold 270,342 $3,409,180 497,475 $5,580,398
Shares issued in reinvestment of dividends 7,423 92,076 150,670 1,624,668
Shares exchanged from retail into institutional class 0 0 349,815 3,921,431
- ----------------------------------------------------------------------------------------------------------------------------------
Total 277,765 3,501,256 997,960 11,126,497
Shares redeemed (693,885) (8,797,181) (1,511,113) (17,018,539)
- ----------------------------------------------------------------------------------------------------------------------------------
Net decrease (416,120) $(5,295,925) (513,153) $(5,892,042)
- ----------------------------------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------------------------------
RETAIL CLASS:
Shares sold 0 $0 13,368 $145,165
Shares issued in reinvestment of dividends 0 0 1,911 21,221
- ----------------------------------------------------------------------------------------------------------------------------------
Total 0 0 15,279 166,386
Shares redeemed 0 0 (34,087) (373,642)
Shares exchanged from retail into institutional class 0 0 (349,504) (3,921,431)
- ----------------------------------------------------------------------------------------------------------------------------------
Net decrease 0 $0 (368,312) $(4,128,687)
- ----------------------------------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------------------------------
</TABLE>
34 ---------------------------------------------------------------------------
<PAGE>
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) (CONTINUED)
2. SHARES OF BENEFICIAL INTEREST (Continued)
<TABLE>
<CAPTION>
Intermediate-Term Bond Fund
- ----------------------------------------------------------------------------------------------------------------------------------
For the Six Months For the Year
Ended November 29, 1996 Ended May 31, 1996
--------------------------- ---------------------------
Shares Amount Shares Amount
- ----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
INSTITUTIONAL CLASS:
Shares sold 1,012,058 $10,320,263 1,832,976 $18,925,545
Shares issued in reinvestment of dividends 180,662 1,837,596 401,174 4,126,393
Shares exchanged from retail class into institutional class 0 0 270,324 2,781,631
- ----------------------------------------------------------------------------------------------------------------------------------
Total 1,192,720 12,157,859 2,504,474 25,833,569
Shares redeemed (2,440,607) (24,899,380) (3,786,468) (39,148,063)
- ----------------------------------------------------------------------------------------------------------------------------------
Net decrease (1,247,887) $(12,741,521) (1,281,994) $(13,314,494)
- ----------------------------------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------------------------------
RETAIL CLASS:
Shares sold 0 $0 39,293 $404,991
Shares issued in reinvestment of dividends 0 0 4,402 45,023
- ----------------------------------------------------------------------------------------------------------------------------------
Total 0 0 43,695 450,014
Shares redeemed 0 0 (23,810) (245,474)
Shares exchanged from retail class into institutional class 0 0 (270,061) (2,781,631)
- ----------------------------------------------------------------------------------------------------------------------------------
Net decrease 0 $0 (250,176) $(2,577,091)
- ----------------------------------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
Long-Term Bond Fund
- ----------------------------------------------------------------------------------------------------------------------------------
For the Six Months For the Year
Ended November 29, Ended May 31,
----------------- -----------------
1996 1996
----------------- -----------------
<S> <C> <C>
Shares sold 288,508 628,595
Shares issued in reinvestment of dividends 75,974 168,046
- ----------------------------------------------------------------------------------------------------------------------------------
Total 364,482 796,641
Shares redeemed (596,101) (1,570,539)
- ----------------------------------------------------------------------------------------------------------------------------------
Net decrease in shares (231,619) (773,898)
- ----------------------------------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
Colorado Tax-Exempt Fund
- ----------------------------------------------------------------------------------------------------------------------------------
For the Six Months For the Year
Ended November 29, Ended May 31,
1996 1996
----------------- -----------------
<S> <C> <C>
Shares sold 363,479 334,258
Shares issued in reinvestment of dividends 25,169 32,305
- ----------------------------------------------------------------------------------------------------------------------------------
Total 388,648 366,563
Shares redeemed (94,553) (63,463)
- ----------------------------------------------------------------------------------------------------------------------------------
Net increase in shares 294,095 303,100
- ----------------------------------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
- --------------------------------------------------------------------------- 35
<PAGE>
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) (CONTINUED)
3. UNREALIZED GAINS AND LOSSES ON INVESTMENTS
<TABLE>
<CAPTION>
MIDCO Blue Small-Cap Growth
Growth Chip Opportunity and Income
Fund Fund Fund Fund
---- ---- ---- ----
<S> <C> <C> <C> <C>
As of November 29, 1996
Gross appreciation (excess of
value over cost) $204,326,403 $20,157,922 $6,821,476 $5,878,859
Gross depreciation (excess of
cost over value) (19,015,981) (1,808,507) (269,119) (73,607)
- -------------------------------------------------------------------------------------------------------------------
Net unrealized appreciation $185,310,422 $18,349,415 $6,552,357 $5,805,252
- -------------------------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
Intermediate- Long-Term Colorado
Term Bond Bond Tax-Exempt
Fund Fund Fund
---- ---- ----
<S> <C> <C> <C>
As of November 29, 1996
Gross appreciation (excess of
value over cost) $1,609,533 $1,686,824 $578,776
Gross depreciation (excess of
cost over value) (284,370) (93,044) -
- -------------------------------------------------------------------------------------------------------------------
Net unrealized appreciation $1,325,163 $1,593,780 $578,776
- -------------------------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------------------
</TABLE>
4. INVESTMENT ADVISORY FEES, ADMINISTRATIVE FEES AND OTHER RELATED
PARTY TRANSACTIONS
The Trust has entered into an advisory agreement with Denver Investment
Advisors LLC, ("DIA") for all Funds. DIA succeeded First Interstate Capital
Management, Inc. ("FICM") as investment advisor to the Long-Term Bond and the
Colorado Tax-Exempt Fund on October 1, 1995. The advisory agreement has been
approved by the Trust's Board of Trustees and shareholders and contain terms and
conditions similar to those which were in these Funds' former advisory
agreement.
Pursuant to its advisory agreement with the Trust, DIA is entitled to an
investment advisory fee, computed daily and payable monthly of 0.65%, 0.65%,
1.00%, 0.65%, 0.45%, 0.45% and 0.50% of the average net assets for MIDCO Growth,
Blue Chip, Small-Cap Opportunity, Growth and Income, Intermediate-Term Bond,
Long-Term Bond and Colorado Tax-Exempt Funds, respectively.
Wells Fargo Bank, N.A. ("Custodian") is the custodian of the Funds. All
custodial fees were waived by the Custodian for the six months ended November
29, 1996. In addition, DIA waived all of its advisory fees from the Colorado
Tax-Exempt Fund. DIA also waived a portion of its advisory fees on the Blue
Chip, Small-Cap Opportunity, Growth and Income, Intermediate-Term Bond and
Long-Term Bond Funds.
Certain officers of the Funds are also officers of DIA and ALPS Mutual
Funds Services, Inc., ("ALPS"). All access persons, as defined in the 1940 Act,
follow strict guidelines and policies on personal trading as outlined in the
Trust's Code of Ethics.
36 ---------------------------------------------------------------------------
<PAGE>
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)(CONTINUED)
4. INVESTMENT ADVISORY FEES, ADMINISTRATIVE FEES AND OTHER
RELATED PARTY TRANSACTIONS (CONTINUED)
Effective October 1, 1995, ALPS and DIA entered into a co-administration
agreement to serve as the Funds co-administrators. ALPS and DIA are entitled to
receive a fee from each Fund for its administrative services computed daily and
payable monthly, at the annual rate of 0.30% of the Funds' average net assets.
For the six months ended November 29, 1996, ALPS and DIA voluntarily waived a
portion of their co-administration fee payable by certain Funds.
Expenses for the Funds include legal fees paid to Drinker, Biddle & Reath.
A partner of that firm is secretary of the Trust.
Shareholders holding more than 5% of the Funds' outstanding shares as of
November 29, 1996, constituted 38.59% of MIDCO Growth Fund, 78.39% of Blue Chip
Fund, 78.45% of Small-Cap Opportunity Fund, 59.09% of Growth and Income Fund,
79.76% of Intermediate-Term Bond Fund, 81.87% of Long-Term Bond Fund and 65.47%
of Colorado Tax-Exempt Fund.
5. RESTRICTED SECURITIES
The Intermediate-Term Bond and Long-Term Bond Funds own restricted securities
purchased pursuant to Rule 144A of the Securities Act of 1933 (the Act).
Rule 144A securities amount to 4.09% and 2.92% of the Intermediate-Term Bond and
Long-Term Bond Funds' Net Assets, respectively, at November 29, 1996 and are
listed below.
<TABLE>
<CAPTION>
Acquisition Cost Valuation per Unit as Fair Value as
Security Date per Unit of November 29, 1996 Of November 29, 1996
-------- ---- -------- --------------------- --------------------
<S> <C> <C> <C> <C>
INTERMEDIATE-TERM BOND FUND
Bayer Corp., 6.50%, 10/01/02 09/26/95 $99.42 $101.375 $1,216,500
JETS Equipment Trust Ser. 95-B,
7.83%, 02/15/15 07/01/95 $100.00 $106.00 1,113,450
Corporate Property Investors,
7.75%, 08/15/04 06/20/96 $100.104 $106.282 637,689
-------------
Total $2,967,639
-------------
-------------
LONG-TERM BOND FUND
Bayer Corp., 6.50%, 10/01/02 09/26/95 $99.33 $101.375 $349,744
JETS Equipment Trust Ser. 95-B,
7.83%, 02/15/15 07/01/95 $100.00 $106.00 360,840
-------------
Total $710,584
-------------
-------------
</TABLE>
- --------------------------------------------------------------------------- 37
<PAGE>
DEFINITION OF COMMON TERMS
CAPITAL GAIN (OR LOSS)
The increase (or decrease) in the market value (price) of a security in
your portfolio. If a stock or bond appreciates in price, there is a capital
gain; if it depreciates there is a capital loss. A capital gain or loss is
"realized" upon the sale of a security; if realized net capital gains exceed
realized net capital losses, there may be a capital gain distribution to
shareholders.
DIVIDEND
Income generated by securities in a portfolio and distributed to
shareholders after expenses are deducted. The Intermediate-Term Bond, Long-Term
Bond and Colorado Tax-Exempt Funds pay monthly dividends, the Blue Chip,
Small-Cap Opportunity and Growth and Income Funds pay dividends quarterly and
the MIDCO Growth Fund pays dividends annually.
NET ASSET VALUE (NAV) PER SHARE
The total market value of all securities and other assets held by a fund,
minus any liabilities, divided by the number of shares outstanding. It is the
value of a single share of a mutual fund on a given day. The total value of
your investment would be the NAV multiplied by the number of shares you own.
BOND RATINGS
The quality of bonds can, to some degree, be determined from the
ratings of prominent rating services such as: Moody's and Standard &
Poor's. These ratings are used by government and industry regulatory
agencies, the investing public, and portfolio managers as a guide to the
relative security and value of each bond. The ratings are not used as an
absolute factor in determining the strength of the pledge securing a
particular issue. Many non-rated issues are sound investments. However,
since Moody's and Standard & Poor's rate bonds on a fee basis, the
number of non-rated issues may increase. The rating symbols used by
two services are:
- -----------------------------------------
STANDARD
MOODY'S & POOR'S
INVESTORS CORP.
SERVICES, Plus (+) or
INC. minus (-)
--------- -----------
Prime Aaa AAA
Excellent Aa AA
Good A A
Average Baa BBB
Fair Ba BB
Poor B B
Marginal Caa C
- -----------------------------------------
SEC YIELD
The SEC Yield was created by the Securities and Exchange Commission in 1988
as a standardized yield calculation intended to put all funds which quote yield
performance on a level playing field. The SEC formula eliminates income derived
from capital gains, option writing, futures, or returns of capital. The formula
also adjusts the income from premium or discounted bonds to reflect the
amortization of that bond.
PRICE/EARNINGS RATIO
The Price/Earnings ratio is the price per share of a security divided by
the earnings of the company per share. It gives investors an idea of how much
they are paying for a company's earning power. The higher the P/E, the more
investors are paying, and therefore the more earnings growth they are expecting.
High P/E stocks--those with multiples over 20--are typically young, fast-growing
companies. Low P/E stocks tend to be in low-growth or mature industries, in
stock groups that have fallen out of favor, or in established blue-chip
companies with long records of earnings stability and regular dividends. In
general, low P/E stocks have higher yields than high P/E stocks, which often pay
no dividends at all.
TOTAL RETURN
Total return measures a fund's performance, taking into account the
reinvestment of any dividends or other distributions paid and the gain or loss
in the value of the securities held in the portfolio. It may be expressed on an
average annual basis or a cumulative basis (total change over a given period).
In addition, total return may be expressed with or
38 ---------------------------------------------------------------------------
<PAGE>
DEFINITION OF COMMON TERMS (CONTINUED)
without the effects of sales charges or the reinvestment of dividends and
capital gains.
Whenever a fund reports any type of performance, it must also report the
average annual total return according to the standardized calculation developed
by the SEC. This standardized calculation was introduced to insure that
investors can compare different funds on an equal basis. The SEC average annual
total return calculation includes the effects of all of the fund's fees and
sales charges, the effects of any expense waivers or reimbursements and assumes
the reinvestment of all dividends and capital gains distributions.
DEFINITIONS FOR WESTCORE COLORADO TAX-EXEMPT FUND:
CERTIFICATES OF PARTICIPATION - Certificates of participation (COPs), or
lease-secured bonds, represent a bondholder's proportionate interest in rental
payments made under a municipal lease contract. The payments are normally made
pursuant to a lease and trust agreement. This type of tax-exempt municipal
leasing has become an attractive alternative to traditional bond financing.
INSURED BONDS - Insured Bonds refer to municipal obligations which are covered
by an insurance policy issued by independent insurance companies. The policies
insure the payment of principal and/or interest on the bond. Examples of such
companies would be MBIA (Municipal Bond Investors Assurance Corporation), or
AMBAC (American Municipal Bond Assurance Corporation). Bonds insured by either
MBIA or AMBAC are usually rated Aaa/AAA by Moody's/Standard & Poor's.
GENERAL OBLIGATION BONDS - General obligation bonds (GOs) are debts backed by
the general taxing power of the issuer. Payment of the obligation may be backed
by a specific tax or the issuer's general tax fund. Examples of GOs include
sidewalk bonds, sewer bonds, street bonds and so on. These bonds are also known
as FULL FAITH AND CREDIT bonds because the debt is a general obligation of the
issuer.
REVENUE BONDS
Revenue bonds are issued to provide capital for the construction of a
revenue-producing facility. The interest and principal payments are payable
only from the revenues derived from the facility. Examples of revenue bonds
include toll bridges, roads, parking lots and ports. The municipality is not
obligated to cover debt payments on revenue bonds in default.
- --------------------------------------------------------------------------- 39
<PAGE>
WESTCORE FUNDS Better research makes the difference.
Westcore Officers
and Trustees:
Jack D. Henderson, Chairman
McNeil S. Fiske, Trustee
James B. O'Boyle, Trustee
Lyman E. Seely, Trustee
Robert L. Stamp, Trustee
Kenneth V. Penland, President
Mark Pougnet, Treasurer
W. Bruce McConnel, III, Secretary
For More
Information Call:
WESTCORE FUNDS
370 17th Street
Suite 2700
Denver, CO 80202
1-800-392-CORE (2673)
www.westcore.com
Distributed by ALPS Mutual Funds Services, Inc.,
member NASD.
