<PAGE>
[LOGO] Semi-Annual Report
[cad 157]PHOTO[cad 179]
Westcore Equity Funds November 30, 1998
Westcore MIDCO Growth Fund
Westcore Growth and Income Fund
Westcore Blue Chip Fund
Westcore Mid-Cap Opportunity Fund
Westcore Small-Cap Opportunity Fund
Westcore Bond Funds
Westcore Long-Term Bond Fund
Westcore Intermediate-Term Bond Fund
Westcore Colorado Tax-Exempt Fund
Westcore Funds are managed by
Denver Investment Advisors LLC.
<PAGE>
[LOGO]
November 30, 1998
DEAR FELLOW SHAREHOLDER:
As our semi-annual report goes to press, the U.S. financial markets have
just ended another record calendar year. The S&P 500 Index has posted its fourth
year of 20% plus gains. Long-term interest rates declined nearly a full 1% for
the year as the Federal Reserve, which started the year with a bias toward
tightening interest rates, shifted to an easing mode and lowered rates three
times. Right now, the Federal Reserve has returned to a neutral stance. Numbers
do not reflect a lot of excitement that occurred during the year. As recently as
October, the S&P 500 Index was flat for the year, having declined approximately
20% from its summer peak. The Asian financial crisis had spread to South America
and Russia, hedge funds were taking huge losses and the Federal Reserve was
warning of a credit crunch in the U.S. There is no question that international
turmoil has reduced U.S. economic growth and has had a negative impact on
profits. The quick change in policy by the Federal Reserve calmed markets and
allowed the inherent strength of the U.S. economy to continue. In our view, the
U.S. economy also continues its remarkable growth because of the combination of
technology-driven productivity and real income growth for consumers. We believe
these trends should continue and over the next year we expect some of the
international news to improve.
Bond funds provide positive returns in volatile environment.
What does this mean for investors in the Westcore Funds? First, the good
news is that the fixed-income funds did their job in this volatile environment.
They provided a safe haven and positive returns as a result of the interest rate
decline. The Westcore Long-Term Bond Fund was ranked #1 out of 92 BBB-Rated
Corporate Bond Funds based on average annual total return for the one-year
period ended September 30, 1998 according to Lipper Analytical Services Inc.(1)
(Total return represents past performance. PAST PERFORMANCE IS NOT INDICATIVE OF
FUTURE RESULTS. Without the absorption of fee waivers and expense
reimbursements, total return figures would have been lower.) Both the Westcore
Intermediate- and Long-Term Bond Funds are significantly overweighted in
corporate bonds and we expect them to benefit as the economy grows and fears of
a credit crunch continue to dissipate. The Westcore Colorado Tax-Exempt Fund
provided a comfortable place for Colorado investors to generate double
tax-exempt income.
A stock market defined by narrow leadership.
In spite of the excellent returns for the S&P 500 Index, equity investing
was quite challenging for the year. The advances in the stock market were very
narrow with only a handful of stocks contributing to the positive return for the
market. It was truly a year of "haves" and "have nots", with a few large-cap
growth stocks being the "haves" and most other stocks and investment styles
being the "have nots". Growth was in, value was out, big was in, small was not.
[PICTURE]
This report has been prepared for Westcore shareholders and may be
distributed to others only if preceded or accompanied by a prospectus.
Photograph subject: Notch Mountain, Holy Cross Wilderness, Sawatch Mountains,
Colorado Photographer: Eric Wunrow
<PAGE>
[LOGO]
In this environment our Westcore Blue Chip Fund and Small-Cap Opportunity
Fund, while having disappointing absolute returns, performed well versus their
peers. Westcore Small-Cap Opportunity Fund continues to receive favorable
publicity, having been included in articles suggesting funds to investors such
as the WALL STREET JOURNAL'S "Small-Stock Funds May Be Worth a Look", October
16, 1998 and KIPLINGER'S PERSONAL FINANCE MAGAZINE'S "Countdown to College",
November, 1998. Westcore MIDCO Growth and Growth and Income Funds struggled from
being in the wrong sectors and had sub-par years on the stock selection front.
Both of these funds have had excellent long-term stock selection based on
research driven investment processes, and we believe the portfolios are
positioned to see positive results from stock selection in 1999.
Will the stock market ever broaden?
Yes. We believe that is an easy answer based on years of history and
experience.
A more difficult question is when and what will be the catalyst. We are
unsure of the timing, but believe the disparity in relative valuations makes our
YES answer very probable, and believe this is an excellent opportunity in
medium-sized growth companies and value stocks across the capitalization
spectrum.
This semi-annual report includes the first report on our newest fund, the
Westcore Mid-Cap Opportunity Fund. We hope you will consider the Fund, which
uses the same valuation and research discipline as the Westcore Blue Chip and
Small-Cap Opportunity Funds.
Thank you for investing with us. We are dedicated to meeting your investment
objectives with our family of funds that are driven by excellent investment
research.
Sincerely,
[JACK D. HENDERSON SIGNATURE]
[KENNETH V. PENLAND SIGNATURE]
(1) Westcore Long-Term Bond Fund ranked 4th out of 39 funds for the 5-year
period and 1st out of 19 funds for the 10-year period ended 9/30/98. Average
annual total returns reflect the reinvestment of dividends, capital gains
distributions, all fee waivers and expense reimbursements. Investment return and
principal value will vary, and shares, when redeemed, may be worth more or less
than their original cost. Westcore fund shares are not insured by the FDIC, the
Federal Reserve Board or any other agency and are subject to investment risk.
[JACK D. HENDERSON PHOTO]
Jack D. Henderson
CHAIRMAN
[KENNETH V. PENLAND PHOTO]
Kenneth V. Penland, CFA
PRESIDENT
1
<PAGE>
[WESTCORE LOGO]
Manager's Overview
Westcore MIDCO Growth Fund
FUND STRATEGY: SEEKS
TO MAXIMIZE LONG-TERM
CAPITAL APPRECIATION BY
INVESTING PRIMARILY IN
MEDIUM-SIZED GROWTH
COMPANIES. [TODGER ANDERSON, CFA PHOTO]
[TODGER ANDERSON, CFA SIGNATURE]
TODGER ANDERSON, CFA
PORTFOLIO MANAGER, WESTCORE MIDCO GROWTH FUND
Q: How did Westcore MIDCO Growth Fund respond to the recent market fluctuations?
A: During the first six months of our fiscal year, the market was indeed
volatile. Unfortunately, there was no way for our Fund to avoid participating in
this volatility. We were fully invested for the entire period and made some
selective additions to our holdings during periods of market weaknesses.
Q: What should our fund investors do during periods of extreme volatility in the
stock market?
A: We believe it is generally best to stay fully invested. And, if it suits your
investment objectives, add to your holding of the Fund during periods of general
market weakness. As you know, short-term volatility in the stock market has
historically turned into positive long-term returns.
Q: What are the factors you felt influenced the Fund's return over the past
couple of years?
A: Both 1997 and 1998 have been trying periods for the Fund. In 1997 our lack of
exposure to financial stocks and our overweighted holdings in healthcare
services stocks caused us to underperform our benchmark. In 1998 we have had a
much better year due to better industry weightings; specifically, lower exposure
to healthcare services. However, we are still lagging our benchmark. For the six
months ended November 30, 1998, the Fund returned -4.33% as compared to -1.55%
for the Standard & Poor's 400 Mid-Cap Index. We note two reasons for our
performance shortfall. The first reason is disappointing returns from our
holdings in the financial sector. The second is our underexposure to internet
stocks.
Q: Why should someone invest in Westcore MIDCO Growth Fund?
A: Westcore MIDCO Growth Fund is a great way to diversify your portfolio into an
asset class that offers investors the potential of higher returns than large-cap
stocks with less volatility than small-cap stocks. We are confident in our
research-intensive stock selection process and believe that we have a portfolio
made up of solid growth companies.
Q: Can you give us an example of what you consider when you make an investment
decision?
A: One of our holdings is Forest Labs, a medium-sized pharmaceutical company. We
purchased this stock when we recognized a disconnect between the company's
long-term growth potential and its stock price. Forest Labs' stock was under
pressure because investors were focused on a near-term earnings disappointment.
What we focused on was somewhat different. Our research uncovered a company with
a substantial existing product line and a strong drug development pipeline. The
drug in development with the most potential was an anti-depressant/anxiety drug
named Celexa. Celexa was to be a direct competitor with Prozac. Research
WESTCORE MIDCO GROWTH FUND
AVERAGE ANNUAL TOTAL RETURNS
<TABLE>
<CAPTION>
Period 6 Since
Ended Month 1 Year 5 Year 10 Year incep.
<S> <C> <C> <C> <C> <C>
11/30/98 (4.33)% 1.21% 12.28% 17.37% 14.46%
12/31/98 1.76% 10.40% 13.35% 18.08% 15.27%
</TABLE>
AVERAGE ANNUAL TOTAL RETURNS REFLECT REINVESTMENT OF ALL DIVIDENDS, CAPITAL
GAINS DISTRIBUTIONS, ALL FEE WAIVERS IN EFFECT AND ANY EXPENSE
REIMBURSEMENTS. WITHOUT THE FEE WAIVERS AND EXPENSE REIMBURSEMENTS, THE
TOTAL RETURN FIGURES WOULD HAVE BEEN LOWER. FUND INCEPTION DATE IS 8/1/86.
PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. PRINCIPAL VALUE MAY
FLUCTUATE AND SHARES, WHEN REDEEMED, MAY BE WORTH MORE OR LESS THAN THEIR
ORIGINAL COST.
2
<PAGE>
Semi-Annual Report November 30, 1998
indicated that Celexa was within one year of FDA approval, and we had proof of
its success in competing for market share (Celexa was available in Europe and
had greater than 10% market share). The U.S. market for depression/anxiety drugs
is $5-6 billion. Therefore, with only a small share of the domestic market,
Forest Labs had the potential to double in size. Since our purchase of the
stock, Celexa has been approved by the FDA and fully launched in the U.S. Recent
prescription data indicate that Celexa has already accumulated 4% market share.
Since the start of the fiscal year, Forest Labs has appreciated nearly 100%.
Q: How does Westcore MIDCO Growth Fund's performance compare against its peers?
A: We have underperformed the Morningstar Mid-Cap Growth Category Average which
returned -3.03% during the last six months. However, we have outperformed it
since the inception of the Fund. (see chart below)
Q: What is your outlook for the Fund?
A: We think the outlook for the Fund is very positive. Mid-cap stock valuations
have never been more attractive relative to large caps. Further, the companies
in our portfolio have earnings that are growing faster than those companies in
our benchmark. And, finally, the economic outlook for the U.S. remains sound
with a forecast of modest GDP growth and low inflation for 1999.
Westcore MIDCO Growth Fund
Sector Profile as a Percent of Net Assets
for November 30, 1998
EDGAR REPRESENTATION OF DATA POINTS USED IN PRINTED GRAPHIC
<TABLE>
<S> <C>
CONSUMER CYCLICALS 22.46%
TECHNOLOGY 22.40%
HEALTHCARE 18.76%
CREDIT SENSITIVE 16.68%
SERVICES 6.27%
CONSUMER STAPLES 4.70%
CAPITAL GOODS 2.36%
BASIC MATERIALS 1.46%
ENERGY 1.30%
OTHER 3.59%
</TABLE>
Westcore MIDCO Growth Fund
Top 10 Equity Holdings as of November 30, 1998:
/ / MCI WorldCom Inc
/ / Lowe's Companies Inc
/ / Rite Aid Corp
/ / USA Networks Inc
/ / Sybron International Corp
/ / AES Corp
/ / Cardinal Health Inc
/ / Westwood One Inc
/ / Family Dollar Stores Inc
/ / Bed Bath & Beyond Inc
Comparison of Change in Value of $10,000
Investment in Westcore MIDCO Growth Fund,
the S&P 400 Mid-Cap Index and Mid-Cap Growth Category Average
EDGAR REPRESENTATION OF DATA POINTS USED IN PRINTED GRAPHIC
<TABLE>
<CAPTION>
$'S SHOWN IN THOUSANDS
WESTCORE MIDCO GROWTH FUND
<S> <C> <C>
8/86 $10,000.00
11/86 $10,230.00
11/87 $8,926.70
11/88 $10,662.05
11/89 $14,353.25
11/90 $14,292.97
11/91 $21,964.00
11/92 $25,511.19
11/93 $29,654.20
11/94 $30,161.29
11/95 $39,523.35
11/96 $46,428.08
11/97 $52,305.88
11/98 $52,938.78
Please Note: Performance calculations are as of the end of November each
year.
Past performnace is not indicative of future results. Fund inception
date is 8/1/86.
Source: Morningstar
Although data are gathered from reliable sources,
Morningstar cannot guarantee completeness and accuracy.
<CAPTION>
$'S SHOWN IN THOUSANDS
S&P 400 MID-CAP INDEX MID-CAP GROWTH
<S> <C> <C>
8/86 $10,000.00 $10,000.00
11/86 $10,199.00 $10,158.00
11/87 $9,110.77 $8,910.60
11/88 $11,403.04 $10,908.65
11/89 $15,525.23 $14,639.19
11/90 $14,419.84 $13,233.83
11/91 $20,479.05 $18,479.72
11/92 $24,789.89 $22,155.34
11/93 $27,896.07 $25,336.85
11/94 $27,887.70 $25,379.92
11/95 $36,934.47 $34,747.65
11/96 $43,863.37 $40,585.25
11/97 $56,903.67 $45,780.16
11/98 $61,723.46 $48,298.07
Please Note: Performance calculations are as of the end of November each
year.
Past performnace is not indicative of future results. Fund inception
date is 8/1/86.
Source: Morningstar
Although data are gathered from reliable sources,
Morningstar cannot guarantee completeness and accuracy.
</TABLE>
The S&P 400 Mid-Cap Index is a broad-based
measurement of changes in stock market
conditions based on the average performance
of 400 middle capitalization issues. It is
an unmanaged index.
Morningstar Category averages reflect the
performance of mutual funds with the same
Morningstar Category. The Morningstar
Category identifies funds based on their
actual investment styles as measured by
their underlying portfolio holdings
(portfolio statistics and compositions over
the past three years). As of November 30,
1998 the Mid-Cap Growth Category included
369 mutual funds.
3
<PAGE>
[WESTCORE LOGO]
Manager's Overview
Westcore Growth and Income Fund
FUND STRATEGY: SEEKS
TO MAXIMIZE LONG-TERM
TOTAL RETURN BY INVESTING
IN EQUITY SECURITIES
SELECTED FOR THEIR GROWTH
POTENTIAL AND INCOME-PRODUCING ABILITIES.
[MILFORD H. SCHULHOF, II PHOTO]
[MILFORD H. SCHULHOF, II SIGNATURE]
MILFORD H. SCHULHOF, II
PORTFOLIO MANAGER, WESTCORE
GROWTH AND INCOME FUND
Q: How did the Westcore Growth and Income Fund respond to the recent market
fluctuations?
A: The last six months have been a very volatile period. From July to October,
the Fund experienced a significant decline, but by maintaining a consistent
approach, we have now turned that around and have participated strongly in the
market recovery.
Q: What factors influenced the Fund's return in the last six months?
A: The first factor was the overall volatility of the stock market -- most of
what decreased is now increasing. In looking at industry groups, we can see that
our exposure to semiconductor stocks like Intel, Micron Technologies, Texas
Instruments, and Linear Technology, has been positive, because these stocks are
coming back strong. The reason the semiconductor industry is doing so well has
to do with a better balance in the supply and demand. The pricing environment
has been difficult, but this has finally bottomed out. Now, we are well
positioned for the upswing.
In addition, our exposure to the pharmaceutical industry has been positive.
These stocks continued to perform well even in the market downturn. However,
while we are reducing our position, we continue to maintain exposure in energy
stocks like Schlumberger and Anadarko Petroleum. These have not done well due to
the difficult oil price environment.
Q: What kind of investor might the Fund be most appropriate for?
A: We consider this Fund to be a core holding for any investor looking for
dividend income and who has a tolerance for a moderate amount of risk. The Fund
is actually designed to have characteristics similar to the S&P 500 Index in
terms of risk and dividend yield, and strives to outperform this index through
good stock selection.
Q: Can you explain how some of your current holdings meet your investment
strategy?
A: Many of our investors will recognize these examples from our portfolio.
General Electric is one of our holdings -- it is a quality company with a 1.2%
dividend yield. This yield is very close to that which you would find in the S&P
500 Index. We expect good earnings growth in this company which has about the
same risk as the market. Another stock in our portfolio with a 1.3% dividend
yield is Colgate Palmolive.
Pfizer would be an additional example. We believe this high quality
pharmaceutical company has some exciting new products. Plus, existing products
are experiencing strong growth.
Q: When looking at the Fund's performance against its index and peers, why
didn't the Fund's return match theirs?
A: For the six months ended November 30, 1998, the Fund had a total return of
- -5.60%, lagging both the S&P 500 Index of 7.48% and the Morningstar Large Blend
Category Average of 3.39%. When looking at the Fund's performance, it is
important to note that we blend large- and mid-cap stocks for our holdings.
While large caps provide safety and a good dividend yield, mid-caps provide
growth attributes. Unfortunately this year's market was extremely selective with
a few large companies fairing well, but mid-caps lagging behind. And, since our
focus has always been to include mid-caps stocks with the Fund, this has created
some lower returns.
WESTCORE GROWTH AND INCOME FUND
AVERAGE ANNUAL TOTAL RETURNS
<TABLE>
<CAPTION>
6 Since
Period Ended Month 1 Year 5 Year 10 Year incep.
<S> <C> <C> <C> <C> <C>
11/30/98 (5.60)% 1.70% 12.52% 12.63% 12.09%
12/31/98 (0.51)% 6.63% 13.40% 13.44% 12.77%
</TABLE>
AVERAGE ANNUAL TOTAL RETURNS REFLECT REINVESTMENT OF ALL DIVIDENDS, CAPITAL
GAINS DISTRIBUTIONS, ALL FEE WAIVERS IN EFFECT AND ANY EXPENSE
REIMBURSEMENTS. WITHOUT THE FEE WAIVERS AND EXPENSE REIMBURSEMENTS, THE
TOTAL RETURN FIGURES WOULD HAVE BEEN LOWER. FUND INCEPTION DATE IS 6/1/88.
PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. PRINCIPAL VALUE MAY
FLUCTUATE AND SHARES, WHEN REDEEMED, MAY BE WORTH MORE OR LESS THAN THEIR
ORIGINAL COST.
4
<PAGE>
Semi-Annual Report November 30, 1998
Q: Did sector weightings change in the Fund? Why and how did it affect the Fund?
A: We did make some changes in the Fund by reducing our energy exposure and
increasing technology holdings. We felt that the energy sector was weakening
when we watched oil prices drop and worldwide demand soften. However, we also
believed that the near-term concerns with technology stocks were exaggerated and
fully reflected in the stock prices, so we decided it was an opportunity to
increase our holdings in this area.
Q: What were some of the major economic issues that impacted the Fund this past
year?
A: With the economic deterioration of both Japan and Russia, there was some
significant impact to many of our large consumer stocks that have products
exported overseas. For example, Gillette had developed a new razor and expected
attractive sales in Russia. However with Russia's faltering economy, Gillette's
original sales estimate was lowered substantially.
Q: There has been a lot of speculation on whether we are headed for a recession
in the U.S. Where do you think the economy is going for the new year?
A: We believe the economy will continue to grow and inflation will remain low.
These two factors should combine to support a favorable investment environment
in 1999.
Westcore Growth and Income Fund
Sector Profile as a Percent of Net Assets
for November 30, 1998
EDGAR REPRESENTATION OF DATA POINTS USED IN PRINTED GRAPHIC
<TABLE>
<S> <C>
CREDIT SENSITIVE 34.84%
CONSUMER CYCLICALS 16.79%
HEALTHCARE 14.41%
SERVICES 8.13%
CONSUMER STAPLES 8.08%
TECHNOLOGY 5.89%
ENERGY 2.90%
CAPITAL GOODS 2.60%
BASIC MATERIALS 1.80%
OTHER 4.56%
</TABLE>
Westcore Growth and Income Fund
Top 10 Equity Holdings as of November 30, 1998:
/ / AES Corp
/ / Schering-Plough Corp
/ / MCI WorldCom Inc
/ / Omnicom Group Inc
/ / Wal-Mart Stores Inc
/ / Hartford Life Inc -- Class A
/ / Home Depot Inc
/ / Lowe's Companies Inc
/ / Mutual Risk Management Ltd
/ / Household International Inc
Comparison of Change in Value of $10,000
Investment in Westcore Growth and Income Fund,
the S&P 500 Index and Large Blend Category Average
EDGAR REPRESENTATION OF DATA POINTS USED IN PRINTED GRAPHIC
<TABLE>
<CAPTION>
$'S SHOWN IN THOUSANDS
WESTCORE GROWTH AND INCOME FUND
<S> <C> <C>
6/1/88 $10,000
11/30/88 $10,087
11/30/89 $12,469
11/30/90 $12,290
11/30/91 $14,817
11/30/92 $17,014
11/30/93 $18,374
11/30/94 $17,176
11/30/95 $20,920
11/30/96 $26,663
11/30/97 $32,596
11/30/98 $33,150
Please Note: Performance calculations are as of the end of November each
year.
Past performance is not indicative of future results. Fund inception
date is 6/1/88.
Source: Morningstar
Although data are gathered from reliable sources,
Morningstar cannot guarantee completeness and accuracy.
<CAPTION>
$'S SHOWN IN THOUSANDS
S&P 500 INDEX LARGE BLEND
<S> <C> <C> <C> <C>
6/1/88 $10,000 $10,000
11/30/88 $10,451 $10,264
11/30/89 $13,675 $13,052
11/30/90 $13,199 $12,453
11/30/91 $15,887 $15,243
11/30/92 $18,822 $17,899
11/30/93 $20,720 $19,633
11/30/94 $20,935 $19,572
11/30/95 $28,667 $25,769
11/30/96 $36,650 $31,938
11/30/97 $47,096 $39,558
11/30/98 $58,238 $46,346
Please Note: Performance calculations are as of the end of November each
year.
Past performance is not indicative of future results. Fund inception
date is 6/1/88.
Source: Morningstar
Although data are gathered from reliable sources,
Morningstar cannot guarantee completeness and accuracy.
</TABLE>
The S&P 500 Index is a broad-based
measurement of changes in stock market
conditions based on the average performance
of 500 widely held common stocks. It is an
unmanaged index.
Morningstar Category averages reflect the
performance of mutual funds with the same
Morningstar Category. The Morningstar
Category identifies funds based on their
actual investment styles as measured by their
underlying portfolio holdings (portfolio
statistics and compositions over the past
three years). As of November 30, 1998 the
Large Blend Category included 859 mutual
funds.
5
<PAGE>
[WESTCORE LOGO]
Manager's Overview
Westcore Blue Chip Fund
FUND STRATEGY: SEEKS
TO MAXIMIZE LONG-TERM
TOTAL RETURN BY INVESTING
IN STOCKS OF LARGE,
WELL-ESTABLISHED
COMPANIES WHOSE STOCKS
APPEAR TO BE UNDERVALUED.[VARILYN K. SCHOCK, CFA PHOTO]
[VARILYN K. SCHOCK, CFA SIGNATURE]
VARILYN K. SCHOCK, CFA
PORTFOLIO MANAGER, WESTCORE
BLUE CHIP FUND
Q: How did the Westcore Blue Chip Fund respond to the recent market
fluctuations?
A: The Fund moderately lagged the S&P 500 Index in the recent market
fluctuations. The third quarter was a difficult period for all investors due to
global economic and financial uncertainty. The uncertainty caused investors to
rapidly change their outlook, resulting in unusual market instability. In
addition, pricey shares of growth-oriented companies continued to perform well.
The disciplined investment approach and diversified portfolio held by the Fund
allowed it to weather this market instability without undue risk.
Q: What factors influenced the Fund's return?
A: The impact of good stock selection and diversification in the Fund helped it
perform defensively in a difficult market environment. Good stock selection
resulted in the Fund holding some strong performers while the market generally
weakened through the 3rd calendar quarter of 1998. During this period, we
reduced our exposure to certain financials and capitalized on the market
volatility by acquiring several solid technology companies at depressed prices.
These actions worked to limit risk and position the Fund for participation in
the market's rebound.
Q: What kind of investor might the Westcore Blue Chip Fund be most appropriate
for?
A: We consider Westcore Blue Chip Fund to be a core holding for investors
looking for attractive returns and who prefer to own stocks of well-known, large
companies purchased at relatively inexpensive prices. The Fund typically holds
shares of companies that are global leaders in their industries, and historical
research suggests that these types of large, value stocks have the lowest level
of risk of any equity asset class. In addition, many people enjoy finding
quality goods at value prices when spending their own money. The Westcore Blue
Chip Fund is a comfortable match for these investors.
Q: How does the Fund's performance compare to its index and peers?
A: For the six months ended November 30, 1998, the Fund had a total return of
- -3.61% lagging both the S&P 500 Index and the Morningstar Large Value Category
Average which returned 7.48% and -0.81%, respectively.
Q: How do some of your current holdings in Westcore Blue Chip Fund meet your
investment strategy?
A: Tellabs Inc. is a successful telecommunications equipment company. Recently,
a merger deal that was expected to conclude failed to close. Investors were
surprised and the price of the stock declined substantially, even though the
company's profits were strong and continued to rise. Our research indicated that
the future was still bright for Tellabs and we acquired the stock at a
much-reduced price. The shares have subsequently recovered and continue to
perform very well for the Fund.
Rite Aid, a popular drug store chain, has been a long-term holding for the Fund.
We selected the stock originally because our quantitative research indicated
that the stock was cheap. Our qualitative research suggested that the company's
business was fundamentally sound. Rite Aid has produced stable growth resulting
in consistent, good stock returns. Since our initial purchases in 1995, the
stock price has increased more than four fold. This is the type of stock we will
continue to hold until our analysis uncovers unfavorable conditions or better
values elsewhere.
WESTCORE BLUE CHIP FUND
AVERAGE ANNUAL TOTAL RETURNS
<TABLE>
<CAPTION>
6 Since
Period Ended Month 1 Year 5 Year 10 Year incep.
<S> <C> <C> <C> <C> <C> <C>
11/30/98 (3.61)% 9.83% 19.32% 15.63% 14.97%
12/31/98 1.57% 17.88% 20.69% 16.94% 15.72%
</TABLE>
AVERAGE ANNUAL TOTAL RETURNS REFLECT REINVESTMENT OF ALL DIVIDENDS, CAPITAL
GAINS DISTRIBUTIONS, ALL FEE WAIVERS IN EFFECT AND ANY EXPENSE
REIMBURSEMENTS. WITHOUT THE FEE WAIVERS AND EXPENSE REIMBURSEMENTS, THE
TOTAL RETURN FIGURES WOULD HAVE BEEN LOWER. FUND INCEPTION DATE IS 6/1/88.
PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. PRINCIPAL VALUE MAY
FLUCTUATE AND SHARES, WHEN REDEEMED, MAY BE WORTH MORE OR LESS THAN THEIR
ORIGINAL COST.
6
<PAGE>
Semi-Annual Report November 30, 1998
Q: What were some of the major economic issues that impacted the Fund this past
year?
A: As most everyone is well aware, during the past 6 months, investors' global
optimism has shifted to a view that the world economy is weakening. In addition
to financial stocks, this shift impacted cyclical and manufacturing stocks, and
created a difficult investing environment. Initially, the overwhelming
conclusion seemed to be that the domestic economy would also turn negative and
result in reduced consumer spending. Many manufacturing, consumer products, and
leisure-related stocks declined significantly. While these declines hurt some of
the Fund's holdings, they also resulted in some excellent opportunities for the
Fund to buy strong businesses whose stocks had suffered in sympathy with their
weaker counterparts. Throughout this time, we have continued to utilize our
investment approach to improve the quality of the Fund's holdings for the
future.
Q: Can you explain what sector didn't do as well as you expected this past year
and why?
A: Financials and cyclical stocks were hardest hit during the recent market
adjustments. With low interest rates, we would normally expect to see strong
performance from financials. However, financials were impacted negatively due to
major concerns over international currency relationships, the overall
instability of various countries' economies, and the dramatic shifts in interest
rates for various types of loans. These international developments caused many
financial stocks to decline. Asia's slow down and concerns that this would
spread to other economies called into question the future outlook for
manufacturing companies with exports going into foreign markets. It also brought
concerns of a recession in the U.S. that could reduce spending on goods and
services. These developments caused significant adjustments in the values of
manufacturing and cyclical stocks.
Q: Have you implemented any changes in the Fund's investing strategies?
A: While maintaining a focus on owning large value companies, in June we
broadened our stock selection universe to more closely reflect the stocks in the
S&P 500 Index, including stocks that don't pay dividends. The impact on the Fund
has been very favorable because it allowed us to buy more technology stocks at
attractive prices during the market correction. Since July 30, 1998, we
purchased shares in five technology companies that have produced strong
performance, with increases averaging 23% for the Fund through the date of this
writing.
Westcore Blue Chip Fund
Sector Profile as a Percent of Net Assets
for November 30, 1998
EDGAR REPRESENTATION OF DATA POINTS USED IN PRINTED GRAPHIC
<TABLE>
<S> <C>
CONSUMER STAPLES 26.31%
CREDIT SENSITIVE 24.68%
CAPITAL GOODS 23.94%
INTERMEDIATE GOODS & SERVICES 11.43%
CONSUMER CYCLICALS 9.19%
OTHER 4.45%
</TABLE>
Westcore Blue Chip Fund
Top 10 Equity Holdings as of November 30, 1998:
/ / Becton Dickinson & Co
/ / Rite Aid Corp
/ / Unisys Corp
/ / United Technologies Corp
/ / Dayton Hudson Corp
/ / Schering-Plough Corp
/ / ALLTEL Corp
/ / CVS Corp
/ / Bristol-Myers Squibb Co
/ / Tellabs Inc
Comparison of Change in Value of $10,000
Investment in Westcore Blue Chip Fund, the
S&P 500 Index and Large Value Category Average
EDGAR REPRESENTATION OF DATA POINTS USED IN PRINTED GRAPHIC
<TABLE>
<CAPTION>
$'S SHOWN IN THOUSANDS
<S> <C> <C>
WESTCORE BLUE CHIP FUND S&P 500 INDEX
6/88 $10,000 $10,000
11/88 $9,811 $10,451
11/89 $11,996 $13,675
11/90 $11,327 $13,199
11/91 $14,228 $15,887
11/92 $16,103 $18,822
11/93 $17,884 $20,720
11/94 $18,169 $20,935
11/95 $25,008 $28,667
11/96 $31,385 $36,650
11/97 $39,410 $47,096
11/98 $43,284 $58,238
Please Note: Performance calculations are as of the end of November each
year.
Past performance is not indicative of future results. Fund inception
date is 6/1/88.
Source: Morningstar
Although data are gathered from
reliable sources, Morningstar cannot
guarantee completeness and accuracy.
<CAPTION>
$'S SHOWN IN THOUSANDS
<S> <C>
LARGE VALUE CATEGORY AVERAGE
6/88 $10,000
11/88 $10,438
11/89 $12,936
11/90 $11,898
11/91 $14,433
11/92 $17,168
11/93 $19,508
11/94 $19,642
11/95 $25,826
11/96 $31,939
11/97 $39,419
11/98 $43,506
Please Note: Performance calculations are as of the end of November each
year.
Past performance is not indicative of future results. Fund inception
date is 6/1/88.
Source: Morningstar
Although data are gathered from
reliable sources, Morningstar cannot
guarantee completeness and accuracy.
</TABLE>
The S&P 500 Index is a broad-based
measurement of changes in stock market
conditions based on the average
performance of 500 widely held common
stocks. It is an unmanaged index.
Morningstar Category averages reflect the
performance of mutual funds with the same
Morningstar Category. The Morningstar
Category identifies funds based on their
actual investment style as measured by
their underlying portfolio holdings
(portfolio statistics and compositions
over the past three years). As of
November 30, 1998 the Large Value
Category included 510 mutual funds.
7
<PAGE>
[WESTCORE LOGO]
Manager's Overview
Westcore Mid-Cap Opportunity Fund
FUND STRATEGY: SEEKS
TO MAXIMIZE LONG-TERM
CAPITAL APPRECIATION BY
INVESTING PRIMARILY IN
MEDIUM-SIZED COMPANIES
WHOSE STOCKS APPEAR
TO BE UNDERVALUED. [CHRISTIANNA WOOD, CFA PHOTO]
[CHRISTIANNA WOOD, CFA SIGNATURE]
CHRISTIANNA WOOD, CFA
PORTFOLIO MANAGER, WESTCORE
MID-CAP OPPORTUNITY FUND
Q: How did Westcore Mid-Cap Opportunity Fund respond to the recent market
fluctuations?
A: We consistently applied our value-based investment approach in which we look
for the cheapest investment opportunities across a variety of market
environments. The recent market activity provided some opportunities to add to
technology holdings where the stocks were attractively priced relative to cash
flow, book value and the outlook for improving earnings and business
fundamentals. The Fund also benefited from a recovery in transportation stocks,
as interest rate cuts by the Federal Reserve helped alleviate some of the
uncertainty about the economy. Also, lower jet fuel prices and cost cutting
improved the outlook for transportation stocks.
Q: What factors influenced the Fund's return?
A: Westcore Mid-Cap Opportunity Fund's October inception date proved timely. The
Fund's return was most heavily influenced by the rising equity market driven by
a rebound from the summer lows and the Federal Reserve's interest rate cuts.
Q: What kind of investor might the Fund be most appropriate for?
A: Westcore Mid-Cap Opportunity Fund will appeal to those long-term investors
who want to invest in the mid-cap asset class with a value approach. We believe
mid-caps offer better earnings growth over time than larger-cap stocks, but with
less volatility than smaller-cap stocks. Our value style invests in companies
with attractive prices that also have stable or improving businesses.
Q: Describe how some of your current holdings meet your investment strategy.
A: Kmart Corporation displays many of the characteristics we look for in an
investment for Westcore Mid-Cap Opportunity Fund. This stock has an attractive
valuation relative to book value and cash flow, and the business fundamentals
are improving. Kmart is a turnaround story. The company, as well as other
discount mass merchandisers, is benefiting from bargain hunting domestic
consumers. An improved store format has helped sales for Kmart Corporation and
as a result, earnings have turned back up.
Q: Would you please explain your research methods for picking stocks and how you
incorporate a value approach?
A: We use a research process that combines quantitative analysis with the
qualitative judgement of the investment management team. Our discipline focuses
on finding opportunities in stocks that have attractive valuations based on a
seven-factor model that includes cash flow, book value and year-over-year
earnings growth. Then the portfolio management team looks for improving trends
in sales, margins, products and other fundamental business characteristics, a
favorable competitive outlook and a management team that can execute a
reasonable business plan.
WESTCORE MID-CAP OPPORTUNITY FUND
AVERAGE ANNUAL TOTAL RETURNS
<TABLE>
<CAPTION>
6 Since
Period Ended Month 1 Year 5 Year 10 Year incep.
<S> <C> <C> <C> <C> <C>
11/30/98 NA NA NA NA 9.0%
12/31/98 NA NA NA NA 12.30%
</TABLE>
AVERAGE ANNUAL TOTAL RETURNS REFLECT REINVESTMENT OF ALL DIVIDENDS, CAPITAL
GAINS DISTRIBUTIONS, ALL FEE WAIVERS IN EFFECT AND ANY EXPENSE
REIMBURSEMENTS. WITHOUT THE FEE WAIVERS AND EXPENSE REIMBURSEMENTS, THE
TOTAL RETURN FIGURES WOULD HAVE BEEN LOWER. FUND INCEPTION DATE IS 10/1/98.
PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. PRINCIPAL VALUE MAY
FLUCTUATE AND SHARES, WHEN REDEEMED, MAY BE WORTH MORE OR LESS THAN THEIR
ORIGINAL COST.
8
<PAGE>
Semi-Annual Report November 30, 1998
Q: How do you define the mid-cap universe? What benchmark do you measure
against?
A: The Mid-Cap universe includes companies with market capitalization (stock
price times shares outstanding), that fall within the combined market cap range
of the Russell Mid-Cap Index and the S&P Mid-Cap Index. This generally results
in a universe of companies with market caps from just under $1 billion through
companies just over $10 billion dollars. Our performance is benchmarked against
the Russell Mid-Cap Index.
Q: How does your new fund fit in with the overall family?
A: We believe that the Fund completes Westcore's value fund line-up. With its
inception we have closed the gap between our Westcore Small-Cap Opportunity and
Westcore Blue Chip Funds--now providing value investors with the full spectrum
of value stocks. The research processes and value approach of the two
pre-existing Funds is applied to the mid-cap asset class, which offers investors
exposure to companies that are larger and perhaps more established than
small-cap stocks, and while more volatile, generally are expected to have higher
long-term earnings growth than large-cap stocks.
Westcore Mid-Cap Opportunity Fund
Sector Profile as a Percent of Net Assets
for November 30, 1998
EDGAR REPRESENTATION OF DATA POINTS USED IN PRINTED GRAPHIC
<TABLE>
<S> <C>
SERVICES 18.49%
TECHNOLOGY 17.76%
FINANCIAL 17.54%
UTILITIES 9.50%
BASIC INDUSTRIES 7.96%
CONSUMER STAPLES 6.96%
ENERGY 5.86%
CONSUMER CYCLICALS 5.22%
CAPITAL GOODS 3.23%
TRANSPORTATION 3.10%
OTHER 4.38%
</TABLE>
Westcore Mid-Cap Opportunity Fund
Top 10 Equity Holdings as of November 30, 1998:
/ / Conseco Inc
/ / Energy East Corp
/ / AnnTaylor Stores Corp
/ / UNOVA Inc
/ / Seagate Technology Inc
/ / Storage Technology Corp
/ / Allmerica Financial Corp
/ / Lone Star Industries Inc
/ / Hughes Supply Inc
/ / Lafarge Corp
Comparison of Change in Value of $10,000
Investment in Westcore Mid-Cap Opportunity Fund,
the Russell Mid-Cap Index and Mid-Cap Value Category Average
EDGAR REPRESENTATION OF DATA POINTS USED IN PRINTED GRAPHIC
<TABLE>
<CAPTION>
$'S SHOWN IN THOUSANDS
WESTCORE MID-CAP OPPORTUNITY FUND
<S> <C>
10/98 $10,000
11/98 $10,890
Please Note: Performance calculations are as of the end of November each
year.
Past performance is not indicative of future results. Fund inception date
is 10/1/98
Fund Data Source: ALPS Mutual Fund Services, Inc.
Index Data Source: Russell
Category Data Source: Morningstar - Although data are gathered from
reliable sources,
Morningstar cannot guarantee completeness and accuracy.
<CAPTION>
$'S SHOWN IN THOUSANDS
RUSSELL MID-CAP INDEX MID-CAP VALUE
<S> <C> <C>
10/98 $10,000 $10,000
11/98 $11,188 $11,145
Please Note: Performance calculations are as of the end of November each
year.
Past performance is not indicative of future results. Fund inception date
is 10/1/98
Fund Data Source: ALPS Mutual Fund Services, Inc.
Index Data Source: Russell
Category Data Source: Morningstar - Although data are gathered from
reliable sources,
Morningstar cannot guarantee completeness and accuracy.
</TABLE>
The Russell Midcap Index is an unmanaged
index that measures the performance of the
800 smallest companies in the Russell 1000
Index, which represent approximately 35% of
the total market capitalization of the
Russell 1000 Index.
Morningstar Category averages reflect the
performance of mutual funds with the same
Morningstar Category. The Morningstar
Category identifies funds based on their
actual investment styles as measured by their
underlying portfolio holdings (portfolio
statistics and compositions over the past
three years). As of November 30, 1998 the
Mid-Cap Value Category included 249 mutual
funds.
9
<PAGE>
[WESTCORE LOGO]
Manager's Overview
Westcore Small-Cap Opportunity Fund
FUND STRATEGY: SEEKS
TO MAXIMIZE LONG-TERM
CAPITAL APPRECIATION
PRIMARILY THROUGH INVESTMENTS
IN COMPANIES WITH
RELATIVELY SMALL
CAPITALIZATIONS WHOSE
STOCKS APPEAR TO
BE UNDERVALUED. [VARILYN K. SCHOCK, CFA PHOTO]
[VARILYN K. SCHOCK, CFA SIGNATURE]
VARILYN K. SCHOCK, CFA
PORTFOLIO MANAGER, WESTCORE
SMALL-CAP OPPORTUNITY FUND
Q: How did the Fund respond to the recent market fluctuations?
A: The Fund performed as we would expect from a solid, small-cap value fund. The
Fund outperformed when the market declined during the third quarter and
participated in the subsequent upside.
Q: What factors influenced the Fund's return?
A: For the six months ended November 30, 1998, the Fund's return of -15.31%
lagged the Russell 2000 Index of -12.35% and the Morningstar Small Value
Category of -15.09%. The last six months presented a challenging environment for
owners of small-cap stocks. Investors favored larger stocks with growth-oriented
characteristics. However, good stock selection and a diversified portfolio
enabled the Fund to perform in line with its peers during this challenging
period.
Q: What kind of investor might Westcore Small-Cap Opportunity Fund be most
appropriate for?
A: We believe the Westcore Small-Cap Opportunity Fund is a strong core holding
for investors seeking small stock exposure while limiting risk in his or her
overall asset allocation plan, through the Fund's value approach to investing.
The investor needs to understand the added risk involved with smaller stocks.
However, history suggests that a long-term investment in Westcore Small-Cap
Opportunity Fund may take advantage of the potential of this asset class to
outperform both the large- and mid-cap sectors, and to dampen the risk
associated with small stocks through its value approach.
Q: How do some of Westcore Small-Cap Opportunity Fund's current holdings meet
its investment strategy?
A: Ben and Jerry's Homemade, the well-known maker of premium ice cream, has been
an excellent holding for the Fund. Our research process suggested in October
1997 that the stock was undervalued. Our qualitative research indicated that new
management was implementing changes to improve plant efficiencies as well as
successfully lining up new distribution agreements. We have seen the company
generate strong sales growth and good profit improvement, making this a
successful holding for the Fund.
Personnel Group of America is a stock that we purchased during the recent market
volatility. The company is a personnel staffing services provider that had
focused on clerical help, but more recently had grown significantly in the area
of providing information technology (IT) personnel. When the economy appeared to
be slowing, some investors began selling this stock, along with the stocks of
other staffing service providers. Investors reasoned that the corporations who
purchased these services would want to reduce costs and discontinue their use of
temporary employees. As a result the stock price of Personnel Group of America
dropped and our valuation model suggested that it would be an attractive buy for
the Fund. Our qualitative research suggested that because of the company's
increased involvement in IT personnel and outsourcing, the demand for their
"temporary" services would be more resilient than their peers, even if the
economy did slow. Since our purchase, the profitability of Personnel Group has
remained strong and the stock has increased nicely in value.
Q: When looking at the Fund's performance against its peers, how did it compare?
A: Westcore Small-Cap Opportunity Fund has significantly outperformed its peer
group over the last 3- and 5-year periods, and performed in line with its peers
over the last year.
Q: What are your research methods for picking stocks and how do you incorporate
a value approach?
A: We focus on owning bargain priced stocks of companies with solid and
improving business fundamentals. We utilize a computer model and analysis to
WESTCORE SMALL-CAP OPPORTUNITY FUND
AVERAGE ANNUAL TOTAL RETURNS
<TABLE>
<CAPTION>
6 Since
Period Ended Month 1 Year 5 Year 10 Year incep.
<S> <C> <C> <C> <C> <C>
11/30/98 (15.31)% (6.86)% NA NA 14.03%
12/31/98 (13.60)% (5.73)% 13.91% NA 14.43%
</TABLE>
AVERAGE ANNUAL TOTAL RETURNS REFLECT REINVESTMENT OF ALL DIVIDENDS, CAPITAL
GAINS DISTRIBUTIONS, ALL FEE WAIVERS IN EFFECT AND ANY EXPENSE
REIMBURSEMENTS. WITHOUT THE FEE WAIVERS AND EXPENSE REIMBURSEMENTS, THE
TOTAL RETURN FIGURES WOULD HAVE BEEN LOWER. FUND INCEPTION DATE IS 12/28/93.
PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. PRINCIPAL VALUE MAY
FLUCTUATE AND SHARES, WHEN REDEEMED, MAY BE WORTH MORE OR LESS THAN THEIR
ORIGINAL COST.
10
<PAGE>
Semi-Annual Report November 30, 1998
identify companies with attractive stock prices and positive trends in their
business. We then look at qualitative matters (management changes, industry
developments, economic and stock market trends, etc.) to determine the near-term
prospects for the stock. This disciplined process has enabled us to capitalize
on some of the recent stock market developments to the benefit of our
shareholders.
Q: What were some of the top performing stocks in the Fund recently?
A: Neomagic Corporation, the developer of a leading edge chip for graphics in
notebook computers, has been a strong performer for the Fund. The company
supplies approximately 40% of the market for its product, and its customer list
includes 16 of the largest notebook PC makers. When the Asian economy weakened,
technology stocks in general declined rather dramatically. At that time, the
price of Neomagic's stock declined to a new historic low. The market's
indiscriminate reaction to the Asian trouble allowed us to purchase this stock
at a very inexpensive price. Earnings for the company haven't faltered and the
stock has returned to a significantly higher price level since our purchase.
Ames Department Stores is a discount department store chain in the northeast
United States. The stock price was negatively impacted, along with retailers in
general, by the broad-brush fear that the retailing sector would suffer due to
growing economic uncertainties. Our valuation models indicated that that stock
price of Ames was cheap, and our qualitative work found that Ames was
progressing well in implementing changes to improve profitability by closing
some of its poorer performing stores. We determined that Ames would be a good
holding and the stock has performed very well since our purchase.
Q: What is the outlook for the Westcore Small-Cap Opportunity Fund?
A: We are very optimistic about the Fund and the opportunities available for the
upcoming year. Since September 1998, three interest rate cuts have already been
implemented, and such cuts have historically resulted in small stocks
outperforming other asset classes. In addition, small value stocks remain very
inexpensive relative to larger stocks. Over the last year, the Fund has
attracted increased attention due to its strong performance history and our use
of a consistent investment process. We have continued to see a steady inflow of
new investments into the Fund.
Westcore Small-Cap Opportunity Fund
Sector Profile as a Percent of Net Assets
for November 30, 1998
EDGAR REPRESENTATION OF DATA POINTS USED IN PRINTED GRAPHIC
<TABLE>
<S> <C>
SERVICES 24.25%
FINANCIALS 17.42%
TECHNOLOGY 13.29%
UTILITIES/REITs 12.83%
CONSUMER STAPLES 9.30%
CONSUMER CYCLICALS 7.16%
BASIC INDUSTRIES 6.15%
CAPITAL GOODS 3.32%
ENERGY 1.42%
TRANSPORTATION 1.37%
OTHER 3.49%
</TABLE>
Westcore Small-Cap Opportunity Fund
Top 10 Equity Holdings as of November 30, 1998:
/ / Cordant Technologies Inc
/ / Bindley Western Industries Inc
/ / Zale Corp
/ / Sterling Software Inc
/ / ShopKo Stores Inc
/ / Earthgrains Co
/ / Trigon Healthcare Inc
/ / Roberts Pharmaceutical Corp
/ / LandAmerica Financial Group Inc
/ / Varlen Corp
Comparison of Change in Value of $10,000
Investment in Westcore Small-Cap Opportunity Fund,
the Russell 2000 Index and Small Value Category Average
EDGAR REPRESENTATION OF DATA POINTS USED IN PRINTED GRAPHIC
<TABLE>
<CAPTION>
$'S SHOWN IN THOUSANDS
WESTCORE SMALL-CAP
<S> <C> <C>
OPPORTUNITY FUND RUSSELL 2000 INDEX
12/93 $10,000.00 $10,000.00
11/94 $9,882.00 $9,562.00
11/95 $12,748.77 $12,286.21
11/96 $15,853.09 $14,320.81
11/97 $20,496.46 $17,673.31
11/98 $19,090.41 $16,496.04
Please Note: Performance calculations are as of the end of November each
year.
Past performance is not indicative of future results. Fund inception date
is 12/28/93.
Source: Morningstar
Although data are gathered from
reliable sources, Morningstar cannot
guarantee completeness and accuracy.
<CAPTION>
$'S SHOWN IN THOUSANDS
<S> <C>
SMALL VALUE
12/93 $10,000.00
11/94 $9,941.00
11/95 $12,204.57
11/96 $14,793.15
11/97 $19,416.01
11/98 $17,687.99
Please Note: Performance calculations are as of the end of November each
year.
Past performance is not indicative of future results. Fund inception date
is 12/28/93.
Source: Morningstar
Although data are gathered from
reliable sources, Morningstar cannot
guarantee completeness and accuracy.
</TABLE>
The Russell 2000 Index is an unmanaged index
that measures the performance of the 2,000
smallest companies in the Russell 3000
Index, which represents approximately 11% of
the total market capitalization of the
Russell 3000 Index.
Morningstar Category averages reflect the
performance of mutual funds with the same
Morningstar Category. The Morningstar
Category identifies funds based on their
actual investment styles as measured by
their underlying portfolio holdings
(portfolio statistics and composition over
the past three years). As of November 30,
1998 the Small Value Category included 221
mutual funds.
11
<PAGE>
[WESTCORE LOGO]
Manager's Overview
Westcore Long-Term Bond Fund
FUND STRATEGY: SEEKS
TO MAXIMIZE LONG-TERM TOTAL RATE OF RETURN BY INVESTING PRIMARILY IN
INVESTMENT-GRADE BONDS. THE FUND EXPECTS TO HAVE AN AVERAGE DOLLAR-WEIGHTED
MATURITY OF AT LEAST 10 YEARS.
[JEROME R. POWERS, CFA PHOTO]
[JEROME R. POWERS, CFA SIGNATURE]
JEROME R. POWERS, CFA
PORTFOLIO MANAGER, WESTCORE
LONG-TERM BOND FUND
Q: How did Westcore Long-Term Bond Fund respond to the recent market
fluctuations?
A: Recent market fluctuations reinforced our long-term strategy. The
fluctuations in interest rates produced volatility in price, but our Fund
maintained a long duration as a means to provide holders the benefit of declines
in interest rates. The Fund continued to focus on investment-grade U.S.-based
securities. This focus kept us out of the worst of the most recent market
concerns involving emerging markets. Due to the increase in the spread between
the yields of treasury securities and other fixed income securities we purchased
more corporate securities. Underlying companies remained strong providing
opportunities to enhance expected returns given these wider spreads.
Q: What factors influenced the Fund's return?
A: Three reductions in short-term interest rates by the Federal Reserve since
this past September spurred a strong bond market that benefited the Fund. When
interest rates fell, long-term securities appreciated in price significantly.
While strong, performance results were dampened by the increased difference
between corporate security yields and treasury security yields due to increased
supply and reduced demand spurred primarily by economic concerns related to
foreign market crisis conditions.
Q: What kind of investor might the Fund be most appropriate for?
A: This fund is appropriate for an investor who wants a portfolio generally less
volatile or with more diversification than an all equity portfolio. Investors
should have a reasonably long investment horizon given the long-term nature of
the securities in the portfolio. From a market outlook perspective, investors
will do best in the fund when inflation is declining and economic strength is
moderate.
WESTCORE LONG-TERM BOND FUND
AVERAGE ANNUAL TOTAL RETURNS
<TABLE>
<CAPTION>
6 Since
Period Ended Month 1 Year 5 Year 10 Year Incep.
<S> <C> <C> <C> <C> <C>
11/30/98 6.33% 12.21% 8.38% 10.63% 10.67%
12/31/98 4.35% 10.21% 8.27% 10.56% 10.57%
</TABLE>
AVERAGE ANNUAL TOTAL RETURNS REFLECT REINVESTMENT OF ALL DIVIDENDS, CAPITAL
GAINS DISTRIBUTIONS, ALL FEE WAIVERS IN EFFECT AND ANY EXPENSE
REIMBURSEMENTS. WITHOUT THE FEE WAIVERS AND EXPENSE REIMBURSEMENTS, THE
TOTAL RETURN FIGURES WOULD HAVE BEEN LOWER. FUND INCEPTION DATE IS 6/1/88.
PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. PRINCIPAL VALUE MAY
FLUCTUATE AND SHARES, WHEN REDEEMED, MAY BE WORTH MORE OR LESS THAN THEIR
ORIGINAL COST.
12
<PAGE>
Semi-Annual Report November 30, 1998
Q: When looking at the Fund's performance against its index and peers, how did
it compare?
A: For the six months ended November 30, 1998, the Fund returned 6.33% which
lagged the Lehman Brothers Long-Term Government/Corporate Bond Index return of
7.76%. However, the Fund outperformed the Morningstar Long-Term Bond Category
Average of 3.13%. This Fund maintains a long-term structure, which is generally
longer than its peers. When interest rates decline, longer securities increase
in price more than shorter securities. Also, our emphasis on domestic investment
grade issues kept us away from some areas that caused significant problems in
the portfolios of some of our peers.
Q: Where do you see the bond market headed?
A: We believe that the widening of spreads to levels generally associated with
severe economic turmoil provides opportunities for outperformance. Our weighting
in corporate and asset-backed securities was increased to take advantage of this
market opportunity. Our focus on solid fundamental analysis puts us in a good
position to provide value in this turbulent environment.
Westcore Long-Term Bond Fund
Sector Profile as a Percent of Net Assets
for November 30, 1998
EDGAR REPRESENTATION OF DATA POINTS USED IN PRINTED GRAPHIC
<TABLE>
<S> <C>
U.S. GOVERNMENT TREASURIES 50.35%
FINANCIAL 18.81%
INDUSTRIAL 15.09%
TRANSPORTATION 5.03%
ASSET-BACKED, COLLATERALIZED MORTGAGE OBLIGATIONS & MORTGAGE BACKED SECURITIES 3.24%
UTILITIES 1.67%
OTHER 5.81%
</TABLE>
Westcore Long-Term Bond Fund
Top 10 Fixed-Income Holdings as of
November 30, 1998:
/ / US Treasury Strips*
/ / US Treasury Bonds*
/ / Lincoln National Insurance Corp,
9.125%, 10/01/24
/ / Kmart Corp, 7.95%, 02/01/23
/ / Lubrizol Corp, 7.25%, 06/15/25
/ / Borden Inc, 7.875%, 02/15/23
/ / AMR Corp, 10.00%, 04/15/21
/ / FHLMC GP#000336, 6.00%, 10/01/24
/ / Property Trust of America, 6.875%,
02/15/08
/ / Jet Equipment Trust Series 95-B,
7.83%, 02/15/15
*Please Note: "U.S. Treasury Strips" is
a grouping of all U.S. Treasury Strip
issues and "U.S. Treasury Bonds" is a
grouping of all U.S. Treasury Bond
issues held in the portfolio as of
November 30, 1998.
Comparison of Change in Value of $10,000 Investment in
Westcore Long-Term Bond Fund, the Lehman Brothers Long-Term
Government/Corporate Bond Index and Long-Term Bond Category Average
EDGAR REPRESENTATION OF DATA POINTS USED IN PRINTED GRAPHIC
<TABLE>
<CAPTION>
$'S SHOWN IN THOUSANDS
WESTCORE LONG-TERM
BOND FUND
01-JUN-88 $10,000
<S> <C> <C> <C>
30-Nov-88 $10,581
30-Nov-89 $12,256
30-Nov-90 $12,669
30-Nov-91 $14,773
30-Nov-92 $16,426
30-Nov-93 $19,396
30-Nov-94 $17,880
30-Nov-95 $22,348
30-Nov-96 $23,501
30-Nov-97 $25,853
30-Nov-98 $29,010
Please Note: Performance calculations are as of the end of November each
year.
Past performance is not indicative of future results. Fund inception
date is 6/1/88.
Source: Morningstar
Although data are gathered from
reliable sources, Morningstar cannot
guarantee completeness and accuracy.
<CAPTION>
$'S SHOWN IN THOUSANDS
LEHMAN BROTHERS LONG-TERM LONG-TERM
GOVERNMENT/CORPORATE BOND INDEX BOND
01-JUN-88 $10,000 $10,000
<S> <C> <C>
30-Nov-88 $10,721 $10,426
30-Nov-89 $12,413 $11,803
30-Nov-90 $13,019 $12,412
30-Nov-91 $15,337 $14,314
30-Nov-92 $17,104 $15,755
30-Nov-93 $19,765 $18,103
30-Nov-94 $18,467 $16,957
30-Nov-95 $23,420 $20,498
30-Nov-96 $25,005 $21,824
30-Nov-97 $27,355 $23,602
30-Nov-98 $30,307 $25,349
Please Note: Performance calculations are as of the end of November each
year.
Past performance is not indicative of future results. Fund inception
date is 6/1/88.
Source: Morningstar
Although data are gathered from
reliable sources, Morningstar cannot
guarantee completeness and accuracy.
</TABLE>
The Lehman Brothers Long-Term
Government/Corporate Bond Index is an
unmanaged index that includes fixed rate
debt issues rated investment grade or higher
by Moody's Investors Services, Standard &
Poor's Corporation or Fitch Investor's
Service, in order. Long-term indices include
bonds with maturities of ten years or
longer.
Morningstar Category averages reflect the
performance of mutual funds with the same
Morningstar Category. The Morningstar
Category identifies funds based on their
actual investment styles as measured by
their underlying portfolio holdings
(portfolio statistics and compositions over
the past three years). As of November 30,
1998 the Long-Term Bond Category included 87
mutual funds.
13
<PAGE>
[WESTCORE LOGO]
Manager's Overview
Westcore Intermediate-
Term Bond Fund
FUND STRATEGY: SEEKS CURRENT INCOME WITH LESS VOLATILITY OF PRINCIPAL BY
INVESTING PRIMARILY IN INVESTMENT GRADE BONDS. THE FUND EXPECTS TO HAVE AN
AVERAGE DOLLAR-WEIGHTED MATURITY OF BETWEEN 3 AND
6 YEARS. [JEROME R. POWERS, CFA PHOTO]
[JEROME R. POWERS, CFA SIGNATURE]
JEROME R. POWERS, CFA
PORTFOLIO MANAGER, WESTCORE
INTERMEDIATE-TERM BOND FUND
Q: How did Westcore Intermediate-Term Bond Fund respond to the recent market
fluctuations?
A: Recent market fluctuations have reinforced our management style for the Fund.
The intermediate maturity of the Fund's securities provides very little price
volatility in comparison with many other bond fund types. Our focus on
investment-grade U.S.-based securities also dampened the volatility experienced
in the emerging market and high-yield categories of fixed income. There was an
increase in the spread between the yields on treasury securities and other
fixed-income securities as the market moved, creating opportunities in
asset-backed and corporate securities. We increased our holdings in these areas
to structure the portfolio in keeping with the higher yields available.
Q: What factors influenced the Fund's return?
A: The Federal Reserve reduced short-term interest rates three times since
September of 1998. This lowered all rates and contributed to solid performance
by the Fund. Intermediate-term securities do not move in price as much as
long-term securities and our heavy weighting in corporate bonds diminished
performance as spreads widened. Increased supply and reduced demand spurred by
concerns over the crisis conditions existing in many foreign markets contributed
to this general widening of spreads.
Q: What kind of investor might the Fund be most appropriate for?
A: This fund may be ideal for investors who want a more stable component in
their diversification mix. This stability is appropriate for more conservative
investors and those with a short investment time horizon. Return of principal is
a higher reward for investors in this fund than the return on their principal.
Q: When looking at the Fund's performance against its index and peers, how did
it compare?
A: For the six months ended November 30, 1998, the Fund's total return was 3.42%
versus both the Lehman Brothers Intermediate Government/Corporate Index and the
Morningstar Intermediate-Term Bond Category average returns of 5.04% and 3.99%,
respectively. In comparison to the index and our peers, the Fund is more
conservatively structured and did lag both over the last few months, primarily
due to the shorter duration in a declining interest rate environment. Returns
were very consistent with the style, but lagged somewhat due to our heavy
emphasis on corporate bonds.
WESTCORE INTERMEDIATE-
TERM BOND FUND
AVERAGE ANNUAL TOTAL RETURNS
<TABLE>
<CAPTION>
6 Since
Period Ended Month 1 Year 5 Year 10 Year incep.
<S> <C> <C> <C> <C> <C>
11/30/98 3.42% 7.09% 5.87% 7.81% 7.78%
12/31/98 3.13% 6.47% 5.86% 7.83% 7.76%
</TABLE>
AVERAGE ANNUAL TOTAL RETURNS REFLECT REINVESTMENT OF ALL DIVIDENDS, CAPITAL
GAINS DISTRIBUTIONS, ALL FEE WAIVERS IN EFFECT AND ANY EXPENSE
REIMBURSEMENTS. WITHOUT THE FEE WAIVERS AND EXPENSE REIMBURSEMENTS, THE
TOTAL RETURN FIGURES WOULD HAVE BEEN LOWER. FUND INCEPTION DATE IS 6/1/88.
PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. PRINCIPAL VALUE MAY
FLUCTUATE AND SHARES, WHEN REDEEMED, MAY BE WORTH MORE OR LESS THAN THEIR
ORIGINAL COST.
14
<PAGE>
Semi-Annual Report November 30, 1998
Q: Why did corporate bonds suffer over the last 6 months?
A: The bond market can best be characterized as a market where the best returns
were in the longest-term high-quality issues. Corporate bonds suffered due to a
tremendous supply pressure made worse by a fear of an economic slowdown. The
economic slowdown fears were driven by the foreign crisis environment and
reduced stock prices in the third quarter. Spreads between government and
corporate securities were driven wider to try and bring demand back in line with
supply. The fear environment was one that treated government securities very
well. This in turn caused mortgage-backed securities to experience a very
difficult period as refinancing activity accompanied the lower interest rates.
Q: So what was the direct impact on the Westcore Intermediate-Term Bond Fund?
A: The shorter securities did not fare as well as longer securities, but still
showed solid results. The performance was dampened by the underperformance of
corporate securities, but none of the major market problems associated with
emerging markets and high yield were experienced in our Fund.
Westcore Intermediate-Term Bond Fund
Sector Profile as a Percent of Net Assets
for November 30, 1998
EDGAR REPRESENTATION OF DATA POINTS USED IN PRINTED GRAPHIC
<TABLE>
<S> <C>
INDUSTRIAL 23.43%
FINANCIAL 22.58%
U.S. GOVERNMENT TREASURIES 20.74%
ASSET-BACKED, COLLATERALIZED MORTGAGE OBLIGATIONS & MORTGAGE BACKED SECURITIES 18.20%
TRANSPORTATION 7.91%
UTILITIES 2.08%
OTHER 5.06%
</TABLE>
Westcore Intermediate-Term Bond Fund
Top 10 Fixed-Income Holdings as of November 30, 1998:
/ / U.S. Treasury Notes*
/ / FHLMC GP#000336, 6.000%, 10/01/24
/ / Walt Disney Co, 6.375%, 03/30/01
/ / Rockwell International Corp, 6.625%, 06/01/05
/ / Aetna Services Inc, 7.125%, 08/15/06
/ / FNMA Pool #362443, 6.50%, 12/01/08
/ / Time Warner Entertainment Co, 9.625%, 05/01/02
/ / Cox Communications Inc, 6.375%, 06/15/00
/ / Jet Equipment Trust Series 95-B, 7.83%, 02/15/15
/ / CSR America Inc, 6.875%, 07/21/05
*Please Note: "U.S. Treasury Notes" is a grouping of all U.S. Treasury Note
issues held in the portfolio as of November 30, 1998.
Comparison of Change in Value of $10,000 Investment in
Westcore Intermediate-Term Bond Fund, the Lehman
Brothers Intermediate Government/Corporate
Bond Index and Intermediate-Term Bond Category Average
EDGAR REPRESENTATION OF DATA POINTS USED IN PRINTED GRAPHIC
<TABLE>
<CAPTION>
$'S SHOWN IN THOUSANDS
WESTCORE INTERMEDIATE-
TERM BOND FUND
<S> <C> <C> <C>
01-Jun-88 $10,000
30-Nov-88 $10,352
30-Nov-89 $11,530
30-Nov-90 $11,599
30-Nov-91 $13,742
30-Nov-92 $14,954
30-Nov-93 $16,533
30-Nov-94 $16,008
30-Nov-95 $18,256
30-Nov-96 $19,251
30-Nov-97 $20,539
30-Nov-98 $21,995
Please Note: Performance calculations are as of the end of November
each year.
Past performance is not indicative of future results. Fund
inception date is 6/1/88.
Source: Morningstar
Although data are gathered from
reliable sources, Morningstar cannot
guarantee completeness and accuracy.
<CAPTION>
$'S SHOWN IN THOUSANDS
LEHMAN BROTHERS INTERMEDIATE INTERMEDIATE-TERM
GOVERNMENT/CORPORATE BOND INDEX BOND
<S> <C> <C>
01-Jun-88 $10,000 $10,000
30-Nov-88 $10,407 $10,423
30-Nov-89 $11,743 $11,616
30-Nov-90 $12,502 $12,222
30-Nov-91 $14,408 $14,008
30-Nov-92 $15,734 $15,276
30-Nov-93 $17,646 $17,041
30-Nov-94 $17,203 $16,379
30-Nov-95 $20,315 $19,076
30-Nov-96 $21,603 $20,128
30-Nov-97 $23,009 $21,491
30-Nov-98 $24,957 $23,189
Please Note: Performance calculations are as of the end of November
each year.
Past performance is not indicative of future results. Fund
inception date is 6/1/88.
Source: Morningstar
Although data are gathered from
reliable sources, Morningstar cannot
guarantee completeness and accuracy.
</TABLE>
The Lehman Brothers Intermediate
Government/Corporate Bond Index is an
unmanaged index that includes fixed rate
debt issues rated investment grade or higher
by Moody's Investor Services, Standard &
Poor's Corporation or Fitch Investor's
Service, in order. Intermediate-term indices
include bonds with maturities of up to ten
years.
Morningstar Category averages reflect the
performance of mutual funds with the same
Morningstar Category. The Morningstar
Category identifies funds based on their
actual investment styles as measured by
their underlying portfolio holdings
(portfolio statistics and compositions over
the past three years). As of November 30,
1998 the Intermediate-Term Bond Category
included 529 mutual funds.
15
<PAGE>
[WESTCORE LOGO]
Manager's Overview
Westcore Colorado Tax-Exempt Fund
FUND STRATEGY: SEEKS
TO PROVIDE INCOME EXEMPT FROM BOTH FEDERAL AND COLORADO STATE PERSONAL INCOME
TAXES BY EMPHASIZING COLORADO MUNICIPAL BONDS WITH INTERMEDIATE MATURITIES.
[ROBERT O. LINDIG PHOTO]
[ROBERT O. LINDIG SIGNATURE]
ROBERT O. LINDIG
PORTFOLIO MANAGER, WESTCORE
COLORADO TAX-EXEMPT FUND
Q: How did the Westcore Colorado Tax-Exempt Fund respond to the recent market
fluctuations?
A: The past six months have been positive for the Fund. When market prices
decline and yields rise, people want to place their investment dollars into
safer investment vehicles. During these periods our Fund, consisting
predominantly of higher quality, insured municipal bonds, becomes increasingly
attractive to investors. Our net asset value stabilizes, resisting price
erosion.
Q: What factors influenced the Fund's return?
A: Much of what positively impacted the Fund has to do with the volatility in
the market. The Asian and Russian crises caused some investor fear and
uncertainty, initiating a "flight to quality." Plus, the yield spread
differential between U.S. Treasuries and tax-free bonds remains attractive, as
is evident in the municipal yield being 90%-95% of Treasury bond yields.
Q: What kind of investor might the Fund be the most appropriate for?
A: This Fund would be best suited for the conservative investor who is looking
for a double tax-exempt fund with no loads or 12b-1 fees consisting
predominantly of higher quality, insured municipal bonds. We work to make sure
that the Fund is highly diversified geographically within Colorado. Ultimately,
this Fund is for people who want a return of their money as well as on their
money.
Q: When looking at the Fund's performance against its peers, how did it compare?
A: We outperformed our peer group. From June through November of 1998, Westcore
Colorado Tax-Exempt Fund's total return was 3.73% and the Municipal Single State
Intermediate Category's total return was 3.15% as of 11/30/98 according to
Morningstar. We work to control bond maturity risk and volatility by holding
intermediate maturity bonds. In addition, the Fund tends to perform extremely
well in a market downturn.
Q: Did any sector weightings change in the Fund? Why and how does it affect the
Fund?
A: There has been an increase in educational districts in the Fund's portfolio.
Currently 48% of the holdings are Colorado School bonds. Education is not only a
major priority of the Federal government, but of the State government as well.
Since a 1994 Colorado statute, the Colorado Intercept Program, was passed, the
State's treasurer and Department of Education have worked together to ensure
that the payment of principal and the interest on school district bonds is met
when due. The State treasurer will actually make payment for the district if
they are unable to pay on time. Then the treasurer will withhold funds from the
district's future state assistance until the loan is repaid through the
treasurer's withholding funds. With the added support of the state behind each
bond, Moody's Investors Service and Standard & Poor's Ratings Group have
assigned their ratings of Aa3/AA- for all school districts that participate in
this state sponsored program. This program definitely gives us an incentive to
own these bonds.
WESTCORE COLORADO TAX-EXEMPT FUND
AVERAGE ANNUAL TOTAL RETURNS
<TABLE>
<CAPTION>
6 Since
Period Ended Month 1 Year 5 Year 10 Year incep.
<S> <C> <C> <C> <C> <C>
11/30/98 3.73% 6.85% 5.59% NA 6.71%
12/31/98 3.72% 5.59% 5.27% NA 6.67%
</TABLE>
AVERAGE ANNUAL TOTAL RETURNS REFLECT REINVESTMENT OF ALL DIVIDENDS, CAPITAL
GAINS DISTRIBUTIONS, ALL FEE WAIVERS IN EFFECT AND ANY EXPENSE
REIMBURSEMENTS. WITHOUT THE FEE WAIVERS AND EXPENSE REIMBURSEMENTS, THE
TOTAL RETURN FIGURES WOULD HAVE BEEN LOWER. FUND INCEPTION DATE IS 6/1/91.
PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. PRINCIPAL VALUE MAY
FLUCTUATE AND SHARES, WHEN REDEEMED, MAY BE WORTH MORE OR LESS THAN THEIR
ORIGINAL COST.
16
<PAGE>
Semi-Annual Report November 30, 1998
Q: Would you explain your research methods for picking bonds?
A: It is fair to say that we won't buy anything with high debt ratios. One of
the critical parts of our research process involves employing credit quality
guidelines to get a accurate read of a bond. Just because a bond is insured
doesn't mean we will buy it. We look beyond insurance to the ultimate credit.
Then, besides gathering the numerical data and information on the bond, we also
like to visit the districts to make sure we have a complete assessment and
understanding of each holding.
Westcore Colorado Tax-Exempt Fund
Top 10 Municipal Bond Holdings as of November 30, 1998:
/ / Arapahoe County School District 6, 5.00%, 12/01/07
/ / Poudre Valley Hospital District, Larimer County, 5.375%, 11/15/07, Optional
11/15/03 @ 100.00
/ / Boulder & Gilpin Counties, Boulder Valley School District Re-2, 5.00%,
12/01/11, Optional 12/01/07 @ 100.00, FGIC
/ / Goldsmith Metropolitan District, Arapahoe & Denver Counties, 6.50%,
12/01/03, Prerefunded 12/01/99 @ 101.00, MBIA
/ / Weld County, Certificate of Participation Correctional Facilities Lease
Purchase Agreement, 5.35%, 08/01/10, Optional anytime @ 100.00, MBIA
/ / Boulder County Open Space Sales & Use Tax, 5.75%, 12/15/04, FGIC
/ / Jefferson County School District R-1, 5.90%, 12/15/04, Prerefunded 12/15/02
@ 101.00, AMBAC
/ / Platte River Power Authority, 5.75%, 06/01/04, MBIA
/ / El Paso County School District 11, 5.50%, 12/01/14, Optional 12/01/07 @
103.00
/ / Little Thompson Water District, Larimer, Weld & Boulder Counties, 5.50%,
12/01/11, Optional 12/01/05 @ 101.00, MBIA
Westcore Colorado Tax-Exempt Fund
Sector Profile as a Percent of Net Assets
for November 30, 1998
EDGAR REPRESENTATION OF DATA POINTS USED IN PRINTED GRAPHIC
<TABLE>
<S> <C>
GENERAL OBLIGATION BONDS 61.05%
REVENUE BONDS 27.43%
CERTIFICATES OF PARTICIPATION 5.39%
OTHER 6.13%
</TABLE>
Comparison of Change in Value of $10,000 Investment in Westcore Colorado
Tax-Exempt Fund, the Lehman Brothers 10-Year Municipal Bond Index and Muni
Single State Intermediate Category Average
EDGAR REPRESENTATION OF DATA POINTS USED IN PRINTED GRAPHIC
<TABLE>
<CAPTION>
$'S SHOWN IN THOUSANDS
WESTCORE COLORADO LEHMAN BROTHERS 10-YR.
TAX-EXEMPT FUND MUNICIPAL BOND INDEX
<S> <C> <C>
01-Jun-91 $10,000.00 $10,000.00
30-Nov-91 $10,405.00 $11,002.80
30-Nov-92 $11,384.11 $12,098.79
30-Nov-93 $12,407.54 $13,514.95
30-Nov-94 $12,006.78 $12,911.78
30-Nov-95 $13,712.94 $15,307.04
30-Nov-96 $14,426.01 $16,173.12
30-Nov-97 $15,241.08 $17,314.13
30-Nov-98 $16,285.10 $18,717.96
Please Note: Performance calculations are as of the end of November each
year.
Past performance is not indicative of future results. Fund inception
date is 6/1/91.
Fund and Category Data Source: Morningstar
Although data are gathered from
reliable sources, Morningstar cannot
guarantee completeness and accuracy.
Index Data Source: Lehman Brothers
<CAPTION>
$'S SHOWN IN THOUSANDS
MUNI SINGLE STATE INTERMEDIATE
<S> <C>
01-Jun-91 $10,000.00
30-Nov-91 $10,424.00
30-Nov-92 $11,367.37
30-Nov-93 $12,543.90
30-Nov-94 $11,935.52
30-Nov-95 $13,785.52
30-Nov-96 $14,425.17
30-Nov-97 $15,240.19
30-Nov-98 $16,204.90
Please Note: Performance calculations are as of the end of November each
year.
Past performance is not indicative of future results. Fund inception
date is 6/1/91.
Fund and Category Data Source: Morningstar
Although data are gathered from
reliable sources, Morningstar cannot
guarantee completeness and accuracy.
Index Data Source: Lehman Brothers
</TABLE>
The Lehman Brothers 10-Year Municipal Bond Index
is an unmanaged index that includes investment
grade (Moody's Investor Services Aaa to Baa,
Standard & Poor's Corporation AAA to BBB)
tax-exempt bonds with maturities between eight
and twelve years.
Morningstar Category averages reflect the
performance of mutual funds with the same
Morningstar Category. The Morningstar Category
identifies funds based on their actual
investment styles as measured by their
underlying portfolio holdings (portfolio
statistics and compositions over the past three
years). As of November 30, 1998 the Muni Single
State Intermediate Category included 259 mutual
funds.
17
<PAGE>
STATEMENTS OF WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
INVESTMENTS REPORT (UNAUDITED)
WESTCORE MIDCO GROWTH FUND
November 30, 1998
<TABLE>
<CAPTION>
Shares or
Principal Market
Amount Value
- ----------- -------------
<C> <S> <C>
COMMON STOCKS 96.41%
- --------------------------------------------------------------------
BASIC MATERIALS 1.46%
- --------------------------------------------------------------------
CHEMICALS .60%
- --------------------------------------------------------------------
21,600 Avery Dennison Corp $ 1,035,450
58,000 Ecolab Inc 1,794,375
-------------
2,829,825
-------------
DISTRIBUTION .59%
- --------------------------------------------------------------------
66,100 Fastenal Company 2,726,625
-------------
MULTI-INDUSTRY .00%
- --------------------------------------------------------------------
64 Tyco International Ltd 4,212
-------------
PAPER & PACKAGING .27%
- --------------------------------------------------------------------
28,000 Sealed Air Corp** 1,235,500
-------------
TOTAL BASIC MATERIALS
(Cost $5,601,078) 6,796,162
-------------
CAPITAL GOODS 2.36%
- --------------------------------------------------------------------
AEROSPACE & DEFENSE .88%
- --------------------------------------------------------------------
79,800 Gulfstream Aerospace Corp** 4,099,725
-------------
OTHER CAPITAL GOODS 1.48%
- --------------------------------------------------------------------
93,000 Corning Inc 3,731,625
64,500 MSC Industrial Direct Co Inc - Class A** 1,535,906
77,200 Rental Service Corp** 1,635,675
-------------
6,903,206
-------------
TOTAL CAPITAL GOODS
(Cost $9,284,558) 11,002,931
-------------
CONSUMER CYCLICALS 22.46%
- --------------------------------------------------------------------
AUTOMOTIVE 1.19%
- --------------------------------------------------------------------
62,400 Federal-Mogul Corp 3,541,200
109,100 Gentex Corp ** 2,004,712
-------------
5,545,912
-------------
<CAPTION>
Shares or
Principal Market
Amount Value
- ----------- -------------
<C> <S> <C>
BUILDING RELATED 1.29%
- --------------------------------------------------------------------
89,100 Furniture Brands International Inc** $ 2,266,481
132,100 Interface Inc - Class A 1,651,250
92,900 Leggett & Platt Inc 2,107,669
-------------
6,025,400
-------------
CONSUMER PRODUCTS 1.17%
- --------------------------------------------------------------------
123,000 Newell Co 5,442,750
-------------
HOTELS - RESTAURANTS - LEISURE .38%
- --------------------------------------------------------------------
82,300 Hilton Hotels Corp 1,790,025
-------------
MEDIA - PUBLISHING - CABLE 6.90%
- --------------------------------------------------------------------
62,600 Adelphia Communications - Class A** 2,187,087
246,300 Century Communications - Class A** 6,018,956
92,900 Comcast Corp - Special Class A 4,517,263
18,000 Tribune Company 1,154,250
286,220 USA Networks Inc** 9,033,819
21,900 Viacom Inc - Class B** 1,457,719
293,200 Westwood One Inc** 7,769,800
-------------
32,138,894
-------------
OTHER CONSUMER CYCLICALS .55%
- --------------------------------------------------------------------
84,900 WestPoint Stevens Inc** 2,547,000
-------------
RETAIL 10.98%
- --------------------------------------------------------------------
59,242 Abercrombie & Fitch Co - Class A** 3,317,552
233,400 Bed Bath & Beyond Inc** 7,279,163
138,556 Consolidated Stores Corp** 2,978,954
122,463 Dollar General Corp 2,916,150
365,400 Family Dollar Stores Inc 7,330,838
118,700 Kohl's Corp** 5,838,556
271,300 Lowe's Companies Inc 11,462,425
<CAPTION>
Shares or
Principal Market
Amount Value
- ----------- -------------
<C> <S> <C>
171,500 PETsMART Inc** $ 1,468,469
79,100 Saks Inc** 2,175,250
133,000 TJX Companies Inc 3,408,125
105,200 Zale Corp** 3,011,350
-------------
51,186,832
-------------
TOTAL CONSUMER CYCLICALS
(Cost $69,794,908) 104,676,813
-------------
CONSUMER STAPLES 4.70%
- --------------------------------------------------------------------
FOOD, BEVERAGES & TOBACCO .48%
- --------------------------------------------------------------------
33,200 Hershey Foods Corp 2,232,700
-------------
HOUSEHOLD PRODUCTS .51%
- --------------------------------------------------------------------
31,800 Estee Lauder Companies - Class A 2,386,988
-------------
RETAIL FOOD & DRUG 3.71%
- --------------------------------------------------------------------
60,700 Fred Meyer Inc** 3,088,113
195,100 Rite Aid Corp 9,047,763
75,400 US Foodservice** 3,463,687
35,900 Whole Foods Market Inc** 1,669,350
-------------
17,268,913
-------------
TOTAL CONSUMER STAPLES
(Cost $17,646,782) 21,888,601
-------------
CREDIT SENSITIVE 16.68%
- --------------------------------------------------------------------
BANKS 2.41%
- --------------------------------------------------------------------
31,300 AmSouth Bancorporation 1,322,425
77,400 Firstar Corp 5,669,550
18,400 Northern Trust Corp 1,485,800
54,800 Zions Bancorporation 2,767,400
-------------
11,245,175
-------------
FINANCIAL SERVICES 2.42%
- --------------------------------------------------------------------
45,400 Capital One Financial Corp 4,994,000
112,100 CIT Group Inc - Class A 3,145,806
</TABLE>
18
<PAGE>
STATEMENTS OF WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
INVESTMENTS REPORT (UNAUDITED)
WESTCORE MIDCO GROWTH FUND
November 30, 1998 (continued)
<TABLE>
<CAPTION>
Shares or
Principal Market
Amount Value
- ----------- -------------
<S> <C> <C>
34,100 Providian Financial Corp $ 3,130,806
-------------
11,270,612
-------------
INSURANCE 4.25%
- --------------------------------------------------------------------
65,700 Ambac Financial Group Inc 4,007,700
89,723 Conseco Inc 2,972,074
61,000 Hartford Life Inc - Class A 3,343,563
155,166 Mutual Risk Management Ltd 5,692,653
70,100 UNUM Corp 3,776,637
-------------
19,792,627
-------------
UTILITIES - ELECTRIC 1.72%
- --------------------------------------------------------------------
174,894 AES Corp** 8,001,401
-------------
UTILITIES - GAS .95%
- --------------------------------------------------------------------
84,000 Enron Corp 4,415,250
-------------
UTILITIES - TELEPHONE 4.93%
- --------------------------------------------------------------------
389,690 MCI WorldCom Inc** 22,991,710
-------------
TOTAL CREDIT SENSITIVE
(Cost $45,008,915) 77,716,775
-------------
ENERGY 1.30%
- --------------------------------------------------------------------
ENERGY EQUIPMENT & SERVICES .48%
- --------------------------------------------------------------------
241,904 R&B Falcon Corp** 2,222,493
-------------
ENERGY PRODUCERS 0.82%
- --------------------------------------------------------------------
74,000 Anadarko Petroleum Corp 2,085,875
87,900 Ocean Energy Inc** 714,188
25,900 Vastar Resources Inc 1,050,568
-------------
3,850,631
-------------
TOTAL ENERGY
(Cost $9,249,031) 6,073,124
-------------
<CAPTION>
Shares or
Principal Market
Amount Value
- ----------- -------------
<S> <C> <C>
HEALTHCARE 18.78%
- --------------------------------------------------------------------
BIOTECHNOLOGY 1.49%
- --------------------------------------------------------------------
46,200 Biogen Inc** $ 3,505,425
42,000 MedImmune Inc** 2,808,750
67,000 North American Vaccine Inc** 644,875
-------------
6,959,050
-------------
DRUGS & HEALTHCARE PRODUCTS 9.68%
- --------------------------------------------------------------------
67,100 ALZA Corp** 3,505,975
124,300 Becton Dickinson & Co 5,282,750
152,800 Forest Laboratories Inc - Class A** 7,124,300
56,400 Guidant Corp 4,839,825
41,200 Lincare Holdings Inc** 1,421,400
163,300 Mylan Laboratories Inc 5,419,519
34,900 Perkin-Elmer Corp 3,254,425
330,200 Sybron International Corp** 8,213,725
111,664 Watson Pharmaceuticals Inc** 6,015,898
-------------
45,077,817
-------------
HEALTHCARE SERVICES 7.61%
- --------------------------------------------------------------------
55,700 Access Health Inc** 1,998,238
114,300 Cardinal Health Inc 7,843,837
284,700 HBO & Company 7,099,706
107,562 Health Management Associates Inc - Class
A** 2,332,751
48,900 Humana Inc** 968,831
58,300 IMS Health Inc 3,869,663
133,200 Orthodontic Centers of America Inc** 2,547,450
52,400 Pediatrix Medical Group Inc** 2,813,225
121,900 Total Renal Care Holdings Inc** 3,237,969
<CAPTION>
Shares or
Principal Market
Amount Value
- ----------- -------------
<S> <C> <C>
33,500 Wellpoint Health Networks Inc** $ 2,749,094
-------------
35,460,764
-------------
TOTAL HEALTHCARE
(Cost $65,595,236) 87,497,631
-------------
SERVICES 6.27%
- --------------------------------------------------------------------
BUSINESS SERVICES 5.52%
- --------------------------------------------------------------------
151,333 ACNielsen Corp** 4,171,116
94,030 Allied Waste Industries Inc** 1,915,861
55,650 Concord EFS Inc** 1,770,366
33,100 Convergys Corp** 606,144
64,300 Eastern Environmental Services Inc** 1,398,525
160,100 Newpark Resources Inc** 1,180,737
48,500 Robert Half International Inc** 2,279,500
49,900 ServiceMaster Company 1,072,850
178,500 Snyder Communications Inc** 6,347,906
96,190 Waste Management Inc 4,124,146
48,500 Wilmar Industries Inc** 860,875
-------------
25,728,026
-------------
CONSUMER SERVICES .75%
- --------------------------------------------------------------------
80,000 Apollo Group Inc - Class A** 2,580,000
98,600 Loewen Group Inc 924,375
-------------
3,504,375
-------------
TOTAL SERVICES
(Cost $25,635,664) 29,232,401
-------------
TECHNOLOGY 22.40%
- --------------------------------------------------------------------
COMPUTER HARDWARE 1.19%
- --------------------------------------------------------------------
43,300 EMC Corp** 3,139,250
82,100 Seagate Technology Inc** 2,421,950
-------------
5,561,200
-------------
</TABLE>
19
<PAGE>
STATEMENTS OF WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
INVESTMENTS REPORT (UNAUDITED)
WESTCORE MIDCO GROWTH FUND
November 30, 1998 (continued)
<TABLE>
<CAPTION>
Shares or
Principal Market
Amount Value
- ----------- -------------
<S> <C> <C>
COMPUTER SERVICES & SOFTWARE 7.78%
- --------------------------------------------------------------------
33,200 America Online Inc $ 2,907,075
29,500 Aspect Development Inc** 986,406
97,000 BMC Software Inc** 4,953,063
9,300 Computer Sciences Corp** 531,262
61,700 Compuware Corp** 3,840,825
30,200 Documentum Inc** 1,270,287
119,700 Fiserv Inc** 5,289,244
63,700 Gemstar International Group Ltd** 3,869,775
103,775 Hyperion Solutions Corp** 3,359,716
58,100 Intuit Inc** 3,362,537
93,100 J D Edwards & Co** 3,235,225
16,100 Manugistics Group Inc** 140,875
52,800 Synopsys Inc** 2,501,400
-------------
36,247,690
-------------
ELECTRONICS 5.83%
- --------------------------------------------------------------------
69,800 Altera Corp** 3,424,562
72,100 Applied Materials Inc** 2,793,875
37,100 Linear Technology Corp 2,599,319
48,200 Maxim Integrated Products Inc** 1,891,850
156,400 Micron Technology Inc** 6,461,275
87,900 Read-Rite Corp** 1,181,156
74,700 Solectron Corp** 4,944,206
75,300 Xilinx Inc** 3,821,475
-------------
27,117,718
-------------
NETWORKING 3.34%
- --------------------------------------------------------------------
81,100 Ascend Communications Inc** 4,556,806
261,400 Novell Inc** 4,329,438
172,800 3Com Corp** 6,685,200
-------------
15,571,444
-------------
TELECOMMUNICATIONS 4.26%
- --------------------------------------------------------------------
105,200 ADC Telecommunications** 3,142,850
<CAPTION>
Shares or
Principal Market
Amount Value
- ----------- -------------
<S> <C> <C>
25,800 Concentric Network Corp** $ 732,075
45,400 MindSpring Enterprises Inc** 2,931,138
42,900 Newbridge Networks Corp** 1,254,825
135,900 Pacific Gateway Exchange Inc** 6,081,525
48,000 Tellabs Inc** 2,595,000
57,800 Uniphase Corp** 3,132,036
-------------
19,869,449
-------------
TOTAL TECHNOLOGY
(Cost $77,664,503) 104,367,501
-------------
TOTAL COMMON STOCKS
(Cost $325,480,675) 449,251,939
-------------
MUTUAL FUNDS 10.09%
- --------------------------------------------------------------------
24,066,767 Dreyfus Cash Management Fund 24,066,767
22,975,000 Fidelity Institutional Money Market Fund 22,975,000
-------------
TOTAL MUTUAL FUNDS
(Cost $47,041,767) 47,041,767
-------------
INVESTMENTS OF CASH COLLATERAL FOR SECURITIES LOANED 6.25%
- --------------------------------------------------------------------
COMMERCIAL PAPER & TIME DEPOSITS 5.15%
- --------------------------------------------------------------------
$ 5,000,000 American General, 5.3%, 12/01/98 5,000,000
4,500,000 Associates Corp, 5.28%, 12/01/98 4,500,000
5,000,000 Deutsche Bank Time Deposit, 5.375%,
12/01/98 5,000,000
4,500,000 Ford Motor Credit, 5.31%, 12/01/98 4,500,000
<CAPTION>
Shares or
Principal Market
Amount Value
- ----------- -------------
<S> <C> <C>
$ 5,000,000 Texaco, 5.25%, 12/01/98 $ 5,000,000
-------------
TOTAL COMMERCIAL PAPER & TIME DEPOSITS
(Cost $24,000,000)
24,000,000
-------------
REPURCHASE AGREEMENTS COLLATERALIZED BY U.S. GOVERNMENT
OBLIGATIONS .53%
- --------------------------------------------------------------------
2,500,000 Repurchase agreement with Societe
Generale, 5.15%, dated 11/30/98 and
maturing 12/01/98, Collateralized by
U.S. Treasury Bond, 5.25% due 11/15/28 2,500,357
-------------
TOTAL REPURCHASE AGREEMENTS
(Cost $2,500,357) 2,500,357
-------------
MUTUAL FUNDS .57%
- --------------------------------------------------------------------
435,396 AIM Liquid Assets Fund 435,396
23,761 AIM Prime Portfolio Fund 23,761
2,116,481 Provident Temp Fund 2,116,481
58,779 Provident TempCash Fund 58,779
-------------
TOTAL MUTUAL FUNDS
(Cost $2,634,417) 2,634,417
-------------
TOTAL INVESTMENTS OF CASH COLLATERAL FOR SECURITIES
LOANED
(Cost $29,134,774)
29,134,774
-------------
</TABLE>
<TABLE>
<S> <C> <C>
TOTAL INVESTMENTS
(Cost $401,657,216) 112.75% $ 525,428,480
Liabilities in Excess of Other Assets (12.75%) (59,429,739)
-------------------------
NET ASSETS 100.00% $ 465,998,741
-------------------------
-------------------------
</TABLE>
See Notes to Statements of Investments.
20
<PAGE>
STATEMENTS OF WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
INVESTMENTS REPORT (UNAUDITED)
WESTCORE GROWTH AND INCOME FUND
November 30, 1998
<TABLE>
<CAPTION>
Shares or
Principal Market
Amount Value
- ---------- ------------
<C> <S> <C>
COMMON STOCKS 89.44%
- -------------------------------------------------------------------
BASIC MATERIALS 1.80%
- -------------------------------------------------------------------
CHEMICALS 0.82%
- -------------------------------------------------------------------
3,400 Ecolab Inc $ 105,188
------------
TRANSPORTATION 0.98%
- -------------------------------------------------------------------
3,700 Burlington Northern Santa Fe Corp 125,800
------------
TOTAL BASIC MATERIALS
(Cost $202,437) 230,988
------------
CAPITAL GOODS 2.60%
- -------------------------------------------------------------------
ELECTRICAL EQUIPMENT 1.41%
- -------------------------------------------------------------------
2,000 General Electric Co 181,000
------------
OTHER - CAPITAL GOODS 1.19%
- -------------------------------------------------------------------
3,800 Corning Inc 152,475
------------
TOTAL CAPITAL GOODS
(Cost $192,602) 333,475
------------
CONSUMER CYCLICALS 15.20%
- -------------------------------------------------------------------
BUILDING RELATED .57%
- -------------------------------------------------------------------
3,200 Leggett & Platt Inc 72,600
------------
CONSUMER PRODUCTS 0.79%
- -------------------------------------------------------------------
2,300 Newell Co 101,775
------------
MEDIA - PUBLISHING - CABLE 2.66%
- -------------------------------------------------------------------
3,700 CBS Corp 110,306
3,600 Tribune Co 230,850
------------
341,156
------------
RETAIL 11.18%
- -------------------------------------------------------------------
5,235 Dollar General Corp 124,658
12,500 Family Dollar Stores Inc 250,781
7,000 Home Depot Inc 348,250
7,600 Lowe's Companies Inc 321,100
<CAPTION>
Shares or
Principal Market
Amount Value
- ---------- ------------
<C> <S> <C>
5,200 Wal-Mart Stores Inc $ 391,625
------------
1,436,414
------------
TOTAL CONSUMER CYCLICALS
(Cost $966,651) 1,951,945
------------
CONSUMER STAPLES 8.08%
- -------------------------------------------------------------------
FOOD, BEVERAGES & TOBACCO 3.57%
- -------------------------------------------------------------------
3,600 Bestfoods 209,250
600 Hershey Foods Corp 40,350
5,400 PepsiCo Inc 208,913
------------
458,513
------------
HOUSEHOLD PRODUCTS 3.82%
- -------------------------------------------------------------------
500 Clorox Co 55,531
1,400 Colgate-Palmolive Co 119,875
1,700 Estee Lauder Companies Inc - Class A 127,606
4,100 Gillette Co 188,344
------------
491,356
------------
RETAIL FOOD & DRUG 0.69%
- -------------------------------------------------------------------
1,900 Rite Aid Corp 88,113
------------
TOTAL CONSUMER STAPLES
(Cost $672,108) 1,037,982
------------
CREDIT SENSITIVE 34.84%
- -------------------------------------------------------------------
BANKS 4.89%
- -------------------------------------------------------------------
1,760 Bank One Corp 90,310
3,100 Cullen/Frost Bankers Inc 166,237
1,300 Firstar Corp 95,225
6,000 Wells Fargo Co 216,000
1,200 Zions Bancorporation 60,600
------------
628,372
------------
FINANCIAL SERVICES 6.97%
- -------------------------------------------------------------------
1,100 Charles Schwab Corp 62,013
8,061 Charter One Financial Inc 239,311
7,200 Household International Inc 281,700
<CAPTION>
Shares or
Principal Market
Amount Value
- ---------- ------------
<C> <S> <C>
2,700 Kansas City Southern Industries Inc $ 115,256
8,662 MBNA Corp 196,519
------------
894,799
------------
INSURANCE 8.09%
- -------------------------------------------------------------------
2,300 Ambac Financial Group Inc 140,300
1,700 Conseco Inc 56,313
7,000 Hartford Life Inc - Class A 383,688
8,400 Mutual Risk Management Ltd 308,175
2,800 UNUM Corp 150,850
------------
1,039,326
------------
REITS 0.54%
- -------------------------------------------------------------------
3,000 Healthcare Realty Trust Inc 69,000
------------
UTILITIES - ELECTRIC 5.99%
- -------------------------------------------------------------------
11,992 AES Corp** 548,634
3,535 Duke Energy Corp 221,158
------------
769,792
------------
UTILITIES - GAS 3.53%
- -------------------------------------------------------------------
3,600 Enron Corp 189,225
3,600 KN Energy Inc 157,500
3,700 The Williams Companies Inc 106,606
------------
453,331
------------
UTILITIES - TELEPHONE 4.83%
- -------------------------------------------------------------------
4,200 Cincinnati Bell Inc 132,300
8,262 MCI WorldCom Inc** 487,458
------------
619,758
------------
TOTAL CREDIT SENSITIVE
(Cost $2,384,489) 4,474,378
------------
ENERGY 2.32%
- -------------------------------------------------------------------
ENERGY EQUIPMENT & SERVICES 1.75%
- -------------------------------------------------------------------
5,015 Schlumberger Ltd 224,108
------------
</TABLE>
21
<PAGE>
STATEMENTS OF WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
INVESTMENTS REPORT (UNAUDITED)
WESTCORE GROWTH AND INCOME FUND
November 30, 1998 (continued)
<TABLE>
<CAPTION>
Shares or
Principal Market
Amount Value
- ---------- ------------
<S> <C> <C>
ENERGY PRODUCERS 0.57%
- -------------------------------------------------------------------
2,600 Anadarko Petroleum Corp $ 73,287
------------
TOTAL ENERGY
(Cost $239,002) 297,395
------------
HEALTHCARE 12.97%
- -------------------------------------------------------------------
DRUGS & HEALTHCARE PRODUCTS 10.21%
- -------------------------------------------------------------------
3,400 American Home Products Corp 181,050
1,600 Guidant Corp 137,300
3,300 Mylan Laboratories Inc 109,519
500 Perkin-Elmer Corp 46,625
900 Pfizer Inc 100,463
5,000 Schering-Plough Corp 531,875
2,700 Warner-Lambert Co 203,850
------------
1,310,682
------------
HEALTHCARE SERVICES 2.76%
- -------------------------------------------------------------------
1,650 Cardinal Health Inc 113,231
4,600 HBO & Company 114,712
1,900 IMS Health Inc 126,113
------------
354,056
------------
TOTAL HEALTHCARE
(Cost $922,136) 1,664,738
------------
SERVICES 5.74%
- -------------------------------------------------------------------
BUSINESS SERVICES 4.11%
- -------------------------------------------------------------------
8,400 Omnicom Group Inc 448,875
3,700 Servicemaster Co 79,550
------------
528,425
------------
CONSUMER SERVICES 1.63%
- -------------------------------------------------------------------
9,129 Cendant Corp** 173,451
3,800 Loewen Group Inc 35,625
------------
209,076
------------
TOTAL SERVICES
(Cost $342,933) 737,501
------------
<CAPTION>
Shares or
Principal Market
Amount Value
- ---------- ------------
<S> <C> <C>
TECHNOLOGY 5.89%
- -------------------------------------------------------------------
COMPUTER SERVICES & SOFTWARE 1.37%
- -------------------------------------------------------------------
1,500 Computer Sciences Corp** $ 85,687
3,400 First Data Corp 90,737
------------
176,424
------------
ELECTRONICS 3.77%
- -------------------------------------------------------------------
1,600 Intel Corp 172,200
2,200 Linear Technology Corp 154,138
1,200 Micron Technology Inc** 49,575
1,400 Texas Instruments Inc 106,925
------------
482,838
------------
TELECOMMUNICATIONS 0.75%
- -------------------------------------------------------------------
1,200 Sprint Corp** 87,300
600 Sprint PCS 9,600
------------
96,900
------------
TOTAL TECHNOLOGY
(Cost $574,868) 756,162
------------
TOTAL COMMON STOCKS
(Cost $6,497,226) 11,484,564
------------
CONVERTIBLE DEBENTURES 3.38%
- -------------------------------------------------------------------
ENERGY 0.58%
- -------------------------------------------------------------------
ENERGY EQUIPMENT & SERVICES 0.58%
- -------------------------------------------------------------------
$ 75,000 Nabors Industries Inc, 5.00%, 05/15/06 74,906
------------
TOTAL ENERGY
(Cost $90,676) 74,906
------------
HEALTHCARE 1.44%
- -------------------------------------------------------------------
DRUGS & HEALTHCARE PRODUCTS 1.44%
- -------------------------------------------------------------------
125,000 ALZA Corp, 5.00%, 05/01/06 183,906
------------
TOTAL HEALTHCARE
(Cost $150,379) 183,906
------------
<CAPTION>
Shares or
Principal Market
Amount Value
- ---------- ------------
<S> <C> <C>
SERVICES 1.36%
- -------------------------------------------------------------------
BUSINESS SERVICES 1.36%
- -------------------------------------------------------------------
$ 150,000 Waste Management Inc, 4.00%, 02/01/02 $ 174,938
------------
TOTAL SERVICES
(Cost $150,863) 174,938
------------
TOTAL CONVERTIBLE DEBENTURES
(Cost $391,918) 433,750
------------
CONVERTIBLE PREFERRED STOCK 2.62%
- -------------------------------------------------------------------
CONSUMER CYCLICALS 1.59%
- -------------------------------------------------------------------
MEDIA - PUBLISHING - CABLE 1.59%
- -------------------------------------------------------------------
2,300 TCI Communications Inc, $2.125, 01/15/06
Series A 204,987
------------
TOTAL CONSUMER CYCLICALS
(Cost $158,125) 204,987
------------
SERVICES 1.03%
- -------------------------------------------------------------------
BUSINESS SERVICES 1.03%
- -------------------------------------------------------------------
4,100 Snyder Communications, Inc - STRYPES,
6.50%, 11/15/00 Series 131,712
------------
TOTAL SERVICES
(Cost $121,555) 131,712
------------
TOTAL CONVERTIBLE PREFERRED STOCK
(Cost $279,680)
336,699
------------
MUTUAL FUNDS 4.73%
- -------------------------------------------------------------------
562,070 Dreyfus Cash Management Fund 562,070
45,000 Fidelity Institutional Money Market Fund 45,000
</TABLE>
22
<PAGE>
STATEMENTS OF WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
INVESTMENTS REPORT (UNAUDITED)
WESTCORE GROWTH AND INCOME FUND
November 30, 1998 (continued)
<TABLE>
<CAPTION>
Shares or
Principal Market
Amount Value
- ---------- ------------
<S> <C> <C>
1 AIM Liquid Assets Fund $ 1
1 AIM Prime Portfolio Fund 1
250 Provident Temp Fund 250
------------
TOTAL MUTUAL FUNDS
(Cost $607,322) 607,322
------------
</TABLE>
<TABLE>
<S> <C> <C>
TOTAL INVESTMENTS
(Cost $7,776,146) 100.17% $12,862,335
Other Assets in Excess of Liabilities (0.17%) (21,319)
--------------------
NET ASSETS 100.00% $12,841,016
--------------------
--------------------
</TABLE>
See Notes to Statements of Investments.
WESTCORE BLUE CHIP FUND
November 30, 1998
<TABLE>
<CAPTION>
Shares or
Principal Market
Amount Value
- ----------- -----------
<C> <S> <C>
COMMON STOCKS 95.55%
- ------------------------------------------------------------------
CAPITAL GOODS 23.94%
- ------------------------------------------------------------------
AEROSPACE & DEFENSE 4.85%
- ------------------------------------------------------------------
17,900 General Dynamics Corp $ 1,039,319
21,300 United Technologies Corp 2,283,094
-----------
3,322,413
-----------
COMMUNICATION EQUIPMENT 2.74%
- ------------------------------------------------------------------
34,700 Tellabs Inc** 1,875,969
-----------
COMPUTERS (HARDWARE) 4.95%
- ------------------------------------------------------------------
20,600 Apple Computer Inc** 657,913
35,200 Compaq Computer Corp 1,144,000
9,600 IBM Corp 1,584,000
-----------
3,385,913
-----------
COMPUTERS (PERIPHERALS) 1.44%
- ------------------------------------------------------------------
33,400 Seagate Technology Inc** 985,300
-----------
COMPUTER SOFTWARE & SERVICES 5.25%
- ------------------------------------------------------------------
75,800 NOVELL Inc** 1,255,438
82,200 Unisys Corp** 2,342,700
-----------
3,598,138
-----------
MACHINERY - DIVERSIFIED 2.28%
- ------------------------------------------------------------------
33,400 Ingersoll-Rand Co 1,563,537
-----------
MANUFACTURING - DIVERSIFIED 2.43%
- ------------------------------------------------------------------
25,300 Tyco International Ltd 1,665,056
-----------
TOTAL CAPITAL GOODS
(Cost $13,118,539) 16,396,326
-----------
CONSUMER CYCLICALS 9.19%
- ------------------------------------------------------------------
ENTERTAINMENT 2.56%
- ------------------------------------------------------------------
50,800 Carnival Corp 1,752,600
-----------
<CAPTION>
Shares or
Principal Market
Amount Value
- ----------- -----------
<C> <S> <C>
LEISURE 1.66%
- ------------------------------------------------------------------
27,200 Harley-Davidson Inc 1,137,300
-----------
RETAIL STORES - GENERAL MERCHANDISE CHAINS 4.97%
- ------------------------------------------------------------------
45,800 Dayton Hudson Corp $ 2,061,000
87,900 Kmart Corp** 1,340,474
-----------
3,401,474
-----------
TOTAL CONSUMER CYCLICALS
(Cost $4,329,723) 6,291,374
-----------
CONSUMER STAPLES 26.31%
- ------------------------------------------------------------------
DISTRIBUTORS (FOOD & HEALTH) 2.32%
- ------------------------------------------------------------------
61,800 SUPERVALU Inc 1,595,213
-----------
DRUGS - MAJOR PHARMACEUTICALS 5.60%
- ------------------------------------------------------------------
25,600 McKesson Corp 1,822,400
18,900 Schering-Plough Corp 2,010,488
-----------
3,832,888
-----------
HEALTHCARE DIVERSIFIED 4.43%
- ------------------------------------------------------------------
7,000 Allergan Inc 426,125
15,780 Bristol-Myers Squibb Co 1,934,036
20,200 Mylan Laboratories Inc 670,387
-----------
3,030,548
-----------
MEDICAL PRODUCTS & SUPPLIES 3.55%
- ------------------------------------------------------------------
57,200 Becton Dickinson & Co 2,431,000
-----------
RETAIL STORES - DRUG STORES 6.81%
- ------------------------------------------------------------------
39,300 CVS Corp 1,940,438
10,300 Longs Drug Stores Corp 366,938
50,800 Rite Aid Corp 2,355,850
-----------
4,663,226
-----------
RETAIL STORES - FOOD CHAINS 3.60%
- ------------------------------------------------------------------
105,700 Food Lion Inc - Class A 1,083,425
</TABLE>
23
<PAGE>
STATEMENTS OF WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
INVESTMENTS REPORT (UNAUDITED)
WESTCORE BLUE CHIP FUND
November 30, 1998 (continued)
<TABLE>
<CAPTION>
Shares or
Principal Market
Amount Value
- ----------- -----------
<S> <C> <C>
26,100 Kroger Co** $ 1,384,931
-----------
2,468,356
-----------
TOTAL CONSUMER STAPLES
(Cost $10,441,746) 18,021,231
-----------
CREDIT SENSITIVE 24.68%
- ------------------------------------------------------------------
ELECTRIC COMPANIES 5.96%
- ------------------------------------------------------------------
38,200 DTE Energy Co 1,666,475
39,050 Edison International 1,073,875
30,630 GPU Inc 1,341,977
-----------
4,082,327
-----------
FINANCIAL DIVERSIFIED 2.35%
- ------------------------------------------------------------------
29,100 Equitable Companies Inc 1,607,774
-----------
MAJOR REGIONAL BANKING 4.95%
- ------------------------------------------------------------------
24,600 Comerica Inc 1,586,700
29,680 First Union Corp 1,803,060
-----------
3,389,760
-----------
SAVINGS & LOAN 2.17%
- ------------------------------------------------------------------
15,700 Golden West Financial Corp 1,486,594
-----------
TELECOMMUNICATIONS 2.46%
- ------------------------------------------------------------------
20,860 Sprint Corp 1,517,565
10,430 Sprint Corp PCS** 166,880
-----------
1,684,445
-----------
TELEPHONE 6.79%
- ------------------------------------------------------------------
36,900 ALLTEL Corp 1,955,700
18,900 Bellsouth Corp 1,649,025
16,800 US West Inc 1,045,800
-----------
4,650,525
-----------
TOTAL CREDIT SENSITIVE
(Cost $14,001,912 ) 16,901,425
-----------
<CAPTION>
Shares or
Principal Market
Amount Value
- ----------- -----------
<S> <C> <C>
INTERMEDIATE GOODS & SERVICES 11.43%
- ------------------------------------------------------------------
AIRLINES 3.05%
- ------------------------------------------------------------------
15,500 AMR Corp** $ 1,022,031
20,500 US Airways Group Inc** 1,066,000
-----------
2,088,031
-----------
OIL (INTEGRATED - DOMESTIC) 1.04%
- ------------------------------------------------------------------
27,200 Tosco Corp 710,600
-----------
OIL (INTEGRATED - INTERNATIONAL) 4.45%
- ------------------------------------------------------------------
19,200 Mobil Corp 1,654,800
24,200 Texaco Inc 1,393,012
-----------
3,047,812
-----------
SERVICE (COMMERCIAL & CONSUMER) 1.32%
- ------------------------------------------------------------------
24,600 Hertz Corp 904,050
-----------
WASTE MANAGEMENT 1.57%
- ------------------------------------------------------------------
25,100 Waste Management Inc 1,076,163
-----------
TOTAL INTERMEDIATE GOODS & SERVICES
(Cost $7,283,506 )
7,826,656
-----------
TOTAL COMMON STOCKS
(Cost $49,175,426) 65,437,012
-----------
</TABLE>
<TABLE>
<CAPTION>
Shares or
Principal Market
Amount Value
- ----------- -----------
<C> <S> <C>
MUTUAL FUNDS 2.95%
- ------------------------------------------------------------------
2,020,038 Dreyfus Cash Management Fund $ 2,020,038
TOTAL MUTUAL FUNDS
(Cost $2,020,038) 2,020,038
-----------
INVESTMENTS OF CASH COLLATERAL FOR SECURITIES LOANED .99%
- ------------------------------------------------------------------
MUTUAL FUNDS .99%
- ------------------------------------------------------------------
684,500 Provident Temp Fund 684,500
-----------
TOTAL MUTUAL FUNDS
(Cost $684,500) 684,500
-----------
TOTAL INVESTMENT OF CASH COLLATERAL FOR SECURITIES
LOANED
(Cost $684,500)
684,500
-----------
</TABLE>
<TABLE>
<S> <C> <C>
TOTAL INVESTMENTS
(Cost $51,879,964) 99.49% $68,141,550
Other Assets in Excess of Liabilities 0.51% 346,038
--------------------
NET ASSETS 100.00% $68,487,588
--------------------
--------------------
</TABLE>
See Notes to Statements of Investments.
24
<PAGE>
STATEMENTS OF WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
INVESTMENTS REPORT (UNAUDITED)
WESTCORE MID-CAP OPPORTUNITY FUND
November 30, 1998
<TABLE>
<CAPTION>
Shares or
Principal Market
Amount Value
- --------- -----------
<C> <S> <C>
COMMON STOCKS 95.62%
- ----------------------------------------------------------------
BASIC INDUSTRIES 7.96%
- ----------------------------------------------------------------
CHEMICALS 1.02%
- ----------------------------------------------------------------
2,000 International Specialty Products Inc** $ 26,250
-----------
COMMERCIAL CONSTRUCTION 4.23%
- ----------------------------------------------------------------
1,450 Lafarge Corp 53,741
725 Lone Star Industries Inc 54,873
-----------
108,614
-----------
METALS 2.71%
- ----------------------------------------------------------------
5,350 Bethlehem Steel Corp** 44,138
1,050 USX - US Steel Group 25,659
-----------
69,797
-----------
TOTAL BASIC INDUSTRIES
(Cost $209,672) 204,661
-----------
CAPITAL GOODS 3.23%
- ----------------------------------------------------------------
MACHINE & TRUCK 1.81%
- ----------------------------------------------------------------
1,800 Navistar International Corp** 46,575
-----------
OTHER CAPITAL GOODS 1.42%
- ----------------------------------------------------------------
1,800 Milacron Inc** 36,450
-----------
TOTAL CAPITAL GOODS
(Cost $83,286) 83,025
-----------
CONSUMER CYCLICALS 5.22%
- ----------------------------------------------------------------
CONSUMER SOFT GOODS 1.46%
- ----------------------------------------------------------------
3,600 Burlington Industries Inc** 37,575
-----------
MISCELLANEOUS CONSUMER CYCLICALS .80%
- ----------------------------------------------------------------
1,600 Hollinger International Inc - Class A 20,700
-----------
RESIDENTIAL CONSTRUCTION 1.44%
- ----------------------------------------------------------------
575 Centex Corp 20,520
<CAPTION>
Shares or
Principal Market
Amount Value
- --------- -----------
<C> <S> <C>
650 Pulte Corp $ 16,534
-----------
37,054
-----------
VEHICLE ACCESSORIES 1.52%
- ----------------------------------------------------------------
1,000 Dana Corp 39,000
-----------
TOTAL CONSUMER CYCLICALS
(Cost $139,936) 134,329
-----------
CONSUMER STAPLES 6.96%
- ----------------------------------------------------------------
FOOD/AGRICULTURE 6.96%
- ----------------------------------------------------------------
500 Adolph Coors Co - Class B 24,875
700 Canadaigua Brands Inc - Class A** 34,825
1,300 Earthgrains Company 41,762
1,200 International Multifoods Corp 30,525
2,275 Tyson Foods Inc - Class A 47,064
-----------
179,051
-----------
TOTAL CONSUMER STAPLES
(Cost $170,382) 179,051
-----------
ENERGY 5.86%
- ----------------------------------------------------------------
OIL & NATURAL GAS 5.86%
- ----------------------------------------------------------------
1,500 Coastal Corp 52,313
850 El Paso Energy Corp 29,006
4,400 Pride International Inc** 33,275
2,475 Veritas DGC Inc** 36,197
-----------
150,791
-----------
TOTAL ENERGY
(Cost $199,947) 150,791
-----------
FINANCIAL 17.54%
- ----------------------------------------------------------------
BANKS/FINANCIAL SERVICES 6.77%
- ----------------------------------------------------------------
850 CIT Group Inc - Class A 23,853
1,500 First American Financial Corp 45,937
1,900 Golden State Bancorp Inc** 36,575
450 Golden West Financial Corp 42,609
<CAPTION>
Shares or
Principal Market
Amount Value
- --------- -----------
<C> <S> <C>
500 Lehman Brothers Holdings Inc $ 24,969
-----------
173,943
-----------
INSURANCE 10.77%
- ----------------------------------------------------------------
1,000 Allmerica Financial Corp 55,188
1,925 Conseco Inc 63,766
1,800 FBL Financial Group Inc - Class A 44,100
850 Financial Security Assurance Holdings
Ltd 46,644
850 Orion Capital Corp 30,706
2,650 Reliance Group Holdings Inc 36,934
-----------
277,338
-----------
TOTAL FINANCIAL
(Cost $465,319) 451,281
-----------
SERVICES 18.49%
- ----------------------------------------------------------------
BUSINESS SERVICES 2.10%
- ----------------------------------------------------------------
1,950 Hughes Supply Inc 54,112
-----------
MEDICAL & DENTAL 8.19%
- ----------------------------------------------------------------
2,900 HEALTHSOUTH Corp** 38,969
1,900 Humana Inc** 37,644
700 Pacificare Health Systems Inc - Class
B** 52,719
1,100 Trigon Healthcare Inc** 40,769
2,200 Veterinary Centers of America Inc** 40,425
-----------
210,526
-----------
RETAIL STORES 6.39%
- ----------------------------------------------------------------
1,900 AnnTaylor Stores Corp** 62,581
2,000 Dress Barn Inc** 29,500
3,125 Kmart Corp** 47,656
950 SUPERVALU Inc 24,522
-----------
164,259
-----------
</TABLE>
25
<PAGE>
STATEMENTS OF WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
INVESTMENTS REPORT (UNAUDITED)
WESTCORE MID-CAP OPPORTUNITY FUND
November 30, 1998 (continued)
<TABLE>
<CAPTION>
Shares or
Principal Market
Amount Value
- --------- -----------
<S> <C> <C>
RESTAURANTS 1.81%
- ----------------------------------------------------------------
2,950 Darden Restaurants Inc $ 46,647
-----------
TOTAL SERVICES
Cost ($434,909) 475,544
-----------
TECHNOLOGY 17.76%
- ----------------------------------------------------------------
AEROSPACE & DEFENSE 4.84%
- ----------------------------------------------------------------
325 Alliant Techsystems Inc** 24,761
1,150 Cordant Technologies Inc 46,216
380 Litton Industries Inc** 23,251
900 Triumph Group Inc** 30,263
-----------
124,491
-----------
COMPUTER HARDWARE 9.00%
- ----------------------------------------------------------------
1,400 Advanced Micro Devices** 38,762
1,100 NCR Corp 40,838
1,950 Seagate Technology Inc** 57,525
1,600 Storage Technology Corp** 56,000
950 Tech Data Corp** 38,238
-----------
231,363
-----------
COMPUTER SOFTWARE 1.65%
- ----------------------------------------------------------------
1,650 Sterling Software Inc** 42,488
-----------
INDUSTRIAL TECHNOLOGY 2.27%
- ----------------------------------------------------------------
3,450 UNOVA Inc** 58,434
-----------
TOTAL TECHNOLOGY
(Cost $454,564) 456,776
-----------
TRANSPORTATION 3.10%
- ----------------------------------------------------------------
TRANSPORTATION 3.10%
- ----------------------------------------------------------------
550 Airborne Freight Corp 14,678
700 Alaska Air Group Inc** 26,206
1,450 USFreightways Corp 38,969
-----------
79,853
-----------
TOTAL TRANSPORTATION
(Cost $84,124) 79,853
-----------
<CAPTION>
Shares or
Principal Market
Amount Value
- --------- -----------
<S> <C> <C>
UTILITIES 9.50%
- ----------------------------------------------------------------
ELECTRIC & GAS UTILITIES 9.50%
- ----------------------------------------------------------------
850 Baltimore Gas & Electric Co $ 26,084
775 BEC Energy 31,969
825 DTE Energy 35,991
1,200 Energy East Corp 63,675
1,000 Pinnacle West Capital Corp 45,562
1,050 Public Service Enterprise Group Inc 40,950
-----------
244,231
-----------
TOTAL UTILITIES
(Cost $210,836) 244,231
-----------
TOTAL COMMON STOCKS
(Cost $2,452,975) 2,459,542
-----------
MUTUAL FUNDS 4.52%
- ----------------------------------------------------------------
66,324 Dreyfus Cash Management Fund 66,324
50,000 Fidelity Institutional Money Market Fund 50,000
-----------
TOTAL MUTUAL FUNDS
(Cost $116,324) 116,324
-----------
</TABLE>
<TABLE>
<S> <C> <C>
TOTAL INVESTMENTS
(Cost $2,569,299) 100.14% $ 2,575,866
Liabilities in Excess of Other Assets (0.14%) (3,716)
--------------------
NET ASSETS 100.00% $ 2,572,150
--------------------
--------------------
</TABLE>
See Notes to Statements of Investments.
WESTCORE SMALL-CAP OPPORTUNITY FUND
November 30, 1998
<TABLE>
<CAPTION>
Shares or
Principal Market
Amount Value
- ---------- ----------
<C> <S> <C>
COMMON STOCKS 96.51%
- ----------------------------------------------------------------
BASIC INDUSTRIES 6.15%
- ----------------------------------------------------------------
COMMERCIAL CONSTRUCTION 4.05%
- ----------------------------------------------------------------
14,000 AFC Cable Systems Inc** $ 414,750
29,600 Lafarge Corp 1,097,050
15,300 Lone Star Industries Inc 1,158,019
37,640 Texas Industries Inc 1,089,208
----------
3,759,027
----------
METALS .70%
- ----------------------------------------------------------------
30,700 Citation Corp** 425,962
19,700 Hawk Corp** 226,550
----------
652,512
----------
PAPER & WOOD .75%
- ----------------------------------------------------------------
20,100 Chesapeake Corp 697,219
----------
RUBBER & PLASTICS .65%
- ----------------------------------------------------------------
50,100 Wellman Inc 607,463
----------
TOTAL BASIC INDUSTRIES
(Cost $6,301,881) 5,716,221
----------
CAPITAL GOODS 3.32%
- ----------------------------------------------------------------
ENGINEERING/CONSTRUCTION .84%
- ----------------------------------------------------------------
81,000 Morrison Knudsen Corp** 779,625
----------
MACHINE & TRUCK 1.60%
- ----------------------------------------------------------------
56,500 Varlen Corp 1,490,188
----------
MISCELLANEOUS PRODUCTION GOODS .88%
- ----------------------------------------------------------------
49,700 Anixter International Inc** 820,050
----------
TOTAL CAPITAL GOODS
(Cost $3,156,684) 3,089,863
----------
</TABLE>
26
<PAGE>
STATEMENTS OF WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
INVESTMENTS REPORT (UNAUDITED)
WESTCORE SMALL-CAP OPPORTUNITY FUND
November 30, 1998 (continued)
<TABLE>
<CAPTION>
Shares or
Principal Market
Amount Value
- ---------- ----------
<S> <C> <C>
CONSUMER CYCLICALS 7.16%
- ----------------------------------------------------------------
CONSUMER DURABLES .54%
- ----------------------------------------------------------------
28,600 LADD Furniture Inc** $ 500,500
----------
CONSUMER SOFT GOODS 1.25%
- ----------------------------------------------------------------
29,800 Maxwell Shoe Company Inc - Class A** 353,875
7,900 Oxford Industries Inc 805,613
----------
1,159,488
----------
MISCELLANEOUS CONSUMER CYCLICALS 1.46%
- ----------------------------------------------------------------
69,400 EKCO Group Inc** 255,913
21,400 Huffy Corp 310,300
45,700 Jan Bell Marketing Inc** 211,363
17,700 McClatchy Co 581,887
----------
1,359,463
----------
RESIDENTIAL CONSTRUCTION .96%
- ----------------------------------------------------------------
31,700 M.D.C. Holdings Inc 582,487
14,000 M/I Schottenstein Homes Inc 305,375
----------
887,862
----------
VEHICLES/ACCESSORIES 2.95%
- ----------------------------------------------------------------
13,600 Arvin Industries Inc 571,200
35,500 Monaco Coach Corp** 1,065,000
48,700 Tower Automotive Inc** 1,107,925
----------
2,744,125
----------
TOTAL CONSUMER CYCLICALS
(Cost $7,108,935) 6,651,438
----------
CONSUMER STAPLES 9.30%
- ----------------------------------------------------------------
DRUGS & MEDICAL PRODUCTS 2.70%
- ----------------------------------------------------------------
10,100 Bio-Rad Laboratories Inc - Class A** 214,625
16,300 Medco Research Inc** 330,075
35,200 PolyMedica Corp** 374,000
<CAPTION>
Shares or
Principal Market
Amount Value
- ---------- ----------
<S> <C> <C>
64,700 Roberts Pharmaceutical Corp** $1,585,150
----------
2,503,850
----------
FOOD/AGRICULTURE 6.60%
- ----------------------------------------------------------------
30,700 Ben & Jerry's Homemade Inc - Class A** 612,081
73,700 Chock full o' Nuts Corp** 488,263
54,700 Earthgrains Co 1,757,237
13,100 J. M. Smucker Co - Class A 304,575
38,000 Michael Foods Inc 954,750
80,700 Ralcorp Holdings Inc** 1,412,250
9,600 Suiza Foods Corp** 454,800
7,800 Worthington Foods Inc 147,712
----------
6,131,668
----------
TOTAL CONSUMER STAPLES
(Cost $7,741,434) 8,635,518
----------
ENERGY 1.42%
- ----------------------------------------------------------------
OIL & NATURAL GAS 1.42%
- ----------------------------------------------------------------
38,400 HS Resources Inc* 333,600
39,700 Offshore Logistics Inc** 493,769
36,700 Tesoro Petroleum Corp** 488,568
----------
1,315,937
----------
TOTAL ENERGY
(Cost $1,882,657) 1,315,937
----------
FINANCIALS 17.42%
- ----------------------------------------------------------------
BANKS/SAVINGS & LOANS 6.62%
- ----------------------------------------------------------------
8,500 Andover Bancorp Inc 273,063
25,300 Astoria Financial Corp 1,138,500
43,000 Downey Financial Corp 1,118,000
20,094 Delphi Financial Group Inc - Class A** 938,139
51,900 Golden State Bancorp Inc** 999,075
23,369 MAF Bancorp Inc 598,831
51,700 Riggs National Corp 1,085,700
----------
6,151,308
----------
<CAPTION>
Shares or
Principal Market
Amount Value
- ---------- ----------
<S> <C> <C>
INSURANCE 5.90%
- ----------------------------------------------------------------
40,100 Enhance Financial Services Group Inc $1,177,937
26,900 FBL Financial
Group Inc - Class A 659,050
27,950 Fremont General Corp 1,407,981
25,000 LandAmerica Financial
Group Inc 1,532,812
50,400 Reliance Group Holdings Inc 702,450
----------
5,480,230
----------
MISCELLANEOUS FINANCIAL 4.90%
- ----------------------------------------------------------------
20,900 Advest Group Inc 487,231
15,200 Chicago Title Corp 710,600
38,700 EVEREN Capital Corp 948,150
48,000 Heller Financial Inc 1,257,000
42,300 Rent-Way Inc** 1,147,387
----------
4,550,368
----------
TOTAL FINANCIALS
(Cost $15,493,495) 16,181,906
----------
SERVICES 24.25%
- ----------------------------------------------------------------
BUSINESS SERVICES 7.40%
- ----------------------------------------------------------------
69,300 Avis Rent A Car Inc** 1,459,631
38,700 Budget Group Inc** 483,750
62,400 CHS Electronics Inc** 924,300
14,300 Copart Inc** 330,688
42,800 French Fragrances Inc** 278,200
40,000 Mac-Gray Corp** 430,000
54,300 Personnel Group of
America Inc** 895,950
30,700 Pomeroy Computer
Resources Inc** 592,894
20,900 URS Corp** 424,532
35,300 World Color Press Inc** 1,050,176
----------
6,870,121
----------
MEDICAL & DENTAL 4.35%
- ----------------------------------------------------------------
53,193 Bindley Western Industries Inc 2,054,579
</TABLE>
27
<PAGE>
STATEMENTS OF WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
INVESTMENTS REPORT (UNAUDITED)
WESTCORE SMALL-CAP OPPORTUNITY FUND
November 30, 1998 (continued)
<TABLE>
<CAPTION>
Shares or
Principal Market
Amount Value
- ---------- ----------
<S> <C> <C>
25,300 Physician Reliance Network** $ 234,025
47,200 Trigon Healthcare Inc** 1,749,350
----------
4,037,954
----------
RETAIL STORES 10.71%
- ----------------------------------------------------------------
50,300 Ames Department Stores Inc** 1,194,625
13,300 Blair Corp 234,413
90,200 Cato Corp - Class A 1,223,337
55,000 Elder-Beerman Stores Corp** 794,063
31,400 Footstar Inc** 765,375
64,775 Fred's Inc 910,898
21,000 Goody's Family Clothing Inc** 236,250
26,000 Paul Harris Stores Inc** 354,250
22,100 REX Stores Corp** 265,200
56,630 ShopKo Stores Inc** 1,826,318
29,000 Value City Department
Stores Inc** 297,250
64,500 Zale Corp** 1,846,312
----------
9,948,291
----------
SANITATION .95%
- ----------------------------------------------------------------
258,800 Safety-Kleen Corp** 889,625
----------
889,625
----------
TRAVEL/RECREATION .84%
- ----------------------------------------------------------------
46,000 RARE Hospitality International Inc** 566,375
33,000 Servico Inc** 214,500
----------
780,875
----------
TOTAL SERVICES
(Cost $21,737,061) 22,526,866
----------
TECHNOLOGY 13.29%
- ----------------------------------------------------------------
AEROSPACE 5.27%
- ----------------------------------------------------------------
52,720 Cordant Technologies Inc 2,118,685
64,450 Ducommun Inc** 1,075,509
39,900 ESCO Electronics Corp** 394,013
21,300 Kaman Corp - Class A 346,125
<CAPTION>
Shares or
Principal Market
Amount Value
- ---------- ----------
<S> <C> <C>
27,800 Kellstrom Industries Inc** $ 684,575
6,800 Primex Technologies Inc 275,825
----------
4,894,732
----------
COMMUNICATIONS .10%
- ----------------------------------------------------------------
8,300 Periphonics Corp** 92,338
----------
COMPUTER HARDWARE 4.31%
- ----------------------------------------------------------------
31,900 Bel Fuse Inc - Class B** 749,650
25,300 NeoMagic Corp** 477,537
69,900 Read-Rite Corp** 939,281
43,000 Symantec Corp** 860,000
24,300 Tech Data Corp** 978,075
----------
4,004,543
----------
COMPUTER SOFTWARE 3.61%
- ----------------------------------------------------------------
25,700 Software Spectrum Inc** 446,538
71,300 Sterling Software Inc* 1,835,975
42,000 Wang Laboratories Inc** 1,071,000
----------
3,353,513
----------
TOTAL TECHNOLOGY
(Cost $12,021,012) 12,345,126
----------
TRANSPORTATION 1.37%
- ----------------------------------------------------------------
TRANSPORTATION 1.37%
- ----------------------------------------------------------------
10,000 Alaska Air Group Inc** 374,375
22,700 America West Holdings Corp - Class B** 320,637
12,300 MS Carriers Inc** 301,350
22,750 Rollins Truck Leasing Corp 273,000
----------
1,269,362
----------
TOTAL TRANSPORTATION
(Cost $1,616,914) 1,269,362
----------
UTILITIES/REITS 12.83%
- ----------------------------------------------------------------
ELECTRIC & GAS 6.33%
- ----------------------------------------------------------------
27,700 BEC Energy 1,142,625
<CAPTION>
Shares or
Principal Market
Amount Value
- ---------- ----------
<S> <C> <C>
16,140 Central Hudson Gas & Electric Corp $ 652,661
33,000 Cleco Corporation 1,128,188
20,700 Eastern Utilities Associates 511,031
33,000 Rochester Gas and Electric Corp 1,014,750
24,000 Southwest Gas Corp 570,000
7,700 TNP Enterprises Inc 292,600
11,300 United Illuminating Co 567,119
----------
5,878,974
----------
REITS 6.50%
- ----------------------------------------------------------------
24,500 Annaly Mortgage
Management Inc 208,250
28,700 Avalonbay Communities Inc 972,212
25,300 Bradley Real Estate Inc 523,394
54,000 EastGroup Properties Inc 1,002,375
35,700 Health Care REIT Inc 807,712
52,300 Innkeepers USA Trust 578,568
42,000 Liberty Property Trust 1,034,250
30,300 Parkway Properties Inc 914,681
----------
6,041,442
----------
TOTAL UTILITIES/REITs
(Cost $12,134,023) 11,920,416
----------
TOTAL COMMON STOCKS
(Cost $89,194,096) 89,652,653
----------
MUTUAL FUNDS 5.07%
- ----------------------------------------------------------------
3,711,210 Dreyfus Cash Management Fund 3,711,210
1,000,000 Fidelity Institutional Money Market Fund 1,000,000
----------
4,711,210
----------
TOTAL MUTUAL FUNDS
(Cost $4,711,210) 4,711,210
----------
</TABLE>
28
<PAGE>
STATEMENTS OF WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
INVESTMENTS REPORT (UNAUDITED)
WESTCORE SMALL-CAP OPPORTUNITY FUND
November 30, 1998 (continued)
<TABLE>
<CAPTION>
Shares or
Principal Market
Amount Value
- ---------- ----------
<S> <C> <C>
INVESTMENTS OF CASH COLLATERAL FOR SECURITIES
LOANED 2.90%
- ----------------------------------------------------------------
MUTUAL FUNDS 2.90%
- ----------------------------------------------------------------
454,436 AIM Liquid Assets Fund $ 454,436
900,761 AIM Prime Portfolio Fund 900,761
1,340,185 Provident Temp Fund 1,340,185
15 Provident TempCash Fund 15
----------
2,695,397
----------
TOTAL INVESTMENT OF CASH COLLATERAL FOR SECURITIES
LOANED
(Cost $2,695,397)
2,695,397
----------
</TABLE>
<TABLE>
<S> <C> <C>
TOTAL INVESTMENTS
(Cost $96,600,703) 104.48% $97,059,260
Liabilities in Excess of Other Assets (4.48%) (4,161,222)
--------------------
NET ASSETS 100.00% $92,898,038
--------------------
--------------------
</TABLE>
See Notes to Statements of Investments.
WESTCORE LONG-TERM BOND FUND
November 30, 1998
<TABLE>
<CAPTION>
Shares or
Principal Market
Amount Value
- ---------- ----------
<C> <S> <C>
CORPORATE BONDS 40.60%
- ----------------------------------------------------------------
FINANCIAL 18.81%
- ----------------------------------------------------------------
INSURANCE - MULTI-LINE 7.96%
- ----------------------------------------------------------------
$ 230,000 Aetna Services, Inc, 7.625%, 08/15/26 $ 238,711
250,000 Geico Corp, 9.15%, 09/15/21 284,799
250,000 Leucadia National Corp, 7.75%, 08/15/13 259,393
500,000 Lincoln National Insurance Corp, 9.125%,
10/01/24 573,024
300,000 Zurich Reinsurance Centre Holdings,
7.125%, 10/15/23 319,847
----------
1,675,774
----------
REITS 10.85%
- ----------------------------------------------------------------
100,000 Avalonbay Communities Inc, 6.50%,
07/15/03 96,727
100,000 Centerpoint Property Trust, 6.75%,
04/01/05 95,986
175,000 Equity Office Properties Trust, 6.625%,
02/15/05 172,810
250,000 ERP Operating Ltd Partnership, 7.57%,
08/15/26 259,838
300,000 Kimco Realty Corp, 6.83%, 11/14/05 292,017
150,000 Nationwide Health Property, 7.23%,
11/08/06 148,383
250,000 New Plan Realty Trust, 7.75%, 04/06/05 258,655
125,000 Price Development Co LP, 7.29%, 03/11/08 128,709
375,000 Property Trust of America, 6.875%,
02/15/08 380,466
250,000 Rouse Co, 8.50%, 01/15/03 270,761
175,000 Weingarten Realty Investors Trust,
7.22%, 06/01/05 182,265
----------
2,286,617
----------
TOTAL FINANCIAL
(Cost $3,737,464) 3,962,391
----------
<CAPTION>
Shares or
Principal Market
Amount Value
- ---------- ----------
<C> <S> <C>
INDUSTRIAL 15.09%
- ----------------------------------------------------------------
AEROSPACE & DEFENSE 2.64%
- ----------------------------------------------------------------
$ 250,000 Lockheed Martin Corp, 7.70%, 06/15/08 $ 281,970
260,000 Raytheon Co, 6.50%, 07/15/05 273,551
----------
555,521
----------
CHEMICALS 4.29%
- ----------------------------------------------------------------
500,000 Borden Inc, 7.875%, 02/15/23 449,399
400,000 Lubrizol Corp, 7.25%, 06/15/25 455,042
----------
904,441
----------
HOTELS - RESTAURANTS - LEISURE 2.69%
- ----------------------------------------------------------------
150,000 Circus Circus Enterprises Inc, 6.45%,
02/01/06 136,965
150,000 Hilton Hotels Corp, 7.95%, 04/15/07 154,455
175,000 Marriott International Inc, 6.875%,
11/15/05 175,930
50,000 Mirage Resorts Inc, 7.25%, 10/15/06 50,004
50,000 Mirage Resorts Inc, 6.75%, 08/01/07 48,307
----------
565,661
----------
MULTIMEDIA - PUBLISHING 3.06%
- ----------------------------------------------------------------
300,000 Cox Communications Inc, 7.625%, 06/15/25 344,372
275,000 Time Warner Inc, 7.25%, 10/15/17 300,230
----------
644,602
----------
RETAIL 2.41%
- ----------------------------------------------------------------
500,000 Kmart Corp, 7.95%, 02/01/23 507,794
----------
TOTAL INDUSTRIAL
(Cost $2,872,558) 3,178,019
----------
</TABLE>
29
<PAGE>
STATEMENTS OF WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
INVESTMENTS REPORT (UNAUDITED)
WESTCORE LONG-TERM BOND FUND
November 30, 1998 (continued)
<TABLE>
<CAPTION>
Shares or
Principal Market
Amount Value
- ---------- ----------
<S> <C> <C>
TRANSPORTATION 5.03%
- ----------------------------------------------------------------
AIR TRANSPORTATION - SCHEDULED 5.03%
- ----------------------------------------------------------------
$ 350,000 AMR Corp, 10.00%, 04/15/21 $ 447,701
323,474 Jet Equipment Trust Series 95-B, 7.83%,
02/15/15 (1) 351,536
225,944 United Airlines Pass-Through
Certificates 95-A1, 9.02%, 04/19/12 260,036
----------
1,059,273
----------
TOTAL TRANSPORTATION
(Cost $898,209) 1,059,273
----------
UTILITIES 1.67%
- ----------------------------------------------------------------
ELECTRIC & OTHER SERVICES COMBINED 0.95%
- ----------------------------------------------------------------
200,000 Pacificorp, 5.65%, 11/01/06 200,015
----------
NATURAL GAS 0.72%
- ----------------------------------------------------------------
150,000 KN Energy Inc, 7.25%, 03/01/28 151,563
----------
TOTAL UTILITIES
(Cost $349,010) 351,578
----------
TOTAL CORPORATE BONDS
(Cost $7,857,241) 8,551,261
----------
ASSET-BACKED SECURITIES, COLLATERALIZED MORTGAGE
OBLIGATIONS & MORTGAGE-BACKED SECURITIES 3.24%
- ----------------------------------------------------------------
MORTGAGE-BACKED SECURITIES 3.24%
- ----------------------------------------------------------------
386,094 FHLMC Pool #000336, 6.00%, 10/01/24 383,237
<CAPTION>
Shares or
Principal Market
Amount Value
- ---------- ----------
<S> <C> <C>
$ 291,740 FNMA Pool #303845, 7.00%, 05/01/11 $ 298,803
----------
682,040
----------
TOTAL ASSET-BACKED SECURITIES, COLLATERALIZED
MORTGAGE OBLIGATIONS & MORTGAGE-BACKED SECURITIES
(Cost $646,551)
682,040
----------
U.S. GOVERNMENT TREASURIES 50.35%
- ----------------------------------------------------------------
U.S. TREASURY NOTES/BONDS 33.13%
- ----------------------------------------------------------------
100,000 U.S. Treasury Note, 7.00%, 07/15/06 113,781
U.S. Treasury Bonds:
350,000 7.50%, 11/15/16 438,485
500,000 8.875%, 02/15/19 717,500
1,000,000 7.875%, 02/15/21 1,327,188
1,100,000 8.125%, 08/15/21 1,499,782
1,500,000 6.25%, 08/15/23 1,690,312
1,000,000 6.625%, 02/15/27 1,191,563
----------
6,978,611
----------
U.S. GOVERNMENT ZERO COUPON STRIPS 17.22%
- ----------------------------------------------------------------
4,000,000 08/15/11 2,065,392
2,350,000 08/15/18 800,532
2,500,000 08/15/20 761,855
----------
3,627,779
----------
TOTAL U.S. GOVERNMENT TREASURIES
(Cost $8,891,311)
10,606,390
----------
<CAPTION>
Shares or
Principal Market
Amount Value
- ---------- ----------
<S> <C> <C>
MUTUAL FUNDS 4.37%
- ----------------------------------------------------------------
920,353 Dreyfus Cash Management Fund $ 920,353
----------
TOTAL MUTUAL FUNDS
(Cost $920,353) 920,353
----------
</TABLE>
<TABLE>
<S> <C> <C>
TOTAL INVESTMENTS
(Cost $18,315,456) 98.56% $20,760,044
Other Assets in Excess of Liabilities 1.44% 303,169
--------------------
NET ASSETS 100.00% $21,063,213
--------------------
--------------------
</TABLE>
See Notes to Statements of Investments.
30
<PAGE>
STATEMENTS OF WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
INVESTMENTS REPORT (UNAUDITED)
WESTCORE INTERMEDIATE-TERM BOND FUND
November 30, 1998
<TABLE>
<CAPTION>
Shares or
Principal Market
Amount Value
- ---------- -----------
<C> <S> <C>
CORPORATE BONDS 56.00%
- -----------------------------------------------------------------
FINANCIAL 22.58%
- -----------------------------------------------------------------
INVESTMENT BANKING/BROKERAGE .92%
- -----------------------------------------------------------------
$ 400,000 Merrill Lynch & Co. Inc, 6.00%, 07/15/05 $ 407,144
-----------
INSURANCE - MULTI-LINE 3.08%
- -----------------------------------------------------------------
1,150,000 Aetna Services Inc, 7.125%, 08/15/06 1,207,340
150,000 Transamerica Financial Corp, 6.125%,
08/15/07 151,207
-----------
1,358,547
-----------
PERSONAL CREDIT INSTITUTIONS 1.68%
- -----------------------------------------------------------------
725,000 General Motors Acceptance Corp, 6.60%,
01/17/01 742,288
-----------
REITS 16.90%
- -----------------------------------------------------------------
300,000 Avalonbay Communities Inc, 6.50%,
07/15/03 290,182
550,000 Camden Property Trust, 6.625%, 02/15/01 545,786
400,000 Centerpoint Property Trust, 6.75%,
04/01/05 383,944
600,000 Corporate Property Investors, 7.75%,
08/15/04 (1) 643,706
500,000 Developers Diversified Realty Trust,
6.95%, 07/23/04 482,309
375,000 Evans Withycombe Residential Trust,
7.50%, 04/15/04 383,842
1,000,000 Kimco Realty Corp, 6.83%, 11/14/05 973,391
425,000 Nationwide Health Property Trust, 7.23%,
11/08/06 420,418
1,000,000 New Plan Realty Trust, 7.75%, 04/06/05 1,034,621
200,000 Price Develpment Co. LP, 7.29%, 03/11/08 205,934
<CAPTION>
Shares or
Principal Market
Amount Value
- ---------- -----------
<C> <S> <C>
$ 300,000 United Dominion Realty Trust Inc,
8.125%, 11/15/00 $ 301,785
750,000 Washington Real Estate Investment Trust,
7.125%, 08/13/03 755,234
1,000,000 Weingarten Realty Investors Trust,
7.22%, 06/01/05 1,041,514
-----------
7,462,666
-----------
TOTAL FINANCIAL
(Cost $9,792,360) 9,970,645
-----------
INDUSTRIAL 23.43%
- -----------------------------------------------------------------
AEROSPACE & DEFENSE 4.66%
- -----------------------------------------------------------------
790,000 Raytheon Co, 6.50%, 07/15/05 831,176
1,150,000 Rockwell International Corp, 6.625%,
06/01/05 1,226,176
-----------
2,057,352
-----------
FOOD, BEVERAGES & TOBACCO 1.16%
- -----------------------------------------------------------------
500,000 RJR Nabisco Inc, 8.625%, 12/01/02 511,336
-----------
HOTELS - RESTAURANTS - LEISURE 2.84%
- -----------------------------------------------------------------
350,000 Circus Circus Enterprises Inc, 6.45%,
02/01/06 319,584
425,000 Hilton Hotels Corp, 7.95%, 04/15/07 437,621
300,000 Marriott International Inc, 6.875%,
11/15/05 301,594
100,000 Mirage Resorts Inc, 7.25%, 10/15/06 100,007
100,000 Mirage Resorts Inc, 6.75%, 08/01/07 96,615
-----------
1,255,421
-----------
METALS 2.45%
- -----------------------------------------------------------------
1,000,000 CSR America Inc, 6.875%, 07/21/05 1,077,774
-----------
<CAPTION>
Shares or
Principal Market
Amount Value
- ---------- -----------
<C> <S> <C>
MULTIMEDIA - PUBLISHING 9.92%
- -----------------------------------------------------------------
$1,100,000 Cox Communications Inc, 6.375%, 06/15/00 $ 1,117,322
750,000 New York Times Co, 7.625%, 03/15/05 836,230
1,000,000 Time Warner Entertainment Co, 9.625%,
05/01/02 1,132,332
1,250,000 Walt Disney Co, 6.375%, 03/30/01 1,292,264
-----------
4,378,148
-----------
RETAIL 2.40%
- -----------------------------------------------------------------
1,000,000 Kmart Corp, 8.125%, 12/01/06 1,059,861
-----------
TOTAL INDUSTRIAL
(Cost $9,665,163) 10,339,892
-----------
TRANSPORTATION 7.91%
- -----------------------------------------------------------------
AIR TRANSPORTATION 7.91%
- -----------------------------------------------------------------
768,229 American Airlines Sr 1991, 9.71%,
01/02/07 858,338
474,463 Continental Airlines Pass-Through
Certificates, 7.75%, 07/02/14 510,914
998,150 Jet Equipment Trust Series 95-B, 7.83%,
02/15/15 (1) 1,084,738
903,777 United Airlines Pass-Through
Certificates 95-A1, 9.02%, 04/19/12 1,040,143
-----------
3,494,133
-----------
TOTAL TRANSPORTATION
(Cost $3,155,477) 3,494,133
-----------
UTILITIES 2.08%
- -----------------------------------------------------------------
ELECTRIC & OTHER SERVICES COMBINED 1.02%
- -----------------------------------------------------------------
450,000 Pacificorp, 5.65%, 11/01/06 450,034
-----------
</TABLE>
31
<PAGE>
STATEMENTS OF WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
INVESTMENTS REPORT (UNAUDITED)
WESTCORE INTERMEDIATE-TERM BOND FUND
November 30, 1998 (continued)
<TABLE>
<CAPTION>
Shares or
Principal Market
Amount Value
- ---------- -----------
<S> <C> <C>
NATURAL GAS 1.06%
- -----------------------------------------------------------------
$ 460,000 KN Energy Inc, 6.45%, 03/01/03 $ 466,573
-----------
TOTAL UTILITIES
(Cost $907,779) 916,607
-----------
TOTAL CORPORATE BONDS
(Cost $23,520,779) 24,721,277
-----------
ASSET-BACKED SECURITIES, COLLATERALIZED MORTGAGE
OBLIGATIONS & MORTGAGE-BACKED SECURITIES 18.20%
- -----------------------------------------------------------------
ASSET-BACKED SECURITIES 6.95%
- -----------------------------------------------------------------
500,000 American Express Master Trust, 5.90%,
04/15/04 511,497
California Infrastructure and Economic
Development Bank:
250,000 6.25%, 06/25/04 258,081
100,000 6.32%, 09/25/05 100,149
450,000 Ford Credit Auto Trust, 5.81%, 03/15/02 454,066
200,000 Household Auto Revolving Trust, 6.30%,
05/17/05(2) 200,000
340,000 Newcourt Equipment Trust, 5.24%,
12/20/02 339,456
Premier Auto Trust:
650,000 5.77%, 01/06/02 654,839
300,000 5.07%, 07/08/02 298,705
250,000 Union Acceptance Corp, 5.875%, 08/08/02 252,429
-----------
3,069,222
-----------
COLLATERALIZED MORTGAGE OBLIGATIONS .70%
- -----------------------------------------------------------------
293,513 Collateralized Mortgage Security Corp,
8.75%, 04/20/19 311,733
-----------
<CAPTION>
Shares or
Principal Market
Amount Value
- ---------- -----------
<S> <C> <C>
MORTGAGE-BACKED SECURITIES 10.55%
- -----------------------------------------------------------------
$1,602,289 FHLMC GP #000336, 6.00%, 10/01/24 $ 1,590,432
1,168,358 FNMA Pool #362443, 6.50%, 12/01/08 1,187,741
923,844 FNMA Pool #303845, 7.00%, 05/01/11 946,211
861,315 GNMA Pool #780019, 9.50%, 12/15/09 932,882
-----------
4,657,266
-----------
TOTAL ASSET-BACKED SECURITIES, COLLATERALIZED
MORTGAGE OBLIGATIONS & MORTGAGE-BACKED SECURITIES
(Cost $7,797,736)
8,038,221
-----------
U.S. GOVERNMENT TREASURIES 20.74%
- -----------------------------------------------------------------
U.S. Treasury Notes:
1,000,000 7.75%, 11/30/99(3) 1,029,688
1,000,000 5.875%, 02/15/00 1,013,750
1,500,000 6.875%, 03/31/00 1,542,187
500,000 6.75%, 04/30/00 514,062
2,250,000 6.25%, 04/30/01 2,332,969
2,000,000 7.875%, 08/15/01 2,161,876
500,000 7.25%, 08/15/04 562,656
-----------
9,157,188
-----------
TOTAL U.S. GOVERNMENT TREASURIES
(Cost $8,979,681)
9,157,188
-----------
<CAPTION>
Shares or
Principal Market
Amount Value
- ---------- -----------
<S> <C> <C>
MUTUAL FUNDS 3.22%
- -----------------------------------------------------------------
1,422,893 Dreyfus Cash Management Fund $ 1,422,893
-----------
TOTAL MUTUAL FUNDS
(Cost $1,422,893) 1,422,893
-----------
</TABLE>
<TABLE>
<S> <C> <C>
TOTAL INVESTMENTS
(Cost $41,721,089) 98.16% $43,339,579
Other Assets in Excess of Liabilities 1.84% 812,968
--------------------
NET ASSETS 100.00% $44,152,547
--------------------
--------------------
</TABLE>
See Notes to Statements of Investments.
32
<PAGE>
STATEMENTS OF WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
INVESTMENTS REPORT (UNAUDITED)
WESTCORE COLORADO TAX-EXEMPT FUND
November 30, 1998
<TABLE>
<CAPTION>
Shares or Bond
Principal Rating
Amount Moody's/S&P Market Value
- ---------- ------------- ------------
<C> <S> <C> <C>
CERTIFICATES OF PARTICIPATION 5.39%
- ---------------------------------------------------------------------------------
$ 100,000 Colorado State Board of Agriculture,
Certificate of Participation CSU
Research Foundation Master Lease
Purchase Agreement, 6.45%, 11/01/01,
Optional anytime @ 100.00, MBIA Aaa/AAA $ 102,308
500,000 Fremont County, Certificate of
Participation, Lease Purchase Agreement,
5.125%, 12/15/11, Optional anytime @
100.00, MBIA Aaa/AAA 522,135
500,000 Larimer County Certificate of
Participation Courthouse & Jail
Facilities Lease Purchase Agreement,
4.75%, 12/15/09, Optional anytime @
100.00 Aaa/AAA 511,625
100,000 Moffat County, Certificate of
Participation Public Safety Center
Project Lease Purchase Agreement, 4.75%,
06/01/09, Optional anytime @ 100.00,
AMBAC Aaa/AAA 102,411
250,000 State of Colorado, Certificate of
Participation Master Lease Purchase
Agreement II, 5.10%, 11/01/06, Optional
anytime @ 100.00, MBIA Aaa/AAA 266,578
510,000 Weld County, Certificate of
Participation Correctional Facilities
Lease Purchase Agreement, 5.35%,
08/01/10, Optional anytime @ 100.00,
MBIA Aaa/AAA 551,045
------------
TOTAL CERTIFICATES OF PARTICIPATION
(Cost $1,954,008) 2,056,102
------------
GENERAL OBLIGATION BONDS 61.05%
- ---------------------------------------------------------------------------------
COUNTY/CITY/SPECIAL DISTRICT/SCHOOL DISTRICT 61.05%
- ---------------------------------------------------------------------------------
100,000 Adams County School District 12, 7.25%,
12/15/09, Prerefunded 12/15/99 @ 100.00 NR/A+ 104,118
500,000 Adams County School District 14, 5.30%,
12/01/09, Optional 12/01/07 @ 101.00,
FSA Aaa/AAA 539,455
100,000 Adams & Arapahoe Counties Joint School
District 28J, 5.75%, 12/01/06, MBIA Aaa/AAA 111,233
<CAPTION>
Shares or Bond
Principal Rating
Amount Moody's/S&P Market Value
- ---------- ------------- ------------
<C> <S> <C> <C>
$ 100,000 Adams & Arapahoe Counties School
District 29J, 5.40%, 12/01/09, Optional
12/01/06 @ 100.00, MBIA Aaa/AAA $ 108,297
250,000 Adams & Weld Counties School District
27J, 5.55%, 12/01/09, Optional 12/01/06
@ 100.00, FGIC Aaa/AAA 270,620
125,000 Alamosa & Conejos Counties School
District Re-11J, 4.90%, 12/01/07,
Optional 12/01/05 @ 100.00, MBIA Aaa/AAA 131,266
100,000 Arapahoe County School District 1,
4.85%, 11/01/04, FSA Aaa/AAA 104,771
100,000 Arapahoe County School District 2,
6.75%, 12/01/04, Prerefunded 12/01/99 @
101.00 A\NR 104,571
25,000 Arapahoe County School District 2,
6.75%, 12/01/04, Escrowed to Maturity A\NR 28,737
Arapahoe County School District 5:
250,000 5.25%, 12/15/04, Optional 12/15/03 @
100.00 Aa2/AA 265,542
250,000 5.50%, 12/15/06 Aa2/AA 275,025
Arapahoe County School District 6:
250,000 5.50%, 12/01/06 Aa2/AA 274,928
1,000,000 5.00%, 12/01/07 Aa2/AA 1,068,740
250,000 Archuleta & Hinsdale Counties Joint
School District 50 JT, 5.50%, 12/01/14,
Optional 12/01/06 @ 101.00, MBIA Aaa/AAA 266,312
100,000 Basalt & Rural Fire Protection District,
Eagle & Pitkin Counties, 5.20%,
12/01/15, Optional 12/01/06 @ 100.00,
AMBAC Aaa/AAA 104,469
Boulder, Central Area General
Improvement District:
400,000 5.00%, 06/15/08, AMBAC Aaa/AAA 425,260
500,000 4.60%, 06/15/11, Optional 06/15/08 @
101.00, AMBAC Aaa/AAA 504,655
500,000 Boulder, Boulder County Parks, 5.125%,
12/15/09, Optional 12/15/06 @ 100.00
Boulder & Gilpin Counties, Aa1/AA 528,135
Boulder Valley School District Re-2:
250,000 5.55%, 12/01/03 Aa3/AA 269,525
100,000 5.50%, 12/01/05, FGIC Aaa/AAA 108,955
1,000,000 5.00%, 12/01/11, Optional 12/01/07 @
100.00, FGIC Aaa/AAA 1,039,100
</TABLE>
33
<PAGE>
STATEMENTS OF WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
INVESTMENTS REPORT (UNAUDITED)
WESTCORE COLORADO TAX-EXEMPT FUND
November 30, 1998 (continued)
<TABLE>
<CAPTION>
Shares or Bond
Principal Rating
Amount Moody's/S&P Market Value
- ---------- ------------- ------------
<S> <C> <C>
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 $ 106,628
175,000 5.80%, 12/15/07, Optional 12/15/02 @
101.00, MBIA Aaa/AAA 188,816
100,000 6.00%, 12/15/10, Optional 12/15/02 @
101.00, MBIA Aaa/AAA 108,246
205,000 Brighton, Adams County, Water, 6.625%,
12/01/11, Prerefunded 12/01/01 @ 101.00,
MBIA Aaa/AAA 224,231
250,000 Broomfield, Boulder, Jefferson, Adams &
Weld Counties, Water, 4.55%, 08/01/10,
Optional 08/01/08 @ 100.00, FSA Aaa/AAA 252,520
100,000 Carbondale & Rural Fire Protection
District, Garfield, Gunnison & Pitkin
Counties, 5.20%, 12/01/10, Optional
12/01/04 @ 101.00, AMBAC Aaa/AAA 106,069
150,000 Chaffee County School District R-31,
5.10%, 12/01/09, Optional 12/01/06 @
100.00, FSA Aaa/AAA 158,865
425,000 Chaffee & Fremont Counties School
District R-32J, 5.00%, 12/01/12,
Optional 12/01/07 @ 100.00, FSA Aaa/AAA 445,073
250,000 Clear Creek County School District Re-1,
5.40%, 12/01/11,Optional 12/01/05 @
100.00, MBIA Aaa/AAA 267,380
Colorado Springs, El Paso County:
125,000 6.60%, 09/01/00, Prerefunded 09/01/99
@ 100.00 NR/AAA 128,256
250,000 5.00%, 09/01/06, Optional 09/01/03 @
100.00 Aa3/AA- 260,160
Douglas & Elbert Counties School
District Re-1:
250,000 5.75%, 12/15/05, Optional 12/15/01 @
101.00, FGIC Aaa/AAA 266,038
250,000 6.15%, 12/15/08, Optional 12/15/04 @
101.00, MBIA Aaa/AAA 279,417
Eagle, Garfield & Routt Counties
School District Re-50J:
85,000 5.60%, 12/01/01, FGIC Aaa/AAA 89,748
<CAPTION>
Shares or Bond
Principal Rating
Amount Moody's/S&P Market Value
- ---------- ------------- ------------
<S> <C> <C>
$ 200,000 5.75%, 12/01/03, Optional 12/01/02 @
100.00, FGIC Aaa/AAA $ 214,048
100,000 El Paso County School District 2, 5.70%,
12/01/14, Optional 12/01/05 @ 100.00 Aa3/NR 105,725
125,000 El Paso County School District 3, 6.20%,
12/15/00, Optional 12/15/98 @ 101.00,
MBIA Aaa/AAA 128,020
500,000 El Paso County School District 11,
5.50%, 12/01/14, Optional 12/01/07 @
103.00 Aa3/AA 542,050
El Paso County School District 12:
80,000 5.90%, 09/15/04 Aa1/NR 88,314
400,000 4.50%, 09/15/09, Optional 09/15/08 @
100.00 Aa1/NR 411,472
500,000 4.70%, 09/15/14, Optional 09/15/08 @
100.00 Aa1/NR 508,930
250,000 El Paso County School District 20,
5.70%, 12/15/06, FGIC Aaa/AAA 277,343
125,000 El Paso County School District 49,
6.75%, 12/01/04, Optional 12/01/00 @
100.00, MBIA Aaa/AAA 132,625
200,000 Fort Collins, Larimer County, Water,
5.55%, 12/01/03, Optional 12/01/02 @
101.00 Aa1/AA 214,296
250,000 Fruita, Mesa County, 4.75%, 10/01/06,
Optional 10/01/04 @ 100.00, MBIA Aaa/AAA 258,740
250,000 Garfield County School District Re-2,
4.50%, 12/01/11, Optional 12/01/07 @
100.00, FSA Aaa/AAA 252,955
Garfield, Pitkin & Eagle Counties
Roaring Fork School District Re-1:
500,000 5.125%, 12/15/10, Optional 12/15/05 @
102.00, MBIA Aaa/AAA 526,410
250,000 6.60%, 12/15/14, Prerefunded 06/15/04
@ 101.00, MBIA Aaa/AAA 285,362
625,000 Goldsmith Metropolitan District,
Arapahoe & Denver Counties, 6.50%,
12/01/03, Prerefunded 12/01/99 @ 101.00,
MBIA Aaa/AAA 652,094
500,000 Grand County, East Grand School District
2, 5.00%, 12/01/17, Optional 12/01/08 @
100.00, AMBAC Aaa/AAA 504,215
</TABLE>
34
<PAGE>
STATEMENTS OF WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
INVESTMENTS REPORT (UNAUDITED)
WESTCORE COLORADO TAX-EXEMPT FUND
November 30, 1998 (continued)
<TABLE>
<CAPTION>
Shares or Bond
Principal Rating
Amount Moody's/S&P Market Value
- ---------- ------------- ------------
<S> <C> <C>
$ 150,000 Gunnison & Saguache Counties Watershed
School District Re-1J, 6.00%, 12/01/05,
MBIA Aaa/AAA $ 167,777
Jefferson County School District R-1:
100,000 5.75%, 12/15/03, Prerefunded 12/15/02
@ 101.00, AMBAC Aaa/AAA 108,451
500,000 5.90%, 12/15/04, Prerefunded 12/15/02
@ 101.00, AMBAC Aaa/AAA 545,050
250,000 Lafayette, Boulder County 4.75%,
12/15/10, Optional 12/15/08 @ 100.00,
FGIC Aaa/AAA 259,093
250,000 La Plata County School District 9-R,
5.25%, 11/01/05, MBIA Aaa/AAA 268,405
Larimer County, Poudre School
District R-1:
125,000 7.00%, 12/15/08, Prerefunded 12/15/01
@ 101.00 NR\NR 137,769
250,000 5.00%, 12/15/16, Optional 12/15/08 @
100.00, FSA Aaa/AAA 252,552
500,000 Larimer, Weld, & Boulder Counties,
Thompson School District R2-J, 5.40%,
12/15/13, Optional 06/15/07 @ 101.00,
FGIC Aaa/AAA 528,170
100,000 Longmont, Boulder County, 5.15%,
09/01/99, MBIA Aaa/AAA 101,551
Mesa County Valley School District 51:
250,000 4.80%, 12/01/05, MBIA Aaa/AAA 261,893
500,000 5.40%, 12/01/12, Optional 12/01/06 @
101.00, MBIA Aaa/AAA 531,110
150,000 Montezuma County School District Re-4A,
5.10%, 12/01/10, Optional 12/01/07 @
101.00, MBIA Aaa/AAA 160,263
250,000 Northglenn, Adams County, Water, 5.50%,
12/01/06, Optional 12/01/04 @ 101.00,
FSA Aaa/AAA 270,555
100,000 Otero County, East Otero School District
R-1, 5.05%, 12/15/09, Optional 12/15/05
@ 100.00, FSA Aaa/AAA 105,283
100,000 Pitkin County School District Re-1,
5.50%, 11/15/00, AMBAC Aaa/AAA 103,835
<CAPTION>
Shares or Bond
Principal Rating
Amount Moody's/S&P Market Value
- ---------- ------------- ------------
<S> <C> <C>
$1,000,000 Poudre Valley Hospital District, Larimer
County, 5.375%, 11/15/07, Optional
11/15/03 @ 100.00 Aa/AA- $ 1,053,450
Pueblo, Pueblo County Limited Tax:
200,000 5.80%, 06/01/11, Optional 06/01/06 @
100.00, MBIA Aaa/AAA 219,656
250,000 6.00%, 06/01/16, Optional 06/01/06 @
100.00, MBIA Aaa/AAA 273,987
225,000 Pueblo County School District 70, 5.00%,
12/01/11, Optional 12/01/07 @ 100.00,
AMBAC Aaa/AAA 233,253
150,000 Rio Grande County School District C-8,
5.35%, 11/15/11, Optional 11/15/05 @
100.00, FSA Aaa/AAA 159,400
Routt County School District Re-2:
75,000 5.00%, 12/01/05, Optional 12/01/03 @
100.00, FGIC Aaa/AAA 78,232
250,000 5.05%, 12/01/13, Optional 12/01/07 @
100.00, MBIA Aaa/AAA 257,065
100,000 San Miguel & Montrose Counties, School
District R-2J, 5.00%, 12/01/12, Optional
12/01/07 @ 100.00, MBIA Aaa/AAA 104,572
250,000 San Miguel County School District R-1,
5.50%, 12/01/12, Optional 12/01/05 @
101.00, MBIA Aaa/AAA 266,818
250,000 South Suburban Park and Recreation
District, Arapahoe, Douglas & Jefferson
Counties, 5.00%, 12/15/12, Optional
12/15/08 @ 100.00, FGIC Aaa/AAA 257,762
250,000 Thornton, Adams County, Water, 6.00%,
12/01/05, Optional 12/01/02 @ 101.00,
FGIC Aaa/AAA 271,425
135,000 Three Lakes Water & Sanitation District,
Grand County Limited Tax, 6.00%,
06/01/00, Optional 12/01/98 @ 101.00,
MBIA Aaa/AAA 138,171
115,000 Upper San Juan Hospital District,
Archuleta, Hinsdale & Mineral Counties,
4.65%, 11/01/13, Optional 11/01/07 @
100.00, MBIA Aaa/AAA 115,918
</TABLE>
35
<PAGE>
STATEMENTS OF WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
INVESTMENTS REPORT (UNAUDITED)
WESTCORE COLORADO TAX-EXEMPT FUND
November 30, 1998 (continued)
<TABLE>
<CAPTION>
Shares or Bond
Principal Rating
Amount Moody's/S&P Market Value
- ---------- ------------- ------------
<S> <C> <C>
$ 150,000 Weld County School District Re-4, 5.30%,
12/01/10, Optional 12/01/05 @ 100.00,
MBIA Aaa/AAA $ 159,003
Weld County School District 6:
250,000 5.50%, 12/01/06 Aa3/AA 274,567
250,000 5.20%, 12/01/10, Optional 12/01/07 @
101.00 Aa3/AA 266,810
100,000 Woodland Park, Teller County, 6.30%,
07/01/08, Optional 07/01/00 @ 101.00,
FGIC Aaa/AAA 105,068
125,000 Woodmoor Water & Sanitation District 1,
El Paso County, 6.20%, 12/01/00,
Optional 12/01/98 @ 100.00, MBIA Aaa/AAA 125,010
250,000 Wray Community Hospital District, Yuma
County, 5.00%, 10/15/11, Optional
10/15/04 @ 100.00, AMBAC Aaa/AAA 258,502
250,000 Yuma Hospital District, Yuma County,
4.95%, 11/01/14, Optional 11/01/07 @
100.00, MBIA Aaa/AAA 258,368
------------
TOTAL GENERAL OBLIGATION BONDS
(Cost $22,300,664) 23,296,554
------------
REVENUE BONDS 27.43%
- ---------------------------------------------------------------------------------
EDUCATION 1.24%
- ---------------------------------------------------------------------------------
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 104,976
100,000 University of Colorado Board of Regents,
Auxiliary Facilities, 6.50%, 06/01/01,
Prerefunded 06/01/00 @ 101.00 A1/NR 105,369
250,000 University of Northern Colorado Board of
Trustees, Auxiliary Facilities System,
5.00%, 06/01/03, MBIA Aaa/AAA 261,888
------------
472,233
------------
<CAPTION>
Shares or Bond
Principal Rating
Amount Moody's/S&P Market Value
- ---------- ------------- ------------
<S> <C> <C>
PUBLIC FACILITIES 0.57%
- ---------------------------------------------------------------------------------
$ 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 $ 215,880
------------
215,880
------------
SPECIAL TAX 10.68%
- ---------------------------------------------------------------------------------
500,000 Boulder County Open Space Sales & Use
Tax, 5.75%, 12/15/04, FGIC Aaa/AAA 548,225
250,000 Boulder Urban Renewal Authority Tax
Increment, 6.00%, 03/01/02, Optional
03/01/00 @ 101.00, MBIA Aaa/AAA 259,820
250,000 Breckenridge, Summit County Excise Tax,
5.20%, 12/01/01, Optional 12/01/00 @
101.00, MBIA Aaa/AAA 259,990
50,000 Brighton, Adams County Sales & Use Tax
Revenue, 4.70%, 12/01/03, FGIC Aaa/AAA 51,968
200,000 Castle Rock, Douglas County Sales & Use
Tax, 5.25%, 06/01/06, FSA Aaa/AAA 215,128
100,000 Commerce City, Adams County Sales & Use
Tax, 5.375%, 08/01/07, Optional 08/01/03
@ 101.00, MBIA Aaa/AAA 106,102
250,000 Douglas County Sales & Use Tax, 5.25%,
10/15/07, Optional 10/15/06 @ 100.00,
MBIA Aaa/AAA 268,475
500,000 Fort Collins, Larimer County Sales & Use
Tax, 4.90%, 06/01/01, FGIC Aaa/AAA 514,975
250,000 Greeley, Weld County Sales & Use Tax,
4.80%, 10/01/15, Optional 10/01/08 @
100.00, MBIA Aaa/AAA 249,470
150,000 Ignacio, La Plata County Sales Tax,
4.75%, 12/01/09, AMBAC Aaa/AAA 155,601
150,000 Lafayette, Boulder County Sales & Use
Tax, 6.40%, 11/15/04, Prerefunded
11/15/01 @ 100.00, AMBAC Aaa/AAA 161,740
250,000 Lakewood, Jefferson County Sales & Use
Tax 4.70%, 12/01/12, Optional 12/01/09 @
100.00 NR/AA 249,645
</TABLE>
36
<PAGE>
STATEMENTS OF WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
INVESTMENTS REPORT (UNAUDITED)
WESTCORE COLORADO TAX-EXEMPT FUND
November 30, 1998 (continued)
<TABLE>
<CAPTION>
Shares or Bond
Principal Rating
Amount Moody's/S&P Market Value
- ---------- ------------- ------------
<S> <C> <C>
$ 100,000 Las Animas County Sales & Use Tax,
4.75%, 12/01/06, Asset Guaranty NR/AA $ 102,747
250,000 Louisville, Boulder County Sales Tax
Revenue 4.85%, 12/01/04, Optional
12/01/03 @ 101.00, FSA Aaa/AAA 262,193
150,000 Montrose, Montrose County General Fund
Excise Tax Revenue, 5.00%, 12/01/17,
Optional 12/01/08 @ 100.00, AMBAC Aaa/AAA 153,318
250,000 Thornton, Adams County Sales & Use Tax,
4.75%, 03/01/07, AMBAC Aaa/AAA 260,555
250,000 Vail, Eagle County Sales Tax Revenue,
4.40%, 12/01/09, Optional 12/01/08 @
100.00, MBIA Aaa/AAA 253,517
------------
4,073,469
------------
TRANSPORTATION 0.69%
- ---------------------------------------------------------------------------------
250,000 Colorado Springs, El Paso County Airport
System, 5.10%, 01/01/10, Optional
01/01/06 @ 101.00, MBIA Aaa/AAA 261,618
------------
261,618
------------
UTILITY 14.25%
- ---------------------------------------------------------------------------------
150,000 Berthoud, Larimer & Weld Counties, Water
Enterprise, 5.00%, 10/15/09, Optional
10/15/07 @ 100.00, FSA Aaa/AAA 158,466
Boulder, Boulder County Water & Sewer:
75,000 5.75%, 12/01/06, Optional 12/01/02 @
100.00 Aa/AA 80,096
500,000 5.50%, 12/01/11, Optional 12/01/06 @
100.00 Aa/AA 536,065
250,000 Central Weld County Water District,
5.25%, 12/01/05, Optional 12/01/03 @
100.00, MBIA Aaa/AAA 264,622
Colorado Springs, El Paso County
Utilities Systems:
100,000 6.40%, 11/15/02, Optional 11/15/01 @
102.00 Aa2/AA 109,068
250,000 5.75%, 11/15/10, Optional 11/15/06 @
100.00 Aa2/AA 274,560
<CAPTION>
Shares or Bond
Principal Rating
Amount Moody's/S&P Market Value
- ---------- ------------- ------------
<S> <C> <C>
$ 200,000 Colorado Water Resources and Power
Development Authority, Clean Water 1998
Series B Project Loan Subaccount for
Colorado Springs, 5.00%, 09/01/08 Aaa/AAA $ 213,508
250,000 Fort Collins, Larimer County Wastewater
Utility Enterprise Sewer, 5.375%,
12/01/09, Optional 12/01/05 @ 100.00,
FGIC Aaa/AAA 265,793
100,000 Lafayette, Boulder County Sewer, 4.95%,
09/01/05, FGIC Aaa/AAA 105,871
500,000 Little Thompson Water District, Larimer,
Weld & Boulder Counties, 5.50%,
12/01/11, Optional 12/01/05 @ 101.00,
MBIA Aaa/AAA 540,920
500,000 Mesa County, Sewer, 5.85%, 11/01/05,
Optional 11/01/02 @ 100.00, FGIC Aaa/AAA 533,565
500,000 Metropolitan Denver Sewage Disposal
District 1, Sewer 5.45%, 04/01/03,
Escrowed to Maturity Aaa/AAA 532,670
Municipal Subdistrict, Northern Colorado
Water Conservancy District:
500,000 5.85%, 12/01/02, AMBAC Aaa/AAA 538,690
250,000 5.25%, 12/01/15, Optional 12/01/07 @
100.00, AMBAC Aaa/AAA 259,962
Platte River Power Authority:
100,000 5.75%, 06/01/04, Optional 06/01/02 @
102.00 Aa3/A+ 107,578
500,000 5.75%, 06/01/04, MBIA Aaa/AAA 544,380
250,000 Ute Water Conservancy District, Mesa
County, 4.80%, 06/15/02, MBIA Aaa/AAA 258,628
100,000 Westminster, Adams County Water &
Wastewater Utility Enterprise, 6.25%,
12/01/14, Optional 12/01/04 @ 100.00,
AMBAC Aaa/AAA 111,057
------------
5,435,499
------------
TOTAL REVENUE BONDS
(Cost $10,034,247) 10,458,699
------------
</TABLE>
37
<PAGE>
STATEMENTS OF WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
INVESTMENTS REPORT (UNAUDITED)
WESTCORE COLORADO TAX-EXEMPT FUND
November 30, 1998 (continued)
<TABLE>
<CAPTION>
Shares or Bond
Principal Rating
Amount Moody's/S&P Market Value
- ---------- ------------- ------------
<S> <C> <C>
MUTUAL FUNDS 2.89%
- ---------------------------------------------------------------------------------
1,104,296 Dreyfus Municipal Money Market Fund $ 1,104,296
------------
TOTAL MUTUAL FUNDS
(Cost $1,104,296) 1,104,296
------------
</TABLE>
<TABLE>
<S> <C> <C>
TOTAL INVESTMENTS
(Cost $35,393,215) 96.76% $ 36,915,651
Other Assets in Excess of Liabilities 3.24% 1,239,735
------------------------
NET ASSETS 100.00% $ 38,155,386
------------------------
------------------------
</TABLE>
Notes to Statements of Investments
- ----------------------------------
** Non-income producing security.
(1) Security exempt from registration under Rule 144A of the Securities Act of
1933. These securities may be resold in transactions exempt from registration,
normally to qualified institutional buyers.
(2) When-issued security settling 12/3/98.
(3) $308,812 of this amount is segregated to fulfill the Fund's commitment to
when-issued securities.
38
<PAGE>
STATEMENTS OF ASSETS WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
AND LIABILITIES REPORT (UNAUDITED)
<TABLE>
<CAPTION>
Westcore Westcore Westcore Westcore Westcore
Westcore Growth Blue Mid-Cap Small-Cap Long-Term
MIDCO Growth and Income Chip Opportunity Opportunity Bond
Fund Fund Fund Fund Fund Fund
------------ ----------- ----------- ----------- ----------- -----------
<S> <C> <C> <C> <C> <C> <C>
ASSETS
Investments, at value
(cost - see below) $525,428,480 $12,862,335 $68,141,550 $2,575,866 $97,059,260 $20,760,044
- see accompanying statements
Receivable for investments sold 2,740,929 0 0 77,246 710,743 0
Dividends and interest receivable 298,522 15,039 87,784 2,475 82,405 278,911
Receivable for fund shares subscribed 106,677 338 1,227,547 2,050 74,912 56,319
Organizational costs, net of accumulated
amortization 0 0 0 0 1,136 0
Prepaid and other assets 258,090 7,984 19,398 32,152 26,897 7,141
- ----------------------------------------------------------------------------------------------------------------------------
Total Assets 528,832,698 12,885,696 69,476,279 2,689,789 97,955,353 21,102,415
- ----------------------------------------------------------------------------------------------------------------------------
LIABILITIES
Collateral received from broker 29,001,400 0 684,500 0 2,693,000 0
Payable for investments purchased 3,512,709 0 70,169 80,029 1,668,046 0
Payable for fund shares redeemed 28,969,394 4,846 136,583 390 592,636 8,539
Payable for investment advisory fee 265,301 0 31,909 0 59,982 4,015
Payable for administration fee 122,446 1,714 16,673 0 22,672 4,835
Payable for trustees fees 177,934 4,897 11,228 118 4,867 4,761
Other payables 784,773 33,223 37,629 37,102 16,112 17,052
- ----------------------------------------------------------------------------------------------------------------------------
Total Liabilities 62,833,957 44,680 988,691 117,639 5,057,315 39,202
- ----------------------------------------------------------------------------------------------------------------------------
NET ASSETS $465,998,741 $12,841,016 $68,487,588 $2,572,150 $92,898,038 $21,063,213
- ----------------------------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------------------------
COMPOSITION OF NET ASSETS
Paid-in capital $289,709,199 $6,655,158 $42,157,807 $2,618,067 $90,567,639 $18,395,360
(Over)/Undistributed net investment income (2,479,672 ) (186,609 ) (58,851 ) (3,280 ) 101,941 20,033
Accumulated net realized gain (loss) on
investment transactions 54,997,950 1,286,278 10,127,046 (49,204 ) 1,769,901 203,232
Net unrealized appreciation on investments 123,771,264 5,086,189 16,261,586 6,567 458,557 2,444,588
- ----------------------------------------------------------------------------------------------------------------------------
NET ASSETS $465,998,741 $12,841,016 $68,487,588 $2,572,150 $92,898,038 $21,063,213
- ----------------------------------------------------------------------------------------------------------------------------
NET ASSET VALUE PER SHARE
Net Assets $465,998,741 $12,841,016 $68,487,588 $2,572,150 $92,898,038 $21,063,213
Shares of beneficial interest outstanding 23,711,564 990,286 3,786,084 236,013 4,106,710 1,964,581
Net asset value and redemption price per
share $19.65 $12.97 $18.09 $10.90 $22.62 $10.72
- ----------------------------------------------------------------------------------------------------------------------------
COST OF INVESTMENTS $401,657,216 $7,776,146 $51,879,964 $2,569,299 $96,600,703 $18,315,456
<CAPTION>
Westcore Westcore
Intermediate- Colorado
Term Bond Tax-Exempt
Fund Fund
----------- -----------
<S> <C> <C>
ASSETS
Investments, at value
(cost - see below) $43,339,579 $36,915,651
- see accompanying statements
Receivable for investments sold 0 0
Dividends and interest receivable 621,410 753,176
Receivable for fund shares subscribed 441,603 507,483
Organizational costs, net of accumulated
amortization 0 0
Prepaid and other assets 27,497 10,765
- --------------------------------------------- ------------------------
Total Assets 44,430,089 38,187,075
- --------------------------------------------- ------------------------
LIABILITIES
Collateral received from broker 0 0
Payable for investments purchased 199,469 0
Payable for fund shares redeemed 13,580 0
Payable for investment advisory fee 11,033 0
Payable for administration fee 10,529 7,714
Payable for trustees fees 15,831 3,345
Other payables 27,100 20,630
- --------------------------------------------- ------------------------
Total Liabilities 277,542 31,689
- --------------------------------------------- ------------------------
NET ASSETS $44,152,547 $38,155,386
- --------------------------------------------- ------------------------
- --------------------------------------------- ------------------------
COMPOSITION OF NET ASSETS
Paid-in capital $43,839,569 $36,642,496
(Over)/Undistributed net investment income 42,884 27,484
Accumulated net realized gain (loss) on
investment transactions (1,348,396 ) (37,030 )
Net unrealized appreciation on investments 1,618,490 1,522,436
- --------------------------------------------- ------------------------
NET ASSETS $44,152,547 $38,155,386
- --------------------------------------------- ------------------------
NET ASSET VALUE PER SHARE
Net Assets $44,152,547 $38,155,386
Shares of beneficial interest outstanding 4,182,625 3,398,712
Net asset value and redemption price per
share $10.56 $11.23
- --------------------------------------------- ------------------------
COST OF INVESTMENTS $41,721,089 $35,393,215
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
39
<PAGE>
STATEMENTS OF WESTCORE FUNDS SEMI-ANNUAL SIX MONTHS ENDED NOVEMBER
OPERATIONS REPORT 30, 1998 (UNAUDITED)
<TABLE>
<CAPTION>
Westcore Westcore Westcore Westcore Westcore
Westcore Growth Blue Mid-Cap Small-Cap Long-Term
MIDCO Growth and Income Chip Opportunity Opportunity Bond
Fund Fund Fund Fund* Fund Fund
------------- ------------ ------------ ------------ ------------- -----------
<S> <C> <C> <C> <C> <C> <C>
INVESTMENT INCOME
Dividends $ 631,785 $ 75,500 $ 434,702 $ 811 $ 476,053 $ 0
Interest 695,675 14,435 68,830 1,021 134,575 636,559
Other Income 83,510 1,373 4,857 0 34,603 0
- ------------------------------------------------------------------------------------------------------------------------
Total Income 1,410,970 91,308 508,389 1,832 645,231 636,559
- ------------------------------------------------------------------------------------------------------------------------
EXPENSES
Investment advisory fees 1,657,269 44,450 224,986 3,067 395,213 44,825
Administrative fees 764,893 20,515 103,840 1,227 118,564 29,883
Transfer agent fees 180,350 23,650 29,495 793 23,900 6,445
Fund accounting fees and
expenses 70,800 17,350 15,695 4,880 17,300 15,815
Legal fees 95,200 4,055 16,360 30,718 10,220 4,550
Printing expenses 43,600 2,730 7,280 305 8,190 910
Registration fees 2,730 6,370 10,010 2,440 9,241 8,190
Audit fees 10,160 4,640 6,370 1,647 4,625 4,625
Custodian fees 32,700 5,880 7,670 183 20,155 2,730
Amortization of organization
costs 0 0 0 0 8,522 0
Insurance 12,369 0 2,768 122 924 924
Trustee fees and expenses 25,741 950 3,785 183 3,891 952
Other 0 0 540 183 552 0
- ------------------------------------------------------------------------------------------------------------------------
Total expenses before waivers 2,895,812 130,590 428,799 45,748 621,297 119,849
Expenses waived by:
Investment adviser (33,527) (44,450) (28,553) (3,067) (102,119) (23,004)
Administrators (2,473) (7,456) (2,095) (1,227) (5,359) (2,172)
Expenses reimbursed by:
Investment adviser 0 0 0 (36,342) 0 0
- ------------------------------------------------------------------------------------------------------------------------
Net Expenses 2,859,812 78,684 398,151 5,112 513,819 94,673
- ------------------------------------------------------------------------------------------------------------------------
NET INVESTMENT INCOME/(LOSS) (1,448,842) 12,624 110,238 (3,280) 131,412 541,886
- ------------------------------------------------------------------------------------------------------------------------
REALIZED AND UNREALIZED
GAIN/(LOSS) ON INVESTMENTS:
Net realized gain/(loss) from
investment transactions (3,916,989) (1,016,001) 3,844,645 (49,204) (3,422,361) 172,364
Unrealized appreciation on
investments
Beginning of period 143,835,335 4,999,146 23,180,332 (255,667) 8,993,390 1,945,921
End of period 123,771,264 5,086,189 16,261,586 6,567 458,557 2,444,588
Change in net unrealized
appreciation or depreciation
of investments (20,064,071) 87,043 (6,918,746) 262,234 (8,534,833) 498,667
- ------------------------------------------------------------------------------------------------------------------------
NET REALIZED AND UNREALIZED
GAIN/(LOSS) ON INVESTMENTS (23,981,060) (928,958) (3,074,101) 213,030 (11,957,194) 671,031
- ------------------------------------------------------------------------------------------------------------------------
NET INCREASE (DECREASE) IN NET
ASSETS RESULTING FROM
OPERATIONS $(25,429,902) $ (916,334) $(2,963,863) $ 209,750 $(11,825,782) $1,212,917
- ------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------
<CAPTION>
Westcore Westcore
Intermediate- Colorado
Term Bond Tax-Exempt
Fund Fund
----------- -----------
<S> <C> <C>
INVESTMENT INCOME
Dividends $ 0 $ 0
Interest 1,589,614 855,999
Other Income 0 0
- -------------------------------------------------------
Total Income 1,589,614 855,999
- -------------------------------------------------------
EXPENSES
Investment advisory fees 109,798 89,114
Administrative fees 73,198 53,468
Transfer agent fees 10,160 6,550
Fund accounting fees and
expenses 14,980 21,260
Legal fees 10,920 8,190
Printing expenses 2,745 4,550
Registration fees 6,370 0
Audit fees 7,400 5,610
Custodian fees 2,730 2,775
Amortization of organization
costs 0 0
Insurance 47 918
Trustee fees and expenses 2,857 1,867
Other 0 540
- -------------------------------------------------------
Total expenses before waivers 241,205 194,842
Expenses waived by:
Investment adviser (30,774) (89,114)
Administrators (2,909) (15,657)
Expenses reimbursed by:
Investment adviser 0 0
- -------------------------------------------------------
Net Expenses 207,522 90,071
- -------------------------------------------------------
NET INVESTMENT INCOME/(LOSS) 1,382,092 765,928
- -------------------------------------------------------
REALIZED AND UNREALIZED
GAIN/(LOSS) ON INVESTMENTS:
Net realized gain/(loss) from
investment transactions 386,630 8,669
Unrealized appreciation on
investments
Beginning of period 1,682,395 1,030,648
End of period 1,618,490 1,522,436
Change in net unrealized
appreciation or depreciation
of investments (63,905) 491,788
- -------------------------------------------------------
NET REALIZED AND UNREALIZED
GAIN/(LOSS) ON INVESTMENTS 322,725 500,457
- -------------------------------------------------------
NET INCREASE (DECREASE) IN NET
ASSETS RESULTING FROM
OPERATIONS $1,704,817 $1,266,385
- -------------------------------------------------------
- -------------------------------------------------------
</TABLE>
* For the period October 1, 1998 (inception of offering) to November 30, 1998.
SEE NOTES TO FINANCIAL STATEMENTS
40
<PAGE>
STATEMENTS OF CHANGES WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
IN NET ASSETS REPORT (UNAUDITED)
<TABLE>
<CAPTION>
WESTCORE MIDCO GROWTH FUND
-------------------------------
Six Months
Ended
November 30, Year Ended
1998 May 29, 1998
------------- -------------
<S> <C> <C>
OPERATIONS
Net investment income/(loss) $ (1,448,842) $ (4,523,699)
Net realized gain/(loss) from investment transactions (3,916,989) 120,992,876
Change in unrealized net appreciation or depreciation of investments (20,064,071) (27,287,692)
- ------------------------------------------------------------------------------------------------------------
Net increase/(decrease) in net assets resulting from operations (25,429,902) 89,181,485
- ------------------------------------------------------------------------------------------------------------
DIVIDENDS AND DISTRIBUTIONS
From net investment income 0 0
From net realized gain from investment transactions 0 (84,245,727)
- ------------------------------------------------------------------------------------------------------------
Decrease in net assets from dividends and distributions 0 (84,245,727)
- ------------------------------------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS (NOTE 2)
Shares sold 282,852,872 541,305,083
Shares issued in reinvestment of dividends and distributions 0 81,419,112
- ------------------------------------------------------------------------------------------------------------
282,852,872 622,724,195
Shares redeemed (356,717,469) (652,374,393)
- ------------------------------------------------------------------------------------------------------------
Net increase/(decrease) from capital share transactions (73,864,597) (29,650,198)
- ------------------------------------------------------------------------------------------------------------
NET INCREASE/(DECREASE) IN NET ASSETS (99,294,499) (24,714,440)
NET ASSETS:
Beginning of period 565,293,240 590,007,680
- ------------------------------------------------------------------------------------------------------------
End of period (including (over)/undistributed net investment income of
$(2,479,672) and $(1,030,830), respectively.) $465,998,741 $565,293,240
- ------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
WESTCORE GROWTH AND INCOME FUND
-------------------------------
Six Months
Ended
November 30, Year Ended
1998 May 29, 1998
------------- -------------
<S> <C> <C>
OPERATIONS
Net investment income/(loss) $ 12,624 $ 67,141
Net realized gain/(loss) from investment transactions (1,016,001) 4,495,635
Change in unrealized net appreciation or depreciation of investments 87,043 (1,214,885)
- ------------------------------------------------------------------------------------------------------------
Net increase/(decrease) in net assets resulting from operations (916,334) 3,347,891
- ------------------------------------------------------------------------------------------------------------
DIVIDENDS AND DISTRIBUTIONS
From net investment income 0 (87,477)
From net realized gain from investment transactions 0 (2,061,541)
- ------------------------------------------------------------------------------------------------------------
Decrease in net assets from dividends and distributions 0 (2,149,018)
- ------------------------------------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS (NOTE 2)
Shares sold 243,901 2,719,029
Shares issued in reinvestment of dividends and distributions 0 1,872,758
- ------------------------------------------------------------------------------------------------------------
243,901 4,591,787
Shares redeemed (1,646,644) (11,355,464)
- ------------------------------------------------------------------------------------------------------------
Net increase/(decrease) from capital share transactions (1,402,743) (6,763,677)
- ------------------------------------------------------------------------------------------------------------
NET INCREASE/(DECREASE) IN NET ASSETS (2,319,077) (5,564,804)
NET ASSETS:
Beginning of period 15,160,093 20,724,897
- ------------------------------------------------------------------------------------------------------------
End of period (including (over)/undistributed net investment income of
$(186,609) and $(199,233), respectively.) $ 12,841,016 $ 15,160,093
- ------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
41
<PAGE>
STATEMENTS OF CHANGES WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
IN NET ASSETS REPORT (UNAUDITED)
<TABLE>
<CAPTION>
WESTCORE BLUE CHIP FUND
-------------------------------
Six Months
Ended
November 30, Year Ended
1998 May 29, 1998
------------- -------------
<S> <C> <C>
OPERATIONS
Net investment income/(loss) $ 110,238 $ 398,024
Net realized gain/(loss) from investment transactions 3,844,645 13,222,160
Change in unrealized net appreciation or depreciation of investments (6,918,746) 3,404,571
- ------------------------------------------------------------------------------------------------------------
Net increase/(decrease) in net assets resulting from operations (2,963,863) 17,024,755
- ------------------------------------------------------------------------------------------------------------
DIVIDENDS AND DISTRIBUTIONS
From net investment income (150,464) (452,695)
From net realized gain from investment transactions 0 (12,258,397)
- ------------------------------------------------------------------------------------------------------------
Decrease in net assets from dividends and distributions (150,464) (12,711,092)
- ------------------------------------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS (NOTE 2)
Shares sold 20,804,169 25,842,217
Shares issued in reinvestment of dividends and distributions 136,219 11,179,268
- ------------------------------------------------------------------------------------------------------------
20,940,388 37,021,485
Shares redeemed (21,815,275) (35,308,645)
- ------------------------------------------------------------------------------------------------------------
Net increase/(decrease) from capital share transactions (874,887) 1,712,840
- ------------------------------------------------------------------------------------------------------------
NET INCREASE/(DECREASE) IN NET ASSETS (3,989,214) 6,026,503
NET ASSETS:
Beginning of period 72,476,802 66,450,299
- ------------------------------------------------------------------------------------------------------------
End of period (including (over)/undistributed net investment income of
$(58,851) and $(18,625), respectively.) $ 68,487,588 $ 72,476,802
- ------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
WESTCORE MID-CAP OPPORTUNITY
FUND
-------------------------------
For the Period
October 1, 1998
(inception) to
November 30, 1998
-----------------
<S> <C> <C>
OPERATIONS
Net investment income/(loss) $ (3,280)
Net realized gain/(loss) from investment transactions (49,204)
Change in unrealized net appreciation or depreciation of investments 262,234
- ------------------------------------------------------------------------------------------------------------
Net increase/(decrease) in net assets resulting from operations 209,750
- ------------------------------------------------------------------------------------------------------------
DIVIDENDS AND DISTRIBUTIONS
From net investment income 0
From net realized gain from investment transactions 0
- ------------------------------------------------------------------------------------------------------------
Decrease in net assets from dividends and distributions 0
- ------------------------------------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS (NOTE 2)
Shares issued in connection with the conversion of a separately managed
investment partnership (Note 5) 2,211,243
Shares sold 177,857
Shares issued in reinvestment of dividends and distributions 0
- ------------------------------------------------------------------------------------------------------------
2,389,100
Shares redeemed (26,700)
- ------------------------------------------------------------------------------------------------------------
Net increase/(decrease) from capital share transactions 2,362,400
- ------------------------------------------------------------------------------------------------------------
NET INCREASE/(DECREASE) IN NET ASSETS 2,572,150
NET ASSETS:
Beginning of period 0
- ------------------------------------------------------------------------------------------------------------
End of period (including (over)/undistributed net investment income of
$(3,280) $ 2,572,150
- ------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
42
<PAGE>
STATEMENTS OF CHANGES WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
IN NET ASSETS REPORT (UNAUDITED)
<TABLE>
<CAPTION>
WESTCORE SMALL-CAP OPPORTUNITY
FUND
-------------------------------
Six Months
Ended
November 30, Year Ended
1998 May 29, 1998
------------- -------------
<S> <C> <C>
OPERATIONS
Net investment income/(loss) $ 131,412 $ 14,691
Net realized gain/(loss) from investment transactions (3,422,361) 8,453,552
Change in unrealized net appreciation or depreciation of investments (8,534,833) 2,626,428
- ------------------------------------------------------------------------------------------------------------
Net increase/(decrease) in net assets resulting from operations (11,825,782) 11,094,671
- ------------------------------------------------------------------------------------------------------------
DIVIDENDS AND DISTRIBUTIONS
From net investment income 0 (52,827)
From net realized gain from investment transactions 0 (6,466,938)
- ------------------------------------------------------------------------------------------------------------
Decrease in net assets from dividends and distributions 0 (6,519,765)
- ------------------------------------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS (NOTE 2)
Shares sold 66,845,664 27,101,036
Shares issued in reinvestment of dividends and distributions 0 5,658,612
- ------------------------------------------------------------------------------------------------------------
66,845,664 32,759,648
Shares redeemed (23,191,187) (12,226,884)
- ------------------------------------------------------------------------------------------------------------
Net increase/(decrease) from capital share transactions 43,654,477 20,532,764
- ------------------------------------------------------------------------------------------------------------
NET INCREASE/(DECREASE) IN NET ASSETS 31,828,695 25,107,670
NET ASSETS:
Beginning of period 61,069,343 35,961,673
- ------------------------------------------------------------------------------------------------------------
End of period (including (over)/undistributed net investment income of
$101,941and $(29,471), respectively.) $ 92,898,038 $ 61,069,343
- ------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
WESTCORE LONG-TERM BOND FUND
-------------------------------
Six Months
Ended
November 30, Year Ended
1998 May 29, 1998
------------- -------------
<S> <C> <C>
OPERATIONS
Net investment income/(loss) $ 541,886 $ 1,042,738
Net realized gain/(loss) from investment transactions 172,364 274,029
Change in unrealized net appreciation or depreciation of investments 498,667 1,396,259
- ------------------------------------------------------------------------------------------------------------
Net increase/(decrease) in net assets resulting from operations 1,212,917 2,713,026
- ------------------------------------------------------------------------------------------------------------
DIVIDENDS AND DISTRIBUTIONS
From net investment income (538,063) (1,045,049)
From net realized gain from investment transactions 0 (432,601)
- ------------------------------------------------------------------------------------------------------------
Decrease in net assets from dividends and distributions (538,063) (1,477,650)
- ------------------------------------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS (NOTE 2)
Shares sold 3,843,562 3,125,855
Shares issued in reinvestment of dividends and distributions 518,926 1,411,449
- ------------------------------------------------------------------------------------------------------------
4,362,488 4,537,304
Shares redeemed (2,440,393) (7,466,668)
- ------------------------------------------------------------------------------------------------------------
Net increase/(decrease) from capital share transactions 1,922,095 (2,929,364)
- ------------------------------------------------------------------------------------------------------------
NET INCREASE/(DECREASE) IN NET ASSETS 2,596,949 (1,693,988)
NET ASSETS:
Beginning of period 18,466,264 20,160,252
- ------------------------------------------------------------------------------------------------------------
End of period (including (over)/undistributed net investment income of
$20,033 and $16,210 respectively.) $ 21,063,213 $ 18,466,264
- ------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
43
<PAGE>
STATEMENTS OF CHANGES WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
IN NET ASSETS REPORT (UNAUDITED)
<TABLE>
<CAPTION>
WESTCORE INTERMEDIATE-TERM BOND
FUND
-------------------------------
Six Months
Ended
November 30, Year Ended
1998 May 29, 1998
------------- -------------
<S> <C> <C>
OPERATIONS
Net investment income/(loss) $ 1,382,092 $ 3,076,508
Net realized gain/(loss) from investment transactions 386,630 48,444
Change in unrealized net appreciation or depreciation of investments (63,905) 1,492,690
- ------------------------------------------------------------------------------------------------------------
Net increase/(decrease) in net assets resulting from operations 1,704,817 4,617,642
- ------------------------------------------------------------------------------------------------------------
DIVIDENDS AND DISTRIBUTIONS
From net investment income (1,380,493) (3,079,017)
From net realized gain from investment transactions 0 (495)
- ------------------------------------------------------------------------------------------------------------
Decrease in net assets from dividends and distributions (1,380,493) (3,079,512)
- ------------------------------------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS (NOTE 2)
Shares sold 8,918,493 13,139,252
Shares issued in reinvestment of dividends and distributions 1,184,063 2,564,832
- ------------------------------------------------------------------------------------------------------------
10,102,556 15,704,084
Shares redeemed (16,433,551) (30,251,535)
- ------------------------------------------------------------------------------------------------------------
Net increase/(decrease) from capital share transactions (6,330,995) (14,547,451)
- ------------------------------------------------------------------------------------------------------------
NET INCREASE/(DECREASE) IN NET ASSETS (6,006,671) (13,009,321)
- ------------------------------------------------------------------------------------------------------------
NET ASSETS:
Beginning of period 50,159,218 63,168,539
- ------------------------------------------------------------------------------------------------------------
End of period (including (over)/undistributed net investment income of
$42,884 and $41,285, respectively.) $ 44,152,547 $ 50,159,218
- ------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
WESTCORE COLORADO TAX-EXEMPT
FUND
-------------------------------
Six Months
Ended
November 30, Year Ended
1998 May 29, 1998
------------- -------------
<S> <C> <C>
OPERATIONS
Net investment income/(loss) $ 765,928 $ 1,183,344
Net realized gain/(loss) from investment transactions 8,669 (14,054)
Change in unrealized net appreciation or depreciation of investments 491,788 617,993
- ------------------------------------------------------------------------------------------------------------
Net increase/(decrease) in net assets resulting from operations 1,266,385 1,787,283
- ------------------------------------------------------------------------------------------------------------
DIVIDENDS AND DISTRIBUTIONS
From net investment income (756,698) (1,181,159)
From net realized gain from investment transactions 0 0
- ------------------------------------------------------------------------------------------------------------
Decrease in net assets from dividends and distributions (756,698) (1,181,159)
- ------------------------------------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS (NOTE 2)
Shares sold 8,416,874 13,594,537
Shares issued in reinvestment of dividends and distributions 579,307 888,955
- ------------------------------------------------------------------------------------------------------------
8,996,181 14,483,492
Shares redeemed (2,851,946) (4,935,811)
- ------------------------------------------------------------------------------------------------------------
Net increase/(decrease) from capital share transactions 6,144,235 9,547,681
- ------------------------------------------------------------------------------------------------------------
NET INCREASE/(DECREASE) IN NET ASSETS 6,653,922 10,153,805
NET ASSETS:
Beginning of period 31,501,464 21,347,659
- ------------------------------------------------------------------------------------------------------------
End of period (including (over)/undistributed net investment income of
$27,484 and $18,254, respectively.) $ 38,155,386 $ 31,501,464
- ------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
44
<PAGE>
WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
FINANCIAL HIGHLIGHTS REPORT (UNAUDITED)
<TABLE>
<CAPTION>
WESTCORE MIDCO GROWTH FUND
-----------------------------------------------------------------------------------------------------------
Institutional Shares
------------------------------------------------------------------------ Retail Shares
Selected data for ---------------------------------
a share of For the
beneficial Six Months For the For the For the For the
interest Ended Year Ended Year Ended Year Ended Period Ended
outstanding November 30, May 29, May 30, May 31, May 31,
throughout the ------------ ---------- ---------- ---------------------------------- ---------------------------------
periods indicated: 1998 1998 1997 1996 1995 1994 1996** 1995 1994*
------------ ---------- ---------- ---------- ---------- ---------- ----------- --------- ---------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Net asset value -
beginning of
period $20.54 $20.92 $22.90 $17.12 $16.09 $15.79 $17.10 $16.10 $17.33
- ------------------------------------------------------------------------------------------------------------------------------
INCOME FROM
INVESTMENT
OPERATIONS
Net investment
income/(loss) (0.07) (0.17) (0.15) (0.08) 0.00 0.00 (0.01) (0.03) (0.01)
Net realized and
unrealized
gain/(loss) on
investment
transactions (0.82) 3.03 1.19 6.58 1.56 1.34 3.12 1.56 (0.19)
- ------------------------------------------------------------------------------------------------------------------------------
Total
income/(loss)
from investment
operations (0.89) 2.86 1.04 6.50 1.56 1.34 3.11 1.53 (0.20)
- ------------------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS
Distributions from
net realized
gain on
investments (0.00) (3.24) (3.02) (0.72) (0.53) (1.03) (0.00) (0.53) (1.02)
Return of Capital (0.00) (0.00) (0.00) (0.00) (0.00) (0.01) (0.00) (0.00) (0.01)
- ------------------------------------------------------------------------------------------------------------------------------
Total
distributions (0.00) (3.24) (3.02) (0.72) (0.53) (1.04) (0.00) (0.53) (1.03)
- ------------------------------------------------------------------------------------------------------------------------------
Net asset value -
end of period $19.65 $20.54 $20.92 $22.90 $17.12 $16.09 $20.21 $17.10 $16.10
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Total return (4.33)% 15.10% 5.27% 38.62% 10.05% 8.37% 18.19% 9.78% (1.88)%(2)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
RATIOS/SUPPLEMENTAL
DATA:
Net assets, end of
period (in
thousands) $465,999 $565,293 $590,008 $656,490 $401,760 $335,453 $30,827 $25,677 $16,309
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Ratio of expenses
to average net
assets 1.12%(2) 1.13% 1.14% 1.08% 0.94% 0.84% 1.16%(2) 1.19% 1.10%(2)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Ratio of expenses
to average net
assets without
fee waivers 1.14%(2) 1.13% 1.14% 1.10% 0.96% 0.87% 1.17%(2) 1.21% 1.13%(2)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Ratio of net
investment
income/(loss) to
average net
assets (0.57)%(2) (0.71)% (0.70)% (0.42)% (0.03)% (0.09)% (0.24)%(2) (0.28)% (0.37)%(2)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Ratio of net
investment
income/(loss) to
average net
assets without
fee waivers (0.58)%(2) (0.71)% (0.71)% (0.44)% (0.05)% (0.12)% (0.26)%(2) (0.30)% (0.40)%(2)
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Portfolio turnover
rate (1) 51.12% 75.79% 60.78% 62.83% 50.19% 52.05% 62.83% 50.19% 52.05%
- ------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
</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 period ended November 30, 1998 were
$242,074,876 and $310,259,285, respectively.
(2) Annualized.
* For the period October 11, 1993 (inception of offering) to May 31, 1994.
** For the period June 1, 1995 to September 29, 1995.
SEE NOTES TO FINANCIAL STATEMENTS
45
<PAGE>
WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
FINANCIAL HIGHLIGHTS REPORT (UNAUDITED)
<TABLE>
<CAPTION>
WESTCORE GROWTH AND INCOME FUND
--------------------------------------------------------------------
Institutional Shares
--------------------------------------------------------------------
For the
Six
Months For the For the
Ended Year Year For the
Selected data for a share of November Ended Ended Year Ended
beneficial interest 30, May 29, May 30, May 31,
outstanding throughout the -------- --------- --------- ---------------------------------
periods indicated: 1998 1998 1997 1996 1995 1994
-------- --------- --------- --------- --------- ---------
<S> <C> <C> <C> <C> <C> <C>
Net asset value - beginning
of period: $13.74 $13.03 $12.32 $10.50 $10.62 $11.51
- --------------------------------------------------------------------------------------------------
INCOME FROM INVESTMENT
OPERATIONS
Net investment income/(loss) (0.01) 0.01 0.07 0.15 0.20 0.51
Net realized and unrealized
gain/(loss) on investment
transactions (0.76) 2.54 2.19 2.57 0.15 (0.30)
- --------------------------------------------------------------------------------------------------
Total income/(loss) from
investment operations (0.77) 2.55 2.26 2.72 0.35 0.21
- --------------------------------------------------------------------------------------------------
DISTRIBUTIONS
Dividends from net
investment income (0.00) (0.07) (0.11) (0.24) (0.21) (0.54)
Distributions from net
realized gain on
investments (0.00) (1.77) (1.44) (0.66) (0.26) (0.56)
- --------------------------------------------------------------------------------------------------
Total distributions (0.00) (1.84) (1.55) (0.90) (0.47) (1.10)
- --------------------------------------------------------------------------------------------------
Net asset value - end of
period $12.97 $13.74 $13.03 $12.32 $10.50 $10.62
- --------------------------------------------------------------------------------------------------
- --------------------------------------------------------------------------------------------------
Total return (5.60)% 20.74% 19.71% 27.25% 3.73% 1.71%
- --------------------------------------------------------------------------------------------------
- --------------------------------------------------------------------------------------------------
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period
(in thousands) $12,841 $15,160 $20,725 $25,387 $27,029 $42,644
- --------------------------------------------------------------------------------------------------
- --------------------------------------------------------------------------------------------------
Ratio of expenses to average
net assets 1.15%(2) 1.15% 1.15% 1.22% 1.17% 1.03%
- --------------------------------------------------------------------------------------------------
- --------------------------------------------------------------------------------------------------
Ratio of expenses to average
net assets without fee
waivers 1.91%(2) 1.71% 1.56% 1.51% 1.22% 1.06%
- --------------------------------------------------------------------------------------------------
- --------------------------------------------------------------------------------------------------
Ratio of net investment
income/(loss) to average
net assets 0.19%(2) 0.40% 0.75% 1.34% 2.09% 4.45%
- --------------------------------------------------------------------------------------------------
- --------------------------------------------------------------------------------------------------
Ratio of net investment
income/(loss) to average
net assets without fee
waivers (0.58)%(2) (0.16)% 0.33% 1.05% 2.04% 4.42%
- --------------------------------------------------------------------------------------------------
- --------------------------------------------------------------------------------------------------
Portfolio turnover rate (1) 29.41% 41.40% 39.80% 88.31% 81.14% 53.86%
- --------------------------------------------------------------------------------------------------
- --------------------------------------------------------------------------------------------------
<CAPTION>
Retail Shares
-----------------------------------
For the
Selected data for a share of Period Ended
beneficial interest May 31,
outstanding throughout the -----------------------------------
periods indicated: 1996** 1995 1994*
---------- -------- -----------
<S> <C> <C> <C>
Net asset value - beginning
of period: $10.51 $10.63 $11.65
- ---------------------------- -----------------------------------
INCOME FROM INVESTMENT
OPERATIONS
Net investment income/(loss) 0.05 0.19 0.15
Net realized and unrealized
gain/(loss) on investment
transactions 0.72 0.14 (0.45)
- ---------------------------- -----------------------------------
Total income/(loss) from
investment operations 0.77 0.33 (0.30)
- ---------------------------- -----------------------------------
DISTRIBUTIONS
Dividends from net
investment income (0.06) (0.19) (0.16)
Distributions from net
realized gain on
investments (0.00) (0.26) (0.56)
- ---------------------------- -----------------------------------
Total distributions (0.06) (0.45) (0.72)
- ---------------------------- -----------------------------------
Net asset value - end of
period $11.22 $10.51 $10.63
- ---------------------------- -----------------------------------
- ---------------------------- -----------------------------------
Total return 7.35% 3.48% (4.20)%(2)
- ---------------------------- -----------------------------------
- ---------------------------- -----------------------------------
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period
(in thousands) $3,921 $3,871 $4,026
- ---------------------------- -----------------------------------
- ---------------------------- -----------------------------------
Ratio of expenses to average
net assets 1.58%(2) 1.41% 1.25%(2)
- ---------------------------- -----------------------------------
- ---------------------------- -----------------------------------
Ratio of expenses to average
net assets without fee
waivers 1.61%(2) 1.47% 1.27%(2)
- ---------------------------- -----------------------------------
- ---------------------------- -----------------------------------
Ratio of net investment
income/(loss) to average
net assets 1.40%(2) 1.86% 2.12%(2)
- ---------------------------- -----------------------------------
- ---------------------------- -----------------------------------
Ratio of net investment
income/(loss) to average
net assets without fee
waivers 1.37%(2) 1.80% 2.09%(2)
- ---------------------------- -----------------------------------
- ---------------------------- -----------------------------------
Portfolio turnover rate (1) 88.31% 81.14% 53.86%
- ---------------------------- -----------------------------------
- ---------------------------- -----------------------------------
</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 period ended November 30, 1998 were
$3,793,015 and $5,125,048, respectively.
(2) Annualized.
* For the period October 11, 1993 (inception of offering) to May 31, 1994.
** For the period June 1, 1995 to September 29, 1995.
SEE NOTES TO FINANCIAL STATEMENTS
46
<PAGE>
WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
FINANCIAL HIGHLIGHTS REPORT (UNAUDITED)
<TABLE>
<CAPTION>
WESTCORE BLUE CHIP FUND
---------------------------------------------------------------------------------
For the
Six Months
Selected data for a Ended For the For the For the
share of beneficial November Year Ended Year Ended Year Ended
interest 30, May 29, May 30, May 31,
outstanding throughout ----------- ----------- ----------- ---------------------------------------
the periods indicated: 1998 1998 1997 1996 1995 1994
----------- ----------- ----------- ----------- ----------- -----------
<S> <C> <C> <C> <C> <C> <C>
Net asset value -
beginning of period $18.81 $18.15 $17.41 $14.70 $12.70 $13.87
- ----------------------------------------------------------------------------------------------------------
INCOME FROM INVESTMENT
OPERATIONS
Net investment
income/(loss) 0.03 0.13 0.19 0.25 0.23 0.40
Net realized and
unrealized
gain/(loss) on
investment
transactions (0.71) 4.66 3.65 4.03 2.12 0.04
- ----------------------------------------------------------------------------------------------------------
Total income/(loss)
from investment
operations (0.68) 4.79 3.84 4.28 2.35 0.44
- ----------------------------------------------------------------------------------------------------------
DISTRIBUTIONS
Dividends from net
investment income (0.04) (0.14) (0.22) (0.27) (0.16) (0.43)
Distributions from net
realized gain on
investments (0.00) (3.99) (2.88) (1.30) (0.19) (1.18)
- ----------------------------------------------------------------------------------------------------------
Total distributions (0.04) (4.13) (3.10) (1.57) (0.35) (1.61)
- ----------------------------------------------------------------------------------------------------------
Net asset value - end
of period $18.09 $18.81 $18.15 $17.41 $14.70 $12.70
- ----------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------
Total return (3.61)% 29.53% 24.28% 30.48% 19.03% 3.12%
- ----------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------
RATIOS/SUPPLEMENTAL
DATA:
Net assets, end of
period (in thousands) $68,488 $72,477 $66,450 $68,286 $52,545 $36,674
- ----------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------
Ratio of expenses to
average net assets 1.15%(2) 1.15% 1.15% 1.10% 1.01% 1.06%
- ----------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------
Ratio of expenses to
average net assets
without fee waivers 1.24%(2) 1.23% 1.21% 1.25% 1.06% 1.09%
- ----------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------
Ratio of net investment
income/(loss) to
average net assets 0.32%(2) .60% 1.02% 1.52% 1.78% 2.30%
- ----------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------
Ratio of net investment
income/(loss) to
average net assets
without fee waivers 0.23%(2) .52% 0.97% 1.38% 1.73% 2.27%
- ----------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------
Portfolio turnover rate
(1) 41.79% 48.50% 43.47% 65.11% 61.72% 41.32%
- ----------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------
</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 period ended November 30, 1998 were
$27,273,240 and $28,904,111, respectively.
(2) Annualized.
SEE NOTES TO FINANCIAL STATEMENTS
47
<PAGE>
WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
FINANCIAL HIGHLIGHTS REPORT (UNAUDITED)
<TABLE>
<CAPTION>
WESTCORE
MID-CAP
OPPORTUNITY
FUND
-------------
For the
Period Ended
November 30,*
1998
-------------
Selected data for a share of beneficial interest
outstanding throughout the periods indicated:
<S> <C>
Net asset value - beginning of period $10.00
- -----------------------------------------------------------------
INCOME FROM INVESTMENT OPERATIONS
Net investment income/(loss) (0.01)
Net realized and unrealized gain/(loss) on
investment transactions 0.91
- -----------------------------------------------------------------
Total income/(loss) from investment operations 0.90
- -----------------------------------------------------------------
DISTRIBUTIONS
Dividends from net investment income (0.00)
Distributions from net realized gain on
investments (0.00)
- -----------------------------------------------------------------
Total distributions (0.00)
- -----------------------------------------------------------------
Net asset value - end of period $10.90
- -----------------------------------------------------------------
- -----------------------------------------------------------------
Total return 9.00%
- -----------------------------------------------------------------
- -----------------------------------------------------------------
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (in thousands) $ 2,572
- -----------------------------------------------------------------
- -----------------------------------------------------------------
Ratio of expenses to average net assets 1.25%(2)
- -----------------------------------------------------------------
- -----------------------------------------------------------------
Ratio of expenses to average net assets without
fee waivers 11.16%(2)
- -----------------------------------------------------------------
- -----------------------------------------------------------------
Ratio of net investment income/(loss) to average
net assets (0.80)%(2)
- -----------------------------------------------------------------
- -----------------------------------------------------------------
Ratio of net investment income/(loss) to average
net assets without fee waivers (10.71)%(2)
- -----------------------------------------------------------------
- -----------------------------------------------------------------
Portfolio turnover rate (1) 22.24%
- -----------------------------------------------------------------
- -----------------------------------------------------------------
</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 period ended November 30, 1998 were
$3,018,860 and $514,825, respectively.
(2) Annualized.
* For the period from October 1, 1998 (inception of offering) to November 30,
1998.
SEE NOTES TO FINANCIAL STATEMENTS
48
<PAGE>
WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
FINANCIAL HIGHLIGHTS REPORT (UNAUDITED)
<TABLE>
<CAPTION>
WESTCORE SMALL-CAP OPPORTUNITY FUND
------------------------------------------------------------------------------
Institutional Shares
------------------------------------------------------------------------------
For the
Six Months
Ended For the For the For the
Selected data for a share November Year Ended Year Ended Period Ended
of beneficial interest 30, May 29, May 30, May 31,
outstanding throughout ---------- ----------- ----------- -------------------------------------
the periods indicated: 1998 1998 1997 1996 1995 1994*
---------- ----------- ----------- ----------- ---------- ----------
<S> <C> <C> <C> <C> <C> <C>
Net asset value -
beginning of period $26.71 $23.87 $21.35 $15.95 $14.97 $15.00
- ---------------------------------------------------------------------------------------------------------
INCOME FROM INVESTMENT
OPERATIONS
Net investment
income/(loss) 0.04 0.01 0.03 0.04 0.09 0.05
Net realized and
unrealized gain/(loss)
on investment
transactions (4.13) 6.83 3.37 5.86 1.11 (0.05)
- ---------------------------------------------------------------------------------------------------------
Total income/(loss) from
investment operations (4.09) 6.84 3.40 5.90 1.20 0.00
- ---------------------------------------------------------------------------------------------------------
DISTRIBUTIONS
Dividends from net
investment income (0.00) (0.03) (0.02) (0.06) (0.10) (0.03)
Distributions from net
realized gain on
investments (0.00) (3.97) (0.86) (0.44) (0.12) (0.00)
- ---------------------------------------------------------------------------------------------------------
Total distributions (0.00) (4.00) (0.88) (0.50) (0.22) (0.03)
- ---------------------------------------------------------------------------------------------------------
Net asset value - end of
period $22.62 $26.71 $23.87 $21.35 $15.95 $14.97
- ---------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------
Total return (15.31)% 30.40% 16.28% 37.49% 8.15% (0.07)%(3)
- ---------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period
(in thousands) $92,898 $61,069 $35,962 $23,951 $9,703 $2,159
- ---------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------
Ratio of expenses to
average net assets 1.30%(2) 1.30% 1.30% 1.30% 1.27% 1.38%(2)
- ---------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------
Ratio of expenses to
average net assets
without fee waivers 1.56%(2) 1.66% 1.69% 2.20% 2.77% 6.56%(2)
- ---------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------
Ratio of net investment
income/(loss) to
average net assets 0.33%(2) 0.03% 0.11% 0.24% 0.61% 1.00%(2)
- ---------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------
Ratio of net investment
income/(loss) to
average net assets
without fee waivers 0.06%(2) (0.33)% (0.28)% (0.67)% (0.89)% (4.18)%(2)
- ---------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------
Portfolio turnover rate
(1) 33.88% 78.48% 77.73% 47.83% 59.17% 64.31%(2)
- ---------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------
<CAPTION>
Retail Shares
------------------------------------
For the
Selected data for a share Period Ended
of beneficial interest May 31,
outstanding throughout ------------------------------------
the periods indicated: 1996** 1995 1994*
---------- ---------- ----------
<S> <C> <C> <C>
Net asset value -
beginning of period $15.95 $14.96 $15.00
- ------------------------- ------------------------------------
INCOME FROM INVESTMENT
OPERATIONS
Net investment
income/(loss) 0.01 0.06 0.03
Net realized and
unrealized gain/(loss)
on investment
transactions 2.25 1.11 (0.04)
- ------------------------- ------------------------------------
Total income/(loss) from
investment operations 2.26 1.17 (0.01)
- ------------------------- ------------------------------------
DISTRIBUTIONS
Dividends from net
investment income (0.02) (0.06) (0.03)
Distributions from net
realized gain on
investments (0.00) (0.12) (0.00)
- ------------------------- ------------------------------------
Total distributions (0.02) (0.18) (0.03)
- ------------------------- ------------------------------------
Net asset value - end of
period $18.19 $15.95 $14.96
- ------------------------- ------------------------------------
- ------------------------- ------------------------------------
Total return 14.14% 7.96% (0.22)%(2)
- ------------------------- ------------------------------------
- ------------------------- ------------------------------------
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period
(in thousands) $1,072 $ 934 $ 497
- ------------------------- ------------------------------------
- ------------------------- ------------------------------------
Ratio of expenses to
average net assets 1.48%(2) 1.51% 1.63%(2)
- ------------------------- ------------------------------------
- ------------------------- ------------------------------------
Ratio of expenses to
average net assets
without fee waivers 2.53%(2) 3.10% 6.81%(2)
- ------------------------- ------------------------------------
- ------------------------- ------------------------------------
Ratio of net investment
income/(loss) to
average net assets 0.16%(2) 0.37% 0.64%(2)
- ------------------------- ------------------------------------
- ------------------------- ------------------------------------
Ratio of net investment
income/(loss) to
average net assets
without fee waivers (0.89)%(2) (1.22)% (4.54)%(2)
- ------------------------- ------------------------------------
- ------------------------- ------------------------------------
Portfolio turnover rate
(1) 47.83% 59.17% 64.31%(2)
- ------------------------- ------------------------------------
- ------------------------- ------------------------------------
</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 period ended November 30, 1998 were
$67,055,797 and $24,815,830, respectively.
(2) Annualized.
* For the period December 28, 1993 (inception of offering) to May 31, 1994.
** For the period June 1, 1995 to September 29, 1995.
SEE NOTES TO FINANCIAL STATEMENTS
49
<PAGE>
WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
FINANCIAL HIGHLIGHTS REPORT (UNAUDITED)
<TABLE>
<CAPTION>
WESTCORE LONG-TERM BOND FUND
---------------------------------------------------------------------------------------
For the
Six Months For the For the For the
Selected data for a share Ended Year Ended Year Ended Year Ended
of beneficial interest November 30, May 29, May 30, May 31,
outstanding throughout ------------ ------------ ------------ ------------------------------------------
the periods indicated: 1998 1998 1997 1996 1995 1994
------------ ------------ ------------ ------------ ------------ ------------
<S> <C> <C> <C> <C> <C> <C>
Net asset value -
beginning of period $10.36 $9.67 $9.59 $9.87 $9.22 $11.25
- ------------------------------------------------------------------------------------------------------------------
INCOME FROM INVESTMENT
OPERATIONS
Net investment
income/(loss) 0.29 0.60 0.62 0.61 0.59 0.62
Net realized and
unrealized gain/(loss)
on investment
transactions 0.36 0.96 0.26 (0.27) 0.66 (0.51)
- ------------------------------------------------------------------------------------------------------------------
Total income/(loss) from
investment operations 0.65 1.56 0.88 0.34 1.25 0.11
- ------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS
Dividends from net
investment income (0.29) (0.60) (0.63) (0.62) (0.60) (0.62)
Distributions from net
realized gain on
investments (0.00) (0.27) (0.17) (0.00) (0.00) (1.52)
- ------------------------------------------------------------------------------------------------------------------
Total distributions (0.29) (0.87) (0.80) (0.62) (0.60) (2.14)
- ------------------------------------------------------------------------------------------------------------------
Net asset value - end of
period $10.72 $10.36 $9.67 $9.59 $9.87 $9.22
- ------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------
Total return 6.33% 16.63% 9.40% 3.41% 14.37% (0.25)%
- ------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period
(in thousands) $ 21,063 $ 18,466 $ 20,160 $ 25,070 $ 33,440 $ 26,962
- ------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------
Ratio of expenses to
average net assets 0.95%(2) 0.95% 0.95% 0.90% 0.94% 0.89%
- ------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------
Ratio of expenses to
average net assets
without fee waivers 1.20%(2) 1.23% 1.15% 1.07% 0.99% 0.92%
- ------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------
Ratio of net investment
income/(loss) to
average net assets 5.43%(2) 5.87% 6.37% 6.07% 6.54% 5.74%
- ------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------
Ratio of net investment
income/(loss) to
average net assets
without fee waivers 5.18%(2) 5.58% 6.18% 5.90% 6.49% 5.71%
- ------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------
Portfolio turnover rate
(1) 9.57% 11.05% 27.76% 33.10% 25.09% 52.82%
- ------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------
</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 period ended November 30, 1998 were
$3,107,165 and $1,813,140, respectively.
(2) Annualized.
SEE NOTES TO FINANCIAL STATEMENTS
50
<PAGE>
WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
FINANCIAL HIGHLIGHTS REPORT (UNAUDITED)
<TABLE>
<CAPTION>
WESTCORE INTERMEDIATE-TERM BOND FUND
----------------------------------------------------------------------------
Institutional Shares
--------------------------------------------------------------
For the
Six Months For the
Selected data for a Ended For the Year For the
share of beneficial November Year Ended Ended Year Ended
interest 30, May 29, May 30, May 31,
outstanding throughout ---------- ----------- ------- ---------------------------------------
the periods indicated: 1998 1998 1997 1996 1995 1994
---------- ----------- ------- ----------- ----------- -----------
<S> <C> <C> <C> <C> <C> <C>
Net asset value -
beginning of period $10.51 $ 10.23 $10.10 $ 10.27 $ 10.02 $ 10.70
- ------------------------------------------------------------------------------------------------------
INCOME FROM INVESTMENT
OPERATIONS
Net investment
income/(loss) 0.31 0.61 0.60 0.60 0.58 0.55
Net realized and
unrealized gain/(loss)
on investment
transactions 0.05 0.28 0.13 (0.17) 0.27 (0.52)
- ------------------------------------------------------------------------------------------------------
Total income/(loss) from
investment operations 0.36 0.89 0.73 0.43 0.85 0.03
- ------------------------------------------------------------------------------------------------------
DISTRIBUTIONS
Dividends from net
investment income (0.31) (0.61) (0.60 ) (0.60) (0.60) (0.53)
Distributions from net
realized gain on
investments (0.00) (0.00) (0.00 ) (0.00) (0.00) (0.18)
- ------------------------------------------------------------------------------------------------------
Total distributions (0.31) (0.61) (0.60 ) (0.60) (0.60) (0.71)
- ------------------------------------------------------------------------------------------------------
Net asset value - end of
period $10.56 $10.51 $10.23 $10.10 $10.27 $10.02
- ------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------
Total return 3.42% 8.88% 7.43% 4.26% 8.93% 0.10%
- ------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------
RATIOS/SUPPLEMENTAL
DATA:
Net assets, end of
period (in thousands) $44,153 $50,159 $63,169 $83,039 $97,619 $88,965
- ------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------
Ratio of expenses to
average net assets 0.85%(2) 0.85% 0.85% 0.81% 0.77% 0.68%
- ------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------
Ratio of expenses to
average net assets
without fee waivers 0.99%(2) 0.98% 0.97% 0.92% 0.80% 0.70%
- ------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------
Ratio of net investment
income/(loss) to
average net assets 5.67%(2) 5.77% 5.81% 5.78% 5.86% 5.03%
- ------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------
Ratio of net investment
income/(loss) to
average net assets
without fee waivers 5.53%(2) 5.65% 5.68% 5.67% 5.83% 5.00%
- ------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------
Portfolio turnover rate
(1) 9.60% 23.45% 27.47% 71.97% 60.86% 65.04%
- ------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------
<CAPTION>
Retail Shares
------------------------------------
Selected data for a For the
share of beneficial Period Ended
interest May 31,
outstanding throughout ------------------------------------
the periods indicated: 1996** 1995 1994*
---------- ---------- ----------
<S> <C> <C> <C>
Net asset value -
beginning of period $10.27 $10.03 $10.97
- ------------------------ ------------------------------------
INCOME FROM INVESTMENT
OPERATIONS
Net investment
income/(loss) 0.20 0.56 0.34
Net realized and
unrealized gain/(loss)
on investment
transactions 0.04 0.26 (0.77)
- ------------------------ ------------------------------------
Total income/(loss) from
investment operations 0.24 0.82 (0.43)
- ------------------------ ------------------------------------
DISTRIBUTIONS
Dividends from net
investment income (0.21) (0.58) (0.33)
Distributions from net
realized gain on
investments (0.00) (0.00) (0.18)
- ------------------------ ------------------------------------
Total distributions (0.21) (0.58) (0.51)
- ------------------------ ------------------------------------
Net asset value - end of
period $10.30 $10.27 $10.03
- ------------------------ ------------------------------------
- ------------------------ ------------------------------------
Total return 2.34% 8.53% (6.33)%(2)
- ------------------------ ------------------------------------
- ------------------------ ------------------------------------
RATIOS/SUPPLEMENTAL
DATA:
Net assets, end of
period (in thousands) $2,781 $2,571 $1,941
- ------------------------ ------------------------------------
- ------------------------ ------------------------------------
Ratio of expenses to
average net assets 0.95%(2) 0.99% 0.95%(2)
- ------------------------ ------------------------------------
- ------------------------ ------------------------------------
Ratio of expenses to
average net assets
without fee waivers 0.97%(2) 1.02% 0.97%(2)
- ------------------------ ------------------------------------
- ------------------------ ------------------------------------
Ratio of net investment
income/(loss) to
average net assets 5.74%(2) 5.64% 4.65%(2)
- ------------------------ ------------------------------------
- ------------------------ ------------------------------------
Ratio of net investment
income/(loss) to
average net assets
without fee waivers 5.72%(2) 5.61% 4.63%(2)
- ------------------------ ------------------------------------
- ------------------------ ------------------------------------
Portfolio turnover rate
(1) 71.97% 60.86% 65.04%
- ------------------------ ------------------------------------
- ------------------------ ------------------------------------
</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 period ended November 30, 1998 were
$4,481,780 and $12,229,437, respectively.
(2) Annualized.
* For the period October 11, 1993 (inception of offering) to May 31, 1994.
** For the period June 1, 1995 to September 29, 1995.
SEE NOTES TO FINANCIAL STATEMENTS
51
<PAGE>
WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
FINANCIAL HIGHLIGHTS REPORT (UNAUDITED)
<TABLE>
<CAPTION>
WESTCORE COLORADO TAX-EXEMPT FUND
---------------------------------------------------------------------------------
For the
Six Months
Ended For the For the For the
Selected data for a share November Year Ended Year Ended Year Ended
of beneficial interest 30, May 29, May 30, May 31,
outstanding throughout ----------- ----------- ----------- ---------------------------------------
the periods indicated: 1998 1998 1997 1996 1995 1994
----------- ----------- ----------- ----------- ----------- -----------
<S> <C> <C> <C> <C> <C> <C>
Net asset value -
beginning of period $ 11.06 $ 10.78 $ 10.61 $ 10.70 $ 10.52 $ 10.71
- ------------------------------------------------------------------------------------------------------------
INCOME FROM INVESTMENT
OPERATIONS
Net investment
income/(loss) 0.24 0.50 0.50 0.52 0.52 0.53
Net realized and
unrealized gain/(loss)
on investment
transactions 0.17 0.28 0.17 (0.10) 0.20 (0.19)
- ------------------------------------------------------------------------------------------------------------
Total income/(loss) from
investment operations 0.41 0.78 0.67 0.42 0.72 0.34
- ------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS
Dividends from net
investment income (0.24) (0.50) (0.50) (0.51) (0.54) (0.53)
Distributions from net
realized gain on
investments (0.00) (0.00) (0.00) (0.00) (0.00) (0.00)
- ------------------------------------------------------------------------------------------------------------
Total distributions (0.24) (0.50) (0.50) (0.51) (0.54) (0.53)
- ------------------------------------------------------------------------------------------------------------
Net asset value - end of
period $11.23 $11.06 $10.78 $10.61 $10.70 $10.52
- ------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------
Total return 3.73% 7.32% 6.46% 3.97% 7.16% 3.22%
- ------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period
(in thousands) $38,155 $31,501 $21,348 $13,922 $10,792 $10,553
- ------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------
Ratio of expenses to
average net assets 0.50%(2) 0.50% 0.50% 0.44% 0.42% 0.27%
- ------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------
Ratio of expenses to
average net assets
without fee waivers 1.09%(2) 1.17% 1.21% 1.43% 1.62% 1.59%
- ------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------
Ratio of net investment
income/(loss) to
average net assets 4.29%(2) 4.54% 4.73% 4.87% 5.03% 4.98%
- ------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------
Ratio of net investment
income/(loss) to
average net assets
without fee waivers 3.70%(2) 3.87% 4.02% 3.88% 3.83% 3.65%
- ------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------
Portfolio turnover rate
(1) 5.36% 24.94% 30.78% 10.23% 3.15% 9.76%
- ------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------
</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 period ended November 30, 1998 were
$7,966,727 and $1,809,129, respectively.
(2) Annualized.
SEE NOTES TO FINANCIAL STATEMENTS
52
<PAGE>
NOTES TO FINANCIAL WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
STATEMENTS REPORT (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 Westcore MIDCO Growth, Westcore Growth and Income, Westcore Blue Chip,
Westcore Mid-Cap Opportunity, Westcore Small-Cap Opportunity, Westcore Long-Term
Bond, Westcore Intermediate-Term Bond and Westcore 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 of May 31. From October 11, 1993 to
September 30, 1995, Westcore MIDCO Growth, Westcore Growth and Income, Westcore
Small-Cap Opportunity and Westcore 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 for
investment companies.
USE OF ESTIMATES - 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 as of the close of
regular trading on the New York Stock Exchange (the "NYSE"), currently 4:00 p.m.
(Eastern time), on each day that the NYSE is open. 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 29, 1998 the
Westcore Intermediate-Term Bond and Westcore Colorado Tax-Exempt Funds had
available for federal income tax purposes unused capital loss carryovers of
$1,741,936 and $22,532, respectively, which will expire through 2006.
DISTRIBUTIONS - Distributions of net investment income, if any, are
distributed annually for the Westcore MIDCO Growth Fund, quarterly for the
Westcore Growth and Income, Westcore Blue Chip, Westcore Mid-Cap Opportunity and
Westcore Small-Cap Opportunity Funds and monthly for the Westcore Long-Term
Bond, Westcore Intermediate-Term Bond, and Westcore Colorado Tax-Exempt Funds.
Distributions of net realized gains, if any, are declared at least once each
year for each of the Funds. 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.
SECURITIES LENDING - The Westcore Funds may loan securities to certain
brokers who pay the Funds negotiated lenders' fees. These fees, net of
associated costs, are included in other income. The Funds receive U.S. Treasury
obligations and/or cash as collateral against the loaned securities, in an
amount at least equal to 102% of the market value of the loaned securities at
the inception of each loan. This collateral must be maintained at not less than
100% of the market value of the loaned securities during the period of the loan.
As of November 30, 1998, the value of securities loaned of the Westcore MIDCO
Growth, Westcore Blue Chip and Westcore Small-Cap Opportunity Funds amount to
$27,969,063, $648,656 and $2,279,188, respectively. The value of collateral of
the Westcore MIDCO Growth, Westcore Blue Chip and Westcore Small-Cap Opportunity
Funds amount to $29,134,774, $684,500, and $2,695,397, respectively.
ALLOCATION OF INCOME, EXPENSES AND GAINS AND LOSSES - Trust expenses, which
are not series specific, are allocated to each series based upon its relative
proportion of net assets and/or open accounts to the Trust's totals. From
October 11, 1993 to September 30, 1995 the Westcore MIDCO Growth, Westcore
Growth and Income,
53
<PAGE>
NOTES TO FINANCIAL WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
STATEMENTS REPORT (UNAUDITED)
1. SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
Westcore Small-Cap Opportunity, and Westcore Intermediate-Term Bond Funds
allocated income, expenses (other than the class specific expenses) and gains
and losses daily to each class of shares based upon their relative proportion of
net assets represented by each class. Operating expenses directly attributable
to a specific class were charged against the operations of that class.
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 discounts, 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.
2. CAPITAL SHARE TRANSACTIONS
On November 30, 1998, there was an unlimited number of no par value shares
of beneficial interest authorized for each Fund. Transactions in shares of
beneficial interest were as follows:
WESTCORE MIDCO GROWTH FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six
Months Ended For the Year
November 30, Ended
1998 May 29, 1998
------------ ------------
<S> <C> <C>
Shares sold 14,946,629 24,794,907
Shares issued as reinvestment of dividends 0 4,328,501
- ---------------------------------------------------------------------------------------------------
Total 14,946,629 29,123,408
Shares redeemed (18,754,085) (29,804,359)
- ---------------------------------------------------------------------------------------------------
Net decrease in shares (3,807,456) (680,951)
- ---------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------
</TABLE>
WESTCORE GROWTH AND INCOME FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six
Months Ended For the Year
November 30, Ended
1998 May 29, 1998
------------ --------------
<S> <C> <C>
Shares sold 19,494 191,743
Shares issued as reinvestment of dividends 0 146,912
- -----------------------------------------------------------------------------------------------------
Total 19,494 338,655
Shares redeemed (132,268) (825,837)
- -----------------------------------------------------------------------------------------------------
Net decrease in shares (112,774) (487,182)
- -----------------------------------------------------------------------------------------------------
- -----------------------------------------------------------------------------------------------------
</TABLE>
54
<PAGE>
NOTES TO FINANCIAL WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
STATEMENTS REPORT (UNAUDITED)
2. CAPITAL SHARE TRANSACTIONS (CONTINUED)
WESTCORE BLUE CHIP FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six
Months Ended For the Year
November 30, Ended
1998 May 29, 1998
-------------- --------------
<S> <C> <C>
Shares sold 1,120,080 1,372,695
Shares issued as reinvestment of dividends 7,569 673,685
- -------------------------------------------------------------------------------------------------------
Total 1,127,649 2,046,380
Shares redeemed (1,195,138) (1,853,818)
- -------------------------------------------------------------------------------------------------------
Net increase (decrease) in shares (67,489) 192,562
- -------------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------
</TABLE>
WESTCORE MID-CAP OPPORTUNITY
FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Period
from
October 1,
1998
(inception) to
November 30,
1998
--------------
<S> <C> <C>
Shares issued in connection with the conversion of a separately
managed investment partnership (Note 5) 221,124
Shares sold 17,385
Shares issued as reinvestment of dividends 0
- --------------------------------------------------------------------------------------------------
Total 238,509
Shares redeemed (2,496)
- --------------------------------------------------------------------------------------------------
Net increase in shares 236,013
- --------------------------------------------------------------------------------------------------
- --------------------------------------------------------------------------------------------------
</TABLE>
WESTCORE SMALL-CAP OPPORTUNITY
FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the
Months Ended Year Ended
November 30, May 29,
1998 1998
---------------- -----------
<S> <C> <C>
Shares sold 2,863,266 1,000,427
Shares issued as reinvestment of dividends 0 233,455
- ------------------------------------------------------------------------------------------------------
Total 2,863,266 1,233,882
Shares redeemed (1,042,531) (454,614)
- ------------------------------------------------------------------------------------------------------
Net increase in shares 1,820,735 779,268
- ------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------
</TABLE>
55
<PAGE>
NOTES TO FINANCIAL WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
STATEMENTS REPORT (UNAUDITED)
2. CAPITAL SHARE TRANSACTIONS (CONTINUED)
WESTCORE LONG-TERM BOND FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six
Months Ended For the Year
November 30, Ended
1998 May 29, 1998
------------ ------------
<S> <C> <C>
Shares sold 361,935 303,677
Shares issued as reinvestment of dividends 49,078 139,058
- ---------------------------------------------------------------------------------------------------
Total 411,013 442,735
Shares redeemed (228,814) (745,987)
- ---------------------------------------------------------------------------------------------------
Net increase (decrease) in shares 182,199 (303,252)
- ---------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------
</TABLE>
WESTCORE INTERMEDIATE-TERM BOND
FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six
Months For the
Ended Year Ended
November May 29,
30, 1998 1998
----------- ----------
<S> <C> <C>
Shares sold 842,940 1,255,088
Shares issued as reinvestment of dividends 112,080 245,907
- ------------------------------------------------------------------------------------------------
Total 955,020 1,500,995
Shares redeemed (1,542,651) (2,903,900)
- ------------------------------------------------------------------------------------------------
Net decrease in shares (587,631) (1,402,905)
- ------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------
</TABLE>
WESTCORE COLORADO TAX-EXEMPT
FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the
Six
Months For the
Ended Year Ended
November May 29,
30, 1998 1998
--------- -----------
<S> <C> <C>
Shares sold 755,166 1,234,556
Shares issued as reinvestment of dividends 51,956 80,926
- -----------------------------------------------------------------------------------------------
Total 807,122 1,315,482
Shares redeemed (255,369) (449,027)
- -----------------------------------------------------------------------------------------------
Net increase in shares 551,753 866,455
- -----------------------------------------------------------------------------------------------
- -----------------------------------------------------------------------------------------------
</TABLE>
56
<PAGE>
NOTES TO FINANCIAL WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
STATEMENTS REPORT (UNAUDITED)
3. UNREALIZED APPRECIATION AND DEPRECIATION ON INVESTMENTS
<TABLE>
<CAPTION>
Westcore
Westcore Westcore Westcore Mid-Cap
MIDCO Growth Growth and Blue Chip Opportunity
Fund Income Fund Fund Fund
------------- ------------ ------------ -----------
<S> <C> <C> <C> <C>
As of November 30, 1998
Gross appreciation (excess of value over cost) 132,267,936 5,149,466 17,269,833 220,670
Gross depreciation (excess of cost over value) (8,496,672) (63,277) (1,008,247) (214,103)
- -------------------------------------------------------------------------------------------------------------
Net unrealized appreciation 123,771,264 5,086,189 16,261,586 6,567
- -------------------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
Westcoree Westcore Westcore Westcore
Small-Cap Long-Term Intermediate- Colorado
Opportunity Bond Term Tax-Exempt
Fund Fund Bond Fund Fund
------------- ------------ ------------ -----------
<S> <C> <C> <C> <C>
As of November 30, 1998
Gross appreciation (excess of value over cost) 7,854,845 2,521,468 1,704,311 1,524,985
Gross depreciation (excess of cost over value) (7,396,288) (76,880) (85,821) (2,549)
- -------------------------------------------------------------------------------------------------------------
Net unrealized appreciation 458,557 2,444,588 1,618,490 1,522,436
- -------------------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------------
</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 Westcore Long-Term Bond
and the Westcore Colorado Tax-Exempt Funds on October 1, 1995. The advisory
agreement has been approved by the Trust's Board of Trustees and shareholders
and contains 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%,
0.65%, 0.75%, 1.00%, 0.45%, 0.45% and 0.50% of the average net assets for
Westcore MIDCO Growth, Westcore Growth and Income, Westcore Blue Chip, Westcore
Mid-Cap Opportunity, Westcore Small-Cap Opportunity, Westcore Long-Term Bond,
Westcore Intermediate-Term Bond and Westcore Colorado Tax-Exempt Funds,
respectively.
Effective October 1, 1995, ALPS and DIA entered into an 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
paid monthly, at the annual rate of 0.30% of the Funds' average net assets.
The Co-Administrators and the Investment Adviser have advised the Trust that
they currently intend to waive fees or reimburse expenses with respect to each
of the Funds so that the Total Operating Expenses of the Westcore MIDCO Growth,
Westcore Growth and Income, Westcore Blue Chip, Westcore Mid-Cap Opportunity,
Westcore Small-Cap Opportunity, Westcore Long-Term Bond, Westcore
Intermediate-Term Bond and Westcore Colorado Tax-Exempt Funds will not exceed
1.15%, 1.15%, 1.15%, 1.25%, 1.30%, 0.95%, 0.85%, and 0.65%, respectively.
Without such fee waivers, for the period ended November 30, 1998, the Total
Operating Expenses of the Westcore MIDCO Growth, Westcore Growth and Income,
Westcore Blue Chip, Westcore Mid-Cap Opportunity, Westcore Small-Cap
Opportunity, Westcore Long-Term Bond, Westcore Intermediate-Term Bond, and
Westcore Colorado Tax-Exempt Funds would be 1.14%, 1.91%, 1.24%, 11.16%, 1.56%,
1.20%, .99% and 1.09%, respectively.
Certain officers of the Funds are also officers of DIA. All affiliated and
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.
57
<PAGE>
NOTES TO FINANCIAL WESTCORE FUNDS SEMI-ANNUAL NOVEMBER 30, 1998
STATEMENTS REPORT (UNAUDITED)
4. INVESTMENT ADVISORY FEES, ADMINISTRATIVE FEES AND OTHER RELATED PARTY
TRANSACTIONS (CONTINUED)
Expenses for the Funds include legal fees paid to Drinker Biddle & Reath
LLP. A partner of that firm is secretary of the Trust.
The Trust has a Trustee Deferred Compensation Plan (the "Deferral Plan")
which allows the Trustees to defer the receipt of all or a portion of Trustees
Fees. The deferred fees are invested in certain Westcore Funds until
distribution in accordance with the Deferral Plan.
Shareholders holding more than 5% of the Funds' outstanding shares as of
November 30, 1998, constituted 33.65% of Westcore MIDCO Growth Fund, 39.59% of
Westcore Growth and Income Fund, 62.01% of Westcore Blue Chip Fund, 61.97% of
Westcore Mid-Cap Opportunity Fund, 58.43% of Westcore Small-Cap Opportunity
Fund, 66.43% of Westcore Long-Term Bond Fund, 73.39% of Westcore
Intermediate-Term Bond Fund, and 47.60% of Westcore Colorado Tax-Exempt Fund.
5. ACQUISITION OF ASSETS
On October 1, 1998, the Mid-Cap Opportunity Fund acquired all of the assets
of a separately managed investment partnership, managed by DIA, at fair market
value in exchange for shares of the Fund, as stipulated in the Conversion
Agreement approved by the Trust's Board of Trustees. The following is a summary
of shares issued, net assets acquired, and unrealized depreciation as of October
1, 1998:
<TABLE>
<S> <C>
Shares issued 221,124
Net assets acquired 2,211,243
Unrealized depreciation (255,667)
</TABLE>
6. SUBSEQUENT EVENTS
On January 4, 1999 the Westcore MIDCO Growth Fund had a redemption-in-kind
transaction in the amount of $113,219,005, based on the fair market value of the
individual securities within the portfolio. These transactions resulted in
short-term and long-term gains of $25,366,778 and $10,877,548, respectively,
which will be recognized as permanent differences for tax purposes.
58
