<PAGE>
PRESIDENT'S MESSAGE
December 1999
DEAR SHAREHOLDER:
We are very pleased to present you with the annual reports for the Republic
Money Market Fund, Republic U.S. Government Money Market Fund and Republic New
York Tax-Free Money Market Fund, for the year ended October 31, 1999.
The accompanying report contains each Fund's audited financial statements
and a detailed discussion of its performance during the 12 months ended October
31, 1999. Also, you will find a commentary from the Investment Manager, Republic
National Bank of New York, that includes an economic outlook for the coming
months.
Finally, we thank you for your continued confidence in us. We look forward
to providing you with investment management services to meet your needs now and
in the years ahead.
Sincerely,
/s/ Walter B. Grimm
--------------------
Walter B. Grimm
President
1
<PAGE>
REPUBLIC FUNDS
ANNUAL REPORT -- OCTOBER 31, 1999
TABLE OF CONTENTS
<TABLE>
<CAPTION>
PAGE
----
<S> <C>
President's Message......................................... 1
Commentary from the Investment Manager...................... 3
Schedules of Portfolio Investments.......................... 9
Statements of Assets and Liabilities........................ 20
Statements of Operations.................................... 22
Statements of Changes in Net Assets......................... 23
Notes to Financial Statements............................... 26
Financial Highlights........................................ 32
Independent Auditors' Report................................ 43
Additional Information...................................... 44
</TABLE>
2
<PAGE>
COMMENTARY FROM THE INVESTMENT MANAGER
REPUBLIC NATIONAL BANK OF NEW YORK
U.S. ECONOMIC REVIEW
The driving forces behind the U.S. economy, including rising real wage
growth, robust job creation, the continued strong pace of capital investment by
companies, and stable inflation all remained intact throughout the year. Indeed,
since the 1998 global correction in the financial markets, real Gross Domestic
Product growth in the United States has consistently exceeded consensus
forecasts. Such persistent strength in domestic real growth finally resulted in
the Federal Reserve Board ('the Fed') increasing the target rate for federal
funds by 25 basis points (0.25%) in late June. This reversal in Fed policy
represented a partial rollback of the 75 basis point (0.75%) easing instituted
in the second half of 1998, implicitly signaling that the global markets had
effectively recovered from the shock of the Russian default and the near
collapse of Long Term Capital Management. Nonetheless, domestic real growth
stubbornly remained above the Fed's non-inflationary target of 3% in the months
that followed, leading to additional increases in short-term rates in August and
November. Growth now appears to be slowing, largely attributable to higher
long-term interest rates that have increased more than 100 basis points since
the fiscal year began on November 1, 1998. Now that higher interest rates appear
to be dampening domestic demand, the prospect of increased exports triggered by
a gradual strengthening in the global economy could offset this weakness.
GLOBAL ECONOMIC REVIEW
In Japan, the government's efforts to recapitalize the banking sector and
stimulate the economy began to bear significant fruit in March, pulling the
economy back from the threat of a steep spiral of debt deflation. Although the
painful restructuring process of switching the corporate sector's emphasis from
market share maximization to maximizing profits may continue to be a drag on
domestic demand, the country's leading economic indicators have rebounded
strongly. Therefore, we expect gradual economic progress in the months ahead.
Emerging market economies stabilized early in the period, helped by
continued strength in the U.S. economy, higher oil prices (which benefited
oil-producing countries), and quicker-than-expected improvement in Brazil's
financial outlook following the January currency devaluation. Despite fragile
conditions that still exist in parts of Latin America, the recovery in Asian
emerging markets is the economic highlight of this fiscal year.
The United Kingdom achieved a soft landing and throughout Europe, consumer
spending is growing along with business confidence and leading indicators are
pointing higher. For most of the fiscal year, the policy environment in the
European region was, and remains, stimulative with low short-term interest
rates, stable inflation, and a weak Euro currency.
MARKET ENVIRONMENT
The U.S. stock market shook off its third quarter 1998 plunge and posted
impressive advances during the first three months of the Funds' fiscal year
ended October 31, 1999. Large cap growth led the way, with the Russell 1000
Growth Index(1) rising 24.20%, followed by small cap stocks up 13.24% and large
cap value up 9.09% for the period ended January 31, 1999, as represented by the
Russell 2000 Index(2) and the Russell 1000
(1) The Russell 1000 Growth Index contains those securities in the Russell 1000
Index with a greater-than-average growth orientation. Companies in this
index tend to exhibit higher price-to-book and price-earnings ratios, lower
dividend yields and higher forecasted growth rates.
(2) The Russell 2000 Index is an unmanaged index generally representative of
small-capitalization stocks.
3
<PAGE>
Value Index(3). The first quarter of 1999 will most likely be remembered as the
period during which the Dow Jones Industrial Average surpassed the 10,000 level
for the first time (March 29). Indeed, the attention stemming from this
milestone overshadowed continued volatility and an increasingly narrow market
advance within the large capitalization sector. The large cap value and small
cap sectors then posted strong April returns of 9.34% and 8.96%, as indicated by
the Russell 1000 Value Index and the Russell 2000 Index, leading the second
calendar quarter of 1999 to be the first instance of value outperforming growth
and small cap outperforming large cap since the fourth and third quarters of
1997, respectively. However, large cap growth resumed its dominance in June. The
Funds' fiscal year therefore ended with the Russell 1000 Growth performing over
twice as well as the Russell 1000 Value (34.25% versus 16.53%) and the
Russell 2000 returning 14.87%. Consequently, smaller capitalization issues
continue to sell at lower relative valuations than any time in the past 40
years.
World equity markets on balance managed to weather such significant events
as the commencement of the new Euro currency, the devaluation of the Brazilian
Real, and multiple increases in long-term interest rates in the United States
without experiencing major corrections. For the first half of the fiscal year,
equity returns in the United States (+22.53% as measured by the Russell
1000 Index(4)) were almost one and a half times the results for the Morgan
Stanley Capital International Europe, Australia and Far East ('MSCI EAFE')
Index(5) (+15.44%). This gap narrowed over the next six months to 221 basis
points (with the Russell 1000 Index returning 25.58% versus 23.37% for the MSCI
EAFE Index) as growth in the United States moderated somewhat and economic
activity in Europe picked up. Emerging markets continued to rebound, reflecting
more stable economic conditions, with the International Finance Corporation
Investable ('IFCI') Emerging Markets Composite Index(6) up (+33.31%)
approximately one and a half times U.S. equities for the first half of the
fiscal year, expanding to a 68% premium by the end of the period (with the
IFCI Emerging Markets Composite Index up 43.08%). In addition, emerging
markets posted a return multiple of over 1.8 versus MSCI EAFE.
(3) The Russell 1000 Value Index is comprised of those securities in the
Russell 1000 Index with a less-than-average growth orientation. Companies in
this index generally have low price-to-book and price-earnings ratios,
higher dividend yields and lower forecasted growth rates.
(4) The Russell 1000 Index consists of the largest 1000 companies in the Russell
3000 Index. This index represents the universe of large capitalization
stocks from which most active money managers typically select.
(5) The Morgan Stanley Capital International Europe, Australia and Far East
Index (MSCI EAFE) is unmanaged and is generally representative of the
performance of stock markets in those regions.
(6) IFCI Emerging Markets Composite Index represents the IFC Investable Regional
Total Return Composite. The term Investable indicates that the stocks and
the weights in the IFCI index represent the amount that the foreign
institutional investors might buy by virtue of the foreign institutional
restrictions (either at the national level or by the individual company's
corporate statute) plus factoring in minimum market capitalization and
liquidity screens. This particular index also measures the impact of
reinvestment of gross cash dividends on the price index. All IFC indices
are market capitalization weighted, with period data linked by the chained
Paasche method and reflect adjusted share price changes. All regional
indices are in U.S. dollar terms.
Investors cannot invest directly in an index.
THE PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE AND IS NOT AN
INDICATION OF FUTURE RESULTS.
4
<PAGE>
After rebounding from a record low reached in early October 1998, yields on
30-year U.S. Treasury debt fell modestly during the first quarter of the fiscal
year ended October 31, 1999 while yields on all other maturities rose somewhat.
Yields all across the maturity spectrum rose sharply during February. This
one-month increase, which ranged from approximately 21 basis points for 3 month
Treasuries to 67 basis points for the 5 year notes, was occasioned by several
factors. Principal among these were the further unwinding of the
'flight-to-quality' mentality that overwhelmed the market for U.S. government
issues as global equity markets collapsed in the third quarter of 1998, signs
that the U.S. economy was slowing less than previously predicted, and the
growing perception that the Fed may have eased too aggressively in response to
stock market weakness in the second half of 1998. Yields then rose steadily
across virtually all maturities during the May-August period as the Fed hiked
the federal funds rate by 25 basis points in both June and August. Bonds rallied
in September but gave back all their gains and more during the final month of
the fiscal year. For the twelve-month period, Treasury yields rose from 76 basis
points for 3 month Treasuries to 170 basis points for the 5 year notes, with the
30 year increasing by 101 basis points.
5
<PAGE>
PORTFOLIO REVIEW
REPUBLIC MONEY MARKET FUND
The Republic Money Market Fund returned 4.42%, 4.76% and 2.69% for the
Class A Shares(1) (or 'Investor Shares'), Class Y Shares(2) (or 'Adviser
Shares') and Class D Shares(3) (or 'Private Investor Shares'), respectively, for
the fiscal year ended October 31, 1999, compared to 4.67% for the Lipper Money
Market Funds Average(4). The Fund's maturity structure was positioned at 45 days
on October 31, 1999 in light of the potential for further Fed tightening. The
portfolio holdings consisted of 18.24% floating rate demand notes, 55.71%
commercial paper, 19.86% U.S. agencies and 6.21% cash and cash equivalents. The
Fund's annualized 7-day yield through October 31, 1999, was 4.88%.*
Turmoil in the global financial markets in late summer and early fall of
1998 led the Fund to take a cautious posture on average maturity, which was in a
range of 45-55 days over the past year. This was generally 7-10 days shorter
than the average maturity of the peer group.
The domestic economy was expected to slow in 1999 based upon the fear that
deflationary environments in many emerging economies would be imported to the
United States. Instead, the U.S. economy has shown tremendous resilience in 1999
with a unique combination of brisk economic growth and low unemployment, coupled
with relatively tame inflation data. The fixed income markets reacted
unfavorably to this environment, with most sectors of the yield curve rising by
more than 1% from the lows achieved in October of 1998. The Fed also became more
defensive over the past several months, raising the benchmark fed funds rate
three times since June. The Fed remains concerned about the tightening labor
market and low unemployment rate, which is at a 30 year low. As such, continuing
economic strength may force the Fed to raise short-term rates again in order to
slow economic growth to a more sustainable level. The Fund will therefore
continue in a defensive posture with the average maturity remaining at 50 days
or less with a focus on high quality issues.
(1) Class A Shares (or 'Investor Shares') commenced operations on November 13,
1998. Performance figures are not annualized.
(2) Class Y Shares (or 'Adviser Shares') commenced operations on November 12,
1998. Performance figures are not annualized.
(3) Class D Shares (or 'Private Investor Shares') commenced operations on
April 1, 1999. Performance figures are not annualized.
(4) Lipper Money Market Funds Average consists of funds that invest in high
quality financial instruments rated in the top two grades with dollar-
weighted average maturities of less than 90 days.
* Portfolio composition is subject to change.
THE PERFORMANCE QUOTED REPRESENTS PAST PERFORMANCE AND IS NOT AN INDICATION
OF FUTURE RESULTS.
6
<PAGE>
REPUBLIC U.S. GOVERNMENT MONEY MARKET FUND
The Republic U.S. Government Money Market Fund returned 4.24%, 4.57%, 3.54%
and 2.53% for the Class A Shares (or 'Investor Shares'), Class Y Shares (or
'Adviser Shares'), Class B Shares, and Class D Shares(1) (or 'Private Investor
Shares'), respectively, for the fiscal year ended October 31, 1999, compared to
4.39% for the Lipper U.S. Government Money Market Funds Average(2). The Fund's
maturity structure was positioned at 60 days on October 31, 1999, also
reflecting the potential for further Fed tightening. The portfolio holdings
consisted of 54.81% U.S. Treasury bills and notes, 25.2% U.S. agencies and
20.16% cash and cash equivalents, all of which were rated AAA. The Fund's
annualized 7-day yield through October 31, 1999 was 4.27%.*
During the first half of the fiscal year ended October 31, 1999, the Fund
kept its average maturity between 40 and 65 days. This was then expanded to 55
to 75 days, reflecting the interest rate outlook after the Fed's initial rate
hike of 1999. For the final months of the fiscal year, the average maturity
range was tightened to 55-65 days as the likelihood of a November Fed tightening
began to increase.
(1) Class D Shares (or 'Private Investor Shares') commenced operations on
April 1, 1999. Performance figures are not annualized.
(2) Lipper U.S. Government Money Market Funds Average consists of funds which
invest principally in financial instruments issued or guaranteed by the U.S.
Government, its agencies or instrumentalities with dollar-weighted average
maturities of less than 90 days.
* Portfolio composition is subject to change.
THE PERFORMANCE QUOTED REPRESENTS PAST PERFORMANCE AND IS NOT AN INDICATION
OF FUTURE RESULTS.
7
<PAGE>
REPUBLIC NEW YORK TAX-FREE MONEY MARKET FUND'D'
The Republic New York Tax-Free Money Market Fund returned 2.36%, 2.70%, and
1.50% for the Class A Shares (or 'Investor Shares'), Class Y Shares (or 'Adviser
Shares') and Class D Shares(1) (or 'Private Investor Shares'), respectively, for
the fiscal year ended October 31, 1999, compared to 2.56% for the Lipper N.Y.
Money Market Funds Average(2). The Portfolio consisted of 55.29% floating rate
demand notes, 25.54% tax exempt commercial paper, 17.76% municipal notes and
1.19% cash and cash equivalents. The Fund's annualized 7-day yield through
October 31, 1999, was 2.70%.*
The combination of strong net inflows to money market funds, reflecting
investors becoming more cautious toward the markets, and very subdued issuance,
as issuers opted to lock in long-term fixed-rate financing, led to overall low
yields on most instruments in the marketplace. The Fund maintained a high level
of liquidity entering the April tax season to take advantage of the higher
yields typically associated with money fund outflows for tax payments. The Fund
continued to maintain a high level of liquidity to position itself for potential
increases in short-term rates which occurred following the Federal Open Market
Committee meetings in June, August and November, 1999. Despite historically low
rates, there was good demand for money markets throughout the fiscal year,
partially due to market uncertainties. Fund management does, however, expect the
rising interest rate environment to eventually pull tax-exempt yields higher.
The Fund maintained a neutral posture towards the marketplace, continuing a
weighted average maturity of approximately 50 days over the entire period.
(1) Class D Shares (or 'Private Investor Shares') commenced operations on
April 1, 1999. Performance figures are not annualized.
(2) Lipper N.Y. Money Market Funds Average consists of funds which invest
principally in municipal obligations of New York state with dollar weighted
average maturities of less than 90 days.
* Portfolio composition is subject to change.
THE PERFORMANCE QUOTED REPRESENTS PAST PERFORMANCE AND IS NOT AN INDICATION
OF FUTURE RESULTS.
'D' The Fund's income may be subject to certain state and local taxes and,
depending on your tax status, the federal alternative minimum tax.
8
<PAGE>
REPUBLIC MONEY MARKET FUND
SCHEDULE OF PORTFOLIO INVESTMENTS -- OCTOBER 31, 1999
<TABLE>
<CAPTION>
PRINCIPAL MATURITY AMORTIZED
AMOUNT DESCRIPTION RATE DATE COST
- ----------- ----------- ---- -------- ------------
<S> <C> <C> <C> <C>
COMMERCIAL PAPER -- 55.71%
CHEMICALS -- 5.94%
$10,650,000 Monsanto.......................................... 5.35% 11/4/99 $ 10,645,314
5,000,000 West Baton Rouge, Louisiana (Guaranteed by Dow
Chemical)....................................... 6.07 2/7/00 5,000,000
5,000,000 West Baton Rouge, Louisiana (Guaranteed by Dow
Chemical)....................................... 5.38 11/4/99 5,000,000
------------
20,645,314
------------
EDUCATION -- 3.26%
5,000,000 Harvard University................................ 5.35 11/16/99 4,989,000
6,339,000 New York State Dormitory, Taxable Pooled Loan
Program, Direct Pay (LOC Landesbank Hessen)..... 5.38 11/8/99 6,339,000
------------
11,328,000
------------
ENERGY -- 3.40%
3,800,000 New York State Power Authority.................... 5.41 11/18/99 3,790,418
2,100,000 New York State Power Authority.................... 6.08 2/15/00 2,104,922
5,930,000 South Carolina Public Service Agency.............. 5.43 11/12/99 5,920,288
------------
11,815,628
------------
ENTERTAINMENT -- 2.87%
10,000,000 The Walt Disney Co................................ 5.35 11/15/99 9,979,467
------------
FINANCE -- 5.80%
7,000,000 American Express Credit Corp...................... 5.36 11/12/99 6,988,685
8,000,000 Ford Motor Credit Corp............................ 5.33 11/10/99 7,989,481
5,150,000 Morgan Stanley Dean Witter........................ 5.89 3/20/00 5,161,259
------------
20,139,425
------------
FOOD -- 4.03%
6,000,000 HJ Heinz.......................................... 5.36 11/1/99 6,000,000
8,000,000 Sara Lee Corp..................................... 5.30 11/9/99 7,990,702
------------
13,990,702
------------
</TABLE>
9
<PAGE>
REPUBLIC MONEY MARKET FUND
SCHEDULE OF PORTFOLIO INVESTMENTS -- OCTOBER 31, 1999 (CONTINUED)
<TABLE>
<CAPTION>
PRINCIPAL MATURITY AMORTIZED
AMOUNT DESCRIPTION RATE DATE COST
- ----------- ----------- ---- -------- ------------
<S> <C> <C> <C> <C>
HEALTH CARE -- 9.02%
$5,700,000 Baptist Hospital, Inc., Taxable Revenue Notes, SPA
Bank America NA................................. 6.06% 2/3/00 $ 5,610,998
7,000,000 Baptist Hospital, Inc., Taxable Revenue Notes, SPA
Bank America NA................................. 5.44 11/2/99 6,998,956
4,069,000 New York Hospital................................. 5.43 11/9/99 4,064,153
7,800,000 Society of the New York Hospital, Direct Pay (LOC
Chase Manhattan Bank)........................... 6.08 2/4/00 7,676,500
7,000,000 Temple Physicians, Inc., Direct Pay (LOC Toronto
Dominion Bank).................................. 5.40 11/19/99 6,981,345
------------
31,331,952
------------
MUNICIPALITIES -- 7.15%
6,700,000 Broward County, Florida Sales Tax Revenue Taxable
Notes........................................... 6.00 2/9/00 6,700,000
8,000,000 Calcasieu Parish, Inc., Louisiana, CITGO Petroleum
Corp. Project Direct Pay (LOC ABN Amro Bank).... 5.36 11/18/99 7,999,999
1,000,000 Chicago, Illinois Tax Increment................... 5.20 11/15/99 1,000,000
5,000,000 Madison County Illinois Enviromental Improvement,
Shell Wood River Refining Co., Project
Guaranteed by Shell Oil......................... 5.32 11/5/99 5,000,000
1,000,000 Mercer County, New Jersey......................... 5.88 1/1/00 1,000,083
3,135,000 New York City Water Finance Authority............. 5.50 6/15/00 3,136,436
------------
24,836,518
------------
OIL/GAS EXPLORATION -- 1.15%
4,000,000 Shell Oil......................................... 5.32 11/22/99 4,000,000
------------
REAL ESTATE -- 2.86%
5,000,000 Mt. Sinai Medical Center Realty, Direct Pay (LOC
Landesbank Hessen, NY).......................... 5.42 11/3/99 4,998,514
5,000,000 Mt. Sinai Medical Center Realty, Direct Pay (LOC
Landesbank Hessen, NY).......................... 6.06 2/1/00 4,923,589
------------
9,922,103
------------
RETAIL -- 0.92%
3,180,000 Nike.............................................. 5.35 11/2/99 3,179,534
------------
TECHNOLOGY -- 1.73%
6,000,000 Hewlett Packard................................... 5.34 11/9/99 5,992,973
------------
</TABLE>
10
<PAGE>
REPUBLIC MONEY MARKET FUND
SCHEDULE OF PORTFOLIO INVESTMENTS -- OCTOBER 31, 1999 (CONTINUED)
<TABLE>
<CAPTION>
PRINCIPAL MATURITY AMORTIZED
AMOUNT DESCRIPTION RATE DATE COST
- ----------- ----------- ---- -------- ------------
<S> <C> <C> <C> <C>
TELECOMMUNICATIONS -- 1.53%
$5,300,000 AT&T Corp......................................... 5.34% 11/4/99 $ 5,297,672
------------
TRANSPORTATION & SHIPPING -- 3.03%
8,000,000 Port of Oakland California, Direct Pay (LOC
Commerzbank AG & The Bank of Nova Scotia)....... 5.41 11/10/99 7,989,320
2,583,000 Port of Oakland California, Direct Pay (LOC
Commerzbank AG & The Bank of Nova Scotia)....... 5.90 2/8/00 2,541,659
------------
10,530,979
------------
WASTE DISPOSAL -- 3.02%
5,480,000 Gulf Coast Waste Disposal of Texas, Amoco Oil
Project, Guaranteed by Amoco Oil................ 5.35 11/10/99 5,480,000
5,000,000 Gulf Coast Waste Disposal of Texas, Amoco Oil
Project, Guaranteed by Amoco Oil................ 6.12 1/28/00 5,000,000
------------
10,480,000
------------
TOTAL COMMERCIAL PAPER (AMORTIZED COST $193,470,267)............... 193,470,267
------------
VARIABLE RATE DEMAND NOTES* -- 18.24%
FINANCE -- 6.03%
3,500,000 1800 Harrison Foundation.......................... 5.40 11/3/99 3,500,000
5,000,000 California Housing Financial Agency............... 5.45 11/3/99 5,000,000
5,685,000 Illinois Health Facilities Revenue for Loyola
University Health System (MBIA Insured)......... 5.40 11/3/99 5,685,000
2,200,000 New York State Housing Financial Authority, (LOC
Bayerische Hypo-Und Verein)..................... 5.40 11/3/99 2,200,000
4,600,000 New York State Housing Financial Authority, (LOC
Commerzbank A.G.)............................... 5.41 11/3/99 4,600,000
------------
20,985,000
------------
GENERAL OBLIGATIONS -- 5.78%
2,760,000 Greensboro, North Carolina, GO.................... 5.40 11/3/99 2,760,000
9,600,000 Tennessee, GO..................................... 5.40 11/3/99 9,600,000
3,400,000 Tennessee, GO..................................... 5.40 11/3/99 3,400,000
400,000 Tennessee, GO..................................... 5.40 11/3/99 400,000
3,900,000 Tennessee, GO..................................... 5.40 11/3/99 3,900,000
------------
20,060,000
------------
</TABLE>
11
<PAGE>
REPUBLIC MONEY MARKET FUND
SCHEDULE OF PORTFOLIO INVESTMENTS -- OCTOBER 31, 1999 (CONTINUED)
<TABLE>
<CAPTION>
PRINCIPAL MATURITY AMORTIZED
AMOUNT DESCRIPTION RATE DATE COST
- ----------- ----------- ---- -------- ------------
<S> <C> <C> <C> <C>
HOUSING -- 5.52%
$3,820,000 New York City Housing Development................. 5.40% 11/3/99 $ 3,820,000
615,000 New York City Housing Development................. 5.40 11/3/99 615,000
6,900,000 New York City Housing Development................. 5.40 11/3/99 6,900,000
1,325,000 New York City Housing Development................. 5.40 11/3/99 1,325,000
4,000,000 New York City Housing Development, (LOC Bayerische
Hypo-Und Verein)................................ 5.40 11/3/99 4,000,000
2,500,000 Texas State Taxable Veterans Housing Assistance
Series A2....................................... 5.38 11/3/99 2,500,000
------------
19,160,000
------------
SPECIAL PURPOSE -- 0.91%
3,160,000 Cleveland, Ohio Airport Systems, Series E......... 5.40 11/3/99 3,160,000
------------
TOTAL VARIABLE RATE DEMAND NOTES
(AMORTIZED COST $63,365,000)..................................... 63,365,000
------------
U.S. GOVERNMENT AND GOVERNMENT AGENCY
OBLIGATIONS -- 19.86%
FEDERAL FARM CREDIT BANK -- 1.44%
5,000,000 Federal Farm Credit Bank.......................... 5.00 4/3/00 4,998,997
------------
FEDERAL HOME LOAN BANK -- 9.78%
5,500,000 Federal Home Loan Bank............................ 5.42 11/30/99 5,500,000
3,500,000 Federal Home Loan Bank............................ 5.00 2/10/00 3,500,000
5,000,000 Federal Home Loan Bank............................ 5.03 3/2/00 5,000,000
5,000,000 Federal Home Loan Bank............................ 5.08 3/15/00 5,000,000
3,000,000 Federal Home Loan Bank............................ 5.16 3/22/00 3,000,000
5,000,000 Federal Home Loan Bank............................ 5.15 5/17/00 5,000,000
2,000,000 Federal Home Loan Bank............................ 5.63 6/2/00 2,000,589
5,000,000 Federal Home Loan Bank............................ 5.55 6/9/00 5,000,000
------------
34,000,589
------------
FEDERAL NATIONAL MORTGAGE ASSOCIATION -- 5.76%
5,000,000 Federal National Mortgage Assn.................... 5.18 3/10/00 4,998,784
5,000,000 Federal National Mortgage Assn.................... 5.00 5/4/00 4,997,865
5,000,000 Federal National Mortgage Assn.................... 5.12 5/12/00 5,000,000
5,000,000 Federal National Mortgage Assn.................... 5.62 8/9/00 4,994,757
------------
19,991,406
------------
</TABLE>
12
<PAGE>
REPUBLIC MONEY MARKET FUND
SCHEDULE OF PORTFOLIO INVESTMENTS -- OCTOBER 31, 1999 (CONTINUED)
<TABLE>
<CAPTION>
PRINCIPAL MATURITY AMORTIZED
AMOUNT DESCRIPTION RATE DATE COST
- ----------- ----------- ---- -------- ------------
<S> <C> <C> <C> <C>
FINANCE -- 2.88%
$5,000,000 Student Loan Marketing Assn....................... 5.58% 1/20/00 $ 5,000,000
5,000,000 Student Loan Marketing Assn....................... 5.80 4/20/00 5,000,000
------------
10,000,000
------------
TOTAL U.S. GOVERNMENT AND GOVERNMENT AGENCY OBLIGATIONS
(AMORTIZED COST $68,990,992)....................................... 68,990,992
------------
REPURCHASE AGREEMENTS -- 6.21%
10,000,000 Goldman, Sachs & Co., 5.23%, due 11/1/99, with a maturity value of
$10,004,385 (collateralized with $1,085,000 Federal Farm Credit
MTN 4.80% due 2/1/00, $2,000,000 FHLMC 7.125% due 11/18/02,
$1,600,000, FNMA 8.90% due 6/12/00, and $5,359,000 FNMA 6.375%
due 6/15/09, total market value $10,200,594)..................... 10,000,000
1,562,000 Lehman Brothers, 5.15%, due 11/1/99, with a maturity value of
$1,562,670 (collateralized with $7,691,698 FNMA MTN 5.81%, due
4/19/04, market value $7,845,532)................................ 1,562,000
10,000,000 Morgan Stanley Dean Witter, 5.20%, due 11/1/99, with a maturity of
$10,004,333 (collateralized with $10,610,000 FHLMC 5.90% due
2/14/06, market value $10,248,372)............................... 10,000,000
------------
TOTAL REPURCHASE AGREEMENTS (AMORTIZED COST $21,562,000)........... 21,562,000
------------
TOTAL INVESTMENTS (AMORTIZED COST $347,388,259)(a) -- 100.02%..... 347,388,259
LIABILITIES IN EXCESS OF OTHER ASSETS -- (0.02)%.................. (70,174)
------------
NET ASSETS -- 100.00%............................................. $347,318,085
------------
------------
</TABLE>
Percentages indicated are based on net assets of $347,318,085.
(a) Cost and value for federal income tax and financial reporting purposes are
the same.
GO -- General Obligation
LOC -- Letter of Credit
MBIA -- Municipal Bond Insurance Association
* Variable rate investments. The rate presented on the Schedule of
Portfolio Investments is the rate in effect at October 31, 1999.
The date presented reflects the next rate change date.
See notes to financial statements.
13
<PAGE>
REPUBLIC U.S. GOVERNMENT MONEY MARKET FUND
SCHEDULE OF PORTFOLIO INVESTMENTS -- OCTOBER 31, 1999
<TABLE>
<CAPTION>
PRINCIPAL MATURITY AMORTIZED
AMOUNT DESCRIPTION RATE DATE COST
- ----------- ----------- ---- -------- --------------
<S> <C> <C> <C> <C>
U.S. GOVERNMENT AND GOVERNMENT AGENCY
OBLIGATIONS -- 25.20%
FEDERAL FARM CREDIT BANK -- 1.39%
$ 5,000,000 Federal Farm Credit Bank......................... 5.56% 1/18/00 $ 5,000,000
10,000,000 Federal Farm Credit Bank......................... 5.25 1/18/00 9,998,787
5,000,000 Federal Farm Credit Bank......................... 5.63 2/1/00 5,000,000
--------------
19,998,787
--------------
FEDERAL HOME LOAN BANK -- 15.25%
20,000,000 Federal Home Loan Bank........................... 5.23 11/1/99 20,000,000
10,000,000 Federal Home Loan Bank........................... 5.30 12/3/99 9,953,511
10,000,000 Federal Home Loan Bank........................... 5.37 1/19/00 9,883,694
15,000,000 Federal Home Loan Bank........................... 5.60 1/21/00 14,813,531
15,000,000 Federal Home Loan Bank........................... 5.38 1/28/00 14,805,483
10,000,000 Federal Home Loan Bank........................... 5.22 3/17/00 10,000,000
10,000,000 Federal Home Loan Bank........................... 5.66 4/19/00 9,736,500
10,000,000 Federal Home Loan Bank........................... 5.26 5/26/00 9,998,908
10,000,000 Federal Home Loan Bank *......................... 5.61 11/3/99 9,998,214
10,000,000 Federal Home Loan Bank *......................... 5.69 11/3/99 9,998,044
20,000,000 Federal Home Loan Bank *......................... 5.85 11/3/99 19,999,562
10,000,000 Federal Home Loan Bank *......................... 5.85 11/3/99 10,000,000
5,000,000 Federal Home Loan Bank *......................... 5.75 11/3/99 5,000,000
5,000,000 Federal Home Loan Bank *......................... 5.70 11/3/99 5,000,000
20,000,000 Federal Home Loan Bank *......................... 5.56 11/3/99 19,999,680
15,000,000 Federal Home Loan Bank *......................... 5.56 11/3/99 14,999,094
10,000,000 Federal Home Loan Bank *......................... 5.58 11/3/99 10,000,000
15,000,000 Federal Home Loan Bank *......................... 5.58 11/3/99 14,999,340
--------------
219,185,561
--------------
FINANCE -- 8.56%
20,000,000 Student Loan Marketing Assn. * .................. 5.58 11/2/99 19,995,588
5,000,000 Student Loan Marketing Assn. *................... 5.80 11/2/99 4,999,825
10,000,000 Student Loan Marketing Assn. *................... 5.75 11/2/99 9,998,690
13,000,000 Student Loan Marketing Assn. *................... 5.80 11/2/99 12,993,014
10,000,000 Student Loan Marketing Assn. *................... 5.80 11/2/99 9,999,584
5,000,000 Student Loan Marketing Assn. *................... 5.60 11/2/99 5,000,000
10,000,000 Student Loan Marketing Assn. *................... 5.64 11/2/99 9,999,265
10,000,000 Student Loan Marketing Assn. *................... 5.42 11/2/99 10,000,000
15,000,000 Student Loan Marketing Assn. *................... 5.63 11/2/99 15,000,000
5,000,000 Student Loan Marketing Assn. *................... 5.60 11/2/99 5,000,000
</TABLE>
14
<PAGE>
REPUBLIC U.S. GOVERNMENT MONEY MARKET FUND
SCHEDULE OF PORTFOLIO INVESTMENTS -- OCTOBER 31, 1999 (CONTINUED)
<TABLE>
<CAPTION>
PRINCIPAL MATURITY AMORTIZED
AMOUNT DESCRIPTION RATE DATE COST
- ----------- ----------- ---- -------- --------------
<S> <C> <C> <C> <C>
$10,000,000 Student Loan Marketing Assn. *................... 5.82% 11/2/99 $ 9,999,874
10,000,000 Student Loan Marketing Assn. *................... 5.85 11/2/99 10,000,000
--------------
122,985,840
--------------
TOTAL U.S. GOVERNMENT AND GOVERNMENT AGENCY OBLIGATIONS
(AMORTIZED COST $362,170,188)................................... 362,170,188
--------------
U.S. TREASURY OBLIGATIONS -- 54.81%
U.S. TREASURY BILLS -- 38.08%**
25,000,000 U.S. Treasury Bills.............................. 4.64 11/18/99 24,945,931
45,000,000 U.S. Treasury Bills.............................. 4.68 11/26/99 44,855,625
85,000,000 U.S. Treasury Bills.............................. 4.85 12/2/99 84,650,065
50,000,000 U.S. Treasury Bills.............................. 4.88 12/9/99 49,746,032
25,000,000 U.S. Treasury Bills.............................. 4.88 12/16/99 24,849,563
35,000,000 U.S. Treasury Bills.............................. 4.92 12/23/99 34,754,842
50,000,000 U.S. Treasury Bills.............................. 4.99 12/30/99 49,596,424
12,000,000 U.S. Treasury Bills.............................. 4.81 1/20/00 11,873,600
35,000,000 U.S. Treasury Bills.............................. 4.96 2/17/00 34,486,250
5,000,000 U.S. Treasury Bills.............................. 4.95 2/24/00 4,922,056
10,000,000 U.S. Treasury Bills.............................. 4.93 3/9/00 9,825,850
20,000,000 U.S. Treasury Bills.............................. 4.96 3/16/00 19,630,533
40,000,000 U.S. Treasury Bills.............................. 4.96 4/6/00 39,147,185
12,000,000 U.S. Treasury Bills.............................. 5.00 4/13/00 11,729,947
50,000,000 U.S. Treasury Bills.............................. 5.15 4/20/00 48,793,500
45,000,000 U.S. Treasury Bills.............................. 5.15 4/27/00 43,871,183
10,000,000 U.S. Treasury Bills.............................. 5.08 5/25/00 9,713,317
--------------
547,391,903
--------------
U.S. TREASURY NOTES -- 16.73%
15,000,000 U.S. Treasury Notes.............................. 7.88 11/15/99 15,016,857
20,000,000 U.S. Treasury Notes.............................. 5.88 11/15/99 20,008,174
40,000,000 U.S. Treasury Notes.............................. 5.63 11/30/99 40,025,230
25,000,000 U.S. Treasury Notes.............................. 5.88 2/15/00 25,045,739
10,000,000 U.S. Treasury Notes.............................. 5.50 2/29/00 10,009,543
40,000,000 U.S. Treasury Notes.............................. 5.50 3/31/00 40,034,574
40,000,000 U.S. Treasury Notes.............................. 6.38 5/15/00 40,207,122
</TABLE>
15
<PAGE>
REPUBLIC U.S. GOVERNMENT MONEY MARKET FUND
SCHEDULE OF PORTFOLIO INVESTMENTS -- OCTOBER 31, 1999 (CONTINUED)
<TABLE>
<CAPTION>
PRINCIPAL MATURITY AMORTIZED
AMOUNT DESCRIPTION RATE DATE COST
- ----------- ----------- ---- -------- --------------
<S> <C> <C> <C> <C>
$25,000,000 U.S. Treasury Notes.............................. 6.25% 5/31/00 $ 25,122,072
25,000,000 U.S. Treasury Notes.............................. 5.50 5/31/00 25,024,647
--------------
240,493,958
--------------
TOTAL U.S. TREASURY OBLIGATIONS (AMORTIZED COST $787,885,861)..... 787,885,861
--------------
REPURCHASE AGREEMENTS -- 20.16%
49,800,100 Cantor Fitzgerald, 5.23% due 11/1/99, with a maturity value of
$49,807,334 (collaterized by $34,293,000 U.S. Treasury Bond
11.25%, 2/15/15, market value $50,796,506)...................... 49,800,100
48,000,000 Commerzbank, 5.20% due 11/1/99, with a maturity value of
$48,006,933 (collaterized by $43,424,000 U.S. Treasury Note
8.75%, 11/15/08, market value $48,320,056)...................... 48,000,000
48,000,000 First Union, 5.23% due 11/1/99, with a maturity value of
$48,006,973 (collaterized by $48,778,000 U.S. Treasury Note
5.13%, 8/31/00, market value $48,960,917)....................... 48,000,000
47,000,000 Societe Generale, 5.22% due 11/1/99, with a maturity value of
$47,006,815 (collaterized by $46,886,000 U.S. Treasury Note
6.25%, 1/31/02, market value $47,940,935)....................... 47,000,000
48,000,000 Societe Generale, 5.23% due 11/1/99, with a maturity value of
$48,006,973 (collaterized by $48,585,000 U.S. Treasury Note
5.50%, 7/31/01, market value $49,010,118)....................... 48,000,000
49,000,000 Warburg due, 5.22% 11/1/99, with a maturity value of $49,007,105
(collaterized by $48,702,000 U.S. Treasury Note 6.13%, 12/31/01,
market value $49,980,427)....................................... 49,000,000
--------------
TOTAL REPURCHASE AGREEMENTS (AMORTIZED COST $289,800,100)......... 289,800,100
--------------
TOTAL INVESTMENTS (AMORTIZED COST $1,439,856,149)
(a) -- 100.17%................................................ 1,439,856,149
LIABILITIES IN EXCESS OF OTHER ASSETS -- (0.17)%................ (2,479,637)
--------------
NET ASSETS -- 100.00%............................................ $1,437,376,512
--------------
--------------
</TABLE>
Percentages indicated are based on net assets of $1,437,376,512.
(a) Cost and value for federal income tax and financial reporting purposes are
the same.
* Variable rate investments. The rate presented on the Schedule of Portfolio
Investments is the rate in effect at October 31, 1999. The date presented
reflects the next rate change date.
** Rate disclosed represents effective yield at October 31, 1999.
See notes to financial statements.
16
<PAGE>
REPUBLIC NEW YORK TAX-FREE MONEY MARKET FUND
SCHEDULE OF PORTFOLIO INVESTMENTS -- OCTOBER 31, 1999
<TABLE>
<CAPTION>
PRINCIPAL MOODY'S/S&P MATURITY AMORTIZED
AMOUNT DESCRIPTION RATINGS(b) RATE DATE COST
- ---------- ----------- ------------ ---- -------- ------------
<S> <C> <C> <C> <C> <C>
NEW YORK TAX-FREE NOTES AND COMMERCIAL PAPER -- 98.59%
NEW YORK TAX-FREE MUNICIPAL NOTES -- 17.76%
$3,000,000 Connetquot, New York CSD, GO......... VMIG1, N/R 3.80% 6/29/00 $ 3,008,587
2,000,000 Islip, New York, GO.................. N/R, N/R 3.90 7/14/00 2,006,757
3,325,000 New York City, New York, GO.......... Aaa, N/R 5.00 2/15/00 3,342,303
1,000,000 New York State Dormitory Authority,
City University.................... Aaa, N/R 7.88 7/1/07 1,048,854
3,000,000 New York State Power Authority, GO... VMIG1, A-1 3.55 3/1/00 3,000,000
2,750,000 Oyster Bay, New York, GO............. N/R, N/R 3.25 11/30/99 2,750,531
3,600,000 Pearl River, New York, GO............ N/R, N/R 3.75 6/22/00 3,607,756
3,540,000 Port Authority of New York & New
Jersey, AMT........................ A-1, AA- 4.00 11/15/99 3,541,259
3,000,000 Rochester, New York, GO.............. N/R, N/R 3.50 3/8/00 3,005,397
2,000,000 Valley Stream, New York, GO.......... N/R, N/R 4.00 6/30/00 2,005,740
2,000,000 Westchester, New York, GO............ VMIG1, N/R 2.83 12/30/99 2,000,092
------------
29,317,276
------------
NEW YORK TAX-FREE COMMERCIAL PAPER -- 25.54%
3,500,000 Metropolitan Transport Authority..... P1, A-1+ 3.40 11/8/99 3,500,000
4,000,000 Metropolitan Transport Authority..... P1, A-1+ 3.50 2/4/00 4,000,000
2,000,000 New York City Cultural Trust for the
Museum of Natural History.......... Aaa, AAA 3.70 7/1/29 2,000,000
3,000,000 New York State Dormitory Authority,
Columbia University................ P1, A-1+ 3.35 2/11/00 3,000,000
4,600,000 New York State Dormitory Authority,
Cornell University................. P1, A-1+ 3.40 11/10/99 4,600,000
4,000,000 New York State Municipal Water
Authority.......................... P1, A-1+ 3.55 11/3/99 4,000,000
1,000,000 New York State Municipal Water
Authority.......................... P1, A-1+ 3.55 11/15/99 1,000,000
3,400,000 New York State Power Authority....... P1, A-1 3.45 11/18/99 3,400,000
3,000,000 New York State Power Authority....... P1, A-1 3.50 12/1/99 3,000,000
2,055,000 New York State Power Authority....... P1, A-1+ 3.40 12/9/99 2,055,000
2,000,000 New York State Power Authority....... P1, A-1 3.35 2/11/00 2,000,000
5,000,000 New York State, GO................... N/R, N/R 3.30 11/5/99 5,000,000
1,000,000 New York State, GO................... P1, A-1+ 3.50 11/15/99 1,000,000
3,600,000 New York State, GO................... VMIG1, P1 3.25 11/16/99 3,600,000
------------
42,155,000
------------
</TABLE>
17
<PAGE>
REPUBLIC NEW YORK TAX-FREE MONEY MARKET FUND
SCHEDULE OF PORTFOLIO INVESTMENTS -- OCTOBER 31, 1999 (CONTINUED)
<TABLE>
<CAPTION>
PRINCIPAL MOODY'S/S&P MATURITY AMORTIZED
AMOUNT DESCRIPTION RATINGS(b) RATE DATE COST
- ---------- ----------- ------------ ---- -------- ------------
<S> <C> <C> <C> <C> <C>
VARIABLE RATE DEMAND NOTES* -- 55.29%
$5,500,000 Babylon, New York IDA, AMT (LOC UBS
AG)................................ N/R, A-1+ 3.65% 11/1/99 $ 5,500,000
1,000,000 Hempstead, New York IDA Nassau Energy
(LOC Toronto Dominion Bank)........ N/R, A-1+ 3.45 11/3/99 1,000,000
1,250,000 Long Island Power Authority (LOC ABN
Amro Bank NV)...................... VMIG1, A-1+ 3.65 11/1/99 1,250,000
3,000,000 Long Island Power Authority (LOC West
Deutsche Landebank)................ VMIG1, A-1+ 3.40 11/3/99 3,000,000
3,000,000 Long Island Power Authority (MBIA
Insured)........................... N/R, A-1+ 3.45 11/3/99 3,000,000
2,250,000 Nassau County IDA Civic Facility for
Cold Spring Harbor Labs............ VMIG1, A-1+ 3.55 11/1/99 2,250,000
1,900,000 New York City Health & Hospital (LOC
Canadian Imperial Bank)............ VMIG1, A-1+ 3.25 11/3/99 1,900,000
3,000,000 New York City, GO.................... VMIG1, N/R 2.90 11/1/99 3,000,000
3,000,000 New York City, GO (LOC Morgan
Guaranty Trust).................... VMIG1, A-1+ 3.50 11/1/99 3,000,000
2,000,000 New York City, New York (LOC Societe
Generale).......................... VMIG1, A-1+ 3.20 11/3/99 2,000,000
3,150,000 New York City, New York, GO (FGIC
Insured)........................... VMIG1, A-1+ 4.00 11/1/99 3,150,000
2,000,000 New York State Dormitory Authority... VMIG1, A-1+ 3.35 11/1/99 2,000,000
3,600,000 New York State Dormitory Authority
(LOC Chase Manhattan Bank)......... P1, A-1+ 3.50 11/1/99 3,600,000
7,800,000 New York State Energy Research &
Development Pollution Control
Revenue for Rochester Gas &
Electric (MBIA Insured)............ VMIG1, A-1+ 3.35 8/1/32 7,800,000
2,000,000 New York State Energy, Brooklyn (MBIA
Insured)........................... VMIG1, A-1+ 3.40 11/3/99 2,000,000
3,000,000 New York State Energy, Central Hudson
(LOC Deutsche Bank AG)............. P1, N/R 3.50 11/4/99 3,000,000
4,000,000 New York State Energy, Edison........ N/R, A-1 3.45 11/3/99 4,000,000
4,000,000 New York State Energy, Niagara Mohawk
(LOC Toronto Dominion Bank)........ P1, N/R 3.60 11/1/99 4,000,000
5,000,000 New York State Energy, Niagara (LOC
Toronto Dominion Bank)............. P1, N/R 3.70 11/1/99 5,000,000
</TABLE>
18
<PAGE>
REPUBLIC NEW YORK TAX-FREE MONEY MARKET FUND
SCHEDULE OF PORTFOLIO INVESTMENTS -- OCTOBER 31, 1999 (CONTINUED)
<TABLE>
<CAPTION>
PRINCIPAL MOODY'S/S&P MATURITY AMORTIZED
AMOUNT DESCRIPTION RATINGS(b) RATE DATE COST
- ---------- ----------- ------------ ---- -------- ------------
<S> <C> <C> <C> <C> <C>
$4,500,000 Mohawk New York State Energy, Niagara
Mohawk (LOC Toronto Dominion
Bank).............................. P1, N/R 3.50% 11/1/99 $ 4,500,000
5,000,000 New York State Housing Authority (LOC
Fleet Bank)........................ VMIG1, N/R 3.15 11/3/99 5,000,000
10,800,000 New York State Housing Authority (LOC
Fleet Bank)........................ VMIG1, N/R 3.40 11/3/99 10,800,000
4,500,000 New York State Local Government
Assistance (LOC Canadian Imperial
Bank).............................. VMIG1, A-1+ 3.20 11/3/99 4,500,000
2,000,000 Port Authority of New York & New
Jersey............................. P1, A-1 3.45 11/1/99 2,000,000
1,000,000 Suffolk County New York IDA (LOC
European American Bank)............ VMIG1, N/R 3.45 11/3/99 1,000,000
3,000,000 Suffolk County New York Water
Authority.......................... VMIG1, N/R 3.40 11/3/99 3,000,000
------------
91,250,000
------------
TOTAL NEW YORK TAX-FREE NOTES AND COMMERCIAL PAPER
(AMORTIZED COST $162,722,276)..................................... 162,722,276
------------
SHORT-TERM INVESTMENTS -- 1.19%
MUTUAL FUNDS -- 1.19%
1,960,000 Provident New York Tax-Free Money
Market Fund........................ 1,960,000
------------
TOTAL SHORT-TERM INVESTMENTS (AMORTIZED COST
$1,960,000)....................................................... 1,960,000
------------
TOTAL INVESTMENTS (AMORTIZED COST $164,682,276)(a) --
99.78%............................................................ 164,682,276
OTHER ASSETS IN EXCESS OF LIABILITIES -- 0.22%..................... 329,130
------------
NET ASSETS -- 100.00%.............................................. $165,011,406
------------
------------
</TABLE>
Percentages indicated are based on net assets of $165,011,406.
(a) Cost and value for federal income tax and financial reporting purposes are
the same.
(b) Ratings indicated are believed to be the most recent available at
October 31, 1999 for the securities listed. These ratings are unaudited.
CSD -- Central School District
GO -- General Obligation
IDA -- Industrial Development Agency
AMT -- Alternative Minimum Tax
LOC -- Letter of Credit
MBIA -- Municipal Bond Insurance Association
FGIC -- Financial Guaranty Insurance Corp.
* Variable rate investments. The rate presented on the Schedule of Portfolio
Investments is the rate in effect at October 31, 1999. The date presented
reflects the next rate change date.
See notes to financial statements.
19
<PAGE>
REPUBLIC FUNDS
STATEMENTS OF ASSETS AND LIABILITIES
OCTOBER 31, 1999
<TABLE>
<CAPTION>
U.S. NEW YORK
GOVERNMENT TAX-FREE
MONEY MARKET MONEY MARKET MONEY MARKET
FUND FUND FUND
------------ -------------- ------------
<S> <C> <C> <C>
ASSETS:
Investments, at value (cost $325,826,259,
$1,150,056,049 and $164,682,276,
respectively).............................. $325,826,259 $1,150,056,049 $164,682,276
Repurchase agreements, at value (cost
$21,562,000, $289,800,100 and $0,
respectively).............................. 21,562,000 289,800,100 --
------------ -------------- ------------
Total Investments........................ 347,388,259 1,439,856,149 164,682,276
Cash.......................................... 279 71 --
Interest receivable........................... 1,642,776 8,150,966 905,126
Receivable for capital shares issued.......... -- 17 --
Receivable for investments sold............... -- 19,972,806 --
Prepaid expenses and other assets............. 2,815 225,533 1,789
------------ -------------- ------------
TOTAL ASSETS.................................... 349,034,129 1,468,205,542 165,589,191
------------ -------------- ------------
LIABILITIES:
Payable to custodian for overdraft............ -- -- 28,091
Dividends payable............................. 1,449,598 5,303,511 397,798
Payable for capital shares redeemed........... -- 6 873
Payable for investments purchased............. -- 24,499,128 --
Accrued expenses and other payables:
Investment management fees payable......... 56,343 240,453 20,611
Administration fees payable................ 25,420 100,348 11,468
Shareholder servicing fees payable (Class
A, B, D Shares).......................... 85,096 408,856 46,049
Distribution fees payable (Class B
Shares).................................. -- 51 --
Custodian fees............................. 10,583 13,287 4,257
Other payables............................. 89,004 263,390 68,638
------------ -------------- ------------
TOTAL LIABILITIES............................... 1,716,044 30,829,030 577,785
------------ -------------- ------------
NET ASSETS...................................... $347,318,085 $1,437,376,512 $165,011,406
------------ -------------- ------------
------------ -------------- ------------
COMPOSITION OF NET ASSETS:
Capital....................................... $347,317,932 $1,437,245,817 $165,022,984
Accumulated net investment income............. -- -- 19,053
Accumulated net realized gains/(losses) from
investment transactions.................... 153 130,695 (30,631)
------------ -------------- ------------
NET ASSETS...................................... $347,318,085 $1,437,376,512 $165,011,406
------------ -------------- ------------
------------ -------------- ------------
</TABLE>
- continued -
20
<PAGE>
REPUBLIC FUNDS
STATEMENTS OF ASSETS AND LIABILITIES (CONTINUED)
OCTOBER 31, 1999
<TABLE>
<CAPTION>
U.S. NEW YORK
GOVERNMENT TAX-FREE
MONEY MARKET MONEY MARKET MONEY MARKET
FUND FUND FUND
------------ -------------- ------------
<S> <C> <C> <C>
NET ASSETS:
Class A (Investor) Shares..................... $226,783,050 $ 932,873,741 $113,583,236
Class B Shares................................ -- 118,854 10
Class D (Private Investor) Shares............. 46,863,457 465,526,256 39,442,117
Class Y (Adviser) Shares...................... 73,671,578 38,857,661 11,986,043
------------ -------------- ------------
TOTAL NET ASSETS................................ $347,318,085 $1,437,376,512 $165,011,406
------------ -------------- ------------
------------ -------------- ------------
SHARES OUTSTANDING (par value $0.001, unlimited
number of shares authorized):
Class A (Investor) Shares..................... 226,782,937 932,757,044 113,593,487
Class B Shares................................ -- 118,844 10
Class D (Private Investor) Shares............. 46,863,457 465,516,175 39,443,354
Class Y (Adviser) Shares...................... 73,671,538 38,853,754 11,986,134
CLASS A SHARES (INVESTOR) SHARES
Net Asset Value, Offering Price and Redemption
Price per share............................ $1.00 $1.00 $1.00
------------ -------------- ------------
------------ -------------- ------------
CLASS B SHARES
Net Asset Value and Offering Price per
share *.................................... -- $1.00 $1.00
------------ -------------- ------------
------------ -------------- ------------
CLASS D (PRIVATE INVESTOR) SHARES
Net Asset Value, Offering Price and Redemption
Price per share............................ $1.00 $1.00 $1.00
------------ -------------- ------------
------------ -------------- ------------
CLASS Y SHARES (ADVISER) SHARES
Net Asset Value, Offering Price and Redemption
Price per share............................ $1.00 $1.00 $1.00
------------ -------------- ------------
------------ -------------- ------------
</TABLE>
* Redemption price varies based on length of time held.
See notes to financial statements.
21
<PAGE>
REPUBLIC FUNDS
STATEMENTS OF OPERATIONS
FOR THE YEAR ENDED OCTOBER 31, 1999
<TABLE>
<CAPTION>
U.S. NEW YORK
GOVERNMENT TAX-FREE
MONEY MARKET MONEY MARKET MONEY MARKET
FUND* FUND FUND
------------ ------------- ------------
<S> <C> <C> <C>
INVESTMENT INCOME:
Interest income................................ $13,638,174 $63,936,911 $5,275,156
EXPENSES:
Advisory fees.................................. 572,518 2,654,142 255,958
Administration fees............................ 239,621 1,252,676 155,752
Distribution fees -- (Class B Shares)........ -- 483 --
Shareholder service fees -- (Class A
Shares)..................................... 482,658 3,278,426 420,488
Shareholder service fees -- (Class B
Shares)..................................... -- 683 --
Shareholder service fees -- (Class D
Shares)..................................... 71,726 595,743 53,563
Accounting fees................................ 39,247 49,653 47,642
Custodian fees and expenses.................... 80,218 184,848 56,701
Transfer agent fees............................ 33,984 48,363 37,013
Other expenses................................. 85,278 348,791 95,091
----------- ----------- ----------
Total expenses before voluntary fee
reductions............................. 1,605,250 8,413,808 1,122,208
Voluntary fee reductions.................. (198,112) -- --
----------- ----------- ----------
Net expenses.............................. 1,407,138 8,413,808 1,122,208
----------- ----------- ----------
NET INVESTMENT INCOME............................ 12,231,036 55,523,103 4,152,948
----------- ----------- ----------
REALIZED GAINS FROM INVESTMENTS:
Net realized gains from investment
transactions................................ 153 132,150 28
----------- ----------- ----------
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS... $12,231,189 $55,655,253 $4,152,976
----------- ----------- ----------
----------- ----------- ----------
</TABLE>
* Commencement of operations was November 12, 1998.
See notes to financial statements.
22
<PAGE>
REPUBLIC MONEY MARKET FUND
STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
FOR THE PERIOD
NOVEMBER 12, 1998
TO OCTOBER 31,
1999(c)
-----------------
<S> <C>
INVESTMENT ACTIVITIES:
OPERATIONS:
Net investment income..................................... $ 12,231,036
Net realized gains from investment transactions........... 153
------------
Change in net assets resulting from operations.............. 12,231,189
------------
DIVIDENDS TO SHAREHOLDERS FROM:
Net investment income:
Class A (Investor) Shares (a).......................... (6,090,783)
Class D (Private Investor) Shares (b).................. (1,308,867)
Class Y (Adviser) Shares............................... (4,831,386)
------------
Change in net assets from shareholder dividends........... (12,231,036)
------------
CHANGE IN NET ASSETS FROM CAPITAL TRANSACTIONS.............. 347,317,932
------------
CHANGE IN NET ASSETS........................................ 347,318,085
NET ASSETS:
Beginning of period....................................... --
------------
End of period............................................. $347,318,085
------------
------------
</TABLE>
(a) Commencement of operations was November 13, 1998.
(b) Commencement of operations was April 1, 1999.
(c) Period from commencement of operations.
See notes to financial statements.
23
<PAGE>
REPUBLIC U.S. GOVERNMENT MONEY MARKET FUND
STATEMENTS OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
FOR THE ONE MONTH FOR THE
YEAR ENDED PERIOD ENDED YEAR ENDED
OCTOBER 31, OCTOBER 31, SEPTEMBER 30,
1999 1998 1998
-------------- -------------- --------------
<S> <C> <C> <C>
INVESTMENT ACTIVITIES:
OPERATIONS:
Net investment income........................ $ 55,523,103 $ 3,898,777 $ 37,494,658
Net realized gains on investment
transactions.............................. 132,150 32,707 60,937
-------------- -------------- --------------
Change in net assets resulting from
operations................................... 55,655,253 3,931,484 37,555,595
-------------- -------------- --------------
DIVIDENDS TO SHAREHOLDERS:
Net investment income:
Class A (Investor) Shares................. (43,105,464) (3,776,704) (36,222,464)
Class B Shares (a)........................ (4,070) (350) (246)
Class D (Private Investor) Shares (b)..... (10,132,348) -- --
Class Y (Adviser) Shares.................. (2,281,221) (121,717) (1,303,322)
In excess of net investment income:
Class A (Invester) Shares................. (1,373) -- --
Class D (Private Investor) Shares (b)..... (24) -- --
Class Y (Adviser) Shares.................. (59) -- --
Net realized gains from investment
transactions:
Class A (Investor) Shares................. (80,896) -- (101,952)
Class B Shares (a)........................ (7) -- --
Class Y (Adviser) Shares.................. (2,248) -- (3,282)
-------------- -------------- --------------
Change in net assets from shareholder
dividends................................. (55,607,710) (3,898,771) (37,631,266)
-------------- -------------- --------------
CHANGE IN NET ASSETS FROM CAPITAL SHARE
TRANSACTIONS................................. 347,436,896 72,487,083 495,565,245
-------------- -------------- --------------
CHANGE IN NET ASSETS........................... 347,484,439 72,519,796 495,489,574
NET ASSETS:
Beginning of period.......................... 1,089,892,073 1,017,372,277 521,882,703
-------------- -------------- --------------
End of period................................ $1,437,376,512 $1,089,892,073 $1,017,372,277
-------------- -------------- --------------
-------------- -------------- --------------
</TABLE>
(a) Commencement of operations was February 2, 1998.
(b) Commencement of operations was April 1, 1999.
See notes to financial statements.
24
<PAGE>
REPUBLIC NEW YORK TAX-FREE MONEY MARKET FUND
STATEMENTS OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
FOR THE YEARS ENDED
OCTOBER 31,
---------------------------
1999 1998
------------ ------------
<S> <C> <C>
INVESTMENT ACTIVITIES:
OPERATIONS:
Net investment income..................................... $ 4,152,948 $ 4,257,499
Net realized gains on investment transactions............. 28 (1,486)
------------ ------------
Change in net assets resulting from operations.............. 4,152,976 4,256,013
------------ ------------
DIVIDENDS TO SHAREHOLDERS:
Net investment income:
Class A (Investor) Shares.............................. (3,173,395) (3,680,864)
Class B Shares(a)...................................... -- (824)
Class D (Private Investor) Shares(b)................... (538,125) --
Class Y (Adviser) Shares............................... (441,428) (575,811)
------------ ------------
Change in net assets from shareholder dividends........... (4,152,948) (4,257,499)
------------ ------------
CHANGE IN NET ASSETS FROM CAPITAL SHARE TRANSACTIONS........ 660,003 32,354,543
------------ ------------
CHANGE IN NET ASSETS........................................ 660,031 32,353,057
NET ASSETS:
Beginning of year......................................... 164,351,375 131,998,318
------------ ------------
End of year............................................... $165,011,406 $164,351,375
------------ ------------
------------ ------------
</TABLE>
(a) Commencement of operations was April 29, 1998.
(b) Commencement of operations was April 1, 1999.
See notes to financial statements.
25
<PAGE>
REPUBLIC FUNDS
NOTES TO FINANCIAL STATEMENTS -- OCTOBER 31, 1999
1. ORGANIZATION:
Republic Money Market Fund (the 'Money Market Fund'), Republic U.S.
Government Money Market Fund (the 'U.S. Government Money Market Fund') and
Republic New York Tax-Free Money Market Fund (the 'New York Tax-Free Money
Market Fund') (individually a 'Fund,' collectively the 'Funds') are separate
series of Republic Funds (the 'Trust'), a Massachusetts business trust
organized on April 22, 1987. Financial statements for all other series of
Republic Funds are published separately. The Trust is registered under the
Investment Company Act of 1940, as amended (the 'Act'), as an open-end,
management investment company.
The investment objective of the Money Market Fund is to provide
shareholders of the Fund with liquidity and as high a level of current income
as is consistent with the preservation of capital. The Fund invests primarily
in bank certificates of deposit, bankers' acceptances, prime commercial
paper, corporate obligations, and U.S. government securities.
The investment objective of the U.S. Government Money Market Fund is to
provide its shareholders with liquidity and as high a level of current income
as is consistent with the preservation of capital. The Fund invests primarily
in issues of the U.S. Treasury, such as bills, notes, bonds and issues of
U.S. Government agencies and instrumentalities established under the
authority of an Act of Congress.
The investment objective of the New York Tax-Free Money Market Fund is
to provide its shareholders with liquidity and as high a level of current
income that is exempt from Federal, New York State and New York City personal
income taxes as is consistent with the preservation of capital. The Fund
invests primarily in high-quality commercial paper, municipal notes,
including tax and revenue authorization notes, tax anticipation notes, bond
anticipation notes and revenue anticipation notes, that are exempt from
Federal, New York State, and New York City personal income tax.
The Funds are authorized to issue five classes of shares, Class A Shares
(or 'Investor Shares'), Class B Shares and Class Y Shares (or 'Adviser
Shares'). Beginning November 4, 1998 and April 1, 1999, Class C Shares and
Class D Shares (or 'Private Investor Shares') were authorized, respectively.
For Class C Shares, as of October 31, 1999 no public shares were outstanding,
therefore no operations are shown. Each class of shares in each Fund has
identical rights and privileges, except with respect to fees paid under
shareholder servicing or distribution plans, voting rights on matters
affecting a single class of shares, and the exchange privilege of each class
of shares.
2. SIGNIFICANT ACCOUNTING POLICIES:
The following is a summary of significant accounting policies followed
by the Funds in the preparation of their financial statements. The policies
are in conformity with generally accepted accounting principles. The
preparation of financial statements requires management to make estimates and
assumptions that affect the reported amounts of assets and liabilities at the
date of the financial statements and the reported amounts of income and
expenses for the year. Actual results could differ from those estimates.
SECURITIES VALUATION:
Investments of the Funds are valued at amortized cost, which
approximates market value. Under the
26
<PAGE>
REPUBLIC FUNDS
NOTES TO FINANCIAL STATEMENTS -- OCTOBER 31, 1999 (CONTINUED)
amortized cost method, discount or premium is accreted or amortized,
respectively, on a constant (straight-line) basis to the maturity of the
security.
SECURITY TRANSACTIONS AND RELATED INCOME:
Security transactions are accounted for on trade date. Interest income
is recognized on the accrual basis and includes, where applicable, the
amortization of premium or accretion of discount. Securities gains and losses
are calculated on the identified cost basis.
EXPENSE ALLOCATION:
Expenses directly attributable to a Fund or class are charged to that
Fund or class; other expenses are allocated proportionately among each Fund
within the Trust in relation to the net assets of each Fund. Expenses are
allocated to each class in proportion to their corresponding net asset
levels.
FEDERAL INCOME TAXES:
Each Fund is a separate taxable entity for federal income tax purposes.
Each Fund has qualified and intends to continue to qualify as a 'regulated
investment company' under Subchapter M of the Internal Revenue Code, as
amended, and to distribute substantially all of its taxable income and net
realized gains, if any, to its shareholders. Accordingly, no provision for
federal income or excise tax is required.
DIVIDENDS TO SHAREHOLDERS:
Dividends from net investment income are declared daily and paid monthly
from each Fund. Dividends from net realized capital gains, if any, are
declared and paid at least annually by the Funds.
The Funds' net realized capital gains, if any, are distributed to
shareholders at least annually. Additional distributions are also made to the
Funds' shareholders to the extent necessary to avoid the federal excise tax
on certain undistributed income and net capital gains of regulated investment
companies.
The amount of distributions from net investment income and net realized
gains are determined in accordance with federal income tax regulations which
may differ from generally accepted accounting principles. These 'book/tax'
differences are either considered temporary or permanent in nature. To the
extent these differences are permanent in nature, such amounts are
reclassified to paid-in capital; temporary differences do not require
reclassification.
As of October 31, 1999, the following reclassifications have been made
to increase (decrease) such accounts with offsetting adjustments made to
capital:
<TABLE>
<CAPTION>
ACCUMULATED ACCUMULATED NET
NET INVESTMENT REALIZED GAIN/(LOSS)
INCOME/(LOSS) FROM INVESTMENTS
------------- ----------------
<S> <C> <C>
U.S. Government Money Market........................... $1,456 $ (25,233)
</TABLE>
REPURCHASE AGREEMENTS:
The Funds may acquire repurchase agreements with an entity which is a
member of the Federal Reserve System or which is a 'primary dealer' (as
designated by the Federal Reserve Bank of New York) in U.S. Government
obligations. The repurchase price generally equals the price paid by a Fund
plus interest negotiated on the basis of current short-term rates, which may
be more or less than the rate on the underlying
27
<PAGE>
REPUBLIC FUNDS
NOTES TO FINANCIAL STATEMENTS -- OCTOBER 31, 1999 (CONTINUED)
portfolio securities. The seller, under a repurchase agreement, is required
to maintain the value of collateral held pursuant to the agreement at not
less than the repurchase price (including accrued interest). Collateral
subject to repurchase agreements is held by the Funds' custodian, either
physically or in book entry form.
3. RELATED PARTY TRANSACTIONS:
INVESTMENT MANAGEMENT:
Republic National Bank of New York ('Republic' or the 'Investment
Manager'), a wholly owned subsidiary of Republic New York Corporation, a
registered bank holding company, acts as Investment Manager to the Funds. For
its services as Investment Manager, Republic receives a fee, payable monthly,
at the annual percentage rate of average daily net assets of the Money Market
Fund, U.S. Government Money Market Fund and New York Tax-Free Money Market
Fund, respectively. Republic New York Corporation has agreed to be acquired
by HSBC Holdings plc.
<TABLE>
<CAPTION>
INVESTMENT MANAGEMENT FEES
----------------------------------
ANNUAL FEES AS
A PERCENTAGE OF
AVERAGE DAILY FEES VOLUNTARILY
NET ASSETS REDUCED
--------------- ----------------
<S> <C> <C>
Money Market Fund........................................ 0.20% $198,112
U.S. Government Money Market Fund........................ 0.20% --
New York Tax-Free Money Market Fund...................... 0.15% --
</TABLE>
ADMINISTRATION:
BISYS Fund Services Limited Partnership ('BISYS') and BISYS Fund
Services Ohio, Inc. ('BISYS Ohio') are wholly-owned subsidiaries of The
BISYS Group, Inc. BISYS Ohio, with whom certain officers of the Trust are
affiliated, serves the Trust as Administrator. Such officers are paid no
fees directly by the Funds for serving as officers of the Trust. Under the
terms of the administration agreement, BISYS Ohio receives from the Funds
a fee accrued daily and paid monthly at an annual rate of:
<TABLE>
<CAPTION>
ADMINISTRATION
BASED ON AVERAGE DAILY NET ASSETS FEE RATE
--------------------------------- --------
<S> <C>
Up to $1 billion............................................ 0.10%
In excess of $1 billion but not exceeding $2 billion........ 0.08%
In excess of $2 billion..................................... 0.07%
</TABLE>
The fees paid by the Trust are allocated to each Fund based upon its pro
rata share of their net assets.
Prior to April 1, 1999, the fee breakpoints were determined on the basis
of each Fund's average daily net assets. Effective April 1, 1999 the fee
breakpoints are determined on the basis of the aggregate average daily net
assets of all registered investment companies advised by the Investment
Manager for which BISYS serves as Administrator.
28
<PAGE>
REPUBLIC FUNDS
NOTES TO FINANCIAL STATEMENTS -- OCTOBER 31, 1999 (CONTINUED)
DISTRIBUTION PLAN:
The Trust has adopted a noncompensatory Distribution Plan and Agreement
(the 'Plan') pursuant to Rule 12b-1 of the Act. The Plan provides for a
monthly payment by the Funds to the Sponsor for amounts representing actual
expenses incurred by the Sponsor for marketing costs and services rendered in
distributing each Fund's shares at a rate not to exceed 0.25%, 0.75%, 0.75%
and 0.25% of the average daily net assets of Class A Shares (or 'Investor
Shares'), Class B Shares, Class C Shares and Class D Shares (or 'Private
Investor Shares') of the Fund, respectively.
SHAREHOLDER SERVICING PLANS:
The Trust has entered into a Shareholder Servicing agreement with its
Shareholder Servicing Agents (which currently consist of Republic and its
affiliates) for providing various shareholder services. The aggregate fees
paid to the Distributor pursuant to the Distribution Plan and to Shareholder
Servicing Agents pursuant to the Shareholder Servicing Agreement may not
exceed 1.00%, 1.00%, 1.00% and 0.25% per annum of each Fund's average daily
net assets of Class A Shares (or 'Investor Shares'), Class B Shares,
Class C Shares and Class D Shares (or 'Private Investor Shares'),
respectively.
OTHER:
Effective April 17, 1999 BISYS Ohio replaced Investors Bank & Trust
Company as fund accountant to the Funds. BISYS Ohio also provided transfer
agency services for Class A Shares (or 'Investor Shares') and Class Y Shares
(or 'Adviser Shares') beginning April 17, 1999. BISYS Ohio acted as transfer
agent for all other classes of each Fund for the fiscal year. In addition,
Republic serves as custodian for the Funds. For services to the Funds, BISYS
Ohio and Republic receive an annual per fund fee accrued daily and paid
monthly.
4. CAPITAL SHARE TRANSACTIONS:
All capital share transactions have been affected at a value of $1.00
per share. Transactions in dollars and shares of beneficial interest for the
year ended October 31, 1999:
29
<PAGE>
REPUBLIC FUNDS
NOTES TO FINANCIAL STATEMENTS -- OCTOBER 31, 1999 (CONTINUED)
<TABLE>
<CAPTION>
MONEY U.S. GOVERNMENT NEW YORK TAX-FREE
MARKET FUND MONEY MARKET FUND MONEY MARKET FUND
-------------- ----------------------------------------------- -----------------------------
FOR THE PERIOD FOR THE FOR THE FOR THE FOR THE FOR THE
NOV. 12, YEAR MONTH YEAR YEAR YEAR
1998 TO ENDED ENDED ENDED ENDED ENDED
OCT. 31, OCT. 31, OCT. 31, SEPT. 30, OCT. 31, OCT. 31,
1999(a) 1999 1998 1998 1999 1998
------- ---- ---- ---- ---- ----
<S> <C> <C> <C> <C> <C> <C>
CAPITAL TRANSACTIONS:
Class A Shares:
Proceeds from shares
issued..................... $ 486,435,538 $1,233,797,888 $137,826,801 $ 2,040,187,992 $ 346,775,888 $ 620,474,727
Dividends reinvested......... 5,235,795 42,303,365 3,747,827 32,415,205 3,078,322 3,329,003
Cost of shares redeemed...... (264,888,396) (1,398,425,548) (74,679,360) (1,589,996,582) (389,862,797) (593,534,570)
------------- -------------- ------------ --------------- ------------- -------------
Class A capital
transactions............... $ 226,782,937 $ (122,324,295) $ 66,895,268 $ 482,606,615 $ (40,008,587) $ 30,269,160
------------- -------------- ------------ --------------- ------------- -------------
Class B Shares:
Proceeds from shares
issued..................... $ -- $ 5,700 $ -- $ 112,952 $ -- $ 105,074
Dividends reinvested......... -- 384 8 -- -- 47
Cost of shares redeemed...... -- -- -- (200) -- (105,111)
------------- -------------- ------------ --------------- ------------- -------------
Class B capital
transactions............... $ -- $ 6,084 $ 8 $ 112,752 $ -- $ 10
------------- -------------- ------------ --------------- ------------- -------------
Class D Shares:
Proceeds from shares
issued..................... $ 118,010,668 $ 976,577,861 $ -- $ -- $ 184,775,978 $ --
Dividends reinvested......... 1,085,432 7,146,969 -- -- 354,232 --
Cost of shares redeemed...... (72,232,643) (518,208,655) -- -- (145,686,856) --
------------- -------------- ------------ --------------- ------------- -------------
Class D capital
transactions............... $ 46,863,457 $ 465,516,175 $ -- $ -- $ 39,443,354 $ --
------------- -------------- ------------ --------------- ------------- -------------
Adviser Shares:
Proceeds from shares
issued..................... $ 609,954,236 $ 474,145,246 $ 53,086,980 $ 542,310,179 $ 166,565,291 $ 261,225,813
Dividends reinvested......... 4,270,991 577,952 44,115 544,713 158,384 106,415
Cost of shares redeemed...... (540,553,689) (470,484,266) (47,539,288) (530,009,014) (165,498,439) (259,246,855)
------------- -------------- ------------ --------------- ------------- -------------
Adviser capital
transactions............... $ 73,671,538 $ 4,238,932 $ 5,591,807 $ 12,845,878 $ 1,225,236 $ 2,085,373
------------- -------------- ------------ --------------- ------------- -------------
Change in net assets from
capital transactions......... $ 347,317,932 $ 347,436,896 $ 72,487,083 $ 495,565,245 $ 660,003 $ 32,354,543
------------- -------------- ------------ --------------- ------------- -------------
------------- -------------- ------------ --------------- ------------- -------------
SHARE TRANSACTIONS:
Class A Shares:
Issued....................... 486,435,538 1,233,797,888 137,826,801 2,040,187,992 346,775,888 620,474,727
Reinvested................... 5,235,795 42,303,365 3,747,827 32,415,205 3,078,322 3,329,003
Redeemed..................... (264,888,396) (1,398,425,548) (74,679,360) (1,589,996,582) (389,862,797 (593,534,570)
------------- -------------- ------------ --------------- ------------- -------------
Change in Class A Shares..... 226,782,937 (122,324,295) 66,895,268 482,606,615 (40,008,587) 30,269,160
------------- -------------- ------------ --------------- ------------- -------------
Class B Shares:
Issued....................... -- 5,700 -- 112,952 -- 105,074
Reinvested................... -- 384 8 -- -- 47
Redeemed..................... -- -- -- (200) -- (105,111)
------------- -------------- ------------ --------------- ------------- -------------
Change in Class B Shares..... -- 6,084 8 112,752 -- 10
------------- -------------- ------------ --------------- ------------- -------------
Class D Shares:
Issued....................... 118,010,668 976,577,861 -- -- 184,775,978 --
Reinvested................... 1,085,432 7,146,969 -- -- 354,232 --
Redeemed..................... (72,232,643) (518,208,655) -- -- (145,686,856) --
------------- -------------- ------------ --------------- ------------- -------------
Change in Class D Shares..... 46,863,457 465,516,175 -- -- 39,443,354 --
------------- -------------- ------------ --------------- ------------- -------------
Adviser Shares:
Issued....................... 609,954,236 474,145,246 53,086,980 542,310,179 166,565,291 261,225,813
Reinvested................... 4,270,991 577,952 44,115 544,713 158,384 106,415
Redeemed..................... (540,553,689) (470,484,266) (47,539,288) (530,009,014) (165,498,439) (259,246,855)
------------- -------------- ------------ --------------- ------------- -------------
Change in Adviser Shares..... 73,671,538 4,238,932 5,591,807 12,845,878 1,225,236 2,085,373
------------- -------------- ------------ --------------- ------------- -------------
Change in shares from capital
share transactions........... 347,317,932 347,436,896 72,487,083 495,565,245 660,003 32,354,543
------------- -------------- ------------ --------------- ------------- -------------
------------- -------------- ------------ --------------- ------------- -------------
</TABLE>
(a) Period from commencement of operations.
30
<PAGE>
REPUBLIC FUNDS
NOTES TO FINANCIAL STATEMENTS -- OCTOBER 31, 1999 (CONTINUED)
5. CONCENTRATION OF CREDIT RISK:
The New York Tax-Free Money Market Fund invests primarily in debt
obligations issued by the State of New York and its respective political
subdivisions, agencies and public authorities. The Fund is more susceptible
to economic and political factors adversely affecting issuers of New York
specific municipal securities than are municipal bond funds that are not
concentrated in these issuers to the same extent.
6. FEDERAL INCOME TAX INFORMATION (UNAUDITED):
For federal income tax purposes, the following Funds have capital loss
carryforwards as of October 31, 1999, which are available to offset capital
gains, if any:
<TABLE>
<CAPTION>
AMOUNT EXPIRES
------ -------
<S> <C> <C>
New York Tax-Free Money Market Fund...................... $13,842 2003
5,393 2004
9,911 2005
1,485 2006
-------
$30,631
-------
-------
</TABLE>
During the year ended October 31, 1999, the New York Tax-Free Money
Market Fund declared $4,152,948 of tax-exempt income distributions.
31
<PAGE>
REPUBLIC MONEY MARKET FUND
FINANCIAL HIGHLIGHTS -- CLASS A (INVESTOR) SHARES
<TABLE>
<CAPTION>
FOR THE PERIOD
NOVEMBER 13, 1998
TO OCTOBER 31,
1999(d)
-----------------
<S> <C>
NET ASSET VALUE, BEGINNING OF PERIOD........................ $1.00
------
INVESTMENT ACTIVITIES:
Net investment income..................................... 0.043
Net realized gains from investment transactions........... 0.000*
------
Total from investment activities............................ 0.043
------
DIVIDENDS:
Net investment income..................................... (0.043)
------
Total dividends............................................. (0.043)
------
NET ASSET VALUE, END OF PERIOD.............................. $1.00
------
------
TOTAL RETURN................................................ 4.42%(c)
RATIOS/SUPPLEMENTARY DATA:
Net assets at end of period (000's)....................... $226,783
Ratio of expenses to average net assets................... 0.67%(b)
Ratio of net investment income to average net assets...... 4.44%(b)
Ratio of expenses to average net assets (a)............... 0.75%(b)
</TABLE>
* Less than $0.001 per share.
(a) During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratio would have been as indicated.
(b) Annualized.
(c) Not annualized.
(d) Period from commencement of operations.
See notes to financial statements.
32
<PAGE>
REPUBLIC MONEY MARKET FUND
FINANCIAL HIGHLIGHTS -- CLASS D (PRIVATE INVESTOR) SHARES
<TABLE>
<CAPTION>
FOR THE PERIOD
APRIL 1, 1999
TO OCTOBER 31,
1999(d)
--------------
<S> <C>
NET ASSET VALUE, BEGINNING OF PERIOD........................ $1.00
------
INVESTMENT ACTIVITIES:
Net investment income..................................... 0.027
Net realized gains from investment transactions........... 0.000*
------
Total from investment activities............................ 0.027
------
DIVIDENDS:
Net investment income..................................... (0.027)
------
Total dividends............................................. (0.027)
------
NET ASSET VALUE, END OF PERIOD.............................. $1.00
------
------
TOTAL RETURN................................................ 2.69%(c)
RATIOS/SUPPLEMENTARY DATA:
Net assets at end of period (000's)....................... $46,863
Ratio of expenses to average net assets................... 0.59%(b)
Ratio of net investment income to average net assets...... 4.56%(b)
Ratio of expenses to average net assets (a)............... 0.62%(b)
</TABLE>
* Less than $0.001 per share.
(a) During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratio would have been as indicated.
(b) Annualized.
(c) Not annualized.
(d) Period from commencement of operations.
See notes to financial statements.
33
<PAGE>
REPUBLIC MONEY MARKET FUND
FINANCIAL HIGHLIGHTS -- CLASS Y (ADVISER) SHARES
<TABLE>
<CAPTION>
FOR THE PERIOD
NOVEMBER 12, 1998
TO OCTOBER 31,
1999(d)
-----------------
<S> <C>
NET ASSET VALUE, BEGINNING OF PERIOD........................ $1.00
------
INVESTMENT ACTIVITIES:
Net investment income..................................... 0.047
Net realized gains from investment transactions........... 0.000*
------
Total from investment activities............................ 0.047
------
DIVIDENDS:
Net investment income..................................... (0.047)
------
Total dividends............................................. (0.047)
------
NET ASSET VALUE, END OF PERIOD.............................. $1.00
------
------
TOTAL RETURN................................................ 4.76%(c)
RATIOS/SUPPLEMENTARY DATA:
Net assets at end of period (000's)....................... $73,672
Ratio of expenses to average net assets................... 0.31%(b)
Ratio of net investment income to average net assets...... 4.77%(b)
Ratio of expenses to average net assets (a)............... 0.40%(b)
</TABLE>
* Less than $0.001 per share.
(a) During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratio would have been as indicated.
(b) Annualized.
(c) Not annualized.
(d) Period from commencement of operations.
See notes to financial statements.
34
<PAGE>
REPUBLIC U.S. GOVERNMENT MONEY MARKET FUND
FINANCIAL HIGHLIGHTS -- CLASS A (INVESTOR) SHARES
<TABLE>
<CAPTION>
ONE MONTH
FOR THE PERIOD
YEAR ENDED ENDED FOR THE YEARS ENDED SEPTEMBER 30,
OCTOBER 31, OCTOBER 31, ------------------------------------------
1999 1998 1998 1997 1996 1995
----------- ----------- ------ ------ ------ ------
<S> <C> <C> <C> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF
PERIOD....................... $1.00 $1.00 $1.00 $1.00 $1.00 $1.00
------ ------ ------ ------ ------ ------
INVESTMENT ACTIVITIES:
Net investment income........ 0.042 0.004 0.048 0.048 0.049 0.052
Net realized gains from
investment transactions... 0.000* 0.000* 0.000* 0.000* -- --
------ ------ ------ ------ ------ ------
Total from investment
activities................... 0.042 0.004 0.048 0.048 0.049 0.052
------ ------ ------ ------ ------ ------
DIVIDENDS:
Net investment income........ (0.042) (0.004) (0.048) (0.048) (0.049) (0.052)
In excess of net investment
income.................... (0.000)* -- -- -- -- --
Net realized gains from
investment transactions... (0.000)* -- (0.000)* -- -- --
------ ------ ------ ------ ------ ------
Total dividends................ (0.042) (0.004) (0.048) (0.048) (0.049) (0.052)
------ ------ ------ ------ ------ ------
NET ASSET VALUE, END OF
PERIOD....................... $1.00 $1.00 $1.00 $1.00 $1.00 $1.00
------ ------ ------ ------ ------ ------
------ ------ ------ ------ ------ ------
TOTAL RETURN................... 4.24% 0.39%(c) 5.00% 4.89% 4.98% 5.27%
RATIOS/SUPPLEMENTARY DATA:
Net assets at end of year
(000's)................... $932,874 $1,055,163 $988,236 $505,702 $246,368 $113,218
Ratio of expenses to average
net assets................ 0.66% 0.50%(b) 0.52% 0.59% 0.57% 0.58%
Ratio of net investment
income to average net
assets.................... 4.16% 4.40%(b) 4.89% 4.80% 4.80% 5.17%
Ratio of expenses to average
net assets (a)............ 0.66% 0.60%(b) 0.62% 0.71% 0.75% 0.78%
</TABLE>
* Less than $0.001 per share.
(a) During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratio would have been as indicated.
(b) Annualized.
(c) Not annualized.
See notes to financial statements.
35
<PAGE>
REPUBLIC U.S. GOVERNMENT MONEY MARKET FUND
FINANCIAL HIGHLIGHTS -- CLASS B SHARES
<TABLE>
<CAPTION>
ONE MONTH
FOR THE PERIOD FOR THE PERIOD
YEAR ENDED ENDED FEBRUARY 2, 1998
OCTOBER 31, OCTOBER 31, TO SEPTEMBER 30,
1999 1998 1998(d)
----------- ----------- ------------------
<S> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD............. $1.00 $1.00 $1.00
------ ------ ------
INVESTMENT ACTIVITIES:
Net investment income.......................... 0.035 0.003 0.002
Net realized gains from investment
transactions................................ 0.000* 0.000* --
------ ------ ------
Total from investment activities................. 0.035 0.003 0.002
------ ------ ------
DIVIDENDS:
Net investment income.......................... (0.035) (0.003) (0.002)
Net realized gains from investment
transactions................................ (0.000)* -- --
------ ------ ------
Total dividends.................................. (0.035) (0.003) (0.002)
------ ------ ------
NET ASSET VALUE, END OF PERIOD................... $1.00 $1.00 $1.00
------ ------ ------
------ ------ ------
TOTAL RETURN (EXCLUDES REDEMPTION CHARGE)........ 3.54% 0.32%(c) 0.22%(c)
RATIOS/SUPPLEMENTARY DATA:
Net assets at end of period (000's)............ $119 $113 $113
Ratio of expenses to average net assets........ 1.34% 1.25%(b) 1.27%(b)
Ratio of net investment income to average net
assets...................................... 3.49% 3.65%(b) 4.14%(b)
Ratio of expenses to average net assets (a).... 1.34% 1.35%(b) 1.37%(b)
</TABLE>
* Less than $0.001 per share.
(a) During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratio would have been as indicated.
(b) Annualized.
(c) Not annualized.
(d) Period from commencement of operations.
See notes to financial statements.
36
<PAGE>
REPUBLIC U.S. GOVERNMENT MONEY MARKET FUND
FINANCIAL HIGHLIGHTS -- CLASS D (PRIVATE INVESTOR) SHARES
<TABLE>
<CAPTION>
FOR THE PERIOD
APRIL 1, 1999
TO OCTOBER 31,
1999(d)
--------------
<S> <C>
NET ASSET VALUE, BEGINNING OF PERIOD........................ $1.00
------
INVESTMENT ACTIVITIES:
Net investment income..................................... 0.025
Net realized gains from investment transactions........... 0.000*
------
Total from investment activities............................ 0.025
------
DIVIDENDS:
Net investment income..................................... (0.025)
In excess of net investment income........................ (0.000)*
------
Total dividends............................................. (0.025)
------
NET ASSET VALUE, END OF PERIOD.............................. $1.00
------
------
TOTAL RETURN................................................ 2.53%(c)
RATIOS/SUPPLEMENTARY DATA:
Net assets at end of period (000's)....................... $465,526
Ratio of expenses to average net assets................... 0.60%(b)
Ratio of net investment income to average net assets...... 4.26%(b)
Ratio of expenses to average net assets (a)............... 0.60%(b)
</TABLE>
* Less than $0.001 per share.
(a) During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratio would have been as indicated.
(b) Annualized.
(c) Not annualized.
(d) Period from commencement of operations.
See notes to financial statements.
37
<PAGE>
REPUBLIC U.S. GOVERNMENT MONEY MARKET FUND
FINANCIAL HIGHLIGHTS -- CLASS Y (ADVISER) SHARES
<TABLE>
<CAPTION>
FOR THE FOR THE YEARS
FOR THE PERIOD ENDED FOR THE PERIOD
YEAR ENDED ENDED SEPTEMBER 30, JULY 1, 1996
OCTOBER 31, OCTOBER 31, --------------- TO SEPTEMBER 30,
1999 1998 1998 1997 1996(d)
----------- ----------- ------ ------ ----------------
<S> <C> <C> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF
PERIOD........................... $1.00 $1.00 $1.00 $1.00 $1.00
------ ------ ------ ------ ------
INVESTMENT ACTIVITIES:
Net investment income............ 0.045 0.004 0.058 0.050 0.012
Net realized gains from
investment transactions....... 0.000* -- 0.000* 0.000* --
------ ------ ------ ------ ------
Total from investment activities... 0.045 0.004 0.058 0.050 0.012
------ ------ ------ ------ ------
DIVIDENDS:
Net investment income............ (0.045) (0.004) (0.058) (0.050) (0.012)
In excess of net investment
income........................ (0.000)* -- -- -- --
Net realized gains from
investment transactions....... (0.000)* -- (0.000)* -- --
------ ------ ------ ------ ------
Total dividends.................... (0.045) (0.004) (0.058) (0.050) (0.012)
------ ------ ------ ------ ------
NET ASSET VALUE, END OF PERIOD..... $1.00 $1.00 $1.00 $1.00 $1.00
------ ------ ------ ------ ------
------ ------ ------ ------ ------
TOTAL RETURN....................... 4.57% 0.41%(c) 5.27% 5.15% 1.24%(c)
RATIOS/SUPPLEMENTARY DATA:
Net assets at end of period
(000's)....................... $38,858 $34,617 $29,023 $16,180 $1,413
Ratio of expenses to average net
assets........................ 0.34% 0.25%(b) 0.27% 0.33% 0.43%(b)
Ratio of net investment income to
average net assets............ 4.47% 4.65%(b) 5.14% 5.06% 4.90%(b)
Ratio of expenses to average net
assets (a).................... 0.34% 0.35%(b) 0.37% 0.45% 0.61%(b)
</TABLE>
* Less than $0.001 per share.
(a) During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratio would have been as indicated.
(b) Annualized.
(c) Not annualized.
(d) Period from commencement of operations.
See notes to financial statements.
38
<PAGE>
REPUBLIC NEW YORK TAX-FREE MONEY MARKET FUND
FINANCIAL HIGHLIGHTS -- CLASS A (INVESTOR) SHARES
<TABLE>
<CAPTION>
FOR THE PERIOD
FOR THE YEARS ENDED OCTOBER 31, NOVEMBER 17, 1994
------------------------------------------ TO OCTOBER 31,
1999 1998 1997 1996 1995(d)
------ ------ ------ ------ -----------------
<S> <C> <C> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD.... $1.00 $1.00 $1.00 $1.00 $1.00
------ ------ ------ ------ ------
INVESTMENT ACTIVITIES:
Net investment income................. 0.023 0.029 0.030 0.030 0.033
Net realized gains from investment
transactions....................... 0.000* 0.000* 0.000* -- --
------ ------ ------ ------ ------
Total from investment activities........ 0.023 0.029 0.030 0.030 0.033
------ ------ ------ ------ ------
DIVIDENDS:
Net investment income................. (0.023) (0.029) (0.030) (0.030) (0.033)
Net realized gains from investment
transactions....................... -- (0.000)* -- -- --
------ ------ ------ ------ ------
Total dividends......................... (0.023) (0.029) (0.030) (0.030) (0.033)
------ ------ ------ ------ ------
NET ASSET VALUE, END OF PERIOD.......... $1.00 $1.00 $1.00 $1.00 $1.00
------ ------ ------ ------ ------
------ ------ ------ ------ ------
TOTAL RETURN............................ 2.36% 2.95% 3.01% 3.04% 3.31%(b)
RATIOS/SUPPLEMENTARY DATA:
Net assets at end of period (000's)...$113,583 $153,592 $123,324 $78,594 $52,652
Ratio of expenses to average net
assets............................. 0.70% 0.58% 0.60% 0.54% 0.41%(c)
Ratio of net investment income to
average net assets................. 2.39% 2.90% 2.98% 2.97% 3.45%(c)
Ratio of expenses to average net
assets (a)......................... 0.70% 0.66% 0.72% 0.63% 0.65%(c)
</TABLE>
* Less than $0.001 per share.
(a) During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratio would have been as indicated.
(b) Not annualized.
(c) Annualized.
(d) Period from commencement of operations.
See notes to financial statements.
39
<PAGE>
REPUBLIC NEW YORK TAX-FREE MONEY MARKET FUND
FINANCIAL HIGHLIGHTS -- CLASS B SHARES
<TABLE>
<CAPTION>
FOR THE PERIOD
FOR THE APRIL 29,
YEAR ENDED 1998
OCTOBER 31, TO OCTOBER 31,
1999(e) 1998(d)
----------- --------------
<S> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD........................ $1.00 $1.00
----- ------
INVESTMENT ACTIVITIES:
Net investment income..................................... -- 0.012
Net realized gains from investment transactions........... -- 0.000*
----- ------
Total from investment activities............................ 0.000 0.012
----- ------
DIVIDENDS:
Net investment income..................................... -- (0.012)
----- ------
Total dividends............................................. 0.000 (0.012)
----- ------
NET ASSET VALUE, END OF PERIOD.............................. $1.00 $1.00
----- ------
----- ------
TOTAL RETURN (EXCLUDES REDEMPTION CHARGE)................... 0.00% 1.24%(c)
RATIOS/SUPPLEMENTARY DATA:
Net assets at end of period............................... $10 $10
Ratio of expenses to average net assets................... -- 1.33%(b)
Ratio of net investment income to average net assets...... -- 2.15%(b)
Ratio of expenses to average net assets (a)............... -- 1.41%(b)
</TABLE>
* Less than $0.001 per share.
(a) During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratio would have been as indicated.
(b) Annualized.
(c) Not annualized.
(d) Period from commencement of operations.
(e) Class B Shares operated from April 29, 1998 to September 11, 1998. Since
September 11, 1998 net assets represent seed money and accordingly no income
or expenses have been allocated to the class.
See notes to financial statements.
40
<PAGE>
REPUBLIC NEW YORK TAX-FREE MONEY MARKET FUND
FINANCIAL HIGHLIGHTS -- CLASS D (PRIVATE INVESTOR) SHARES
<TABLE>
<CAPTION>
FOR THE PERIOD
APRIL 1, 1999
TO OCTOBER 31,
1999(d)
--------------
<S> <C>
NET ASSET VALUE, BEGINNING OF PERIOD........................ $1.00
------
INVESTMENT ACTIVITIES:
Net investment income..................................... 0.015
Net realized gains from investment transactions........... 0.000*
------
Total from investment activities............................ 0.015
------
DIVIDENDS:
Net investment income..................................... (0.015)
------
Total dividends............................................. (0.015)
------
NET ASSET VALUE, END OF PERIOD.............................. $1.00
------
------
TOTAL RETURN................................................ 1.50%(c)
RATIOS/SUPPLEMENTARY DATA:
Net assets at end of period (000's)....................... $39,443
Ratio of expenses to average net assets................... 0.63%(b)
Ratio of net investment income to average net assets...... 2.51%(b)
Ratio of expenses to average net assets (a)............... 0.63%(b)
</TABLE>
* Less than $0.001 per share.
(a) During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratio would have been as indicated.
(b) Annualized.
(c) Not annualized.
(d) Period from commencement of operations.
See notes to financial statements.
41
<PAGE>
REPUBLIC NEW YORK TAX-FREE MONEY MARKET FUND
FINANCIAL HIGHLIGHTS -- CLASS Y (ADVISER) SHARES
<TABLE>
<CAPTION>
FOR THE PERIOD
FOR THE YEARS ENDED JULY 1, 1996
OCTOBER 31, TO OCTOBER
------------------------ 31,
1999 1998 1997 1996(d)
------ ------ ------ --------------
<S> <C> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD................... $1.00 $1.00 $1.00 $1.00
------ ------ ------ ------
INVESTMENT ACTIVITIES:
Net investment income................................ 0.027 0.031 0.032 0.010
Net realized gains from investment transactions...... 0.000* 0.000* 0.000* --
------ ------ ------ ------
Total from investment activities....................... 0.027 0.031 0.032 0.010
------ ------ ------ ------
DIVIDENDS:
Net investment income................................ (0.027) (0.031) (0.032) (0.010)
Net realized gains from investment transactions...... -- (0.000)* -- --
------ ------ ------ ------
Total dividends........................................ (0.027) (0.031) (0.032) (0.010)
------ ------ ------ ------
NET ASSET VALUE, END OF PERIOD......................... $1.00 $1.00 $1.00 $1.00
------ ------ ------ ------
------ ------ ------ ------
TOTAL RETURN........................................... 2.70% 3.21% 3.27% 1.03%(c)
RATIOS/SUPPLEMENTARY DATA:
Net assets at end of period (000's).................. $11,986 $10,759 $8,674 $3,714
Ratio of expenses to average net assets.............. 0.38% 0.33% 0.35% 0.35%(b)
Ratio of net investment income to average net
assets............................................ 2.71% 3.15% 3.23% 3.12%(b)
Ratio of expenses to average net assets (a).......... 0.38% 0.41% 0.47% 0.45%(b)
</TABLE>
* Less than $0.001 per share.
(a) During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratio would have been as indicated.
(b) Annualized.
(c) Not annualized.
(d) Period from commencement of operations.
See notes to financial statements.
42
<PAGE>
INDEPENDENT AUDITORS' REPORT
The Board of Trustees
Republic Funds:
We have audited the accompanying statements of assets and liabilities of
Republic Money Market Fund, Republic U.S. Government Money Market Fund and
Republic New York Tax-Free Money Market Fund (collectively, the Funds) including
the schedules of portfolio investments as of October 31, 1999, and the related
statements of operations, statements of changes in net assets and the financial
highlights for each of the periods indicated herein. These financial statements
and the financial highlights are the responsibility of the Funds' management.
Our responsibility is to express an opinion on these financial statements and
financial highlights based on our audits. The financial highlights for each of
the years in the two-year period ended September 30, 1995 for Investor shares of
Republic U.S. Government Money Market Fund were audited by other auditors whose
report thereon, dated November 10, 1995, expressed unqualified opinions on those
financial highlights. The financial highlights for Class A (Investor) Shares of
Republic New York Tax-Free Money Market Fund for the period from November 17,
1994 (commencement of operations) to October 31, 1995 were audited by other
auditors whose report thereon, dated December 8, 1995, expressed an unqualified
opinion on those financial highlights.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements and financial
highlights are free of material misstatement. An audit includes examining, on a
test basis, evidence supporting the amounts and disclosures in the financial
statements. Our procedures included verification of securities owned as of
October 31, 1999, by examination, correspondence with brokers and other
appropriate audit procedures. An audit also includes assessing the accounting
principles used and significant estimates made by management, as well as
evaluating the overall financial statement presentation. We believe that our
audits provide a reasonable basis for our opinion.
In our opinion, the financial statements and financial highlights referred
to above present fairly, in all material respects, the financial position the
Funds as of October 31, 1999, the results of their operations, the changes in
their net assets and the financial highlights for each of the periods indicated
herein, in conformity with generally accepted accounting principles.
KPMG LLP
Columbus, Ohio
December 27, 1999
43
<PAGE>
ADDITIONAL INFORMATION
SPECIAL MEETING OF SHAREHOLDERS (UNAUDITED):
A joint special meeting of the shareholders of the Funds was held on
October 8, 1999. This meeting was required because Republic, which currently
serves, directly or indirectly, as the manager to the Companies and their
respective series will undergo a change in control upon consummation of the
acquisition by HSBC Holdings plc of Republic's parent holding company Republic
New York Corporation ('RNYC'). At the meeting shareholders voted on the
following proposals:
PROPOSAL 1:
To approve, for each series of the Companies' new investment advisory
agreements with Republic to take effect immediately following completion of the
acquisition by HSBC Holding plc of Republic's parent holding company, RNYC.
<TABLE>
<CAPTION>
% OF % OF % OF
FOR VOTING AGAINST VOTING ABSTAIN VOTING
FUND NAME VOTES SHARES VOTES SHARES VOTES SHARES
- --------- ----------- ------ --------- ------ --------- ------
<S> <C> <C> <C> <C> <C> <C>
Money Market Fund.................. 209,964,371 97.82% 2,012,839 0.94% 2,662,931 1.24%
U.S. Government Money Market....... 649,464,739 97.20% 8,878,986 1.32% 9,917,096 1.48%
New York Tax-Free Money Market..... 91,555,924 97.07% 1,267,076 1.34% 1,494,423 1.59%
</TABLE>
44
<PAGE>
- ---------------
R E P U B L I C
F U N D S
INVESTMENT MANAGER & CUSTODIAN
Republic National Bank of New York
452 Fifth Avenue
New York, NY 10018
ADMINISTRATOR, TRANSFER AGENT,
DISTRIBUTOR, AND SPONSOR
BISYS Fund Services, Inc.
3435 Stelzer Road
Columbus, OH 43219
INDEPENDENT AUDITORS
KPMG LLP
Two Nationwide Plaza
Columbus, OH 43215
LEGAL COUNSEL
Dechert Price & Rhoads
1775 Eye Street, N.W.
Washington, D.C. 20006
SHAREHOLDER SERVICING AGENTS:
Republic National Bank of New York
Republic Bank for Savings
452 Fifth Avenue
New York, NY 10018
(800) 522-5214
FOR NON-REPUBLIC CLIENTS:
Republic Funds
P.O. Box 18245
Columbus, OH 43218-2845
(800) 782-8183
The report is for the information of the shareholders of Republic
Funds Trust. Its use in connection with any offering of the Trust's
shares is authorized only in the case of a concurrent or prior
delivery of the Trust's current prospectus. Shares of the Funds are
not an obligation of or guaranteed or endorsed by Republic
National Bank of New York or its affiliates. An investment in the
Funds is neither insured nor guaranteed by the FDIC or any other
government agency. Although the trust attempts to maintain the
value of your investment at $1.00 per share, it is possible to lose
money by investing in these funds.
12/99
REPUBLIC
MONEY MARKET FUND
REPUBLIC
U.S. GOVERNMENT
MONEY MARKET FUND
ANNUAL REPORT
- ----------------
OCTOBER 31, 1999
REPUBLIC
NEW YORK TAX-FREE
MONEY MARKET FUND
REPUBLIC FAMILY OF FUNDS
STATEMENT OF DIFFERENCES
------------------------
The dagger symbol shall be expressed as .................................. 'D'
