<PAGE>
MONITOR FUNDS SEMI-ANNUAL REPORT
June 30, 1997
Trust Shares and Investment Shares
. Monitor Money Market Fund
. Monitor U.S. Treasury Money Market Fund
. Monitor Ohio Municipal Money Market Fund
. Monitor Growth Fund
. Monitor Income Equity Fund
. Monitor Ohio Tax-Free Fund
. Monitor Mortgage Securities Fund
. Monitor Fixed Income Securities Fund
. Monitor Short/Intermediate Fixed Income Securities Fund
[LOGO OF MONITOR FUNDS APPEARS HERE]
<PAGE>
Message from the Investment Manager
Dear Shareholder:
I am pleased to present the Semi-Annual Report for The Monitor Funds for the
six month period ended June 30, 1997. The "Investment Review" section is the
prelude to this report, featuring the Funds' portfolio managers. In this
section, you will find a discussion of recent market activity as well as
investment performance, fund activity and strategy presented by the experienced
professionals who make up our investment management team. Following the
"Investment Review" are complete listings of the portfolio holdings of the
Funds, and the comprehensive financial statements and highlights.
In the third quarter of the year, we look for the pace of the GDP growth to
pick up. The fundamentals for consumer spending remain favorable, due in large
part to the following factors: job growth remains quite strong; income has
continued to expand; consumer confidence is at or near a record high; and
wealth has been boosted by strong financial markets. This state of affairs
should lead to a positive trend for the financial markets over the second half
of the year.
It is with great pride that I announce the opening of the Investment share
classes of Monitor Income Equity Fund, and Monitor Short/Intermediate Fixed
Income Securities Fund. These two Monitor Funds, utilized by our trust
customers since their inception in 1989, were recently made available to all
retail customers. Monitor Income Equity is managed by Jim Buskirk, Chief
Investment Officer of our Trust division. The Fund invests in income producing
equities, emphasizing high current income and modest capital appreciation.
Monitor Short/Intermediate Fixed Income Securities Fund is managed by Steve
Geis, senior income manager of the Trust division and portfolio manager of
Monitor Fixed Income Securities Fund. In managing Monitor Short/Intermediate,
Steve strives to achieve current income by investing in fixed income securities
with a maximum maturity of individual issues of no more than five years. We
invite you to take a look at the expanded array of Monitor Funds. Please call
our Mutual Fund Services Center at 1-800-253-0412 for a prospectus. As with all
mutual funds, please read the prospectus carefully before investing.
On behalf of Monitor Funds and The Huntington National Bank, I thank you for
your investment. We are pleased that you have chosen us to help you manage your
financial goals.
/s/ Norman A. Jacobs
Norman A. Jacobs
President, Trust Division
Huntington National Bank
August 15, 1997
1
<PAGE>
INVESTMENT REVIEW
MONEY MARKET FUNDS: MONITOR MONEY MARKET FUND, MONITOR U.S. TREASURY MONEY
MARKET FUND, MONITOR OHIO MUNICIPAL MONEY MARKET FUND (WILLIAM G. DOUGHTY, VICE
PRESIDENT AND PORTFOLIO MANAGER, HUNTINGTON NATIONAL BANK, TRUST DIVISION)
Inflation and long-term interest rates have been trending lower since the early
1980's. Budget and regulatory policy have played a role in producing this
result, but the Federal Reserve deserves most of the credit. The consistent
application of disciplined monetary policy is the main reason that inflation
and long-term interest rates are now so low. On the horizon, we look for the
Federal Reserve to maintain a steady economic policy over the next quarter.
We note that the short-term municipal market has been stable over the last
year, with one-year notes yielding between 3.75% and 4.00%, while floating rate
debt has ranged between 3.00% and 4.50% depending on seasonal periods. We would
look for this trend to continue over the balance of the year.
The economy in the second quarter grew at half the rate registered in the prior
four quarters, but the moderation did not necessarily signal that the economy
had settled into a sustainable pace. In many respects, the slowdown appeared to
be merely a pause. If economic growth resumes in the second half of the year,
interest rates could move higher again.
The average weighted maturity of the securities in each of the Money Market
Funds, at the end of the second quarter was as follows:
<TABLE>
<S> <C>
Monitor Money Market Fund 32 days
Monitor Ohio Municipal Money Market Fund 51 days
Monitor U.S. Treasury Money Market Fund 41 days
</TABLE>
EQUITY FUNDS: MONITOR INCOME EQUITY FUND (JAMES M. BUSKIRK, SENIOR VICE
PRESIDENT AND CHIEF INVESTMENT OFFICER, HUNTINGTON NATIONAL BANK, TRUST
DIVISION)
During the first quarter of the year, Monitor Income Equity Fund demonstrated
the desired investment attribute of performing relatively well in a negative
stock market environment. During the most recent quarter, it again participated
in strong market advances, albeit at a slower rate of gain. The Fund's strong
dividend bias is the primary reason for this relatively less volatile
performance pattern.
The industry rotation that accompanied the stock market's recent move to the
upside was in evidence in comparing the Funds's ten largest holdings at the end
of the first quarter with those at the end of the second quarter. Without
exception, the Fund's bank stocks fell in relative standing, with one such
former top-ten holding, National City, actually dropping out of the top 10.
Banks and most other financial stocks were relatively weak performers during
the second quarter, which should not be altogether unexpected given that
group's superior price action over the previous two years. Moving up the top 10
list, on the other hand, were such old-line blue chip stocks as General
Electric and Xerox, as well as such consumer stocks as Clorox, Bristol-Myers
Squibb and American Home Products. Investor focus during the quarter shifted in
favor of big, high quality companies with forecastable earnings growth.
Dividend growth remains a key factor in the management of Monitor Income
Equity Fund, which was again benefitted by several more dividend increases
during the quarter. Worthington Industries (+8.35% dividend hike), DuPont
(+10.5%), Ford Motor (+9.1%), and Monsanto (+6.7%) were some of the more
notable companies, which contributed increasing income to the Fund's
shareholders. During the five-year period ended last December 31, the Fund's
annual dividend has steadily increased from 72 cents/share to $1.00. It is our
hope to keep the Fund on track to continue this benefit to our shareholders.
MONITOR GROWTH FUND (PHILIP H. FARRINGTON, VICE PRESIDENT AND PORTFOLIO
MANAGER; JAMES J. GIBBONEY, JR., VICE PRESIDENT AND PORTFOLIO MANAGER,
HUNTINGTON NATIONAL BANK, TRUST DIVISION)
After the Federal Reserve raised short-term interest rates in March, the
market did experience a correction--but only for an instant. Actually, the
market retreated about 6% after the announcement or just about 107 points from
the highs reached earlier in the year. Corporate profits and the strength of
the economy have surprised the doomsayers.
The Fund prospered by its fully invested position in the second quarter.
Pharmaceuticals, consumer nondurable and retail stocks were positive attributes
for the Fund. New positions installed during the quarter were Amp Inc. and
Cognizant Corp., while the Zero, Computer Sciences and Cintas positions were
increased.
Looking forward, we will continue to search out companies whose earnings and
dividend growth exceed the market. Because of the remarkable overvaluation of
the largest companies in the S&P 500, new commitments to Monitor Growth Fund
will likely be those in the mid-cap sector of the market. The Fund remains in a
fully invested position, so as to capture the capital appreciation potential of
the market which has served it so well this year.
2
<PAGE>
INCOME FUNDS: MONITOR FIXED INCOME SECURITIES FUND; MONITOR SHORT/INTERMEDIATE
FIXED INCOME SECURITIES FUND (STEPHEN M. GEIS, VICE PRESIDENT AND PORTFOLIO
MANAGER, HUNTINGTON NATIONAL BANK, TRUST DIVISION)
Interest rates declined approximately 30 to 40 basis points during the second
quarter, boosting Monitor Fixed Income Securities Fund's net asset value, and
resulting in positive total rates of return for the quarter and year-to-date
periods.
The yield curve is not particularly steep in the maturity ranges that this Fund
typically utilizes, offering little inducement for extending maturities. Twelve
new corporate bonds were added to this portfolio during the second quarter.
Cash for these purchases came from sales of U.S. Treasuries. Our strategy for
Monitor Fixed Income Securities Fund is to continue adding higher yielding
corporate bonds to the portfolio.
Though less impacted by the movement of interest rates than longer maturity
funds, Monitor Short/Intermediate Fixed Income Securities Fund was also helped
by the 30 to 40 basis point decline in rates during the second quarter. Ten new
corporate bonds were purchased for the Fund. Despite a relatively flat yield
curve, we intend to lengthen the overall average maturity of the portfolio. We
would also expect to continue to purchase higher yielding corporate bonds.
MONITOR MORTGAGE SECURITIES FUND (WORTH BRUNTJEN, SENIOR VICE PRESIDENT AND
PORTFOLIO MANAGER; BRUCE SALVOG, SENIOR VICE PRESIDENT AND PORTFOLIO MANAGER,
PIPER CAPITAL MANAGEMENT, MINNEAPOLIS, MINNESOTA, SUB-ADVISOR)
After a negative first quarter, the bond market staged a solid recovery in the
second quarter as yields dropped across the maturity spectrum. Economic growth
slowed from the heady first quarter pace, leading investors to anticipate a
reduced need for additional monetary restraint by the Federal Reserve.
Looking forward, our base economic case contemplates moderate economic growth
without inflationary imbalances. The usual signs of incipient inflation, such
as gold, commodity prices and the dollar, remain very well-behaved. Financial
market valuations, however, already reflect this stable, low inflation
environment. The chief risk to our outlook would be a resumption of above-trend
economic growth, which we believe would be met promptly by tighter monetary
policy by the Federal Reserve.
We are maintaining our duration at 110% of the benchmark, though additional
market strength could cause us to reexamine our tactical position. Longer term
valuation versus inflation remains attractive. Our emphasis in portfolio
structure after duration is on protecting the Monitor Mortgage Securities Fund
portfolio against an increase in fixed income market volatility. Proceeds from
sales and internally generated cash flows are being reinvested in noncallable
Treasury notes to further protect against prepayment vulnerability. We believe
that current valuations for many fixed income securities are grounded in the
expectation that volatility will remain low. Consequently, we anticipate that
we will add to the Treasury component of the Fund over the foreseeable future.
MONITOR OHIO TAX-FREE FUND (WILLIAM G. DOUGHTY, VICE PRESIDENT AND PORTFOLIO
MANAGER, HUNTINGTON NATIONAL BANK, TRUST DIVISION)
With the equity market hovering near all-time highs, and yields on long
municipals uninspiring, individual investors might not participate aggressively
in the absence of an additional correction in the municipal market. Going
forward, changes in the trend for the treasury market will have some effect on
municipal yields. Municipal yields continue to be at the lows for the year,
and, given the supply and demand factors inherent in the market, we expect to
see prices remain more firm than Treasuries, even in a weaker market. For the
balance of the year, we will continue to look for value in the 10 to 15 year
maturity range for the Monitor Ohio Tax Free Fund portfolio, while seeking to
maintain an average life of six years.
3
<PAGE>
[This Page Intentionally Left Blank]
4
<PAGE>
Portfolio of Investments
------------------------------------
THE MONITOR MONEY MARKET FUND June 30, 1997
<TABLE>
<CAPTION>
- -------------------------------------------
PRINCIPAL
AMOUNT VALUE
(000) (000)
- -------------------------------------------
(A) COMMERCIAL PAPER - 88.1%
- -------------------------------------------
<S> <C>
AGRICULTURE - 3.2%
$5,000 Cargill Financial
Services, 5.53%,
08/21/97 $4,961
5,000 Cargill Inc., 5.51%,
09/11/97 4,945
5,000 Cargill Inc., 5.52%,
08/06/97 4,972
- -------------------------------------------
14,878
- -------------------------------------------
AUTOMOTIVE - 2.1%
5,000 Daimler Benz N.A.,
5.56%, 09/11/97 4,944
5,000 Daimler Benz N.A.,
5.62%, 07/22/97 4,984
- -------------------------------------------
9,928
- -------------------------------------------
BANKING - 6.6%
5,000 J P Morgan & Co.,
5.54%, 10/01/97 4,929
5,000 National City Credit
Corp., 5.58%, 09/17/97 4,940
5,000 National City Credit
Corp., 5.59%, 09/09/97 4,946
5,000 Royal Bank of Canada,
5.58%, 07/15/97 4,989
6,000 Toronto Dominion
Holdings, 5.58%,
08/11/97 5,962
5,000 Toronto Dominion
Holdings, 5.59%,
08/18/97 4,963
- -------------------------------------------
30,729
- -------------------------------------------
BUSINESS SERVICES - 1.1%
5,000 Electronic Data
Systems, 5.52%,
08/29/97 4,955
- -------------------------------------------
CHEMICALS - 3.6%
5,000 Akzo Nobel, 5.58%,
07/10/97 4,993
7,000 du Pont (E. I.) de
Nemours & Co., 5.50%,
09/04/97 6,930
5,000 du Pont (E. I.) de
Nemours & Co., 5.53%,
07/09/97 4,994
- -------------------------------------------
16,917
- -------------------------------------------
CONSUMER PRODUCTS - 2.6%
5,000 Proctor & Gamble Co.,
5.50%, 07/01/97 5,000
7,000 Proctor & Gamble Co.,
5.55%, 08/04/97 6,963
- -------------------------------------------
11,963
- -------------------------------------------
DIVERSIFIED - 2.1%
5,000 General Electric Co.,
5.54%, 07/07/97 4,995
5,000 Minnesota Mining &
Manufacturing, 5.50%,
08/22/97 4,960
- -------------------------------------------
9,955
- -------------------------------------------
ELECTRONICS - 4.2%
5,000 Motorola Inc., 5.50%,
09/03/97 4,951
5,000 Sharp Electronics
Corp., 5.54%, 08/01/97 4,976
5,000 Sharp Electronics
Corp., 5.59%, 08/01/97 4,976
5,000 Siemens Capital Corp.,
5.54%, 08/13/97 4,967
- -------------------------------------------
19,870
- -------------------------------------------
ENTERTAINMENT - 2.1%
5,000 Walt Disney Inc.,
5.48%, 09/15/97 4,942
5,000 Walt Disney Inc.,
5.51%, 09/03/97 4,951
- -------------------------------------------
9,893
- -------------------------------------------
FINANCE-COMMERCIAL - 4.7%
5,000 IBM Credit Corp.,
5.53%, 08/20/97 4,962
5,000 IBM Credit Corp.,
5.58%, 07/15/97 4,989
7,000 Pitney Bowes Credit
Corp., 5.52%, 07/23/97 6,976
5,000 Xerox Credit Corp.,
5.58%, 07/17/97 4,988
- -------------------------------------------
21,915
- -------------------------------------------
FINANCIAL - 5.3%
5,000 Ford Motor Credit
Corp., 5.61%, 07/08/97 5,000
10,000 General Motors
Acceptance Corp.,
5.58%, 07/11/97 10,000
10,000 Prudential Funding
Corp., 5.30%, 07/01/97 10,000
- -------------------------------------------
25,000
- -------------------------------------------
</TABLE>
- -------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT VALUE
(000) (000)
- -------------------------------------------
COMMERCIAL PAPER (CONTINUED)
- -------------------------------------------
<S> <C>
FOOD & BEVERAGE - 7.4%
$5,000 Anheuser Busch Co.,
5.45%, 07/03/97 $4,998
5,000 Anheuser Busch Co.,
5.50%, 08/01/97 4,976
5,000 Coca Cola Co., 5.50%,
09/18/97 4,940
5,000 Coca Cola Co., 5.51%,
08/07/97 4,972
5,000 Coca Cola Co., 5.52%,
07/29/97 4,979
5,000 Pepsico Inc., 5.50%,
08/29/97 4,955
5,000 Pepsico Inc., 5.53%,
07/18/97 4,987
- -------------------------------------------
34,807
- -------------------------------------------
FOOD PRODUCTS - 4.7%
7,000 Golden Peanut Co.,
5.55%, 08/12/97 6,955
5,000 Hershey Foods, 5.57%,
07/22/97 4,984
5,000 Nestle Capital Corp.,
5.51%, 07/03/97 4,998
5,000 Nestle Capital Corp.,
5.53%, 07/17/97 4,988
- -------------------------------------------
21,925
- -------------------------------------------
FUNDING CORP. - 1.3%
6,000 New Center Asset Trust,
5.53%, 09/22/97 5,924
- -------------------------------------------
INSURANCE - 5.3%
5,000 A I Credit Corp.,
5.55%, 07/07/97 4,995
5,000 A I Credit Corp.,
5.56%, 07/21/97 4,985
5,051 Met Life Funding Corp.,
5.54%, 08/12/97 5,018
5,000 USAA Capital Corp.,
5.60%, 08/05/97 4,973
5,000 USAA Capital Corp.,
5.62%, 07/25/97 4,981
- -------------------------------------------
24,952
- -------------------------------------------
LUMBER & WOOD PRODUCTS - 1.1%
5,000 Weyerhauser Co., 5.56%,
07/08/97 4,995
- -------------------------------------------
METALS & MINING - 1.1%
5,000 RTZ America Inc.,
5.62%, 08/01/97 4,976
- -------------------------------------------
OFFICE EQUIPMENT - 1.6%
7,600 Xerox Corp., 5.53%,
09/05/97 7,523
- -------------------------------------------
OIL & GAS - 2.1%
5,000 Amoco Co., 5.51%,
10/02/97 4,929
5,000 Amoco Co., 5.52%,
09/02/97 4,952
- -------------------------------------------
9,881
- -------------------------------------------
PHARMACEUTICALS - 3.2%
10,000 Schering Corp., 5.55%,
07/07/97 9,991
5,000 Unilever Capital Corp.,
5.52%, 07/29/97 4,979
- -------------------------------------------
14,970
- -------------------------------------------
PRINTING & PUBLISHING - 6.8%
7,700 Gannett Co., 5.50%,
08/15/97 7,647
5,000 Gannett Co., 5.50%,
08/18/97 4,963
7,000 McGraw Hill Inc.,
5.54%, 09/30/97 6,902
5,000 McGraw Hill Inc.,
5.62%, 08/05/97 4,973
7,500 R R Donnelly & Sons,
5.54%, 07/21/97 7,477
- -------------------------------------------
31,962
- -------------------------------------------
RETAIL - 2.1%
5,000 May Department Stores,
5.55%, 07/07/97 4,995
5,000 May Department Stores,
5.56%, 07/11/97 4,992
- -------------------------------------------
9,987
- -------------------------------------------
SOVEREIGN GOVERNMENT - 4.3%
5,000 Canadian Wheat Board,
5.53%, 08/28/97 4,955
5,500 Canadian Wheat Board,
5.57%, 07/10/97 5,492
5,000 Wool International,
5.52%, 08/14/97 4,966
5,000 Wool International,
5.56%, 07/28/97 4,979
- -------------------------------------------
20,392
- -------------------------------------------
</TABLE>
5
<PAGE>
------------------------------------
THE MONITOR MONEY MARKET FUND (Continued)
- -------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT VALUE
(000) (000)
- -------------------------------------------
COMMERCIAL PAPER (CONTINUED)
- -------------------------------------------
<S> <C>
TELECOMMUNICATIONS - 9.5%
$5,000 A T & T Corp., 5.50%,
08/15/97 $4,966
10,000 A T & T Corp., 5.54%,
07/02/97 9,998
5,000 Ameritech Corp.,
5.54%, 07/18/97 4,987
5,000 Ameritech Corp.,
5.55%, 09/08/97 4,947
10,000 Bell South Capital
Funding, 5.53%,
07/02/97 9,998
10,000 Bell South
Telecommunications,
5.50%, 07/03/97 9,997
- -------------------------------------------
44,893
- -------------------------------------------
TOTAL COMMERCIAL PAPER (COST
$413,190) $413,190
- -------------------------------------------
GOVERNMENT AGENCIES - 1.1%
5,000 Student Loan
Marketing
Association,
5.42%, 10/30/97 5,000
- -------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
- -------------------------------------------
PRINCIPAL
AMOUNT VALUE
(000) (000)
- -------------------------------------------
REPURCHASE AGREEMENTS - 11.2%
- -------------------------------------------
<S> <C>
$52,770 Morgan Stanley &
Co., Inc, dated
6/30/97 5.90%,
due 07/01/97
repurchase price
$52,778,648
(collateralized
by FHLB, FNMA
obligations,
total par value
$53,700,000,
6.04%-6.09%,
6/16/97-6/14/99,
total market
value $53,820,602) $52,770
- -------------------------------------------
TOTAL INVESTMENTS (COST
$470,960) $470,960(B)
- -------------------------------------------
</TABLE>
See Notes To Portfolios of Investments
------------------
THE MONITOR U.S. TREASURY MONEY MARKET FUND June 30, 1997
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT VALUE
(000) (000)
- -------------------------------------------
U.S. TREASURY BILLS - 47.9%
- -------------------------------------------
<S> <C> <C>
$20,000 U.S. Treasury Bill,
4.96%, 07/17/97 $19,956
- -------------------------------------------
20,000 U.S. Treasury Bill,
5.02%, 07/24/97 19,936
- -------------------------------------------
15,000 U.S. Treasury Bill,
5.03%, 07/10/97 14,981
- -------------------------------------------
20,000 U.S. Treasury Bill,
5.06%, 12/18/97 19,522
- -------------------------------------------
10,000 U.S. Treasury Bill,
5.08%, 07/03/97 9,997
- -------------------------------------------
20,000 U.S. Treasury Bill,
5.08%, 11/06/97 19,639
- -------------------------------------------
10,000 U.S. Treasury Bill,
5.08%, 12/04/97 9,780
- -------------------------------------------
10,000 U.S. Treasury Bill,
5.09%, 10/16/97 9,849
- -------------------------------------------
10,000 U.S. Treasury Bill,
5.10%, 10/16/97 9,848
- -------------------------------------------
20,000 U.S. Treasury Bill,
5.16%, 11/20/97 19,593
- -------------------------------------------
15,000 U.S. Treasury Bill,
5.18%, 08/21/97 14,890
- -------------------------------------------
10,000 U.S. Treasury Bill,
5.22%, 07/03/97 9,997
- -------------------------------------------
10,000 U.S. Treasury Bill,
5.26%, 11/13/97 9,803
- -------------------------------------------
20,000 U.S. Treasury Bill,
5.29%, 10/02/97 19,727
- -------------------------------------------
15,000 U.S. Treasury Bill,
5.35%, 09/11/97 14,840
- -------------------------------------------
20,000 U.S. Treasury Bill,
5.36%, 09/18/97 19,765
- -------------------------------------------
20,000 U.S. Treasury Bill,
5.37%, 09/25/97 19,743
- -------------------------------------------
TOTAL U.S. TREASURY BILLS 261,866
- -------------------------------------------
REPURCHASE AGREEMENTS - 52.5%
- -------------------------------------------
45,000 A.G. Lanston & Co.
Inc., dated 6/26/97,
5.40%, due 07/03/97
repurchase price
$45,047,250
(collateralized by
U.S. Treasury
obligations, total
par value
$38,879,000, 7.0%-
13.75%, 8/15/04-
7/15/06; total market
value $45,902,278) 45,000
12,000 Dean Witter Reynolds,
Inc., dated 6/26/97,
5.32%, due 7/01/97
repurchase price
$12,008,867
(collateralized by
U.S. Treasury
obligations, total
par value
$12,245,000, 5.625%,
11/30/98; total
market value
$12,247,408) 12,000
40,000 First Boston Corp.,
dated 6/27/97, 5.33%,
due 07/03/97
repurchase price
$40,041,456
(collateralized by
U.S. Treasury
obligations, total
par value
$39,570,000, 5.5%-
6.0%, 2/28/99-
8/15/99; total market
value $40,270,226) 40,000
</TABLE>
- -------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT VALUE
(000) (000)
- -------------------------------------------
REPURCHASE AGREEMENTS (CONTINUED)
- -------------------------------------------
<S> <C> <C>
$50,000 Goldman Sachs Co.,
Inc., dated
06/30/97, 5.52%,
due 07/07/97
repurchase price
$50,053,667
(collateralized
by U.S. Treasury
obligations,
total par value
$43,930,000,
8.125%, 5/15/21;
total market
value
$50,605,438) $50,000
40,000 Lehman Brothers
Inc., dated
06/25/97, 5.34%,
due 07/02/97
repurchase price
$40,041,533
(collateralized
by U.S. Treasury
obligations,
total par value
$44,120,000,
6.0%, 2/15/26;
total market
value
$40,525,426) 40,000
6,000 Morgan Stanley &
Co. Inc., dated
6/24/97, 5.38%,
due 07/01/97
repurchase price
$6,006,277
(collateralized
by U.S. Treasury
obligations,
total par value
$5,730,000, 8.0%,
5/15/01; total
market value
$6,110,954) 6,000
3,291 Morgan Stanley &
Co. Inc., dated
6/30/97, 5.70%,
due 07/01/97
repurchase price
$3,000,521
(collateralized
by U.S. Treasury
obligations,
total par value
$2,180,000,
13.25%, 5/15/14;
total market
value $3,362,953) 3,291
6,000 Nomura Bank
Limited, dated
6/25/97, 5.40%,
due 07/02/97
repurchase price
$6,006,300
(collateralized
by U.S. Treasury
obligations,
total par value
$6,055,000,
6.125%, 9/30/00;
total market
value $6,121,029) 6,000
35,000 Nomura Bank
Limited, dated
06/30/97, 5.47%,
due 07/07/97
repurchase price
$35,005,318
(collateralized
by U.S. Treasury
obligations,
total par value
$35,265,000,
6.75%, 6/30/99;
total market
value $35,710,311) 35,000
10,000 Sanwa Securities
(USA) Co., dated
6/26/97, 5.38%,
due 7/02/97
repurchase price
$10,007,472
(collateralized
by U.S. Treasury
obligations,
total par value
$9,753,000,
7.125%, 2/29/00;
total market
value
$10,198,563) 10,000
40,000 Smith Barney,
Inc., dated
6/24/97, 5.34%,
due 07/01/97
repurchase price
$40,041,533
(collateralized
by U.S. Treasury
obligations,
total par value
$40,021,000,
5.5%-6.0%,
2/28/99-8/15/99;
total market
value
$40,724,869) 40,000
- -------------------------------------------
TOTAL REPURCHASE AGREEMENTS 287,291
- -------------------------------------------
TOTAL INVESTMENTS (COST
$549,157) $549,157(B)
- -------------------------------------------
</TABLE>
See Notes To Portfolios of Investments
6
<PAGE>
----------------
THE MONITOR OHIO MUNICIPAL MONEY MARKET FUND June 30, 1997
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------
PRINCIPAL
AMOUNT VALUE
(000) (000)
- -------------------------------------------------------------------------------
OHIO - 96.3%
- -------------------------------------------------------------------------------
<C> <S> <C>
$1,625 Ashland County, OH, IDR, Weekly VRDNs, (Landver Property
Project)/(Banc One LOC), 4.15%, 07/07/97 $1,625
- -------------------------------------------------------------------------------
1,000 Ashland, OH, Sewer System, 3.96%, 03/19/98 1,002
- -------------------------------------------------------------------------------
760 Berea City, OH, BANs, 4.09%, 07/10/97 760
- -------------------------------------------------------------------------------
465 Berea, OH, BANs, 4.10%, 10/23/97 465
- -------------------------------------------------------------------------------
1,535 Brecksville, OH, BANs, 4.05%, 07/30/97 1,535
- -------------------------------------------------------------------------------
1,100 Butler County, OH, BANs, 4.25%, 10/23/97 1,101
- -------------------------------------------------------------------------------
2,000 Butler County, OH, HRB, Weekly VRDNs, (Middletown Regional
Hospital)/(Star Bank LOC), 4.16%, 07/07/97 2,000
- -------------------------------------------------------------------------------
1,965 Centerville, OH, Weekly VRDNs, (Bethany Village)/(PNC BanK
OH LOC), 4.25%, 07/07/97 1,965
- -------------------------------------------------------------------------------
1,300 Cincinnati Hamilton, OH, Weekly VRDNs,(Series 1983A)/(Bank
of America LOC), 4.15%, 07/07/97 1,300
- -------------------------------------------------------------------------------
2,000 Cincinnati, OH, City School District, (Series C)/(Fifth
Third Bank LOC), 5.41%, 07/10/97 2,002
- -------------------------------------------------------------------------------
1,000 Columbus, OH, Weekly VRDNs, 4.10%, 07/07/97 1,000
- -------------------------------------------------------------------------------
1,100 Columbus, OH, BANs, 4.22%, 04/17/98 1,102
- -------------------------------------------------------------------------------
4,900 Columbus, OH, Electric System Revenue, Weekly VRDNs,(Union
Bank Of Switzerland LOC), 6.67%, 07/07/97 4,900
- -------------------------------------------------------------------------------
5,100 Columbus, OH, SSRB, Weekly VRDNs, (Series 1994), 4.05%,
07/07/97 5,100
- -------------------------------------------------------------------------------
6,700 Columbus, OH, Weekly VRDNs, (West Deutsche Landesbank LOC),
4.10%, 07/07/97 6,700
- -------------------------------------------------------------------------------
700 Cuyahoga County, OH, (Cleveland Neighborhood), 3.95%,
12/01/97 700
- -------------------------------------------------------------------------------
2,300 Cuyahoga County, OH, HRB, Daily VRDNs, (University Hospital
Cleveland)/(Dai-Ichi LOC), 5.50%, 07/01/97 2,300
- -------------------------------------------------------------------------------
2,000 Cuyahoga County, OH, HRB, Weekly VRDNs, (Cleveland
Clinic)/(Series B), 4.05%, 07/07/97 2,000
- -------------------------------------------------------------------------------
1,400 Cuyahoga County, OH, IDA, Weekly VRDNs, (Allen Group
Inc.)/(Dresdner Bank AG, NY LOC), 4.10%, 07/07/97 1,400
- -------------------------------------------------------------------------------
1,020 Cuyahoga County, OH, IDR, Daily VRDNs, (Fog Centax 11
Project)/(Equitable Federal LOC), 3.75%, 07/01/97 1,020
- -------------------------------------------------------------------------------
3,150 Cuyahoga County, OH, IDR, Weekly VRDNs, (Edgecomb
Metals)/(Banque Nationale De Paris LOC), 4.13%, 07/07/97 3,150
- -------------------------------------------------------------------------------
2,000 Cuyahoga County, OH, Weekly VRDNs, (Cleveland
Clinic)/(Series 96A)/(Morgan Guaranty LOC), 4.05%,
07/07/97 2,000
- -------------------------------------------------------------------------------
800 Delaware County, OH, IDR, Weekly VRDNs, (Radiation
Sterilizers)/(Wells Fargo LOC), 3.90%, 07/07/97 800
- -------------------------------------------------------------------------------
1,775 Dover, OH, BANs, 4.35%, 09/11/97 1,776
- -------------------------------------------------------------------------------
1,000 Elyria, OH, BANs, 4.20%, 09/25/97 1,000
- -------------------------------------------------------------------------------
1,000 Euclid, OH, BANs, 4.05%, 06/12/98 1,001
- -------------------------------------------------------------------------------
1,600 Evendale, OH, IDR, Weekly VRDNs, (Shaver Real Estate)/(ABN
AMRO Bank LOC), 3.90%, 07/07/97 1,600
- -------------------------------------------------------------------------------
2,000 Franklin County, OH, HRB, Weekly VRDNs, (Series
1996)/(Morgan Guaranty Trust New York), 4.10%, 07/07/97 2,000
- -------------------------------------------------------------------------------
1,200 Franklin County, OH, HRB, Weekly VRDNs, (Childrens
Hospital)/(Banc One SPA), 4.30%, 07/07/97 1,200
- -------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------
PRINCIPAL
AMOUNT VALUE
(000) (000)
- -------------------------------------------------------------------------------
OHIO (CONTINUED)
- -------------------------------------------------------------------------------
<C> <S> <C>
$2,100 Franklin County, OH, HRB, Weekly VRDNs, (Franciscan
Sisters)/(Chase Manhattan Bank LOC), 5.50%, 07/07/97 $2,100
- -------------------------------------------------------------------------------
2,500 Franklin County, OH, HRB, Weekly VRDNs, (Holy Cross Hlth
Systems)/(J.P. Morgan LOC), 4.15%, 07/07/97 2,500
- -------------------------------------------------------------------------------
750 Franklin County, OH, IDR, Daily VRDNs, (Columbus College
Art Design)/(Bank One LOC), 4.20%, 07/01/97 750
- -------------------------------------------------------------------------------
1,500 Franklin County, OH, Weekly VRDNs, (Dominican
Sisters)/(Fifth Third Bank LOC), 4.20%, 07/07/97 1,500
- -------------------------------------------------------------------------------
2,000 Hamilton County, OH, Weekly VRDNs, (Childrens Hospital Med.
Center)/(Series A), 4.16%, 07/07/97 2,000
- -------------------------------------------------------------------------------
2,000 Hamilton County, OH, Hospital, Weekly VRDNS, (Series 1997
B), 4.15%, 07/07/97 2,000
- -------------------------------------------------------------------------------
1,100 Hamilton County, OH, Daily VRDNs, (Automated Data
Processing Co.), 3.85%, 07/01/97 1,100
- -------------------------------------------------------------------------------
1,600 Hamilton County, OH, Health Care System, Weekly VRDNs,
(West Park)/(Fifth Third Bank LOC), 4.20%, 07/07/97 1,600
- -------------------------------------------------------------------------------
5,100 Hamilton County, OH, Health Systems, Daily VRDNs,
(Franciscan Sisters)/(Sumitomo Bank LOC), 5.50%, 07/01/97 5,100
- -------------------------------------------------------------------------------
1,000 Highland Heights, OH, BANs, 3.97%, 12/18/97 1,001
- -------------------------------------------------------------------------------
1,050 Hilliard, OH, BANs, 4.35%, 04/09/98 1,053
- -------------------------------------------------------------------------------
1,000 Hilliard, OH, BANs, 4.40%, 09/18/97 1,001
- -------------------------------------------------------------------------------
1,325 Lakota, OH, BANs, 4.20%, 06/11/98 1,328
- -------------------------------------------------------------------------------
1,000 Lebanon, OH, BANs, 4.17%, 06/04/98 1,002
- -------------------------------------------------------------------------------
1,825 Lorain County, OH, HRB, Weekly VRDNs, (Elyria United
Methodist)/(Key Bank LOC), 4.20%, 07/07/97 1,825
- -------------------------------------------------------------------------------
1,000 Lorain County, OH, Public Improvement, 4.40%, 09/19/97 1,001
- -------------------------------------------------------------------------------
1,000 Lyndhurst, OH, BANs, 4.00%, 03/18/98 1,001
- -------------------------------------------------------------------------------
945 Mahoning County, OH, Daily VRDNs, (Series 92)/(Copland
Oaks)/(Bank One LOC), 2.35%, 07/01/97 945
- -------------------------------------------------------------------------------
1,260 Marion County, OH, BANs, 4.00%, 02/11/98 1,262
- -------------------------------------------------------------------------------
1,000 Marion County, OH, Daily VRDNs, (Bank One LOC), 4.20%,
07/01/97 1,000
- -------------------------------------------------------------------------------
1,000 Mason, OH, Local School District, BANs, 4.15%, 03/20/98 1,003
- -------------------------------------------------------------------------------
1,000 Montgomery County, OH, Miami Valley Hospital, (Series
B)/(Northern Trust LOC), 3.55%, 09/04/97 1,000
- -------------------------------------------------------------------------------
500 Moreland Hills, OH, BANs, 3.95%, 12/17/97 501
- -------------------------------------------------------------------------------
1,000 Morrow County, OH, Daily VRDNs, (Field Container)/(American
National Bank LOC), 2.65%, 07/01/97 1,000
- -------------------------------------------------------------------------------
1,000 Ohio School Districts Cash Flow Borrowing Program, TANs,
4.47%, 06/30/98 1,006
- -------------------------------------------------------------------------------
2,500 Ohio State Air Quality, Cleveland Electric, (Series
B)/(FGIC Insured), 3.70%, 07/22/97 2,500
- -------------------------------------------------------------------------------
2,000 Ohio State Air Quality, Development Authority, Daily VRDNs,
(Mead Corp.)/(Deutsche Bank LOC), 5.50%, 07/01/97 2,000
- -------------------------------------------------------------------------------
</TABLE>
7
<PAGE>
----------------
THE MONITOR OHIO MUNICIPAL MONEY MARKET FUND (Continued)
------------------------------------
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------
PRINCIPAL
AMOUNT VALUE
(000) (000)
- -------------------------------------------------------------------------------
OHIO (CONTINUED)
- -------------------------------------------------------------------------------
<C> <S> <C>
$3,800 Ohio State Development Authority, Daily VRDNs, (Mead
Corp.)/(Swiss Bank LOC), 5.50%, 07/01/97 $3,800
- -------------------------------------------------------------------------------
3,200 Ohio State Environmental Improvement, Weekly VRDNs, (USX
Corp.)/(Sanwa Bank LOC), 4.35%, 07/07/97 3,200
- -------------------------------------------------------------------------------
3,200 Ohio State Higher Ed. Facility, Daily VRDNs, (Oberlin
College)/(Morgan Guaranty Trust LOC), 2.40%, 07/01/97 3,200
- -------------------------------------------------------------------------------
1,000 Ohio State Higher Ed. Facility, Weekly VRDNs, (Nazarene
College)/(National City Bank LOC), 4.25%, 07/07/97 1,000
- -------------------------------------------------------------------------------
1,000 Ohio State Higher Ed. Facility, Weekly VRDNs, (Series
97)/(Fifth Third Bank LOC), 4.20%, 07/07/97 1,000
- -------------------------------------------------------------------------------
3,505 Ohio State University, Daily VRDNs, (Series 86B)/(National
Westminster Bank PLC LOC), 4.15%, 07/01/97 3,505
- -------------------------------------------------------------------------------
2,775 Ohio State University, Weekly VRDNs, (Series 92B), 4.15%,
07/07/97 2,775
- -------------------------------------------------------------------------------
2,275 Ohio State University, Weekly VRDNs, (Series 85B)/(National
Westminster Bank PLC LOC), 4.15%, 07/07/97 2,275
- -------------------------------------------------------------------------------
1,500 Ottawa County, OH, BANs, 4.00%, 02/25/98 1,503
- -------------------------------------------------------------------------------
1,460 Seven Hills, OH, BANs, 4.00%, 08/06/97 1,461
- -------------------------------------------------------------------------------
3,000 Sharonville, OH, IDR, Weekly VRDNs, (Edgecomb
Metals)/(Banque Nationale De Paris LOC), 4.13%, 07/07/97 3,000
- -------------------------------------------------------------------------------
1,000 South Euclid, OH, BANs, 4.15%, 04/08/98 1,002
- -------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
- -----------------------------------------------------------------------------
THE MONITOR OHIO TAX-FREE FUND June 30, 1997
PRINCIPAL
AMOUNT VALUE
(000) (000)
- -----------------------------------------------------------------------------
OHIO (CONTINUED)
- -----------------------------------------------------------------------------
<C> <S> <C>
$1,000 Stark County, OH, BANs, 4.10%, 04/15/98 $1,003
- -----------------------------------------------------------------------------
1,000 Stark County, OH, BANs, (Series 96), 4.10%, 10/16/97 1,001
- -----------------------------------------------------------------------------
1,000 Strongsville, OH, BANs, 3.90%, 12/18/97 1,001
- -----------------------------------------------------------------------------
2,100 Summit County, OH, IDR, Monthly VRDNs,
(Petrarca/Cedarwood)/(Firemans Newark Insured),
4.35%, 07/07/97 2,100
- -----------------------------------------------------------------------------
2,000 Toledo Lucas, OH, 3.65%, 08/05/97 2,000
- -----------------------------------------------------------------------------
1,600 University Of Cincinnati, OH, BANs, 4.24%, 03/19/98 1,603
- -----------------------------------------------------------------------------
1,500 University of Cincinnati, OH, BANs, 4.25%, 08/28/97 1,501
- -----------------------------------------------------------------------------
1,000 Warren County, OH, IDR, Weekly VRDNs, (Pioneer
Industrial)/(Bank of Tokyo-Mitsubishi Bank LOC),
2.35%, 07/07/97 1,000
- -----------------------------------------------------------------------------
1,000 Westlake, OH, City School District, BANs, 4.20%,
07/28/97 1,000
- -----------------------------------------------------------------------------
700 Wooster, OH, IDR, Weekly VRDNs, (Allen
Group)/(National Bank of Detroit LOC), 4.40%,
07/07/97 700
- -----------------------------------------------------------------------------
TOTAL OHIO 135,213
- -----------------------------------------------------------------------------
OTHER - 4.0%
5,593 Nuveen Tax-Exempt Money Market Fund, Inc., 3.87%,
07/01/97 5,593
- -----------------------------------------------------------------------------
TOTAL INVESTMENTS (COST $140,806) $140,806(B)
- -----------------------------------------------------------------------------
</TABLE>
See Notes to Portfolios of Investments.
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------
PRINCIPAL
AMOUNT VALUE
(000) (000)
- -------------------------------------------------------------------------------
LONG TERM MUNICIPAL SECURITIES - 98.8%
- -------------------------------------------------------------------------------
<C> <S> <C>
$500 Akron, OH, GO, 5.30%, 12/01/11 $494
- -------------------------------------------------------------------------------
215 Alliance, OH, City School District, (AMBAC Insured), 6.20%,
12/01/01 230
- -------------------------------------------------------------------------------
250 Archibold, OH, Local School District, (Prerefunded), 12/1/98
(@102), 6.80% (c) 264
- -------------------------------------------------------------------------------
300 Aurora, OH, City School District, (FGIC Insured), 5.50%,
12/01/07 315
- -------------------------------------------------------------------------------
290 Aurora, OH, GO, (Prerefunded), 12/1/99 (@102), 7.35%(c) 315
- -------------------------------------------------------------------------------
280 Avon Lake, OH, Water System, (AMBAC Insured), 5.10%,
10/01/05 285
- -------------------------------------------------------------------------------
250 Beachwood, OH, City School District, 6.60%, 12/01/04 272
- -------------------------------------------------------------------------------
215 Bedford, OH, City School District, (Energy Conservation
Improvement), 5.35%, 06/15/02 220
- -------------------------------------------------------------------------------
200 Bedford, OH, City School District, (Energy Conservation
Improvement), 5.40%, 06/15/03 204
- -------------------------------------------------------------------------------
205 Berea, OH, GO, 6.95%, 12/01/98 213
- -------------------------------------------------------------------------------
250 Blue Ash, OH, GO, 6.50%, 11/01/99 263
- -------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
- -----------------------------------------------------------------------------
PRINCIPAL
AMOUNT VALUE
(000) (000)
- -----------------------------------------------------------------------------
LONG TERM MUNICIPAL SECURITIES (CONTINUED)
- -----------------------------------------------------------------------------
<C> <S> <C>
$230 Bowling Green, OH, City School District, (ETM), 6.90%,
12/01/98 $239
- -----------------------------------------------------------------------------
250 Butler County, OH, Hospital Facility, (Middletown
Hospital)/(FGIC Insured), 5.25%, 11/15/00 257
- -----------------------------------------------------------------------------
500 Butler County, OH, SSRB, (AMBAC Insured), 4.80%, 12/01/98 505
- -----------------------------------------------------------------------------
250 Centerville, OH, City School District, 6.63%, 12/01/99 263
- -----------------------------------------------------------------------------
250 Cincinnati, OH, 6.75%, 12/01/01 273
- -----------------------------------------------------------------------------
250 Cincinnati, OH, Street Improvement, 7.00%, 12/01/99 266
- -----------------------------------------------------------------------------
500 Cleveland Heights, OH, (Series B), 5.60%, 12/01/02 525
- -----------------------------------------------------------------------------
500 Cleveland Heights, OH, GO, (FGIC Insured), 6.75%, 12/01/97 506
- -----------------------------------------------------------------------------
200 Cleveland, OH, GO, (Series B)/(AMBAC Insured), 6.40%,
10/01/02 217
- -----------------------------------------------------------------------------
500 Cleveland, OH, Public Power System, (Series B)/(MBIA
Insured), 5.90%, 11/15/01 529
- -----------------------------------------------------------------------------
250 Columbus, OH, (Prerefunded), 03/01/99 (@102), 7.00%(c) 266
- -----------------------------------------------------------------------------
</TABLE>
8
<PAGE>
------------------------------------
THE MONITOR OHIO TAX-FREE FUND (Continued)
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------
PRINCIPAL
AMOUNT VALUE
(000) (000)
- -------------------------------------------------------------------------------
LONG TERM MUNICIPAL SECURITIES (CONTINUED)
- -------------------------------------------------------------------------------
<C> <S> <C>
$270 Columbus, OH, (Series 2), 5.35%, 05/15/03 $281
- -------------------------------------------------------------------------------
500 Columbus, OH, (Series B), 6.30%, 01/01/05 540
- -------------------------------------------------------------------------------
300 Columbus, OH, (Series D), 5.25%, 09/15/11 302
- -------------------------------------------------------------------------------
250 Columbus, OH, City School District, (FGIC Insured), 5.05%,
12/01/02 255
- -------------------------------------------------------------------------------
268 Columbus, OH, GO, 5.70%, 07/15/06 276
- -------------------------------------------------------------------------------
250 Columbus, OH, GO, 6.30%, 04/15/03 265
- -------------------------------------------------------------------------------
250 Copley/Fairlawn, OH, City School District, 5.15%, 12/01/01 257
- -------------------------------------------------------------------------------
500 Cuyahoga County, OH, (Prerefunded), 1/1/99 (@102), 6.90%(c) 538
- -------------------------------------------------------------------------------
250 Cuyahoga County, OH, (Prerefunded), 10/1/98 (@102), 7.00%(c) 263
- -------------------------------------------------------------------------------
500 Cuyahoga County, OH, (Series B), 4.50%, 10/01/00 501
- -------------------------------------------------------------------------------
500 Cuyahoga County, OH, GO, 5.20%, 11/15/09 504
- -------------------------------------------------------------------------------
200 Cuyahoga Falls, OH, GO, (MBIA Insured), 5.40%, 12/01/06 208
- -------------------------------------------------------------------------------
400 Delaware, OH, GO, 5.40%, 11/01/02 408
- -------------------------------------------------------------------------------
250 Dover, OH, Electric System, (FGIC Insured), 5.50%, 12/01/07 261
- -------------------------------------------------------------------------------
250 Dublin, OH, City School District, (FGIC Insured), 6.05%,
12/01/03 270
- -------------------------------------------------------------------------------
250 Dublin, OH, City School District, (FGIC Insured), 6.15%,
12/01/04 273
- -------------------------------------------------------------------------------
500 Dublin, OH, City School District, (MBIA Insured), 5.00%,
12/02/08 499
- -------------------------------------------------------------------------------
250 Eastlake, OH, GO, 5.00%, 12/01/04 252
- -------------------------------------------------------------------------------
420 Euclid, OH, GO, (Prerefunded), 12/1/99 (@102), 7.00%(c) 454
- -------------------------------------------------------------------------------
500 Euclid, OH, GO, 5.30%, 12/01/07 515
- -------------------------------------------------------------------------------
500 Euclid, OH, GO, 5.45%, 12/01/08 519
- -------------------------------------------------------------------------------
250 Euclid, OH, GO, 6.40%, 12/01/04 271
- -------------------------------------------------------------------------------
245 Fairfield, OH, City School District, (FGIC Insured), 5.65%,
12/01/06 259
- -------------------------------------------------------------------------------
500 Findlay, OH, GO, 5.50%, 07/01/08 518
- -------------------------------------------------------------------------------
270 Findlay, OH, GO, 6.70%, 08/01/97 271
- -------------------------------------------------------------------------------
250 Findlay, OH, SSRB, 5.20%, 07/01/06 254
- -------------------------------------------------------------------------------
500 Franklin County, OH, (Childrens Hospital)/(Series A), 5.80%,
11/01/10 517
- -------------------------------------------------------------------------------
250 Franklin County, OH, (Childrens Hospital)/(Series A), 6.50%,
05/01/07 272
- -------------------------------------------------------------------------------
285 Franklin County, OH, (Convention Authority)/(MBIA Insured),
5.50%, 12/01/03 298
- -------------------------------------------------------------------------------
500 Franklin County, OH, 5.05%, 12/01/05 512
- -------------------------------------------------------------------------------
500 Franklin County, OH, Childrens Hospital, (Series
A)/(Prerefunded), 11/1/01 (@102), 6.40%(c) 547
- -------------------------------------------------------------------------------
305 Franklin County, OH, GO, (MBIA Insured), 6.00%, 09/01/06 333
- -------------------------------------------------------------------------------
500 Franklin County, OH, HRB, (Doctors Hospital), 5.05%,
12/01/99 504
- -------------------------------------------------------------------------------
550 Franklin County, OH, HRB, (Holy Cross Hospital)/(Series A),
7.20%, 06/01/00 589
- -------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------
PRINCIPAL
AMOUNT VALUE
(000) (000)
- -------------------------------------------------------------------------------
LONG TERM MUNICIPAL SECURITIES (CONTINUED)
- -------------------------------------------------------------------------------
<C> <S> <C>
$515 Gahanna, OH, GO, 5.25%, 06/01/02 $530
- -------------------------------------------------------------------------------
250 Gahanna, OH, (Series A)/(Prerefunded), 06/01/01 (@102),
6.40%(c) 272
- -------------------------------------------------------------------------------
580 Gahanna, OH, GO, 5.55%, 06/01/05 606
- -------------------------------------------------------------------------------
250 Grandview Heights, OH, 7.10%, 12/01/06 275
- -------------------------------------------------------------------------------
250 Grandview Heights, OH, City School District, 5.40%, 12/01/05 259
- -------------------------------------------------------------------------------
300 Greene County, OH, Water System, (Series A)/(FGIC Insured),
5.75%, 12/01/09 318
- -------------------------------------------------------------------------------
500 Hamilton County, OH, (Episcopal Retirement)/(Fifth Third
Bank LOC), 5.90%, 01/01/99 513
- -------------------------------------------------------------------------------
300 Hamilton County, OH, (Museum Center), 5.95%, 12/01/02 320
- -------------------------------------------------------------------------------
1,000 Hamilton County, OH, (Museum Center)/(Prerefunded), 12/1/97
(@103), 7.13%(c) 1,043
- -------------------------------------------------------------------------------
170 Hamilton County, OH, Childrens Hospital, (BIG Insured),
6.75%, 05/15/02 175
- -------------------------------------------------------------------------------
500 Hamilton County, OH, Childrens Hospital, (Series D)/(FGIC
Insured), 4.90%, 05/15/03 506
- -------------------------------------------------------------------------------
250 Hamilton County, OH, Childrens Hospital, (Series E)/(MBIA
Insured), 4.60%, 05/15/00 251
- -------------------------------------------------------------------------------
500 Hamilton County, OH, Christ Hospital, (Series A)/(FGIC
Insured), 6.50%, 01/01/02 534
- -------------------------------------------------------------------------------
500 Hamilton County, OH, GO, 5.10%, 12/01/11 491
- -------------------------------------------------------------------------------
95 Hamilton County, OH, SSRB, (Series A)/(Prerefunded), 6/1/01
(@102), 6.30%(c) 102
- -------------------------------------------------------------------------------
195 Hamilton County, OH, SSRB, (Series A)/(Prerefunded), 6/1/01
(@102), 6.40%(c) 213
- -------------------------------------------------------------------------------
155 Hamilton County, OH, SSRB, (Series A), 6.30%, 12/01/01 165
- -------------------------------------------------------------------------------
305 Hamilton County, OH, SSRB, (Series A), 6.40%, 12/01/03 329
- -------------------------------------------------------------------------------
390 Hamilton, OH, Electric System Revenue Bonds, (Series
A)/(FGIC Insured), 5.10%, 10/15/99 398
- -------------------------------------------------------------------------------
500 Hamliton County, OH, GO, 4.70%, 12/01/04 495
- -------------------------------------------------------------------------------
315 Hancock County, OH, GO, 5.20%, 12/01/08 321
- -------------------------------------------------------------------------------
250 Hilliard, OH, City School District, (AMBAC Insured), 5.00%,
12/01/03 256
- -------------------------------------------------------------------------------
500 Hilliard, OH, City School District, (Series A), 5.35%,
12/01/04 516
- -------------------------------------------------------------------------------
170 Hilliard, OH, GO, 5.35%, 12/01/06 174
- -------------------------------------------------------------------------------
180 Hilliard, OH, GO, 5.50%, 12/01/07 188
- -------------------------------------------------------------------------------
230 Hilliard, OH, GO, 6.75%, 12/01/98 239
- -------------------------------------------------------------------------------
245 Indian Hill, OH, Water Works Revenue Bonds, 4.90%, 06/01/05 248
- -------------------------------------------------------------------------------
500 Kent State University, OH, (MBIA Insured), 5.30%, 05/01/10 503
- -------------------------------------------------------------------------------
345 Kettering, OH, GO, (ETM), 6.70%, 12/01/97 349
- -------------------------------------------------------------------------------
585 Kettering, OH, GO, 5.05%, 12/01/04 590
- -------------------------------------------------------------------------------
255 Lakewood, OH, City School District, 5.05%, 12/01/05 259
- -------------------------------------------------------------------------------
535 Lakewood, OH, GO, 5.85%, 12/01/02 570
- -------------------------------------------------------------------------------
</TABLE>
9
<PAGE>
------------------------------------
THE MONITOR OHIO TAX-FREE FUND (Continued)
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------
PRINCIPAL
AMOUNT VALUE
(000) (000)
- -------------------------------------------------------------------------------
LONG TERM MUNICIPAL SECURITIES (CONTINUED)
- -------------------------------------------------------------------------------
<C> <S> <C>
$250 Lakota, OH, Local School District, (AMBAC Insured), 6.40%,
12/01/00 $267
- -------------------------------------------------------------------------------
500 Lorain County, OH, Hospital, 6.00%, 09/01/08 538
- -------------------------------------------------------------------------------
500 Lorain County, OH, Water Authority, (AMBAC Insured), 4.95%,
10/01/04 507
- -------------------------------------------------------------------------------
275 Lyndhurst, OH, (Prerefunded), 12/1/97 (@102), 7.40%(c) 284
- -------------------------------------------------------------------------------
200 Marysville, OH, Village School, (AMBAC Insured), 6.90%,
12/01/00 215
- -------------------------------------------------------------------------------
265 Mentor, OH, (Series A1), 6.80%, 12/01/98 275
- -------------------------------------------------------------------------------
250 Mentor, OH, Street Improvement, (Series 1991-A), 6.70%,
12/01/03 268
- -------------------------------------------------------------------------------
500 Miami University, OH, 5.40%, 12/01/05 517
- -------------------------------------------------------------------------------
200 Miami Valley, OH, Regional Transit Authority, 5.10%,
12/01/01 204
- -------------------------------------------------------------------------------
500 Montgomery County, OH, (Series A)/(Prerefunded), 9/1/01
(@100), 6.45%(c) 538
- -------------------------------------------------------------------------------
500 Montgomery County, OH, (Series A)/(Prerefunded), 9/1/01
(@100), 6.50%(c) 539
- -------------------------------------------------------------------------------
500 Montgomery County, OH, GO, 5.40%, 12/01/11 508
- -------------------------------------------------------------------------------
285 Montgomery County, OH, GO, 5.75%, 12/01/06 296
- -------------------------------------------------------------------------------
500 Montgomery County, OH, Miami Valley Hospital, (Series
A)/(AMBAC Insured), 6.10%, 11/15/02 538
- -------------------------------------------------------------------------------
270 Montgomery, OH, GO, 5.60%, 12/01/05 280
- -------------------------------------------------------------------------------
250 Muskingum County, OH, Bethesda Hospital Facility, (Connie
Lee Insured), 5.35%, 12/01/07 256
- -------------------------------------------------------------------------------
500 Northeast, OH, Regional Sewer District, (AMBAC Insured),
6.40%, 11/15/03 545
- -------------------------------------------------------------------------------
250 Norwalk, OH, Water Works Systems, (Series 1996), 5.60%,
04/01/10 258
- -------------------------------------------------------------------------------
235 Norwalk, OH, Water Works Systems, (Series 1996), 5.55%,
04/01/09 244
- -------------------------------------------------------------------------------
500 Ohio Municipal Electric Generation Agency, (AMBAC Insured),
4.75%, 02/15/00 505
- -------------------------------------------------------------------------------
500 Ohio State Building Authority, (Correction Facility)/(Series
A), 6.50%, 10/01/04 540
- -------------------------------------------------------------------------------
250 Ohio State Building Authority, (Data Center)/(Series
A)/(ETM), 7.00%, 10/01/97 252
- -------------------------------------------------------------------------------
250 Ohio State Building Authority, (Data Center)/(Series
A)/(Prerefunded), 10/1/97 (@102), 7.10%(c) 257
- -------------------------------------------------------------------------------
500 Ohio State Building Authority, (Green Building)/(Series A),
5.13%, 04/01/10 486
- -------------------------------------------------------------------------------
500 Ohio State Building Authority, (James Rhodes Center)/(Series
A), 6.20%, 06/01/04 534
- -------------------------------------------------------------------------------
125 Ohio State Building Authority, (Series A)/(Prerefunded),
3/1/99 (@102), 7.25%(c) 134
- -------------------------------------------------------------------------------
125 Ohio State Building Authority, (Series H)/(Prerefunded),
8/1/99 (@102), 7.25%(c) 135
- -------------------------------------------------------------------------------
250 Ohio State Capital Facilities, (Series 95A)/(AMBAC Insured),
5.80%, 06/01/03 266
- -------------------------------------------------------------------------------
300 Ohio State Economic Development, (Sysco Food Service),
6.60%, 12/01/03 332
- -------------------------------------------------------------------------------
200 Ohio State Higher Education Facility, (Pooled
Borrowing)/(Banc One LOC), 6.05%, 12/01/98 205
- -------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------
PRINCIPAL
AMOUNT VALUE
(000) (000)
- ------------------------------------------------------------------------------
LONG TERM MUNICIPAL SECURITIES (CONTINUED)
- ------------------------------------------------------------------------------
<C> <S> <C>
$445 Ohio State Higher Education Facility, (Denison University),
5.40%, 11/01/11 $444
- ------------------------------------------------------------------------------
250 Ohio State Higher Education Facility, (John Carroll
University), 5.35%, 10/01/05 257
- ------------------------------------------------------------------------------
250 Ohio State Higher Education Facility, (Oberlin College),
4.50%, 10/01/99 251
- ------------------------------------------------------------------------------
250 Ohio State Higher Education Facility, (Oberlin College),
5.00%, 10/01/02 256
- ------------------------------------------------------------------------------
555 Ohio State Higher Education Facility, (Ohio
Northern)/(Connie Lee Insured), 4.90%, 05/01/03 559
- ------------------------------------------------------------------------------
250 Ohio State Higher Education Facility, (University of
Dayton)/(FGIC Insured), 6.10%, 12/01/01 267
- ------------------------------------------------------------------------------
250 Ohio State Higher Education Facility, (Xavier
University)/(ETM), 7.10%, 11/01/98 260
- ------------------------------------------------------------------------------
250 Ohio State Public Facilities, (Mental Health)/(Series A),
7.20%, 12/01/99 258
- ------------------------------------------------------------------------------
500 Ohio State Public Facilities, (Mental Health)/(Series
A)/(MBIA Insured), 6.75%, 12/01/01 534
- ------------------------------------------------------------------------------
250 Ohio State Public Facilities, (Mental Health)/, (Series
A)/(Prerefunded), 06/01/98 (@102), 7.30%(c) 263
- ------------------------------------------------------------------------------
250 Ohio State Public Facilities, (Series A)/(MBIA Insured),
6.50%, 06/01/00 264
- ------------------------------------------------------------------------------
250 Ohio State Public Facilities, (Series IIB)/(AMBAC Insured),
5.70%, 11/01/99 259
- ------------------------------------------------------------------------------
250 Ohio State Public Facilities, (Series B)/(ETM), 6.90%,
06/01/98 257
- ------------------------------------------------------------------------------
750 Ohio State Turnpike Revenue Bonds, (Series A), 5.35%,
02/15/09 756
- ------------------------------------------------------------------------------
500 Ohio State University, (Series A2), 4.85%, 12/01/98 506
- ------------------------------------------------------------------------------
500 Ohio State University, (Series A2), 5.30%, 12/01/01 518
- ------------------------------------------------------------------------------
500 Ohio State University, (Series A2), 5.75%, 12/01/09 520
- ------------------------------------------------------------------------------
500 Ohio State Water Development Authority, (Clean Water
Project)/(MBIA Insured), 5.65%, 06/01/05 525
- ------------------------------------------------------------------------------
250 Ohio State Water Development Authority, 7.10%, 06/01/05 262
- ------------------------------------------------------------------------------
250 Olmstead Falls, OH, Local Scool District, (FGIC Insured),
6.30%, 12/15/01 270
- ------------------------------------------------------------------------------
250 Pickerington, OH, Local School District, (AMBAC Insured),
5.55%, 12/01/07 262
- ------------------------------------------------------------------------------
200 Portage County, OH, (AMBAC Insured), 5.20%, 12/01/01 206
- ------------------------------------------------------------------------------
500 Puerto Rico Comwlth, 6.50%, 07/01/11 571
- ------------------------------------------------------------------------------
500 Rocky River, OH, City Schools District, GO, 5.15%, 12/01/08 513
- ------------------------------------------------------------------------------
200 Salem, OH, SSRB, (AMBAC Insured), 6.00%, 02/01/01 200
- ------------------------------------------------------------------------------
250 Sandusky County, OH, (AMBAC Insured), 6.65%, 12/01/98 259
- ------------------------------------------------------------------------------
500 Solon, OH, GO, 5.25%, 12/01/07 512
- ------------------------------------------------------------------------------
150 Solon, OH, GO, 5.65%, 12/01/05 157
- ------------------------------------------------------------------------------
250 Solon, OH, GO, 6.55%, 12/01/00 268
- ------------------------------------------------------------------------------
250 Solon, OH, GO, 6.65%, 12/01/01 268
- ------------------------------------------------------------------------------
250 Solon, OH, Local School District, (ETM), 6.85%, 12/01/00 269
- ------------------------------------------------------------------------------
</TABLE>
10
<PAGE>
------------------------------------
THE MONITOR OHIO TAX-FREE FUND (Continued)
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------
PRINCIPAL
AMOUNT VALUE
(000) (000)
- -------------------------------------------------------------------------------
LONG TERM MUNICIPAL SECURITIES (CONTINUED)
- -------------------------------------------------------------------------------
<C> <S> <C>
$245 South Euclid, OH, Recreational Facilities, 6.15%, 12/01/00 $258
- -------------------------------------------------------------------------------
250 South Western City School District, (ETM), 6.10%, 12/01/99 261
- -------------------------------------------------------------------------------
250 South Western City School District, (Series A)/(AMBAC
Insured), 6.00%, 12/01/04 271
- -------------------------------------------------------------------------------
250 Springfield, OH, Local School District, 6.00%, 12/01/02 267
- -------------------------------------------------------------------------------
400 State of Ohio, GO, 4.50%, 08/01/01 402
- -------------------------------------------------------------------------------
250 State of Ohio, Highway Revenue Bonds, (Series S), 4.50%,
05/15/00 252
- -------------------------------------------------------------------------------
500 State of Ohio, Highway Revenue Bonds, (Series T), 4.80%,
05/15/01 508
- -------------------------------------------------------------------------------
500 Strongsville, OH, GO, 6.70%, 12/01/11 559
- -------------------------------------------------------------------------------
250 Summit County, OH, GO, (MBIA Insured), 5.65%, 12/01/07 263
- -------------------------------------------------------------------------------
500 Toledo, OH, SSRB, (Series A)/(MBIA Insured), 7.25%, 11/15/00 529
- -------------------------------------------------------------------------------
500 Troy, OH, GO, 6.25%, 12/01/11 546
- -------------------------------------------------------------------------------
550 Twinsburg, OH, Local School District, 5.40%, 12/01/09 564
- -------------------------------------------------------------------------------
500 University of Cincinnati, OH, (MBIA Insured), 5.10%,
06/01/11 492
- -------------------------------------------------------------------------------
250 University of Cincinnati, OH, (MBIA Insured), 6.40%,
12/01/03 272
- -------------------------------------------------------------------------------
250 University of Cincinnati, OH, (Series R5), 5.15%, 06/01/05 253
- -------------------------------------------------------------------------------
250 University of Cincinnati, OH, (Series R9), 5.60%, 06/01/09 253
- -------------------------------------------------------------------------------
250 University of Cincinnati, OH, (Series V), 5.25%, 06/01/08 252
- -------------------------------------------------------------------------------
265 University of Cincinnati, OH, (Series V), 5.35%, 06/01/09 266
- -------------------------------------------------------------------------------
200 Upper Arlington, OH, City School District, (Prerefunded),
12/1/98 (@102), 6.80%(c) 211
- -------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
LONG TERM MUNICIPAL SECURITIES (CONTINUED)
- ------------------------------------------------------------------------------
<C> <S> <C>
$500 Vandalia, OH, GO, 5.45%, 12/01/10 $508
- ------------------------------------------------------------------------------
175 Warren County, OH, Sewer Improvement, (Lower Miami
Valley), 5.25%, 12/01/08 178
- ------------------------------------------------------------------------------
185 Warren County, OH, Sewer Improvement, (Lower Miami
Valley), 5.35%, 12/01/09 189
- ------------------------------------------------------------------------------
170 Warren County, OH, SSRB, (Series A)/(Prerefunded),
12/01/00 (@102), 6.95%(c) 187
- ------------------------------------------------------------------------------
400 Warren County, OH, Water System Improvement, (P&G
Project), 5.25%, 12/01/07 411
- ------------------------------------------------------------------------------
235 Warren County, OH, Water Works, (FGIC Insured), 6.10%,
12/01/02 251
- ------------------------------------------------------------------------------
470 Westerville, OH, Water System, 5.90%, 12/01/04 502
- ------------------------------------------------------------------------------
500 Westlake, OH, 5.35%, 12/01/10 506
- ------------------------------------------------------------------------------
500 Westlake, OH, City School District Series A, 5.50%,
12/01/10 512
- ------------------------------------------------------------------------------
250 Worthington, OH, City School District, (FGIC Insured),
5.85%, 06/01/02 264
- ------------------------------------------------------------------------------
250 Worthington, OH, City School District, (MBIA Insured),
7.15%, 12/01/00 270
- ------------------------------------------------------------------------------
250 Wright State University, (AMBAC Insured), 5.00%, 05/01/06 252
- ------------------------------------------------------------------------------
TOTAL LONG TERM MUNICIPAL SECURITIES (COST $61,703) 64,118
- ------------------------------------------------------------------------------
SHORT TERM MUNICIPAL SECURITIES--.4%
- ------------------------------------------------------------------------------
200 Cuyahoga County, OH, HRB, Daily VRDNs, (University
Hospital Cleveland), 4.20%, 07/01/97 200
- ------------------------------------------------------------------------------
100 Hamilton County, OH, Daily VRDNs, (Franciscan
Health)/(Sumitomo Bank LOC), 4.15%, 07/01/97 100
- ------------------------------------------------------------------------------
TOTAL SHORT TERM MUNICIPAL SECURITIES
(COST $300) 300
- ------------------------------------------------------------------------------
TOTAL INVESTMENTS
(COST $62,003) $64,418
- ------------------------------------------------------------------------------
</TABLE>
See Notes To Portfolios of Investments
<TABLE>
<CAPTION>
------------------------
THE MONITOR FIXED INCOME SECURITIES FUND June 30, 1997
- ------------------------------------------------------------------------------
PRINCIPAL
AMOUNT VALUE
(000) (000)
- --------------------------------------------------------
CORPORATE BONDS - 62.4%
- --------------------------------------------------------
BANKS & SAVINGS AND LOANS - 5.6%
<C> <S> <C>
$1,000 ABN Amro Bank Notes, 7.25%, 05/31/05 $1,010
1,000 Banc One, 7.00%, 07/15/05 991
250 BankAmerica Corp., 7.75%, 07/15/02 259
1,000 Citicorp, 7.25%, 09/01/08 1,005
250 Citicorp, 9.75%, 08/01/99 266
500 Comerica Bank Notes, 9.75%, 05/01/99 528
1,000 Keycorp, 6.75%, 03/15/06 969
1,000 Mellon Bank N.A., 6.50%, 08/01/05 962
1,000 NBD Bancorp Notes, 7.13%, 05/15/07 994
</TABLE>
<TABLE>
<CAPTION>
- --------------------------------------------------------------
PRINCIPAL
AMOUNT VALUE
(000) (000)
- --------------------------------------------------------------
CORPORATE BONDS (CONTINUED)
- --------------------------------------------------------------
BANKS & SAVINGS AND LOANS (CONTINUED)
<C> <S> <C>
$250 Security Pacific Corp., 9.75%, 05/15/99 $264
1,000 Swiss Bank Corp.--New York, 7.25%, 09/01/06 1,010
- --------------------------------------------------------------
8,258
- --------------------------------------------------------------
BASIC INDUSTRY - 1.4%
500 Air Products & Chemicals, 8.88%, 08/01/01 537
250 Arco Chemical Co., 9.90%, 11/01/00 273
250 Weyerhaeuser Co., 9.05%, 02/01/03 273
1,000 Worthington Industries, 7.13%, 05/15/06 1,005
- --------------------------------------------------------------
2,088
- --------------------------------------------------------------
</TABLE>
11
<PAGE>
------------------------
THE MONITOR FIXED INCOME SECURITIES FUND (Continued)
<TABLE>
<CAPTION>
- -----------------------------------------------------------------------
PRINCIPAL
AMOUNT VALUE
(000) (000)
- -----------------------------------------------------------------------
CORPORATE BONDS (CONTINUED)
- -----------------------------------------------------------------------
CAPITAL GOODS - .2%
<C> <S> <C>
$250 Caterpillar, Inc., 9.38%, 07/15/00 $270
- -----------------------------------------------------------------------
CONSUMER GOODS & SERVICES - 11.7%
1,500 American Home Products, 6.50%, 10/15/02 1,479
1,000 Bergen Brunswig Corp., 7.25%, 06/01/05 1,005
1,000 Cardinal Health, 6.00%, 01/15/06 934
1,000 Carnival Corp., 6.15%, 10/01/03 958
1,000 Columbia/HCA Healthcare, 8.85%, 01/01/07 1,119
1,000 Darden Restaurants Inc., 6.38%, 02/01/06 930
250 Dayton Hudson Corp., 10.00%, 12/01/00 274
750 Grand Met Investment Corp., 7.13%, 09/15/04 756
250 Great Atlantic & Pacific Tea, Inc., 9.13%, 01/15/98 254
1,000 Harvard University, 8.13%, 04/15/07 1,084
1,000 Hertz Corp., 7.00%, 07/15/03 992
1,000 J.C. Penney & Co. Notes, 6.88%, 10/15/15 925
250 Limited, Inc., 9.13%, 02/01/01 265
1,000 Limited, Inc., 7.80%, 05/15/02 1,017
750 May Dept. Stores Co., 9.88%, 06/15/00 816
250 Nordstrom, Inc., 8.88%, 02/15/98 254
500 Philip Morris Co. Inc., 7.63%, 05/15/02 509
1,000 Ralston Purina Notes, 9.25%, 10/15/09 1,145
500 Scripps Howard, Inc., 7.38%, 12/15/98 507
250 Super Value Stores, Inc., 8.88%, 06/15/99 261
250 Universal Corp., 9.25%, 02/15/01 268
1,500 V.F. Corp., 7.60%, 04/01/04 1,515
- -----------------------------------------------------------------------
17,267
- -----------------------------------------------------------------------
DIVERSIFIED INDUSTRIAL - .9%
500 Joseph E. Seagram & Sons Inc., 7.00%, 04/15/08 494
500 Watts Industries, 8.38%, 12/01/03 534
250 Whirlpool Corp., 9.50%, 06/15/00 269
- -----------------------------------------------------------------------
1,297
- -----------------------------------------------------------------------
ENERGY-OIL & GAS - 1.2%
1,000 Ashland Oil Inc., 7.71%, 05/11/07 1,026
500 Consolidated Natural Gas Co., 5.88%, 10/01/98 498
250 Pennzoil Co., 9.63%, 11/15/99 266
- -----------------------------------------------------------------------
1,790
- -----------------------------------------------------------------------
FINANCE COMPANIES - 9.6%
1,000 Abbey National PLC, 6.69%, 10/17/05 980
1,000 Bear Stearns, 6.63%, 01/15/04 974
750 Bell Atlantic Financial, 6.63%, 11/30/97 753
750 BHP U.S. Finance Corp., 7.00%, 12/01/97 754
1,000 Countrywide Funding Corp., 8.25%, 07/15/02 1,054
1,000 Crown Cork & Seal Financial PLC, 7.00%, 12/15/06 990
1,000 CSW Investments, 7.45%, 08/01/06 1,006
1,000 Dean Witter Discover, 6.00%, 03/01/98 1,001
500 Eaton Off Shore Ltd., 9.00%, 02/15/01 537
1,000 Ford Motor Credit Corp., 7.75%, 03/15/05 1,036
250 International Lease Finance Co., 6.50%, 07/15/97 250
500 Kimco Realty, 6.50%, 10/01/03 487
1,000 MBNA Corp. Notes, 6.88%, 06/01/05 975
1,000 Salomon Brothers, 6.75%, 01/15/06 962
1,300 Smurfit Capital, 6.75%, 11/20/05 1,258
1,300 Sunamerica Inc., 7.34%, 08/30/05 1,310
- -----------------------------------------------------------------------
14,327
- -----------------------------------------------------------------------
(D)FOREIGN INDUSTRIAL - 4.1%
1,000 Canadian National Railroad, 7.00%, 03/15/04 990
1,000 English China Clay, 7.38%, 10/01/02 1,014
750 Hydro-Quebec, Canada, 7.38%, 02/01/03 761
1,000 Hydro-Quebec, Canada, 9.75%, 01/15/18 1,112
500 Northern Telecom, Ltd., 8.75%, 06/12/01 536
1,000 Philips Electronics, 8.38%, 09/15/06 1,066
615 Rhone-Poulenc, 7.75%, 01/15/02 633
- -----------------------------------------------------------------------
6,112
- -----------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------
PRINCIPAL
AMOUNT VALUE
(000) (000)
- ------------------------------------------------------------------------
CORPORATE BONDS (CONTINUED)
- ------------------------------------------------------------------------
(D)FOREIGN SOVEREIGN - 5.0%
<C> <S> <C>
$1,000 Barcelona City, Spain, 8.13%, 02/15/05 $1,056
1,000 Gen De Catalunya, 6.38%, 12/15/07 941
1,000 Province of Ontario, Canada, 6.00%, 02/21/06 940
500 Province of Ontario, Canada, 6.13%, 06/28/00 497
1,000 Province of Quebec, Canada, 8.63%, 01/19/05 1,089
250 Province of Quebec, Canada, 8.80%, 04/15/03 272
1,000 Republic of Finland, 7.88%, 07/28/04 1,062
1,550 Republic of Iceland, 6.13%, 02/01/04 1,488
- ------------------------------------------------------------------------
7,345
- ------------------------------------------------------------------------
GAS & ELECTRIC UTILITIES - 8.0%
500 Baltimore Gas & Electric Co., 6.63%, 03/15/08 482
1,000 Big Rivers Electric, 9.50%, 02/15/17 1,060
1,000 Cajun Electric Power, 9.52%, 03/15/19 1,065
500 Commonwealth Edison, 9.38%, 02/15/00 529
1,100 Duke Energy Corporation, 6.38%, 03/01/08 1,039
200 Houston Lighting & Power Co., 6.75%, 11/01/97 200
815 Iowa Electric Power & Light, 8.63%, 05/15/01 865
1,300 Jersey Central Power & Light, 7.13%, 10/01/04 1,290
1,000 Minnesota Power & Light, 7.75%, 06/01/07 1,025
1,000 Northwestern Public Services, 7.10%, 08/01/05 1,002
750 Orange & Rockland Utilities, Inc., 6.50%, 10/15/97 751
1,000 Pennsylvania Power & Light, 6.88%, 02/01/03 1,003
1,000 Public Service Electric & Gas, 6.25%, 01/01/07 944
500 Western Resources Inc., 7.25%, 07/01/99 507
- ------------------------------------------------------------------------
11,762
- ------------------------------------------------------------------------
INDUSTRIAL - 2.3%
1,000 Olsten Corp., 7.00%, 03/15/06 985
400 Polaroid Corporation, 7.25%, 01/15/07 395
1,000 Reynolds & Reynolds, 7.00%, 12/15/06 986
1,000 Toro Company Notes, 7.13%, 06/15/07 985
- ------------------------------------------------------------------------
3,351
- ------------------------------------------------------------------------
INDUSTRIAL PRODUCTS - 4.9%
1,000 Black & Decker Co., 7.50%, 04/01/03 1,025
1,000 Carlisle Companies Inc., 7.25%, 01/15/07 996
1,000 FBG (Fosters Brewing) Finance Ltd., 6.75%., 11/15/05 960
1,200 Georgia Pacific Corp. Notes, 9.95%, 06/15/02 1,340
1,000 Millennium America Inc., 7.00%, 11/15/06 978
1,000 Noranda Inc., 7.00%, 07/15/05 978
1,000 Tosco Corp., 7.25%, 01/01/07 1,003
- ------------------------------------------------------------------------
7,280
- ------------------------------------------------------------------------
INSURANCE - 3.1%
1,000 Lincoln National Corp., 7.25%, 05/15/05 1,000
1,000 London Insurance Grp., 6.88%, 09/15/05 981
1,500 MBIA, Inc., 9.00%, 02/15/01 1,603
1,000 U.S. Life Notes, 6.38%, 06/15/00 983
- ------------------------------------------------------------------------
4,567
- ------------------------------------------------------------------------
TECHNOLOGY - 1.1%
500 International Business Machines, 6.38%, 06/15/00 499
1,000 Texas Instruments Notes, 9.25%, 05/15/03 1,108
- ------------------------------------------------------------------------
1,607
- ------------------------------------------------------------------------
TELEPHONE UTILITIES & COMMUNICATION CO. - 2.4%
1,000 Comsat Corp., 8.95%, 05/15/01 1,071
1,000 General Telephone of the Southeast, 7.63%, 07/01/02 1,010
900 GTE Corp., 9.10%, 06/01/03 990
500 Southwestern Bell Telephone Co., 6.63%, 04/01/05 489
- ------------------------------------------------------------------------
3,560
- ------------------------------------------------------------------------
</TABLE>
12
<PAGE>
------------------------
THE MONITOR FIXED INCOME SECURITIES FUND (Continued)
<TABLE>
<CAPTION>
- --------------------------------------------------------
PRINCIPAL
AMOUNT VALUE
(000) (000)
- --------------------------------------------------------
CORPORATE BONDS (CONTINUED)
- --------------------------------------------------------
TRANSPORTATION - .9%
<C> <S> <C>
$250 Union Pacific Corp., 9.63%, 12/15/02 $278
1,000 Union Pacific RR, 8.50%, 01/15/17 1,039
- --------------------------------------------------------
1,317
- --------------------------------------------------------
TOTAL CORPORATE BONDS (COST $91,242) 92,198
- --------------------------------------------------------
GOVERNMENT BONDS - 34.9%
- --------------------------------------------------------
GOVERNMENT AGENCIES - 7.3%
4,000 FNMA, 7.93%, 09/20/06 4,049
1,698 GNMA Pool #345128, 6.50%, 01/15/24 1,624
871 GNMA Pool #352982, 7.50%, 05/15/24 873
1,789 GNMA Pool #372962, 7.00%, 03/15/24 1,757
954 GNMA Pool #373015, 8.00%, 06/15/24 975
1,467 GNMA Pool #391615, 8.50%, 09/15/24 1,525
- --------------------------------------------------------
10,803
- --------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
- ---------------------------------------------------------------
PRINCIPAL
AMOUNT VALUE
(000) (000)
- ---------------------------------------------------------------
GOVERNMENT BONDS (CONTINUED)
- ---------------------------------------------------------------
U.S. TREASURIES - 27.6%
<C> <S> <C>
$1,000 U.S. Treasury Bond, 8.75%, 08/15/20 $1,214
30,000 U.S. Treasury Notes, 6.63%, 03/31/02 30,250
9,000 U.S. Treasury Notes, 7.00%, 07/15/06 9,255
- ---------------------------------------------------------------
40,719
- ---------------------------------------------------------------
TOTAL GOVERNMENT BONDS (COST $50,626) 51,522
- ---------------------------------------------------------------
COMMERCIAL PAPER - .9%
1,384 Prudential Funding Corp., 5.55%, 07/01/97 1,384
- ---------------------------------------------------------------
TOTAL INVESTMENTS (COST $143,252) $145,104
- ---------------------------------------------------------------
</TABLE>
See Notes To Portfolios of Investments
--------------------
THE MONITOR SHORT/INTERMEDIATE FIXED INCOME June 30, 1997
SECURITIES FUND
<TABLE>
<CAPTION>
- ----------------------------------------------------------------
PRINCIPAL
AMOUNT VALUE
(000) (000)
- ----------------------------------------------------------------
CORPORATE BONDS - 68.3%
- ----------------------------------------------------------------
BANKS & SAVINGS AND LOANS - 11.2%
<C> <S> <C>
$1,000 Bankers Trust, 9.20%, 07/15/99 $1,051
1,000 Barnett Banks, 8.50%, 03/01/99 1,032
1,100 Chase Manhattan Corp., 10.00%, 06/15/99 1,170
1,000 Chemical NY Corp., 9.75%, 06/15/99 1,060
1,000 Citicorp, 9.00%, 04/15/99 1,044
500 Comerica Bank Notes, 9.75%, 05/01/99 528
1,000 Dominion Bankshares, 9.63%, 06/15/99 1,057
1,000 First Chicago, 9.88%, 07/01/99 1,064
500 First Fidelity Bancorp, 9.63%, 08/15/99 531
1,000 First Security Bank of Utah, 7.88%, 10/15/99 1,029
1,000 Golden West Financial, 9.15%, 05/23/98 1,026
1,000 Harris Bancorp, 9.38%, 06/01/01 1,087
500 Key Corp., 8.40%, 04/01/99 516
1,000 Mellon Corp., 6.30%, 06/01/00 991
500 Sovran Financial, 9.75%, 06/15/99 531
- ----------------------------------------------------------------
13,717
- ----------------------------------------------------------------
BASIC INDUSTRY - 2.6%
1,000 Reynolds Metals, 9.31%, 01/03/02 1,089
1,000 Tech Corp. Notes, 8.70%, 05/01/02 1,050
1,000 WMX Technologies, Inc., 8.25%, 11/15/99 1,039
- ----------------------------------------------------------------
3,178
- ----------------------------------------------------------------
CAPITAL GOODS - .4%
500 Baker Hughes, Inc., 7.63%, 02/15/99 510
- ----------------------------------------------------------------
CONSUMER GOODS & SERVICES - 10.6%
1,000 American Home Products, 7.70%, 02/15/00 1,029
1,000 American Stores, 9.13%, 04/01/02 1,083
1,000 Columbia Healthcare, 6.50%, 03/15/99 1,004
1,400 Columbia Pictures Ent., 9.88%, 02/01/98 1,425
1,000 Cox Communications Inc., 6.38%, 06/15/00 991
1,000 Dayton Hudson, 7.50%, 03/01/99 1,017
1,120 Dillard Dept. Stores Inc., 8.75%, 06/15/98 1,146
250 Dillard Dept. Stores Inc., 9.50%, 01/15/98 254
</TABLE>
<TABLE>
<CAPTION>
- ----------------------------------------------------------------------
PRINCIPAL
AMOUNT VALUE
(000) (000)
- ----------------------------------------------------------------------
CORPORATE BONDS (CONTINUED)
- ----------------------------------------------------------------------
CONSUMER GOODS & SERVICES (CONTINUED)
<C> <S> <C>
$1,000 Fortune Brands Inc., 9.00%, 06/15/99 $1,049
1,000 Pepsico Inc., 6.80%, 05/15/00 1,009
500 Philip Morris Inc., 6.38%, 01/15/98 501
1,000 Philip Morris Inc., 7.38%, 02/15/99 1,014
500 Scripps Howard Inc., 7.38%, 12/15/98 507
1,000 Super Value Stores Inc., 8.88%, 06/15/99 1,044
- ----------------------------------------------------------------------
13,073
- ----------------------------------------------------------------------
DIVERSIFIED INDUSTRIAL - 1.0%
1,250 Loews Corp., 8.50%, 04/15/98 1,272
- ----------------------------------------------------------------------
ENERGY-OIL & GAS - 1.7%
1,000 Burlington Resources, 7.15%, 05/01/99 1,012
1,000 Elf Aquitaine, 7.75%, 05/01/99 1,024
- ----------------------------------------------------------------------
2,036
- ----------------------------------------------------------------------
FINANCE COMPANIES - 16.9%
1,000 AFG Receivables Trust 97-A, 6.65%, 10/15/02 999
1,000 American Express Credit, 7.38%, 02/01/99 1,017
1,000 American General Finance, 6.88%, 07/01/99 1,009
1,050 Aristar Inc., 7.88%, 02/15/99 1,076
1,000 AT&T Capital Corp., 6.90%, 01/30/02 995
1,200 Bear Stearns Co., 7.63%, 09/15/99 1,230
1,250 Bell Atlantic Financial, 6.63%, 11/30/97 1,254
1,250 BHP U.S. Finance Corp., 7.00%, 12/01/97 1,256
1,000 Chrysler Financial Corp., 13.25%, 10/15/99 1,142
500 CNA Financial, 8.88%, 03/01/98 509
500 CSW Investments, 6.95%, 08/01/01 499
1,000 Dean Witter Discover, 6.00%, 03/01/98 1,001
1,000 Ford Motor Credit Co., 7.75%, 10/01/99 1,028
1,000 General Motors Acceptance Corp., 6.75%, 02/07/02 997
1,000 Goldman Sachs, 6.88%, 09/15/99 1,009
1,000 Household International, 6.00%, 03/15/99 994
1,000 International Lease Finance Corp., 5.75%, 07/01/98 999
1,000 Lehman Bros. Inc., 7.63%, 08/01/98 1,015
</TABLE>
13
<PAGE>
--------------------
THE MONITOR SHORT/INTERMEDIATE FIXED INCOME (Continued)
SECURITIES FUND
<TABLE>
<CAPTION>
- ---------------------------------------------------------------------
PRINCIPAL
AMOUNT VALUE
(000) (000)
- ---------------------------------------------------------------------
CORPORATE BONDS (CONTINUED)
- ---------------------------------------------------------------------
FINANCE COMPANIES (CONTINUED)
<C> <S> <C>
$500 Morgan Stanley Group, 7.88%, 12/15/98 $513
1,000 Salomon Inc., 9.38%, 04/15/98 1,025
1,000 Spieker Properties, 6.80%, 12/15/01 992
250 Transamerica Finance Corp., 6.75%, 01/15/98 251
- ---------------------------------------------------------------------
20,810
- ---------------------------------------------------------------------
(D)FOREIGN INDUSTRIAL - 2.2%
1,600 Pacific Dunlap Notes, 9.75%, 12/15/00 1,746
1,000 Rhone-Poulenc, 6.75%, 10/15/99 1,005
- ---------------------------------------------------------------------
2,751
- ---------------------------------------------------------------------
(D)FOREIGN SOVEREIGN - 3.0%
1,000 Korea Development Bank, 9.25%, 06/15/98 1,027
1,000 Montreal Urban Commission, 9.13%, 03/15/01 1,071
1,500 Province of Quebec, 9.38%, 04/01/99 1,577
- ---------------------------------------------------------------------
3,675
- ---------------------------------------------------------------------
GAS & ELECTRIC UTILITIES - 6.0%
1,000 Commonwealth Edison, 7.50%, 01/01/01 1,002
1,000 Detroit Edison, 6.56%, 05/01/01 993
500 Empire District Electric Co., 5.70%, 05/01/98 498
500 Houston Lighting & Power Co., 6.75%, 11/01/97 500
1,000 Iowa Electric Light & Power, 7.60%, 03/01/99 1,019
1,250 Orange & Rockland Utilities Inc., 6.50%, 10/15/97 1,252
1,000 Rochester Gas & Electric, 8.25%, 03/15/02 1,053
1,000 Southern California Edison, 7.50%, 04/15/99 1,019
- ---------------------------------------------------------------------
7,336
- ---------------------------------------------------------------------
INDUSTRIAL PRODUCTS - 2.3%
1,000 AAR Corp., 9.50%, 11/01/01 1,094
1,000 Polaroid Corporation, 6.75%, 01/15/02 986
750 Ultramar Corp., 8.25%, 07/01/99 770
- ---------------------------------------------------------------------
2,850
- ---------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
- ----------------------------------------------------------------
PRINCIPAL
AMOUNT VALUE
(000) (000)
- ----------------------------------------------------------------
CORPORATE BONDS (CONTINUED)
- ----------------------------------------------------------------
INSURANCE - 4.1%
<C> <S> <C>
$1,000 Allstate Corp., 5.88%, 06/15/98 $1,000
1,000 Continental Corp., 8.25%, 04/15/99 1,026
1,000 Torchmark Corp., 9.63%, 05/01/98 1,028
1,000 Travelers Inc., 7.75%, 06/15/99 1,025
1,000 U.S. Life Notes, 6.38%, 06/15/00 983
- ----------------------------------------------------------------
5,062
- ----------------------------------------------------------------
TELEPHONE UTILITIES & COMMUNICATION CO. - 3.5%
1,000 Airtouch Communications, 7.13%, 07/15/01 1,008
1,250 Cincinatti Bell Inc., 6.70%, 12/15/97 1,255
1,000 MCI Communications Corp., 6.25%, 03/23/99 1,000
1,000 U.S. West Capital Funding, 6.85%, 01/15/02 1,000
- ----------------------------------------------------------------
4,263
- ----------------------------------------------------------------
TRANSPORTATION - 2.8%
765 Conrail Inc., 9.75%, 06/01/00 827
1,500 CSX Corp., 9.50%, 08/01/00 1,613
1,000 Union Pacific Corp., 6.25%, 03/15/99 996
- ----------------------------------------------------------------
3,436
- ----------------------------------------------------------------
TOTAL CORPORATE BONDS (COST $146,889) 83,969
- ----------------------------------------------------------------
GOVERNMENT AGENCIES - 2.4%
3,000 FNMA, 6.70%, 08/10/01 2,999
- ----------------------------------------------------------------
U.S. TREASURIES - 26.3%
32,000 U S Treasury Notes, 6.63%, 03/31/02 32,266
- ----------------------------------------------------------------
COMMERCIAL PAPER - 1.3%
1,541 Prudential Funding Corp., 5.55%, 07/01/97 1,541
- ----------------------------------------------------------------
TOTAL INVESTMENTS (COST $119,597) $120,775
- ----------------------------------------------------------------
</TABLE>
See Notes to Portfolios of Investments
------------------------------------
THE MONITOR INCOME EQUITY FUND June 30, 1997
<TABLE>
<CAPTION>
- ------------------------------------------------
SHARES VALUE
(000) (000)
- ------------------------------------------------
COMMON STOCK - 82.2%
- ------------------------------------------------
BANKING & FINANCE - 14.8%
<C> <S> <C>
65 Chase Manhattan Corp. $6,309
120 CoreStates Financial Corp. 6,450
100 Fleet Financial Group Inc. 6,325
100 National City Corp. 5,250
110 Ohio Casualty Corp. 4,840
- ------------------------------------------------
29,174
- ------------------------------------------------
BASIC INDUSTRY - 8.9%
80 du Pont (E.I.) de Nemours & Co. 5,030
170 Monsanto Co. 7,321
90 PPG Industries, Inc. 5,231
- ------------------------------------------------
17,582
- ------------------------------------------------
CAPITAL GOODS - 1.0%
105 Worthington Industries, Inc. 1,923
- ------------------------------------------------
CONSUMER DURABLES - 2.3%
120 Ford Motor Co. 4,530
- ------------------------------------------------
CONSUMER NON-DURABLES - 15.6%
80 American Home Products Corp. 6,120
70 Bristol Meyers Squibb Co. 5,670
</TABLE>
<TABLE>
<CAPTION>
- -------------------------------------------------
SHARES VALUE
(000) (000)
- -------------------------------------------------
COMMON STOCK (CONTINUED)
- -------------------------------------------------
CONSUMER NON-DURABLES (CONTINUED)
<C> <S> <C>
40 Clorox Co. $5,280
70 Fortune Brands, Inc. 2,612
70 Gallaher Group PLC-ADR 1,291
116 Pharmacia Upjohn, Inc. 4,031
60 RJR Nabisco 1,980
75 Tambrands, Inc. 3,741
- -------------------------------------------------
30,725
- -------------------------------------------------
ELECTRICAL EQUIPMENT - 3.6%
108 General Electric Co. 7,061
- -------------------------------------------------
ENERGY - 11.2%
72 Atlantic Richfield Co. 5,076
84 Exxon Corp. 5,166
100 Royal Dutch Petroleum Co. ADR 5,438
60 Texaco, Inc. 6,525
- -------------------------------------------------
22,205
- -------------------------------------------------
FINANCE-RETAIL - .7%
50 Security Capital Industrial Pf B 1,394
- -------------------------------------------------
</TABLE>
14
<PAGE>
------------------------------------
THE MONITOR INCOME EQUITY FUND (Continued)
<TABLE>
<CAPTION>
- ------------------------------------------------------
SHARES VALUE
(000) (000)
- ------------------------------------------------------
COMMON STOCK (CONTINUED)
- ------------------------------------------------------
INSURANCE - 1.1%
<C> <S> <C>
50 Sunamerica, Inc., PERC's $2,181
- ------------------------------------------------------
REAL ESTATE INVESTMENT TRUSTS - 4.4%
65 Cali Realty Corp. 2,210
40 Developers Diversified Realty Corp. 1,600
130 National Health Properties, Inc. 2,860
66 Simon DeBartolo Group, Inc. 2,096
- ------------------------------------------------------
8,766
- ------------------------------------------------------
TECHNOLOGY - 3.6%
90 Xerox Corp. 7,099
- ------------------------------------------------------
TELECOMMUNICATIONS - 7.0%
30 Bell Atlantic Corp. 2,276
100 GTE Corp. 4,387
60 Telecom of New Zealand Ltd. 2,445
125 US West Communications Group 4,711
- ------------------------------------------------------
13,819
- ------------------------------------------------------
UTILITIES - 8.0%
200 DPL, Inc. 4,925
120 Ipalco Enterprises, Inc. 3,750
90 Peoples Energy Corp. 3,369
150 Wisconsin Energy Corp. 3,712
- ------------------------------------------------------
15,756
- ------------------------------------------------------
TOTAL COMMON STOCK (COST $91,814) $162,215
- ------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------
SHARES VALUE
(000) (000)
- -------------------------------------------------------------------------------
CORPORATE - 1.0%
<C> <S> <C>
2,000 Key Corp Instit Capital-A Series 144A, 7.83%, 12/01/26 (cost
$1,979) $1,943
- -------------------------------------------------------------------------------
GOVERNMENT AGENCIES - 2.6%
5,000 FNMA, 7.40%, 07/01/04 (cost $5,103) 5,204
- -------------------------------------------------------------------------------
U.S. TREASURIES - 7.8%
4,000 U.S. Treasury Note, 6.75%, 06/30/99 4,048
3,000 U.S. Treasury Note, 7.75%, 02/15/01 3,135
1,700 U.S. Treasury Note, 8.88%, 08/15/17 2,069
5,000 U.S. Treasury Note, 9.00%, 11/15/18 6,180
- -------------------------------------------------------------------------------
TOTAL U.S. TEASURIES (COST $14,909) 15,432
- -------------------------------------------------------------------------------
COMMERCIAL PAPER - 6.1%
4,000 American Express, Inc., 5.47%, 07/03/97 4,000
3,000 Chevron Oil Finance, Inc., 5.42%, 07/09/97 3,000
2,000 Commerical Credit Corp., 5.57%, 07/15/97 2,000
3,063 Prudential Funding Corp., 5.55%, 07/01/97 3,063
- -------------------------------------------------------------------------------
TOTAL COMMERCIAL PAPER (COST $12,063) 12,063
- -------------------------------------------------------------------------------
TOTAL INVESTMENTS ($125,814) $196,857
- -------------------------------------------------------------------------------
</TABLE>
See Notes To Portfolios of Investments
---------------------------------------------
THE MONITOR GROWTH FUND June 30, 1997
<TABLE>
<CAPTION>
- -----------------------------------------------------
SHARES VALUE
(000) (000)
- -----------------------------------------------------
COMMON STOCK - 97.5%
- -----------------------------------------------------
ADVERTISING - 2.1%
<C> <S> <C>
50 Interpublic Group of Companies, Inc. $3,066
53 Zero Corp. 1,391
- -----------------------------------------------------
4,457
- -----------------------------------------------------
BASIC INDUSTRY - .5%
64 Worthington Industries, Inc. 1,172
- -----------------------------------------------------
BUSINESS SERVICES - 2.5%
19 Cintas Corp. 1,306
100 Cognizant Corp. 4,050
- -----------------------------------------------------
5,356
- -----------------------------------------------------
CAPITAL GOODS - 2.7%
110 Boeing Co. 5,837
- -----------------------------------------------------
CHEMICALS - 7.3%
260 Hanna (M.A.) Co. 7,491
5 Millennium Chemicals Inc. 114
17 Potash Corp. 1,246
200 Sigma Aldrich Corp. 7,012
- -----------------------------------------------------
15,863
- -----------------------------------------------------
CONSUMER NON-DURABLES - 5.4%
120 Colgate-Palmolive 7,830
100 Fortune Brands Inc. 3,731
9 Hanson PLC-ADR 219
- -----------------------------------------------------
11,780
- -----------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
- ---------------------------------------------------
SHARES VALUE
(000) (000)
- ---------------------------------------------------
COMMON STOCK (CONTINUED)
- ---------------------------------------------------
CONSUMER PRODUCTS - 14.5%
<C> <S> <C>
170 American Greetings Corp. $6,311
87 International Flavors & Fragrances 4,407
169 Mattel, Inc. 5,716
106 Media General Cl. A 4,000
115 Newell Co. 4,557
63 Tambrands, Inc. 3,124
50 Wrigley Wm Jr Co. 3,350
- ---------------------------------------------------
31,465
- ---------------------------------------------------
CONTAINERS & PACKAGING - 1.9%
100 Avery Dennison Corp. 4,012
- ---------------------------------------------------
ELECTRICAL EQUIPMENT - 5.5%
30 AMP, Inc. 1,232
71 Emerson Electric Co. 3,898
59 General Electric Co. 3,844
67 Hubbell, Inc. 2,960
- ---------------------------------------------------
11,934
- ---------------------------------------------------
ENERGY - 6.6%
95 Anadarko Petroleum 5,700
9 Energy Group-PLC ADR 371
65 Schlumberger 8,125
- ---------------------------------------------------
14,196
- ---------------------------------------------------
FINANCIAL - 3.3%
95 American Express 7,077
- ---------------------------------------------------
</TABLE>
15
<PAGE>
---------------------------------------------
THE MONITOR GROWTH FUND (Continued)
<TABLE>
<CAPTION>
- ----------------------------------------------------------------------
SHARES VALUE
(000) (000)
- ----------------------------------------------------------------------
COMMON STOCK (CONTINUED)
- ----------------------------------------------------------------------
FOOD & BEVERAGE - 4.2%
<C> <S> <C>
50 McDonald's Corp. $2,416
177 Pepsico, Inc. 6,649
- ----------------------------------------------------------------------
9,065
- ----------------------------------------------------------------------
FOOD DISTRIBUTOR/SER. SYSTEM - 1.7%
98 Sysco Corp. 3,588
- ----------------------------------------------------------------------
HEALTH CARE - 1.9%
70 Columbia/HCA Healthcare Corp. 2,752
18 Medtronic Inc. 1,482
- ----------------------------------------------------------------------
4,234
- ----------------------------------------------------------------------
INDUSTRIAL PRODUCTS - 4.8%
30 Illinois Tool Works, Inc. 1,498
75 Nordson Corp. 4,819
222 RPM, Inc. 4,075
- ----------------------------------------------------------------------
10,392
- ----------------------------------------------------------------------
INSURANCE - 5.6%
34 American International Group 5,004
74 Cincinnati Financial Corp. 5,807
7 General RE Corp. 1,274
- ----------------------------------------------------------------------
12,085
- ----------------------------------------------------------------------
PHARMACEUTICALS - 13.6%
100 Abbott Laboratories 6,675
19 American Home Products Corp. 1,454
55 Merck & Co. 5,693
70 Pfizer, Inc. 8,365
</TABLE>
<TABLE>
<CAPTION>
- ------------------------------------------------------------
SHARES VALUE
(000) (000)
- ------------------------------------------------------------
COMMON STOCK (CONTINUED)
- ------------------------------------------------------------
PHARMACEUTICALS (CONTINUED)
<C> <S> <C>
31 Pharmacia & Upjohn, Inc. $1,077
130 Schering Plough Corp. 6,224
- ------------------------------------------------------------
29,488
- ------------------------------------------------------------
RETAIL - 6.7%
115 Home Depot 7,928
30 Kohl's Corp.* 1,588
95 Walgreen 5,094
- ------------------------------------------------------------
14,610
- ------------------------------------------------------------
TECHNOLOGY - 6.2%
140 Automatic Data Processing, Inc. 6,580
16 Computer Sciences Corporation 1,163
75 Electronics Data Systems Corp.* 3,075
35 Motorola, Inc. 2,660
- ------------------------------------------------------------
13,478
- ------------------------------------------------------------
TELECOMMUNICATIONS - .4%
33 Airtouch Communications, Inc.* 903
- ------------------------------------------------------------
TOBACCO - .1%
18 Imperial Tobacco Group PLC 223
- ------------------------------------------------------------
TOTAL COMMON STOCK (COST $128,542) 211,215
- ------------------------------------------------------------
COMMERCIAL PAPER - 1.6%
3,523 Prudential Funding Corp., 5.55%, 07/01/97 3,523
- ------------------------------------------------------------
TOTAL INVESTMENTS (COST $132,065) $214,738
- ------------------------------------------------------------
</TABLE>
See Notes To Portfolios of Investments
-----------------------------
THE MONITOR MORTGAGE SECURITIES FUND JUNE 30, 1997
<TABLE>
<CAPTION>
- --------------------------------------------------------------------
PRINCIPAL
AMOUNT VALUE
(000) (000)
- --------------------------------------------------------------------
LONG TERM OBLIGATIONS - 95.6%
- --------------------------------------------------------------------
FEDERAL HOME LOAN MORTGAGE CORP. - 36.2%
<C> <S> <C>
$1,003 Pool # 078249, 6.50%, 02/01/27 964
158 Pool # 220007, 8.75%, 08/01/01 162
130 Pool # 380059, 9.50%, 10/01/04 135
2,409 Pool # C80391, 7.00%, 03/01/26 2,367
2,279 Pool # D69575, 7.50%, 03/01/26 2,292
1,888 Pool # E65142, 6.50%, 07/01/11 1,857
95 Pool # N90034, 9.00%, 11/01/98 96
2,668 GOLD, 6.50%, 12/01/25 2,563
2,472 GOLD 30YR, 7.00%, 04/01/27 2,427
2,000 TBA (dollar roll), 7.00%, 12/01/26 1,964(e)
- --------------------------------------------------------------------
TOTAL FEDERAL HOME LOAN MORTGAGE CORP. (COST $14,689) 14,827
- --------------------------------------------------------------------
FEDERAL NATIONAL MORTGAGE ASSOCIATION - 34.4%
219 Pool # 050279, 8.50%, 02/01/05 227
2,449 Pool # 250551, 7.00%, 05/01/26 2,403
1,394 Pool # 250554, 6.50%, 05/01/11 1,370
319 Pool # 303459, 8.00%, 07/01/02 326
1,376 Pool # 303653, 7.00%, 12/01/25 1,350
1,379 Pool # 338449, 6.00%, 05/01/11 1,333
1,881 Pool # 339112, 6.50%, 03/01/26 1,804
1,712 Pool # 339836, 7.00%, 03/01/26 1,680
1,422 Pool # 343212, 7.50%, 05/01/26 1,428
2,252 REMIC FLT Series # 1994-76FA, 5.91%, 04/25/24 2,194
- --------------------------------------------------------------------
TOTAL FEDERAL NATIONAL MORTGAGE ASSOCIATION (COST
$14,304) 14,115
- --------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------
PRINCIPAL
AMOUNT VALUE
(000) (000)
- ------------------------------------------------------------------------------
LONG TERM OBLIGATIONS (CONTINUED)
- ------------------------------------------------------------------------------
GOVERNMENT NATIONAL MORTGAGE ASSOCIATION - 17.1%
<C> <S> <C>
$1,760 Pool # 200023, 9.50%, 05/15/18 1,907
56 Pool # 305936, 8.50%, 04/15/06 58
377 Pool # 306058, 8.50%, 06/15/06 392
82 Pool # 328651, 8.50%, 05/15/07 85
644 Pool # 344961, 7.00%, 06/15/08 650
677 Pool # 348112, 7.00%, 06/15/08 684
567 Pool # 349379, 7.00%, 05/15/08 573
1,270 Pool # 780398, 9.00%, 04/15/21 1,363
869 Pool # 780408, 9.00%, 10/15/22 929
368 Pool # 250128, 7.50%, 09/01/09 375
- ------------------------------------------------------------------------------
TOTAL GOVERNMENT NATIONAL MORTGAGE ASSOCIATION (COST $6,638) 7,016
- ------------------------------------------------------------------------------
U.S. TREASURY NOTES - 7.9%
2,000 U.S. Treasury Notes, 7.88%, 11/15/04 2,158
1,000 U.S. Treasury Notes, 7.50%, 02/15/05 1,058
- ------------------------------------------------------------------------------
TOTAL U.S. TREASURY NOTES (COST $3,171) 3,216
- ------------------------------------------------------------------------------
TOTAL LONG TERM OBLIGATIONS (COST $38,802) 39,174
- ------------------------------------------------------------------------------
REPURCHASE AGREEMENT - 8.7%
3,558 Goldman Sachs Co., Inc., dated 6/30/97 6.14%, due 07/01/97
repurchase price $3,558,607 (collateralized by FNMA
obligations, total par value $4,657,000, 6.03%, 10/1/32;
total market value $3,648,445) 3,558
- ------------------------------------------------------------------------------
TOTAL INVESTMENTS (COST $42,360) 42,732
- ------------------------------------------------------------------------------
</TABLE>
See Notes to Portfolios of Investments.
16
<PAGE>
Notes to Portfolios of Investments
* Non-income producing securities.
(a) Each issue shows the rate of discount at the time of purchase.
(b) Also represents cost for federal tax purposes.
(c) Pre-Refunded Security--The maturity date shown represents the pre-refunded
date.
(d) U.S. Dollar denominated.
(e) Indicates securities subject to dollar roll transactions.
The following abbreviations are used in these Portfolios of Investments:
ADR--American Depository Receipt HRB--Hospital Revenue Bonds
AMBAC--American Municipal Bond Assurance Corporation
IDA--Industrial Development
BANs--Bond Anticipation Notes Authority
BIG--Bond Investors Guaranty IDR--Industrial Development
ETM--Escrowed to Maturity Revenue
FGIC--Financial Guaranty Insurance Company LOC--Letter of Credit
FNMA--Federal National Mortgage Association MBIA--Municipal Bond Investors
FSA--Financial Security Assurance Assurance
PLC--Public Limited Company
GNMA--Government National Mortgage Association
GO--General Obligation REMIC--Real Estate Mortgage
Investment Conduit
SPA--Standby Purchase Agreement
The categories of investments are shown as a percentage of net assets.
SSRB--Sewer System Revenue Bonds
VRDNs--Variable Rate Demand Notes
The following is a summary of the financial investment activity for the period
ended June 30, 1997. (000)
<TABLE>
<CAPTION>
COST OF
INVESTMENTS NET UNREALIZED GROSS GROSS
FOR FEDERAL TAX APPRECIATION/ UNREALIZED UNREALIZED TOTAL
MONITOR FUNDS PURPOSES DEPRECIATION APPRECIATION DEPRECIATION NET ASSETS
- ---------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Money Market Fund....... $470,960** -- -- -- 468,873
Ohio Municipal Money
Market Fund............ 140,806** -- -- -- 140,377
U.S. Treasury Money
Market Fund............ 549,157** -- -- -- 546,945
Growth Fund............. 132,065 82,673 83,724 (1,051) 216,602
Income Equity Fund...... 125,868 71,043 71,025 (18) 197,450
Ohio Tax-Free Fund...... 62,003 2,415 2,436 (21) 64,911
Fixed Income Securities
Fund................... 143,252 1,852 2,792 (940) 147,703
Mortgage Securities
Fund................... 42,360 372 462 (90) 40,965
Short/Intermediate Fixed
Income Securities Fund. 119,597 1,178 1,303 (125) 122,804
- ---------------------------------------------------------------------------------------------
</TABLE>
**At amortized cost.
(See Notes which are an integral part of the Financial Statements)
17
<PAGE>
Statements of Assets & Liabilities
SIX MONTHS ENDED JUNE 30, 1997
(All numbers in thousands except net asset values)
<TABLE>
<CAPTION>
MONITOR MONITOR
MONITOR OHIO MUNICIPAL U.S. TREASURY
MONEY MARKET MONEY MARKET MONEY MARKET
FUND FUND FUND
- ---------------------------------------------------------------------------------
<S> <C> <C> <C>
ASSETS:
Investments at value................ $418,191 $140,806 $261,866
Investments in repurchase 52,769 -- 287,291
agreements.........................
Cash................................ -- 1 --
Dividends and interest receivable... 124 1,036 176
Receivable for investments sold..... -- -- --
Receivable for Fund shares sold..... -- -- --
- ---------------------------------------------------------------------------------
Total assets....................... 471,084 141,843 549,333
- ---------------------------------------------------------------------------------
LIABILITIES:
Payable for investments purchased... -- 1,006 --
Payable for Fund shares redeemed.... -- -- --
Payable for dollar roll -- -- --
transactions.......................
Dividend Payable.................... 1,978 375 2,199
Accrued expenses.................... 233 85 189
- ---------------------------------------------------------------------------------
Total liabilities.................. 2,211 1,466 2,388
- ---------------------------------------------------------------------------------
NET ASSETS:
Paid-in-capital..................... 468,873 140,389 546,921
Net unrealized appreciation -- -- --
(depreciation) of investments......
Accumulated net realized gain (loss) -- (12) 24
on investments.....................
Distributions in excess of net -- -- --
investment income..................
Undistributed net investment income. -- -- --
- ---------------------------------------------------------------------------------
Total Net Assets................... 468,873 140,377 546,945
- ---------------------------------------------------------------------------------
NET ASSETS:
Trust Shares........................ 358,019 75,223 501,447
Investment Shares................... 110,854 65,154 45,498
- ---------------------------------------------------------------------------------
NET ASSET VALUE AND REDEMPTION
PROCEEDS PER SHARE:
Trust Shares........................ $ 1.00 $ 1.00 $ 1.00
Investment Shares................... $ 1.00 $ 1.00 $ 1.00
- ---------------------------------------------------------------------------------
OFFERING PRICE PER SHARE:
Trust Shares........................ $ 1.00 $ 1.00 $ 1.00
Investment Shares................... $ 1.00 $ 1.00 $ 1.00
- ---------------------------------------------------------------------------------
SHARES OUTSTANDING:
Trust Shares........................ 358,019 75,231 501,426
Investment Shares................... 110,854 65,158 45,495
- ---------------------------------------------------------------------------------
Total shares outstanding ($0.001 468,873 140,389 546,921
par value)........................
=================================================================================
Investments, at identified cost..... $470,960 $140,806 $549,157
=================================================================================
*Computation of Offering price: 100/96 of net asset value.
**Computation of Offering price: 100/98 of net asset value.
***Computation of Offering price: 100/94.5 of net asset value.
(See Notes which are an integral part of the Financial Statements)
Statements of Operations
SIX MONTHS ENDED JUNE 30, 1997
(All numbers in thousands except net asset values)
<CAPTION>
MONITOR MONITOR
MONITOR OHIO MUNICIPAL U.S. TREASURY
MONEY MARKET MONEY MARKET MONEY MARKET
FUND FUND FUND
- ---------------------------------------------------------------------------------
<S> <C> <C> <C>
INVESTMENT INCOME:
Interest income $ 12,253 $ 2,364 $ 14,505
Dividend income -- -- --
- ---------------------------------------------------------------------------------
Total income 12,253 2,364 14,505
- ---------------------------------------------------------------------------------
EXPENSES:
Investment advisory fees 670 194 547
Trustees' fees 7 2 9
Administrative personnel and 246 71 301
services
Custodian and recordkeeping fees and 125 36 153
expenses
Transfer and dividend disbursing 17 15 19
agent fees and expenses
Fund share registration costs 22 8 39
Auditing fees 22 7 28
Legal fees 8 3 11
Printing and postage 27 6 32
Insurance premiums 13 4 19
Distribution services fees 52 34 30
Miscellaneous -- -- --
- ---------------------------------------------------------------------------------
Total expenses 1,209 380 1,188
- ---------------------------------------------------------------------------------
Deduct-
Waiver of investment advisory fees -- (62 ) --
Waiver of distribution services fees -- -- (6 )
- ---------------------------------------------------------------------------------
NET EXPENSES 1,209 318 1,182
- ---------------------------------------------------------------------------------
NET INVESTMENT INCOME 11,044 2,046 13,323
- ---------------------------------------------------------------------------------
Realized and Unrealized Gain (Loss)
on Investments:
Net realized gain (loss) on -- -- 24
investments (identified cost basis)
Net change in unrealized -- -- --
appreciation (depreciation) on
investments
- ---------------------------------------------------------------------------------
NET REALIZED AND UNREALIZED GAIN -- -- 24
(LOSS) ON INVESTMENTS
- ---------------------------------------------------------------------------------
CHANGE IN NET ASSETS RESULTING FROM $ 11,044 $ 2,046 $ 13,347
OPERATIONS
=================================================================================
</TABLE>
(See Notes which are an integral part of the Financial Statements)
18
<PAGE>
<TABLE>
<CAPTION>
MONITOR MONITOR MONITOR
MONITOR OHIO FIXED MONITOR SHORT/INTERMEDIATE
MONITOR INCOME TAX- INCOME MORTGAGE FIXED INCOME
GROWTH EQUITY FREE SECURITIES SECURITIES SECURITIES
FUND FUND FUND FUND FUND FUND
- -----------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
$214,738 $196,857 $64,418 $145,104 $39,174 $120,775
-- -- -- -- 3,558 --
-- -- 37 -- 1 --
173 730 535 2,728 246 2,110
1,881 -- -- -- -- --
-- -- -- -- -- --
- -----------------------------------------------------------------------------------
216,792 197,587 64,990 147,832 42,979 122,885
- -----------------------------------------------------------------------------------
-- -- -- -- -- --
-- -- -- -- 10 --
-- -- -- -- 1,938 --
-- -- -- -- -- --
190 137 79 129 66 81
- -----------------------------------------------------------------------------------
190 137 79 129 2,014 81
- -----------------------------------------------------------------------------------
129,129 124,579 62,481 146,034 64,575 122,222
82,673 71,043 2,415 1,852 372 1,178
4,866 2,046 (4) (190) (23,994) (677)
-- -- -- -- -- --
(66) (218) 19 7 12 81
- -----------------------------------------------------------------------------------
216,602 197,450 64,911 147,703 40,965 122,804
- -----------------------------------------------------------------------------------
211,505 197,402 63,230 145,999 39,689 122,804
5,097 48 1,681 1,704 1,276 --
- -----------------------------------------------------------------------------------
$ 40.85 $ 33.62 $ 21.41 $ 20.79 $ 8.07 $ 19.86
$ 40.83 $ 33.61 $ 21.41 $ 20.80 $ 8.09 $ 19.87
- -----------------------------------------------------------------------------------
$ 40.85 $ 33.62 $ 21.41 $ 20.79 $ 8.07 $ 19.86
$ 42.50** $ 35.57*** $ 21.85** $ 21.22** $ 8.20** $ 20.28**
- -----------------------------------------------------------------------------------
5,178 5,872 2,953 7,021 4,917 6,183
125 1 79 82 158 --
- -----------------------------------------------------------------------------------
5,303 5,873 3,032 7,103 5,075 6,183
===================================================================================
$132,065 $125,868 $62,003 $143,252 $42,360 $119,597
===================================================================================
<CAPTION>
MONITOR MONITOR MONITOR
MONITOR OHIO FIXED MONITOR SHORT/INTERMEDIATE
MONITOR INCOME TAX- INCOME MORTGAGE FIXED INCOME
GROWTH EQUITY FREE SECURITIES SECURITIES SECURITIES
FUND FUND FUND FUND FUND FUND
- -----------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
$ 65 $ 1,142 $ 1,810 $ 5,133 $ 1,495 $ 4,121
1,416 2,519 -- -- -- --
- -----------------------------------------------------------------------------------
1,481 3,661 1,810 5,133 1,495 4,121
- -----------------------------------------------------------------------------------
572 547 164 363 103 308
2 2 1 2 1 1
105 100 36 80 23 68
53 51 18 41 32 34
14 10 14 14 12 10
11 11 7 6 5 5
2 6 1 1 1 1
3 3 1 2 1 2
3 5 2 2 1 2
4 4 1 3 1 2
6 -- 2 2 4 --
-- -- -- -- 6 --
- -----------------------------------------------------------------------------------
775 739 247 516 190 433
- -----------------------------------------------------------------------------------
-- -- -- -- (41) --
-- -- -- -- (2) --
- -----------------------------------------------------------------------------------
775 739 247 516 147 433
- -----------------------------------------------------------------------------------
706 2,922 1,563 4,617 1,348 3,688
- -----------------------------------------------------------------------------------
-- -- -- -- -- --
4,866 2,046 2 1,035 20 (299 )
31,779 17,768 (245 ) (2,041 ) 4 (414 )
- -----------------------------------------------------------------------------------
36,645 19,814 (243 ) (1,006 ) 24 (713 )
- -----------------------------------------------------------------------------------
$ 37,351 $ 22,736 $ 1,320 $ 3,611 $ 1,372 $ 2,975
===================================================================================
</TABLE>
19
<PAGE>
Statements of Changes In Net Assets
(All numbers in thousands)
<TABLE>
<CAPTION>
MONITOR
MONITOR OHIO U.S. TREASURY
MONITOR MONEY MUNICIPAL MONEY MONEY MARKET MONITOR GROWTH
MARKET FUND MARKET FUND FUND FUND
SIX SIX SIX SIX
MONTHS MONTHS MONTHS MONTHS
ENDED YEAR ENDED YEAR ENDED YEAR ENDED YEAR
JUNE 30, ENDED JUNE 30, ENDED JUNE 30, ENDED JUNE 30, ENDED
1997 DEC. 31 1997 DEC. 31, 1997 DEC. 31 1997 DEC. 31,
(UNAUDITED) 1996 (UNAUDITED) 1996 (UNAUDITED) 1996 (UNAUDITED) 1996
- -------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
OPERATIONS--
Net investment income $ 11,044 $ 20,556 $ 2,046 $ 3,605 $ 13,323 $ 21,966 $ 706 $ 2,043
Net realized gain (loss)
on investment
transactions -- -- -- -- 24 -- 4,866 8,154
Change in net unrealized
appreciation
(depreciation) of
investments -- -- -- -- -- -- 31,779 15,748
- -------------------------------------------------------------------------------------------------------------------------
Change in net assets
resulting from
operations 11,044 20,556 2,046 3,605 13,347 21,966 37,351 25,945
- -------------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO SHAREHOLDERS FROM--
Net investment income:
Trust Shares (8,511) (15,979) (978) (1,654) (12,192) (19,879) (762) (2,017)
Investment Shares (2,533) (4,577) (1,068) (1,951) (1,131) (2,087) (14) (40)
Net realized gain on
investments:
Trust Shares -- -- -- -- -- -- -- (7,963)
Investment Shares -- -- -- -- -- -- -- (192)
DISTRIBUTIONS IN EXCESS OF--
Net investment income:
Trust Shares -- -- -- -- -- -- -- --
Investment Shares -- -- -- -- -- -- -- --
- -------------------------------------------------------------------------------------------------------------------------
Change in net assets
from distributions to
shareholders (11,044) (20,556) (2,046) (3,605) (13,323) (21,966) (776) (10,212)
- -------------------------------------------------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS-
Trust Shares:
Proceeds from Shares
Issued 312,620 771,826 63,894 93,400 418,419 1,116,651 10,901 29,335
Reinvestment of
Distributions 7 37 -- 1 8 23 265 3,323
Cost of Shares Redeemed (292,570) (730,666) (45,325) (93,303) (391,594) (919,223) (11,143) (15,669)
- -------------------------------------------------------------------------------------------------------------------------
Total Trust Shares
Transactions 20,057 41,197 18,569 98 26,833 197,451 23 16,989
- -------------------------------------------------------------------------------------------------------------------------
Investment Shares:
Proceeds from Shares
Issued 92,791 135,440 69,974 118,303 59,612 114,039 268 483
Reinvestment of
Distributions 1,564 3,935 148 412 383 1,284 13 230
Cost of Shares Redeemed (81,058 ) (133,105) (79,070) (100,077) (62,384) (106,412) (326) (584)
- -------------------------------------------------------------------------------------------------------------------------
Total Investment Shares
Transactions 13,297 6,270 (8,948) 18,638 (2,389) 8,911 (45) 129
- -------------------------------------------------------------------------------------------------------------------------
Change in net assets
from Fund shares
transactions 33,354 47,467 9,621 18,736 24,444 206,362 (22) 17,118
- -------------------------------------------------------------------------------------------------------------------------
Total change in Net
Assets 33,354 47,467 9,621 18,736 24,468 206,362 36,553 32,851
- -------------------------------------------------------------------------------------------------------------------------
NET ASSETS:
Beginning of period 435,519 388,052 130,756 112,020 522,477 316,115 180,049 147,198
- -------------------------------------------------------------------------------------------------------------------------
End of period $ 468,873 $ 435,519 $140,377 $ 130,756 $ 546,945 $ 522,477 $216,602 $180,049
=========================================================================================================================
Undistributed net
investment income
included in net assets
at end of period -- -- -- -- -- -- $ (66) $ 4
- -------------------------------------------------------------------------------------------------------------------------
SHARES ISSUED AND REDEEMED--
Trust Shares:
Shares issued 312,620 771,826 63,894 93,400 418,419 1,116,651 304 897
Reinvestment of
Distributions 7 37 -- 1 8 23 7 98
Shares redeemed (292,570) (730,666) (45,325) (93,303) (391,594) (919,223) (308) (475)
- -------------------------------------------------------------------------------------------------------------------------
Total Trust Shares
Transactions 20,057 41,197 18,569 98 26,833 197,451 3 520
- -------------------------------------------------------------------------------------------------------------------------
Investment Shares:
Shares issued 92,791 135,440 69,974 118,303 59,612 114,039 7 15
Reinvestment of
Distributions 1,564 3,935 148 412 383 1,284 1 7
Shares redeemed (81,058) (133,105) (79,070) (100,077) (62,384) (106,412) (9) (18)
- -------------------------------------------------------------------------------------------------------------------------
Total Investment Shares
Transactions 13,297 6,270 (8,948) 18,638 (2,389) 8,911 (1) 4
- -------------------------------------------------------------------------------------------------------------------------
Net change in Fund share
transactions 33,554 47,467 9,621 18,736 24,444 206,362 2 524
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
(See Notes which are an integral part of the Financial Statements)
20
<PAGE>
<TABLE>
<CAPTION>
MONITOR SHORT/
MONITOR FIXED INTERMEDIATE FIXED
MONITOR INCOME MONITOR OHIO INCOME SECURITIES MONITOR MORTGAGE INCOME SECURITIES
EQUITY FUND TAX-FREE FUND FUND SECURITIES FUND FUND
SIX SIX SIX SIX SIX
MONTHS MONTHS MONTHS MONTHS MONTHS
ENDED YEAR ENDED YEAR ENDED YEAR ENDED YEAR ENDED YEAR
JUNE 30, ENDED JUNE 30, ENDED JUNE 30, ENDED JUNE 30, ENDED JUNE 30, ENDED
1997 DEC. 31 1997 DEC. 31, 1997 DEC. 31 1997 DEC. 31, 1997 DEC. 31
(UNAUDITED) 1996 (UNAUDITED) 1996 (UNAUDITED) 1996 (UNAUDITED) 1996 (UNAUDITED) 1996
- ---------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
$ 2,922 $ 5,579 $ 1,563 $ 2,951 $ 4,617 $ 8,890 $ 1,348 $ 3,241 $ 3,688 $ 7,296
2,046 2,817 2 4 1,035 996 20 (1,934 ) (299 ) 80
17,768 16,650 (245) (769) (2,041) (6,268) 4 1,547 (414) (2,269)
- ---------------------------------------------------------------------------------------------------------------------
22,736 25,046 1,320 2,186 3,611 3,618 1,372 2,854 2,975 5,107
- ---------------------------------------------------------------------------------------------------------------------
(3,147) (5,542) (1,534) (2,861) (4,574) (8,841) (1,288) (3,067) (3,630) (7,408)
-- -- (41) (92) (54) (123) (48) (120) -- --
-- (2,850) -- -- -- -- -- -- -- --
-- -- -- -- -- -- -- -- -- --
-- -- -- -- -- -- -- -- -- --
-- -- -- -- -- -- -- -- -- --
- ---------------------------------------------------------------------------------------------------------------------
(3,147) (8,392) (1,575) (2,953) (4,628) (8,964) (1,336) (3,187) (3,630) (7,408)
- ---------------------------------------------------------------------------------------------------------------------
10,820 26,867 4,278 13,886 10,967 22,286 2,326 2,565 7,305 15,023
1,028 2,760 99 168 1,806 3,424 98 228 1,644 3,221
(6,800) (15,406) (5,698) (8,388) (9,810) (17,837) (2,337) (15,573) (11,004) (24,380)
- ---------------------------------------------------------------------------------------------------------------------
5,048 14,221 (1,321) 5,666 2,963 7,873 87 (12,780) (2,055) (6,136)
- ---------------------------------------------------------------------------------------------------------------------
46 N/A 18 261 69 186 7 61 N/A N/A
-- N/A 32 72 40 93 33 84 N/A N/A
-- N/A (262) (565) (241) (516) (430) (476) N/A N/A
- ---------------------------------------------------------------------------------------------------------------------
46 N/A (212) (232) (132) (237) (390) (331) N/A N/A
- ---------------------------------------------------------------------------------------------------------------------
5,094 14,221 (1,533) 5,434 2,831 7,636 (303) (13,111) (2,055) (6,136)
- ---------------------------------------------------------------------------------------------------------------------
24,683 30,875 (1,788) 4,667 1,814 2,290 (267) (13,443) (2,710) (8,437)
- ---------------------------------------------------------------------------------------------------------------------
172,767 141,892 66,699 62,032 145,889 143,599 41,232 54,675 125,514 133,951
- ---------------------------------------------------------------------------------------------------------------------
$197,450 $172,767 $64,911 $66,699 $147,703 $145,889 $40,965 $ 41,232 $122,804 $125,514
=====================================================================================================================
$ (164) $ 61 $ 19 $ 31 $ 7 $ 17 -- $ 308 $ 81 $ 23
- ---------------------------------------------------------------------------------------------------------------------
346 940 200 648 528 1,065 289 320 368 752
32 95 4 8 87 164 12 28 83 162
(216) (532) (267) (390) (473) (845) (291) (1,951) (555) (1,210)
- ---------------------------------------------------------------------------------------------------------------------
162 503 (63) 266 142 384 10 (1,603) (104) (296)
- ---------------------------------------------------------------------------------------------------------------------
1 N/A 1 12 3 9 1 8 N/A N/A
-- N/A 2 3 2 4 4 10 N/A N/A
-- N/A (12) (26) (12) (25) (53) (59) N/A N/A
- ---------------------------------------------------------------------------------------------------------------------
1 N/A (9) (11) (7) (12) (48) (41) N/A N/A
- ---------------------------------------------------------------------------------------------------------------------
163 503 (72) 255 135 372 (38) (1,644) (104) (296)
- ---------------------------------------------------------------------------------------------------------------------
</TABLE>
21
<PAGE>
Statement of Cash Flows
SIX MONTH PERIOD ENDED JUNE 30, 1997
(All numbers in thousands)
<TABLE>
<CAPTION>
THE
MONITOR
MORTGAGE
SECURITIES
FUND
- -----------------------------------------------------------------
<S> <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
Investment income received $ 1,526
Payment of operating expenses (136)
Proceeds from sales and maturities of investments 12,735
Purchases of investments (11,221)
Net purchases of short-term investments (1,241)
- -----------------------------------------------------------------
Cash provided by operating activities 1,663
- -----------------------------------------------------------------
CASH FLOWS FROM FINANCING ACTIVITIES:
Net proceeds from Fund share activity (424)
Decrease in payable for dollar roll transactions (33)
Distributions paid (1,205)
- -----------------------------------------------------------------
Cash used by financing activities (1,662)
- -----------------------------------------------------------------
Net change in cash 1
Cash at beginning of year
- -----------------------------------------------------------------
Cash at end of period 1
- -----------------------------------------------------------------
RECONCILIATION OF NET INCREASE IN NET ASSETS FROM
OPERATIONS TO CASH PROVIDED BY OPERATING ACTIVITIES:
Net increase in net assets resulting from operations 1,372
Net decrease in investments 259
Decrease in interest receivable 18
Decrease in receivable for investments sold 3
Decrease in deferred expenses 6
Decrease in accrued expenses 5
- -----------------------------------------------------------------
Cash provided by operating activities $ 1,663
- -----------------------------------------------------------------
</TABLE>
22
<PAGE>
[This Page Intentionally Left Blank]
23
<PAGE>
Financial Highlights
MONEY MARKET FUNDS
(For a share outstanding throughout the period)
<TABLE>
<CAPTION>
DISTRIBUTIONS TO
NET ASSET SHAREHOLDERS NET ASSET
VALUE, NET FROM NET VALUE
YEAR ENDED BEGINNING INVESTMENT INVESTMENT END OF TOTAL
DECEMBER 31, OF PERIOD INCOME INCOME PERIOD RETURN(C)
-------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
TRUST SHARES
THE MONITOR MONEY MARKET FUND
1997(a) $1.00 0.03 (0.03) $1.00 4.98%
1996 $1.00 0.05 (0.05) $1.00 5.01%
1995 $1.00 0.05 (0.05) $1.00 5.58%
1994 $1.00 0.04 (0.04) $1.00 3.86%
1993 $1.00 0.03 (0.03) $1.00 2.74%
THE MONITOR OHIO MUNICIPAL MONEY
MARKET FUND
1997(a) $1.00 0.02 (0.02) $1.00 3.20%
1996 $1.00 0.03 (0.03) $1.00 3.14%
1995 $1.00 0.04 (0.04) $1.00 3.57%
1994 $1.00 0.02 (0.02) $1.00 2.41%
1993 $1.00 0.02 (0.02) $1.00 2.08%
THE MONITOR U.S. TREASURY MONEY
MARKET FUND
1997(a) $1.00 0.02 (0.02) $1.00 4.90%
1996 $1.00 0.05 (0.05) $1.00 4.98%
1995 $1.00 0.05 (0.05) $1.00 5.53%
1994 $1.00 0.04 (0.04) $1.00 3.79%
1993 $1.00 0.03 (0.03) $1.00 2.77%
INVESTMENT SHARES
THE MONITOR MONEY MARKET FUND
1997(a) $1.00 0.03 (0.03) $1.00 4.88%
1996 $1.00 0.05 (0.05) $1.00 4.90%
1995 $1.00 0.05 (0.05) $1.00 5.48%
1994 $1.00 0.04 (0.04) $1.00 3.76%
1993 $1.00 0.03 (0.03) $1.00 2.63%
THE MONITOR OHIO MUNICIPAL MONEY
MARKET FUND
1997(a) $1.00 0.02 (0.02) $1.00 3.10%
1996 $1.00 0.03 (0.03) $1.00 3.04%
1995 $1.00 0.03 (0.03) $1.00 3.47%
1994 $1.00 0.02 (0.02) $1.00 2.31%
1993 $1.00 0.02 (0.02) $1.00 1.98%
THE MONITOR U.S. TREASURY MONEY
MARKET FUND
1997(a) $1.00 0.02 (0.02) $1.00 4.80%
1996 $1.00 0.05 (0.05) $1.00 4.87%
1995 $1.00 0.05 (0.05) $1.00 5.43%
1994 $1.00 0.04 (0.04) $1.00 3.68%
1993(b) $1.00 0.01 (0.01) $1.00 0.54%
-------------------------------------------------------------------------
</TABLE>
(a) Six months ended June 30, 1997 (unaudited).
(b) Reflects operations for the period from October 19, 1993 (date of initial
public investment) to December 31, 1993.
(c) Based on net asset value, which does not reflect the sales load, if
applicable.
(d) Computed on an annualized basis.
(e) This voluntary expense decrease is reflected in both the expense and net
investment income ratios.
(See Notes which are an integral part of the Financial Statements)
24
<PAGE>
<TABLE>
<CAPTION>
RATIO TO AVERAGE NET ASSETS
------------------------------------------------------------
NET EXPENSE NET ASSETS,
INVESTMENT WAIVER REDUCTION/ END OF PERIOD
EXPENSES INCOME REIMBURSEMENT(E) (000 OMITTED)
-------------------------------------------------------------------------------------
<S> <C> <C> <C>
0.52%(d) 4.97%(d) -- $358,019
0.53% 4.90% -- $337,962
0.53% 5.44% 0.03% $296,764
0.51% 3.75% 0.02% $287,805
0.51% 2.70% 0.02% $337,276
0.44%(d) 3.22%(d) 0.10%(d) $ 75,223
0.42% 3.10% 0.12% $ 56,654
0.42% 3.52% 0.20% $ 56,551
0.45% 2.40% 0.19% $ 39,624
0.45% 2.07% 0.20% $ 40,141
0.42%(d) 4.88%(d) -- $501,447
0.42% 4.87% -- $474,593
0.43% 5.40% 0.01% $277,142
0.42% 3.76% 0.02% $256,538
0.40% 2.74% 0.03% $231,123
0.62%(d) 4.87%(d) -- $110,584
0.63% 4.80% -- $ 97,557
0.63% 5.30% 0.03% $ 91,288
0.61% 3.85% 0.02% $ 41,629
0.61% 2.60% 0.02% $ 21,583
0.54%(d) 3.11%(d) 0.10%(d) $ 65,154
0.52% 3.00% 0.12% $ 74,102
0.52% 3.42% 0.20% $ 55,469
0.55% 2.30% 0.19% $ 37,134
0.55% 1880% 0.20% $ 20,312
0.52%(d) 4.78%(d) 0.15%(d) $ 45,498
0.52% 4.77% 0.15% $ 47,884
0.53% 5.28% 0.18% $ 38,973
0.52% 3.66% 0.17% $ 20,390
0.50%(d) 2.65%(d) 0.16%(d) $ 948
-------------------------------------------------------------------------------------
</TABLE>
25
<PAGE>
Financial Highlights
EQUITY FUNDS
(For a share outstanding throughout the period)
<TABLE>
<CAPTION>
DISTRIBUTIONS TO
NET REALIZED DISTRIBUTIONS TO SHAREHOLDERS DISTRIBUTIONS
NET ASSET AND SHAREHOLDERS FROM NET IN EXCESS
VALUE, NET UNREALIZED TOTAL FROM FROM NET REALIZED GAIN OF NET
YEAR ENDED BEGINNING INVESTMENT GAIN/(LOSS) ON INVESTMENT INVESTMENT ON INVESTMENT INVESTMENT
DECEMBER, OF PERIOD INCOME INVESTMENTS OPERATIONS INCOME TRANSACTIONS INCOME
- ----------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
TRUST SHARES
THE MONITOR GROWTH FUND
1997(a) $33.97 0.13 6.90 7.03 (0.15) -- --
1996 $30.81 0.40 4.72 5.12 (0.40) (1.56) --
1995 $26.30 0.43 7.62 8.05 (0.43) (3.11) --
1994 $26.17 0.39 0.21 0.60 (0.40) (0.07) --
1993 $25.76 0.46 0.44 0.90 (0.47) (0.02) --
THE MONITOR INCOME EQUITY FUND
1997(a) $30.26 0.53 3.37 3.89 (0.54) 0.00 --
1996 $27.25 1.00 3.51 4.51 (1.00) (0.50) --
1995 $21.93 0.94 5.34 6.28 (0.96) -- --
1994 $23.21 0.88 (1.29) (0.41) (0.87) -- --
1993 $21.70 0.74 1.57 2.31 (0.74) (0.06) --
INVESTMENT SHARES
THE MONITOR GROWTH FUND
1997(a) $33.96 0.09 6.89 6.98 (0.11) -- --
1996 $30.81 0.31 4.73 5.04 (0.33) (1.56) --
1995 $26.31 0.35 7.61 7.96 (0.35) (3.11) --
1994 $26.16 0.33 0.22 0.55 (0.33) (0.07) --
1993 $25.76 0.40 0.43 0.83 (0.41) (0.02) --
THE MONITOR INCOME EQUITY FUND(B)
1997 $30.23 0.18 3.35 3.53 (0.18) 0.00 --
- ----------------------------------------------------------------------------------------------------------
</TABLE>
(a)Six months ended June 30, 1997.
(b)Reflects operations for the period from May 1, 1997 (effective date of
Investment Shares) to June 30, 1997.
(c)Based on net asset value, which does not reflect the sales load, if
applicable.
(d) Computed on annualized basis.
(e)This voluntary expense decrease is reflected in both the expense and net
investment income ratios.
(f) Average commission rate paid per share for security purchases and sales
during the period. Presentation of the rate is only required beginning in
fiscal 1996.
(See Notes which are an integral part of the Financial Statements)
26
<PAGE>
<TABLE>
<CAPTION>
RATIO TO AVERAGE NET ASSETS
NET ASSET ---------------------------------------
VALUE NET EXPENSE WAIVER NET ASSETS, PORTFOLIO AVERAGE
TOTAL END OF TOTAL INVESTMENT REDUCTION/ END OF PERIOD TURNOVER COMMISSION
DISTRIBUTIONS PERIOD RETURN(C) EXPENSES INCOME REIMBURSEMENT(E) (000 OMITTED) RATE RATE(F)
- -------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
(0.15) $40.85 29.26% 0.81%(d) 0.75%(d) -- $211,505 5% $0.0538
(1.96) $33.97 16.72% 0.83% 1.20% -- $175,764 28% $0.0452
(3.54) $30.81 30.75% 0.86% 1.34% 0.05% $143,421 37% n/a
(0.47) $26.30 2.28% 0.88% 1.52% 0.04% $103,463 42% n/a
(0.49) $26.17 3.53% 0.84% 1.79% 0.04% $109,576 29% n/a
(0.54) $33.62 13.01% 0.81%(d) 3.20%(d) -- $197,402 19% $0.0474
(1.50) $30.26 16.88% 0.82% 3.50% -- $172,767 32% $0.0352
(0.96) $27.25 29.26% 0.82% 3.85% -- $141,892 17% n/a
(0.87) $21.93 (1.82%) 0.84% 3.91% -- $115,399 50% n/a
(0.80) $23.21 10.85% 0.82% 3.29% -- $135,618 10% n/a
(0.11) $40.83 23.77% 1.06%(d) 0.50%(d) -- $ 5,097 5% $0.0538
(1.89) $33.96 16.43% 1.08% 0.95% -- $ 4,285 28% $0.0452
(3.46) $30.81 30.40% 1.11% 1.08% 0.05% $ 3,777 37% n/a
(0.40) $26.31 2.08% 1.13% 1.27% 0.04% $ 3,212 42% n/a
(0.43) $26.16 3.25% 1.10% 1.54% 0.04% $ 3,961 29% n/a
(0.18) $33.61 3.62% 1.08%(d) 2.48%(d) -- $ 48 19% $0.0474
- -------------------------------------------------------------------------------------------------------------
</TABLE>
27
<PAGE>
Financial Highlights
INCOME FUNDS
(For a share outstanding throughout the period)
<TABLE>
<CAPTION>
DISTRIBUTIONS TO
DISTRIBUTIONS TO SHAREHOLDERS
NET ASSET NET REALIZED SHAREHOLDERS FROM NET
VALUE, NET AND UNREALIZED TOTAL FROM FROM NET REALIZED GAIN
YEAR ENDED BEGINNING INVESTMENT GAIN/(LOSS) ON INVESTMENT INVESTMENT ON INVESTMENT
DECEMBER, OF PERIOD INCOME INVESTMENTS OPERATIONS INCOME TRANSACTIONS
- -------------------------------------------------------------------------------------------------------------------------
TRUST SHARES
THE MONITOR OHIO TAX-FREE FUND
<S> <C> <C> <C> <C> <C> <C>
1997(a) $ 21.49 0.51 (0.08) 0.43 (0.51) --
1996 $ 21.77 1.01 (0.28) 0.73 (1.01) --
1995 $ 20.50 1.01 1.27 2.28 (1.01) --
1994 $ 22.04 0.99 (1.55) (0.56) (0.98) --
1993 $ 21.31 0.96 0.73 1.69 (0.96) --
<CAPTION>
THE MONITOR FIXED INCOME FUND
<S> <C> <C> <C> <C> <C> <C>
1997(a) $ 20.94 0.65 (0.15) 0.50 (0.65) --
1996 $ 21.78 1.35 0.84 0.51 (1.35) --
1995 $ 19.69 1.34 2.09 3.43 (1.34) --
1994 $ 22.03 1.28 (2.28) (1.00) (1.34) --
1993 $ 21.32 1.28 0.88 2.16 (1.39) (0.06)
<CAPTION>
THE MONITOR MORTGAGE SECURITIES FUND
<S> <C> <C> <C> <C> <C> <C>
1997(a)(f) $ 8.06 0.26 0.01 0.27 (0.26) --
1996(f) $ 8.09 0.55 (0.04) 0.51 (0.54) --
1995(f) $ 6.69 0.55 1.46 2.01 (0.55) --
1994(f) $ 9.93 0.89 (3.19) (2.30) (0.93) --
1993(f) $ 10.27 1.50 (0.28) 1.22 (1.46) (0.10)
<CAPTION>
THE MONITOR SHORT/INTERMEDIATE FIXED INCOME SECURITIES FUND
<S> <C> <C> <C> <C> <C> <C>
1997(a) $ 19.96 0.59 (0.11) 0.48 (0.58) --
1996 $ 20.35 1.17 (0.37) 0.80 (1.19) --
1995 $ 19.14 1.18 1.21 2.39 (1.18) --
1994 $ 20.57 1.13 (1.33) (0.20) (1.23) --
1993 $ 20.63 1.19 0.31 1.50 (1.31) (0.25)
<CAPTION>
INVESTMENT SHARES
THE MONITOR OHIO TAX-FREE FUND
<S> <C> <C> <C> <C> <C> <C>
1997(a) $ 21.48 0.49 (0.07) 0.42 (0.49) --
1996 $ 21.77 0.96 (0.29) 0.67 (0.96) --
1995 $ 20.50 0.96 1.27 2.23 (0.96) --
1994 $ 22.04 0.94 (1.56) (0.62) (0.92) --
1993 $ 21.31 0.90 0.73 1.63 (0.90) --
<CAPTION>
THE MONITOR FIXED INCOME FUND
<S> <C> <C> <C> <C> <C> <C>
1997(a) $ 20.95 0.63 (0.15) 0.49 (0.63) --
1996 $ 21.78 1.31 (0.84) 0.47 (1.30) --
1995 $ 19.70 1.29 2.09 3.38 (1.30) --
1994 $ 22.04 1.23 (2.29) (1.06) (1.28) --
1993 $ 21.32 1.19 0.92 2.11 (1.33) (0.06)
<CAPTION>
THE MONITOR MORTGAGE SECURITIES FUND
<S> <C> <C> <C> <C> <C> <C>
1997(a)(f) $ 8.08 0.25 0.01 0.26 (0.25) --
1996(f) $ 8.12 0.53 (0.04) 0.49 (0.53) --
1995(f) $ 6.70 0.55 1.46 2.01 (0.55) --
1994(f) $ 9.94 0.87 (3.19) (2.32) (0.91) --
1993(f) $ 10.27 1.47 (0.27) 1.20 (1.43) (0.10)
- -------------------------------------------------------------------------------------------------------------------------
<CAPTION>
DISTRIBUTIONS
IN EXCESS
OF NET
YEAR ENDED INVESTMENT
DECEMBER, INCOME(B)
- -------------------------------------------------------------------------------------------------------------------------
TRUST SHARES
THE MONITOR OHIO TAX-FREE FUND
<S> <C>
1997(a) --
1996 --
1995 --
1994 --
1993 --
<CAPTION>
THE MONITOR FIXED INCOME FUND
<S> <C>
1997(a) --
1996 --
1995 --
1994 --
1993 --
<CAPTION>
THE MONITOR MORTGAGE SECURITIES FUND
<S> <C>
1997(a)(f) --
1996(f) --
1995(f) (0.06)
1994(f) (0.01)
1993(f) --
<CAPTION>
THE MONITOR SHORT/INTERMEDIATE FIXED INCOME SECURITIES FUND
<S> <C>
1997(a) --
1996 --
1995 --
1994 --
1993 --
<CAPTION>
INVESTMENT SHARES
THE MONITOR OHIO TAX-FREE FUND
<S> <C>
1997(a) --
1996 --
1995 --
1994 --
1993 --
<CAPTION>
THE MONITOR FIXED INCOME FUND
<S> <C>
1997(a) --
1996 --
1995 --
1994 --
1993 --
<CAPTION>
THE MONITOR MORTGAGE SECURITIES FUND
<S> <C>
1997(a)(f) --
1996(f) --
1995(f) (0.04)
1994(f) (0.01)
1993(f) --
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
(a)Six months ended June 30, 1996 (unaudited).
(b) Distributions in excess of net investment income were the result of
certain book and tax timing differences. These distributions did not
represent a return of capital for federal income tax purposes.
(c)Based on net asset value, which does not reflect the sales load or
contingent deferred sales charge, if applicable.
(d)This voluntary expense decrease is reflected in both the expense and net
investment income ratios.
(e)Computed on an annualized basis.
(f) Per share information presented is based upon the monthly average number
of shares outstanding due to large fluctuations in the number of shares
outstanding during the period.
(See Notes which are an integral part of the Financial Statements)
28
<PAGE>
<TABLE>
<CAPTION>
RATIO TO AVERAGE NET ASSETS
----------------------------------------
NET ASSET NET ASSETS,
VALUE NET EXPENSE WAIVER END OF PORTFOLIO
TOTAL END OF TOTAL INVESTMENT REDUCTION/ PERIOD (000 TURNOVER
DISTRIBUTIONS PERIOD RETURN(C) EXPENSES INCOME REIMBURSEMENT(D) OMITTED) RATE
- -----------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
(0.51) $21.41 2.03% 0.75%(e) 4.77%(e) -- $ 63,230 10%
(1.01) $21.49 3.48% 0.77% 4.72% -- $ 64,799 13%
(1.01) $21.77 11.35% 0.78% 4.74% 0.08% $ 59,869 13%
(0.98) $20.50 (2.57%) 0.77% 4.68% 0.04% $ 56,469 12%
(0.96) $22.04 8.08% 0.82% 4.39% 0.04% $ 59,541 2%
(0.65) $20.79 2.46% 0.71%(e) 6.39%(e) -- $145,999 113%
(1.35) $20.94 2.56% 0.74% 6.39% -- $144,038 20%
(1.34) $21.78 17.95% 0.77% 6.41% 0.05% $141,423 20%
(1.34) $19.69 (4.62%) 0.75% 6.26% 0.04% $119,117 23%
(1.45) $22.03 10.32% 0.74% 5.87% 0.04% $112,103 7%
(0.26) $ 8.07 3.39% 0.70%(e) 6.54%(e) 0.20%(e) $ 39,689 55%
(0.54) $ 8.06 6.56% 0.95% 6.86% 0.00% $ 39,566 122%
(0.61) $ 8.09 31.10% 0.49% 7.29% 0.63% $ 52,667 194%
(0.94) $ 6.69 (24.59%) 0.88% 11.16% 0.12% $ 54,164 91%
(1.56) $ 9.93 12.10% 0.78% 14.20% 0.04% $ 90,461 154%
(0.58) $19.86 2.45% 0.70%(e) 5.99%(e) -- $122,804 152%
(1.19) $19.96 4.08% 0.72% 5.83% -- $125,514 44%
(1.18) $20.35 12.81% 0.74% 5.93% -- $133,951 40%
(1.23) $19.14 (0.98%) 0.72% 5.76% -- $125,112 38%
(1.56) $20.57 7.43% 0.71% 5.70% -- $123,897 24%
(0.49) $21.48 1.96% 1.00%(e) 4.52%(e) -- $ 1,681 10%
(0.96) $21.48 3.20% 1.02% 4.47% -- $ 1,900 13%
(0.96) $21.77 11.10% 1.03% 4.49% 0.08% $ 2,163 13%
(0.92) $20.50 (2.83%) 1.02% 4.43% 0.04% $ 2,307 12%
(0.90) $22.04 7.78% 1.07% 4.13% 0.04% $ 2,838 2%
(0.63) $20.80 2.35% .96%(e) 6.14%(e) -- $ 1,704 113%
(1.30) $20.95 2.32% 0.99% 6.14% -- $ 1,851 20%
(1.30) $21.78 17.63% 1.02% 6.17% 0.05% $ 2,176 20%
(1.28) $19.70 (4.88%) 1.00% 6.01% 0.04% $ 1,958 23%
(1.39) $22.04 10.07% 0.99% 5.61% 0.04% $ 2,563 7%
(0.25) $ 8.09 3.30% 0.95%(e) 6.29%(e) 0.20%(e) $ 1,276 55%
(0.53) $ 8.12 6.25% 1.46% 6.57% -- $ 1,666 122%
(0.59) $ 8.12 31.13% 0.76% 7.40% 0.73% $ 2,008 194%
(0.92) $ 6.70 (24.72%) 1.13% 10.91% 0.37% $ 4,259 91%
(1.53) $ 9.94 11.94% 1.03% 13.95% 0.29% $ 8,533 154%
- -----------------------------------------------------------------------------------------------------
</TABLE>
29
<PAGE>
Combined Notes to Financial Statements
JUNE 30, 1997
(1) ORGANIZATION
The Monitor Funds (the "Trust") is registered under the Investment Company Act
of 1940, as amended (the "Act"), as an open-end management investment company.
The Trust consists of seven diversified and two non-diversified portfolios
(individually referred to as the "Fund", or collectively as the "Funds"). The
following Funds comprise the Trust:
The Monitor Money Market Fund ("Money Market") The Monitor Ohio Municipal
Money Market Fund ("Ohio Municipal Money Market")* The Monitor U.S.
Treasury Money Market Fund ("U.S. Treasury Money Market") The Monitor
Growth Fund ("Growth") The Monitor Income Equity Fund ("Income Equity") The
Monitor Ohio Tax-Free Fund ("Ohio Tax-Free")* The Monitor Fixed Income
Securities Fund ("Fixed Income") The Monitor Mortgage Securities Fund
("Mortgage Securities") The Monitor Short/Intermediate Fixed Income
Securities Fund ("Short/Intermediate Fixed Income") *non-diversified
portfolio
The Funds each offer two classes of shares ("Trust Shares" and "Investment
Shares"). Investment Shares are identical in all respects to Trust Shares,
except that Investment Shares are sold pursuant to distribution plans (the
"Plans") adopted in accordance with Rule 12b-1 under the Act. The objectives of
the Funds can be found in the current prospectus.
The assets of each Fund are segregated, and a shareholder's interest is limited
to the Fund and to the class in which shares are held.
(2) SIGNIFICANT ACCOUNTING POLICIES
The following is a summary of significant accounting policies consistently
followed by each Fund in the preparation of its financial statements. These
policies are in conformity with generally accepted accounting principles. The
preparation of financial statements in accordance with generally accepted
accounting principles requires management to make estimates and assumptions
that affect the reported amounts and disclosures in the Financial Statements.
The actual results could differ from those estimates.
A. INVESTMENT VALUATIONS
Securities of the money market funds (Money Market, Ohio Municipal Money Market
and U.S. Treasury Money Market) are valued using amortized cost, which
approximates market value. The Trust's use of the amortized cost method to
value the money market funds' portfolio securities is conditioned on their
compliance with Rule 2a-7 under the Act.
Equity securities held by the Growth and Income Equity which are listed on the
New York Stock Exchange or other national securities exchanges are valued at
the last sale price or, if there has been no sale on that day, at the mean
between bid and asked prices. Unlisted equity securities are valued at the
latest bid prices. Bonds and other fixed income securities held by all the
Funds (other than the Mortgage Securities) which may trade on a national
securities exchange and/or over the counter are valued at the last sale price
on that day, if available; otherwise, they are valued by an independent pricing
service that takes into consideration yield, stability, risk, credit quality,
coupon, maturity, type of issue, trading characteristics, special circumstances
of security or trading market, and any other factors or market data the
independent pricing service deems relevant in determining valuations for normal
institutional size trading units of debt securities, and does not rely
exclusively on quoted prices.
U.S. Government obligations held by the Mortgage Securities are valued at the
mean between the over-the-counter bid and asked prices as furnished by an
independent pricing service. Portfolio securities for which market quotations
are not readily available are valued on the basis of quotations provided by
dealers in such securities.
Short-term securities with remaining maturities of sixty days or less at the
time of purchase may be valued at amortized cost, which approximates fair
market value. Investments in other open-end investment companies are valued at
net asset value.
B. REPURCHASE AGREEMENTS
It is the policy of the Funds to require the custodian bank to take possession,
to have legally segregated in the Federal Reserve Book Entry System, or to have
segregated within the custodian bank's vault, all securities held as collateral
under repurchase agreement transactions. Additionally, it's the policy of the
Trust to monitor, on a daily basis, the market value of each repurchase
agreement's collateral to ensure that the value of collateral at least equals
the repurchase price to be paid under the repurchase agreement transaction.
The Funds will only enter into repurchase agreements with banks and other
recognized financial institutions, such as broker/dealers, which are deemed by
the Funds' adviser to be creditworthy pursuant to the guidelines and/or
standards reviewed or established by the Trustees. Risks may arise from the
potential inability of counterparties to honor the terms of these agreements.
Accordingly, the Funds could receive less than the repurchase price on the sale
of collateral securities.
30
<PAGE>
C. INVESTMENT INCOME, EXPENSES AND DISTRIBUTIONS
Dividend income and distributions to shareholders are recorded on the ex-
dividend date. Interest income and expenses are accrued daily. Bond premium and
discount, if applicable, are amortized as required by the Internal Revenue
Code, as amended (the "Code"). For stripped mortgage backed securities,
Mortgage Securities uses the constant yield method for income recognition
purposes.
Income distributions and capital gain distributions are determined in
accordance with income tax regulations which may differ from generally accepted
accounting principles. These differences are primarily due to the tax nature of
distributions. As of December 31, 1996, $87,528 and $24,087 of undistributed
net investment income and accumulated net realized gain (loss) on investments,
respectively, have been reclassified from paid-in-capital in the Mortgage
Securities Fund. In addition, $220,472 has been reclassified from accumulated
net realized gain (loss) on investments to undistributed net investment income.
Net investment income, net realized loss, and net assets were not affected by
this change.
D. FEDERAL TAXES
It is the Funds' policy to comply with the provisions of the Code applicable to
regulated investment companies and to distribute to shareholders each year
substantially all of their income. Accordingly, no provisions for federal tax
are necessary.
At December 31, 1996, Ohio Tax-Free, Income Equity, Fixed Income, Mortgage
Securities, and Short/Intermediate Fixed Income, for federal tax purposes, had
capital loss carryforwards, which will reduce each Fund's taxable income
arising from future net realized gain on investments, if any, to the extent
permitted by the Code, and thus will reduce the amount of the distributions to
shareholders which would otherwise be necessary to relieve each Fund of any
liability for federal tax. Pursuant to the Code, such capital loss
carryforwards will expire as listed below:
<TABLE>
<CAPTION>
1994 1995 1996
CARRYFORWARDS CARRYFORWARDS CARRYFORWARDS
TO EXPIRE IN TO EXPIRE IN TO EXPIRE IN
2002 2003 2004
- --------------------------------------------------------------------------
<S> <C> <C> <C>
Ohio Tax-Free $ -- $ 5,772 $ --
Fixed Income 805,002 420,034 --
Mortgage Securities 10,747,726 10,945,577 2,321,082
Short/Intermediate Fixed Income 120,517 256,995 --
- --------------------------------------------------------------------------
</TABLE>
E. DOLLAR ROLL TRANSACTIONS
Mortgage Securities may enter into mortgage "dollar rolls" in which it sells
securities for delivery in the current month and simultaneously contracts with
the same counterparty to repurchase similar (same type, coupon and maturity)
but not identical securities on a specified future date. The Fund would benefit
to the extent of any difference between the price received for the securities
sold and the lower forward price for the future purchase plus any fee income
received. These amounts are included in interest income. The Fund maintains a
segregated account, the dollar value of which meets or exceeds its obligations
with respect to dollar rolls.
F. OTHER
Investment transactions are accounted for on the trade date.
G. STATEMENT OF CASH FLOWS
A Statement of Cash Flows is presented for Mortgage Securities due to its
participation in dollar roll transactions, which are considered to be financing
transactions. This statement presents information on financial transactions
which have been settled through the receipt or disbursement of cash. The cash
amount shown in the Statement of Cash Flows is the amount reported as cash in
the Fund's Statement of Assets and Liabilities and represents cash on hand in
its custodian bank account and does not include any short-term investments at
June 30, 1997.
(3) INVESTMENT ADVISORY FEE AND OTHER TRANSACTIONS WITH AFFILIATES
INVESTMENT ADVISORY FEE--The Huntington Trust Company, N.A., the Funds'
investment adviser (the "Adviser"), receives for its services an annual
investment advisory fee for each of the Funds at the following annual rates:
Money Market and Ohio Municipal Money Market: 0.30% of the first $500 million
of average daily net assets of each Fund, 0.25% of the next $500 million, and
0.20% of any amount over $1 billion; U.S. Treasury Money Market: 0.20% of the
Fund's average daily net assets; Growth and Income Equity: 0.60% of each Fund's
average daily net assets; and Ohio Tax-Free, Fixed Income, Mortgage Securities
and Short/Intermediate Fixed Income: 0.50% of each Fund's average daily net
assets. The Adviser may voluntarily choose to waive a portion of its fee. The
Adviser can modify or terminate this voluntary waiver at any time at its sole
discretion.
SUB-ADVISORY FEE--The Adviser has entered into a sub-advisory agreement with
Piper Capital Management, Inc. (the "Sub-adviser"), pursuant to which the Sub-
adviser assists the Adviser in the purchase, sale and exchange of the portfolio
investments for the Mortgage Securities. The Sub-adviser receives from the
Adviser an annual fee equal to 0.15% of the Fund's average daily net assets.
ADMINISTRATION FEE--Commencing January 11, 1996, SEI Fund Resources ("SFR")
serves as administrator to each Fund under an Administration Agreement. SFR is
entitled to receive an annual fee of .11% of each Fund's average net assets,
paid monthly, for services performed under the Administration Agreement. SFR
has entered into an agreement with The Huntington National Bank ("Huntington")
pursuant to which Huntington provides certain administrative services to the
Funds. Effective January 11, 1996, SEI Investment Distribution Co. ("SIDCO")
acts as the Fund's Distributor pursuant to a distribution agreement.
31
<PAGE>
DISTRIBUTION PLAN--Each Fund offering Investment Shares has adopted a
distribution plan (the "Plan") pursuant to Rule 12b-1 under the Act. Growth,
Ohio Tax-Free, Fixed Income, Money Market, and Ohio Municipal Money Market
reimbursed SIDCO, the Funds' principal distributor, from the net assets of the
respective Fund for fees SIDCO paid which relate to distribution and
administrative services with regard to the respective Fund's Investment Shares,
if any. Mortgage Securities and U.S. Treasury Money Market, have adopted a
separate Plan, which provides that Mortgage Securities and U.S. Treasury Money
Market pay SIDCO to finance any activity which is principally intended to
result in the sale of their Investment Shares subject to their Plan. The Plans
provide that all of the Funds may incur distribution expenses of up to 0.25%
(except for Mortgage Securities, which may incur up to 0.50%) of average daily
net assets of each Fund's Investment Shares, on an annual basis, to reimburse
or compensate, as the case may be, SIDCO. Money Market, Ohio Municipal Money
Market, and U.S. Treasury Money Market incurred fees of 0.10%.
TRANSFER AND DIVIDEND DISBURSING AGENT FEES AND EXPENSES, PORTFOLIO ACCOUNTING
AND CUSTODIAN FEES-- Commencing January 11, 1996, SFR serves as transfer and
dividend disbursing agent for the Funds for which it received a fee. The fee
was based on the size, type and number of accounts and transactions made by
shareholders.
Huntington provides certain accounting and recordkeeping services with respect
to the Funds' portfolios of investments, with the exception of Mortgage
Securities, for which American Data Services, Inc. ("ADS") provided these
services. Huntington receives an annual fee based on the level of each Fund's
average daily net assets, with the exception of the Mortgage Securities Fund.
Huntington is the custodian of the Funds' investments and other assets for
which it receives a fee. The fee is based on the level of each Fund's average
daily net assets.
For the six month period ended June 30, 1997, certain Officers of the Trust
were Officers of SFR and SIDCO. Such Officers receive no compensation from the
Trust.
(4) INVESTMENT TRANSACTIONS
Purchases and sales of investments, excluding short-term securities, for the
period ended June 30, 1997 were as follows:
<TABLE>
<CAPTION>
INVESTMENT SECURITIES
---------------------
INCOME OHIO
GROWTH EQUITY TAX-FREE
- -----------------------------------------------
<S> <C> <C> <C>
Purchases $10,105,310 $12,429,051 $6,173,660
Sales $13,769,513 $6,658,001 $6,458,252
- -----------------------------------------------
<CAPTION>
SHORT/
INTERMEDIATE
FIXED MORTGAGE FIXED
INCOME SECURITIES INCOME
- -----------------------------------------------
<S> <C> <C> <C>
Purchases $16,752,024 -- $16,164,078
Sales $ 3,656,040 -- $11,938,545
- -----------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
U.S. GOVERNMENT OBLIGATIONS
---------------------------
INCOME OHIO
GROWTH EQUITY TAX-FREE
- ------------------------------------------------
<S> <C> <C> <C>
Purchases -- $11,109,241 --
Sales -- $11,079,972 --
- ------------------------------------------------
<CAPTION>
SHORT/
INTERMEDIATE
FIXED MORTGAGE FIXED
INCOME SECURITIES INCOME
- ------------------------------------------------
<S> <C> <C> <C>
Purchases $146,738,047 $11,221,536 $165,695,000
Sales $155,295,133 $12,732,140 $169,978,359
- ------------------------------------------------
</TABLE>
(5) INVESTMENT CONCENTRATION
Ohio Tax-Free and Ohio Municipal Money Market invest a substantial portion of
their assets in obligations and notes issued by the State of Ohio, political
subdivisions thereof, and agencies, instrumentalities, authorities of districts
of both the State and its political subdivisions. It is the Fund's policy that
such issues must have been rated A or better by Moody's Investors Service, Inc.
or by Standard & Poor's Ratings Group, for Ohio Tax-Free, or A-2, P-2 for Ohio
Municipal Money Market or, if not rated, of equivalent quality as determined by
the Funds' investment adviser.
If there should be a default or other financial crisis relating to the State of
Ohio, an Ohio municipality or an agency or instrumentality of the State or the
municipality, the market value and marketability of the Ohio municipal bonds in
Ohio Municipal Money Market and Ohio Tax-Free's portfolios and the interest
income to the two Funds could be adversely affected.
32
<PAGE>
Trustees Officers
David S. Schoedinger David G. Lee
John M. Shary President and Chief Executive Officer
William R. Wise Robert DellaCroce
Controller, Treasurer and Chief Financial Officer
Kathryn L. Stanton
Vice President and Secretary
Marc H. Cahn
Vice President and Assistant Secretary
Todd Cipperman
Vice President and Assistant Secretary
Barbara A. Nugent
Vice President and Assistant Secretary
Kevin P. Robins
Vice President and Assistant Secretary
Bradley J. Schram
Assistant Secretary
MUTUAL FUNDS ARE NOT BANK DEPOSITS OR OBLIGATIONS, ARE NOT GUARANTEED BY ANY
BANK, AND ARE NOT INSURED OR GUARANTEED BY THE U.S. GOVERNMENT, THE FEDERAL
DEPOSIT INSURANCE CORPORATION, THE FEDERAL RESERVE BOARD, OR ANY OTHER
GOVERNMENT AGENCY. INVESTMENT IN MUTUAL FUNDS INVOLVES INVESTMENT RISK,
INCLUDING THE POSSIBLE LOSS OF PRINCIPAL. ALTHOUGH MONEY MARKET FUNDS SEEK TO
MAINTAIN A STABLE NET ASSET VALUE OF $1.00 PER SHARE, THERE IS NO ASSURANCE
THAT THEY WILL BE ABLE TO DO SO.
This report is authorized for distribution to prospective investors only when
preceded or accompanied by the Funds' prospectus, which contains facts
concerning the Funds' objectives and policies, management fees, expenses and
other information.
<PAGE>
[LOGO OF MONITOR FUNDS
APPEARS HERE]
THE HUNTINGTON
NATIONAL BANK,
a subsidiary of
Huntington Bancshares
Incorporated, is the
Investment Adviser,
Custodian, and
Recordkeeper of
The Monitor Funds.
SEI Investments
Distribution Co. is
the Distributor and is
not affiliated with The
Huntington National Bank.
[LOGO OF MONITOR FUNDS APPEARS HERE]
(800)253-0412
