--------------------------------------------------------------------------------
APRIL 30, 2000 (UNAUDITED)
--------------------------------------------------------------------------------
Chase Vista
Internationa
Equity Funds
SEMI-ANNUAL REPORT
EUROPEAN FUND
JAPAN FUND
INTERNATIONAL
EQUITY FUND
[Graphic; Globe]
[Logo; CHASE
THE RIGHT RELATIONSHIP IS EVERYTHING.(RegTM)]
SAIE-3-600
<PAGE>
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
-----------------------------------------------------------------------------
Contents
-----------------------------------------------------------------------------
Chairman's Letter 1
-----------------------------------------------------------------------------
Chase Vista European Fund 2
Fund Commentary
-----------------------------------------------------------------------------
Chase Vista Japan Fund 6
Fund Commentary
-----------------------------------------------------------------------------
Chase Vista International Equity Fund 10
Fund Commentary
-----------------------------------------------------------------------------
Portfolios of Investments 14
-----------------------------------------------------------------------------
Fund Financial Statements 19
-----------------------------------------------------------------------------
International Equity Portfolio 39
-----------------------------------------------------------------------------
Portfolio Financial Statements 44
-----------------------------------------------------------------------------
Highlights
o Investors' rush to pick up "new economy" stocks bid up prices of
technology-related issues, leaving all other sectors woefully behind.
o The much-anticipated pullback in this trend finally took place in March.
o Since then, foreign markets have been sensitive to the U.S. equity market's
activity.
---------------------------------------------------
NOT FDIC INSURED May lose value / No bank guarantee
---------------------------------------------------
Chase Vista Funds are distributed by Vista Fund Distributors, Inc.
<PAGE>
--------------------------------------------------------------------------------
CHASE VISTA INTERNATIONAL EQUITY FUNDS
--------------------------------------------------------------------------------
Chairman's Letter
June 5, 2000
Dear Shareholder:
We are pleased to present this semi-annual report for the Chase Vista
International Equity Funds for the six months ended April 30, 2000.
World Equity Markets Move in Tandem
Enthusiasm for the "new economy," or those companies tied to the growth of new
technology and the Internet, built to feverish levels during the reporting
period. From November, 1999 through the middle of March, 2000, investors the
world over bid up stocks in the technology, media and telecommunications sectors
and virtually ignored other areas of the market. This was the case in the US,
Europe, Japan and even the emerging markets.
With the benefit of hindsight, it's easy to see that the trend of "new economy"
stock market outperformance reached its peak in the first part of March and that
a pullback was inevitable. The problem, of course, is that to many investors the
pullback was inevitable for a year as prices kept rising ever higher.
Following the selloff, many foreign markets remained highly sensitive to the US
in general and the Nasdaq in particular. Just as in the US, a struggle began as
equity markets attempted to sort through the rubble of March and April and
determine where future leadership will come from in the wake of a harsh
disruption in existing trends.
In late 1999 and early 2000, we had the classic case of a rising tide lifting
all boats, with many "new economy" companies rising ever-higher despite the lack
of sufficient profits to support them fundamentally. What's happening now is
that investors are becoming much more realistic about placing future values on
these companies, reining in projections from infinity to reality. This has had
the effect of narrowing the time horizon in which companies must deliver the
results that justify their valuations, a very healthy development that once
again proves that the market is a self-correcting mechanism.
Beyond the Volatility
Beyond the painful volatility we have experienced, and may continue to
experience, we nonetheless live in an amazing era, one in which a huge
transformation in how people around the world live, work and relate to others is
being driven by the advent and application of new technology. That hasn't
changed.
What is changing is that investors have to be more selective, focusing on
companies that can deliver results that justify their current valuations. These
companies are to be found across industry sectors and national borders. You
don't have to be a dot-com company to benefit from the Internet revolution, and
we may find that some of the oldest companies in the world may turn out to be
leaders in the information economy.
With a great deal of speculation squeezed out of the market, investors have the
opportunity to reflect on what they own and re-focus on who will be the stronger
companies going forward. At Chase Vista, we look forward to investing in these
companies on your behalf in helping you build a more secure financial future.
Sincerely yours,
[Graphic; signature of Fergus Reid]
Fergus Reid
Chairman
1
<PAGE>
--------------------------------------------------------------------------------
CHASE VISTA EUROPEAN FUND
As of April 30, 2000 (Unaudited)
--------------------------------------------------------------------------------
Fund Manager Q&A With Michael Browne
Michael, the Fund had a total return of 29.85% (Class A Shares, without sales
charge) for the six months ended April 30, 2000, while its benchmark, the MSCI
Europe Index was up 8.45%. How do you explain your strong relative performance?
From November through the middle of March, there was a huge divergence between
stocks in the technology, media and telecommunications (TMT) sectors and
virtually all other sectors. The Fund was overweight in these sectors during
their strong run, with a specific interest in stocks related to the boom in
mobile telephony in Europe. Additionally, our stock selection across the board
was quite good.
But the TMT stocks fell sharply along with the Nasdaq in the US from March 10 to
the end of the period. Did the Fund suffer?
Fortunately, we had been already paring back our holdings in TMT prior to the
selloff, and by the end of March we were positioned in a fairly sector-neutral
way. So while we certainly fell with the rest of the market, our overall
performance for the period benefited as a result of our taking profits along the
way.
What were the other key factors behind the Fund's performance?
The Fund has always emphasized companies where restructuring is taking place,
and we saw a tremendous amount of restructuring activity during the period,
particularly with regard to mergers and acquisitions. In fact, the Fund was
invested in both Vodafone/Airtouch PLC and Mannesmann, whose merger was the
largest ever in Europe.
What was the economic backdrop during the period?
Earnings growth has been excellent and economic growth continues to improve. The
only downside of this, of course, has been higher short-term interest rates.
However, we think we've seen the end to rising interest rates in the UK, a very
important market for the Fund.
Given that the Fund is dollar denominated, the falling Euro had a negative
impact on absolute performance. What's your view of the Euro going forward?
The view of the Euro here is rather straightforward--it's too cheap. It's
important to remember the basic rules of currency movement, which tell us that a
cheaper Euro will lead to higher exports relative to Europe's trading partners,
effectively taking growth from countries with stronger currencies and delivering
it to Europe. Ultimately, stronger relative growth is what's needed to
strengthen the currency, and the good news is that this process has begun and is
firmly in place. The better news is that, even were the Euro to bounce 10%
today, the delay before this appreciation is reflected in export levels, which
means that we're still looking at export-led growth in 2001.
What's your view of TMT stocks moving forward?
As in the United States, valuation remains a major issue. Clearly, skittish
investors will want to continue to see that their previous enthusiasm for
2
<PAGE>
CHASE VISTA EUROPEAN FUND
As of April 30, 2000 (Unaudited)
TMT was not misplaced. The first quarter results of European bellwether
Nokia--arguably the world's premier mobile phone manufacturer--are supportive in
this instance. After all, 69% revenue growth and 76% earnings growth go a long
way towards justifying the stock's relatively high valuation. Our strategy has
been--and will continue to be--to stick with well-known TMT issues that have
both good earnings and strong momentum. This strategy is derived from our belief
that it will be very difficult for companies without earnings to raise capital
regardless of their potential. We want to own companies that can self-finance
operations and capital expenditures out of current cash flow, companies that are
profitable today and poised to benefit from growth tomorrow.
Average Annual Total Returns+
<TABLE>
<CAPTION>
Since
Inception
1 Year 3 Years (11/2/95)
--------------------------------------------------------------------------------
<S> <C> <C> <C>
Class A Shares
Without Sales Charge 32.74% 26.30% 25.32%
With Sales Charge* 25.08% 23.84% 23.68%
--------------------------------------------------------------------------------
Class B Shares
Without CDSC 31.84% 25.41% 24.44%
With CDSC** 26.84% 24.77% 24.23%
--------------------------------------------------------------------------------
Class C Shares
Without CDSC 31.84% 25.41% 24.44%
With CDSC*** 30.84% 25.41% 24.44%
--------------------------------------------------------------------------------
</TABLE>
Source: Lipper Analytical Services. Past performance is not indicative of future
results. Investment return and principal value will fluctuate, so that shares,
when redeemed, may be worth more or less than their original cost.
The Fund is currently waiving certain fees. This waiver may be terminated, which
would reduce performance.
* Sales charge on Class A Shares is 5.75%.
** Assumes 5% CDSC (contingent deferred sales charge) for the one year period,
3% for the three-year period and a 3% CDSC for the period since inception.
*** Assumes 1% CDSC for the one year period and 0% thereafter.
International investing involves a greater degree of risk and increased
volatility. The fund may be also subject to the additional risk of
non-diversified "regional" fund investing.
+ The Fund commenced operations on 11/2/95. Class B and C Shares were introduced
on 11/3/95 and 11/1/98 respectively. Performance prior to introduction is based
upon historical expenses of the predecessor Class A Shares, which are lower than
the actual expenses of the B and C Shares.
3
<PAGE>
CHASE VISTA EUROPEAN FUND
As of April 30, 2000 (Unaudited)
Percentage of Total Portfolio Investments
[Pie chart data]
<TABLE>
<S> <C>
United Kingdom (27.1%)
France (18.2%)
Germany (12.3%)
Switzerland (10.9%)
Finland (8.2%)
Spain (6.3%)
Sweden (5.1%)
Italy (4.3%)
Netherlands (4.3%)
United States (1.8%)
Other (1.5%)
</TABLE>
Top Ten Equity Holdings of the Portfolio
1. Nokia OYJ (4.9%) An international telecommunications company which develops
and manufactures mobile phones, networks and systems for cellular and fixed
networks.
2. Vodafone AirTouch PLC (4.5%) Provides mobile telecommunications services. It
supplies customers with digital and analog cellular telephone, paging and
personal communications services.
3. Telefonaktiebolget LM Ericsson, Class B (3.8%) Develops and produces advanced
systems and products for wired and mobile communications in public and private
networks. The product line includes digital and analog systems for telephones
and networks, microwave radio links, radar surveillance systems and business
systems.
4. BP Amoco PLC (3.1%) An oil and petrochemicals company which explores for and
produces oil and natural gas; refines, markets and supplies petroleum products;
and manufactures and markets chemicals.
5. Total Fina SA, Class B (2.9%) Explores for, produces, refines, transports and
markets oil and natural gas. The Company also operates a chemical division which
produces rubber, paint, ink, adhesives and resins.
6. France Telecom SA (2.6%) Provides telecommunications services in France. The
Company operates a network of about 33.7 million telephone lines for homes and
businesses and a mobile telecommunications service with over 4 million
subscribers.
7. Sonera OYJ (2.5%) Offers telecommunications services, including fixed line
and mobile telephone, data communications and networked multimedia services.
8. SmithKline Beecham PLC (2.4%) Discovers, develops, manufactures and markets
pharmaceuticals, vaccines, over the counter medicines and health-related
consumer products. Also provides healthcare services, including clinical
laboratory testing, disease management and pharmaceutical benefit management.
9. Barclays PLC (2.4%) Offers commercial and investment banking, insurance,
financial and related services. Its subsidiary, Barclays Bank plc, operates over
1,900 branches in the United Kingdom. Overall, the Company operates branches in
over 60 countries.
10. Credit Commercial de France (2.3%) Provides retail banking, investment
banking, fund management and private banking through 195 branches in France,
with regional banks operating another 450 branches.
Top 10 equity holdings comprised 31.4% of the Portfolio's market value of
investments. Portfolio holdings are subject to change at any time.
4
<PAGE>
CHASE VISTA EUROPEAN FUND
As of April 30, 2000 (Unaudited)
Life of Fund Performance (11/2/95 to 4/30/00)
[Line chart data]
<TABLE>
<CAPTION>
Chase Lipper
Vista MSCI European
European Europe Funds
Fund Index Average
<S> <C> <C> <C>
11/02/95 9425 10000 10000
1996 10542 10877 11009
1997 12918 13207 12966
1998 19160 18785 18373
1999 19606 19523 18370
4/30/00 26026 21529 22702
</TABLE>
Source: Lipper Analytical Services, Inc. Past performance is not indicative of
the future results. Investment return and principal value will fluctuate with
market conditions. When shares are redeemed, they may be worth more or less than
their original cost.
This chart illustrates comparative performance for $10,000 invested in Class A
Shares of Chase Vista European Fund, the Lipper European Funds Average and the
MSCI Europe Index from November 2, 1995 to April 30, 2000. The performance of
the Fund assumes the reinvestment of all dividends and capital gains and
includes a 5.75% sales charge. The performance of the average and the index does
not include a sales charge and has been adjusted to reflect reinvestment of all
dividends and capital gains on the securities included in the benchmark.
The Fund is currently waiving certain fees. This voluntary waiver may be
modified or terminated at any time, which would reduce performance.
The Lipper European Funds Average represents the average performance of a
universe of 91 actively managed mutual funds that invest in European stocks.
Lipper is an independent mutual fund performance monitor whose results are based
on total return and do not reflect a sales charge.
The MSCI Europe Index is a replica (or model) of the performance of the European
markets. The index is unmanaged and reflects the reinvestment of dividends. An
individual cannot invest directly in the index.
International investing involves a greater degree of risk and increased
volatility. Changes in currency and exchange rates and differences in accounting
and taxation policies outside the U.S. can raise or lower returns. Also, some
overseas markets may not be as politically and economically stable as the United
States and other nations. The Fund may also be subject to the additional risk of
non-diversified "Regional" fund investing.
5
<PAGE>
--------------------------------------------------------------------------------
CHASE VISTA JAPAN FUND
As of April 30, 2000 (Unaudited)
--------------------------------------------------------------------------------
Fund Manager Q&A With Richard Aston
Richard, the Fund had a total return of .71% (Class A shares, without sales
charges) for the six months ended April 30, 2000, while its benchmark, the MSCI
Japan Index, rose 3.39%. Why did the Fund lag its benchmark?
It's important to note that there was a manager change during the period, and
that the Fund's underperformance was concentrated in November and December,
1999. The Fund was not fully positioned for the strong performance of a narrow
group of high-tech and Internet-related stocks at the end of 1999.
What's driving the Japanese equity market at this point?
It has been largely influenced by Nasdaq and we expect this to continue moving
forward. For the market to make its own headway, we must begin to see some
strength in the domestic economy and that, to a large degree, depends on
domestic consumption, which remains weak. While the government's spending
program has had a noticeable effect on the capital spending side of the economy,
this has yet to feed through to consumption. While there is a possibility that
we may be at a turning point in terms of consumption, the timing remains very
uncertain. One other factor to keep in mind is the general election in June and
the potential effect political maneuvering may have on the markets.
Please explain the change in the Nikkei 225 index in April and why many market
participants now consider the Nikkei less important moving forward than the
other major index, the TOPIX 1st Section.
The change of the Nikkei 225 from a market-cap weighted index to a price-
weighted measure has caused broadly divergent performance between that index and
the TOPIX 1st Section since it was announced on April 15. Since then, the TOPIX
has remained relatively flat, going from 1653 on April 15 to 1660 on April 24 to
1636 on May 17. The Nikkei has fallen dramatically during this time period, from
20434 to 18252 to 17404. In our view, the change has made the Nikkei 225
unreliable as a measure of market performance, hastening the rise of the TOPIX
as the index of record.
What other factors are you looking at moving forward?
We're concerned that, after 18 months of net foreign investment inflows, foreign
buyers were net sellers of Japanese equities in April. This has been part of the
reason the yen has weakened relative to the dollar, with the other major factor
being rising interest rates in the United States. When you put these issues
together--net foreign outflows, a weaker yen and the lack of a recovery in the
domestic market--it's difficult to see the market moving ahead robustly in the
short term. In this environment, we'll continue to focus on individual stock
selection.
6
<PAGE>
CHASE VISTA JAPAN FUND
As of April 30, 2000 (Unaudited)
Average Annual Total Returns+
<TABLE>
<CAPTION>
Since
Inception
1 Year 3 Years (11/2/95)
--------------------------------------------------------------------------------
<S> <C> <C> <C>
Class A Shares
Without Sales Charge 27.38% 4.07% 1.53%
With Sales Charge* 20.12% 2.02% 0.20%
--------------------------------------------------------------------------------
Class B Shares
Without CDSC 26.93% 3.44% 0.87%
With CDSC** 21.93% 2.49% 0.45%
--------------------------------------------------------------------------------
</TABLE>
Source: Lipper Analytical Services. Past performance is not indicative of future
results. Investment return and principal value will fluctuate, so that shares,
when redeemed, may be worth more or less than their original cost.
The Fund is currently waiving certain fees. This waiver may be terminated, which
would reduce performance.
* Sales charge on Class A Shares is 5.75%.
** Assumes 5% CDSC (contingent deferred sales charge) for the one year period,
3% for the three-year period and a 3% CDSC for the period since inception.
International investing involves a greater degree of risk and increased
volatility. The fund may be also subject to the additional risk of
non-diversified "regional" fund investing.
+ The Fund commenced operations on 11/2/95. Class B Shares were introduced on
11/3/95. Performance prior to introduction is based upon historical expenses of
the predecessor Class A Shares, which are lower than the actual expenses of the
B Shares.
7
<PAGE>
CHASE VISTA JAPAN FUND
As of April 30, 2000 (Unaudited)
Percentage of Total Portfolio Investments
[Pie chart data]
<TABLE>
<S> <C>
Technology (41.8%)
Consumer Cyclicals (15.9%)
Utilities (14.0%)
Financial (11.6%)
Health Care (7.9%)
Basic Materials (3.5%)
Capital Goods (2.4%)
Consumer Staples (1.0%)
Transportation (1.0%)
Real Estate (0.9%)
</TABLE>
Top Ten Equity Holdings of the Portfolio
1. Toyota Motor Corp. (9.7%) Produces, sells, leases and repairs passenger cars,
trucks, buses, boats and airplanes in Japan and overseas.
2. NTT Mobile Communications Network, Inc. (7.9%) Provides various
telecommunications services including cellular phones, car phones, pagers and
packet communication services.
3. Tokyo Electron LTD (6.4%) Develops products such as systems for chip making
processes, including chemical vapor deposition, diffusion, etching, cleaning and
testing. TEL also makes liquid crystal display production equipment, and it
distributes other companies' chip making equipment, computer systems, networking
products and software.
4. Hoya Corp. (4.0%) Manufactures electro-optics products such as photomasks for
semiconductors, eyeglasses, contact lenses, medical service products and crystal
products. The Company also sells its products in Asia and overseas markets.
5. Nitto Denko Corp. (3.1%) Markets and manufactures electrical insulation
materials such as varnishes, adhesive tapes and self-fusing tapes. It also
produces electronic products used for optical media, semiconductor, home
electric appliances, automobiles, housing and construction, packaging,
environmental protection and health care.
6. Trend Micro Inc. (2.9%) Develops, markets and supports anti-virus servers.
Products include InterScan[RegTM] VirusWall 2.6, which provides virus scanning
solutions for Check Point, and FireWall-1 on the Sun Solaris platform.
7. Nippon Telegraph & Telephone Corp. (2.9%) Provides a variety of
telecommunication services, including telephone, telegraph, leased circuits,
data communication, terminal equipment sales and related services. The Company
provides both local and long distance telephone services within Japan.
8. Softbank Corp. (2.9%) Invests in Internet, software, financial and computer
networking companies. Through its subsidiaries, the Company provides electronic
commerce, software and peripheral hardware equipment for PCs, consulting
services and technical support of computer networks and systems.
9. Rohm Co., LTD (2.6%) Manufactures custom linear integrated circuits and
semiconductor devices for use primarily in consumer electronics. It has plants
in Brazil, South Korea and the U.S. to boost its overseas production.
Subsidiaries include Wako Electric and Apollo Electronics.
10. Takeda Chemical Industries (2.6%) Produces and sells health-care related
products. It specializes in pharmaceuticals, cosmetics, food supplements,
vitamins and chemicals, as well as environmental materials including pesticides
and other agrochemicals. It researches and develops new drugs using its own
biotechnology.
Top 10 equity holdings comprised 45.0% of the Portfolio's market value of
investments. Portfolio holdings are subject to change at any time.
8
<PAGE>
CHASE VISTA JAPAN FUND
As of April 30, 2000 (Unaudited)
Life of Fund Performance (11/2/95 to 4/30/00)
[Line chart data]
<TABLE>
<CAPTION>
Lipper Tokyo SE
Chase Japan (Topix)
Vista Equity 1st MSCI
Japan Funds Section Japan
Fund Average Index Index
<S> <C> <C> <C> <C>
11/02/95 9425 10000 10000 10000
1996 10518 11389 11844 11816
1997 8950 9264 8227 8616
1998 8093 8341 6896 7327
1999 7920 10610 7134 8868
04/30/00 10088 16087 9084 11452
</TABLE>
Source: Lipper Analytical Services, Inc. Past performance is not indicative of
the future results. Investment return and principal value will fluctuate with
market conditions. When shares are redeemed, they may be worth more or less than
their original cost.
This chart illustrates comparative performance for $10,000 invested in Class A
Shares of Chase Vista Japan Fund, the Lipper Japan Equity Funds Average, the
MSCI Japan Index and the Tokyo SE (Topix) 1st Section from November 2, 1995 to
April 30, 2000. The performance of the Fund assumes the reinvestment of all
dividends and capital gains and includes a 5.75% sales charge. The performance
of the average and the indices does not include a sales charge and has been
adjusted to reflect reinvestment of all dividends and capital gains on the
securities included in the benchmark.
The Fund is currently waiving fees. This voluntary waiver may be modified or
terminated at any time, which would reduce performance.
The Lipper Japan Equity Funds Average represents the average performance of a
universe of actively managed mutual funds that invest primarily in Japanese
stocks. Lipper is an independent mutual fund performance monitor whose results
are based on total return and do not reflect a sales charge.
The Tokyo SE (Topix) 1st Section also known as the Tokyo Price Index, is an
unmanaged capitalization-weighted index of all the companies listed on the First
Section of the Tokyo Stock Exchange. The index is unmanaged and reflects
reinvestment of dividends. MSCI Japan Index is a replica (or model) of the
performance of the Japan Equity Markets. This index is unmanaged and reflects
the reinvestment of dividends. An individual cannot invest directly in the
Index.
International investing involves a greater degree of risk and increased
volatility. Changes in currency exchange rates and differences in accounting and
taxation policies outside the U.S. can raise or lower returns. Also, some
overseas markets may not be as politically and economically stable as the Unites
States and other nations. The Fund may be also subject to the additional risk of
non-diversified "regional" fund investing.
9
<PAGE>
--------------------------------------------------------------------------------
CHASE VISTA INTERNATIONAL EQUITY FUND
As of April 30, 2000 (Unaudited)
--------------------------------------------------------------------------------
Fund Manager Q&A With Michael Browne
Michael, the Fund had a total return of 19.70% (Class A shares, without sales
charges) for the six months ended April 30, 2000, while its benchmark, the MSCI
EAFE Index had a return of 6.84%. How did the Fund achieve this superior
relative performance?
Performance was primarily driven by our focus on technology, telecommunications
and Internet companies as global investors preferred these sectors almost
exclusively in markets around the world. Early in the period, the Fund benefited
from very good stock selection in Europe, where two-thirds of its assets were
invested and where we mixed well-known names with smaller "new technology"
holdings. We were also fortunate to have begun paring back our holdings in "new
economy" stocks prior to and during the selloff in these issues, so we were able
to maintain the performance advantage over our peers that we had built earlier
in the period.
On a regional basis, how was the Fund allocated?
We were fairly neutral in terms of country, region and currency exposure for
most of the reporting period. Early on, there was a slight bias towards Latin
America at the expense of Southeast Asia, but we later reduced our Latin
American holdings on the belief that the region's markets would underperform due
to rising US interest rates.
When you reduced your holdings in new economy companies, where did you redirect
the assets?
This was largely done on a stock-by-stock basis, with particular emphasis on
large index stocks in Europe that had underperformed but which, in our view,
were likely to benefit from the economic growth present in the world economy.
After having been the world's best performing region in 1999, Japan has
struggled in the past few months. What's your view moving forward?
Moving forward, we expect that the Japanese equity market direction will
continue to be largely influenced by the Nasdaq. For the market to make its own
headway, we must begin to see some strength in the domestic economy and that, to
a large degree, depends on domestic consumption, which remains weak. While the
government's spending program has had a noticeable effect on the capital
spending side of the economy, this has yet to feed through to consumption. While
there is a possibility that we may be at a turning point in terms of
consumption, the timing remains very uncertain. One other factor to keep in mind
is the general election in June and the potential effect political maneuvering
may have on the markets.
What about Europe?
In response to the market volatility in Europe, we've taken the position that
overall economic fundamentals remain positive and that plenty of opportunity
exists in individual stocks and sectors. The validation and coupling of these
two ideas can be found today in the semiconductor sector, where tremendous
demand is leading to massive shortages and helping to push the
10
<PAGE>
CHASE VISTA INTERNATIONAL EQUITY FUND
As of April 30, 2000 (Unaudited)
stocks of semiconductor producers and equipment manufacturers higher. As in the
US, semiconductor stocks have been among the strongest performers in 2000,
surviving the tech wreck in good shape and looking set to move higher in light
of the positive supply-and-demand picture. As much as we like the semiconductor
fundamentals on a stock-selection basis, we are even more enthusiastic about
what these fundamentals are telling us about the macroeconomic situation.
Clearly, in addition to exemplifying new technology growth, the semiconductor
squeeze is a great indicator of overall economic demand.
Average Annual Total Returns+
<TABLE>
<CAPTION>
Since
Inception
1 Year 5 Years (12/31/92)
--------------------------------------------------------------------------------
<S> <C> <C> <C>
Class A Shares
Without Sales Charge 27.58% 10.27% 9.14%
With Sales Charge* 20.23% 8.97% 8.27%
--------------------------------------------------------------------------------
Class B Shares
Without CDSC 26.92% 9.75% 8.66%
With CDSC** 21.92% 9.47% 8.66%
--------------------------------------------------------------------------------
</TABLE>
Source: Lipper Analytical Services. Past performance is not indicative of future
results. Investment return and principal value will fluctuate, so that shares,
when redeemed, may be worth more or less than their original cost.
The Fund is currently waiving certain fees. This waiver may be terminated, which
would reduce performance.
* Sales charge for Class A Shares is 5.75%.
** Assumes 5% CDSC (contingent deferred sales charge) for the one year period,
2% CDSC for the five-year period and 0% since inception.
International investing involves a greater degree of risk and increased
volatility. The fund may be also subject to the additional risk of
non-diversified "regional" fund investing.
+ The Fund commenced operations on 12/31/92. Class B shares were introduced on
11/4/93. Performance prior to introduction is based upon historical expenses of
the predecessor Class A Shares, which are lower than the actual expenses of the
Class B Shares.
11
<PAGE>
CHASE VISTA INTERNATIONAL EQUITY FUND
As of April 30, 2000 (Unaudited)
Percentage of Total Portfolio Investments
[Pie chart data]
<TABLE>
<S> <C>
Japan (23.5%)
United Kingdom (19.8%)
France (12.6%)
Germany (8.8%)
Switzerland (8.1%)
Finland (6.4%)
Spain (4.5%)
Sweden (4.1%)
Italy (3.5%)
Other (3.1%)
Netherlands (3.0%)
Brazil (1.3%)
United States (1.3%)
</TABLE>
Top Ten Equity Holdings of the Portfolio
1. Nokia OYJ (4.1%) An international telecommunications company which develops
and manufactures mobile phones, networks and systems for cellular and fixed
networks.
2. Vodafone AirTouch PLC (3.4%) Provides mobile telecommunications services. It
supplies customers with digital and analog cellular telephone, paging and
personal communications services.
3. Telefonaktiebolaget LM Ericsson, Class B (3.0%) Develops and produces
advanced systems and products for wired and mobile communications in public and
private networks. The product line includes digital and analog systems for
telephones and networks, microwave radio links, radar surveillance systems and
business systems.
4. BP Amoco PLC (2.2%) An oil and petrochemicals company which explores for and
produces oil and natural gas; refines, markets and supplies petroleum products;
and manufactures and markets chemicals.
5. Total Fina SA, Class B (2.0%) Explores for, produces, refines, transports and
markets oil and natural gas. The Company also operates a chemical division which
produces rubber, paint, ink, adhesives and resins.
6. NTT Mobile Communications Network, Inc. (1.8%) Provides various
telecommunications services including cellular phones, car phones, pagers and
packet communication services.
7. Barclays PLC (1.8%) Offers commercial and investment banking, insurance,
financial and related services. Its subsidiary, Barclays Bank plc, operates over
1,900 branches in the United Kingdom. Overall, the Company operates branches in
over 60 countries.
8. Credit Commercial de France (1.8%) Provides retail banking, investment
banking, fund management and private banking through 195 branches in France,
with regional banks operating another 450 branches.
9. Sonera OYJ (1.7%) Offers telecommunications services, including fixed line
and mobile telephone, data communications and networked multimedia services.
10. SmithKline Beecham PLC (1.7%) Discovers, develops, manufactures and markets
pharmaceuticals, vaccines, over the counter medicines and health-related
consumer products. Also provides healthcare services, including clinical
laboratory testing, disease management and pharmaceutical benefit management.
Top 10 equity holdings comprised 23.5% of the Portfolio's market value of
investments. Portfolio holdings are subject to change at any time.
12
<PAGE>
CHASE VISTA INTERNATIONAL EQUITY FUND
As of April 30, 2000 (Unaudited)
Life of Fund Performance (12/31/92 to 4/30/00)
[Line chart data]
<TABLE>
<CAPTION>
Chase
Vista Lipper
Inter- Inter-
national national MSCI
Equity Funds EAFE
Fund Average Index
<S> <C> <C> <C>
12/31/92 9425 10000 10000
4/30/93 10273 11382 12276
1994 11484 13795 14354
1995 10980 13694 15200
1996 12446 15950 16982
1997 12471 16811 16878
1998 14630 20378 20124
1999 14034 21017 22098
4/30/00 17897 26058 25233
</TABLE>
Source: Lipper Analytical Services, Inc. Past performance is not indicative of
the future results. Investment return and principal value will fluctuate with
market conditions. When shares are redeemed, they may be worth more or less than
their original cost.
This chart illustrates comparative performance for $10,000 invested in Class A
Shares of Chase Vista International Equity Fund, the Lipper International Funds
Average and the MSCI EAFE Index from December 31, 1992 to April 30, 2000. The
performance of the Fund assumes reinvestment of all dividends and capital gains
and includes a 5.75% sales charge. The performance of the average and the index
does not include a sales charge and has been adjusted to reflect reinvestment of
all dividends and capital gains on the securities included in the benchmark.
The Fund is currently waiving fees. This voluntary waiver may be modified or
terminated at any time, which would reduce performance.
The Lipper International Funds Average represents the average performance of a
universe of 485 actively managed international stock funds. Lipper is an
independent mutual fund performance monitor whose results are based on total
return and do not reflect a sales charge.
The MSCI EAFE (Europe, Australia, Far East) Index is a replica (or model) of the
performance of the world's equity markets, excluding the U.S. and Canada. The
Index is unmanaged and reflects the reinvestment of dividends. An individual
cannot invest directly in the Index.
International investing involves a greater degree of risk and increased
volatility. Changes in currency exchange rates and differences in accounting and
taxation policies outside the U.S. can raise or lower returns. Also, some
overseas markets may not be as politically and economically stable as the United
States and other nations.
13
<PAGE>
--------------------------------------------------------------------------------
CHASE VISTA EUROPEAN FUND
Portfolio of Investments
--------------------------------------------------------------------------------
As of April 30, 2000 (unaudited)
<TABLE>
<CAPTION>
Shares Issuer Value (USD)
--------------------------------------------------------------------------------
Long-Term Investments -- 94.1%
--------------------------------------------------------------------------------
<S> <C> <C>
Common Stock -- 92.5%
---------------------
Belgium -- 0.3%
1,980 Ubizen * $ 279,663
Finland -- 7.7%
30,000 Comptel OYJ 679,610
81,216 Nokia OYJ 4,669,913
6,994 Satama Interactive OYJ * 82,152
43,857 Sonera OYJ 2,417,865
-----------
7,849,540
France -- 17.2%
5,560 Alcatel SA 1,291,971
5,250 AXA 780,281
134 Bouygues SA -- New * 85,842
2,010 Bouygues SA 1,285,792
29,981 CNP Assurances 875,886
15,667 Credit Commercial de France 2,237,137
16,050 France Telecom SA 2,489,272
2,000 Havas Advertising 1,000,553
18,700 Lagardere SCA 1,269,508
2,700 Pinault-Printemps-Redoute SA 545,958
8,223 STMicroelectronics NV * 1,572,825
18,179 Total Fina SA, Class B 2,764,803
12,333 Vivendi 1,222,744
-----------
17,422,572
Germany -- 10.0%
4,000 BKN International AG * 191,363
4,750 CE Consumer Electronic AG 800,762
431 CE Consumer Electronic AG -- New * 70,891
33,800 Commerzbank AG 1,281,291
31,230 Deutsche Telekom AG 2,006,314
490 Intershop Communication AG * 218,121
6,962 Ision Internet AG * 455,509
61,980 Kamps AG 2,030,431
3,227 Marschollek Lautenschlaeger und Partner AG 1,146,836
4,500 Rational AG * 168,126
11,720 Siemens AG 1,733,341
-----------
10,102,985
Ireland -- 0.7%
42,000 Bank of Ireland 283,982
73,443 Green Property PLC 378,673
-----------
662,655
Italy -- 4.1%
147,300 Autogrill SPA 1,409,386
63,800 Banca Fideuram SPA 953,460
1,560 Freedomland-Internet Television Network SPA * 127,797
101,000 Telecom Italia Mobile SPA 966,381
48,000 Telecom Italia SPA 672,722
-----------
4,129,746
Netherlands -- 4.1%
5,700 Gucci Group NV 507,726
29,424 Koninklijke Philips Electronics NV 1,315,696
23,000 Royal Dutch Petroleum Co. 1,328,786
18,350 VNU NV 984,057
-----------
4,136,265
</TABLE>
See notes to financial statements.
14
<PAGE>
CHASE VISTA EUROPEAN FUND
Portfolio of Investments (Continued)
As of April 30, 2000 (unaudited)
<TABLE>
<CAPTION>
Shares Issuer Value (USD)
--------------------------------------------------------------------------------
Long-Term Investments -- Continued
--------------------------------------------------------------------------------
<S> <C> <C>
Portugal -- 0.5%
21,700 Banco Espirito Santo SA $ 504,241
Spain -- 5.9%
90,300 Amadeus Global Travel Distribution SA, Class A * 1,119,089
18,600 Bankinter SA 883,904
45,456 Continente SA 708,313
49,160 Endesa SA 1,068,858
39,200 Fomento de Construcciones y Contratas SA 805,509
63,522 Telefonica SA 1,417,012
-----------
6,002,685
Sweden -- 4.8%
5,440 Framtidsfabriken AB * 89,323
25,750 Skandia Forsakrings AB 1,233,900
40,350 Telefonaktiebolaget LM Ericsson, Class B 3,592,091
-----------
4,915,314
Switzerland -- 10.2%
14,000 ABB LTD * 1,574,566
5,100 Charles Voegele Holding AG * 993,039
490 Compagnie Financiere Richemont, Class A 1,193,333
8,744 Credit Suisse Group 1,583,142
2,400 Distefora Holding AG * 746,305
12,700 Fantastic Corp. * 233,772
892 Nestle SA 1,576,123
1,189 Novartis AG 1,664,832
525 PubliGroupe SA 405,847
3,000 Sia Abrasives Holding AG * 430,695
-----------
10,401,654
United Kingdom -- 25.4%
37,500 AstraZeneca Group PLC 1,577,906
88,908 Barclays PLC 2,284,404
336,350 BP Amoco PLC 2,918,448
43,689 British Aerospace PLC 269,356
97,366 British Telecom PLC 1,753,645
61,853 Cable & Wireless PLC 1,028,852
6,800 Filtronic PLC 184,083
44,168 Glaxo Wellcome PLC 1,369,151
94,000 Hanson PLC 694,271
135,420 HSBC Holdings PLC 1,506,647
68,770 Kingfisher PLC 565,767
65,300 Laporte PLC 536,452
656,000 Laporte PLC, Class B * 5,133
251,479 Legal & General Group PLC 659,137
59,090 Marconi Electronic Systems PLC 741,100
1 New Dixons Group PLC 4
22,645 NXT PLC * 418,132
16,300 PowderJect Pharmaceuticals PLC * 112,738
33,450 Sema Group PLC 540,175
48,000 Shell Transport & Trading Co., PLC 392,452
170,108 SmithKline Beecham PLC 2,338,435
317,456 Tesco PLC 1,087,894
934,531 Vodafone AirTouch PLC 4,306,636
38,209 WPP Group PLC 618,223
-----------
25,909,041
</TABLE>
See notes to financial statements.
15
<PAGE>
CHASE VISTA EUROPEAN FUND
Portfolio of Investments (Continued)
As of April 30, 2000 (unaudited)
<TABLE>
<CAPTION>
Shares Issuer Value (USD)
--------------------------------------------------------------------------------
Long-Term Investments -- Continued
--------------------------------------------------------------------------------
<S> <C> <C>
United States -- 1.6%
11,900 Infonet Services Corp., Class B * $ 200,813
14,400 LHS Group, Inc. * 566,871
10,000 Uproar LTD. # * 125,297
18,500 Viatel, Inc. * 707,625
-----------
1,600,606
-------------------------------------------------------------------
Total Common Stock 93,916,967
(Cost $83,469,972)
-------------------------------------------------------------------
Preferred Stock -- 1.6%
-----------------------
Germany -- 1.6%
2,273 Marschollek Lautenschlaeger und Partner AG 1,205,481
660 SAP AG 389,122
-------------------------------------------------------------------
Total Preferred Stock 1,594,603
(Cost $977,893)
-------------------------------------------------------------------
Warrant -- 0.0%
---------------
Germany -- 0.0%
71 Muenchener Rueckversicherungs-Gesellschaft AG, 5,435
Expires 06/03/02
(Cost $0)
<CAPTION>
Principal
Amount
(DEM)
<S> <C> <C>
Convertible Bond -- 0.0%
------------------------
Germany -- 0.0%
4,800 DaimlerChrysler AG, 5.75%, 06/15/02 2,844
(Cost $3,447)
--------------------------------------------------------------------------------
Total Investments -- 94.1% $95,519,849
(Cost $84,451,312)
--------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
Summary of Investments by Industry, April 30, 2000
--------------------------------------------------
Industry % of Investment Securities
-------------------------------------------------------------
<S> <C>
Telecommunications 21.8%
Banking 11.1%
Telecommunications Equipment 8.0%
Oil & Gas 7.8%
Pharmaceuticals 7.4%
Financial Services 5.4%
Food/Beverage Products 4.9%
Construction 3.9%
Insurance 3.0%
Retailing 2.9%
Diversified 2.6%
Semi-Conductors 2.6%
Manufacturing 2.3%
Advertising 2.1%
Internet Services/Software 2.0%
Other (below 2%) 12.2%
-------------------------------------------------------------
Total 100.0%
-------------------------------------------------------------
</TABLE>
See notes to financial statements.
16
<PAGE>
--------------------------------------------------------------------------------
CHASE VISTA JAPAN FUND
Portfolio of Investments
--------------------------------------------------------------------------------
As of April 30, 2000 (unaudited)
<TABLE>
<CAPTION>
Shares Issuer Value (USD)
--------------------------------------------------------------------------------
Long-Term Investments -- 93.1%
--------------------------------------------------------------------------------
<S> <C> <C>
Common Stock -- 93.1%
---------------------
Automotive -- 9.1%
5,000 Toyota Motor Corp. $ 248,446
Banking -- 6.0%
5,000 Asahi Bank LTD 24,058
2,000 Bank of Tokyo-Mitsubishi LTD 25,798
3,000 Industrial Bank of Japan LTD 24,706
3,000 Mitsubishi Trust & Banking 25,178
4,000 Sanwa Bank LTD 38,640
2,000 Sumitomo Bank LTD 25,002
-----------
163,382
Chemicals -- 1.4%
3,000 Kaneka Corp. 38,586
Computer Networks -- 3.0%
2,000 Fujitsu LTD 56,630
100 Fujitsu Support & Service, Inc. 14,805
100 Fujitsu Support & Service, Inc. -- New * 11,603
-----------
83,038
Computer Software -- 3.6%
200 Konami Co., LTD 12,214
200 Konami Co., LTD -- New * 11,677
500 Trend Micro Inc. * 74,951
-----------
98,842
Construction Materials -- 0.6%
2,000 Asahi Glass Co., LTD 17,544
Consumer Products -- 3.9%
1,000 Hitachi Maxell 26,186
7 Japan Tobacco, Inc. 51,494
1,000 KAO Corp. 30,443
-----------
108,123
Distribution -- 1.3%
4,000 Mitsubishi Corp. 34,792
Electronics/Electrical Equipment -- 22.4%
500 Fanuc LTD 52,373
4,000 Hitachi LTD 47,746
200 Mabuchi Motor Co., LTD 22,022
2,000 Matsushita Electric Industrial Co., LTD 52,928
4,000 Minebea Co., LTD 48,857
2,000 NEC Corp. 54,407
2,000 Nitto Denko Corp. 78,466
1,000 Omron Corp. 27,204
200 Rohm Co., LTD 66,992
2,000 Sharp Corp. 38,586
400 Sony Corp. 45,933
400 Sony Corp. -- New * 46,266
3,000 Toshiba Corp. 29,092
-----------
610,872
Financial Services -- 4.1%
4,000 Daiwa Securities Group, Inc. 61,071
360 Orix Corp. 51,366
-----------
112,437
</TABLE>
See notes to financial statements.
17
<PAGE>
CHASE VISTA JAPAN FUND
Portfolio of Investments (Continued)
As of April 30, 2000 (unaudited)
<TABLE>
<CAPTION>
Shares Issuer Value (USD)
--------------------------------------------------------------------------------
Long-Term Investments -- Continued
--------------------------------------------------------------------------------
<S> <C> <C>
Food/Beverage Products -- 0.9%
1,000 Katokichi Co., LTD $ 24,336
Health Care/Health Care Services -- 3.7%
1,000 Hoya Corp. 101,784
Insurance -- 0.7%
2,000 Tokio Marine & Fire Insurance Co. 19,506
Internet Services/Software -- 2.7%
300 Softbank Corp. 73,840
Metals/Mining -- 0.9%
11,000 Nippon Steel Corp. 24,734
Office/Business Equipment -- 1.5%
2,000 Ricoh Corp., LTD 42,194
Paper/Forest Products -- 0.9%
4,000 Nippon Paper Industries Co., LTD 25,317
Pharmaceuticals -- 3.8%
1,000 Fujisawa Pharmaceutical Co. 37,475
1,000 Takeda Chemical Industries 65,790
-----------
103,265
Printing & Publishing -- 1.9%
3,000 Dai Nippon Printing Co., LTD 50,883
Real Estate -- 0.8%
2,000 Mitsubishi Estate Co., LTD 22,485
Semi-Conductors -- 5.9%
1,000 Tokyo Electron LTD 162,948
Telecommunications -- 11.5%
6 Nippon Telegraph & Telephone Corp. 74,394
3 NTT Data Corp. 39,974
6 NTT DoCoMo, Inc. 200,422
-----------
314,790
Transportation -- 0.9%
1,000 Yamato Transport Co., LTD 24,983
Utilities -- 1.6%
16,000 Osaka Gas Co., LTD 43,676
--------------------------------------------------------------------------------
Total Investments -- 93.1% $ 2,550,803
(Cost $2,219,114)
--------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
Long Futures Outstanding
------------------------
Notional
Number Original Value at Unrealized
of Expiration Notional 04/30/00 Depreciation
Contracts Description Date Value (USD) (USD) (USD)
------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
2 Nikkei 225 June 2000 $182,731 $167,713 ($15,018)
Stock Average Index
</TABLE>
Index:
* Non-income producing security.
# Security may only be sold to qualified institutional buyers.
See notes to financial statements.
18
<PAGE>
--------------------------------------------------------------------------------
STATEMENT OF ASSETS AND LIABILITIES April 30, 2000 (unaudited)
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
International
European Japan Equity
Fund Fund Fund
==============================================================================================
<S> <C> <C> <C>
ASSETS:
Investment securities, at value (Note 1) ......... $ 95,519,849 $2,550,803 $44,446,317
Cash ............................................. 4,713,909 68,272 --
Foreign Currency (a) ............................. 959,432 230,575 --
Other assets ..................................... 486 39 112
Receivables:
Interest and dividends .......................... 192,132 16,717 --
Fund shares sold ................................ 932,872 10,399 15,145
----------------------------------------------------------------------------------------------
Total Assets .................................. 102,318,680 2,876,805 44,461,574
----------------------------------------------------------------------------------------------
LIABILITIES:
Payables:
Investment securities purchased ................. 487,918 103,884 --
Fund shares redeemed ............................ 37,792 100 31,117
Variation margin on futures contracts ........... -- 15,018 --
Accrued liabilities: (Note 2)
Investment advisory fees ........................ 69,602 -- --
Administration fees ............................. 12,283 -- 3,647
Shareholder servicing fees ...................... 4,441 -- 9,118
Distribution fees ............................... 29,353 387 12,692
Custodian fees .................................. 49,813 3,468 --
Other ........................................... 111,515 15,085 169,063
----------------------------------------------------------------------------------------------
Total Liabilities ............................. 802,717 137,942 225,637
----------------------------------------------------------------------------------------------
NET ASSETS:
Paid in capital .................................. 78,431,961 2,921,812 34,128,373
Accumulated net investment loss .................. (420,453) (54,502) (169,687)
Accumulated net realized gain (loss) on
investments, futures and foreign exchange
transactions ..................................... 12,469,254 (447,636) 4,795,892
Net unrealized appreciation of investments,
futures contracts and foreign exchange
transactions ..................................... 11,035,201 319,189 5,481,359
----------------------------------------------------------------------------------------------
Total Net Assets .............................. $101,515,963 $2,738,863 $44,235,937
==============================================================================================
Shares of beneficial interest outstanding
($.001 par value; unlimited number of shares
authorized):
Class A Shares ................................... 3,766,787 213,303 2,262,473
Class B Shares ................................... 896,641 64,306 567,138
Class C Shares ................................... 180,711 -- --
Net Asset Value:
Class A Shares (and redemption price) ............ $21.07 $9.91 $15.70
Class B Shares* .................................. $20.57 $9.71 $15.35
Class C Shares* .................................. $20.57 -- --
Class A Maximum Public Offering Price Per Share
(net asset value per share/94.25%) ................ $22.36 $10.51 $16.66
==============================================================================================
Cost of investments ............................... $ 84,451,312 $2,219,114 $ --
==============================================================================================
Cost of foreign currency .......................... $ 982,125 $ 230,575 $ --
==============================================================================================
</TABLE>
* Redemption price may be reduced by contingent deferred sales charge.
(a) Includes foreign cash segregated for open futures contracts.
See notes to financial statements.
19
<PAGE>
--------------------------------------------------------------------------------
STATEMENT OF OPERATIONS For the six months ended April 30, 2000 (unaudited)
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
International
European Japan Equity
Fund Fund Fund
==============================================================================================
<S> <C> <C> <C>
INVESTMENT INCOME:
Dividend .......................................... $ 375,078 $ 3,566 $ --
Interest .......................................... 75,030 -- --
Investment income from Portfolio .................. -- -- 237,361
Foreign taxes withheld ............................ (45,923) (1,454) (22,547)
Expenses from Portfolio after fee waivers ......... -- -- (120,459)
----------------------------------------------------------------------------------------------
Total investment income ........................ 404,185 2,112 94,355
----------------------------------------------------------------------------------------------
EXPENSES: (Note 2)
Investment advisory fees .......................... 429,594 22,158 --
Administration fees ............................... 64,439 3,324 20,234
Shareholder servicing fees ........................ 21,106 1,265 50,583
Distribution fees ................................. 149,610 8,070 70,731
Accounting fees ................................... -- -- 30,790
Custodian fees .................................... 84,743 31,615 --
Printing and postage .............................. 30,901 2,200 21,116
Professional fees ................................. 21,393 7,818 5,558
Registration expenses ............................. 21,281 3,270 22,137
Transfer agent fees ............................... 119,379 11,079 105,913
Trustees' fees .................................... 2,148 111 590
Other ............................................. 1,724 88 10,236
----------------------------------------------------------------------------------------------
Total expenses ................................. 946,318 90,998 337,888
----------------------------------------------------------------------------------------------
Less amounts waived (Note 2E) ..................... 130,416 31,021 33,229
Less earnings credits (Note 2F) ................... 693 89 --
Less expense reimbursements (Note 2F) ............. -- 17,356 --
----------------------------------------------------------------------------------------------
Net expenses .................................... 815,209 42,532 304,659
----------------------------------------------------------------------------------------------
Net investment loss ............................ (411,024) (40,420) (210,304)
----------------------------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS) ON
INVESTMENTS:
Net realized gain (loss) on:
Investments ...................................... 12,513,845 931,797 4,802,253
Futures transactions ............................. -- 7,179 221,329
Foreign exchange transactions .................... 82,817 (39,570) (172,312)
Change in net unrealized appreciation/
depreciation of:
Investments ...................................... 5,062,663 (742,696) 1,627,494
Futures contracts ................................ -- (15,018) --
Foreign exchange transactions .................... (28,060) 2,703 --
----------------------------------------------------------------------------------------------
Net realized and unrealized gain ................... 17,631,265 144,395 6,478,764
----------------------------------------------------------------------------------------------
Net increase in net assets from operations ......... $17,220,241 $103,975 $6,268,460
==============================================================================================
</TABLE>
See notes to financial statements.
20
<PAGE>
--------------------------------------------------------------------------------
STATEMENT OF CHANGES IN NET ASSETS For the periods indicated (unaudited)
--------------------------------------------------------------------------------
STATEMENT OF CHANGES IN NET ASSETS For the periods indicated (unaudited)
<TABLE>
<CAPTION>
European
Fund
-------------------------------
11/01/99 Year
Through Ended
04/30/00 10/31/99
=========================================================================================
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS
FROM OPERATIONS:
Net investment loss .................................. $ (411,024) $ (303,953)
Net realized gain on investments, futures
and foreign exchange transactions .................... 12,596,662 1,736,458
Change in unrealized appreciation/depreciation
of investments, futures contracts and foreign
exchange transactions ................................ 5,034,603 5,751,776
-----------------------------------------------------------------------------------------
Increase in net assets from operations ............. 17,220,241 7,184,281
-----------------------------------------------------------------------------------------
DISTRIBUTIONS TO SHAREHOLDERS FROM: (Note 1)
Net investment income ................................ -- (251,426)
Net realized gain on investment transactions ......... (1,388,678) (363,917)
-----------------------------------------------------------------------------------------
Total distributions to shareholders ................ (1,388,678) (615,343)
-----------------------------------------------------------------------------------------
Increase (decrease) from capital share transactions# 26,427,501 9,487,635
-----------------------------------------------------------------------------------------
Total increase (decrease) in net assets ............ 42,259,064 16,056,573
NET ASSETS:
Beginning of period .................................. 59,256,899 43,200,326
-----------------------------------------------------------------------------------------
End of period ........................................ $101,515,963 $59,256,899
=========================================================================================
<CAPTION>
International
Japan Equity
Fund Fund
----------------------------- -----------------------------
11/01/99 Year 11/01/99 Year
Through Ended Through Ended
04/30/00 10/31/99 04/30/00 10/31/99
=====================================================================================================================
<S> <C> <C> <C> <C>
INCREASE (DECREASE) IN NET ASSETS
FROM OPERATIONS:
Net investment loss .................................. $ (40,420) $ (36,098) $ (210,304) $ (228,439)
Net realized gain on investments, futures
and foreign exchange transactions .................... 899,406 634,851 4,851,270 2,069,876
Change in unrealized appreciation/depreciation
of investments, futures contracts and foreign
exchange transactions ................................ (755,011) 985,305 1,627,494 2,887,054
---------------------------------------------------------------------------------------------------------------------
Increase in net assets from operations ............. 103,975 1,584,058 6,268,460 4,728,491
---------------------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO SHAREHOLDERS FROM: (Note 1)
Net investment income ................................ -- -- -- --
Net realized gain on investment transactions ......... -- -- (1,817,835) (1,077,930)
---------------------------------------------------------------------------------------------------------------------
Total distributions to shareholders ................ -- -- (1,817,835) (1,077,930)
---------------------------------------------------------------------------------------------------------------------
Increase (decrease) from capital share transactions# (2,713,633) 1,603,523 5,953,959 4,778,630
---------------------------------------------------------------------------------------------------------------------
Total increase (decrease) in net assets ............ (2,609,658) 3,187,581 10,404,584 8,429,191
NET ASSETS:
Beginning of period .................................. 5,348,521 2,160,940 33,831,353 25,402,162
---------------------------------------------------------------------------------------------------------------------
End of period ........................................ $2,738,863 $5,348,521 $44,235,937 $33,831,353
=====================================================================================================================
</TABLE>
# See detailed Capital Share Transactions.
See notes to financial statements.
21
<PAGE>
--------------------------------------------------------------------------------
CHASE VISTA FUNDS EUROPEAN FUND
Capital Share Transactions (unaudited)
--------------------------------------------------------------------------------
EUROPEAN FUND
For the periods indicated (unaudited)
<TABLE>
<CAPTION>
=================================================================================================================================
Class A Class B Class C
=================================================================================================================================
Six Months Ended April 30, 2000
Amount Shares Amount Shares Amount Shares
---------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Shares sold $ 58,681,880 2,803,675 $ 8,052,437 369,843 $2,131,101 98,657
Shares issued in reinvestment
of distributions 636,859 32,513 187,697 9,670 26,141 1,347
Shares redeemed (41,018,613) (1,959,236) (2,066,271) (102,960) (203,730) (9,390)
---------------------------------------------------------------------------------------------------------------------------------
Net increase in Fund shares
outstanding $ 18,300,126 876,952 $ 6,173,863 276,553 $1,953,512 90,614
=================================================================================================================================
<CAPTION>
Year Ended October 31, 1999*
=================================================================================================================================
<S> <C> <C> <C> <C> <C> <C>
Shares sold $ 35,569,006 2,251,966 $ 7,411,851 474,721 $1,725,302 111,256
Shares issued in reinvestment
of distributions 218,038 13,910 81,769 5,314 428 28
Shares redeemed (27,100,315) (1,707,222) (8,088,735) (524,167) (329,709) (21,187)
---------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in Fund
shares outstanding $ 8,686,729 558,654 $ (595,115) (44,132) $1,396,021 90,097
=================================================================================================================================
</TABLE>
* For Class C shares, from commencement of offering on November 1, 1998.
See notes to financial statements.
22
<PAGE>
--------------------------------------------------------------------------------
CHASE VISTA FUNDS JAPAN FUND
Capital Share Transactions (unaudited)
--------------------------------------------------------------------------------
JAPAN FUND
For the periods indicated (unaudited)
<TABLE>
<CAPTION>
==========================================================================================================================
Class A Class B
==========================================================================================================================
Six Months Ended April 30, 2000
Amount Shares Amount Shares
--------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Shares sold $ 1,558,996 154,762 $ 498,801 48,969
Shares issued in reinvestment of distributions -- -- -- --
Shares redeemed (3,794,663) (374,137) (976,767) (97,495)
--------------------------------------------------------------------------------------------------------------------------
Net decrease in Fund shares outstanding $(2,235,667) (219,375) $(477,966) (48,526)
==========================================================================================================================
<CAPTION>
Year Ended October 31, 1999
==========================================================================================================================
<S> <C> <C> <C> <C>
Shares sold $ 3,535,327 428,187 $ 545,856 68,871
Shares issued in reinvestment of distributions -- -- -- --
Shares redeemed (2,332,878) (271,810) (144,782) (17,872)
--------------------------------------------------------------------------------------------------------------------------
Net increase in Fund shares outstanding $ 1,202,449 156,377 $ 401,074 50,999
==========================================================================================================================
</TABLE>
See notes to financial statements.
23
<PAGE>
--------------------------------------------------------------------------------
CHASE VISTA FUNDS INTERNATIONAL EQUITY FUND
Capital Share Transactions (unaudited)
--------------------------------------------------------------------------------
INTERNATIONAL EQUITY FUND
For the periods indicated (unaudited)
<TABLE>
<CAPTION>
================================================================================================================================
Class A Class B
================================================================================================================================
Six Months Ended April 30, 2000
Amount Shares Amount Shares
--------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Shares sold $ 29,199,538 1,834,928 $ 2,495,932 155,468
Shares issued in reinvestment of distributions 1,244,561 81,344 343,301 22,917
Shares redeemed (25,476,984) (1,611,971) (1,852,389) (118,921)
--------------------------------------------------------------------------------------------------------------------------------
Net increase in Fund shares outstanding $ 4,967,115 304,301 $ 986,844 59,464
================================================================================================================================
<CAPTION>
Year Ended October 31, 1999
================================================================================================================================
<S> <C> <C> <C> <C>
Shares sold $ 41,065,896 3,215,748 $ 6,951,949 561,207
Shares issued in reinvestment of distributions 646,590 52,060 292,986 23,956
Shares redeemed (35,456,364) (2,796,866) (8,722,427) (701,350)
--------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) in Fund shares
outstanding $ 6,256,122 470,942 $(1,477,492) (116,187)
================================================================================================================================
</TABLE>
See notes to financial statements.
24
<PAGE>
--------------------------------------------------------------------------------
CHASE VISTA FUNDS NOTES TO FINANCIAL STATEMENTS (unaudited)
--------------------------------------------------------------------------------
1. Organization and Significant Accounting Policies
Mutual Fund Group (the "Trust") was organized on May 11, 1987 as a Massachusetts
Business Trust, and is registered under the Investment Company Act of 1940, as
amended, (the "1940 Act") as an open-end management investment company. European
Fund ("EF"), Japan Fund ("JF") and International Equity Fund ("IEF"),
collectively, the "Funds", are three separate series of the Trust. The Funds
(except for EF) each offer two classes of shares. EF offers three classes of
shares. Class A shares generally provide for a front-end sales charge while
Class B and Class C shares provide for a contingent deferred sales charge. All
classes of shares have equal rights as to earnings, assets and voting privileges
except that each class may bear different distribution and shareholder servicing
fees and each class has exclusive voting rights with respect to its distribution
plan.
The following is a summary of significant accounting policies followed by the
Funds:
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. Actual
results could differ from those estimates.
A. IEF
Since inception, IEF has utilized the Master Feeder Fund Structure. IEF
seeks to achieve its investment objective by investing all of its
investable assets in the International Equity Portfolio (the "Portfolio").
The Portfolio, like the Fund, is an open-end management investment company
having the same investment objectives as the Fund. As of April 30, 2000,
IEF owned 99.99% of the Portfolio. The financial statements of the
Portfolio, including the portfolio of investments, are included elsewhere
in this report and should be read in conjunction with the financial
statements of the Fund.
1. Valuation of Investments -- IEF records its investment in the
Portfolio at value. Securities of the Portfolio are recorded at value
as more fully discussed in the notes to those financial statements.
2. Foreign Currency Translations -- The books and records of the
Portfolio are maintained in U.S. dollars. The foreign currency
translation policy is more fully discussed in the notes to those
financial statements.
3. Investment Income -- IEF records daily its pro-rata share of the
Portfolio's income and expenses, and realized and unrealized gains and
losses. In addition, the Fund accrues its own expenses daily as
incurred. Realized gain/losses and changes in unrealized appreciation/
depreciation represent the Fund's share of such elements allocated
from the Portfolio.
25
<PAGE>
CHASE VISTA FUNDS NOTES TO FINANCIAL STATEMENTS (unaudited)
(Continued)
B. EF and JF
Investments in international markets may involve certain considerations and
risks not typically associated with investments in the United States.
Future economic and political developments in foreign countries could
adversely affect the liquidity or value, or both, of such securities in
which the Fund is invested.
1. Valuation of Investments -- Equity securities, purchased options
and futures contracts are valued at the last sale price on the
exchange on which they are primarily traded, including the NASDAQ
National Market. Securities for which sale prices are not available
and other over-the-counter securities are valued at the last quoted
bid price. Bonds and other fixed income securities (other than
short-term obligations), including listed issues, are valued on the
basis of valuations supplied by pricing services or by matrix pricing
systems of a major dealer in bonds. Short-term debt securities with 61
days or more to maturity at time of purchase are valued, through the
61st day prior to maturity, at market value based on quotations
obtained from market makers or other appropriate sources; thereafter,
the value on the 61st day is amortized on a straight-line basis over
the remaining number of days to maturity. Short-term investments with
60 days or less to maturity at time of purchase are valued at
amortized cost, which approximates market.
Portfolio securities for which there are no such quotations or
valuations are valued at fair value as determined in good faith by or
at the direction of the Trustees.
2. Repurchase Agreements -- It is each Fund's policy that repurchase
agreements are fully collateralized by U.S. Treasury and Government
Agency securities. All collateral is held by the Fund's custodian
bank, subcustodian, or a bank with which the custodian bank has
entered into a subcustodian agreement, or is segregated in the Federal
Reserve Book Entry System. In connection with transactions in
repurchase agreements, if the seller defaults and the value of the
collateral declines, or if the seller enters an insolvency proceeding,
realization of the collateral by the Fund may be delayed or limited.
3. Futures Contracts -- When a fund enters into a futures contract, it
makes an initial margin deposit in a segregated account, either in
cash or liquid securities. Thereafter, the futures contract is marked
to market and the fund makes (or receives) additional cash payments
daily to the broker. Changes in the value of the contract are recorded
as unrealized appreciation/depreciation until the contract is closed
or settled.
The Funds may enter into futures contracts only on exchanges or boards
of trade. The exchange or board of trade acts as the counterparty to
each futures transaction, therefore, the Fund's credit risk is limited
to failure of the exchange or board of trade.
26
<PAGE>
CHASE VISTA FUNDS NOTES TO FINANCIAL STATEMENTS (unaudited)
(Continued)
Index futures contracts are used to control the asset mix of the
portfolios in the most efficient manner, allowing the Funds to adjust
country exposures while incurring minimal transaction costs. Short
index futures contracts are used for hedging purposes, i.e. to reduce
the exposure to equities. Long index futures contracts are used to
gain exposure to equities, when it is anticipated that this will be
more efficient than buying stocks directly. Use of long futures
contracts subjects the Fund to risk of loss up to the amount of the
nominal value of the futures contracts as shown in the Portfolio of
Investments. Use of short futures contracts subject the Fund to
unlimited risk.
The Funds held open futures contracts as of April 30, 2000 as listed
on the Portfolio of Investments.
4. Written Options -- When a fund writes an option on a futures
contract, an equal amount to the premium received by the fund is
included in the fund's Statement of Assets and Liabilities as an asset
and corresponding liability. The amount of the liability is adjusted
daily to reflect the current market value of the written option and
the change is recorded in a corresponding unrealized gain or loss
account. When a written option expires on its stipulated expiration
date, or when a closing transaction is entered into, the related
liability is extinguished and the fund realizes a gain or loss if the
cost of the closing transaction exceeds the premium received when the
option was written.
The Funds write options on stock index securities futures. These
options are settled for cash and subject the Funds to market risk in
excess of the amounts that are reflected in the Statement of Assets
and Liabilities. The Funds, however, are not subject to credit risk on
written options as the counterparty has already performed its
obligation by paying a premium at the inception of the contract.
As of April 30, 2000, there were no outstanding written options.
5. Foreign Currency Translation -- The books and records of the Funds
are maintained in U.S. dollars. Foreign currency amounts are
translated into U.S. dollars at the prevailing exchange rates, or at
the mean of the current bid and asked prices, of such currencies
against the U.S. dollar as quoted by a major bank, on the following
basis:
a. Market value of investment securities and other assets and
liabilities: at the rate of exchange at the valuation date.
b. Purchases and sales of investment securities, income and expenses:
at the rates of exchange prevailing on the respective dates of such
transactions.
Although the net assets of the Funds are presented at the foreign
exchange rates and market values at the close of the periods, the
Funds do not isolate that portion of the results of operations arising
as a result of changes in the foreign exchange rates from the
fluctuations arising from changes in the market prices of securities
held or sold during the year. Accordingly, such realized foreign
currency gains (losses) are included in the reported net realized
gains (losses) on investment transactions.
27
<PAGE>
CHASE VISTA FUNDS NOTES TO FINANCIAL STATEMENTS (unaudited)
(Continued)
Reported realized foreign currency gains or losses arise from
disposition of foreign currency, currency gains or losses realized
between the trade and settlement dates on securities transactions, and
the difference between the amounts of dividends, interest, and foreign
withholding taxes recorded on the Funds' books on the transaction date
and the U.S. dollar equivalent of the amounts actually received or
paid. Unrealized foreign exchange gains and losses arise from changes
(due to the changes in the exchange rate) in the value of foreign
currency and other assets and liabilities denominated in foreign
currencies which are held at period end.
6. Forward Foreign Currency Exchange Contracts -- The Funds may enter
into forward foreign currency contracts (obligations to purchase or
sell foreign currency in the future on a date and price fixed at the
time the contracts are entered into) to hedge the Fund against
fluctuations in the value of its assets or liabilities due to change
in the value of foreign currencies. Each day the forward contract is
open, changes in the value of the contract are recognized as
unrealized gains or losses by "marking to market". When the forward
contract is closed, or the delivery of the currency is made or taken,
the Fund records a realized gain or loss equal to the difference
between the proceeds from (or cost of) the closing transaction and the
Fund's basis in the contract. The Funds are subject to off-balance
sheet risk to the extent of the value of the contracts for purchases
of currency and in an unlimited amount for sales of currency.
At April 30, 2000, the Funds had no outstanding forward foreign
currency contracts.
7. Security Transactions and Investment Income -- Investment
transactions are accounted for on the trade date (the date the order
to buy or sell is executed). Securities gains and losses are
calculated on the identified cost basis. Interest income is accrued as
earned. Dividend income is recorded on the ex-dividend date.
8. Bank Borrowings -- The Funds may borrow money for temporary or
emergency purposes. Any borrowings representing more than 5% of a
Fund's total assets must be repaid before the Fund may make additional
investments. The Funds have entered into an agreement, enabling them
to participate with other Chase Vista Funds in an unsecured line of
credit with a syndicate of banks, which permits borrowings up to $350
million, collectively. Interest is charged to each Fund based on its
borrowings at an annual rate equal to the sum of the Federal Funds
Rate plus 0.50%. The Funds also pay a commitment fee of 0.10% per
annum on the average daily amount of the available commitment, which
is allocated on a pro-rata basis to the funds. The commitment fee is
included in Other expenses on the Statement of Operations. Borrowings
are payable on demand.
The Funds had no borrowings outstanding at April 30, 2000 nor at any
time during the six months then ended.
28
<PAGE>
CHASE VISTA FUNDS NOTES TO FINANCIAL STATEMENTS (unaudited)
(Continued)
C. General Policies
1. Federal Income Taxes -- Each Fund is treated as a separate taxable
entity for Federal income tax purposes. The Fund's policy is to comply
with the provisions of the Internal Revenue Code applicable to
regulated investment companies and to distribute to shareholders all
of its distributable net investment income, and net realized gain on
investments. In addition, the Fund intends to make distributions as
required to avoid excise taxes. Accordingly, no provision for Federal
income or excise tax is necessary.
2. Distributions to Shareholders -- Dividends paid to shareholders are
recorded on the ex-dividend date. The amount of dividends and
distributions from net investment income and net realized capital
gains is determined in accordance with Federal income tax regulations,
which may differ from generally accepted accounting principles. To the
extent these "book/tax" differences are permanent in nature (i.e.,
that they result from other than timing of recognition -- "temporary
differences") such amounts are reclassified within the capital
accounts based on their Federal tax-basis treatment.
Dividends and distributions which exceed net investment income or net
realized capital gains for financial reporting purposes but not for
tax purposes are reported as distributions in excess of net investment
income or net realized capital gains.
3. Expenses -- Expenses of the Trust directly attributable to a Fund
are charged to that Fund; other expenses are allocated proportionately
among each Fund within the trust in relation to the net assets of each
Fund or on another reasonable basis. Expenses directly attributable to
a particular share class are charged directly to that class. In
calculating the net asset value per share of each class, investment
income, realized and unrealized gains and losses and expenses other
than class specific expenses, are allocated daily to each class of
shares based upon the proportion of net assets of each class at the
beginning of each day.
2. Fees and Other Transactions with Affiliates
A. Investment Advisory Fee -- Pursuant to separate Investment Advisory
Agreements, The Chase Manhattan Bank ("Chase" or the "Advisor"), acts as
the Investment Advisor to EF and JF. Chase is a direct wholly-owned
subsidiary of The Chase Manhattan Corporation. As Investment Advisor, Chase
supervises the investments of the Funds and for such services is paid a
fee. The fee is computed daily and paid monthly at an annual rate equal to
1.00% of the average daily net assets of each Fund. The Advisor voluntarily
waived fees as outlined in Note 2.E below.
Chase Asset Management (London) Limited (CAM London), a registered
investment advisor, is the sub-investment advisor to each Fund, pursuant to
a Sub-Investment Advisory Agreement between CAM London and Chase. CAM
London is a wholly owned subsidiary of Chase and is entitled to receive a
fee, payable by Chase from its advisory fee, at an annual rate equal to
0.50% of each Fund's average daily net assets.
29
<PAGE>
CHASE VISTA FUNDS NOTES TO FINANCIAL STATEMENTS (unaudited)
(Continued)
B. Shareholder Servicing Fees -- The Trust has adopted an Administrative
Services Plan for the Class B Shares of all of the Funds, the Class A
Shares of IEF and the Class C Shares of EF, which, among other things,
provides that the Trust on behalf of the Funds may obtain the services of
one or more Shareholder Servicing Agents. For its services, the Shareholder
Servicing Agent will receive a fee that is computed daily and paid monthly
at an annual rate equal to 0.25% of the average daily net assets of the
Class B Shares of each Fund, the Class A Shares of IEF and the Class C
Shares of EF. The Shareholder Servicing Agents voluntarily waived fees as
outlined in Note 2.E. below.
Since inception, Chase, and certain affiliates have been the only
Shareholder Servicing Agents of the Funds.
C. Distribution and Sub-Administration Fees -- Pursuant to a Distribution
and Sub-Administration Agreement, Vista Fund Distributors, Inc. (the
"Distributor" or "VFD"), a wholly owned subsidiary of The BISYS Group, Inc.
("BISYS"), is the Trust's exclusive underwriter and promotes and arranges
for the sale of each Fund's shares. In addition, the Distributor provides
certain sub-administration services to the Trust, including providing
officers, clerical staff and office space for an annual fee of 0.05% of the
average daily net assets of each Fund. The Trustees have adopted
Distribution Plans (the "Distribution Plans") for Class A, B and C Shares
of the Funds in accordance with Rule 12b-1 under the 1940 Act. The Class A
Distribution Plans provide that each Fund shall pay distribution fees,
including payments to the Distributor, at annual rates not to exceed 0.25%
of the average daily net assets of the Class A Shares of each Fund for
distribution services. The Class B and Class C Distribution Plans provide
that each Fund shall pay distribution fees, including payments to the
Distributor, at an annual rate not to exceed 0.75% of the average daily net
assets of the Class B and Class C Shares for distribution services.
The Distributor voluntarily waived fees as outlined in Note 2.E. below.
D. Administration Fee -- Pursuant to an Administration Agreement, Chase
(the "Administrator") provides certain administration services to the
Trust. For these services and facilities, the Administrator receives a fee
from EF and JF computed at the annual rate equal to 0.10% of the respective
Fund's average daily net assets, and a fee from IEF at the annual rate
equal to 0.05% of the Fund's average daily net assets. The Administrator
voluntarily waived fees as outlined in Note 2.E. below.
E. Waivers of fees -- For the six months ended April 30, 2000, the Fund's
vendors voluntarily waived fees for each of the Funds as follows:
<TABLE>
<CAPTION>
Fee Waivers EF JF IEF
================================================================================
<S> <C> <C> <C>
Investment Advisory ........... $130,416 $22,158 $ --
Administration ................ -- 3,324 9,494
Shareholder Servicing......... -- 1,265 4,784
Distribution .................. -- 4,274 18,951
-------- ------- -------
Total ....................... $130,416 $31,021 $33,229
======== ======= =======
</TABLE>
F. Other -- Certain officers of the Trust are officers of Vista Fund
Distributors, Inc. or of its parent corporation, BISYS.
30
<PAGE>
CHASE VISTA FUNDS NOTES TO FINANCIAL STATEMENTS (unaudited)
(Continued)
Chase provides portfolio accounting and custody services for EF and JF.
Compensation for such services is presented in the Statement of Operations
as custodian fees. Custodian fees are subject to reduction by credits
earned by each Fund, based on cash balances held by Chase as custodian.
Such earnings credits are presented separately in the Statement of
Operations. The Funds could have invested the cash balances utilized in
connection with the earnings credit arrangements in income producing assets
if they had not entered into such arrangements.
The Distributor voluntarily reimbursed certain expenses of the Funds in the
amounts as shown on the Statement of Operations.
3. Investment Transactions
For the six months ended April 30, 2000, purchases and sales of investments
(excluding short-term investments) were as follows:
<TABLE>
<CAPTION>
EF JF
================================================================================
<S> <C> <C>
Purchases (excluding U.S. Government) ..... $81,401,021 $1,937,683
Sales (excluding U.S. Government) ......... 60,869,555 3,702,148
</TABLE>
4. Federal Income Tax Matters
For Federal income tax purposes, the cost and unrealized appreciation
(depreciation) in value of the investment securities at April 30, 2000, are as
follows:
<TABLE>
<CAPTION>
EF JF
================================================================================
<S> <C> <C>
Aggregate cost......................... $84,451,312 $2,219,114
----------- ----------
Gross unrealized appreciation.......... $15,718,820 $ 457,907
Gross unrealized depreciation.......... (4,650,283) (126,218)
----------- ----------
Net unrealized appreciation ........... $11,068,537 $ 331,689
=========== ==========
</TABLE>
5. Foreign Cash Positions
<TABLE>
<CAPTION>
EF
===================================================================================
Net
Delivery Market Unrealized
Value (Local Cost Value (Loss)
Currency Currency) (USD) (USD) (USD)
-----------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
British Pound Sterling 291,928 461,951 456,809 (5,142)
EURO 40,439 36,864 36,850 (14)
Greeck Drachma 101 -- -- --
Swedish Krona 3,656,958 423,952 408,475 (15,477)
Swiss Franc 98,578 59,358 57,298 (2,060)
-------- -------- --------
$982,125 $959,432 $(22,693)
======== ======== ========
</TABLE>
<TABLE>
<CAPTION>
JF
=====================================================================
Net
Delivery Market Unrealized
Value (Local Cost Value (Loss)
Currency Currency) (USD) (USD) (USD)
---------------------------------------------------------------------
<S> <C> <C> <C> <C>
Japanese Yen 24,918,625 230,575 230,575 --
======= ======= ==========
</TABLE>
31
<PAGE>
CHASE VISTA FUNDS NOTES TO FINANCIAL STATEMENTS (unaudited)
(Continued)
6. Concentrations
At April 30, 2000, substantially all of the Funds' net assets consist of
securities of issuers which are denominated in foreign currencies. Changes in
currency exchange rates will affect the value of and investment income from such
securities.
As of April 30, 2000, EF invested approximately 25.4% of its net assets in
issuers in the United Kingdom. JF primarily invested in issuers in Japan. The
issuers' abilities to meet their obligations may be affected by economic or
political developments in the specific region or country.
At April 30, 2000, JF invested 41.8% of its portfolio in securities issued by
technology sector companies, such as computer hardware and software companies,
internet connectivity providers and telecommunications equipment manufacturers.
Valuations of companies in the technology sector are typically subject to
greater volatility than other sectors.
7. Retirement Plans
The Funds have adopted an unfunded noncontributory defined benefit pension plan
covering all independent trustees of the Funds who will have served as
independent trustees for at least five years at the time of retirement. Benefits
under this plan are based on compensation and years of service. Pension expenses
for the year ended April 30, 2000, included in Trustees Fees in the Statement of
Operations, and accrued pension liability included in other accrued liabilities,
respectively, in the Statement of Assets and Liabilities were as follows:
<TABLE>
<CAPTION>
Pension Accrued Pension
Fund: Expenses Liability
===========================================
<S> <C> <C>
EF ............ $552 $2,423
JF ............ 42 426
IEF ........... 134 1,362
</TABLE>
32
<PAGE>
--------------------------------------------------------------------------------
CHASE VISTA FUNDS FINANCIAL HIGHLIGHTS (unaudited)
--------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS (unaudited)
<TABLE>
<CAPTION>
European Fund
----------------------------------------------------------------------------
Class A
----------------------------------------------------------------------------
11/01/99 Year Ended 11/02/95*
Through ------------------------------------------ Through
04/30/00 10/31/99 10/31/98 10/31/97 10/31/96
--------- --------- --------- --------- ---------
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of period ............. $ 16.52 $ 14.47 $ 14.10 $ 11.99 $10.00
-------- ------- ------- ------- ------
Income from investment operations:
Net investment income ........................... (0.09)@ (0.06)@ 0.15 0.05 0.15
Net gains or losses in securities
(both realized and unrealized) .................. 5.00 2.31 2.16 3.01 1.93
------- ------- ------- ------- ------
Total from investment operations ............... 4.91 2.25 2.31 3.06 2.08
------- ------- ------- ------- ------
Distributions to shareholders from:
Dividends from net investment income ............ -- 0.09 0.22 0.10 0.09
Distributions from capital gains ................ 0.36 0.11 1.72 0.85 --
------- ------- ------- ------- ------
Total dividends and distributions .............. 0.36 0.20 1.94 0.95 0.09
------- ------- ------- ------- ------
Net asset value, end of period ................... $ 21.07 $ 16.52 $ 14.47 $ 14.10 $11.99
======= ======= ======= ======= ======
Total return (1) ................................. 29.85% 15.60% 18.71% 28.19% 20.78%
Ratios/supplemental data:
Net assets, end of period (000 omitted) ......... $79,351 $47,759 $33,743 $12,965 $6,358
Ratios to average net assets #:
Expenses ........................................ 1.74% 1.74% 1.74% 1.75% 1.75%
Net investment income ........................... (0.80%) (0.40%) (0.07%) 0.32% 1.44%
Expenses without waivers, reimbursements and
earnings credits ................................ 2.04% 2.06% 2.38% 2.84% 3.49%
Net investment income without waivers,
reimbursements and earnings credits ............. (1.10%) (0.72%) (0.71%) (0.77%) (0.30%)
Portfolio turnover rate .......................... 74% 149% 183% 170% 186%
=================================================================================================================================
</TABLE>
* Commencement of operations.
@ Calculated based on average shares outstanding.
(1) Total return figures do not include the effect of any front-end or deferred
sales load.
# Short periods have been annualized.
See notes to financial statements.
33
<PAGE>
--------------------------------------------------------------------------------
CHASE VISTA FUNDS FINANCIAL HIGHLIGHTS (unaudited)
--------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS (unaudited)
<TABLE>
<CAPTION>
European Fund
-----------------------------------------------------------------
Class B
-----------------------------------------------------------------
11/01/99 Year Ended 11/03/95**
Through -------------------------------------- Through
04/30/00 10/31/99 10/31/98 10/31/97 10/31/96
--------- --------- -------- -------- ---------
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of period ............ $ 16.18 $ 14.24 $13.93 $11.93 $ 9.97
------- ------- ------ ------ ------
Income from investment operations:
Net investment income .......................... (0.16)@ (0.18)@ 0.08 0.04 0.07
Net gains or losses in securities
(both realized and unrealized) ................. 4.91 2.26 2.10 2.89 1.96
------- ------- ------ ------ ------
Total from investment operations .............. 4.75 2.08 2.18 2.93 2.03
------- ------- ------ ------ ------
Distributions to shareholders from:
Dividends from net investment income ........... -- 0.03 0.15 0.08 0.07
Distributions from capital gains ............... 0.36 0.11 1.72 0.85 --
------- ------- ------ ------ ------
Total dividends and distributions ............. 0.36 0.14 1.87 0.93 0.07
------- ------- ------ ------ ------
Net asset value, end of period .................. $ 20.57 $ 16.18 $14.24 $13.93 $11.93
======= ======= ====== ====== ======
Total return (1) ................................ 29.48% 14.66% 17.89% 27.25% 20.35%
Ratios/supplemental data:
Net assets, end of period (000 omitted) ........ $18,448 $10,038 $9,457 $2,218 $ 190
Ratios to average net assets #:
Expenses ....................................... 2.49% 2.51% 2.50% 2.51% 2.47%
Net investment income .......................... (1.54%) (1.12%) (0.75%) (0.30%) 0.80%
Expenses without waivers, reimbursements and
earnings credits ............................... 2.79% 2.83% 2.91% 3.58% 3.83%
Net investment income without waivers,
reimbursements and earnings credits ............ (1.84%) (1.44%) (1.16%) (1.37%) (0.56%)
Portfolio turnover rate ......................... 74% 149% 183% 170% 186%
<CAPTION>
European Fund
--------------------------
Class C
--------------------------
11/01/99 11/01/98**
Through Through
04/30/00 10/31/99
---------- ----------
<S> <C> <C>
Net asset value, beginning of period ............ $16.19 $14.24
------ ------
Income from investment operations:
Net investment income .......................... (0.15)@ (0.08)@
Net gains or losses in securities
(both realized and unrealized) ................. 4.89 2.17
------ ------
Total from investment operations .............. 4.74 2.09
------ ------
Distributions to shareholders from:
Dividends from net investment income ........... -- 0.03
Distributions from capital gains ............... 0.36 0.11
------ ------
Total dividends and distributions ............. 0.36 0.14
------ ------
Net asset value, end of period .................. $20.57 $16.19
====== ======
Total return (1) ................................ 29.40% 14.73%
Ratios/supplemental data:
Net assets, end of period (000 omitted) ........ $3,717 $1,460
Ratios to average net assets #:
Expenses ....................................... 2.48% 2.51%
Net investment income .......................... (1.54%) (0.61%)
Expenses without waivers, reimbursements and
earnings credits ............................... 2.79% 2.83%
Net investment income without waivers,
reimbursements and earnings credits ............ (1.85%) (0.93%)
Portfolio turnover rate ......................... 74% 149%
</TABLE>
** Commencement of offering of class of shares.
@ Calculated based on average shares outstanding.
(1) Total return figures do not include the effect of any front-end or deferred
sales load.
# Short periods have been annualized.
See notes to financial statements.
34
<PAGE>
--------------------------------------------------------------------------------
CHASE VISTA FUNDS FINANCIAL HIGHLIGHTS (unaudited)
--------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS (unaudited)
<TABLE>
<CAPTION>
Japan Fund
--------------------------
Class A
--------------------------
11/01/99 Year Ended
Through ------------
04/30/00 10/31/99
--------- ----------
<S> <C> <C>
Net asset value, beginning of period .............................. $ 9.84 $ 6.41
------ ------
Income from investment operations:
Net investment income ............................................ (0.08)@ (0.07)@
Net gains or losses in securities
(both realized and unrealized) ................................... 0.15 3.50
------ ------
Total from investment operations ................................ 0.07 3.43
------ ------
Distributions to shareholders from:
Dividends from Net Investment Income ............................. -- --
Distributions from capital gains ................................. -- --
Tax return of capital ............................................ -- --
------ ------
Total dividends and distributions ............................... -- --
------ ------
Net asset value, end of period .................................... $ 9.91 $ 9.84
====== ======
Total return (1) .................................................. 0.71% 53.51%
Ratios/supplemental data:
Net assets, end of period (000 omitted) .......................... $2,114 $4,260
Ratios to average net assets #:
Expenses ......................................................... 1.76% 1.74%
Net investment income ............................................ (1.67%) (0.88%)
Expenses without waivers, reimbursements and
earnings credits ................................................. 3.97% 5.44%
Net investment income without waivers, reimbursements and earnings
credits reimbursements ........................................... (3.88%) (4.58%)
Portfolio turnover rate ........................................... 47% 133%
<CAPTION>
Japan Fund
-------------------------------------
Class A
-------------------------------------
Year Ended 11/02/95*
--------------------- Through
10/31/98 10/31/97 10/31/96
-------- -------- ---------
<S> <C> <C> <C>
Net asset value, beginning of period .............................. $ 9.52 $ 9.42 $10.00
------- ------ ------
Income from investment operations:
Net investment income ............................................ 0.27 0.08 (0.08)
Net gains or losses in securities
(both realized and unrealized) ................................... (2.91) 0.24 (0.50)
------- ------ ------
Total from investment operations ................................ (2.64) 0.32 (0.58)
------- ------ ------
Distributions to shareholders from:
Dividends from Net Investment Income ............................. 0.26 0.22 --
Distributions from capital gains ................................. -- -- --
Tax return of capital ............................................ 0.21 -- --
------- ------ ------
Total dividends and distributions ............................... 0.47 0.22 --
------- ------ ------
Net asset value, end of period .................................... $ 6.41 $ 9.52 $ 9.42
======= ====== ======
Total return (1) .................................................. (28.98%) 3.49% (5.80%)
Ratios/supplemental data:
Net assets, end of period (000 omitted) .......................... $ 1,770 $5,008 $4,781
Ratios to average net assets #:
Expenses ......................................................... 1.76% 1.75% 1.75%
Net investment income ............................................ (0.56%) (0.30%) (0.91%)
Expenses without waivers, reimbursements and
earnings credits ................................................. 3.79% 2.89% 3.60%
Net investment income without waivers, reimbursements and earnings
credits reimbursements ........................................... (2.59%) (1.44%) (2.76%)
Portfolio turnover rate ........................................... 212% 217% 121%
</TABLE>
* Commencement of operations.
@ Calculated based on average shares outstanding.
(1) Total return figures do not include the effect of any front-end or deferred
sales load.
# Short periods have been annualized.
See notes to financial statements.
35
<PAGE>
--------------------------------------------------------------------------------
CHASE VISTA FUNDS FINANCIAL HIGHLIGHTS (unaudited)
--------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS (unaudited)
<TABLE>
<CAPTION>
Japan Fund
-----------------------------------------------------------------------------
Class B
-----------------------------------------------------------------------------
11/01/99 Year Ended 11/03/95**
Through ---------------------------------------- Through
04/30/00 10/31/99 10/31/98 10/31/97 10/31/96
---------- ---------- ---------- ---------- ------------
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of period ............. $ 9.65 $ 6.32 $ 9.42 $ 9.35 $10.00
------ ------ ------- ------ ------
Income from investment operations:
Net investment income ........................... (0.12)@ (0.13)@ 0.23 (0.05) (0.02)
Net gains or losses in securities
(both realized and unrealized) .................. 0.18 3.46 (2.90) 0.30 (0.63)
------ ------ ------- ------ ------
Total from investment operations ............... 0.06 3.33 (2.67) 0.25 (0.65)
------ ------ ------- ------ ------
Distributions to shareholders from:
Dividends from net investment income ............ -- -- 0.22 0.18 --
Distributions from capital gains ................ -- -- -- -- --
Tax return of capital ........................... -- -- 0.21 -- --
------ ------ ------- ------ ------
Total dividends and distributions .............. -- -- 0.43 0.18 --
------ ------ ------- ------ ------
Net asset value, end of period ................... $ 9.71 $ 9.65 $ 6.32 $ 9.42 $ 9.35
====== ====== ======= ====== ======
Total return (1) ................................. 0.62% 52.69% (29.53%) 2.72% (6.50%)
Ratios/supplemental data:
Net assets, end of period (000 omitted) ......... $ 625 $1,089 $ 391 $1,893 $ 162
Ratios to average net assets #:
Expenses ........................................ 2.51% 2.49% 2.51% 2.51% 2.52%
Net investment income ........................... (2.42%) (1.67%) (0.97%) (5.73%) (0.40%)
Expenses without waivers, reimbursements and
earnings credits ................................ 4.71% 6.19% 4.52% 3.66% 4.00%
Net investment income without waivers,
reimbursements and earnings credits ............. (4.62%) (5.37%) (2.98%) (6.88%) (1.88%)
Portfolio turnover rate .......................... 47% 133% 212% 217% 121%
</TABLE>
** Commencement of offering of class of shares.
@ Calculated based on average shares outstanding.
(1) Total return figures do not include the effect of any front-end or deferred
sales load.
# Short periods have been annualized.
See notes to financial statements.
36
<PAGE>
--------------------------------------------------------------------------------
CHASE VISTA FUNDS FINANCIAL HIGHLIGHTS (unaudited)
--------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS (unaudited)
<TABLE>
<CAPTION>
International Equity Fund
---------------------------------------------------------------------------
Class A
---------------------------------------------------------------------------
11/01/99 Year Ended
Through --------------------------------------------------------------
04/30/00 10/31/99 10/31/98 10/31/97 10/31/96 10/31/95
---------- ---------- ---------- ---------- ---------- ----------
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period ............. $ 13.77 $ 12.08 $ 12.11 $ 12.38 $ 12.02 $ 12.31
------- ------- ------- ------- ------- -------
Income from investment operations:
Net investment income ........................... (0.06) (0.09) (0.09) (0.05)@ 0.05 0.04
Net gains or losses in securities
(both realized and unrealized) ................. 2.75 2.34 0.43 0.33 0.37 (0.19)
------- ------- ------- ------- ------- -------
Total from investment operations ............... 2.69 2.25 0.34 0.28 0.42 (0.15)
------- ------- ------- ------- ------- -------
Distributions to shareholders from:
Dividends from net Investment income ............ -- -- 0.07 0.03 0.06 --
Distributions from capital gains ................ 0.76 0.56 0.30 0.52 -- 0.14
------- ------- ------- ------- ------- -------
Total dividends and distributions .............. 0.76 0.56 0.37 0.55 0.06 0.14
------- ------- ------- ------- ------- -------
Net asset value, end of period ................... $ 15.70 $ 13.77 $ 12.08 $ 12.11 $ 12.38 $ 12.02
======= ======= ======= ======= ======= =======
Total return (1) 19.70% 19.09% 2.96% 2.27% 3.53% (1.19%)
Ratios/supplemental data:
Net assets, end of period (000 omitted) ......... $35,530 $26,973 $17,969 $23,267 $24,904 $26,287
Ratios to average net assets#:
Expenses ........................................ 2.02% 1.99% 2.00% 2.01% 2.00% 2.01%
Net investment income ........................... (0.94%) (0.73%) (0.47%) (0.36%) (0.03%) (0.10%)
Expenses without waivers and
reimbursements .................................. 3.25% 3.53% 3.39% 2.08% 2.86% 2.86%
Net investment income without waivers
and reimbursements .............................. (2.17%) (2.27%) (1.86%) (0.43%) (0.89%) (0.95%)
</TABLE>
(1) Total return figures do not include the effect of any front-end or deferred
sales load.
@ Calculated using average shares outstanding.
# Short periods have been annualized.
See notes to financial statements.
37
<PAGE>
--------------------------------------------------------------------------------
CHASE VISTA FUNDS FINANCIAL HIGHLIGHTS (unaudited)
--------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS (unaudited)
<TABLE>
<CAPTION>
International Equity Fund
---------------------------------------------------------------------------
Class B
---------------------------------------------------------------------------
11/01/99 Year Ended
Through ---------------------------------------------------------------
04/30/00 10/31/99 10/31/98 10/31/97 10/31/96 10/31/95
---------- ---------- ---------- ---------- ---------- ----------
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period ......... $13.51 $11.92 $11.94 $12.24 $11.89 $12.23
------ ------ ------ ------ ------ ------
Income from investment operations:
Net investment income ....................... (0.08) (0.18) (0.13) (0.11)@ 0.01 (0.02)
Net gains or losses in securities
(both realized and unrealized) ............. 2.68 2.33 0.42 0.33 0.35 (0.18)
------ ------ ------ ------ ------ ------
Total from investment operations ........... 2.60 2.15 0.29 0.22 0.36 (0.20)
------ ------ ------ ------ ------ ------
Distributions to shareholders from:
Dividends from net Investment income ........ -- -- 0.01 -- -- --
Distributions from capital gains ............ 0.76 0.56 0.30 0.52 0.01 0.14
------ ------ ------ ------ ------ ------
Total dividends and distributions .......... 0.76 0.56 0.31 0.52 0.01 0.14
------ ------ ------ ------ ------ ------
Net asset value, end of period ............... $15.35 $13.51 $11.92 $11.94 $12.24 $11.89
====== ====== ====== ====== ====== ======
Total return (1) 19.41% 18.49% 2.56% 1.74% 3.03% (1.61%)
Ratios/supplemental data:
Net assets, end of period (000 omitted) ..... $8,706 $6,858 $7,433 $7,989 $7,819 $6,759
Ratios to average net assets#:
Expenses .................................... 2.52% 2.49% 2.50% 2.51% 2.50% 2.50%
Net investment income ....................... (1.47%) (1.21%) (0.94%) (0.88%) (0.43%) (0.53%)
Expenses without waivers and
reimbursements .............................. 3.75% 4.03% 3.90% 2.61% 3.36% 3.36%
Net investment income without waivers
and reimbursements .......................... (2.70%) (2.75%) (2.34%) (0.98%) (1.29%) (1.39%)
</TABLE>
(1) Total return figures do not include the effect of any front-end or deferred
sales load.
@ Calculated using average shares outstanding.
# Short periods have been annualized.
See notes to financial statements.
38
<PAGE>
--------------------------------------------------------------------------------
INTERNATIONAL EQUITY PORTFOLIO
Portfolio of Investments
--------------------------------------------------------------------------------
As of April 30, 2000 (unaudited)
<TABLE>
<CAPTION>
Shares Issuer Value (USD)
--------------------------------------------------------------------------------
Long-Term Investments -- 94.1%
--------------------------------------------------------------------------------
<S> <C> <C>
Common Stock -- 93.0%
---------------------
Australia -- 0.4%
12,000 Foster's Brewing Group LTD $ 30,317
13,100 Lang Corp., LTD * 61,203
8,000 News Corp., LTD 101,597
-----------
193,117
Belgium -- 0.2%
590 Ubizen * 81,885
Brazil -- 1.3%
28,300 Centrais Eletricas Brasileiras SA, ADR 210,159
3,000 Telecomunicacoes Brasileiras SA, ADR, Preferred 354,563
-----------
564,722
Finland -- 6.1%
9,595 Comptel OYJ 216,658
30,148 Nokia OYJ 1,727,894
2,177 Satama Interactive OYJ * 25,488
13,224 Sonera OYJ 726,687
-----------
2,696,727
France -- 11.8%
1,872 Alcatel SA 433,586
1,724 AXA 255,400
477 Bouygues SA 304,148
8,994 CNP Assurances 261,906
5,148 Credit Commercial de France + 732,719
4,040 Euler SA * 212,833
3,530 France Telecom SA 545,712
280 Havas Advertising 139,624
5,735 Lagardere SCA 388,078
1,356 Pinault-Printemps-Redoute SA 273,304
2,422 STMicroelectronics NV * 461,759
5,407 Total Fina SA, Class B 819,676
4,403 Vivendi 435,118
-----------
5,263,863
Germany -- 7.2%
1,260 BKN International AG * 61,858
1,484 CE Consumer Electronic AG 249,365
12,400 Commerzbank AG 468,763
8,158 Deutsche Telekom AG 528,994
150 Intershop Communication AG * 66,620
2,226 Ision Internet AG * 145,575
20,034 Kamps AG 658,727
800 Marschollek Lautenschlaeger und Partner AG 283,390
1,400 Rational AG * 50,865
4,566 Siemens AG 676,010
-----------
3,190,167
Ireland -- 0.6%
14,387 Bank of Ireland 96,962
31,033 Green Property PLC 159,091
-----------
256,053
</TABLE>
See notes to financial statements.
39
<PAGE>
INTERNATIONAL EQUITY PORTFOLIO
Portfolio of Investments (Continued)
As of April 30, 2000 (unaudited)
<TABLE>
<CAPTION>
Shares Issuer Value (USD)
--------------------------------------------------------------------------------
Long-Term Investments -- Continued
--------------------------------------------------------------------------------
<S> <C> <C>
Italy -- 3.3%
45,938 Autogrill SPA $ 437,492
30,596 Banca Fideuram SPA 455,039
470 Freedomland-Internet Television Network SPA * 38,378
32,454 Telecom Italia Mobile SPA 309,666
16,464 Telecom Italia SPA 230,116
-----------
1,470,691
Japan -- 22.0%
19,000 Asahi Bank LTD 91,515
19,000 Bank of Tokyo-Mitsubishi LTD 245,331
11,000 Dai Nippon Printing Co., LTD 186,764
10,000 Dai-Ichi Kangyo Bank LTD 82,994
14,000 Daiwa Securities Group, Inc. 213,968
13 East Japan Railway Co. 77,066
1,000 Fanuc LTD 104,854
300 Fast Retailing Co., LTD 132,271
29,000 Fujikura LTD 129,743
7,000 Fujisawa Pharmaceutical Co. 262,597
8,000 Fujitsu LTD 226,751
800 Fujitsu Support & Service, Inc. 118,562
6,000 Hitachi LTD 71,693
6,000 Hitachi Maxell 157,280
3,000 Honda Motor Co., LTD 134,216
4,000 Hoya Corp. 407,558
2,000 Ito-Yokado Co., LTD 146,165
19 Japan Tobacco, Inc. 139,913
12,000 Kaneka Corp. + 154,502
4,000 KAO Corp. + 121,897
2,000 Konami Co., LTD 122,268
1,500 Mabuchi Motor Co., LTD 165,339
7,000 Matsushita Electric Industrial Co., LTD 185,439
16,000 Minebea Co., LTD 195,628
14,000 Mitsubishi Corp. 121,897
8,000 Mitsubishi Estate Co., LTD 90,033
2,000 Murata Manufacturing Co., LTD + 389,032
12,000 NEC Corp. 326,787
52,000 Nippon Steel Corp. 117,043
24 Nippon Telegraph & Telephone Corp. 297,888
2,000 Nitto Denko Corp. 78,548
7 NTT Data Corp. 93,368
23 NTT DoCoMo, Inc. + 769,081
5,000 Omron Corp. 136,162
1,800 Orix Corp. 257,095
27,000 Osaka Gas Co. 73,777
9,000 Ricoh Corp., LTD 190,070
600 Rohm Co., LTD 201,186
1,000 Seven-Eleven Japan Co., LTD 123,194
15,000 Sharp Corp. 289,691
1,200 Softbank Corp. 295,665
2,200 Sony Corp. 252,890
11,000 Sumitomo Bank LTD 137,653
15,000 Sumitomo Chemical Co., LTD 74,750
15,000 Sumitomo Trust & Banking 109,763
3,000 Takeda Chemical Industries + 197,573
</TABLE>
See notes to financial statements.
40
<PAGE>
INTERNATIONAL EQUITY PORTFOLIO
Portfolio of Investments (Continued)
As of April 30, 2000 (unaudited)
<TABLE>
<CAPTION>
Shares Issuer Value (USD)
------------------------------------------------------------------------------------
Long-Term Investments -- Continued
------------------------------------------------------------------------------------
<S> <C> <C>
Japan -- Continued
2,000 Tokyo Electron LTD $ 326,232
30,000 Toshiba Corp. + 291,218
8,000 Toyota Motor Corp. 397,926
1,500 Trend Micro Inc. * 225,083
40,000 UBE Industries LTD 87,069
-----------
9,824,988
Mexico -- 0.5%
40,000 Alfa SA, Class A * 123,698
95,000 Grupo Elektra SA 92,880
-----------
216,578
Netherlands -- 2.9%
170 Gucci Group NV 15,094
8,836 Koninklijke Philips Electronics NV 393,823
9,000 Royal Dutch Petroleum Co., NV 522,363
6,276 VNU NV 335,474
-----------
1,266,754
Portugal -- 0.4%
7,139 Banco Espirito Santo SA 165,351
Singapore -- 0.0%
15,000 DBS Land LTD 21,272
South Africa -- 0.5%
32,600 Dimension Data Holdings LTD * 213,999
Spain -- 4.3%
27,621 Amadeus Global Travel Distribution SA, Class A * 341,199
6,031 Bankinter SA 285,675
16,915 Continente SA 262,723
14,960 Endesa SA 324,213
9,816 Fomento de Construcciones y Contratas SA 201,053
21,833 Telefonica SA 485,461
-----------
1,900,324
Sweden -- 3.9%
2,088 Framtidsfabriken AB * 34,245
9,454 Skandia Forsakrings AB 452,501
14,036 Telefonaktiebolaget LM Ericsson, Class B 1,248,097
-----------
1,734,843
Switzerland -- 7.7%
6,389 ABB LTD * 716,554
1,846 Charles Voegele Holding AG * 358,436
152 Compagnie Financiere Richemont, Class A 369,142
2,556 Credit Suisse Group 461,481
943 Distefora Holding AG * 292,416
3,700 Fantastic Corp. * 67,886
261 Nestle SA 459,885
324 Novartis AG 452,394
215 PubliGroupe SA 165,739
416 Sia Abrasives Holding AG * 59,556
-----------
3,403,489
Thailand -- 0.0%
10,700 Electricity Generating Public Co., LTD 13,001
1,100 PTT Exploration & Production Public Co., LTD, Foreign
Shares * 5,577
-----------
18,578
</TABLE>
See notes to financial statements.
41
<PAGE>
INTERNATIONAL EQUITY PORTFOLIO
Portfolio of Investments (Continued)
As of April 30, 2000 (unaudited)
<TABLE>
<CAPTION>
Shares Issuer Value (USD)
--------------------------------------------------------------------------------
Long-Term Investments -- Continued
--------------------------------------------------------------------------------
<S> <C> <C>
United Kingdom -- 18.7%
12,393 AstraZeneca Group PLC $ 518,484
29,183 Barclays PLC + 745,541
109,078 BP Amoco PLC + 941,036
17,576 British Aerospace PLC + 107,742
33,166 British Telecom PLC 593,931
20,581 Cable & Wireless PLC 340,383
2,614 Filtronic PLC 70,359
14,597 Glaxo Wellcome PLC 449,900
25,466 Hanson PLC 187,012
39,587 HSBC Holdings PLC 437,915
22,522 Kingfisher PLC 184,227
20,219 Laporte PLC 165,153
323,504 Laporte PLC, Class B * 3,775
80,215 Legal & General Group PLC 209,044
20,496 Marconi Electronic Systems PLC 255,588
2,294 NXT PLC * 40,956
5,174 PowderJect Pharmaceuticals PLC * 35,581
11,597 Sema Group PLC 186,206
17,466 Shell Transport & Trading Co., PLC 141,987
52,909 SmithKline Beecham PLC 723,168
93,513 Tesco PLC 318,628
308,877 Vodafone AirTouch PLC + 1,415,267
14,165 WPP Group PLC 227,879
-----------
8,299,762
United States--1.2%
4,300 Infonet Services Corp., Class B * 72,563
5,000 LHS Group, Inc. * 196,193
3,032 Uproar LTD. # * 43,237
900 Uproar, Inc. * 12,263
5,750 Viatel, Inc. * 219,938
-----------
544,194
----------------------------------------------------------------
Total Common Stock 41,327,357
(Cost $35,984,331)
----------------------------------------------------------------
Preferred Stock -- 1.1%
-----------------------
Germany -- 1.1%
630 Marschollek Lautenschlaeger und Partner AG 333,037
245 SAP AG 144,313
----------------------------------------------------------------
Total Preferred Stock 477,350
(Cost $307,570)
----------------------------------------------------------------
Convertible Preferred Stock--0.0%
---------------------------------
Australia -- 0.0%
1,091 Lang Corp., LTD, 6.00%, 12/30/04 5,384
(Cost $5,225)
Option -- 0.0%
--------------
Australia -- 0.0%
545 Lang Corp., LTD, Expires 12/30/04 446
(Cost $0)
Warrant -- 0.0%
---------------
Germany -- 0.0%
56 Muenchener Rueckversicherungs-Gesellschaft AG,
Expires 06/03/02 4,273
(Cost $0)
</TABLE>
See notes to financial statements.
42
<PAGE>
INTERNATIONAL EQUITY PORTFOLIO
Portfolio of Investments (Continued)
As of April 30, 2000 (unaudited)
<TABLE>
<CAPTION>
Shares Issuer Value (USD)
--------------------------------------------------------------------------------
Long-Term Investments -- Continued
--------------------------------------------------------------------------------
<S> <C> <C>
Redeemable Unsecured Loan Stock--0.0%
-------------------------------------
Malaysia -- 0.0%
60,000 Sunway Building Technology, BHD, 3.00%, 07/30/01 * $ 14,842
(Cost $24,077)
<CAPTION>
Principal
Amount
(DEM)
<S> <C> <C>
Convertible Bond -- 0.0%
------------------------
Germany -- 0.0%
11,440 DaimlerChysler AG, 5.75%, 06/14/02 5,195
(Cost $5,842)
--------------------------------------------------------------------------------
Total Investments -- 94.1% $41,834,847
(Cost $36,327,045)
--------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
Long Futures Outstanding
------------------------
Notional Unrealized
Number Original Value at Appreciation/
of Expiration Notional 04/30/00 (Depreciation)
Contracts Description Date Value (USD) (USD) (USD)
-------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
3 All Ordinaries
Stock Price Index June 2000 $ 142,769 $ 137,269 ($5,500)
3 FT-SE 100 Index June 2000 307,690 297,998 (9,692)
22 DJ Euro Stoxx 50 Index June 2000 1,023,206 1,060,674 37,468
</TABLE>
<TABLE>
<CAPTION>
Summary of Investments by Industry, April 30, 2000
--------------------------------------------------
Industry % of Investment Securities
-----------------------------------------------------------------
<S> <C>
Telecommunications 19.1%
Banking 9.7%
Electronics/Electrical Equipment 7.8%
Telecommunications Equipment 6.5%
Pharmaceuticals 6.3%
Oil & Gas 5.8%
Financial Services 5.1%
Retailing 3.8%
Food/Beverage Products 3.5%
Construction 2.9%
Insurance 2.8%
Semi-Conductors 2.5%
Diversified 2.4%
Internet Services/Software 2.3%
Computer Software 2.0%
Other (below 2%) 17.5%
-----------------------------------------------------------------
Total 100.0%
-----------------------------------------------------------------
</TABLE>
Index:
* -- Non-income producing security.
# -- Security may only be sold to qualified institutional buyers.
+ -- All or a portion of this security is segregated for forward foreign
currency contracts.
ADR -- American Depositary Receipt.
See notes to financial statements.
43
<PAGE>
--------------------------------------------------------------------------------
INTERNATIONAL EQUITY PORTFOLIO
Statement of Assets and Liabilities April 30, 2000 (unaudited)
--------------------------------------------------------------------------------
<TABLE>
<S> <C>
ASSETS:
==================================================================================
Investment securities, at value (Note 1) ........................ $41,834,847
Cash ............................................................ 2,613,430
Foreign cash (Cost $640,153) (a)................................. 609,249
Other assets .................................................... 113
Receivables:
Variation margin on futures contracts .......................... 22,523
Investment securities sold ..................................... 899,696
Interest and dividends ......................................... 105,334
Other .......................................................... 472
----------------------------------------------------------------------------------
Total Assets .................................................. 46,085,664
----------------------------------------------------------------------------------
LIABILITIES:
Payables:
Investment securities purchased ................................ 1,471,743
Open forward currency contracts ................................ 510
Other .......................................................... 141
Accrued liabilities: (Note 2)
Custodian fees ................................................. 11,987
Other .......................................................... 154,966
----------------------------------------------------------------------------------
Total Liabilities ............................................. 1,639,347
----------------------------------------------------------------------------------
NET ASSETS APPLICABLE TO INVESTORS' BENEFICIAL INTERESTS ......... $44,446,317
----------------------------------------------------------------------------------
Cost of investments .............................................. $36,327,045
==================================================================================
</TABLE>
(a) Includes foreign cash segregated for open futures contracts.
See notes to financial statements.
44
<PAGE>
--------------------------------------------------------------------------------
INTERNATIONAL EQUITY PORTFOLIO
Statement of Operations For the six months ended April 30, 2000 (unaudited)
--------------------------------------------------------------------------------
<TABLE>
<S> <C>
INVESTMENT INCOME:
========================================================================
Dividend ............................................. $ 195,591
Interest ............................................. 41,770
Foreign taxes withheld ............................... (22,547)
------------------------------------------------------------------------
Total investment income ............................. 214,814
------------------------------------------------------------------------
EXPENSES: (Note 2)
Investment advisory fees ............................. 202,762
Administration fees .................................. 10,138
Accounting fees ...................................... 27,961
Custodian fees ....................................... 30,414
Professional fees .................................... 32,423
Trustees' fees ....................................... 423
Other ................................................ 29,238
------------------------------------------------------------------------
Total expenses ...................................... 333,359
------------------------------------------------------------------------
Less amounts waived (Note 2) .......................... 212,900
------------------------------------------------------------------------
Net expenses ......................................... 120,459
------------------------------------------------------------------------
Net investment income ............................... 94,355
------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS:
Net realized gain (loss) on:
Investments ......................................... 4,802,253
Futures transactions ................................ 221,329
Foreign exchange transactions ....................... (172,312)
Change in net unrealized appreciation/depreciation of:
Investments ......................................... 1,504,488
Futures contracts ................................... 45,601
Foreign exchange transactions ....................... 77,405
------------------------------------------------------------------------
Net realized and unrealized gain ..................... 6,478,764
------------------------------------------------------------------------
Net increase in net assets from operations ........... $6,573,119
========================================================================
</TABLE>
See notes to financial statements.
45
<PAGE>
--------------------------------------------------------------------------------
INTERNATIONAL EQUITY PORTFOLIO
Statement of Changes in Net Assets For the periods indicated (unaudited)
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
11/01/99 Year
Through Ended
04/30/00 10/31/99
------------------------------------------------------------------------------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS:
Net investment income ............................... $ 94,355 $ 143,228
Net realized gain on investments, futures contracts
and foreign exchange transactions ................... 4,851,270 2,069,952
Change in net unrealized gain on investments, futures
contracts and foreign exchange transactions ......... 1,627,494 2,886,581
------------------------------------------------------------------------------------
Increase in net assets from operations ............. 6,573,119 5,099,761
------------------------------------------------------------------------------------
TRANSACTIONS IN INVESTORS' BENEFICIAL INTERESTS:
Contributions ....................................... 33,357,391 46,633,194
Withdrawals ......................................... (28,051,989) (44,717,716)
------------------------------------------------------------------------------------
Net increase from transactions in
investors' beneficial interests .................... 5,305,402 1,915,478
------------------------------------------------------------------------------------
Net increase in net assets .......................... 11,878,521 7,015,239
NET ASSETS:
Beginning of period ................................. 32,567,796 25,552,557
------------------------------------------------------------------------------------
End of period ....................................... $44,446,317 $32,567,796
====================================================================================
</TABLE>
See notes to financial statements.
46
<PAGE>
--------------------------------------------------------------------------------
INTERNATIONAL EQUITY PORTFOLIO
Notes to Financial Statements (unaudited)
--------------------------------------------------------------------------------
1. Organization and Significant Accounting Policies
International Equity Portfolio (the "Portfolio") ("IEP") is separately
registered under the Investment Company Act of 1940, as amended, as a non-
diversified, open end management investment company organized as a trust under
the Laws of the State of New York. The declaration of trust permits the Trustees
to issue beneficial interests in the Portfolio.
The following is a summary of significant accounting policies followed by the
Portfolio:
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. Actual
results could differ from those estimates.
Investments in international markets may involve certain considerations and
risks not typically associated with investments in the United States. Future
economic and political developments in foreign countries could adversely affect
the liquidity or value, or both, of such securities in which the Portfolio is
invested.
A. Valuation of Investments -- Equity securities, purchased options and
futures contracts are valued at the last sale price on the exchange on
which they are primarily traded, including the NASDAQ National Market.
Securities for which sale prices are not available and other
over-the-counter securities are valued at the last quoted bid price. Bonds
and other fixed income securities (other than short-term obligations),
including listed issues, are valued on the basis of valuations supplied by
pricing services or by matrix pricing systems of a major dealer in bonds.
Short-term debt securities with 61 days or more to maturity at time of
purchase are valued, through the 61st day prior to maturity, at market
value based on quotations obtained from market makers or other appropriate
sources; thereafter, the value on the 61st day is amortized on a
straight-line basis over the remaining number of days to maturity.
Short-term investments with 60 days or less to maturity at time of purchase
are valued at amortized cost, which approximates market. Portfolio
securities for which there are no such quotations or valuations are valued
at fair value as determined in good faith by or at the direction of the
Trustees.
B. Repurchase Agreements -- It is the Portfolio's policy that repurchase
agreements are fully collateralized by U.S. Treasury and Government Agency
securities. All collateral is held by the Portfolio's custodian bank,
subcustodian or a bank with which the custodian bank has entered into a
subcustodian agreement, or is segregated in the Federal Reserve Book Entry
System. In connection with transactions in repurchase agreements, if the
seller defaults and the value of the collateral declines, or if the seller
enters an insolvency proceeding, realization of the collateral by the
Portfolio may be delayed or limited.
C. Forward Foreign Currency Exchange Contracts -- The Portfolio may enter
into forward foreign currency contracts (obligations to purchase or sell
foreign currency in the future on a date and price fixed at the time the
contracts are entered into) to hedge the Portfolio against fluctuations
47
<PAGE>
INTERNATIONAL EQUITY PORTFOLIO
Notes to Financial Statements (unaudited) (Continued)
in the value of its assets or liabilities due to change in the value of
foreign currencies. Each day the forward contract is open, changes in the
value of the contract are recognized as unrealized gains or losses by
"marking to market". When the forward contract is closed, or the delivery
of the currency is made or taken, the Fund records a realized gain or loss
equal to the difference between the proceeds from (or cost of) the closing
transaction and the Fund's basis in the contract. The Portfolio is subject
to off-balance sheet risk to the extent of the value of the contracts for
purchases of foreign currency and in an unlimited amount for sales of
foreign currency.
At April 30, 2000, the Portfolio had outstanding forward foreign currency
contracts as detailed in Note 4.
D. Foreign Currency Translation -- The books and records of the Portfolio
are maintained in U.S. dollars. Foreign currency amounts are translated
into U.S. dollars at the prevailing exchange rates, or at the mean of the
current bid and asked prices, of such currencies against the U.S. dollar as
quoted by a major bank, on the following basis:
1. Market value of investment securities and other assets and
liabilities: at the rate of exchange at the balance sheet date.
2. Purchases and sales of investment securities, income and expenses:
at the rates of exchange prevailing on the respective dates of such
transactions.
Although the net assets of the Portfolio are presented at the foreign
exchange rates and market values at the close of the periods, the Portfolio
does not isolate that portion of the results of operations arising as a
result of changes in the foreign exchange rates from the fluctuations
arising from changes in the market prices of securities held or sold during
the year. Accordingly, such realized foreign currency gains (losses) are
included in the reported net realized losses on security transactions.
Reported realized foreign exchange gains or losses arise from disposition
of foreign currency, currency gains or losses realized between the trade
and settlement dates on securities transactions, and the difference between
the amounts of dividends, interest, and foreign withholding taxes recorded
on the Portfolio's books on the transaction date and the U.S. dollar
equivalent of the amounts actually received or paid. Unrealized foreign
exchange gains and losses arise from changes (due to the changes in the
exchange rate) in the value of foreign currency and other assets and
liabilities denominated in foreign currencies which are held at period end.
E. Futures Contracts -- When the Portfolio enters into a futures contract,
it makes an initial margin deposit in a segregated account, either in cash
or liquid securities. Thereafter, the futures contract is marked to market
and the Portfolio makes (or receives) additional cash payments daily to the
broker. Changes in the value of the contract are recorded as unrealized
appreciation/depreciation until the contract is closed or settled.
48
<PAGE>
INTERNATIONAL EQUITY PORTFOLIO
Notes to Financial Statements (unaudited) (Continued)
Index futures contracts are used to control the asset mix of the Portfolio
in the most efficient manner, allowing the Portfolio to adjust country
exposures while incurring minimal transaction costs. Short index futures
contracts are used for hedging purposes, i.e. to reduce the exposure to
equities. Long index futures contracts are used to gain exposure to
equities, when it is anticipated that this will be more efficient than
buying stocks directly.
Use of long futures contracts subjects the Portfolio to risk of loss up to
the nominal value of the contract, use of short futures contracts subjects
the Portfolio to unlimited losses.
The Portfolio may enter into futures contracts only on exchanges or boards
of trade. The exchange or board of trade acts as the counterparty to each
futures transaction, therefore, the Fund's credit risk is limited to
failure of the exchange or board of trade.
As of April 30, 2000, the Portfolio had outstanding futures contracts as
described in the Portfolio of Investments.
F. Security Transactions and Investment Income -- Investment transactions
are accounted for on the trade date (the date the order to buy or sell is
executed). Securities gains and losses are calculated on the identified
cost basis. Interest income is accrued as earned. Dividend income is
recorded on the ex-dividend date.
G. Federal Income Taxes -- The Portfolio intends to continue to qualify as
a partnership and therefore net income and net realized gains are taxed to
the partners. Accordingly, no tax provision is recorded by the Portfolio.
The investors in the Portfolio must take into account their proportionate
share of the Portfolio's income, gains, losses, deductions, credits and tax
preference items in computing their federal income tax liability, without
regard to whether they have received any cash distributions from the
Portfolio. The Portfolio does not intend to distribute to investors its net
investment income or its net realized gains, if any. It is intended that
the Portfolio will be managed in such a way that investors in the Portfolio
will be able to satisfy the requirements of subchapter M of the Internal
Revenue Code to be taxed as regulated investment companies.
2. Fees and Other Transactions with Affiliates
A. Investment Advisory Fee -- Pursuant to an Investment Advisory Agreement,
The Chase Manhattan Bank ("Chase" or the "Advisor") acts as the Investment
Advisor to the Portfolio. Chase is a direct wholly-owned subsidiary of The
Chase Manhattan Corporation. As Investment Advisor, Chase supervises the
investments of the Portfolio and for such services is paid a fee. The fee
is computed daily and paid monthly at an annual rate equal to 1.00% of the
Portfolio's average daily net assets. For the six months ended April 30,
2000, the Advisor voluntarily waived all of its fees for the Portfolio.
49
<PAGE>
INTERNATIONAL EQUITY PORTFOLIO
Notes to Financial Statements (unaudited) (Continued)
Chase Asset Management (London) Limited (CAM London), a registered
investment advisor, is the sub-investment advisor to the Portfolio pursuant
to a Sub-Investment Advisory Agreement between CAM London and Chase. CAM
London is a wholly owned subsidiary of Chase and is entitled to receive a
fee, payable by Chase from its advisory fee, at an annual rate equal to
0.50% of the Portfolio's average daily net assets.
B. Custodial Fees -- Chase, as Custodian, provides safekeeping services for
the Portfolio's securities. Compensation for such services are presented in
the Statement of Operations as custodian fees.
C. Administration Fee -- Pursuant to an Administration Agreement, Chase
(the "Administrator") provides certain administration services to the
Portfolio. For these services and facilities, the Administrator receives
from the Portfolio a fee computed at the annual rate equal to 0.05% of the
Portfolio's average daily net assets. For the six months ended April 30,
2000, the Administrator voluntarily waived all of its fees for the
Portfolio.
3. Investment Transactions
For the six months ended April 30, 2000, purchases and sales of investments
(excluding short-term investments) were as follows:
Purchases (excluding U.S. Government)............................ $27,382,670
Sales (excluding U.S. Government)................................ 22,224,814
The portfolio turnover rate of IEP for the six months ended April 30, 2000, was
58%.
4. Open Forward Foreign Currency Contracts
The following forward foreign currency contracts were open at April 30, 2000.
<TABLE>
<CAPTION>
Contract Contract Unrealized
Amount Amount Settlement (Loss)
Purchased Currency Sold Currency Date (USD)
============================================================================
<S> <C> <C> <C> <C> <C>
137,212 EUR 125,000 USD 05/02/00 $(334)
32,346,000 JPY 300,000 USD 05/02/00 (176)
-----
(510)
=====
</TABLE>
EUR--European Currency Unit
JPY--Japanese Yen
50
<PAGE>
INTERNATIONAL EQUITY PORTFOLIO
Notes to Financial Statements (unaudited) (Continued)
5. Foreign Cash Positions
<TABLE>
<CAPTION>
Delivery Net
Value Market Unrealized
(Local Cost Value Gain (Loss)
Currency Currency) (USD) (USD) (USD)
----------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Australian Dollar............... 170,008 $109,922 $ 99,285 $(10,637)
British Pound Sterling.......... 105,387 166,948 163,966 (2,982)
EURO ........................... 128,954 124,929 117,129 (7,800)
Hong Kong Dollar ............... 973 125 125 --
Indonesian Rupiah .............. 961,005 283 122 (161)
Philippine Peso ................ 154,056 3,567 3,732 165
Singapore Dollar ............... 566 334 332 (2)
South African Rand ............. 12,541 1,937 1,850 (87)
Swedish Krona .................. 1,311,753 152,443 146,352 (6,091)
Swiss Franc .................... 131,405 79,474 76,162 (3,312)
Thai Baht ...................... 7,363 191 194 3
-------- -------- ---------
$640,153 $609,249 $(30,904)
======== ======== =========
</TABLE>
6. Retirement Plan
The Portfolio has adopted an unfunded noncontributory defined benefit pension
plan covering all independent trustees of the Portfolio who will have served as
independent trustees for at least five years at the time of retirement. Benefits
under this plan are based on compensation and years of service. Pension expenses
for the six months ended April 30, 2000, included in Trustees Fees in the
Statement of Operations, and accrued pension liability included in other accrued
liabilities, in the Statement of Assets and Liabilities were $135 and $1,367,
respectively.
7. Bank Borrowings
The Portfolio may borrow money for temporary or emergency purposes. Any
borrowings representing more than 5% of the Portfolio's total assets must be
repaid before the Portfolio may make additional investments. The Portfolio has
entered into an agreement, enabling it to participate with other Chase Vista
Funds in an unsecured line of credit with a syndicate of banks, which permits
borrowings up to $350 million, collectively. Interest is charged to the
Portfolio based on its borrowings at an annual rate equal to the sum of the
Federal Funds Rate plus 0.50%. The Portfolio also pays a commitment fee of 0.10%
per annum on the average daily amount of the available commitment, which is
allocated, on a pro-rata basis to the Portfolio. The commitment fee is included
in Other expenses on the Statement of Operations. Borrowings are payable on
demand.
The Portfolio had no borrowings outstanding at April 30, 2000, nor at any time
during the six months then ended.
8. Concentrations -- At April 30, 2000, substantially all of the Portfolio's net
assets consist of securities of issuers which are denominated in foreign
currencies. Changes in currency exchange rates will affect the value of and
investment income from such securities.
51
<PAGE>
INTERNATIONAL EQUITY PORTFOLIO
Notes to Financial Statements (unaudited) (Continued)
At April 30, 2000, the Portfolio invested approximately 22.0% and 18.7% of its
net assets in issuers in Japan and the United Kingdom, respectively. The
issuers' abilities to meet their obligations may be affected by economic or
political developments in the specific region.
52
<PAGE>
[This page intentionally left blank]
<PAGE>
--------------------------------------------------------------------------------
CHASE VISTA INTERNATIONAL EQUITY FUNDS SEMI-ANNUAL REPORT
--------------------------------------------------------------------------------
INVESTMENT ADVISER, ADMINISTRATOR, SHAREHOLDER AND FUND SERVICING AGENT AND
CUSTODIAN
The Chase Manhattan Bank
DISTRIBUTOR
Vista Fund Distributors, Inc.
TRANSFER AGENT
DST Systems, Inc.
LEGAL COUNSEL
Simpson Thacher & Bartlett
INDEPENDENT ACCOUNTANTS
PricewaterhouseCoopers LLP
Chase Vista Funds are distributed by Vista Fund Distributors, Inc., which is
unaffiliated with The Chase Manhattan Bank. Chase and its respective affiliates
receive compensation from Chase Vista Funds for providing investment advisory
and other services.
This report is submitted for the general information of the shareholders of the
funds. It it not authorized for distribution to prospective investors in the
funds unless preceded or accompanied by a prospectus.
The financial information in this report has been taken from the books and
records of the funds without examination by independent accountants, who express
no opinion thereto.
To obtain a prospectus for any of the Chase Vista Funds, call 1-800-34-VISTA.
The prospectus contains more complete information, including charges and
expenses. Please read it carefully before you invest or send money.
(C) The Chase Manhattan Corporation, 2000. All Rights Reserved. June 2000
[Logo; CHASE VISTA FUNDS(SM)]
Chase Vista Funds Fulfillment Center
393 Manley Street
West Bridgewater, MA 02379-1039
