FIRST AMERICAN FUNDS, INC.
FIRST AMERICAN INVESTMENT FUNDS, INC.
SEMI-ANNUAL REPORT
MARCH 31, 1997
[LOGO] FIRST AMERICAN FUNDS
The power of disciplined investing
TABLE OF CONTENTS
MESSAGE FROM YOUR CHAIRMAN 1
ECONOMIC AND INVESTMENT REVIEW 2
STATEMENTS OF NET ASSETS 4
STATEMENTS OF OPERATIONS 69
STATEMENTS OF CHANGES IN NET ASSETS 75
FINANCIAL HIGHLIGHTS 80
NOTES TO FINANCIAL STATEMENTS 87
MESSAGE FROM YOUR CHAIRMAN MARCH 31, 1997
Dear Shareholder:
In our past several communications with you, we pointed out that equity returns
over the past several years were extremely high compared to historical norms.
Our concern was that investors, particularly new ones, would develop
expectations of returns that were not sustainable given historical experience.
The pullback in both the equity and bond markets this spring has indeed
indicated that markets do not always move up and new highs are not reached each
quarter. While the last quarter has been somewhat choppy it is important to
remember that broad market returns for the past 12 months are still very
positive with the Standard & Poor's 500 Index up 19.82% and the Lehman
Government/Corporate Index up 4.46%. In addition, First American Funds are
showing solid performance. According to Morningstar*, a fund rating
organization, as of March 31, 1997, 86% of First American Funds which receive
Morningstar ratings were rated 3, 4, or 5 stars in the overall category, of
which 16% received the highest rating of 5 stars.
With the market at its current level it may be a good time to review your
long-term financial goals and objectives with your financial advisor. Changes in
your financial goals and objectives may necessitate a change in how your assets
are invested. With 23 funds, the First American family of funds can meet most of
your investment needs.
On the following pages you will find an Economic and Investment Review from
First Asset Management, investment advisor to the First American Funds. It is
important to note that the portfolio managers of First Asset Management average
in excess of 20 years investment experience. These professionals have
experienced all types of markets. We cannot predict the direction of the markets
but you can be assured that your Funds are being managed by experienced
investment professionals utilizing a disciplined approach.
As always, we thank you for your continued support of First American Funds.
Sincerely,
/s/ Joseph D. Strauss
JOSEPH D. STRAUSS
Chairman
First American Funds
First American Investment Funds
*Source: Morningstar. Morningstar proprietary ratings reflect historical
risk-adjusted performance as of 3/31/97. The ratings are subject to change every
month. Past performance is no guarantee of future results. Morningstar ratings
are calculated from the funds' 3-, 5-, and 10-year average annual returns (if
available) in excess of 90-day Treasury bill returns with appropriate fee
adjustments, and a risk factor that reflects fund performance below 90-day
T-bill returns. Domestic Equity funds were ranked among 1,918 and 1,076 funds
for the 3-and 5-year periods, respectively. Municipal funds were ranked among
1,237 and 601 funds for the 3-and 5-year periods, respectively. Taxable bond
funds were ranked among 1,172 and 630 funds for the 3-and 5-year periods,
respectively. Ten percent of the funds in a rating universe receive five stars,
22.5% receive four stars, 35% receive three stars, and 22.5% receive two stars.
ECONOMIC AND INVESTMENT REVIEW March 31, 1997
During the last half-year, the anomaly of an above-trend, non-inflationary
economy has many market-watchers, including Federal Reserve Chairman Alan
Greenspan, feeling uncomfortable. By all historical accounts, with economic
growth as strong as it is this late in the economic expansion, inflation should
have accelerated, but instead has held at 3% or less. In prior cycles we might
well have experienced tight monetary policy and seen the prospect of a
recession. The current expansion has avoided such an awful fate in large part
because of productivity improvements and intense competitive price pressure in
both the manufacturing and service sectors. In effect, the growth rate of
productive capacity has kept up with the growth rate of the economy, working to
stop inflation before it starts.
Of late, strong consumer demand has pushed economic growth to a faster rate than
the Fed would like. Contributing to consumers' confidence and expenditure rate
are a strong job market, tax refunds and appreciation in financial asset values.
Aggressive price discounting in almost every segment of the economy from
automobiles to long distance service has only added fuel to the consumption
fire. While discount pricing strategies combined with plenty of available credit
have caused consumer spending to get ahead of itself, we expect it to
decelerate. Having financed expenditures on credit cards or home equity loans,
many consumers have built up a significant debt burden. As they begin to pay off
their balances in the face of higher interest rates and satisfied pent-up
demand, consumers will cease to be the driver of above-trend economic growth and
the economy should settle back to a more moderate, noninflationary pace.
In addition to a slowdown in consumer expenditures, a deceleration of capital
spending should help moderate economic growth. We saw explosive growth in
capital spending in the early 1990's as companies made an effort to streamline
operations, become automated and enhance productivity. Now much of the big
spending has been completed. We can expect capital spending to remain a stable,
growing part of GDP, but not the booming sector it has been for the last several
years.
Further contributing to the moderation of economic growth is a stronger dollar,
making U.S. goods more expensive to foreign buyers and encouraging consumption
of imports at home. A deteriorating trade balance will act as a drag on economic
growth.
With final demand decelerating and corporate profitability high in its
historical range, surprising year over year gains in corporate earnings will be
more difficult to attain in coming quarters. Despite gains in productivity,
there is a real risk that rising labor costs will pressure corporate profits
and, to the extent that competitive pressures allow, companies will try to raise
prices. We can infer that the Fed has shown concern about this possibility from
its recent tightening of credit. Given its explicit anti-inflation charter, we
can be reasonably sure that the Fed will adopt whatever level of monetary
stringency is required to offset the level of perceived inflation risk.
Tighter monetary policy and a more difficult profit environment do not
necessarily spell the end to the long term advance for equities, but they do
make the market more prone to sharp pullbacks from time to time. All told,
equity returns in 1997 are unlikely to match the robust gains of 1995 and 1996.
Even so, we still believe that the long term market advance is intact and First
Asset Management will make use of market oscillations to substitute undervalued
stocks for those holdings which have become fully priced.
THE STOCK MARKET
This line graph depicts the Stock Market value of the S&P 500 & NASDAQ Composite
S&P 500 NASDAQ Composite S&P 500 NASDAQ Composite
164 242 90 329 370
Jan-85 172 261 Jan-91 325 377
Feb-85 181 286 Feb-91 362 443
Mar-85 179 281 Mar-91 372 469
Apr-85 181 281 Apr-91 380 496
May-85 185 287 May-91 378 491
Jun-85 189 290 Jun-91 378 490
Jul-85 193 302 Jul-91 380 489
Aug-85 188 298 Aug-91 389 513
Sep-85 184 288 Sep-91 387 521
Oct-85 186 285 Oct-91 387 529
Nov-85 197 304 Nov-91 386 537
85 207 320 91 389 544
Jan 86 208 329 Jan-92 416 616
Feb 86 219 349 Feb-92 413 632
Mar-86 232 368 Mar-92 407 620
Apr-86 238 383 Apr-92 407 583
May 86 238 388 May-92 415 581
Jun-86 245 399 Jun-92 408 567
Jul-86 240 386 Jul-92 415 569
Aug-86 245 376 Aug-92 418 569
Sep-86 238 358 Sep-92 418 581
Oct-86 237 355 Oct-92 413 585
Nov-86 245 358 Nov-92 423 631
86 249 355 92 436 661
Jan-87 265 384 Jan-93 435 691
Feb-87 281 412 Feb-93 442 682
Mar-87 292 432 Mar-93 450 684
Apr-87 289 423 Apr-93 443 665
May-87 289 417 May-93 445 686
Jun-87 301 424 Jun-93 448 695
Jul-87 310 429 Jul-93 447 703
Aug-87 329 448 Aug-93 454 725
Sep-87 319 443 Sep-93 459 746
Oct-87 280 385 Oct-93 464 771
Nov-87 245 319 Nov-93 463 764
87 241 315 93 466 763
Jan-88 250 339 Jan-94 473 788
Feb-88 258 354 Feb-94 472 788
Mar-88 266 376 Mar-94 464 786
Apr-88 263 377 Apr-94 447 732
May-88 256 372 May-94 451 728
Jun-88 271 386 Jun-94 455 723
Jul-88 269 391 Jul-94 451 713
Aug-88 264 380 Aug-94 464 739
Sep-88 268 382 Sep-94 467 764
Oct-88 277 385 Oct-94 464 762
Nov-88 271 373 Nov-94 461 760
88 277 376 94 455 735
Jan-89 285 389 Jan-95 465 758
Feb-89 294 404 Feb-95 482 784
Mar-89 293 404 Mar-95 493 807
Apr-89 302 417 Apr-95 508 825
May-89 314 436 May-95 524 860
Jun-89 324 448 Jun-95 539 906
Jul-89 332 447 Jul-95 557 979
Aug-89 347 462 Aug-95 559 1010
Sep-89 347 469 Sep-95 579 1051
Oct-89 347 470 Oct-95 583 1022
Nov-89 340 455 Nov-95 596 1047
89 349 449 95 615 1047
Jan-90 340 439 Jan-96 614 1025
Feb-90 330 425 Feb-96 650 1094
Mar-90 338 436 Mar-96 647 1093
Apr-90 338 429 Apr-96 646 1136
May-90 350 443 May-96 661 1221
Jun-90 360 462 Jun-96 669 1205
Jul-90 360 456 Jul-96 644 1106
Aug-90 331 396 Aug-96 662 1134
Sep-90 315 369 Sep-96 675 1186
Oct-90 307 338 Oct-96 701 1234
Nov-90 315 348 Nov-96 736 1260
96 743 1292
Jan-97 766 1345
Feb-97 798 1349
Mar-97 729 1284
Apr-97 764 1225
Numerous factors hold sway on the bond market at the current time: Fed
tightening, inflation paranoia, balanced budget delays, and possible reduced
foreign demand for domestic bonds. For the most part, however, bonds are a
captive of the perception of the rate of economic growth. To the extent that the
economy appears overheated bonds will continue to inch up. The current momentum
of the economy suggests that this is a plausible risk. To the extent that the
economy moderates as we expect, it would be reasonable for bond yields to fall.
In the period of recent above-trend growth and rising interest rates, we have
successfully pursued a defensive strategy.
TREASURY YIELDS
This line graph depicts the yields of the 30 year Treasury Bond and 3 month
T-bill.
30 year 3 month 30 year 3 month
bonds bills bonds bills
11.52 8.06 90 8.24 6.74
Jan-85 11.45 7.76 Jan-91 8.27 6.22
Feb-85 11.47 8.26 Feb-91 8.03 5.94
Mar-85 11.81 8.52 Mar-91 8.29 5.91
Apr-85 11.47 7.95 Apr-91 8.21 5.65
May-85 11.05 7.48 May-91 8.27 5.46
Jun-85 10.45 6.95 Jun-91 8.47 5.57
Jul-85 10.5 7.08 Jul-91 8.45 5.58
Aug-85 10.56 7.13 Aug-91 8.14 5.33
Sep-85 10.61 7.1 Sep-91 7.95 5.22
Oct-85 10.5 7.16 Oct-91 7.93 4.99
Nov-85 10.06 7.24 Nov-91 7.92 4.56
85 9.54 7.1 91 7.7 4.07
Jan-86 9.4 7.07 Jan-92 7.58 3.8
Feb-86 8.93 7.06 Feb-92 7.85 3.84
Mar-86 7.96 6.56 Mar-92 7.97 4.04
Apr-86 7.39 6.06 Apr-92 7.96 3.75
May-86 7.52 6.15 May-92 7.89 3.63
Jun-86 7.57 6.21 Jun-92 7.84 3.66
Jul-86 7.27 5.83 Jul-92 7.6 3.21
Aug-86 7.33 5.53 Aug-92 7.39 3.13
Sep-86 7.62 5.21 Sep-92 7.34 2.91
Oct-86 7.7 5.18 Oct-92 7.53 2.86
Nov-86 7.52 5.35 Nov-92 7.61 3.13
86 7.37 5.53 92 7.44 3.22
Jan-87 7.39 5.43 Jan-93 7.34 3
Feb-87 7.54 5.59 Feb-93 7.09 2.93
Mar-87 7.55 5.59 Mar-93 6.82 2.95
Apr-87 8.25 5.64 Apr-93 6.85 2.87
May-87 8.78 5.66 May-93 6.92 2.96
Jun-87 8.57 5.67 Jun-93 6.81 3.07
Jul-87 8.64 5.69 Jul-93 6.63 3.04
Aug-87 8.97 6.04 Aug-93 6.32 3.02
Sep-87 9.59 6.4 Sep-93 6 2.95
Oct-87 9.61 6.13 Oct-93 5.94 3.02
Nov-87 8.95 5.69 Nov-93 6.21 3.1
87 9.12 5.77 93 6.25 3.06
Jan-88 8.83 5.81 Jan-94 6.29 2.98
Feb-88 8.43 5.66 Feb-94 6.49 3.25
Mar-88 8.63 5.7 Mar-94 6.91 3.5
Apr-88 8.95 5.91 Apr-94 7.27 3.68
May-88 9.23 6.26 May-94 7.41 4.14
Jun-88 9 6.46 Jun-94 7.4 4.14
Jul-88 9.14 6.73 Jul-94 7.58 4.33
Aug-88 9.32 7.06 Aug-94 7.49 4.48
Sep-88 9.06 7.24 Sep-94 7.71 4.62
Oct-88 8.89 7.35 Oct-94 7.94 4.95
Nov-88 9.02 7.76 Nov-94 8.08 5.29
88 9.01 8.07 94 7.87 5.6
Jan-89 8.93 8.26 Jan-95 7.85 5.71
Feb-89 9.01 8.53 Feb-95 7.61 5.77
Mar-89 9.17 8.82 Mar-95 7.45 5.73
Apr-89 9.03 8.65 Apr-95 7.35 5.82
May-89 8.83 8.43 May-95 6.95 5.67
Jun-89 8.27 8.15 Jun-95 6.57 5.63
Jul-89 8.08 7.88 Jul-95 6.72 5.42
Aug-89 8.12 7.9 Aug-95 6.86 5.55
Sep-89 8.15 7.75 Sep-95 6.55 5.28
Oct-89 8 7.64 Oct-95 6.37 5.28
Nov-89 7.9 7.69 Nov-95 6.26 5.36
89 7.9 7.63 95 6.06 5.14
Jan-90 8.26 7.64 Jan-96 6.05 5
Feb-90 8.5 7.74 Feb-96 6.24 4.83
Mar-90 8.56 7.9 Mar-96 6.6 4.96
Apr-90 8.76 7.77 Apr-96 6.79 4.95
May-90 8.73 7.74 May-96 6.93 5.02
Jun-90 8.46 7.73 Jun-96 7.06 5.09
Jul-90 8.5 7.62 Jul-96 7.03 5.15
Aug-90 8.86 7.45 Aug-96 6.84 5.05
Sep-90 9.03 7.36 Sep-96 7.03 5.09
Oct-90 8.86 7.17 Oct-96 6.81 4.99
Nov-90 8.54 7.06 Nov-96 6.49 5.16
96 6.327 5.03
Jan-97 6.83 5.03
Feb-97 6.69 5.01
Mar-97 6.93 5.27
Apr-97 7.088 5.281
We appreciate your confidence and look forward to serving you in the coming
year.
Sincerely,
/s/ John M. Murphy, Jr.
John M. Murphy, Jr.
Chief Investment Officer,
First Asset Management
STATEMENTS OF NET ASSETS----MARCH 31, 1997 (Unaudited)
................................................................................
PRIME OBLIGATIONS FUND
Description Par (000) Value (000)
- --------------------------------------------------------------------------------
COMMERCIAL PAPER--50.8%
COMMERCIAL FUNDING CORPORATIONS--21.1%
Asset Securitization
5.726%, 04/25/97 (B) $ 25,000 $ 24,905
5.461%, 05/08/97 (B) 10,000 9,944
5.463%, 06/02/97 (B) 20,000 19,814
Distribution Funding
5.376%, 04/04/97 (B) 13,445 13,439
5.343%, 04/21/97 (B) 33,500 33,401
5.384%, 04/23/97 (B) 15,000 14,951
5.337%, 04/25/97 (B) 33,055 32,938
Equipment Funding
5.362%, 04/03/97 25,000 24,993
5.372%, 04/04/97 41,443 41,425
5.378%, 04/07/97 20,736 20,718
Equipment Intermediation Partnership
5.375%, 04/07/97 (B) 25,160 25,138
Jefferson Smurfit Finance
5.585%, 04/01/97 4,800 4,800
5.549%, 05/15/97 9,400 9,337
5.577%, 06/16/97 7,000 6,919
5.578%, 06/17/97 9,000 8,894
Pooled Accounts Receivable Capital
5.419%, 04/01/97 (B) 45,000 45,000
5.423%, 04/10/97 (B) 12,672 12,655
5.376%, 04/11/97 (B) 28,164 28,122
5.378%, 04/11/97 (B) 25,000 24,963
5.700%, 04/18/97 (B) 25,000 24,933
5.646%, 04/25/97 (B) 21,833 21,751
Premium Funding E
5.328%, 04/02/97 (B) 10,276 10,274
5.336%, 04/07/97 (B) 15,041 15,028
5.344%, 04/09/97 (B) 14,000 13,983
5.399%, 04/10/97 (B) 22,418 22,388
5.379%, 04/14/97 (B) 15,141 15,112
5.403%, 04/17/97 (B) 20,000 19,952
5.401%, 04/21/97 (B) 30,000 29,910
5.430%, 04/23/97 (B) 15,000 14,951
Receivables Capital
5.373%, 04/22/97 (B) 40,248 40,123
5.382%, 04/23/97 (B) 28,000 27,908
5.374%, 04/24/97 (B) 25,163 25,077
5.412%, 04/25/97 (B) 25,000 24,910
5.640%, 05/09/97 (B) 25,000 24,852
5.647%, 05/16/97 (B) 20,168 20,027
------------
753,535
------------
DOMESTIC BANKS--7.2%
Bankers Trust NY
5.604%, 04/02/97 50,000 49,992
5.657%, 07/02/97 25,000 24,653
Hahn Issuing II
(LOC: Citibank)
5.323%, 04/07/97 9,300 9,292
International Securitization
(Guarantor: FNB Chicago)
5.348%, 04/16/97 (B) 6,544 6,530
5.335%, 04/18/97 (B) 20,000 19,950
5.398%, 04/28/97 (B) 20,000 19,920
5.426%, 04/30/97 (B) 15,650 15,582
5.434%, 04/30/97 (B) 20,791 20,701
5.573%, 06/23/97 (B) 9,493 9,373
5.576%, 06/27/97 (B) 6,568 6,481
5.392%, 05/12/97 (B) 20,000 19,879
5.656%, 05/27/97 (B) 15,035 14,904
5.683%, 06/03/97 (B) 7,655 7,580
5.462%, 06/12/97 (B) 7,643 7,561
5.477%, 06/16/97 (B) 6,120 6,051
5.488%, 07/14/97 (B) 7,169 7,058
5.442%, 07/28/97 (B) 13,166 12,936
------------
258,443
------------
FOREIGN BANKS--9.1%
Banca Serfin S A Institucion de Banca
Multiple Grupo Financiero Serfin
Nassau (LOC: Barclays Bank)
5.490%, 06/10/97 50,000 49,483
Banco de Credito Nacional S A
(LOC: Barclays Bank)
5.713%, 05/02/97 6,000 5,972
Cemex S A (LOC: Credit Suisse)
5.444%, 04/17/97 10,000 9,976
Cosco Cayman Limited
(LOC: Credit Suisse)
5.504%, 05/23/97 24,700 24,506
Crown Leasing USA (LOC: Bank of
Tokyo-Mitsubishi)
5.495%, 04/17/97 (B) 10,480 10,455
5.703%, 04/18/97 (B) 9,820 9,794
Daewoo International American
(LOC: Credit Suisse)
5.458%, 04/18/97 15,000 14,962
Finance One Funding
(LOC: Credit Suisse)
5.518%, 08/29/97 (B) 8,878 8,682
Hartz 667 (LOC: Bank of Tokyo-Mitsubishi)
5.378%, 04/02/97 10,000 9,999
5.495%, 04/16/97 9,000 8,979
5.578%, 04/21/97 24,985 24,908
Konica Finance USA (LOC: Bank of
Tokyo-Mitsubishi)
5.456%, 04/15/97 (B) 17,700 17,663
Nacional Financiera S N C
(LOC: Societe Generale)
5.404%, 04/30/97 21,000 20,909
Pemex Capital (LOC: Credit Suisse)
5.601%, 09/09/97 15,000 14,639
Ryobi Finance (LOC: Bank of
Tokyo-Mitsubishi)
5.455%, 04/10/97 7,500 7,490
5.580%, 04/24/97 7,000 6,975
Towson Town Center (LOC: Bank
of Tokyo-Mitsubishi)
5.459%, 04/15/97 9,289 9,269
5.459%, 04/18/97 5,300 5,286
5.575%, 04/18/97 21,700 21,643
US Prime Property (LOC: Westpac Bank)
5.464%, 05/12/97 15,000 14,909
5.444%, 05/19/97 27,400 27,206
------------
323,705
------------
FOREIGN FUNDING CORPORATIONS--4.2%
Sigma Finance
5.446%, 04/14/97 (B) 15,000 14,971
5.411%, 04/15/97 (B) 7,500 7,484
5.391%, 05/12/97 (B) 36,000 35,782
5.641%, 05/13/97 (B) 15,000 14,902
5.366%, 05/15/97 (B) 30,000 29,806
5.458%, 05/16/97 (B) 10,000 9,934
5.369%, 05/19/97 (B) 14,000 13,901
5.471%, 06/05/97 (B) 25,000 24,756
------------
151,536
------------
RETAIL FUNDING CORPORATIONS--9.2%
Credit Card Securitization
5.656%, 04/01/97 15,047 15,047
6.006%, 04/02/97 8,754 8,753
Enterprise Funding
5.395%, 04/03/97 (B) 11,609 11,606
5.360%, 04/04/97 (B) 25,919 25,908
5.396%, 04/07/97 (B) 13,067 13,055
5.451%, 04/11/97 (B) 8,568 8,555
5.407%, 04/15/97 (B) 14,146 14,117
5.378%, 04/18/97 (B) 24,892 24,829
5.358%, 04/28/97 (B) 35,000 34,861
5.387%, 04/28/97 (B) 8,142 8,109
5.411%, 05/05/97 (B) 20,000 19,899
5.404%, 05/07/97 (B) 18,332 18,234
First Deposit Master Trust
5.448%, 04/08/97 (B) 10,000 9,990
5.401%, 04/09/97 (B) 15,000 14,982
5.379%, 04/16/97 (B) 16,000 15,964
5.432%, 04/17/97 (B) 10,000 9,976
5.439%, 04/30/97 (B) 25,000 24,892
5.405%, 05/06/97 (B) 27,177 27,035
5.408%, 05/13/97 (B) 25,000 24,844
------------
330,656
------------
Total Commercial Paper
(Cost $1,817,875) 1,817,875
------------
CORPORATE OBLIGATIONS--31.0%
BROKERAGE--9.8%
Bankers Trust
5.680%, 04/01/97 (A) 105,000 105,000
Bear Stearns
5.488%, 04/07/97 (A) 50,000 50,000
Morgan Stanley
5.508%, 04/15/97 (A) 75,000 75,000
Structured Enhanced Return Trust
(Guarantor: Merrill Lynch)
1995 A-18
5.519%, 04/18/97 (A) (B) 35,000 35,000
WFP Tower B Finance Short Term
Steers Trust
5.488%, 04/08/97 (A) 84,741 84,730
------------
349,730
------------
DIVERSIFIED FINANCE--2.7%
American General Finance
7.150%, 05/15/97 9,000 9,011
8.250%, 01/15/98 11,500 11,722
Associates of North America
7.620%, 04/29/97 5,000 5,006
8.625%, 06/15/97 5,000 5,030
Ford Motor Credit
7.750%, 04/29/97 8,000 8,011
9.350%, 06/10/97 5,160 5,193
Household Finance
6.760%, 04/25/97 7,000 7,003
International Lease Finance
5.420%, 06/02/97 9,000 8,990
5.840%, 06/09/97 6,600 6,597
5.900%, 07/03/97 15,000 14,997
6.500%, 07/15/97 6,000 6,011
5.870%, 02/13/98 10,850 10,844
------------
98,415
------------
DOMESTIC BANK--3.4%
BankAmerica
6.000%, 07/15/97 12,410 12,416
SMM Trust 1996-D (Guarantor:
Morgan Guaranty)
5.425%, 04/28/97 (A) (B) 110,000 110,000
------------
122,416
------------
FOREIGN BANK--2.8%
Structured Products Asset Return
(Guarantor:CS Financial Products)
5.538%, 04/03/97 (A) (B) 100,000 100,000
------------
FOREIGN FUNDING CORPORATIONS--4.6%
Beta Finance
5.710%, 04/01/97 (A)(B) 65,000 65,000
5.812%, 05/16/97 (B) 20,000 20,000
5.870%, 01/30/98 (B) 30,000 30,040
Salts III Cayman Island Series 1997-1
(Guarantor: Bankers Trust)
5.787%, 07/23/97 (B) 50,000 50,000
------------
165,040
------------
INSURANCE--7.7%
Anchor National Life Insurance
Investment
5.750%, 04/01/97 (A) 75,000 75,000
Commonwealth Life Insurance
5.588%, 04/01/97 (A) 125,000 125,000
Sun Life Insurance of America
5.750%, 04/01/97 (A) 75,000 75,000
------------
275,000
------------
Total Corporate Obligations
(Cost $1,110,601) 1,110,601
------------
U.S. GOVERNMENT AGENCY OBLIGATIONS--4.7%
Export-Import Bank
5.623%, 04/15/97 (A) (B) 70,455 70,445
Export-Import Bank/KA Leasing
5.583%, 04/15/97 (A) (B) 36,163 36,163
SLMA
5.670%, 04/01/97 (A) 38,400 38,161
5.760%, 04/01/97 (A) 21,150 21,145
U.S. AID
5.950%, 04/01/97 (A) 1,250 1,248
------------
Total U.S. Government Agency Obligations
(Cost $167,162) 167,162
------------
CERTIFICATES OF DEPOSIT--3.4%
FCC National Bank of Wilmington
5.725%, 01/07/98 50,000 49,972
Mercantile Safe Deposit & Trust
5.425%, 04/01/97 (A) 20,000 20,000
5.551%, 04/03/97 (A) 20,000 20,000
5.160%, 08/21/97 5,640 5,604
Societe Generale Institutional
5.800%, 01/13/98 25,000 24,996
------------
Total Certificates Of Deposit
(Cost $120,572) 120,572
------------
ASSET-BACKED SECURITIES--3.1%
CARCO Auto Loan Master Trust
1993-2 A1
5.525%, 04/15/97 (A) 111,500 111,500
------------
Total Asset-Backed Securities
(Cost $111,500) 111,500
------------
LOAN PARTICIPATION CERTIFICATES--1.4%
Barclays Bank (LOC: Morgan Stanley)
5.360%, 05/23/97 50,000 50,000
------------
Total Loan Participation Certificates
(Cost $50,000) 50,000
------------
REPURCHASE AGREEMENTS--5.7%
Lehman Brothers
6.000%, dated 03/31/97, matures
04/01/97, repurchase price $177,328,550
(collateralized by various U.S. Treasury
Notes, ranging in par value from
$6,321,000-$84,600,000, 5.000%-7.875%,
12/31/97-01/31/98: total market
value $180,803,055) 177,299 177,299
Salomon Brothers
6.750%, dated 03/31/97, matures
04/01/97, repurchase price $27,300,814
(collateralized by various FHLMC and
FNMA obligations, ranging in par value
from $247,500-$13,058,939, 5.500%-9.500%,
06/01/97-04/01/27: total market
value $27,959,492) 27,296 27,296
------------
Total Repurchase Agreements
(Cost $204,595) 204,595
------------
Total Investments--100.1%
(Cost $3,582,305) 3,582,305
------------
Other Assets and Liabilities, Net--(0.1%) (5,331)
============
NET ASSETS:
Portfolio shares -- Institutional Class
($.01 par value--20 billion authorized)
based on 3,280,263,834 outstanding shares $3,280,264
Portfolio shares -- Retail Class A
($.01 par value--20 billion authorized)
based on 176,646,848 outstanding shares 176,647
Portfolio shares -- Retail Class B
($.01 par value--20 billion authorized)
based on 4,444,549 outstanding shares 4,444
Portfolio shares -- Corporate Trust Class
($.01 par value--20 billion authorized)
based on 115,609,114 outstanding shares 115,609
Undistributed net investment income 9
Accumulated net realized gains on investments 1
------------
Total Net Assets--100.0% $3,576,974
============
Net asset value, offering price, and redemption
price per share--Institutional Class $ 1.00
============
Net asset value, offering price, and redemption
price per share--Retail Class A $ 1.00
============
Net asset value and offering price per
share--Retail Class B (1) $ 1.00
============
Net asset value, offering price, and redemption
price per share--Corporate Trust Class $ 1.00
============
(1) Retail Class B has a contingent deferred sales charge. For a description of
possible redemption charge, see the notes to the financial statements.
(A) Variable Rate Security--the rate reported on the Statement of Net Assets is
the rate in effect as of March 31, 1997. The date shown is the next reset date.
(B) Security sold within the terms of a private placement memorandum, exempt
from registration under section 144A of the Securities Act of 1933, as amended,
and may be sold only to dealers in that program or other "accredited investors."
These securities have been determined to be liquid under guidelines established
by the Board of Directors.
AID--Agency for International Development
FHLMC--Federal Home Loan Mortgage Corporation
FNMA--Federal National Mortgage Association
LOC--Letter of Credit
SLMA--Student Loan Marketing Association
STRIPS--Seperately Traded Registered and Interest Principal Securities
The accompanying notes are an integral part of the financial statements.
GOVERNMENT OBLIGATIONS FUND
Description Par (000) Value (000)
- --------------------------------------------------------------------------------
U.S. GOVERNMENT AGENCY OBLIGATIONS--49.8%
Export-Import Bank
5.583%, 04/15/97 (A) (B) $ 18,199 $ 18,199
5.623%, 04/15/97 (A) (B) 30,000 29,995
5.563%, 04/15/97 (A) (B) 25,000 25,000
FFCB
5.750%, 04/01/97 (A) 20,000 20,023
5.550%, 05/02/97 17,500 17,501
5.930%, 07/01/97 5,400 5,407
5.850%, 08/01/97 8,000 8,010
FHLB
5.790%, 04/01/97 (A) 13,000 12,976
6.000%, 04/01/97 (A) 25,000 25,034
6.880%, 04/07/97 8,015 8,016
5.680%, 05/09/97 34,500 34,507
5.555%, 05/22/97 10,000 9,997
6.630%, 05/23/97 10,000 10,014
5.409%, 06/04/97 (A) 20,000 19,988
5.760%, 10/01/97 5,000 5,006
5.490%, 01/02/98 10,000 9,986
5.650%, 01/07/98 4,000 4,001
FHLMC
5.310%, 04/20/97 (A) 50,000 49,962
FNMA
5.700%, 04/01/97 (A) 50,000 49,988
5.394%, 05/09/97 3,330 3,312
5.620%, 08/12/97 9,000 9,004
5.680%, 10/07/97 22,380 22,391
9.550%, 11/10/97 3,700 3,788
5.420%, 12/16/97 10,000 9,994
SLMA
5.600%, 04/01/97 (A) 10,000 10,000
5.600%, 04/01/97 (A) 20,000 20,000
5.670%, 04/01/97 (A) 14,000 13,981
5.760%, 04/01/97 (A) 15,000 15,000
5.615%, 10/29/97 30,000 29,998
U.S. AID
5.795%, 04/01/97 (A) 15,000 15,000
5.805%, 04/01/97 (A) 10,000 9,988
5.860%, 04/01/97 (A) 13,000 13,000
5.860%, 04/01/97 (A) 11,000 11,000
5.860%, 04/01/97 (A) 6,000 6,009
5.910%, 04/01/97 (A) 900 900
------------
Total U.S. Government Agency Obligations
(Cost $556,975) 556,975
------------
U.S. GOVERNMENT AGENCY LETTERS OF CREDIT--16.6%
Downey Savings & Loan
(LOC: FHLB of San Francisco)
5.348%, 05/05/97 15,000 14,925
5.349%, 05/05/97 20,000 19,900
5.647%, 06/27/97 15,000 14,804
5.465%, 07/28/97 5,000 4,913
5.470%, 08/22/97 20,000 19,579
5.554%, 09/25/97 20,000 19,471
5.465%, 11/18/97 25,000 24,158
5.680%, 12/05/97 10,000 9,625
Fidelity Federal Bank, Los Angeles, CA
(LOC: FHLB of San Francisco)
5.412%, 04/04/97 15,000 14,993
5.442%, 04/04/97 10,000 9,996
5.300%, 04/25/97 15,000 14,947
Secondary Market Services
(LOC: SLMA of San Francisco)
5.294%, 04/14/97 18,694 18,658
------------
Total Other U.S. Government Obligations
(Cost $185,969) 185,969
------------
REPURCHASE AGREEMENTS--33.5%
Bear Stearns
6.400%, dated 03/31/97, matures
04/01/97, repurchase price
$111,608,838 (collateralized
by various U.S. Treasury STRIPS,
total par value $269,545,000,
02/15/03-08/15/16: total market
value $113,832,000) 111,589 111,589
Daiwa Securities
6.400%, dated 03/31/97, matures
04/01/97, repurchase price
$130,023,111 (collateralized by
various U.S. Treasury Bonds, total
par value $25,976,000, 7.875%-9.250%,
11/15/07-02/15/16: U.S. Treasury
STRIPS, total par value $173,000,000,
11/15/04: total market value
$132,801,030) 130,000 130,000
Lehman Brothers 6.000%, dated 03/31/97,
matures 04/01/97, repurchase price
$81,879,644 (collateralized by various
U.S. Treasury Notes, total par value
$82,790,000, 5.250%-6.000%, 11/30/97-12/31/97:
total market value $83,481,361) 81,866 81,866
Prudential Securities 6.550%, dated
03/31/97, matures 04/01/97, repurchase price
$30,219,631 (collateralized by various
FHLMC and FNMA obligations, ranging in
par value from $1,624,201-$5,000,000,
5.000%-7.000%, 05/25/03-11/15/23: total
market value $30,818,417) 30,214 30,214
Salomon Brothers 6.750%, dated 03/31/97,
matures 04/01/97, repurchase price
$20,150,830 (collateralized by various
FHLMC and FNMA obligations, par value
$199,376- $3,011,775, 5.500%-10.750%,
01/01/98-12/01/26: total
market value $20,617,797) 20,147 20,147
------------
Total Repurchase Agreements
(Cost $373,816) 373,816
------------
Total Investments--99.9%
(Cost $1,116,760) 1,116,760
------------
Other Assets and Liabilities, Net--0.1% 1,074
============
NET ASSETS:
Portfolio shares--Institutional Class
($.01 par value--20 billion authorized)
based on 830,686,525 outstanding shares 830,687
Portfolio shares--Corporate Trust Class
($.01 par value--20 billion authorized)
based on 287,149,499 outstanding shares 287,149
Undistributed net investment income 35
Accumulated net realized loss on investments (37)
------------
Total Net Assets--100.0% $1,117,834
============
Net asset value, offering price, and redemption
price per share -- Institutional Class $ 1.00
============
Net asset value, offering price, and redemption
price per share -- Corporate Trust Class $ 1.00
============
(A) Variable Rate Security--the rate reported on the Statement of Net Assets is
the rate in effect as of March 31, 1997. The date shown is the next reset date.
(B) Security sold within the terms of a private placement memorandum, exempt
from registration under section 144A of the Securities Act of 1933, as amended,
and may be sold only to dealers in that program or other "accredited investors."
These securities have been determined to be liquid under guidelines established
by the Board of Directors.
AID--Agency for International Development FFCB--Federal Farm Credit Bank
FHLB--Federal Home Loan Bank FHLMC--Federal Home Loan Mortgage Corporation
FNMA--Federal National Mortgage Association LOC--Letter of Credit
SLMA--Student Loan Marketing Association
STRIPS--Seperately Traded Registered and Interest Principal Securities
The accompanying notes are an integral part of the financial statements.
TREASURY OBLIGATIONS FUND
Description Par (000) Value (000)
- --------------------------------------------------------------------------------
U.S. TREASURY OBLIGATIONS--20.2%
U.S. Treasury Bills
5.505%, 04/03/97 $ 25,000 $ 24,993
5.690%, 05/01/97 25,000 24,886
5.785%, 05/29/97 25,000 24,778
5.495%, 07/24/97 25,000 24,584
5.382%, 11/13/97 25,000 24,196
5.417%, 11/13/97 30,000 29,026
5.532%, 12/11/97 25,000 24,072
5.579%, 01/08/98 25,000 23,957
5.721%, 01/08/98 25,000 23,929
5.462%, 02/05/98 25,000 23,857
5.593%, 02/05/98 25,000 23,883
5.904%, 03/05/98 25,000 23,688
U.S. Treasury Notes
6.500%, 04/30/97 50,000 50,029
8.500%, 05/15/97 25,000 25,086
5.875%, 07/31/97 25,000 25,015
6.500%, 08/15/97 50,000 50,175
5.500%, 09/30/97 25,000 25,007
5.750%, 09/30/97 25,000 25,040
5.625%, 10/31/97 45,000 45,027
5.750%, 10/31/97 25,000 25,019
7.875%, 01/15/98 50,000 50,873
------------
Total U.S. Treasury Obligations
(Cost $617,120) 617,120
------------
REPURCHASE AGREEMENTS--80.1%
Bank of Tokyo 5.530%, dated 03/27/97,
matures 04/01/97, repurchase price
$100,076,805 (collateralized by various
U.S. Treasury Notes, total par value
$101,085,000, 5.875%-6.500%,
08/15/97-08/15/98:
total market value $102,151,263) 100,000 100,000
Bank of Tokyo 6.450%, dated 03/31/97,
matures 04/01/97, repurchase price
$50,008,958 (collateralized by various
U.S. Treasury Notes, total par value
$50,995,000, 5.875%, 01/31/99:
total market value $51,025,459) 50,000 50,000
Bear Stearns
6.400%, dated 03/31/97, matures
04/01/97, repurchase price $388,480,051
(collateralized by various U.S. Treasury
STRIPS, total par value $733,004,000,
02/15/00-08/15/13:
total market value $396,170,000) 388,411 388,411
BT Securities 6.500%, dated 03/31/97,
matures 04/01/97, repurchase price
$175,082,606 (collateralized by various
U.S. Treasury STRIPS, total par value
$713,695,000, 02/15/98-02/15/19; various
U.S. Treasury Notes, total par value
$18,040,000, 6.750%-11.250%,
04/30/00-08/15/19:
total market value $178,721,000) 175,051 175,051
Daiwa Securities 6.400%, dated 03/31/97,
matures 04/01/97, repurchase price
$220,039,111 (collateralized by U.S.
Treasury Bill, total par value
$228,981,000, 08/14/97:
total market value $224,400,235) 220,000 220,000
First Boston 6.450%, dated 03/31/97,
matures 04/01/97, repurchase price
$315,056,438 (collateralized by various
U.S. Treasury Notes, total par value
$322,648,000, 5.625%-6.000%,
04/30/98-02/28/01: total market
value $322,016,185.41) 315,000 315,000
First Union Capital 5.625%, dated
03/26/97, matures 04/02/97, repurchase
price $135,147,656 (collateralized by
various U.S. Treasury Notes, total par
value $132,811,000, 5.750%-11.250%,
09/30/97-02/15/15:
total market value $138,645,000) 135,000 135,000
Goldman Sachs 5.650%, dated 03/27/97,
matures 04/01/97, repurchase price
$135,105,938 (collateralized by various
U.S. Treasury Notes, total par value
$99,050,000, 12.000%, 08/15/13: total
market
value $137,686,500) 135,000 135,000
Lehman Brothers 6.000%, dated 03/31/97,
matures 04/01/97, repurchase price
$79,738,288 (collateralized by various
U.S. Treasury Notes, total par value
$77,591,000, 5.375%-8.875%,
10/31/97-11/30/97:
total market value $81,272,818) 79,725 79,725
Merrill Lynch 6.350%, dated 03/31/97,
matures 04/01/97, repurchase price
$150,026,458 (collateralized by various
U.S. Treasury Notes, total par value
$154,940,000, 6.375%, 03/31/01: total
market
value $153,151,286) 150,000 150,000
Nomura Securities 5.550%, dated
03/27/97, matures 04/01/97, repurchase
price $135,104,063 (collateralized by
various U.S. Treasury Notes, total par
value $131,261,000, 7.250%-8.875%,
05/15/16-08/15/17:
total market value $137,862,000) 135,000 135,000
Prudential Securities 6.450%, dated
03/31/97, matures 04/01/97, repurchase
price $25,953,563 (collateralized by
U.S. Treasury Bill, total par value
$27,286,000, 10/16/97:
total market value $26,468,511) 25,949 25,949
Smith Barney 5.550%, dated 03/27/97,
matures 04/01/97, repurchase price
$135,104,063 (collateralized by various
U.S. Treasury Notes, total par value
$17,117,000, 5.500%-7.500%,
07/31/97-05/15/02: U.S. Treasury
STRIPS, total par value $287,216,000,
11/15/98-11/15/22:
total market value $137,700,567) 135,000 135,000
UBS Securities 6.450%, dated 03/31/97,
matures 04/01/97, repurchase price
$400,071,667 (collateralized by various
U.S. Treasury Notes, total par value
$397,956,000, 5.000%-9.125%,
11/15/98-05/31/99:
total market value $408,001,911) 400,000 400,000
------------
Total Repurchase Agreements
(Cost $2,444,136) 2,444,136
------------
Total Investments--100.3%
(Cost $3,061,256) 3,061,256
------------
Other Assets and Liabilities, Net--(0.3%) (7,927)
============
NET ASSETS:
Portfolio shares--Institutional Class
($.01 par value--20 billion authorized)
based on 698,289,776 outstanding shares 698,290
Portfolio shares--Corporate Trust Class
($.01 par value--20 billion authorized)
based on 2,355,027,513 outstanding shares 2,355,027
Undistributed net investment income 31
Accumulated net realized loss on investments (19)
------------
Total Net Assets--100.0% $3,053,329
============
Net asset value, offering price, and redemption
price per share--Institutional Class $ 1.00
============
Net asset value, offering price, and redemption
price per share--Corporate Trust Class $ 1.00
============
STRIPS--Separately Traded Registered and Interest Principal Securities
The accompanying notes are an integral part of the financial statements.
LIMITED TERM INCOME FUND
Description Par (000) Value (000)
- --------------------------------------------------------------------------------
ASSET-BACKED SECURITIES--76.3%
ADJUSTABLE RATE MORTGAGES--3.9%
Merrill Lynch Mortgage Investors
1993-C A4
6.500%, 04/15/97 (A) $ 4,000 $ 4,032
------------
AUTO COMPANY SUBSIDIARIES - AUTO--4.0%
Premier Auto Trust 1993-4 B
4.950%, 02/02/99 704 698
Premier Auto Trust 1994-2 B
6.500%, 05/02/00 1,554 1,555
Premier Auto Trust 1994-3 B
6.800%, 12/02/99 1,872 1,878
------------
4,131
------------
BANKS - AUTO--9.5%
NAFCO Auto Trust
7.000%, 12/31/01 2,819 2,821
NAFCO Auto Trust 1996-1 A
6.330%, 12/21/02 500 495
New South Auto Trust 1994-B A
8.475%, 01/15/01 1,253 1,271
Western Financial Grantor Trust 1994-3 B
6.650%, 12/01/99 852 854
Western Financial Grantor Trust 1994-4 A1
7.100%, 01/01/00 4,051 4,063
Zions Auto Trust 1993-1 B
5.650%, 06/15/99 254 253
------------
9,757
------------
BANKS - BOATS & RV'S--4.9%
CFC Grantor Trust TR14
7.150%, 11/15/06 (B) 2,951 2,957
Chemical Financial Acceptance 1991-A A
6.450%, 12/15/97 2,140 2,132
------------
5,089
------------
BANKS - CREDIT CARD RECEIVABLES--13.6%
Banc One Credit Card Master Trust
1994-B
7.550%, 12/15/99 4,250 4,296
Household Credit Card Master Trust
1995-1 B
5.776%, 04/15/97 (A) 4,200 4,210
MBNA Master Credit Card Trust
1994-B A
5.710%, 04/01/97 (A) 5,500 5,498
------------
14,004
------------
BUSINESS CREDIT - BUSINESS--0.7%
Leasing Solution Receivables 1994-2 A
8.075%, 12/15/99 379 380
Orix Credit Alliance Owner Trust
1993-A A2
4.300%, 08/17/98 186 186
Orix Credit Alliance Owner Trust
1993-C B
4.600%, 08/17/98 124 124
------------
690
------------
CONSUMER FINANCE - AUTO--6.8%
AFG Receivables Trust 1995-A A
6.150%, 09/15/00 2,432 2,409
Auto Bond Receivables Trust 1993-1 A
6.125%, 11/15/98 572 543
Budget Fleet Finance 1994-A A
6.148%, 04/25/97 (A) (B) 4,075 4,036
------------
6,988
------------
CONSUMER FINANCE - FIRST MORTGAGE RELATED--9.2%
Prudential Home Mortgage Securities
1992-A D2-1
7.450%, 04/28/22 (B) 1,965 1,933
Prudential Home Mortgage Securities
1992-36 A7
6.500%, 11/25/99 3,883 3,857
Prudential Home Mortgage Securities
1992-A3
7.000%, 04/25/99 2,139 2,132
Saxon Mortgage Securities 1994-4A 1A2
5.250%, 04/25/24 1,614 1,583
------------
9,505
------------
CONSUMER FINANCE - SECOND MORTGAGE RELATED--11.8%
Amresco Residential Securities 1996-5 A2
6.275%, 04/25/18 5,000 4,934
HFC Home Equity Loan Trust 1992-2 B
6.850%, 11/20/12 968 938
Household Finance 1993-1 A3
4.750%, 05/20/08 746 738
Household Finance Home Equity
1993-2 A3
4.650%, 12/20/08 4,152 4,065
IMC Home Equity Loan Trust
1996-2 A1
6.610%, 08/25/10 1,459 1,457
------------
12,132
------------
EQUIPMENT LEASES--2.7%
JLC Lease Receivables Trust 1994-1 A
5.645%, 04/22/97 (A) 2,827 2,827
------------
MORTGAGE BANKERS & LOANS - SECOND
MORTGAGE RELATED--5.7%
BCI Home Equity Loan 1994-1 B
6.350%, 04/29/97 (A) 1,638 1,643
Description Par (000)/Shares Value (000)
- --------------------------------------------------------------------------------
The Money Store Home Equity Loan
Trust 1992-D1 A1
6.500%, 01/15/04 $ 1,232 $ 1,231
The Money Store Home Equity Loan
Trust 1993-B A1
5.400%, 08/15/05 1,632 1,606
The Money Store Trust Series 1994-D1 A2
8.000%, 09/15/07 1,371 1,375
------------
5,855
------------
VACATION HOME MORTGAGES--3.5%
Patten 1995-1A
7.188%, 08/01/97 (A) (B) 2,261 2,257
RCI Vacation Ownership Mortgage
Trust 1991-B
7.500%, 08/25/98 (B) 1,306 1,306
------------
3,563
------------
Total Asset-Backed Securities
(Cost $78,772) 78,573
------------
OTHER MORTGAGE-BACKED OBLIGATIONS--11.0%
General Electric Capital Mortgage
1994-29 A1
8.300%, 11/25/24 2,860 2,873
Mortgage Obligation Structured Trust
1993-1 A1
6.350%, 10/25/18 368 364
Norwest Asset 1996-9 A3
6.500%, 01/25/27 4,504 4,489
Southern Pacific Secured Assets
1996-2 A2
6.720%, 10/25/16 3,662 3,652
------------
Total Other Mortgage-Backed Obligations
(Cost $11,407) 11,378
------------
U.S. GOVERNMENT AGENCY MORTGAGE-BACKED
OBLIGATIONS--8.4%
FHLMC 1229-G
6.800%, 07/15/05 530 530
FHLMC 1339-PG
7.000%, 08/15/17 4,474 4,476
FNMA 1989-65 G
8.650%, 08/25/18 234 233
GNMA 1995-7 D
7.500%, 04/16/10 3,437 3,453
------------
Total U.S. Government Agency
Mortgage-Backed Obligations
(Cost $8,723) 8,692
------------
RELATED PARTY MONEY MARKET FUND--3.8%
First American Prime
Obligations Fund (C) 3,927,437 3,927
------------
Total Related Party Money Market Fund
(Cost $3,927) 3,927
------------
Total Investments--99.5%
(Cost $102,829) 102,570
------------
Other Assets and Liabilities, Net--0.3% 475
============
NET ASSETS:
Portfolio shares--Institutional Class
($.0001 par value--2 billion authorized)
based on 9,703,242 outstanding shares 99,503
Portfolio shares--Retail Class A
($.0001 par value--2 billion authorized)
based on 730,629 outstanding shares 7,883
Undistributed net investment income 10
Accumulated net realized loss on investments (4,092)
Net unrealized depreciation of investments (259)
------------
Total Net Assets--100.0% $ 103,045
============
Net asset value, offering price, and
redemption price per share--Institutional Class $ 9.88
============
Net asset value and redemption price
per share--Retail Class A $ 9.88
Maximum sales charge of 2.00% (1) 0.20
============
Offering price per share--Retail Class A $ 10.08
============
(1) The offer price is calculated by dividing the net asset value by 1 minus the
maximum sales charge of 2.00%
(A) Variable Rate Security--the rate reported on the Statement of Net Assets
is the rate in effect as of March 31, 1997. The date shown is the next reset
date.
(B) Security sold within the terms of a private placement memorandum, exempt
from registration under section 144A of the Securities Act of 1933, as amended,
and may be sold only to dealers in that program or other "accredited investors."
These securities have been determined to be liquid under guidelines established
by the Board of Directors.
(C) This money market fund is advised by First Bank National Association who
also serves as adviser for this Fund. See also the notes to the financial
statements.
FHLMC--Federal Home Loan Mortgage Corporation
FNMA--Federal National Mortgage Association
GNMA--Government National Mortgage Association
The accompanying notes are an integral part of the financial statements.
INTERMEDIATE TERM INCOME FUND
Description Par (000) Value (000)
- --------------------------------------------------------------------------------
U.S. TREASURY OBLIGATIONS--83.8%
U.S. Treasury Notes
5.750%, 09/30/97 $ 8,710 $ 8,711
5.875%, 10/31/98 43,910 43,584
7.500%, 10/31/99 20,875 21,322
6.375%, 03/31/01 31,750 31,360
6.250%, 02/15/03 12,900 12,558
7.250%, 08/15/04 6,250 6,377
6.500%, 08/15/05 8,410 8,177
------------
Total U.S. Treasury Obligations
(Cost $134,138) 132,089
------------
CORPORATE OBLIGATIONS--5.6%
Bear Stearns
6.500%, 06/15/00 2,800 2,744
Cigna
7.400%, 01/15/03 3,075 3,063
Metropolitan Life Insurance
6.300%, 11/01/03 (B) 3,155 2,974
------------
Total Corporate Obligations
(Cost $9,008) 8,781
------------
U.S. GOVERNMENT AGENCY MORTGAGE-BACKED
OBLIGATIONS--3.7%
FHLMC
6.000%, 11/15/08 3,500 3,221
8.000%, 10/15/20 2,630 2,660
FNMA
14.750%, 03/01/12 1 1
------------
Total U.S. Government Agency
Mortgage-Backed Obligations
(Cost $6,095) 5,882
------------
OTHER MORTGAGE-BACKED OBLIGATIONS--1.4%
Drexel Burnham Lambert Trust S-2
9.000%, 08/01/18 59 61
Prudential Home Mortgage Securities
1994-28
6.763%, 04/01/97 (A) 2,230 2,167
------------
Total Other Mortgage-Backed Obligations
(Cost $2,236) 2,228
------------
ASSET-BACKED SECURITIES--1.3%
Fleet Finance Home Equity 1990-1
8.900%, 01/16/06 19 20
Zale Funding 1994-1B (B)
7.500%, 05/15/03 (B) 2,000 1,993
------------
Total Asset-Backed Securities
(Cost $1,979) 2,013
------------
Description Shares Value (000)
- --------------------------------------------------------------------------------
RELATED PARTY MONEY MARKET FUND--3.4%
First American Prime
Obligations Fund (C) 5,358,345 $ 5,358
------------
Total Related Party Money Market Fund
(Cost $5,358) 5,358
------------
Total Investments--99.2%
(Cost $158,814) 156,351
------------
Other Assets and Liabilities, Net--0.8% 1,323
============
NET ASSETS:
Portfolio shares--Institutional Class
($.0001 par value--2 billion authorized)
based on 15,925,054 outstanding shares 157,801
Portfolio shares--Retail Class A
($.0001 par value--2 billion authorized)
based on 207,169 outstanding shares 2,116
Undistributed net investment income 17
Accumulated net realized gain on investments 203
Net unrealized depreciation of investments (2,463)
------------
Total Net Assets--100.0% $ 157,674
============
Net asset value, offering price, and redemption
price per share--Institutional Class $ 9.77
============
Net asset value and redemption price
per share--Retail Class A $ 9.77
Maximum sales charge of 3.75% (1) 0.38
============
Offering price per share--Retail Class A $ 10.15
============
(1) The offer price is calculated by dividing the net asset value by 1 minus the
maximum sales charge of 3.75%
(A) Variable Rate Security--the rate reported on the Statement of Net Assets is
the rate in effect as of March 31, 1997. The date shown is the next reset date.
(B) Security sold within the terms of a private placement memorandum, exempt
from registration under section 144A of the Securities Act of 1933, as amended,
and may be sold only to dealers in that program or other "accredited investors."
These securities have been determined to be liquid under guidelines established
by the Board of Directors.
(C) This money market fund is advised by First Bank National Association who
also serves as adviser for this Fund. See also the notes to the financial
statements.
FHLMC--Federal Home Loan Mortgage Corporation
FNMA--Federal National Mortgage Association
The accompanying notes are an integral part of the financial statements.
INTERMEDIATE GOVERNMENT BOND FUND
Description Par (000) Value (000)
- --------------------------------------------------------------------------------
U.S. TREASURY OBLIGATIONS--87.0%
U.S. Treasury Notes
6.500%, 08/15/97 $ 4,000 $ 4,012
7.375%, 11/15/97 8,000 8,070
7.875%, 01/15/98 1,250 1,268
7.875%, 04/15/98 13,000 13,228
5.250%, 07/31/98 2,000 1,975
5.125%, 11/30/98 7,300 7,160
6.375%, 01/15/99 4,000 4,001
6.750%, 05/31/99 18,500 18,593
6.875%, 07/31/99 4,750 4,785
7.125%, 09/30/99 16,000 16,212
7.750%, 11/30/99 3,000 3,084
6.875%, 03/31/00 3,500 3,524
6.250%, 05/31/00 1,500 1,484
6.250%, 08/31/00 22,750 22,467
6.250%, 04/30/01 2,500 2,459
7.875%, 08/15/01 6,500 6,773
7.500%, 11/15/01 5,750 5,915
7.500%, 05/15/02 1,000 1,031
7.250%, 05/15/04 10,500 10,720
7.875%, 11/15/04 9,500 10,035
6.500%, 08/15/05 4,500 4,375
------------
Total U.S. Treasury Obligations
(Cost $150,533) 151,171
------------
U.S. GOVERNMENT AGENCY OBLIGATIONS--9.8%
FHLB Callable 05/04/98 @ 100
7.360%, 05/04/01 1,070 1,065
FHLB Callable 05/05/97 @ 100
6.890%, 05/05/99 1,500 1,494
FHLB Callable 09/08/97 @ 100
7.120%, 09/08/99 2,000 2,009
FHLB
5.250%, 04/17/97 2,405 2,399
7.870%, 12/15/97 3,000 3,037
7.280%, 05/18/99 2,000 2,029
6.975%, 07/26/99 1,000 1,009
7.440%, 08/10/01 1,000 1,018
TVA
6.000%, 11/01/00 3,000 2,918
------------
Total U.S. Government Agency Obligations
(Cost $17,004) 16,978
------------
Description Shares Value (000)
- --------------------------------------------------------------------------------
RELATED PARTY MONEY MARKET FUND--1.6%
First American Government
Obligations Fund (A) 2,711,854 2,712
------------
Total Related Party Money Market Fund
(Cost $2,712) 2,712
------------
Total Investments--98.4%
(Cost $170,249) 170,861
------------
Other Assets and Liabilities, Net--1.6% 2,825
------------
NET ASSETS:
Portfolio shares--Institutional Class
($.0001 par value--2 billion authorized)
based on 18,681,799 outstanding shares 169,515
Portfolio shares--Retail Class A
($.0001 par value--2 billion authorized)
based on 387,548 outstanding shares 3,632
Distributions in excess of net investment income (39)
Accumulated net realized loss on investments (34)
Net unrealized appreciation of investments 612
------------
Total Net Assets--100.0% $ 173,686
============
Net asset value, offering price, and redemption
price per share--Institutional Class $ 9.11
============
Net asset value and redemption price
per share--Retail Class A $ 9.12
Maximum sales charge of 3.00% (1) 0.28
============
Offering price per share--Retail Class A $ 9.40
============
(1) The offer price is calculated by dividing the net asset value by 1 minus the
maximum sales charge of 3.00%.
(A) This money market fund is advised by First Bank National Association who
also serves as adviser for this Fund. See also the notes to the financial
statements.
FHLB--Federal Home Loan Bank
TVA--Tennessee Valley Authority
The accompanying notes are an integral part of the financial statements.
FIXED INCOME FUND
Description Par (000) Value (000)
- --------------------------------------------------------------------------------
U.S. TREASURY OBLIGATIONS--70.1%
U.S. Treasury Bond
7.125%, 02/15/23 $ 83,230 $ 82,246
U.S. Treasury Notes
5.750%, 09/30/97 40,570 40,575
5.875%, 10/31/98 92,870 92,181
7.500%, 10/31/99 62,830 64,176
6.375%, 03/31/01 86,215 85,155
6.250%, 02/15/03 42,365 41,241
7.250%, 08/15/04 16,900 17,244
6.500%, 08/15/05 21,475 20,880
------------
Total U.S. Treasury Obligations
(Cost $454,053) 443,698
------------
CORPORATE OBLIGATIONS--9.2%
Bank America National Trust &
Savings Association
8.375%, 05/01/07 150 152
Cigna
7.400%, 01/15/03 10,475 10,436
GMAC
7.350%, 01/27/98 11,000 11,100
Metropolitan Life Insurance
6.300%, 11/01/03 (B) 11,990 11,301
Santander Financial Issuances
7.250%, 05/30/06 20,915 20,444
Torchmark
7.875%, 05/15/23 5,000 4,769
------------
Total Corporate Obligations
(Cost $59,384) 58,202
------------
OTHER MORTGAGE-BACKED OBLIGATIONS--7.2%
Collateralized Mortgage Corporation 88-13 C
8.000%, 09/20/19 84 85
Countrywide Mortgage-Backed
Securities 1994-GA3
6.500%, 04/25/24 2,380 2,293
Drexel Burnham Lambert Trust S-2
9.000%, 08/01/18 523 534
General Electric Capital Mortgage
1994-11 A1
6.500%, 03/25/24 5,519 5,459
General Electric Capital Mortgage
1994-17 A6
7.000%, 05/25/24 7,000 6,707
General Electric Capital Mortgage
1994-17 A7
7.000%, 05/25/24 5,179 4,797
General Electric Capital Mortgage
1994-29 A1
8.300%, 11/25/24 3,146 3,160
J.P. Morgan Commercial Mortgage Finance
1995-C1 B
7.619%, 04/01/97 (A) 10,329 10,076
Description Par (000)/Shares Value (000)
- --------------------------------------------------------------------------------
Merrill Lynch Mortgage Investors
1993-C A4 (A)
6.500%, 04/15/97 (A) 6,000 6,049
Prudential Home Mortgage Securities
1994-28
6.763%, 04/01/97 (A) 5,859 5,693
Residential Funding 1992-36 A2
5.700%, 11/25/07 494 491
------------
Total Other Mortgage-Backed Obligations
(Cost $45,304) 45,344
------------
U.S. GOVERNMENT AGENCY MORTGAGE-BACKED
OBLIGATIONS--5.9%
FHLMC
6.750%, 12/15/05 5,046 4,779
7.000%, 04/17/06 13,993 13,902
6.000%, 11/15/08 1,275 1,173
6.500%, 12/15/23 5,439 4,972
6.500%, 01/15/24 7,103 5,908
7.000%, 02/15/24 7,133 6,736
------------
Total U.S. Government Agency
Mortgage-Backed Obligations
(Cost $37,706) 37,470
------------
ASSET-BACKED SECURITIES--1.6%
CoreStates Home Equity Trust 1994-2 A2
7.000%, 10/15/09 6,500 6,422
Zale Funding 1994-1B
7.500%, 05/15/03 (B) 4,100 4,086
------------
Total Asset-Backed Securities
(Cost $10,298) 10,508
------------
TAXABLE MUNICIPAL BONDS--0.9%
Minneapolis, Minnesota, Single Family
Mortgages, Callable 10/01/05 @ 100 (RB)
6.920%, 04/01/09 5,780 5,736
------------
Total Taxable Municipal Bonds
(Cost $5,780) 5,736
------------
RELATED PARTY MONEY MARKET FUND--3.9%
First American Prime
Obligations Fund (C) 24,586,058 24,586
------------
Total Related Party Money Market Fund
(Cost $24,586) 24,586
------------
Total Investments--98.8%
(Cost $637,111) 625,544
------------
Other Assets and Liabilities, Net--1.2% 7,545
============
NET ASSETS:
Portfolio shares--Institutional Class
($.0001 par value--2 billion authorized)
based on 57,630,154 outstanding shares $ 621,471
Portfolio shares--Retail Class A
($.0001 par value--2 billion authorized)
based on 678,299 outstanding shares 7,531
Portfolio shares--Retail Class B
($.0001 par value--2 billion authorized)
based on 1,444,925 outstanding shares 15,742
Distributions in excess of net investment income (5)
Accumulated net realized loss on investments (83)
Net unrealized depreciation of investments (11,567)
------------
Total Net Assets--100.0% $ 633,089
============
Net asset value, offering price, and redemption
price per share--Institutional Class $ 10.60
============
Net asset value and redemption price
per share--Retail Class A $ 10.61
Maximum sales charge of 3.75% (1) 0.41
============
Offering price per share--Retail Class A $ 11.02
============
Net asset value, and offering price per
share--Retail Class B (2) $ 10.55
============
(1) The offer price is calculated by dividing the net asset value by 1 minus the
maximum sales charge of 3.75%. (2) Retail Class B has a contingent deferred
sales charge. For a description of possible redemption charge, see the notes to
the financial statements.
(A) Variable Rate Security--the rate reported on the Statement of Net Assets is
the rate in effect as of March 31, 1997.
(B) Security sold within the terms of a private placement memorandum, exempt
from registration under section 144A of the Securities Act of 1933, as amended,
and may be sold only to dealers in that program or other "accredited investors."
These securities have been determined to be liquid under guidelines established
by the Board of Directors.
(C) This money market fund is advised by First Bank National Association who
also serves as adviser for this Fund. See also the notes to the financial
statements.
FHLMC--Federal Home Loan Mortgage Corporation
GMAC--General Motors Acceptance Corporation
RB--Revenue Bond
The accompanying notes are an integral part of the financial statements.
INTERMEDIATE TAX FREE FUND
Description Par (000) Value (000)
- --------------------------------------------------------------------------------
MUNICIPAL BONDS--95.9%
ALABAMA--0.6%
Jefferson County, Series A (RB) (FGIC)
5.375%, 02/01/06 $ 1,500 $ 1,515
------------
ARIZONA--3.5%
Maricopa County, School District
(GO) (FSA)
5.250%, 07/01/04 4,500 4,573
Maricopa County, School District #41,
Pre-refunded @ 101 (GO) (FGIC)
6.800%, 07/01/99 (B) 1,000 1,060
7.000%, 07/01/99 (B) 1,000 1,065
University of Arizona, Pre-refunded
@ 102 (RB)
6.900%, 06/01/00 (B) 2,000 2,167
------------
8,865
------------
ARKANSAS--0.2%
Arkansas State College, Series B (GO)
6.100%, 06/01/99 500 517
------------
CALIFORNIA--5.8%
Azusa, Redevelopment Agency, Single
Family Mortgages, Escrowed To Maturity,
Series A (RB) (FNMA)
6.400%, 10/01/02 1,000 1,062
California State (GO)
4.600%, 11/01/97 1,000 1,005
6.000%, 09/01/01 1,000 1,051
California State, Health Facilities Authority,
Callable 10/01/98 @ 102 (RB) (CMI)
7.250%, 10/01/99 500 525
California State, Public Improvements
(GO) (AMBAC)
8.000%, 05/01/03 4,000 4,650
California State, Public Improvements,
Callable 08/01/04 @ 102 (GO) (FGIC)
5.600%, 08/01/06 1,000 1,035
Orange County, Transportation Authority,
Callable 02/15/02 @ 102 (RB)
5.700%, 02/15/03 200 206
5.750%, 02/15/04 1,000 1,032
San Diego, District #1 Park Facilities,
Callable 01/01/04 @ 101 (RB)
5.625%, 01/01/06 1,000 1,037
Tri-city Hospital District,
Series B (RB) (MBIA)
5.750%, 02/15/03 2,870 2,974
------------
14,577
------------
COLORADO--6.3%
Arvada, Sales & Use Tax, Callable 12/01/02
@ 100 (RB) (FGIC)
5.900%, 12/01/05 1,000 1,027
Boulder, Larimer, & Weld Counties,
Vrain Valley School District #R-1,
Callable 12/15/04 @ 100 (GO) (MBIA)
5.600%, 12/15/05 1,000 1,037
Boulder, Sales & Use Tax, Callable
08/15/01 @ 100 (RB)
7.200%, 08/15/13 500 529
Colorado Springs, Series A (RB)
6.350%, 11/15/01 1,000 1,060
Colorado State, Health Facilities Authority,
Vail Valley Medical Center, Series A (RB)
5.300%, 01/15/00 500 499
5.450%, 01/15/01 500 498
Colorado State, Housing Finance Authority,
Single Family Mortgages, Callable
08/01/99 @ 102 (RB) (FHA/VA)
7.400%, 08/01/09 600 617
Colorado State, Water Power Development
Authority, Callable 09/01/04 @ 100 (RB)
5.700%, 09/01/05 500 519
Douglas County, School District #1,
Series B (GO) (MBIA) (STAID)
5.850%, 12/15/05 1,000 1,057
Golden, Water Utility Improvements,
Callable 05/08/97 @ 101 (RB)
6.800%, 11/15/97 50 51
Greeley, Sales & Use Tax, Callable
08/01/97 @ 100 (RB) (MBIA)
6.000%, 08/01/99 400 402
Highlands Ranch, Metropolitan
District #1, Callable 09/01/97 @ 101
(GO) (MBIA)
7.000%, 09/01/98 500 511
Jefferson County, Callable 12/01/04 @ 100
(COP) (MLO) (MBIA)
6.650%, 12/01/08 500 543
Northglenn, Water & Sewer (GO) (FSA)
5.250%, 12/01/02 2,500 2,547
Summit County, School District #1
(GO) (FGIC)
0.000%, 12/01/03 1,325 944
University of Colorado, Callable 06/01/03
@ 100 (RB) (MBIA)
6.125%, 06/01/08 1,440 1,499
University of Colorado, Callable 05/05/97
@ 100 (RB)
7.625%, 06/01/06 25 25
Westminster, Sales & Use Tax, Callable
12/01/02 @ 100 (RB) (FGIC)
6.250%, 12/01/12 1,250 1,334
Westminster, Water & Waste Water Utility
Improvements, Callable 12/01/04 @ 100
(RB) (AMBAC)
6.000%, 12/01/09 1,000 1,040
------------
15,739
------------
DELAWARE--1.2%
Delaware State, Callable 04/01/01
@ 102 (GO)
6.350%, 04/01/03 1,000 1,069
New Castle County, Callable 10/01/03
@ 102 (GO)
5.300%, 10/01/05 2,000 2,020
------------
3,089
------------
DISTRICT OF COLUMBIA--0.2%
District of Columbia, Series A, Callable
06/01/00 @ 102 (GO) (MBIA)
6.300%, 06/01/01 500 522
------------
FLORIDA--1.4%
Clearwater, Utility Improvements,
Escrowed To Maturity (RB)
6.100%, 12/01/04 2,300 2,380
Reedy Creek, Utility Improvements,
Callable 10/01/97 @ 102 (RB)
(AMT) (MBIA)
8.900%, 10/01/03 1,000 1,041
------------
3,421
------------
GEORGIA--2.2%
De Kalb County, Housing Finance
Authority, Single Family Mortgages,
Callable 08/01/03 @ 100 (RB)
(AMT) (GNMA)
7.400%, 02/01/14 445 466
Fulton County, Development Authority,
Callable 01/01/06 @ 102 (RB)
(CLE) (MBIA)
5.125%, 01/01/10 1,000 955
Georgia State, Series A (GO)
5.900%, 03/01/03 1,000 1,055
Georgia State, Series D (GO)
5.800%, 11/01/02 1,000 1,050
Georgia State, Series E (GO)
5.500%, 07/01/03 2,000 2,075
------------
5,601
------------
HAWAII--3.7%
Hawaii County, Public Improvements,
Pre-refunded @ 101 (RB) (FGIC)
7.100%, 06/01/00 (B) 1,000 1,082
Hawaii State (GO) (FGIC)
6.000%, 03/01/05 3,000 3,154
Hawaii State, Public Improvements,
Pre-refunded @ 100 (GO)
6.900%, 06/01/00 (B) 1,000 1,067
Hawaii State, Series B (GO)
5.750%, 03/01/00 1,000 1,031
Hawaii State, Series C (GO)
5.000%, 09/01/05 1,000 991
Honolulu, Hawaii City & County
Public Improvements, Pre-refunded
@ 101 (GO)
6.950%, 06/01/00 (B) 1,000 1,077
Honolulu, Hawaii City & County Water
Project, Escrowed To Maturity (GO)
6.300%, 04/01/97 250 250
Honolulu, Hawaii City & County Water
Project, Series A, Pre-refunded
@ 101.5 (GO)
7.000%, 07/01/97 (B) 500 511
------------
9,163
------------
IDAHO--1.6%
Ada & Canyon Counties, Joint School
District #2, Callable 07/30/07 @ 100 (GO)
5.500%, 07/30/10 1,205 1,219
5.500%, 07/30/11 1,270 1,278
Boise City, Callable 02/01/01 @ 106 (RB)
4.500%, 02/01/04 1,000 971
Boise State University (RB) (FSA)
4.750%, 04/01/04 570 562
------------
4,030
------------
ILLINOIS--3.1%
Chicago, Single Family Mortgages, Series A,
Callable 03/01/06 @ 103 (RB) (AMT)
(GNMA/FNMA/FHLMC)
5.250%, 03/01/13 1,075 1,060
De Kalb, Single Family Mortgages,
Series A (RB) (AMT) (GNMA)
7.000%, 12/01/01 560 565
Illinois State (GO)
5.000%, 06/01/03 1,000 1,001
Illinois State, Development Finance
Authority, Lockport Township High
School (RB) (FGIC)
0.000%, 01/01/01 1,500 1,239
Illinois State, Metropolitan Pier &
Exposition Authority (RB)
0.000%, 06/15/17 9,750 2,876
Kane County, School District #131
Aurora East Side (GO) (FSA)
5.300%, 01/01/03 1,000 1,015
------------
7,756
------------
INDIANA--0.6%
Indiana State, Housing Finance Authority,
Callable 01/01/98 @ 102.5 (RB) (FPI)
7.800%, 01/01/99 415 424
Indiana State, Municipal Power Agency,
Series B (RB) (MBIA)
4.850%, 01/01/99 1,000 1,006
Perry Township, Multi-School Building,
Escrowed To Maturity (RB) (STAID)
7.000%, 07/01/97 15 15
------------
1,445
------------
IOWA--1.0%
Davenport, Home Ownership Mortgages,
Series 1994 (RB)
4.000%, 03/01/03 130 128
Des Moines Area Community College
(GO) (AMT)
7.500%, 06/01/97 360 362
Des Moines, Series C, Callable 06/01/99
@ 100 (GO)
6.900%, 06/01/00 500 525
Iowa State, Finance Authority, Correctional
Facilities Program, Callable 06/15/05
@ 100 (RB)
5.400%, 06/15/07 750 741
Iowa State, Finance Authority, Single
Family Mortgages, Series F (RB) (AMBAC)
5.350%, 07/01/99 740 753
------------
2,509
------------
KANSAS--0.2%
Johnson County, Single Family Mortgages (RB)
5.625%, 05/01/02 10 10
Kansas State, Development Finance
Authority, Stormont-Vail Healthcare
Project (RB) (MBIA)
5.400%, 11/15/05 475 480
------------
490
------------
MAINE--0.4%
Maine State, Municipal Bond Bank,
Series C (RB)
5.350%, 11/01/05 1,075 1,090
------------
MARYLAND--1.6%
Maryland State & Local Facilities Project (GO)
5.100%, 03/15/02 1,000 1,014
5.200%, 02/01/03 1,000 1,017
Maryland State & Local Facilities Project,
Series Z, Callable
06/01/06 @ 100 (GO)
5.400%, 06/01/07 1,000 1,016
Washington Suburban Sanitation District,
Pre-refunded @ 102 (RB)
6.900%, 06/01/00 (B) 1,000 1,084
------------
4,131
------------
MASSACHUSETTS--0.4%
Massachusetts State, Water Pollution
Control Project (RB)
5.000%, 02/01/02 1,000 1,006
------------
MICHIGAN--5.4%
Detroit, Water Supply Systems Project,
Series A (RB) (MBIA)
5.000%, 07/01/06 1,000 991
Huron Valley, School District (GO) (FGIC)
5.350%, 05/01/07 1,000 1,011
Michigan State, Building Authority,
Series I (RB) (AMBAC)
5.000%, 10/01/03 2,500 2,503
Oakland & Washtenaw Counties,
Community College Improvements,
Callable 05/01/04 @ 100 (RB)
6.650%, 05/01/11 1,000 1,094
Oakland University, Callable 05/15/07
@ 100 (RB) (MBIA)
5.600%, 05/15/10 1,000 1,010
Walled Lake, Consolidated School
District, School Improvements Project,
Callable 05/01/07 @ 100 (GO) (MBIA)
5.300%, 05/01/08 3,500 3,478
West Ottawa, Public School District,
Callable 05/01/07 @ 100 (GO) (FGIC)
5.250%, 05/01/08 3,405 3,350
------------
13,437
------------
MINNESOTA--5.3%
Bloomington, Mall of America Project,
Series A, Callable 02/01/04 @
100 (RB) (FSA)
5.450%, 02/01/09 1,000 1,023
Burnsville Apartments Project, Series A,
Mandatory Put @ 100 (RB)
5.000%, 12/01/98 (C) 2,500 2,503
Dakota County, Callable 02/01/98
@ 100 (GO)
7.250%, 02/01/04 1,000 1,020
Minneapolis & Saint Paul, Housing &
Redevelopment Authority, Health Care
Systems Project (RB) (AMBAC)
4.250%, 11/15/99 1,100 1,086
Minneapolis, Childrens Medical Center,
Series C, Pre-refunded @ 102 (RB)
7.000%, 06/01/01 (B) 1,000 1,101
Minneapolis, Hennepin Avenue Project,
Series C (GO)
6.200%, 03/01/02 800 849
Minnesota State (GO)
6.800%, 08/01/98 2,000 2,019
Minnetonka, Cliffs-Ridgedale, Multi-Family
Mortgages (RB) (FNMA)
3.300%, 04/03/97 (A) 800 800
Stillwater, Independent School District #834,
Callable 02/01/99 @ 100 (GO) (FGIC)
6.750%, 02/01/09 2,700 2,805
------------
13,206
------------
MISSISSIPPI--1.2%
Delta Correctional Facilities Authority
(RB) (MLO) (FGIC)
4.950%, 07/01/01 925 930
Mississippi State, Capital Improvements,
Series B (GO)
6.000%, 08/01/01 2,000 2,100
------------
3,030
------------
MISSOURI--2.2%
Kansas City, School District (RB)
(MLO) (FGIC)
6.300%, 02/01/00 1,000 1,045
Kansas City, School District,
Callable 02/01/01 @ 102 (RB)
(MLO) (FGIC)
6.400%, 02/01/02 2,000 2,125
Missouri State, Health & Education
Facilities Authority, Pre-refunded
@ 102 (RB)
7.125%, 12/15/00 (B) 1,300 1,433
Platte County, Park Hill School
District (GO) (STAID)
4.750%, 03/01/04 1,000 971
------------
5,574
------------
MONTANA--0.2%
Montana State University, Callable 11/15/06
@ 100 (RB) (MBIA)
5.375%, 11/15/17 500 478
------------
NEBRASKA--11.8%
Buffalo County, Hospital Authority #1,
Escrowed To Maturity (RB)
6.375%, 11/01/03 155 158
Douglas County, Hospital Authority #2,
Pre-refunded @ 102 (RB)
7.250%, 11/01/01 (B) 1,500 1,671
Douglas County, School District #17
Millard, Series A, Callable 05/15/99 @ 101
(GO) (MBIA)
5.050%, 05/15/01 750 757
Douglas County, School District #17
Millard, Series B, Callable 05/15/99 @ 101
(GO) (MBIA)
5.000%, 05/15/00 500 506
Fremont, Electrical Systems Project,
Escrowed To Maturity (RB)
5.500%, 01/01/98 300 303
Grand Island, Electrical Systems Project,
Callable 09/01/99 @ 101 (RB)
6.050%, 09/01/01 1,000 1,044
Grand Island, Sewer Improvements (RB)
5.100%, 04/01/02 500 504
5.200%, 04/01/03 500 504
Lincoln, Electrical Systems Project,
Series A, Callable 09/01/03 @ 102 (RB)
4.800%, 09/01/04 3,000 2,959
Lincoln, Power Supply Facilities,
Series A (RB)
4.750%, 09/01/98 500 505
5.000%, 09/01/00 500 506
Lincoln, Waterworks Project (RB)
4.900%, 08/15/03 1,000 1,011
Lincoln, Waterworks Project, Escrowed
To Maturity (RB)
6.700%, 11/01/00 500 531
Municipal Energy Agency of Nebraska,
Series A (RB) (AMBAC)
5.450%, 04/01/02 750 767
Municipal Energy Agency of Nebraska,
Series A, Callable 04/01/02 @ 102
(RB) (AMBAC)
5.600%, 04/01/03 750 775
Nebraska State, Educational Finance
Authority, Creighton University Project,
Callable 01/01/06 @ 101 (RB) (AMBAC)
5.600%, 01/01/07 2,500 2,572
Nebraska State, Investment Finance
Authority, Methodist Health Systems
Project (RB) (MBIA)
6.750%, 03/01/01 2,000 2,133
Nebraska State, Public Power District,
Callable 01/01/03 @ 102 (RB) (MBIA)
4.900%, 01/01/04 1,500 1,491
Nebraska State, Public Power District,
Nuclear Facility Project, Callable 01/01/03
@ 102 (RB) (MBIA)
5.200%, 07/01/00 1,000 1,011
Nebraska State, Public Power District,
Series A (RB) (MBIA)
6.000%, 01/01/04 1,385 1,456
Nebraska State, Public Power District,
Series A (RB)
5.100%, 01/01/98 500 502
5.500%, 01/01/01 500 511
Omaha (GO)
4.700%, 05/01/99 1,000 1,006
4.700%, 05/01/03 1,000 993
Omaha, Callable 09/01/01 @ 102 (GO)
5.900%, 09/01/02 500 526
Omaha, Escrowed To Maturity (GO)
6.700%, 12/01/97 350 356
Omaha, Public Power District, Series A (RB)
5.300%, 02/01/05 500 508
Omaha, Public Power District, Series A,
Escrowed To Maturity (RB)
6.500%, 02/01/98 200 204
5.550%, 02/01/99 1,000 1,020
Omaha, Public Power District,
Series B (RB)
5.000%, 02/01/03 1,000 1,008
Omaha, Sewer Systems (RB)
5.200%, 01/15/02 1,000 1,016
Ravenna, Industrial Development (RB)
5.000%, 09/01/00 810 816
------------
29,630
------------
NEVADA--0.7%
Nevada State, Housing Division, Single
Family Program, Series R (RB) (FHA/VA)
4.600%, 04/01/98 650 653
Nevada State, Municipal Bond Bank,
Escrowed To Maturity (RB)
6.100%, 07/01/02 1,000 1,054
------------
1,707
------------
NEW HAMPSHIRE--0.2%
New Hampshire State, Capital
Improvements, Series B (GO)
5.450%, 11/01/97 500 505
------------
NEW JERSEY--2.6%
New Jersey State (GO)
5.000%, 07/15/01 3,000 3,034
5.300%, 02/15/02 1,000 1,023
5.900%, 08/01/02 1,000 1,053
New Jersey State, Housing & Mortgage
Finance Agency, Callable 10/01/05 @
100 (RB) (MBIA)
3.750%, 10/01/09 335 327
New Jersey State, Transportation Trust
Fund Authority, Series B (RB) (MBIA)
5.000%, 06/15/04 1,000 996
------------
6,433
------------
NEW MEXICO--1.4%
Farmington, Utility Systems, Escrowed
to Maturity (RB)
10.000%, 01/01/02 540 601
New Mexico State, Callable 09/01/00
@ 100 (GO)
5.250%, 09/01/04 1,000 1,006
New Mexico State, Mortgage Finance
Authority (RB) (GNMA/FNMA)
5.650%, 07/01/08 1,410 1,456
New Mexico State, Severance Tax,
Callable 07/01/99 @ 100 (RB)
5.900%, 07/01/00 500 507
------------
3,570
------------
NEW YORK--1.2%
New York State, Environmental Facilities,
Pollution Control Project, Callable
11/15/04 @ 102 (RB)
6.400%, 05/15/06 1,250 1,375
New York, Municipal Assistance Corporation,
Series I (RB) (D)
6.250%, 07/01/05 1,500 1,609
------------
2,984
------------
NORTH CAROLINA--1.2%
North Carolina State, Series A (GO)
5.100%, 03/01/04 3,000 3,026
------------
NORTH DAKOTA--2.4%
Bismarck, Hospital Authority (RB) (AMBAC)
6.250%, 05/01/99 1,000 1,033
Bismarck, Infrastructure Project,
Callable 04/01/97 @ 100.5 (COP) (MLO)
8.000%, 10/01/97 300 306
Bismarck, Infrastructure Project,
Callable 10/01/97 @ 100 (COP) (MLO)
8.500%, 10/01/01 50 51
Bismarck, Medical Center One (RB) (BIG)
7.300%, 05/01/97 140 140
Fargo, Public School District #1,
Callable 05/01/01 @ 100 (GO) (MBIA)
5.350%, 05/01/04 500 506
Fargo, Sales Tax (RB) (AMBAC)
5.000%, 01/01/01 500 504
Grand Forks, United Hospital
Obligated Group (RB) (MBIA)
6.000%, 12/01/00 1,000 1,041
North Dakota State, 1986 Real Estate,
Series A, Callable 05/12/97 @ 102 (GO)
7.000%, 09/01/98 85 87
North Dakota State, Building Authority,
Pre-refunded @ 100 (RB) (MLO)
(AMBAC)
7.400%, 06/01/00 (B) 1,000 1,079
North Dakota State, Housing Finance
Agency, Single Family Mortgages, Callable
01/01/04 @ 100 (RB) (FHA/FMHA)
6.100%, 07/01/16 110 111
North Dakota State, Industrial Commission,
Lignite Program, Series A (RB)
5.750%, 11/15/05 1,000 1,026
North Dakota State, Student Loans (RB)
6.100%, 07/01/01 25 26
North Dakota State, Student Loans, Callable
07/01/98 @ 103 (RB) (AMBAC)
6.900%, 07/01/01 25 26
Oliver County, Square Butte Electric
Cooperative Project, Callable 04/25/97
@ 100 (RB)
7.000%, 12/31/10 50 50
------------
5,986
------------
OHIO--2.5%
Ohio State, Building Authority, Adult
Correctional Facilities Project (RB)
(MLO) (MBIA)
5.500%, 10/01/04 1,000 1,029
Ohio State, Building Authority, Juvenile
Correctional Facilities Project
(RB) (AMBAC)
5.900%, 10/01/03 1,000 1,053
Ohio State, Water Development Authority
(RB) (AMBAC)
5.250%, 06/01/06 2,000 2,013
Ohio State, Water Development Authority
(RB) (MBIA)
6.000%, 12/01/00 2,000 2,090
------------
6,185
------------
OKLAHOMA--0.9%
Oklahoma City, Metropolitan Utility
Authority, Callable 09/01/05 @ 102 (RB)
5.600%, 09/01/06 1,000 1,036
Oklahoma County, Housing Finance
Authority, Pre-refunded @ 56.9 (RB)
0.000%, 03/01/06 (B) 3,690 1,310
------------
2,346
------------
OREGON--0.7%
Deschutes & Jefferson Counties, School
District #2 Redmond, Callable 06/01/03
@ 100 (GO) (MBIA)
5.400%, 06/01/05 750 762
Lane County, School District #19
Springfield, Callable 10/15/04 @ 101
(GO) (MBIA)
5.900%, 10/15/06 1,000 1,054
------------
1,816
------------
PENNSYLVANIA--4.2%
Erie County, Prison Authority, Pre-refunded
@ 100 (RB) (MLO) (MBIA)
6.700%, 11/01/01 (B) 1,000 1,078
6.600%, 11/01/01 (B) 1,000 1,074
Governor Mifflin School District, School
Improvements Project, Pre-refunded @
100 (GO) (AMBAC)
6.500%, 02/01/02 (B) 2,000 2,138
Northumberland County, Commonwealth
Lease, Callable 10/15/01 @ 100 (RB)
(MLO) (MBIA)
6.600%, 10/15/02 1,000 1,074
Pennsylvania State (GO) (AMBAC)
5.125%, 09/15/03 5,000 5,050
Pennsylvania State, Series A, Escrowed
To Maturity (GO)
6.700%, 04/15/97 250 250
------------
10,664
------------
PUERTO RICO--0.1%
Housing Finance Authority, Single
Family Mortgages (RB) (GNMA)
5.800%, 10/15/00 105 107
6.000%, 02/01/02 110 113
------------
220
------------
RHODE ISLAND--2.2%
Rhode Island State, Consolidated Capital
Development, Series B, Pre-refunded
@ 102 (GO)
6.125%, 05/15/00 (B) 5,200 5,493
------------
SOUTH CAROLINA--0.4%
State Highway Project, Series A,
Callable 07/01/06 @ 102 (GO)
5.625%, 07/01/07 1,000 1,031
------------
SOUTH DAKOTA--0.2%
Sioux Falls (GO) (MLO)
6.450%, 08/01/01 500 533
South Dakota State, Student Loans (RB)
7.800%, 08/01/97 85 86
------------
619
------------
TEXAS--2.6%
Austin, Utility Systems (RB) (MBIA)
5.700%, 11/15/05 1,000 1,043
Garland, School District (GO)
8.000%, 02/15/01 1,000 1,113
Texas State, Turnpike Authority, President
George Bush Turnpike, Callable 01/01/06
@ 102 (RB) (FGIC)
5.000%, 01/01/25 5,000 4,400
------------
6,556
------------
UTAH--1.2%
Intermountain Power Authority (RB) (FSA)
5.250%, 07/01/03 1,000 1,015
Intermountain Power Authority, Callable
07/01/98 @ 102 (RB)
7.625%, 07/01/08 500 526
Utah State, Housing Finance Agency,
Single Family Mortgages, Series E1
(RB) (FHA/VA)
6.050%, 01/01/98 95 96
6.050%, 07/01/98 100 102
Utah State, Housing Finance Agency,
Single Family Mortgages, Series F1
(RB) (FHA/VA/FMHA)
4.900%, 01/01/99 220 221
Utah State, Municipal Power Agency,
Series A (RB) (FGIC)
4.700%, 07/01/99 1,000 1,000
------------
2,960
------------
VIRGINIA--2.2%
Brunswick County, Industrial Development
Authority, Callable 07/01/06 @ 102 (RB)
(MLO) (MBIA)
5.550%, 07/01/08 1,500 1,526
Fairfax County, Series A, Pre-refunded
@ 100.75 (GO)
6.850%, 04/01/97 (B) 500 504
Fairfax County, Series A, Pre-refunded
@ 100.5 (GO)
6.000%, 04/01/98 (B) 500 512
Peninsula Regional Jail Authority (RB)
(MBIA)
5.300%, 10/01/09 1,000 985
Riverside Regional Jail Authority,
Callable 07/01/05 @ 102 (RB) (MBIA)
5.700%, 07/01/08 2,000 2,070
------------
5,597
------------
WASHINGTON--4.9%
Clark County, Solid Waste Disposal Project,
Mandatory Put @ 100 (RB) (AMT)
(SWB)
7.200%, 08/01/97 (C) 825 834
Port Everett, Airport & Marina Project
(RB) (MBIA)
4.700%, 04/01/03 1,140 1,130
Port Everett, Series B (RB) (MBIA)
4.800%, 04/01/04 1,545 1,516
Spokane County, School District
(GO) (FSA)
4.500%, 12/01/04 875 847
Spokane, Callable 01/01/98 @ 100 (GO)
6.700%, 01/01/99 500 508
Washington State, Public Power Supply
Systems, Nuclear Project #2,
Callable 01/01/01 @ 102 (RB)
7.500%, 07/01/03 3,000 3,289
Description Par (000)/Shares Value (000)
- --------------------------------------------------------------------------------
Washington State, Public Power Supply
Systems, Nuclear Project #2,
Callable 07/01/01 @ 102 (RB)
6.500%, 07/01/03 $ 2,000 $ 2,128
Washington State, Series 93A (GO)
5.300%, 10/01/01 1,000 1,023
Washington State, Series R-92B (GO)
6.200%, 09/01/01 1,000 1,058
------------
12,333
------------
WISCONSIN--3.5%
Franklin (GO) (PN) (FSA)
4.800%, 09/01/03 750 743
Franklin, Public Improvements
(GO) (PN) (FSA)
4.900%, 09/01/04 850 842
Milwaukee County, Callable 09/01/02
@ 100 (GO)
5.550%, 09/01/03 1,000 1,021
Rock County (GO) (PN)
4.550%, 09/01/02 1,080 1,057
Wisconsin State (GO)
6.000%, 05/01/02 1,000 1,051
Wisconsin State, Health & Educational
Facilities Authority, Medical College
of Wisconsin (RB)
4.800%, 12/01/99 1,000 1,000
Wisconsin State, Pre-refunded @ 101 (GO)
6.900%, 05/01/97 (B) 500 506
Wisconsin State, Series 1 (GO)
5.200%, 11/01/02 1,000 1,016
Wisconsin State, Series 3 (GO)
5.250%, 11/01/02 1,000 1,019
Wisconsin State, Series D, Callable
05/01/00 @ 101 (GO)
6.000%, 05/01/01 500 524
------------
8,779
------------
WYOMING--0.5%
Sweetwater, Pacific Power & Light,
Pre-refunded @ 100 (RB)
6.500%, 12/01/01 (B) 700 750
Wyoming State, Community Development
Authority, Single Family Mortgages
(RB) (FHA/VA)
6.200%, 06/01/99 500 513
------------
1,263
------------
Total Municipal Bonds
(Cost $238,607) 240,894
------------
MONEY MARKET FUND--2.9%
Federated Tax Free Money Market 7,358,332 7,358
------------
Total Money Market Fund
(Cost $7,358) 7,358
------------
Total Investments--98.8%
(Cost $245,965) 248,252
------------
Other Assets and Liabilities, Net--1.2% 3,000
============
NET ASSETS:
Portfolio shares--Institutional Class
($.0001 par value--2 billion authorized)
based on 23,504,649 outstanding shares 245,169
Portfolio shares--Retail Class A
($.0001 par value--2 billion authorized)
based on 299,385 outstanding shares 3,204
Undistributed net investment income 75
Accumulated net realized gain on investments 517
Net unrealized appreciation of investments 2,287
------------
Total Net Assets--100.0% $ 251,252
============
Net asset value, offering price, and redemption
price per share--Institutional Class $ 10.55
============
Net asset value and redemption price per
share--Retail Class A $ 10.57
Maximum sales charge of 3.00% (1) 0.33
============
Offering price per share--Retail Class A $ 10.90
============
(1) The offer price is calculated by dividing the net asset value by 1 minus the
maximum sales charge of 3.00%.
(A) Variable Rate Security--the rate reported on the Statement of Net Assets is
the rate in effect as of March 31, 1997. The date shown is the next reset date.
(B) Pre-refunded Security--the pre-refunded date is shown as the maturity date
on the Statement of Net Assets.
(C) Mandatory Put Security--the mandatory put date is shown as the maturity date
on the Statement of Net Assets.
(D)When Issued Security (Total Cost $1,644,405)
AMBAC--American Municipal Bond Assurance Corporation
AMT--Alternative Minimum Tax
BIG--Bond Investors Guaranty Insurance Company
CFC--National Rural Utilities Cooperative Financing Corporation
CLE--College Construction Loan Insurance Association
CMI--California Municipal Insurers
COP--Certificate of Participation
FGIC--Financial Guaranty Insurance Corporation
FHA--Federal Housing Authority
FHLMC--Federal Home Loan Mortgage Corporation
FMHA--Farmers Home Administration
FNMA--Federal National Mortgage Association
FPI--Foremost Pool Insurance
FSA--Financial Security Assurance
GNMA--Government National Mortgage Association
GO--General Obligation
MBIA--Municipal Bond Insurance Association
MLO--Municipal Lease Obligation
PN--Promissory Notes
RB--Revenue Bond
STAID--State Aid Withholding
SWB--Swiss Bank
VA--Veterans Administration
The accompanying notes are an integral part of the financial statements.
MINNESOTA INSURED INTERMEDIATE TAX FREE FUND
Description Par (000) Value (000)
- --------------------------------------------------------------------------------
MUNICIPAL BONDS--98.4%
MINNESOTA--98.1%
Anoka County, Capital Improvement,
Series C (GO)
5.550%, 02/01/05 $ 2,000 $ 2,035
Anoka County, Northern States Power,
Callable 12/01/99 @ 102 (GO)
6.850%, 12/01/01 1,000 1,071
Anoka County, Solid Waste Disposal
Project (GO) (CFC)
6.200%, 12/01/00 1,000 1,052
Anoka-Hennepin, School District #11,
Series B (GO) (ST)
5.000%, 02/01/06 1,000 994
Anoka-Hennepin, School District #11,
Callable 02/01/03 @ 100 (GO) (FGIC)
4.875%, 02/01/07 3,300 3,213
Anoka-Hennepin, School District #11,
Series C (GO) (FGIC)
4.600%, 02/01/01 5,000 4,969
Bass Brook, Minnesota Power & Light,
Pollution Control (RB)
6.875%, 12/01/02 2,000 2,102
Becker, Pollution Control, Callable
04/01/99 @ 102 (RB)
6.800%, 04/01/07 3,900 4,124
Becker, Series B (GO)
4.600%, 12/01/00 1,050 1,039
4.700%, 12/01/01 1,000 991
Becker, Tax Increment, Series D,
Callable 08/01/04 @ 100 (GO)
(AMT) (MBIA)
6.000%, 08/01/07 3,955 4,143
Bloomington, Mall of America Project,
Series A, Callable 02/01/04 @ 100
(RB) (FSA)
5.450%, 02/01/09 3,850 3,937
Bloomington, Mall of America Project,
Series A (GO) (FSA)
5.000%, 02/01/01 1,090 1,095
5.000%, 02/01/02 1,585 1,587
Bloomington, Port Authority, Callable
03/01/00 @ 100 (GO)
6.000%, 03/01/03 1,800 1,852
Chaska, First Mortgages, Multi-Family
Housing, Callable 04/01/97 @ 102 (RB)
7.750%, 10/01/08 900 913
Coon Rapids, Multi-Family Housing,
Woodland North Apartments, Callable
12/01/03 @ 100 (RB) (FHA)
5.625%, 12/01/09 470 465
Coon Rapids, Single Family Mortgages,
Callable 09/01/04 @ 102 (RB)
5.900%, 09/01/06 1,215 1,238
Dakota & Washington Counties, Housing
& Redevelopment, Single Family Mortgages,
Escrowed to Maturity (RB)
(AMT) (FHA/GNMA/VA)
8.000%, 03/01/01 485 537
8.000%, 09/01/01 550 616
Dakota County, Housing & Redevelopment
Authority, Callable 04/01/05 @ 102 (RB)
(AMT) (FNMA/GNMA)
6.000%, 10/01/14 1,375 1,353
Dakota County, Housing & Redevelopment
Authority, Single Family Mortgages,
Callable 04/01/04 @ 102 (RB)
(AMT) (FNMA)
6.250%, 10/01/04 1,060 1,081
Dakota County, Housing & Redevelopment
Authority, Single Family Mortgages,
Callable 09/01/98 @ 103 (RB)
(FHA/GNMA/VA)
7.250%, 03/01/06 555 555
Dakota County, Housing & Redevelopment
Authority (RB) (MLO)
4.650%, 02/01/00 1,000 996
4.800%, 02/01/01 1,045 1,040
4.950%, 02/01/02 1,000 995
Dakota, Washington, & Stearns Counties,
Housing & Redevelopment Authority,
Single Family Mortgages, Callable
03/01/04 @ 102 (RB) (AMT) (FNMA)
6.000%, 09/01/04 650 665
6.500%, 09/01/10 1,000 1,027
Duluth, Economic Development Authority,
Health Care Facility, Escrowed to
Maturity (RB) (AMBAC)
6.100%, 11/01/04 250 269
Duluth, Economic Development Authority,
Health Care Facility, Callable 11/01/02
@ 102 (RB) (AMBAC)
6.100%, 11/01/04 650 695
Fridley, School District #14, Callable
02/01/05 @ 100 (GO) (FSA)
5.350%, 02/01/26 5,000 4,675
Hopkins, Independent School District #270,
Series A, Callable 02/01/03 @ 100
(GO) (MBIA)
4.800%, 02/01/05 2,000 1,945
Mankato County, Independent School
District #77, Series A, Callable 02/01/04
@ 100 (GO) (FSA)
5.100%, 02/01/07 1,000 987
Minneapolis & St. Paul, Housing &
Redevelopment Authority, Health Care,
Callable 08/15/00 @ 102 (RB) (MBIA)
7.300%, 08/15/01 1,000 1,092
Minneapolis & St. Paul, Housing &
Redevelopment Authority, Health Care
System, Series A, Callable 11/15/03
@ 102 (RB) (AMBAC)
5.000%, 11/15/13 3,000 2,782
Minneapolis & St. Paul, Housing &
Redevelopment Authority, Health
Care System, Callable 11/15/03 @
102 (RB) (AMBAC)
4.750%, 11/15/18 1,500 1,267
Minneapolis & St. Paul, Housing &
Redevelopment Authority, Health
Care System, Health One Obligated
Group, Series C, Pre-refunded
@ 102 (RB)
8.000%, 08/15/00 (B) 1,000 1,119
Minneapolis & St. Paul, Housing &
Redevelopment Authority, Health
Care System, Series A, Callable
11/15/03 @ 102 (RB) (AMBAC)
5.000%, 11/15/07 2,000 1,925
Minneapolis & St. Paul, Housing
Finance Board, Callable 11/01/04
@ 102 (RB) (AMT) (FNMA/GNMA)
6.800%, 11/01/08 1,500 1,614
Minneapolis & St. Paul, Housing
Finance Board, Single Family Mortgages,
Series A, Callable 06/01/99 @ 102
(RB) (AMT) (FHA/GNMA/VA)
7.875%, 12/01/12 360 363
Minneapolis & St. Paul, Housing Finance
Board, Single Family Mortgages,
Phase VI, Series A, Callable 08/01/98
@ 102 (RB)
7.700%, 08/01/00 170 177
Minneapolis & St. Paul, Metropolitan
Airport Project, Callable 01/01/99
@ 102 (RB) (AMT)
7.800%, 01/01/11 2,900 3,063
Minneapolis & St. Paul, Metropolitan
Apartments Community, Series 8
(RB) (AMT)
5.750%, 01/01/00 1,335 1,368
Minneapolis & St. Paul, Metropolitan
Apartments Community, Series 10,
Callable 01/01/03 @ 100 (RB)
5.000%, 01/01/05 1,000 989
Minneapolis & St. Paul, Metropolitan
Apartments Community, Series 8,
Callable 01/01/02 @ 100 (RB) (AMT)
6.100%, 01/01/03 1,500 1,569
6.350%, 01/01/04 2,500 2,634
Minneapolis, Community Development
Agency (RB) (MBIA)
7.000%, 03/01/01 2,500 2,700
Minneapolis, Community Development
Agency, Recreational Facility
Improvements (RB) (MBIA)
0.000%, 03/01/02 5,000 3,937
Minneapolis, Health Care Facilities,
Callable 11/15/03 @ 102 (RB) (MBIA)
5.100%, 11/15/05 1,000 987
Minneapolis, Health Care Facility, Fairview
Hospital & Healthcare, Series A
(RB) (MBIA)
4.800%, 11/15/02 1,000 987
Minneapolis, Hennepin Avenue, Series C,
Pre-refunded @ 100 (GO)
6.250%, 03/01/02 (B) 1,000 1,061
6.350%, 03/01/02 (B) 1,200 1,279
Minneapolis, Abbott Northwestern,
Pre-refunded @ 102 (RB)
6.950%, 12/01/99 (B) 1,000 1,079
Minneapolis, Callable 10/01/05 @ 100 (RB)
0.000%, 10/01/12 2,950 996
Minneapolis, Public Improvements,
Escrowed to Maturity (GO)
5.300%, 11/01/99 1,500 1,537
Minneapolis, Series B,
Callable 09/01/05 @ 100 (GO)
5.050%, 03/01/06 6,000 6,015
Minneapolis, Sales Tax,
Callable 04/01/02 @ 102 (RB)
6.150%, 10/01/05 2,400 2,550
Minneapolis, School District #1
(RB) (MLO) (AMBAC)
5.300%, 02/01/02 1,000 1,010
Minneapolis, School District #1,
Callable 02/01/98 @ 100 (GO)
6.200%, 02/01/01 1,000 1,011
Minneapolis, School District #1, Series A,
Callable 02/01/06 @ 100 (COP) (MBIA)
5.900%, 02/01/11 2,150 2,174
Minneapolis, School District #1, Series B,
Callable 02/01/03 @ 100 (COP)
(MLO) (AMBAC)
5.400%, 02/01/04 2,000 2,020
5.500%, 02/01/05 2,000 2,020
Minneapolis, Tax Increment,
Pre-refunded @ 100 (GO)
6.300%, 04/01/00 (B) 1,000 1,046
Minnesota Higher Education Facilities
Authority, University of St. Thomas,
Series 3-C, Pre-refunded @ 101 (RB)
7.125%, 09/01/00 (B) 2,095 2,276
Minnesota Public Facilities Authority,
Water Pollution Control, Series A (RB)
6.250%, 03/01/00 1,000 1,045
Minnesota Public Facilities Authority,
Water Pollution Control, Series A,
Pre-refunded @ 102 (RB)
6.850%, 03/01/00 (B) 1,000 1,078
6.900%, 03/01/00 (B) 500 539
Minnesota Public Facilities Authority,
Water Pollution Control, Series B (RB)
6.050%, 03/01/00 1,000 1,040
Minnesota Public Facilities Authority,
Water Pollution Control, Series B,
Callable 03/01/01 @ 102 (RB)
6.250%, 03/01/02 500 532
6.350%, 03/01/03 500 534
Minnesota State Housing Finance Agency,
Rental Housing, Series D (RB) (MBIA)
5.150%, 08/01/04 960 956
Minnesota State Housing Finance Agency,
Rental Housing, Series D, Callable
02/01/05 @ 102 (RB) (MBIA)
5.450%, 08/01/07 2,900 2,889
Minnesota State Housing Finance Agency,
Rental Housing, Series D (RB) (MBIA)
4.650%, 02/01/00 1,935 1,928
5.050%, 08/01/03 960 958
Minnesota State Housing Finance Agency,
Single Family Mortgages, Series D,
Callable 01/01/04 @ 102 (RB) (AMBAC)
4.800%, 07/01/04 3,400 3,345
Minnesota State Housing Finance Agency,
Single Family Mortgages, Series C,
Callable 01/01/01 @ 102 (RB) (FHA/VA)
6.600%, 07/01/02 735 764
Minnesota State Housing Finance Agency,
Single Family Mortgages, Series C
(RB) (FHA)
7.500%, 01/01/98 360 366
7.700%, 01/01/99 390 404
Minnesota State Housing Finance Agency,
Single Family Mortgages, Series D
(RB) (AMBAC)
4.500%, 07/01/01 2,000 1,978
Minnesota State (GO)
5.000%, 04/01/03 1,000 1,009
Minnesota State,
Pre-refunded @ 100 (GO)
6.800%, 08/01/98 (B) 3,790 3,923
5.750%, 08/01/02 (B) 5,000 5,213
Minnesota State, Series A (RB) (AMBAC)
5.000%, 06/30/00 4,000 4,035
Northern Minnesota Municipal Power
Agency, Series A, Callable 01/01/03
@ 102 (RB) (AMBAC)
5.700%, 01/01/05 2,500 2,584
Northern Minnesota Municipal Power
Agency, Series A, Callable 01/01/99
@ 102 (RB) (AMBAC)
7.250%, 01/01/00 1,700 1,804
Northern Minnesota Municipal Power
Agency, Series A (RB) (AMBAC)
5.500%, 01/01/03 2,500 2,559
Northern Minnesota Municipal Power
Agency, Series A, Callable 01/01/03
@ 102 (RB) (AMBAC)
5.600%, 01/01/04 1,900 1,957
Northern Minnesota Municipal Power
Agency, Series A, Callable 01/01/05
@ 100 (RB) (AMBAC)
5.900%, 01/01/07 1,800 1,872
Northern Minnesota Municipal Power
Agency, Series A, Callable 01/01/99
@ 102 (RB) (MBIA)
7.300%, 01/01/01 3,835 4,065
Olmsted County, Housing &
Redevelopment Authority,
Pre-refunded @ 100 (RB) (MLO)
7.000%, 02/01/01 (B) 1,025 1,106
7.000%, 02/01/01 (B) 2,000 2,158
Olmsted County, Resource Recovery,
Series A, Callable 02/01/02 @ 100 (RB)
5.800%, 02/01/04 1,850 1,919
Osseo, Independent School District #279,
Callable 02/01/03 @ 100 (GO) (FGIC)
5.400%, 02/01/05 2,525 2,547
Osseo, Independent School District #279,
Series B (GO)
4.700%, 02/01/05 1,000 970
4.800%, 02/01/06 1,000 971
Osseo, Independent School District,
Series A, Callable 02/01/00 @ 100 (GO)
5.500%, 02/01/01 1,300 1,321
Pipestone, Industrial Development,
Cargill Project (RB)
5.000%, 09/01/00 1,890 1,907
Plymouth, Health Facilities,
Callable 06/01/04 @ 102 (RB) (CGIC)
6.200%, 06/01/11 1,360 1,420
Ramsey & Washington Counties, Resource
Recovery, Northern State Power, Series A,
Callable 12/01/97 @ 103 (RB)
6.200%, 12/01/00 1,000 1,040
Red Wing, Independent School
District #256, Series A,
Callable 02/01/03 @ 100 (GO)
5.250%, 02/01/05 1,010 1,014
Richfield, Independent School
District #280 (GO) (FGIC)
4.513%, 08/01/97 8,330 8,101
Robbinsdale, North Memorial Medical
Center, Series B (RB) (AMBAC)
5.100%, 05/15/03 1,000 1,010
Robbinsdale, North Memorial Medical
Center, Series A, Callable 05/15/03
@ 102 (RB) (AMBAC)
5.150%, 05/15/04 1,000 1,008
Robbinsdale, North Memorial Medical
Center, Series A (RB) (AMBAC)
5.100%, 05/15/03 1,000 1,010
Robbinsdale, North Memorial Medical
Center, Series B (RB) (AMBAC)
5.000%, 05/15/02 1,250 1,256
Rochester, Independent School
District #535, Series A,
Callable 02/01/00 @ 100 (GO)
5.600%, 02/01/03 1,500 1,532
Rochester, St. Mary's Hospital,
Escrowed to Maturity (RB)
5.750%, 10/01/07 3,000 3,056
Rosemount, Independent School District,
Series A, Callable 06/01/04 @ 100
5.625%, 06/01/07 1,400 1,432
Rosemount, Independent School District,
Series B (GO)
5.800%, 02/01/99 2,000 2,045
Savage, Public Improvements (GO) (FGIC)
5.200%, 02/01/05 1,000 1,006
Savage, Public Improvements,
Callable 02/01/06 @ 100 (GO) (FGIC)
5.350%, 02/01/07 1,000 1,006
5.500%, 02/01/08 1,000 1,013
South St. Paul, Housing & Redevelopment
Authority, Single Family Mortgages,
Callable 09/01/05 @ 100 (RB) (FNMA)
5.100%, 09/01/07 1,175 1,153
4.500%, 09/01/11 545 523
South Washington County, Independent
School District #833, Callable 06/01/04
@ 100 (GO) (FGIC)
4.600%, 06/01/06 1,000 964
South Washington County, Independent
School District #833, Series A,
Callable 06/01/04 @ 100 (GO) (FGIC)
4.500%, 06/01/05 1,000 963
Southern Minnesota Municipal Power
Agency (RB) (MBIA)
0.000%, 01/01/20 3,500 914
Southern Minnesota Municipal Power
Agency, Callable 01/01/03 @ 102
(RB) (FGIC)
5.000%, 01/01/06 2,500 2,450
Southern Minnesota Municipal Power
Agency, Power Supply Systems,
Series A, Escrowed To Maturity (RB)
5.300%, 01/01/01 725 739
5.400%, 01/01/02 360 369
Southern Minnesota Municipal Power
Agency, Power Supply Systems, Series B,
Escrowed To Maturity (RB)
5.300%, 01/01/01 1,000 1,019
Southern Minnesota Municipal Power
Agency, Power Supply Systems,
Series A (RB) (FGIC)
5.300%, 01/01/01 1,275 1,294
Southern Minnesota Municipal Power
Agency, Series A, Escrowed to Maturity,
Callable 01/01/03 @ 102 (RB)
5.600%, 01/01/04 895 938
Southern Minnesota Municipal Power
Agency, Series A (RB) (MBIA)
0.000%, 01/01/21 5,000 1,240
Southern Minnesota Municipal Power
Agency, Series B (RB) (MBIA)
4.850%, 01/01/07 1,875 1,800
St. Cloud, Hospital Facility, St. Cloud
Hospital, Series B, Pre-refunded @ 102
(GO) (AMBAC)
7.000%, 07/01/01 (B) 3,000 3,308
St. Cloud, Law Enforcement Center,
Callable 02/01/01 @ 100 (RB) (MLO)
5.750%, 02/01/02 1,000 1,020
St. Cloud, Water & Sewer, Series A (RB)
6.000%, 08/01/02 1,000 1,045
St. Louis Park, Health Care Facilities,
Callable 07/01/03 @ 102 (RB) (AMBAC)
4.600%, 07/01/05 6,000 5,753
St. Louis Park, Health Care Facilities,
Minnesota Health System, Series A,
Escrowed to Maturity (RB) (AMBAC)
4.300%, 07/01/00 2,000 1,973
St. Louis Park, Health Care Facilities,
Methodist Hospital, Series C,
Pre-refunded @ 102 (RB) (AMBAC)
7.150%, 07/01/00 (B) 1,240 1,355
7.200%, 07/01/00 (B) 1,250 1,367
7.250%, 07/01/00 (B) 3,500 3,833
St. Louis Park, Housing & Redevelopment
Authority, Single Family Mortgages,
Callable 04/20/03 @ 100 (RB) (GNMA)
6.500%, 10/20/03 472 489
St. Louis Park, Independent School
District #283, Callable 02/01/01 @ 100 (RB)
5.900%, 02/01/04 1,000 1,033
St. Paul, Housing & Redevelopment
Authority, Callable 03/01/05 @ 102
(RB) (FNMA)
6.125%, 03/01/17 1,210 1,213
St. Paul, Housing & Redevelopment
Authority, Civic Center Project (RB)
4.700%, 11/01/02 1,420 1,408
St. Paul, Housing & Redevelopment
Authority, Downtown & Seventh Place
Project (RB) (AMBAC)
4.850%, 09/01/01 2,000 1,995
St. Paul, Housing & Redevelopment
Authority, Downtown & Seventh Place
Project, Callable 09/01/03 @ 101
(RB) (AMBAC)
5.200%, 09/01/04 4,000 4,015
St. Paul, Housing & Redevelopment
Authority, Downtown & Seventh Place
Project, Callable 09/01/04 @ 100
(RB) (AMBAC)
5.350%, 09/01/07 1,000 1,000
St. Paul, Housing & Redevelopment
Authority, Series A, Pre-refunded
@ 102 (RB)
6.450%, 08/01/00 (B) 1,000 1,071
St. Paul, Housing & Redevelopment
Authority, St. Paul Heart & Lung Center,
Mandatory Put @ 100 (RB)
4.700%, 12/01/00 (C) 3,075 3,063
St. Paul, Independent School District #625,
Callable 01/01/00 @ 100 (GO) (MLO)
6.800%, 01/01/02 750 787
St. Paul, Independent School District #625,
Callable 02/01/04 @ 100 (GO)
5.800%, 02/01/07 1,000 1,038
St. Paul, Independent School District #625,
Callable 01/01/00 @ 100 (COP) (MLO)
6.850%, 01/01/03 750 793
St. Paul, Independent School District #625,
Series C (COP) (MLO) (FSA)
6.125%, 02/01/01 1,100 1,151
St. Paul, Independent School District #625,
Series C (COP) (MLO)
5.850%, 02/01/07 1,000 1,025
St. Paul, Independent School District #625,
Series C (RB) (FSA)
6.125%, 02/01/00 1,025 1,070
St. Paul, Port Authority Energy Package,
Tax Increment (RB) (FSA)
5.000%, 02/01/08 2,100 2,037
St. Paul, Port Authority Industrial
Development, Escrowed To Maturity (RB)
8.250%, 11/01/99 320 334
St. Paul, Science Museum, Escrowed
to Maturity (COP)
7.500%, 12/15/01 415 430
St. Paul, Series A,
Callable 02/01/01 @ 100 (GO)
5.250%, 02/01/03 1,500 1,513
St. Paul, Sewer Revenue,
Callable 06/01/03 @ 100 (RB) (AMBAC)
5.350%, 12/01/04 3,000 3,011
5.450%, 12/01/05 5,000 5,019
Stearns County, Housing & Redevelopment
Authority, Callable 02/01/99 @ 102
(RB) (MLO) (AMBAC)
6.750%, 02/01/04 1,665 1,750
Stillwater, Independent School District #834,
Callable 02/01/99 @ 100 (GO) (FGIC)
6.500%, 02/01/02 1,500 1,547
6.600%, 02/01/03 2,000 2,060
Stillwater, Independent School District #834,
Callable 02/01/02 @ 100 (GO) (FGIC)
5.200%, 02/01/03 2,500 2,531
Stillwater, Independent School District #834,
Callable 02/01/99 @ 100 (GO)
(MLO) (FGIC)
6.750%, 02/01/08 1,000 1,035
Minnesota State, Tax-Exempt Mortgage
Trust, Series C (RB) (MLO) (NN)
4.362%, 07/15/97 (A) 146 144
Vadnais Heights, Single Family
Mortgages (RB)
5.500%, 11/01/04 1,005 1,008
6.000%, 11/01/09 580 583
5.600%, 05/01/10 1,000 999
Washington County, Housing &
Redevelopment Authority, Jail Facility (RB)
6.400%, 02/01/00 1,000 1,049
Washington County, Housing &
Redevelopment Authority, Jail Facility,
Callable 02/01/03 @ 100 (RB) (MBIA)
5.400%, 02/01/08 1,580 1,578
Washington County, Housing &
Redevelopment Authority, Jail Facility,
Pre-refunded @ 100 (RB)
6.800%, 02/01/02 (B) 1,500 1,626
Washington County, Housing &
Redevelopment Authority, Jail Facility (RB)
5.000%, 02/01/03 2,755 2,769
Washington County, Housing &
Redevelopment Authority, Jail Facility,
Escrowed To Maturity (RB) (MLO)
6.300%, 02/01/99 1,000 1,034
Washington County, Housing &
Redevelopment Authority, Jail Facility,
Escrowed To Maturity (RB)
6.500%, 02/01/01 1,000 1,061
Description Par (000)/Shares Value (000)
- --------------------------------------------------------------------------------
Washington County, Raymie Johnson
Apartments, Series C (GO) (FGIC)
6.000%, 01/01/10 $ 1,340 $ 1,379
West St. Paul, Independent School
District #197 (GO) (MBIA)
0.000%, 02/01/99 930 856
0.000%, 02/01/05 2,000 1,320
Western Minnesota Municipal Power
Agency, Series B (RB) (AMBAC)
6.000%, 01/01/03 1,500 1,581
Western Minnesota Municipal Power
Agency, Callable 01/01/03 @ 100
(RB) (AMBAC)
6.500%, 01/01/04 1,980 2,106
Willmar, Independent School District #347,
Series C, Callable 02/01/02 @ 100
(GO) (AMBAC)
6.150%, 02/01/09 1,000 1,033
Wright County, Series C, Pre-refunded
@ 100 (GO) (AMT) (FSA)
6.800%, 12/01/99 (B) 500 527
6.950%, 12/01/99 (B) 500 529
------------
293,748
------------
PUERTO RICO--0.1%
Puerto Rico, Housing Finance Agency,
Single Family Mortgages, Portfolio 1,
Series B (RB) (GNMA)
6.800%, 10/15/99 330 347
------------
VIRGIN ISLANDS--0.2%
Virgin Islands, Callable 10/01/03 @ 100
(RB) (GOVI)
7.750%, 10/01/06 390 419
------------
Total Municipal Bonds
(Cost $290,021) 294,514
------------
MONEY MARKET FUND--1.1%
Federated Minnesota
Municipal Cash Trust 3,359,845 3,360
------------
Total Money Market Fund
(Cost $3,360) 3,360
------------
Total Investments--99.5%
(Cost $293,381) 297,874
------------
Other Assets and Liabilities, Net--0.5% 1,462
============
NET ASSETS:
Portfolio shares--Institutional Class
($.0001 par value--2 billion authorized)
based on 29,732,790 outstanding shares $ 287,525
Portfolio shares--Retail Class A
($.0001 par value--2 billion authorized)
based on 709,577 outstanding shares 7,006
Distributions in excess of net investment income (2)
Accumulated net realized gain on investments 314
Net unrealized appreciation of investments 4,493
------------
Total Net Assets--100.0% $ 299,336
============
Net asset value, offering price, and redemption
price per share--Institutional Class $ 9.83
============
Net asset value and redemption price per
share--Retail Class A $ 9.86
Maximum sales charge of 3.00% (1) 0.30
============
Offering price per share--Retail Class A $ 10.16
============
(1) The offer price is calculated by dividing the net asset value by 1 minus the
maximum sales charge of 3.00%.
(A) Variable Rate Security--the rate reported on the Statement of Net Assets is
the rate in effect as of March 31, 1997. The date shown is the next reset date.
(B) Pre-refunded Security--the pre-refunded date is shown as the maturity date
on the Statement of Net Assets.
(C) Mandatory Put Security--the mandatory put date is shown as the maturity date
on the Statement of Net Assets.
AMBAC--American Municipal Bond Assurance Corporation
AMT--Alternative Minimum Tax
CFC--National Rural Utilities Cooperative Financing Corporation
CGIC--Capital Guaranty Insurance Company
COP--Certificate of Participation
FGIC--Federal Guaranty Insurance Corporation
FHA--Federal Housing Authority
FNMA--Federal National Mortgage Association
FSA--Financial Security Assurance
GNMA--Government National Mortgage Association
GO--General Obligation
GOVI--General Obligation of U.S. Virgin Islands
MBIA--Municipal Bond Insurance Association
MLO--Municipal Lease Obligation
NN--Northwestern National
RB--Revenue Bond
ST--Backed by State Funds
VA--Veterans Administration
The accompanying notes are an integral part of the financial statements.
COLORADO INTERMEDIATE TAX FREE FUND
Description Par (000) Value (000)
- --------------------------------------------------------------------------------
MUNICIPAL BONDS--93.6%
COLORADO--93.6%
Adams County, School District #12,
Callable 12/15/03 @ 100 (GO) (FGIC)
6.200%, 12/15/08 $ 455 $ 481
Adams County, School District #14
(GO) (FSA)
4.750%, 12/01/04 (D) 500 492
Adams County, School District #50 (GO)
5.125%, 12/01/00 1,000 1,014
Arapahoe County, Cherry Creek School
District #5, Callable 12/15/00 @ 101 (GO)
6.800%, 12/15/01 1,000 1,077
Arapahoe County, Cherry Creek School
District #5, Callable 12/15/03 @ 100
(GO) (STAID)
5.250%, 12/15/04 500 507
Arapahoe County, Littleton School
District #6, Callable 12/01/06 @ 102
(GO) (STAID)
5.250%, 12/01/10 1,000 982
Aurora, Callable 12/01/04 @ 101
(COP) (MLO)
6.000%, 12/01/06 1,000 1,016
Aurora, Community College Project
(RB) (MLO) (CLE)
5.750%, 10/15/04 500 517
Boulder County, Sales & Use Tax
(RB) (FGIC)
5.750%, 12/15/05 1,000 1,034
Boulder Valley, School District #R-2,
Callable 10/15/01 @ 100 (GO)
5.900%, 10/15/02 500 519
5.900%, 10/15/03 500 518
Boulder Valley, School District,
Callable 12/01/04 @ 101 (GO) (STAID)
5.950%, 12/01/07 1,000 1,047
Boulder, Larimer, & Weld Counties, Vrain
Valley School District, Callable 12/15/04
@ 100 (GO) (MBIA)
5.800%, 12/15/07 500 521
Boulder, Larimer, & Weld Counties,
Vrain Valley School District,
Pre-refunded @ 101 (GO)
7.200%, 12/15/99 (B) 500 537
Boulder, Urban Renewal Tax Allocation
(RB) (MBIA)
5.700%, 03/01/00 1,250 1,281
Brighton, Callable 12/01/01 @ 101
(GO) (MBIA)
6.350%, 12/01/05 500 529
Broomfield, Callable 05/01/97 @ 101 (GO)
7.600%, 11/01/03 1,000 1,012
Centennial Water & Sanitation, Series A,
Callable 06/01/97 @ 101.5 (GO) (SWB)
4.750%, 12/01/97 500 502
Colorado Springs, Memorial Hospital,
Callable 12/15/05 @ 102 (RB) (MBIA)
6.000%, 12/15/15 500 507
Colorado Springs, Series A, Callable
11/15/01 @ 102 (RB)
6.625%, 11/15/04 1,000 1,079
6.500%, 11/15/15 995 1,066
Colorado State Board of Agriculture,
Fort Lewis College (RB) (FGIC)
6.000%, 10/01/02 250 262
Colorado State Housing Finance Authority,
Multi-Family Housing, Series A (RB) (FHA)
5.125%, 10/01/03 570 561
Colorado State Housing Finance Authority,
Single Family Mortgages, Series B-1
(RB) (AMT)
5.875%, 06/01/11 860 870
Colorado State Student Obligations
Board Authority (RB)
4.800%, 12/01/99 500 502
Colorado State Student Obligations
Board Authority, Series C (RB)
4.400%, 03/01/00 600 591
Colorado State Water Resource & Power
Development Authority, Callable 09/01/02
@ 101 (RB) (FSA)
5.900%, 09/01/03 250 264
Colorado State Water Resource & Power
Development Authority, Clean Water
Project, Callable 09/01/02 @ 102 (RB)
5.800%, 09/01/06 1,000 1,050
Colorado State Water Resource & Power
Development Authority (RB) (AMBAC)
5.500%, 09/01/04 1,000 1,035
Denver, City & County Airport, Series C,
Mandatory Put @ 100 (RB) (ST)
6.000%, 04/01/97 (C) 1,650 1,661
Denver, City & County Airport, Series D
(RB) (MORG) (AMT)
3.600%, 04/02/97 (A) 500 500
Denver, City & County Water, Callable
09/01/01 @ 100 (RB)
5.250%, 09/01/07 500 500
Douglas & Elbert Counties, School District #1,
Callable 12/15/04 @ 101 (GO)
(MBIA) (STAID)
6.400%, 12/15/11 1,000 1,094
Eagle, Garfield, & Routt Counties, School
District #50 J, Callable 12/01/04 @ 102
(GO) (FGIC) (STAID)
6.125%, 12/01/09 1,290 1,353
El Paso County, School District #2
Harrison (GO)
7.050%, 12/01/04 1,000 1,106
El Paso County, School District #20
(COP) (MLO)
6.100%, 12/01/99 250 257
El Paso County, School District #20,
Series A (GO)
6.100%, 12/15/05 500 527
Fort Collins, Callable 12/01/02 @ 101 (GO)
6.400%, 12/01/09 575 604
Fort Collins, Wastewater, Callable
12/01/05 @ 100 (RB) (FGIC)
5.250%, 12/01/07 1,000 1,001
Garfield, Pitkin, & Eagle Counties,
School District #1 (GO) (MBIA)
6.000%, 12/15/04 1,000 1,062
Jefferson County, Industrial Development
Authority (RB)
6.625%, 09/01/01 250 267
Jefferson County, Metropolitan Y.M.C.A.,
Callable 08/01/04 @ 100 (RB)
7.500%, 08/01/08 1,000 1,020
Jefferson County, School District #R-1,
Callable 12/15/02 @ 101 (GO)
(AMBAC) (STAID)
5.900%, 12/15/04 1,045 1,097
La Plata County, School District #9
Durango, Callable 11/01/02 @ 101
(GO) (FGIC) (STAID)
6.200%, 11/01/05 1,000 1,064
Larimer County, School District #R-1
Poudre (GO)
5.400%, 12/15/04 750 748
Larimer County, School District #R-1
Poudre, Callable 12/15/02 @ 101 (GO) (MBIA)
6.150%, 12/15/16 1,000 1,031
Larimer, Weld, & Boulder Counties,
School District #R-2 Thompson,
Callable 12/15/04 @ 100 (GO)
5.900%, 12/15/06 1,000 1,034
Louisville, Callable 06/01/98 @ 101
(GO) (FGIC)
7.200%, 12/01/04 465 481
Moffat County, Pollution Control
(RB) (AMBAC)
5.500%, 11/01/05 1,000 1,025
Platte River Power Authority,
Series BB (RB)
5.500%, 06/01/02 500 514
Pueblo (GO) (MBIA)
6.000%, 05/01/00 500 521
Description Par (000)/Shares Value (000)
- --------------------------------------------------------------------------------
Pueblo County, Single Family Mortgages,
Callable 11/01/04 @ 102 (RB)
(FNMA/GNMA)
6.400%, 11/01/13 $ 1,100 $ 1,106
Pueblo, Urban Renewal Authority,
Callable 12/01/03 @ 101 (RB) (AMBAC)
5.800%, 12/01/09 840 854
Regional Transit District (RB)
5.750%, 11/01/01 1,500 1,560
South Suburban Park & Recreation
District (GO) (MBIA)
0.000%, 12/15/01 1,000 791
Stonegate Village Metropolitan District,
Callable 12/01/02 @ 100 (GO)
6.300%, 12/01/04 500 533
Summit County, School District #R-1,
Pre-refunded @ 100 (GO) (FGIC)
6.450%, 12/01/04 (B) 1,250 1,366
Thornton (GO) (FGIC)
5.600%, 12/01/02 1,000 1,038
Thornton, Callable 12/01/02 @ 101
(GO) (FGIC)
5.650%, 12/01/03 1,000 1,040
University of Colorado,
Callable 06/01/99 @ 101 (RB)
6.800%, 06/01/02 300 315
Westminster, Sales & Use Tax,
Callable 12/01/07 @ 101 (RB) (FGIC)
5.250%, 12/01/11 (D) 500 485
Westminster, Water & Wastewater Utility
Enterprise, Callable 10/01/04 @ 100
(RB) (AMBAC)
5.800%, 12/01/05 1,000 1,046
------------
49,974
------------
Total Municipal Bonds
(Cost $48,614) 49,974
------------
MONEY MARKET FUNDS--5.3%
Federated Minnesota
Municipal Cash Trust 500,000 500
Federated Tax Free Money Market 2,310,952 2,311
------------
Total Money Market Funds
(Cost $2,811) 2,811
------------
Total Investments--98.9%
(Cost $51,425) 52,785
------------
Other Assets and Liabilities, Net--1.1% 593
============
NET ASSETS:
Portfolio shares--Institutional Class
($.0001 par value--2 billion authorized)
based on 4,793,929 outstanding shares $ 48,173
Portfolio shares--Retail Class A
($.0001 par value--2 billion authorized)
based on 365,981 outstanding shares 3,799
Distributions in excess of net investment income (8)
Accumulated net realized gain on investments 54
Net unrealized appreciation of investments 1,360
------------
Total Net Assets--100.0% $ 53,378
============
Net asset value, offering price, and
redemption price per share--
Institutional Class $ 10.34
============
Net asset value and redemption price
per share--Retail Class A $ 10.35
Maximum sales charge of 3.00% (1) 0.32
============
Offering price per share--Retail Class A $ 10.67
============
(1) The offer price is calculated by dividing the net asset value by 1 minus the
maximum sales charge of 3.00%.
(A) Variable Rate Security--the rate reported on the Statement of Net Assets is
the rate in effect as of March 31, 1997. The date shown is the next reset date.
(B) Pre-refunded Security--the pre-refunded date is shown as the maturity date
on the Statement of Net Assets.
(C) Mandatory Put Security--the mandatory put date is shown as the maturity date
on the Statement of Net Assets.
(D) At March 31, 1997, the cost of securities purchased on a when-issued basis
was $496,755 for Adams County School District #14 and $494,925 for Westminster
Sales and Use Tax.
AMBAC--American Municipal Bond Assurance Corporation
AMT--Alternative Minimum Tax
CLE--College Construction Loan Insurance Association
COP--Certificates of Participation
FGIC--Financial Guaranty Insurance Corporation
FHA--Federal Housing Authority
FNMA--Federal National Mortgage Association
FSA--Financial Security Assurance
GNMA--Government National Mortgage Association
GO--General Obligation
MBIA--Municipal Bond Insurance Association
MLO--Municipal Lease Obligation
MORG--Morgan Company
RB--Revenue Bond
ST--Sumitomo Trust
STAID--State Aid Withholding
SWB--Swiss Bank
The accompanying notes are an integral part of the financial statements.
ASSET ALLOCATION FUND
Description Shares Value (000)
- --------------------------------------------------------------------------------
COMMON STOCKS--36.1%
AEROSPACE & DEFENSE--0.2%
Lockheed Martin 1,404 $ 118
Raytheon 1,700 77
------------
195
------------
AGRICULTURE--0.0%
Pioneer Hi-Bred International 600 38
------------
AIR TRANSPORTATION--0.2%
AMR* 700 58
Delta Air Lines 500 42
Federal Express* 800 42
Southwest Airlines 1,100 24
U.S. Air Group* 500 12
------------
178
------------
AIRCRAFT--0.6%
Allied Signal 2,100 150
Boeing 2,596 256
General Dynamics 500 34
McDonnell Douglas 1,500 91
Northrop 400 30
Textron 600 63
United Technologies 1,800 135
------------
759
------------
APPAREL/TEXTILES--0.1%
Fruit of the Loom* 600 25
Liz Claiborne 500 22
Russell 300 11
Springs Industries, Cl A 100 4
V.F. 500 33
------------
95
------------
AUTOMOTIVE--0.8%
Chrysler 5,300 159
Dana 700 23
Eaton 600 43
Echlin 500 17
Fleetwood Enterprises 300 7
Ford Motor 8,600 270
General Motors 5,500 305
Navistar International* 500 5
Paccar 300 20
TRW 900 47
------------
896
------------
BANKS--3.0%
Banc One 3,077 122
Bank of Boston 1,100 74
Bank of New York 2,900 107
BankAmerica 2,600 262
Bankers Trust New York 600 49
Barnett Banks 1,400 65
Chase Manhattan 3,208 300
Citicorp 3,400 368
Comerica 800 45
CoreStates Financial 1,600 76
Fifth Third Bancorp 800 62
First Bank System 1,000 73
First Chicago NBD 2,353 127
First Union 2,120 172
Fleet Financial Group 1,894 108
Golden West Financial 400 25
Great Western Financial 1,000 40
H.F. Ahmanson 800 29
J.P. Morgan 1,400 138
KeyCorp 1,600 78
MBNA 2,400 67
Mellon Bank 900 65
National City 1,600 75
NationsBank 5,656 313
Norwest 2,700 125
PNC Bank 2,500 100
Republic New York 400 35
Suntrust Banks 1,600 74
U.S. Bancorp 1,100 59
Wachovia 1,200 65
Wells Fargo 699 199
------------
3,497
------------
BEAUTY PRODUCTS--0.7%
Alberto-Culver, Cl B 400 10
Avon Products 1,000 52
Colgate-Palmolive 1,100 110
Ecolab 500 19
International Flavors & Fragrances 800 35
Procter & Gamble 5,000 575
------------
801
------------
BROADCASTING, NEWSPAPERS & ADVERTISING--0.2%
Comcast, Cl A 2,400 40
Interpublic Group 600 32
Tele-Communications, Cl A* 4,800 58
Viacom, Cl B* 2,592 86
------------
216
------------
BUILDING & CONSTRUCTION--0.1%
Centex 200 7
Fluor 600 31
Foster Wheeler 300 11
Halliburton 900 61
Kaufman & Broad Home 300 4
Owens Corning 400 16
Pulte 200 6
------------
136
------------
CHEMICALS--1.0%
Air Products & Chemicals 800 54
Dow Chemical 1,800 144
E.I. du Pont de Nemours 4,100 435
Eastman Chemical 600 32
FMC* 300 18
Great Lakes Chemical 500 23
Hercules 700 30
Monsanto 4,300 164
Morton International 1,000 42
Nalco Chemical 500 19
Praxair 1,100 49
Rohm & Haas 500 37
Union Carbide 900 40
W.R. Grace 600 28
------------
1,115
------------
COMMUNICATIONS EQUIPMENT--0.5%
Andrew* 675 24
DSC Communications* 900 19
General Instrument* 1,000 23
General Signal 400 16
Harris 300 23
ITT Industries 900 20
Motorola 4,300 260
Northern Telecom 1,900 124
Scientific-Atlanta 600 9
Tellabs* 1,300 47
------------
565
------------
COMPUTERS & SERVICES--1.3%
Amdahl* 900 8
Apple Computer* 900 16
Bay Networks* 1,400 25
Cabletron Systems* 1,100 32
Ceridian* 500 18
Compaq Computer* 2,000 153
Data General* 300 5
Dell Computer* 1,300 88
Digital Equipment* 1,100 30
EMC* 1,700 60
Hewlett Packard 7,400 394
IBM 3,800 522
Intergraph* 300 2
Pitney Bowes 1,100 65
Seagate Technology* 1,800 81
Silicon Graphics* 1,288 25
Tandem Computers* 900 11
Tandy 400 20
Unisys* 1,300 8
------------
1,563
------------
CONSUMER PRODUCTS--0.0%
Stride Rite 400 6
Tupperware 500 17
------------
23
------------
CONTAINERS & PACKAGING--0.1%
Ball 200 5
Crown Cork & Seal 900 46
Newell 1,200 40
------------
91
------------
DRUGS--3.1%
Abbott Laboratories 5,700 320
Allergan 500 15
Alza, Cl A* 600 16
American Home Products 4,700 282
Amgen* 1,900 106
Bristol-Myers Squibb 7,600 448
Eli Lilly 4,044 333
Johnson & Johnson 9,700 513
Merck 8,800 741
Pfizer 4,700 395
Pharmacia & Upjohn 3,725 136
Schering Plough 2,700 196
Warner Lambert 2,000 173
------------
3,674
------------
ELECTRICAL SERVICES--1.0%
American Electric Power 1,400 58
Baltimore Gas & Electric 1,100 29
Carolina Power & Light 1,100 40
Central & South West 1,500 32
Cinergy 1,111 38
Consolidated Edison New York 1,700 51
Dominion Resources of Virginia 1,300 47
DTE Energy 1,100 30
Duke Power 1,500 66
Edison International 3,200 72
Entergy 1,700 42
FPL Group 1,300 57
GPU 900 29
Houston Industries 1,700 35
Niagara Mohawk Power* 1,100 9
Northern States Power 500 24
Ohio Edison 1,100 23
Pacificorp 2,200 47
PECO Energy 1,600 33
PG&E 3,000 70
PP&L Resources 1,200 24
Public Service Enterprise Group 1,700 45
Raychem 300 25
Southern 4,900 104
Texas Utilities 1,600 55
Thomas & Betts 400 17
Unicom 1,600 31
Union Electric 700 26
------------
1,159
------------
ENTERTAINMENT--0.3%
Harrah's Entertainment* 750 13
King World Productions* 300 11
Walt Disney 4,900 358
------------
382
------------
ENVIRONMENTAL SERVICES--0.2%
Browning Ferris Industries 1,600 46
Laidlaw, Cl B 2,300 32
WMX Technologies 3,500 107
------------
185
------------
FINANCIAL SERVICES--1.0%
American Express 3,500 210
Beneficial 400 26
Dean Witter Discover 2,392 83
FHLMC 5,200 142
FNMA 8,000 289
Green Tree Financial 1,000 34
H & R Block 800 23
Household International 700 60
ITT Hartford Group 900 65
Merrill Lynch 1,200 103
Morgan Stanley Group 1,100 65
Salomon 800 40
Transamerica 485 43
------------
1,183
------------
FOOD, BEVERAGE & TOBACCO--3.2%
Adolph Coors, Cl B 300 6
American Brands 1,200 61
Anheuser Busch 3,600 152
Archer Daniels Midland 3,937 70
Brown Forman, Cl B 500 24
Campbell Soup 3,400 158
Coca Cola 18,100 1,011
ConAgra 1,800 98
CPC International 1,000 82
General Mills 1,100 68
H.J. Heinz 2,650 105
Hershey Foods 1,100 55
Kellogg 1,500 101
PepsiCo 11,300 369
Philip Morris 5,900 673
Quaker Oats 1,000 36
Ralston-Ralston Purina Group 800 62
Sara Lee 3,500 142
Seagram 2,700 103
Unilever 1,200 223
UST 1,400 39
Whitman 800 20
William Wrigley Jr. 800 47
------------
3,705
------------
GAS/NATURAL GAS--0.3%
Coastal 800 38
Columbia Gas Systems 400 23
Consolidated Natural Gas 700 35
Eastern Enterprises 100 3
Enron 1,900 72
Nicor 400 13
Noram Energy 1,100 16
Oneok 200 5
Pacific Enterprises 600 18
PanEnergy 1,100 47
Peoples Energy 300 10
Sonat 600 33
Williams 1,100 49
------------
362
------------
GLASS PRODUCTS--0.1%
Corning 1,700 75
------------
HOME APPLIANCES--0.2%
Maytag 700 14
National Service Industries 300 12
PPG Industries 1,300 70
Sherwin Williams 1,200 32
Snap-On Tools 400 16
Stanley Works 600 23
Whirlpool 500 24
------------
191
------------
HOTELS & LODGING--0.1%
HFS* 900 53
Hilton Hotels 1,800 44
Marriott International 900 45
------------
142
------------
HOUSEHOLD FURNITURE & FIXTURES--0.0%
Masco 1,200 43
------------
HOUSEHOLD PRODUCTS--0.3%
Clorox 400 45
Gillette 4,000 291
------------
336
------------
INSURANCE--1.6%
Aetna 1,081 93
Allstate 3,290 195
American General 1,500 61
American International Group 3,425 402
Aon 800 49
Chubb 1,300 70
Cigna 500 73
Conseco 1,200 43
General Re 600 95
Jefferson-Pilot 550 30
Lincoln National 800 43
Loews 800 71
Marsh & McLennan 500 57
MBIA 300 29
MGIC Investment 400 28
Providian 700 37
Safeco 900 36
St. Paul 600 39
Torchmark 500 28
Travelers 4,635 222
U.S. Life 250 12
United Healthcare 1,300 62
Unum 500 37
USF&G 800 17
------------
1,829
------------
JEWELRY, PRECIOUS METALS--0.0%
Jostens 300 7
------------
LEISURE--0.0%
Brunswick 700 19
------------
LUMBER & WOOD PRODUCTS--0.0%
Louisiana-Pacific 800 17
------------
MACHINERY--1.7%
Applied Materials* 1,300 60
Baker Hughes 1,100 42
Black & Decker 600 19
Briggs & Stratton 200 9
Case 500 25
Caterpillar 1,400 112
Cincinnati Milacron 300 6
Crane 350 11
Cummins Engine 300 15
Deere 1,900 83
Dover 800 42
Dresser Industries 1,300 39
Emerson Electric 3,200 144
General Electric 12,000 1,191
Giddings & Lewis 200 3
Harnischfeger Industries 400 19
Ingersoll Rand 800 35
McDermott International 400 9
Nacco Industries, Cl A 105 5
Pall 900 21
Parker Hannifin 500 21
Tenneco 1,200 47
Timken 200 11
Trinova 200 7
Tyco International 1,200 66
------------
2,042
------------
MEASURING DEVICES--0.1%
Honeywell 900 61
Johnson Controls 300 24
Millipore 300 13
Perkin Elmer 300 19
Tektronix 200 10
Thermo Electron* 1,100 34
------------
161
------------
MEDICAL PRODUCTS & SERVICES--0.6%
Bausch & Lomb 400 16
Baxter International 2,000 86
Becton Dickinson 900 41
Beverly Enterprises* 700 10
Biomet 800 14
Boston Scientific* 1,300 80
C.R. Bard 400 11
Columbia/HCA Healthcare 4,905 165
Guidant 500 31
Healthsouth Rehabilitation* 2,400 46
Humana* 1,200 26
Mallinckrodt 500 21
Manor Care 500 12
Medtronic 1,700 106
St. Jude Medical 550 18
Tenet Healthcare* 2,200 54
United States Surgical 500 15
------------
752
------------
METALS & MINING--0.1%
Cyprus AMAX Minerals 650 15
Freeport-McMoran Copper & Gold, Cl B 1,400 43
------------
58
------------
MISCELLANEOUS BUSINESS SERVICES--1.5%
3Com* 1,300 43
Autodesk 300 9
Automatic Data Processing 2,100 88
Cisco Systems* 4,700 226
Computer Associates International 2,675 104
Computer Sciences* 600 37
CUC International* 2,850 64
First Data 3,300 112
Microsoft* 8,700 798
Novell* 2,500 24
Oracle* 4,750 183
Safety-Kleen 400 6
Shared Medical Systems 200 9
Sun Microsystems* 2,700 78
------------
1,781
------------
MISCELLANEOUS CONSUMER SERVICES--0.0%
Service International 1,700 51
------------
MULTI-INDUSTRY--0.3%
ITT* 900 53
Minnesota Mining & Manufacturing 3,000 254
------------
307
------------
OFFICE PRODUCTS & SUPPLIES--0.0%
Ikon Office Solutions 1,000 34
------------
OIL-DOMESTIC--0.4%
Ashland Oil 500 20
Atlantic Richfield 1,200 162
Kerr-McGee 400 25
Louisiana Land & Exploration 300 14
Pennzoil 300 16
Phillips Petroleum 1,900 78
Sun 492 13
Unocal 1,800 69
USX-Marathon Group 2,100 59
------------
456
------------
OIL-INTERNATIONAL--2.7%
Amerada Hess 700 37
Amoco 3,600 312
Chevron 4,800 334
Exxon 9,100 981
Mobil 2,900 379
Royal Dutch Petroleum 3,900 683
Schlumberger 1,800 193
Texaco 1,900 208
------------
3,127
------------
PAPER & PAPER PRODUCTS--0.5%
Avery Dennison 800 31
Bemis 400 16
Boise Cascade 400 12
Champion International 700 32
Georgia Pacific 700 51
International Paper 2,200 86
James River 600 17
Kimberly Clark 2,016 200
Mead 400 21
Potlatch 200 8
Stone Container 700 8
Temple Inland 400 21
Union Camp 500 24
Westvaco 700 18
Weyerhaeuser 1,400 62
Willamette Industries 400 25
------------
632
------------
PETROLEUM & FUEL PRODUCTS--0.2%
Burlington Resources 900 38
Enserch 500 10
Helmerich & Payne 200 9
Occidental Petroleum 2,400 59
Oryx Energy* 800 15
Rowan* 600 14
Santa Fe Energy Resources* 700 10
Union Pacific Resources Group 1,786 48
Western Atlas* 400 24
------------
227
------------
PHOTOGRAPHIC EQUIPMENT & SUPPLIES--0.3%
Eastman Kodak 2,400 182
Polaroid 300 12
Xerox 2,400 137
------------
331
------------
PRECIOUS METALS--0.1%
Barrick Gold 2,600 62
Battle Mountain Gold 1,600 11
Echo Bay Mines 1,000 7
Homestake Mining 1,100 17
Newmont Mining 722 28
Placer Dome Group 1,700 31
Santa Fe Pacific Gold 1,000 17
------------
173
------------
PRINTING & PUBLISHING--0.5%
American Greetings, Cl A 500 16
Deluxe 600 19
Dow Jones 700 28
Gannett 1,000 86
John H. Harland 200 5
Knight-Ridder 700 28
McGraw-Hill 700 36
Meredith 400 9
Moore 700 14
New York Times, Cl A 700 31
R.R. Donnelley & Sons 1,100 38
Time Warner 4,100 177
Times Mirror, Cl A 700 38
Tribune 900 36
------------
561
------------
PROFESSIONAL SERVICES--0.1%
Cognizant 1,200 35
Dun & Bradstreet 1,200 30
EG&G 300 6
------------
71
------------
RAILROADS--0.3%
Burlington Northern Santa Fe 1,143 85
Conrail 601 68
CSX 1,600 74
Norfolk Southern 900 77
Union Pacific 1,800 102
------------
406
------------
REPAIR SERVICES--0.0%
Ryder System 600 18
------------
RETAIL--2.0%
Albertson's 1,800 61
American Stores 1,100 49
Autozone* 1,100 25
Charming Shoppes* 800 4
Circuit City Stores 700 23
Costco* 1,500 41
CVS 800 37
Darden Restaurants 1,200 9
Dayton Hudson 1,600 67
Dillard Department Stores, Cl A 800 25
Federated Department Stores* 1,500 49
Gap 2,100 70
Giant Food, Cl A 400 13
Great Atlantic & Pacific Tea 300 8
Harcourt General 500 23
Hasbro 900 25
Home Depot 3,533 189
J.C. Penney 1,900 90
Kmart* 3,500 42
Kroger* 900 46
Limited 1,946 36
Longs Drug Stores 300 7
Lowe's 1,300 49
Mattel 1,968 47
May Department Stores 1,800 82
McDonald's 5,100 241
Mercantile Stores 300 14
Nordstrom 600 23
Pep Boys-Manny, Moe & Jack 500 15
Rite Aid 900 38
Sears Roebuck 2,900 146
TJX 600 26
Toys "R" Us* 2,100 59
Wal-Mart Stores 16,700 466
Walgreen 1,800 75
Wendy's International 900 19
Winn Dixie Stores 1,100 36
Woolworth* 1,000 23
------------
2,298
------------
RUBBER & PLASTIC--0.3%
Armstrong World Industries 300 19
B.F. Goodrich 400 15
Cooper Tire & Rubber 600 11
Goodyear Tire & Rubber 1,100 57
Illinois Tool Works 900 73
Nike, Cl B 2,100 130
Reebok International 400 18
Rubbermaid 1,100 27
------------
350
------------
SEMI-CONDUCTORS/INSTRUMENTS--1.1%
Advanced Micro Devices* 1,000 42
AMP 1,600 55
Intel 6,000 835
LSI Logic* 900 31
Micron Technology 1,500 61
National Semiconductor* 1,000 28
Rockwell International 1,600 104
Texas Instruments 1,400 105
------------
1,261
------------
SPECIALTY MACHINERY--0.1%
Cooper Industries 778 34
Westinghouse Electric 4,600 82
------------
116
------------
STEEL & STEEL WORKS--0.3%
Alcan Aluminium 1,700 58
Allegheny Teledyne 1,254 35
Aluminum Company of America 1,300 88
Armco* 800 3
Asarco 300 8
Bethlehem Steel* 800 7
Engelhard 1,100 23
Inco 1,200 39
Inland Steel Industries 400 8
Nucor 600 27
Phelps Dodge 500 37
Reynolds Metals 500 31
USX-U.S. Steel Group 600 16
Worthington Industries 700 13
------------
393
------------
TELEPHONES & TELECOMMUNICATION--2.6%
Airtouch Communications* 3,700 85
Alltel 1,400 46
Ameritech 4,000 246
AT&T 11,800 410
Bell Atlantic 3,200 195
BellSouth 7,200 304
Frontier 1,200 21
GTE 7,000 326
Lucent Technologies 4,663 246
MCI Communications 5,000 178
NYNEX 3,200 146
Pacific Telesis Group 3,100 117
SBC Communications 4,400 232
Sprint 3,100 141
U.S. West 3,500 119
U.S. West Media Group* 4,600 86
WorldCom* 6,400 141
------------
3,039
------------
Description Shares/Par (000) Value (000)
- --------------------------------------------------------------------------------
TRUCKING--0.0%
Caliber System 300 $ 8
------------
WHOLESALE--0.1%
Fleming 300 5
Genuine Parts 900 42
Sigma Aldrich 700 22
SUPERVALU 500 15
Sysco 1,300 44
W.W. Grainger 400 30
------------
158
------------
Total Common Stocks
(Cost $31,644) 42,288
------------
U.S. TREASURY OBLIGATIONS--23.9%
U.S. Treasury Notes
6.500%, 05/15/05 $ 7,603 7,406
6.500%, 08/15/05 5,627 5,471
5.875%, 11/15/05 10,283 9,580
6.500%, 10/15/06 5,744 5,566
------------
Total U.S. Treasury Obligations
(Cost $28,506) 28,023
------------
COMMERCIAL PAPER--8.5%
Receivables Capital
5.594%, 05/02/97 (B) 10,000 9,950
------------
Total Commercial Paper
(Cost $9,952) 9,950
------------
RELATED PARTY MONEY MARKET FUNDS--9.4%
First American Government Obligations
Fund (A) 5,442,567 5,443
First American Prime Obligations
Fund (A) 5,588,408 5,588
------------
Total Related Party Money Market Funds
(Cost $11,031) 11,031
------------
REPURCHASE AGREEMENT--21.4%
Merrill Lynch 6.337%, dated 03/31/97,
matures 04/01/97, repurchase price
$25,063,410 (collateralized by various
U.S. Treasury STRIPS, total par value
$30,833,000, 8.500%-8.875%,
11/15/99-11/15/00:
total market value $25,562,280) 25,059 25,059
------------
Total Repurchase Agreement
(Cost $25,059) 25,059
------------
Total Investments--99.3%
(Cost $106,192) 116,351
------------
Other Assets and Liabilities, Net--0.7% 769
============
NET ASSETS:
Portfolio shares--Institutional Class
($.0001 par value--2 billion authorized)
based on 9,371,396 outstanding shares $ 90,963
Portfolio shares--Retail Class A
($.0001 par value--2 billion authorized)
based on 184,549 outstanding shares 2,073
Portfolio shares--Retail Class B
($.0001 par value--2 billion authorized)
based on 306,500 outstanding shares 3,606
Undistributed net investment income 122
Accumulated net realized gain on investments 10,197
Net unrealized appreciation of investments 10,159
------------
Total Net Assets--100.0% $ 117,120
============
Net asset value, offering price, and
redemption price per share--Institutional Class $ 11.88
============
Net asset value and redemption price
per share--Retail Class A $ 11.88
Maximum sales charge of 4.50% (1) 0.56
============
Offering price per share--Retail Class A $ 12.44
============
Net asset value, and offering price per
share--Retail Class B (2) $ 11.83
============
* Non-income producing security
(1) The offer price is calculated by dividing the net asset value by 1 minus the
maximum sales charge of 4.50%.
(2) Retail Class B has a contingent deferred sales charge. For a description of
possible redemption charge, see the notes to the financial statements.
(A) These money market funds are advised by First Bank National Association who
also serves as adviser for this Fund. See also the notes to the financial
statements.
(B) Security sold within the terms of a private placement memorandum, exempt
from registration under section 144A of the Securities Act of 1933, as amended,
and may be sold only to dealers in that program or other "accredited investors."
These securities have been determined to be liquid under guidelines established
by the Board of Directors.
Cl--Class
FHLMC--Federal Home Loan Mortgage Corporation
FNMA--Federal National Mortgage Association
MBIA--Municipal Bond Insurance Association
STRIPS--Separately Traded Registered and Interest Principal Securities
The accompanying notes are an integral part of the financial statements.
BALANCED FUND
Description Shares Value (000)
- --------------------------------------------------------------------------------
COMMON STOCKS--52.2%
AEROSPACE & DEFENSE--0.8%
Raytheon 71,800 $ 3,240
------------
AUTOMOTIVE--1.2%
General Motors 89,800 4,973
------------
BANKS--3.6%
Bank of Boston 69,800 4,677
Chase Manhattan 54,600 5,112
Citicorp 44,400 4,806
------------
14,595
------------
CHEMICALS--2.4%
Hercules 19,800 837
PPG Industries 91,700 4,952
W.R. Grace 81,000 3,837
------------
9,626
------------
COMMUNICATIONS EQUIPMENT--1.1%
Nokia, ADR 76,700 4,468
------------
COMPUTERS & SERVICES--3.4%
Compaq Computer* 57,100 4,375
IBM 41,900 5,756
U.S. Robotics* 64,400 3,566
------------
13,697
------------
CONSUMER PRODUCTS--0.9%
Tupperware 105,300 3,528
------------
CONTAINERS & PACKAGING--1.7%
Ball 120,700 3,199
Bemis 98,700 3,948
------------
7,147
------------
DRUGS--2.9%
American Home Products 84,100 5,046
Bristol-Myers Squibb 63,600 3,752
Pharmacia & Upjohn 83,300 3,051
------------
11,849
------------
FINANCIAL SERVICES--0.7%
Household International 35,600 3,057
------------
FOOD, BEVERAGE & TOBACCO--3.9%
ConAgra 112,600 6,109
Dole Food 92,300 3,484
Sara Lee 152,200 6,164
------------
15,757
------------
INSURANCE--4.6%
Aetna 56,400 4,843
AMBAC 52,100 3,360
Cigna 24,900 3,638
General Re 18,900 2,986
TIG Holdings 118,500 3,762
------------
18,589
------------
LEISURE--1.3%
Brunswick 191,100 5,136
------------
MACHINERY--2.1%
Case 95,800 4,862
General Electric 24,400 2,422
York International 27,900 1,168
------------
8,452
------------
MULTI-INDUSTRY--1.7%
Corning 93,400 4,145
Minnesota Mining & Manufacturing 31,600 2,670
------------
6,815
------------
OIL-INTERNATIONAL--6.0%
Amerada Hess 59,500 3,153
Elf Aquitaine, ADR 53,100 2,615
Exxon 42,400 4,569
Mobil 33,100 4,324
Royal Dutch Petroleum 26,900 4,707
Texaco 45,800 5,015
------------
24,383
------------
PRINTING & PUBLISHING--0.8%
Knight-Ridder 85,400 3,405
------------
RAILROADS--1.7%
Burlington Northern Santa Fe 57,900 4,285
Canadian Pacific 117,200 2,813
------------
7,098
------------
REAL ESTATE INVESTMENT TRUSTS--3.0%
Duke Realty Investments 65,900 2,677
Equity Residential Properties Trust 86,200 3,825
Simon Debartolo Group 186,300 5,636
------------
12,138
------------
RETAIL--2.3%
Sears Roebuck 77,400 3,889
Toys "R" Us* 191,600 5,365
------------
9,254
------------
SEMI-CONDUCTORS/INSTRUMENTS--1.0%
SGS-Thomson Microelectronics* 60,200 3,981
------------
SPECIALTY CONSTRUCTION--1.2%
Masco 138,300 4,944
------------
TELEPHONES & TELECOMMUNICATION--3.0%
Century Telephone Enterprises 81,500 2,404
Deutsche Telekom, ADR* 225,700 4,937
NYNEX 105,200 4,800
------------
12,141
------------
WHOLESALE--0.9%
W.W. Grainger 51,400 3,804
------------
Description Par (000) Value (000)
- --------------------------------------------------------------------------------
Total Common Stocks
(Cost $168,675) $ 212,077
------------
U.S. TREASURY OBLIGATIONS--33.8%
U.S. Treasury Bond
7.125%, 02/15/23 $25,085 24,789
U.S. Treasury Notes
5.750%, 09/30/97 23,340 23,343
5.875%, 10/31/98 21,415 21,256
7.500%, 10/31/99 17,350 17,722
6.375%, 03/31/01 24,620 24,317
6.250%, 02/15/03 12,615 12,280
7.250%, 08/15/04 3,750 3,826
6.500%, 08/15/05 10,095 9,815
U.S. Treasury STRIPS
0.000%, 02/15/99 265 236
------------
Total U.S. Treasury Obligations
(Cost $140,326) 137,584
------------
OTHER MORTGAGE-BACKED OBLIGATIONS--2.6%
Drexel Burnham Lambert Trust S-2
9.000%, 08/01/18 311 318
General Electric Capital Mortgage
1994-11 A1
6.500%, 03/25/24 1,220 1,207
General Electric Capital Mortgage
1994-17 A6
7.000%, 05/25/24 2,675 2,563
Prudential Home Loan Mortgage
1993-36 A8
6.500%, 11/25/99 6,425 6,356
Residential Funding 1992-36 A2
5.700%, 11/25/07 294 292
------------
Total Other Mortgage-Backed Obligations
(Cost $10,692) 10,736
------------
CORPORATE OBLIGATIONS--2.5%
Cigna
7.400%, 01/15/03 2,825 2,815
General Foods
6.000%, 06/15/01 860 820
Santander Financial Issuances
7.250%, 05/30/06 5,075 4,961
Torchmark
7.875%, 05/15/23 1,700 1,621
------------
Total Corporate Obligations
(Cost $10,459) 10,217
------------
U.S. GOVERNMENT AGENCY
MORTGAGE-BACKED OBLIGATIONS--1.3%
FHLMC
6.000%, 11/15/08 2,700 2,485
FNMA
5.450%, 10/25/18 2,700 2,604
------------
Description Par (000)/Shares Value (000)
- --------------------------------------------------------------------------------
Total U.S. Government Agency
Mortgage-Backed Obligations
(Cost $5,313) $ 5,089
------------
RELATED PARTY MONEY MARKET FUNDS--7.8%
First American Government
Obligations Fund (A) 13,102,769 13,103
First American Prime
Obligations Fund (A) 18,415,318 18,415
------------
Total Related Party Money Market Funds
(Cost $31,518) 31,518
------------
Total Investments--100.2%
(Cost $366,983) 407,221
------------
Other Assets and Liabilities, Net--(0.2%) (611)
============
NET ASSETS:
Portfolio shares--Institutional Class
($.0001 par value--2 billion authorized)
based on 26,561,092 outstanding shares 302,576
Portfolio shares--Retail Class A
($.0001 par value--2 billion authorized)
based on 1,878,029 outstanding shares 21,109
Portfolio shares--Retail Class B
($.0001 par value--2 billion authorized)
based on 2,066,266 outstanding shares 26,508
Undistributed net investment income 184
Accumulated net realized gain on investments 15,995
Net unrealized appreciation of investments 40,238
------------
Total Net Assets--100.0% $ 406,610
============
Net asset value, offering price, and
redemption price per share--
Institutional Class $ 13.33
============
Net asset value and redemption price
per share--Retail Class A $ 13.32
Maximum sales charge of 4.50% (1) 0.63
------------
Offering price per share--Retail Class A $ 13.95
============
Net asset value, and offering price
per share--Retail Class B (2) $ 13.28
============
* Non-income producing security
(1) The offer price is calculated by dividing the net asset value by 1 minus the
maximum sales charge of 4.50%.
(2) Retail Class B has a contingent deferred sales charge. For a description of
possible redemption charge, see the notes to the financial statements.
(A) These money market funds are advised by First Bank National Association who
also serves as adviser for this Fund.
See also the notes to the financial statements.
ADR--American Depository Receipt
AMBAC--American Municipal Bond Assurance Corporation
CMO--Collateralized Mortgage Obligation
FHLMC--Federal Home Loan Mortgage Corporation
FNMA--Federal National Mortgage Association
STRIPS--Separately Trading of Registered Interest and Principal of Securities
The accompanying notes are an integral part of the financial statements.
REAL ESTATE SECURITIES FUND
Description Shares Value (000)
- --------------------------------------------------------------------------------
COMMON STOCKS--94.5%
REAL ESTATE INVESTMENT TRUSTS--94.5%
HEALTHCARE FACILITIES--7.8%
Health & Retirement Property Trust 31,500 $ 567
Health Care Property Investors 12,000 397
Health Care 12,000 285
National Health Investors 17,400 646
Nationwide Health Properties 27,300 584
------------
2,479
------------
HOTELS--11.0%
Felcor Suite Hotels 22,000 808
Hospitality Properties Trust 27,000 827
Patriot American Hospitality 35,000 849
RFS Hotel Investors 32,000 556
Starwood Lodging 12,000 468
------------
3,508
------------
OFFICE/INDUSTRIAL--28.2%
Arden Realty Group 9,400 256
Bedford Property Investors 20,000 395
Cali Realty 19,500 624
Carramerica Realty 12,000 369
Duke Realty Investments 21,000 853
Highwoods Properties 12,000 402
Liberty Property Trust 34,600 848
Prentiss Properties Trust 10,000 254
Security Capital Industrial Trust 29,010 606
Shurgard Storage Centers 25,200 696
Sovran Self Storage 25,000 769
Spieker Properties 22,000 858
Storage Trust 27,600 711
Storage USA 21,000 774
Weeks 16,500 567
------------
8,982
------------
OTHER--4.1%
Colonial Properties Trust 27,000 783
Franchise Finance of America 13,600 325
Golf Trust of America* 8,000 195
------------
1,303
------------
RESIDENTIAL--21.1%
Apartment Investment & Management 15,000 437
Bay Apartment Communities 18,600 667
Chateau Properties 29,176 755
Equity Residential Properties Trust 24,000 1,065
Evans Withycombe Residential 29,800 615
Merry Land & Investment 26,000 533
Mid-America Apartment Communities 14,000 392
Post Properties 7,100 271
Summit Properties 24,000 486
Sun Communities 24,000 768
Wellsford Real Estate 24,400 708
------------
6,697
------------
RETAIL--22.3%
Bradley Real Estate 20,000 382
CBL & Associates Properties 30,900 757
Developers Diversified Realty 17,000 642
Excel Realty Trust 27,100 684
Federal Realty Investment Trust 25,000 644
JDN Realty 13,000 353
Kimco Realty 19,000 617
Macerich 30,000 840
Mid-America Realty Investments 38,900 384
Simon Debartolo Group 46,000 1,391
Taubman Centers 30,000 390
------------
7,084
------------
Total Common Stocks
(Cost $25,832) 30,053
------------
PREFERRED STOCK--0.8%
Walden Residential Properties 10,000 250
------------
Total Preferred Stock
(Cost $238) 250
------------
WARRANT--0.0%
Walden Residential Properties* 10,000 17
------------
Total Warrant
(Cost $12) 17
------------
RELATED PARTY MONEY MARKET FUND--3.3%
First American Prime
Obligations Fund (A) 1,046,126 1,046
------------
Total Related Party Money Market Fund
(Cost $1,046) 1,046
------------
Total Investments--98.6%
(Cost $27,128) 31,366
------------
Other Assets and Liabilities, Net--1.4% 431
------------
NET ASSETS:
Portfolio shares--Institutional Class
($.0001 par value--2 billion authorized)
based on 2,163,133 outstanding shares $ 24,140
Portfolio shares--Retail Class A
($.0001 par value--2 billion authorized)
based on 110,052 outstanding shares 1,384
Portfolio shares--Retail Class B
($.0001 par value--2 billion authorized)
based on 139,192 outstanding shares 1,745
Distributions in excess of net investment income (91)
Accumulated net realized gain on investments 381
Net unrealized appreciation of investments 4,238
------------
Total Net Assets--100.0% $ 31,797
============
Net asset value, offering price, and
redemption price per share--Institutional
Class $ 13.19
============
Net asset value and redemption price
per share--Retail Class A $ 13.18
Maximum sales charge of 4.50% (1) 0.62
============
Offering price per share--Retail Class A $ 13.80
============
Net asset value, and offering price
per share--Retail Class B (2) $ 13.09
============
* Non-income producing security
(1) The offer price is calculated by dividing the net asset value by 1 minus the
maximum sales charge of 4.50%.
(2) Retail Class B has a contingent deferred sales charge. For a description of
possible redemption charge, see the notes to the financial statements.
(A) This money market fund is advised by First Bank National Association who
also serves as adviser for this Fund. See also the notes to the financial
statements.
The accompanying notes are an integral part of the financial statements.
EQUITY INCOME FUND
Description Shares Value (000)
- --------------------------------------------------------------------------------
COMMON STOCKS--74.1%
ADVERTISING--0.0%
Media Vision Technology Escrow* 2,000,000 $ --
------------
BANKS--5.3%
Bank of New York 96,000 3,528
Barnett Banks 50,000 2,325
National City 132,800 6,192
------------
12,045
------------
BEAUTY PRODUCTS--0.9%
Colgate-Palmolive 20,000 1,992
------------
CHEMICALS--1.6%
E.I. du Pont de Nemours 33,200 3,519
------------
DRUGS--7.3%
Abbott Laboratories 76,400 4,288
American Home Products 54,000 3,240
Bristol-Myers Squibb 50,000 2,950
Johnson & Johnson 75,800 4,008
Pfizer 23,700 1,994
------------
16,480
------------
ELECTRICAL SERVICES--4.3%
Cinergy 91,300 3,116
FPL Group 64,300 2,837
Texas Utilities 111,900 3,833
------------
9,786
------------
FINANCIAL SERVICES--2.3%
American Express 88,300 5,287
------------
FOOD, BEVERAGE & TOBACCO--5.5%
ConAgra 50,886 2,761
PepsiCo 66,900 2,183
Philip Morris 38,000 4,337
Sara Lee 77,700 3,147
------------
12,428
------------
GAS/NATURAL GAS--1.0%
Enron 56,700 2,155
------------
HOUSEHOLD PRODUCTS--1.6%
Newell 110,900 3,715
------------
INSURANCE--3.0%
IPC Holdings 131,300 3,200
Providian 64,700 3,461
------------
6,661
------------
MACHINERY--4.1%
Emerson Electric 50,000 2,250
General Electric 69,500 6,898
------------
9,148
------------
MARINE TRANSPORTATION--2.4%
Knightsbridge Tankers Limited* 225,000 5,456
------------
MINING--1.5%
Great Northern Iron Ore Properties 57,700 3,282
------------
MISCELLANEOUS BUSINESS SERVICES--1.1%
Electronic Data Systems 62,019 2,504
------------
OIL-INTERNATIONAL--10.5%
Amoco 101,500 8,792
Exxon 59,000 6,357
Mobil 66,300 8,660
------------
23,809
------------
PAPER & PAPER PRODUCTS--0.8%
Weyerhaeuser 43,000 1,919
------------
PETROLEUM REFINING--1.2%
Royal Dutch Petroleum 16,000 2,800
------------
RAILROADS--2.2%
Burlington Northern Santa Fe 29,000 2,146
Union Pacific 48,800 2,769
------------
4,915
------------
REAL ESTATE INVESTMENT TRUSTS--12.8%
Crescent Real Estate Equity 137,600 3,681
Healthcare Realty Trust 178,400 4,884
Manufactured Home Communities 176,100 3,852
National Golf Properties 191,400 5,909
Simon Debartolo Group 184,000 5,566
Weeks 144,400 4,964
------------
28,856
------------
RETAIL--1.8%
Intimate Brands 87,000 1,642
J.C. Penney 50,300 2,396
------------
4,038
------------
TELEPHONES & TELECOMMUNICATION--2.9%
AT&T 52,600 1,828
Deutsche Telecom, ADR* 215,000 4,703
------------
6,531
------------
Total Common Stocks
(Cost $105,497) 167,326
------------
PREFERRED CONVERTIBLE STOCKS--7.2%
AUTOMOTIVE--2.5%
Ford Motor, Series A, $4.20 55,300 5,724
------------
BROADCASTING, NEWSPAPERS & ADVERTISING--1.3%
TCI Pacific Communications* 32,000 2,888
------------
Description Shares/Par (000) Value (000)
- --------------------------------------------------------------------------------
FINANCIAL SERVICES--0.7%
Advanta, Cl B 50,000 $ 1,481
------------
INSURANCE--0.7%
Aetna 20,000 1,645
------------
OIL--2.0%
Atlantic Richfield Lyondell "Notes" 205,000 4,510
------------
Total Preferred Convertible Stocks
(Cost $15,924) 16,248
------------
CONVERTIBLE BONDS--5.9%
3Com, 14.4665 Shares
10.250%, 11/01/01 $2,030 2,426
General Instrument, 42.1052 Shares
5.000%, 06/15/00 1,150 1,202
Hometown Buffet, 73.2600 Shares
7.000%, 12/01/02 4,000 3,685
Integrated Health Services, 31.1284 Shares
6.000%, 01/01/03 1,575 1,654
Saks Holdings, 24.0601 Shares
5.500%, 09/15/06 2,400 2,352
Tenet Healthcare, 25.9403 Shares
6.000%, 12/01/05 1,670 1,920
------------
Total Convertible Bonds
(Cost $13,757) 13,239
------------
RELATED PARTY MONEY MARKET FUNDS--9.5%
First American Government
Obligations Fund (A) 10,812,339 10,812
First American Prime
Obligations Fund (A) 10,672,333 10,672
------------
Total Related Party Money Market Funds
(Cost $21,484) 21,484
------------
REPURCHASE AGREEMENT--3.0%
Merrill Lynch
6.337%, dated 03/31/97, matures
04/01/97, repurchase price $6,707,538
(collateralized by U.S. Treasury
STRIPS, total par value $8,673,000,
11/15/00: total market value
$6,841,089) $6,706 6,706
------------
Total Repurchase Agreement
(Cost $6,706) 6,706
------------
Total Investments--99.7%
(Cost $163,368) 225,003
------------
Other Assets and Liabilities, Net--0.3% 763
------------
NET ASSETS:
Portfolio shares--Institutional Class
($.0001 par value--2 billion authorized)
based on 16,340,860 outstanding shares $ 152,460
Portfolio shares--Retail Class A
($.0001 par value--2 billion authorized)
based on 219,067 outstanding shares 2,389
Portfolio shares--Retail Class B
($.0001 par value--2 billion authorized)
based on 365,463 outstanding shares 4,293
Undistributed net investment income 97
Accumulated net realized gain on investments 4,892
Net unrealized appreciation of investments 61,635
------------
Total Net Assets--100.0% $ 225,766
============
Net asset value, offering price, and
redemption price per share--Institutional
Class $ 13.34
============
Net asset value and redemption price
per share--Retail Class A $ 13.32
Maximum sales charge of 4.50% (1) 0.63
============
Offering price per share--Retail Class A $ 13.95
============
Net asset value, and offering price
per share--Retail Class B (2) $ 13.28
============
* Non-income producing security
(1) The offer price is calculated by dividing the net asset value by 1 minus the
maximum sales charge of 4.50%.
(2) Retail Class B has a contingent deferred sales charge. For a description of
possible redemption charge, see the notes to the financial statements.
(A) These money market funds are advised by First Bank National Association who
also serves as adviser for this Fund. See also the notes to the financial
statements.
Cl--Class
STRIPS--Separately Traded Registered and Interest Principal Securities
The accompanying notes are an integral part of the financial statements.
EQUITY INDEX FUND
Description Shares Value (000)
- --------------------------------------------------------------------------------
COMMON STOCKS--95.9%
AEROSPACE & DEFENSE--0.4%
Lockheed Martin 13,527 $ 1,136
Raytheon 16,600 749
------------
1,885
------------
AGRICULTURE--0.1%
Pioneer Hi-Bred International 5,800 365
------------
AIR TRANSPORTATION--0.4%
AMR* 6,400 528
Delta Air Lines 5,200 437
Federal Express* 8,000 417
Southwest Airlines 10,200 226
U.S. Air Group* 4,500 110
------------
1,718
------------
AIRCRAFT--1.7%
Allied Signal 19,900 1,418
Boeing 25,138 2,479
General Dynamics 4,400 296
McDonnell Douglas 14,900 909
Northrop 4,100 310
Textron 5,800 609
United Technologies 16,900 1,272
------------
7,293
------------
APPAREL/TEXTILES--0.3%
Fruit of the Loom* 5,400 224
Liz Claiborne 5,000 218
Reebok International 3,900 175
Russell 2,700 97
Springs Industries, Cl A 1,400 63
V.F. 4,500 301
------------
1,078
------------
AUTOMOTIVE--2.0%
Chrysler 51,200 1,536
Dana 7,200 237
Eaton 5,400 383
Echlin 4,400 150
Fleetwood Enterprises 2,500 62
Ford Motor 83,300 2,614
General Motors 53,100 2,940
Navistar International* 5,200 49
Paccar 2,695 180
TRW 8,900 461
------------
8,612
------------
BANKS--7.9%
Banc One 30,013 1,193
Bank of Boston 10,700 717
Bank of New York 27,500 1,011
BankAmerica 25,200 2,539
Bankers Trust New York 5,700 467
Barnett Banks 13,700 637
Chase Manhattan 30,796 2,883
Citicorp 33,000 3,572
Comerica 7,500 423
CoreStates Financial 15,600 741
Fifth Third Bancorp 7,400 573
First Bank System 9,500 693
First Chicago NBD 22,364 1,210
First Union 19,900 1,614
Fleet Financial Group 18,400 1,053
Golden West Financial 4,000 251
Great Western Financial 9,700 392
H.F. Ahmanson 7,400 270
J.P. Morgan 13,100 1,287
KeyCorp 15,800 770
MBNA 23,450 654
Mellon Bank 9,050 658
National City 15,600 727
NationsBank 54,624 3,025
Norwest 26,000 1,202
PNC Bank 23,900 956
Republic New York 3,900 344
Suntrust Banks 15,700 728
U.S. Bancorp 10,600 567
Wachovia 11,600 632
Wells Fargo 6,500 1,847
------------
33,636
------------
BEAUTY PRODUCTS--1.8%
Alberto-Culver, Cl B 4,000 104
Avon Products 9,300 488
Colgate-Palmolive 10,300 1,026
Ecolab 4,500 171
International Flavors & Fragrances 7,800 341
Procter & Gamble 47,900 5,508
------------
7,638
------------
BROADCASTING, NEWSPAPERS & ADVERTISING--0.5%
Comcast, Cl A 22,900 386
Interpublic Group 5,700 301
Tele-Communications, Cl A* 46,600 559
Viacom, Cl B* 24,845 823
------------
2,069
------------
BUILDING & CONSTRUCTION--0.3%
Centex 2,000 70
Fluor 5,900 310
Foster Wheeler 2,900 103
Halliburton 8,800 596
Kaufman & Broad Home 2,700 36
Owens Corning 3,600 145
Pulte 1,600 47
------------
1,307
------------
CHEMICALS--2.6%
Air Products & Chemicals 7,800 529
B.F. Goodrich 3,800 139
Dow Chemical 17,100 1,368
E.I. du Pont de Nemours 39,500 4,187
Eastman Chemical 5,475 294
FMC* 2,600 159
Great Lakes Chemical 4,400 202
Hercules 7,200 304
Monsanto 41,300 1,580
Morton International 10,000 422
Nalco Chemical 4,700 176
Praxair 11,000 494
Rohm & Haas 4,500 337
Union Carbide 8,900 394
W.R. Grace 5,800 275
------------
10,860
------------
COMMUNICATIONS EQUIPMENT--1.2%
Andrew* 6,300 228
DSC Communications* 8,200 172
General Instrument* 9,600 220
Harris 2,700 208
ITT Industries 8,300 186
Motorola 41,600 2,512
Northern Telecom 18,200 1,190
Scientific-Atlanta 5,400 82
Tellabs* 12,600 455
------------
5,253
------------
COMPUTERS & SERVICES--3.6%
Amdahl* 8,500 80
Apple Computer* 8,700 159
Bay Networks* 13,600 243
Cabletron Systems* 11,000 322
Ceridian* 4,800 172
Compaq Computer* 19,000 1,456
Data General* 2,800 48
Dell Computer* 12,700 859
Digital Equipment* 10,900 298
EMC* 16,300 579
Hewlett Packard 71,400 3,802
IBM 36,400 5,000
Intergraph* 3,300 26
Pitney Bowes 10,400 611
Seagate Technology* 17,600 790
Silicon Graphics* 12,308 240
Tandem Computers* 8,300 99
Tandy 4,080 205
Unisys* 12,300 78
------------
15,067
------------
CONSUMER PRODUCTS--0.1%
Stride Rite 3,500 53
Tupperware 4,400 147
------------
200
------------
CONTAINERS & PACKAGING--0.2%
Ball 2,100 56
Crown Cork & Seal 9,000 465
Newell 11,200 375
------------
896
------------
DRUGS--8.3%
Abbott Laboratories 54,600 3,064
Allergan 4,600 134
Alza, Cl A* 5,900 162
American Home Products 44,900 2,694
Amgen* 18,600 1,039
Bristol-Myers Squibb 70,400 4,154
Eli Lilly 38,788 3,190
Johnson & Johnson 93,500 4,944
Merck 84,700 7,136
Pfizer 45,300 3,811
Pharmacia & Upjohn 35,725 1,308
Schering Plough 25,900 1,884
Warner Lambert 19,100 1,652
------------
35,172
------------
ELECTRICAL SERVICES--2.5%
American Electric Power 13,200 545
Baltimore Gas & Electric 10,400 278
Carolina Power & Light 10,600 384
Central & South West 14,800 316
Cinergy 11,073 378
Consolidated Edison New York 16,500 495
Dominion Resources of Virginia 12,700 462
DTE Energy 10,200 274
Duke Power 14,200 627
Edison International 30,400 684
Entergy 16,200 397
FPL Group 12,900 569
GPU 8,500 273
Houston Industries 16,500 344
Niagara Mohawk Power* 10,100 86
Northern States Power 4,900 232
Ohio Edison 10,700 226
Pacificorp 20,700 442
PECO Energy 15,600 318
PG&E 29,000 682
PP&L Resources 11,400 231
Public Service Enterprise Group 16,800 441
Southern 47,300 999
Texas Utilities 15,800 541
Unicom 15,100 294
Union Electric 7,200 266
------------
10,784
------------
ENTERTAINMENT--0.9%
Harrah's Entertainment* 7,200 123
King World Productions* 2,600 95
Walt Disney 47,600 3,475
------------
3,693
------------
ENVIRONMENTAL SERVICES--0.4%
Browning Ferris Industries 14,900 430
Laidlaw, Cl B 22,100 304
WMX Technologies 34,100 1,044
------------
1,778
------------
FINANCIAL SERVICES--2.7%
American Express 33,300 1,994
Beneficial 3,800 246
Dean Witter Discover 22,572 787
FHLMC 50,200 1,368
FNMA 76,700 2,771
Green Tree Financial 9,700 327
Household International 6,800 584
ITT Hartford Group 8,300 599
ITT* 8,200 483
Merrill Lynch 11,600 996
Morgan Stanley Group 10,700 629
Salomon 7,700 384
Transamerica 4,623 414
------------
11,582
------------
FOOD, BEVERAGE & TOBACCO--8.4%
Adolph Coors, Cl B 2,700 57
American Brands 12,000 608
Anheuser Busch 35,100 1,479
Archer Daniels Midland 38,211 683
Brown Forman, Cl B 4,800 229
Campbell Soup 32,800 1,521
Coca Cola 174,800 9,767
ConAgra 16,900 917
CPC International 10,100 828
General Mills 11,000 683
H.J. Heinz 25,850 1,021
Hershey Foods 10,800 540
Kellogg 14,800 995
PepsiCo 109,100 3,559
Philip Morris 57,200 6,528
Quaker Oats 9,500 347
Ralston-Ralston Purina Group 7,400 578
Sara Lee 34,000 1,377
Seagram 26,200 1,002
Unilever 11,200 2,086
UST 13,100 365
Whitman 7,300 179
William Wrigley Jr. 8,200 479
------------
35,828
------------
GAS/NATURAL GAS--0.8%
Coastal 7,400 355
Columbia Gas Systems 3,900 226
Consolidated Natural Gas 6,700 338
Eastern Enterprises 1,400 43
Enron 17,900 680
Enserch 4,900 100
Nicor 3,500 112
Noram Energy 9,600 140
Oneok 1,900 49
Pacific Enterprises 6,000 182
PanEnergy 10,600 457
Peoples Energy 2,500 83
Sonat 6,100 332
Williams 11,050 492
------------
3,589
------------
GLASS PRODUCTS--0.2%
Corning 16,200 719
------------
HOME APPLIANCES--0.5%
Maytag 7,000 144
National Service Industries 3,300 129
PPG Industries 12,900 697
Raychem 3,100 255
Sherwin Williams 12,000 324
Snap-On Tools 4,250 165
Thomas & Betts 3,700 158
Whirlpool 5,200 248
------------
2,120
------------
HOTELS & LODGING--0.3%
HFS* 9,000 530
Hilton Hotels 17,400 422
Marriott International 9,000 448
------------
1,400
------------
HOUSEHOLD FURNITURE & FIXTURES--0.1%
Masco 11,300 404
------------
HOUSEHOLD PRODUCTS--0.8%
Clorox 3,600 404
Gillette 39,000 2,832
Stanley Works 6,200 235
------------
3,471
------------
INSURANCE--4.2%
Aetna 10,590 909
Allstate 31,250 1,855
American General 14,300 583
American International Group 33,025 3,876
Aon 7,600 466
Chubb 12,200 657
Cigna 5,300 774
Conseco 10,800 385
General Re 5,800 916
Jefferson-Pilot 4,975 271
Lincoln National 7,300 391
Loews 8,100 720
Marsh & McLennan 5,000 566
MBIA 3,000 288
MGIC Investment 4,100 290
Providian 6,600 353
Safeco 8,900 356
St. Paul 5,800 376
Torchmark 4,950 274
Travelers 44,982 2,154
United Healthcare 12,900 614
Unum 5,100 372
USF&G 8,100 174
U.S. Life 2,400 112
------------
17,732
------------
LEISURE--0.1%
Brunswick 6,900 185
Jostens 2,700 61
------------
246
------------
LUMBER & WOOD PRODUCTS--0.0%
Louisiana-Pacific 7,600 158
------------
MACHINERY--4.7%
Applied Materials* 12,600 584
Baker Hughes 10,200 391
Black & Decker 6,200 199
Briggs & Stratton 2,000 90
Case 5,200 264
Caterpillar 13,500 1,083
Cincinnati Milacron 2,800 53
Crane 3,200 100
Cummins Engine 2,800 144
Deere 18,100 787
Dover 7,900 415
Dresser Industries 12,300 372
Emerson Electric 31,600 1,422
General Electric 115,600 11,473
General Signal 3,500 137
Giddings & Lewis 2,300 34
Harnischfeger Industries 3,500 163
Ingersoll Rand 7,700 336
McDermott International 3,900 83
Nacco Industries, Cl A 530 26
Pall 8,100 187
Parker Hannifin 5,250 224
Tenneco 12,000 468
Timken 2,200 118
Trinova 2,000 67
Tyco International 11,000 605
------------
19,825
------------
MEASURING DEVICES--0.4%
Honeywell 8,900 604
Johnson Controls 2,900 233
Millipore 3,000 127
Perkin Elmer 3,000 193
Tektronix 2,300 116
Thermo Electron* 10,500 324
------------
1,597
------------
MEDICAL PRODUCTS & SERVICES--1.7%
Bausch & Lomb 3,900 154
Baxter International 19,200 828
Becton Dickinson 8,700 392
Beverly Enterprises* 7,000 100
Biomet 8,100 137
Boston Scientific* 12,500 772
C.R. Bard 4,000 114
Columbia/HCA Healthcare 47,105 1,584
Guidant 5,200 320
Healthsouth Rehabilitation* 22,200 425
Humana* 11,400 251
Mallinckrodt 5,200 214
Manor Care 4,400 107
Medtronic 16,800 1,046
St. Jude Medical 5,650 189
Tenet Healthcare* 15,200 374
United States Surgical 4,400 134
------------
7,141
------------
METALS & MINING--0.1%
Cyprus AMAX Minerals 6,550 156
Freeport-McMoran Copper & Gold, Cl B 13,600 413
------------
569
------------
MISCELLANEOUS BUSINESS SERVICES--4.0%
3Com* 12,200 400
Autodesk 3,200 99
Automatic Data Processing 20,400 854
Cisco Systems* 45,600 2,195
Computer Associates International 25,625 996
Computer Sciences* 5,300 327
CUC International* 27,675 623
First Data 31,400 1,064
Microsoft* 83,900 7,693
Novell* 24,200 230
Oracle* 46,125 1,779
Safety-Kleen 4,100 60
Shared Medical Systems 1,700 79
Sun Microsystems* 25,800 745
------------
17,144
------------
MISCELLANEOUS CONSUMER SERVICES--0.2%
H & R Block 7,300 214
Service International 16,600 494
------------
708
------------
OFFICE PRODUCTS & SUPPLIES--0.1%
Ikon Office Solutions 9,200 308
------------
OIL-DOMESTIC--1.0%
Ashland Oil 4,500 181
Atlantic Richfield 11,300 1,526
Kerr-McGee 3,400 210
Louisiana Land & Exploration 2,400 114
Pennzoil 3,300 171
Phillips Petroleum 18,500 756
Sun 5,174 135
Unocal 17,600 671
USX-Marathon Group 20,200 563
------------
4,327
------------
OIL-INTERNATIONAL--6.6%
Amerada Hess 6,500 345
Amoco 34,900 3,023
Chevron 45,800 3,189
Exxon 87,200 9,396
Mobil 27,700 3,618
Royal Dutch Petroleum 37,700 6,598
Texaco 18,600 2,037
------------
28,206
------------
PAPER & PAPER PRODUCTS--2.0%
Avery Dennison 7,300 281
Bemis 3,700 148
Boise Cascade 3,400 104
Champion International 6,700 305
Georgia Pacific 6,400 464
International Paper 21,100 820
James River 6,000 175
Kimberly Clark 19,850 1,973
Mead 3,700 196
Minnesota Mining & Manufacturing 29,400 2,484
Potlatch 2,000 82
Stone Container 7,000 78
Temple Inland 3,900 205
Union Camp 4,900 231
Westvaco 7,200 181
Weyerhaeuser 13,900 620
Willamette Industries 3,900 244
------------
8,591
------------
PETROLEUM & FUEL PRODUCTS--0.9%
Burlington Resources 8,800 376
Helmerich & Payne 1,700 79
Occidental Petroleum 23,100 569
Oryx Energy* 7,400 142
Rowan* 6,000 136
Santa Fe Energy Resources* 6,400 89
Schlumberger 17,300 1,855
Union Pacific Resources Group 17,543 469
Western Atlas* 3,800 230
------------
3,945
------------
PHOTOGRAPHIC EQUIPMENT & SUPPLIES--0.8%
Eastman Kodak 23,400 1,775
Polaroid 3,200 127
Xerox 22,800 1,297
------------
3,199
------------
PRECIOUS METALS--0.4%
Barrick Gold 25,100 596
Battle Mountain Gold 15,800 105
Echo Bay Mines 9,800 65
Homestake Mining 10,300 156
Newmont Mining 6,943 269
Placer Dome Group 16,800 305
Santa Fe Pacific Gold 9,240 152
------------
1,648
------------
PRINTING & PUBLISHING--1.3%
American Greetings, Cl A 5,300 169
Deluxe 5,800 188
Dow Jones 6,800 276
Gannett 9,900 850
John H. Harland 2,200 52
Knight-Ridder 6,600 263
McGraw-Hill 7,000 358
Meredith 3,800 88
Moore 7,000 140
New York Times, Cl A 6,800 300
R.R. Donnelley & Sons 10,600 370
Time Warner 39,900 1,726
Times Mirror, Cl A 6,900 377
Tribune 8,700 352
------------
5,509
------------
PROFESSIONAL SERVICES--0.2%
Cognizant 12,000 350
Dun & Bradstreet 12,000 305
EG&G 3,300 69
------------
724
------------
RAILROADS--0.9%
Burlington Northern Santa Fe 10,708 792
Conrail 4,882 550
CSX 15,200 707
Norfolk Southern 8,800 750
Union Pacific 17,200 976
------------
3,775
------------
REPAIR SERVICES--0.0%
Ryder System 5,800 170
------------
RETAIL--5.2%
Albertson's 17,700 602
American Stores 10,200 454
Autozone* 10,500 236
Charming Shoppes* 7,400 40
Circuit City Stores 6,900 230
Costco* 14,700 406
CVS 7,400 341
Darden Restaurants 11,100 87
Dayton Hudson 15,200 635
Dillard Department Stores, Cl A 8,000 252
Federated Department Stores* 14,600 480
Gap 19,900 667
Giant Food, Cl A 4,200 134
Great Atlantic & Pacific Tea 2,700 69
Harcourt General 5,000 233
Hasbro 9,150 250
Home Depot 33,733 1,805
J.C. Penney 16,200 772
Kmart* 34,000 412
Kroger* 8,900 452
Limited 18,992 349
Longs Drug Stores 2,700 63
Lowe's 12,100 452
Mattel 19,081 458
May Department Stores 17,700 805
McDonald's 49,000 2,315
Mercantile Stores 2,600 121
Nordstrom 5,700 216
Pep Boys-Manny, Moe & Jack 4,400 132
Rite Aid 8,600 361
Sears Roebuck 27,500 1,382
TJX 5,500 235
Toys "R" Us* 19,300 540
Wal-Mart Stores 161,100 4,491
Walgreen 17,300 724
Wendy's International 9,100 188
Winn Dixie Stores 10,600 350
Woolworth* 9,400 220
------------
21,959
------------
RUBBER & PLASTIC--0.7%
Armstrong World Industries 2,900 188
Cooper Tire & Rubber 5,800 107
Goodyear Tire & Rubber 10,900 570
Illinois Tool Works 8,700 710
Nike, Cl B 20,200 1,252
Rubbermaid 10,500 261
------------
3,088
------------
SEMI-CONDUCTORS/INSTRUMENTS--2.9%
Advanced Micro Devices* 9,600 398
AMP 15,452 531
Intel 57,600 8,014
LSI Logic* 9,000 313
Micron Technology 14,700 595
National Semiconductor* 9,700 267
Rockwell International 15,300 993
Texas Instruments 13,300 996
------------
12,107
------------
SPECIALTY MACHINERY--0.3%
Cooper Industries 7,628 331
Westinghouse Electric 44,000 781
------------
1,112
------------
STEEL & STEEL WORKS--0.9%
Alcan Aluminium 15,900 539
Allegheny Teledyne 12,222 344
Aluminum Company of America 12,200 830
Armco* 7,500 30
Asarco 3,000 84
Bethlehem Steel* 7,800 64
Engelhard 10,112 212
Inco 11,800 385
Inland Steel Industries 3,400 66
Nucor 6,200 284
Phelps Dodge 4,600 336
Reynolds Metals 4,500 279
USX-U.S. Steel Group 5,900 157
Worthington Industries 6,350 121
------------
3,731
------------
TELEPHONES & TELECOMMUNICATION--6.9%
Airtouch Communications* 35,200 810
Alltel 13,300 432
Ameritech 38,600 2,374
AT&T 113,800 3,955
Bell Atlantic 30,800 1,875
BellSouth 69,800 2,949
Frontier 11,500 206
GTE 67,600 3,152
Lucent Technologies 44,675 2,357
MCI Communications 48,100 1,714
NYNEX 30,900 1,410
Pacific Telesis Group 30,100 1,136
SBC Communications 42,400 2,231
Sprint 30,200 1,374
U.S. West 33,600 1,142
U.S. West Media Group* 43,900 818
WorldCom* 61,200 1,346
------------
29,281
------------
Description Shares/Par (000) Value (000)
- --------------------------------------------------------------------------------
TRUCKING--0.0%
Caliber System 2,800 $ 74
------------
WHOLESALE--0.4%
Fleming 2,700 47
Genuine Parts 8,450 394
Sigma Aldrich 7,000 216
SUPERVALU 4,700 140
Sysco 12,600 430
W.W. Grainger 3,700 274
------------
1,501
------------
Total Common Stocks
(Cost $288,951) 406,792
------------
TREASURY BILL--0.2%
U.S. Treasury Bill
5.08%, 06/19/97 (A) $ 700 692
------------
Total Treasury Bill
(Cost $692) 692
------------
RELATED PARTY MONEY MARKET FUND--3.4%
First American Prime
Obligations Fund (B) 14,629,160 14,629
------------
Total Related Party Money Market Fund
(Cost $14,629) 14,629
------------
Total Investments--99.5%
(Cost $304,272) 422,113
------------
Other Assets and Liabilities, Net--0.5% 2,142
------------
NET ASSETS:
Portfolio shares--Institutional Class
($.0001 par value--2 billion authorized)
based on 24,330,592 outstanding shares $ 288,325
Portfolio shares--Retail Class A
($.0001 par value--2 billion authorized)
based on 527,482 outstanding shares 7,377
Portfolio shares--Retail Class B
($.0001 par value--2 billion authorized)
based on 715,723 outstanding shares 10,572
Undistributed net investment income 132
Accumulated net realized gain on investments 652
Net unrealized appreciation of investments 117,841
Net unrealized depreciation of futures contracts (644)
------------
Total Net Assets--100.0% $ 424,255
============
Net asset value, offering price, and redemption
price per share--Institutional Class $ 16.59
============
Net asset value and redemption price per
share--Retail Class A $ 16.60
Maximum sales charge of 4.50% (1) 0.78
============
Offering price per share--Retail Class A $ 17.38
============
Net asset value, and offering price per
share--Retail Class B (2) $ 16.54
============
* Non-income producing security
(1) The offer price is calculated by dividing the net asset value by 1 minus the
maximum sales charge of 4.50%.
(2) Retail Class B has a contingent deferred
sales charge. For a description of possible redemption charge, see the notes to
the financial statements.
(A) Security has been deposited as initial margin on open futures contracts.
(B) This money market fund is advised by First Bank National Association who
also serves as adviser for this Fund. See also the notes to the financial
statements.
ADR--American Depository Receipt
Cl--Class
FHLMC--Federal Home Loan Mortgage Corporation
FNMA--Federal National Mortgage Association
MBIA--Municipal Bond Insurance Association
The accompanying notes are an integral part of the financial statements.
STOCK FUND
Description Shares Value (000)
- --------------------------------------------------------------------------------
COMMON STOCKS--92.2%
AEROSPACE & DEFENSE--1.4%
Raytheon 281,500 $ 12,703
------------
AUTOMOTIVE--2.1%
General Motors 352,100 19,498
------------
BANKS--6.3%
Bank of Boston 273,700 18,338
Chase Manhattan 214,100 20,045
Citicorp 174,100 18,846
------------
57,229
------------
CHEMICALS--4.1%
Hercules 74,400 3,143
PPG Industries 347,400 18,760
W.R. Grace 317,600 15,046
------------
36,949
------------
COMMUNICATIONS EQUIPMENT--1.9%
Nokia, ADR 300,800 17,522
------------
COMPUTERS & SERVICES--5.8%
Compaq Computer* 223,900 17,156
IBM 164,300 22,571
U.S. Robotics* 244,500 13,539
------------
53,266
------------
CONSUMERPRODUCTS --1.5%
Tupperware 412,900 13,832
------------
CONTAINERS & PACKAGING--3.1%
Ball 473,300 12,542
Bemis 387,000 15,480
------------
28,022
------------
DRUGS--5.2%
American Home Products 329,800 19,788
Bristol-Myers Squibb 267,450 15,780
Pharmacia & Upjohn 326,600 11,962
------------
47,530
------------
FINANCIAL SERVICES--2.2%
American Express 140,000 8,382
Household International 139,600 11,988
------------
20,370
------------
FOOD, BEVERAGE & TOBACCO--6.9%
Archer Daniels Midland 133,623 2,389
ConAgra 441,500 23,951
Dole Food 361,900 13,662
Sara Lee 577,600 23,393
------------
63,395
------------
INSURANCE--8.2%
Aetna 221,200 18,996
AMBAC 188,100 12,132
Cigna 97,600 14,262
General Re 74,100 11,708
Loews 36,200 3,217
TIG Holdings 464,700 14,754
------------
75,069
------------
LEISURE--2.1%
Brunswick 723,800 19,452
------------
MACHINERY--3.6%
Case 375,700 19,067
General Electric 95,700 9,498
York International 106,800 4,472
------------
33,037
------------
MULTI-INDUSTRY--2.9%
Corning 353,800 15,700
Minnesota Mining & Manufacturing 123,900 10,470
------------
26,170
------------
OIL-INTERNATIONAL--10.5%
Amerada Hess 233,300 12,365
Elf Aquitaine, ADR 208,200 10,254
Exxon 166,300 17,919
Mobil 129,800 16,955
Royal Dutch Petroleum 105,500 18,463
Texaco 179,600 19,666
------------
95,622
------------
PRINTING & PUBLISHING--1.5%
Knight-Ridder 334,900 13,354
------------
RAILROADS--3.1%
Burlington Northern Santa Fe 227,000 16,798
Canadian Pacific 459,600 11,030
------------
27,828
------------
REAL ESTATE INVESTMENT TRUSTS--5.2%
Duke Realty Investments 258,400 10,498
Equity Residential Properties Trust 338,000 14,999
Simon Debartolo Group 730,500 22,098
------------
47,595
------------
RETAIL--4.0%
Sears Roebuck 303,500 15,251
Toys "R" Us* 751,300 21,036
------------
36,287
------------
SEMI-CONDUCTORS/INSTRUMENTS--1.7%
SGS-Thomson Microelectronics* 236,100 15,612
------------
SPECIALTY CONSTRUCTION--2.1%
Masco 542,300 19,387
------------
TELEPHONES & TELECOMMUNICATION--5.2%
Century Telephone Enterprises 319,600 9,428
Deutsche Telekom, ADR* 885,000 19,359
NYNEX 412,500 18,820
------------
47,607
------------
WHOLESALE--1.6%
W.W. Grainger 201,600 14,918
------------
Total Common Stocks
(Cost $731,488) 842,254
------------
RELATED PARTY MONEY MARKET FUNDS--7.8%
First American Government
Obligations Fund (A) 25,159,649 25,160
First American Prime
Obligations Fund (A) 45,754,754 45,755
------------
Total Related Party Money Market Funds
(Cost $70,915) 70,915
------------
Total Investments--100.0%
(Cost $802,403) 913,169
------------
Other Assets and Liabilities, Net--(0.0%) (107)
------------
NET ASSETS:
Portfolio shares--Institutional Class
($.0001 par value--2 billion authorized)
based on 36,939,998 outstanding shares $ 651,786
Portfolio shares--Retail Class A
($.0001 par value--2 billion authorized)
based on 1,262,261 outstanding shares 23,332
Portfolio shares--Retail Class B
($.0001 par value--2 billion authorized)
based on 1,482,676 outstanding shares 30,767
Distributions in excess of net investment income (646)
Accumulated net realized gain on investments 97,057
Net unrealized appreciation of investments 110,766
------------
Total Net Assets--100.0% $ 913,062
============
Net asset value, offering price, and
redemption price per share--Institutional
Class $ 23.01
============
Net asset value and redemption
price per share--Retail Class A $ 23.01
Maximum sales charge of 4.50% (1) 1.08
============
Offering price per share--Retail Class A $ 24.09
============
Net asset value, and offering price
per share--Retail Class B (2) $ 22.89
============
* Non-income producing security
(1) The offer price is calculated by dividing the net asset value by 1 minus the
maximum sales charge of 4.50%.
(2) Retail Class B has a contingent deferred sales charge. For a description of
possible redemption charge, see the notes to the financial statements.
(A) These money market funds are advised by First Bank National Association who
also serves as adviser for this Fund. See also the notes to the financial
statements.
ADR--American Depository Receipt
AMBAC--American Municipal Bond Assurance Corporation
The accompanying notes are an integral part of the financial statements.
DIVERSIFIED GROWTH FUND
Description Shares Value (000)
- --------------------------------------------------------------------------------
COMMON STOCKS--93.3%
ADVERTISING--2.4%
Cox Communications* 247 $ 5,094
Tele-Communications, Cl A* 635 7,620
------------
12,714
------------
AIRCRAFT--1.4%
McDonnell Douglas 120 7,320
------------
AUTOMOTIVE--2.0%
Ford Motor 328 10,291
------------
BANKS--4.8%
Bank of New York 92 3,381
BankAmerica 55 5,541
Citicorp 76 8,227
Signet Banking 276 8,142
------------
25,291
------------
BROADCASTING, NEWSPAPERS & ADVERTISING--0.1%
TCI Satellite Entertainment* 64 498
------------
CHEMICALS--2.6%
E.I. du Pont de Nemours 127 13,462
------------
COMMUNICATIONS EQUIPMENT--4.1%
Ascend Communications* 177 7,213
Nokia, ADR 248 14,481
------------
21,694
------------
COMPUTERS & SERVICES--4.0%
Cisco Systems* 261 12,561
Seagate Technology* 182 8,167
------------
20,728
------------
DRUGS--7.7%
Abbott Laboratories 246 13,835
Johnson & Johnson 267 14,149
Pfizer 147 12,366
------------
40,350
------------
ELECTRICAL SERVICES--1.5%
Texas Utilities 229 7,843
------------
ENERGY & POWER--1.1%
Thermo Electron* 181 5,588
------------
FINANCIAL SERVICES--4.3%
American Express 163 9,784
FNMA 353 12,752
------------
22,536
------------
FOOD, BEVERAGE & TOBACCO--3.9%
PepsiCo 246 8,026
Philip Morris 47 5,421
Sara Lee 173 7,011
------------
20,458
------------
GAS/NATURAL GAS--2.0%
Enron 270 10,260
------------
GLASS PRODUCTS--1.8%
Corning 218 9,674
------------
HOUSEHOLD PRODUCTS--1.1%
Newell 175 5,862
------------
INSURANCE--1.2%
United Healthcare 128 6,096
------------
MACHINERY--4.7%
Case 164 8,323
General Electric 165 16,376
------------
24,699
------------
MEASURING DEVICES--0.7%
MTS Systems 163 3,586
------------
MEDICAL PRODUCTS & SERVICES--5.2%
Biochem Pharmaceuticals* 129 5,547
Columbia/HCA Healthcare 312 10,491
Medtronic 183 11,392
------------
27,430
------------
MISCELLANEOUS BUSINESS SERVICES--6.0%
Electronic Data Systems 86 3,472
First Data 134 4,539
Microsoft* 77 7,060
Oracle* 420 16,215
------------
31,286
------------
MISCELLANEOUS CONSUMER SERVICES--0.8%
Accustaff* 240 4,020
------------
OIL-INTERNATIONAL--7.0%
Amoco 126 10,915
Exxon 99 10,729
Mobil 113 14,761
------------
36,405
------------
PAPER & PAPER PRODUCTS--1.2%
Weyerhaeuser 138 6,181
------------
PRINTING & PUBLISHING--1.4%
News, ADR 414 7,452
------------
Description Shares/Par (000) Value (000)
- --------------------------------------------------------------------------------
RAILROADS--1.5%
Union Pacific 139 $ 7,888
------------
REAL ESTATE INVESTMENT TRUSTS--3.5%
National Golf Properties 159 4,909
Simon Debartolo Group 451 13,651
------------
18,560
------------
RETAIL--7.0%
Autozone* 352 7,920
Intimate Brands 487 9,192
McDonald's 292 13,821
Saks Holdings* 200 5,773
------------
36,706
------------
SEMI-CONDUCTORS/INSTRUMENTS--2.7%
Intel 101 14,052
------------
SERVICES-PREPACKAGED SOFTWARE--0.7%
Peoplesoft* 93 3,720
------------
SPECIALTY MACHINERY--0.8%
York International 98 4,112
------------
TELEPHONES & TELECOMMUNICATION--4.1%
Airtouch Communications* 137 3,151
L.M. Ericsson Telephone, ADR* 227 7,682
Vodafone, ADR 242 10,687
------------
21,520
------------
Total Common Stocks
(Cost $316,088) 488,282
------------
CONVERTIBLE BONDS--2.0%
3Com, 14.4665 Shares
10.250%, 11/01/01 $6,900 8,245
General Instrument, 42.1052 Shares
5.000%, 06/15/00 2,065 2,158
------------
Total Convertible Bonds
(Cost $10,768) 10,403
------------
RELATED PARTY MONEY MARKET FUND--4.1%
First American Prime
Obligations Fund (A) 21,648,766 21,649
------------
Total Related Party Money Market Fund
(Cost $21,649) 21,649
------------
Total Investments--99.4%
(Cost $348,505) 520,334
------------
Other Assets and Liabilities, Net--0.6% 2,985
------------
NET ASSETS:
Portfolio shares--Institutional Class
($.0001 par value--2 billion authorized)
based on 36,420,647 outstanding shares $ 326,516
Portfolio shares--Retail Class A
($.0001 par value--2 billion authorized)
based on 486,801 outstanding shares 5,849
Portfolio shares--Retail Class B
($.0001 par value--2 billion authorized)
based on 495,954 outstanding shares 6,178
Undistributed net investment income 636
Accumulated net realized gain on investments 12,311
Net unrealized appreciation of investments 171,829
------------
Total Net Assets--100.0% $ 523,319
============
Net asset value, offering price, and
redemption price per share--Institutional
Class $ 13.99
============
Net asset value and redemption price
per share--Retail Class A $ 13.95
Maximum sales charge of 4.50% (1) 0.66
============
Offering price per share--Retail Class A $ 14.61
============
Net asset value, and offering price
per share--Retail Class B (2) $ 13.87
============
* Non-income producing security
(1) The offer price is calculated by dividing the net asset value by 1 minus the
maximum sales charge of 4.50%.
(2) Retail Class B has a contingent deferred sales charge. For a description of
possible redemption charge, see the notes to the financial statements.
(A) This money market fund is advised by First Bank National Association who
also serves as adviser for this Fund. See also the notes to the financial
statements.
ADR--American Depository Receipt
Cl--Class
FNMA--Federal National Mortgage Association
The accompanying notes are an integral part of the financial statements.
SPECIAL EQUITY FUND
Description Shares Value (000)
- --------------------------------------------------------------------------------
COMMON STOCKS--97.4%
BANKS--3.6%
First Chicago NBD 132,600 $ 7,177
Great Western Financial 189,600 7,655
------------
14,832
------------
CHEMICALS--8.9%
Airgas* 511,500 8,632
Borden 587,100 5,944
H.B. Fuller 152,400 7,429
Millenium Chemicals 378,900 7,104
W.R. Grace 160,900 7,623
------------
36,732
------------
COMMUNICATIONS EQUIPMENT--3.9%
DSP Communications* 663,100 6,382
General Instrument* 420,800 9,626
------------
16,008
------------
COMPUTERS & SERVICES--3.6%
Ceridian* 189,400 6,795
Micron Electronics* 426,300 8,153
------------
14,948
------------
CONSUMERPRODUCTS--3.8%
Premark International 340,800 6,773
Tupperware 265,400 8,891
------------
15,664
------------
ENTERTAINMENT--1.3%
Grand Casinos* 567,900 5,324
------------
ENVIRONMENTAL SERVICES--2.0%
Browning Ferris Industries 283,900 8,198
------------
FINANCIAL SERVICES--3.4%
Advanta, Cl B 397,900 10,296
Firstplus Financial Group* 128,000 3,856
------------
14,152
------------
FOOD, BEVERAGE & TOBACCO--8.0%
Canandaigua Wine, Cl A* 274,800 7,213
Dean Foods 189,600 6,565
Dole Food 286,700 10,823
International Multifoods 421,000 8,631
------------
33,232
------------
INSURANCE--2.6%
IPC Holdings 246,400 6,006
Nationwide Financial Services* 189,600 4,882
------------
10,888
------------
LEASING & RENTING--1.1%
Prime Service* 236,800 4,499
------------
MACHINERY--2.4%
Black & Decker 312,700 10,045
------------
MARINE TRANSPORTATION--0.8%
Stolt-Nielsen 198,800 3,429
------------
MEDICAL PRODUCTS & SERVICES--5.6%
Integrated Health Services 303,000 8,863
Trigon Healthcare* 283,800 5,002
Value Health* 502,000 9,287
------------
23,152
------------
METALS & MINING--3.9%
IMC Global 265,000 9,573
Potash of Saskatchewan 85,300 6,483
------------
16,056
------------
MISCELLANEOUS BUSINESS SERVICES--2.3%
Olsten 596,600 9,620
------------
OIL-DOMESTIC--3.8%
USX-Marathon Group 353,800 9,862
Valero Energy 160,900 5,853
------------
15,715
------------
PAPER & PAPER PRODUCTS--0.4%
Fort Howard* 47,300 1,472
------------
PETROLEUM REFINING--2.1%
Lyondell Petrochemical 378,600 8,660
------------
PRINTING & PUBLISHING--2.3%
American Greetings, Cl A 302,900 9,674
------------
REAL ESTATE INVESTMENT TRUSTS--5.6%
Glimcher Realty Trust 340,700 6,516
Simon DeBartolo Group 378,600 11,453
Trizec Hahn 236,400 5,289
------------
23,258
------------
RETAIL--15.0%
Apple South 568,400 7,460
Best Buy* 530,500 5,438
Brinker International* 852,000 10,757
Costco* 236,900 6,544
Darden Restaurants 850,600 6,698
Department 56* 473,100 8,220
Lone Star Steakhouse & Saloon* 303,200 6,936
Micro Warehouse* 426,300 5,595
Sunglass Hut International* 596,600 4,176
------------
61,824
------------
SEMI-CONDUCTORS/INSTRUMENTS--3.0%
Atmel* 284,100 6,801
Teradyne* 189,400 5,469
------------
12,270
------------
SPECIALTY CONSTRUCTION--1.3%
Oakwood Homes 312,600 5,510
------------
SPECIALTY MACHINERY--2.1%
American Standard* 189,600 8,532
------------
STEEL & STEEL WORKS--2.5%
Century Aluminum 289,100 4,879
J & L Specialty Steel 445,200 5,342
------------
10,221
------------
TELEPHONES & TELECOMMUNICATION--2.1%
Century Telephone Enterprises 296,400 8,744
------------
Total Common Stocks
(Cost $378,522) 402,659
------------
RELATED PARTY MONEY MARKET FUND--4.0%
First American Prime
Obligations Fund (A) 16,646,566 16,647
------------
Total Related Party Money Market Fund
(Cost $16,647) 16,647
------------
Total Investments--101.4%
(Cost $395,169) 419,306
------------
Other Assets and Liabilities, Net--(1.4%) (6,004)
------------
NET ASSETS:
Portfolio shares--Institutional Class
($.0001 par value--2 billion authorized)
based on 19,155,113 outstanding shares $ 311,687
Portfolio shares--Retail Class A
($.0001 par value--2 billion authorized)
based on 1,091,085 outstanding shares 18,286
Portfolio shares--Retail Class B
($.0001 par value--2 billion authorized)
based on 1,075,223 outstanding shares 19,664
Undistributed net investment income 674
Accumulated net realized gain on investments 38,854
Net unrealized appreciation of investments 24,137
------------
Total Net Assets--100.0% $ 413,302
============
Net asset value, offering price, and redemption
price per share--Institutional Class $ 19.40
============
Net asset value and redemption price
per share--Retail Class A $ 19.37
Maximum sales charge of 4.50% (1) 0.91
============
Offering price per share--Retail Class A $ 20.28
============
Net asset value, and offering price per
share--Retail Class B (2) $ 19.21
============
* Non-income producing security
(1) The offer price is calculated by dividing the net asset value by 1 minus the
maximum sales charge of 4.50%.
(2) Retail Class B has a contingent deferred sales charge. For a description of
possible redemption charge, see the notes to the financial statements.
(A) This money market fund is advised by First Bank National Association who
also serves as adviser for this Fund. See also the notes to the financial
statements.
Cl--Class
The accompanying notes are an integral part of the financial statements.
REGIONAL EQUITY
Description Shares Value (000)
- --------------------------------------------------------------------------------
INVESTMENT IN SECURITIES OF UNAFFILIATED ISSUERS--77.7%
COMMON STOCKS--77.7%
AUTOMOTIVE--4.9%
Deflecta-Shield* 207,900 $ 1,949
Tower Automotive* 340,000 13,260
------------
15,209
------------
BANKS--6.6%
Community First Bankshares 350,200 10,856
TCF Financial 246,900 9,783
------------
20,639
------------
BATTERIES & BATTERY SYSTEMS--0.6%
Bolder Technologies* 141,600 1,894
------------
BROADCASTING, NEWSPAPERS & ADVERTISING--0.8%
Lodgenet Entertainment* 249,500 2,620
------------
CHEMICALS--2.6%
Petrolite 75,000 4,434
W.H. Brady 149,500 3,756
------------
8,190
------------
COMMUNICATIONS EQUIPMENT--2.4%
Communications Systems 440,700 6,060
Transcrypt International* 210,000 1,522
------------
7,582
------------
COMPUTERS & SERVICES--5.7%
Control Data Systems* 461,500 6,980
Digi International* 331,300 2,360
Valmont Industries 213,600 8,330
------------
17,670
------------
DRUGS--2.6%
Lifecore Biomedical* 459,500 6,835
Orphan Medical* (B) 242,000 1,331
------------
8,166
------------
ENTERTAINMENT--0.9%
Grand Casinos* 290,000 2,719
------------
FOOD, BEVERAGE & TOBACCO--2.4%
International Multifoods 207,900 4,262
Michael Foods 302,600 3,139
------------
7,401
------------
GAS/NATURAL GAS--1.5%
Western Gas Resources 256,700 4,621
------------
INSURANCE--3.5%
Amerin* 300,100 6,040
MMI 187,300 4,776
------------
10,816
------------
MACHINERY--15.9%
Alliant Techsystems* 81,200 3,421
Applied Power 230,300 9,673
BMC Industries 162,500 4,591
Check Technology* 147,500 1,069
Donaldson 241,100 8,378
Idex 218,100 5,125
Pentair 250,000 7,219
SPX 216,000 9,801
------------
49,277
------------
MEDICAL PRODUCTS & SERVICES--5.1%
Angeion* 456,500 1,883
ATS Medical* 193,750 1,308
CNS* 279,000 2,755
Dynamic Healthcare Technologies* 291,100 2,001
Empi* 246,700 4,256
Nellcor Puritan Bennett* 207,628 3,659
------------
15,862
------------
METALS & MINING--2.0%
Titanium Metals* 125,000 3,172
Varlen 153,940 3,002
------------
6,174
------------
MISCELLANEOUS BUSINESS SERVICES--3.9%
National Computer Systems 453,000 11,438
Summit Medical Systems* 197,700 643
------------
12,081
------------
MISCELLANEOUS CONSUMER SERVICES--2.2%
Regis 394,400 6,902
------------
PETROLEUM & FUEL PRODUCTS--0.6%
St. Mary Land & Exploration 77,200 1,988
------------
PRINTING & PUBLISHING--2.4%
IPI* 171,100 556
Merrill 281,000 6,744
------------
7,300
------------
RETAIL--6.2%
Buffets* 440,700 3,168
Department 56* 316,100 5,492
Fingerhut 520,900 7,293
Vicorp Restaurants* 249,500 3,181
------------
19,134
------------
SEMI-CONDUCTORS/INSTRUMENTS--1.5%
Hutchinson Technology* 168,000 4,788
------------
WHOLESALE--3.4%
A.M. Castle 173,450 3,014
Ballantyne of Omaha* 351,400 5,403
Hawkins Chemical 302,505 2,080
------------
10,497
------------
Total Common Stocks
(Cost $205,294) 241,530
------------
Total Investment in Securities of
Unaffiliated Issuers
(Cost $205,294) 241,530
------------
RELATED PARTY MONEY MARKET FUNDS--8.2%
First American Government
Obligations Fund (A) 9,981,768 9,982
First American Prime
Obligations Fund (A) 15,590,902 15,591
------------
Total Related Party Money Market Funds
(Cost $25,573) 25,573
------------
INVESTMENTS IN COMMON STOCK OF AFFILIATES--14.1%
Aetrium* (B) 686,000 9,004
Alternate Postal Delivery* (B) 236,500 709
Appliance Recycling Centers
of America* (B) 64,975 179
Audio King* (B) 274,400 446
Dura Automotive Systems* (B) 163,900 3,852
Mosaix* (B) 604,800 7,711
Norstan* (B) 536,300 8,313
Onelink Communications* (B) 403,300 655
Premis* (B) 176,400 507
Rehabilicare* (B) 415,800 1,195
Sport-Haley* (B) 273,000 4,539
TSI (B) 715,200 6,794
------------
Total Investments in Common Stock of Affiliates
(Cost $35,586) 43,904
------------
Total Investments--100.0%
(Cost $266,453) 311,007
------------
Other Assets and Liabilities, Net--0.0% 2
------------
NET ASSETS:
Portfolio shares--Institutional Class
($.0001 par value--2 billion authorized)
based on 15,043,523 outstanding shares $ 212,501
Portfolio shares--Retail Class A
($.0001 par value--2 billion authorized)
based on 1,477,136 outstanding shares 20,615
Portfolio shares--Retail Class B
($.0001 par value--2 billion authorized)
based on 1,701,200 outstanding shares 28,206
Undistributed net investment income 111
Accumulated net realized gain on investments 5,022
Net unrealized appreciation of investments 44,554
------------
Total Net Assets--100.0% $ 311,009
=============
Net asset value, offering price, and
redemption price per share--Institutional
Class $ 17.09
============
Net asset value and redemption price
per share--Retail Class A $ 17.07
Maximum sales charge of 4.50% (1) 0.80
============
Offering price per share--Retail Class A $ 17.87
============
Net asset value, and offering price
per share--Retail Class B (2) $ 16.83
============
* Non-income producing security
(1) The offer price is calculated by dividing the net asset value by 1 minus the
maximum sales charge of 4.50%.
(2) Retail Class B has a contingent deferred sales charge. For a description of
possible redemption charge, see the notes to the financial statements.
(A) These money market funds are advised by First Bank National Association who
also serves as adviser for this Fund. See also the notes to the financial
statements.
(B) Investments are representing five percent or more of the outstanding voting
securities of the issuer, and is or was an affiliate, as defined in the
Investment Company Act of 1940 at or during the semi-annual period ended March
31, 1997.
<TABLE>
<CAPTION>
The activity for investments in Common Stock of Affiliates is as follows:
Shares at Shares at Realized
Description 09/30/96 03/31/97 Difference Dividends Gains (Losses)
- ---------------- ----------- ----------- ----------- ----------- -----------
<S> <C> <C> <C> <C> <C>
Aequitrion
Medical/
Nellcor $ 453,900 $ 207,628+ $ (246,272) $ -- $ 47,106
Aetrium 700,400 686,000 (14,400) -- 73,808
Alternate Postal
Delivery 241,500 236,500 (5,000) -- (12,500)
Appliance
Recycling
Centers 265,400 64,975 (200,425) -- (32,564)
Audio King 280,200 274,400 (5,800) -- (10,150)
Dura Automotive
Systems 130,100 163,900 33,800 -- 22,983
Marketlink/
Onelink 411,800 403,300 (8,500) -- (10,625)
Digital Systems/
Mosaix 424,500 604,800 180,300 -- 25,400
Norstan 547,600 536,300 (11,300) -- 94,638
Premis 107,800 176,400 68,600 -- 2,875
Rehablicare 424,500 415,800 (8,700) -- 2,175
Sport Haley 278,700 273,000 (5,700) -- 26,363
TSI 730,200 715,200 (15,000) 36,135 93,750
- ---------------- ----------- ----------- ----------- ----------- -----------
4,996,600 4,758,203 (238,397) 36,135 323,259
+ At March 31, 1997, these securities were not considered common stock
affiliates.
</TABLE>
The accompanying notes are an integral part of the financial statements.
EMERGING GROWTH FUND
Description Shares Value (000)
- --------------------------------------------------------------------------------
COMMON STOCKS--97.6%
AEROSPACE & DEFENSE--2.9%
Remec* 53,000 $ 1,139
Tracor* 96,000 2,232
------------
3,371
------------
AIRCRAFT--2.0%
BE Aerospace* 94,000 2,303
------------
APPAREL/TEXTILES--0.4%
Culp 29,000 500
------------
AUTOMOTIVE--3.6%
Deflecta-Shield* 121,000 1,134
Tower Automotive* 78,000 3,042
------------
4,176
------------
BANKS--0.1%
Bank United, Cl A 3,000 88
------------
BATTERIES & BATTERY SYSTEMS--1.3%
Bolder Technologies* 115,000 1,538
------------
BICYCLES & BICYCLE PARTS--1.0%
Cannondale* 64,000 1,184
------------
BROADCASTING, NEWSPAPERS & ADVERTISING--3.9%
Bell Cablemedia, ADR* 47,000 740
Getty Communications, ADR* 105,000 1,575
NTL* 69,200 1,488
Pricellular, Cl A* 81,444 672
------------
4,475
------------
CHEMICALS--2.3%
Applied Extrusion Technologies* 69,000 750
Cambrex 55,500 1,859
------------
2,609
------------
COMMUNICATIONS EQUIPMENT--6.3%
Affinity Technology* 15,000 81
Checkpoint Systems* 90,000 1,541
Communications Systems 90,000 1,237
CTC Communications* 100,000 725
Harmonic Lite* 63,000 866
Medialink Worldwide* 145,000 924
PictureTel* 38,000 451
Ultrak* 85,000 1,530
------------
7,355
------------
COMPUTERS & SERVICES--3.7%
Accent Color Sciences* 142,000 728
Apex PC Solutions* 134,000 1,139
HMT Technology* 95,000 1,164
Imnet Systems* 53,200 798
Mackie Designs* 65,000 479
------------
4,308
------------
DRUGS--0.9%
Idexx Laboratories* 75,000 1,050
------------
ENERGY & POWER--1.8%
Calenergy* 60,000 2,040
------------
FINANCIAL SERVICES--2.3%
Advanta, Cl A 19,500 524
Advanta, Cl B 32,000 828
BISYS Group* 40,000 1,260
------------
2,612
------------
FOOD, BEVERAGE & TOBACCO--1.7%
Consolidated Cigar Holdings* 85,000 2,008
------------
HOME APPLIANCES--0.3%
Molten Metal Technology* 42,000 367
------------
HOUSEHOLD PRODUCTS--0.8%
Coleman* 70,000 936
------------
INSURANCE--5.7%
Amerin* 119,000 2,395
Meadowbrook Insurance Group 16,300 373
United Payors & United Providers* 100,000 1,425
Vesta Insurance Group 67,000 2,387
------------
6,580
------------
LEISURE--0.5%
T-HQ* 100,000 619
------------
MACHINERY--4.0%
Electric Fuel* 163,000 876
Shaw Group* 99,500 2,276
Sinter Metals* 53,000 1,458
------------
4,610
------------
MEASURING DEVICES--1.0%
Quickturn Design Systems* 70,000 1,120
------------
MEDICAL PRODUCTS & SERVICES--13.4%
ATS Medical* 160,900 1,086
Closure Medical* 70,000 1,033
Conceptus* 110,300 1,406
Healthsource* 68,500 1,404
Medical Alliance* 76,000 837
Nitinol Medical Technologies* 134,000 1,072
Qiagen* 77,000 2,560
Quorum Health Group* 75,000 2,316
Spine-Tech* 56,000 1,596
Vencor* 60,000 2,273
------------
15,583
------------
METALWORKING, MACHINERY, & EQUIPMENT--1.9%
Greenfield Industries 70,000 1,531
Wolverine Tube* 25,000 650
------------
2,181
------------
MISCELLANEOUS BUSINESS SERVICES--11.1%
Affymetrix* 3,800 103
Arbor Software* 27,000 675
BA Merchant Services* 30,000 413
CCC Information Services Group* 24,000 300
Crystal Systems Solutions* 96,000 1,152
Dynamic Healthcare Technologies* 150,000 1,031
Harbinger* 33,000 726
Keane* 84,500 2,778
ONTRACK Data International* 69,500 1,043
Pegasystems* 38,000 765
Planning Sciences International, ADR* 51,600 464
QuadraMed* 133,000 1,413
Spatial Technology* 94,200 259
Staffmark* 120,000 1,575
Versatility* 12,500 122
------------
12,819
------------
MISCELLANEOUS CONSUMER SERVICES--1.3%
Steiner Leisure Limited* 61,500 1,491
------------
MISCELLANEOUS MANUFACTURING--0.6%
Special Metals* 40,000 700
------------
OIL-DOMESTIC--5.2%
Belden & Blake* 64,800 1,677
Cairn Energy USA* 175,000 2,013
Petroleum Geo Services, ADR* 55,000 2,365
------------
6,055
------------
PETROLEUM & FUEL PRODUCTS--1.4%
Global Industries* 75,000 1,603
------------
PROFESSIONAL SERVICES--0.8%
Firearms Training Systems* 75,000 938
------------
REAL ESTATE INVESTMENT TRUSTS--0.7%
Golf Trust of America* 32,000 780
------------
RETAIL--4.9%
BAB Holdings* 197,500 802
Buffets* 146,250 1,051
Coldwater Creek* 7,500 104
Cooker Restaurant 130,000 1,365
Eagle Hardware & Garden* 75,000 1,350
New York Bagel* 40,000 175
Stage Stores* 40,000 880
------------
5,727
------------
SEMI-CONDUCTORS/INSTRUMENTS--1.5%
Advanced Energy Industries* 140,000 1,050
Aetrium* 54,000 709
------------
1,759
------------
SERVICES-PREPACKAGED SOFTWARE--5.1%
BTG* 150,000 2,625
Geoworks* 55,000 364
Hyperion Software* 53,000 875
National Instruments* 44,000 1,419
Platinum Technology* 55,000 653
------------
5,936
------------
SERVICES-SECURITY--0.5%
ITI Technologies* 43,000 613
------------
TELEPHONES & TELECOMMUNICATION--2.0%
American Paging* 55,000 193
Broadband Technologies* 46,000 420
Brooks Fiber Properties* 32,000 572
Lightbridge* 77,000 529
Metro One Telecommunications* 80,000 480
Metrocall* 38,011 157
------------
2,351
------------
WHOLESALE--0.7%
Neuromedical Systems* 61,000 610
Telcom Semiconductor* 51,000 249
------------
859
------------
Total Common Stocks
(Cost $107,563) 113,244
------------
PREFERRED CONVERTIBLE STOCK--0.3%
MISCELLANEOUS BUSINESS SERVICES--0.3%
Network Imaging 26,000 371
------------
Total Preferred Convertible Stock
(Cost $527) 371
------------
RIGHTS--0.0%
Metrocall* 38,011 --
------------
Total Rights
(Cost $0) --
------------
RELATED PARTY MONEY MARKET FUND--3.8%
First American Prime
Obligations Fund (A) 4,356,988 4,357
------------
Total Related Party Money Market Fund
(Cost $4,357) 4,357
------------
Total Investments--101.7%
(Cost $112,447) 117,972
------------
Other Assets and Liabilities, Net--(1.7%) (1,947)
------------
NET ASSETS:
Portfolio shares--Institutional Class
($.0001 par value--2 billion authorized)
based on 8,819,046 outstanding shares $ 103,896
Portfolio shares--Retail Class A
($.0001 par value--2 billion authorized)
based on 171,168 outstanding shares 2,171
Portfolio shares--Retail Class B
($.0001 par value--2 billion authorized)
based on 63,742 outstanding shares 841
Accumulated net investment loss (172)
Accumulated net realized gain on investments 3,764
Net unrealized appreciation of investments 5,525
------------
Total Net Assets--100.0% $ 116,025
============
Net asset value, offering price, and
redemption price per share--Institutional
Class $ 12.82
============
Net asset value and redemption
price per share--Retail Class A $ 12.78
Maximum sales charge of 4.50% (1) 0.60
============
Offering price per share--Retail Class A $ 13.38
============
Net asset value, and offering price
per share--Retail Class B (2) $ 12.52
============
* Non-income producing security
(1) The offer price is calculated by dividing the net asset value by 1 minus the
maximum sales charge of 4.50%.
(2) Retail Class B has a contingent deferred sales charge. For a description of
possible redemption charge, see the notes to the financial statements.
(A) This money market fund is advised by First Bank National Association who
also serves as adviser for this Fund. See also the notes to the financial
statements.
ADR--American Depository Receipt
Cl--Class
The accompanying notes are an integral part of the financial statements.
INTERNATIONAL FUND
Description Shares/Par (000) Value (000)
- --------------------------------------------------------------------------------
FOREIGN COMMON STOCKS--89.1%
BRAZIL--1.5%
Telecom Brasileiras, ADR 23,700 $ 2,426
------------
CANADA--2.9%
Canada Pacific 16,800 401
Canadian Imperial Bank 25,300 572
Canadian Natural Resource* 26,000 629
Midland Walwyn 43,900 387
Northern Telecom 16,400 1,072
Royal Bank of Canada 24,100 935
Tailsman Energy 22,800 677
------------
4,673
------------
FINLAND--0.8%
AMER Group, Cl A* 25,200 523
Nokia, ADR* 5,800 338
Pohjola Vakuutusosakeyhtio BF 18,700 505
------------
1,366
------------
FRANCE--10.2%
Cap Gemini Sogeti 18,200 1,107
Carrefour Supermarkets 600 373
Elf Aquitaine 31,100 3,197
L'Oreal 7,520 2,636
Michelin, Cl B 33,500 1,996
Rhone Poulenc, Cl A 57,900 1,963
Schneider 14,800 849
SGS Thomson Microelectronics 7,500 528
Total Compaigne, Cl B 25,700 2,229
Valeo 25,000 1,684
------------
16,562
------------
GERMANY--11.5%
Adidas 18,400 2,065
Bayer 88,000 3,688
Bayerisch Moteren Werke 1,150 936
Bayerische Hypotheken 10,800 376
Daimler Benz* 38,300 3,078
Deutsche Babcock* 17,300 787
Hoechst 30,500 1,232
Mannesmann 5,000 1,903
Schering 18,500 1,863
SGL Carbon 3,700 502
Veba 26,100 1,493
Volkswagen 1,300 714
------------
18,637
------------
HONG KONG--6.7%
Bank of East Asia 207,600 705
Cheung Kong Holdings 279,000 2,458
Citic Pacific 268,700 1,332
Henderson Land Development 159,000 1,318
HSBC Holdings 91,200 2,119
New World Development 185,000 998
Sun Hung Kai Properties 180,000 1,905
------------
10,835
------------
IRELAND--1.3%
Elan, ADR* 63,500 2,167
------------
ITALY--3.0%
Gucci Group, ADR 27,700 1,998
Seat 95,000 33
Seat Savings 116,000 26
STET 260,000 1,137
STET Savings 116,000 412
Telecom Italia Mobile 442,000 1,273
------------
4,879
------------
JAPAN--12.9%
Aisin Seiki 47,000 635
Bridgestone 40,000 751
Canon 95,000 2,036
Eisai 37,000 634
Fuji Photo Film 23,000 757
Honda Motor 40,000 1,194
Ricoh 62,000 707
Sankyo 107,000 2,951
Sony 44,300 3,100
Sumitomo Electric 29,000 394
Takeda Chemical 150,000 3,143
TDK 32,000 2,200
Tokyo Electronics 24,200 803
Toyota Motor 64,000 1,620
------------
20,925
------------
MALAYSIA--1.2%
Arab-Malaysian Merchant Bank* 98,000 815
AMMB Holdings Bond Rights* 98,000 13
AMMB Holdings Loan Stock Rights* 98,000 9
Malayan Banking 66,000 753
Sime Darby 98,000 358
------------
1,948
------------
MEXICO--1.2%
Grupo Carso, ADS 25,900 310
Grupo Elektra 59,000 554
Grupo Financiero Inbursa, Cl B 96,000 342
Grupo Imsa* 15,000 349
Grupo Posadas, Cl A* 825,000 416
Grupo Synkro, ADR* 275,000 14
------------
1,985
------------
NETHERLANDS--11.1%
ABN Amro Holdings 15,800 1,087
Aegon 6,000 423
Akzo 16,600 2,385
AMEV 6,950 271
ASM Lithography Holdings* 6,900 517
Baan, ADR* 11,400 509
Elsevier 89,000 1,448
Getronics* 26,700 868
Ing Groep 56,100 2,211
Nutricia Vernide Bedrijven 6,100 943
Royal Dutch Petroleum 17,500 3,179
Unilever 9,100 1,778
Vendex International 8,500 402
Wolters Kluwer 16,500 1,988
------------
18,009
------------
NORWAY--0.2%
Saga Petroleum, Cl A 19,800 343
------------
PHILIPPINES--0.0%
San Miguel, Cl B 18,100 63
------------
PORTUGAL--0.6%
Portugal Telecom, ADR 26,900 989
------------
SOUTH KOREA--0.0%
Samsung Electric 1/2 Voting, GDR (A) 1 --
------------
SPAIN--1.3%
Telefonica de Espana 89,700 2,157
------------
SWEDEN--6.6%
Asea Brown Boveri Group 15,750 1,775
Astra, Cl B 54,000 2,526
Atlas Copco, Cl B 30,900 771
Autoliv 18,000 773
Ericsson Telephone, ADR 131,000 4,429
Securitas, Cl B 12,300 351
------------
10,625
------------
SWITZERLAND--5.6%
Adecco* 5,650 1,831
CS Holdings, Registered* 21,500 2,567
Novartis, Registered* 1,965 2,425
Roche Holdings 266 2,288
------------
9,111
------------
UNITED KINGDOM--10.5%
British Aerospace 11,300 254
British Petroleum 218,800 2,542
British Sky Broadcasting, ADR 20,400 1,237
Enterprise Oil 129,000 1,377
Granada Group 29,300 442
Land Securities 42,800 544
Logica 54,000 854
Next 79,400 814
Siebe 139,500 2,355
SmithKline Beecham 217,700 3,233
Zeneca Group 114,000 3,304
------------
16,956
------------
Total Foreign Common Stocks
(Cost $127,581) 144,656
------------
FOREIGN PREFERRED STOCKS--4.6%
BRAZIL--2.0%
Electrobras, Cl B 4,705,000 2,025
Petrol Brasileiros 5,960,000 1,184
------------
3,209
------------
FINLAND--1.3%
Nokia, Cl A 34,800 2,094
------------
GERMANY--1.3%
SAP 12,900 2,193
------------
Total Foreign Preferred Stocks
(Cost $7,273) 7,496
------------
REPURCHASE AGREEMENT--6.5%
Merrill Lynch 6.337%, dated 03/31/97,
matures 04/01/97, repurchase price
$10,521,755 (collateralized by various
U.S. Treasury STRIPS, total par value
$14,688,000, 5.750%-8.625%, 05/15/97-08/15/04:
total market value $10,731,534) $10,520 10,520
------------
Total Repurchase Agreement
(Cost $10,520) 10,520
------------
Total Investments--100.2%
(Cost $145,374) 162,672
------------
Other Assets and Liabilities, Net--(0.2%) (291)
------------
NET ASSETS:
Portfolio Shares--Institutional Class
($.0001 par value--2 billion authorized)
based on 14,529,892 outstanding shares $ 144,624
Portfolio Shares--Retail Class A
($.0001 par value--2 billion authorized)
based on 191,439 outstanding shares 1,845
Portfolio Shares--Retail Class B
($.0001 par value--2 billion authorized)
based on 134,537 outstanding shares 1,339
Undistributed net investment income 4,721
Accumulated net realized loss on
investments (6,528)
Net unrealized depreciation of forward
foreign currency contracts, foreign
currency and translation of other assets
and liabilities in foreign currency (918)
Net unrealized appreciation on investments 17,298
------------
Total Net Assets--100.0% $ 162,381
============
Net asset value, offering and redemption
price per share--Institutional Class $ 10.93
============
Net asset value and redemption price
per share--Retail Class A $ 10.92
Maximum sales charge of 4.50% (1) 0.51
============
Offering price per share--Retail Class A $ 11.43
============
Net asset value and offering price
per share--Retail Class B (2) $ 10.77
============
* Non-income producing security
(1) The offer price is calculated by dividing the net asset value by 1 minus the
maximum sales charge of 4.50%.
(2) Retail Class B has a contingent deferred sales charge. For a description of
a possible redemption charge, see the notes to the financial statements.
(A) Securities sold within the terms of a private placement memorandum, exempt
from registration under Section 144A of the Securities Act of 1933, as amended,
and may be sold only to dealers in that program or other accredited investors.
ADR--American Depository Receipts
ADS--American Depository Shares
Cl--Class
GDR--Global Depository Receipts
STRIPS--Separately Traded Registered and Interest Principal Securities
The accompanying notes are an integral part of the financial statements.
HEALTH SCIENCES FUND
Description Shares Value (000)
- --------------------------------------------------------------------------------
COMMON STOCKS--96.5%
CHEMICALS--3.9%
Cambrex 42,600 $ 1,427
------------
DRUGS--10.8%
Aastrom Biosciences* 30,000 172
Alliance Pharmaceutical* 32,000 388
Chirex* 22,700 233
Columbia Laboratories* 13,800 169
Galagen* 36,300 93
Immulogic Pharmaceutical* 28,700 126
R.P. Scherer* 21,500 1,115
Sepracor* 21,100 487
SmithKline Beecham, ADR 16,500 1,155
------------
3,938
------------
ELECTRICAL TECHNOLOGY--0.9%
Photoelectron* 45,000 326
------------
INSURANCE--5.0%
Pacificare Health Systems, Cl B* 10,200 880
United Healthcare 20,000 952
------------
1,832
------------
MACHINERY--1.3%
Pall 20,000 462
------------
MEDICAL PRODUCTS & SERVICES--56.8%
Affymetrix* 1,200 32
Algos Pharmaceuticals* 15,000 251
American Oncology Resources* 16,800 147
Angeion* 70,000 289
Applied Biometrics* 13,000 122
Arrow International 18,400 557
ATS Medical* 83,475 563
Biochem Pharmaceuticals* 20,000 860
Boston Biomedical* 55,000 522
Boston Scientific* 20,622 1,273
Cambridge Heart* 45,000 512
Closure Medical* 50,000 737
Columbia/HCA Healthcare 20,378 685
Conceptus* 35,000 446
Elan, ADR* 23,400 799
Genesis Health Ventures* 29,200 913
Health Management Associates, Cl A* 32,000 760
Idexx Laboratories* 50,200 703
Integrated Health Services 25,000 731
Medical Alliance* 24,000 264
Medtronic 21,900 1,363
Micro Therapeutics* 55,000 392
Neuromedical Systems* 25,950 260
Nitinol Medical Technologies* 50,000 400
Novoste* 10,000 150
Physio-Control International* 50,300 698
Physiometrix* 50,000 175
Qiagen* 29,800 991
Quorum Health Group* 49,200 1,519
Sano* 26,500 311
Spine-Tech* 37,200 1,060
Superior Consultants* 20,000 355
Urologix* 1,000 17
Vencor* 32,700 1,239
Ventana Medical Systems* 41,400 580
------------
20,676
------------
MISCELLANEOUS BUSINESS SERVICES--2.1%
QuadraMed* 42,000 446
Quality Systems* 23,000 167
Transition Systems* 11,500 135
------------
748
------------
REAL ESTATE INVESTMENT TRUSTS--8.0%
Healthcare Realty Trust 37,300 1,021
National Health Investors 26,600 988
Nationwide Health Properties 41,400 885
------------
2,894
------------
SERVICES-PREPACKAGED SOFTWARE--2.1%
Enterprise Systems* 8,700 196
Imnet Systems* 38,200 573
------------
769
------------
TESTING LABORATORIES--0.4%
Clintrials Research* 18,000 153
------------
WHOLESALE--5.2%
Cardinal Health 15,000 816
Patterson Dental* 31,350 1,066
------------
1,882
------------
Total Common Stocks
(Cost $31,489) 35,107
------------
RELATED PARTY MONEY MARKET FUND--3.4%
First American Prime
Obligations Fund (A) 1,238,847 1,239
------------
Total Related Party Money Market Fund
(Cost $1,239) 1,239
------------
Total Investments--99.9%
(Cost $32,728) 36,346
------------
Other Assets and Liabilities, Net--0.1% 39
------------
NET ASSETS:
Portfolio shares--Institutional Class
($.0001 par value--2 billion authorized)
based on 3,649,173 outstanding shares $ 30,185
Portfolio shares--Retail Class A
($.0001 par value--2 billion authorized)
based on 69,354 outstanding shares 680
Portfolio shares--Retail Class B
($.0001 par value--2 billion authorized)
based on 41,018 outstanding shares 398
Distribution in excess of net investment income (15)
Accumulated net realized gain on investments 1,519
Net unrealized appreciation of investments 3,618
------------
Total Net Assets--100.0% $ 36,385
============
Net asset value, offering price, and
redemption price per share--Institutional
Class $ 9.68
============
Net asset value and redemption price
per share--Retail Class A $ 9.67
Maximum sales charge of 4.50% (1) 0.46
============
Offering price per share--Retail Class A $ 10.13
============
Net asset value, and offering price
per share--Retail Class B (2) $ 9.58
============
* Non-income producing security
(1) The offer price is calculated by dividing the net asset value by 1 minus the
maximum sales charge of 4.50%.
(2) Retail Class B has a contingent deferred sales charge. For a description of
possible redemption charge, see the notes to the financial statements.
(A) This money market fund is advised by First Bank National Association who
also serves as adviser for this Fund. See also the notes to the financial
statements.
ADR--American Depository Receipt
Cl--Class
The accompanying notes are an integral part of the financial statements.
TECHNOLOGY FUND
Description Shares Value (000)
- --------------------------------------------------------------------------------
COMMON STOCKS--96.9%
AEROSPACE & DEFENSE--1.3%
Remec* 66,700 $ 1,434
------------
BROADCASTING, NEWSPAPERS &
ADVERTISING--1.1%
CKS Group* 61,100 1,283
------------
COMMUNICATIONS EQUIPMENT--22.5%
ADC Telecommunications* 45,400 1,220
Ascend Communications* 128,000 5,216
Ciena* 31,500 896
Fore Systems* 75,000 1,125
Harmonic Lite* 67,300 925
Ericsson Telephone, ADR 60,000 2,029
Larscom, Cl A* 50,000 419
MRV Communications* 70,000 1,558
Nokia, ADR 63,000 3,670
Novatel* 175,000 962
Orckit Communications* 120,000 1,260
Tellabs* 60,000 2,167
U.S. Robotics* 54,000 2,990
Viasat* 100,000 937
------------
25,374
------------
COMPUTERS & SERVICES--6.2%
Accent Color Sciences* 158,000 810
Apex PC Solutions* 141,000 1,198
Harman International 20,900 700
HMT Technology* 66,200 811
Imnet Systems* 38,600 579
Procom Technology* 80,000 840
Seagate Technology* 45,000 2,019
------------
6,957
------------
MISCELLANEOUS BUSINESS SERVICES--8.4%
BA Merchant Services* 50,000 687
BTG* 102,200 1,789
CCC Information Services Group* 26,900 336
Checkfree* 52,700 639
Claremont Technology Group* 24,900 585
Computer Learning Centers* 35,000 1,146
Dynamic Healthcare Technologies* 142,000 976
Harbinger* 65,400 1,439
Neuromedical Systems* 24,300 243
ONTRACK Data International* 75,500 1,133
VDI Media* 80,000 550
------------
9,523
------------
SEMI-CONDUCTORS/INSTRUMENTS--13.8%
Adaptec* 55,000 1,966
Advanced Micro Devices* 40,000 1,660
Advanced Technology Materials* 40,000 690
ANADIGICS* 16,510 446
CFM Technologies* 30,000 889
Hutchinson Technology* 40,000 1,140
Intel 22,000 3,061
LSI Logic* 46,500 1,616
Neomagic* 10,000 126
Quickturn Design Systems* 85,500 1,368
SDL* 12,300 211
SGS-Thomson Microelectronics* 36,600 2,420
------------
15,593
------------
SERVICES-PREPACKAGED SOFTWARE--42.8%
4front Software International* 70,500 212
Arbor Software* 80,600 2,015
Broadvision* 169,600 1,442
BMC Software* 30,000 1,384
Cognos* 57,000 1,482
Crystal Systems Solutions* 104,000 1,248
Dataworks* 40,000 580
Dr Solomon's Group Plc, ADR* 60,000 1,320
E*trade Group* 98,000 1,764
Edify* 80,000 870
Electronic Arts* 50,400 1,342
Forte Software* 72,400 1,665
Geoworks* 40,000 265
HNC Software* 54,600 1,426
I2 Technologies* 42,000 1,386
ILOG, ADR* 40,000 290
Industri-Matematik International* 150,000 1,200
Infinity Financial* 88,000 1,518
Intelligroup* 20,000 202
Interlinq Software* 50,000 194
JDA Software Group* 50,000 1,019
Level 8 Systems* 104,700 1,387
Maxis* 58,000 428
Mechanical Dynamics* 99,500 721
Metatools* 42,000 420
Mosaix* 54,000 688
National Instruments* 61,900 1,996
Open Market* 57,000 563
Oracle* 58,000 2,237
Parametric Technology* 60,000 2,708
Pegasystems* 60,000 1,208
Peoplesoft* 72,000 2,880
Pure Atria* 67,500 1,152
Planning Sciences International
Plc, ADR* 29,000 261
Rational Software* 41,022 846
Red Brick Systems* 80,000 1,120
Sapient* 19,100 611
Spatial Technology* 105,800 291
Spectrum Holobyte* 147,200 920
Synopsys* 50,200 1,255
Template Software* 50,000 456
Trusted Information Systems* 80,300 1,044
Veritas Software* 50,000 1,481
Versant Object Technology* 64,900 576
White Pine Software* 30,000 113
------------
48,186
------------
TELEPHONES & TELECOMMUNICATION--0.8%
Lightbridge* 134,400 924
------------
Total Common Stocks
(Cost $114,241) 109,274
------------
RELATED PARTY MONEY MARKET FUND--3.9%
First American Prime
Obligations Fund (A) 4,388,725 4,389
------------
Total Related Party Money Market Fund
(Cost $4,389) 4,389
------------
Total Investments--100.8%
(Cost $118,630) 113,663
------------
Other Assets and Liabilities, Net--(0.8%) (872)
------------
NET ASSETS:
Portfolio shares--Institutional Class
($.0001 par value--2 billion authorized)
based on 7,431,053 outstanding shares 103,446
Portfolio shares--Retail Class A
($.0001 par value--2 billion authorized)
based on 240,489 outstanding shares 3,855
Portfolio shares--Retail Class B
($.0001 par value--2 billion authorized)
based on 354,066 outstanding shares 5,763
Accumulated net investment loss (388)
Accumulated net realized gain on investments 5,082
Net unrealized depreciation of investments (4,967)
------------
Total Net Assets--100.0% $ 112,791
============
Net asset value, offering price, and
redemption price per share--Institutional
Class $ 14.07
============
Net asset value and redemption
price per share--Retail Class A $ 14.02
Maximum sales charge of 4.50% (1) 0.66
============
Offering price per share--Retail Class A $ 14.68
============
Net asset value, and offering price
per share--Retail Class B (2) $ 13.65
============
* Non-income producing security
(1) The offer price is calculated by dividing the net asset value by 1 minus the
maximum sales charge of 4.50%.
(2) Retail Class B has a contingent deferred sales charge. For a description of
possible redemption charge, see the notes to the financial statements.
(A) This money market fund is advised by First Bank National Association who
also serves as adviser for this Fund. See also the notes to the financial
statements.
ADR--American Depository Receipt
Cl--Class
The accompanying notes are an integral part of the financial statements.
(This page has been left blank intentionally.)
STATEMENTS OF OPERATIONS (000) (UNAUDITED)
For the period ended March 31, 1997
<TABLE>
<CAPTION>
PRIME GOVERNMENT TREASURY
OBLIGATIONS OBLIGATIONS OBLIGATIONS
FUND FUND FUND
<S> <C> <C> <C>
INVESTMENT INCOME:
Interest $100,639 $33,567 $71,967
EXPENSES:
Investment advisory fees 7,253 2,464 5,337
Waiver of investment advisory fees (1,222) (430) (1,052)
Distribution fees--Retail Class A 192 -- --
Distribution fees--Retail Class B 19 -- --
Distribution fees--Corporate Trust Class 130 250 1,560
Administrator fees 1,179 400 865
Custodian fees 543 185 400
Registration fees 109 46 203
Professional fees 109 37 87
Transfer agent fees 59 23 38
Printing 64 22 46
Directors' fees 45 15 33
Amortization of organizational costs -- -- 2
Other 36 12 48
NET EXPENSES BEFORE EXPENSES PAID
INDIRECTLY 8,516 3,024 7,567
Less: Expenses paid indirectly (11) (1) --
Total net expenses 8,505 3,023 7,567
Investment income--net 92,134 30,544 64,400
Net realized gain (loss) on investments 1 (6) (13)
NET INCREASE IN NET ASSETS
RESULTING FROM OPERATIONS $ 92,135 $30,538 $64,387
</TABLE>
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
STATEMENTS OF OPERATIONS (000) (UNAUDITED)
For the period ended March 31, 1997
<TABLE>
<CAPTION>
LIMITED INTERMEDIATE INTERMEDIATE FIXED
TERM TERM GOVERNMENT INCOME
INCOME FUND INCOME FUND BOND FUND FUND
<S> <C> <C> <C> <C>
INVESTMENT INCOME:
Interest $3,314 $ 3,393 $ 5,339 $16,793
Dividends -- -- -- --
Total investment income 3,314 3,393 5,339 16,793
EXPENSES:
Investment advisory fees 372 381 570 1,820
Waiver of FAF investment advisory fees (144) (101) (136) (436)
Administrator fees 61 63 94 299
Transfer agent fees 12 12 12 23
Amortization of organizational costs 2 2 -- --
Custodian fees 8 5 7 19
Directors' fees 2 1 2 6
Registration fees 4 10 9 49
Professional fees 3 3 6 20
Printing 2 3 4 12
Distribution fees--Retail Class A 9 3 4 10
Waiver of distribution fees--Retail Class A (9) (3) (4) --
Distribution fees--Retail Class B -- -- -- 80
Other 2 2 3 9
Net expenses before expenses paid indirectly 324 381 571 1,911
Less: Expenses paid indirectly (5) -- (1) (1)
Total net expenses 319 381 570 1,910
Investment income--net 2,995 3,012 4,769 14,883
REALIZED AND UNREALIZED GAINS (LOSSES) ON INVESTMENTS--NET:
Net realized gain (loss) on investments (5) 279 33 (9)
Net change in unrealized appreciation (depreciation) of
investments (324) (2,178) (1,747) (9,732)
NET GAIN (LOSS) ON INVESTMENTS (329) (1,899) (1,714) (9,741)
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS $2,666 $ 1,113 $ 3,055 $ 5,142
</TABLE>
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
[WIDE TABLE CONTINUED FROM ABOVE]
<TABLE>
<CAPTION>
MINNESOTA
INSURED COLORADO REAL
INTERMEDIATE INTERMEDIATE INTERMEDIATE ASSET ESTATE
TAX FREE TAX FREE TAX FREE ALLOCATION BALANCED SECURITIES
FUND FUND FUND FUND FUND FUND
<S> <C> <C> <C> <C> <C>
$ 3,906 $ 5,906 $1,403 $ 1,623 $ 5,658 $ 34
-- -- -- 407 1,743 718
3,906 5,906 1,403 2,030 7,401 752
532 796 186 348 1,391 86
(185) (235) (59) (71) (144) (38)
87 130 31 57 228 25
12 13 11 17 37 17
-- 3 3 2 2 2
23 34 8 23 19 4
2 3 1 1 5 --
27 35 1 12 25 1
6 9 2 4 12 1
3 5 1 2 9 --
4 7 5 3 29 1
(4) (7) (5) -- -- --
-- -- -- 15 106 4
3 4 1 2 7 --
510 797 186 415 1,726 103
-- -- -- -- (1) --
510 797 186 415 1,725 103
3,396 5,109 1,217 1,615 5,676 649
594 313 54 10,934 19,920 380
(3,578) (4,447) (143) (7,575) 1,435 2,537
(2,984) (4,134) (89) 3,359 21,355 2,917
$ 412 $ 975 $1,128 $ 4,974 $27,031 $3,566
</TABLE>
STATEMENTS OF OPERATIONS (000) (UNAUDITED)
For the period ended March 31, 1997
<TABLE>
<CAPTION>
EQUITY EQUITY DIVERSIFIED SPECIAL
INCOME INDEX STOCK GROWTH EQUITY
FUND FUND FUND FUND FUND
<S> <C> <C> <C> <C> <C>
INVESTMENT INCOME:
Interest $ 948 $ 244 $ 1,774 $ 569 $ 844
Dividends 1,609 3,921 4,956 2,769 2,486
Less: Foreign taxes withheld -- -- -- -- --
Total investment income 2,557 4,165 6,730 3,338 3,330
EXPENSES:
Investment advisory fees 485 1,431 2,270 1,539 1,262
Waiver of FAF investment advisory fees (123) (1,061) (226) (219) (2)
Administrator fees 79 235 372 252 207
Transfer agent fees 18 21 55 25 41
Amortization of organizational costs 4 2 -- 4 --
Custodian fees 21 38 33 66 20
Directors' fees 2 5 8 5 4
Registration fees 24 17 38 54 33
Professional fees 5 12 19 16 14
Printing 3 9 14 10 8
Distribution fees--Retail Class A 4 10 34 8 25
Distribution fees--Retail Class B 22 50 146 33 83
Other 2 7 12 7 7
Net expenses before expenses paid indirectly 546 776 2,775 1,800 1,702
Less: Expenses paid indirectly (1) -- -- -- --
Total net expenses 545 776 2,775 1,800 1,702
Investment income (loss)--net 2,012 3,389 3,955 1,538 1,628
REALIZED AND UNREALIZED GAINS (LOSSES)
ON INVESTMENTS AND FOREIGN CURRENCY
TRANSACTIONS--NET:
Net realized gain (loss) on investments 5,025 1,260 106,880 14,317 46,791
Net realized gain on futures contracts -- 468 -- -- --
Net realized loss on closing and expiration of options
written -- -- -- -- (5,165)
Net realized gain on forward foreign currency contracts
and foreign currency transactions -- -- -- -- --
Net change in unrealized appreciation (depreciation)
of investments 1,374 35,562 (66,462) (9,712) (7,423)
Net change in unrealized depreciation of futures contracts -- (644) -- -- --
Net change in unrealized depreciation of forward foreign
currency contracts, foreign currency and translation of
other assets and liabilities in foreign currency -- -- -- -- --
NET GAIN (LOSS) ON INVESTMENTS 6,399 36,646 40,418 4,605 34,203
NET INCREASE (DECREASE) IN NET ASSETS RESULTING
FROM OPERATIONS $8,411 $40,035 $ 44,373 $ 6,143 $35,831
</TABLE>
*Includes the following amounts due to Investments in Common Stocks of
Affiliates (000): $36 of dividend income, $323 of realized gains, and $1,122 of
change in unrealized appreciation of investments.
+On November 26, 1996 the fund had a redemption in kind with total proceeds in
the amount of $6,712,162. The net realized gains on the transaction of
$1,583,477 may not be realized for tax purposes.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
[WIDE TABLE CONTINUED FROM ABOVE]
<TABLE>
<CAPTION>
REGIONAL EMERGING HEALTH
EQUITY GROWTH INTERNATIONAL SCIENCES TECHNOLOGY
FUND FUND FUND FUND FUND
<S> <C> <C> <C> <C>
$ 1,164 $ 242 $ 269 $ 25 $ 97
1,091* 75 584 108 47
-- -- (67) -- --
2,255 317 786 133 144
1,133 372 937 103 387
(5) (11) -- (31) (19)
186 61 86 25 64
74 18 16 16 22
2 3 4 7 4
13 16 188 4 17
4 1 2 -- 2
18 11 6 5 14
10 4 5 1 4
7 2 3 1 2
33 3 3 1 5
145 4 7 2 25
6 2 9 -- 2
1,626 486 1,266 134 529
-- -- -- -- --
1,626 486 1,266 134 529
629 (169) (480) (1) (385)
8,118*+ 4,273 (1,966) 1,536 7,347
-- -- -- -- --
-- -- -- -- --
-- -- 6,753 -- --
(8,690)* (13,574) 8,376 (1,019) (32,875)
-- -- -- -- --
-- -- (1,390) -- --
(572) (9,301) 11,773 517 (25,528)
$ 57 $ (9,470) $11,293 $ 516 $(25,913)
</TABLE>
(THIS PAGE HAS BEEN LEFT BLANK INTENTIONALLY.)
STATEMENTS OF CHANGES IN NET ASSETS (000) (UNAUDITED)
<TABLE>
<CAPTION>
PRIME GOVERNMENT TREASURY
OBLIGATIONS FUND OBLIGATIONS FUND OBLIGATIONS FUND
10/1/96 10/1/95 10/1/96 10/1/95 10/1/96 10/1/95
to to to to to to
3/31/97 9/30/96 3/31/97 9/30/96 3/31/97 9/30/96
<S> <C> <C> <C> <C> <C> <C>
OPERATIONS:
Investment income--net $ 92,134 $ 146,306 $ 30,544 $ 48,394 $ 64,400 $ 76,326
Net realized gain (loss) on investments 1 4 (6) 5 (13) (6)
Net increase in net assets resulting from
operations 92,135 146,310 30,538 48,399 64,387 76,320
DISTRIBUTIONS TO SHAREHOLDERS FROM:
Investment income--net:
Institutional class (84,015) (137,264) (22,434) (36,142) (14,473) (11,845)
Retail class A (3,737) (6,263) -- -- -- --
Retail class B (77) (30) -- -- -- --
Corporate Trust class (4,305) (2,749) (8,110) (12,252) (49,927) (64,450)
Net realized gain on investments
Institutional class -- -- -- -- (5)
Retail class A -- -- -- -- --
Retail class B -- -- -- -- --
Corporate Trust class -- -- -- -- (26)
Total distributions (92,134) (146,306) (30,544) (48,394) (64,400) (76,326)
CAPITAL SHARE TRANSACTIONS
AT NET ASSET VALUE OF $1.00 PER SHARE:
Institutional Class:
Proceeds from sales 8,561,562 15,297,762 3,418,841 6,156,036 2,393,595 2,598,130
Reinvestment of distributions 28,805 44,907 11,772 20,243 2,437 4,174
Payments for redemptions (8,476,306) (15,087,516) (3,377,516) (5,949,974) (2,015,134) (2,402,082)
Increase in net assets from Institutional Class
transactions 114,061 255,153 53,097 226,305 380,898 200,222
Retail class A:
Proceeds from sales 214,661 315,802 -- -- -- --
Reinvestment of distributions 3,522 6,093 -- -- -- --
Payments for redemptions (176,683) (282,831) -- -- -- --
Increase in net assets from Retail Class A
transactions 41,500 39,064 -- -- -- --
Retail class B:
Proceeds from sales 5,964 2,605 -- -- -- --
Reinvestment of distributions 65 25 -- -- -- --
Payments for redemptions (3,349) (880) -- -- -- --
Increase in net assets from Retail Class B
transactions 2,680 1,750 -- -- -- --
Corporate Trust Class:
Proceeds from sales 269,291 522,024 569,170 747,717 2,905,200 5,207,698
Payments for redemptions (262,894) (422,547) (551,403) (677,196) (2,166,278) (4,630,381)
Increase in net assets from Corporate Trust Class
transactions 6,397 99,477 17,767 70,521 738,922 577,317
Increase in net assets from capital share
transactions 164,638 395,444 70,864 296,826 1,119,820 777,539
Total increase in net assets 164,639 395,448 70,858 296,831 1,119,807 777,533
Net assets at beginning of period 3,412,335 3,016,887 1,046,976 750,145 1,933,522 1,155,989
Net assets at end of period(1) $ 3,576,974 $ 3,412,335 $ 1,117,834 $ 1,046,976 $ 3,053,329 $ 1,933,522
</TABLE>
(1)Includes undistributed net investment income (000) of $9 and $9 for Prime
Obligations Fund, $35 and $35 for Government Obligations Fund, and $31 and
$31 for Treasury Obligations Fund at March 31, 1997 and September 30, 1996,
respectively.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
STATEMENTS OF CHANGES IN NET ASSETS (000) (UNAUDITED)
<TABLE>
<CAPTION>
INTERMEDIATE INTERMEDIATE FIXED
LIMITED TERM TERM INCOME GOVERNMENT INCOME
INCOME FUND FUND BOND FUND FUND
10/1/96 10/1/95 10/1/96 10/1/95 10/1/96 10/1/95 10/1/96 10/1/95
to to to to to to to to
3/31/97 9/30/96 3/31/97 9/30/96 3/31/97 9/30/96 3/31/97 9/30/96
<S> <C> <C> <C> <C> <C> <C> <C> <C>
OPERATIONS:
Investment income--net $ 2,995 $ 6,610 $ 3,012 $ 5,384 $ 4,769 $ 7,198 $ 14,883 $ 21,569
Net realized gain (loss) on investments (5) (180) 279 1,117 33 87 (9) 3,464
Net change in unrealized appreciation
(depreciation) of investments (324) 40 (2,178) (1,247) (1,747) (1,542) (9,732) (8,403)
Net increase in net assets resulting from
operations 2,666 6,470 1,113 5,254 3,055 5,743 5,142 16,630
DISTRIBUTIONS TO SHAREHOLDERS FROM:
Investment income--net:
Institutional class (2,776) (6,192) (2,932) (5,260) (4,707) (7,021) (14,317) (20,552)
Retail class A (208) (461) (62) (126) (101) (187) (219) (457)
Retail class B -- -- -- -- -- (383) (663)
Net realized gain on investments:
Institutional class -- -- (612) (107) -- -- (2,700) (2,859)
Retail class A -- -- (15) (3) -- -- (56) (75)
Retail class B -- -- -- -- -- -- (108) (104)
Tax return of capital
Institutional class -- -- -- -- -- -- -- --
Retail class A -- -- -- -- -- -- -- --
Retail class B -- -- -- -- -- -- -- --
Total distributions (2,984) (6,653) (3,621) (5,496) (4,808) (7,208) (17,783) (24,710)
CAPITAL SHARE TRANSACTIONS (1):
Institutional class:
Proceeds from sales 19,770 33,034 12,391 41,060 18,026 58,921 81,417 172,829
Shares issued in connection with acquisition of
Common Trust Fund Assets -- -- 74,982 -- 31,833 -- 217,322 --
Reinvestment of distributions 2,197 5,073 2,115 3,790 478 778 7,134 10,932
Payments for redemptions (19,429) (55,781) (30,066) (34,282) (18,689) (18,212) (74,142) (74,839)
Increase (decrease) in net assets from
Institutional class transactions 2,538 (17,674) 59,422 10,568 31,648 41,487 231,731 108,922
Retail class A:
Proceeds from sales 320 5,050 143 441 718 1,463 1,711 3,048
Reinvestment of distributions 197 445 61 108 68 126 206 394
Payments for redemptions (907) (7,839) (359) (772) (545) (1,089) (2,942) (2,792)
Increase (decrease) in net assets from Retail
class A transactions (390) (2,344) (155) (223) 241 500 (1,025) 650
Retail class B:
Proceeds from sales -- -- -- -- -- -- 1,441 12,078
Reinvestment of distributions -- -- -- -- -- -- 423 676
Payments for redemptions -- -- -- -- -- -- (2,475) (3,560)
Increase (decrease) in net assets from Retail
class B transactions -- -- -- -- -- -- (611) 9,194
Increase (decrease) in net assets from capital
share transactions 2,148 (20,018) 59,267 10,345 31,889 41,987 230,095 118,766
Total increase (decrease) in net assets 1,830 (20,201) 56,759 10,103 30,136 40,522 217,454 110,686
NET ASSETS AT BEGINNING OF PERIOD 101,215 121,416 100,915 90,812 143,550 103,028 415,635 304,949
NET ASSETS AT END OF PERIOD (2) $103,045 $101,215 $157,674 $100,915 $173,686 $143,550 $633,089 $415,635
(1)Capital share transactions:
Institutional class:
Shares issued 1,993 3,323 1,242 4,116 1,952 6,376 7,488 15,824
Shares issued in connection with acquisition of
Common Trust Fund Assets -- -- 7,543 -- 3,423 -- 19,964 --
Shares issued in lieu of cash distributions 222 512 212 380 52 84 658 1,005
Shares redeemed (1,959) (5,619) (3,015) (3,441) (2,018) (1,972) (6,840) (6,879)
Total Institutional class transactions 256 (1,784) 5,982 1,055 3,409 4,488 21,270 9,950
Retail class A:
Shares issued 32 508 14 44 78 157 156 278
Shares issued in lieu of cash distributions 20 45 6 11 7 14 19 36
Shares redeemed (91) (788) (36) (77) (58) (117) (271) (255)
Total Retail class A transactions (39) (235) (16) (22) 27 54 (96) 59
Retail class B:
Shares issued -- -- -- -- -- -- 133 1,103
Shares issued in lieu of cash distributions -- -- -- -- -- -- 39 62
Shares redeemed -- -- -- -- -- -- (229) (329)
Total Retail class B transactions -- -- -- -- -- -- (57) 836
NET INCREASE (DECREASE) FROM SHARE TRANSACTIONS 217 (2,019) 5,966 1,033 3,436 4,542 21,117 10,845
</TABLE>
(2)Includes undistributed (distributions in excess of) net investment income
(000) of $10 and $(1) for Limited Term Income Fund, $17 and $(1) for
Intermediate Term Income Fund, $(39) and $0 for Intermediate Government Bond
Fund, $(5) and $31 for Fixed Income Fund, $75 and $17 for Intermediate Tax
Free Income Fund, $(2) and $4 for Minnesota Insured Intermediate Tax Free
Fund, $(8) and $4 for Colorado Intermediate Tax Free Income Fund, $122 and
$113 for Asset Allocation Fund, $184 and $366 for Balanced Fund, and $(91)
and $(13) for Real Estate Securities Fund, at March 31, 1997 and September
30, 1996, respectively.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
[WIDE TABLE CONTINUED FROM ABOVE]
<TABLE>
<CAPTION>
MINNESOTA INSURED COLORADO
INTERMEDIATE INTERMEDIATE INTERMEDIATE ASSET REAL ESTATE
TAX FREE FUND TAX FREE FUND TAX FREE FUND ALLOCATION FUND BALANCED FUND SECURITIES FUND
10/1/96 10/1/95 10/1/96 10/1/95 10/1/96 10/1/95 10/1/96 10/1/95 10/1/96 10/1/95 10/1/96 10/1/95
to to to to to to to to to to to to
3/31/97 9/30/96 3/31/97 9/30/96 3/31/97 9/30/96 3/31/97 9/30/96 3/31/97 9/30/96 3/31/97 9/30/96
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
$ 3,396 $ 2,564 $ 5,109 $ 3,636 $ 1,217 $ 2,428 $ 1,615 $ 1,607 $ 5,676 $ 9,018 $ 649 $ 600
594 352 313 324 54 290 10,934 4,611 19,920 13,465 380 62
(3,578) (449) (4,447) (278) (143) (508) (7,575) (125) 1,435 18,484 2,537 1,531
412 2,467 975 3,682 1,128 2,210 4,974 6,093 27,031 40,967 3,566 2,193
(3,275) (2,480) (4,996) (3,496) (1,140) (2,305) (1,540) (1,528) (5,306) (8,265) (673) (608)
(63) (68) (119) (145) (89) (121) (32) (40) (326) (520) (27) (8)
-- -- -- -- -- -- (34) (33) (226) (386) (27) (8)
(412) (326) (310) (195) (256) (236) (4,651) (1,575) (14,766) (6,878) (57) --
(17) (9) (13) (7) (20) (11) (175) (41) (962) (433) (2) --
-- -- -- -- -- -- (213) (28) (854) (321) (2) --
-- -- -- -- -- -- -- -- -- -- -- (203)
-- -- -- -- -- -- -- -- -- -- -- (2)
-- -- -- -- -- -- -- -- -- -- -- (3)
(3,767) (2,883) (5,438) (3,843) (1,505) (2,673) (6,645) (3,245) (22,440) (16,803) (788) (832)
12,680 30,145 26,384 50,720 4,332 7,303 4,537 15,736 54,243 147,476 9,500 11,294
185,507 -- 201,900 -- -- -- 66,843 -- -- -- -- --
182 208 87 110 3 6 5,414 3,076 19,886 15,199 18 --
(13,950) (8,984) (25,009) (18,988) (3,322) (8,015) (18,786) (9,929) (57,185) (43,865) (1,566) (478)
184,419 21,369 203,362 31,842 1,013 (706) 58,008 8,883 16,944 118,810 7,952 10,816
744 2,209 3,367 2,183 2,282 1,163 514 802 4,180 5,472 1,191 308
52 59 46 90 63 79 204 79 1,254 1,023 19 5
(220) (617) (286) (556) (1,391) (545) (290) (106) (1,566) (2,371) (33) (105)
576 1,651 3,127 1,717 954 697 428 775 3,868 4,124 1,177 208
-- -- -- -- -- -- 1,361 1,805 12,241 12,197 1,547 287
-- -- -- -- -- -- 240 60 1,048 337 26 11
-- -- -- -- -- -- (168) (223) (1,337) (930) (67) (57)
-- -- -- -- -- -- 1,433 1,642 11,952 11,604 1,506 241
184,995 23,020 206,489 33,559 1,967 (9) 59,869 11,300 32,764 134,538 10,635 11,265
181,640 22,604 202,026 33,398 1,590 (472) 58,198 14,148 37,355 158,702 13,413 12,626
69,612 47,008 97,310 63,912 51,788 52,260 58,922 44,774 369,255 210,553 18,384 5,758
$251,252 $ 69,612 $299,336 $ 97,310 $ 53,378 $ 51,788 $117,120 $ 58,922 $406,610 $369,255 $ 31,797 $ 18,384
1,158 2,816 2,527 5,106 414 696 375 1,320 3,978 11,725 733 1,041
17,309 -- 20,251 -- -- -- 5,655 -- -- -- -- --
17 20 9 11 -- 1 455 260 1,479 1,231 1 --
(1,270) (841) (2,481) (1,909) (317) (764) (1,552) (828) (4,194) (3,504) (123) (44)
17,214 1,995 20,306 3,208 97 (67) 4,933 752 1,263 9,452 611 997
70 206 338 218 218 111 43 66 308 437 92 29
5 6 5 9 6 8 17 7 93 83 1 --
(21) (58) (29) (56) (133) (52) (24) (9) (115) (190) (3) (9)
54 154 314 171 91 67 36 64 286 330 90 20
-- -- -- -- -- -- 113 152 901 975 119 27
-- -- -- -- -- -- 20 5 78 27 2 1
-- -- -- -- -- -- (14) (19) (99) (74) (5) (5)
-- -- -- -- -- -- 119 138 880 928 116 23
17,268 2,149 20,620 3,379 188 -- 5,088 954 2,429 10,710 817 1,040
</TABLE>
STATEMENTS OF CHANGES IN NET ASSETS (000) (UNAUDITED)
<TABLE>
<CAPTION>
EQUITY EQUITY DIVERSIFIED
INCOME FUND INDEX FUND STOCK FUND GROWTH FUND
10/1/96 10/1/95 10/1/96 10/1/95 10/1/96 10/1/95 10/1/96 10/1/95
to to to to to to to to
3/31/97 9/30/96 3/31/97 9/30/96 3/31/97 9/30/96 3/31/97 9/30/96
<S> <C> <C> <C> <C> <C> <C> <C> <C>
OPERATIONS:
Investment income (loss)--net $ 2,012 $ 2,206 $ 3,389 $ 6,156 $ 3,955 $ 7,891 $ 1,538 $ 2,593
Net realized gain (loss) on investments 5,025 1,913 1,260 6,653 106,880 32,493 14,317 3,561
Net realized gain on futures contracts -- -- 468 2,952 -- -- -- --
Net realized loss on closing and expiration of
options written -- -- -- -- -- -- -- --
Net realized gain on forward foreign currency
contracts and foreign currency transactions -- -- -- -- -- -- -- --
Net change in unrealized appreciation (depreciation)
of investments 1,374 5,650 35,562 35,438 (66,462) 52,330 (9,712) 24,066
Net change in unrealized depreciation on futures
contracts -- -- (644) -- -- -- -- --
Net change in unrealized appreciation (depreciation)
on forward foreign currency contracts, foreign
currency and translation of other assets and
liabilities in foreign currency -- -- -- -- -- -- -- --
Net increase (decrease) in net assets resulting
from operations 8,411 9,769 40,035 51,199 44,373 92,714 6,143 30,220
DISTRIBUTIONS TO SHAREHOLDERS FROM:
Investment income--net:
Institutional class (1,928) (2,083) (3,354) (5,941) (5,368) (6,914) (1,070) (2,494)
Retail class A (41) (75) (58) (79) (215) (337) (16) (49)
Retail class B (49) (61) (40) (51) (131) (342) (3) (21)
Net realized gain on investments:
Institutional class (1,789) (50) (9,832) (3,073) (36,144) (17,819) (4,541) --
Retail class A (68) (2) (187) (35) (1,898) (868) (113) --
Retail class B (106) (2) (246) (31) (2,030) (881) (123) --
Total distributions (3,981) (2,273) (13,717) (9,210) (45,786) (27,161) (5,866) (2,564)
CAPITAL SHARE TRANSACTIONS (1):
Institutional class
Proceeds from sales 9,937 17,718 49,064 145,084 259,796 138,818 27,393 101,788
Shares issued in connection with the acquisition
of Common Trust Fund Assets 147,620 -- -- -- 177,039 -- 297,403 --
Shares issued in connection with the acquisition
of Limited Volatility Stock Fund -- -- -- -- -- 17,977 -- --
Reinvestment of distributions 163 196 12,100 8,158 26,976 16,568 2,039 832
Payments for redemptions (8,377) (12,403) (31,403) (64,387) (82,962) (75,002) (43,207) (36,094)
Increase in net assets from Institutional class
transactions 149,343 5,511 29,761 88,855 380,849 98,361 283,628 66,526
Retail class A:
Proceeds from sales 1,580 1,475 4,018 4,351 8,700 9,261 1,770 4,071
Reinvestment of distributions 104 71 229 107 1,995 1,036 110 43
Payments for redemptions (1,499) (1,222) (2,122) (990) (4,981) (3,205) (473) (2,088)
Increase (decrease) in net assets from Retail
class A transactions 185 324 2,125 3,468 5,714 7,092 1,407 2,026
Retail class B:
Proceeds from sales 1,055 2,585 3,797 6,999 10,726 14,464 1,251 4,817
Reinvestment of distributions 149 59 282 80 2,114 626 121 21
Payments for redemptions (337) (388) (1,040) (648) (2,415) (1,295) (358) (436)
Increase in net assets from Retail class B
transactions 867 2,256 3,039 6,431 10,425 13,795 1,014 4,402
Increase in net assets from capital share
transactions 150,395 8,091 34,925 98,754 396,988 119,248 286,049 72,954
Total increase (decrease) in net assets 154,825 15,587 61,243 140,743 395,575 184,801 286,326 100,610
NET ASSETS AT BEGINNING OF PERIOD 70,941 55,354 363,012 222,269 517,487 332,686 236,993 136,383
NET ASSETS AT END OF PERIOD (2) $225,766 $ 70,941 $424,255 $363,012 $913,062 $517,487 $523,319 $236,993
(1)Capital share transactions:
Shares issued 744 1,473 2,940 10,067 10,996 6,743 1,881 8,009
Shares issued in connection with the acquisition
of Common Trust Fund Assets 11,101 -- -- -- 7,432 -- 20,827 --
Shares issued in connection with the acquisition
of Limited Volatility Stock Fund -- -- -- -- -- 917 -- --
Shares issued in lieu of cash distributions 13 17 734 572 1,174 842 142 65
Shares redeemed (619) (1,024) (1,866) (4,525) (3,514) (3,626) (2,962) (2,817)
Total Institutional class transactions 11,239 466 1,808 6,114 16,088 4,876 19,888 5,257
Retail class A:
Shares issued 118 121 243 302 370 450 121 320
Shares issued in lieu of cash distributions 8 6 14 8 87 53 8 3
Shares redeemed (111) (101) (132) (68) (212) (154) (32) (164)
Total Retail class A transactions 15 26 125 242 245 349 97 159
Retail class B:
Shares issued 80 216 225 485 455 705 87 388
Shares issued in lieu of cash distributions 11 5 17 6 93 32 8 1
Shares redeemed (25) (32) (61) (46) (101) (63) (25) (34)
Total Retail class B transactions 66 189 181 445 447 674 70 355
NET INCREASE IN CAPITAL SHARES 11,320 681 2,114 6,801 16,780 5,899 20,055 5,771
</TABLE>
(2)Includes undistributed (distribution in excess of) net investment income
(000) of $97 and $103 for Equity Income Fund, $132 and $195 for Equity Index
Fund, $(646) and $1,113 for Stock Fund, $636 and $187 for Diversified Growth
Fund, $674 and $148 for Special Equity Fund, $111 and $1,177 for Regional
Equity Fund, accumulated net investment loss $(172) and $(3) for Emerging
Growth Fund, $4,721 and $716 for International Fund, distributions in excess
of net investment income $(15) and $20 for Health Sciences Fund, and
accumulated net investment (loss) of $(388) and $(3) for Technology Fund at
March 31, 1997 and September 30, 1996, respectively.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
[WIDE TABLE CONTINUED FROM ABOVE]
<TABLE>
<CAPTION>
HEALTH
SPECIAL REGIONAL EMERGING INTERNATIONAL SCIENCES TECHNOLOGY
EQUITY FUND EQUITY FUND GROWTH FUND FUND FUND FUND
10/1/96 10/1/95 10/1/96 10/1/95 10/1/96 10/1/95 10/1/96 10/1/95 10/1/96 1/31/96 10/1/96 10/1/95
to to to to to to to to to to to to
3/31/97 9/30/96 3/31/97 9/30/96 3/31/97 9/30/96 3/31/97 9/30/96 3/31/97 9/30/96(3) 3/31/97 9/30/96
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
$ 1,628 $ 2,929 $ 629 $ 1,178 $ (169) $ (150) $ (480) $ (77) $ (1) $ 29 $ (385) $ (332)
46,791 43,439 8,118 22,198 4,273 3,207 (1,966) 1,696 1,536 119 7,347 6,494
-- -- -- -- -- -- -- -- -- -- -- --
(5,165) -- -- -- -- -- -- -- -- -- -- --
-- -- -- -- -- -- 6,753 1,198 -- -- -- --
(7,423) 6,020 (8,690) 6,241 (13,574) 4,797 8,376 (747) (1,019) (74) (32,875) 5,242
-- -- -- -- -- -- -- -- -- -- -- --
-- -- -- -- -- -- (1,390) 714 -- -- -- --
35,831 52,388 57 29,617 (9,470) 7,854 11,293 2,784 516 74 (25,913) 11,404
(1,053) (2,697) (1,594) (324) -- (19) (2,226)(4) (2,012)(4) (34) (9) -- --
(45) (140) (101) (5) -- -- (30)(4) (17)(4) -- -- -- --
(4) (34) -- (1) -- -- (12)(4) (6)(4) -- -- -- --
(39,325) (15,365) (9,950) (13,722) (3,321) (1,270) -- -- (128) -- (6,934) (3,429)
(2,868) (848) (989) (1,103) (92) (15) -- -- (5) -- (378) (179)
(2,274) (454) (1,103) (703) (39) (8) -- -- (3) -- (555) (249)
(45,569) (19,538) (13,737) (15,858) (3,452) (1,312) (2,268) (2,035) (170) (9) (7,867) (3,857)
42,788 56,765 45,301 137,773 24,909 31,596 21,825 49,164 1,945 14,449 20,284 34,655
80,932 -- -- -- 46,861 -- -- -- 26,179 -- 67,009 --
-- -- -- -- -- -- -- -- -- -- --
34,068 14,489 9,408 12,244 1,051 340 1,223 1,290 38 2 1,962 826
(25,891) (54,570) (45,302) (91,574) (20,295) (6,880) (8,217) (10,326) (5,709) (2,008) (18,377) (6,682)
131,897 16,684 9,407 58,443 52,526 25,056 14,831 40,128 22,453 12,443 70,878 28,799
24,927 17,664 2,767 13,106 26,787 9,822 18,498 2,008 282 618 32,092 11,478
2,797 965 1,065 1,083 78 12 23 11 5 -- 351 176
(23,789) (14,336) (2,866) (4,762) (26,255) (8,599) (18,568) (960) (221) (4) (32,574) (8,918)
3,935 4,293 966 9,427 610 1,235 (47) 1,059 66 614 (131) 2,736
7,955 6,794 4,562 20,498 153 546 350 1,004 148 287 1,553 2,808
2,231 475 1,082 685 39 8 12 5 3 -- 550 237
(1,640) (676) (3,462) (1,808) (72) (66) (167) (150) (26) (14) (561) (612)
8,546 6,593 2,182 19,375 120 488 195 859 125 273 1,542 2,433
144,378 27,570 12,555 87,245 53,256 26,779 14,979 42,046 22,644 13,330 72,289 33,968
134,640 60,420 (1,125) 101,004 40,334 33,321 24,004 42,795 22,990 13,395 38,509 41,515
278,662 218,242 312,134 211,130 75,691 42,370 138,377 95,582 13,395 -- 74,282 32,767
$413,302 $278,662 $311,009 $312,134 $116,025 $ 75,691 $162,381 $138,377 $ 36,385 $ 13,395 $112,791 $ 74,282
2,160 3,051 2,454 8,026 1,787 2,283 2,065 4,841 194 1,478 1,196 2,102
4,323 -- -- -- 3,471 -- -- -- 2,753 -- 3,862 --
-- -- -- -- -- -- -- -- -- -- -- --
1,857 862 528 772 79 26 117 130 4 -- 116 54
(1,318) (3,059) (2,535) (5,208) (1,456) (483) (775) (1,014) (566) (214) (1,092) (411)
7,022 854 447 3,590 3,881 1,826 1,407 3,957 2,385 1,264 4,082 1,745
1,269 971 147 765 1,924 701 1,707 199 28 64 1,888 667
152 57 60 69 6 1 2 1 -- -- 21 12
(1,211) (796) (160) (275) (1,885) (605) (1,709) (94) (23) -- (1,918) (510)
210 232 47 559 45 97 -- 106 5 64 (9) 169
405 370 249 1,196 11 39 34 100 15 30 95 167
123 28 62 44 3 1 1 1 -- -- 33 16
(86) (37) (194) (105) (5) (5) (16) (15) (3) (1) (33) (37)
442 361 (117) 1,135 9 35 19 86 12 29 95 146
7,674 1,447 377 5,284 3,935 1,958 1,426 4,149 2,402 1,357 4,168 2,060
</TABLE>
(3)The Health Sciences Fund commenced operations on January 31, 1996.
(4)Represents a distribution in excess of net investment income due to the tax
treatment of foreign currency related transactions.
FINANCIAL HIGHLIGHTS
For the periods ended March 31, 1997 (UNAUDITED), and the periods ended
September 30, For a share outstanding throughout the period
<TABLE>
<CAPTION>
RATIO OF
RATIO OF NET EXPENSES TO
NET ASSET DIVIDENDS NET ASSET RATIO OF INVESTMENT AVERAGE
VALUE NET FROM NET VALUE NET ASSETS EXPENSES TO INCOME TO NET ASSETS
BEGINNING INVESTMENT INVESTMENT END OF TOTAL END OF AVERAGE AVERAGE (EXCLUDING
OF PERIOD INCOME INCOME PERIOD RETURN PERIOD (000) NET ASSETS NET ASSETS WAIVERS)
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
PRIME OBLIGATIONS FUND
INSTITUTIONAL CLASS
1997* $1.00 $0.030 $(0.030) $1.00 2.57%+ $3,280,273 0.45% 5.10% 0.52%
1996 1.00 0.052 (0.052) 1.00 5.34 3,166,213 0.45 5.20 0.54
1995 1.00 0.055 (0.055) 1.00 5.64 2,911,055 0.45 5.53 0.60
1994 1.00 0.035 (0.035) 1.00 3.56 1,307,347 0.45 3.58 0.60
1993 1.00 0.030 (0.030) 1.00 3.02 682,988 0.45 2.97 0.62
1992 1.00 0.039 (0.039) 1.00 4.02 203,765 0.45 3.90 0.59
1991 1.00 0.064 (0.064) 1.00 6.60 193,650 0.45 6.43 0.57
1990(1) 1.00 0.046 (0.046) 1.00 4.73+ 239,231 0.45 7.90 0.55
RETAIL CLASS A
1997* $1.00 $0.028 $(0.028) $1.00 2.44%+ $ 176,648 0.70% 4.85% 0.77%
1996 1.00 0.050 (0.050) 1.00 5.08 135,146 0.70 4.94 0.79
1995(2) 1.00 0.038 (0.038) 1.00 3.84+ 96,083 0.70 5.43 0.82%
RETAIL CLASS B
1997* $1.00 $0.024 $(0.024) $1.00 2.06%+ $ 4,444 1.45% 4.11% 1.52%
1996 1.00 0.042 (0.042) 1.00 4.29 1,763 1.45 4.15 1.54
1995(3) 1.00 0.032 (0.032) 1.00 3.28+ 14 1.45 4.70 1.57
CORPORATE TRUST CLASS
1997* $1.00 $0.029 $(0.029) $1.00 2.49%+ $ 115,609 0.60% 4.95% 0.67%
1996 1.00 0.051 (0.051) 1.00 5.18 109,213 0.60 4.98 0.69
1995(4) 1.00 0.038 (0.038) 1.00 3.86+ 9,735 0.60 5.51 0.72
GOVERNMENT OBLIGATIONS FUND
INSTITUTIONAL CLASS
1997* $1.00 $0.029 $(0.029) $1.00 2.52%+ $ 830,687 0.45% 5.00% 0.52%
1996 1.00 0.051 (0.051) 1.00 5.24 777,594 0.45 5.10 0.54
1995 1.00 0.054 (0.054) 1.00 5.55 551,286 0.45 5.44 0.60
1994 1.00 0.034 (0.034) 1.00 3.48 455,869 0.45 3.61 0.61
1993 1.00 0.028 (0.028) 1.00 2.87 237,331 0.45 2.83 0.65
1992 1.00 0.038 (0.038) 1.00 3.85 93,770 0.45 3.71 0.64
1991 1.00 0.060 (0.060) 1.00 6.22 72,824 0.45 5.90 0.68
1990(1) 1.00 0.045 (0.045) 1.00 4.56+ 29,704 0.45 7.60 0.98
CORPORATE TRUST CLASS
1997* $1.00 $0.028 $(0.028) $1.00 2.44%+ $ 287,147 0.60% 4.85% 0.67%
1996 1.00 0.050 (0.050) 1.00 5.08 269,382 0.60 4.96 0.69
1995(2) 1.00 0.038 (0.038) 1.00 3.85+ 198,859 0.60 5.45 0.70
TREASURY OBLIGATIONS FUND
INSTITUTIONAL CLASS
1997* $1.00 $0.029 $(0.029) $1.00 2.49%+ $ 698,287 0.45% 4.94% 0.53%
1996 1.00 0.050 (0.050) 1.00 5.15 317,392 0.45 5.00 0.55
1995(4) 1.00 0.038 (0.038) 1.00 3.83+ 117,171 0.45 5.50 0.55
CORPORATE TRUST CLASS
1997* $1.00 $0.028 $(0.028) $1.00 2.41%+ $2,355,042 0.60% 4.79% 0.68%
1996 1.00 0.049 (0.049) 1.00 5.00 1,616,130 0.60 4.86 0.70
1995 1.00 0.051 (0.051) 1.00 5.22 1,038,818 0.60 5.13 0.70
1994(5) 1.00 0.031 (0.031) 1.00 3.12+ 746,090 0.58 3.19 0.68
</TABLE>
*All ratios for the period have been annualized.
+Returns are for the period indicated and have not been annualized.
(1)Commenced operations on March 1, 1990. All ratios for the period have been
annualized.
(2)Commenced operations on January 21, 1995. All ratios for the period have
been annualized.
(3)Commenced operations on January 23, 1995. All ratios for the period have
been annualized.
(4)Commenced operations on January 24, 1995. All ratios for the period have
been annualized.
(5)Commenced operations on October 4, 1993. All ratios for the period have
been annualized.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
FINANCIAL HIGHLIGHTS
For the period ended March 31, 1997 (UNAUDITED), and the periods ended
September 30,
For a share outstanding throughout the period
<TABLE>
<CAPTION>
REALIZED
AND
NET ASSET UNREALIZED DIVIDENDS NET ASSET RATIO OF
VALUE NET GAINS OR FROM NET DISTRIBUTIONS VALUE NET ASSETS EXPENSES TO
BEGINNING INVESTMENT (LOSSES) ON INVESTMENT FROM END OF TOTAL END OF AVERAGE
OF PERIOD INCOME INVESTMENTS INCOME CAPITAL GAINS PERIOD RETURN(A) PERIOD(000) NET ASSETS
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
LIMITED TERM INCOME FUND
INSTITUTIONAL CLASS
1997* $ 9.91 $0.28 $(0.03) $(0.28) $ -- $ 9.88 2.54%+ $ 95,829 0.59%
1996 9.92 0.58 (0.01) (0.58) -- 9.91 5.93 93,588 0.60
1995 9.85 0.56 0.07 (0.56) -- 9.92 6.57 111,439 0.60
1994(1) 10.02 0.29 (0.17) (0.29) -- 9.85 1.24+ 70,266 0.60
RETAIL CLASS A
1997* $ 9.91 $0.28 $(0.03) $(0.28) $ -- $ 9.88 2.54%+ $ 7,216 0.59%
1996 9.92 0.58 (0.01) (0.58) -- 9.91 5.93 7,627 0.60
1995 9.85 0.56 0.07 (0.56) -- 9.92 6.57 9,977 0.60
1994 10.06 0.44 (0.22) (0.43) -- 9.85 2.21 9,509 0.60
1993(2) 10.00 0.29 0.07 (0.30) -- 10.06 3.61+ 121,800 0.60
INTERMEDIATE TERM INCOME FUND
INSTITUTIONAL CLASS
1997* $ 9.93 $0.28 $(0.09) $(0.28) $(0.07) $ 9.77 1.87%+ $155,649 0.70%
1996 9.94 0.55 -- (0.55) (0.01) 9.93 5.63 98,702 0.70
1995 9.55 0.58 0.39 (0.58) -- 9.94 10.51 88,375 0.70
1994(1) 10.01 0.31 (0.46) (0.31) -- 9.55 (1.48)+ 68,445 0.58
RETAIL CLASS A
1997* $ 9.93 $0.28 $(0.09) $(0.28) $(0.07) $ 9.77 1.87%+ $ 2,025 0.70%
1996 9.94 0.55 -- (0.55) (0.01) 9.93 5.63 2,213 0.70
1995 9.55 0.59 0.38 (0.58) -- 9.94 10.51 2,437 0.70
1994 10.22 0.46 (0.56) (0.46) (0.11) 9.55 (1.05) 3,208 0.69
1993(2) 10.00 0.41 0.29 (0.41) (0.07) 10.22 7.21+ 67,291 0.70
INTERMEDIATE GOVERNMENT BOND FUND
INSTITUTIONAL CLASS
1997* $ 9.18 $0.27 $(0.07) $(0.27) $ -- $ 9.11 2.18%+ $170,153 0.70%
1996 9.29 0.54 (0.11) (0.54) -- 9.18 4.74 140,230 0.70
1995 8.98 0.54 0.31 (0.54) -- 9.29 9.82 100,168 0.70
1994(1) 9.41 0.27 (0.43) (0.27) -- 8.98 (1.66)+ 27,776 0.36
RETAIL CLASS A 1997* $ 9.19 $0.31 $(0.11) $(0.27) $ -- $ 9.12 2.18%+ $ 3,533 0.70%
1996 9.29 0.54 (0.10) (0.54) -- 9.19 4.85 3,320 0.70
1995 8.98 0.54 0.31 (0.54) -- 9.29 9.82 2,860 0.70
1994 9.52 0.41 (0.51) (0.39) (0.05) 8.98 (1.13) 1,977 0.53
1993 10.18 0.44 0.02 (0.44) (0.68) 9.52 4.99 3,716 0.71
1992 10.25 0.60 0.28 (0.60) (0.35) 10.18 8.88 589 0.99
1991(3) 10.01 0.65 0.24 (0.65) -- 10.25 9.13+ 1,756 0.99
1990(4) 10.05 0.75 (0.04) (0.75) -- 10.01 7.41 1,573 1.08
1989(4) 9.99 0.74 0.06 (0.74) -- 10.05 8.35 1,501 1.19
1988(4)(5) 10.03 0.58 (0.01) (0.61) -- 9.99 6.18+ 375 0.95
FIXED INCOME FUND
INSTITUTIONAL CLASS
1997* $10.76 $0.31 $(0.09) $(0.31) $(0.07) $10.60 2.04%+ $610,650 0.70%
1996 10.97 0.63 (0.11) (0.63) (0.10) 10.76 4.90 391,211 0.70
1995 10.37 0.66 0.62 (0.65) (0.03) 10.97 12.86 289,816 0.70
1994(1) 11.11 0.38 (0.74) (0.38) -- 10.37 (3.23)+ 90,187 0.61
RETAIL CLASS A
1997* $10.77 $0.31 $(0.10) $(0.30) $(0.07) $10.61 1.92%+ $ 7,194 0.95%
1996 10.98 0.61 (0.11) (0.61) (0.10) 10.77 4.64 8,332 0.95
1995 10.37 0.66 0.61 (0.63) (0.03) 10.98 12.78 7,853 0.86
1994 11.38 0.57 (0.89) (0.57) (0.12) 10.37 (2.92) 8,028 0.68
1993 11.13 0.62 0.36 (0.61) (0.12) 11.38 9.20 53,601 0.70
1992 10.59 0.66 0.60 (0.66) (0.06) 11.13 12.34 5,645 0.99
1991(3) 10.01 0.65 0.58 (0.65) -- 10.59 12.48+ 6,045 0.99
1990(4) 10.44 0.74 (0.26) (0.74) (0.17) 10.01 5.14 2,209 1.07
1989(4) 10.13 0.74 0.31 (0.74) -- 10.44 10.93 555 1.22
1988(4)(5) 10.03 0.62 0.13 (0.65) -- 10.13 8.07+ 240 0.96
RETAIL CLASS B
1997* $10.72 $0.25 $(0.09) $(0.26) $(0.07) $10.55 1.46%+ $ 15,245 1.70%
1996 10.94 0.52 (0.11) (0.53) (0.10) 10.72 3.93 16,092 1.70
1995 10.35 0.58 0.60 (0.56) (0.03) 10.94 11.75 7,280 1.70
1994(6) 10.54 0.08 (0.17) (0.10) -- 10.35 (0.88)+ 115 1.70
</TABLE>
[WIDE TABLE CONTINUED FROM ABOVE]
RATIO OF RATIO OF
NET EXPENSES TO
INVESTMENT AVERAGE
INCOME TO NET ASSETS
AVERAGE (EXCLUDING PORTFOLIO
NET ASSETS WAIVERS) TURNOVER RATE
5.64% 0.87% 57%
5.80 0.84 61
5.67 0.97 120
4.40 1.03 48
5.64% 1.12% 57%
5.80 1.09 61
5.60 1.22 120
4.17 1.23 48
3.61 1.27 104
5.54% 0.89% 95%
5.45 0.88 161
5.94 0.94 69
4.81 1.07 177
5.53% 1.14% 95%
5.43 1.13 161
5.97 1.19 69
2.48 1.24 177
4.90 1.29 163
5.86% 0.87% 4%
5.85 0.85 29
6.13 0.97 17
5.32 1.45 74
5.85% 1.12% 4%
5.85 1.10 29
6.10 1.22 17
4.49 2.14 74
4.00 4.73 182
6.03 14.14 101
6.99 6.76 100
7.57 5.55 40
7.49 9.65 72
6.78 17.20 0
5.76% 0.87% 79%
5.81 0.87 108
6.28 0.94 106
5.53 0.92 142
5.45% 1.12% 79%
5.55 1.12 108
6.14 1.19 106
3.83 1.06 142
5.65 1.14 91
6.12 2.68 180
6.85 4.11 176
7.49 5.46 144
7.26 22.44 157
7.18 20.70 93
4.70% 1.87% 79%
4.81 1.87 108
5.12 1.94 106
4.89 1.92 142
*All ratios for the period have been annualized.
+Returns are for the period indicated and have not been annualized.
(A)Excluding sales charges.
(1)Institutional Class shares have been offered since February 4, 1994. All
ratios for the period have been annualized.
(2)Commenced operations on December 14, 1992. All ratios for the period have
been annualized.
(3)On September 3, 1991, the Board of Directors of FAIF approved a change in
the FAIF's fiscal year end from October 31 to September 30, effective
September 30, 1991. All ratios for the period have been annualized.
(4)For the period ended October 31.
(5)Commenced operations on December 22, 1987. All ratios for the period have
been annualized.
(6)Retail Class B shares have been offered since August 15, 1994. All ratios
for the period have been annualized.
FINANCIAL HIGHTLIGHTS
For the period ended March 31, 1997 (UNAUDITED), and the periods ended
September 30,
For a share outstanding throughout the period.
<TABLE>
<CAPTION>
REALIZED
AND
NET ASSET UNREALIZED DIVIDENDS NET ASSET RATIO OF
VALUE NET GAINS OR FROM NET DISTRIBUTIONS VALUE NET ASSETS EXPENSES
BEGINNING INVESTMENT (LOSSES) ON INVESTMENT FROM END OF TOTAL END OF TO AVERAGE
OF PERIOD INCOME INVESTMENTS INCOME CAPITAL GAINS PERIOD RETURN(A) PERIOD(000) NET ASSETS
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
INTERMEDIATE TAX FREE FUND
INSTITUTIONAL CLASS
1997* $10.65 $0.23 $(0.04) $(0.23) $(0.06) $10.55 1.82%+ $248,087 0.67%
1996 10.72 0.46 0.00 (0.46) (0.07) 10.65 4.35 66,994 0.66
1995 10.28 0.49 0.43 (0.48) -- 10.72 9.15 46,025 0.67
1994(1) 10.89 0.29 (0.61) (0.29) -- 10.28 (2.91)+ 6,168 0.45
RETAIL CLASS A
1997* $10.66 $0.23 $(0.03) $(0.23) $(0.06) $10.57 1.92%+ $ 3,165 0.67%
1996 10.72 0.46 0.01 (0.46) (0.07) 10.66 4.45 2,618 0.66
1995 10.28 0.49 0.43 (0.48) -- 10.72 9.15 983 0.67
1994 10.92 0.44 (0.57) (0.44) (0.07) 10.28 (1.25) 1,128 0.59
1993 10.56 0.47 0.42 (0.47) (0.06) 10.92 8.66 2,969 0.71
1992 10.34 0.53 0.22 (0.53) -- 10.56 7.23 725 0.99
1991(2) 10.04 0.50 0.31 (0.50) (0.01) 10.34 8.15+ 637 0.99
1990(3) 10.08 0.56 (0.04) (0.56) -- 10.04 5.31 537 1.08
1989(3) 10.19 0.56 (0.11) (0.56) -- 10.08 4.57 491 1.09
1988(3)(4) 10.03 0.47 0.16 (0.47) -- 10.19 6.73+ 425 0.84
MINNESOTA INSURED INTERMEDIATE TAX FREE FUND
INSTITUTIONAL CLASS
1997* $ 9.91 $0.22 $(0.05) $(0.22) $(0.03) $ 9.83 1.69%+ $292,343 0.70%
1996 9.92 0.45 0.02 (0.45) (0.03) 9.91 4.80 93,394 0.70
1995 9.59 0.45 0.33 (0.45) -- 9.92 8.34 61,693 0.70
1994(5) 10.00 0.25 (0.41) (0.25) -- 9.59 (1.58)+ 20,272 0.67
RETAIL CLASS A
1997* $ 9.91 $0.22 $(0.02) $(0.22) $(0.03) $ 9.86 1.99%+ $ 6,993 0.70%
1996 9.92 0.45 0.02 (0.45) (0.03) 9.91 4.80 3,916 0.70
1995 9.58 0.46 0.33 (0.45) -- 9.92 8.46 2,219 0.70
1994(5) 10.00 0.25 (0.42) (0.25) -- 9.58 (1.68)+ 1,508 0.67
COLORADO INTERMEDIATE TAX FREE FUND
INSTITUTIONAL CLASS
1997* $10.42 $0.24 $(0.03) $(0.24) $(0.05) $10.34 2.08%+ $ 49,591 0.70%
1996 10.51 0.49 (0.04) (0.49) (0.05) 10.42 4.39 48,727 0.70
1995 10.16 0.48 0.36 (0.49) -- 10.51 8.47 50,071 0.70
1994(6) 10.00 0.22 0.16 (0.22) -- 10.16 3.76+ 7,281 0.69
RETAIL CLASS A
1997* $10.42 $0.24 $(0.02) $(0.24) $(0.05) $10.35 2.18%+ $ 3,787 0.70%
1996 10.51 0.49 (0.04) (0.49) (0.05) 10.42 4.39 2,861 0.70
1995 10.15 0.49 0.36 (0.49) -- 10.51 8.57 2,189 0.70
1994(6) 10.00 0.21 0.16 (0.22) -- 10.15 3.66+ 693 0.69
ASSET ALLOCATION FUND
INSTITUTIONAL CLASS
1997* $12.34 $0.19 $ 0.63 $(0.19) $(1.09) $11.88 6.78%+ $111,303 0.80%
1996 11.72 0.37 1.03 (0.37) (0.41) 12.34 12.37 54,781 0.80
1995 10.38 0.38 1.58 (0.37) (0.25) 11.72 19.75 43,210 0.79
1994(1) 10.68 0.20 (0.30) (0.20) -- 10.38 (0.90)+ 47,227 0.75
RETAIL CLASS A
1997* $12.35 $0.18 $ 0.62 $(0.18) $(1.09) $11.88 6.57%+ $ 2,193 1.05%
1996 11.73 0.34 1.03 (0.34) (0.41) 12.35 12.09 1,841 1.05
1995 10.39 0.36 1.58 (0.35) (0.25) 11.73 19.51 993 0.99
1994 10.60 0.27 (0.08) (0.26) (0.14) 10.39 1.81 707 0.75
1993(7) 10.00 0.19 0.60 (0.19) -- 10.60 8.01+ 56,393 0.75
RETAIL CLASS B
1997* $12.29 $0.14 $ 0.63 $(0.14) $(1.09) $11.83 6.31%+ $ 3,624 1.80%
1996 11.68 0.25 1.02 (0.25) (0.41) 12.29 11.29 2,300 1.80
1995 10.37 0.27 1.57 (0.28) (0.25) 11.68 18.51 571 1.79
1994(8) 10.40 0.05 (0.03) (0.05) -- 10.37 0.19+ 11 1.75
</TABLE>
[WIDE TABLE CONTINUED FROM ABOVE]
RATIO OF RATIO OF
NET EXPENSES TO
INVESTMENT AVERAGE AVERAGE
INCOME TO NET ASSETS PORTFOLIO COMMISSION
AVERAGE (EXCLUDING TURNOVER RATE
NET ASSETS WAIVERS) RATE (B)
4.47% 0.92% 32% $ --
4.35 0.92 53 --
4.73 1.05 68 --
4.48 2.20 52 --
4.42% 1.17% 32% $ --
4.35 1.17 53 --
4.71 1.30 68 --
4.13 2.78 52 --
4.31 5.09 27 --
4.83 16.09 23 --
5.35 15.48 15 --
5.58 13.85 4 --
5.57 19.55 4 --
5.87 13.60 0 --
4.49% 0.91% 10% $ --
4.53 0.93 19 --
4.76 1.00 38 --
4.57 1.59 22 --
4.51% 1.16% 10% $ --
4.52 1.18 19 --
4.74 1.25 38 --
4.57 1.84 22 --
4.58% 0.92% 6% $ --
4.69 0.93 20 --
4.84 1.02 19 --
4.51 4.71 4 --
4.59% 1.17% 6% $ --
4.69 1.18 20 --
4.83 1.27 19 --
4.51 4.96 4 --
3.28% 0.95% 19% $0.0400
3.08 1.03 57 0.0409
3.53 1.01 87 --
2.91 1.12 32 --
3.02% 1.20% 19% $0.0400
2.84 1.28 57 0.0409
3.29 1.26 87 --
2.01 1.29 32 --
2.40 1.34 31 --
2.29% 1.95% 19% $0.0400
2.12 2.03 57 0.0409
2.35 2.01 87 --
1.94 2.12 32 --
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
FINANCIAL HIGHLIGHTS
For the period ended March 31, 1997 (UNAUDITED), and the periods ended
September 30,
For a share outstanding throughout the period.
<TABLE>
<CAPTION>
REALIZED
AND
NET ASSET UNREALIZED DIVIDENDS DISTRIBUTIONS NET ASSET
VALUE NET GAINS OR FROM NET DISTRIBUTIONS FROM VALUE
BEGINNING INVESTMENT (LOSSES) ON INVESTMENT FROM RETURN END OF TOTAL
OF PERIOD INCOME INVESTMENTS INCOME CAPITAL GAINS OF CAPITAL PERIOD RETURN(A)
<S> <C> <C> <C> <C> <C> <C> <C> <C>
BALANCED FUND
INSTITUTIONAL CLASS
1997* $13.15 $0.20 $ 0.76 $(0.20) $(0.58) $ -- $13.33 7.38%+
1996 12.13 0.42 1.43 (0.42) (0.41) -- 13.15 15.89
1995 10.54 0.40 1.73 (0.39) (0.15) -- 12.13 20.89
1994(1) 10.86 0.25 (0.32) (0.25) -- -- 10.54 (0.64)+
RETAIL CLASS A
1997* $13.14 $0.18 $ 0.77 $(0.19) $(0.58) $ -- $13.32 7.26%+
1996 12.12 0.39 1.43 (0.39) (0.41) -- 13.14 15.61
1995 10.54 0.38 1.72 (0.37) (0.15) -- 12.12 20.57
1994 10.73 0.34 (0.02) (0.34) (0.17) -- 10.54 3.02
1993(7) 10.00 0.28 0.75 (0.28) (0.02) -- 10.73 10.39+
RETAIL CLASS B
1997* $13.10 $0.14 $ 0.76 $(0.14) $(0.58) $ -- $13.28 6.92%+
1996 12.09 0.31 1.42 (0.31) (0.41) -- 13.10 14.78
1995 10.53 0.29 1.71 (0.29) (0.15) -- 12.09 19.58
1994(8) 10.66 0.06 (0.12) (0.07) -- -- 10.53 (0.55)+
REAL ESTATE SECURITIES FUND
INSTITUTIONAL CLASS
1997* $11.53 $0.36 $ 1.68 $(0.35) $(0.03) $ -- $13.19 17.77%+
1996 10.37 0.57 1.29 (0.53) -- (0.17) 11.53 18.53
1995(9) 10.00 0.13 0.39 (0.11) -- (0.04) 10.37 5.19+
RETAIL CLASS A
1997* $11.52 $0.41 $ 1.62 $(0.34) $(0.03) $ -- $13.18 17.70%+
1996 10.38 0.52 1.30 (0.51) -- (0.17) 11.52 18.17
1995(10) 10.37 -- 0.01 -- -- -- 10.38 0.00
RETAIL CLASS B
1997* $11.46 $0.41 $ 1.56 $(0.31) $(0.03) $ -- $13.09 17.25%+
1996 10.37 0.44 1.27 (0.45) -- (0.17) 11.46 17.00
1995(10) 10.37 -- -- -- -- -- 10.37 0.00
</TABLE>
[WIDE TABLE CONTINUED FROM ABOVE]
RATIO OF RATIO OF
NET EXPENSES TO
RATIO OF INVESTMENT AVERAGE
NET ASSETS EXPENSES TO INCOME TO NET ASSETS PORTFOLIO AVERAGE
END OF AVERAGE AVERAGE (EXCLUDING TURNOVER COMMISSION
PERIOD (000) NET ASSETS NET ASSETS WAIVERS) RATE RATE
$354,166 0.80% 2.93% 0.87% 51% $0.0700
332,786 0.80 3.31 0.89 73 0.0619
192,145 0.79 3.61 0.94 77 --
125,285 0.75 3.51 1.05 98 --
$ 25,012 1.05% 2.67% 1.12% 51% $0.0700
20,927 1.05 3.05 1.14 73 0.0619
15,288 0.99 3.41 1.19 77 --
13,734 0.77 2.63 1.24 98 --
111,225 0.75 3.31 1.29 77 --
$ 27,432 1.80% 1.91% 1.87% 51% $0.0700
15,542 1.80 2.32 1.89 73 0.0619
3,120 1.79 2.60 1.94 77 --
270 1.75 2.80 2.05 98 --
$ 28,525 0.80% 5.28% 1.11% 8% $0.0700
17,895 0.80 5.13 1.51 8 0.0704
5,756 0.80 6.01 2.34 0 --
$ 1,450 1.05% 5.79% 1.36% 8% $0.0700
226 1.05 4.36 1.76 8 0.0704
1 1.05 0.00 2.59 0 --
$ 1,822 1.80% 4.97% 2.11% 8% $0.0700
263 1.80 4.29 2.51 8 0.0704
1 1.80 0.00 3.34 0 --
*All ratios for the period have been annualized.
+Returns are for the period indicated and have not been annualized.
(A)Excluding sales charges.
(B)Beginning in 1996, average commision rate paid per share is disclosed for all
applicable security purchases and sales subject to commissions. The
comparability of this information may be affected by the fact that commission
rates per share vary significantly among foreign countries.
(1)Institutional Class shares have been offered since February 4, 1994. All
ratios for the period have been annualized.
(2)On September 3, 1991, the Board of Directors of FAIF approved a change in
the FAIF's fiscal year end from October 31 to September 30, effective
September 30, 1991. All ratios for the period have been annualized.
(3)For the period ended October 31.
(4)Commenced operations on December 22, 1987. All ratios for the period have
been annualized.
(5)Commenced operations on February 25, 1994. All ratios for the period have
been annualized.
(6)Commenced operations on April 4, 1994. All ratios for the period have been
annualized.
(7)Commenced operations on December 14, 1992. All ratios for the period have
been annualized.
(8)Retail Class B shares have been offered since August 15, 1994. All ratios for
the period have been annualized.
(9)Commenced operations on June 30, 1995. All ratios for the period have been
annualized.
(10)Commenced operations on September 29, 1995. All ratios for the period have
been annualized.
FINANCIAL HIGHLIGHTS
For the period ended March 31, 1997 (UNAUDITED), and the periods ended
September 30,
For a share outstanding throughout the period
<TABLE>
<CAPTION>
REALIZED
AND
NET ASSET UNREALIZED DIVIDENDS NET ASSET RATIO OF
VALUE NET GAINS OR FROM NET DISTRIBUTIONS VALUE NET ASSETS EXPENSES TO
BEGINNING INVESTMENT (LOSSES) ON INVESTMENT FROM END OF TOTAL END OF AVERAGE
OF PERIOD INCOME INVESTMENTS INCOME CAPITAL GAINS PERIOD RETURN(A) PERIOD(000) NET ASSETS
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
EQUITY INCOME FUND
INSTITUTIONAL CLASS
1997* $12.66 $ 0.20 $ 1.04 $(0.21) $(0.35) $13.34 9.98%+ $217,996 0.75%
1996 11.24 0.42 1.43 (0.42) (0.01) 12.66 16.79 64,590 0.75
1995 9.89 0.41 1.35 (0.41) -- 11.24 18.24 52,126 0.75
1994(1) 9.90 0.07 (0.03) (0.05) -- 9.89 0.45+ 17,489 0.75
RETAIL CLASS A
1997* $12.65 $ 0.20 $ 1.02 $(0.20) $(0.35) $13.32 9.77%+ $ 2,918 1.00%
1996 11.24 0.39 1.42 (0.39) (0.01) 12.65 16.41 2,581 1.00
1995 9.89 0.41 1.33 (0.39) -- 11.24 18.06 1,995 0.92
1994(2) 9.87 0.41 -- (0.39) -- 9.89 4.22+ 1,852 0.88
1993(3)(4) 10.00 0.57 (0.14) (0.56) -- 9.87 4.44+ 28,786 0.75
RETAIL CLASS B
1997* $12.61 $ 0.15 $ 1.02 $(0.15) $(0.35) $13.28 9.42%+ $ 4,852 1.75%
1996 11.20 0.31 1.42 (0.31) (0.01) 12.61 15.66 3,770 1.75
1995 9.88 0.33 1.32 (0.33) -- 11.20 17.10 1,233 1.75
1994(5) 9.87 0.04 0.02 (0.05) -- 9.88 0.57+ 1 1.75
EQUITY INDEX FUND
INSTITUTIONAL CLASS
1997* $15.47 $ 0.14 $ 1.55 $(0.14) $(0.43) $16.59 11.01%+ $403,662 0.35%
1996 13.34 0.31 2.31 (0.31) (0.18) 15.47 19.98 348,539 0.35
1995 10.67 0.28 2.75 (0.27) (0.09) 13.34 29.17 218,932 0.35
1994(6) 10.85 0.20 (0.18) (0.20) -- 10.67 0.18+ 163,688 0.35
RETAIL CLASS A
1997* $15.49 $ 0.12 $ 1.55 $(0.12) $(0.44) $16.60 10.81%+ $ 8,758 0.60%
1996 13.35 0.27 2.32 (0.27) (0.18) 15.49 19.75 6,221 0.60
1995 10.68 0.25 2.76 (0.25) (0.09) 13.35 28.90 2,140 0.57
1994 10.60 0.25 0.09 (0.25) (0.01) 10.68 3.25 758 0.35
1993(7) 10.00 0.20 0.60 (0.20) -- 10.60 8.02+ 139,957 0.35
RETAIL CLASS B
1997* $15.43 $ 0.06 $ 1.54 $(0.06) $(0.43) $16.54 10.47%+ $ 11,835 1.35%
1996 13.30 0.17 2.31 (0.17) (0.18) 15.43 18.95 8,252 1.35
1995 10.66 0.23 2.68 (0.18) (0.09) 13.30 27.87 1,197 1.35
1994(5) 10.68 0.01 0.04 (0.07) -- 10.66 0.48+ 29 1.35
STOCK FUND
INSTITUTIONAL CLASS
1997* $22.60 $ 0.18 $ 2.20 $(0.21) $(1.76) $23.01 10.65%+ $850,088 0.80%
1996 19.56 0.42 4.09 (0.42) (1.05) 22.60 24.32 471,206 0.80
1995 16.50 0.36 3.64 (0.35) (0.59) 19.56 25.50 312,559 0.79
1994(6) 16.47 0.25 0.03 (0.25) -- 16.50 1.70+ 154,949 0.75
RETAIL CLASS A
1997* $22.59 $ 0.16 $ 2.21 $(0.19) $(1.76) $23.01 10.57%+ $ 29,040 1.05%
1996 19.57 0.36 4.07 (0.36) (1.05) 22.59 23.90 22,965 1.05
1995 16.51 0.33 3.64 (0.32) (0.59) 19.57 25.26 13,076 1.00
1994 16.00 0.31 1.00 (0.30) (0.50) 16.51 8.35 8,421 0.76
1993 14.04 0.22 1.99 (0.23) (0.02) 16.00 15.82 134,186 0.75
1992 13.62 0.24 0.81 (0.29) (0.34) 14.04 7.88 3,644 1.45
1991(8) 10.64 0.28 2.95 (0.22) (0.03) 13.62 30.49+ 2,386 1.45
1990(9) 12.09 0.25 (1.17) (0.25) (0.28) 10.64 (8.22) 1,161 1.45
1989(9) 10.35 0.25 1.70 (0.20) (0.01) 12.09 20.33 323 1.24
1988(9)(10) 10.03 0.27 0.35 (0.30) -- 10.35 6.40+ 206 1.02
RETAIL CLASS B
1997* $22.50 $ 0.08 $ 2.18 $(0.11) $(1.76) $22.89 10.10%+ $ 33,934 1.80%
1996 19.49 0.22 4.06 (0.22) (1.05) 22.50 23.08 23,316 1.80
1995 16.49 0.26 3.55 (0.22) (0.59) 19.49 24.20 7,051 1.79
1994(5) 16.65 0.03 (0.10) (0.09) -- 16.49 (0.43)+ 346 1.75
DIVERSIFIED GROWTH FUND
INSTITUTIONAL CLASS
1997* $13.66 $ 0.05 $ 0.60 $(0.05) $(0.27) $13.99 4.73%+ $509,647 0.80%
1996 11.78 0.18 1.88 (0.18) -- 13.66 17.58 225,900 0.79
1995 9.10 0.17 2.67 (0.16) -- 11.78 31.57 132,854 0.75
1994(1) 8.92 0.03 0.18 (0.03) -- 9.10 2.36+ 31,875 0.75
RETAIL CLASS A
1997* $13.63 $ 0.04 $ 0.59 $(0.04) $(0.27) $13.95 4.59%+ $ 6,793 1.05%
1996 11.75 0.15 1.88 (0.15) -- 13.63 17.38 5,318 1.04
1995 9.09 0.15 2.66 (0.15) -- 11.75 31.21 2,710 0.92
1994(2) 9.39 0.10 (0.29) (0.11) -- 9.09 (2.07)+ 1,900 0.90
1993(3)(4) 10.00 0.11 (0.63) (0.09) -- 9.39 (5.18)+ 31,084 0.78
RETAIL CLASS B
1997* $13.57 $(0.01) $ 0.59 $(0.01) $(0.27) $13.87 4.22%+ $ 6,879 1.80%
1996 11.73 0.08 1.84 (0.08) -- 13.57 16.41 5,775 1.79
1995 9.09 0.09 2.65 (0.10) -- 11.73 30.29 819 1.75
1994(5) 8.87 0.01 0.23 (0.02) -- 9.09 2.75+ 12 1.75
</TABLE>
[WIDE TABLE CONTINUED FROM ABOVE]
RATIO OF RATIO OF
NET EXPENSES TO
INVESTMENT AVERAGE AVERAGE
INCOME TO NET ASSETS PORTFOLIO COMMISSION
AVERAGE (EXCLUDING TURNOVER RATE
NET ASSETS WAIVERS) RATE (B)
2.93% 0.90% 20% $0.0700
3.50 0.95 23 0.0700
4.11 1.06 23 --
5.61 1.14 108 --
2.93% 1.15% 20% $0.0700
3.25 1.20 23 0.0700
3.91 1.31 23 --
4.88 1.39 108 --
6.09 1.36 68 --
2.18% 1.90% 20% $0.0700
2.49 1.95 23 0.0700
3.05 2.06 23 --
4.39 2.14 108 --
1.69% 0.87% 2% $0.0392
2.14 0.90 10 0.0377
2.41 0.95 9 --
2.59 1.03 11 --
1.44% 1.12% 2% $0.0392
1.87 1.15 10 0.0377
2.16 1.20 9 --
2.23 1.23 11 --
2.52 1.30 1 --
0.69% 1.87% 2% $0.0392
1.11 1.90 10 0.0377
1.34 1.95 9 --
1.68 2.03 11 --
1.27% 0.87% 47% $0.0617
1.90 0.88 40 0.0653
2.10 0.94 52 --
2.28 1.01 65 --
1.05% 1.12% 47% $0.0617
1.64 1.13 40 0.0653
1.89 1.19 52 --
1.51 1.20 65 --
1.94 1.28 48 --
1.75 4.46 39 --
2.47 7.42 76 --
2.24 9.47 41 --
2.26 36.39 74 --
2.67 28.60 80 --
0.30% 1.87% 47% $0.0617
0.89 1.88 40 0.0653
1.10 1.94 52 --
1.58 2.01 65 --
0.71% 0.90% 15% $0.0700
1.39 0.92 21 0.0593
1.69 1.01 28 --
2.37 1.08 101 --
0.57% 1.15% 15% $0.0700
1.13 1.17 21 0.0593
1.52 1.26 28 --
1.15 1.33 101 --
1.26 1.25 5 --
(0.16)% 1.90% 15% $0.0700
0.36 1.92 21 0.0593
0.58 2.01 28 --
1.20 2.08 101 --
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
FINANCIAL HIGHTLIGHTS
For the period ended March 31, 1997 (UNAUDITED), and the periods ended
September 30,
For a share outstanding throughout the period
<TABLE>
<CAPTION>
REALIZED
AND
NET ASSET NET UNREALIZED DIVIDENDS NET ASSET RATIO OF
VALUE INVESTMENT GAINS OR FROM NET DISTRIBUTIONS VALUE NET ASSETS EXPENSES TO
BEGINNING INCOME (LOSSES) ON INVESTMENT FROM END OF TOTAL END OF AVERAGE
OF PERIOD (LOSS) INVESTMENTS INCOME CAPITAL GAINS PERIOD RETURN(A) PERIOD(000) NET ASSETS
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
SPECIAL EQUITY FUND
INSTITUTIONAL CLASS
1997* $20.43 $ 0.08 $ 2.15 $(0.06) $(3.20) $19.40 11.84%+ $371,520 0.88%
1996 17.89 0.25 3.95 (0.24) (1.42) 20.43 25.61 247,828 0.88
1995 17.30 0.38 1.61 (0.38) (1.02) 17.89 12.84 201,786 0.88
1994(6) 16.34 0.22 0.96 (0.22) -- 17.30 7.31+ 128,806 0.79
RETAIL CLASS A
1997* $20.41 $ 0.07 $ 2.13 $(0.04) $(3.20) $19.37 11.71%+ $ 21,130 1.13%
1996 17.89 0.20 3.94 (0.20) (1.42) 20.41 25.23 17,987 1.13
1995 17.30 0.35 1.60 (0.34) (1.02) 17.89 12.63 11,609 1.09
1994 15.81 0.28 2.52 (0.28) (1.03) 17.30 18.70 7,333 0.81
1993 13.61 0.23 2.32 (0.25) (0.10) 15.81 18.91 81,899 0.81
1992 12.98 0.21 1.61 (0.27) (0.92) 13.61 15.17 3,586 1.50
1991(8) 10.33 0.30 2.61 (0.26) -- 12.98 28.38+ 3,423 1.50
1990(9) 12.96 0.47 (2.03) (0.46) (0.61) 10.33 (13.24) 2,761 1.50
1989(9) 11.55 0.47 1.39 (0.41) (0.04) 12.96 17.41 2,000 1.38
1988(9)(10) 10.03 0.34 1.57 (0.39) -- 11.55 19.56+ 578 1.20
RETAIL CLASS B
1997* $20.31 $ 0.01 $ 2.09 $ -- $(3.20) $19.21 11.23%+ $ 20,652 1.88%
1996 17.83 0.09 3.91 (0.10) (1.42) 20.31 24.35 12,847 1.88
1995 17.29 0.29 1.51 (0.24) (1.02) 17.83 11.64 4,847 1.88
1994(5) 16.51 0.01 0.85 (0.08) -- 17.29 5.22+ 370 1.68
REGIONAL EQUITY FUND
INSTITUTIONAL CLASS
1997* $17.75 $ 0.07 $ 0.07 $(0.11) $(0.69) $17.09 0.61%+ $257,160 0.89%
1996 17.13 0.09 1.70 (0.06) (1.11) 17.75 11.27 259,138 0.88
1995 12.52 0.11 4.90 (0.08) (0.32) 17.13 41.40 188,583 0.84
1994(6) 12.41 0.07 0.11 (0.07) -- 12.52 1.46+ 96,045 0.80
RETAIL CLASS A
1997* $17.71 $ 0.05 $ 0.07 $(0.07) $(0.69) $17.07 0.51%+ $ 25,213 1.14%
1996 17.12 0.04 1.70 (0.04) (1.11) 17.71 10.97 25,325 1.13
1995 12.52 0.08 4.90 (0.06) (0.32) 17.12 41.17 14,917 1.05
1994 11.96 0.08 0.71 (0.07) (0.16) 12.52 6.76 8,345 0.82
1993(7) 10.00 0.05 1.96 (0.05) -- 11.96 20.17+ 58,427 0.80
RETAIL CLASS B
1997* $17.47 $(0.01) $ 0.06 $ -- $(0.69) $16.83 0.13%+ $ 28,636 1.89%
1996 16.99 (0.04) 1.64 (0.01) (1.11) 17.47 10.14 27,671 1.88
1995 12.50 0.04 4.80 (0.03) (0.32) 16.99 39.98 7,630 1.84
1994(5) 12.19 -- 0.33 (0.02) -- 12.50 2.73+ 185 1.80
</TABLE>
[WIDE TABLE CONTINUED FROM ABOVE]
RATIO OF RATIO OF
NET EXPENSES TO
INVESTMENT AVERAGE AVERAGE
INCOME/LOSS NET ASSETS PORTFOLIO COMMISSION
TO AVERAGE (EXCLUDING TURNOVER RATE
NET ASSETS WAIVERS) RATE (B)
0.96% 0.88% 52% $0.0700
1.35 0.88 143 0.0673
2.30 0.95 72 --
1.93 1.03 116 --
0.74% 1.13% 52% $0.0700
1.06 1.13 143 0.0673
2.08 1.20 72 --
1.88 1.23 116 --
2.07 1.31 104 --
1.61 4.18 146 --
2.60 5.13 116 --
4.09 4.21 113 --
4.07 8.68 102 --
4.02 15.60 51 --
(0.02)% 1.88% 52% $0.0700
0.25 1.88 143 0.0673
1.22 1.95 72 --
0.47 2.03 116 --
0.50% 0.90% 9% $0.0700
0.49 0.90 36 0.0697
0.78 0.95 42 --
0.82 1.05 41 --
0.25% 1.15% 9% $0.0700
0.24 1.15 36 0.0697
0.58 1.20 42 --
0.59 1.25 41 --
0.59 1.30 28 --
(0.50)% 1.90% 9% $0.0700
(0.52) 1.90 36 0.0697
(0.25) 1.95 42 --
(0.41) 2.05 41 --
*All ratios for the period have been annualized.
+Returns are for the period indicated and have not been annualized.
(A)Excluding sales charges.
(B)Beginning in 1996, average commission rate paid per share is disclosed for
all applicable security purchases and sales subject to commissions. The
comparability of this information may be affected by the fact that commission
rates per share vary significantly among foreign countries.
(1)Institutional class shares have been offered since August 2, 1994. All
ratios for the period have been annualized.
(2)On April 28, 1994 the Board of Directors of FAMF approved a change in the
FAMF's fiscal year end from November 30 to September 30, effective September
30, 1994. On April 28, 1994, shareholders of the fund approved a change in
the adviser from Boulevard National Bank to First Bank N.A. All ratios for
the period have been annualized.
(3)For the Period ended November 30.
(4)Commenced operations on December 18, 1992. All ratios for the period have
been annualized.
(5)Retail Class B shares have been offered since August 15, 1994. All ratios
for the period have been annualized.
(6)Institutional Class shares have been offered since February 4, 1994. All
ratios for the period have been annualized.
(7)Commenced operations on December 14, 1992. All ratios for the period have
been annualized.
(8)On September 3, 1991, the Board of Directors of FAIF approved a change in
the FAIF's fiscal year end from October 31 to September 30, effective
September 30, 1991. All ratios for the period have been annualized.
(9)For the period ended October 31.
(10)Commenced operations on December 22, 1987. All ratios for the period
have been annualized.
FINANCIAL HIGHLIGHTS
For the period ended March 31, 1997 (UNAUDITED), and the periods ended
September 30,
For a share outstanding throughout the period
<TABLE>
<CAPTION>
REALIZED
AND
NET ASSET NET UNREALIZED DIVIDENDS NET ASSET
VALUE INVESTMENT GAINS OR FROM NET DISTRIBUTIONS VALUE NET ASSETS
BEGINNING INCOME (LOSSES) ON INVESTMENT FROM END OF TOTAL END OF
OF PERIOD (LOSS) INVESTMENTS INCOME CAPITAL GAINS PERIOD RETURN (A) PERIOD (000)
<S> <C> <C> <C> <C> <C> <C> <C> <C>
EMERGING GROWTH FUND
INSTITUTIONAL CLASS
1997* $14.79 $ 0.02 $(1.33) $ -- $(0.66) $12.82 (9.02)%+ $113,038
1996 13.41 (0.03) 1.77 (0.01) (0.35) 14.79 13.39 73,025
1995 10.56 0.03 2.99 (0.02) (0.15) 13.41 29.16 41,716
1994(1) 10.00 0.01 0.56 (0.01) -- 10.56 5.68+ 6,849
RETAIL CLASS A
1997* $14.77 $ -- $(1.33) $ -- $(0.66) $12.78 (9.17)%+ $ 2,188
1996 13.40 (0.06) 1.78 -- (0.35) 14.77 13.21 1,867
1995 10.57 0.01 2.99 (0.02) (0.15) 13.40 28.82 386
1994(1) 10.00 0.01 0.57 (0.01) -- 10.57 5.88+ 91
RETAIL CLASS B
1997* $14.53 $(0.05) $(1.30) $ -- $(0.66) $12.52 (9.47)%+ $ 799
1996 13.29 (0.12) 1.71 -- (0.35) 14.53 12.32 799
1995 10.55 (0.03) 2.92 -- (0.15) 13.29 27.89 268
1994(2) 9.89 (0.01) 0.67 -- -- 10.55 6.67+ 18
INTERNATIONAL FUND
INSTITUTIONAL CLASS
1997* $10.31 $(0.02) $ 0.81 $(0.17)(C) $ -- $10.93 7.71%+ $158,841
1996 10.30 (0.01) 0.22 (0.20)(C) -- 10.31 2.11 135,238
1995 10.22 0.01 0.07 -- -- 10.30 0.78 94,400
1994(1) 10.00 (0.01) 0.23 -- -- 10.22 2.20+ 47,963
RETAIL CLASS A
1997* $10.28 $(0.05) $ 0.84 $(0.15)(C) $ -- $10.92 7.73%+ $ 2,091
1996 10.28 (0.02) 0.20 (0.18)(C) -- 10.28 1.84 1,964
1995 10.21 -- 0.07 -- -- 10.28 0.69 876
1994(3) 9.98 (0.01) 0.24 -- -- 10.21 2.30+ 464
RETAIL CLASS B
1997* $10.14 $(0.07) $ 0.80 $(0.10)(C) $ -- $10.77 7.23%+ $ 1,449
1996 10.20 (0.07) 0.17 (0.16)(C) -- 10.14 1.02 1,175
1995 10.21 (0.03) 0.02 -- -- 10.20 (0.10) 306
1994(2) 10.23 (0.01) (0.01) -- -- 10.21 (0.20)+ 22
HEALTH SCIENCES FUND
INSTITUTIONAL CLASS
1997* $ 9.87 $(0.01) $(0.07) $(0.01) $(0.10) $ 9.68 (0.72)%+ $ 35,322
1996(4) 10.00 0.03 (0.15) (0.01) -- 9.87 (1.20)+ 12,485
RETAIL CLASS A
1997* $ 9.86 $(0.01) $(0.08) $ -- $(0.10) $ 9.67 (0.81)%+ $ 670
1996(4) 10.00 0.01 (0.14) (0.01) -- 9.86 (1.32)+ 629
RETAIL CLASS B
1997* $ 9.81 $(0.03) $(0.10) $ -- $(0.10) $ 9.58 (1.23)%+ $ 393
1996(4) 10.00 (0.02) (0.16) (0.01) -- 9.81 (1.86)+ 281
TECHNOLOGY FUND
INSTITUTIONAL CLASS
1997* $19.29 $ 0.04 $(3.20) $ -- $(2.06) $14.07 (18.21)%+ $104,585
1996 18.24 (0.04) 2.98 -- (1.89) 19.29 18.85 64,602
1995 11.19 (0.03) 7.31 -- (0.23) 18.24 66.22 29,272
1994(1) 10.00 (0.01) 1.20 -- -- 11.19 11.90+ 6,491
RETAIL CLASS A
1997* $19.25 $(0.03) $(3.14) $ -- $(2.06) $14.02 (18.31)%+ $ 3,373
1996 18.24 (0.05) 2.95 -- (1.89) 19.25 18.60 4,799
1995 11.19 (0.03) 7.31 -- (0.23) 18.24 66.22 1,464
1994(1) 10.00 (0.01) 1.20 -- -- 11.19 11.90+ 61
RETAIL CLASS B
1997* $18.85 $(0.03) $(3.11) $ -- $(2.06) $13.65 (18.56)%+ $ 4,833
1996 18.02 (0.14) 2.86 -- (1.89) 18.85 17.75 4,881
1995 11.17 (0.04) 7.12 -- (0.23) 18.02 64.52 2,031
1994(2) 9.85 (0.02) 1.34 -- -- 11.17 13.40+ 2
</TABLE>
[WIDE TABLE CONTINUED FROM ABOVE]
RATIO OF RATIO OF
NET EXPENSES TO
RATIO OF INVESTMENT AVERAGE AVERAGE
EXPENSES TO INCOME/LOSS NET ASSETS PORTFOLIO COMMISSION
AVERAGE TO AVERAGE (EXCLUDING TURNOVER RATE
NET ASSETS NET ASSETS WAIVERS) RATE (B)
0.90% (0.30)% 0.92% 22% $0.0700
0.89 (0.24) 0.96 39 0.0700
0.84 0.20 1.19 51 --
0.80 0.23 2.59 19 --
1.15% (0.57)% 1.17% 22% $0.0700
1.14 (0.52) 1.21 39 0.0700
1.04 0.00 1.44 51 --
0.79 0.23 2.84 19 --
1.90% (1.29)% 1.92% 22% $0.0700
1.89 (1.26) 1.96 39 0.0700
1.84 (0.83) 2.19 51 --
1.80 (0.85) 3.59 19 --
1.68% (0.63)% 1.68% 56% $0.0188
1.72 (0.06) 1.72 100 0.0345
1.74 0.12 1.81 57 --
1.75 (0.19) 2.05 16 --
1.93% (0.72)% 1.93% 56% $0.0188
1.97 (0.28) 1.97 100 0.0345
1.93 (0.13) 2.06 57 --
1.75 (0.26) 2.30 16 --
2.68% (1.63)% 2.68% 56% $0.0188
2.72 (0.96) 2.72 100 0.0345
2.76 (0.95) 2.81 57 --
2.75 (0.71) 3.05 16 --
0.90% 0.01% 1.20% 15% $0.0700
0.90 0.43 1.87 19 0.0700
1.15% (0.26)% 1.45% 15% $0.0700
1.15 0.18 2.12 19 0.0700
1.90% (1.01)% 2.20% 15% $0.0700
1.90 (0.61) 2.87 19 0.0700
0.88% (0.64)% 0.94% 67% $0.0700
0.90 (0.60) 1.01 119 0.0700
0.88 (0.35) 1.30 74 --
0.80 (0.21) 3.12 43 --
1.13% (0.88)% 1.19% 67% $0.0700
1.15 (0.85) 1.26 119 0.0700
1.13 (0.61) 1.55 74 --
0.80 (0.21) 3.37 43 --
1.88% (1.64)% 1.94% 67% $0.0700
1.90 (1.60) 2.01 119 0.0700
1.88 (1.41) 2.30 74 --
1.80 (1.44) 4.12 43 --
* All ratios for the period have been annualized.
+ Returns are for the period indicated and have not been annualized.
(A) Excluding sales charges.
(B) Beginning in 1996, average commission rate paid per share is disclosed for
all applicable security purchases and sales subject to commissions. The
comparability of this information may be affected by the fact that
commission rates per share vary significantly among foreign countries.
(C) Represents a distribution in excess of net investment income due to the tax
treatment of foreign currency related transactions.
(1) Commenced operations on April 4, 1994. All ratios for the period have
been annualized.
(2) Retail Class B shares have been offered since August 15, 1994. All ratios
for the period have been annualized.
(3) Retail Class A shares have been offered since April 7, 1994. All ratios for
the period have been annualized.
(4) Commenced operations on January 31, 1996. All ratios for the period have
been annualized.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
1 ORGANIZATION
The First American Prime Obligations Fund, Government Obligations Fund and
Treasury Obligations Fund are funds offered by First American Funds, Inc. (FAF).
The First American Limited Term Income Fund, Intermediate Term Income Fund,
Intermediate Government Bond Fund, Fixed Income Fund, Intermediate Tax Free
Fund, Minnesota Insured Intermediate Tax Free Fund, Colorado Intermediate Tax
Free Fund, Asset Allocation Fund, Balanced Fund, Real Estate Securities Fund,
Equity Income Fund, Equity Index Fund, Stock Fund, Diversified Growth Fund,
Special Equity Fund, Regional Equity Fund, Emerging Growth Fund, International
Fund, Health Sciences Fund, and Technology Fund are funds offered by First
American Investment Funds, Inc. (FAIF). FAF and FAIF (collectively the "Funds")
are registered under the Investment Company Act of 1940, as amended, as open
end, management investment companies. The Funds' articles of incorporation
permit the Board of Directors to create additional funds in the future.
FAF offers Class A, Class B, Class C and Class D shares. Class B shares are only
available pursuant to an exchange for Class B shares of another fund in the
First American family. Class B shares may also be subject to a contingent
deferred sales charge for six years and automatically convert to Class A shares
after eight years. Class C and D shares are offered only to qualifying
institutional investors. Class A and B shares are not offered by the Government
Obligations Fund or Treasury Obligations Fund.
FAIF offers Class A, Class B and Class C shares. Class A shares are sold with a
front-end sales charge. Class B shares may be subject to a contingent deferred
sales charge for six years and automatically convert to Class A shares after
eight years. Class C shares have no sales charge and are offered only to
qualifying institutional investors.
The Funds' prospectus provides a description of each Fund's investment
objectives, policies and strategies. All classes of shares in FAF and FAIF have
identical voting, dividend, liquidation and other rights, and the same terms and
conditions, except that the level of distribution fees charged may differ among
classes.
2 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The significant accounting policies followed by the Funds are as follows:
SECURITY VALUATION -- Investment securities held by the FAF Funds are stated at
amortized cost which approximates market value. Under the amortized cost method,
any discount or premium is amortized ratably to the maturity of the security and
is included in interest income.
FAIF Fund investments in equity securities which are traded on a national
securities exchange (or reported on the NASDAQ national market system) are
stated at the last quoted sales price if readily available for such equity
securities on each business day; other equity securities traded in the
over-the-counter market and listed equity securities for which no sale was
reported on that date are stated at the last quoted bid price. Debt obligations
exceeding sixty days to maturity which are actively traded are valued by an
independent pricing service at the most recently quoted bid price. When market
quotations are not readily available, securities are valued at fair value as
determined in good faith by procedures established and approved by the Board of
Directors. Debt obligations with sixty days or less remaining until maturity may
be valued at their amortized cost. Foreign securities are valued based upon
quotation from the primary market in which they are traded.
SECURITY TRANSACTIONS AND INVESTMENT INCOME -- The Funds record security
transactions on the trade date of the security purchase or sale. Dividend income
is recorded on the ex-dividend date. Interest income, including amortization of
bond premium and discount is recorded on the accrual basis. Security gains and
losses are determined on the basis of identified cost, which is the same basis
used for Federal income tax purposes.
DISTRIBUTIONS TO SHAREHOLDERS -- Distributions from net investment income for
the FAF funds are declared on a daily basis and are payable on the first
business day of the following month.
Limited Term Income Fund, Intermediate Term Income Fund, Intermediate Government
Bond Fund, Fixed Income Fund, Intermediate Tax Free Fund, Minnesota Insured
Intermediate Tax Free Fund, Colorado Intermediate Tax Free Fund, Asset
Allocation Fund, Balanced Fund, Equity Income Fund, Equity Index Fund, Stock
Fund, Diversified Growth Fund and Special Equity Fund declare and pay income
dividends monthly. Real Estate Securities Fund, Regional Equity Fund, Emerging
Growth Fund, Health Sciences Fund and Technology Fund declare and pay income
dividends quarterly.
A portion of the quarterly distributions of the Real Estate Securities Fund may
be a return of capital. International Fund declares and pays dividends annually.
Any net realized capital gains on sales of securities for a fund are distributed
to shareholders at least annually.
FEDERAL TAXES -- It is each Fund's intention to continue to qualify as a
regulated investment company and distribute all of its taxable income.
Accordingly, no provision for Federal income taxes is required. For Federal
income tax purposes, required distributions related to realized gains from
security transactions are computed as of October 31st.
The amounts of distributions from net investment income and net realized capital
gains are determined in accordance with federal income tax regulations, which
may differ from those amounts determined under generally accepted accounting
principles. These book/tax differences are either temporary or permanent in
nature. These differences are primarily due to wash sales, foreign currency
gains and losses, the "market-to-market" of certain Passive Foreign Investment
Companies (PFICs) for tax purposes, the character of distributions made during
the year from net investment income or net realized gains, and the timing of
distributions where the fiscal year in which the amounts are distributed may
differ from the year that the income or realized gains (losses) were recorded by
the fund. In the Regional Equity Fund, a permanent difference resulted from a
redemption-in-kind in the amount of $6,712,162 of which the resulting realized
gains were recognized for book purposes but not for tax purposes. To the extent
these differences are permanent, adjustments are made to the appropriate equity
accounts in the period that the difference arises.
FUTURES TRANSACTIONS -- In order to gain exposure to or protect against changes
in the market, certain Funds may enter into S&P Stock Index futures contracts
and other stock futures contracts.
Upon entering into a futures contract, the Fund is required to deposit cash or
pledge "U.S." Government securities in an amount equal to five percent of the
purchase price indicated in the futures contract (initial margin). Subsequent
payments, which are dependent on the daily fluctuations in the value of the
underlying security or securities, are made or received by the Fund each day
(daily variation margin) and are recorded as unrealized gains or losses until
the contracts are closed. When the contracts are closed, 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 contracts. Risks of
entering into futures contracts, in general, include the possibility that there
will not be a perfect price correlation between the futures contracts and the
underlying securities. Second, it is possible that a lack of liquidity for
futures contracts could exist in the secondary market, resulting in an inability
to close a futures position prior to its maturity date. Third, the purchase of a
futures contract involves the risk that a Fund could lose more than the original
margin deposit required to initiate a futures transaction. Unrealized gains or
losses on outstanding positions in futures contracts held at the close of the
year will be recognized as capital gains or losses for Federal income tax
purposes.
REPURCHASE AGREEMENTS -- The Funds may enter into repurchase agreements with
member banks of the Federal Deposit Insurance Corporation or registered broker
dealers whom the Adviser or Sub-Adviser deems creditworthy under guidelines
approved by the Board of Directors, subject to the seller's agreement to
repurchase such securities at a mutually agreed upon date and price. The
repurchase price would generally equal the price paid by the Fund plus interest
negotiated on the basis of current short-term rates.
Securities pledged as collateral for repurchase agreements are held by the
custodian bank until the respective agreements mature. The Portfolios may also
invest in tri-party repurchase agreements. Securities held as collateral for
tri-party repurchase agreements are maintained in a segregated account by the
broker's custodian bank until the maturity of the repurchase agreement.
Provisions of the repurchase agreements ensure that the market value of the
collateral, including accrued interest thereon, is sufficient in the event of
default of the counterparty. If the counterparty defaults and the value of the
collateral declines or if the counterparty enters an insolvency proceeding,
realization of the collateral by the Funds may be delayed or limited.
SECURITIES PURCHASED ON A WHEN-ISSUED BASIS -- Delivery and payment for
securities which have been purchased by a Fund on a forward commitment or
when-issued basis can take place up to a month or more after the transaction
date. During this period, such securities are subject to market fluctuations and
the portfolio maintains, in a segregated account with its custodian, assets with
a market value equal to or greater than the amount of its purchase commitments.
FOREIGN CURRENCY TRANSLATION -- The books and records of the International
Fund are maintained in U.S. dollars on the following bases:
(I) market value of investment securities, assets and liabilities at the
current rate of exchange; and
(II) purchases and sales of investment securities, income and expenses at
the relevant rates of exchange prevailing on the respective dates of
such transactions.
The International Fund does not isolate the portion of gains and losses on
investments in equity securities that is due to changes in the foreign exchange
rates from that which is due to change in market prices of equity securities.
The International Fund reports certain foreign currency related transactions as
components of realized gains for financial reporting purposes, whereas such
components are treated as ordinary income for Federal income tax purposes.
FORWARD FOREIGN CURRENCY CONTRACTS -- The International Fund enters into forward
foreign currency contracts as hedges against either specific transactions or
fund positions. The aggregate principal amount of the contracts are not recorded
as the International Fund intends to settle the contracts prior to delivery. All
commitments are "marked-to-market" daily at the applicable foreign exchange rate
and any resulting unrealized gains or losses are recorded currently. The
International Fund realizes gains or losses at the time the forward contracts
are extinguished. Unrealized gains or losses on outstanding positions in forward
foreign currency contracts held at the close of the year will be recognized as
ordinary income or loss for Federal income tax purposes.
EXPENSES -- Expenses that are directly related to one of the Funds are charged
directly to that Fund. Other operating expenses are prorated to the Funds on the
basis of relative net asset value. Class specific expenses, such as the 12b-1
fees, are borne by that class. Income, other expenses and realized and
unrealized gains and losses of a Fund are allocated to the respective class on
the basis of the relative net asset value each day.
OPTIONS TRANSACTIONS -- In order to hedge against market risks the funds may
write call options on stock indices. Options are valued daily based upon the
last sales price on the principal exchange on which the option is traded, and
the fund records the unrealized gain or loss. The fund will realize a gain or
loss upon the expiration or closing of the options contract.
USE OF ESTIMATES IN THE PREPARATION OF FINANCIAL STATEMENTS -- The preparation
of financial statements, in conformity with generally accepted accounting
principles, requires management to make estimates and assumptions that affect
the reported amount of net assets and liabilities and disclosure of contingent
assets at the date of the financial statements and the reported results of
operations during the reporting period. Actual results could differ from those
estimates.
3 FEES AND EXPENSES
Pursuant to an investment advisory agreement (the Agreement), First Bank
National Association (the Adviser) manages each Fund's assets and furnishes
related office facilities, equipment, research and personnel. The Agreement
requires each Fund to pay the Adviser a monthly fee based upon average daily net
assets. The fee for each of the FAF Funds is equal to an annual rate of .40% of
the average daily net assets. The fee for each of the FAIF Funds, other than the
International Fund, is equal to an annual rate of .70% of the average daily net
assets. Marvin & Palmer Associates, Inc., serves as Sub-Adviser to the
International Fund pursuant to a Sub-Advisory Agreement with the Adviser. The
fee for the International Fund is equal to an annual rate of 1.25% of average
daily net assets.
FAIF Funds may invest in FAF Funds, subject to certain limitations. The terms of
such transactions are identical to those of non-related entities except that, to
avoid duplicative investment advisory fees, the Adviser reimburses to each FAIF
Fund an amount equal to the investment advisory fee earned by FAF related to
such investments.
Through a separate contractual agreement, First Trust National Association, an
affiliate of the Adviser, serves as the Funds' custodian. In the Statement of
Operations, expenses paid indirectly represent a reduction of custodian fees for
earnings on cash balances.
SEI Financial Services Company (SFS) and SEI Financial Management Corporation,
(SFM) serve as distributor and administrator of the Funds, respectively. Under
the distribution plan, each of the Funds pay SFS a monthly distribution fee of
.25% of each Fund's average daily net assets of the Retail Class A shares, 1.00%
of the Retail Class B shares and .15% of the Corporate Trust Class D shares,
which may be used by SFS to provide compensation for sales support and
distribution activities. No distribution fees are paid by Institutional Class C
shares. SFM provides administrative services, including certain accounting,
legal and shareholder services, at an annual rate of .07% of each FAF Fund's,
and .12% of each FAIF Fund's, average daily net assets, with a minimum annual
fee of $50,000 per Fund. To the extent that the aggregate net assets of FAF,
FAIF and First American Strategy Funds, Inc. exceed $8 billion, the annual rate
of each FAF fund is reduced to .055% and each FAIF fund is reduced to .105%.
In addition to the investment advisory and management fees, custodian fees,
distribution fees, administrator and transfer agent fees, each fund is
responsible for paying most other operating expenses including organization
costs, fees and expenses of outside directors, registration fees, printing
shareholder reports, legal, auditing, insurance and other miscellaneous
expenses.
For the period ended March 31, 1997, legal fees and expenses were paid to a law
firm of which the Secretary of the Funds is a partner.
DST Systems, Inc. provides transfer agent services for the Funds.
A Contingent Deferred Sales Charge (CDSC) is imposed on redemptions made in the
Retail Class B. The CDSC varies depending on the number of years from time of
payment for the purchase of Class B shares until the redemption of such shares.
CONTINGENT DEFERRED SALES
CHARGE
YEAR SINCE AS A PERCENTAGE OF DOLLAR
PURCHASE AMOUNT SUBJECT TO CHARGE
First 5.00%
Second 5.00%
Third 4.00%
Fourth 3.00%
Fifth 2.00%
Sixth 1.00%
Seventh 0.00%
Eighth 0.00%
For the period ended March 31, 1997, sales charges retained by SFS for
distributing the Funds' shares were approximately $58,000.
4 INVESTMENT SECURITY TRANSACTIONS
During the period ended March 31, 1997, purchases of securities and proceeds
from sales of securities, other than temporary investments in short-term
securities, were as follows (000):
U.S. GOVERNMENT OTHER INVESTMENT
SECURITIES SECURITIES
PURCHASES SALES PURCHASES SALES
Limited Term
Income Fund $ 3,894 $ 1,215 $ 33,056 $ 30,156
Intermediate Term
Income Fund 101,954 116,165 -- 6,028
Intermediate
Government
Bond Fund 6,034 8,823 -- --
Fixed Income Fund 362,395 375,543 9,066 21,704
Intermediate Tax
Free Fund -- -- 46,266 40,754
Minnesota Insured
Intermediate Tax
Free Fund -- -- 31,067 21,415
Colorado
Intermediate Tax
Free Fund -- -- 3,214 2,555
Asset Allocation
Fund 8,266 4,368 3,616 27,082
Balanced Fund 117,826 106,658 60,096 70,686
Real Estate
Securities Fund -- -- 11,489 1,953
Equity Income Fund -- -- 24,815 24,708
Equity Index Fund -- -- 19,229 6,594
Stock Fund -- -- 443,447 275,053
Diversified Growth
Fund -- -- 61,582 71,363
Special Equity
Fund -- -- 208,796 172,106
Regional Equity
Fund -- -- 45,628 24,670
Emerging Growth
Fund -- -- 30,706 21,047
International Fund -- -- 94,954 78,469
Health Sciences
Fund -- -- 4,122 7,272
Technology Fund -- -- 68,125 71,413
At March 31, 1997 the total cost of securities for Federal income tax purposes,
was not materially different from amounts reported for financial reporting
purposes. The aggregate gross unrealized appreciation and depreciation for
securities held by the Funds at March 31, 1997 is as follows (000):
AGGREGATE AGGREGATE
GROSS GROSS
APPRECIATION DEPRECIATION NET
Limited Term Income Fund $ 167 $ (426) $ (259)
Intermediate Term Income
Fund 34 (2,497) (2,463)
Intermediate Government
Bond Fund 1,412 (800) 612
Fixed Income Fund 1,384 (12,951) (11,567)
Intermediate Tax Free Fund 3,475 (1,188) 2,287
Minnesota Insured
Intermediate Tax Free Fund $ 5,954 $ (1,461) $ 4,493
Colorado Intermediate
Tax Free Fund 1,453 (93) 1,360
Asset Allocation Fund 11,308 (1,149) 10,159
Balanced Fund 47,132 (6,894) 40,238
Real Estate Securities Fund 4,466 (228) 4,238
Equity Income Fund 64,801 (3,166) 61,635
Equity Index Fund 126,234 (9,037) 117,197
Stock Fund 133,958 (23,192) 110,766
Diversified Growth Fund 188,549 (16,720) 171,829
Special Equity Fund 49,173 (25,036) 24,137
Regional Equity Fund 68,953 (24,399) 44,554
Emerging Growth Fund 23,102 (17,577) 5,525
International Fund 19,200 (1,902) 17,298
Health Sciences Fund 7,087 (3,469) 3,618
Technology Fund 17,027 (21,994) (4,967)
5 DEFERRED ORGANIZATIONAL COSTS
Organizational costs have been capitalized by the Funds and are being amortized
over sixty months commencing with operations on a straight-line basis.
6 FORWARD FOREIGN CURRENCY CONTRACTS
The International Fund enters into forward foreign currency exchange contracts
as hedges against portfolio positions. Such contracts, which protect the value
of the Fund's investment securities against a decline in the value of the hedged
currency, do not eliminate fluctuations in the underlying prices of the
securities. They simply establish an exchange rate at a future date. Also,
although such contracts tend to minimize the risk of loss due to a decline in
the value of a hedged currency, at the same time they tend to limit any
potential gain that might be realized should the value of such foreign currency
increase.
The following forward foreign currency contracts were outstanding at March 31,
1997.
NET
IN UNREALIZED
CONTRACTS TO EXCHANGE APPRECIATION/
SETTLEMENT DELIVER FOR (DEPRECIATION)
DATES (000) (000) (000)
FOREIGN CURRENCY
SALES:
5/16/97 CH 6,400 $ 4,406 $ (38)
5/16/97 DM 16,440 9,760 (87)
5/16/97 FF 45,100 7,931 (128)
5/16/97 FI 9,100 1,795 (45)
5/16/97 IT 3,965,300 2,333 (41)
5/16/97 JY 1,264,270 10,294 1
5/16/97 NG 15,940 8,403 (125)
5/16/97 NK 1,150 168 (7)
5/16/97 SK 41,140 5,321 (118)
5/16/97 SP 156,400 1,087 (14)
5/16/97 UK 5,260 8,338 (300)
$59,836 $(902)
CURRENCY LEGEND
CH Swiss Frank NG Netherlands Guilder
DM German Mark NK Norwegian Kroner
FF French Franc SK Swedish Krona
FI Finnish Mark SP Spanish Peseta
IT Italian Lira UK British Pounds Sterling
JY Japanese Yen
7 FUTURES CONTRACTS
The Equity Index Fund's investment in S&P 500 Index futures contracts is
designed to maintain sufficient liquidity to meet redemption requests and to
increase the level of Fund assets devoted to replicating the composition of the
S&P 500 Index while reducing transaction costs. Risks of entering into S&P 500
Index futures contracts include the possibility that there may be an illiquid
market and that a change in the value of the contract may not correlate with
changes in the underlying securities. At March 31, 1997, open long S&P 500 Index
futures contracts were as follows:
NUMBER UNREALIZED
OF TRADE SETTLEMENT GAIN/(LOSS)
CONTRACTS PRICE MONTH (000)
31 $793.55 June 97 $(551)
3 791.30 June 97 (50)
6 772.40 June 97 (43)
$(644)
8 OPTIONS TRANSACTIONS
The Special Equity Fund wrote call options on stock indices during the period.
These transactions, which would be undertaken principally to hedge against
market risk, entail certain risks. These risks include the risk of imperfect
correlation between movements of the index covered by the option and movement in
the price of the Fund's portfolio securities, and the risk of limited liquidity
in the event the Fund seeks to close out an options position before expiration
by entering into an offsetting transaction. These transactions give the holder
the right to receive upon exercise of the option a defined amount of cash if the
closing value of the index upon which the option is based is greater than, in
the case of a call, the exercise price of the option. Options activity for
Special Equity Fund for the period ended March 31, 1997 is as follows:
CALL OPTIONS (000)
NUMBER OF AMOUNT OF
OPTIONS PREMIUMS
Options outstanding at
September 30, 1996 0 $ 0
Options Written 8,100 21,924
Options closed or
expired (8,100) (21,924)
Options outstanding at
March 31, 1997 0 $ 0
9 CONCENTRATION OF CREDIT RISK
The Intermediate Tax Free Fund, Minnesota Insured Intermediate Tax Free Fund and
Colorado Intermediate Tax Free Fund invest in debt instruments of municipal
issuers. Although these Funds monitor investment concentration, the issuers'
ability to meet their obligations may be affected by economic developments in a
specific state or region.
The Intermediate Tax Free Fund, Minnesota Insured Intermediate Tax Free Fund,
and Colorado Intermediate Tax Free Fund invest in securities which include
revenue bonds, tax and revenue anticipation notes, and general obligation bonds.
At March 31, 1997, the percentage of portfolio investments by each revenue
source was as follows:
MINNESOTA
INSURED
INTERMEDIATE INTERMEDIATE COLORADO
TAX FREE TAX FREE INTERMEDIATE
FUND FUND TAX FREE FUND
REVENUE BONDS:
Education 8% 2% 4%
Health Care Bonds 5 13 1
Transportation
Bonds 2 1 7
Utility Bonds 15 14 12
Housing Bonds 6 19 5
Pollution Control
Bonds 2 2 4
Public Facility
Bonds 3 3 2
Industrial Bonds 2 1 1
Other 13 13 14
GENERAL
OBLIGATIONS: 44 32 51
ANTICIPATION
NOTES: 0 0 0
100% 100% 100%
The rating of long-term debt as a percentage of total value of investments at
March 31, 1997 is as follows:
MINNESOTA
INSURED
INTERMEDIATE INTERMEDIATE COLORADO
TAX FREE TAX FREE INTERMEDIATE
FUND FUND TAX FREE FUND
Standard &
Poors/Moody's:
Ratings:
AAA/Aaa 63% 78% 52%
AA/Aa 33 13 31
A/A 4 17 14
BBB/Baa -- -- 1
NR -- 2 2
100% 100% 100%
Securities rated by only one agency are shown in that category. Securities rated
by both agencies are shown with their highest rating.
10 FUND MERGERS
On January 26, 1996 Stock Fund acquired all net assets of Limited Volatility
Stock Fund pursuant to a plan of reorganization approved by the FAIF
shareholders on January 22, 1996. The acquisition was accompanied by a tax-free
exchange of 1,445,879 shares of Limited Volatility Stock Fund Institutional
Class for 917,421 shares of Stock Fund Institutional Class outstanding as of the
close of business on January 26, 1996. Limited Volatility Stock Fund net assets
at that date were combined with those of Stock Fund's. The aggregate net assets
of Stock Fund and Limited Volatility Stock Fund before the acquisition were
$372,522,635 and $17,976,532 (including $37,244 of accumulated net realized loss
on investments, $3,597,192 of net unrealized appreciation of investments, and
14,416,584 of paid-in-capital for Institutional Class) respectively, resulting
in combined net assets of $390,499,167 on January 26, 1996.
11 COMMON TRUST FUND CONVERSIONS
On December 6, 1996, certain Common Trust Funds of First Bank and its affiliates
were converted into FAIF. The Funds that were involved in the conversion are as
follows:
COMMON TRUST FUND FAIF FUND
First Common Treasury Intermediate Government
--Agency/Bond Fund Bond Fund
First Common Taxable Bond Fund Fixed Income Fund
First Common Tax-Free
National Bond Fund Intermediate Tax Free Fund
First Common Tax-Free Minnesota Insured
--Minnesota Bond Fund Intermediate Tax Free Fund
First Bank Milwaukee Personal
Balanced Fund Asset Allocation Fund
First Common Equity-Yield Fund Equity Income Fund
First Common Equity Fund Diversified Growth Fund
First Common Special
Equity Fund Special Equity Fund
First Common Emerging
Growth Fund Emerging Growth Fund
First Common Equity
--Health Care Fund Health Sciences Fund
First Common Equity
--Technology Fund Technology Fund
The assets, which consisted of securities and related receivables, were
converted on a tax-free basis. The number of Institutional Class shares issued
for each fund and the net assets of each fund (including net unrealized
gain/loss) immediately before the conversion were as follows:
UNREALIZED
COMMON TRUST FUND ASSETS GAIN/(LOSS)
First Common Treasury
--Agency/Bond Fund $ 31,832,839 $ 560,293
First Common Taxable Bond
Fund 123,756,766 (199,372)
First Common Tax Free National
Bond Fund 105,222,994 3,002,948
First Common Tax Free
--Minnesota Bond Fund 201,900,453 6,992,690
First Bank Milwaukee Personal
Balanced Fund 66,843,196 12,434,569
First Common Equity Yield Fund 70,993,105 22,378,356
First Common Equity Fund 297,403,308 135,858,681
First Common Special
Equity Fund 80,932,553 10,524,327
First Common Emerging
Growth Fund 46,861,111 8,364,231
First Common Equity --Health
Care Fund 26,178,613 4,711,292
First Common Equity
--Technology Fund 67,008,994 15,928,190
FAIF FUNDS NET ASSETS SHARES ISSUED
Intermediate
Government Bond Fund $143,381,911 3,422,888
Fixed Income Fund 431,289,324 11,333,040
Intermediate Tax Free Fund 70,908,408 9,833,928
Minnesota Insured
Intermediate Tax Free Fund 105,299,568 20,250,804
Asset Allocation Fund 59,749,411 5,655,093
Equity Income Fund 73,036,893 5,520,460
Diversified Growth Fund 248,697,158 20,826,561
Special Equity Fund 301,197,052 4,323,320
Emerging Growth Fund 74,220,124 3,471,194
Health Sciences Fund 12,082,880 2,752,745
Technology Fund 69,931,430 3,862,189
On February 21, 1997 a second common trust conversion took place. Certain Common
Trust Funds of First Bank and its affiliates were converted into FAIF. The Funds
involved in the conversion are as follows:
COMMON TRUST FUND FAIF FUND
First Tier Intermediate Intermediate Term
Bond Fund Income
First Tier Bond Fund Fixed Income
First Tier Tax-Exempt Intermediate Tax
Income Fund Free
First Tier Equity Income Fund Equity Income Fund
First Tier Common Stock Fund Stock
The assets, which consisted of securities and related receivables, were
converted on a tax-free basis. The number of Institutional Class shares issued
for each fund and the net assets of each fund (including net unrealized
gain/loss) immediately before the conversion were as follows:
UNREALIZED
COMMON TRUST FUND ASSETS GAIN/(LOSS)
First Tier Intermediate
Bond Fund $ 74,982,089 $ 105,821
First Tier Bond Fund 93,564,720 263,690
First Tier Tax-Exempt
Income Fund 80,284,045 2,176,951
First Tier Equity
Income Fund 76,626,806 26,423,113
First Tier Common
Stock Fund 177,038,746 77,659,640
FAIF FUNDS NET ASSETS SHARES ISSUED
Intermediate Term
Income Fund $ 87,973,493 7,543,470
Fixed Income Fund 555,157,713 8,631,431
Intermediate Tax
Free Fund 176,465,910 7,475,237
Equity Income Fund 158,422,856 5,580,976
Stock Fund 768,278,353 7,432,357
The value and number of shares issued in exchange for each Common Trust Fund's
assets and shares outstanding in the tax-free conversions are included in the
capital share transactions of the Institutional Class in the Statement of
Changes in Net Assets for each respective fund.
(THIS PAGE HAS BEEN LEFT BLANK INTENTIONALLY.)
FIRST AMERICAN FUNDS, INC.
FIRST AMERICAN INVESTMENT FUNDS, INC.
Oaks, Pennsylvania 19456
INVESTMENT ADVISER
FIRST BANK NATIONAL ASSOCIATION
601 Second Avenue South
Minneapolis, Minnesota 55480
CUSTODIAN
FIRST TRUST NATIONAL ASSOCIATION
180 East Fifth Street
St. Paul, Minnesota 55101
ADMINISTRATOR
SEI FINANCIAL MANAGEMENT CORPORATION
Oaks, Pennsylvania 19456
TRANSFER AGENT
DST SYSTEMS, INC.
1004 Baltimore
Kansas City, Missouri 64105
DISTRIBUTOR
SEI FINANCIAL SERVICES COMPANY
Oaks, Pennsylvania 19456
COUNSEL
DORSEY & WHITNEY LLP
220 South Sixth Street
Minneapolis, Minnesota 55402
This report and the financial statements contained herein are submitted for the
general information of the shareholders of the corporation. The report is not
authorized for distribution to prospective investors in the corporation unless
preceded or accompanied by an effective prospectus for each of the Funds
included. Shares in the Funds are not deposits or obligations of, or guaranteed
or endorsed by, First Bank National Association or any of its affiliates. Such
shares are also not federally insured by the Federal Deposit Insurance
Corporation, the Federal Reserve Board, or any other agency. Investment in the
shares involve investment risk including loss of principal amount invested.
FAIF-1303 5/97
