- --------------------------------------------------------------------------------
VISION
U.S. Government
Securities Fund
Seeks current income by investing primarily in
securities that are guaranteed for payment of
principal and interest by the U.S. government,
its agencies or instrumentalities (Fund shares
themselves are not guaranteed).
- --------------------------------------------------------------------------------
VISION
New York Municipal
Income Fund
Seeks current income that is exempt
from federal, New York State and
New York City income taxes,* as is
consistent with preservation of capital.
- --------------------------------------------------------------------------------
VISION
Large Cap Value Fund
(formerly, VISION Equity Income Fund)
Seeks to provide current income by investing in a diversified portfolio
consisting primarily of income- producing equity securities of domestic
companies (common and preferred stock and convertible securities). Capital
appreciation is a secondary investment consideration.
- --------------------------------------------------------------------------------
VISION
Mid Cap Stock Fund
Seeks total return by investing primarily
in a diversified portfolio of mid-cap stocks.
- --------------------------------------------------------------------------------
VISION
Money Market Fund
Seeks current income with liquidity and
stability of principal by investing in high-
quality money market instruments.**
- --------------------------------------------------------------------------------
VISION
Treasury Money
Market Fund
Seeks current income with liquidity and
stability of principal by investing in short-term
U.S. Treasury obligations, which are fully guaranteed
for payment of principal and interest
by the U.S. government.**
- --------------------------------------------------------------------------------
VISION
New York Tax-Free
Money Market Fund
Seeks a high level of current interest income that is exempt from
federal, New York State and
New York City income taxes,* as well as
liquidity and stability of principal.**
- --------------------------------------------------------------------------------
* Some income may be subject to the federal alternative minimum tax and state
and local taxes.
** An investment in money market funds is neither insured nor guaranteed by the
Federal Deposit Insurance Corporation or any other government agency.
Although money market funds seek to preserve the value of your investment at
$1.00 per share, it is possible to lose money by investing in the fund.
For more complete information about any of the Vision Funds, contact (800) 836-
2211 for a prospectus. Please read the prospectus carefully before investing.
PRESIDENT'S MESSAGE
- -------------------------------------------------------------------------------
Dear Investor:
I am pleased to present the Semi-Annual Report of the VISION equity and income
funds for the first half of the funds' current fiscal year, which is the
six-month period from May 1, 1999 through October 31, 1999. This report begins
with a discussion by each fund's management about the economy, the market, and
fund strategies over the reporting period. Next, you'll find a complete list of
portfolio holdings and financial statements for each fund.
The following highlights summarize the performance of each VISION equity and
income fund over the six-month reporting period.
VISION U.S. GOVERNMENT SECURITIES FUND
The fund's portfolio of U.S. government securities paid dividends totaling $0.29
per share. Due to a rising interest rate environment, which caused bond prices
to decline, the fund's net asset value declined from $9.51 at the beginning of
the period to $9.16 at the period's end. The income dividends and change in net
asset value resulted in a relatively flat total return of (0.63%), or (5.12%)
adjusted for the fund's sales charge.* At the end of the reporting period, the
fund's assets totaled $58 million.
VISION NEW YORK MUNICIPAL INCOME FUND
The fund's portfolio of high-quality, New York municipal bonds paid tax-free
dividends totaling $0.23 per share.** In an environment of rising interest rates
that caused bond prices to decline, the fund's net asset value declined from
$10.52 at the beginning of the period to $9.69 at the period's end. Through
dividends and net asset value increase, the fund's total return was (5.78%), or
(10.06%) adjusted for the fund's sales charge.* By the end of the reporting
period, tax-sensitive New York residents had invested a total of $49.3 million
in the fund.
VISION LARGE CAP VALUE FUND
This fund offers a relatively conservative way to navigate toward income and
capital appreciation from stocks believed to be undervalued. In a volatile
market environment that did not favor value stocks, the fund's net asset value
declined from $12.24 to $11.52. This decline was slightly cushioned by the
fund's focus on income-producing stocks, which resulted in dividends totaling
$0.09 per share. The fund's total return was a negative (5.15%), or (10.35%)
adjusted for the fund's sales charge for the six-month period.* Fund assets
reached $39.1 million at the end of the reporting period.
*Performance quoted reflects past performance and is no guarantee of future
results. Investment return and principal value will fluctuate so that an
investor's shares, when redeemed, may be worth more or less than their
original cost.
**Income may be subject to the federal alternative minimum tax and state and
local taxes.
VISION MID CAP STOCK FUND
The fund's portfolio pursues its objective of total return by investing in
high-quality mid-cap stocks selected through a systematic process that focuses
on value, or "cheapness," and improving fundamental strength. During a volatile
six-month period for stocks, particularly mid-cap value stocks, the fund's Class
A Shares produced a negative total return of (5.70%) or (10.87%) adjusted for
the fund's sales charge as the net asset value declined from $13.45 to $12.20.*
The fund paid income distributions totaling $0.02 per share and capital gains
distributions totaling $0.44 per share. At the end of the reporting period, the
fund's net assets totaled $91.5 million.
Thank you for pursuing the opportunities of one or more key financial markets
through the professional management and diversification of the VISION equity and
income funds. While the six-month reporting period was volatile for stock and
bond investors, I urge you to keep focused on the long-term, which is the true
measure of performance. We look forward to keeping you up-to-date on your
progress.
Sincerely,
Edward C. Gonzales
President
December 15, 1999
* Performance quoted reflects past performance and is no guarantee of future
results. Investment return and principal value will fluctuate so that an
investor's shares, when redeemed, may be worth more or less than their
original cost.
INVESTMENT REVIEW
- -------------------------------------------------------------------------------
VISION NEW YORK MUNICIPAL INCOME FUND
The last six months have been a difficult period for the tax-exempt bond market.
Since our last report, yields on 10 year municipal notes have risen from 4.40%
(82.0% of the Ten-year U.S. Treasury note) on April 30, 1999 to 5.24% (87.0% of
the Ten-year U.S. Treasury note) on October 29, 1999. Municipals un-
der-performed Treasury securities during this period.
U.S. economic growth in the 1999 calendar year has been robust. The year over
year percentage change for the chain weighted real Gross Domestic Product
("GDP") for the quarter ending September 30, 1999 was a healthy 4.3%. GDP
advanced at a 3.8% clip for the quarter ending June 30, 1999. The year over year
percentage change in the consumer price index (CPI) for the year ended October
31, 1999 was 2.60%. This represents an increase of 30 basis points from the
2.30% level of April 30, 1999.
The Federal Reserve Board ("Fed") has responded to these economic conditions by
raising the Fed funds target rate by 25 basis points on three separate dates in
1999. The first two moves occurred on June 30th and August 24th of 1999. The
last increase came on November 16th, 1999, which raised the rate target to
5.50%.
What do we see in the immediate future? There is some early evidence that the
three Fed rate increases have slowed the interest rate-sensitive housing sector.
If the housing market ceases to be a positive force for the entire economy,
overall demand should decelerate in the year 2000. Although commodity and
certain U.S. equity asset prices have risen, finished goods prices and service
prices have yet to rise at an alarming rate. We are cautiously optimistic that
the combination of excess global capacity, productivity gains, and the defla-
tionary pressures of the new information-based economy will help keep prices in
check. Under this scenario, interest rates can fall in the calendar year 2000.
The fund posted a total return of (5.78%) for the 6 month period ended 10/31/99
((10.06%) adjusted for the fund's sales charge).* The Lipper New York Municipal
Debt Funds Index return for the same period was (-5.63%).**
The fund continues to emphasize high-quality, 20-year maturity securities.
Twenty year municipals yield over 1.20% more than five year municipals. This
step pitch of the municipal yield curve is quite dissimilar to the flat slope of
the U.S. Treasury or corporate security yield curves. Municipals are very
attractive compared to taxable bonds at this time. The duration+ of the fund has
been extended to about a year longer than the Lehman Brothers New York
Tax-Exempt Index for the period ended October 31, 1999.***
* Performance quoted represents past performance and is no guarantee of future
results. Investment return and principal value will fluctuate, so that an
investor's shares, when redeemed, may be worth more or less than their
original cost.
** Lipper figures represent the average of the total returns reported by all of
the mutual funds designated by Lipper Analytical Services, Inc. as falling
into the respective categories indicated. Lipper figures do not reflect
sales charges.
*** The Lehman Brothers New York Tax-Exempt Index is a total return performance
benchmark for the New York long-term, investment grade, tax-exempt bond
market. The index is unmanaged and investments cannot be made in an index.
+ Duration is a measure of a security's price sensitivity to changes in
interest rates. Securities with longer durations are more sensitive to
changes in interest rates than securities of shorter durations.
INVESTMENT REVIEW
- -------------------------------------------------------------------------------
VISION U.S. GOVERNMENT SECURITIES FUND
The last six months have been a difficult period for the taxable bond market.
Since our last report, yields on the 10 year Treasury note have risen from 5.36%
on April 30, 1999 to 6.02% on October 29, 1999.
U.S. economic growth in the 1999 calendar year has been robust. The year over
year percentage change for the chain weighted real Gross Domestic Product
("GDP") for the quarter ending September 30, 1999 was a healthy 4.3%. GDP
advanced at a 3.8% clip for the quarter ending June 30, 1999. The year over year
percentage change in the consumer price index (CPI) for the year ended October
31, 1999 was 2.60%. This represents an increase of 30 basis points from the
2.30% level of April 30, 1999.
The Federal Reserve Board ("Fed") has responded to these economic conditions by
raising the Fed funds target rate by 25 basis points on three separate dates in
1999. The first two moves occurred on June 30th and August 24th of 1999. The
last increase came on November 16th, 1999, which raised the rate target to
5.50%.
What do we see in the immediate future? There is some early evidence that the
three Fed rate increases have slowed the interest rate-sensitive housing sector.
If the housing market ceases to be a positive force for the entire economy,
overall demand should decelerate in the year 2000. Although commodity and
certain U.S. equity asset prices have risen, finished goods prices and service
prices have yet to rise at an alarming rate. We are cautiously optimistic that
the combination of excess global capacity, productivity gains, and the defla-
tionary pressures of the new information-based economy will help keep prices in
check. Under this scenario, interest rates can fall in the calendar year 2000.
The fund posted a total return of (.63%) for the 6 month period ended 10/31/99.
( (5.12%) adjusted for the fund's sales charge).* This compares favorably with
the Lipper U.S. General Government Fund Index return of (-1.11%) for the same
period.**
The fund continues to emphasize government-guaranteed securities with yield
advantages to U.S. Treasury securities.*** Within the mortgage-backed securities
sector, we continue to favor very seasoned, low loan balance mortgages. These
mortgages possess lower refinancing risks relative to newer production
mortgages. The duration+ of the fund has been extended to a little over half a
year longer than the Lehman Brothers Aggregate Bond Index for the period ended
October 31, 1999.++
* Performance quoted reflects past performance and is no guarantee of future
results. Investment return and principal value will fluctuate, so that in
investor's shares, when redeemed, may be worth more or less than their
original cost.
** Lipper figures represent the average of the total returns reported by all of
the mutual funds designated by Lipper Analytical Services, Inc. as falling
into the respective categories indicated. These figures do not reflect sales
charges.
*** Fund shares are not guaranteed by the U.S. government.
+ Duration is a measure of a security's price sensitivity to changes in
interest rates. Securities with longer durations are more sensitive to
changes in interest rates than securities of shorter durations.
++ The Lehman Brothers Aggregate Bond Index is a total return index measuring
both the capital price changes and income provided by the underlying
universe of securities, weighted by market value outstanding. The Aggregate
Bond Index is comprised of the Lehman Brothers Government Bond Index,
Corporate Bond Index, Mortgage-Backed Securities Index, and the Yankee Bond
Index. The index is unmanaged and investments cannot be made in an index.
SHAREHOLDER MEETING RESULTS
- -------------------------------------------------------------------------------
A Special Meeting of shareholders of Vision Capital Appreciation Fund ("Capital
Appreciation") and Vision Growth and Income Fund ("Growth and Income"), each a
separate portfolio of Vision Group of Funds, Inc. ("Corporation"), was held on
October 14, 1999. On August 25, 1999, the record date for shareholders voting at
the meeting, there were 2,342,295 total outstanding shares for Capital
Appreciation and 5,641,938 total outstanding shares for Growth and Income. The
following items were considered by shareholders and the results of their voting
were as follows:
WITHHELD
ABSTENTIONS AUTHORITY
AND TO
Agenda Item FOR AGAINST BROKER NON-VOTES VOTE VOTE
- -------------------------------------------------------------------------------
1. Approval by shareholders of Growth and Income of the proposed Agreement and
Plan of Reorganization between the Corporation, on behalf of Growth and Income,
Capital Appreciation and Vision Mid Cap Stock Fund ("Mid Cap Stock"), whereby
Mid Cap Stock would acquire all of the assets of Growth and Income in exchange
for shares of the assets of Mid Cap Stock, to be distributed pro rata by Growth
and Income to its shareholders in complete liquidation and termination of Growth
and Income.
3,612,407 72,519 60,070
2. Approval by shareholders of Capital Appreciation of the proposed Agreement
and Plan of Reorganization between the Corporation, on behalf of Growth and
Income, Capital Appreciation and Mid Cap Stock, whereby Mid Cap Stock would
acquire all of the assets of Capital Appreciation in exchange for shares of the
assets of Mid Cap Stock, to be distributed pro rata by Capital Appreciation to
its shareholders in complete liquidation and termination of Capital
Appreciation.
1,688,364 5,307 8,419
VISION U.S. GOVERNMENT SECURITIES FUND
PORTFOLIO OF INVESTMENTS
OCTOBER 31, 1999 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT VALUE
---------- --------------------------------------------------- -----------
<C> <S> <C>
ASSET-BACKED SECURITIES--0.5%
--------------------------------------------------------------
$ 60,582 Provident Bank Home Equity Loan Trust 1996-1, Class
A1, 7.600%, 10/25/2012 $ 60,548
---------------------------------------------------
89,569 The Money Store Home Equity Trust 1992-C, Class A1,
6.200%, 10/15/2017 88,512
---------------------------------------------------
138,587 The Money Store Home Equity Trust 1994-C, Class A4,
7.800%, 10/15/2021 139,428
--------------------------------------------------- -----------
TOTAL ASSET-BACKED SECURITIES (IDENTIFIED COST
$290,504) 288,488
--------------------------------------------------- -----------
COLLATERALIZED MORTGAGE OBLIGATIONS--9.6%
--------------------------------------------------------------
105,000 FHLMC, Series 1686-PJ, REMIC, 5.000%, 2/15/2024 90,546
---------------------------------------------------
1,028,000 FHLMC, Series 20-H, REMIC, 5.500%, 10/25/2023 869,184
---------------------------------------------------
12,750 FHLMC, Series 1598-E, REMIC, 5.600%, 11/15/2005 12,710
---------------------------------------------------
19,615 FHLMC, Series 1697-PG, REMIC, 5.800%, 4/15/2006 19,556
---------------------------------------------------
105,000 FHLMC, Series 1637-GA, REMIC, 5.800%, 6/15/2023 99,156
---------------------------------------------------
10,956 FHLMC, Series 136-E, REMIC, 6.000%, 4/15/2021 10,442
---------------------------------------------------
264,000 FHLMC, Series 1534-H, REMIC, 6.000%, 1/15/2023 238,772
---------------------------------------------------
983,000 FHLMC, Series 23-PK, REMIC, 6.000%, 11/25/2023 864,991
---------------------------------------------------
279,000 FHLMC, Series 1577-PK, REMIC, 6.500%, 9/15/2023 256,047
---------------------------------------------------
176,000 FHLMC, Series 1644-K, REMIC, 6.750%, 12/15/2023 165,326
---------------------------------------------------
58,000 FHLMC, Series 33-H, REMIC, 7.500%, 6/25/2023 58,347
---------------------------------------------------
50,344 FNMA, Series 1994-22-A, REMIC, 5.000%, 3/25/2022 49,639
---------------------------------------------------
42,000 FNMA, Series 1993-38-L, REMIC, 5.000%, 8/25/2022 36,139
---------------------------------------------------
152,000 FNMA, Series 1994-3-PL, REMIC, 5.500%, 1/25/2024 129,364
---------------------------------------------------
874,000 FNMA, Series 1992-136-PJ, REMIC, 6.000%, 5/25/2021 825,449
---------------------------------------------------
111,000 FNMA, Series 1993-198-K, REMIC, 6.000%, 12/25/2022 102,310
---------------------------------------------------
26,000 FNMA, Series 1993-160-PK, REMIC, 6.500%, 11/25/2022 24,954
---------------------------------------------------
175,000 FNMA, Series 1993-223-C, REMIC, 6.500%, 5/25/2023 167,555
---------------------------------------------------
415,000 FNMA, Series 1993-113-PK, REMIC, 6.500%, 7/25/2023 378,717
---------------------------------------------------
</TABLE>
VISION U.S. GOVERNMENT SECURITIES FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT VALUE
---------- ----------------------------------------------------- -----------
<C> <S> <C>
COLLATERALIZED MORTGAGE OBLIGATIONS--CONTINUED
----------------------------------------------------------------
$ 554,000 FNMA, Series 1993-127-H, REMIC, 6.500%, 7/25/2023 $ 510,926
-----------------------------------------------------
155,000 FNMA, Series 1993-202-J, REMIC, 6.500%, 11/25/2023 144,741
-----------------------------------------------------
181,000 FNMA, Series 1994-55-H, REMIC, 7.000%, 3/25/2024 176,558
-----------------------------------------------------
47,358 FNMA, Series G93-1-HA, REMIC, 7.500%, 2/25/2021 47,730
-----------------------------------------------------
304,000 GNMA, 6.500%, 10/25/2018 281,589
----------------------------------------------------- -----------
TOTAL COLLATERALIZED MORTGAGE OBLIGATIONS (IDENTIFIED
COST $5,532,979) 5,560,748
----------------------------------------------------- -----------
CORPORATE BONDS--16.8%
----------------------------------------------------------------
500,000 Bay State Gas Co., 9.200%, 6/6/2011 567,845
-----------------------------------------------------
180,000 BellSouth Telecommunications, Inc., 5.850%,
11/15/2045 179,757
-----------------------------------------------------
1,000,000 Boeing Co., 6.625%, 2/15/2038 877,570
-----------------------------------------------------
250,000 Cargill, Inc., 6.875%, 5/1/2028 225,385
-----------------------------------------------------
100,000 Countrywide Mortgage Investments, 6.510%, 2/11/2005 96,038
-----------------------------------------------------
450,000 Countrywide Mortgage Investments, 7.200%, 10/30/2006 445,365
-----------------------------------------------------
800,000 Delmarva Power and Light Co., 8.500%, 2/1/2022 839,776
-----------------------------------------------------
250,000 First Union National Bank, Charlotte, N.C., 6.180%,
2/15/2036 237,117
-----------------------------------------------------
160,000 Ford Motor Credit Corp., 6.375%, 12/15/2005 154,475
-----------------------------------------------------
59,000 Fortune Brands, Inc., 8.625%, 11/15/2021 65,163
-----------------------------------------------------
150,000 GTE North, Inc., 8.500%, 12/15/2031 156,849
-----------------------------------------------------
100,000 General Electric Capital Corp., 8.300%, 9/20/2009 108,546
-----------------------------------------------------
50,000 Loews Corp., 8.875%, 4/15/2011 55,054
-----------------------------------------------------
150,000 Monsanto Co., 6.110%, 2/3/2005 143,971
-----------------------------------------------------
1,549,991 NYNEX Corp., 9.550%, 5/1/2010 1,701,378
-----------------------------------------------------
500,000 New Plan Realty Trust, 6.800%, 5/15/2002 493,295
-----------------------------------------------------
800,000 Ohio National Life Insurance Co., 8.500%, 5/15/2026 831,360
-----------------------------------------------------
150,000 PG&E Gas Transmission Northwest, 7.800%, 6/1/2025 135,763
-----------------------------------------------------
307,000 Philip Morris Cos., Inc., 8.375%, 1/15/2017 314,208
-----------------------------------------------------
1,000,000 Potomac Edison Co., 8.000%, 6/1/2006 1,026,360
-----------------------------------------------------
60,000 Potomac Electric Power Co., 8.500%, 5/15/2027 61,377
-----------------------------------------------------
</TABLE>
VISION U.S. GOVERNMENT SECURITIES FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT VALUE
---------- ---------------------------------------------------- -----------
<C> <S> <C>
CORPORATE BONDS--CONTINUED
---------------------------------------------------------------
$ 125,000 Public Service Co. Colo, 8.750%, 3/1/2022 $ 127,562
----------------------------------------------------
125,000 Rochester Gas & Electric Corp., 9.375%, 4/1/2021 133,519
----------------------------------------------------
415,000 Virginia Electric Power Co., 8.750%, 4/1/2021 418,366
----------------------------------------------------
370,000 Weingarten Realty Investors, 6.650%, 7/12/2027 357,013
---------------------------------------------------- -----------
TOTAL CORPORATE BONDS (IDENTIFIED COST $10,224,051) 9,753,112
---------------------------------------------------- -----------
GOVERNMENT AGENCIES--31.0%
---------------------------------------------------------------
50,000 FHLB, 7.140%, 6/6/2001 50,770
----------------------------------------------------
175,000 FHLMC, 6.943%, 3/21/2007 177,807
----------------------------------------------------
20,138 FHLMC, 8.200%, 9/15/2007 19,891
----------------------------------------------------
202,516 FHLMC, 9.875%, 3/15/2009 207,608
----------------------------------------------------
216,582 FHLMC, 10.250%, 3/15/2009 219,663
----------------------------------------------------
53,000 FNMA, 5.125%, 2/13/2004 50,425
----------------------------------------------------
910,000 HUD, 6.930%, 8/1/2013 886,794
----------------------------------------------------
500,000 HUD, 7.140%, 8/1/2007 502,890
----------------------------------------------------
1,200,000 HUD, 7.660%, 8/1/2015 1,202,388
----------------------------------------------------
1,944,000 Israel AID, 6.800%, 2/15/2012 1,972,091
----------------------------------------------------
3,500,000 Overseas Private Investment Corp., 6.600%, 5/21/2016 3,348,975
----------------------------------------------------
500,000 Private Export Funding Corp., 6.490%, 7/15/2007 490,300
----------------------------------------------------
75,000 Private Export Funding Corp., 7.950%, 11/1/2006 78,349
----------------------------------------------------
908,380 Small Business Administration, 5.600%, 9/1/2008 869,774
----------------------------------------------------
1,776,208 Small Business Administration, 6.700%, 12/1/2016 1,735,142
----------------------------------------------------
4,406,337 Small Business Administration, 6.950%, 11/1/2016 4,352,624
----------------------------------------------------
84,188 Small Business Administration, 8.850%, 8/1/2011 87,819
----------------------------------------------------
534,119 Small Business Administration, 9.250%, 2/1/2008 558,822
----------------------------------------------------
1,086,327 Small Business Administration, 9.650%, 5/1/2010 1,147,433
----------------------------------------------------
50,000 Tennessee Valley Authority, 6.000%, 11/1/2000 50,021
---------------------------------------------------- -----------
TOTAL GOVERNMENT AGENCIES (IDENTIFIED COST
$18,678,009) 18,009,586
---------------------------------------------------- -----------
</TABLE>
VISION U.S. GOVERNMENT SECURITIES FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT VALUE
---------- ------------------------ -----------
<C> <S> <C>
MORTGAGE BACKED SECURITIES--17.7%
-----------------------------------
$ 216,927 FHLMC, 7.000%, 11/1/2007 $ 213,402
------------------------
178,583 FHLMC, 7.000%, 7/1/2008 175,681
------------------------
384,471 FHLMC, 7.000%, 8/1/2008 378,224
------------------------
137,457 FHLMC, 7.000%, 11/1/2010 137,542
------------------------
92,598 FHLMC, 7.000%, 11/1/2017 91,556
------------------------
17,365 FHLMC, 7.250%, 1/1/2005 17,289
------------------------
63,254 FHLMC, 7.250%, 11/1/2009 62,898
------------------------
36,379 FHLMC, 7.500%, 7/1/2007 36,448
------------------------
224,615 FHLMC, 7.500%, 3/1/2008 225,037
------------------------
102,441 FHLMC, 7.500%, 6/1/2008 102,729
------------------------
35,468 FHLMC, 7.500%, 11/1/2009 35,534
------------------------
104,035 FHLMC, 7.500%, 12/1/2010 104,230
------------------------
30,585 FHLMC, 7.500%, 3/1/2017 30,910
------------------------
43,012 FHLMC, 8.000%, 5/1/2002 43,806
------------------------
13,241 FHLMC, 8.000%, 5/1/2006 13,336
------------------------
9,095 FHLMC, 8.000%, 3/1/2007 9,217
------------------------
51,122 FHLMC, 8.000%, 9/1/2007 51,888
------------------------
380,379 FHLMC, 8.000%, 11/1/2008 387,271
------------------------
35,339 FHLMC, 8.000%, 1/1/2010 35,704
------------------------
65,635 FHLMC, 8.000%, 12/1/2010 66,825
------------------------
36,993 FHLMC, 8.250%, 12/1/2007 37,762
------------------------
72,805 FHLMC, 8.250%, 5/1/2008 73,704
------------------------
48,081 FHLMC, 8.250%, 5/1/2009 49,313
------------------------
74,352 FHLMC, 8.250%, 8/1/2009 76,257
------------------------
24,892 FHLMC, 8.500%, 6/1/2002 25,390
------------------------
220,847 FHLMC, 8.500%, 7/1/2004 225,952
------------------------
17,025 FHLMC, 8.500%, 4/1/2006 17,724
------------------------
77,731 FHLMC, 8.500%, 9/1/2009 79,722
------------------------
</TABLE>
VISION U.S. GOVERNMENT SECURITIES FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT VALUE
---------- ------------------------ -----------
<C> <S> <C>
MORTGAGE BACKED SECURITIES--
CONTINUED
-----------------------------------
$ 15,646 FHLMC, 8.750%, 8/1/2008 $ 15,812
------------------------
13,479 FHLMC, 9.000%, 3/1/2002 13,725
------------------------
6,592 FHLMC, 9.000%, 9/1/2019 6,917
------------------------
81,267 FHLMC, 9.250%, 6/1/2002 83,155
------------------------
22,965 FHLMC, 10.500%, 3/1/2001 23,238
------------------------
493,688 FNMA, 6.000%, 5/1/2009 478,877
------------------------
40,964 FNMA, 6.000%, 1/1/2014 38,557
------------------------
85,162 FNMA, 6.500%, 4/1/2004 83,539
------------------------
2,303,964 FNMA, 6.590%, 11/1/2007 2,239,029
------------------------
17,619 FNMA, 6.750%, 12/1/2006 17,480
------------------------
68,574 FNMA, 7.500%, 11/1/2009 68,724
------------------------
65,361 FNMA, 8.000%, 4/1/2002 66,367
------------------------
165,970 FNMA, 8.000%, 1/1/2006 166,643
------------------------
248,437 FNMA, 8.000%, 6/1/2008 252,164
------------------------
158,353 FNMA, 8.000%, 1/1/2010 161,372
------------------------
94,080 FNMA, 8.250%, 7/1/2009 96,565
------------------------
63,246 FNMA, 8.500%, 10/1/2002 64,947
------------------------
46,326 FNMA, 8.500%, 3/1/2012 48,035
------------------------
57,699 FNMA, 8.750%, 5/1/2010 60,124
------------------------
19,564 FNMA, 9.000%, 12/1/2002 20,132
------------------------
60,802 FNMA, 9.000%, 10/1/2006 62,228
------------------------
72,949 FNMA, 9.750%, 9/1/2017 78,512
------------------------
70,275 GNMA, 6.500%, 9/15/2002 69,011
------------------------
18,924 GNMA, 7.250%, 2/15/2005 18,779
------------------------
55,486 GNMA, 7.250%, 3/15/2005 55,061
------------------------
35,098 GNMA, 7.250%, 3/15/2005 34,829
------------------------
12,959 GNMA, 7.250%, 7/15/2005 12,855
------------------------
7,999 GNMA, 7.250%, 10/15/2005 7,935
------------------------
</TABLE>
VISION U.S. GOVERNMENT SECURITIES FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT VALUE
---------- ---------------------------------------------------- -----------
<C> <S> <C>
MORTGAGE BACKED SECURITIES--CONTINUED
---------------------------------------------------------------
$ 29,187 GNMA, 7.250%, 11/15/2005 $ 28,954
----------------------------------------------------
47,514 GNMA, 7.500%, 12/15/2005 47,588
----------------------------------------------------
44,375 GNMA, 7.500%, 6/20/2007 44,972
----------------------------------------------------
34,167 GNMA, 8.000%, 6/15/2006 34,754
----------------------------------------------------
22,902 GNMA, 8.000%, 8/15/2006 23,224
----------------------------------------------------
45,370 GNMA, 8.000%, 9/15/2006 46,221
----------------------------------------------------
200,685 GNMA, 8.000%, 11/15/2006 204,448
----------------------------------------------------
629,421 GNMA, 8.000%, 9/15/2007 645,157
----------------------------------------------------
164,848 GNMA, 8.000%, 10/15/2007 170,308
----------------------------------------------------
91,437 GNMA, 8.000%, 12/15/2009 93,704
----------------------------------------------------
142,016 GNMA, 8.000%, 2/15/2010 146,425
----------------------------------------------------
115,588 GNMA, 8.000%, 12/15/2016 119,417
----------------------------------------------------
29,291 GNMA, 8.000%, 7/15/2024 29,950
----------------------------------------------------
84,144 GNMA, 8.250%, 6/15/2008 86,734
----------------------------------------------------
43,968 GNMA, 8.375%, 4/15/2010 45,461
----------------------------------------------------
469,643 GNMA, 8.500%, 9/15/2008 486,813
----------------------------------------------------
159,529 GNMA, 8.500%, 10/20/2009 165,212
----------------------------------------------------
31,178 GNMA, 8.750%, 2/15/2002 31,819
----------------------------------------------------
56,674 GNMA, 9.000%, 4/15/2001 57,528
----------------------------------------------------
10,049 GNMA, 9.000%, 4/15/2001 10,200
----------------------------------------------------
8,589 GNMA, 9.000%, 5/15/2001 8,718
----------------------------------------------------
405,789 GNMA, 9.000%, 4/20/2023 426,842
----------------------------------------------------
175,849 GNMA, 9.000%, 10/20/2024 184,972
---------------------------------------------------- -----------
TOTAL MORTGAGE BACKED SECURITIES (IDENTIFIED COST
$10,344,046) 10,289,384
---------------------------------------------------- -----------
MUNICIPALS--9.5%
---------------------------------------------------------------
225,000 Chicago, IL Public Building Commission, 7.000%,
1/1/2007 227,491
----------------------------------------------------
250,000 Connecticut Development Authority, 8.550%, 8/15/2008 265,223
----------------------------------------------------
265,000 Connecticut Municipal Electric Energy Cooperative,
5.700%, 1/1/2004 255,555
----------------------------------------------------
</TABLE>
VISION U.S. GOVERNMENT SECURITIES FUND
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT OR
SHARES VALUE
---------- ---------------------------------------------------- -----------
<C> <S> <C>
MUNICIPALS--CONTINUED
- ------------------------------------------------------------------------------
$ 55,000 Connecticut State HEFA, 7.070%, 11/1/2001 $ 55,267
----------------------------------------------------
100,000 Greater Orlando (FL) Aviation Authority, 8.250%,
10/1/2004 106,014
----------------------------------------------------
250,000 HUD 92A Detroit, 7.120%, 8/1/2001 253,885
----------------------------------------------------
270,000 HUD 94A Atlanta, 6.760%, 8/1/2006 268,377
----------------------------------------------------
360,000 HUD 94A Atlanta, 6.930%, 8/1/2009 357,685
----------------------------------------------------
200,000 Miami, FL, 8.650%, 7/1/2019 233,504
----------------------------------------------------
3,100,000 Minneapolis/St. Paul, MN Airport Commission, 8.950%, 1/1/2022
3,288,821
----------------------------------------------------
100,000 New York City, NY, 10.500%, 11/15/2012 109,594
----------------------------------------------------
80,000 New York City, NY, 9.900%, 2/1/2015 86,991
---------------------------------------------------- -----------
TOTAL MUNICIPALS (IDENTIFIED COST $5,773,245) 5,508,407
---------------------------------------------------- -----------
U.S. TREASURY BONDS--13.1%
- ------------------------------------------------------------------------------
2,000,000 6.125%, 11/15/2027 1,933,800
----------------------------------------------------
1,000,000 8.750%, 5/15/2020 1,253,140
----------------------------------------------------
3,500,000 8.750%, 8/15/2020 4,386,655
---------------------------------------------------- -----------
TOTAL U.S. TREASURY (IDENTIFIED COST $8,101,172) 7,573,595
---------------------------------------------------- -----------
MUTUAL FUND SHARES--0.2%
- ------------------------------------------------------------------------------
96,557 SSGA US Government Money Market Fund, 4.890% (AT NET
ASSET VALUE) 96,557
---------------------------------------------------- -----------
TOTAL INVESTMENTS (IDENTIFIED COST $59,040,563)(1) $57,079,877
---------------------------------------------------- -----------
</TABLE>
(1) The cost of investments for federal tax purposes amounts to $59,040,563.
The net unrealized depreciation of investments on a federal tax basis
amounts to $1,960,686 which is comprised of $162,851 appreciation and
$2,123,537 depreciation at October 31, 1999.
Note: The categories of investments are shown as a percentage of net assets
($57,989,063) at October 31, 1999.
The following acronyms are used throughout this portfolio:
HEFA--Health and Education Facilities Authority
REMIC--Real Estate Mortgage Investment Conduit
(See Notes which are an integral part of the Financial Statements)
VISION NEW YORK MUNICIPAL INCOME FUND
PORTFOLIO OF INVESTMENTS
OCTOBER 31, 1999 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL CREDIT
AMOUNT RATING* VALUE
---------- --------------------------------------------- ------- -----------
<C> <S> <C> <C>
LONG-TERM MUNICIPALS--98.6%
--------------------------------------------------------
NEW YORK--92.2%
---------------------------------------------
$ 45,000 34th Street Partnership, Inc., NY, 5.50%
(Original Issue Yield: 5.613%), 1/1/2023 NR/A1 $ 41,696
---------------------------------------------
200,000 Albany, NY, Housing Authority, Revenue Bond,
5.20% (KeyBank, N.A. LOC), 12/1/2013 NR/Aa3 187,446
---------------------------------------------
150,000 Albany, NY, Housing Authority, Revenue Bonds,
5.40% (KeyBank, N.A. LOC), 12/1/2018 NR/Aa3 138,085
---------------------------------------------
200,000 Albany, NY, Housing Authority, Revenue Bonds,
5.50% (KeyBank, N.A. LOC), 12/1/2028 NR/Aa3 179,748
---------------------------------------------
25,000 Alden Central School District, NY, GO UT, 6.25% (AMBAC
INS)/(Original Issue Yield:
6.40%), 6/15/2009 AAA/Aaa 27,293
---------------------------------------------
525,000 Allegany County, NY, IDA, Revenue Bonds,
6.625% (Atlantic Richfield Co.)/(Original
Issue Yield: 6.625%), 9/1/2016/(AMT) A/A2 547,144
---------------------------------------------
25,000 Amherst, NY, GO UT, 6.20% (FGIC
INS)/(Original Issue Yield: 6.00%), 4/1/2002 AAA/Aaa 26,032
---------------------------------------------
500,000 Appleridge Retirement Community, NY, Revenue
Bonds, 5.60% (GNMA Collateralized Home
Mortgage Program)/(GNMA Collateralized Home
Mortgage Program LOC), 9/1/2021 NR/Aaa 474,330
---------------------------------------------
10,000 Batavia, NY, GO UT Bonds, 6.55% (MBIA
INS)/(Original Issue Yield: 6.60%), 5/1/2005 AAA/Aaa 10,866
---------------------------------------------
25,000 Beacon, NY, City School District, GO UT,
5.10% (Original Issue Yield: 5.25%),
7/15/2006 AAA/Aaa 25,331
---------------------------------------------
100,000 Brighton, NY, Central School District, GO UT,
5.40% (Original Issue Yield: 5.55%), 6/1/2011 AAA/Aaa 100,301
---------------------------------------------
10,000 Brighton, NY, 8.00% (MBIA INS), 10/15/2002 AAA/Aaa 10,974
---------------------------------------------
50,000 Brockport, NY Central School District, GO UT,
5.40% (Original Issue Yield: 5.55%),
6/15/2011 AAA/Aaa 50,121
---------------------------------------------
</TABLE>
VISION NEW YORK MUNICIPAL INCOME FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL CREDIT
AMOUNT RATING* VALUE
---------- --------------------------------------------- ------- -----------
<C> <S> <C> <C>
LONG-TERM MUNICIPALS--CONTINUED
--------------------------------------------------------
NEW YORK--CONTINUED
---------------------------------------------
$ 50,000 Broome County, NY, Certificate of
Participation, 5.25% (MBIA INS)/(Original
Issue Yield: 5.578%), 4/1/2022 $ 45,265
---------------------------------------------
70,000 Buffalo & Fort Erie, NY, Public Bridge
Authority, 6.00% (MBIA INS)/(Original Issue
Yield: 5.05%), 1/1/2004 AAA/Aaa 73,501
---------------------------------------------
25,000 Byron Bergen, NY, Central School District, GO
UT School Improvement Bonds, 6.00%, 6/15/2003 NR/A3 26,185
---------------------------------------------
25,000 Camden, NY, Central School District, GO UT School Improvement Bonds,
7.10% (AMBAC INS
LOC), 6/15/2006 AAA/Aaa 28,065
---------------------------------------------
30,000 Canandaigua, NY, City School District, GO UT,
7.15% (United States Treasury PRF), 6/1/2000 AAA/Aaa 31,161
---------------------------------------------
10,000 Canandaigua, NY, GO UT, 8.80% (Original Issue
Yield: 9.30%), 3/1/2005 NR/A2 11,739
---------------------------------------------
30,000 Carmel, NY, 6.30%, 11/15/2011 NR/A1 32,634
---------------------------------------------
25,000 Chautauqua County, NY, 7.30% (FGIC INS),
4/1/2006 AAA/Aaa 28,245
---------------------------------------------
50,000 Chautauqua County, NY, GO UT, 6.40% (FGIC
INS)/(Original Issue Yield: 6.30%), 9/15/2004 AAA/Aaa 53,751
---------------------------------------------
100,000 Cheektowaga, NY, Central School District, GO UT, 5.875% (FGIC
INS)/(Original Issue Yield:
5.95%), 6/1/2014 NR/Aaa 101,543
---------------------------------------------
25,000 Cheektowaga, NY, GO UT, 5.65%, 8/15/2005 NR/A1 26,063
---------------------------------------------
50,000 Cheektowaga, NY, GO UT, 6.55%, 10/15/2008 NR/A1 55,142
---------------------------------------------
50,000 Cheektowaga-Maryvale, NY, Union Free School
District, GO UT, 6.625% (FGIC INS), 6/15/2008 AAA/Aaa 55,950
---------------------------------------------
50,000 Chemung County, NY, GO UT, 6.80% (AMBAC
INS)/(Original Issue Yield: 6.80%), 7/15/2006 AAA/Aaa 55,406
---------------------------------------------
50,000 Chemung County, NY, GO UT, 6.80% (AMBAC INS
LOC)/(Original Issue Yield: 6.85%), 7/15/2009 AAA/Aaa 56,038
---------------------------------------------
25,000 Chenango County, NY, 6.40%, 12/15/2008 NR/A2 27,280
---------------------------------------------
</TABLE>
VISION NEW YORK MUNICIPAL INCOME FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL CREDIT
AMOUNT RATING* VALUE
---------- --------------------------------------------- ------- -----------
<C> <S> <C> <C>
LONG-TERM MUNICIPALS--CONTINUED
--------------------------------------------------------
NEW YORK--CONTINUED
---------------------------------------------
$ 30,000 Cherry Valley Springfield, NY, Central School
District, School Improvement Bonds, 7.80%,
5/1/2011 AAA/Aaa $ 36,301
---------------------------------------------
100,000 Chittenango, NY, Central School District, GO
UT, 7.00% (MBIA INS), 6/15/2009 AAA/Aaa 113,856
---------------------------------------------
25,000 Churchville Chili, NY, Central School
District, GO UT, 5.50% (FGIC INS)/(Original
Issue Yield: 5.50%), 6/15/2009 AAA/Aaa 25,935
---------------------------------------------
25,000 Clarence, NY, Central School District, GO UT, 5.30% (FGIC
INS)/(Original Issue Yield:
4.90%), 6/1/2006 NR/Aaa 25,606
---------------------------------------------
25,000 Clinton, NY, Central School District, School
Improvements, GO UT, 7.30%, 6/15/2008 NR/Aaa 29,005
---------------------------------------------
25,000 Dutchess County, NY, GO UT, 8.50%, 7/15/2007 NR/Aa1 30,548
---------------------------------------------
25,000 East Aurora, NY, Union Free School District, GO UT, 5.20% (FGIC
INS)/(Original Issue
Yield: 4.80%), 6/15/2006 NR/Aaa 25,610
---------------------------------------------
25,000 East Bloomfield, NY, Central School District,
7.125% (MBIA INS), 6/15/2004 AAA/Aaa 27,561
---------------------------------------------
25,000 East Irondequoit, NY, Central School
District, GO UT, 6.90%, 12/1/2002 NR/A2 26,729
---------------------------------------------
25,000 East Rochester, NY, Union Free School
District, GO UT, 6.30% (AMBAC INS), 6/15/2003 AAA/Aaa 26,466
---------------------------------------------
50,000 Endwell, NY, GO UT Fire District Bonds, 7.00%
(Original Issue Yield: 7.35%), 3/1/2014 NR/A3 55,886
---------------------------------------------
50,000 Erie County, NY, Water Authority, Series A, 6.00% (AMBAC
INS)/(Original Issue Yield:
7.25%), 12/1/2008 AAA/Aaa 52,652
---------------------------------------------
25,000 Erie County, NY, GO UT General Improvement
Bonds, 9.60% (MBIA INS)/(Original Issue
Yield: 9.55%), 10/15/2000 AAA/Aaa 26,322
---------------------------------------------
50,000 Erie County, NY, GO UT, 10.00% (MBIA INS),
10/15/2002 AAA/Aaa 57,502
---------------------------------------------
1,030,000 Essex County, NY, IDA, Solid Waste Disposal
Revenue Bonds (Series A), 5.80%
(International Paper Co.), 12/1/2019/(AMT) BBB+/A3 948,074
---------------------------------------------
55,000 Evans & Brant, NY, Central School District, GO UT, 6.85% (MBIA
INS)/(Original Issue
Yield: 6.90%), 6/15/2009 AAA/Aaa 62,583
---------------------------------------------
</TABLE>
VISION NEW YORK MUNICIPAL INCOME FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL CREDIT
AMOUNT RATING* VALUE
---------- --------------------------------------------- ------- -----------
<C> <S> <C> <C>
LONG-TERM MUNICIPALS--CONTINUED
--------------------------------------------------------
NEW YORK--CONTINUED
---------------------------------------------
$ 25,000 Fairport, NY, Central School District, GO UT,
5.00% (MBIA INS), 6/15/2003 AAA/Aaa $ 25,450
---------------------------------------------
20,000 Frontier Central School District, NY, Hamburg
Township, GO UT, 9.50% (MBIA INS)/(Original
Issue Yield: 9.50%), 6/1/2002 AAA/Aaa 22,414
---------------------------------------------
70,000 General Brown Central School District, NY, Brownville & Dexter, GO
UT, 5.70% (MBIA
INS)/(Original Issue Yield: 5.80%), 6/15/2014 AAA/Aaa 70,682
---------------------------------------------
25,000 Genesee County, NY, GO UT, 5.30% (FGIC INS)/
(Original Issue Yield: 5.20%), 8/15/2009 NR/Aaa 25,464
---------------------------------------------
30,000 Genesee County, NY, GO UT, 8.60% (MBIA INS)/
(Original Issue Yield: 9.25%), 4/1/2003 AAA/Aaa 33,735
---------------------------------------------
25,000 Greece, NY, Central School District, GO UT, 6.00% (FGIC
INS)/(Original Issue Yield:
5.55%), 6/15/2004 AAA/Aaa 26,394
---------------------------------------------
25,000 Greece, NY, Central School District, GO UT,
7.00%, 6/15/2010 NR/A1 28,374
---------------------------------------------
30,000 Greece, NY, GO UT, 6.25% (AMBAC INS),
12/1/2007 AAA/Aaa 32,520
---------------------------------------------
50,000 Guilderland, NY, GO UT, 6.40% (FGIC
INS)/(Original Issue Yield: 6.65%), 9/15/2015 AAA/Aaa 54,654
---------------------------------------------
25,000 Hamburg Town, NY, GO UT, 6.30% (MBIA
INS)/(Original Issue Yield: 6.45%),
11/15/2010 AAA/Aaa 27,367
---------------------------------------------
50,000 Hanover Town, NY, GO UT, 9.80% (MBIA INS),
9/1/2004 AAA/Aaa 61,035
---------------------------------------------
30,000 Harrison, NY, Central School District, GO UT
Refunding Bonds, 6.70%, 10/1/2007 NR/A1 33,373
---------------------------------------------
25,000 Hilton Central School District, NY, GO UT,
6.85%, 6/15/2001 NR/A2 25,994
---------------------------------------------
125,000 Holiday Square Housing Development Corp., NY,
Section 8 Assisted Project, 5.80% (Holiday
Square Management Co.)/(Federal National
Mortgage Association COL)/(Original Issue
Yield: 5.943%), 1/15/2024 NR/Aaa 121,041
---------------------------------------------
20,000 Holland, NY, Central School District, GO UT, 6.00% (FGIC
INS)/(Original Issue Yield:
5.50%), 6/15/2003 AAA/Aaa 20,989
---------------------------------------------
</TABLE>
VISION NEW YORK MUNICIPAL INCOME FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL CREDIT
AMOUNT RATING* VALUE
---------- --------------------------------------------- ------- -----------
<C> <S> <C> <C>
LONG-TERM MUNICIPALS--CONTINUED
--------------------------------------------------------
NEW YORK--CONTINUED
---------------------------------------------
$ 100,000 Housing NY, Corp., Revenue Bonds, 5.00%
(Original Issue Yield: 5.65%), 11/1/2018 AA/A1 $ 88,029
---------------------------------------------
25,000 Housing NY, Corp., Revenue Refunding Bonds,
5.00% (Original Issue Yield: 5.60%),
11/1/2013* AA/A1 23,460
---------------------------------------------
15,000 Irondequoit, NY, 6.80% (Original Issue Yield:
7.20%), 3/1/2011 NR/A2 16,838
---------------------------------------------
50,000 Ithaca, NY, 6.80%, 5/15/2003 NR/Aa 53,712
---------------------------------------------
25,000 Ithaca, NY, GO UT, 6.40% (Original Issue
Yield: 6.80%), 4/1/2009 NR/Aa3 27,246
---------------------------------------------
50,000 Ithaca, NY, GO UT, 6.625% (Original Issue
Yield: 6.70%), 7/15/2005 NR/Aa 54,650
---------------------------------------------
1,180,000 Jamestown, NY, Housing Authority, Mortgage
Revenue Bonds, 6.125% (Bradmar Village
Project)/(HUD Section 8 LOC), 7/1/2010 A-/NR 1,191,198
---------------------------------------------
30,000 Jamesville-Dewitt, NY, Central School
District, School Improvements, 5.75% (AMBAC
INS LOC), 6/15/2009 AAA/Aaa 31,386
---------------------------------------------
20,000 Kenmore, NY, GO UT, 6.35% (MBIA INS),
10/15/2009 AAA/Aaa 22,089
---------------------------------------------
25,000 La Grange, NY, GO UT Public Improvement
Bonds, 7.70% (AMBAC INS)/(Original Issue
Yield: 7.75%), 4/15/2006 AAA/Aaa 28,712
---------------------------------------------
50,000 Lakewood, NY, GO UT Public Improvement Bonds,
5.50% (Original Issue Yield: 5.70%), 4/1/2012 NR/Baa1 49,444
---------------------------------------------
25,000 Lancaster Town, NY, GO UT Bonds, 5.30% (FSA
INS), 6/1/2005 AAA/Aaa 25,760
---------------------------------------------
25,000 Lansing, NY, GO UT, 6.90% (Original Issue
Yield: 7.10%), 3/15/2009 NR/A3 27,900
---------------------------------------------
25,000 Le Roy, NY, GO UT, Public Improvements, 7.50%
(AMBAC INS)/(Original Issue Yield: 7.70%),
8/15/2006 AAA/Aaa 28,599
---------------------------------------------
25,000 Lewiston Town, NY, GO UT Refunding Bonds, 5.50% (FSA INS)/(Original
Issue Yield:
5.55%), 5/1/2014 AAA/Aaa 25,149
---------------------------------------------
25,000 Liverpool Central School District, NY, 7.20%
(MBIA INS)/(Original Issue Yield: 7.30%),
10/1/2007 AAA/Aaa 28,450
---------------------------------------------
</TABLE>
VISION NEW YORK MUNICIPAL INCOME FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL CREDIT
AMOUNT RATING* VALUE
---------- ------------------------------------------- --------- -----------
<C> <S> <C> <C>
LONG-TERM MUNICIPALS--CONTINUED
------------------------------------------------------
NEW YORK--CONTINUED
-------------------------------------------
$ 25,000 Lockport Town, NY, GO UT, 5.45% (FGIC
INS)/(Original Issue Yield: 5.05%),
9/15/2006 NR/Aaa $ 25,993
-------------------------------------------
1,500,000 Metropolitan Transportation Authority, NY,
(Series A) Revenue Bond, 5.25% (FSA LOC),
4/1/2023 AAA/Aaa 1,353,285
-------------------------------------------
25,000 Monroe County, NY, IDA, Revenue Bonds,
5.80% (Nazareth College)/(MBIA
INS)/(Original Issue Yield: 5.799%),
6/1/2010 AAA/Aaa 25,685
-------------------------------------------
50,000 Monroe County, NY, GO UT (Series A), 8.50%
(Original Issue Yield: 8.75%), 5/1/2000 NR/Aa2 51,156
-------------------------------------------
610,000 Monroe County, NY, GO UT Public Improvement
Bonds, 6.00% (Original Issue Yield: 5.34%),
3/1/2016 AA/Aa2 630,221
-------------------------------------------
25,000 Monroe County, NY, GO UT Public Improvement Bonds, 6.05% (AMBAC
INS)/(United States Treasury PRF)/(Original Issue Yield:
6.049%), 6/1/2004 (@102) AAA/Aaa 26,873
-------------------------------------------
25,000 Monroe Woodbury, NY, Central School District, GO UT, 6.70% (FGIC
INS),
11/15/2010 AAA/Aaa 27,101
-------------------------------------------
50,000 New Paltz, NY, Central School District, GO
UT Bonds, 6.00% (AMBAC INS), 6/15/2008 AAA/Aaa 53,774
-------------------------------------------
50,000 New York City Housing Development Corp.,
Revenue Refunding Bonds, 5.85% (FHA INS),
5/1/2026 AA/Aa2 48,495
-------------------------------------------
100,000 New York City Housing Development Corp.,
Series A, 7.35% (FHA INS)/(Original Issue
Yield: 7.349%), 6/1/2019 AAA/NR 105,547
-------------------------------------------
1,850,000 New York City, NY, IDA, 5.85% (Nightingale-
Bamford School Project)/(Original Issue
Yield: 5.85%), 1/15/2020 A/A3 1,808,042
-------------------------------------------
2,160,000 New York City, NY, IDA, Revenue Bonds,
5.65% (United Air Lines)/(Original Issue
Yield: 5.682%), 10/1/2032 BB+/Baa3 1,927,778
-------------------------------------------
1,500,000 New York City, NY, IDA, Special Facilities
Revenue Bonds, 6.90% (American Airlines
Inc.), 8/1/2024/(AMT) BBB-/Baa1 1,564,170
-------------------------------------------
1,000,000 New York City, NY, Transitional Finance
Authority, Public Improvement Revenue
Bonds, 5.00% (Original Issue Yield: 5.17%),
5/1/2019 AA/Aa3 873,970
-------------------------------------------
</TABLE>
VISION NEW YORK MUNICIPAL INCOME FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL CREDIT
AMOUNT RATING* VALUE
---------- --------------------------------------------- ------- -----------
<C> <S> <C> <C>
LONG-TERM MUNICIPALS--CONTINUED
--------------------------------------------------------
NEW YORK--CONTINUED
---------------------------------------------
$1,000,000 New York City, NY, Transitional Finance
Authority, Public Improvements (Series C),
5.00% (Original Issue Yield: 5.23%), 5/1/2026 AA/Aa3 $ 854,600
---------------------------------------------
100,000 New York City, NY, Transitional Finance
Authority, Revenue Bonds (Series A), 5.00%
(Original Issue Yield: 5.13%), 8/15/2013 AA/Aa3 93,412
---------------------------------------------
50,000 New York State Dormitory Authority, (Series
A), 5.50% (Original Issue Yield: 5.90%),
5/15/2013 A/A3 49,225
---------------------------------------------
1,500,000 New York State Dormitory Authority, Health, Hospital, Nursing Home
Improvement Revenue Bonds, 5.00% (FSA LOC)/(Original Issue Yield:
5.05%), 1/15/2016 AAA/Aaa 1,345,020
---------------------------------------------
500,000 New York State Dormitory Authority, Health,
Hospital, Nursing Home Improvement Revenue
Bonds, 5.10% (AMBAC INS LOC), 2/1/2019 NR/Aaa 437,855
---------------------------------------------
1,125,000 New York State Dormitory Authority, Mental
Health Services Facilities Improvement
(Series B), 6.50%, 2/15/2009 A-/A3 1,215,675
---------------------------------------------
1,550,000 New York State Dormitory Authority, Refunding Revenue Bonds (Series
A), 5.00% (University of Rochester, NY)/(Original Issue Yield:
5.15%), 7/1/2018 AAA/Aaa 1,359,024
---------------------------------------------
20,000 New York State Dormitory Authority, Refunding
Revenue Bonds (Series B), 5.25% (Original
Issue Yield: 5.75%), 5/15/2019 A-/A3 18,233
---------------------------------------------
70,000 New York State Dormitory Authority, Refunding
Revenue Bonds, 5.75% (FGIC LOC)/(Original
Issue Yield: 6.00%), 7/1/2013 AAA/Aaa 71,357
---------------------------------------------
1,000,000 New York State Dormitory Authority, Revenue
Bonds, 5.00% (MBIA INS LOC)/(Original Issue
Yield: 5.24%), 2/15/2023 AAA/Aaa 861,290
---------------------------------------------
20,000 New York State Dormitory Authority, Revenue
Bonds, 5.00% (Rochester University-Strong
Memorial Hospital), 7/1/2005 AAA/NR 20,260
---------------------------------------------
900,000 New York State Dormitory Authority, Revenue
Bonds, 5.25%, 7/1/2015 A-/A3 828,954
---------------------------------------------
</TABLE>
VISION NEW YORK MUNICIPAL INCOME FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL CREDIT
AMOUNT RATING* VALUE
---------- ------------------------------------------- --------- -----------
<C> <S> <C> <C>
LONG-TERM MUNICIPALS--CONTINUED
------------------------------------------------------
NEW YORK--CONTINUED
-------------------------------------------
$ 750,000 New York State Dormitory Authority, Revenue
Bonds, 5.75% (New York University)/(MBIA
INS), 7/1/2014 AAA/Aaa $ 759,960
-------------------------------------------
195,000 New York State Dormitory Authority, Revenue
Bonds, 5.85% (Arden Hill)/(FHA INS),
8/1/2026 AAA/NR 189,212
-------------------------------------------
470,000 New York State Dormitory Authority, Revenue
Bonds, 5.85% (Wesley Health System)/(FHA
INS), 8/1/2026 AAA/NR 456,050
-------------------------------------------
100,000 New York State Dormitory Authority, Revenue
Bonds, 6.00% (Colgate University)/(MBIA
INS)/(Original Issue Yield: 5.25%),
7/1/2016 AAA/Aaa 103,246
-------------------------------------------
1,000,000 New York State Dormitory Authority, Revenue
Bonds, 6.05% (Lutheran Center at
Poughkeepsie)/(Key Bank of New York
LOC)/(Original Issue Yield: 6.08%),
7/1/2026 NR/Aa3 978,540
-------------------------------------------
2,000,000 New York State Dormitory Authority, Revenue
Bonds, 7.50%, 5/15/2013 A-/A3 2,337,520
-------------------------------------------
15,000 New York State Dormitory Authority, Revenue
Bonds, 7.85% (FHA INS)/(Original Issue
Yield: 7.849%), 2/1/2029 AAA/NR 15,331
-------------------------------------------
130,000 New York State Dormitory Authority, Revenue
Refunding Bonds, 7.15% (R & J Jewish
Geriatric Center)/(FHA INS), 8/1/2014 AAA/NR 142,622
-------------------------------------------
1,055,000 New York State Environmental Facilities
Corp., (Series C) PCR, 5.85%, 1/15/2015 AAA/Aaa 1,060,697
-------------------------------------------
1,970,000 New York State Environmental Facilities
Corp., 5.00%, 10/15/2015 AAA/Aaa 1,789,174
-------------------------------------------
100,000 New York State Environmental Facilities
Corp., PCR Bonds, 5.20%, 5/15/2014 AAA/Aaa 95,298
-------------------------------------------
1,000,000 New York State Environmental Facilities
Corp., Refunding Notes (Series F), 5.25%,
6/15/2014 AA-/Aa1 945,720
-------------------------------------------
25,000 New York State Environmental Facilities
Corp., Solid Waste Disposal Revenue Bonds
(Series A), 5.70% (Occidental Petroleum
Corp.)/(Original Issue Yield: 5.75%),
9/1/2028/(AMT) BBB+/Baa3 22,141
-------------------------------------------
25,000 New York State HFA, (Series A), 6.90%,
8/15/2007/(AMT) NR/Aa1 26,282
-------------------------------------------
</TABLE>
VISION NEW YORK MUNICIPAL INCOME FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL CREDIT
AMOUNT RATING* VALUE
---------- ------------------------------------------- --------- -----------
<C> <S> <C> <C>
LONG-TERM MUNICIPALS--CONTINUED
------------------------------------------------------
NEW YORK--CONTINUED
-------------------------------------------
$ 100,000 New York State HFA, Revenue Refunding
Bonds, 7.90% (United States Treasury COL),
11/1/2006 AAA/#Aaa $ 112,879
-------------------------------------------
320,000 New York State HFA, Revenue Refunding
Bonds, 8.00% (Original Issue Yield:
8.079%), 11/1/2008 A-/Baa1 334,022
-------------------------------------------
1,000,000 New York State HFA, Service Contract
Obligation Revenue Bonds (Series A), 6.25%
(Original Issue Yield: 6.35%), 9/15/2010 BBB+/Baa1 1,045,400
-------------------------------------------
35,000 New York State Medical Care Facilities
Finance Agency, (Series C), 7.00%,
8/15/2003 A-/A3 37,017
-------------------------------------------
115,000 New York State Medical Care Facilities
Finance Agency, (Series G) Revenue Bond,
5.55% (Original Issue Yield: 5.60%),
2/15/2001 A-/A3 115,101
-------------------------------------------
30,000 New York State Medical Care Facilities
Finance Agency, Hospital & Nursing Home
Revenue Bonds (Series B), 6.00% (Buffalo
General Hospital)/(FHA INS)/(Original Issue
Yield: 6.218%), 8/15/2014 AAA/NR 30,288
-------------------------------------------
25,000 New York State Medical Care Facilities Finance Agency, Refunding
Revenue Bonds, 5.75% (FHA LOC)/(Original Issue Yield:
5.85%), 2/15/2008 AAA/NR 25,640
-------------------------------------------
80,000 New York State Mortgage Agency, Revenue
Bonds, 7.45% (FHA INS), 10/1/2010 NR/Aa2 81,678
-------------------------------------------
20,000 New York State Mortgage Agency, Revenue
Refunding Bonds, 6.875% (FGIC INS),
4/1/2014 NR/Aaa 20,028
-------------------------------------------
2,000,000 New York State Thruway Authority, 5.00%
(FGIC LOC), 4/1/2018 1,765,520
-------------------------------------------
25,000 Newburgh, NY, GO UT, 6.40%, 4/15/2008 NR/A1 27,201
-------------------------------------------
235,000 Niagara County, NY, GO UT Bonds (Series A),
5.25% (MBIA INS), 8/15/2012 AAA/NR 226,810
-------------------------------------------
175,000 Niagara County, NY, GO UT, 7.10% (MBIA
INS), 2/15/2010 AAA/Aaa 200,251
-------------------------------------------
25,000 Niagara Falls, NY, Bridge Commission, Series B, 5.25% (FGIC
INS)/(Original Issue
Yield: 5.35%), 10/1/2015 AAA/Aaa 23,769
-------------------------------------------
</TABLE>
VISION NEW YORK MUNICIPAL INCOME FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL CREDIT
AMOUNT RATING* VALUE
---------- --------------------------------------------- ------- -----------
<C> <S> <C> <C>
LONG-TERM MUNICIPALS--CONTINUED
--------------------------------------------------------
NEW YORK--CONTINUED
---------------------------------------------
$ 20,000 Niagara Frontier Transportation Authority,
Revenue Bonds, 6.00% (Greater Buffalo
International Airport)/(AMBAC INS)/(Original
Issue Yield: 6.15%), 4/1/2007 AAA/Aaa $ 20,869
---------------------------------------------
25,000 Niagara Wheatfield, NY, Central School
District, School Improvements, 7.30%
(Original Issue Yield: 7.35%), 5/15/2007 NR/A2 28,273
---------------------------------------------
50,000 North Tonawanda, NY, GO UT Bonds, 6.05% (FGIC
INS), 10/1/2006 AAA/Aaa 53,597
---------------------------------------------
25,000 Nyack, NY, Unified Free School District, GO
UT, 5.20% (AMBAC INS), 6/15/2004 AAA/Aaa 25,654
---------------------------------------------
400,000 Oneida, NY, Health Care Corp. , Revenue Bonds
(Series A), 7.20% (FHA INS), 8/1/2031 A/NR 417,876
---------------------------------------------
85,000 Onondaga County, NY, IDA, Revenue Bonds,
6.625% (Anheuser-Busch Cos., Inc.)/(Original
Issue Yield: 6.70%), 8/1/2006 A+/A1 197,667
---------------------------------------------
85,000 Onondaga County, NY, IDA, University and
College Improvements Revenue Bonds, 5.00%,
3/1/2009 NR/Baa2 79,648
---------------------------------------------
50,000 Ontario County, NY, GO UT, 5.50% (Original
Issue Yield: 5.65%), 5/15/2011 NR/Aa3 50,941
---------------------------------------------
1,580,000 Orange County, NY, GO UT, 5.10% (Original
Issue Yield: 5.29%), 7/15/2019 NR/Aa2 1,413,910
---------------------------------------------
25,000 Orchard Park, NY, Central School District, GO UT, 6.50% (FGIC
INS)/(Original Issue Yield:
6.25%), 6/1/2002 26,257
---------------------------------------------
25,000 Ossining Village, NY, 8.10% (FGIC INS),
7/15/2001 AAA/Aaa 26,587
---------------------------------------------
40,000 Otsego County, NY, GO UT, 6.625% (AMBAC INS),
12/1/2005 AAA/Aaa 44,001
---------------------------------------------
50,000 Penfield, NY, Central School District, GO UT,
5.20% (Original Issue Yield: 5.40%),
6/15/2010 AAA/Aaa 50,178
---------------------------------------------
25,000 Perry Central School District, NY, GO UT,
5.10% (MBIA INS), 6/15/2001 AAA/Aaa 25,353
---------------------------------------------
</TABLE>
VISION NEW YORK MUNICIPAL INCOME FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL CREDIT
AMOUNT RATING* VALUE
---------- --------------------------------------------- ------- -----------
<C> <S> <C> <C>
LONG-TERM MUNICIPALS--CONTINUED
--------------------------------------------------------
NEW YORK--CONTINUED
---------------------------------------------
$ 25,000 Pine Bush, NY, Central School District, GO UT
, 5.875%, 4/1/2006 NR/A $ 26,202
---------------------------------------------
100,000 Port Authority of New York and New Jersey,
Revenue Refunding Bonds, 7.125% (Original
Issue Yield: 7.283%), 6/1/2025 AA-/A1 102,597
---------------------------------------------
25,000 Putnam County, NY, 7.10%, 8/15/2002 NR/Aa2 26,784
---------------------------------------------
175,000 Riverton Housing Corp., NY, Revenue Bonds,
6.65% (FHA INS), 8/1/2024 AA-/NR 184,193
---------------------------------------------
15,000 Rochester, NY, GO UT, 6.00% (Original Issue
Yield: 6.40%), 8/1/2001 AA/A1 15,447
---------------------------------------------
50,000 Rockland County, NY, GO UT, 7.00% (MBIA
INS)/(Original Issue Yield: 7.10%), 4/1/2008 AAA/Aaa 56,711
---------------------------------------------
20,000 Saugerties, NY, GO UT, 5.375% (FSA
INS)/(Original Issue Yield: 5.70%), 6/15/2015 NR/Aaa 19,739
---------------------------------------------
155,000 Schenectady, NY, IDA, (Series A), 5.45% (Union College)/(AMBAC
INS)/(Original Issue
Yield: 5.467%), 12/1/2029 NR/Aaa 142,597
---------------------------------------------
40,000 Silver Creek, NY, Central School District, GO UT, 6.60% (AMBAC
INS)/(Original Issue Yield:
6.60%), 5/15/2005 AAA/Aaa 43,579
---------------------------------------------
10,000 Spackenkill, NY, Unified Free School
District, GO UT, 6.125%, 9/15/2014 NR/A1 10,566
---------------------------------------------
25,000 Spencerport, NY, Central School District, GO UT, 6.00% (MBIA
INS)/(Original Issue Yield:
6.05%), 6/15/2006 AAA/Aaa 26,662
---------------------------------------------
10,000 Springville, NY, GO UT Refunding Bonds,
7.90%, 8/1/2003 NR/Baa1 11,041
---------------------------------------------
70,000 Sweet Home Central School District NY, GO UT, 5.60% (AMBAC
INS)/(Original Issue Yield:
5.70%), 1/15/2008 AAA/Aaa 73,058
---------------------------------------------
1,395,000 Syracuse, NY, Senior Citizens Housing Corp.,
Series A, 6.125% (East Hill Village
Apartments), 11/1/2010 A-/NR 1,422,370
---------------------------------------------
1,000,000 Tompkins County, NY, IDA, Revenue Bonds, 6.05% (Ithacare Center
Project)/(FHA INS),
2/1/2017 AAA/NR 1,001,640
---------------------------------------------
</TABLE>
VISION NEW YORK MUNICIPAL INCOME FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL CREDIT
AMOUNT RATING* VALUE
---------- --------------------------------------------- ------- -----------
<C> <S> <C> <C>
LONG-TERM MUNICIPALS--CONTINUED
--------------------------------------------------------
NEW YORK--CONTINUED
---------------------------------------------
$ 65,000 Tompkins County, NY, GO UT (Series B), 5.625%
(Original Issue Yield: 5.80%), 9/15/2013 NR/Aa2 $ 65,254
---------------------------------------------
290,000 Tompkins County, NY, Health Care Corp.,
10.80% (FHA INS), 2/1/2028 A/NR 352,939
---------------------------------------------
190,000 Tonawanda Town, NY, Refunding Revenue Bonds,
5.25% (HUD Section 8 LOC), 12/1/2010 NR/A3 184,399
---------------------------------------------
305,000 Tonawanda Town, NY, Refunding Revenue Bonds,
5.25% (HUD Section 8 LOC), 6/1/2010 NR/A3 296,308
---------------------------------------------
400,000 Triborough Bridge & Tunnel Authority, NY,
(Series Y) Refunding Bond, 5.50% (Original
Issue Yield: 6.16%), 1/1/2017 A+/Aa3 388,932
---------------------------------------------
2,000,000 Triborough Bridge & Tunnel Authority, NY, (Series Y) Refunding
Revenue Bond, 6.125% (CapMAC Holdings, Inc.)/(CapMAC Holdings, Inc.
LOC)/(Original Issue Yield: 6.20%),
1/1/2021 AAA/Aaa 2,072,260
---------------------------------------------
200,000 Triborough Bridge & Tunnel Authority, NY,
Refunding Revenue Bonds, 6.75% (Original
Issue Yield: 6.821%), 1/1/2009 A+/Aa3 221,292
---------------------------------------------
60,000 Triborough Bridge & Tunnel Authority, NY,
Revenue Refunding Bonds, 6.625%, 1/1/2012 A+/Aa3 66,151
---------------------------------------------
150,000 Triborough Bridge & Tunnel Authority, NY, Special Obligation Revenue
Bonds (Series A), 6.625% (MBIA INS)/(Original Issue Yield:
6.86%), 1/1/2017 AAA/Aaa 155,727
---------------------------------------------
50,000 Union Endicott, NY, Central School District, GO UT (Series A), 5.50%
(FSA INS)/(Original
Issue Yield: 5.55%), 7/15/2010 AAA/Aaa 51,021
---------------------------------------------
170,000 Utica, NY, Industrial Development Agency
Civic Facility, (Series A) Revenue Bond,
5.50% (Munson Williams Proctor), 7/15/2029 NR/Aa3 155,309
---------------------------------------------
320,000 Utica, NY, Industrial Development Agency Civic Facility, (Series A),
5.375% (Munson Williams Proctor)/(Original Issue Yield:
5.45%), 7/15/2019 NR/Aa3 293,398
---------------------------------------------
</TABLE>
VISION NEW YORK MUNICIPAL INCOME FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL CREDIT
AMOUNT RATING* VALUE
---------- --------------------------------------------- ------- -----------
<C> <S> <C> <C>
LONG-TERM MUNICIPALS--CONTINUED
--------------------------------------------------------
NEW YORK--CONTINUED
---------------------------------------------
$ 50,000 Victor, NY, Central School District, GO UT, 6.40% (FGIC
INS)/(Original Issue Yield:
6.55%), 11/15/2006 AAA/Aaa $ 54,686
---------------------------------------------
50,000 Victor, NY, 7.20% (Original Issue Yield:
7.20%), 12/15/2005 NR/A2 55,632
---------------------------------------------
35,000 Wallkill, NY, Central School District, GO UT,
5.75%, 7/15/2014 NR/A3 35,836
---------------------------------------------
15,000 Warwick Valley, NY, Central School District, GO UT, 6.55% (FGIC
INS)/(Original Issue
Yield: 6.70%), 6/1/2008 AAA/Aaa 16,667
---------------------------------------------
30,000 Webster, NY, Central School District, GO UT, 6.25% (AMBAC
INS)/(Original Issue Yield:
6.20%), 6/15/2003 AAA/Aaa 31,712
---------------------------------------------
50,000 West Seneca, NY, Central School District, GO UT, 5.625% (FGIC
INS)/(Original Issue Yield:
5.70%), 6/15/2011 AAA/Aaa 51,179
---------------------------------------------
25,000 West Seneca, NY, GO UT, 6.65% (MBIA
INS)/(Original Issue Yield: 6.80%), 6/1/2005 AAA/Aaa 27,313
---------------------------------------------
20,000 Westchester County, NY, DTC, GO UT, 6.60%,
5/1/2005 AAA/Aaa 21,840
---------------------------------------------
30,000 Westchester County, NY, GO UT , 6.60%
(Original Issue Yield: 6.90%), 5/1/2010 AAA/Aaa 33,498
---------------------------------------------
25,000 Westchester County, NY, GO UT , 6.70%
(Original Issue Yield: 6.75%), 11/1/2007 AAA/Aaa 27,977
---------------------------------------------
65,000 Williamsville, NY, Central School District, GO UT, 6.50% (MBIA
INS)/(Original Issue
Yield: 6.80%), 12/1/2010 AAA/Aaa 71,847
--------------------------------------------- -----------
Total 45,429,645
--------------------------------------------- -----------
GUAM--5.8%
---------------------------------------------
3,000,000 Guam Housing Corp., State Single Family
Housing Revenue Bonds, 5.75%, 9/1/2031/(AMT) AAA/NR 2,837,340
--------------------------------------------- -----------
PUERTO RICO--0.6%
---------------------------------------------
100,000 Puerto Rico Highway and Transportation
Authority, Revenue Refunding Bonds, 6.25%
(FSA LOC), 7/1/2016 AAA/Aaa 106,471
---------------------------------------------
165,000 Puerto Rico Industrial, Medical &
Environmental PCA, Industrial Improvement
Revenue Bonds, 6.50% (Abbott Laboratories),
7/1/2009 NR/Aa1 169,983
---------------------------------------------
</TABLE>
VISION NEW YORK MUNICIPAL INCOME FUND
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL CREDIT
AMOUNT RATING* VALUE
---------- ---------------------------------------- ------- -----------
<C> <S> <C> <C>
LONG-TERM MUNICIPALS--CONTINUED
---------------------------------------------------
PUERTO RICO--CONTINUED
----------------------------------------
$ 25,000 Puerto Rico Industrial, Medical &
Environmental PCA, Revenue Bonds, 5.10%
(American Home Products Corp.)/(Original
Issue Yield: 5.30%), 12/1/2018 NR/A2 $ 21,883
---------------------------------------- -----------
Total 298,337
---------------------------------------- -----------
TOTAL INVESTMENTS (IDENTIFIED COST
$51,288,833)(1) $48,565,322
---------------------------------------- -----------
</TABLE>
* Please refer to the Appendix of the Statement of Additional Information for
an explanation of the credit ratings. Current credit ratings are unaudited.
At October 31, 1999, 12.2% of the total investments at market value were
subject to alternative minimum tax.
(1) The cost of investments for federal tax purposes amounts to $51,288,833. The
net unrealized depreciation of investments on a federal tax basis amounts to
$2,723,511 which is comprised of $143,971 appreciation and $2,867,482
depreciation at October 31, 1999.
Note: The categories of investments are shown as a percentage of net assets
($49,269,254) at October 31, 1999.
The following acronyms are used throughout this portfolio:
AMBAC--American Municipal Bond Assurance Corporation AMT--Alternative Minimum
Tax CAPMAC--Capital Municipal Assurance Corporation COL--Collateralized
DTC--Depository Trust Company FGIC--Financial Guaranty Insurance Company
FHA--Federal Housing Administration FSA--Financial Security Assurance
GNMA--Government National Mortgage Association GO--General Obligation
HFA--Housing Finance Authority IDA--Industrial Development Authority
INS--Insured LOC--Letter of Credit MBIA--Municipal Bond Investors Assurance
PCA--Pollution Control Authority PCR--Pollution Control Revenue PRF--Prerefunded
UT--Unlimited Tax
(See Notes which are an integral part of the Financial Statements)
VISION LARGE CAP VALUE FUND
PORTFOLIO OF INVESTMENTS
OCTOBER 31, 1999 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
------ ---------------------------------- -----------
<C> <S> <C>
COMMON STOCKS--98.1%
- --------------------------------------------------------
AEROSPACE/DEFENSE--2.7%
----------------------------------
18,900 Allied-Signal, Inc. $ 1,076,119
---------------------------------- -----------
APPLIANCES--2.5%
----------------------------------
13,800 Whirlpool Corp. 961,688
---------------------------------- -----------
AUTOS--5.3%
----------------------------------
17,700 Ford Motor Co. 971,287
----------------------------------
15,600 General Motors Corp. 1,095,900
---------------------------------- -----------
Total 2,067,187
---------------------------------- -----------
AUTO PARTS & EQUIPMENT-2.9%
----------------------------------
10,961 Delphi Auto Systems Corp. 180,171
----------------------------------
22,000 TRW, Inc. 943,250
---------------------------------- -----------
Total 1,123,421
---------------------------------- -----------
CAPITAL EQUIPMENT & SERVICES--2.8%
----------------------------------
29,700 Deere & Co. 1,076,625
---------------------------------- -----------
CHEMICALS--3.1%
----------------------------------
14,000 Air Products & Chemicals, Inc. 385,000
----------------------------------
7,000 Dow Chemical Co. 827,750
---------------------------------- -----------
Total 1,212,750
---------------------------------- -----------
DIVERSIFIED--2.6%
----------------------------------
7,600 General Electric Co. 1,030,275
---------------------------------- -----------
ELECTRONIC EQUIPMENT--2.3%
----------------------------------
20,000 Pitney Bowes, Inc. 911,250
---------------------------------- -----------
FINANCIAL SERVICES--15.4%
----------------------------------
15,300 Bank of America Corp. 984,937
----------------------------------
16,800 Comerica, Inc. 998,550
----------------------------------
15,400 Fannie Mae 1,089,550
----------------------------------
23,700 Fleet Boston Corp. 1,033,913
----------------------------------
</TABLE>
VISION LARGE CAP VALUE FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
------ ---------------------------------- -----------
<C> <S> <C>
COMMON STOCKS--CONTINUED
- --------------------------------------------------------
FINANCIAL SERVICES--CONTINUED
----------------------------------
6,900 J.P. Morgan & Co., Inc. $ 903,037
----------------------------------
21,400 Wells Fargo Co. 1,024,525
---------------------------------- -----------
Total 6,034,512
---------------------------------- -----------
FOOD & BEVERAGE--5.1%
----------------------------------
39,000 Sara Lee Corp. 1,055,438
----------------------------------
45,200 Super Valu Stores, Inc. 949,200
---------------------------------- -----------
Total 2,004,638
---------------------------------- -----------
INSURANCE--13.1%
----------------------------------
10,537 American International Group, Inc. 1,084,652
----------------------------------
16,502 Chubb Corp. 905,547
----------------------------------
33,000 Conseco, Inc. 802,312
----------------------------------
17,050 Jefferson-Pilot Corp. 1,279,816
----------------------------------
24,200 Reliastar Financial Corp. 1,039,087
---------------------------------- -----------
Total 5,111,414
---------------------------------- -----------
MANUFACTURING--9.8%
----------------------------------
13,800 Cooper Industries, Inc. 594,263
----------------------------------
20,700 Cummins Engine Co., Inc. 1,049,231
----------------------------------
17,700 Premark International, Inc. 969,075
----------------------------------
26,660 Sonoco Products Co. 639,840
----------------------------------
19,500 V.F. Corp. 586,219
---------------------------------- -----------
Total 3,838,628
---------------------------------- -----------
METAL FABRICATORS-5.2%
----------------------------------
18,200 Reynolds Metals Co. 1,099,963
----------------------------------
36,100 USX-U.S. Steel Group, Inc. 922,806
---------------------------------- -----------
Total 2,022,769
---------------------------------- -----------
OIL--11.6%
----------------------------------
16,700 Ashland, Inc. 551,100
----------------------------------
12,400 Atlantic Richfield Co. 1,155,525
----------------------------------
</TABLE>
VISION LARGE CAP VALUE FUND
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
------ -------------------------------------------------- -----------
<C> <S> <C>
COMMON STOCKS--CONTINUED
- ------------------------------------------------------------------------
OIL--CONTINUED
--------------------------------------------------
9,900 Chevron Corp. $ 903,994
--------------------------------------------------
10,400 Mobil Corp. 1,003,600
--------------------------------------------------
31,100 USX Marathon Group 905,788
-------------------------------------------------- -----------
Total 4,520,007
-------------------------------------------------- -----------
PHARMACEUTICALS--2.8%
--------------------------------------------------
14,000 Merck & Co., Inc. 1,113,875
-------------------------------------------------- -----------
TELECOMMUNICATIONS--4.4%
--------------------------------------------------
11,900 GTE Corp. 892,500
--------------------------------------------------
38,900 Ryder Systems, Inc. 831,488
-------------------------------------------------- -----------
Total 1,723,988
-------------------------------------------------- -----------
UTILITIES--6.5%
--------------------------------------------------
20,900 Carolina Power & Light Co. 721,050
--------------------------------------------------
34,100 FirstEnergy Corp. 888,731
--------------------------------------------------
34,800 Reliant Energy, Inc. 948,300
-------------------------------------------------- -----------
Total 2,558,081
-------------------------------------------------- -----------
TOTAL COMMON 38,387,227
-------------------------------------------------- -----------
TOTAL INVESTMENTS (IDENTIFIED COST $35,711,880)(1) $38,387,227
-------------------------------------------------- -----------
</TABLE>
(1) The cost of investments for federal tax purposes amounts to $35,711,880.
The net unrealized appreciation of investments on a federal tax basis
amounts to $2,675,347 which is comprised of $4,782,053 appreciation and
$2,106,706 depreciation at October 31, 1999.
Note: The categories of investments are shown as a percentage of net assets
($39,132,865) at October 31, 1999.
(See Notes which are an integral part of the Financial Statements)
VISION MID CAP STOCK FUND
PORTFOLIO OF INVESTMENTS
OCTOBER 31, 1999 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
------ ------------------------------------------ -----------
<C> <S> <C>
COMMON STOCKS--100.0%
<CAPTION>
--------------------------------------------------
<C> <S> <C>
AEROSPACE & DEFENSE-0.7%
------------------------------------------
7,000 General Dynamics Corp. $ 388,063
------------------------------------------
4,100 Northrop Grumman, Corp. 224,987
------------------------------------------ -----------
Total 613,050
------------------------------------------ -----------
AIR FREIGHT--0.5%
------------------------------------------
13,400 CNF Transportation, Inc. 443,037
------------------------------------------ -----------
AUTO PARTS & EQUIPMENT--3.2%
------------------------------------------
44,075 Borg-Warner Automotive, Inc. 1,740,962
------------------------------------------
13,100 Harley Davidson, Inc. 776,994
------------------------------------------
11,700 (1)Lear Corp. 394,875
------------------------------------------ -----------
Total 2,912,831
------------------------------------------ -----------
CHEMICALS--1.5%
------------------------------------------
52,200 Hercules, Inc. 1,256,063
------------------------------------------
9,000 Solutia, Inc. 154,688
------------------------------------------ -----------
Total 1,410,751
------------------------------------------ -----------
COMMUNICATIONS EQUIPMENT--2.7%
------------------------------------------
4,100 (1)ADC Telecommunications, Inc. 195,519
------------------------------------------
7,700 (1)Maxim Integrated Products, Inc. 607,819
------------------------------------------
16,800 (1)Newbridge Networks Corp. 331,800
------------------------------------------
15,500 (1)Univision Communications, Inc., Class A 1,318,469
------------------------------------------ -----------
Total 2,453,607
------------------------------------------ -----------
COMPUTERS--HARDWARE--0.3%
------------------------------------------
17,100 (1)Quantum Corp.--DLT & Storage Systems 263,981
------------------------------------------ -----------
COMPUTERS/SOFTWARE--8.2%
------------------------------------------
3,000 Adobe System, Inc. 209,812
------------------------------------------
30,600 (1)Cadence Design Systems, Inc. 464,737
------------------------------------------
12,400 (1)Citrix Systems, Inc. 795,150
------------------------------------------
</TABLE>
VISION MID CAP STOCK FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
------ ----------------------------------------- -----------
<C> <S> <C>
COMMON STOCKS--CONTINUED
<CAPTION>
-------------------------------------------------
<C> <S> <C>
COMPUTERS/SOFTWARE--CONTINUED
-----------------------------------------
6,800 Diebold, Inc. $ 178,500
-----------------------------------------
37,600 (1)Intuit, Inc. 1,095,100
-----------------------------------------
8,600 (1)Legato Systems, Inc. 462,250
-----------------------------------------
20,200 (1)Mentor Graphics Corp. 162,863
-----------------------------------------
10,200 (1)NCR Corp. 337,875
-----------------------------------------
9,900 (1)Novell, Inc. 198,619
-----------------------------------------
12,100 (1)Policy Management System Corp. 232,169
-----------------------------------------
9,700 (1)Siebel Systems, Inc. 1,065,181
-----------------------------------------
16,200 (1)SunGuard Data Systems, Inc. 395,888
-----------------------------------------
17,900 (1)Veritas Software Corp. 1,930,963
----------------------------------------- -----------
Total 7,529,107
----------------------------------------- -----------
ELECTRICAL EQUIPMENT--2.8%
-----------------------------------------
47,300 (1)SCI Systems, Inc. 2,335,438
-----------------------------------------
9,100 (1)Vishay Intertechnology, Inc. 222,381
----------------------------------------- -----------
Total 2,557,819
----------------------------------------- -----------
ELECTRONICS--COMPONENT DISTRIBUTION--0.5%
-----------------------------------------
10,800 (1)Arrow Electronics, Inc. 235,575
-----------------------------------------
3,700 Avnet, Inc. 200,956
----------------------------------------- -----------
Total 436,531
----------------------------------------- -----------
ELECTRONICS--SEMICONDUCTORS--5.7%
-----------------------------------------
18,000 (1)Altera Corp. 875,250
-----------------------------------------
39,850 (1)LSI Logic Corp. 2,119,522
-----------------------------------------
28,700 (1)National Semiconductor Corp. 859,206
-----------------------------------------
13,600 (1)Vitesse Semiconductor Corp. 623,900
-----------------------------------------
9,100 (1)Xilinx, Inc. 715,488
----------------------------------------- -----------
Total 5,193,366
----------------------------------------- -----------
FINANCIAL--DIVERSIFIED--8.1%
-----------------------------------------
63,000 Charter One Financial, Inc. 1,547,437
-----------------------------------------
</TABLE>
VISION MID CAP STOCK FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
------- -------------------------------------------- -----------
<C> <S> <C>
COMMON STOCKS--CONTINUED
----------------------------------------------------
FINANCIAL--DIVERSIFIED--CONTINUED
--------------------------------------------
21,000 (1)Concord EFS, Inc. $ 568,312
--------------------------------------------
20,100 (1)E*Trade Group, Inc. 478,631
--------------------------------------------
9,600 First Tennessee National Corp. 326,400
--------------------------------------------
3,700 Golden West Financial Corp. 413,475
--------------------------------------------
33,350 Hartford Financial Services Group, Inc. 1,727,947
--------------------------------------------
15,200 Marshall & Iisley Corp. 1,020,300
--------------------------------------------
25,400 Old Kent Financial Corp. 1,035,050
--------------------------------------------
8,800 Pinnacle West Capital Corp. 324,500
-------------------------------------------- -----------
Total 7,442,052
-------------------------------------------- -----------
HARDWARE & TOOLS--0.5%
--------------------------------------------
10,600 Black & Decker Corp. 455,800
-------------------------------------------- -----------
HEALTH CARE--DRUGS--2.7%
--------------------------------------------
16,100 (1)Biogen, Inc. 1,193,412
--------------------------------------------
13,200 (1)Forest Labratories, Inc., Class A 605,550
--------------------------------------------
6,000 (1)Medimmune, Inc. 672,000
-------------------------------------------- -----------
Total 2,470,962
-------------------------------------------- -----------
HEALTH CARE--DRUGS/PHARMACEUTICALS--0.2%
--------------------------------------------
8,400 ICN Pharmaceuticals, Inc. 193,200
-------------------------------------------- -----------
HEALTH CARE--LONG TERM CARE--1.3%
--------------------------------------------
203,104 (1)HEALTHSOUTH, Corp. 1,167,848
-------------------------------------------- -----------
HEALTH CARE--MEDICAL PRODUCTS/SUPPLIES--2.1%
--------------------------------------------
3,100 Bausch & Lomb, Inc. 167,400
--------------------------------------------
11,400 (1)Genzyme Corp. 436,050
--------------------------------------------
11,400 Guidant Corp. 562,875
--------------------------------------------
10,800 (1)IDEXX Laboratories, Inc. 163,350
--------------------------------------------
9,800 Stryker Corp. 605,150
-------------------------------------------- -----------
Total 1,934,825
-------------------------------------------- -----------
</TABLE>
VISION MID CAP STOCK FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
------- ---------------------------------------- -----------
<C> <S> <C>
COMMON STOCKS--CONTINUED
------------------------------------------------
HEALTH CARE--SPECIAL SERVICES--0.8%
----------------------------------------
8,700 (1)Lincare Holdings, Inc. $ 244,688
----------------------------------------
7,200 (1)VISX, Inc. 450,450
---------------------------------------- -----------
Total 695,138
---------------------------------------- -----------
HOMEBUILDING--2.9%
----------------------------------------
12,000 Ryland Group, Inc. 247,500
----------------------------------------
239,600 (1)Sunterra Corp. 2,396,000
---------------------------------------- -----------
Total 2,643,500
---------------------------------------- -----------
HOUSEHOLD FURNISHINGS & APPLIANCES--1.3%
----------------------------------------
17,300 Leggett and Platt, Inc. 383,844
----------------------------------------
9,700 Maytag Corp. 388,606
----------------------------------------
7,600 Premark International, Inc. 416,100
---------------------------------------- -----------
Total 1,188,550
---------------------------------------- -----------
INSURANCE--LIFE/HEALTH--2.0%
----------------------------------------
7,000 AXA Financial, Inc. 224,437
----------------------------------------
50,000 UNUMProvident Corp. 1,646,875
---------------------------------------- -----------
Total 1,871,312
---------------------------------------- -----------
INSURANCE--PROPERTY--CASUALTY--0.7%
----------------------------------------
19,000 Travelers Group, Inc., Class A 684,000
---------------------------------------- -----------
LEISURE TIME--PRODUCTS--0.1%
----------------------------------------
7,900 Callaway Golf Co. 106,156
---------------------------------------- -----------
MACHINERY--DIVERSIFIED--1.8%
----------------------------------------
98,600 Milacron, Inc. 1,620,738
---------------------------------------- -----------
MANUFACTURING--CLOTHING--0.2%
----------------------------------------
5,500 (1)Jones Apparel Group, Inc. 173,938
---------------------------------------- -----------
MANUFACTURING--DIVERSIFIED--4.6%
----------------------------------------
7,200 Cintas Corp. 433,800
----------------------------------------
8,500 Corning, Inc. 668,312
----------------------------------------
</TABLE>
VISION MID CAP STOCK FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
------ ------------------------------------------ -----------
<C> <S> <C>
COMMON STOCKS--CONTINUED
-------------------------------------------------
MANUFACTURING--DIVERSIFIED--CONTINUED
------------------------------------------
24,200 Dial Corp. $ 565,675
------------------------------------------
14,900 Hormel Foods Corp. 642,563
------------------------------------------
6,500 (1)Sanmina Corp. 585,406
------------------------------------------
14,400 UST, Inc. 398,700
------------------------------------------
27,400 Universal Foods Corp. 524,025
------------------------------------------
7,600 (1)Waters Corp. 403,750
------------------------------------------ -----------
Total 4,222,231
------------------------------------------ -----------
MANUFACTURING-SEMICONDUCTOR EQUIPMENT-1.4%
------------------------------------------
32,600 (1)Teradyne, Inc. 1,255,100
------------------------------------------ -----------
METAL FABRICATORS--2.0%
------------------------------------------
64,800 Kennametal, Inc. 1,863,000
------------------------------------------ -----------
NATURAL GAS--DISTRIBUTION--PIPE LINE--3.2%
------------------------------------------
17,000 Ameren Corp. 642,812
------------------------------------------
26,500 Consolidated Natural Gas Co. 1,696,000
------------------------------------------
14,300 El Paso Energy Corp. 586,300
------------------------------------------ -----------
Total 2,925,112
------------------------------------------ -----------
OIL & GAS--DRILLING & EQUIPMENT--1.9%
------------------------------------------
6,000 Anadarko Petroleum Corp. 184,875
------------------------------------------
53,950 Baker Hughes, Inc. 1,507,228
------------------------------------------ -----------
Total 1,692,103
------------------------------------------ -----------
OIL & GAS--REFINING & MARKETING--3.4%
------------------------------------------
47,400 Unocal Corp. 1,635,300
------------------------------------------
50,000 USX CORP 1,456,250
------------------------------------------ -----------
Total 3,091,550
------------------------------------------ -----------
PAPER & FOREST PRODUCTS--4.8%
------------------------------------------
53,600 Georgia-Pacific Corp. 2,127,250
------------------------------------------
48,600 Mead Corp. 1,749,600
------------------------------------------
</TABLE>
VISION MID CAP STOCK FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
------- --------------------------------------- -----------
<C> <S> <C>
COMMON STOCKS--CONTINUED
-----------------------------------------------
PAPER & FOREST PRODUCTS--CONTINUED
---------------------------------------
23,500 (1)Smurfit-Stone Container Corp. $ 508,188
--------------------------------------- -----------
Total 4,385,038
--------------------------------------- -----------
PUBLISHING--NEWSPAPERS--0.9%
---------------------------------------
6,100 Tribune Co. 366,000
---------------------------------------
800 Washington Post Co., Class B 425,650
--------------------------------------- -----------
Total 791,650
--------------------------------------- -----------
RETAIL--BUILDING SUPPLIES--0.5%
---------------------------------------
8,600 Lowe's Cos., Inc. 473,000
--------------------------------------- -----------
RETAIL--CLOTHING--0.3%
---------------------------------------
11,000 (1)Tommy Hilfiger Corp. 310,750
--------------------------------------- -----------
RETAIL--COMPUTERS & ELECTRONICS--2.7%
---------------------------------------
39,250 Tandy Corp. 2,470,297
--------------------------------------- -----------
RETAIL--DISCOUNTERS--1.5%
---------------------------------------
26,200 Family Dollar Stores, Inc. 540,375
---------------------------------------
9,800 Ross Stores, Inc. 202,125
---------------------------------------
22,400 TJX Cos., Inc. 607,600
--------------------------------------- -----------
Total 1,350,100
--------------------------------------- -----------
RETAIL--GENERAL MERCHANDISE CHAIN--1.9%
---------------------------------------
174,900 (1)K Mart Corp. 1,759,931
--------------------------------------- -----------
RETAIL--RESTAURANTS--1.2%
---------------------------------------
16,800 (1)Brinker International, Inc. 391,650
---------------------------------------
18,300 (1)Outback Steakhouse, Inc. 420,900
---------------------------------------
13,200 Wendy's International, Inc. 315,150
--------------------------------------- -----------
Total 1,127,700
--------------------------------------- -----------
RETAIL--TOBACCO--0.5%
---------------------------------------
21,000 Universal Corp. 493,500
--------------------------------------- -----------
SERVICES--ADVERTISING/MARKETING--0.9%
---------------------------------------
9,000 Interpublic Group Cos., Inc. 365,625
---------------------------------------
</TABLE>
VISION MID CAP STOCK FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
------ ------------------------------------------ -----------
<C> <S> <C>
COMMON STOCKS--CONTINUED
<CAPTION>
--------------------------------------------------
<C> <S> <C>
SERVICES--ADVERTISING/MARKETING--CONTINUED
------------------------------------------
3,500 Omnicom Group, Inc. $ 308,000
------------------------------------------
1,600 WPP Group PLC, ADR 175,800
------------------------------------------ -----------
Total 849,425
------------------------------------------ -----------
SERVICES--COMMERCIAL & CONSUMER--2.6%
------------------------------------------
43,400 (1)Convergys Corp. 849,012
------------------------------------------
12,400 Equifax, Inc. 334,800
------------------------------------------
38,900 Reynolds & Reynolds Co., Class A 707,494
------------------------------------------
10,000 (1)Sterling Commerce, Inc. 234,375
------------------------------------------
10,300 Viad Corp. 252,994
------------------------------------------ -----------
Total 2,378,675
------------------------------------------ -----------
STEEL--2.2%
------------------------------------------
4,300 Ryerson Tull, Inc. 88,150
------------------------------------------
75,600 USX-U.S. Steel Group, Inc. 1,932,525
------------------------------------------ -----------
Total 2,020,675
------------------------------------------ -----------
TECHNOLOGY--0.9%
------------------------------------------
11,600 Linear Technology Corp. 811,275
------------------------------------------ -----------
TELECOMMUNICATIONS EQUIPMENT--3.8%
------------------------------------------
7,800 (1)Comverse Technology, Inc. 885,300
------------------------------------------
8,000 (1)JDS Uniphase Corp. 1,335,000
------------------------------------------
12,600 (1)Jabil Circuit, Inc. 658,350
------------------------------------------
3,700 Dominion Resources, Inc. 178,062
------------------------------------------
3,700 Telephone and Data System, Inc. 426,425
------------------------------------------ -----------
Total 3,483,137
------------------------------------------ -----------
TRUCKS & PARTS--0.4%
------------------------------------------
9,200 Meritor Automotive, Inc. 155,825
------------------------------------------
5,100 TRW, Inc. 218,663
------------------------------------------ -----------
Total 374,488
------------------------------------------ -----------
</TABLE>
VISION MID CAP STOCK FUND
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES VALUE
------ -------------------------------------------------- -----------
<C> <S> <C>
COMMON STOCKS--CONTINUED
<CAPTION>
----------------------------------------------------------
<C> <S> <C>
UTILITIES--7.6%
--------------------------------------------------
8,600 (1)AES Corp. $ 485,362
--------------------------------------------------
17,600 Cinergy Corp. 497,200
--------------------------------------------------
30,700 DPL, Inc. 621,675
--------------------------------------------------
7,900 DQE, Inc. 315,506
--------------------------------------------------
29,600 Edison International 876,900
--------------------------------------------------
7,200 Hawaiian Electric Industries, Inc. 243,000
--------------------------------------------------
16,000 LG&E Energy Corp. 352,000
--------------------------------------------------
22,500 Montana Power Co. 639,844
--------------------------------------------------
16,700 NiSource, Inc. 342,350
--------------------------------------------------
28,700 OGE Energy Corp. 651,131
--------------------------------------------------
9,000 Peco Energy Co. 343,688
--------------------------------------------------
13,500 Reliant Energy, Inc. 367,875
--------------------------------------------------
15,700 Unicom Corp. 601,506
--------------------------------------------------
26,300 Wisconsin Energy Corp. 588,463
-------------------------------------------------- -----------
Total 6,926,500
-------------------------------------------------- -----------
TOTAL COMMON STOCKS (IDENTIFIED COST $86,315,960) 91,517,336
-------------------------------------------------- -----------
MUTUAL FUND SHARES--0.1%
<CAPTION>
----------------------------------------------------------
<C> <S> <C>
97,224 Seven Seas Money Market Fund (AT NET ASSET VALUE) 97,224
-------------------------------------------------- -----------
TOTAL INVESTMENTS (IDENTIFIED COST $86,413,184)(2) $91,614,560
-------------------------------------------------- -----------
</TABLE>
(1) Non-income producing security.
(2) The cost of investments for federal tax purposes amounts to $86,413,184.
The net unrealized appreciation/depreciation of investments on a federal
tax basis amounts to $5,201,376 which is comprised of $11,674,363
appreciation and $6,472,987 depreciation at October 31, 1999.
Note: The categories of investments are shown as a percentage of net assets
($91,549,673) at October 31, 1999.
The following acronym is used throughout this portfolio:
ADR--American Depositary Receipt
See Notes which are an integral part of the Financial Statement
VISION EQUITY AND INCOME FUNDS
STATEMENTS OF ASSETS AND LIABILITIES
OCTOBER 31, 1999 (UNAUDITED)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
U.S.
GOVERNMENT NEW YORK
SECURITIES MUNICIPAL LARGE-CAP MID-CAP
FUND INCOME FUND VALUE FUND STOCK FUND
----------- ----------- ----------- -----------
<S> <C> <C> <C> <C>
ASSETS:
- ------------------------
Investments in securi-
ties, at value $57,079,877 $48,565,322 $38,387,227 $91,614,560
- ------------------------ ----------- ----------- ----------- -----------
Cash -- 91,980 -- --
- ------------------------
Income receivable 1,235,638 809,288 54,435 60,067
- ------------------------
Receivable for shares
sold -- 28,837 1,519 --
- ------------------------
Receivable for invest-
ments sold -- -- 4,133,908 --
- ------------------------
Deferred organizational
costs -- -- 150 7,119
- ------------------------
Other assets 10,622 8,869 2,474 33,049
- ------------------------ ----------- ----------- ----------- -----------
Total assets 58,326,137 49,504,296 42,579,713 91,714,795
- ------------------------ ----------- ----------- ----------- -----------
LIABILITIES:
- ------------------------
Income distribution pay-
able 303,885 196,160 -- 145
- ------------------------
Payable for investments
purchased -- -- 2,919,163 --
- ------------------------
Payable to Bank 33,189 -- 444,821 6,600
- ------------------------
Payable for shares re-
deemed -- 38,882 82,864 158,377
- ------------------------ ----------- ----------- ----------- -----------
Total liabilities 337,074 235,042 3,446,848 165,122
- ------------------------ ----------- ----------- ----------- -----------
NET ASSETS $57,989,063 $49,269,254 $39,132,865 $91,549,673
- ------------------------ ----------- ----------- ----------- -----------
NET ASSETS CONSISTS OF:
- ------------------------
Paid in capital $60,695,997 $51,974,496 $36,105,114 $91,029,673
- ------------------------
Net unrealized apprecia-
tion (depreciation) of
investments (1,960,686) (2,723,511) 2,675,347 5,201,376(1)
- ------------------------
Accumulated net realized
gain (loss) on invest-
ments (639,766) 21,889 329,026 (4,656,694)
- ------------------------
Accumulated undistrib-
uted net investment in-
come/
(Distributions in excess
of net investment in-
come) (106,482) (3,620) 23,378 (24,682)
- ------------------------ ----------- ----------- ----------- -----------
TOTAL NET ASSETS $57,989,063 $49,269,254 $39,132,865 $91,549,673
- ------------------------ ----------- ----------- ----------- -----------
NET ASSET VALUE, OFFER-
ING PRICE AND REDEMPTION
PROCEEDS PER SHARE:
Net Asset Value and Re-
demption Proceeds Per
Share $ 9.16 $ 9.69 $ 11.52 $ 12.20
- ------------------------ ----------- ----------- ----------- -----------
Offering Price Per
Share* $ 9.59** $ 10.15** $ 12.19*** $ 12.91***
- ------------------------ ----------- ----------- ----------- -----------
SHARES OUTSTANDING: 6,331,787 5,086,645 3,397,994 7,506,100
- ------------------------ ----------- ----------- ----------- -----------
Investments, at identi-
fied cost $59,040,563 $51,288,833 $35,711,880 $86,413,184
- ------------------------ ----------- ----------- ----------- -----------
Investments, at tax cost $59,040,563 $51,288,833 $35,711,880 $86,413,184
- ------------------------ ----------- ----------- ----------- -----------
</TABLE>
(1) Includes $219,604 and $3,240,292 of unrealized depreciation at October 15,
1999, related to the tax-free transfer of assets from the acquisition of
Vision Capital Appreciation Fund and Vision Growth and Income Fund,
respectively.
* See "What Shares Cost" in the Prospectus.
** Computation of offering price per share 100/95.5 of net asset value.
*** Computation of offering price per share 100/94.5 of net asset value.
(See Notes which are an integral part of the Financial Statements).
VISION EQUITY AND INCOME FUNDS
STATEMENTS OF OPERATIONS
OCTOBER 31, 1999 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
U.S.
GOVERNMENT NEW YORK LARGE CAP MID CAP
SECURITIES MUNICIPAL VALUE STOCK
FUND INCOME FUND FUND FUND
- ------------------------ ----------- ----------- ----------- ---------
<S> <C> <C> <C> <C>
INVESTMENT INCOME:
- ------------------------
Dividends $ -- $ -- $ 512,362 $ 598,516(a)
- ------------------------
Interest 2,099,650 1,367,396 34,301 32,794
- ------------------------ ----------- ----------- ----------- ---------
TOTAL INVESTMENT INCOME 2,099,650 1,367,396 546,663 631,310
- ------------------------
EXPENSES:
- ------------------------
Investment advisory fee 207,622 180,878 152,096 287,357
- ------------------------
Administrative personnel
and services fee 37,952 33,065 27,811 51,696
- ------------------------
Custodian fees 5,771 1,837 3,869 6,387
- ------------------------
Transfer and dividend
disbursing agent fees
and expenses 3,111 9,514 3,244 54,597
- ------------------------
Directors' fees 645 436 436 1,914
- ------------------------
Auditing fees 5,852 6,437 4,716 7,282
- ------------------------
Legal fees 2,084 2,739 2,360 3,001
- ------------------------
Portfolio accounting
fees 2,996 12,548 686 795
- ------------------------
Shareholder services
fees -- -- -- 100,959
- ------------------------
Share registration costs 5,991 5,585 4,178 10,475
- ------------------------
Printing and postage 6,580 7,329 5,574 7,368
- ------------------------
Taxes 2,211 1,938 1,617 3,196
- ------------------------
Insurance premiums 513 491 650 826
- ------------------------
Miscellaneous 3,246 4,137 2,138 4,237
- ------------------------ ----------- ----------- ----------- ---------
TOTAL EXPENSES 284,574 266,934 209,375 540,090
- ------------------------ ----------- ----------- ----------- ---------
WAIVERS--
- ------------------------
Waiver of investment ad-
visory fee (14,830) (51,679) -- --
- ------------------------ ----------- ----------- ----------- ---------
TOTAL WAIVERS (14,830) (51,679) -- --
- ------------------------ ----------- ----------- ----------- ---------
NET EXPENSES 269,744 215,255 209,375 540,090
- ------------------------ ----------- ----------- ----------- ---------
NET INVESTMENT INCOME $ 1,829,906 $ 1,152,141 $ 337,288 $ 91,220
- ------------------------ ----------- ----------- ----------- ---------
REALIZED AND UNREALIZED
GAIN (LOSS) ON INVEST-
MENTS:
- ------------------------
Net realized gain (loss)
on investments (548,097) (232,212) 88,228 (139,088)
- ------------------------
Net change in unrealized
appreciation
(depreciation)
of investments (1,675,741) (4,020,531) (2,821,741) 495,349
- ------------------------ ----------- ----------- ----------- ---------
Net realized and
unrealized gain (loss)
on investments (2,223,838) (4,252,743) (2,733,513) 356,261
- ------------------------ ----------- ----------- ----------- ---------
Change in net assets
resulting from opera-
tions $ (393,932) $(3,100,602) $(2,396,225) $ 447,481
- ------------------------ ----------- ----------- ----------- ---------
</TABLE>
(a) Net of foreign taxes withheld $3,359.
(See Notes which are an integral part of the Financial Statements)
VISION EQUITY AND INCOME FUNDS
STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
U.S. GOVERNMENT NEW YORK MUNICIPAL
SECURITIES FUND INCOME FUND
<S> <C> <C> <C> <C> <C>
-------------------------- ------------------------
<CAPTION>
SIX MONTHS SIX MONTHS
ENDED ENDED
(UNAUDITED) YEAR ENDED (UNAUDITED) YEAR ENDED
OCTOBER 31, APRIL 30, OCTOBER 31, APRIL 30,
1999 1999 1999 1999
<S> <C> <C> <C> <C> <C>
- ------------------------------- ------------ ------------ ----------- -----------
<CAPTION>
<S> <C> <C> <C> <C> <C>
INCREASE (DECREASE) IN NET
ASSETS:
- -------------------------------
OPERATIONS--
- -------------------------------
Net investment income $ 1,829,906 $ 3,646,599 $ 1,152,141 $ 2,105,202
- -------------------------------
Net realized gain (loss) in
investments (548,097) 736,927 (232,212) 592,035
- -------------------------------
Net change in unrealized
appreciation (depreciation)
of investments (1,675,741) (1,381,493) (4,020,531) 182,293
- ------------------------------- ------------ ------------ ----------- ----------- ---
Change in net assets
resulting from operations (393,932) 3,002,033 (3,100,602) 2,879,530
- ------------------------------- ------------ ------------ ----------- ----------- ---
DISTRIBUTIONS TO SHAREHOLDERS--
- -------------------------------
Distributions from net
investment income (1,843,305) (3,646,599) (1,156,070) (2,105,013)
- -------------------------------
Distributions in excess of net
investment income -- (40,791) -- --
- -------------------------------
Distributions from net
realized gains -- (143,679) -- (418,108)
- ------------------------------- ------------ ------------ ----------- ----------- ---
Change in net assets
resulting from
distributions to shareholders (1,843,305) (3,831,069) (1,156,070) (2,523,121)
- ------------------------------- ------------ ------------ ----------- ----------- ---
SHARE TRANSACTIONS--
- -------------------------------
Proceeds from sales of shares 10,465,181 29,820,625 5,063,939 14,820,904
- -------------------------------
Net asset value of shares
issued to shareholders
in payment of distributions
declared 738,950 2,004,351 589,710 1,729,957
- -------------------------------
Cost of shares redeemed (15,077,789) (20,817,810) (4,987,439) (7,503,231)
- ------------------------------- ------------ ------------ ----------- ----------- ---
Change in net assets
resulting from share
transactions (3,873,658) 11,007,166 666,210 9,047,630
- ------------------------------- ------------ ------------ ----------- ----------- ---
Change in net assets (6,110,895) 10,178,130 (3,590,462) 9,404,039
- -------------------------------
NET ASSETS:
- -------------------------------
Beginning of period 64,099,958 53,921,828 52,859,716 43,455,677
- ------------------------------- ------------ ------------ ----------- -----------
End of period $ 57,989,063 $ 64,099,958 $49,269,254 $52,859,716
- ------------------------------- ------------ ------------ ----------- -----------
Undistributed (distributions
in excess of) net investment
income included in net assets
at end of period $ (106,482) $ -- $ (3,620) $ 309
- ------------------------------- ------------ ------------ ----------- -----------
Net gain as computed for
federal tax purposes $ -- $ 643,715 $ -- $ 592,034
- ------------------------------- ------------ ------------ ----------- -----------
</TABLE>
(See Notes which are an integral part of the Financial Statements)
VISION EQUITY AND INCOME FUNDS
STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
LARGE CAP VALUE MID CAP STOCK
FUND FUND
<S> <C> <C> <C> <C> <C>
-------------------------- --------------------------
<CAPTION>
SIX MONTHS SIX MONTHS
ENDED ENDED
(UNAUDITED) YEAR ENDED (UNAUDITED) YEAR ENDED
OCTOBER 31, APRIL 30, OCTOBER 31, APRIL 30,
1999 1999 1999 1999
<S> <C> <C> <C> <C> <C>
- ------------------------------- ------------ ------------ ------------ ------------
<CAPTION>
<S> <C> <C> <C> <C> <C>
INCREASE (DECREASE) IN NET
ASSETS:
- -------------------------------
OPERATIONS--
- -------------------------------
Net investment income $ 337,288 $ 693,984 $ 91,220 $ 341,228
- -------------------------------
Net realized gain (loss) in
investments 88,228 240,798 (139,088) (2,004,995)
- -------------------------------
Net change in unrealized
appreciation (depreciation)
of investments (2,821,741) 2,976,378 495,349 (17,284,916
- ------------------------------- ------------ ------------ ------------ ------------ ---
Change in net assets
resulting from operations (2,396,225) 3,911,160 447,481 (18,948,683)
- ------------------------------- ------------ ------------ ------------ ------------ ---
DISTRIBUTIONS TO SHAREHOLDERS--
- -------------------------------
Distributions from net
investment income (335,145) (701,886) (117,558) (595,621)
- -------------------------------
Distributions from net
realized gains -- (35,324) (2,448,966) (7,857,216)
- ------------------------------- ------------ ------------ ------------ ------------ ---
Change in net assets
resulting from
distributions to shareholders (335,145) (737,210) (2,566,524) (8,452,837)
- ------------------------------- ------------ ------------ ------------ ------------ ---
SHARE TRANSACTIONS--
- -------------------------------
Proceeds from sales of shares 6,276,858 43,258,619 4,289,242 16,281,454
- -------------------------------
Shares issued in connection
with the acquisition of Vision
Capital Appreciation Fund -- -- 21,925,137 --
- -------------------------------
Shares issued in connection
with the acquisition of Vision
Growth & Income Fund -- -- 65,433,417 --
- -------------------------------
Net asset value of shares
issued to shareholders
in payment of distributions
declared 174,016 359,543 2,261,510 7,555,836
- -------------------------------
Cost of shares redeemed (10,168,396) (38,613,280) (82,443,929) (57,636,498)
- ------------------------------- ------------ ------------ ------------ ------------ ---
Change in net assets
resulting from share
transactions (3,717,522) 5,004,882 11,465,377 (33,799,208)
- ------------------------------- ------------ ------------ ------------ ------------ ---
Change in net assets (6,448,892) 8,178,832 9,346,334 (61,200,728)
- -------------------------------
NET ASSETS:
- -------------------------------
Beginning of period 45,581,757 37,402,925 82,203,339 143,404,067
- ------------------------------- ------------ ------------ ------------ ------------
End of period $ 39,132,865 $ 45,581,757 $ 91,549,673 $ 82,203,339
- ------------------------------- ------------ ------------ ------------ ------------
Undistributed (distributions
in excess of) net investment
income included in net assets
at end of period $ 23,378 $ 21,126 $ (24,682) $ 1,656
- ------------------------------- ------------ ------------ ------------ ------------
Net gain (loss) as computed
for federal tax purposes $ 88,228 $ 240,798 $ 139,088 $ (966,072)
- ------------------------------- ------------ ------------ ------------ ------------
</TABLE>
(See Notes which are an integral part of the Financial Statements)
VISION EQUITY AND INCOME FUNDS
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
(FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD)
<TABLE>
<CAPTION>
NET REALIZED DISTRIBUTIONS
NET ASSET AND DISTRIBUTIONS IN EXCESS OF DISTRIBUTIONS
YEAR VALUE, NET UNREALIZED TOTAL FROM FROM NET NET FROM NET
ENDED BEGINNING INVESTMENT GAIN (LOSS) ON INVESTMENT INVESTMENT INVESTMENT REALIZED TOTAL
APRIL 30, OF PERIOD INCOME INVESTMENTS OPERATIONS INCOME INCOME GAINS DISTRIBUTIONS
- -----------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
U.S. GOVERNMENT SECURITIES
FUND
1995 $ 9.25 0.56 (0.16) 0.40 (0.56) -- -- (0.56)
1996 $ 9.09 0.52 0.22 0.74 (0.52) -- -- (0.52)
1997 $ 9.31 0.58 (0.03) 0.55 (0.58) -- -- (0.58)
1998 $ 9.28 0.60 0.34 0.94 (0.60) (0.01)(c) -- (0.61)
1999 $ 9.61 0.58 (0.08) 0.50 (0.57) (0.01)(c) (0.02) (0.60)
1999(d) $ 9.51 0.29 (0.35) (0.06) (0.29) -- -- (0.29)
NEW YORK MUNICIPAL INCOME FUND
1995 $ 9.61 0.46 0.06 0.52 (0.46) -- -- (0.46)
1996 $ 9.67 0.46 0.23 0.69 (0.46) -- -- (0.46)
1997 $ 9.90 0.48 0.18 0.66 (0.48) -- -- (0.48)
1998 $10.08 0.46 0.38 0.84 (0.46) -- (0.04) (0.50)
1999 $10.42 0.46 0.19 0.65 (0.46) -- (0.09) (0.55)
1999(d) $10.52 0.23 (0.83) (0.60) (0.23) -- -- (0.23)
LARGE CAP VALUE FUND
1998(e) $ 9.99 0.08 1.47 1.55 (0.07) -- -- (0.07)
1999 $11.47 0.19 0.78 0.97 (0.19) -- (0.01) (0.20)
1999(d) $12.24 0.09 (0.72) (0.63) (0.09) -- -- (0.09)
MID CAP STOCK FUND
1995 $ 9.93 0.21 0.43 0.64 (0.22) -- -- (0.22)
1996 $10.35 0.13 2.98 3.11 (0.11) -- -- (0.11)
1997 $13.35 0.13 2.35 2.48 (0.13) -- (0.59) (0.72)
1998 $15.11 0.11 4.34 4.45 (0.09) -- (3.34) (3.43)
1999 $16.13 0.05 (1.67) (1.62) (0.07) -- (0.99) (1.06)
1999(d) $13.45 0.02 (0.81) (0.78) (0.02) -- (0.44) (0.46)
- -----------------------------------------------------------------------------------------------------------------
</TABLE>
(a) Based on net asset value, which does not reflect the sales charge or
contingent deferred sales charge, if applicable.
(b) Computed on an annualized basis.
(c) Distributions are determined in accordance with income tax regulations which
may differ from generally accepted accounting principles. These
distributions do not represent a return of capital for federal tax purposes.
(d) For the six-months ended October 31, 1999 (unaudited).
(e) Reflects operations for the period from September 26, 1997 (date of initial
public investment) to April 30, 1998.
(f) During the period, certain fees were voluntarily waived. If such voluntary
waivers had not occurred, the ratios would have been as indicated.
(See Notes which are an integral part of the Financial Statements)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
RATIOS TO AVERAGE NET ASSETS
--------------------------------------------------------
NET NET ASSETS
NET ASSET NET INVESTMENT END
VALUE, END TOTAL INVESTMENT EXPENSES INCOME OF PERIOD PORTFOLIO
OF PERIOD RETURN(A) EXPENSES(F) INCOME(F) (AFTER WAIVERS) (AFTER WAIVERS) (000 OMITTED) TURNOVER
- ------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
$ 9.09 4.59% 1.44% 5.19% 0.43% 6.20% $ 29,573 78%
$ 9.31 8.10% 1.33% 5.24% 1.16% 5.41% $ 34,492 132%
$ 9.28 6.05% 1.31% 6.03% 1.11% 6.23% $ 44,485 121%
$ 9.61 10.42% 1.12% 6.21% 1.03% 6.30% $ 53,922 70%
$ 9.51 5.31% 0.97% 5.90% 0.92% 5.95% $ 64,100 68%
$ 9.16 (0.63%) 0.96%(b) 6.12%(b) 0.91%(b) 6.17%(b) $ 57,989 24%
$ 9.67 5.58% 1.52% 3.68% 0.40% 4.80% $ 27,346 51%
$ 9.90 7.18% 1.38% 4.26% 1.04% 4.60% $ 32,621 113%
$10.08 6.76% 1.39% 4.36% 1.01% 4.74% $ 35,480 79%
$10.42 8.37% 1.27% 4.04% 0.96% 4.35% $ 43,456 45%
$10.52 6.37% 1.02% 4.18% 0.82% 4.38% $ 52,860 44%
$ 9.69 (5.78%) 1.03%(b) 4.26%(b) 0.83%(b) 4.46%(b) $ 49,269 26%
$11.47 15.51% 1.60%(b) 0.89%(b) 1.08%(b) 1.41%(b) $ 37,403 11%
$12.24 8.59% 1.02% 1.67% 1.02% 1.67% $ 45,582 55%
$11.52 (5.15%) 0.96%(b) 1.55%(b) 0.96%(b) 1.55%(b) $ 39,133 16%
$10.35 6.61% 1.43% 1.20% 0.47% 2.16% $ 39,358 79%
$13.35 30.18% 1.16% 1.09% 1.16% 1.09% $ 65,119 77%
$15.11 18.61% 1.14% 0.87% 1.14% 0.87% $114,090 134%
$16.13 31.40% 1.21% 0.65% 1.21% 0.65% $143,404 88%
$13.45 (9.26%) 1.20% 0.32% 1.20% 0.32% $ 82,203 145%
$12.20 (5.70%) 1.34%(b) 0.23%(b) 1.34%(b) 0.23%(b) $ 91,550 85%
- ------------------------------------------------------------------------------------------------------
</TABLE>
VISION EQUITY AND INCOME FUNDS
COMBINED NOTES TO FINANCIAL STATEMENTS
OCTOBER 31, 1999 (UNAUDITED)
- -------------------------------------------------------------------------------
(1) ORGANIZATION
Vision Group of Funds, Inc. (the "Corporation") is registered under the In-
vestment Company Act of 1940, as amended (the "Act"), as an open-end manage-
ment investment company. The Corporation consists of seven portfolios (indi-
vidually referred to as the "Fund", or collectively as the "Funds"). The
following Funds are presented herein:
<TABLE>
<CAPTION>
PORTFOLIO NAME INVESTMENT OBJECTIVE
- -------------------------------------------------------------------------------------
<C> <S>
Vision U.S. Government Securities Fund Current income by investing primarily in
("U.S. Government Securities Fund") (d) securities that are guaranteed for
payment of principal and interest by the
U.S. Government, its agencies or
instrumentalities. Capital appreciation
is a secondary investment consideration.
- -------------------------------------------------------------------------------------
Vision New York Municipal Income Fund Current income which is exempt from
("New York Municipal Income Fund") (n) federal regular income tax, and the
personal income taxes imposed by the
State of New York and New York
Municipalities and is consistent
with preservation of capital.
- -------------------------------------------------------------------------------------
Vision Large Cap Value Fund ("Large Cap Current income by investing in a
diversified Value Fund") (formerly Vision Equity portfolio consisting
primarily of income- Income Fund) (d) producing equity securities of domestic
companies (common and preferred stock and
convertible securities). Capital appreciation
is a secondary investment consideration.
- -------------------------------------------------------------------------------------
Vision Mid Cap Stock Fund ("Mid Cap Total Return by investing primarily in a
Stock Fund") (formerly Vision Growth and diversified portfolio of mid-cap
stocks.
Income Fund) (d)
</TABLE>
(d) Diversified
(n) Non-diversified
The financial statements of the other portfolios are presented separately. The
assets of each portfolio are segregated and a shareholder's interest is limited
to the portfolio in which shares are held.
On August 30, 1999, Vision Equity Income Fund changed it name to Vision Large
Cap Value Fund.
Vision Mid Cap Stock Fund commenced operations on October 15, 1999, when it
acquired the assets of both Vision Growth and Income Fund and Vision Capital
Appreciation Fund (the "Acquired Funds") in a reorganization. In order to comply
with comments made by the staff of the SEC, the Mid Cap Stock Fund had to become
an "accounting survivor" of one of the Acquired Funds, despite the differences
in the investment objective, strategies, policies and expenses of the Acquired
Funds, and
VISION EQUITY AND INCOME FUNDS
- -------------------------------------------------------------------------------
the fact that Mid Cap Stock Fund's sub-adviser never managed, or provided any
investment advice to, the Acquired Funds. Accordingly, the financial and
performance information presented for the Mid Cap Stock Fund in reality reflects
the historical operations of Growth and Income Fund in all periods prior to
October 15, 1999. This past performance is not predictive of future performance
of the Mid Cap Stock Fund and should be evaluated in light of the Fund's
organization and the differences noted above. The acquisition was accomplished
by a tax-free exchange of 1,899,378 shares of Mid Cap Stock Fund (valued at
$21,918,824) for the 2,232,059 shares of the Capital Appreciation Fund
outstanding on October 15, 1999 along with an exchange of 5,668,880 shares of
Mid Cap Stock Fund (valued at $65,433,417) for the 5,668,880 shares of Growth
and Income Fund. The Capital Appreciation Fund's net assets at that date
($21,925,137), including $219,604 of unrealized depreciation, were combined with
those of Growth and Income Fund at that date ($65,433,417) including unrealized
depreciation of $3,240,292.
(2) SIGNIFICANT ACCOUNTING POLICIES
The following is a summary of significant accounting policies consistently
followed by the Funds in the preparation of their financial statements. These
policies are in conformity with generally accepted accounting principles.
INVESTMENT VALUATIONS--Listed equity securities are valued at the last sale
price reported on a national securities exchange. U.S. Government securities
are generally valued at the mean of the latest bid and asked price as
furnished by an independent pricing service. Listed corporate bonds, and other
fixed income and asset-backed securities, unlisted securities and short-term
securities are valued at the prices provided by an independent pricing
service. However, short-term securities with remaining maturities of sixty
days or less at the time of purchase may be valued at amortized cost, which
approximates fair market value. Municipal bonds are valued by an independent
pricing service, taking into consideration yield, liquidity, risk, credit
quality, coupon, maturity, type of issue, and any other factors or market data
the pricing service deems relevant. Investments in other open-end regulated
investment companies are valued at net asset value.
REPURCHASE AGREEMENTS--It is the policy of the Funds to require the custodian
bank to take possession, to have legally segregated in the Federal Reserve
Book Entry System, or to have segregated within the custodian bank's vault,
all securities held as collateral under repurchase agreement transactions.
Additionally, procedures have been established by the Funds to monitor, on a
daily basis, the market value of each repurchase agreement's collateral to
ensure that the value of collateral at least equals the repurchase price to be
paid under the repurchase agreement transaction.
The Funds will only enter into repurchase agreements with banks and other
recognized financial institutions, such as broker/dealers, which are deemed by
the Funds' adviser to be creditworthy
VISION EQUITY AND INCOME FUNDS
- -------------------------------------------------------------------------------
pursuant to the guidelines and/or standards reviewed or established by the
Board of Directors (the "Directors"). Risks may arise from the potential
inability of counterparties to honor the terms of the repurchase agreement.
Accordingly, the Funds could receive less than the repurchase price on the
sale of collateral securities.
INVESTMENT INCOME, EXPENSES AND DISTRIBUTIONS--Interest income and expenses
are accrued daily. Bond premium and discount, if applicable, are amortized as
required by the Internal Revenue Code, as amended (the "Code"). Distributions
to shareholders are recorded on the ex-dividend date.
FEDERAL TAXES--It is the Funds' policy to comply with the provisions of the
Code applicable to regulated investment companies and to distribute to
shareholders each year substantially all of their income. Accordingly, no
provisions for federal tax are necessary.
At April 30, 1999 the following funds had capital loss carryforwards for
federal tax purposes, which will reduce each Fund's taxable income arising
from future net realized gain on investments, if any, to the extent permitted
by the Code, and thus will reduce the amount of the distributions to
shareholders which would otherwise be necessary to relieve each Fund of any
liability for federal tax. Pursuant to the Code, such capital loss
carryforwards will expire as listed below:
<TABLE>
<CAPTION>
CAPITAL LOSS
CARRYFORWARD TO
FUND EXPIRE IN 2006
---- ---------------
<S> <C>
Mid Cap Stock Fund $1,194,920
</TABLE>
Net realized capital losses on U.S. Government Securities Fund of $93,005
attributable to security transactions incurred after October 31, 1998, are
treated as arising on the first day of the Fund's next taxable year (May 1,
1999).
WHEN-ISSUED AND DELAYED DELIVERY TRANSACTIONS--The Funds may engage in
when-issued or delayed delivery transactions. The Funds record when-issued
securities on the trade date and maintain security positions such that
sufficient liquid assets will be available to make payment for the securities
purchased. Securities purchased on a when-issued or delayed delivery basis are
marked to market daily and begin earning interest on the settlement date.
USE OF ESTIMATES--The preparation of financial statements in conformity with
generally accepted accounting principles requires management to make estimates
and assumptions that affect the amounts of assets, liabilities, expenses and
revenues reported in the financial statements. Actual results could differ
from those estimated.
OTHER--Investment transactions are accounted for on the trade date.
VISION EQUITY AND INCOME FUNDS
- -------------------------------------------------------------------------------
(3) CAPITAL STOCK
At October 31, 1999, there were 1,000,000,000 shares of $0.001 par value capital
stock authorized with respect to each Fund. Transactions in capital stock were
as follows:
<TABLE>
<CAPTION>
U.S. GOVERNMENT NEW YORK MUNICIPAL
SECURITIES FUND INCOME FUND
----------------------- ---------------------
SIX MONTHS YEAR SIX MONTHS YEAR
ENDED ENDED ENDED ENDED
OCTOBER 31, APRIL 30, OCTOBER 31, APRIL 30,
1999 1999 1999 1999
- ----------------------------- ----------- ---------- ----------- ---------
<S> <C> <C> <C> <C>
Shares sold 1,127,731 3,079,153 499,164 1,398,178
- -----------------------------
Shares issued to shareholders
in payment of distributions
declared 79,784 206,405 58,249 163,247
- ----------------------------- ---------- ---------- -------- ---------
Shares redeemed (1,617,386) (2,156,921) (494,863) (708,022)
- ----------------------------- ---------- ---------- -------- ---------
Net change resulting from
share transactions (409,871) 1,128,637 62,550 853,403
- ----------------------------- ---------- ---------- -------- ---------
</TABLE>
<TABLE>
<CAPTION>
LARGE CAP VALUE FUND MID CAP STOCK FUND
---------------------- -----------------------
SIX MONTHS YEAR SIX MONTHS YEAR
ENDED ENDED ENDED ENDED
OCTOBER 31, APRIL 30, OCTOBER 31, APRIL 30,
1999 1999 1999 1999
- --------------------------- ----------- ---------- ----------- ----------
<S> <C> <C> <C> <C>
Shares sold 522,932 3,806,743 554,459 1,212,792
- ---------------------------
Shares issued in connection
with the acquisition of
Vision Capital Appreciation
Fund -- -- 1,899,378 --
- ---------------------------
Shares issued in connection
with the acquisition of
Vision Growth & Income Fund -- -- 5,668,880 --
- ---------------------------
Shares issued to
shareholders in payment of
distributions declared 14,739 32,115 191,893 626,173
- ---------------------------
Shares redeemed (863,298) (3,375,899) (6,919,898) (4,618,805)
- --------------------------- -------- ---------- ---------- ----------
Net change resulting from
share transactions (325,627) 462,959 1,394,712 (2,779,840)
- --------------------------- -------- ---------- ---------- ----------
</TABLE>
VISION EQUITY AND INCOME FUNDS
- -------------------------------------------------------------------------------
(4) INVESTMENT ADVISORY FEE AND OTHER TRANSACTIONS WITH AFFILIATES
INVESTMENT ADVISORY FEE--Manufacturers and Traders Trust Company, the Funds'
investment adviser (the "Adviser"), receives for its services an annual
investment advisory fee based on a percentage of each Fund's average daily net
assets (see below). The Adviser may voluntarily choose to waive any portion of
its fee or reimburse other operating expenses. The Adviser can modify or
terminate this voluntary waiver or reimbursement at any time at its sole
discretion.
<TABLE>
<CAPTION>
ANNUAL
FUND RATE
---- ------
<S> <C>
U.S. Government Securities Fund 0.70%
New York Municipal Income Fund 0.70%
Large Cap Value Fund 0.70%
Mid Cap Stock Fund 0.85%
</TABLE>
SUB-ADVISORY FEE--Effective October 15, 1999, Independence Investment
Associates, Inc. became the sub-adviser to Mid Cap Stock Fund and receives for
its services an allocable portion of the advisory fee the Adviser receives from
Mid Cap Stock Fund. The sub-adviser receives for its services an annual sub-
advisory fee equal to 0.40% of Mid Cap Stock Fund's average daily net assets
paid by the Adviser.
ADMINISTRATIVE, TRANSFER AND DIVIDEND DISBURSING AGENT AND FUND ACCOUNTING
FEE--Federated Services Company ("FServ") provides the Funds with certain
administrative personnel and fund accounting services. FServ through its
subsidiary, Federated Shareholder Services Company, serves as transfer and
dividend disbursing agent for the Funds. The fee paid to FServ is based on the
level of average aggregate net assets of the Corporation for the period. FServ
may voluntarily choose to waive a portion of its fee. Fserv can modify or
terminate this voluntary waiver at any time at its sole discretion.
DISTRIBUTION SERVICES FEE--The Corporation has adopted a Distribution Plan (the
"Plan") pursuant to Rule 12b-1 under the Act. Under the terms of the Plan, each
Fund will reimburse Federated Securities Corp. ("FSC"), the principal
distributor, from the net assets of the Funds to finance activities intended to
result in the sale of the Funds' shares. The Plan provides that each Fund may
incur distribution expenses up to 0.25 % of the average daily net assets of the
Fund, annually, to reimburse FSC. The Funds did not pay or accrue distribution
fees during the six months ended October 31, 1999.
SHAREHOLDER SERVICES FEE--Under the terms of a Shareholder Services Agreement
with Manufacturers and Traders Trust Company, the Funds will pay Manufacturers
and Traders Trust Company up to 0.25% of average daily net assets of the Funds
for the period. The fee paid to Manufacturers and Traders Trust Company is used
to finance certain services for shareholders and to maintain shareholder
accounts. U.S. Government Securities Fund, New York Municipal Income Fund and
Large Cap Value Fund did not pay or accrue shareholder services fees during the
six months ended October 31, 1999.
VISION EQUITY AND INCOME FUNDS
- -------------------------------------------------------------------------------
ORGANIZATIONAL EXPENSES--Organizational expenses were borne initially by
Federated Administrative Services ("FAS"). Each Fund has reimbursed FAS for
these expenses. These expenses have been deferred and are being amortized over
the five year period following each Fund's effective date. For the six months
ended October 31, 1999, the following amounts were expensed by each fund:
<TABLE>
<CAPTION>
AMOUNT
EXPENSES OF AMORTIZED FOR THE
ORGANIZING SIX MONTHS ENDED
THE FUND OCTOBER 31, 1999
----------- -----------------
<S> <C> <C>
Large Cap Value Fund $ 253 $ 24
Mid Cap Stock Fund $19,915 $1,853
</TABLE>
GENERAL--Certain of the Officers of the Corporation are Officers and Directors
or Trustees of the above companies.
(5) INVESTMENT TRANSACTIONS
Purchases and sales of investments, excluding short-term securities and the
conversion of securities related to the reorganization of Vision Capital
Appreciation Fund and Vision Growth & Income Fund into Mid Cap Stock Fund, for
the six months ended October 31, 1999, were as follows:
<TABLE>
<CAPTION>
FUND PURCHASES SALES
- ---- ----------- -----------
<S> <C> <C>
U.S. Government Securities Fund $13,720,198 $14,290,375
New York Municipal Income Fund $14,852,791 $13,321,515
Large Cap Value Fund $ 6,699,142 $ 8,613,148
Mid Cap Stock Fund $67,613,275 $74,729,410
</TABLE>
(6) CONCENTRATION OF CREDIT RISK
Since New York Municipal Income Fund invests a substantial portion of its assets
in issuers located in one state, it will be more susceptible to factors
adversely affecting issuers of that state than would be a comparable tax-ex-
empt mutual fund that invests nationally. In order to reduce the credit risk
associated with such factors, at October 31, 1999, 38.8% of the total market
value of the securities in the portfolio of investments are backed by letters of
credit or bond insurance of various financial institutions and financial
guaranty assurance agencies. The value of investments insured by or supported
(backed) by a letter of credit from any one institution or agency did not exceed
5.77% of total market value of investments.
VISION EQUITY AND INCOME FUNDS
- -------------------------------------------------------------------------------
(7) YEAR 2000
Similar to other financial organizations, the Funds could be adversely affected
if the computer systems used by the Funds' service providers do not properly
process and calculate date-related information and data from and after January
1, 2000. The Funds' Adviser, Sub-Adviser and administrator are taking measures
that they believe are reasonably designed to address the Year 2000 issue with
respect to computer systems that they use and to obtain reasonable assurances
that comparable steps are being taken by each of the Fund's other service
providers. At this time, however, there can be no assurance that these steps
will be sufficient to avoid any adverse impact to the Funds.
DIRECTORS OFFICERS
- --------------------------------------------------------------------------------
Randall I. Benderson Edward C. Gonzales
President and Treasurer
Joseph J. Castiglia Beth S. Broderick
Vice President and Assistant Treasurer
Daniel R. Gernatt, Jr. Victor R. Siclari
Secretary
George K. Hambleton, Jr. C. Todd Gibson
Assistant Secretary
SHARES OF THE VISION FUNDS ARE NOT FDIC INSURED OR OTHERWISE PROTECTED BY THE
U.S. GOVERNMENT, ARE NOT DEPOSITS OR OTHER OBLIGATIONS OF, OR GUARANTEED BY,
MANUFACTURERS AND TRADERS TRUST COMPANY, AND ARE SUBJECT TO INVESTMENT RISKS,
INCLUDING POSSIBLE LOSS OF THE PRINCIPAL AMOUNT INVESTED.
This report is authorized for distribution to prospective investors only when
preceded or accompanied by the Funds' prospectus which contains facts concerning
their objectives and policies, management fees, expenses and other information.
- --------------------------------------------------------------------------------
Federated Securities Corp.
Distributor
Federated Investors Tower
Pittsburgh, PA 15222-3779
Cusip 92830F406
Cusip 92830F505
Cusip 92830F802
Cusip 92830F810
Cusip 92830F794
Cusip 92830F786
[RECYCLED LOGO APPEARS HERE]
G00158-03 (12/99)
SEMI-ANNUAL REPORT
TO SHAREHOLDERS
OCTOBER 31, 1999
VISION
U.S. Government
Securities Fund
Class A Shares
- --------------------------------------------------------------------------------
VISION
New York Municipal
Income Fund
Class A Shares
- --------------------------------------------------------------------------------
VISION
Large Cap Value Fund
Class A Shares
Class B Shares
- --------------------------------------------------------------------------------
VISION
Mid Cap Stock Fund
Class A Shares
Class B Shares
Manufacturers and Traders Trust Company
Investment Adviser to the Funds
One M&T Plaza
Buffalo, NY 14240-4556
- --------------------------------------------------------------------------------
VISION
U.S. Government
Securities Fund
Seeks current income by investing primarily in
securities that are guaranteed for payment of
principal and interest by the U.S. government,
its agencies or instrumentalities (Fund shares
themselves are not guaranteed).
- --------------------------------------------------------------------------------
VISION
New York Municipal
Income Fund
Seeks current income that is exempt
from federal, New York State and
New York City income taxes,* as is
consistent with preservation of capital.
- --------------------------------------------------------------------------------
VISION
Large Cap Value Fund
(formerly VISION Equity Income Fund)
Seeks to provide current income by investing in a diversified portfolio
consisting primarily of income- producing equity securities of domestic
companies (common and preferred stock and convertible securities). Capital
appreciation is a secondary investment consideration.
- --------------------------------------------------------------------------------
VISION
Mid Cap Stock Fund
Seeks total return by investing primarily in a
diversified portfolio of mid-cap stocks.
- --------------------------------------------------------------------------------
VISION
Money Market Fund
Seeks current income with liquidity and
stability of principal by investing in high-
quality money market instruments.**
- --------------------------------------------------------------------------------
VISION
Treasury Money
Market Fund
Seeks current income with liquidity and
stability of principal by investing in short-term
U.S. Treasury obligations, which are fully guaranteed
for payment of principal and interest
by the U.S. government.**
- --------------------------------------------------------------------------------
VISION
New York Tax-Free
Money Market Fund
Seeks a high level of current interest income that is exempt from
federal, New York State and
New York City income taxes,* as well as
liquidity and stability of principal.**
- --------------------------------------------------------------------------------
* Some income may be subject to the federal alternative minimum tax and state
and local taxes.
** An investment in money market funds is neither insured nor guaranteed by the
Federal Deposit Insurance Corporation or any other government agency.
Although money market funds seek to preserve the value of your investment at
$1.00 per share, it is possible to lose money by investing in the fund.
For more complete information about any of the Vision Funds, contact (800) 836-
2211 for a prospectus. Please read the prospectus carefully before investing.
PRESIDENT'S MESSAGE
- -------------------------------------------------------------------------------
Dear Shareholder:
I am pleased to present the Semi-Annual Report of the VISION money market funds
for the six-month period ended October 31, 1999. It contains complete financial
information--including a list of portfolio holdings--for VISION Money Market
Fund, VISION Treasury Money Market Fund, and VISION New York Tax- Free Money
Market Fund.
Each VISION money market fund gives you a convenient way to keep your ready cash
working every day. You also have easy access to your money, and a high degree of
safety.* The following highlights summarize fund activity for the six-month
reporting period.
VISION Money Market Fund, a diversified portfolio of corporate and U.S.
government money market securities, paid dividends totaling $0.02 per share to
Class A Shares investors and $0.02 per share to Class S Shares investors. Assets
passed the $1 billion level at the end of the reporting period.
VISION Treasury Money Market Fund, which invests primarily in U.S. Treasury
securities, paid dividends totaling $0.02 per share to Class A Shares investors
and $0.02 per share to Class S Shares investors. Assets totaled $531 million at
the end of the reporting period.
VISION New York Tax-Free Money Market Fund, a portfolio of New York municipal
money market securities, paid double-tax-free dividends (triple-tax-free
dividends to New York City residents) totaling $0.01 per share.** Assets totaled
$172.6 million at the end of the reporting period.
Thank you for participating in the daily earning power of the VISION Money
Market Funds. We'll continue to keep you up to date on your investment, and
provide your account with the highest level of service.
Sincerely,
/s/ Edward C. Gonzales
Edward C. Gonzales
President
December 15, 1999
*An investment in the funds is neither insured nor guaranteed by the Federal
Deposit Insurance Corporation or any other government agency. Although the
funds seek to preserve the value of your investment at $1.00 per share, it is
possible to lose money by investing in the funds.
**Income may be subject to the federal alternative minimum tax and state and
local taxes.
VISION MONEY MARKET FUND
PORTFOLIO OF INVESTMENTS
OCTOBER 31, 1999 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT VALUE
----------- ------------------------------------------------ --------------
<C> <S> <C>
(1) CORPORATE OBLIGATIONS--72.4%
------------------------------------------------------------
AUTOS--11.5%
------------------------------------------------
$40,000,000 DaimlerChrysler North America Holding Corp.,
5.296%, 11/06/1999 $ 39,967,345
------------------------------------------------
45,000,000 Ford Motor Credit Corp., 5.354%, 1/7/2000 44,211,000
------------------------------------------------
40,000,000 General Motors Acceptance Corp., 5.879%,
2/14/2000 39,333,833
------------------------------------------------ --------------
Total 123,512,178
------------------------------------------------ --------------
CAPITAL EQUIPMENT & SERVICES--3.7%
------------------------------------------------
40,000,000 Deere & Co., 4.979%, 11/16/1999 39,920,000
------------------------------------------------ --------------
DIVERSIFIED--4.5%
------------------------------------------------
50,000,000 General Electric Capital Corp., 5.867%, 6/9/2000 47,892,500
------------------------------------------------ --------------
FINANCIAL RECEIVABLES--12.0%
------------------------------------------------
50,000,000 Apreco, Inc., 6.094%, 2/15/2000 48,980,125
------------------------------------------------
50,000,000 Associates Corp. of North America, 5.349%,
11/15/1999 49,666,764
------------------------------------------------
30,000,000 CIESCO, L.P., 5.360%, 11/8/1999 29,831,217
------------------------------------------------ --------------
Total 128,478,106
------------------------------------------------ --------------
FINANCIAL SERVICES--7.9%
------------------------------------------------
39,600,000 (2)Morgan Stanley, Dean Witter & Co., 5.475%,
1/21/2000 39,600,000
------------------------------------------------
45,000,000 Toronto Dominion Holdings (USA), Inc.,
(Guaranteed by
Toronto-Dominion Bank), 4.903%, 11/5/1999 44,976,100
------------------------------------------------ --------------
Total 84,576,100
------------------------------------------------ --------------
FOOD & BEVERAGE--2.3%
------------------------------------------------
25,000,000 Coca-Cola Co., 5.286%, 11/4/1999 24,875,806
------------------------------------------------ --------------
INSURANCE--8.8%
------------------------------------------------
50,000,000 American General Finance Corp., 5.296%,
11/29/1999 49,751,139
------------------------------------------------
45,000,000 Prudential Funding Corp., 5.381%, 12/1/1999 44,800,875
------------------------------------------------ --------------
Total 94,552,014
------------------------------------------------ --------------
OIL--12.9%
------------------------------------------------
45,000,000 BP America, Inc., (Guaranteed by BP Amoco PLC),
5.451%, 1/18/2000 44,483,250
------------------------------------------------
</TABLE>
VISION MONEY MARKET FUND
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT VALUE
----------- ------------------------------------------------ --------------
<C> <S> <C>
(1) CORPORATE OBLIGATIONS--CONTINUED
------------------------------------------------------------
OIL--CONTINUED
------------------------------------------------
$50,000,000 Chevron U.S.A., Inc., (Guaranteed by Chevron
Corp.), 5.285%, 11/19/1999 $ 49,766,222
------------------------------------------------
45,000,000 Texaco, Inc., 5.477%, 1/18/2000 44,480,325
------------------------------------------------ --------------
Total 138,729,797
------------------------------------------------ --------------
RECEIVABLES--4.2%
------------------------------------------------
45,000,000 American Express Credit Corp., 5.351%, 12/6/1999 44,769,438
------------------------------------------------ --------------
TELECOMMUNICATIONS--4.6%
------------------------------------------------
50,000,000 AT&T Corp., 5.328%, 11/23/1999 49,639,986
------------------------------------------------ --------------
TOTAL CORPORATE OBLIGATIONS 776,945,925
------------------------------------------------ --------------
(1) U.S. GOVERNMENT AGENCIES--22.3%
------------------------------------------------------------
FEDERAL HOME LOAN MORTGAGE CORPORATION--20.0%
------------------------------------------------
40,000,000 4.740%, 11/2/1999 39,994,733
------------------------------------------------
50,000,000 5.040%, 12/9/1999 49,734,000
------------------------------------------------
50,000,000 5.260%, 12/10/1999 49,715,083
------------------------------------------------
25,000,000 4.910%, 2/9/2000 24,964,335
------------------------------------------------
50,000,000 5.267%, 9/21/2000 49,986,885
------------------------------------------------ --------------
Total 214,395,036
------------------------------------------------ --------------
FEDERAL NATIONAL MORTGAGE ASSOCIATION--2.3%
------------------------------------------------
25,000,000 4.750%, 2/4/2000 24,686,632
------------------------------------------------ --------------
TOTAL U.S. GOVERNMENT AGENCIES 239,081,668
------------------------------------------------ --------------
(3) REPURCHASE AGREEMENT--5.6%
------------------------------------------------------------
59,538,800 State Street Bank & Trust Co., 5.200%, dated
10/29/1999, due 11/1/1999 59,538,800
------------------------------------------------ --------------
TOTAL INVESTMENTS (AT AMORTIZED COST)(4) $1,075,566,393
------------------------------------------------ --------------
</TABLE>
(1) Each issue, with the exception of variable rate securities, shows the
coupon or rate of discount at the time of purchase, if applicable.
(2) Denotes variable rate securities which show current rate and next demand
date shown.
(3) The repurchase agreement is fully collateralized by U.S. Treasury
obligations based on market prices at October 31, 1999.
(4) Also represents cost for federal tax purposes.
VISION MONEY MARKET FUND
- --------------------------------------------------------------------------------
Note: The categories of investments are shown as a percentage of net assets
($1,072,394,803) at October 31, 1999.
(See Notes which are an integral part of the Financial Statements)
VISION TREASURY MONEY MARKET FUND
PORTFOLIO OF INVESTMENTS
OCTOBER 31, 1999 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT VALUE
------------ -------------------------------------------------- ------------
<C> <S> <C>
U.S. TREASURY OBLIGATIONS--45.2%
---------------------------------------------------------------
U.S. TREASURY BILLS--5.6%
--------------------------------------------------
$ 30,000,000 4.825%-4.990%, 11/18/1999-1/20/2000 $ 29,711,385
-------------------------------------------------- ------------
U.S. TREASURY NOTES--39.6%
--------------------------------------------------
210,000,000 5.375%-6.375%, 12/31/1999-7/31/2000 210,334,311
-------------------------------------------------- ------------
TOTAL U.S. TREASURY OBLIGATIONS 240,045,696
-------------------------------------------------- ------------
(1) REPURCHASE AGREEMENTS--54.5%
---------------------------------------------------------------
26,000,000 Goldman Sachs Group, LP, 5.080%, dated 10/29/1999,
due 11/1/1999 26,000,000
--------------------------------------------------
131,500,000 J.P. Morgan & Co., Inc., 5.150%, dated 10/29/1999,
due 11/1/1999 131,500,000
--------------------------------------------------
131,883,900 State Street Bank & Trust Co., 5.200%, dated
10/29/1999, due 11/1/1999 131,883,900
-------------------------------------------------- ------------
TOTAL REPURCHASE AGREEMENTS 289,383,900
-------------------------------------------------- ------------
TOTAL INVESTMENTS (AT AMORTIZED COST)(2) $529,429,596
-------------------------------------------------- ------------
</TABLE>
(1) The repurchase agreements are fully collateralized by U.S. Treasury
obligations based on market prices at October 31, 1999.
(2) Also represents cost for federal tax purposes.
Note: The categories of investments are shown as a percentage of net assets
($531,020,455) at October 31, 1999.
(See Notes which are an integral part of the Financial Statements)
VISION NEW YORK TAX-FREE MONEY MARKET FUND
PORTFOLIO OF INVESTMENTS
OCTOBER 31, 1999 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL CREDIT
AMOUNT RATING* VALUE
---------- ------------------------------------------ --------- ------------
<C> <S> <C> <C>
(1) SHORT-TERM MUNICIPALS--99.4%
-----------------------------------------------------
NEW YORK--98.3%
------------------------------------------
$1,455,000 ABN AMRO MuniTOPS Certificates Trust (New York Non-AMT) Series
1999-2, 3.30% TOB (Metropolitan Transportation Authority, NY)/(FSA
INS)/(ABN AMRO Bank N.V.,
Amsterdam LIQ), Optional Tender 5/10/2000 NR/VMIG1 $ 1,455,000
------------------------------------------
1,400,000 Amityville, NY, UN Free School District,
(Series 1999), 4.00% TAN, 6/26/2000 NR 1,403,471
------------------------------------------
1,000,000 Brookhaven-Comsewogue Union Free School
District, NY, 4.25% TAN, 6/30/2000 NR 1,002,896
------------------------------------------
2,550,000 Chautauqua County, NY, IDA, IDR Bonds
Weekly VRDN (Belknap Business
Forms)/(KeyBank, N.A. LOC)/(AMT) A-1/NR 2,550,000
------------------------------------------
1,975,000 Dalton-Nunda, NY, Central School District,
3.40% BAN, 11/24/1999 NR 1,975,240
------------------------------------------
2,000,000 Dutchess County, NY, IDA, (Series 1998-A) Weekly VRDN (Marist
College)/(Bank of New
York, New York LOC) A-1+/NR 2,000,000
------------------------------------------
2,125,000 Erie County, NY, IDA, (Series 1998) Weekly VRDN (B & G Properties,
LLC)/(HSBC Bank
USA LOC)/(AMT) A-1/NR 2,125,000
------------------------------------------
2,325,000 Erie County, NY, IDA, Health, Hospital.
Nursing Home Improvement Weekly VRDN
(Episcopal Church Home & Affiliates Life
Care Community, Inc.)/(Paribas, Paris LOC) NR/VMIG1 2,325,000
------------------------------------------
1,042,000 Groton Central School District, NY, 3.35%
BAN, 3/30/2000 NR 1,042,619
------------------------------------------
1,000,000 Lansing, NY, Central School District,
3.90% BAN, 8/10/2000 NR 1,002,235
------------------------------------------
2,200,000 Livonia, NY, Central School District,
4.25% BAN, 10/27/2000 NR 2,209,396
------------------------------------------
2,000,000 Long Island Power Authority, NY, (PA-522)
Weekly VRDN (Merrill Lynch Capital
Services, Inc. LIQ)/(FSA LOC) A-1+ c/NR 2,000,000
------------------------------------------
</TABLE>
VISION NEW YORK TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL CREDIT
AMOUNT RATING* VALUE
---------- ----------------------------------------- ---------- ------------
<C> <S> <C> <C>
(1) SHORT-TERM MUNICIPALS--CONTINUED
----------------------------------------------------
NEW YORK--CONTINUED
-----------------------------------------
$6,800,000 Long Island Power Authority, NY, Electric
System Subordinated Revenue Bonds (Series
1) Weekly VRDN (Bayerische Landesbank
Girozentrale and Westdeutsche Landesbank
Girozentrale LOC) A-1+/VMIG1 $ 6,800,000
-----------------------------------------
4,000,000 Long Island Power Authority, NY, Floater
Certificates (Series 1998-66) Weekly VRDN
(MBIA INS)/(Morgan Stanley, Dean Witter
Municipal Funding, Inc. LIQ) A-1 c/NR 4,000,000
-----------------------------------------
2,400,000 Long Island Power Authority, NY, PA-513R,
3.25% TOB (FSA INS)/(Merrill Lynch
Capital Services, Inc. LIQ), Optional
Tender 4/6/2000 A-1+ c/NR 2,400,000
-----------------------------------------
6,000,000 Metropolitan Transportation Authority, NY, MERLOT (Series 1997 C-2)
Weekly VRDN (FGIC INS)/(First Union National Bank,
Charlotte, N.C. LIQ) NR/VMIG1 6,000,000
-----------------------------------------
3,000,000 Metropolitan Transportation Authority,
NY, SSP29 (Series 1999) Weekly VRDN (FSA
INS)/(Chase Manhattan Bank N.A., New York
LIQ) NR/VMIG1 3,000,000
-----------------------------------------
2,800,000 New York City Housing Development Corp.,
(Series 1993A) Weekly VRDN (Columbus
Gardens)/(Citibank N.A., New York LOC) A-1+/NR 2,800,000
-----------------------------------------
1,000,000 New York City Housing Development Corp.,
(Series A) Weekly VRDN (Upper Fifth
Avenue)/(Bankers Trust Co., New York LOC) NR/VMIG1 1,000,000
-----------------------------------------
2,500,000 New York City Municipal Water Finance
Authority, Trust Receipts (Series 1997
FR/RI-6) Weekly VRDN (MBIA INS)/(Bank of
New York, New York LIQ) A-1/VMIG1 2,500,000
-----------------------------------------
3,700,000 New York City Trust For Cultural
Resources, (Series 1990B) Daily VRDN
(Solomon R. Guggenheim Foundation)/
(Westdeutsche Landesbank Girozentrale
LOC) A-1+/VMIG1 3,700,999
-----------------------------------------
2,300,000 New York City, NY, IDA, Revenue Bonds
Weekly VRDN (Children's Oncology
Society)/(Bank of New York, New York LOC) A-1+/NR 2,300,000
-----------------------------------------
</TABLE>
VISION NEW YORK TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL CREDIT
AMOUNT RATING* VALUE
---------- --------------------------------------- ----------- ------------
<C> <S> <C> <C>
(1) SHORT-TERM MUNICIPALS--CONTINUED
--------------------------------------------------
NEW YORK--CONTINUED
---------------------------------------
$4,175,000 New York City, NY, Transitional Finance
Authority, (1998 Subseries A-1) Weekly
VRDN (Commerzbank AG, Frankfurt LIQ) A-1+/VMIG1 $ 4,175,000
---------------------------------------
1,000,000 New York City, NY, Transitional Finance
Authority, (1999 Subseries B-3) Weekly
VRDN (Bank One, N.A. LIQ) A-1+/VMIG1 1,000,000
---------------------------------------
2,000,000 New York City, NY, Transitional Finance
Authority, (Series A, Subseries A-1)
Weekly VRDN (Societe Generale,
Paris LIQ) A-1+/VMIG1 2,000,000
---------------------------------------
5,000,000 New York City, NY, Transitional Finance
Authority,
PT-1047 Weekly VRDN (Bank of America,
N.A. LIQ) A-1+c/NR 5,000,000
---------------------------------------
3,000,000 New York City, NY, (PA-156), % TOB
(Merrill Lynch Capital Services, Inc.
LIQ)/(Merrill Lynch Capital Services,
Inc. LOC), Optional Tender 2/17/2000 A-1+c/NR 3,000,000
---------------------------------------
3,455,000 New York City, NY, (Series 1995 F-4)
Weekly VRDN (Landesbank Hessen-
Thueringen, Frankfurt LOC) A-1+/VMIG1 3,455,000
---------------------------------------
1,000,000 New York City, NY, (Series L), 5.25%
Bonds, 8/1/2000 NR 1,009,482
---------------------------------------
7,700,000 New York State Dormitory Authority,
(Series 1990B) Daily VRDN (Cornell
University)/(Morgan Guaranty Trust Co.,
New York LIQ) A-1+/VMIG1 7,700,000
---------------------------------------
2,000,000 New York State Dormitory Authority, PA-
60 (Series 1993) Weekly VRDN (Rochester
General Hospital)/ (FHA INS)/(Merrill
Lynch Capital Services, Inc. LIQ) A-1+/NR 2,000,000
---------------------------------------
6,600,000 New York State Energy Research &
Development Authority, (1985 Series B)
Daily VRDN (Niagara Mohawk Power
Corp.)/(Toronto-Dominion Bank LOC) NR/P-1 6,600,000
---------------------------------------
7,400,000 New York State Energy Research & Development Authority, Trust
Receipts, Series 1998 FR/RI-9 Weekly VRDN (Brooklyn Union Gas
Co.)/(MBIA
INS)/(Bank of New York, New York LIQ) A-1+c/VMIG1 7,400,000
---------------------------------------
3,901,000 New York State HFA Weekly VRDN (Special
Surgery Hospital)/(Chase Manhattan Bank
N.A., New York LOC) NR/VMIG1 3,901,000
---------------------------------------
</TABLE>
VISION NEW YORK TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL CREDIT
AMOUNT RATING* VALUE
---------- ----------------------------------------- ---------- ------------
<C> <S> <C> <C>
(1) SHORT-TERM MUNICIPALS--CONTINUED
----------------------------------------------------
NEW YORK--CONTINUED
-----------------------------------------
$6,000,000 New York State Local Government
Assistance Corp., (Series B) Weekly VRDN
(Bank of Nova Scotia, Toronto LOC) A-1+/VMIG1 $ 6,000,000
-----------------------------------------
7,000,000 New York State Local Government
Assistance Corp., (Series E) Weekly VRDN
(Canadian Imperial Bank of Commerce LOC) A-1+/VMIG1 7,000,000
-----------------------------------------
1,400,000 New York State Medical Care Facilities
Finance Agency Weekly VRDN (Pooled Loan
Program)/(Chase Manhattan Bank N.A., New
York LOC) NR/VMIG1 1,400,000
-----------------------------------------
2,000,000 New York State Mortgage Agency, (PA-422)
Weekly VRDN (Merrill Lynch Capital
Services, Inc. LIQ)/(AMT) NR/VMIG1 2,000,000
-----------------------------------------
1,500,000 New York State Mortgage Agency, PA-406
Weekly VRDN (Merrill Lynch Capital
Services, Inc. LIQ)/(AMT) NR/VMIG1 1,500,000
-----------------------------------------
2,000,000 New York State Power Authority, 3.55% TOB
(Bank of America, N.A., Bank of Tokyo-
Mitsubishi Ltd. and Morgan Guaranty Trust
Co., New York LIQ), Optional Tender
3/1/2000 A-1/VMIG1 2,000,000
-----------------------------------------
2,530,000 New York State Thruway Authority, (PA-
172), 3.80% TOB (Merrill Lynch Capital
Services, Inc. LIQ)/(Merrill Lynch
Capital Services, Inc. LOC), Optional
Tender 1/27/2000 A-1+c/NR 2,530,000
-----------------------------------------
1,700,000 Niagara County, NY, IDA, Solid Waste Disposal Facility Revenue Bonds
(Series 1996D) Weekly VRDN (American Ref-Fuel Co.)/(Wachovia Bank of
NC, N.A.
LOC)/(AMT) A-1+/P-1 1,700,000
-----------------------------------------
1,800,000 Niagara Falls, NY, Bridge Commission,
Revenue Bonds (Series 1993A) Weekly VRDN
(FGIC INS)/(Credit Local de France LIQ) A-1+/VMIG1 1,800,000
-----------------------------------------
1,928,390 Odessa, NY, 3.67% BAN, 5/26/2000 NR 1,930,704
-----------------------------------------
1,000,000 Odessa-Montour, NY, Central School
District, 3.25% BAN, 11/17/1999 NR 1,000,038
-----------------------------------------
</TABLE>
VISION NEW YORK TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL CREDIT
AMOUNT RATING* VALUE
---------- ---------------------------------------- ----------- ------------
<C> <S> <C> <C>
(1) SHORT-TERM MUNICIPALS--CONTINUED
---------------------------------------------------
NEW YORK--CONTINUED
----------------------------------------
$3,500,000 Onondaga County, NY, IDA, (Series 1999A)
Weekly VRDN (Christian Brothers Academy
of Syracuse, NY)/(KeyBank, N.A. LOC) NR $ 3,500,000
----------------------------------------
1,600,000 Oriskany, NY, Central School District,
3.50% BAN, 12/8/1999 NR 1,600,470
----------------------------------------
2,050,000 Port Authority of New York and New
Jersey, Versatile Structure Obligations,
Series 3 Daily VRDN (Morgan Guaranty
Trust Co., New York LIQ) A-1+/VMIG1 2,050,000
----------------------------------------
1,500,000 Red Hook, NY, Central School District,
4.25% BAN, 10/27/2000 NR 1,506,409
----------------------------------------
1,500,000 Riverhead, NY, IDA, IDRB, (Series 1998) Weekly VRDN (Altaire
Pharmaceuticals, Inc.)/(Mellon Bank N.A., Pittsburgh
LOC)/(AMT) NR 1,500,000
----------------------------------------
1,914,000 Rotterdam-Mohonasen Central School
District, NY, 4.125% RAN, 6/30/2000 NR 1,920,167
----------------------------------------
980,000 Senaca County, NY, IDA, Weekly VRDN (New
York Chiropractic College)/(Fleet Bank
N.A. LOC) A-1/NR 980,000
----------------------------------------
5,750,000 St. Lawrence County, NY, IDA, (Series
1998A) Weekly VRDN (Alcoa, Inc.)/(AMT) A-1/NR 5,750,000
----------------------------------------
3,455,000 Suffolk County, NY, IDA, (Series 1997B) Weekly VRDN (Maryhaven
Center of
Hope)/(KeyBank, N.A. LOC) NR 3,455,000
----------------------------------------
1,400,000 Syracuse, NY, IDA, Syracuse , Multi
Modal Civic Facility Revenue Bonds
(Series 1993) Daily VRDN (Syracuse
University Eggers Halls Project)/(Morgan
Guaranty Trust Co., New York LOC) A-1+/VMIG1 1,400,000
----------------------------------------
3,000,000 Triborough Bridge & Tunnel Authority,
NY, Floater Certificates (Series 1998-
72) Weekly VRDN (FGIC INS)/ (Morgan
Stanley, Dean Witter Municipal Funding,
Inc. LIQ) A-1 c/NR 3,000,000
----------------------------------------
1,300,000 VRDC/IVRC Trust, (Series 1992A) Weekly
VRDN (New York City Municipal Water
Finance Authority)/(MBIA INS)/(Citibank
N.A., New York LIQ) A-1+c/VMIG1 1,300,000
----------------------------------------
</TABLE>
VISION NEW YORK TAX-FREE MONEY MARKET FUND
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL CREDIT
AMOUNT RATING* VALUE
---------- ---------------------------------------- ---------- ------------
<C> <S> <C> <C>
(1) SHORT-TERM MUNICIPALS--CONTINUED
---------------------------------------------------
NEW YORK--CONTINUED
----------------------------------------
$5,300,000 VRDC/IVRC Trust, (Series 1993B) Weekly
VRDN (Metropolitan Transportation
Authority, NY)/(AMBAC INS)/(Citibank NA,
New York LIQ) A-1+ c/NR $ 5,300,000
----------------------------------------
1,000,000 VRDC/IVRC Trust, (Series 1993G) Weekly
VRDN
(St. Lukes Roosevelt Hospital
Center)/(FHA INS)/ (Chase Manhattan Bank
N.A., New York LIQ) A-1/NR 1,000,000
----------------------------------------
2,000,000 William Floyd UFSD, NY, (Series 1999),
4.00% TAN, 6/30/2000 NR 2,005,423
----------------------------------------
1,695,000 Yonkers, NY, IDA, Civic Facility Revenue
Bonds, (Series 1994) Weekly VRDN
(Consumers Union Facility)/ (AMBAC
INS)/(Credit Local de France LIQ) A-1+/VMIG1 1,695,000
---------------------------------------- ------------
Total 169,655,549
---------------------------------------- ------------
PUERTO RICO--1.1%
----------------------------------------
1,834,901 Commonwealth of Puerto Rico Municipal
Revenues Collection Center, 1997A
LeaseTOPS Trust Weekly VRDN (ABN AMRO
Bank N.V., Amsterdam LIQ)/ (State Street
Bank and Trust Co., LOC) A-1+ c/NR 1,834,901
---------------------------------------- ------------
TOTAL INVESTMENTS (AT AMORTIZED COST)(2) $171,490,450
---------------------------------------- ------------
</TABLE>
(1) At October 31, 1999, 10.0% of the total investments at market value were
subject to alternative minimum tax.
(2) Also represents cost for federal tax purposes.
*Please refer to the Appendix of the Statement of Additional Information for an
explanation of the credit ratings. Current credit ratings are unaudited.
Note: The categories of investments are shown as a percentage of net assets
($172,575,104) at October 31, 1999.
VISION NEW YORK TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
The following acronyms are used throughout this portfolio:
AMBAC --American Municipal Bond Assurance Corporation AMT--Alternative Minimum
Tax BAN--Bond Anticipation Notes FGIC--Financial Guaranty Insurance Company
FHA--Federal Housing Administration FSA--Financial Security Assurance
HFA--Housing Finance Authority IDA--Industrial Development Authority
IDR--Industrial Development Revenue IDRB--Industrial Development Revenue Bond
INS--Insured LIQ--Liquidity Agreement LOC--Letter of Credit MBIA--Municipal Bond
Investors Assurance MERLOT--Municipal Exempt Receipts--Liquidity Optional Tender
Series RAN--Revenue Anticipation Notes TAN--Tax Anticipation Notes TOB--Tender
Option Bonds VRDN--Variable Rate Demand Notes
(See Notes which are an integral part of the Financial Statements)
VISION MONEY MARKET FUNDS
STATEMENTS OF ASSETS AND LIABILITIES
OCTOBER 31, 1999 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
NEW YORK
TREASURY TAX-FREE
MONEY MONEY MONEY
MARKET MARKET MARKET
FUND FUND FUND
- -------------------------------------- -------------- ------------ ------------
<S> <C> <C> <C>
ASSETS:
- --------------------------------------
Investments in securities $1,016,027,593 $240,045,696 $171,490,450
- --------------------------------------
Investments in repurchase agreements 59,538,800 289,383,900 --
- -------------------------------------- -------------- ------------ ------------
Total investments, at amortized cost
and value 1,075,566,393 529,429,596 171,490,450
- --------------------------------------
Cash -- 96,073 310,693
- --------------------------------------
Income receivable 2,408,411 3,933,327 1,263,579
- --------------------------------------
Receivable for shares sold 192 5,127 --
- -------------------------------------- -------------- ------------ ------------
Total assets 1,077,974,996 533,464,123 173,064,722
- -------------------------------------- -------------- ------------ ------------
LIABILITIES:
- --------------------------------------
Income distribution payable 4,271,155 2,380,103 467,802
- --------------------------------------
Payable to Bank 1,296,230 -- --
- --------------------------------------
Accrued expenses 12,808 63,565 21,816
- -------------------------------------- -------------- ------------ ------------
Total liabilities 5,580,193 2,443,668 489,618
- -------------------------------------- -------------- ------------ ------------
NET ASSETS $1,072,394,803 $531,020,455 $172,575,104
- -------------------------------------- -------------- ------------ ------------
CLASS A SHARES $1,037,829,438 $505,620,085 --
- -------------------------------------- -------------- ------------ ------------
CLASS S SHARES $ 34,565,365 $ 25,400,370 --
- -------------------------------------- -------------- ------------ ------------
NET ASSET VALUE, Offering Price and
Redemption Proceeds Per Share: -- -- $1.00
- -------------------------------------- -------------- ------------ ------------
CLASS A SHARES $1.00 $1.00 --
- -------------------------------------- -------------- ------------ ------------
CLASS S SHARES $1.00 $1.00 --
- -------------------------------------- -------------- ------------ ------------
SHARES OUTSTANDING: 1,072,394,803 531,020,455 172,575,104
- -------------------------------------- -------------- ------------ ------------
CLASS A SHARES 1,037,829,438 505,620,085 --
- -------------------------------------- -------------- ------------ ------------
CLASS S SHARES 34,565,365 25,400,370 --
- -------------------------------------- -------------- ------------ ------------
</TABLE>
(See Notes which are an integral part of the Financial Statements)
VISION MONEY MARKET FUNDS
STATEMENTS OF OPERATIONS
SIX MONTHS ENDED OCTOBER 31, 1999 (UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
NEW YORK
TREASURY TAX-FREE
MONEY MONEY MONEY
MARKET MARKET MARKET
FUND FUND FUND
- -------------------------------------- ----------- ----------- ----------
<S> <C> <C> <C>
INVESTMENT INCOME:
- --------------------------------------
Interest $25,873,657 $15,092,374 $2,149,372
- -------------------------------------- ----------- ----------- ----------
EXPENSES:
- --------------------------------------
Investment advisory fee 2,516,576 1,516,022 315,602
- --------------------------------------
Administrative personnel and services
fee 643,837 387,454 80,662
- --------------------------------------
Custodian fees 21,220 16,933 2,436
- --------------------------------------
Transfer and dividend disbursing agent
fees and expenses 129,648 6,554 2,722
- --------------------------------------
Directors' fees 6,815 7,137 1,518
- --------------------------------------
Auditing fees 6,584 6,880 6,158
- --------------------------------------
Legal fees 2,517 2,729 2,275
- --------------------------------------
Portfolio accounting fees 503 1,866 218
- --------------------------------------
Distribution services fee--Class S
Shares 30,589 29,667 --
- --------------------------------------
Share registration costs 21,890 14,274 6,284
- --------------------------------------
Printing and postage 9,100 7,674 8,043
- --------------------------------------
Taxes 37,749 13,083 4,766
- --------------------------------------
Insurance premiums 2,517 7,603 3,442
- --------------------------------------
Miscellaneous 5,305 2,519 2,200
- -------------------------------------- ----------- ----------- ----------
TOTAL EXPENSES 3,434,850 2,020,395 436,326
- -------------------------------------- ----------- ----------- ----------
Waivers--
- --------------------------------------
Waiver of investment advisory fee (251,658) (242,564) (56,808)
- -------------------------------------- ----------- ----------- ----------
TOTAL WAIVERS (251,658) (242,564) (56,808)
- -------------------------------------- ----------- ----------- ----------
NET EXPENSES 3,183,192 1,777,831 379,518
- -------------------------------------- ----------- ----------- ----------
NET INVESTMENT INCOME $22,690,465 $13,314,543 $1,769,854
- -------------------------------------- ----------- ----------- ----------
</TABLE>
(See Notes which are an integral part of the Financial Statements)
VISION MONEY MARKET FUNDS
STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
TREASURY NEW YORK TAX-FREE
MONEY MARKET FUND MONEY MARKET FUND MONEY MARKET FUND
---------------------------------- ---------------------------------- --------------------------------
SIX MONTHS
SIX MONTHS SIX MONTHS ENDED
ENDED ENDED (UNAUDITED)
(UNAUDITED) YEAR ENDED (UNAUDITED) YEAR ENDED OCTOBER 31, YEAR ENDED
OCTOBER 31, 1999 APRIL 30, 1999 OCTOBER 31, 1999 APRIL 30, 1999 1999 APRIL 30, 1999
- ----------------- ---------------- ---------------- ---------------- ---------------- --------------- ---------------
<S> <C> <C> <C> <C> <C> <C>
INCREASE
(DECREASE) IN NET
ASSETS
- -----------------
OPERATIONS--
- -----------------
Net investment
income $ 22,690,465 $ 38,226,573 $ 13,314,543 $ 26,092,522 $ 1,769,854 $ 2,880,013
- ----------------- ---------------- ---------------- ---------------- ---------------- --------------- ---------------
DISTRIBUTIONS TO
SHAREHOLDERS--
- -----------------
Distributions
from net
investment
income -- -- -- -- (1,769,854) (2,880,013)
- -----------------
Class A Shares (22,160,930) (37,596,521) (12,827,548) (25,161,937) -- --
- -----------------
Class S Shares (529,535) (630,052) (486,995) (930,585) -- --
- ----------------- ---------------- ---------------- ---------------- ---------------- --------------- ---------------
Change in net
assets resulting
from
distributions to
shareholders (22,690,465) (38,226,573) (13,314,543) (26,092,522) (1,769,854) (2,880,013)
- ----------------- ---------------- ---------------- ---------------- ---------------- --------------- ---------------
SHARE
TRANSACTIONS--
- -----------------
Proceeds from
sales of shares 24,015,548,417 32,639,564,017 10,435,147,361 22,444,386,554 1,238,087,244 2,421,854,703
- -----------------
Net asset value
of shares issued
to shareholders
in payment of
distributions
declared 8,864,939 18,193,256 1,094,010 3,328,592 622,576 1,525,141
- -----------------
Cost of shares
redeemed (23,901,282,418) (32,394,752,101) (10,424,922,006) (22,369,436,198) (1,176,425,270) (2,386,434,196)
- ----------------- ---------------- ---------------- ---------------- ---------------- --------------- ---------------
Change in net
assets from
share
transactions 123,130,938 263,005,172 11,319,365 78,278,948 62,284,550 36,945,648
- ----------------- ---------------- ---------------- ---------------- ---------------- --------------- ---------------
Change in net
assets 123,130,938 263,005,172 11,319,365 78,278,948 62,284,550 36,945,648
- -----------------
NET ASSETS:
- -----------------
Beginning of
period 949,263,865 686,258,693 519,701,090 441,422,142 110,290,554 73,344,906
- ----------------- ---------------- ---------------- ---------------- ---------------- --------------- ---------------
End of period $ 1,072,394,803 $ 949,263,865 $ 531,020,455 $ 519,701,090 $ 172,575,104 $ 110,290,554
- ----------------- ---------------- ---------------- ---------------- ---------------- --------------- ---------------
</TABLE>
(See Notes which are an integral part of the Financial Statements)
VISION MONEY MARKET FUNDS
FINANCIAL HIGHLIGHTS
- -------------------------------------------------------------------------------
(FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD)
<TABLE>
<CAPTION>
NET ASSET VALUE, NET DISTRIBUTIONS TO NET ASSET
YEAR ENDED BEGINNING INVESTMENT SHAREHOLDERS FROM NET VALUE, END TOTAL
APRIL 30, OF PERIOD INCOME INVESTMENT INCOME OF PERIOD RETURN(B)
- ----------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
MONEY MARKET FUND A SHARES
1995 $1.00 0.05 (0.05) $1.00 4.77%
1996 $1.00 0.05 (0.05) $1.00 5.33%
1997 $1.00 0.05 (0.05) $1.00 4.93%
1998 $1.00 0.05 (0.05) $1.00 5.11%
1999 $1.00 0.05 (0.05) $1.00 4.76%
1999(d) $1.00 0.02 (0.02) $1.00 2.28%
MONEY MARKET FUND S SHARES
1999(a) $1.00 0.04 (0.04) $1.00 3.98%
1999(d) $1.00 0.02 (0.02) $1.00 2.15%
TREASURY MONEY MARKET FUND A SHARES
1995 $1.00 0.04 (0.04) $1.00 4.57%
1996 $1.00 0.05 (0.05) $1.00 5.25%
1997 $1.00 0.05 (0.05) $1.00 4.82%
1998 $1.00 0.05 (0.05) $1.00 4.98%
1999 $1.00 0.04 (0.04) $1.00 4.54%
1999(d) $1.00 0.02 (0.02) $1.00 2.20%
TREASURY MONEY MARKET FUND S SHARES
1999(a) $1.00 0.04 (0.04) $1.00 3.77%
1999(d) $1.00 0.02 (0.02) $1.00 2.07%
NEW YORK TAX-FREE MONEY MARKET FUND
1995 $1.00 0.03 (0.03) $1.00 2.84%
1996 $1.00 0.03 (0.03) $1.00 3.20%
1997 $1.00 0.03 (0.03) $1.00 2.96%
1998 $1.00 0.03 (0.03) $1.00 3.14%
1999 $1.00 0.03 (0.03) $1.00 2.75%
1999(d) $1.00 0.01 (0.01) $1.00 1.37%
- ----------------------------------------------------------------------------------
</TABLE>
(a) Reflects operations for the period from June 8, 1998 (date of initial public
investment) to April 30, 1999.
(b) Based on net asset value, which does not reflect the sales charge or
contingent deferred sales charge, if applicable.
(c) Computed on an annualized basis.
(d) For the six-months ended October 31, 1999 (unaudited). (e) During the
period, certain fees were voluntarily waived. If such voluntary
waivers had not occurred, the ratios would have been as indicated.
(See Notes which are an integral part of the Financial Statements)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
RATIOS TO AVERAGE NET ASSETS
- -------------------------------------------------------------
NET NET INVESTMENT NET ASSETS,
INVESTMENT EXPENSES INCOME END OF PERIOD
EXPENSES(E) INCOME(E) (AFTER WAIVERS) (AFTER WAIVERS) (000 OMITTED)
- -----------------------------------------------------------------------------
<S> <C> <C> <C> <C>
0.70% 4.61% 0.51% 4.80% $ 431,316
0.69% 5.08% 0.58% 5.19% $ 489,229
0.71% 4.67% 0.61% 4.77% $ 599,817
0.69% 4.95% 0.64% 5.00% $ 686,259
0.68% 4.59% 0.63% 4.64% $ 932,896
0.68%(c) 4.46%(c) 0.63%(c) 4.51%(c) $1,037,829
0.93%(c) 4.37%(c) 0.88%(c) 4.42%(c) $ 16,368
0.93%(c) 4.28%(c) 0.88%(c) 4.33%(c) $ 34,565
0.70% 4.34% 0.51% 4.53% $ 210,526
0.66% 5.01% 0.57% 5.10% $ 372,884
0.68% 4.65% 0.58% 4.75% $ 373,485
0.67% 4.88% 0.59% 4.96% $ 441,422
0.67% 4.41% 0.59% 4.49% $ 498,548
0.66%(c) 4.32%(c) 0.58%(c) 4.40%(c) $ 505,620
0.92%(c) 4.09%(c) 0.84%(c) 4.17%(c) $ 21,153
0.91%(c) 4.02%(c) 0.83%(c) 4.10%(c) $ 25,400
0.92% 2.24% 0.40% 2.76% $ 41,238
0.86% 2.76% 0.48% 3.14% $ 65,763
0.85% 2.60% 0.50% 2.95% $ 56,618
0.78% 2.81% 0.50% 3.09% $ 73,345
0.72% 2.55% 0.58% 2.69% $ 110,291
0.69%(c) 2.71%(c) 0.60%(c) 2.80%(c) $ 172,575
- -----------------------------------------------------------------------------
</TABLE>
VISION MONEY MARKET FUNDS
COMBINED NOTES TO FINANCIAL STATEMENTS
OCTOBER 31, 1999 (UNAUDITED)
- -------------------------------------------------------------------------------
(1) ORGANIZATION
Vision Group of Funds, Inc. (the "Corporation") is registered under the In-
vestment Company Act of 1940, as amended (the "Act"), as an open-end manage-
ment investment company. The Corporation consists of seven portfolios (indi-
vidually referred to as the "Fund", or collectively as the "Funds"). The
following Funds are presented herein:
<TABLE>
<CAPTION>
PORTFOLIO NAME INVESTMENT OBJECTIVE
- -------------------------------------------------------------------------------------
<C> <S>
Vision Money Market Fund ("Money Seeks current income with liquidity and
Market")(d) stability of principal by investing in high
quality money market instruments.
- -------------------------------------------------------------------------------------
Vision Treasury Money Market Fund Seeks current income with liquidity and
("Treasury Money Market")(d) stability of principal by investing in
direct obligations of the U.S. Treasury,
such as Treasury bills and notes, and
repurchase agreements secured by these
obligations.
- -------------------------------------------------------------------------------------
Vision New York Tax-Free Money Market Seeks as high a level of current
interest Fund ("New York Tax-Free Money income that is exempt from federal
regular Market")(n) income tax as is consistent with liquidity
and relative stability of principal.
</TABLE>
(d) Diversified
(n) Non-diversified
The financial statements of the other portfolios are presented separately. The
assets of each portfolio are segregated and a shareholder's interest is limited
to the portfolio in which shares are held.
(2) SIGNIFICANT ACCOUNTING POLICIES
The following is a summary of significant accounting policies consistently
followed by the Funds in the preparation of their financial statements. These
policies are in conformity with generally accepted accounting principles.
INVESTMENT VALUATIONS--The Funds' use of the amortized cost method to value
their portfolio securities is in accordance with Rule 2a-7 under the Act.
REPURCHASE AGREEMENTS--It is the policy of the Funds to require the custodian
bank to take possession, to have legally segregated in the Federal Reserve
Book Entry System, or to have segregated within the custodian bank's vault,
all securities held as collateral under repurchase
VISION MONEY MARKET FUNDS
- -------------------------------------------------------------------------------
agreement transactions. Additionally, procedures have been established by the
Funds to monitor, on a daily basis, the market value of each repurchase
agreement's collateral to ensure that the value of collateral at least equals
the repurchase price to be paid under the repurchase agreement transaction.
The Funds will only enter into repurchase agreements with banks and other
recognized financial institutions, such as broker/dealers, which are deemed by
the Funds' adviser to be creditworthy pursuant to the guidelines and/or
standards reviewed or established by the Board of Directors (the "Directors").
Risks may arise from the potential inability of counterparties to honor the
terms of the repurchase agreement. Accordingly, the Funds could receive less
than the repurchase price on the sale of collateral securities.
INVESTMENT INCOME, EXPENSES AND DISTRIBUTIONS--Interest income and expenses
are accrued daily. Bond premium and discount, if applicable, are amortized as
required by the Internal Revenue Code, as amended (the "Code"). Distributions
to shareholders are recorded on the ex-dividend date.
FEDERAL TAXES--It is the Funds' policy to comply with the provisions of the
Code applicable to regulated investment companies and to distribute to
shareholders each year substantially all of their income. Accordingly, no
provisions for federal tax are necessary.
WHEN-ISSUED AND DELAYED DELIVERY TRANSACTIONS--The Funds may engage in
when-issued or delayed delivery transactions. The Funds record when-issued
securities on the trade date and maintain security positions such that
sufficient liquid assets will be available to make payment for the securities
purchased. Securities purchased on a when-issued or delayed delivery basis are
marked to market daily and begin earning interest on the settlement date.
USE OF ESTIMATES--The preparation of financial statements in conformity with
generally accepted accounting principles requires management to make estimates
and assumptions that affect the amounts of assets, liabilities, expenses and
revenues reported in the financial statements. Actual results could differ
from those estimated.
OTHER--Investment transactions are accounted for on the trade date.
VISION MONEY MARKET FUNDS
- -------------------------------------------------------------------------------
(3) CAPITAL STOCK
At October 31, 1999, there were 4,000,000,000 shares of $0.001 par value capital
stock (2,000,000,000 authorized as to Class A Shares and 2,000,000,000
authorized as to Class S Shares) authorized with respect to Money Market;
4,000,000,000 shares of $0.001 par value capital stock (2,000,000,000 authorized
as to Class A Shares and 2,000,000,000 authorized as to Class S Shares)
authorized with respect to Treasury Money Market; and 1,000,000,000 shares of
$0.001 par value capital stock authorized with respect to New York Tax-Free
Money Market. Capital paid-in for Money Market aggregated $1,072,394,803, par
value was $1,072,395; Treasury Money Market aggregated $531,020,455, par value
was $531,020; New York Tax-Free Money Market aggregated $172,575,104, par value
was $172,575. Transactions in capital stock were as follows:
<TABLE>
<CAPTION>
MONEY MARKET
--------------------------------
SIX MONTHS
ENDED YEAR ENDED
OCTOBER 31, APRIL 30,
CLASS A SHARES 1999 1999
- ----------------------------------------- --------------- ---------------
<S> <C> <C>
Shares sold 20,922,168,590 29,012,257,251
- -----------------------------------------
Shares issued to shareholders in payment
of distributions declared 8,864,935 18,193,247
- -----------------------------------------
Shares redeemed (20,826,100,034) (28,783,813,244)
- ----------------------------------------- --------------- ---------------
Net change resulting from Class A Shares
transactions 104,933,491 246,637,254
- ----------------------------------------- --------------- ---------------
<CAPTION>
MONEY MARKET
--------------------------------
SIX MONTHS
ENDED PERIOD ENDED
OCTOBER 31, APRIL 30,
CLASS S SHARES 1999 1999(A)
- ----------------------------------------- --------------- ---------------
<S> <C> <C>
Shares sold 3,093,379,827 3,627,306,766
- -----------------------------------------
Shares issued to shareholders in payment
of distributions declared 4 9
- -----------------------------------------
Shares redeemed (3,075,182,384) (3,610,938,857)
- ----------------------------------------- --------------- ---------------
Net change resulting from Class S Shares
transactions 18,197,447 16,367,918
- ----------------------------------------- --------------- ---------------
Net change resulting from share
transactions 123,130,938 263,005,172
- ----------------------------------------- --------------- ---------------
</TABLE>
(a) Reflects opoerations for the period from June 8, 1998 (date of initial
public investment) to April 30, 1999.
VISION MONEY MARKET FUNDS
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
TREASURY MONEY MARKET
-------------------------------
SIX MONTHS
ENDED YEAR ENDED
OCTOBER 31, APRIL 30,
CLASS A SHARES 1999 1999
- ------------------------------------------- -------------- ---------------
<S> <C> <C>
Shares sold 7,444,884,426 16,764,115,227
- -------------------------------------------
Shares issued to shareholders in payment of
distributions declared 1,094,006 3,328,583
- -------------------------------------------
Shares redeemed (7,438,905,997) (16,710,318,302)
- ------------------------------------------- -------------- ---------------
Net change resulting from Class A Shares
transactions 7,072,435 57,125,508
- ------------------------------------------- -------------- ---------------
<CAPTION>
TREASURY MONEY MARKET
-------------------------------
SIX MONTHS
ENDED PERIOD ENDED
OCTOBER 31, APRIL 30,
CLASS S SHARES 1999 1999(A)
- ------------------------------------------- -------------- ---------------
<S> <C> <C>
Shares sold 2,990,262,935 5,680,271,327
- -------------------------------------------
Shares issued to shareholders in payment of
distributions declared 4 9
- -------------------------------------------
Shares redeemed (2,986,016,009) (5,659,117,896)
- ------------------------------------------- -------------- ---------------
Net change resulting from Class S Shares
transactions 4,246,930 21,153,440
- ------------------------------------------- -------------- ---------------
Net change resulting from share
transactions 11,319,365 78,278,948
- ------------------------------------------- -------------- ---------------
<CAPTION>
NEW YORK TAX-FREE
MONEY MARKET
-------------------------------
SIX MONTHS
ENDED YEAR ENDED
OCTOBER 31, APRIL 30,
1999 1999
- ------------------------------------------- -------------- ---------------
<S> <C> <C>
Shares sold 1,238,087,244 2,421,854,703
- -------------------------------------------
Shares issued to shareholders in payment of
distributions declared 622,576 1,525,141
- -------------------------------------------
Shares redeemed (1,176,425,270) (2,386,434,196)
- ------------------------------------------- -------------- ---------------
Net change resulting from share
transactions 62,284,550 36,945,648
- ------------------------------------------- -------------- ---------------
</TABLE>
(a) Reflects operations for the period from June 8, 1998 (date of initial public
investment) to April 30, 1999.
VISION MONEY MARKET FUNDS
- -------------------------------------------------------------------------------
(4) INVESTMENT ADVISORY FEE AND OTHER TRANSACTIONS WITH AFFILIATES
INVESTMENT ADVISORY FEE--Manufacturers and Traders Trust Company, the Funds'
investment adviser (the "Adviser"), receives for its services an annual
investment advisory fee equal to 0.50% of each Fund's average daily net assets.
The Adviser may voluntarily choose to waive any portion of its fee. The Adviser
can modify or terminate this voluntary waiver at any time at its sole
discretion.
SUB-ADVISORY FEE--Federated Investment Management Company (the "Sub-Adviser") is
the sub-adviser to New York Tax-Free Money Market, and receives for its services
an allocable portion of the advisory fee the Adviser receives from New York
Tax-Free Money Market. The Sub-Adviser is paid by the Adviser as follows: 0.20%
on the first $100 million of average daily net assets; 0.18% on the next $100
million of average daily net assets; and 0.15% on average daily net assets over
$200 million.
ADMINISTRATIVE, TRANSFER AND DIVIDEND DISBURSING AGENT AND FUND ACCOUNTING
FEES--Federated Services Company ("FServ") provides the Funds with certain
administrative personnel and fund accounting services. FServ through its
subsidiary, Federated Shareholder Services Company, serves as transfer and
dividend disbursing agent for the Funds. The fee paid to FServ is based on the
level of average aggregate net assets of the Corporation for the period. FServ
may voluntarily choose to waive a portion of its fee.
DISTRIBUTION SERVICES FEE--The Corporation has adopted a Distribution Plan (the
"Plan") pursuant to Rule 12b-1 under the Act. Under the Act, the Class S Shares
of the Money Market Fund and Treasury Money Market Fund will compensate
Federated Securities Corp., ("FSC"), the principal distributor, from the net
assets of the Class S Shares of the Funds, to finance activities intended to
result in the sale of Class S Shares of the Funds. The Plan provides that Class
S Shares of the Funds may incur distribution expenses up to 0.25% of the average
daily net assets of Class S Shares of the Funds, annually, to compensate FSC.
SHAREHOLDER SERVICES FEE--Under the terms of a Shareholder Services Agreement
with Manufacturers and Trader Trust Company, the Funds will pay Manufacturers
and Traders Trust Company up to 0.25% of average daily net assets of the Funds
annually for the period. The fee paid to Manufacturers and Traders Trust Company
is used to finance certain services for shareholders and to maintain shareholder
accounts. The Funds did not pay or accrue shareholder services fees during the
six months ended October 31, 1999.
GENERAL--Certain of the Officers of the Corporation are Officers and Directors
or Trustees of the above companies.
(5) CONCENTRATION OF CREDIT RISK
Since New York Tax-Free Money Market invests a substantial portion of its assets
in issuers located in one state, it will be more susceptible to factors
adversely affecting issuers of that state than would be a comparable tax-ex-
empt mutual fund that invests nationally. In order to reduce the credit risk
associated with such factors, at October 31, 1999, 68.8% of the securities in
the portfolio of investments are
VISION MONEY MARKET FUNDS
- -------------------------------------------------------------------------------
backed by letters of credit or bond insurance of various financial institutions
and financial guaranty assurance agencies. The value of investments insured by
or supported (backed) by a letter of credit from any one institution or agency
did not exceed 4.1% of total investments.
(6) YEAR 2000
Similar to other financial organizations, the Funds could be adversely affected
if the computer systems used by the Funds' service providers do not properly
process and calculate date-related information and data from and after January
1, 2000. The Funds' Adviser, Sub-Adviser and administrator are taking measures
that they believe are reasonably designed to address the Year 2000 issue with
respect to computer systems that they use and to obtain reasonable assurances
that comparable steps are being taken by each of the Funds' other service
providers. At this time, however, there can be no assurance that these steps
will be sufficient to avoid any adverse impact to the Funds.
DIRECTORS OFFICERS
- --------------------------------------------------------------------------------
Randall I. Benderson Edward C. Gonzales
President and Treasurer
Joseph J. Castiglia Beth S. Broderick
Vice President and Assistant Treasurer
Daniel R. Gernatt, Jr. Victor R. Siclari
Secretary
George K. Hambleton, Jr. C. Todd Gibson
Assistant Secretary
SHARES OF THE VISION FUNDS ARE NOT FDIC INSURED OR OTHERWISE PROTECTED BY THE
U.S. GOVERNMENT, ARE NOT DEPOSITS OR OTHER OBLIGATIONS OF, OR GUARANTEED BY,
MANUFACTURERS AND TRADERS TRUST COMPANY, AND ARE SUBJECT TO INVESTMENT RISKS,
INCLUDING POSSIBLE LOSS OF THE PRINCIPAL AMOUNT INVESTED.
This report is authorized for distribution to prospective investors only when
preceded or accompanied by the Funds' prospectus which contains facts concerning
their objectives and policies, management fees, expenses and other information.
- --------------------------------------------------------------------------------
Federated Securities Corp.
Distributor
Federated Investors Tower
Pittsburgh, PA 15222-3779
Cusip 92830F307 Cusip 92830F877 Cusip 92830F109 Cusip 92830F885 Cusip 92830F208
1112503 (12/99)
[RECYCLED LOGO APPEARS HERE]
[VISION LOGO APPEARS HERE]
SEMI-ANNUAL REPORT
TO SHAREHOLDERS
OCTOBER 31, 1999
VISION
Money Market Fund
Class A Shares
Class S Shares
---------------------------
VISION
Treasury
Money Market Fund
Class A Shares
Class S Shares
---------------------------
VISION
New York Tax-Free
Money Market Fund
Class A Shares
Manufacturers and Traders Trust Company
Investment Adviser to the Funds
One M&T Plaza
Buffalo, NY 14240-4556
